01—Abstract
Summary
Summary of the 10-K filed February 21, 2023. Cited figures are marked; the original filing is the authoritative source.
Palantir Technologies Inc. (PLTR) reported its 2022 full-year results, showcasing robust revenue growth of 24% year-over-year, reaching $1.9 billiona.
While the company continues to invest heavily in research and development and sales and marketing, leading to an operating loss of $161.2 millionb, it also reported an improvement in its adjusted income from operations to $420.8 million. The company's platform strategy, centered around Gotham, Foundry, and Apollo, continues to gain traction across both government and commercial sectors, with government revenue up 19% and commercial revenue up 29% year-over-year. Palantir ended the year with a strong cash position and no outstanding debt, highlighting its financial flexibility as it navigates a complex macroeconomic environment.
Key financial and operational metrics indicate sustained growth in customer numbers, with an increase to 367 customers by year-end 2022 from 237 in the prior year. The average revenue per top 20 customer also saw an increase, demonstrating deepening relationships with key clients.
Despite investments in growth, the company managed to reduce its net loss compared to the previous year, primarily due to a significant decrease in stock-based compensation expenses. Palantir's commitment to expanding its platform capabilities and market reach remains a core focus, supported by its integrated software suite designed to address complex data challenges.
02—Key points
Key Highlights
- Revenue grew 24% to $1.9 billion in 2022, driven by strong performance in both government (up 19%) and commercial (up 29%) sectors.
- Operating loss narrowed to $161.2 million, a significant improvement from $411.0 million in 2021.
- Adjusted income from operations (excluding stock-based compensation and related taxes) was $420.8 million.
- Customer count increased by approximately 55% to 367 by the end of 2022.
- Average revenue per top 20 customer increased by 13% year-over-year to $49.4 million.
- Gross margin remained strong at 79% (81% excluding stock-based compensation).
- Ended the year with $2.6 billion in cash and cash equivalents and no outstanding debt.
03—One dollar
Follow one dollar
For each $1.00 of revenue in FY2022, Palantir Technologies Inc. lost $0.20.
- Revenue$1.91B100.0%
- Cost of revenue−$408.5M21.4%
- Gross profit$1.50B78.6%
- Operating costs−$1.66B87.0%
- Operating income−$161.2M8.5%
- Interest, other & tax−$212.5M11.1%
- Net income−$373.7M19.6%
04—Financials
Financial Highlights
Figures from 10-KFY2022filed February 21, 2023Financial Statements
FY2022 against FY2021
| Line item | FY2022FY2021 | Change |
|---|---|---|
| Revenue | $1.91B$1.54B | +23.6% |
| Cost of Revenue | $408.55M$339.40M | +20.4% |
| Gross Profit | $1.50B$1.20B | +24.5% |
| R&D Expenses | $359.68M$387.49M | −7.2% |
| Operating Expenses | $1.66B$1.61B | +2.8% |
| Operating Income | -$161.20M-$411.05M | +60.8% |
| Interest Expense | $4.06M$3.64M | +11.5% |
| Net Income | -$373.70M-$520.38M | +28.2% |
| EPS (Basic) | $-0.18$-0.27 | +33.3% |
| EPS (Diluted) | $-0.18$-0.27 | +33.3% |
| Shares Outstanding (Basic) | 2.06B1.92B | +7.3% |
| Shares Outstanding (Diluted) | 2.06B1.92B | +7.3% |
05—Questions
Frequently Asked Questions
What was Palantir's revenue performance in 2022?
Palantir reported a total revenue of $1.9 billion for the year ended December 31, 2022, representing a 24% increase compared to $1.5 billion in 2021. This growth was driven by a 19% increase in revenue from government customers and a 29% increase from commercial customers.
Is Palantir profitable?
For the year ended December 31, 2022, Palantir reported a net loss attributable to common stockholders of $373.7 million, or $(0.18) per share. While the company incurred an operating loss, its adjusted income from operations, which excludes certain non-cash expenses like stock-based compensation, was $420.8 million. The company continues to invest significantly in growth, which impacts its GAAP profitability.
How many customers does Palantir have, and how is its customer base growing?
As of December 31, 2022, Palantir had 367 customers, an increase from 237 customers in the prior year. The company has seen growth in both government and commercial sectors, with an increasing average revenue per customer, particularly among its top twenty clients.
What is Palantir's financial outlook and cash position?
Palantir ended 2022 with $2.6 billion in cash and cash equivalents and had no outstanding debt. The company believes its current liquidity and cash flow generated from operations will be sufficient to meet its operating needs for at least the next twelve months. While macroeconomic uncertainties exist, the company's strong cash position provides financial flexibility.
06—Continue