Snowflake Inc. Revenue in 2025

Snowflake Inc. reported $3.6B in revenue for fiscal year 2025. This represents a growth of 25.1% compared to the 2024 figure of $2.9B.

Free cash flow of $834 million in FY2025 on $3.626 billion in revenue represents a 23% free cash flow margin for a company that still reports GAAP net losses — a $396 million GAAP loss in FY2025. The divergence between GAAP profitability and cash generation is structural, driven by the stock-based compensation that is characteristic of high-growth enterprise software companies and is excluded from the cash flow calculation. The company is generating real cash; the GAAP loss reflects accounting treatment of equity compensation. Revenue growth has been consistent: $2.066 billion in FY2023, $2.898 billion in FY2024, $3.626 billion in FY2025 — compound growth of approximately 32% over two years. The 609 customers generating over $1 million in annual product revenue and 122 customers exceeding $10 million annually represent the enterprise depth that sustains this trajectory. Enterprise customers who have integrated Snowflake deeply into their data infrastructure have switching costs that grow each year as more data, more pipelines, and more internal tooling becomes dependent on the platform. Non-GAAP gross margin expanded to 72% in FY2025, with product gross margin at 71%. These figures reflect the operating leverage available in a software-defined infrastructure business that runs on commodity hyperscaler hardware — Snowflake does not own the compute or storage it resells, paying AWS, Azure, and GCP a wholesale rate and charging customers a marked-up consumption rate. As revenue scales over a largely fixed engineering and product cost base, the incremental dollar of revenue converts to margin at a high rate. Market capitalization of approximately $55 billion at the time of the last data represents a meaningful compression from the $120 billion peak reached shortly after the 2020 IPO. The current multiple of approximately 15x forward revenue reflects a market that is pricing Snowflake as a durable enterprise software franchise rather than the hyper-growth story that justified the IPO valuations.