Snowflake Inc. SNOW Managing Director Sridhar Ramaswamy has assured that the recent cyberattack on the company has not affected its core business, despite a decline in share prices following the release of its latest results.

What happened: Ramaswamy assured that the cyberattack earlier this year had minimal impact on Snowflake’s operations. In his interview with CNBC’s Jim Cramer On Wednesday, he highlighted the strength and security of the Snowflake platform.

“These headlines, and they are, have not really impacted our core business with existing or new customers,” Ramaswamy said.

He also clarified that the breach was not Snowflake’s fault, but attributed it to customers having “user IDs and passwords without things like multifactor authentication.” The attack, which took place in May, affected several Snowflake customers, including AT&T And Live Nation.

Ramaswamy also addressed concerns about lower operating margin, saying that the company is investing in areas such as development and sales to increase future revenue. He dismissed concerns about the decline, saying it is not a long-term problem.

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Why it is important: Despite the breach, Snowflake’s earnings released after the market close on Wednesday beat Wall Street expectations, prompting an increase in full-year product sales guidance. However, the stock fell 8% in after-hours trading, partly due to the company’s lower operating margin forecast for the coming quarter.

Snowflake reported second-quarter revenue of $868.823 million, beating the consensus estimate of $849.704 million. The company also reported adjusted earnings of 18 cents per share, beating analyst forecasts of 16 cents per share.

Snowflake’s strong earnings report and raised guidance, coupled with a $2.5 billion buyback program, underscore the company’s resilience and growth potential.

Price promotion: Snowflake stock closed at $135.06 on Wednesday, up 2.38%. However, in after-hours trading, the stock fell sharply by 8.02%. Year-to-date, Snowflake has seen a sharp decline of 28.59%, according to data from Benzinga Pro.

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This story was created with Benzinga Neuro and edited by Kaustubh Bagalkote