Rigetti Reports 41.9% Revenue Drop, $39.7M Loss, Boosts Cash to $571.6M

Rigetti Computing, a prominent player in the quantum computing sector, released its financial report for the second quarter of 2025 after the market closed on Tuesday. The company reported an adjusted loss per share of $0.13, which was higher than the market's expectation of $0.04 per share. The total revenue for the quarter was $1.8 million, a 41.9% decrease year-over-year, falling short of the anticipated $1.87 million. The company's net loss for the quarter was $39.7 million, including $22.8 million in non-cash losses related to derivative warrants and changes in the fair value of earn-out liabilities. Operating expenses amounted to $20.4 million, resulting in an operating loss of $19.9 million.

Despite the financial setbacks, Rigetti strengthened its financial position by completing a $350 million equity financing through an at-the-market offering program. As of June 30, 2025, the company had approximately $571.6 million in cash, cash equivalents, and available-for-sale investments, with no debt. The company's chief executive officer highlighted the progress made towards its ambitious roadmap goals, noting the recent unveiling of the industry's largest multi-chip quantum computer, which demonstrated impressive performance. The company's use of industry-leading on-chip component technology and strong financial position gives it confidence in achieving its technical goals for the year.

Rigetti Computing announced that its multi-chip quantum computer, "Cepheus-1-36Q," is now fully available on the Rigetti Quantum Cloud Services platform. This product is expected to be launched on the Microsoft Azure platform in the near future. The company described Cepheus-1-36Q as the "largest multi-chip quantum computer in the industry." The system is equipped with four small chips, achieving a 99.5% average two-qubit gate fidelity, which is a twofold reduction in error rate compared to the previous Ankaa-3 system.

The company also anticipates the release of a system based on small chips with over 100 qubits by the end of 2025, with an average two-qubit gate fidelity of 99.5%. The executive emphasized that the reduction in error rates and the increase in the number of chip units are clear steps towards achieving quantum advantage and fault tolerance. The company plans to release a system with over 100 qubits by the end of the year to continue this momentum.

Quantum computing systems leverage the principles of quantum mechanics, such as quantum superposition and entanglement, to offer a new paradigm of computation. Theoretically, these systems can outperform traditional computers in certain specific domains. However, no company, including Google, has yet achieved a practical, commercially viable quantum computing system that can precisely control quantum states and achieve large-scale commercialization. The gap between the current state of technology and the ultimate form of quantum acceleration is still significant.

The executive also noted that while quantum computing is approaching a critical technological inflection point, current human technology cannot achieve precise and stable control of quantum states, particularly in realizing precise and controllable quantum entanglement. Despite these challenges, recent advancements in ion trap technology, D-Wave's quantum annealing computers, and other quantum computing developments have shown promise. Companies like IBM, Google, and Microsoft have made significant strides in integrating quantum bits with binary computing hardware infrastructure, paving the way for practical, commercially viable quantum computing applications.

The executive also mentioned that the entry of tech giants like NVIDIA, Microsoft, and Amazon, along with the long-term investments by Google and IBM, could accelerate the global commercialization of quantum computing. With substantial talent pools and financial resources, these companies, along with government support, are poised to drive the development of quantum computing technologies.