Snowflake Stock Drops After Earnings: What To Know

Snowflake stock is lower Thursday after the company missed on the bottom line in its Q1 and gave disappointing full-year guidance. Here's what you need to know.

snowflake logo on smartphone sitting on laptop and blue binary code reflecting off both screens
(Image credit: Jakub Porzycki/NurPhoto via Getty Images)

Snowflake (SNOW) stock is trading notably lower Thursday after the cloud-based data platform reported mixed earnings results for its first quarter of fiscal 2025 and updated its full-year outlook.

In the three months ended April 30, Snowflake's revenue increased 33% year-over-year to $828.7 million, due mostly to a 34% jump in product revenue to $789.6 million. Its earnings per share (EPS) fell to 14 cents from 15 cents in the year-ago period.

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MetricNew outlookPrevious outlook
Product revenue$3.3 billion$3.25 billion
Product gross profit margin75%76%
Operating income margin3%6%
Adjusted free cash flow margin26%29%

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Joey Solitro

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.