Quantum Computing Inc. Q4 FY2025 earnings call

2025 was a transformational year for QCI. Key milestones included completing and opening the thin-film lithonibate photonic chip fabrication facility, expanding the foundry services business, planning Fab 2, strengthening the leadership team and board, acquiring Lumina Semiconductor Inc., and advancing product development in quantum authentication, networking, etc. In the fourth quarter, revenue reflected early contributions from the foundry service business. 2026 priorities include scaling the foundry services business, advancing product portfolio commercialization, and successfully integrating LSI.

Fourth quarter revenue was approximately $198,000 compared to $62,000 in the prior year quarter, driven primarily by hardware sales and services associated with the FAB1 facility. For the year ended December 31, 2025, the company reported a net loss of $18.7 million. As of December 31, 2025, the company had cash and cash equivalents of $738 million, investments of $783 million, total assets of $1.6 billion, and stockholders' equity of $1.6 billion.

No specific revenue guidance provided, but expects growth from the LSI acquisition. Priorities for 2026 include scaling foundry services, advancing product portfolio, and executing with discipline while preserving capital.

Experienced recent volatility in share price, believed to reflect broader market conditions rather than change in underlying business performance.

Q: Congrats on closing the LSI acquisition. Could you remind us of LSI revenues and costs?

A: No revenue guidance, but analyst reports suggest $20 to $25 million per year range. Reconstructing costs due to different shared services model at LSI.

Q: Sense of co-locating fabs and CapEx?

A: Exploring larger facility for Fab 2, not likely to incur large costs this year, larger costs two to three years out.

Q: LSI 2026 revenue growth?

A: Expect growth, initial customer reaction positive, working to stabilize and grow the business.

Q: Largest addressable markets?

A: Lithium nitrate production line and quantum communications.

Q: Acquisition make you more exposed to international business?

A: Bulk of customer base domestic now, but will look at overseas opportunities over time.

Q: Sensing and security applications?

A: Focus on specialized quantum applications like direct series quantum optimization machine and photonic vibrometer, and quantum sensing technology for remote sensing and security.