Snowflake’s stock climbed 22% in after-hours trading on Wednesday following the release of fiscal second-quarter results and updated guidance that exceeded analyst expectations.
The data analytics software company reported revenue that increased 35% year-over-year for the fiscal second quarter ended July 31. The company posted a net loss of $191.7 million, or 55 cents per share, compared with a net loss of $297.9 million, or 89 cents per share, in the prior-year period. Snowflake highlighted gains from its CoCo artificial intelligence coding agent, which expanded to 9,100 accounts during the quarter, representing an addition of over 2,000 accounts.
Looking ahead, Snowflake provided guidance above consensus expectations. For the fiscal third quarter, the company projected $1.59 billion in product revenue, surpassing the StreetAccount consensus estimate of $1.50 billion. Management also raised its full-year product revenue forecast to $6.07 billion from the $5.84 billion projection issued in May. Additionally, the company upgraded its adjusted operating margin forecast to 14.5% from the prior guidance of 13.5%.
Snowflake shares had gained 39% year-to-date as of Wednesday’s close, outpacing the S&P 500’s roughly 12% gain over the same period. If the stock climbs to its after-hours high on Thursday, it would mark the fourth-largest single-day jump since the company’s initial public offering in 2020. Company executives were scheduled to discuss the quarterly results with analysts during a conference call beginning at 5 p.m. ET.
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