Overview
- Second-quarter revenue reached $1 billion, up 48% year over year, as net income rose 144% to $328.6 million and profit margins hit roughly 33%.
- Adoption of the Artificial Intelligence Platform accelerated deal activity, with 157 contracts over $1 million and U.S. commercial revenue up 93%; U.S. government revenue grew 53%.
- Shares are up about 33% over the past three months and roughly 136% year to date, yet multiple commentators describe the stock as priced for perfection with valuation multiples far above peers.
- Recent contract momentum includes a reported 10-year U.S. Army agreement worth up to $10 billion and a reported U.K. initiative targeting up to £1.5 billion tied to jobs, growth and national security.
- Near-term watch items include management’s projection for 50% year-over-year revenue growth in Q3—about 8% sequential—plus risks from a potential prolonged U.S. federal shutdown and new competition such as Salesforce in national security software.