Palantir soars as corporate AI sales surge in U.S.
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Palantir Technologies' sales of AI software to U.S. corporations surged in the second quarter, helping boost its quarterly profit and send the stock up in after-hours trading Monday.
Why it matters: Best known as a vendor of national security software to the U.S. government, Palantir has stressed that its AIP software platform — which helps corporations better embed AI into operations — would be another key driver for the business.
The latest: The plan certainly seemed to work in the second quarter.
- U.S. commercial software sales rose roughly 150%, to $764 million.
- That's not far off from the $809 million in second-quarter sales to the U.S. government that Palantir reported. (That's up 90% compared with the prior year.)
Between the lines: Palantir also lifted its full-year guidance for revenue, adjusted income and free cash flow above both its own prior guidance and Wall Street consensus expectations.
What they're saying: "Palantir is the only company that has demonstrated it can transform tokens into actual economic value," said Palantir CEO Alex Karp, in keeping with his tendency toward less-than-modest pronouncements.
- "Our customers trust us to provide them with maximal control over their operations, data, and decisions. Their competitive advantage should never become the training data for future models."
Bottom line: The market likes it. Palantir's shares jumped over 10% after hours.
