Snowflake Posts 32% Growth in Fiscal Q2

Snowflake (NYSE:SNOW), the cloud data platform known for its scalable analytics services, released its Q2 FY2026 results on August 27, 2025. The main headline: it outpaced its earlier guidance with product revenue of $1.09 billion, Product revenue grew 32% year over year and Product revenue exceeded its forecast by nearly $51 million. The company also reported an 11% non-GAAP operating margin, while net revenue retention, a measure of customer stickiness and expansion, held steady at 125%. Despite this strong growth, management’s financial outlook, including guidance for FY2026, points to a slowdown in year-on-year product revenue expansion to 27%–25% and some margin pressure as investments and competitive dynamics take their toll. Overall, the quarter showed solid progress on recurring revenues and platform usage, but also signs of maturation as the company transitions from rapid scale-up to more measured, profitable growth. Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2026 earnings report. Snowflake (NYSE:SNOW) offers a cloud-native data platform. Its core business is providing organizations with services to store, manage, and analyze large volumes of data. The architecture separates compute and storage, which allows customers to scale as their needs evolve. This is the foundation of a model where users pay for what they actually consume, not a set contract amount.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool