Snowflake (NYSE:SNOW) investors are being rewarded today after the data warehousing company reported excellent earnings for Q3. Indeed, Snowflake beat expectations for several key metrics. Snowflake debuted publicly last year to much fanfare and became the largest company by market capitalization to double on its first day of trading, according to Dealogic data that goes back to 1995. Shares of SNOW stock are up 6% at the time of writing.

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So, why else are investors cheering on SNOW today?

Zooming out a bit further, shares of SNOW stock are up 19% year-t0-date (YTD), falling just a little short of the S&P 500’s return of 23% during the same period. Still, that’s an impressive number.

Let’s take a deeper look into the earnings release that has investors smiling today.

11 Reasons Why SNOW Stock Is Gaining Today

1. Snowflake reported total revenue of $334.4 million, beating estimates of $305.6 million by a healthy 9%. Total revenue increased 110% year-over-year (YoY).
2. Product revenue for the quarter was $312.5 million, up 110% YoY as well.
3. The company issued fourth-quarter revenue guidance between $345 million and $350 million. The estimate represents YoY growth between 94% and 96%. The guidance came above Q4 revenue guidance estimates of $315.9 million.
4. Furthermore, Snowflake raised its fiscal year 2022 revenue estimate to $1.13 billion, which would represent an increase of 104% YoY.
5. The data warehousing company is not yet profitable and reported earnings per share (EPS) of -51 cents. Snowflake’s total net loss for the quarter was $154.9 million.
6. Snowflake reported a total of 5,416 customers, up 8.5% quarter-over-quarter (QoQ), with a net revenue retention rate of 172%, a record high.
7. Out of those 5,416 customers, 148 customers are deemed as “large,” which means that their trailing-12-months product revenue is greater than $1 million. During Q3, Snowflake added 32 large customers.
8. To put this into perspective, Snowflake added a total of 36 large customers during Q1 and Q2 of 2021.
9. The free cash flow (FCF) margin was positive for the first time, clocking in at 3%. Trailing-12-months FCF was $17 million.
10. Remaining performance obligations (RPO) represents total future obligations arising from current contracts. Snowflake reported RPO of $1.8 billion, up 94% YoY.
11. CEO Frank Slootman commented that, “Continued international expansion during the quarter resulted in product revenue from the EMEA and APJ regions up 174% and 219% year-on-year, respectively. Our vertical industry focus is an important evolution of our selling motion and Snowflake continues to see broad industry adoption.”

On the date of publication, Eddie Pan did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.