Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Snowflake delivered strong FY2026 revenue growth of 29.2% to $4.68B, improved its gross margin to 67.2% and operating cash flow to $1.22B, but continued to post significant net losses of $1.33B amid heavy R&D investment and rising liabilities.
Revenue
$4.68B
+29.16% YoY
EPS (Diluted)
-$3.95
-2.33% YoY
Gross Margin
67.2%
+0.7 pts YoY
Operating Income
-$1.44B
+1.43% YoY
Source: SEC XBRL
Snowflake (SNOW) reported FY2026 revenue of $4.68B, up 29.2% year over year. Operating margin was -30.6%, against -40.2% a year earlier. Operating cash flow was $1.22B, up 27.3% year over year.
Last 4 quarters: 4 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 0.39 | 0.32 | Beat +20.1% |
| Mar 2026This filing | 0.32 | 0.28 | Beat +15.6% |
| Dec 2025 | 0.35 | 0.32 | Beat +10.6% |
| Sep 2025 | 0.35 | 0.27 | Beat +29.2% |
Reported EPS of $0.32 versus the $0.28 analyst consensus — a +15.6% beat for Mar 2026.
Compiled by AI from this SEC filing
Snowflake's revenue grew 29.2% year-over-year from $3.63B to $4.68B in FY2026, reflecting continued expansion of its cloud data platform as enterprises deepen their data and AI workloads on Snowflake's infrastructure.
Source: 10-K Income Statement
Gross margin improved modestly to 67.2% from 66.5% in the prior year, as revenue growth of 29.2% outpaced cost of revenue growth of 26.6%, suggesting improving operating leverage on the platform side despite ongoing infrastructure costs.
Source: 10-K Income Statement
Operating loss improved by 1.4% to -$1.44B, and operating margin improved significantly from -40.2% to -30.6%, indicating that while Snowflake remains unprofitable, it is making meaningful progress toward operational efficiency.
Source: 10-K Income Statement & Key Ratios
Operating cash flow surged 27.3% to $1.22B, demonstrating that Snowflake's business generates substantial cash despite GAAP losses, largely due to non-cash stock-based compensation and deferred revenue dynamics typical of SaaS businesses.
Source: 10-K Cash Flow Statement
R&D expenses reached $1.97B in FY2026, up 10.4% year-over-year, representing a major portion of operating costs as Snowflake continues to invest heavily in AI features, Cortex AI, and platform capabilities to maintain competitive differentiation.
Source: 10-K Income Statement
Compiled by AI from this SEC filing · 2 high, 3 medium, 0 low
Snowflake has reported net losses of $1.33B in FY2026 and $1.29B in FY2025, with no clear near-term path to GAAP profitability. Continued losses could pressure stockholders' equity, which declined 35.9% to $1.92B, and may require additional capital or dilutive financing.
Source: 10-K Income Statement & Balance Sheet
Total liabilities increased 19.6% to $7.21B while stockholders' equity fell 35.9%, pushing the debt-to-equity ratio to 3.75x. Current liabilities surged 33.9% to $4.42B, which could create liquidity pressure if business conditions deteriorate.
Source: 10-K Balance Sheet & Key Ratios
R&D expenses of $1.97B represent a substantial portion of revenue and reflect Snowflake's need to continuously innovate in a rapidly evolving cloud data and AI market. Failure to translate R&D investment into differentiated products could erode its competitive moat.
Source: 10-K Income Statement
Snowflake's consumption-based pricing model means revenue is directly tied to customer usage levels, which can be unpredictable and may decline if customers optimize workloads, reduce spending, or shift to competing platforms. This creates revenue visibility challenges compared to pure subscription models.
Source: 10-K Income Statement (revenue growth dynamics)
Snowflake spent $873.5M on share buybacks in FY2026, contributing to a financing cash outflow of $1.39B. While buybacks signal management confidence, they reduce cash available for strategic investments and acquisitions at a time when the company is still loss-making.
Source: 10-K Cash Flow Statement
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 4.68 $B | 3.63 $B | +29.16% |
Cost of Revenue $B | 1.54 $B | 1.21 $B | +26.60% |
Gross Profit $B | 3.15 $B | 2.41 $B | +30.45% |
Operating Income $B | -1.44 $B | -1.46 $B | +1.43% |
Net Income $B | -1.33 $B | -1.29 $B | -3.29% |
EPS (Basic) $ | -3.95 $ | -3.86 $ | -2.33% |
EPS (Diluted) $ | -3.95 $ | -3.86 $ | -2.33% |
R&D Expense $B | 1.97 $B | 1.78 $B | +10.43% |
Answers draw on this SEC filing and the data on this page