D-Wave Quantum Inc. released its financial results for the fourth quarter and full fiscal year 2025 on Thursday morning, presenting a mixed picture for the quantum computing firm. The company’s shares had gained 5.6% in the previous trading session ahead of the report.
Annual Performance Highlights Contrasting Trends
For the full 2025 fiscal year, D-Wave achieved a remarkable 179% surge in revenue, which reached $24.6 million compared to $8.8 million in 2024. Gross profit skyrocketed by 265% to $20.3 million, driving the gross margin up from 63.0% to 82.6%. However, the annual net loss expanded significantly to $355.1 million, or $1.11 per share, from a loss of $143.9 million the prior year. A substantial non-cash charge of $270.5 million related to the valuation of warrant liabilities was a primary driver behind the increased annual loss.
Operating expenses for the year rose 46% to $120.7 million. Despite the bottom-line challenges, the company ended 2025 with a record cash position. Cash, cash equivalents, and investments totaled $884.5 million, a 397% increase from $178.0 million at the end of 2024. This influx was primarily due to capital-raising activities and the exercise of warrants, which provided net proceeds of $779.1 million.
Fourth Quarter Misses Analyst Expectations
The company’s fourth-quarter performance fell short of market expectations. D-Wave posted a loss per share of $0.09, wider than the $0.06 loss analysts had projected. Revenue for the quarter was $2.75 million, missing the consensus estimate of $3.72 million but still representing a 19% increase over the same period last year.
Gross profit for Q4 rose 21% year-over-year to $1.8 million. Operating expenses, however, climbed to $36.6 million, up from $21.7 million in the prior-year quarter, attributed to increased spending on research and development, sales, and general administrative functions. The net loss for the quarter was $42.3 million, or $0.12 per share, an improvement from a net loss of $86.1 million, or $0.37 per share, in Q4 2024. This improvement was partly due to reduced negative impacts from the valuation of warrant liabilities.
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Strategic Developments and Order Book Dynamics
A day prior to the earnings release, Unissant, Inc. announced a strategic partnership with D-Wave focused on serving U.S. federal government agencies. The collaboration aims to leverage Unissant’s expertise in implementing government projects with D-Wave’s quantum computing technology to address complex challenges in optimization, analytics, and image recognition.
Full-year 2025 bookings declined by 22% to $18.7 million, as the previous year had included an eight-figure order for the company’s first quantum computer system sale. However, following the close of the fiscal year, D-Wave secured additional orders valued at over $32.8 million, signaling a significant acceleration in demand as 2026 begins.
In January 2026, the company completed the acquisition of Quantum Circuits, Inc. for $550 million, a move that adds gate-model technology to its annealing platform. D-Wave also plans to relocate its corporate headquarters from Palo Alto, California, to Boca Raton, Florida, by the end of 2026.
Share Price Remains Well Below Peak
D-Wave’s stock closed at $19.70 on Wednesday, trading approximately 60% below its 52-week high of $46.75 reached in October 2025. The recent financial results and strategic announcements highlight the company’s ongoing investment phase as it scales its commercial operations and technology portfolio.
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