SNOW · Snowflake Inc.
10-Q filed 2026-05-29 period 2026-04-30
80 Strong
confidence high · source filing on SEC.gov ↗
- Snowflake acquired Observe, Inc., an AI-powered observability platform, on February 2, 2026, for a preliminary purchase consideration of $595.8 million.
- Year-over-year revenue grew 33.5% to $1.39 billion, while operating loss narrowed significantly to $326.2 million from $447.3 million in the prior year period.
- Net revenue retention rate ticked up slightly to 126% as of April 30, 2026, from 125% as of January 31, 2026, with total customers reaching 13,912.
Filing Health Score pillars
Profitability 25%
75
Revenue grew 33.5% year-over-year to $1.39 billion, and operating loss margin improved significantly from -42.9% to -23.5% due to strong operating leverage as operating expenses only grew 9.8% (Item 2, MD&A and Condensed Consolidated Statements of Operations).
Balance sheet 20%
80
Total cash, cash equivalents, and investments of $4.39 billion comfortably exceed the convertible senior notes of $2.28 billion, though the current ratio is relatively low at 1.05 due to $2.85 billion in current deferred revenue (Condensed Consolidated Balance Sheets).
Cash generation 20%
85
Operating cash flow of $243.2 million exceeded the net loss of $295.6 million, and free cash flow reached $232.8 million (16.7% margin) due to low capex intensity of $10.5 million and high non-cash stock-based compensation (Item 2, Key Business Metrics).
Risk flags 20%
85
No going-concern language or restatements are present, and customer concentration is low with no single customer representing over 10% of revenue, though the company highlights ongoing cybersecurity threats and intense competition in the AI space (Item 1A, Risk Factors and Note 3).
Mgmt signal 15%
75
Management reports positive momentum with net revenue retention improving to 126% and the strategic acquisition of Observe, Inc. for $595.8 million, but remains cautious regarding macroeconomic headwinds and customer budget rationalization (Item 2, MD&A).
Key metrics (Three Months Ended April 30, 2026)
net income: -$295,571 thousand
cash and equivalents: $2,084,715 thousand
total debt: $2,281,903 thousand
shares outstanding: 346,601 thousand
revenue: $1,390,951 thousand
period: Three Months Ended April 30, 2026
operating cash flow: $243,223 thousand
Gemma triage notes (pre-analysis, second opinion)
None for this filing.Automated research summaries derived from SEC filings. Not investment advice.