Palantir Q2 earnings beat estimates; revenue up 93% to $1.94B, stock surges 25%+ after hours

Published Aug 5, 01:32 PM UTC

Palantir Technologies reported exceptional second-quarter 2026 earnings, beating Wall Street estimates with adjusted EPS of $0.41 on revenue of $1.94 billion (up 93% YoY). U.S. commercial revenue surged 149% to $764 million, and U.S. government revenue rose 90% to $809 million. The company closed 220 deals worth at least $1 million, with total contract value up 49% to $3.373 billion. CEO Alex Karp described demand for AI sovereignty as 'unleashed.' Palantir raised its full-year revenue guidance to $8.15-$8.16 billion, above analyst expectations of $7.73 billion, and increased adjusted free cash flow guidance to $4.5-$4.7 billion. Shares surged over 25% following the announcement, reversing a year-to-date decline of roughly 30% prior to earnings. The company's Rule of 40 score climbed to 155, and analysts noted it is approaching Microsoft in profitability.