Palantir Q2 revenue jumps 93% to $1.94B; PLTR rockets 29.5% on AI-sovereignty demand
U.S. commercial sales up 149% to $764M; Karp raises 2026 guide to $8.15B–$8.158B, calls the quarter 'otherworldly.'
Palantir posted fiscal Q2 revenue of $1.935 billion on August 3, up 93% year over year and well past the $1.80 billion LSEG consensus, sending PLTR up 29.5% on Tuesday in its second-best session ever. Heading into Monday’s close the stock was down 29% year-to-date. One print rewrote the tape.
The mix is what moved the shares. U.S. commercial revenue rose 149% to $764 million, a business that has now compounded 380% since 2024. U.S. government revenue climbed 90% to $809 million, bringing total U.S. revenue to $1.573 billion, up 115%. Adjusted EPS of $0.41 cleared the $0.35 consensus, and GAAP net income hit $1.07 billion against $329 million a year earlier.
CEO Alex Karp called the quarter “otherworldly” in the press release and argued that “demand for AI sovereignty has now been unleashed.” In the accompanying shareholder letter he framed customer behavior in his usual register, saying enterprises “have declined to become vassal states of the language labs.” Read as cultural evidence, it’s a positioning claim: Palantir isn’t selling a model, it’s selling the refusal to depend on someone else’s.
Guidance moved with the print. Full-year 2026 revenue was raised to $8.150 billion to $8.158 billion, up from $7.65 billion to $7.66 billion. U.S. commercial guidance rose to more than $3.424 billion, an implied 134% growth. Q3 was guided to $2.160 billion to $2.164 billion versus a Street consensus near $2 billion.
Bookings back the trajectory. Total contract value closed in the quarter hit $3.37 billion, up 49%, with a record $2.132 billion in U.S. commercial TCV. Remaining U.S. commercial deal value more than doubled to $6.24 billion. Palantir’s Rule of 40 score printed at 155%, and adjusted free cash flow reached $1.22 billion. Citi analysts said the results “further weaken the bear case around rising AI competition.”
Asked how long the run continues, Karp told CNBC it “looks like this is going to go on for at least another 18 months.” The interesting tell isn’t the number. It’s that the CEO of the AI cycle’s clearest beneficiary is already putting an expiration date on the vibes.
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