Cloud data platform Snowflake's Q3 adjusted EPS beats estimates

Snowflake

03/12/2025 21:15

Overview

Snowflake fiscal Q3 product rev grows 29% yr/yr to $1.16 bln

Adjusted EPS for fiscal Q3 beats analyst expectations

Remaining performance obligations rise 37% yr/yr to $7.88 bln

Outlook

Snowflake forecasts Q4 product revenue between $1.195 bln and $1.200 bln, up 27% y/y

Snowflake expects FY26 product revenue to be $4.446 bln, up 28% y/y

Company anticipates FY26 product gross profit margin of 75%

Result Drivers

AI ADOPTION - Rapid adoption of Snowflake Intelligence, transforming business interactions with data

STRATEGIC PARTNERSHIPS - Partnerships with leading AI model providers and platforms enhancing data lifecycle

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Product Revenue
$1.16 bln
Q3 Adjusted EPS
Beat
$0.35
$0.31 (41 Analysts)
Q3 EPS
-$0.87
Q3 Operating Income
-$329.50 mln
Q3 Product Gross Profit
$837.60 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 43 "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the it services & consulting peer group is "buy"

Wall Street's median 12-month price target for Snowflake Inc is $275.00, about 5.9% above its December 2 closing price of $259.68

The stock recently traded at 169 times the next 12-month earnings vs. a P/E of 163 three months ago

Press Release: ID:nBw3d6NNfa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)