TECH - Snowflake Tops Estimate And Lifts Forecast But Its Challenges Remain | Benzinga
Snowflake Inc (NYSE: SNOW) topped both revenue and earnings estimates with its latest quarterly results amid stabilizing growth observed by its cloud computing partner Amazon.com (NASDAQ: AMZN). Being its largest client, Amazon is often considered as essential to the company's success. Datadog Inc (NASDAQ: DDOG), who is also a cloud partner of Amazon, also reported better than expected third quarter results earlier in November.
Quarterly Highlights
For the quarter that ended on October 31st, Snowflake reported revenue grew 31.8% YoY to $734.2 million, but still ended with a net loss of $214.3 million, improving from last year’s comparable quarter when it lost $201 million. Analysts projected revenue of $713.8 million. Product revenue amounted to $698 million, topping analyst estimates of $669 million.
However, adjusted earnings amounted to 25 cents, which translates to a 127% improvement, also topping analyst estimates of adjusted earnings amounting to 16 cents per share. Although Snowflake succeeded in narrowing its losses on a YoY basis, its sales ...