D-Wave Announces First Quarter Financial Results
D-Wave achieved revenue of $1.6 million and had orders of $2.9 million in the first quarter. By comparison, they had revenue of $2.4 million in the previous 2022 fourth quarter and orders that were much lower than a million dollars. Adjusted EBITDA loss in Q1 2023 was $16.9 million compared to a loss in the year-ago quarter in Q1 2022 of $9.8 million. Net loss was $24.8 million versus $11.6 million a year ago.
The company ended the quarter with approximately $9.0 million in cash versus a cash position of $7.1 million as of December 31, 2022. Despite the operating loss, the company has been able to continue to maintain its cash position by engaging its Equity Line of Credit (ELOC). So far, the company has raised approximately $20 million under ELOC out of a total of $150 million available. The company estimates 2023 total revenue of $12 – $13 million which will represent around a 75% increase over 2022. Many quantum companies will experience “uneven” revenue meaning that large bills may occur during a given quarter and revenue growth may not represent a significant growth. smoothly from quarter to quarter. D-Wave has indicated that they expect to see revenue growth in Q2 2023.
The company is expanding its customer base and has added Interpublic Group, Unisys US, POLARISqb, and Quantum Algorithms Institute to its client base. They also pointed out that the average deal size has increased and they have experienced five straight quarters of sequential quarter-over-quarter growth in bookings. They also point to a paper recently published in Nature magazine demonstrated a quantum annealing solution that is superior to the classical solution for the 3D spin glass problem. They also introduced a new hybrid breaker plug-in for feature selection for machine learning applications.
D-Wave’s press release with details of their Q1 financial report is accessible Here.
May 24, 2023