Palantir beats second-quarter revenue estimates, shares rise

Palantir Technologies Inc beat Wall Street estimates for quarterly revenue and forecast current-quarter sales above expectations, as the U.S. data analytics firm shored up more software contracts with corporations and government agencies.

Shares of the Denver, Colorado-based company were up nearly 6per cent in premarket trade on Thursday.

Co-founded in 2003 by tech billionaire Peter Thiel, Palantir caters to government bodies and other industries with its two software platforms by enabling customers to integrate their own data with the platforms and helps them get an analytical view of their operations.

The company, known mainly for its work with U.S. government defense and intelligence agencies including the Central Intelligence Agency (CIA), has also partnered with companies such as 3M and Rio Tinto for data offerings.

Palantir expects its third-quarter revenue to come in at about US$385 million, above estimates of US$376.1 million, according to IBES data from Refinitiv.

Revenue surged to US$376 million in the second quarter ended June 30, from nearly US$252 million a year earlier, the company said on Thursday. Analysts had expected quarterly revenue of US$352.3 million.

The software company also expects its full-year 2021 adjusted free cash flow in excess of US$300 million, up from in excess of US$150 million.

(Reporting by Chavi Mehta and Akanksha Rana in Bengaluru, Editing by Sherry Jacob-Phillips)