Key Highlights
- Q1 2026 revenue reached $4.4 million, representing a triple increase year-over-year and surpassing the $4.09 million consensus estimate.
- Loss per share of -$0.04 matched analyst projections.
- The company’s Cepheus-1-108Q system, featuring 108 qubits, went live in April across Amazon Braket and Microsoft Azure Quantum platforms.
- Operating losses expanded to $26 million, with R&D expenditures approaching $20 million.
- A $100 million UK initiative was unveiled, targeting deployment of a 1,000-qubit quantum computer in three to four years.
Rigetti Computing (RGTI) delivered better-than-expected Q1 2026 results, yet shares declined approximately 1.85% during extended trading hours, despite climbing 8.3% in the regular session to finish at $18.59.
Quarterly revenue reached $4.4 million, marking a 193% surge from the $1.5 million reported in Q1 2025. This performance exceeded Wall Street’s consensus range of approximately $4.09–$4.13 million. The adjusted loss per share remained at -$0.04, aligning with market expectations.
Shares had already experienced upward momentum heading into the earnings announcement, buoyed by positive sentiment across the quantum computing sector. Competitors IonQ (IONQ) and D-Wave Quantum (QBTS) gained 15.5% and 6.5%, respectively, during the same trading session.
The subdued after-hours performance wasn’t unexpected. The quarterly report contained few elements that deviated from investor anticipations.
The revenue expansion stemmed primarily from Novera QPU shipments and government contract fulfillment. Gross margin showed modest improvement, rising to 31% from the prior year’s 30%.
Cepheus-1-108Q System Goes Operational
The most significant product development was Rigetti’s April launch of the Cepheus-1-108Q platform. The system is now accessible through Amazon Braket, Microsoft Azure Quantum, and Rigetti’s proprietary cloud infrastructure.
This rollout had been postponed from an earlier scheduled date. The company adjusted its timeline in January to accommodate additional technical refinements prior to public availability.
CEO Subodh Kulkarni indicated the platform is expected to achieve median two-qubit gate fidelity of 99.5% by year-end, representing a critical benchmark for quantum operation precision.
Operating costs increased 23.5% on a year-over-year basis to $27.3 million. Operating losses expanded to $26 million compared to $22 million in the prior-year quarter. Research and development consumed nearly $20 million of that total.
The company closed Q1 with cash reserves and available-for-sale investments totaling $5.69 million, representing 87% of total assets. Rigetti maintains a debt-free balance sheet.
Ambitious 1,000-Qubit UK Project Unveiled
The more substantial long-range development involves Rigetti’s $100 million United Kingdom commitment, designed to establish a quantum computing facility within a three-to-four-year timeframe.
The planned system will incorporate over 1,000 physical qubits — representing more than a ninefold expansion compared to the existing Cepheus architecture.
Rigetti had previously set a goal to achieve 1,000-qubit capability by 2024 or 2025. Supply chain disruptions and engineering challenges necessitated timeline revisions.
The organization has since recalibrated its strategic direction. Instead of prioritizing raw qubit count, Rigetti now emphasizes performance metrics before pursuing scale expansion.
Kulkarni addressed this directly in a prior earnings discussion: “Our focus remains reaching true commercially meaningful quantum advantage, not headline milestones.”
Wall Street analysts forecast full-year 2026 revenue expansion of approximately 220%, though the company isn’t anticipated to achieve profitability during the current fiscal year.
Non-GAAP net loss showed marginal improvement, decreasing to $14.7 million from $15.3 million in Q1 2025, representing a modest positive trend.
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