Palantir CEO Alex Karp speaks at the World Economic Forum meeting in Davos, Switzerland, on Jan. 20, 2026.
Palantir reported first-quarter results on Monday that sailed past analysts' expectations, and also issued guidance that topped estimates.
Here's how the company did compared to analyst estimates as compiled by LSEG:
Earnings per share: 33 cents adjusted vs. 28 cents expected
33 cents adjusted vs. 28 cents expected Revenue: $1.63 billion vs. $1.54 billion expected
Palantir's revenue grew about 85% in the quarter, according to a statement, marking the fastest increase in sales since at least 2020, the year the company went public through a direct listing.
Net income roughly quadrupled to $870.5 million, or 34 cents per share, from $214 million, or 8 cents per share, a year earlier. Adjusted net income excludes impact from stock-based compensation and income taxes.
Palantir, which has seen its market value soar in the past few years, also lifted its full-year guidance. The company now anticipates $4.2 billion to $4.4 billion in adjusted free cash flow, above StreetAccount's $4.05 billion consensus. In February, the company said it was looking for adjusted free cash flow between $3.925 billion and $4.125 billion.
"Our financial results now demonstrate a level of strength that dwarfs the performance of essentially every software company in history at this scale," Palantir CEO Alex Karp wrote in a letter to shareholders. Revenue per employee reached $1.5 million on an annual basis, Karp wrote.
Management called for $1.8 billion in second-quarter revenue, above the $1.68 billion consensus among analysts surveyed by LSEG.
The company sees $7.65 billion to $7.66 billion in 2026 revenue, an annual jump of 71% and higher than the $7.27 billion LSEG consensus. In February, the company guided to between $7.182 billion and $7.198 billion in full-year revenue.
Karp told CNBC's Seema Mody he expects the U.S. business, across government and commercial, to double again in 2027.
Palantir is best known for providing software, services and artificial intelligence tools to the U.S. government for military operations and defense.
Revenue to domestic government agencies climbed 84% in the first quarter to $687 million, accelerating from 66% growth in the fourth quarter. Last year Palantir announced a U.S. Army contract worth up to $10 billion over 10 years.
In an interview with CNBC in March, Karp said his company's AI is giving the U.S. and its allies an edge in the escalating conflict in Iran and across the Middle East.