NEW YORK, August 6, 2026, 19:00 EDT — After U.S. regular trading finished, activity continued in the after-hours market.
- Revenue for the second quarter increased 185% to $5.14 million, driven by sales of quantum systems.
- Hardware accounted for 79.8% of total revenue, with 80% of this segment coming from just two customers.
- The stock changed hands at $15.80 in after-hours trading, a decrease of 4.4% compared to Thursday’s closing price.
Rigetti Computing, Inc. NASDAQ:RGTI reported quantum-computer sales as its primary revenue driver in the second quarter. The stock declined in after-hours trading as operating losses grew and the company continued to rely heavily on a small set of customers for sales.
The change in revenue composition is more significant than headline growth. Hardware and components accounted for $4.10 million, or 79.8% of total revenue, compared with zero in the previous year.
However, two clients accounted for 80% of revenue in the quarter. Government customers made up 18%, a decline from 91.7% in the previous year. This shows a shift toward commercial customers, though diversification remains limited.
| Commercialization measure | Q2 2026 | Q2 2025 | Change |
|---|---|---|---|
| Total revenue | $5.138 million | $1.801 million | up 185.3% |
| Quantum computers and components | $4.098 million | $0 | First time revenue |
| Hardware share of revenue | 79.8% | 0% | rise of 79.8 points |
| Government revenue share | 18.0% | 91.7% | down 73.7 points |
| Two largest disclosed customers | 80% | 66% | increase of 14 points |
Based on Reuters analysis of company data.
The improved product mix pushed gross margin up to 42.6% from 31.4%. Rigetti noted that sales of its Novera system typically produce greater margins compared to research services.
Expenses increased more sharply in absolute terms. Operating costs climbed 48% to $30.25 million, and operating loss expanded by 41% to $28.06 million. Non-GAAP loss came in at five cents a share, in line with the initial FactSet consensus.
| Q2 financial measure | 2026 | 2025 | Year-on-year |
|---|---|---|---|
| Revenue | $5.138 million | $1.801 million | +185.3% |
| Gross profit | $2.188 million | $0.566 million | +286.6% |
| Gross margin | 42.6% | 31.4% | +11.2 points |
| Research and development | $20.728 million | $13.522 million | +53.3% |
| Total operating expenses | $30.250 million | $20.448 million | +47.9% |
| Operating loss | $28.062 million | $19.882 million | +41.1% |
| Non-GAAP net loss | $15.984 million | $13.286 million | +20.3% |
Calculated by reporter. Data are unverified.
Rigetti CEO Subodh Kulkarni said the company was “broadening on-premises system deployments.” According to the filing, the uptick in revenue was primarily connected to Novera systems and associated products. Rigetti & Co, LLC
At the end of June, Rigetti reported cash and investments totaling $541.3 million and had no debt. The company used $32.0 million in operating cash during the first half, and capital expenditures amounted to $16.4 million. While this cash position eases immediate financing requirements, it is not sufficient to make the business self-sustaining.
Rigetti ended Thursday’s session with a market capitalization close to $5.54 billion, which represents roughly 270 times the company’s annualized sales for the second quarter. This calculation is an illustrative estimate and does not reflect official company guidance.
| Company | Q2 revenue | Revenue growth | Cash and investments | Market value | Illustrative annualized sales multiple |
|---|---|---|---|---|---|
| Rigetti Computing, Inc. NASDAQ:RGTI | $5.14 million | +185% | $541 million | $5.54 billion | 270 times |
| IonQ, Inc. NYSE:IONQ | $80.05 million | +287% | $3.0 billion reported | $14.75 billion | 46 times |
| D-Wave Quantum Inc. NASDAQ:QBTS | $3.08 million | Mainly unchanged | $546 million | $7.13 billion | 580 times |
Reporter calculations use August 6 market valuation divided by four times the most recent quarterly revenue. These estimates do not reflect differences in business models, acquisitions, or variations in order timing.
Rigetti is positioned between its two public competitors in the comparison. The data highlights how annualizing one-quarter’s sales may not give an accurate picture. Rigetti cautioned that deliveries of systems may lead to notable fluctuations in quarterly revenue.
Technology implementation is key. Rigetti’s Cepheus quantum computer features 108 qubits, a median two-qubit fidelity of about 99.1%, and gate speeds of 60 nanoseconds. The company’s management aims to reach approximately 1,000 qubits, 99.9% fidelity, and gate speeds below 50 nanoseconds in the next three years. These metrics are company objectives.
Rigetti is set to provide a nine-qubit system to the Pittsburgh Supercomputing Center in collaboration with Hewlett Packard Enterprise NYSE:HPE. The company is also progressing with a 108-qubit project for India’s C-DAC.
A letter from the Commerce Department outlines a potential commitment of as much as $100 million over a three-year period. Under the proposal, the government would obtain an equity interest. This is a letter of intent and does not represent finalized funding.
Analysts are largely optimistic. FactSet data shows nine Buy ratings, one Overweight, and four Hold recommendations, with no Sell ratings. The average price target stands at $30.45, suggesting an 84% gain from Thursday’s closing price.
| Date | Firm and analyst | Recommendation | Price target | Implied upside from $16.53 |
|---|---|---|---|---|
| Aug. 3, 2026 | Wedbush — Matt Bryson | Outperform | $40 | 142% |
| June 11, 2026 | Rosenblatt — John McPeake | Buy | $40 | 142% |
| May 12, 2026 | Mizuho — Vijay Rakesh | Outperform | $27 | 63% |
| May 12, 2026 | Needham — N. Quinn Bolton | Buy | $31 | 88% |
| March 20, 2026 | Benchmark — David Williams | Buy | $25 | 51% |
*Based on reporter calculations. Recommendations were made before the second-quarter report and are subject to revision.
Rigetti ended the session down 1.5% at $16.53 and later dropped to $15.80 in after-hours trading. Over five regular sessions, shares climbed 10.6%. The week prior, from July 24 to July 31, posted a 5.7% increase.
The initial report from the listed sector next week arrives Monday. Quantum Computing Inc. NASDAQ:QUBT is set to release its second-quarter earnings on August 10. For Rigetti, the focus will move to updated estimates and potential new system bookings.
Risks: Two clients accounted for 80% of revenue this quarter. Deliveries are still inconsistent, operating losses are increasing, and the Commerce funding deal is not guaranteed to complete. The equity element might dilute current shareholders. There is significant execution risk tied to the three-year technology plan.
The next key for re-rating is clear: additional hardware orders from a broader customer base. In their absence, the quarter could reflect a robust shipment period instead of sustained growth in scale.
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