Loading...
•
Apr 30, 2022
Snowflake Q1 2023 Earnings Report
Snowflake's Q1 2023 financial results were reported, demonstrating significant revenue growth and strong customer retention.
Key Takeaways
Snowflake reported a strong first quarter in fiscal year 2023, with revenue reaching $422.4 million, representing an 85% year-over-year growth. Product revenue also saw substantial growth at 84%, totaling $394.4 million. The company's net revenue retention rate stood at 174%, with remaining performance obligations at $2.6 billion, indicating continued customer commitment and expansion.
Total revenue reached $422.4 million, an 85% year-over-year increase.
Product revenue was $394.4 million, reflecting an 84% year-over-year growth.
Remaining performance obligations (RPO) amounted to $2.6 billion, representing an 82% year-over-year increase.
Net revenue retention rate was 174% as of April 30, 2022.
Snowflake
Snowflake
Snowflake Revenue by Segment
Revenue by Segment
Product Revenue
CapyFin.comProfessional Services Revenue
CapyFin.com Forward Guidance
Snowflake provided financial outlook for the second quarter and full year of fiscal 2023, including product revenue and profitability expectations.
Positive Outlook
- Second quarter product revenue is projected to be between $435 million and $440 million, representing a 71-73% year-over-year growth.
- Full-year product revenue is expected to be between $1.885 billion and $1.9 billion, indicating a 65-67% year-over-year growth.
- The company anticipates achieving a 74.5% product gross profit margin for the full year.
- Operating income is forecasted to be around 1% for the full year.
- Adjusted free cash flow is projected to be approximately 16% for the full year.
Challenges Ahead
- The company anticipates an operating loss of 2% for the second quarter.
- Forward-looking non-GAAP guidance measures are not reconciled to corresponding GAAP measures due to uncertainties in predicting future expenses.
- Stock-based compensation-related charges and employer payroll tax-related items on employee stock transactions can impact future financial results.
- The competitive and rapidly changing environment poses risks to achieving forward-looking statements.
- New risks may emerge, and it is not possible to predict all risks or assess their potential impact on the company's business.
Revenue & Expenses
Visualization of income flow from segment revenue to net income