Palantir Technologies(PLTR) - 2025 Q1 - Quarterly Results

Revenue Growth - Q1 2025 revenue grew 39% year-over-year to $884 million, with U.S. revenue increasing 55% year-over-year to $628 million[1][3] - U.S. commercial revenue surged 71% year-over-year to $255 million, surpassing a one-billion-dollar annual run rate[2][3] - The total contract value (TCV) for U.S. commercial contracts reached $810 million, up 183% year-over-year[3] - Remaining deal value (RDV) for U.S. commercial contracts increased 127% year-over-year to $2.32 billion[3] - Revenue for the three months ended March 31, 2025, was $883.855 million, a 39.2% increase from $634.338 million in the same period of 2024[22] Profitability - GAAP net income for Q1 2025 was $214 million, representing a 24% margin, while adjusted net income was $334 million[4] - Net income attributable to common stockholders for Q1 2025 was $214.031 million, compared to $105.530 million in Q1 2024, representing a 102.5% year-over-year growth[22] - Adjusted EBITDA for Q1 2025 was $397.332 million, with an adjusted EBITDA margin of 45%, up from $234.896 million and a 37% margin in Q1 2024[30] - Earnings per share attributable to common stockholders, diluted, was $0.08 for Q1 2025, compared to $0.04 for Q1 2024, marking a 100% increase[22] Cash Flow and Guidance - Adjusted free cash flow guidance for the full year was raised to between $1.6 billion and $1.8 billion[9] - Adjusted free cash flow for Q1 2025 was $370.377 million, reflecting an adjusted free cash flow margin of 42%, compared to $148.634 million and a 23% margin in Q1 2024[29] - The company raised its full-year revenue guidance to a growth rate of 36% and U.S. commercial revenue guidance to at least 68%[2][9] Expenses and Compensation - Total operating expenses for Q1 2025 were $534.837 million, an increase from $437.201 million in Q1 2024, primarily driven by higher sales and marketing expenses[22] - Stock-based compensation expense totaled $155.339 million in Q1 2025, compared to $125.651 million in Q1 2024, indicating a 23.6% increase[23] Assets and Cash Position - Cash, cash equivalents, and short-term U.S. Treasury securities totaled $5.4 billion[3] - Cash and cash equivalents decreased to $993.464 million as of March 31, 2025, down from $2.098 billion at the end of 2024[25] - Total assets increased to $6.737 billion as of March 31, 2025, compared to $6.341 billion at the end of 2024[25] - The company reported a net cash provided by operating activities of $310.263 million for Q1 2025, significantly higher than $129.579 million in Q1 2024[27] Operational Efficiency - The company closed 139 deals of at least $1 million, including 31 deals of at least $10 million, indicating strong demand for its services[3] - The Rule of 40 score improved to 83%, reflecting strong revenue growth and operational efficiency[2][3]