D-Wave Quantum (US:QBTS)2025-08-07 13:00Financial Data and Key Metrics Changes - Revenue for the second quarter of fiscal year 2025 totaled $3.1 million, an increase of approximately $900,000 or 42% from the 2024 revenue of $2.2 million [18] - GAAP gross profit for the second quarter was $2 million, an increase of approximately $600,000 or 42% from the 2024 GAAP gross profit of approximately $1.4 million [20] - Net loss for the second quarter was $167.3 million or $0.55 per share, an increase of $149.5 million or $0.45 per share from the 2024 net loss of $17.8 million or $0.10 per share [20] - Adjusted EBITDA loss for the second quarter was $20 million, an increase of $6.1 million or 44% from the 2024 adjusted EBITDA loss of $13.9 million [22] - The consolidated cash position as of June 30 was $819.3 million, representing over a 1900% increase from the fiscal 2024 second quarter consolidated cash balance of $40.9 million [24] Business Line Data and Key Metrics Changes - Bookings for the second quarter totaled $1.3 million, an increase of approximately $600,000 or 92% from the 2024 bookings of $700,000 [19] - The company signed new and renewing customer engagements with various organizations, including EON, GE Vernova, and the University of Oxford [13] Market Data and Key Metrics Changes - The company is experiencing high demand for purchasing systems, with numerous organizations globally interested in acquiring a D Wave quantum computer [9] - The LaunchPad program has received over 1,300 applications from business, government, and academic institutions since its introduction [15] Company Strategy and Development Direction - The company announced a strategic development initiative focused on advanced cryogenic packaging to support both gate model and annealing quantum processor development [5] - The company aims to accelerate its development efforts in support of its aggressive product roadmap towards 100,000 qubits [5] - The company is exploring M&A opportunities to enhance its R&D and product development activities [31] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's strong cash position and its ability to explore M&A activities to propel business growth [17] - The management highlighted the importance of both annealing and gate model quantum computers in addressing a broad range of problems [12] - Management noted that while progress is being made, the government’s focus on gate model quantum computing may overlook the capabilities of annealing quantum computing [66] Other Important Information - The company is investing in superconducting bump bond processes and upgrading its manufacturing operations to support future growth [26] - The company is also expanding its professional services organization to meet growing demand for quantum optimization customer engagements [26] Q&A Session Summary Question: What types of M&A does the company believe would make sense? - Management indicated that M&A is now a strategic priority, focusing on accelerating R&D and product development activities [31] Question: Can you elaborate on the cryogenic news and its impact on the roadmap? - Management emphasized the importance of cryogenic control for scaling both annealing and gate model systems, noting faster-than-expected progress [39] Question: What is the status of Advantage Two and its deployment? - Management confirmed that Advantage Two is crucial for demonstrating quantum supremacy and is driving increased customer interest [42] Question: Can you elaborate on the developer tools released? - Management explained the introduction of a quantum AI toolkit that integrates with PyTorch, allowing for better machine learning model training [51] Question: What are the next milestones for Quantum AI? - Management stated that while no new announcements have been made, they are working on various approaches to AI and machine learning model training [56] Question: How has the tenor in the US government shifted regarding quantum annealing? - Management noted slow but steady progress in government interest, emphasizing the need for a broader focus on quantum computing approaches [66] Question: What is the customer retention rate? - Management reported a retention rate exceeding 90%, with efforts to help customers transition from experimentation to production applications [76]