Palantir shares climb after posting record quarterly revenue
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The news: Data analytics company Palantir Technologies saw its share briefly rocket on the Nasdaq before paring some of those gains, after posting a record quarterly revenue.
The numbers: Palantir shares added 3.4% in extended trading, having initially jumped more than 8% after its earnings announcement.
The company reported third-quarter sales of USD1.18 billion ($1.81 billion), up 63% year on year. Net profit was up 231% to USD475.6 million.
Palantir also raised its revenue guidance to between USD4.396 and USD4.400 billion for the full year, up from between USD4.14 billion and USD4.15 billion.
The context: The Denver-based company last week announced a partnership with Nvidia, which would see it buy state-of-the-art AI chips to enable its software to run faster.
What they said: “It is worth remembering that the business is now producing more profit in a single quarter than it did in revenue not long ago,” said Palantir CEO Alex Karp in a letter to shareholders.
“This ascent has confounded most financial analysts and the chattering class, whose frames of reference did not quite anticipate a company of this size and scale growing at such a ferocious and unrelenting rate.”
The sources: Palantir earnings release, Alex Karp letter
