Technology

Snowflake Inc. (NYSE:SNOW) Q1 2025 Earnings Call Transcript May 22, 2024 5:00 PM ET Company Participants Jimmy Sexton – Head of IR Sridhar Ramaswamy – CEO Mike Scarpelli – CFO Christian Kleinerman – EVP of Product Conference Call Participants Keith Weiss – Morgan Stanley Mark Murphy – JPMorgan Kirk Materne – Evercore Karl Keirstead – UBS Raimo Lenschow – Barclays Brent Thill – Jefferies Matt Hedberg – RBC Brent Bracelin – Piper Sandler Tyler Radke – Citi Alex Zukin – Wolfe Research Operator Hello, everyone. Thank you for attending today’s Q1 Fiscal Year 2025 Snowflake Earnings Call. My name is Sierra, and I will be your moderator today. All lines will be muted during the presentation portion of the call with an opportunity for questions-and-answers at the end. [Operator Instructions] I would now like to pass the conference over to our host, Jimmy Sexton, Head of Investor Relations. Jimmy Sexton […]

The following is a summary of the Snowflake Inc. (SNOW) Q1 2025 Earnings Call Transcript: Financial Performance: Snowflake reported Q1 product revenue of $790 million, up 34% year-over-year. Remaining Performance Obligations grew 46% year-over-year to $5 billion. Non-GAAP adjusted free cash flow margin stood at 44%. Snowflake expects Q2 product revenue between $805 million to $810 million and full year product revenue of approximately $3.3 billion, a 24% increase year-on-year. Storage mix as a percent of revenue remained at 11%. Business Progress: Growth was primarily driven by data product and increased layer of AI applications. Over 750 customers are using new AI capabilities, with significant upgrades in acquisition team in commercial space and business development. AI product, Cortex, became generally available and features such as Iceberg, Snowpark Container Services, and Hybrid Tables are expected to be released by year-end. Snowflake began migrating several large Global 2,000 customers to Snowpark in

Snowflake (SNOW) is tracking toward a modest fiscal first-quarter revenue beat and positive guidance revisions amid potential product sales upside, RBC Capital Markets said in a note emailed Monday. The brokerage said markets are assuming 2% to 3% upside to the first-quarter consensus for total revenue of $787 million and product revenue of $744 million. They both imply year-over-year growth of 26%. Shares of Snowflake were up 1.5% in afternoon trade. The cloud-based data analytics platform topped product expectations by an average of 2.9% over the last four quarters, according to RBC’s analysis. A 2.5% beat in the May 22 report would imply product revenue closer to $762 million, a year-over-year gain of 29%, according to RBC. RBC is modeling for first-quarter total revenue of $784.5 million and adjusted earnings per share of $0.15, compared with the $0.17 average analyst estimate on Capital IQ. “We see a better setup this