D-Wave said that revenue is up during the third quarter — compared to last quarter and last year — and that the company welcomed more commercial customers, according to a release on the firm’s third quarter financial report.
The company trades on NYSE and is tracked by The Quantum Insider’s Intelligence Platform.
Third quarter revenue was set at $1.7 million, an increase of $388,000, or bout 30% more than in the third quarter of 2021 and an increase of $324,000, or 24%, from last quarter’s $1.4 million in revenue. The company also reported a jump in operating expenses for the third quarter. Operating expenses were $16.4 million, an increase of $5.6 million, or 52%, from the $10.8 million registered last year.
According to the statement, the company estimated gross profit at $1.1 million for the third quarter, about 9% more than the same time last year and about 38% more compared to last quarter.
Company leadership told investors said the numbers reflect D-Waves commitment to bring quantum solutions to the real world today.
“Our third quarter results reflect continued progress in our mission to help customers realize real value by using quantum computing for practical business applications, today. The era of commercialized quantum computing is here, and that is evident in the momentum we’re seeing in terms of our expanded customer footprint, accelerated application development, and revenue growth. With a 34% increase in the number of commercial customers year-to-date and a 30% increase in year-over-year quarterly revenue, it’s clear that customers are seeing the impact of our quantum-hybrid solutions in unlocking competitive advantage and fueling growth,” said Alan Baratz, CEO of D-Wave. “In addition, we remain laser focused on relentless product development and delivery. We’re advancing quantum innovation through continued progress on our gate model development efforts, launching solutions that solve important client needs like support for weighted constraints, and furthering the science as shown by our coherent annealing research results, which bring us one step closer to demonstrating practical quantum advantage.”
D-Wave also noted business and technological achievements:
Recent Commercial / Business Highlights
- Signed a number of new and expanded customer engagements with Forbes Global 2000 companies, as well as industry leaders such as ArcelorMittal, BASF, and Deloitte
- Continued expansion of our commercial customer base with 63 commercial customers in the first nine months of the year, a 34% year-over-year increase
- Worked with customers on a variety of new and expanded quantum hybrid applications; including 3D bin packing, customer offer allocation, employee scheduling, feature selection for machine learning, job shop scheduling, and manufacturing optimization
- Created a new, streamlined pricing structure for our QCaaS offering, shifting from a consumption, time-based approach to a seat-based and application-based collection of offerings designed to better meet the needs of customers and deliver business value
- Launched D-Wave in AWS Marketplace, introducing access to the Leap quantum cloud service and three professional service quantum computing offerings to AWS customers
Recent Technical Highlights
- Continued progress on our gate model development work, reaching several milestones this quarter, including the fabrication of our first gate model qubits in the multilayer stack, the start of benchmarking for one- and two-qubit gates with these devices, and demonstration of a scalable approach to readout for our gate model architecture
- Published research results in Nature Physics that demonstrated large-scale coherence in annealing quantum computers, representing an important step toward practical quantum advantage and providing definitive evidence that D-Wave’s systems perform coherent quantum annealing, which cannot be classically simulated
- Launched an update to the CQM hybrid solver, enabling businesses to run quadratic optimization problems with weighted constraints and benefit from presolve techniques that streamline and simplify problem formulation
Fiscal Year 2022 Outlook
D-Wave reports it is maintaining its fiscal 2022 Revenue and Adjusted EBITDA guidance with revenue expected to be in the range of $7.0 million to $9.0 million and adjusted EBITDA at less than -$49 million.
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