Palantir Q2 revenue surges 48% to strike $1B

Palantir (NASDAQ:PLTR) released second quarter 2025 financial results that blasted market expectations as artificial intelligence offerings propel revenue growth.

Shares climbed 5% during early post-market trading. Shares have already more than doubled year to date.

For the quarter ended June 30, the Denver-based data analytics and AI software company reported adjusted earnings per share of $0.16, which was more than the consensus estimate of $0.14. GAAP EPS came in at $0.13 compared to the consensus of $0.08.

Revenue for the quarter totaled $1B, which represented a 48% year-over-year increase and was more than the estimate of $939.47M. Revenue was boosted by a 93% year-over-year gain in U.S. commercial sales and a 53% rise in government contracts to $36M and $426M, respectively.

Looking ahead to the quarter in progress, Palantir expects revenue to range from $1.08B to $1.09B, which is well above the estimate of $985M. It projects adjusted operating profit ranging from $493M to $497M, with a midpoint of $495 more than the estimate of $417M.

For the full year, Palantir increased its revenue forecast to range from $4.14B to $4.15B compared to its prior forecast of $3.89B to $3.9B. The estimate calls for $3.91B. Palantir expects adjusted free cash flow of $1.8B to $2B and U.S. commercial revenue to crest $1.3B.

“We continue to see the astonishing impact of AI leverage,” said Palantir CEO and co-founder Alex Karp. “Our Rule of 40 score was 94%, once again obliterating the metric. Year-over-year growth in our U.S. business surged to 68%, and year-over-year growth in U.S. commercial climbed to 93%. We are guiding to the highest sequential quarterly revenue growth in our company’s history, representing 50% year-over-year growth.”