Palantir Technologies (PLTR) reported revenues of $1.63 billion in Q1 2026, an 85% year-over-year increase.

This result showcases the fastest growth rate of the company and came with an upward revision of its annual forecast.

Palantir's Q1 earnings: revenues rise 85%

According to the financial results for Q1 2026, revenues in the United States doubled to $1.28 billion, marking a 104% year-over-year increase. Commercial revenues in the U.S. surged 133% year-over-year to $595 million.

The U.S. government segment grew 84% to $687 million. GAAP net income was $871 million with a 53% margin.

Additionally, the total contract value reached $2.41 billion, a 61% growth, and the company closed 206 deals of $1 million or more. The 'Rule of 40' score rose to 145%.

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CEO Alex Karp positioned Palantir alongside semiconductor giants driving AI development.

"We have surpassed the metric, an achievement matched only by other AI infrastructure peers: NVIDIA, Micron, and SK Hynix," said Karp.

The stock's reaction was mixed. PLTR closed at $146.03, up 1.36%. However, shares dipped 2.70% to $142.09 in after-hours trading. Overall, Palantir's stock has dropped 17.8% in 2026.

The stock's decline didn't stop Karp from raising the target. Citing rising demand in the U.S., the CEO increased the 2026 forecast to a growth of 71%, 10 points above the previous estimate.

"We are raising our revenue guidance to between $7.650 billion and $7.66 billion," reads the statement.

Projections for 2026 have been raised.

Palantir also raised its commercial revenue forecast in the U.S. above $3.22 billion, implying at least a 120% year-over-year growth. The adjusted operating income guidance moved to a range between $4.44 billion and $4.45 billion.

Adjusted free cash flow projections also increased to between $4.2 billion and $4.4 billion. Furthermore, the company said it expects to achieve GAAP operating income and net income in each quarter of 2026.

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