Loading...
•
Jan 31, 2025
Snowflake Q4 2025 Earnings Report
Snowflake reported strong Q4 FY25 performance, achieving significant revenue growth and improved cash flow.
Key Takeaways
Snowflake delivered solid financial results in Q4 FY25, with revenue reaching $986.8 million, reflecting a 27% year-over-year increase. Product revenue stood at $943.3 million, growing 28% YoY. Despite a GAAP operating loss of $386.7 million, the company achieved a non-GAAP operating income of $92.8 million. Free cash flow was strong at $415.4 million, highlighting Snowflake’s ability to generate significant cash from operations.
Revenue grew 27% YoY to $986.8 million, driven by strong product adoption.
Non-GAAP operating income reached $92.8 million, showing improved profitability.
Free cash flow was $415.4 million, up 42% YoY, reflecting strong financial health.
Remaining performance obligations increased to $6.9 billion, up 33% YoY.
Revenue by Segment
Forward Guidance
Snowflake projects FY26 product revenue of $4.28 billion, reflecting 24% YoY growth. The company expects an improved operating margin and continued strong free cash flow generation.
Positive Outlook
- Product revenue forecasted at $4.28B, up 24% YoY.
- Operating margin projected to improve to 8%.
- Free cash flow expected to remain strong at 25% of revenue.
- Continued expansion in AI and data cloud capabilities.
- Strong demand from large enterprise customers.
Challenges Ahead
- Macroeconomic uncertainties may impact enterprise spending.
- Higher stock-based compensation costs remain a concern.
- Increasing competition in AI-driven data cloud solutions.
- Foreign exchange fluctuations could impact revenue.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...