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Palantir Wavers on Wider Q3 Loss, Stronger-Than-Expected Revenue

In its first report as a public company, the data-analytics software provider posted a bigger-than-expected third-quarter net loss as revenue grew 52%.

Palantir Technologies,  (PLTR) - Get Palantir Technologies Report the data-analytics-software provider, posted a wider-than-expected third-quarter loss but higher-than-expected revenue in its first report as a public company, which it issued after the close on Thursday.

The Denver-based company recorded a net loss of 94 cents a share vs. a loss of 24 cents in the year-earlier quarter, on revenues of $289.4 million, up from $190.5 million a year ago. Shares outstanding rose 56% to 905.5 million from 580.1 million.

A survey of analysts by FactSet produced consensus estimates of net income of 2 cents a share on revenue of $279.4 million.

For the fourth quarter ,the company is guiding for revenue of $299 million to $301 million, up 30% to 31% from the year-earlier $229 million. The FactSet survey for Q4 indicates analysts are looking for an average of $296 million.

For the full year, the company raised its guidance for revenue to a range of $1.07 billion to $1.072 billion. That's 44% above the $743 million of the year-earlier quarter, and slightly above the FactSet survey of $1.06 billion.

At last check, Palantir shares were wavering in after-hours trading but were recently trading up 1.2% to $14.72. They closed the regular session on Thursday off 8.7% at $14.58.

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Palantir went public on Sept. 30 in a direct listing. The stock opened that day at $10 and closed at $9.50.

The third-quarter operating loss was $847.8 million, of which $847 million was stock-based compensation following the direct listing.

Palantir focuses on government and large companies. The company's statement after hours on Thursday noted that in the third quarter, the company closed 15 contracts, each worth at least $5 million, with new and existing customers. 

It pointed particularly to contracts of $91 million from the U.S. Army, $36 million from the National Institutes of Health and $300 million over five years in a renewal with what it identified only as one of the world's largest aerospace companies.

As of Sept. 30, the company had cash and equivalents of $1.8 billion.