Shares in Palantir Technologies Inc. rose more than 5% in late trading today after the big data analytics company reported fourth-quarter earnings and revenue ahead of expectations and provided guidance well ahead of expectations.

For the quarter that ended on Dec. 31, Palantir reported adjusted earnings per share of 25 cents, up from 14 cents per share in the same quarter of 2024, on revenue of $1.407 billion, up 70% year-over-year. Both figures were ahead of the 23 cents per share and revenue of $1.33 billion expected by analysts.

Palantir’s better-than-expected figures were driven by growth in the U.S., where the company saw revenue grow 93% year-over-year and 22% quarter-over-quarter, to $1.076 billion. Within that figure, U.S. commercial revenue jumped 137% year-over-year, to $507 million, and U.S. government revenue rose 66%, to $570 million.

Through the quarter, Palantir closed 180 deals of at least $1 million, 84 deals of at least $5 million, and 61 deals of at least $10 million. The company also hit a record $4.252 billion in total contract value, up 138% year-over-year.

As of the end of the quarter, Palantir was sitting on cash, cash equivalents and short-term U.S. Treasury securities of $7.2 billion.

Business highlights in the quarter included Palantir striking a multiyear strategic partnership with Lumen Technologies Inc. that combines Palantir’s artificial intelligence and data platforms with Lumen’s global network and edge infrastructure to help large organizations deploy AI applications more securely and at scale.

The same month saw Palantir deepen its collaboration with Nvidia Corp., including integrating Nvidia’s accelerated computing and AI software stack with Palantir’s platforms to support complex use cases such as logistics, supply chain optimization and real-time operational decision-making for enterprises.

Palantir also signed a new partnership with the U.S. Navy that is focused on modernizing shipbuilding and sustainment supply chains, using Palantir software to improve visibility, planning and execution across highly complex defense programs.

For the full year, Palantir reported adjusted earnings per share of 75 cents, up from 41 cents in 2024, on revenue of $4.475 billion, up 56% year-over-year.

In an interview with CNBC, Palantir Chief Executive Officer Alex Karp called the earnings “indisputably the best results that I’m aware of in tech in the last decade. If you’re not spending it on this, you’re not spending on something that is part of keeping up with momentum.”

For its fiscal 2026 first quarter, Palantir expects revenue of $1.532 billion to $1.536 billion, and for the full year expects revenue of $7.182 billion to $7.198 billion. Both figures were well ahead of the $1.32 billion in the first quarter and $6.22 billion for the full year expected by analysts.

Image: Palantir