Core Insights - Rigetti Computing Inc. and IonQ Inc. are both competing for quantum advantage but approach the market from different financial and technological perspectives [1][5] Financial Position - IonQ has raised approximately $1.6 billion in equity, providing it with a strong financial position to fund research and acquisitions without debt [2] - Rigetti, with $571.6 million in cash reserves, also maintains a debt-free status, allowing its CEO to focus on achieving specific technological milestones [3] Technological Edge - Rigetti emphasizes speed, with its superconducting qubits executing gates in tens of nanoseconds, significantly faster than IonQ's traditional trapped-ion systems [4] - IonQ has announced advancements in its technology, specifically mixed-species nanosecond-pulse gates, which could enhance the speed of its systems and narrow the performance gap with Rigetti [4] Strategic Focus - Rigetti is focused on engineering and speed, while IonQ is positioned for deliberate growth and acquisition [5] - Both companies aim to achieve over a thousand qubits with near-perfect fidelity, which is essential for practical quantum computing [5][6]

Core Viewpoint - Rigetti Computing reported a larger-than-expected loss for Q2 2025, with significant revenue decline and a focus on advancing its quantum computing technology [1][2]. Financial Performance - The company reported an adjusted loss per share of $0.13, compared to the market expectation of a loss of $0.04 [1]. - Total revenue for the quarter was $1.8 million, a year-over-year decrease of 41.9%, falling short of the expected $1.87 million [1]. - Net loss for the quarter was $39.7 million, which included a non-cash loss of $22.8 million related to warrant derivatives and fair value changes [1]. - Operating expenses were $20.4 million, leading to an operating loss of $19.9 million [1]. - Rigetti completed a $350 million equity financing, enhancing its financial position, and reported approximately $571.6 million in cash and equivalents with no debt as of June 30, 2025 [1]. Technological Advancements - Rigetti introduced its multi-chip quantum computer "Cepheus-1-36Q," claiming it to be the largest in the industry, featuring four small chips with a median two-qubit gate fidelity of 99.5% [2]. - The error rate of the new system is reduced by half compared to the previous Ankaa-3 system [2]. - The company plans to launch a system with over 100 qubits by the end of 2025, maintaining a median two-qubit gate fidelity of 99.5% [2]. - The quantum computing systems leverage quantum mechanics properties, potentially surpassing traditional computing capabilities in specific areas [2]. Industry Context - Despite advancements, no company has yet achieved practical, large-scale quantum computing with precise control over quantum states [3]. - Industry leaders like NVIDIA and Microsoft are pushing towards significant technological breakthroughs in quantum computing [4]. - The quantum technology investment surge has led to a dramatic increase in Rigetti's stock price, which has risen over 1700% in the past year, although it saw a 3.5% drop post-earnings announcement [4].

Financial Performance - Rigetti Computing reported a quarterly loss of $0.05 per share, better than the Zacks Consensus Estimate of a loss of $0.06, and an improvement from a loss of $0.07 per share a year ago, resulting in an earnings surprise of +16.67% [1] - The company posted revenues of $1.8 million for the quarter ended June 2025, missing the Zacks Consensus Estimate by 5.71%, and a decline from year-ago revenues of $3.09 million [2] - Over the last four quarters, Rigetti has surpassed consensus EPS estimates only once and has not beaten consensus revenue estimates during the same period [2] Stock Performance and Outlook - Rigetti Computing shares have increased approximately 4.7% since the beginning of the year, compared to the S&P 500's gain of 8.4% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.06 on revenues of $2.39 million, and for the current fiscal year, it is -$0.05 on revenues of $8.78 million [7] - The company's Zacks Rank is 3 (Hold), indicating that shares are expected to perform in line with the market in the near future [6] Industry Context - The Internet - Software industry, to which Rigetti belongs, is currently in the top 39% of over 250 Zacks industries, suggesting that stocks in the top 50% outperform those in the bottom 50% by more than 2 to 1 [8]

Financial Data and Key Metrics Changes - Revenues for Q2 2025 were $1.8 million, down from $3.1 million in Q2 2024, impacted by the expiration of the National Quantum Initiative [10][11] - Gross margins decreased to 31% in Q2 2025 from 64% in Q2 2024, affected by revenue mix and pricing variability in development contracts [11] - Total operating expenses increased to $20.4 million in Q2 2025 from $18.1 million in Q2 2024, due to salary increases, new hires, and higher consulting costs [11][12] - The operating loss for Q2 2025 was $19.9 million, compared to $16.1 million in the prior year [12] - The net loss for Q2 2025 was $39.7 million, significantly higher than the $12.4 million net loss in Q2 2024, influenced by noncash charges related to derivative warrant liabilities [12][13] - As of June 30, 2025, the company had approximately $571.6 million in cash and no debt [13] Business Line Data and Key Metrics Changes - The company achieved a median two-qubit gate error rate of 99.5% with the CFES-136U system, marking a 2x reduction from the previous ANCA-3 system [5][7] - The CFES-136Q is the first multi-chip quantum computer to achieve this level of performance, validating the company's approach to scaling [5][6] Market Data and Key Metrics Changes - The expiration of the National Quantum Initiative and its pending reauthorization in the U.S. Congress is critical for future sales, particularly to U.S. and foreign governments [10][11] Company Strategy and Development Direction - The company aims to continue its focus on R&D and is exploring opportunities for mergers and acquisitions to accelerate its timeline [18][43] - The goal is to deliver a multi-chip 100+ qubit system with 99.5% two-qubit gate fidelity by the end of 2025, with a long-term target of achieving quantum advantage within four years [19][30] - The company believes that superconducting qubits are the leading modality for quantum computers due to their scalability and speed advantages [5][6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving technology milestones and emphasized that technology development remains the key metric for long-term success [8][19] - The management acknowledged the challenges in achieving quantum advantage, including the need for error correction and faster gate speeds [32][36] - There is optimism regarding bipartisan support for the reauthorization of the National Quantum Initiative, which is expected to enhance funding opportunities [70][71] Other Important Information - The company has completed the sale of $350 million in common stock to strengthen its balance sheet [8] - The partnership with Quanta is viewed as strategic, focusing on control systems and hardware stack development [22][98] Q&A Session Summary Question: Use of proceeds from the recent equity raise - The company intends to focus on R&D development and will consider opportunities to accelerate timelines using its balance sheet [18] Question: Update on Quanta's involvement - Quanta is investing in the non-QPU portion of the hardware stack, focusing on control systems to work with the company's QPUs [22] Question: Confidence in achieving 100 qubit chip - The company is confident in reaching 100+ qubits with 99.5% fidelity by the end of the year, leveraging the chiplet approach for easier scaling [28] Question: Roadmap for gate speeds - The company aims to achieve gate speeds faster than 50 nanoseconds, which is critical for quantum advantage [49][50] Question: Current valuations in quantum assets and M&A - The company is open to M&A opportunities but currently sees no practical options that would significantly accelerate its timeline [44] Question: Updates on government funding and initiatives - The company continues to engage with the DOE and DOD, maintaining strong relationships despite the lack of NQI funding [106][107]

Financial Data and Key Metrics Changes - Revenues for Q2 2025 were $1.8 million, down from $3.1 million in Q2 2024, impacted by the expiration of the National Quantum Initiative [11][12] - Gross margins decreased to 31% in Q2 2025 from 64% in Q2 2024, affected by revenue mix and pricing variability in development contracts [12] - Total operating expenses increased to $20.4 million in Q2 2025 from $18.1 million in the prior year, due to salary increases, new hires, and higher consulting costs [12][13] - Operating loss for Q2 2025 was $19.9 million, compared to $16.1 million in Q2 2024, with a net loss of $39.7 million in Q2 2025 versus $12.4 million in Q2 2024 [13][14] - As of June 30, 2025, the company had approximately $571.6 million in cash and no debt [14] Business Line Data and Key Metrics Changes - The company achieved a median two-qubit gate error rate of 99.5% with the CFES-136U system, a 2x reduction from the previous ANCA-3 system [5][6] - The CFES-136Q is the first multi-chip quantum computer to achieve this level of performance, validating the company's approach to scaling quantum computers [5][7] Market Data and Key Metrics Changes - The expiration of the National Quantum Initiative and its pending reauthorization in the U.S. Congress is critical for future sales, particularly to U.S. and foreign governments [11][12] Company Strategy and Development Direction - The company aims to continue its momentum in technology development, with plans to release a 100+ qubit chiplet-based system at 99.5% median two-qubit gate fidelity before the end of 2025 [8][9] - The focus remains on R&D development, with the potential for M&A opportunities to accelerate timelines if beneficial [18][44] - The company believes that superconducting qubits are the leading modality for quantum computers due to their scalability and speed advantages [5][6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving technology milestones and emphasized that the key metric for long-term success is the achievement of technology goals rather than revenue growth [9] - The management team is optimistic about the bipartisan support for the reauthorization of the National Quantum Initiative, which is expected to enhance funding opportunities [69][70] Other Important Information - The company completed the sale of $350 million in common stock to strengthen its balance sheet [9] - The partnership with Quanta is viewed as strategic, focusing on control systems and hardware stack development [24][100] Q&A Session Summary Question: Use of proceeds from the recent equity raise - The company intends to focus on R&D development and will consider M&A opportunities if they can accelerate timelines [18][20] Question: Update on Quanta's involvement - Quanta is focused on developing control systems and is seen as a strategic partner for hardware development [24] Question: Confidence in achieving 100 qubit chip - The company is confident in reaching 100+ qubit systems with 99.5% fidelity by year-end, leveraging the chiplet approach [30][31] Question: Roadmap for gate speeds - The company aims to achieve gate speeds below 50 nanoseconds, which is critical for quantum advantage [47][50] Question: Current status of government funding - There is bipartisan support for the National Quantum Initiative reauthorization, with ongoing discussions in Congress [69][70] Question: Feedback from QBI or NQCC - The company is actively engaged with both organizations and is optimistic about progressing to phase two of the DARPA initiative [76][77] Question: Transitioning to larger chiplet sizes - The company is evaluating the optimal chiplet size and plans to transition before reaching 1,000 qubits [59][60] Question: Implications of chiplet approach on customer interest - The chiplet approach is seen as essential for scaling to fault-tolerant quantum computing, generating interest from government customers [86][87]

Core Insights - Rigetti Computing reported a quarterly loss of 13 cents per share, missing the analyst consensus estimate of a 6-cent loss [1] - Quarterly revenue was $1.8 million, below the analyst consensus estimate of $1.88 million, and down from $3.086 million in the same period last year [1][4] - Total operating expenses for the quarter were $20.4 million, resulting in an operating loss of $19.9 million and a net loss of $39.7 million [4] Company Developments - Rigetti announced the general availability of its multi-chip quantum computer, Cepheus 1-36Q, which is a significant technological advancement for the company [3] - CEO Dr. Subodh Kulkarni expressed confidence in achieving year-end technology goals, highlighting the company's proprietary chiplet approach and strong financial position [2]

[PART I — FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20%E2%80%94%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements (Unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) Unaudited H1 2025 financials show total assets surged to **$636.7 million** from financing, achieving **$3.0 million** net income despite revenue decline and wider operating loss [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets surged to **$636.7 million** driven by cash and investments, with equity increasing and liabilities decreasing Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $57,183 | $67,674 | | Available-for-sale investments | $514,459 | $149,488 | | Total current assets | $433,579 | $206,758 | | Total assets | $636,690 | $284,787 | | **Liabilities & Stockholders' Equity** | | | | Total current liabilities | $10,430 | $11,867 | | Derivative warrant liabilities | $60,116 | $93,095 | | Earn-out liabilities | $6,371 | $45,897 | | Total liabilities | $83,427 | $158,198 | | Total stockholders' equity | $553,263 | $126,589 | | Total liabilities and stockholders' equity | $636,690 | $284,787 | [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2025 revenue decreased and operating loss widened, but H1 2025 achieved **$3.0 million** net income primarily due to non-operating fair value gains Statement of Operations Summary (in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenue | $1,801 | $3,086 | $3,273 | $6,138 | | Gross Profit | $566 | $1,990 | $1,008 | $3,490 | | Loss from Operations | $(19,882) | $(16,085) | $(41,514) | $(32,670) | | Net Income (Loss) | $(39,654) | $(12,421) | $2,965 | $(33,194) | | Net Income (Loss) per Share - basic | $(0.13) | $(0.07) | $0.01 | $(0.21) | - The significant swing to **net income** for the six months ended June 30, 2025, was primarily due to **non-operating gains** from changes in the fair value of derivative warrant liabilities (**+$32.7M**) and earn-out liabilities (**+$6.6M**)[22](index=22&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) H1 2025 saw **$389.1 million** cash inflow from financing, offsetting operating and investing outflows, ending with **$57.2 million** cash and equivalents Cash Flow Summary for the Six Months Ended June 30 (in thousands) | Cash Flow Activity | 2025 | 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | $(29,820) | $(26,656) | | Net cash used in investing activities | $(369,732) | $(7,033) | | Net cash provided by financing activities | $389,095 | $33,093 | | Net decrease in cash and cash equivalents | $(10,491) | $(708) | | Cash and cash equivalents – end of period | $57,183 | $20,684 | - **Financing activities** were the **primary source of cash**, with **$346.7 million** from an **ATM offering** and **$35.0 million** from a **private placement with Quanta**[27](index=27&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail the anticipated loss of EGC status, significant financing activities including a **$350 million** ATM offering, a **$35 million** Quanta private placement, and high revenue concentration from government entities - The company will **lose its 'Emerging Growth Company' (EGC) and 'smaller reporting company' status** as of **December 31, 2025**, which will lead to **increased disclosure requirements and compliance costs**, including an **auditor's attestation on internal controls**[37](index=37&type=chunk) - In May 2025, the company completed an **At-the-Market (ATM) offering**, raising gross proceeds of **$350 million** from the sale of **30.3 million shares** at a weighted average price of **$11.55 per share**[95](index=95&type=chunk)[96](index=96&type=chunk) - A **collaboration agreement** was signed with **Quanta Computer Inc.** in February 2025, involving **mutual commitments to invest at least $250 million each** in quantum computing over **five years**, and Rigetti completed a **$35 million private placement** with Quanta[137](index=137&type=chunk)[138](index=138&type=chunk)[140](index=140&type=chunk) - Revenue is **highly concentrated**, with sales to **government entities** comprising **90.7% of total revenue** for the six months ended June 30, 2025, and **Four customers (B, C, D, F)** accounted for **95% of accounts receivable** as of June 30, 2025[126](index=126&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=27&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses H1 2025 revenue decline and wider operating loss, offset by non-cash gains leading to net income, with liquidity bolstered by **$350 million** ATM and **$35 million** private placement, alongside quantum computing milestones [Overview and Recent Developments](index=27&type=section&id=Overview%20and%20Recent%20Developments) Rigetti, building quantum computers, focuses on QPUs/QCaaS, with recent **$350 million** ATM offering, Quanta collaboration, and achieved **99.5%** two-qubit gate fidelity milestone - The company's **long-term business model** centers on revenue from sales of **quantum processing units (QPUs)** and **Quantum Computing as a Service (QCaaS)**, but the majority of current revenues are from **development contracts**[147](index=147&type=chunk) - On July 16, 2025, the company announced it achieved its **mid-year performance milestone** of **99.5% median two-qubit gate fidelity** on a **modular 36-qubit system** and expects to release a **100+ qubit chiplet-based system** with similar fidelity before the end of 2025[152](index=152&type=chunk) - The company completed a **$350 million At-the-Market (ATM) offering** in Q2 2025, raising net proceeds of **$346.7 million**[154](index=154&type=chunk) - A **collaboration agreement with Quanta** was established, involving a **$35 million private placement** and a commitment for each party to **invest at least $250 million** in quantum computing over five years[155](index=155&type=chunk)[157](index=157&type=chunk) [Results of Operations](index=32&type=section&id=Results%20of%20Operations) H1 2025 revenue decreased by **47%**, gross profit fell by **71%**, and operating expenses rose by **18%**, leading to a wider **$41.5 million** operating loss, though non-cash gains resulted in **$3.0 million** net income Comparison of Results for the Six Months Ended June 30 (in thousands) | Metric | 2025 | 2024 | $ Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Revenue | $3,273 | $6,138 | $(2,865) | (47)% | | Gross Profit | $1,008 | $3,490 | $(2,482) | (71)% | | Research and development | $28,977 | $23,341 | $5,636 | 24% | | Selling, general and administrative | $13,545 | $12,819 | $726 | 6% | | Loss from operations | $(41,514) | $(32,670) | $(8,844) | 27% | | Total other income (expense), net | $44,479 | $(524) | $45,003 | NM | | Net income (loss) | $2,965 | $(33,194) | $36,159 | (109)% | - The **decrease in revenue** was mainly due to **reductions in collaborative research and professional services contracts**, impacted by the **pending reauthorization of the National Quantum Initiative Act**[168](index=168&type=chunk) - The **increase in R&D expenses** was mainly due to a **$3.2 million increase in salaries and employee-related costs** and a **$1.1 million increase in stock-based compensation**[175](index=175&type=chunk) [Liquidity and Capital Resources](index=36&type=section&id=Liquidity%20and%20Capital%20Resources) Despite historical losses and a **$551.8 million** accumulated deficit, management believes current liquidity, bolstered by **$389.1 million** from financing, is sufficient for 12 months, with future **$250 million** Quanta collaboration commitments - The company believes its existing cash, cash equivalents, and available-for-sale investments are **sufficient to meet operating needs for at least the next 12 months**[188](index=188&type=chunk) - Cash provided by **financing activities** totaled **$389.1 million** for the six months ended June 30, 2025, primarily from the **ATM offering** and the **Quanta private placement**[206](index=206&type=chunk) - **Long-term cash requirements** include a commitment to **invest at least $250.0 million** in quantum computing over a **five-year period** as part of the **Collaboration Agreement with Quanta**[192](index=192&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risks](index=35&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risks) As a smaller reporting company, the company is exempt from providing quantitative and qualitative disclosures about market risks - As a **smaller reporting company**, Rigetti is **not required to provide quantitative and qualitative disclosures about market risk**[217](index=217&type=chunk) [Item 4. Controls and Procedures](index=35&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded disclosure controls and procedures were effective as of June 30, 2025, with no material changes in internal control over financial reporting - Management concluded that as of June 30, 2025, the company's disclosure controls and procedures were **effective at a reasonable assurance level**[219](index=219&type=chunk) - **No material changes in internal control over financial reporting** occurred during the quarter ended June 30, 2025[220](index=220&type=chunk) [PART II — OTHER INFORMATION](index=36&type=section&id=PART%20II%20%E2%80%94%20OTHER%20INFORMATION) [Item 1. Legal Proceedings](index=36&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently involved in any material legal proceedings - The company is **not currently involved in any material legal proceedings**[223](index=223&type=chunk) [Item 1A. Risk Factors](index=36&type=section&id=Item%201A.%20Risk%20Factors) A key risk is the loss of 'emerging growth company' and 'smaller reporting company' status after **December 31, 2025**, leading to increased compliance requirements and costs - A new material risk is that the company will **lose its 'emerging growth company' (EGC) and 'smaller reporting company' status** as of **December 31, 2025**[225](index=225&type=chunk) - The loss of EGC status will subject the company to **increased compliance requirements**, such as **auditor attestation of internal controls** under Sarbanes-Oxley Act Section 404(b) and **more detailed executive compensation disclosures**, leading to **higher compliance costs**[226](index=226&type=chunk)[230](index=230&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=36&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No unregistered sales of equity securities occurred during the period - None[227](index=227&type=chunk) [Item 5. Other Information](index=37&type=section&id=Item%205.%20Other%20Information) Two board members, Thomas Iannotti and Gail Sandford, adopted Rule 10b5-1 trading plans for common stock sales - On May 15, 2025, director **Thomas Iannotti** adopted a **trading plan** for the sale of **up to 200,000 shares** of Common Stock, scheduled to terminate by **August 13, 2026**[232](index=232&type=chunk) - On June 12, 2025, director **Gail Sandford** adopted a **trading plan** for the sale of shares, scheduled to terminate by **September 10, 2026**[233](index=233&type=chunk) [Item 6. Exhibits](index=38&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with Form 10-Q, including CEO/CFO certifications and interactive data files

[Rigetti Second Quarter 2025 Results Overview](index=1&type=section&id=Rigetti%20Second%20Quarter%202025%20Results%20Overview) This section provides an overview of Rigetti's financial performance, technological advancements, and business developments for Q2 2025 [Financial Highlights](index=1&type=section&id=Financial%20Highlights) For the second quarter ended June 30, 2025, Rigetti reported total revenues of $1.8 million and a net loss of $39.7 million, significantly impacted by a $22.8 million non-cash loss, ending the quarter with a strong cash position of $571.6 million Q2 2025 Financial Highlights (Three Months Ended June 30, 2025) | Metric | Value (USD) | | :--- | :--- | | Total Revenues | $1.8 million | | Total Operating Expenses | $20.4 million | | Operating Loss | $19.9 million | | Net Loss | $39.7 million | | Cash, Cash Equivalents & Investments | $571.6 million | - The net loss for Q2 2025 includes a significant non-cash loss of **$22.8 million** from the fair value change in derivative warrant and earn-out liabilities[7](index=7&type=chunk) [Technology Update](index=1&type=section&id=Technology%20Update) Rigetti announced the general availability of its Cepheus™-1-36Q, the industry's largest multi-chip quantum computer, demonstrating significant performance improvements and planning a 100+ qubit system by end of 2025 - The 36-qubit multi-chip quantum computer, Cepheus-1-36Q, is now generally available on the Rigetti Quantum Cloud Services Platform (QCS®) and will be available on Microsoft Azure[4](index=4&type=chunk) - Cepheus-1-36Q achieved a **2x reduction** in two-qubit gate error rate compared to the previous Ankaa™-3 system, reaching a median two-qubit gate fidelity of **99.5%**[4](index=4&type=chunk)[5](index=5&type=chunk) - Key technological features contributing to performance include a proprietary chiplet-based architecture, faster two-qubit gates, and an enhanced intermodule coupler design[8](index=8&type=chunk) - Rigetti plans to release a **100+ qubit** chiplet-based system at **99.5%** median two-qubit gate fidelity before the end of 2025[9](index=9&type=chunk) [Business Update](index=3&type=section&id=Business%20Update) During the second quarter of 2025, Rigetti significantly strengthened its financial position by completing a $350 million equity offering, holding approximately $571.6 million in cash, cash equivalents, and investments with no debt - Completed an at-the-market equity offering with **$350 million** in gross proceeds during Q2 2025[10](index=10&type=chunk) - As of June 30, 2025, the company had approximately **$571.6 million** in cash, cash equivalents, and available-for-sale investments with no debt[10](index=10&type=chunk) - Proceeds are intended for working capital, capital expenditures, and potential strategic collaborations or acquisitions[11](index=11&type=chunk) [Financial Statements](index=5&type=section&id=Financial%20Statements) This section presents Rigetti's condensed consolidated balance sheets, statements of operations, and statements of cash flows [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, Rigetti's total assets increased significantly to $636.7 million from $284.8 million at the end of 2024, driven by a substantial rise in cash and available-for-sale investments, while total liabilities decreased to $83.4 million, leading to total stockholders' equity growing to $553.3 million Balance Sheet Summary (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $57,183 | $67,674 | | Total current assets | $433,579 | $206,758 | | **Total assets** | **$636,690** | **$284,787** | | Total current liabilities | $10,430 | $11,867 | | **Total liabilities** | **$83,427** | **$158,198** | | **Total stockholders' equity** | **$553,263** | **$126,589** | [Condensed Consolidated Statements of Operations](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) For the three months ended June 30, 2025, Rigetti's revenue decreased to $1.8 million from $3.1 million in the same period of 2024, resulting in a net loss of $39.7 million, or ($0.13) per share, primarily due to a $22.8 million non-cash charge and higher operating expenses Statement of Operations Summary (in thousands, except per share data) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | Revenue | $1,801 | $3,086 | | Gross Profit | $566 | $1,990 | | Loss from Operations | $(19,882) | $(16,085) | | **Net Loss** | **$(39,654)** | **$(12,421)** | | Net Loss Per Share - basic | $(0.13) | $(0.07) | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2025, net cash used in operating activities was $29.8 million, investing activities used $369.7 million, and financing activities provided $389.1 million, resulting in a net decrease in cash and cash equivalents of $10.5 million Cash Flow Summary (in thousands) | Cash Flow Activity | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | $(29,820) | $(26,656) | | Net cash used in investing activities | $(369,732) | $(7,033) | | Net cash provided by financing activities | $389,095 | $33,093 | | **Net decrease in cash and cash equivalents** | **$(10,491)** | **$(708)** | | Cash and cash equivalents – end of period | $57,183 | $20,684 | [Other Information](index=3&type=section&id=Other%20Information) This section provides details on the upcoming conference call and important cautionary language regarding forward-looking statements [Conference Call and Webcast](index=3&type=section&id=Conference%20Call%20and%20Webcast) Rigetti will host a conference call and webcast on August 12, 2025, at 5:00 pm ET to discuss its second quarter 2025 financial results, with participation and access details provided - A conference call to discuss Q2 2025 financial results is scheduled for August 12, 2025, at **5:00 pm ET**[12](index=12&type=chunk) - Instructions for accessing the live audio webcast and replay are available on the company's Investor Relations website[13](index=13&type=chunk) [Cautionary Language Concerning Forward-Looking Statements](index=4&type=section&id=Cautionary%20Language%20Concerning%20Forward-Looking%20Statements) This section contains standard cautionary language regarding forward-looking statements, advising readers that future expectations are subject to various risks and uncertainties that could cause actual results to differ materially - The report includes forward-looking statements regarding future performance, technology roadmap, and use of capital, which are inherently uncertain[17](index=17&type=chunk) - Readers are cautioned not to place undue reliance on these statements and are directed to the company's SEC filings for a detailed discussion of risks and uncertainties[17](index=17&type=chunk)

Core Insights - Rigetti Computing, Inc. reported its financial results for Q2 2025, highlighting significant advancements in quantum computing technology and a strong financial position following a $350 million equity raise [1][12]. Financial Performance - Total revenues for Q2 2025 were $1.8 million, a decrease from $3.1 million in Q2 2024 [9][23]. - Total operating expenses for Q2 2025 were $20.4 million, compared to $18.1 million in Q2 2024 [9][23]. - The operating loss for Q2 2025 was $19.9 million, up from a loss of $16.1 million in Q2 2024 [9][23]. - The net loss for Q2 2025 was $39.7 million, which included $22.8 million of non-cash losses related to derivative warrant and earn-out liabilities [9][23]. - As of June 30, 2025, the company had cash, cash equivalents, and available-for-sale investments totaling $571.6 million, with no debt [9][12]. Technology Advancements - Rigetti launched the Cepheus™-1-36Q, the industry's largest multi-chip quantum computer, achieving a 2x reduction in two-qubit gate error rate and a median two-qubit gate fidelity of 99.5% [4][5]. - The company emphasizes the superiority of superconducting qubits for quantum computing, citing their scalability and speed advantages over other modalities [6]. - Rigetti's proprietary chiplet-based architecture enhances performance and manufacturing efficiency, contributing to the recent technological advancements [10]. Business Strategy - The proceeds from the recent equity offering will primarily be used for working capital, capital expenditures, and potential strategic collaborations or acquisitions [12][13]. - Rigetti plans to release a 100+ qubit chiplet-based system by the end of 2025, maintaining a target of 99.5% median two-qubit gate fidelity [11]. Historical Context - Rigetti introduced the world's first multi-chip quantum processor in 2021, which laid the groundwork for the recent Cepheus-1-36Q [7]. - The company has been operating quantum computers over the cloud since 2017 and has expanded its offerings to include on-premises quantum computing systems [17].

Rigetti Computing Inc. RGTI isn't just riding a wave – it's surfing a quantum tide that's left skeptics scrambling for their slide rules. The stock, up a staggering 1,770% over the past year, now finds itself at a fascinating inflection point: Wall Street expects its second-quarter report to show a modest $1.88 million in revenue and a loss of just four cents per share, according to Benzinga Pro data. That's peanuts in the big-cap tech world, but for a quantum computing upstart, it's enough to make the mark ...