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D-Wave Quantum QBTS is scheduled to release its third-quarter 2025 results on Nov. 6, 2025. Investors’ sentiment toward this seems to be optimistic, fueled by recent commercial wins, expansion into key research and the launch of its Advantage2 annealing quantum computer, which has significantly increased system capabilities and customer interest.
The company’s stock climbed an impressive 66.7% during the July-September quarter.
D-Wave reported earnings beat in one of the trailing four quarters and missed on three occasions, the average negative surprise being 269.45%.
The Zacks Consensus Estimate for third-quarter EPS has remained unchanged at a loss of 7 cents per share over the past 30 days. The estimated figure indicates 36.4% improvement from the year-ago loss per share.
The consensus mark for third-quarter revenues is pegged at $3.12 million, indicating 66.8% year-over-year growth.
For 2025, QBTS is expected to register a 181.5% increase from a year ago in revenues. Its bottom line is expected to witness an improvement to a loss of 24 cents per share from a loss of 75 cents a year ago.
QBTS sustained momentum through the months of 2025 with new customer wins across quantum sensing, cybersecurity and AI by shipping products to leading research institutions in Europe, Asia and the United States. Notable milestones include the first commercial sales of entangled photon sources for secure quantum communications and Quantum Photonic Vibrometer to Delft University for advanced non-destructive testing.
These global shipments validate real-world demand and mark a transition from pilot projects to market-ready solutions. During the third quarter, QBTS secured a purchase order from a top 5 U.S. bank for quantum security, its first significant U.S. commercial sale in the cybersecurity segment. These developments likely contributed strongly to the company’s third-quarter top line.
Advancements continued with product launches such as the EmuCore reservoir computing device sold to a global automotive manufacturer, supporting edge-based machine learning research. Strategic partnerships deepened with NASA projects, including newly awarded contracts for quantum-powered LIDAR data processing, building upon prior collaborations in government quantum applications. The company’s operational photonic chip foundry in Arizona has fulfilled pre-orders and is ramping up production for the datacom, telecom, and advanced sensing sectors. These improvements are likely to have contributed favorably to the company’s third-quarter revenues.
In the last-reported quarter, revenues reached $61,000 with a 43% gross margin. Despite lower revenues compared to the previous year, QBTS reported operating expenses of $10.2 million, primarily driven by expanded employee resources to support growth. The net loss widened to $36.5 million mainly because of a non-cash, mark-to-market warrant derivative liability tied to the QPhoton merger. For the third quarter, these financial dynamics suggest that while QBTS is positioned to support continued investment and expansion, the company may continue to face margin pressure and volatility in near-term profitability.
Total assets increased to $426.1 million, led by successful capital raises. Cash holdings rose to $348.8 million after a $188 million private placement. This strengthened the balance sheet and provided QBTS with the liquidity to support continued investments and operational scaling in the third quarter, though elevated costs and margin pressure might have persisted.
Despite QBTS’ series of innovations, several risks could weigh on its third-quarter results. The company’s heavier operating expenses, reflecting R&D surge and leadership expansion, likely outpaced revenue growth in the to-be-reported quarter. Realization of commercial revenues depends on converting proof-of-concept trials into paying deployments, integrating new chip foundry output and further securing strategic government and enterprise partnerships. Any delays in executing on its aggressive qubit scaling, manufacturing ramp or commercialization of quantum secure solutions could impact growth visibility. All these might have put pressure on the company’s third-quarter bottom line.
In the third quarter of 2025, Rigetti Computing RGTI likely balanced modest revenue growth with continued investment and execution risk. The company posted $1.8 million in second-quarter revenues and a $39.7 million net loss but strengthened liquidity through a $350 million equity raise. Following the quarter, Rigetti secured $5.7 million in purchase orders for two quantum systems and advanced its 36-qubit Cepheus-1-36Q platform, featuring 99.5% two-qubit gate fidelity. These factors suggest slight sequential revenue growth in the third quarter.
IonQ’s IONQ second-quarter performance demonstrated strong commercial momentum with $20.7 million in revenues, driven by global partnerships (AIST, KISTI) and a $22 million U.S. quantum hub deal expanding its customer base and cloud usage. Meanwhile, operating costs rose 201% and R&D surged 231% as IonQ pursued milestones like #AQ 64 by 2025 and 800 to 80,000 logical qubits by 2027–2030, supported by acquisitions (Oxford Ionics, Capella Space, Lightsynq). These investments likely advanced qubit performance and early synergies in the third quarter. Investors now wait to see whether IonQ has maintained its aggressive spending in the to-be-reported third quarter as well or adopted a tighter cost control strategy (adjusted EBITDA losses are projected to widen to $211 million in 2025).
Our proven model does not conclusively predict an earnings beat for D-Wave this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.
Earnings ESP: D-Wave has an Earnings ESP of 0.00%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The stock is currently trading at a lofty forward 12-month price-to-sales (P/S) ratio of 331.65, which is significantly higher than the industry average of 5.63. This exceptionally high forward P/S ratio raises the risk of a sharp pullback if third-quarter results or the guidance for the forthcoming period disappoint.
Given D-Wave’s recent commercial traction, expanding partnerships, and the successful launch of its Advantage2 quantum system, the company is progressing in technology and market adoption. However, with its high valuation, ongoing margin pressures and uncertainty around the pace of commercial scaling, the risk-reward balance appears stretched in the near term. While long-term fundamentals remain promising, the potential volatility around Q3 results suggests limited upside before earnings for this Zacks Rank #3 (Hold) stock. Therefore, investors may be better positioned holding QBTS stock for now rather than initiating new positions ahead of the report.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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This article originally published on Zacks Investment Research (zacks.com).
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