Quantum Computing (QUBT) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue surged to $3.7 million from $39,000 year-over-year, driven by the acquisitions of Luminar Semiconductor (LSI) and NuCrypt, which expanded quantum and photonics capabilities and contributed $3.5 million in revenue.

• Completed acquisitions of LSI and NuCrypt, enhancing vertical integration, manufacturing, R&D, and broadening the product suite and customer base.

• Announced partnership with Quantum Corridor, deploying Dirac-3 quantum optimization machine in a commercial data center and expanding commercial reach.

• Ended the quarter with $1.4 billion in cash, cash equivalents, and investments, supporting future growth and integration.

• Focused on transitioning from a technology innovator to a volume production company, with Fab 1 ramping up and Fab 2 in planning.

Financial highlights

• Q1 2026 revenue was $3.7 million, up from $39,000 year-over-year, with LSI and NuCrypt contributing $3.5 million.

• Gross margin was negative $0.7 million, down from $13,000 in Q1 2025, due to under-absorption of fixed costs and low production volumes.

• Operating expenses rose to $19.8 million from $8.3 million year-over-year, reflecting increased staffing and M&A costs, with $6 million in M&A-related costs.

• Net loss of $4.1 million ($0.02/share) versus net income of $17 million ($0.13/share) in Q1 2025, mainly due to lower non-cash gains and higher expenses.

• Cash equivalents and investments totaled $1.4 billion at March 31, 2026, with interest income of $13.5 million.

Outlook and guidance

• Intensely focused on investing in engineering, research, and production teams, and converting pipeline into recurring revenue.

• Committed to executing Fab 2 foundry plan to enable scalable quantum manufacturing and expand production capacity.

• Expecting gross margins to recover to 20–30% as production volumes increase and underutilization issues are resolved.

• Sufficient liquidity for at least the next 12 months, with continued investment in R&D and manufacturing.

• Integration of LSI and NuCrypt and scaling of the Arizona facility are key execution priorities and risks.