Snowflake Inc. · NYSE:SNOW

Snowflake — Investor Day (June 2021)

49 slides from Snowflake's investor day presentation, June 2021

Slide 2: Safe Harbor and Other Information
Safe Harbor and Other Information Other than statements of historical fact, all information contained in this presentation and the accompanying oral Any future product or roadmap information (collectively, the “Roadmap”) is intended to outline general product commentary (the “Materials”), including
Slide 3: Statement Regarding Use of Non-GAAP Financial Measures
Statement Regarding Use of Non-GAAP Financial Measures This presentation also includes certain non-GAAP financial measures, which have not been prepared in Free cash flow is defined as net cash provided by (used in) operating activities reduced by purchases of property accordance with generally acce
Slide 4: Agenda
Agenda The Path to $10B Mike Scarpelli, CFO Customer Success with Deloitte Christina Bieniek, Chief Commercial Officer & Principal at Deloitte Future of the Data Cloud Christian Kleinerman, SVP Product Management Top of Mind Frank Slootman, CEO and Chairman Management Q&A Frank Slootman, Mike Scarpe
Slide 8: We Are Defining a New Market
WE ARE DEFINING A NEW MARKET Revenue per customer driving expansion in today’s cloud data platform opportunity, with larger and longer-term Data Cloud market ahead Data Cloud ~$81B ~$90B at IPO 1 Today 2 1. Based on the Company's own estimates for the market opportunity of our Cloud Data Platform as
Slide 9: Benefiting from Secular Tailwinds
AND BENEFITING FROM SECULAR TAILWINDS Software spend is moving to the cloud, and data management is taking incremental share PUBLIC CLOUD AS A % OF TOTAL ANNUAL CLOUD SPEND SOFTWARE SPEND 1 ($ BILLIONS) 2 $356 Total IaaS + PaaS Database Management Systems and Business Intelligence Platforms 86% $106
Slide 10: Sales Organization Structured to Address Growth
SALES ORGANIZATION STRUCTURED TO ADDRESS GROWTH Largest 250 customer accounts MAJORS Focused on enterprise customers ENTERPRISES outside of majors accounts Inside sales team focused on the acquisition CORPORATE of customers with 500 employees or less Industry-specific approach, targeting customers i
Slide 11: Driving Significant Customer Relationships
DRIVING SIGNIFICANT CUSTOMER RELATIONSHIPS CUSTOMERS WITH TTM PRODUCT REVENUE >$1M1 104 Customers >$10M 1 Customers >$5M1 77 Customers >$1M 1 41 19 14 12 1 1 1 4 4 4 FY19 FY20 FY21 Q1 FY22 Note: Fiscal year ends January 31. 1. See definitions provided in the Appendix. © 2021 Snowflake Inc. All Right
Slide 12: Our Technology Enables Customers of All Sizes to Make Big Purchases
OUR TECHNOLOGY ENABLES CUSTOMERS OF ALL SIZES TO MAKE BIG PURCHASES PROFILE OF CUSTOMERS WITH TTM PRODUCT REVENUE >$1M1 2% 25% 37% 61% 75% 1 Majors Enterprises Corporate Fortune 500 Other Note: Numbers are rounded for presentation purposes. 1. As of April 30, 2021. See definitions provided in the Ap
Slide 13: Largest Customers Will Come from the F500
HOWEVER, WE BELIEVE THE LARGEST CUSTOMERS WILL COME FROM THE F500 $936 $809 $769 $709 186 187 $683 $639 $627 $640 167 $614 154 144 127 107 90 65 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 F500 Customer Count 1 Average TTM Product Revenue ($ in thousands)1 Note: Fiscal ye
Slide 14: Accelerate Time to Value
THEREFORE, WE NEED TO ACCELERATE TIME TO VALUE DOLLAR-WEIGHTED AVERAGE TIME FROM START DATE TO CONTRACT CONSUMPTION RUN RATE (DAYS) 1 283 249 235 224 222 214 214 212 198 Q1 FY19 Q2 FY19 Q3 FY19 Q4 FY19 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Note: Fiscal year ends January 31. Cohort 1. See definitio
Slide 15: Durable Growth Fueled by Customer Expansion
DURABLE GROWTH FUELED BY CUSTOMER EXPANSION NET REVENUE RETENTION RATE1 180% 169% 168% FY19 FY20 FY21 Note: Fiscal year ends January 31. 1. See definitions provided in the Appendix. © 2021 Snowflake Inc. All Rights Reserved 15
Slide 16: Large Relationships Lead to Continued Leverage Over Time
LARGE RELATIONSHIPS LEAD TO CONTINUED LEVERAGE OVER TIME CUSTOMER CONSUMPTION MIX BY EDITION 1 14% 9% 19% 12% 25% 34% Virtual Private Snowflake 26% Business Critical 33% Enterprise 38% Standard 43% 28% 19% FY19 FY20 FY21 Note: Fiscal year ends January 31. 1. See definitions provided in the Appendix.
Slide 17: The Path to $10B
THE PATH TO $10B FY21 FY29 Target CUSTOMERS WITH >$1M IN TTM PRODUCT REVENUE 1 77 ~1,400 AVERAGE PRODUCT REVENUE PER >$1M CUSTOMER 1 $3.4M ~$5.5M % OF PRODUCT REVENUE FROM >$1M CUSTOMERS 1 47% ~77% PRODUCT REVENUE $554M ~$10,000M Note: Fiscal year ends January 31. Numbers are rounded for presentatio
Slide 18: Long-Term Operating Model
LONG-TERM OPERATING MODEL FY20 FY21 FY29 Target PRODUCT REVENUE $252M $554M ~$10,000M YOY PRODUCT REVENUE GROWTH 164% 120% ~30% NON-GAAP PRODUCT GROSS MARGIN 1 63% 69% ~75% % OF REVENUE NON-GAAP S&M EXPENSES 1 103% 63% ~40% NON-GAAP R&D EXPENSES 1 34% 23% ~15% NON-GAAP G&A EXPENSES 1 26% 17% ~10% NO
Slide 19: Key Priorities
KEY PRIORITIES Invest Hyper-focus March towards Continued for growth on product generating operating gross margin meaningful margin leverage expansion free cash flow © 2021 Snowflake Inc. All Rights Reserved 19
Slide 20: Modeling Considerations
MODELING CONSIDERATIONS FULLY DILUTED ADJUSTED FCF SHARE COUNT SEASONALITY Q1 and Q4 <3% Annual dilution from will be our employee equity grants strongest quarters © 2021 Snowflake Inc. All Rights Reserved 20
Slide 23: Data Cloud Is Happening
DATA CLOUD IS HAPPENING April 30, 2020 April 30, 2021 Note: Visualizations based on actual Data Cloud sharing activity as of April 30, 2020 and April 30, 2021, as applicable. © 2021 Snowflake Inc. All Rights Reserved 23
Slide 25: Connected Industries
CONNECTED INDUSTRIES Powering new types of collaboration across industries and simplifying access to high-value data to increase ANDY MARKUS the data capability of your organization, enhance business CDO outcomes, and lead to better products and services. BENEFITS MAJOR NEW CAPABILITIES “Snowflake d
Slide 26: Global Governance
GLOBAL GOVERNANCE Easily ensure data governance and privacy at scale in a data-connected world. BIBA HELOU SVP BENEFITS MAJOR NEW CAPABILITIES Support organizational processes Alation integration (coming soon) with robust controls that apply across all data and all roles Classification (private prev
Slide 27: Platform Optimization
PLATFORM OPTIMIZATION Continual innovations on performance, efficiencies, platform capabilities. BENEFITS MAJOR NEW CAPABILITIES Better support interactive use cases with up to 6x Interactive use case support improvement on query throughput on a single compute (private preview) cluster, 8x improveme
Slide 28: Data Programmability
DATA PROGRAMMABILITY Making data programmability continuously easier, more capable, and more flexible. STEVEN HENSON-TYRES Data Viz/Automation BENEFITS MAJOR NEW CAPABILITIES Simplify and automate pipelines to focus Snowpark (private preview) on data rather than the infrastructure. Unstructured data
Slide 30: Powered by Snowflake
POWERED BY SNOWFLAKE SUNDEEP PARSA VP A Snowflake Partner program designed to help software Our customers were asking for an companies and application developers build, market and order of magnitude increase in scale, operate applications in the Snowflake Data Cloud. sophistication, and concurrency.
Slide 46: Definitions
DEFINITIONS • Product Revenue: Product revenue is primarily derived from the consumption of compute, storage, and data transfer resources, which are consumed by customers on our platform as a single, integrated offering. Product revenue excludes our professional services and other revenue. • Total C
Slide 47: GAAP to Non-GAAP Reconciliations
GAAP TO NON-GAAP RECONCILIATIONS PRODUCT GROSS PROFIT AND SALES & MARKETING FY20 FY21 Product revenue $252,229 $553,794 Professional service and other revenue 12,519 38,255 Revenue $264,748 $592,049 Gross Profit GAAP product gross profit $155,607 $359,959 GAAP product gross margin 62% 65% Add: Stock
Slide 48: GAAP to Non-GAAP Reconciliations
GAAP TO NON-GAAP RECONCILIATIONS RESEARCH & DEVELOPMENT AND GENERAL & ADMINISTRATIVE FY20 FY21 Product revenue $252,229 $553,794 Professional service and other revenue 12,519 38,255 Revenue $264,748 $592,049 Research & Development GAAP R&D expense $105,160 $237,946 GAAP R&D expense as a % of revenue
Slide 49: GAAP to Non-GAAP Reconciliations
GAAP TO NON-GAAP RECONCILIATIONS OPERATING LOSS, FREE CASH FLOW, AND ADJUSTED FREE CASH FLOW FY20 FY21 Product revenue $252,229 $553,794 Professional service and other revenue 12,519 38,255 Revenue $264,748 $592,049 Operating Loss GAAP operating loss $(358,088) $(543,937) GAAP operating loss as a %

Snowflake — Investor Day (June 2021) on 6ix

Snowflake — Investor Day (June 2021)

Slide 1: Investor Day 2021

Slide 2: Safe Harbor and Other Information

Slide 3: Statement Regarding Use of Non-GAAP Financial Measures

Slide 4: Agenda

Slide 5: The Path to $10B

Slide 6: Fiscal 2021 Was a Year of Many Achievements

Slide 7: The Path to $10B of Product Revenue

Slide 8: We Are Defining a New Market

Slide 9: Benefiting from Secular Tailwinds

Slide 10: Sales Organization Structured to Address Growth

Slide 11: Driving Significant Customer Relationships

Slide 12: Our Technology Enables Customers of All Sizes to Make Big Purchases

Slide 13: Largest Customers Will Come from the F500

Slide 14: Accelerate Time to Value

Slide 15: Durable Growth Fueled by Customer Expansion

Slide 16: Large Relationships Lead to Continued Leverage Over Time

Slide 17: The Path to $10B

Slide 18: Long-Term Operating Model

Slide 19: Key Priorities

Slide 20: Modeling Considerations

Slide 21: Customer Success with Deloitte

Slide 22: Future of the Data Cloud

Slide 23: Data Cloud Is Happening

Slide 24: Innovation Pillars

Slide 25: Connected Industries

Slide 26: Global Governance

Slide 27: Platform Optimization

Slide 28: Data Programmability

Slide 29: © 2021 Snowflake Inc. All Rights Reserved

Slide 30: Powered by Snowflake

Slide 31: Where Are We Headed?

Slide 32: Customer Pain: On-Premises Data Silos

Slide 33: Silos 2.0

Slide 34: All Your Data, One Global Unified System

Slide 35: Transform Data to Value

Slide 36: Governed and Secure

Slide 37: Collaborate Through Data

Slide 38: Rich Data Services and Apps

Slide 39: Rich Data Services and Apps

Slide 40: Discover, Distribute and Monetize

Slide 41: © 2021 Snowflake Inc. All Rights Reserved

Slide 42: Top of Mind

Slide 43: Management Q&A

Slide 44: Thank You

Slide 45: Appendix

Slide 46: Definitions

Slide 47: GAAP to Non-GAAP Reconciliations

Slide 48: GAAP to Non-GAAP Reconciliations

Slide 49: GAAP to Non-GAAP Reconciliations