With shares cut in half over the last year Snowflake (SNOW), a SaaS data platform, is trying to retain employees by topping off their underwater equity awards. Much of the 27.5% increase in Snowflake’s SBC in the latest quarter was given to current employees. The 640 basis point quarterly increase is an acceleration versus the six months ended July 31, 2022.

Ninety days ago, Snowflake warned it was considering increasing the cash component of employee compensation in a bid to retain workers who saw their equity awards sink during the technology sector selloff.

Dilution concerns aside, Snowflake’s SBC as a percentage of revenue is actually tracking lower than the previous year. In 2021, Snowflake’s SBC was 49.6% of revenue. In the first six months of 2022, SBC was 41.5% of sales.