Palantir reported second-quarter 2026 revenue of $1.935 billion, up 93 percent from a year earlier [1]. US commercial revenue was $764 million, up 149 percent. US government revenue was $809 million, up 90 percent. The company raised its full-year outlook on every line it guides.
Two profitability figures came out of the quarter, and they measure different things. GAAP net income was $1.062 billion, which is 55 percent of revenue [1]. Adjusted operating income, a separate line, was $1.194 billion, or 62 percent of revenue [1]. The first is net income under generally accepted accounting principles, after everything. The second is an adjusted operating figure that sits higher on the income statement and excludes items the company adjusts out. Coverage that treats those as interchangeable will overstate one or understate the other by $132 million. Adjusted free cash flow was a third number again, $1.220 billion, or 63 percent of revenue [1].
The segment disclosure needs a caution attached. US commercial revenue of $764 million and US government revenue of $809 million add to $1.573 billion, against total revenue of $1.935 billion. A third bucket accounts for the remaining $362 million, and the material obtained for this piece does not break it out. That is not an error in the release, which reports the two US segments as the two US segments. It does mean the two named lines are not a complete picture of where the quarter's revenue came from, and any share-of-revenue arithmetic built on them alone will be wrong.
Guidance moved up across the board. Full-year 2026 revenue guidance was raised to a range of $8.150 billion to $8.158 billion, against prior guidance the wire reported as implying roughly 82 percent year-over-year growth [1][2]. US commercial revenue guidance was raised to in excess of $3.424 billion, which the company frames as growth of at least 134 percent. Adjusted operating income guidance for the year is $4.889 billion to $4.897 billion, and adjusted free cash flow guidance is $4.5 billion to $4.7 billion [1].
Chief executive Alex Karp framed the quarter around sovereignty rather than software. "Demand for AI sovereignty has now been unleashed," he said, describing Palantir as "the only company that has demonstrated it can transform tokens into actual economic value" [1].
The number that carries the most weight for the broader AI argument is the 149 percent on US commercial. Government work has been the floor under this company for a decade, and $809 million of the quarter still came from it, more in absolute dollars than the commercial business produced. The commercial line is the one growing at a rate that would, if it held, change what the company is. One quarter does not establish that it holds.
Shares were reported to have risen roughly 12 to 13 percent in after-hours trading. That move is carried here as reported rather than as verified, because it was not confirmed against a price feed, and after-hours quotes on an earnings night are thin enough that the number can look different an hour later.
