Palantir Ups Profit Outlook, Says AI ‘Transformed’ Business

[Pelican Press 0]

This is the hidden content, please

• Sign In
• or
• Sign Up

Palantir Ups Profit

This is the hidden content, please

• Sign In
• or
• Sign Up

, Says AI ‘Transformed’ Business

(Bloomberg) — Palantir Technologies Inc.’s stock jumped in extended trading after the company raised its annual

This is the hidden content, please

• Sign In
• or
• Sign Up

, citing continuing demand for its artificial intelligence software.

Most Read from Bloomberg

Palantir also topped analyst estimates for sales and profit for the quarter, helping send its stock up more than 15% after the results were released.

Palantir increased its 2024 revenue guidance to a range of $2.74 to $2.75 billion. Analysts had expected $2.7 billion, according to data compiled by Bloomberg. The company also raised its

This is the hidden content, please

• Sign In
• or
• Sign Up

for adjusted operating income to a range of $966 million to $974 million for the year. Analysts had expected $882.9 million.

Palantir Chief Executive Officer Alex Karp stressed the importance of the company’s military business, which offers data analysis and other tools, in a Monday letter to shareholders. “The strength and dominance of the US military must be preserved and defended,” he wrote, adding that this belief should be “commonplace and unremarkable” but has become “******** and risky in certain circles of elite opinion.”

Karp also said Palantir’s AI platform, released a little over a year ago, has “already transformed” its business.

Co-founded by billionaire Peter Thiel in 2003, Palantir has emphasized its work with the US government and its allies. The company’s software is now used across all branches of the US military, and is involved in developing the country’s AI capabilities. After the second quarter, the company’s trailing 12 months of revenue from the US government has exceeded $1 billion for the first time, it said.

Palantir also has recently expanded its commercial business. The company reported commercial sales of $307 million, up 33% from the previous year, in line with analysts’ estimates compiled by Bloomberg. Government sales were $371 million for the June quarter, the company said, up 23%. Analysts had expected government sales of $346.6 million during the June quarter, according to data compiled by Bloomberg.

Sales for the quarter were up 27% to $678 million, beating Wall Street estimates of $652.8 million. Net income during the June quarter increased to $134 million. Analysts had expected net income of $82.8 million.

“With these results we maintain our eligibility for the S&P,” Palantir Chief Financial Officer David Glazer said in an interview Monday, referring to the company’s possible inclusion in the S&P 500 Index, an event many investors are waiting for. “It’s the S&P’s call.”

Story continues

(Updates with share movement starting in the first paragraph)

Most Read from Bloomberg Businessweek

©2024 Bloomberg L.P.

This is the hidden content, please

• Sign In
• or
• Sign Up

#Palantir #Ups #Profit #

This is the hidden content, please

• Sign In
• or
• Sign Up

#Transformed #Business

This is the hidden content, please

• Sign In
• or
• Sign Up

This is the hidden content, please

• Sign In
• or
• Sign Up