Snowflake raised its annual product revenue forecast Wednesday, signaling surging demand for AI-driven workloads and cloud migrations. The move sent shares of the cloud-based data analytics platform soaring 29% in extended trading.
The company also signed a five-year, $6 billion deal with Amazon Web Services, deepening their partnership around enterprise AI. The agreement includes AWS' Graviton processors and AI infrastructure, with deeper product integrations for generative and agentic AI.
Snowflake enables businesses to store, analyze, and share large volumes of data. Strong adoption of its AI tools-such as Cortex Code and Snowpark-is driving growth.
Snowflake now expects fiscal 2027 product revenue of $5.84 billion, up from $5.66 billion. CFO Brian Robins noted the company has 779 customers spending over $1 million annually.
First-quarter total revenue hit $1.39 billion, exceeding estimates of $1.32 billion. Second-quarter product revenue is forecast between $1.415 billion and $1.420 billion, above the $1.37 billion analyst consensus.