U.S. Revenue Surges 52% YoY as Commercial and Government Sectors Drive Growth
Palantir Technologies (PLTR) has announced its financial results for the fourth quarter and fiscal year ending December 31, 2024, marking a standout performance that underscores its growing dominance in the AI sector.
“Our business results continue to astound, demonstrating our deepening position at the center of the AI revolution,” said Alexander C. Karp, Co-Founder and CEO of Palantir. “Our early insights surrounding the commoditization of large language models have evolved from theory to fact.”
Q4 2024 Highlights
Palantir’s U.S. revenue grew 52% year-over-year (YoY) and 12% quarter-over-quarter (QoQ), reaching $558 million. U.S. commercial revenue surged 64% YoY and 20% QoQ to $214 million, while U.S. government revenue climbed 45% YoY and 7% QoQ to $343 million. Overall revenue increased 36% YoY and 14% QoQ to $828 million.
The company closed 129 deals valued at least $1 million, including 58 deals over $5 million and 32 deals exceeding $10 million. U.S. commercial total contract value (TCV) hit a record $803 million, up 134% YoY and 170% QoQ, with remaining deal value (RDV) soaring 99% YoY to $1.79 billion.
Customer count grew 43% YoY and 13% QoQ, reflecting Palantir’s expanding footprint. Cash from operations reached $460 million (56% margin), while adjusted free cash flow was $517 million (63% margin). The company reported GAAP net income of $79 million (10% margin), rising to $165 million (20% margin) when excluding one-time stock appreciation rights (SARs) expenses.
Full-Year 2024 Highlights
For the fiscal year 2024, U.S. revenue grew 38% YoY to $1.90 billion, driven by a 54% increase in U.S. commercial revenue to $702 million and a 30% rise in U.S. government revenue to $1.20 billion. Total revenue reached $2.87 billion, up 29% YoY.
Palantir’s cash from operations totaled $1.15 billion (40% margin), with adjusted free cash flow of $1.25 billion (44% margin). GAAP net income was $462 million (16% margin), and income from operations hit $310 million (11% margin). Excluding SAR-related expenses, income from operations rose to $442 million (15% margin). Adjusted income from operations was $1.13 billion (39% margin).
Outlook for 2025
Looking ahead, Palantir expects Q1 2025 revenue between $858 million and $862 million, with adjusted income from operations ranging from $354 million to $358 million. For the full year 2025, revenue is projected between $3.741 billion and $3.757 billion, with U.S. commercial revenue exceeding $1.079 billion—a growth rate of at least 54%.
Adjusted income from operations is forecasted between $1.551 billion and $1.567 billion, while adjusted free cash flow is expected to range from $1.5 billion to $1.7 billion. The company anticipates GAAP operating income and net income in each quarter of 2025, reflecting continued profitability.
Palantir’s robust financial results highlight its strategic positioning in the AI landscape, driven by both commercial and government demand. With strong revenue growth, expanding customer base, and solid cash flow, Palantir is poised for continued success in 2025 and beyond.
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