IonQ, Inc. Q4 FY2025 earnings call

Strategic Expansion - IonQ expanded from quantum computing leadership to become the world's leading quantum platform solution and merchant supplier, being the first to deliver integrated quantum solutions across computing, networking, sensing, and security in major allied geographies. - Attracted top quantum leaders and has a strong IP portfolio with approximately 300 PhDs and 800 colleagues with advanced degrees. ### Financial Performance - 2025 was a record and historic year for the quantum industry. Fourth quarter 2025 revenue was $61.9 million, growing 429% year - over - year. Full - year 2025 revenue was $130 million, 202% year - over - year growth. - Announced the largest acquisition in quantum history, Skywater, which is a leading quantum foundry, to accelerate quantum platform roadmap manufacturability. ### Product Family Highlights - Quantum Computing: Demonstrated highest performance two - qubit gates (99.99% fidelity), best time to solution for commercial applications, near - term roadmap to 1,600 fault - tolerant logical qubits, and worked with many customers like Ansys, Synopsys, etc. - Quantum Networking: Partnered with U.S. Air Force Research Lab for qubit - to - photon frequency conversion, and won contracts for international quantum networks in Geneva, Slovakia, Romania. - Quantum Sensing: Atomic clocks and inertial sensors were high - performing, with partnerships for defense contracts and DARPA - related clock size reduction. ### Geographical and Team Developments - Deepened momentum in South Korea, expanded agreements in Switzerland, EU, Canada, Sweden. Bolstered federal team with key hires. Expanded commercial team with new leaders.

In 2025, IonQ had a record year. In the fourth quarter of 2025, revenue grew over 50% quarter - over - quarter. Full - year 2025 revenue was over three times that of 2024. Over 60% of 2025 revenue came from commercial customers, and international sales comprised more than 30% for the first time. In quantum computing, IonQ demonstrated high - fidelity two - qubit gates and had a strong roadmap. In quantum networking, there were multiple deployments. In quantum sensing, atomic clocks and inertial sensors were market - leading. The remaining performance obligations (RPO) stood at $370 million at the end of 2025 compared to $77 million at the end of 2024.

For 2026, projected revenues are between $225 million to $245 million for full year, and $48 million to $51 million for the first quarter. Projected adjusted EBITDA is between negative $310 million and negative $330 million for the full year 2026. Guidance metrics do not reflect the Skywater acquisition as it has not closed.

Q: John McPeak with Rosenblatt Securities asked about how IonQ might address the $151 billion opportunity related to the Shield release.

A: Niccolo DeMasi said IonQ is a solution and platform company, not just a single - product company, and needs to integrate things like networking and security to provide complete solutions.

Q: Kevin Gerrigan with Jefferies asked about Skywater's regulatory approval status and Seed Integrations' strategic fit.

A: Regarding Skywater, it's a regulatory process, and Seed Integrations is a software classified mission control business that helps stitch together component solutions and has DevSecOps capability.

Q: Craig Ellis with B. Reilly Securities asked about drivers of 2026 revenue and first - quarter guidance linearity.

A: Inder Singh said they will globalize the company, organic growth of compute platform is strong, demand for security, networking, and sensing solutions is there, and commercial is growing.

Q: VK Rakesh with Mizuho asked about hardware - software split and national quantum initiative funding.

A: IonQ thinks in terms of solution thinking, not just hardware - software split, and is focused on execution and has financial firepower for organic investment.

Q: Quinn Bolton with Needham asked about cost of quantum systems and Skywater's impact.

A: Niccolo DeMasi mentioned full - fault - tolerant machine cost under $30 million, and Skywater acquisition will help accelerate cost reduction.

Q: David Williams with Benchmark asked about capacity and Skywater's capabilities.

A: Inder Singh said they have capacity to meet Tempo demand now, and Skywater has sufficient capacity for the U.S. quantum industry.

Q: Troy Jensen asked about IonQ's control of controller and investment in Horizon.

A: Niccolo DeMasi said IonQ has an open, interoperable stack, partners with many, and wants to capture value across the stack while being open.