Palo Alto Networks and Snowflake report strong AI-driven growth

Palo Alto Networks and Snowflake have reported quarterly financial results highlighting the impact of artificial intelligence on their respective sectors.

Palo Alto Networks saw its share price decline by 10.3% despite reporting fourth-quarter fiscal 2026 revenue of $3.41 billion, a 34% year-over-year increase that exceeded analyst estimates. The company also reported non-GAAP earnings per share of $1.02. Looking ahead, the company provided strong guidance for the current fiscal year, projecting sales between $14.1 billion and $14.2 billion. Additionally, the firm announced the acquisition of Console, an agentic AI platform.

Snowflake reported total revenue of $1.55 billion, a 35% year-over-year increase that beat expectations. Product revenue grew 37% to $1.49 billion, with management raising its FY27 product revenue guidance to $6.07 billion. CEO Sridhar Ramaswamy noted that AI products are responsible for approximately half of the company's recent growth acceleration. While remaining performance obligations saw a slight sequential decrease to $9.0 billion, the company reported a net revenue retention rate of 126%.