Palantir Technologies Inc. Earnings Report Summary

Overview

Palantir Technologies Inc. has reported another successful quarter, continuing its strong performance in the AI sector. Following the earnings call, the company's shares surged over 10% in pre-market trading, reflecting positive investor sentiment.

Quarterly Performance (Q4 2025)

• Earnings Per Share (EPS): Increased to $0.25, surpassing the expected $0.23, marking a growth of over 40% quarter-on-quarter and 78% year-on-year.
• Revenue: Rose to $1.41 billion, exceeding expectations of $1.32 billion, with a quarter-on-quarter growth of nearly 30% and a year-on-year growth of 72%.
• Net Profit: Increased to $609 million.

Customer Portfolio

Palantir has maintained a diverse customer base, balancing between commercial and government clients. Both segments reported growth exceeding $500 billion, with the commercial segment showing particularly strong performance in the latest quarter.

Annual Performance

For the full year, Palantir's revenue reached $4.47 billion, surpassing its own guidance of $4.4 billion. The company has set guidance for the next year at $7.18–$7.19 billion.

International Sales

Despite challenges regarding the U.S. image internationally, Palantir exceeded analysts' expectations for international sales, securing $730 million in contracts outside the U.S. Notably, a significant contract worth $328 million was awarded to support the UK Ministry of Defence.

Market Valuation Insights

According to Bloomberg Finance data, a comparative analysis of share price against actual and expected EPS indicates that Palantir's share price is lagging behind its growth for the first time since Q1 2025. The company continues to deliver consistent positive earnings surprises.

A recent article from the Wall Street Journal highlighted that no company in U.S. market history has achieved such high valuations with this level of sales, yet Palantir stands out for its ability to deliver 15–25% growth every quarter over the past two years.