Palantir Technologies Inc. (PLTR) · Nov 2, 2026 · Earnings

Palantir earnings crush estimates as AI demand drives 96% growth

Beat — Revenue $2.313B vs ~$2.18B consensus; diluted EPS $0.44 vs ~$0.41

Palantir earnings beat revenue and EPS expectations, while surging U.S. commercial demand pushed management to raise its 2026 guidance again.

Palantir is no longer just a government-software story: it is scaling AIP, Foundry, and Ontology across U.S. commercial customers while maintaining rapid government growth. At the prior quarter’s report, management expected Q3 revenue of $2.160–$2.164 billion and FY 2026 revenue of $8.150–$8.158 billion, so the hurdle was already high.

This was a clear operating beat, not merely a guidance-dependent result. Q3 revenue reached $2.313 billion, about 6% above the published ~$2.18 billion consensus and nearly 7% above the company’s prior Q3 guide. Diluted EPS was $0.44 versus roughly $0.41 expected. The beat was accompanied by operating leverage: adjusted operating income was $1.427 billion, above the prior $1.292–$1.296 billion guide.

MetricQ3 2026Benchmark
Revenue (Financial Highlights)$2.313B (+96%)~$2.18B consensus
Diluted EPS (Financial Highlights)$0.44~$0.41 consensus
Adjusted operating income (Financial Highlights)$1.427B$1.292–$1.296B prior guide
Adjusted free cash flow (Financial Highlights)$1.216B (+125%)$539.9M Q3 2025
Adjusted operating margin (Adjusted income reconciliation)62%51% Q3 2025

The most important change is the commercial mix shift. U.S. commercial revenue grew 148% year over year and 29% sequentially, while the company said U.S. commercial revenue had surpassed U.S. government revenue for the first time. 〔0〕 That makes the AI adoption thesis more tangible: commercial demand is no longer a promising side channel but the larger U.S. revenue engine. 〔1〕

Management raised the bar again, which is more informative than the quarter alone. FY 2026 revenue guidance now implies 91% year-over-year growth, up from the prior 82% growth outlook, while U.S. commercial guidance rose to 143% growth from at least 134%. The filing therefore strengthens both execution and forward demand assumptions rather than simply confirming an already-achieved quarter. 〔2〕

The main qualification is that stock-based compensation remains large. Q3 stock-based compensation was $318.9 million, roughly 14% of revenue, so the adjusted margin picture is materially more generous than GAAP operating performance. Still, GAAP operating margin was 47%, cash generation was strong, and the company ended the quarter with substantial cash and marketable securities; this is a caveat to the quality of earnings, not enough to offset the scale of the beat.

Bottom line: Palantir materially exceeded an already elevated bar and raised its outlook again. The filing advances the story from “AI-driven growth is strong” to “commercial AI demand is now overtaking government as the company’s primary U.S. growth engine.”

Original filing on SEC EDGAR

Palantir earnings crush estimates as AI demand drives 96% growth | PLTR Stock News
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