Palantir tops US$1b quarterly revenue for first time, raises full-year forecast
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The news: Palantir Technologies reported a 48% jump in revenue to more than USD1 billion ($1.6 billion) in the June quarter, topping Wall Street estimates and hitting the billion mark for the first time.
The numbers: The company raised its full-year revenue forecast to between USD4.14 billion and USD4.15 billion, up from prior guidance of USD3.89 billion to USD3.90 billion and above analyst expectations.
Revenue in the United States grew 68% to USD733 million, including a 53% rise in US government sales to USD426 million and a 93% increase in US commercial revenue to USD306 million.
Adjusted earnings per share were 16 cents, exceeding analyst estimates of 14 cents.
The company said it closed 66 deals of at least USD5 million, 42 deals of at least USD10 million, and 157 deals of at least USD1 million, with total contract value growing 140% to USD2.27 billion.
Net income rose 144% to USD326.7 million. The company also forecast third-quarter revenue between USD1.083 billion and USD1.087 billion.
The context: The company attributed the growth to strong demand for AI tools and defence software. Palantir has seen a boost from President Donald Trump’s focus on cutting government costs and continues to work with the US military, allied nations like Ukraine, and new defence tech startups.
Its shares have surged more than 500% over the past year, lifting its market value above USD379 billion and placing it among the top 10 US tech companies by market capitalisation.
What they said: CEO Alex Karp said the results so far are “only the beginning of something much larger and, we believe, even more significant.”
Writing in a letter to shareholders, Karp said: “It has been a steep and upward climb—an ascent that is a reflection of the remarkable confluence of the arrival of language models, the chips necessary to power them, and our software infrastructure, one that allows organizations to tether the power of artificial intelligence to objects and relationships in the real world.”
