Snowflake Beats Sales Forecast, CFO Scarpelli to Retire
**Snowflake Beats Sales Forecast, CFO Scarpelli to Retire**
By Kevin McLaughlin
a day ago
Source: The Information
Snowflake shares rose more than 11% after the database provider said its revenue grew 27% to nearly $987 million in its January quarter, which exceeded the high end of its forecast by more than $30 million. The results show that investors think Snowflake is well-positioned to benefit as more companies build AI-powered applications based on the data they generate. Snowflake also announced an expansion of its partnership with Microsoft that will let customers access OpenAI's AI models from the Azure cloud service, after inking a similar partnership with Anthropic in November.
Snowflake, which competes with cloud providers like Amazon Web Services and startups like Databricks, has also been able to get its customers spending more over time, as evidenced by its net revenue retention rate of 127% during the quarter.
Snowflake also revealed that Mike Scarpelli, chief financial officer, is retiring after more than five years at the company. Scarpelli joined Snowflake in 2019 from ServiceNow, where he had spent the previous eight years as its CFO, and led Snowflake's $3.4 billion initial public offering in 2020, which is the largest in software industry history.