HOBOKEN, N.J., May 15, 2025 /PRNewswire/ — Quantum Computing Inc. (“QCi” or the “Company”) (Nasdaq: QUBT), an innovative, integrated photonics and quantum optics technology company, today released financial results for the three-month period ended March 31, 2025.
Dr. Yuping Huang, Interim Chief Executive Officer of QCi, commented, “QCi delivered solid operational and financial progress in the first quarter, strengthening our balance sheet and advancing key strategic initiatives. We completed construction during the quarter of our Quantum Photonic Chip Foundry in Tempe, Arizona, a major milestone that positions us to meet growing demand for thin film lithium niobate (TFLN) photonic chips, underscored by the announcement of a fifth purchase during the period. We’re encouraged by our early traction, which is the first step in what we believe is a significant, multi-year opportunity to serve the expanding markets in datacom, telecom, and quantum-enabled applications. In parallel, we continued to deepen engagement with both government and commercial partners, reinforcing the growing interest in our quantum and photonic machines and positioning QCi to capitalize on emerging opportunities ahead.”
First Quarter 2025 Financial Highlights
- First quarter 2025 revenues totaled approximately $39,000 (33% gross margin) compared to $27,000 (41% gross margin) generated in the first quarter of 2024. Gross margin can vary at our current revenue levels. As such, the year-over-year decrease is not unexpected.
- First quarter 2025 operating expenses totaled $8.3 million compared to the previous year’s first quarter operating expenses of $6.3 million. The year-over-year increase was primarily driven by higher employee-based expenses.
- The Company reported net income attributable to common stockholders of $17.0 million, or $0.13 per basic share for the first quarter of 2025, compared to a net loss attributable to common stockholders of $6.4 million or $(0.08) per basic share for the same period of the previous year. The increase in net income this quarter was primarily due to a $23.6 million non-cash gain on the mark-to-market valuation of the Company’s warrant liability as a result of our merger with QPhoton in June 2022.
- Total assets at March 31, 2025 were $242.5 million, increasing from $153.6 million at December 31, 2024. Cash and cash equivalents at March 31, 2025 increased by $87.5 million to $166.4 million from year-end 2024. During the first quarter, the Company raised total net proceeds of $93.6 million through a private placement offering of common stock.
- Total liabilities at March 31, 2025 were $21.7 million, a decrease of $24.6 million compared to year-end 2024, driven primarily by the previously-mentioned non-cash changes in the fair value of the Company’s warrant liability.
- As of March 31, 2025, the Company had shareholders’ equity totaling $220.8 million.
First Quarter 2025 Operational Highlights
- Quantum Photonic Chip Foundry Update: During the quarter, QCi completed construction of its Quantum Photonic Chip Foundry in Tempe, Arizona, achieving a key milestone in scaling its U.S.-based TFLN manufacturing services. The Company is now establishing its process design kit (PDK) and filling customer orders. To date, the Company has received five initial orders for its foundry services.
- Advancing Quantum Machine Adoption: On January 15, 2025, QCi announced a collaboration with Sanders Tri-Institutional Therapeutics Discovery Institute (Sanders TDI), a non-profit drug discovery institute comprising Memorial Sloan Kettering Cancer Center, The Rockefeller University, and Weill Cornell Medicine. Through this partnership, Sanders TDI will leverage cloud-based access to QCi’s Dirac-3 quantum optimization machine to support computational chemistry and biomolecular modeling research. This collaboration highlights growing adoption of QCi’s quantum systems in real-world biomedical applications.
- Board Appointment Strengthens Strategic Leadership: On March 26, 2025, QCi appointed Eric Schwartz to its Board of Directors. Mr. Schwartz brings over 20 years of experience in corporate finance, mergers and acquisitions, and corporate strategy, with a strong track record guiding companies through commercialization and manufacturing scale-up. His expertise will support QCi’s growth initiatives as the Company advances its TFLN chip foundry and drives market adoption of its quantum machines.
- Strengthening Sales & Market Presence: The Company continued to expand its commercial and government engagement, participating in numerous trade shows and conferences during the quarter to showcase its quantum optimization and photonic chip solutions to prospective customers and partners.
- Advancing Strategic Partnerships with NASA: Subsequent to the quarter on April 30, 2025, QCi was awarded a subcontract valued at approximately $406,000 through Analytical Mechanics Associates (AMA) to support NASA’s Langley Research Center. Under the project, QCi will use its Dirac-3 quantum computer to develop a quantum-based technique for removing sunlight noise from space-based LIDAR data, an obstacle that has historically limited NASA’s ability to conduct reliable daytime Earth observation. This project builds on QCi’s prior work with NASA.
- Expanding Commercial Adoption of Quantum Solutions: Subsequent to the quarter, QCi secured two additional customer orders, reflecting growing global demand for its quantum machines. On April 1, 2025, the Company announced the sale of a Quantum Photonic Vibrometer to the Department of Aerospace Structures and Materials at Delft University of Technology in the Netherlands, supporting advanced research in non-destructive testing and structural health monitoring. Later in the month, on April 22, 2025, QCi announced the sale of an EmuCore reservoir computing device to a major automotive manufacturer for research and development use. These orders underscore QCi’s strategy to broaden awareness and adoption of its quantum solutions across both academic and industrial markets globally.
Earnings Conference Call
The Company will host its first quarter conference call on Thursday, May 15, 2025, at 4:30 p.m. To access the live webcast of the conference call, visit the QCi Investor Relations page at https://quantumcomputinginc.com/investor-relations. Investors may also access the webcast via the following link: https://www.webcaster4.com/Webcast/Page/3051/52325
To participate in the call by phone, dial (888) 506-0062 approximately five minutes prior to the scheduled start time. International callers please dial (973) 528-0011. Callers should use access code: 832763.
A replay of the teleconference will be available until May 22, 2025, and may be accessed by dialing (877) 481-4010. International callers may dial (919) 882-2331. Callers should use conference ID: 52325.
About Quantum Computing Inc.
Quantum Computing Inc. (Nasdaq: QUBT) is an innovative, integrated photonics and quantum optics technology company that provides accessible and affordable quantum machines to the world today. QCi’s products are designed to operate at room temperature and low power at an affordable cost. The Company’s portfolio of core technologies and products offer unique capabilities in the areas of high-performance computing, artificial intelligence, and cybersecurity, as well as remote sensing applications.
Company Contact:
Rosalyn Christian/John Nesbett
IMS Investor Relations
investors@quantumcomputinginc.com
Forward-Looking Statements
This press release contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements, generally identified by terms such as “may,” “will,” “expect,” “believe,” “anticipate,” “estimate,” “intends,” “goal,” “objective,” “seek,” “attempt,” “aim to,” or variations of these or similar words, involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. Those statements include statements regarding the intent, belief or current expectations of QCi and members of its management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, including the timing of orders and revenue, and the outcome of ongoing collaborations and demonstration projects with certain U.S. government agencies, academic institutions and commercial customers, and that actual results may differ materially from those contemplated by such forward-looking statements. Except as required by federal securities law, QCi undertakes no obligation to update or revise forward-looking statements to reflect changed conditions.
IMPORTANT NOTICE TO USERS (summary only, click here for full text of notice): All information is unaudited unless otherwise noted or accompanied by an audit opinion and is subject to the more comprehensive information contained in our SEC reports and filings. We do not endorse third-party information. All information speaks as of the last fiscal quarter or year for which we have filed a Form 10-K or 10-Q, or for historical information the date or period expressly indicated in or with such information. We undertake no duty to update the information. Forward-looking statements are subject to risks and uncertainties described in our Forms 10-Q and 10-K.
| QUANTUM COMPUTING INC.Consolidated Balance Sheets(in thousands, except par value data) | ||||||||
| March 31, | December 31, | |||||||
| 2025 | 2024 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 166,429 | $ | 78,945 | ||||
| Accounts receivable, net | 20 | 27 | ||||||
| Inventory | 131 | 18 | ||||||
| Prepaid expenses and other current assets | 660 | 161 | ||||||
| Total current assets | 167,240 | 79,151 | ||||||
| Property and equipment, net | 9,976 | 8,212 | ||||||
| Operating lease right-of-use assets | 1,419 | 1,522 | ||||||
| Intangible assets, net | 8,196 | 8,972 | ||||||
| Goodwill | 55,573 | 55,573 | ||||||
| Other non-current assets | 129 | 129 | ||||||
| Total assets | $ | 242,533 | $ | 153,559 | ||||
| Liabilities and Stockholders’ Equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 2,022 | $ | 1,372 | ||||
| Accrued expenses | 647 | 2,134 | ||||||
| Deferred revenue | 83 | 79 | ||||||
| Other current liabilities | 990 | 974 | ||||||
| Total current liabilities | 3,742 | 4,559 | ||||||
| Derivative liability | 16,902 | 40,532 | ||||||
| Operating lease liabilities | 1,062 | 1,181 | ||||||
| Total liabilities | 21,706 | 46,272 | ||||||
| Stockholders’ equity: | ||||||||
| Common stock, $0.0001 par value, 250,000 thousand shares authorized; | ||||||||
| 137,322 thousand and 129,012 thousand shares issued and outstanding | ||||||||
| as of March 31, 2025 and December 31, 2024, respectively | 14 | 13 | ||||||
| Additional paid-in capital | 404,313 | 307,756 | ||||||
| Accumulated deficit | (183,500) | (200,482) | ||||||
| Total stockholders’ equity | 220,827 | 107,287 | ||||||
| Total liabilities and stockholders’ equity | $ | 242,533 | $ | 153,559 | ||||
| QUANTUM COMPUTING INC.Consolidated Statements of Operations(in thousands, except per share data) | ||||||||
| Three Months Ended | ||||||||
| March 31, | ||||||||
| 2025 | 2024 | |||||||
| Total revenue | $ | 39 | $ | 27 | ||||
| Cost of revenue | 26 | 16 | ||||||
| Gross profit | 13 | 11 | ||||||
| Operating expenses | ||||||||
| Research and development | 2,985 | 2,220 | ||||||
| Sales and marketing | 672 | 451 | ||||||
| General and administrative | 4,642 | 3,659 | ||||||
| Total operating expenses | 8,299 | 6,330 | ||||||
| Loss from operations | (8,286) | (6,319) | ||||||
| Non-operating income (expense) | ||||||||
| Interest and other income | 1,696 | 38 | ||||||
| Interest expense, net | (58) | (155) | ||||||
| Change in fair value of warrant liabilities | 23,630 | – | ||||||
| Income (loss) before income tax provision | 16,982 | (6,436) | ||||||
| Income tax provision | – | – | ||||||
| Net income (loss) | 16,982 | (6,436) | ||||||
| Net income (loss) attributable to common stockholders | $ | 16,982 | $ | (6,436) | ||||
| Earnings (loss) per share: | ||||||||
| Basic | $ | 0.13 | $ | (0.08) | ||||
| Diluted | $ | 0.11 | $ | (0.08) | ||||
| Weighted average shares used in computing net earnings (loss) per common share: | ||||||||
| Basic | 135,217 | 81,934 | ||||||
| Diluted | 153,006 | 81,934 | ||||||
SOURCE Quantum Computing Inc.