Palantir Q1 2026 Earnings: Revenue Up 85%, Profit Nearly Quadruples, Guidance Raised

May 5, 2026 · Published August 7, 2026

Palantir's Q1 2026 revenue jumped 85% and profit nearly quadrupled, driven by accelerating U.S. government and commercial demand, prompting a major upward revision to full-year guidance.

Figures as reported by the company to the SEC for the quarter ended March 31, 2026. Analyst estimates are not part of a filing, so no comparison to expectations is shown.

Key takeaways

• Revenue came in at $1.63 billion, up about 85% from a year earlier, with U.S. revenue more than doubling (up 104%) as both government and commercial customers expanded their use of Palantir’s software.
• Net income was $870.5 million, or $0.34 per share, compared with $214 million a year earlier — roughly four times higher.
• Profitability has been climbing sharply as the software business scales: over the trailing year, gross margin (the share of each sales dollar left after direct costs) averaged 84.8% and operating margin (profit left after running the business) averaged 42.8%, both high for a company of this size.
• Return on equity — how much profit the company generates from shareholders’ invested capital — was about 37% over the trailing year, and per-share earnings have grown 290% year over year on that same trailing basis, reflecting a rapid swing into large-scale profitability.
• Within the U.S., commercial (non-government) revenue was $595 million, up 133% year over year, while U.S. government revenue was $687 million, up 84%, showing growth accelerating on both sides of the business.
• Palantir raised its full-year 2026 revenue guidance to $7.650–$7.662 billion, implying 71% growth for the year, which the company called the largest guidance increase in its history.
• Management also raised its outlook for U.S. commercial revenue growth to more than 120% for the year and lifted guidance for adjusted operating income and adjusted free cash flow (cash generated after running the business), pointing to expectations that current growth and profitability trends continue.
• CEO Alex Karp said the results “demonstrate a level of strength that dwarfs the performance of essentially every software company in history at this scale,” crediting strong demand for the company’s AI software platform.

Q1 2026 in context

Figures for the quarter ended Mar 2026 and the quarter ended Mar 2025, as reported to the SEC.

How the stock took it

Palantir Technologies Inc closed at $146.03 on May 4, 2026, the last session before the report, and at $133.79 on May 6, 2026, the first session after it — -8.4% across the report.

Closes from the market's daily record. Each figure spans the report date — from the last session that closed before it to the first that closed after — because a company may report before the open or after the close.

Financial history →

Sources: company report · earnings call · CNBC