Zapata Computing (ZPTA) Q4 2025 earnings summary

Executive summary

• Completed a business combination in March 2024, followed by a strategic realignment to focus on quantum software and hybrid quantum-classical computing applications.

• Temporarily ceased operations in October 2024 due to insufficient capital, then initiated restructuring, debt conversion, and capital raising in 2025 to restart core business activities.

• No revenue generated in 2025, reflecting the operational cessation; efforts are ongoing to raise additional capital and resume operations.

Financial highlights

• Revenue was $0 in 2025, down from $3.9 million in 2024, due to the operational cessation.

• Operating loss for 2025 was $3.4 million, a significant improvement from a $23.0 million loss in 2024, primarily due to reduced expenses during the cessation.

• Net income for 2025 was $9.3 million, compared to a net loss of $38.1 million in 2024, driven by non-recurring gains from extinguishment of liabilities and debt restructuring.

• Cash and cash equivalents were $1.7 million as of December 31, 2025, with $0.7 million remaining as of March 23, 2026.

• Accumulated deficit stood at $118.3 million at year-end 2025.

Outlook and guidance

• Management estimates at least $5 million in additional capital is needed to re-establish and continue operations over the next 12 months.

• The company does not expect to generate revenue until it can scale operations, which is contingent on successful capital raising.

• Substantial doubt exists about the company's ability to continue as a going concern.