Quantum Computing's Dual Advantage: Rigetti CEO's Insights on Technology Milestones and Financial Performance

Rigetti Computing reported Q2 earnings, with its stock up 1800% in the past year. CEO Subodh Kulkarni attributed the stock's movement to a technology milestone demonstration of a 36-qubit quantum computer with 99.5% gate fidelity. He emphasized the importance of scaling to thousands of qubits for long-term viability. The company has $572 million in cash, no debt, and a burn rate of $60 million a year. Kulkarni explained quantum computing's advantages over traditional computing, including solving complex problems and unlocking new capabilities.

Rigetti Computing, Inc. (Nasdaq: RGTI), a leading provider of full-stack quantum-classical computing solutions, has released its financial results for the second quarter of 2025. The company reported a total revenue of $1.8 million, with operating expenses reaching $20.4 million, resulting in an operating loss of $19.9 million and a net loss of $39.7 million [1]. The net loss includes $22.8 million of non-cash losses related to fair value changes in derivative warrant and earn-out liabilities.

Despite the financial losses, Rigetti's stock has experienced a significant increase of 1800% over the past year. CEO Subodh Kulkarni attributed this growth to the company's recent technological advancements. In particular, Rigetti demonstrated a 36-qubit quantum computer with 99.5% gate fidelity, a significant milestone in the field of quantum computing. Kulkarni emphasized the importance of scaling to thousands of qubits for long-term viability and the potential of quantum computing to solve complex problems and unlock new capabilities [1].

Rigetti's strong financial position is reflected in its $571.6 million in cash, cash equivalents, and available-for-sale investments, with no debt and a burn rate of $60 million per year [1]. The company completed a $350 million equity raise during the second quarter, which it plans to use primarily for working capital, capital expenditures, and other general corporate purposes. Additionally, a portion of the net proceeds may be used for strategic collaborations, acquisitions, or partnerships in the future [1].

Rigetti's latest technological advancement is the release of its Multi-Chip Quantum Computer, Cepheus™-1-36Q, for general availability on the Rigetti Quantum Cloud Services Platform (QCS®) and Microsoft Azure. This system represents a 2x reduction in two-qubit gate error rates compared to the previous Ankaa™-3 system and achieves a median two-qubit gate fidelity of 99.5%. Rigetti expects to release its 100+ qubit chiplet-based system at 99.5% median two-qubit gate fidelity before the end of 2025 [1].

In conclusion, Rigetti Computing's Q2 earnings report highlights the company's ongoing efforts to advance quantum computing technology while maintaining a strong financial position. The stock's significant growth reflects investor confidence in the company's technological milestones and future potential.

References:

[1] https://investors.rigetti.com/news-releases/news-release-details/rigetti-computing-reports-second-quarter-2025-financial-results