D-Wave Quantum (US:QBTS)2026-02-26 14:02Financial Data and Key Metrics Changes - Revenue for fiscal 2025 totaled $24.6 million, an increase of 179% from fiscal 2024 revenue of $8.8 million [31] - GAAP gross profit for fiscal 2025 was $20.3 million, an increase of 265% from fiscal 2024 gross profit of $5.6 million [37] - Net loss for fiscal 2025 was $355 million, compared to a loss of $143.9 million in fiscal 2024, primarily due to non-cash charges related to warrant liability [40] - Adjusted EBITDA loss for fiscal 2025 was $71.8 million, an increase of 28% from the previous year [42] Business Line Data and Key Metrics Changes - Fiscal 2025 bookings were $18.7 million, a decrease of 22% from fiscal 2024 bookings of $23.9 million [34] - The average revenue per commercial customer increased by 20% over fiscal 2024, with total revenue from Forbes Global 2000 customers increasing by 70% year-over-year [36] - Fourth quarter revenue totaled $2.8 million, an increase of 19% from the fourth quarter of fiscal 2024 [43] Market Data and Key Metrics Changes - D-Wave recognized revenue from over 135 individual customers, including over 70 commercial customers, with significant contributions from Forbes Global 2000 enterprises [35] - The sales opportunity pipeline entering 2026 expanded by nearly 1,500% compared to the beginning of 2025 [54] Company Strategy and Development Direction - D-Wave's acquisition of Quantum Circuits is expected to fundamentally change the competitive landscape and secure its position as a leading quantum computing company [9] - The company aims to be a one-stop shop for solving complex problems through its dual-platform approach, combining annealing and gate model technologies [10] - D-Wave is focusing on both annealing and gate model technologies, with plans to expand its R&D capabilities and workforce significantly [61] Management's Comments on Operating Environment and Future Outlook - Management believes that D-Wave has transitioned from a participant to a front-runner in the quantum computing industry, with significant momentum entering 2026 [25] - The company is committed to solving real mission-critical problems for government and commercial customers, with a dedicated U.S. Government Solutions Business Unit launched to support this effort [18] - Management expects to achieve sustained profitability with less funding than required by other quantum computing companies [63] Other Important Information - D-Wave's headquarters will relocate to Boca Raton, Florida, where a major U.S.-based R&D center will be opened [23] - The company raised over $800 million in gross proceeds during fiscal 2025, significantly increasing its cash and marketable securities balance to $884.5 million [51][52] Q&A Session Summary Question: Can you help us think about the advantage with the built-in error correction? - Management confirmed that the dual-rail technology provides a timing advantage due to lower complexity in building fully error-corrected systems [68][70] Question: How much OpEx would you expect to incur in 2026 with the acquisition of QCI? - Management indicated that the 15% sequential growth in OpEx includes costs associated with the QCI acquisition [74] Question: What do you think an ideal net retention rate for QCaaS can be? - Management noted that while retention rates have not been published, larger transactions are being seen, indicating growth in the QCaaS segment [78][80] Question: Can you speak to the levels of engagement with Quantum Circuits? - Management expects revenue contributions from Quantum Circuits this year, particularly from professional services and QCaaS [85] Question: How are customer conversations evolving regarding QCaaS? - Management highlighted that initial applications are leading to strong ROI, encouraging customers to explore additional applications [95] Question: Have you started conversations on potential longer-term roadmap opportunities with gate model? - Management confirmed that several annealing customers are engaging in discussions about potential use cases for gate model technology [99]