Ayush BansalPalantir, a software maker of analytic tools for government and large corporations reported its third quarter ended on September 30, 2021, on Tuesday. That beat analyst expectations on revenue and met earnings estimates.
The Revenue grew over 35 per cent from last third quarter, which was $289 million compared to this corresponding quarter, which is $392 million. That’s a slowdown from two consecutive quarters of 49% year-over-year growth, but the company also provided a strong outlook for the current quarter. Palantir said it expects revenue for the fourth quarter to come in at $418 million, beating current Refinitiv estimates of $402 million.
Palantir added 34 net new customers in the third quarter and closed 33 deals worth $5 million or more and 18 deals valued at $10 million or more.
The cost of revenue decreased from $149 million to $86 million in the respective third quarter of 2020 and 2021 respective year.
Therefore, the gross profit is doubled from $140 million to $300 million from last quarter to this corresponding quarter.
In this quarter, the company also narrow its losses massively from the loss of $853 million to the loss of $102 million in the third quarter of 2020 and 2021 respectively.
During the quarter, U.S. commercial revenue grew 103% year over year and its commercial customer count was up 46% from the previous quarter, Palantir said. The company reported government revenue of $218 million.
The earning per share is dragged down in negative 5 cents per share from 94 cents per share.
Future Outlook (Q4)
For Q4 2021, we expect:
- $418 million in revenue.
- Adjusted operating margin of 22%.
For full-year 2021:
- We expect revenue growth of 40% to $1.527 billion.
- We are raising our outlook for adjusted free cash flow to in excess of $400 million, up from in excess of $300 million.
Per long-term guidance policy, as provided by our Chief Executive Officer, Alex Karp, we continue to expect:
- Annual revenue growth of 30% or greater for 2021 through 2025.
Financial Statement:
|
Palantir Technologies Inc. Condensed Consolidated Statements of Operations (in thousands, except per share amounts) (unaudited) |
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|
|
Three Months Ended |
Nine Months Ended |
||||||||||||||
|
|
2021 |
2020 |
2021 |
2020 |
||||||||||||
|
Revenue |
$ |
392,146 |
|
$ |
289,366 |
|
$ |
1,109,022 |
|
$ |
770,582 |
|
||||
|
Cost of revenue (1) |
|
86,804 |
|
|
149,340 |
|
|
251,841 |
|
|
282,044 |
|
||||
|
Gross profit |
|
305,342 |
|
|
140,026 |
|
|
857,181 |
|
|
488,538 |
|
||||
|
Operating expenses: |
|
|
|
|
||||||||||||
|
Sales and marketing (1) |
|
153,443 |
|
|
334,911 |
|
|
451,919 |
|
|
536,082 |
|
||||
|
Research and development (1) |
|
94,316 |
|
|
313,915 |
|
|
303,311 |
|
|
466,530 |
|
||||
|
General and administrative (1) |
|
149,524 |
|
|
338,977 |
|
|
454,054 |
|
|
503,033 |
|
||||
|
Total operating expenses |
|
397,283 |
|
|
987,803 |
|
|
1,209,284 |
|
|
1,505,645 |
|
||||
|
Loss from operations |
|
(91,941 |
) |
|
(847,777 |
) |
|
(352,103 |
) |
|
(1,017,107 |
) |
||||
|
Interest income |
|
379 |
|
|
494 |
|
|
1,127 |
|
|
4,312 |
|
||||
|
Interest expense |
|
(609 |
) |
|
(2,085 |
) |
|
(3,039 |
) |
|
(12,325 |
) |
||||
|
Change in fair value of warrants |
|
— |
|
|
(9,201 |
) |
|
— |
|
|
811 |
|
||||
|
Other income (expense), net |
|
(8,528 |
) |
|
(3,293 |
) |
|
(11,297 |
) |
|
1,218 |
|
||||
|
Loss before provision (benefit) for income taxes |
|
(100,699 |
) |
|
(861,862 |
) |
|
(365,312 |
) |
|
(1,023,091 |
) |
||||
|
Provision (benefit) for income taxes |
|
1,438 |
|
|
(8,543 |
) |
|
(1,121 |
) |
|
(5,043 |
) |
||||
|
Net loss |
$ |
(102,137 |
) |
$ |
(853,319 |
) |
$ |
(364,191 |
) |
$ |
(1,018,048 |
) |
||||
|
Net loss per share attributable to common stockholders, basic |
$ |
(0.05 |
) |
$ |
(0.94 |
) |
$ |
(0.19 |
) |
$ |
(1.43 |
) |
||||
|
Net loss per share attributable to common stockholders, diluted |
$ |
(0.05 |
) |
$ |
(0.94 |
) |
$ |
(0.19 |
) |
$ |
(1.43 |
) |
||||
|
Weighted-average shares of common stock outstanding used in computing net loss per share attributable to common stockholders, basic |
|
1,964,395 |
|
|
905,462 |
|
|
1,893,911 |
|
|
713,879 |
|
||||
|
Weighted-average shares of common stock outstanding used in computing net loss per share attributable to common stockholders, diluted |
|
1,964,395 |
|
|
905,462 |
|
|
1,893,911 |
|
|
716,027 |
|
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