PALO ALTO, Calif. – March 13, 2025 – D-Wave Quantum Inc., (“D-Wave” or the “Company”) a leader in quantum computing systems, software, and services, today announced financial results for its fourth fiscal quarter and year ended December 31, 2024.

“Every day D-Wave’s quantum technology is helping customers gain competitive advantages, discover new scientific breakthroughs, and fuel innovations that were previously unimaginable,” said Dr. Alan Baratz, CEO of D-Wave. “Our mission is unwavering - to help organizations realize the benefits of quantum computing now. With record bookings, a record cash position and an unequivocal demonstration of our quantum system outperforming classical on a real-world problem, our progress toward achieving that mission is clear.”

Financial Results for the Fiscal Year 2024

Revenue: Revenue for the year ended December 31, 2024, was $8.8 million, essentially flat compared to revenue of $8.8 million for the year ended December 31, 2023.

Bookings1: Bookings for the year ended December 31, 2024, were $23.9 million, an increase of $13.4 million, or 128%, from Bookings of $10.5 million for the year ended December 31, 2023.

Customers: In comparing the year ended December 31, 2024 with the year ended December 31, 2023, D-Wave had:
A total of 135 customers compared with a total of 133 customers;
76 commercial customers compared with 78 commercial customers;
59 research institution and government customers compared with 55 research institution and government customers; and
28 Forbes Global 2000 customers compared with 27 Forbes Global 2000 customers constituting 37% of the total number of commercial customers.

GAAP Gross Profit: GAAP gross profit for the year ended December 31, 2024 was $5.6 million, an increase of $1.0 million, or 20%, from $4.6 million of GAAP gross profit for the year ended December 31, 2023, with the increase due primarily to an increase in higher margin QCaaS revenue and lower stock-based compensation expense in cost of sales.

GAAP Gross Margin: GAAP gross margin for the year ended December 31, 2024 was 63.0%, an increase of 10.2% from the 52.8% GAAP gross margin for the year ended December 31, 2023.

Non-GAAP Gross Profit: Non-GAAP Gross Profit for the year ended December 31, 2024 was $6.4 million, an increase of $0.3 million, or 5%, from the Non-GAAP Gross Profit of $6.1 million for the year ended December 31, 2023. The difference between GAAP and Non-GAAP Gross Profit is limited to non-cash stock-based compensation and depreciation and amortization expenses that are excluded from the Non-GAAP gross profit.

Non-GAAP Gross Margin: Non-GAAP Gross Margin for the year ended December 31, 2024 was 72.8%, an increase of 3.0% from the 69.8% Non-GAAP Gross Margin for the year ended December 31, 2023. The difference between GAAP and Non-GAAP Gross Margin is limited to non-cash stock-based compensation and depreciation and amortization expenses that are excluded from the Non-GAAP gross margin.

GAAP Operating Expenses: GAAP operating expenses for the year ended December 31, 2024 were $82.8 million, a decrease of $2.4 million, or 3% from GAAP operating expenses of $85.2 million for the year ended December 31, 2023, with the year-over-year decrease primarily driven by decreases of $5.6 million in non-cash stock-based compensation expense,  $3.8 million in third party professional services and $1.0 million in insurance expenses, partially offset by increases in salaries and related personnel costs of $6.0 million related to incremental investments to support the Company's continued growth and expansion.

Non-GAAP Adjusted Operating Expenses: Non-GAAP Adjusted Operating Expenses for the year ended December 31, 2024 were $62.4 million, an increase of $2.0 million or 3% from Non-GAAP Adjusted Operating Expenses of $60.4 million for the year ended December 31, 2023, with the difference between GAAP and Non-GAAP Adjusted Operating Expenses being primarily non-cash stock-based compensation expense, non-recurring one-time expenses, and depreciation and amortization.

Net Loss: Net loss for the year ended December 31, 2024 was $143.9 million, or $0.75 per share, an increase of $61.2 million, or $0.15 per share, from the net loss of $82.7 million or $0.60 per share, for the year ended December 31, 2023. The increase was primarily due to a $68.3 million non-cash, non-operating charge related to the remeasurement of the Company's warrant liability, that materially increased as a result of the significant price appreciation of the Company's warrants.

Adjusted Net Loss: Adjusted Net Loss for the year ended December 31, 2024, was $75.6 million, or $0.39per share, a decrease of $7.3 million, or $0.21 per share, from an Adjusted Net Loss of $83.0 million, or $0.60per share, for the year ended December 31, 2023, with the difference between Net Loss and Adjusted Net Loss being non-cash, non-operating charge related to the remeasurement of the Company's warrant liability.

Adjusted EBITDA Loss: The Adjusted EBITDA Loss for the year ended December 31, 2024 was $56.0 million, an increase of $1.7 million or 3% from the Adjusted EBITDA Loss of $54.3 million for the year ended December 31, 2023, with the increase due primarily to higher operating expenses, driven by the Company’s increased investment in its go-to-market and research and development organizations.

Fourth Quarter Fiscal 2024 Financial Highlights

Revenue: Revenue for the fourth quarter of fiscal 2024 was $2.3 million, a decrease of $0.6 million, or 21%, from the fiscal 2023 fourth quarter revenue of $2.9 million.

Bookings1: Bookings for the fourth quarter of fiscal 2024 were a record $18.3 million, an increase of $15.3 million, or 502% from the fiscal 2023 fourth quarter Bookings of $3.0 million.

GAAP Gross Profit: GAAP gross profit for the fourth quarter of fiscal 2024 was $1.5 million, a decrease of $0.5 million, or 25%, from the fiscal 2023 fourth quarter gross profit of $2.0 million, with the decrease due primarily to lower professional services revenue.

GAAP Gross Margin: GAAP gross margin for the fourth quarter of fiscal 2024 was 63.8%, a decrease of 3.9% from the fiscal 2023 fourth quarter GAAP gross margin of 67.7%.

Non-GAAP Gross Profit: Non-GAAP Gross Profit for the fourth quarter of fiscal 2024 was $1.7 million, a decrease of $0.6 million, or 28%, from the fiscal 2023 fourth quarter Non-GAAP Gross Profit of $2.3 million. The difference between GAAP and Non-GAAP gross profit is limited to non-cash stock-based compensation and depreciation and amortization expenses that are excluded from the Non-GAAP gross profit.

Non-GAAP Gross Margin: Non-GAAP Gross Margin for the fourth quarter of fiscal 2024 was 73.0%, a decrease of 7.2% from the fiscal 2023 fourth quarter Non-GAAP Gross Margin of 80.2%. The difference between GAAP and Non-GAAP Gross Margin is limited to non-cash stock-based compensation and depreciation and amortization expenses that are excluded from the Non-GAAP gross margin.

GAAP Operating Expenses: GAAP operating expenses for the fourth quarter of fiscal 2024 were $21.7 million, an increase of $3.2 million, or 17%, from the fiscal 2023 fourth quarter GAAP operating expenses of $18.5 million with the increase driven primarily by an increase in personnel costs of $4.1 million, and fabrication costs of $0.6 million, partially offset by a decrease in third party professional fees of $1.2 million.

Non-GAAP Adjusted Operating Expenses: Non-GAAP Adjusted Operating Expenses for the fourth quarter of fiscal 2024 were $17.0 million, an increase of $3.8 million, or 29% from the fiscal 2023 fourth quarter Non-GAAP Adjusted Operating Expenses of $13.2 million, with the difference between GAAP and Non-GAAP Adjusted Operating Expenses being primarily non-cash stock-based compensation expense, non-recurring one-time expenses, and depreciation and amortization.

Net Loss: Net loss for the fourth quarter of fiscal 2024 was $86.1 million, an increase of $70.1 million, or 438%, from the fiscal 2023 fourth quarter net loss of $16.0 million. The increase was primarily due to a $68.3 million non-cash, non-operating charge related to the remeasurement of the warrant liability, that materially increased as a result of the significant price appreciation of the Company's warrants. Net loss per share for the fourth quarter of fiscal 2024 was $0.37 per share, an increase of $0.27 from the fiscal 2023 fourth quarter net loss of $0.10 per share.

Adjusted Net Loss: Adjusted Net Loss for the fourth quarter of fiscal 2024, was $17.8 million, or $0.08 per share, an increase of $1.5 million and a decrease of $0.03 per share, compared with an Adjusted Net Loss of $16.4 million, or $0.10 per share, for the fiscal 2023 fourth quarter, with the difference between Net Loss and Adjusted Net Loss being the non-cash, non-operating charge related to the remeasurement of the Company's warrant liability.

Adjusted EBITDA Loss: Adjusted EBITDA Loss for the fourth quarter of fiscal 2024 was $15.3 million, an increase of $4.4 million, or 41%, from the fiscal 2023 fourth quarter Adjusted EBITDA Loss of $10.9 million,with the increase due primarily to lower revenue and higher operating expenses that were principally related to the Company’s increased investment in its go-to-market and research and development organizations.