CEO of Snowflake Frank Slootman arrives at the Allen & Company Sun Valley Conference on July 6, 2021, in Sun Valley, Idaho.
Kevin Dietsch | Getty Images News | Getty Images
Snowflake shares dropped as much as 30% in extended trading on Wednesday after the data-analytics software company showed slowing growth.
Here’s how the company did:
- Earnings: Loss of 43 cents, adjusted
- Revenue: $ 383.8 million, vs. $ 372.6 million as expected by analysts, according to Refinitiv.
Snowflake’s revenue grew 101% year over year in the quarter, which ended Jan. 31, according to a statement. In the previous quarter growth reached 110%. The company reported a $ 132 million net loss, narrowing from almost $ 199 million in the year-ago quarter.
Its adjusted gross margin of 70% came in below the StreetAccount consensus of 70.9%.
Snowflake said it expects 79% to 81% product revenue growth in the fiscal first quarter and 65% to 67% product revenue growth across the 2023 fiscal year. Analysts polled by StreetAccount had predicted 78% product revenue growth for the fiscal first quarter. In the fiscal fourth quarter, product revenue increased by 102%.
Management did not issue earnings or revenue guidance for the current quarter or the new fiscal year.
Prior to the after hours move, Snowflake stock has declined 21% since the start of 2022, while the S&P 500 was down about 8% over the same period.
Executives will discuss the results with analysts on a conference call starting at 5 pm ET.
This is breaking news. Please check back for updates.
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