IonQ(US:IONQ)2025-05-07 20:17Financial Performance - The company reported net losses of $32.3 million and $39.6 million for the three months ended March 31, 2025 and 2024, respectively, with an accumulated deficit of $716.0 million as of March 31, 2025[159]. - Revenue for the three months ended March 31, 2025, was $7.566 million, a decrease of $16, or less than 1%, compared to $7.582 million for the same period in 2024[179]. - Net cash used in operating activities was $33.025 million for the three months ended March 31, 2025, compared to $20.465 million in the same period of 2024[192]. - The company expects to incur significant losses and higher operating expenses for the foreseeable future, with an accumulated deficit of $716.0 million as of March 31, 2025[188]. Expenses - Cost of revenue (excluding depreciation and amortization) increased by $0.901 million, or 26%, to $4.315 million for the three months ended March 31, 2025, from $3.414 million in 2024[180]. - Research and development expenses rose by $7.585 million, or 23%, to $39.953 million for the three months ended March 31, 2025, driven by increased payroll-related expenses[181]. - Sales and marketing expenses increased by $1.909 million, or 28%, to $8.610 million for the three months ended March 31, 2025, primarily due to higher payroll-related expenses[182]. - General and administrative expenses surged by $9.786 million, or 70%, to $23.806 million for the three months ended March 31, 2025, largely due to increased payroll-related expenses and professional service fees[183]. - Depreciation and amortization expenses increased by $2.606 million, or 66%, to $6.561 million for the three months ended March 31, 2025, attributed to higher depreciation associated with capitalized quantum computing system costs[185]. Cash Flow - Net cash provided by investing activities for the three months ended March 31, 2024, was $43.5 million, driven by cash received from maturities of available-for-sale securities of $115.0 million, offset by purchases of available-for-sale securities of $66.6 million[197]. - Net cash provided by financing activities for the three months ended March 31, 2025, was $368.7 million, primarily from proceeds of the 2025 ATM Offering Program and exercised warrants[199]. - Net cash provided by financing activities for the three months ended March 31, 2024, was $1.4 million, mainly from tax withholding receipts related to restricted stock units and proceeds from stock options exercised[199]. - As of March 31, 2025, the company had cash, cash equivalents, and available-for-sale securities totaling $697.1 million, excluding $2.7 million of restricted cash[188]. Strategic Developments - The company announced the acquisition of Lightsynq Technologies, Inc., which developed the first-ever quantum repeater, enhancing its quantum networking capabilities[160]. - A joint development agreement with EPB includes a system sale of a Forte Enterprise system for $22 million to optimize energy grid algorithms[162]. - The company has closed its acquisition of a majority stake in ID Quantique, a leader in quantum-safe networking and detection systems[162]. - The company is progressing on a new headquarters in Maryland, which will be adjacent to DARPA's Quantum Benchmarking Initiative[162]. - The company has been selected by DARPA for the first stage of its Quantum Benchmarking Initiative, aimed at developing industrially useful quantum computers[162]. - The company announced a flagship distributor partnership with Toyota Tsusho Corporation to accelerate quantum computing in Japan, marking its entry into the Japanese market[162]. - The company reported that its quantum computing system achieved results up to 12% faster than classical computing in a collaboration with Ansys[162]. - The company has over 950 owned and controlled patents and patents pending, indicating strong momentum in its technological roadmap[162]. Market Risks - The company is exposed to market risk related to changes in interest rates and concentration of credit, with no material changes since December 31, 2024[204]. - The company has not experienced any material changes to its critical accounting estimates since the last Annual Report on Form 10-K[201]. Fair Value Adjustments - Gain on change in fair value of warrant liabilities increased by $29.867 million, or 346%, to $38.494 million for the three months ended March 31, 2025, due to mark-to-market adjustments[186].