Palantir, tech’s next big IPO, lost $580 mn in 2019
Palantir, a Silicon Valley company with strong links to the defense and intelligence communities, is poised to be the latest in a string of tech companies to offer shares on Wall Street well before turning a profit.
The company sent financial documents to its investors Thursday night, before its planned debut on the public markets this year. The documents, obtained by The New York Times, offer the first full look into the company’s financials and operations and show growing operating expenses as well as deep losses.
Palantir’s revenue in 2019 was $742.5 mn, nearly 25% more than the year before. Its net loss of $580 million was about the same as 2018. And expenses were up 2% in 2019 to a little more than $1 billion.
The company, which has raised more than $3 billion in funding and is valued by private market investors at $20 bn, has not turned a profit since it was founded in 2003. As early as 2014, Palantir had fanned expectations that it would soon hit $1 bn in revenue. Six years later, it appears to be closing in on that goal. In the first six months of this year, Palantir’s revenue was $481 mn.