D‑Wave Quantum (QBTS) Q3 2025: Revenue Doubles to $3.7M, Record $836M Cash, Bookings Accelerate

6 November 2025

D‑Wave Quantum Inc. (NYSE: QBTS) reported third‑quarter fiscal 2025 results before the open today, delivering 100% year‑over‑year revenue growth to $3.7 million and a sharp sequential uptick in customer bookings to $2.4 million. Shares were recently around $31 intraday, modestly higher following the print. The company also ended the quarter with a record $836.2 million cash balance, while GAAP net loss widened to $140.0 million—driven primarily by non‑cash warrant remeasurement charges. ^[1]

Key numbers at a glance (Q3 FY25)

Revenue:$3.7M (+100% YoY; +20.8% QoQ).
Bookings:$2.4M (up 80% sequentially vs. Q2; $12M+ additional bookings closed after quarter‑end).
Customers: >100 revenue‑generating customers over the last four quarters, including ~two dozen Forbes Global 2000 firms.
Gross margin (GAAP / non‑GAAP):71.4% / 77.7%, both higher year over year.
Adjusted net loss:$18.1M (improved vs. $23.2M a year ago).
Adjusted EBITDA loss:$20.6M (widened from $13.8M YoY, reflecting higher operating expenses).
Figures per today’s press release. ^[2]

Why GAAP loss widened while cash hit a record

D‑Wave’s $140.0M GAAP net loss reflects $121.9M in non‑cash, non‑operating charges tied to the remeasurement of warrant liabilities and losses realized upon warrant exercises—items that ballooned as the company’s warrants appreciated. Management noted the company raised $39.9M in cash during Q3 from warrant exercises and another $21.3M through Nov. 4, helping lift quarter‑end cash to that $836.2M record. ^[3]

For context, D‑Wave announced on Oct. 20 it would redeem all outstanding public warrants; the company expects Nov. 17, 2025 to be the last trading day for those warrants, a move aimed at simplifying the capital structure. ^[4]

What drove the upside: margin mix, bookings momentum, and new wins

Margin mix: GAAP gross margin rose to 71.4%, helped by upgrading the Jülich Supercomputing Centre system to the Advantage2™ processor, which carries stronger economics. ^[5]
Bookings acceleration: Q3 bookings climbed to $2.4M (up 80% QoQ), and since quarter‑end D‑Wave has closed over $12M more, including a €10M fourth‑quarter booking for 50% capacity of an Advantage2 system tied to a Lombardy, Italy quantum initiative (Q‑Alliance). ^[6]
Customer traction: Recent signings and renewals span a major U.S. international airline, SkyWater (semiconductor foundry), Japan Tobacco’s pharma division, Yapı Kredi (Turkey), and Korea Quantum Computing, plus multiple universities. ^[7]

Technology & government progress to watch

Advantage2 for U.S. government: As of Nov. 3, D‑Wave says the Advantage2 system at Davidson Technologies in Huntsville is fully calibrated and operational, enabling work on U.S. government mission needs (national defense) and accessible for customer use. ^[8]
Industrial proofs: Yesterday, BASF and D‑Wave reported a proof‑of‑concept where a hybrid‑quantum workflow cut projected scheduling time from 10 hours (industrial‑grade classical solver) to about five seconds, setting a benchmark in a liquid‑filling facility. ^[9]
Public‑sector pilots: A separate proof‑of‑technology with North Wales Police showed promising results optimizing emergency vehicle placement; external write‑ups noted large reductions in time‑to‑solution and response times during the pilot. ^[10]
R&D pipeline: D‑Wave also fabricated fluxonium qubit chips and superconducting control chips, aiming at a scalable gate‑model system with cryogenic control—a long‑term complement to its annealing roadmap. ^[11]

How the market is reacting

Early coverage highlighted the revenue beat, sequential bookings jump, and cash runway, while flagging the warrant‑related distortion in GAAP loss. Morning notes characterized the stock as modestly higher after the report. ^[12]

The bigger picture for QBTS

Execution: The shift toward higher‑margin Advantage2 capacity and enterprise bookings supports the gross‑margin expansion story. The bookings surge into Q4 (including the €10M Italy capacity deal) suggests a healthier near‑term demand pipeline. ^[13]
Risks: Revenue is still early‑stage and lumpy, operating expenses are rising, and warrant/derivative items can skew GAAP results. (D‑Wave’s 8‑K today furnishes the release with full reconciliations.) ^[14]
Catalysts to watch: Additional government and industrial wins on Advantage2, progress on hybrid AI/optimization workloads, and milestones in gate‑model R&D (fluxonium + cryogenic control). ^[15]

Quick facts (context)

Nine‑month FY25 revenue:$21.8M (+235% YoY).
Nine‑month GAAP gross margin:84.8% (benefiting from a higher‑margin system sale earlier this year).
Source: company release. ^[16]

Bottom line

D‑Wave’s Q3 shows commercial traction (revenue, bookings, margin) and a fortified balance sheet, even as GAAP results remain noisy from warrant accounting. For investors, the near‑term focus is on sustaining bookings, converting backlog to revenue, and broadening Advantage2 adoption across government and industry.

Note: This article is for information only and not investment advice.

Primary sources and further reading

Official Q3 FY25 press release and metrics (Business Wire / Yahoo Finance mirror). ^[17]
Public warrant redemption details (Oct. 20, 2025). ^[18]
Advantage2 now operational at Davidson (Nov. 3, 2025). ^[19]
BASF proof‑of‑concept (Nov. 5, 2025). ^[20]
Company 8‑K filed Nov. 6, 2025. ^[21]

Trump Just Bought Quantum Stocks

Watch this video on YouTube.

References

Tags:

Mateusz Kaczmarek Latest posts

A technology and finance expert writing for TS2.tech. He analyzes developments in satellites, telecommunications, and artificial intelligence, with a focus on their impact on global markets. Author of industry reports and market commentary, often cited in tech and business media. Passionate about innovation and the digital economy.

View all

Bitcoin $68K Too Low vs Gold, JPMorgan Says as BTC and Stocks Slip
November 6, 2025, 4:58 PM EST. Bitcoin joined US stocks in pulling back as macro data fueled risk-aversion. BTC/USD hovered near the $102,000 level while the S&P 500 and Nasdaq drifted lower on job-cut news and rising US household debt. Challenger, Gray & Christmas reported more than 153,000 layoffs in October, underscoring cautious sentiment ahead of the Fed's likely policy pivot. Traders see odds of a December 0.25% cut around 69%, though some warn policymakers may pause as hawkish signals fade. JPMorgan's analysts argue BTC is now undervalued against gold, saying Bitcoin is about $68,000 too low, a line that could renew upside if ETF outflows stabilize. CME futures gap near $92k remains a psychological target as risk assets await clearer macro cues.
Morning Bid: Wall Street Gets Vertigo as Tech Selloff Spreads
November 6, 2025, 4:56 PM EST. Morning Bid: Wall Street trembles as a rare shakeout in Big Tech and chip stocks spills through global markets. The S&P 500 and Nasdaq slid more than 1% as investors fret over lofty valuations, even as Democrats fared well in local elections and Trump tariff hearings begin. Palantir's earnings miss and a bearish bet from Michael Burry underscore downside risk, while Nvidia and AMD moves drew attention after hours. Super Micro Computer tumbled on results, and Qualcomm and Costco loom on the docket. Traders eye ADP payrolls, the Fed, and the dollar as risk appetite remains fragile: Bitcoin briefly breached $100,000, and China data-center guidance nudges domestic production higher.
Salesforce Stock Target Prices: Mean Target $330.65, Street-High $430
November 6, 2025, 4:49 PM EST. CRM's market cap is about $242.2B, and the stock has lagged the market, down 24.4% YTD and 15.1% over the past 52 weeks. Despite a better-than-expected Q2 2026 EPS of $2.91 and revenue of $10.2B, Salesforce issued a cautious Q3 guide as AI investments like Agentforce weigh on near-term growth. Across ~50 analysts, the consensus rating is a Moderate Buy, with a mean price target of $330.65 (about 30.9% above current levels) and a street-high of $430 (roughly 70.2% upside). Mizuho's Gregg Moskowitz reaffirmed a Buy with a $350 target. The figures imply potential upside despite a softer near term, as investors weigh longer-term AI-driven expansion against macro headwinds.
HireQuest (HQI) Shareholders Endure 39% Loss Over Three Years as EPS Falls
November 6, 2025, 4:46 PM EST. Over the last three years, HireQuest (HQI) has underperformed the market: the stock is down about 42% vs a roughly 90% market gain, and it fell 41% in the past year. The company's EPS declined at about 38% per year, far outpacing the roughly 16% annual drop in the share price, suggesting sentiment may not fully reflect the earnings slide. The stock trades at a lofty P/E around 45.6, while the TSR over three years is about -39% (dividends boosted returns). Year-to-date, holders are down ~ 40% including dividends, versus the market up ~ 16%. Long-term, ~2% annualized gains over five years hint at potential value if fundamentals prove sustainable.
CTS (CTS) Fair-Value Check After 12% Three-Month Rally
November 6, 2025, 4:42 PM EST. CTS has climbed about 12% over the last three months, supported by steady year-over-year growth in revenue and net income. The near-term momentum keeps the stock on investors' radar, though the trailing 12-month total return remains negative. The latest narrative places CTS near its fair value, with a close at $43.26 suggesting the market and analyst expectations are aligned. The company's push into high-growth segments-medical (therapeutic and portable ultrasound) and industrial (EV charging, automation, connectivity)-could sustain revenue growth and improve margins, even as long-term headwinds persist in transportation and global trade tensions. A DCF view shows CTS trading roughly 0.7% below fair value, indicating a minor undervaluation that may or may not justify further exposure.