Palantir Posts Record $1B Quarterly Revenue Driven by AI Growth

Palantir Technologies reported its first-ever quarter with over $1 billion in revenue, marking a 48% year-over-year increase driven by surging demand for its AI platforms and large commercial contracts. U.S. revenue surged 68%, fueled by a 93% jump in commercial sales and a 53% increase in government sales despite spending cuts under President Donald Trump's administration. CEO Alex Karp described the quarter as phenomenal, emphasizing the company's strategic pivot to AI-driven productivity aimed at growing revenue while reducing its workforce. Palantir raised its full-year revenue guidance to approximately $4.14–$4.15 billion, with U.S. commercial revenue expected to grow by at least 85%. The company's stock price responded positively, breaking previous records and reaching above $170, reflecting strong investor confidence in Palantir's role in AI innovation and national security technology. Analysts highlighted Palantir's unique ability to integrate large language models with domain-specific systems, positioning it well ahead in operationalizing AI compared to competitors.