Palantir Tops Q4 Expectations on Strong U.S. Business Growth

Palantir Technologies reported an impressive fourth quarter that exceeded analyst expectations, driven by robust sales to U.S. commercial customers and government agencies. The company’s revenue for the period surged about 70% year-over-year to roughly $1.4 billion, significantly ahead of what Wall Street analysts had forecast. Adjusted earnings also beat estimates, with earnings per share increasing from the prior year and surpassing consensus forecasts.

A major contributor to this upside was Palantir’s U.S. operations. Its commercial revenue climbed over 130% year-over-year, reflecting accelerating adoption of its data analytics and AI-driven tools among enterprise customers. At the same time, U.S. government sales also grew strongly, showing resilient demand for its software across public sector contracts. These combined gains were notably higher than expectations and helped cushion the company against recent pressure seen in broader software stocks.

Beyond the headline results, Palantir also delivered guidance that topped forecasts for the near term. Its revenue outlook for the upcoming quarter came in above what analysts anticipated, and full-year projections suggested continued double-digit growth — an encouraging signal for investors after a period of volatility in tech valuations. The bullish outlook contributed to positive stock market reactions, with shares jumping in pre-market trading following the earnings release.

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CEO commentary highlighted the strategic importance of both commercial and government segments, discussing the company’s long-term positioning in AI and analytics. While broader market concerns about the software sector have weighed on some tech valuations, Palantir’s results suggest that strong execution in key verticals can offset those headwinds.

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Looking ahead, the market will likely watch how Palantir continues to translate AI demand into sustainable revenue growth, particularly outside of its U.S. base. For now, beating both top- and bottom-line expectations — along with confident guidance — has reinforced the narrative of Palantir as a resilient player in the technology space.