Key Highlights

  • PLTR reported third quarter 2026 Revenue of $2.313 billion, up 96% year over year and 20% from the prior quarter.
  • U.S. commercial revenue rose 148% to $984 million, surpassing U.S. government revenue of $953 million for the first time.
  • GAAP Net Income attributable to common stockholders was $1.128 billion, a 49% margin, or $0.44 per diluted share.
  • Adjusted free Cash Flow reached $1.216 billion, a 53% margin, and cash and Treasuries totaled $10.4 billion.
  • Full-year 2026 revenue guidance was raised to between $8.530 billion and $8.534 billion, implying 91% growth.

U.S. Commercial Business Overtakes Government for the First Time

Palantir Technologies (NASDAQ:PLTR) reported results for the third quarter ended Sep 30, 2026 on Nov 2, 2026. Revenue was $2.313 billion, up 96% from a year earlier and 20% from the second quarter, and quarterly revenue topped $2 billion for the first time.

U.S. revenue climbed 119% to $1.937 billion, about 84% of the total. Within that, U.S. commercial revenue grew 148% to $984 million, up 29% sequentially, while U.S. government revenue grew 96% to $953 million, so commercial moved ahead of government for the first time.

Total commercial revenue grew 113% to $1.168 billion, and total government revenue grew 81% to $1.146 billion. International commercial revenue rose 21% to $184 million.

Sovereign AI Demand, Deal Counts and Customer Expansion

Management tied the acceleration to Demand for what it calls Sovereign AI, in which customers post-train open-weight models on their own data. The company closed 212 deals worth at least $1 million, 107 worth at least $5 million and 64 worth at least $10 million.

Total contract value closed in the quarter was $2.918 billion, up 6%, including $1.463 billion in U.S. commercial, up 11%. Management said several eight-figure deals were signed with shorter durations than usual as customers adopted early Sovereign AI capabilities, and it expects duration and size to grow over time.

U.S. commercial remaining deal value rose 79% to $6.517 billion, and total remaining deal value reached $13.4 billion, up 55%. The U.S. commercial customer count grew 29% to 686, and net dollar retention was 165%.

Operating Margin of 62% and $1.216 Billion in Free Cash Flow

GAAP income from operations was $1.085 billion, a 47% margin, compared with $393 million in the third quarter of 2025. Adjusted income from operations was $1.427 billion, a 62% margin, and the company reported a Rule of 40 score of 158%.

GAAP net income attributable to common stockholders was $1.128 billion, or $0.44 per diluted share, versus $475.6 million and $0.18 a year earlier. Adjusted Earnings Per Share were also $0.44.

Cash from operations was $1.205 billion and adjusted free cash flow was $1.216 billion. The company held $10.4 billion in cash, cash equivalents and U.S. Treasury securities at quarter end.

Adjusted expenses rose 53% year over year to $887 million.

Fourth Quarter Revenue Guide of About $2.65 Billion Caps a Raised 2026 Forecast

For the fourth quarter, Palantir expects revenue of $2.649 billion to $2.653 billion and adjusted income from operations of $1.640 billion to $1.644 billion. For 2026, it raised revenue guidance to $8.530 billion to $8.534 billion, a 9-point increase in implied growth from the prior forecast.

It also lifted U.S. commercial revenue guidance to more than $3.559 billion, growth of at least 143%, adjusted Operating Income guidance to $5.245 billion to $5.249 billion, and adjusted free cash flow guidance to $4.8 billion to $5.0 billion. The company continues to expect GAAP operating income and net income in every quarter this year, with the fourth quarter results the next scheduled milestone.