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Palantir Technologies, which recently moved its headquarters from Silicon Valley to Denver, Colo. (shown here), reported earnings for the first time as a public company on Thursday.
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Palantir Technologies Inc. reported earnings Thursday for the first time since going public, posting a quarterly loss of nearly $900,000 but saying demand for its products grew steadily.
Shares of Palantir PLTR, -8.64% fell sharply in after-hours trading, about 6%, after closing the regular session at $14.54, down 8.9%. Before Thursday, the data-analytics company’s stock had risen nearly 60% since it started trading at $10 on Sept. 30.
The company reported a third-quarter net loss of $853.3 million, or 94 cents a share, compared with a loss of $144.1 million, or 24 cents a share, in the year-ago period. Its adjusted loss was $73 million, adjusted for $847 million in stock-based compensation. Palantir brought in revenue of $289 million, a 52% increase from revenue of $191 million in the third quarter last year.
Analysts surveyed by FactSet on average had expected the company to post earnings of 2 cents a share on revenue of $279.4 million.
The company touted new contracts it secured in the third quarter, including one for $91 million with the U.S. Army, $36 million with the National Institutes of Health and a $300 million renewal with an aerospace customer. In its filing, Palantir said that while the U.S. government remains a “primary focus” of its business — including for coronavirus research and response — it is seeing “significant momentum” in business with the commercial sector, too.
Palantir’s software offerings range from helping governments with surveillance and warfare to enabling corporations track manufacturing processes. Its work with the government, especially Immigration and Customs Enforcement and the Department of Homeland Security, has been controversial. After sustained protests by immigration activists at the company’s Palo Alto, Calif, office, it moved its headquarters to Denver, Colo. Chief Executive Alex Karp said in a letter included with the company’s filing in August for a direct listing that “we seem to share fewer and fewer of the technology sector’s values and commitments.”
See: Palantir takes swings at Silicon Valley on its way to Wall Street
Palantir was co-founded in 2003 by Karp, Facebook Inc. FB, -0.50% investor and board member Peter Thiel, and Stephen Cohen, who is now president at the company. The company got its start with funding from the Central Intelligence Agency’s In-Q-Tel arm.
The company raised its full-year revenue outlook to $1.07 billion to $1.072 billion, up 44% year over year.
