Palantir Technologies (PLTR) Q1 2026 earnings summary

Executive summary

• Achieved record Q1 2026 revenue growth of 85% year-over-year to $1.63 billion, with U.S. revenue up 104% year-over-year and 19% sequentially, and U.S. commercial revenue up 133% year-over-year to $595 million.

• Net income attributable to common stockholders was $871 million, up from $214 million in Q1 2025, with gross margin improving to 87% from 80% year-over-year.

• Rule of 40 score reached 145%, reflecting robust growth and profitability.

• Closed 206 deals of at least $1 million, including 72 deals of at least $5 million and 47 of at least $10 million, with total contract value up 61% year-over-year.

• Customer count grew 31% year-over-year and 6% sequentially to 1,007, with top 20 customers averaging $108 million in trailing twelve-month revenue.

Financial highlights

• Adjusted income from operations was $984 million (60% margin), up from $391 million, and GAAP income from operations was $754 million (46% margin).

• GAAP net income was $871 million (53% margin); adjusted EPS was $0.33, GAAP diluted EPS was $0.34.

• Adjusted gross margin was 88%; adjusted EBITDA reached $990 million (61% margin).

• Cash from operations was $899 million (55% margin); adjusted free cash flow was $925 million (57% margin).

• Ended Q1 2026 with $8.0 billion in cash, cash equivalents, and short-term U.S. Treasury securities, and no debt.

Outlook and guidance

• Full-year 2026 revenue guidance raised to $7.650–$7.662 billion, representing 71% year-over-year growth.

• Q2 2026 revenue expected between $1.797–$1.801 billion; adjusted income from operations between $1.063–$1.067 billion.

• Full-year adjusted income from operations guidance raised to $4.440–$4.452 billion; adjusted free cash flow guidance to $4.2–$4.4 billion.

• U.S. commercial revenue guidance raised to over $3.224 billion, at least 120% growth.

• Management expects continued revenue growth, driven by expanding customer base and increased adoption of AI and data platforms.