Palantir Technologies Reports Fourth Consecutive Quarterly Profit

2 Mins read

Palantir Technologies Inc. celebrates its impressive performance in artificial intelligence as it achieves its fourth consecutive quarterly GAAP profit. The software company posted a net income of $72 million or 3 cents per share for the current quarter, compared to a net loss of $124 million or 6 cents per share in the same period last year.

Eligibility for S&P 500 Inclusion

Thanks to its consistent GAAP profits, Palantir is now eligible for consideration to be included in the prestigious S&P 500 index. The final decision on which companies will join the index is up to the index committee.

Exceeding Expectations

On an adjusted basis, Palantir reported earnings per share of 7 cents, surpassing the FactSet consensus of 6 cents. The company’s revenue also saw a significant increase of 17% to $558 million in the third quarter, slightly exceeding the consensus estimate of $556 million.

Strong Growth in U.S. Commercial Business

Palantir experienced notable growth in its U.S. commercial business, which recorded a 33% increase in revenue. The demand for the company’s Artificial Intelligence Platform (AIP) played a significant role in driving this growth.

Successful Go-To-Market Strategy

Chief Financial Officer David Glazer attributed the strong performance to the strength of the U.S. commercial business. He also highlighted the success of AIP, stating that it is “really on fire.”

Palantir’s Chief Revenue Officer, Ryan Taylor, discussed the company’s revamped go-to-market strategy that focuses on boot camps to help customers familiarize themselves with the product more efficiently. By delivering the product and real workflow at the end of each boot camp, Palantir has significantly impacted unit economics.

In conclusion, Palantir Technologies Inc. continues to thrive in artificial intelligence as it achieves another profitable quarter and eyes potential inclusion in the S&P 500 index. With its strong growth in the U.S. commercial business and successful go-to-market strategy, the company is poised for continued success.

Palantir Continues to Expand AI Customer Base

Palantir, a leading AI technology company, experienced significant growth in the number of customers using their AI platform, AIP, during the last quarter. This surge in customers is just the beginning of what Palantir plans to achieve with AI, according to Taylor.

Chief Executive Alex Karp expressed his satisfaction with Palantir’s latest results, describing them as “baller.” However, Karp emphasized that his pride extends beyond financial achievements. He is especially proud of Palantir’s contribution in the fight against terrorism and their position at the forefront of this battle.

The increasing importance of software-driven solutions in future battlefields is widely recognized. Karp finds this trend to be extremely gratifying, highlighting the direction in which the company is heading.

During the third quarter, Palantir’s government business recorded a 12% increase in revenue, reaching an impressive $308 million.

The positive performance of Palantir shares this year, with a 132% increase, has led some experts on Wall Street to question whether the company’s AI revenue growth aligns with the significant stock movement.

Karp expressed confidence in the success of their AI platform, AIP, stating that they anticipated its popularity due to the market-macro fit. Palantir is now witnessing a substantial increase in demand for their AI solutions.

Although it is challenging to forecast when this demand will translate into revenue, Karp remains optimistic about the company’s future. Looking ahead to the fourth quarter, Palantir predicts revenue in the range of $599 million to $603 million, along with GAAP profitability. Analysts from FactSet had initially estimated $600 million in revenue for the same period.

Related posts

Government Matching Contribution for Retirement Savings

2 Mins read
According to researchers, nearly 22 million Americans are set to benefit from a new government matching contribution initiative aimed at enhancing retirement…

Oil Market Update

1 Mins read
Oil Market Update On Tuesday, crude oil futures prices were lower, while refined product contracts were experiencing a second consecutive day of…

Carrier Global Sells Industrial Fire Business

1 Mins read
Carrier Global Sells Industrial Fire Business for $1.425 Billion Carrier Global has announced the sale of its industrial fire business to private-equity…

Leave a Reply

Your email address will not be published. Required fields are marked *