D-Wave Quantum Inc (NYSE:QBTS) Reports Mixed Q3 2025 Results with Revenue Beat and Wider Loss

D-Wave Quantum Inc (NYSE:QBTS) reported financial results for its third fiscal quarter of 2025, delivering a performance that presented a complex picture for investors. The company surpassed analyst revenue expectations but reported a significantly wider loss per share than anticipated, leading to a mixed interpretation of its financial health and future trajectory.

Earnings and Revenue Versus Estimates

The company's top-line performance showed considerable strength during the quarter, while its bottom line revealed the substantial costs associated with its growth and market expansion efforts.

• Revenue: D-Wave reported revenue of $3.74 million for Q3 2025, a figure that comfortably exceeded the analyst consensus estimate of $3.09 million. This represents a 100% increase compared to the $1.87 million reported in the same quarter last year.
• Earnings Per Share (EPS): The company reported a GAAP net loss of $139.99 million, or $0.41 per share. This was substantially wider than the analyst estimate for a non-GAAP EPS loss of $0.0687. It is important to note that this net loss was heavily impacted by a non-cash, non-operating charge of $121.9 million related to the remeasurement of the company's warrant liability. On an adjusted basis, which excludes this warrant-related charge, the net loss was $18.1 million, or $0.05 per share.

Market Reaction and Price Action

The market's initial reaction to the earnings report has been negative. Despite the revenue beat, the stock traded lower in pre-market activity. This suggests that investors are focusing on the significant GAAP net loss and the substantial cash burn required to fund the company's ambitious growth plans. The wider-than-expected loss per share, even when adjusted for one-time charges, appears to have overshadowed the positive revenue growth in early trading.

Business Highlights and Operational Performance

Beyond the headline financial figures, D-Wave's press release highlighted several key operational achievements that underscore its commercial progress and technological advancement.

• Commercial Momentum: The company reported Q3 bookings of $2.4 million, an 80% sequential increase from the previous quarter. Subsequent to the quarter's end, D-Wave announced it had closed over $12 million in additional bookings, including a significant €10 million agreement for 50% capacity of an Advantage2™ quantum computer in Italy.
• Customer Diversification: D-Wave signed new and renewing engagements with a diverse set of customers, including a major U.S. airline, semiconductor foundry SkyWater, Japan Tobacco, and Yapi Kredi bank, demonstrating the broadening applicability of its technology.
• Financial Position: The company's consolidated cash balance reached a record $836.2 million as of September 30, 2025, providing a substantial runway for continued research and commercial expansion.
• Gross Margin Expansion: GAAP gross margin improved significantly to 71.4%, up from 55.8% in the prior year's quarter, indicating improved efficiency in delivering its products and services.

Looking Ahead

The company did not provide a formal financial outlook for the coming quarters in its press release. For context, analysts are currently estimating a Q4 2025 revenue of approximately $3.50 million with an EPS loss of $0.07. For the full 2025 fiscal year, the sales estimate stands at $25.04 million with an estimated EPS loss of $0.23. Investors will be keenly listening to the earnings conference call for management's commentary on the pipeline and the timeline to profitability.

For a detailed breakdown of future earnings estimates and historical performance for D-Wave Quantum Inc, you can review the data here.

Disclaimer: This article is for informational purposes only and does not constitute investment advice, financial analysis, or a recommendation to buy or sell any security. The information presented is based on publicly available data and should not be relied upon as the sole basis for an investment decision.