According to a recent report, the global data warehouse as a service market is estimated to grow at a CAGR of 20% from $1.44 billion in 2020 to reach $4.3 billion by 2026. The growth is driven by the organization’s demand to understand the available information regarding business processes, products, customers and leverage this information to expand addressable business opportunities. San Mateo-based Snowflake (NYSE: SNOW) is a leading data warehouse solution provider that recently announced its quarterly results.

Snowflake’s Financials

Snowflake’s revenues grew 110% to $228.9 million for the first quarter, ahead of the market’s estimated $211.16 million. Non-GAAP net loss per share was $0.70, compared to non-GAAP net loss per share of $1.72 a year ago. It missed analyst forecast of a loss of $0.16 per share.

Product revenues grew 110% to $213.8 million. Remaining performance obligations grew 206% to $1.4 billion. Snowflake ended the quarter with 104 customers who had a trailing twelve-month revenue of more than $1 million.

For the second quarter of fiscal 2022, the company expects product revenues of $235-$240 million. It forecast product revenues of $1.02-$1.035 billion for the year.

Snowflake’s Product Enhancements

Snowflake recently announced several product enhancements during the quarter. It announced innovation in data programmability, global data governance, and platform organizations, thus empowering organizations to put more data in the Data Cloud and achieve deeper value from data and business insights. Some of the features added during the quarter include a new Snowflake developer experience called Snowpark, which allows data engineers, data scientists, and developers to build using their preferred language and familiar programming concepts, and then execute these workloads directly within Snowflake. It added Java user-defined functions (UDFs) that will allow customers to bring their custom code and business logic to Snowflake for better performance. Snowflake is also accelerating the time-to-value to unstructured data so that customers can store, govern, process, and share file data alongside their structured and semi-structured data.

It also announced its new partner program, Powered by Snowflake, which will help accelerate the ability of companies and application developers to produce unique applications. Snowflake will help them through all stages of the application journey in the Data Cloud. It will give partners access to various levels of benefits and opportunities to create and deliver applications and value to customers. It will allow partners to create better applications by leveraging design resources from Snowflake. Customers will also be able to drive awareness and adoption by co-marketing with Snowflake with joint solution content.  

Snowflake has more than 45,000 developers on its platform that can access an ecosystem to share knowledge, seek help, exchange ideas, and collaborate. Developers can use ANSI SQL to query structured and semi-structured data. They can ingest JSON, Avro, Parquet, and other data without transformations or fix the pipeline every time the schema changes. Snowflake competes with a slew of big tech players like Amazon Web Services, Google, Oracle, and SAP along with niche players like Cloudera and TeraData. A 2019 Gartner Magic Quadrant on the sector had identified Snowflake as a leader in the market, ready to play with the big players.

Snowflake went public in September last year at $120 a share. The stock soon soared to $308.71. It raised $3.4 billion from its IPO at a valuation of $33.2 billion. Its stock is currently trading at $252.54 with a market capitalization of $74.8 billion. It climbed to a 52-week high of $429 in November last year and fell to a 52-week low of $184.71 in May this year.