Summary
Snowflake Inc. (SNOW) reported its third-quarter fiscal year 2023 results, ending October 31, 2022. The company demonstrated strong revenue growth, with product revenue increasing by 67% year-over-year for the quarter to $522.8 million. This growth was primarily driven by increased consumption from existing customers, evidenced by a robust net revenue retention rate of 165%. The total customer count also saw significant expansion, reaching 7,292. Despite revenue growth, Snowflake continued to incur net losses, with a net loss of $200.9 million for the quarter. Operating expenses, particularly sales and marketing and research and development, remain high as the company invests heavily in growth and platform innovation. The company ended the quarter with substantial cash, cash equivalents, and investments totaling $4.9 billion, providing ample liquidity for ongoing operations and strategic initiatives.
Financial Highlights
52 data points| Revenue | $557.03M |
| Cost of Revenue | $190.72M |
| Gross Profit | $366.31M |
| R&D Expenses | $211.39M |
| Operating Expenses | $572.33M |
| Operating Income | -$206.02M |
| Net Income | -$200.94M |
| EPS (Basic) | $-0.63 |
| EPS (Diluted) | $-0.63 |
| Shares Outstanding (Basic) | 320.13M |
| Shares Outstanding (Diluted) | 320.13M |
Key Highlights
- 1Product revenue increased 67% year-over-year to $522.8 million for the three months ended October 31, 2022.
- 2Net revenue retention rate remained strong at 165% as of October 31, 2022.
- 3Total customer count grew to 7,292.
- 4Operating loss was $206.0 million for the three months ended October 31, 2022.
- 5Net loss attributable to Snowflake Inc. was $200.9 million for the three months ended October 31, 2022.
- 6The company ended the quarter with $4.9 billion in cash, cash equivalents, and short-term and long-term investments, providing significant liquidity.
- 7Snowflake completed two acquisitions during the nine months ended October 31, 2022: Applica Sp. z.o.o. for $174.7 million and Streamlit, Inc. for $650.8 million.