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Palantir Technologies Inc. (NASDAQ:PLTR)

Analysis of Profitability Ratios
Quarterly Data

Microsoft Excel

Profitability Ratios (Summary)

Return on Sales

Return on Investment

Palantir Technologies Inc., profitability ratios (quarterly data)

Microsoft Excel
Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022
Return on Sales
Gross profit margin 84.74% 84.80% 84.07% 82.37% 80.81% 80.03% 80.01% 80.25% 81.10% 81.39% 81.16% 80.62% 79.92% 79.15% 78.75% 78.56% 78.59% 78.73% 78.16%
Operating profit margin 45.64% 42.80% 38.13% 31.59% 21.81% 16.55% 13.02% 10.83% 13.80% 11.78% 8.43% 5.39% 1.71% -3.22% -5.93% -8.46% -11.05% -13.30% -20.43%
Net profit margin 50.34% 49.00% 43.67% 36.31% 28.11% 22.18% 18.32% 16.13% 18.01% 16.32% 12.79% 9.43% 6.93% -2.35% -12.87% -19.61% -30.64% -30.90% -30.25%
Return on Investment
Return on equity (ROE) 32.68% 30.86% 27.00% 22.00% 16.62% 12.87% 10.52% 9.24% 10.59% 9.99% 7.91% 6.04% 4.62% -1.63% -9.38% -14.57% -23.50% -22.95% -21.07%
Return on assets (ROA) 27.35% 25.83% 22.37% 18.26% 13.50% 10.36% 8.47% 7.29% 8.26% 7.79% 6.21% 4.64% 3.51% -1.21% -6.94% -10.80% -16.90% -16.42% -15.01%

Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).


The financial trajectory from March 2022 through September 2026 is characterized by a comprehensive transition from operational losses to significant profitability. A pivotal inflection point occurred in the third quarter of 2023, where the company shifted from negative to positive margins across all measured profitability metrics.

Gross Profit Margin
Gross margins remained consistently high and stable, starting at 78.16% in early 2022 and exhibiting a gradual upward trend to reach 84.74% by September 2026. This steady expansion indicates strong pricing power and an increase in the efficiency of direct cost management as the business scaled.
Operating and Net Profit Margins
A dramatic recovery is evident in both operating and net margins. The operating profit margin rose from a low of -20.43% in March 2022 to 45.64% by September 2026. Similarly, the net profit margin improved from -30.25% to 50.34% over the same period. The acceleration of these margins suggests significant operational leverage, where revenue growth substantially outpaced the growth of operating expenses.
Return on Equity (ROE) and Return on Assets (ROA)
Efficiency ratios mirrored the trend of the profit margins. ROE improved from -21.07% in March 2022 to 32.68% by September 2026, while ROA rose from -15.01% to 27.35%. Both metrics transitioned into positive territory in the third quarter of 2023, reflecting a successful shift toward generating positive returns on both the asset base and shareholder equity.

Overall, the data reflects a period of aggressive margin expansion and a fundamental shift in the financial profile of the organization, moving from a high-burn growth phase to a high-margin, profitable steady state.

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Gross Profit Margin

Palantir Technologies Inc., gross profit margin calculation (quarterly data)

Microsoft Excel
Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022
Selected Financial Data (US$ in thousands)
Gross profit 1,930,125 1,638,594 1,416,785 1,190,836 973,785 810,763 710,885 652,986 578,877 549,572 518,082 499,711 450,237 426,418 417,541 404,313 370,269 370,786 351,954
Revenue 2,313,411 1,935,464 1,632,583 1,406,802 1,181,092 1,003,697 883,855 827,519 725,516 678,134 634,338 608,350 558,159 533,317 525,186 508,624 477,880 473,010 446,357
Profitability Ratio
Gross profit margin1 84.74% 84.80% 84.07% 82.37% 80.81% 80.03% 80.01% 80.25% 81.10% 81.39% 81.16% 80.62% 79.92% 79.15% 78.75% 78.56% 78.59% 78.73% 78.16%
Benchmarks
Gross Profit Margin, Competitors2
Accenture PLC 32.01% 32.03% 31.97% 31.91% 32.07% 32.18% 32.45% 32.61% 32.58% 32.58% 32.50% 32.34% 32.25% 32.12% 32.02% 31.99% 32.26% 32.30% 32.35%
Adobe Inc. 89.25% 89.40% 89.40% 89.27% 89.14% 89.25% 89.15% 89.04% 88.66% 88.24% 88.08% 87.87% 87.89% 87.77% 87.66% 87.70% 87.76% 87.87% 88.04%
AppLovin Corp. — 88.46% 88.37% 87.86% 84.56% 82.02% 78.70% 75.22% 73.89% 71.80% 69.90% 67.74% 61.91% 58.66% 57.47% 55.41% 60.39% 62.19% 62.81%
Cadence Design Systems Inc. 85.68% 85.87% 86.08% 86.36% 85.54% 85.57% 85.86% 86.05% 87.79% 88.51% 89.31% 89.36% 89.18% 89.41% 89.18% 89.57% 89.87% 89.74% 89.83%
Datadog Inc. — 79.51% 79.89% 79.96% 79.94% 79.92% 80.14% 80.79% 81.22% 81.55% 81.39% 80.74% 79.99% 79.33% 79.25% 79.30% 79.30% 79.00% 78.04%
International Business Machines Corp. 57.97% 58.10% 58.36% 58.19% 57.81% 57.57% 57.04% 56.65% 56.53% 56.09% 55.64% 55.45% 55.04% 54.64% 54.24% 54.00% 53.78% 54.01% 54.48%
Intuit Inc. 79.96% 80.05% 79.89% 79.57% 79.45% 78.97% 78.73% 78.72% 78.53% 78.08% 78.12% 78.13% 78.46% 79.00% 79.99% 81.09% 82.36% 82.11% 82.13%
Microsoft Corp. 68.31% 68.59% 68.76% 68.82% 69.07% 69.41% 69.35% 69.76% 69.89% 69.75% 69.44% 68.92% 68.45% 68.16% 68.26% 68.40% 68.73% 68.83% 68.86%
Oracle Corp. 67.08% 68.54% 69.66% 70.51% 71.12% 71.27% 71.31% 71.41% 71.53% 71.88% 72.26% 72.85% 74.50% 76.10% 77.78% 79.08% 79.44% 79.96% 80.22%
Palo Alto Networks Inc. 71.94% 73.50% 73.47% 73.41% 73.56% 73.86% 74.17% 74.35% 74.43% 74.05% 73.35% 72.29% 70.80% 69.77% 69.06% 68.76% 69.34% 69.63% 69.77%
Salesforce Inc. 77.73% 77.65% 77.34% 77.19% 76.94% 76.35% 76.00% 75.50% 74.99% 74.52% 73.78% 73.34% 72.69% 72.61% 73.10% 73.48% 74.02% 74.34% 74.32%
ServiceNow Inc. 73.08% 74.77% 76.56% 77.53% 78.05% 78.52% 78.92% 79.18% 79.24% 79.07% 78.87% 78.59% 78.52% 78.50% 78.45% 78.29% 77.85% 77.53% 77.26%
Synopsys Inc. 72.38% 73.47% 75.14% 76.98% 79.12% 79.84% 79.64% 79.68% 80.25% 79.85% 79.69% 79.08% 78.79% 78.51% 78.91% 79.07% 79.48% 80.05% 79.78%
Workday Inc. 75.64% 75.58% 75.66% 75.50% 75.60% 75.77% 75.64% 75.60% 74.73% 73.87% 73.25% 72.41% 72.22% 72.23% 72.25% 72.21% 72.39% 72.46% 72.61%

Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).

1 Q3 2026 Calculation
Gross profit margin = 100 × (Gross profitQ3 2026 + Gross profitQ2 2026 + Gross profitQ1 2026 + Gross profitQ4 2025) ÷ (RevenueQ3 2026 + RevenueQ2 2026 + RevenueQ1 2026 + RevenueQ4 2025)
= 100 × (1,930,125 + 1,638,594 + 1,416,785 + 1,190,836) ÷ (2,313,411 + 1,935,464 + 1,632,583 + 1,406,802) = 84.74%

2 Click competitor name to see calculations.


The financial trajectory from March 31, 2022, to September 30, 2026, is characterized by consistent growth in both top-line revenue and absolute gross profit. The simultaneous increase in these metrics indicates a scalable operational structure capable of expanding its market reach while maintaining high efficiency in cost of goods sold.

Revenue and Gross Profit Growth
Revenue demonstrated a steady climb, rising from 446,357 thousand US$ in the first quarter of 2022 to 2,313,411 thousand US$ by the third quarter of 2026. Correspondingly, gross profit increased from 351,954 thousand US$ to 1,930,125 thousand US$ over the same period, reflecting a significant expansion in the company's ability to generate profit from its core operations.
Gross Profit Margin Evolution
The gross profit margin remained highly stable during 2022, fluctuating within a narrow range between 78.16% and 78.73%. Starting in 2023, a gradual upward trend emerged, with the margin consistently staying above 79% and breaking the 80% threshold by the fourth quarter of 2023.
Margin Volatility and Acceleration
A period of slight volatility occurred throughout 2024 and early 2025, where the margin peaked at 81.39% in June 2024 before experiencing a temporary contraction to 80.01% by March 2025. This plateau was followed by a period of accelerated margin expansion, with the ratio climbing to 84.74% by September 2026.
Operational Efficiency Insights
The overall progression from a 78.16% margin to 84.74% suggests a fundamental improvement in operational leverage. The ability to increase the gross profit margin while aggressively growing revenue indicates that the costs associated with delivering services are growing at a slower rate than the revenue generated, likely due to economies of scale or a shift toward more profitable service tiers.

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Operating Profit Margin

Palantir Technologies Inc., operating profit margin calculation (quarterly data)

Microsoft Excel
Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022
Selected Financial Data (US$ in thousands)
Income (loss) from operations 1,084,845 912,004 753,998 575,394 393,256 269,317 176,048 11,043 113,140 105,339 80,881 65,794 39,983 10,074 4,115 (17,826) (62,191) (41,745) (39,439)
Revenue 2,313,411 1,935,464 1,632,583 1,406,802 1,181,092 1,003,697 883,855 827,519 725,516 678,134 634,338 608,350 558,159 533,317 525,186 508,624 477,880 473,010 446,357
Profitability Ratio
Operating profit margin1 45.64% 42.80% 38.13% 31.59% 21.81% 16.55% 13.02% 10.83% 13.80% 11.78% 8.43% 5.39% 1.71% -3.22% -5.93% -8.46% -11.05% -13.30% -20.43%
Benchmarks
Operating Profit Margin, Competitors2
Accenture PLC 14.49% 14.42% 14.35% 14.68% 15.38% 15.14% 15.04% 14.79% 14.20% 13.76% 13.60% 13.74% 14.42% 14.90% 15.27% 15.21% 15.20% 15.12% 15.19%
Adobe Inc. 35.70% 36.07% 36.65% 36.63% 36.25% 36.37% 36.29% 31.35% 31.16% 30.51% 29.95% 34.26% 33.95% 33.64% 33.91% 34.64% 35.45% 36.25% 36.72%
AppLovin Corp. — 77.44% 77.09% 75.75% 67.07% 58.94% 49.35% 39.78% 35.78% 29.99% 25.56% 19.74% 11.75% 7.61% 4.86% -1.70% 1.14% 0.99% 0.38%
Cadence Design Systems Inc. 28.92% 30.33% 28.25% 28.17% 28.50% 27.71% 30.00% 29.10% 28.26% 28.19% 28.91% 30.59% 28.71% 28.78% 29.26% 30.15% 30.81% 30.20% 28.35%
Datadog Inc. — 0.41% -0.67% -1.29% -1.38% -0.61% 1.05% 2.02% 2.86% 2.01% 0.60% -1.57% -4.77% -6.48% -5.80% -3.50% -1.02% 0.79% 0.34%
International Business Machines Corp. 17.29% 17.29% 17.75% 17.50% 17.08% 16.08% 15.34% 14.95% 15.09% 15.46% 15.13% 15.17% 14.58% 13.88% 13.49% 13.50% 12.92% 12.77% 12.30%
Intuit Inc. 27.47% 27.08% 26.69% 26.14% 24.38% 22.24% 21.66% 22.29% 24.02% 23.00% 22.86% 21.86% 21.67% 19.48% 18.41% 20.20% 23.68% 22.49% 24.10%
Microsoft Corp. 46.80% 46.67% 46.27% 45.62% 45.23% 44.96% 44.49% 44.64% 44.70% 44.17% 43.01% 41.77% 40.85% 40.58% 41.69% 42.06% 42.56% 42.52% 42.14%
Oracle Corp. 30.56% 30.28% 30.44% 30.80% 30.93% 30.30% 29.82% 28.99% 28.20% 27.73% 27.01% 26.21% 28.06% 30.42% 22.92% 25.74% 26.22% 26.62% 37.78%
Palo Alto Networks Inc. 9.62% 14.37% 13.24% 13.48% 11.09% 10.99% 9.11% 8.52% 8.97% 7.98% 8.15% 5.62% 2.30% 0.37% -1.56% -3.43% -5.12% -6.74% -7.51%
Salesforce Inc. 20.54% 20.22% 19.27% 19.01% 18.84% 18.14% 17.65% 14.38% 11.03% 8.18% 4.42% 3.29% 1.64% 0.26% 0.77% 2.07% 3.67% 4.69% 4.25%
ServiceNow Inc. 9.68% 11.40% 13.44% 13.74% 13.85% 13.28% 12.93% 12.42% 12.04% 10.78% 10.02% 8.49% 7.64% 6.32% 5.41% 4.90% 3.40% 3.30% 3.95%
Synopsys Inc. 8.52% 7.03% 10.82% 12.97% 17.16% 20.88% 20.67% 22.13% 24.22% 23.31% 22.80% 21.72% 19.11% 18.81% 20.70% 22.87% 22.93% 23.18% 20.72%
Workday Inc. 6.73% 5.88% 4.48% 4.91% 5.13% 4.34% 3.53% 2.52% 0.22% -1.47% -2.62% -3.57% -3.94% -3.24% -2.80% -2.27% -1.81% -2.71% -3.18%

Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).

1 Q3 2026 Calculation
Operating profit margin = 100 × (Income (loss) from operationsQ3 2026 + Income (loss) from operationsQ2 2026 + Income (loss) from operationsQ1 2026 + Income (loss) from operationsQ4 2025) ÷ (RevenueQ3 2026 + RevenueQ2 2026 + RevenueQ1 2026 + RevenueQ4 2025)
= 100 × (1,084,845 + 912,004 + 753,998 + 575,394) ÷ (2,313,411 + 1,935,464 + 1,632,583 + 1,406,802) = 45.64%

2 Click competitor name to see calculations.


The operational performance demonstrates a significant turnaround, transitioning from substantial quarterly losses in early 2022 to high-margin profitability by the third quarter of 2026. This trajectory is characterized by a consistent expansion of the operating profit margin, reflecting an increase in operational efficiency and the realization of significant economies of scale as revenue grew.

Profitability Pivot and Trend
A transition from negative to positive operating margins occurred between June 30, 2023, and September 30, 2023. The operating profit margin improved from a low of -20.43% in March 2022 to its first positive reading of 1.71% in September 2023. Following this pivot, the margin entered a period of aggressive expansion, reaching 45.64% by September 30, 2026.
Operating Leverage and Scaling
The data indicates strong operating leverage, as operating income grew at a rate disproportionately higher than revenue. While revenue increased approximately 5.2 times from March 2022 to September 2026, operating income moved from a loss of 39.4 million US dollars to a profit of over 1.08 billion US dollars. This suggests that the cost structure remained relatively stable or grew significantly slower than the top-line revenue.
Margin Volatility and Acceleration
Despite the general upward trend, a minor contraction in the operating profit margin was observed in December 2024, where the margin dipped to 10.83% from 13.80% in the preceding quarter. However, this was followed by a period of rapid acceleration, with the margin climbing from 13.02% in March 2025 to 45.64% by September 2026, marking the most significant growth phase in the recorded period.

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Net Profit Margin

Palantir Technologies Inc., net profit margin calculation (quarterly data)

Microsoft Excel
Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022
Selected Financial Data (US$ in thousands)
Net income (loss) attributable to common stockholders 1,128,012 1,061,890 870,527 608,676 475,599 326,727 214,031 79,009 143,525 134,126 105,530 93,391 71,505 28,127 16,802 30,878 (123,875) (179,329) (101,379)
Revenue 2,313,411 1,935,464 1,632,583 1,406,802 1,181,092 1,003,697 883,855 827,519 725,516 678,134 634,338 608,350 558,159 533,317 525,186 508,624 477,880 473,010 446,357
Profitability Ratio
Net profit margin1 50.34% 49.00% 43.67% 36.31% 28.11% 22.18% 18.32% 16.13% 18.01% 16.32% 12.79% 9.43% 6.93% -2.35% -12.87% -19.61% -30.64% -30.90% -30.25%
Benchmarks
Net Profit Margin, Competitors2
Accenture PLC 10.66% 10.61% 10.76% 11.02% 11.61% 11.43% 11.41% 11.19% 10.78% 10.89% 10.65% 10.72% 11.27% 10.99% 11.30% 11.17% 11.12% 11.27% 11.53%
Adobe Inc. 28.05% 28.69% 29.48% 30.00% 30.01% 30.39% 30.63% 25.85% 25.59% 24.86% 24.08% 27.97% 27.12% 26.34% 26.32% 27.01% 28.00% 29.29% 29.90%
AppLovin Corp. — 64.58% 64.29% 60.83% 54.48% 48.70% 39.92% 33.55% 26.87% 20.91% 16.48% 10.87% 3.46% 0.70% -2.82% -6.84% -2.82% -3.61% -2.46%
Cadence Design Systems Inc. 22.51% 23.61% 21.18% 20.94% 20.35% 19.88% 22.19% 22.74% 23.87% 25.36% 25.68% 25.46% 24.42% 23.41% 23.23% 23.84% 22.86% 23.61% 23.59%
Datadog Inc. — 4.48% 3.69% 3.14% 3.32% 4.13% 5.85% 6.85% 7.58% 6.81% 5.11% 2.28% -1.72% -4.38% -4.68% -2.99% -0.91% 0.48% 0.17%
International Business Machines Corp. 15.99% 15.52% 15.61% 15.69% 12.09% 9.11% 8.71% 9.60% 10.22% 13.52% 13.18% 12.13% 11.32% 3.34% 3.03% 2.71% 2.08% 9.36% 9.46%
Intuit Inc. 21.91% 21.57% 21.19% 20.55% 19.07% 17.69% 17.59% 18.19% 19.43% 18.35% 17.53% 16.59% 15.91% 14.22% 14.10% 16.23% 19.44% 19.03% 20.28%
Microsoft Corp. 39.34% 39.04% 35.71% 36.15% 35.79% 35.43% 35.61% 35.96% 36.43% 36.27% 35.31% 34.15% 33.25% 33.05% 34.37% 36.69% 37.63% 38.50% 38.51%
Oracle Corp. 25.30% 25.28% 21.08% 21.68% 21.80% 21.16% 20.40% 19.76% 20.27% 19.63% 18.40% 17.02% 17.46% 19.09% 13.15% 15.83% 18.08% 24.79% 34.16%
Palo Alto Networks Inc. 7.95% 12.96% 11.69% 12.30% 13.95% 14.64% 32.99% 32.11% 31.41% 30.24% 8.52% 6.38% 3.32% 0.56% -2.46% -4.85% -7.54% -9.50% -11.20%
Salesforce Inc. 17.91% 16.87% 16.08% 16.35% 15.96% 15.44% 15.30% 11.87% 7.63% 4.77% 1.18% 0.66% 0.92% 1.83% 3.59% 5.45% 6.96% 9.99% 19.87%
ServiceNow Inc. 9.36% 11.34% 12.59% 13.16% 13.67% 13.78% 13.41% 12.97% 12.77% 11.51% 20.34% 19.30% 18.72% 17.76% 5.25% 4.49% 2.90% 2.79% 3.56%
Synopsys Inc. 11.43% 8.91% 13.76% 18.89% 31.04% 34.77% 34.75% 36.94% 24.60% 23.57% 23.49% 21.05% 18.71% 17.41% 18.22% 19.38% 20.86% 21.19% 20.18%
Workday Inc. 6.95% 6.51% 5.60% 6.23% 19.87% 19.60% 19.67% 19.02% 0.96% -1.81% -4.09% -5.90% -5.29% -3.46% -0.49% 0.57% 0.63% -0.79% -3.81%

Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).

1 Q3 2026 Calculation
Net profit margin = 100 × (Net income (loss) attributable to common stockholdersQ3 2026 + Net income (loss) attributable to common stockholdersQ2 2026 + Net income (loss) attributable to common stockholdersQ1 2026 + Net income (loss) attributable to common stockholdersQ4 2025) ÷ (RevenueQ3 2026 + RevenueQ2 2026 + RevenueQ1 2026 + RevenueQ4 2025)
= 100 × (1,128,012 + 1,061,890 + 870,527 + 608,676) ÷ (2,313,411 + 1,935,464 + 1,632,583 + 1,406,802) = 50.34%

2 Click competitor name to see calculations.


The financial trajectory indicates a fundamental shift from significant operating losses to high-margin profitability over the analyzed period. A consistent upward trend in both top-line revenue and bottom-line net income has resulted in a substantial and accelerating expansion of the net profit margin.

Revenue and Net Income Growth
Revenue exhibited consistent growth, increasing from 446.4 million USD in March 2022 to 2.31 billion USD by September 2026. Concurrently, net income transitioned from quarterly losses, which peaked at 179.3 million USD in June 2022, to quarterly profits exceeding 1.12 billion USD by the end of the period. This growth indicates a successful scaling of the business model.
Net Profit Margin Transition
The net profit margin underwent a phased recovery. Initially, margins were deeply negative, remaining near -30% throughout much of 2022. A steady narrowing of losses occurred throughout 2023, culminating in a transition to positive territory in September 2023 with a margin of 6.93%.
Profitability Acceleration
Following the transition to profitability, the net profit margin experienced a period of rapid expansion. Starting from 18.32% in March 2025, the margin climbed steeply to 50.34% by September 2026. This trajectory suggests significant operating leverage, as net income growth began to outpace revenue growth substantially in the final six quarters of the analyzed timeframe.

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Return on Equity (ROE)

Palantir Technologies Inc., ROE calculation (quarterly data)

Microsoft Excel
Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022
Selected Financial Data (US$ in thousands)
Net income (loss) attributable to common stockholders 1,128,012 1,061,890 870,527 608,676 475,599 326,727 214,031 79,009 143,525 134,126 105,530 93,391 71,505 28,127 16,802 30,878 (123,875) (179,329) (101,379)
Total Palantir’s stockholders’ equity 11,227,981 9,774,194 8,449,663 7,387,268 6,590,457 5,928,901 5,424,155 5,003,275 4,498,143 4,050,524 3,775,227 3,475,561 3,190,015 2,955,474 2,723,733 2,565,326 2,386,615 2,348,824 2,364,746
Profitability Ratio
ROE1 32.68% 30.86% 27.00% 22.00% 16.62% 12.87% 10.52% 9.24% 10.59% 9.99% 7.91% 6.04% 4.62% -1.63% -9.38% -14.57% -23.50% -22.95% -21.07%
Benchmarks
ROE, Competitors2
Accenture PLC 24.43% 24.51% 24.66% 24.61% 26.01% 26.27% 25.93% 25.68% 25.06% 25.92% 25.79% 26.75% 28.28% 29.20% 30.69% 31.11% 30.99% 31.09% 30.45%
Adobe Inc. 61.92% 62.76% 63.05% 61.34% 59.11% 60.00% 51.55% 39.42% 36.85% 34.22% 31.05% 32.86% 32.46% 32.71% 33.35% 33.85% 33.49% 34.96% 35.04%
AppLovin Corp. — 139.42% 167.67% 156.17% 192.05% 208.17% 333.67% 144.96% 122.87% 101.50% 78.59% 28.39% 9.58% 1.32% -4.32% -10.13% -4.35% -5.53% -3.44%
Cadence Design Systems Inc. 20.08% 20.09% 17.85% 20.26% 20.41% 20.21% 22.64% 22.58% 22.77% 24.77% 29.35% 30.58% 30.75% 30.59% 29.09% 30.93% 28.99% 29.53% 26.96%
Datadog Inc. — 4.07% 3.40% 2.89% 3.10% 3.90% 5.68% 6.77% 7.31% 6.77% 5.23% 2.40% -1.91% -5.04% -5.55% -3.56% -1.08% 0.54% 0.18%
International Business Machines Corp. 31.43% 31.13% 32.61% 32.45% 28.34% 21.20% 20.36% 22.06% 26.17% 35.09% 35.17% 33.29% 30.00% 9.12% 8.48% 7.47% 6.29% 28.79% 28.98%
Intuit Inc. 22.22% 22.78% 21.31% 19.63% 17.23% 16.92% 16.10% 16.07% 16.38% 16.38% 15.21% 13.81% 12.73% 12.28% 11.69% 12.57% 14.75% 13.93% 21.49%
Microsoft Corp. 30.22% 30.51% 28.90% 29.65% 30.02% 30.64% 31.46% 32.83% 34.04% 34.64% 34.93% 35.09% 35.45% 36.83% 40.21% 43.68% 44.47% 44.49% 44.67%
Oracle Corp. 42.11% 51.50% 51.51% 60.84% 72.68% 84.56% 101.48% 120.26% 189.26% 262.21% 395.57% 792.45% — — — — — — —
Palo Alto Networks Inc. 3.05% 13.65% 12.89% 14.49% 17.12% 19.68% 46.25% 49.86% 54.78% 52.25% 28.28% 25.15% 17.47% 4.71% -28.23% -127.14% -115.40% -391.77% -98.34%
Salesforce Inc. 12.03% 10.86% 10.23% 10.13% 10.14% 9.77% 9.17% 6.93% 4.46% 2.72% 0.66% 0.36% 0.47% 0.89% 1.70% 2.48% 3.05% 4.24% 10.44%
ServiceNow Inc. 11.03% 13.34% 14.98% 13.48% 15.32% 15.19% 15.17% 14.83% 14.38% 13.22% 23.78% 22.69% 22.08% 20.56% 7.14% 6.46% 4.44% 4.39% 5.58%
Synopsys Inc. 3.46% 2.54% 3.61% 4.70% 7.23% 21.82% 22.68% 25.17% 19.44% 19.94% 21.10% 20.01% 17.36% 15.79% 16.72% 17.85% 18.42% 18.13% 16.87%
Workday Inc. 7.23% 6.36% 5.46% 5.82% 18.79% 18.47% 18.23% 17.09% 1.01% -1.94% -4.45% -6.57% -5.81% -3.83% -0.55% 0.65% 0.73% -0.95% -5.01%

Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).

1 Q3 2026 Calculation
ROE = 100 × (Net income (loss) attributable to common stockholdersQ3 2026 + Net income (loss) attributable to common stockholdersQ2 2026 + Net income (loss) attributable to common stockholdersQ1 2026 + Net income (loss) attributable to common stockholdersQ4 2025) ÷ Total Palantir’s stockholders’ equity
= 100 × (1,128,012 + 1,061,890 + 870,527 + 608,676) ÷ 11,227,981 = 32.68%

2 Click competitor name to see calculations.


The financial trajectory indicates a structural transition from sustained net losses to significant profitability. This shift is most evident in the Return on Equity (ROE), which evolved from deep negative territory to a robust positive percentage over the analyzed period, signaling a substantial increase in the efficiency of shareholder capital utilization.

Net Income Evolution
Net income remained negative throughout the first three quarters of 2022, with a peak loss of 179.3 million USD in June 2022. A pivot to profitability was achieved in December 2022, followed by a sustained upward trajectory. While a temporary deceleration occurred in December 2024, the trend resumed an aggressive growth pattern, culminating in quarterly net income of 1.128 billion USD by September 2026.
Stockholders' Equity Expansion
Total stockholders' equity demonstrated consistent and linear growth throughout the entire period. The equity base increased from 2.36 billion USD in March 2022 to 11.23 billion USD by September 2026. This steady accumulation of equity indicates a strengthening balance sheet and a growing capital foundation to support operational scaling.
ROE Performance and Trajectory
The ROE progression is characterized by three distinct phases. The first phase, spanning from March 2022 to June 2023, was a recovery period where ROE improved from -21.07% to -1.63%. The second phase occurred in September 2023, marking the transition to positive returns at 4.62%. The third phase, beginning in late 2023 and continuing through September 2026, shows an acceleration of returns, with ROE climbing to 32.68%. This indicates that the growth in net income significantly outpaced the growth of the equity base, leading to exponential improvements in profitability ratios.

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Return on Assets (ROA)

Palantir Technologies Inc., ROA calculation (quarterly data)

Microsoft Excel
Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022
Selected Financial Data (US$ in thousands)
Net income (loss) attributable to common stockholders 1,128,012 1,061,890 870,527 608,676 475,599 326,727 214,031 79,009 143,525 134,126 105,530 93,391 71,505 28,127 16,802 30,878 (123,875) (179,329) (101,379)
Total assets 13,412,976 11,678,564 10,199,183 8,900,392 8,113,960 7,365,688 6,736,917 6,340,884 5,768,097 5,191,880 4,807,079 4,522,425 4,193,417 3,980,264 3,683,138 3,461,239 3,318,835 3,282,338 3,319,179
Profitability Ratio
ROA1 27.35% 25.83% 22.37% 18.26% 13.50% 10.36% 8.47% 7.29% 8.26% 7.79% 6.21% 4.64% 3.51% -1.21% -6.94% -10.80% -16.90% -16.42% -15.01%
Benchmarks
ROA, Competitors2
Accenture PLC 11.32% 11.40% 11.76% 11.74% 12.55% 12.83% 12.64% 12.99% 12.84% 13.70% 13.35% 13.41% 14.29% 14.54% 14.97% 14.55% 14.38% 14.42% 14.19%
Adobe Inc. 24.30% 24.15% 24.27% 24.17% 24.19% 24.44% 22.54% 18.39% 17.97% 16.93% 16.70% 18.23% 17.60% 17.44% 17.76% 17.51% 18.00% 18.57% 18.58%
AppLovin Corp. — 53.33% 51.42% 45.92% 44.63% 40.77% 33.64% 26.92% 21.18% 15.69% 11.35% 6.66% 2.10% 0.37% -1.39% -3.30% -1.41% -1.78% -1.12%
Cadence Design Systems Inc. 11.29% 11.41% 9.68% 10.92% 11.05% 10.64% 12.00% 11.76% 11.34% 14.61% 18.30% 18.36% 17.63% 17.26% 16.54% 16.53% 15.80% 17.77% 16.93%
Datadog Inc. — 2.35% 1.95% 1.62% 1.76% 2.14% 2.76% 3.18% 4.15% 3.70% 2.78% 1.23% -0.97% -2.51% -2.67% -1.67% -0.50% 0.25% 0.08%
International Business Machines Corp. 7.21% 7.05% 6.88% 6.97% 5.40% 3.93% 3.76% 4.39% 4.76% 6.30% 5.96% 5.55% 5.35% 1.53% 1.37% 1.29% 1.00% 4.38% 4.14%
Intuit Inc. 11.66% 12.66% 12.41% 10.47% 9.48% 9.59% 8.79% 9.22% 9.73% 9.33% 9.07% 8.58% 7.74% 7.15% 6.93% 7.45% 8.77% 8.26% 14.07%
Microsoft Corp. 18.04% 17.93% 16.49% 16.45% 17.18% 17.37% 17.31% 17.21% 17.80% 17.54% 17.29% 17.56% 18.16% 18.50% 19.40% 19.94% 21.03% 20.91% 20.24%
Oracle Corp. 6.61% 7.52% 6.89% 7.39% 7.53% 7.83% 7.61% 7.42% 7.76% 7.55% 6.86% 6.33% 6.36% 6.85% 4.46% 6.15% 6.96% 9.60% 11.35%
Palo Alto Networks Inc. 1.82% 5.13% 4.75% 4.81% 5.63% 5.99% 13.42% 12.89% 13.65% 12.45% 4.15% 3.03% 1.52% 0.26% -1.14% -2.18% -3.51% -4.44% -4.89%
Salesforce Inc. 7.59% 6.83% 6.29% 6.02% 6.49% 6.11% 5.69% 4.14% 2.85% 1.71% 0.41% 0.21% 0.30% 0.57% 1.08% 1.52% 1.99% 2.65% 6.85%
ServiceNow Inc. 4.54% 5.27% 7.21% 6.71% 7.94% 7.53% 7.33% 6.99% 7.25% 6.29% 10.99% 9.96% 10.51% 9.54% 2.94% 2.44% 1.81% 1.66% 2.03%
Synopsys Inc. 2.26% 1.65% 2.33% 2.76% 4.14% 9.11% 16.18% 17.31% 12.86% 12.96% 13.33% 11.90% 10.42% 9.40% 9.85% 10.45% 11.07% 10.95% 10.21%
Workday Inc. 3.62% 3.25% 2.83% 2.93% 9.87% 9.49% 9.33% 8.39% 0.48% -0.89% -2.00% -2.72% -2.54% -1.48% -0.21% 0.28% 0.33% -0.40% -1.98%

Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).

1 Q3 2026 Calculation
ROA = 100 × (Net income (loss) attributable to common stockholdersQ3 2026 + Net income (loss) attributable to common stockholdersQ2 2026 + Net income (loss) attributable to common stockholdersQ1 2026 + Net income (loss) attributable to common stockholdersQ4 2025) ÷ Total assets
= 100 × (1,128,012 + 1,061,890 + 870,527 + 608,676) ÷ 13,412,976 = 27.35%

2 Click competitor name to see calculations.


A comprehensive shift in financial performance is observed between March 2022 and September 2026, characterized by a transition from significant quarterly losses to substantial profitability. This evolution is marked by a simultaneous expansion of the asset base and a dramatic improvement in asset utilization efficiency.

Net Income Trajectory
The period began with consistent losses, reaching a low of negative 179.3 million US dollars in June 2022. A critical inflection point occurred in December 2022, when the first positive quarterly net income of 30.8 million US dollars was recorded. From this point, a sustained upward trend followed, with net income growing exponentially. By the final quarter of the analysis in September 2026, net income reached 1.128 billion US dollars, representing a complete reversal of the initial loss-making trend.
Asset Base Expansion
Total assets exhibited continuous growth throughout the analyzed timeframe. Starting at 3.319 billion US dollars in March 2022, the asset base expanded steadily to 4.522 billion US dollars by December 2023. Growth accelerated further in 2024 and 2025, eventually reaching 13.412 billion US dollars by September 2026. This represents an approximate fourfold increase in total assets over the five-year period.
Return on Assets (ROA) Analysis
The ROA reflects the correlation between the expanding asset base and the surging net income. Initially, ROA was deeply negative, bottoming out at -16.90% in September 2022. The ratio trended toward zero throughout the first half of 2023, officially entering positive territory in September 2023 with a value of 3.51%. Following this breakthrough, the ROA experienced an aggressive climb, surpassing 10% by June 2025 and peaking at 27.35% in September 2026. This indicates that the company not only grew its asset base but significantly increased the profitability generated by each unit of those assets.

The convergence of these trends suggests a period of scaling where income growth significantly outpaced asset growth. The transition from a negative ROA to a high positive ROA indicates a successful shift from a capital-investment phase to a high-efficiency operational phase.

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