Snowflake Inc.

Ladies and gentlemen, thank you for standing by. My name is Brent and I will be your conference operator today. At this time, I would like to welcome everyone to the Q4 Festival Year 2022 Snowflake Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question at that time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, again, press star one. Thank you. It's now my pleasure to turn today's call over to Mr. Jimmy Sexton, Head of Investor Relations. Sir, please go ahead.

Good afternoon, and thank you for joining us on Snowflake's Q4 Fiscal 2022 Earnings Call. With me in Bozeman, Montana, are Frank Slootman, our Chairman and Chief Executive Officer, Mike Scarpelli, our Chief Financial Officer, and Christian Klinerman, our Senior Vice President of Product, will join us for the Q&A session. During today's call, we will review our financial results for fourth quarter fiscal 2022 and discuss our guidance for the first quarter and full year of fiscal 2023. During today's call, we will make forward-looking statements, including statements related to the expected performance of our business, future financial results, strategy, products and features, long-term growth, and overall future prospects. These statements are subject to risks and uncertainties, which could cause them to differ materially from actual results. Information concerning those risks is available in our earnings press release, distributed after market closed today, and in our SEC filings, including our most recently filed Form 10-Q and the Form 10-K for the fiscal year ended January 31st, 2022, that we will file with the SEC. We caution you to not place undue reliance on forward-looking statements and undertake no duty or obligation to update any forward-looking statements as a result of new information, future events, or changes in our expectations. We'd also like to point out that on today's call, we will report both GAAP, and non-GAAP results. We use these non-GAAP financial measures internally for financial and operational decision-making purposes and as a means to evaluate period-to-period comparisons. Non-GAAP financial measures are presented in addition to and not as a substitute for financial measures calculated in accordance with GAAP. To see reconciliations of GAAP to non-GAAP financial measures, please refer to our earnings press release distributed earlier today and our investor presentation, which are posted in investors.snowflake.com. A replay of today's call will also be posted on the website. With that, I would now like to turn the call over to Frank.

Thanks, Jimmy. Good afternoon, everybody. We finished fiscal 2022 with record-breaking consumption and bookings results. Product revenues surpassed $1.1 billion for the full year, growing 106% year-over-year. Remaining performance obligations were $2.6 billion, representing year-on-year growth of 99%. Q4 was our strongest bookings quarter to date and included a number of large multi-year commitments, Our net revenue retention rate reached 178% driven by continued growth from our largest customers. In the quarter, we added 14 Fortune 500 and 21 Global 2000 customers. Key enterprise wins included the California Department of Public Health and KPMG, who is also a new alliance partner. We closed the year with $150 million non-GAAP adjusted free cash flow, pairing high growth with improving unit economics and operational efficiency. Snowflake's growth is driven by digital transformation and long-term secular trends in data science and analytics, enabled by cloud-scale computing and Snowflake's cloud-native architecture. Snowflake is a single data operations platform that addresses a broad spectrum of workload types and incredible performance, economy, and governance. As a platform, Snowflake enables the data cloud, a world without silos, and the promise of unfettered data science. In the most recent Dressner advisory survey, 100% of Snowflake customers surveyed said they would recommend Snowflake to other organizations for the fifth year in a row. Our focus is to continually enable more workload types, use cases, and data types. This fully aligns with our consumption model, which drives work to the data instead of data to the work. During the fourth quarter, we announced several product development milestones, including Snowpark, our developer framework that helps data scientists and developers transform and program data. Snowpark for Python is now in private preview, and Snowpark for Java on AWS is now generally available. ITAR, we now support compliance with the international traffic and arms regulations in our Microsoft Azure government and AWS GovCloud regions. Generally available data governance capabilities, including object tagging and conditional data masking. Object tagging in particular is important for cataloging of data and resource consumption governance and continued advancements with higher concurrency and lower latency workloads. Snowflake data sharing is seeing continued traction in the field. In fiscal 2022, the number of stable edges grew 130% year on year. 18% of our growing customer base has at least one stable edge that is up from 13% a year ago. Snowflake's data marketplace listings grew 195% this year, now with more than 1,100 data listings from over 230 providers. Our Snowflake data marketplace fuels our rich application development ecosystem and Powered by Snowflake program. Today, there are over 285 Powered by Snowflake partners, including new members Yext and Habu. We continue to elevate our go-to-market functions with an industry-specific focus. In the fourth quarter, we hosted our first Media Data Cloud Summit. The event highlighted real-world customer use cases. Companies like Experian, Roku, and Warner Music Group showed how they are leveraging the media data cloud to protect consumer data and drive advertising and subscriber growth. A priority for the year is essentially unchanged and is as follows. First, the enablement and expansion of our workload types. Nothing is more core to our mission to develop the data cloud. The existing workload types, such as data lake, data engineering, and data science, developed continuously to become more functional, efficient, and performant. New workload types will be announced later this year. Our focus on snow parks and enabling workloads driven by languages such as Java and Python fall under this header. Today, we announced our intent to acquire Streamlit to accelerate data applications development on Snowflake. Streamlit enables data scientists to build, deploy, and share data applications. Data scientists will be able to discover governed data to build applications powered by Snowflake. One and a half million applications have already been built on Streamlit, and we will continue to invest in the open source framework that developers love. We've agreed to pay $800 million with a mix of cash and stock. The transaction is subject to customary closing conditions. Secondly, we're expanding our use cases by vertical industry. as well as functions such as IT, sales, marketing, finance, and engineering. We're continuing to drive collaboration through data sharing with leading enterprise software companies to drive this trend. Third, as of February 1st, we have also verticalized part of our selling motion to address our largest customers by industry. Lastly, we'll continue to deepen and broaden our geographical scope, expecting faster-growing contributions coming from outside the United States. We're excited about starting a new snowflake fiscal year. With that, I will turn Nicole over to Mike.