(Bloomberg) – Palantir Technologies Inc. reported second-quarter revenues to over $1 billion, up 48%, exerting the “surprising impact” of artificial technology on its business.
The data software company also increased its annual revenue outlook from $4.14 billion to $4.15 billion, exceeding analysts' previous $3.91 billion forecast.
Denver-based Palantir has seen more than 500% of stock prices over the past year. It is supported by high expectations from investors, growing demand for AI tools, and deep coverage to both the private and public sectors.
The company's $1 billion revenues for the period ended June 30th exceeded the average analyst estimate of $939 million. The US has seen particularly strong growth, with sales increasing 68% to $733 million.
Palantir said earnings per share for the quarter were 16 cents, exceeding the 14 cent analyst's expectations.
In a letter to shareholders, CEO Alex Carp remained in the company's tenuous relationship with Wall Street. “There were clearly few skeptics, deded, bent towards a kind of submission,” he wrote.
He also said that AI breakthroughs have fueled the growth of Palantir, pointing to the chips needed to develop large-scale language models and power them. Going forward, Karp plans to make Palantir “the dominant software company of the future,” adding that “the market is awakened to this reality.”
Palantir has long served as a major US government contractor, working with both the US military and allies like Ukraine, partnering with new defense technology startups.
The company's US government revenue rose 53% in the quarter to $426 million. Meanwhile, revenues from US commercial contracts rose even faster, rising 93% per year to $306 million.
In his letter to shareholders, Carp highlighted Palantier's commitment to defence technology, writing that the US is “the most consequential country in the West,” adding that it “must be protected.”
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