Snowflake earnings exceeded analyst expectations and prompted a stronger full-year outlook, sending the data-cloud company’s shares sharply higher in after-hours trading.
Snowflake (NYSE: SNOW) reported adjusted earnings of 62 cents per share, above the 45-cent analyst consensus, while quarterly revenue of $1.55 billion exceeded the $1.48 billion estimate. Product revenue reached $1.49 billion, representing growth of 37% from a year earlier, according to the company’s official quarterly results page.
The company raised its fiscal 2027 product revenue forecast to $6.07 billion from $5.84 billion. That revised outlook implies growth of approximately 36%, compared with the 31% rate embedded in the previous guidance.
Snowflake Earnings Point to Faster AI-Led Consumption Growth
For the third quarter, Snowflake projected product revenue of $1.588 billion to $1.593 billion, which would represent year-over-year growth of 37% to 38%. The outlook indicated that the acceleration seen during the latest quarter could continue into the next reporting period.
Management attributed the momentum partly to adoption of the company’s AI products and the addition of new platform workloads. Because Snowflake’s model is closely linked to customer consumption, sustained growth depends on enterprises continuing to expand data processing and artificial intelligence activity on its platform.
Snowflake shares rose about 21% to roughly $369.75 in the initial after-hours reaction. The gain reflected both the earnings beat and the upward revision to guidance, although future performance will remain sensitive to customer optimization, competition in cloud data services and the pace at which AI usage converts into durable product revenue.
