Why Snowflake Shares Are Heating Up After Hours

Snowflake Inc SNOW shares are surging in Wednesday's after-hours session after the company reported better-than-expected topline results and issued strong product revenue guidance. 

Snowflake said fiscal second-quarter revenue increased 83% year-over-year to $497.2 million, which beat average analyst estimates of $467.15 million, according to Benzinga Pro. Product revenue totaled $466 million in the second quarter. The data cloud company reported a quarterly net loss of 70 cents per share.

Snowflake said it now has 6,808 total customers and 246 customers with trailing 12-month product revenue greater than $1 million.

"Snowflake's next frontier of innovation is aimed at transforming how cloud applications are built, deployed, sold, and transacted. We look forward to executing against this growth opportunity," said Frank Slootman, chairman and CEO of Snowflake.

Snowflake expects third-quarter product revenue to be between $500 million and $505 million. Full-year product revenue is expected to be in a range of $1.905 billion to $1.915 billion.

See Also: After-Hours Alert: Why Salesforce Stock Is Sliding

SNOW Price Action: Snowflake has a 52-week high of $344 and a 52-week low of $110.26.

The stock was up 16.1% in after hours at $185.19 at time of publication.

Photo: courtesy of Snowflake.