Palantir Revenue Growth Hits 93%, Fourth Straight Acceleration
Palantir Technologies posted 93% year-over-year revenue growth to $1.935 billion, the fastest pace in five quarters, and raised its full-year outlook for the third time running.
Palantir Technologies (PLTR) reported revenue growth of 93% year over year in the quarter, the data-analytics and software firm's fourth consecutive quarter of accelerating growth and the highest rate in the five-quarter stretch it has now logged. Revenue reached $1.935 billion, up from 48% growth in the second quarter of 2025, 63% in the third quarter, 70% in the fourth quarter and 85% in the first quarter of 2026.
The acceleration was not confined to a single line of business. U.S. commercial revenue grew 149% year over year to $764 million, extending a climb from 93% growth a year earlier through 121%, 137% and 133% in the intervening quarters, with the reacceleration coming after a dip in the prior quarter. U.S. government revenue grew 90% year over year, up from 84% in the first quarter, even as its sequential growth rate slowed to 18% quarter over quarter from 21%.
Revenue also accelerated sequentially, rising 19% quarter over quarter on a base of $1.633 billion, compared with 16% sequential growth in the prior quarter. Profitability expanded alongside the top line: GAAP operating margin rose to 47% from 46% in the first quarter and from 27% a year earlier, while adjusted operating margin reached 62%, up from 60% in the prior quarter and 46% a year earlier. Net income climbed to $1.062 billion, a 55% margin, from $871 million in the first quarter and $327 million a year earlier. Adjusted free cash flow rose to $1.220 billion from $925 million, a 63% margin. Combining growth and margin, Palantir's Rule of 40 score reached 155%, up from 94% a year earlier.
Deal activity showed a similar broadening at the high end. The number of $1 million-plus deals rose to 220 from 206 in the prior quarter, $5 million-plus deals rose to 98 from 72, and $10 million-plus deals rose to 73 from 47. U.S. commercial total contract value reversed a prior slide, rising 153% year over year to a record $2.132 billion after growth had decelerated from 342% in the third quarter of 2025 to 67% in the fourth quarter to 45% in the first quarter of 2026. U.S. commercial remaining deal value rose 124% year over year to $6.238 billion, a 27% sequential gain, after growing 112% year over year in the prior quarter. Company-wide total contract value growth slowed to 49% year over year at $3.373 billion from 61% in the prior quarter and from 151% and 138% in the two quarters before that, even as the absolute dollar figure remained at record levels.
Palantir raised its full-year 2026 revenue growth guidance to 82% year over year, up from 71% when it reported first-quarter results and from 61% when it reported fourth-quarter results — the third straight quarterly upward revision. Full-year U.S. commercial revenue guidance was raised to 134% year-over-year growth, up from 120% and an original 115%.
The company's cash position continued to build, with cash, cash equivalents and short-term U.S. Treasury securities reaching $9.2 billion, up from $8.0 billion in the prior quarter, $7.2 billion at the end of 2025 and $6.0 billion a year earlier.
One metric absent from the results was customer count, a figure Palantir had featured in its highlights for the prior three quarters — up 43% year over year in the second quarter of 2025, 45% in the third quarter and 34% in the fourth quarter — before it was dropped from the release entirely in the first and second quarters of 2026.