Snowflake Inc.

snowflake.com

What Do They Do?

Sells a cloud-based data platform that organizations use to store, analyze, and share data and build applications and AI tools.

How Do They Make Money?

Customers pay for platform compute, storage, and data transfer as they use those resources. Capacity arrangements are typically billed annually in advance; on-demand use is charged monthly.

revenue

Segment	Share	Revenue	How money arrives
Product revenue Usage-based	95% FY2023: 94%		Usage-based
Professional services and other revenue	4.5% FY2023: 6.1%

Who Are Their Customers?

Sells mainly to large organizations across a broad range of industries through its direct sales force, and also through resellers and distributors.

Do Revenues Turn Into Profits?

Not on paper. It lost $1.3B in FY2026, but brought in more cash than it spent: $1.1B of free cash flow.

Operating income, FY2026

−31% of revenue

▼ −1% (Loss) vs FY2025 (−$1.5B, −40%)

Net income, FY2026

−28% of revenue

▲ +4% (Loss) vs FY2025 (−$1.3B, −35%)

Free cash flow, FY2026

24% of revenue

▲ +23% vs FY2025 ($913.5M, 25%)

How Are They Changing?

Since the FY2026 annual report

Latest quarter: Q2 FY2027, the three months to Jul 31, 2026

Revenue: ▲ +35%; vs $1.1B in Q2 FY2026
Net income: ▼ −36% (Loss); vs −$298M in Q2 FY2026

Product revenue share of revenue vs 95.2% in Q2 FY2026

Sep 2, 2026 Raises full-year product revenue growth guidance Product revenue guidance rose to $6,070 million, or 36% growth, from $5,840 million, or 31%.

Growing. Revenue grew 3.8x in 4 years, from $1.2B in FY2022 to $4.7B in FY2026, about 40% a year.

New AI and transactions offerings The older report described data warehousing, data lakes, and Unistore among its workloads. The latest adds Snowflake Intelligence and Snowflake Postgres, placing Postgres in a new transactions product category.

Revenue over time

Product revenue Professional services and other revenue

$5B$2.5B$0

FY2022 FY2023 FY2024 FY2025 FY2026

Who Do They Compete With?

Competes with Amazon Web Services, Microsoft Azure, and Google Cloud Platform

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