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

Microsoft Stock Split: Is a Dow-Linked Move Imminent?
November 6, 2025, 12:32 PM EST. Microsoft could be eyeing a stock split to ease its impact on the Dow Jones Industrial Average, a price-weighted index where MSFT wields outsized influence. With shares around the mid- to high-$400s, a split would keep the stock from creeping toward four figures and help maintain Dow eligibility among its 30 components. The case strengthens as Satya Nadella has steered the company into a cloud- and AI-driven growth era, lifting the stock since 2014 after the Ballmer era. Not since 2003 has MSFT split, and the market's structure-rather than the business itself-could motivate action before pricing milestones. Watch for signals from Microsoft leadership or Dow index committees.
Titan International Q3 Revenue Beats, but Q4 Guidance Falls Short
November 6, 2025, 12:31 PM EST. Titan International (NYSE:TWI) reported Q3 CY2025 revenue of $466.5 million, up 4.1% YoY and ahead of $458.9 million consensus (1.7% beat). GAAP EPS was -$0.04, vs -$0.03 expected, a $0.01 miss, while adjusted EBITDA reached $29.77 million on a 6.4% margin, an 11.1% beat. The company guided Q4 revenue at $397.5 million midpoint, below consensus of $420.7 million, and EBITDA at $10 million vs $16.48 million. Operating margin rose to 2.1% from 0.9% YoY; free cash flow margin slipped to 6.4% from 9.3%. Market cap is about $508 million. In a cyclical Agricultural Machinery backdrop, Titan faces growth headwinds but has shown some resilience in product demand.
AI Productivity Could Push Retirement Withdrawals Beyond 8% with Dividend-Focused CEFs
November 6, 2025, 12:28 PM EST. Retirees could safely withdraw 8% or more from portfolios thanks to AI-driven productivity, revisiting the historic withdrawal rule. Since William Bengen's 1994 4% rule, research has nudged the safe rate higher to about 4.7% as tech and markets improved. Over the last 30 years the S&P 500 delivered roughly 11.7% annualized total return, helping portfolios keep pace with inflation. Today, AI-enabled productivity is powering corporate earnings and could broaden the withdrawal window. Some investors favor a dividend-focused closed-end fund strategy, using vehicles like the Adams Diversified Equity Fund (ADX) for higher income and potential dividend growth, while letting capital grow as AI boosts productivity. The plan: aim for robust income via dividends, with growth from equities.
US stocks hover near flat as Big Tech concerns weigh; Tesla meeting in focus
November 6, 2025, 12:26 PM EST. U.S. stocks hovered near flat Thursday as concerns about Big Tech and a troubling October for layoffs weighed on sentiment. The S&P 500 and Dow held near session lows while the Nasdaq Composite dipped about 0.1%. A Challenger, Gray & Christmas report showed October layoffs surged to 153,074, the worst since 2003. In earnings, Qualcomm posted solid results but saw its stock slip, while Arm rose on AI demand ahead of forecasts. Attention turned to Tesla and its upcoming shareholder meeting, with the trillion-dollar pay plan at the center of debate. Broader tech leadership remains in focus as the so-called Magnificent Seven seek to sustain the year's rally. Separate data on tariffs and air travel disruptions added to the mixed backdrop ahead of key updates from WBD, ABNB, and MRNA.
Viatris (VTRS) Q3 Beats on Earnings and Revenue, Outlook Mixed
November 6, 2025, 12:24 PM EST. Viatris (VTRS) reported Q3 earnings of $0.75 per share, beating the Zacks Consensus Estimate of $0.68 and showing a 10.29% surprise from a year-ago adjusted figure. Revenue came in at $3.75 billion, topping the consensus by 1.89% and down from last year's $3.94 billion. Over the last four quarters, Viatris has exceeded estimates twice. The stock has gained about 7.2% year to date, lagging the S&P 500's 24.3% rise. Looking ahead, earnings revisions have been unfavorable, contributing to a Zacks Rank #4 (Sell). Analysts foresee around $0.63 per share in next quarter on $3.62 billion in revenue, and about $2.67 on $14.76 billion for the year, underscoring ongoing uncertainty for the name.