Palantir, the data analytics and AI company, published third-quarter results showing exceptional growth for a company its size. According to the report filed with the SEC, revenue grew 96% from a year earlier to $2.313 billion, the first time it has topped $2 billion in a single quarter, and above the company's own guidance of $2.16 billion.
Business overtook government
The most symbolic figure: for the first time, Palantir's revenue from US commercial customers exceeded its revenue from the US government. The company, originally built on military and intelligence contracts, has become a major provider of AI platforms to companies. GAAP net income reached $1.128 billion, and adjusted operating income $1.427 billion, a 62% margin.
And the stock?
According to reports, despite the results, the stock fell amid concerns about its high valuation, one of the highest in the market relative to revenue. That adds to a week in which the market was highly selective toward AI companies, even when they post strong results.
What it means
Palantir is one of the clearest examples of a company actually making money from AI, not just spending on it. While cloud giants spend hundreds of billions on infrastructure, Palantir sells the software layer that lets organizations use it.
