AI Tech / news
Palantir's $2.31B quarter: US commercial sales overtake government for first time
Palantir reported third-quarter revenue of $2.31 billion, beating expectations as U.S. commercial contracts surpassed U.S. government revenue for the first time. The stock still slipped as its enterprise sales growth showed signs of slowing.
Revenue rose 96% from a year earlier and 20% from the prior quarter, according to the company's Monday report. The result exceeded analyst expectations of $2.18 billion and marked Palantir's first quarter above $2 billion.
Adjusted earnings per share came in at 44 cents, compared with analysts' forecast of 41 cents.
U.S. commercial revenue reached $984 million, up 148% year over year, edging past U.S. government revenue of $953 million. It was the first time commercial U.S. sales have exceeded the government figure.
The company pointed to enterprise demand for AI software that lets customers run frontier models and custom-train open-weight models securely without sharing data or business processes with outside AI labs. Palantir also provides forward-deployed engineers who work directly with customers to tailor its software.
On Tuesday, the stock traded slightly lower. Investors focused on the enterprise sales segment, a major growth area, which showed signs of slowing.