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PLTR NYSE· Palantir Technologies Inc
Earnings report Q4 2023

Palantir Technologies Inc. Reports Strong Revenue Growth and Profitability

Segments of Revenue

Palantir's revenue for the year ended December 31, 2023, was $2.23 billion, a 17% increase from the previous year's $1.91 billion. The revenue was generated from two main segments: Government and Commercial. The Government segment contributed $1.22 billion, while the Commercial segment contributed $1 billion to the total revenue.

Strengths

The company's strength lies in its ability to significantly increase its revenue year over year. The 17% growth rate from 2022 to 2023 is a testament to this. The company's profitability also improved, with income from operations of $120 million, compared to a loss of $161.2 million in the previous year. When excluding stock-based compensation and related employer payroll taxes, the adjusted income from operations was $632.8 million.

Challenges

Despite the strong revenue growth, the company's operating expenses also increased. Total operating expenses for the year ended December 31, 2023, were $1.67 billion, up from $1.66 billion in 2022. The increase in expenses could potentially impact the company's profitability in the future.

Noteworthy

It's worth noting that the company's revenue growth was driven by both the Government and Commercial segments. The Government segment's contribution to the total revenue increased by 14% from 2022 to 2023, while the Commercial segment's contribution increased by 20% over the same period.

Summary

Palantir Technologies Inc. had a strong financial performance in the year ended December 31, 2023, with significant revenue growth and improved profitability. The company's revenue was driven by both the Government and Commercial segments. However, the increase in operating expenses could pose a challenge to the company's future profitability.

Source documents

Form 10-K  filed on Feb 20, 2024
14 pages scanned

Reference data

Company financials Q4 revenue 608M
Analyst estimates Q4 EPS beat by 5.39%
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