New York — Palantir Technologies has raised its revenue guidance for 2025 after reporting second-quarter results that comfortably beat Wall Street expectations, driven by accelerating growth in its US commercial business.
The Denver-based data analytics company posted revenue growth of 48 per cent year-on-year in the quarter, surpassing US$1bn. The sharpest expansion came from US commercial sales, which nearly doubled, climbing 93 per cent from a year earlier. Government contracts, traditionally Palantir’s core market, also recorded gains of more than 50 per cent.
Palantir signed over 150 new commercial and government deals during the quarter, including dozens valued above US$10mn. Its remaining deal value for US commercial contracts surged 145 per cent to nearly US$3bn, highlighting the company’s strengthening foothold among corporate clients.
Adjusted operating income reached US$464mn, yielding a 46 per cent margin, underscoring Palantir’s ability to scale profitably as demand grows. Management upgraded full-year guidance, now expecting revenue growth of about 45 per cent, while forecasting a 50 per cent year-on-year increase for the third quarter.
The upbeat results reflect chief executive Alex Karp’s strategy to reduce reliance on government clients by aggressively expanding into healthcare, finance and manufacturing. Analysts noted that Palantir’s success in winning large enterprise contracts puts it in a stronger competitive position against both established rivals and emerging AI players.
Shares in Palantir have risen strongly this year as investors bet on the company’s role in the growing adoption of artificial intelligence across industries. The latest earnings suggest momentum in the commercial segment could continue to drive re-rating in the months ahead.
