2 min Analytics

Snowflake share price plummets regardless of notable yearly growth

Snowflake share price plummets regardless of notable yearly growth

Although Snowflake generated a hefty turnover in the past fiscal year, its share prices fell drastically. Furthermore, Snowflake announced the acquisition of Streamlit, an open source framework for building and sharing data applications.

The annual figures for the fiscal year of 2022 show that Snowflake generated revenue of 1 billion euros ($1.140 billion) — a whopping 106 percent increase from last year. Profits totalled 714.4 million euros ($792.7 million).

The data management specialist does not specify where its profits came from. Customer growth is, however, loud and clear. At the end of the fourth quarter of the fiscal year 2022, the number of customers stood at nearly 6,000, which is 44 percent more than at the end of the fiscal year 2021. 184 customers spent more than $1 million on Snowflake.

Snowflake share price

The figures weren’t received well by the stock market. The share price fell by 30 percent following the announcement, closing the day on a 22 percent loss.

Investors had higher expectations of Snowflake’s growth. The figures were somewhat favourable, but not enough. Furthermore, current shareholders are disappointed with Snowflake’s expectations for the upcoming fiscal year. Snowflake expects a turnover of around 1.7 billion euros, which is somewhat slim.

Acquisition of Streamlit

In addition to financial figures, the data management specialist announced the acquisition of Streamlit, an application specialist. The acquisition provides Snowflake with an open source framework for developing and sharing data applications. Data scientists can use the framework to quickly develop and build applications without having to hire front-end developers.

Snowflake plans to integrate Streamlit’s technology into its own portfolio. The goal is to allow data scientists and specialists to build and deploy apps directly from the Snowflake Data Cloud platform.