Summary of IonQ Fourth Quarter and Full Year 2025 Earnings Call

1Key Financial Results and Metrics

Q4 2025 Revenue: $61.9 million, a 429% increase year-over-year.

Full Year 2025 Revenue: $130 million, representing 202% growth compared to 2024.

Adjusted EBITDA: Negative $67.4 million for Q4 and negative $186.8 million for the full year, reflecting ongoing investments in R&D.

Net Income: Positive $753.7 million for Q4, primarily due to a non-cash mark-to-market valuation of warrants. Full year net income was negative $510 million.

Cash Position: $3.3 billion in cash and investments as of December 31, 2025.

Remaining Performance Obligations (RPO): Increased to $370 million from $77 million in 2024, indicating strong future revenue visibility.

2Strategic Updates and Business Highlights

IonQ transitioned from a single product quantum computing company to a full-stack quantum platform, offering solutions in computing, networking, sensing, and security.

Announced the acquisition of SkyWater Technologies, aimed at enhancing manufacturing capabilities and securing supply chains.

Achieved significant technical milestones, including 99.99% 2-qubit gate fidelity, positioning IonQ as a leader in quantum computing performance.

Expanded customer base with notable contracts in quantum networking and sensing, including partnerships with the U.S. Air Force and various international projects.

Strengthened leadership team with key appointments to enhance federal engagement and commercial strategy.

3Forward Guidance and Outlook

2026 Revenue Guidance: Projected between $225 million and $245 million, with Q1 guidance of $48 million to $51 million.

Anticipates continued strong demand for quantum solutions, particularly in commercial sectors, with expectations of over 100% organic growth in the compute platform.

Plans to demonstrate a 256-qubit system by the end of 2026, with a roadmap extending to 10,000 qubits and beyond.

4Bad News, Challenges, or Points of Concern

Adjusted EBITDA remains negative, indicating ongoing losses as the company invests heavily in R&D and scaling operations.

Regulatory approval for the SkyWater acquisition is pending, introducing uncertainty regarding the timeline and potential integration challenges.

Competitive pressures remain high in the quantum space, with other companies also advancing rapidly in technology and market presence.

The company faces the challenge of scaling operations and meeting demand, which may require careful management of resources and deployment capabilities.

5Notable Q&A Insights

Management emphasized the importance of delivering integrated solutions rather than standalone products, highlighting the need for interoperability across quantum technologies.

Inder Singh noted that demand is currently exceeding supply, indicating a strong market interest but also potential challenges in meeting customer needs.

The conversation around national quantum initiatives (NQI) funding suggested that while government support is valuable, IonQ is well-positioned to drive growth independently due to its strong financial position.

The acquisition of Seed Innovations was discussed as a strategic move to enhance software capabilities and support classified projects, further integrating IonQ's offerings across various domains. Overall, IonQ demonstrated a transformative year with significant financial growth and strategic advancements, while also navigating challenges typical of a rapidly evolving technology sector.