Snowflake raises annual product revenue forecast, increases share buyback amount [Video]

Data cloud analytics firm Snowflake on Wednesday raised its forecast for full-year product revenue, as it attracts more clients to its cloud platform owing to advancements in artificial intelligence.

However, shares of the firm fell more than 7% in extended trading. D.A. Davidson analyst Gil Luria attributed the drop to the company not pairing the rise in revenue projections with a rise in margin forecast.

The company now expects product revenue of $3.36 billion for fiscal 2025, up from its prior forecast of $3.30 billion.

The company also authorized an additional $2.5 billion under its share buyback program through March 2027.

Snowflake was the victim of a data breach earlier this year which saw large amounts of customer data stolen from firms like Ticketmaster-parent Live Nation and telecom titan AT&T.

Snowflake has seen a rise in demand for its Data Cloud platform as AI integration has helped enterprises streamline their data quickly and efficiently.

The …