WASHINGTON — Palantir Technologies turned in one of the more striking quarters in its history as a public company, posting revenue of $1.935 billion for the three months ended June 30, a 93 percent increase from the same period a year ago that sent shares sharply higher in after-hours trading.
The results, according to the company’s Securities and Exchange Commission filing, cleared Wall Street estimates by a margin that reflected how fully demand for artificial intelligence platforms has outrun even the most optimistic projections from early 2026. Palantir’s US commercial segment grew 149 percent year-over-year to $764 million, confirming that the company’s domestic business has shifted into a different register.
Chief Executive Alex Karp called it the moment that justified a decade of missionary work. “Demand for AI sovereignty has now been unleashed,” Karp said. “Our U.S. commercial revenue grew 149 percent year-over-year.” He described the quarter as “one of the most extraordinary financial performances in the history of the stock market.”
US government revenue reached $809 million, up 90 percent year-over-year, driven by the continued deployment of Palantir’s AI Platform across defense, intelligence, and civilian agencies. Together, US commercial and government revenue totaled $1.573 billion, representing 115 percent growth. That figure confirms Palantir’s position as the leading domestic AI infrastructure supplier to the federal government at a moment when Washington’s appetite for sovereign AI has rarely been higher.
International revenue for the quarter reached $362 million, up approximately 33 percent year-over-year. Palantir has struggled to convert its geopolitical pitch into commercial contracts outside the United States at the same pace, and the international segment’s growth rate remained well below what the company has achieved domestically. The gap between US and international momentum has sharpened the market’s perception of Palantir as fundamentally a domestic AI infrastructure play.
Total contract value during the quarter was $3.373 billion, up 49 percent from a year ago. US commercial total contract value reached $2.132 billion, up 153 percent year-over-year. The figure that drew the most attention from analysts was US commercial remaining deal value, which reached $6.238 billion, a 124 percent year-over-year increase implying that the pace of revenue growth has room to persist for several more quarters before being constrained by the size of the existing backlog.
The company reported adjusted operating income of $1.194 billion, representing a 62 percent margin, and free cash flow of $1.220 billion, a 63 percent margin. GAAP earnings per share and adjusted EPS were both $0.41. Palantir posted a Rule of 40 score of 155, a combined measure of revenue growth rate and profit margin that most software companies struggle to sustain above 40.
Palantir’s commercial deal count continued to reflect the breadth of its platform’s adoption. The company logged 220 deals valued at $1 million or more, 98 at $5 million or more, and 73 at $10 million or more during the quarter. US commercial customer count grew 69 percent year-over-year. Those numbers matter because contract volume at scale has historically been among the harder metrics for platform competitors to replicate quickly.
Palantir raised its fiscal year 2026 revenue guidance to between $8.15 billion and $8.158 billion, representing approximately 82 percent growth year-over-year. US commercial revenue guidance for the full year was set above $3.424 billion, implying at least 134 percent growth. Third-quarter revenue guidance was set at $2.160 billion to $2.164 billion. All three guidance figures came in above analyst consensus.
Palantir shares trade on the Nasdaq under the ticker PLTR and have risen more than 350 percent in the past year. The company ended the period with $9.2 billion in cash and no debt, a balance sheet position that gives Karp unusual latitude to pursue acquisitions or invest in infrastructure without needing to access capital markets.
The broader context for Palantir’s numbers is a technology sector that has bifurcated sharply. Companies that built proprietary AI infrastructure early are now commanding premium valuations as enterprises commit to AI deployment at scale. AMD reported record data center revenue of $4.9 billion in its most recent quarter, while Caterpillar flagged surging demand for power infrastructure tied to AI data center construction. Each represents a different vantage point on the same capital cycle reshaping valuations across the technology sector.
The White House‘s classified AI safety framework, which restricts public visibility into the benchmarking criteria used to evaluate frontier models, frames part of the sovereign AI narrative Karp has been advancing for years. Palantir’s US government business depends in part on Washington’s preference for domestic AI platforms over reliance on international cloud infrastructure.
What the quarter does not fully answer is whether the 149 percent US commercial growth rate can survive intensifying competition from Microsoft, Snowflake, and Databricks, all of which have substantially deepened their own AI platform offerings in the past twelve months. US commercial remaining deal value of $6.238 billion provides near-term visibility, but contract renewal and expansion rates, figures Palantir has never published with much granularity, remain the variable Wall Street tracks without being able to independently verify.
