Palantir Technologies Inc - Class A
Q3 2024 Earnings
Market Reaction
S&P 500 over the same 30 days: +5.39%.
Did PLTR Beat Earnings? Q3 2024 Results
Palantir Technologies turned in a standout third quarter, posting adjusted EPS of $0.10 against a consensus estimate of $0.09, an 11.11% beat, while revenue climbed 30% year-over-year to $725.52 million, topping the $701.13 million estimate by 3.48%. The single clearest engine behind those numbers was an accelerating U.S. business, where commercial revenue surged 54% year-over-year to $179 million as enterprises rushed to deploy the company's AI platform, a wave CEO Alexander Karp described as "unrelenting AI demand that won't slow down." Profitability moved sharply alongside growth, with GAAP operating income nearly tripling year-over-year to $113.14 million and adjusted free cash flow hitting $434.54 million, a 60% margin. The company's planned transfer to the Nasdaq, anticipated to bring Nasdaq 100 eligibility, added a further catalyst for investor enthusiasm around the print. Management raised full-year 2024 revenue guidance to approximately $2.81 billion and now expects U.S. commercial revenue to exceed $687 million, reflecting at least 50% growth, while projecting Q4 revenue of $767 to $771 million.
- Unrelenting AI demand driving U.S. revenue acceleration
- U.S. commercial revenue grew 54% year-over-year
- U.S. government revenue grew 40% year-over-year
- 104 deals closed over $1 million in the quarter
- Customer count grew 39% year-over-year
- Rule of 40 score of 68%
“We absolutely eviscerated this quarter, driven by unrelenting AI demand that won't slow down. This is a U.S.-driven AI revolution that has taken full hold. The world will be divided between AI haves and have-nots. At Palantir, we plan to power the winners.”
Palantir CEO, on the earnings call
Forward Guidance & Outlook
For Q4 2024, Palantir expects revenue of $767–$771 million and adjusted income from operations of $298–$302 million. For full year 2024, the company raised revenue guidance to $2.805–$2.809 billion, U.S. commercial revenue guidance to in excess of $687 million (at least 50% growth), adjusted income from operations guidance to $1.054–$1.058 billion, and adjusted free cash flow guidance to in excess of $1 billion. The company continues to expect GAAP operating income and net income in each quarter of 2024.
PLTR YoY Financials
PLTR Revenue by Segment
PLTR Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.