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UPDATE 2-Palantir warns of sluggish second-quarter revenue growth

05/11/2021 07:18
UPDATE 2-Palantir warns of sluggish second-quarter revenue growth

Adds forecast, shares

- Palantir Technologies Inc PLTR.N warned of sluggish current-quarter revenue growth, even as the Peter Thiel-backed U.S. analytics company beat quarterly results on clinching large deals from government agencies and large corporations.

Shares of the company, which are also pressured by a wider rout in tech-related stocks on concerns over higher inflation, were down 9% in premarket trading.

Known mainly for its work with U.S. government and its allies in Europe and around the world, Palantir enables customers to integrate their data with its software platforms, which helps them get an analytical view of their operations.

Palantir said it expects second-quarter revenue to grow at the slowest pace as a public company. Quarterly revenue is set to rise 43% to $360 million, analysts were expecting $344.31 million, according to IBES data from Refinitiv.

Tech billionaire Peter Thiel-backed firm, which counts the U.S. Central Intelligence Agency (CIA) as a customer, went public in September through a direct listing involving share offering from existing investors, as opposed to a traditional initial public offering.

Palantir said U.S. governmental revenue grew 83% in the first quarter from a year earlier, while revenue from commercial customers in the United States grew 72%. Its software products are used by customers across 40 industries and in more than 150 countries.

Revenue rose 49% to $341.2 million, above estimates of $332.23 million, according to IBES data from Refinitiv.

Excluding items, the company earned a profit of 4 cents per share in line with analysts' expectation.

(Reporting by Chavi Mehta in Bengaluru; Editing by Shinjini Ganguli)

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