D-Wave Completes $175 Million Stock Sale, Plans to Grow Investing.com

PALO ALTO, Calif. – D-Wave Quantum Inc. (NYSE: QBTS), known for its advances in quantum computing and with a remarkable year-to-date return of 368% according to data from InvestingPro, has announced the completion of its stock sales programs. A total of $175 million in gross proceeds were achieved. The company, which bills itself as the world’s first commercial quantum computing provider, closed its $75 million program on Monday at an average share price of $4.8149. The stock’s volume-weighted average price was $4.6625 over the three-day period, according to Bloomberg data.

This capital increase is part of D-Wave’s strategy to strengthen its financial position as it further develops its quantum computing technology and expands its business operations. With the new financing, the company expects to end the fourth quarter of fiscal 2024 with at least $160 million in cash. InvestingPro’s analysis shows that the company currently operates with a moderate level of leverage and has a liquidity ratio of 1.36, indicating adequate short-term liquidity. The funds are intended to support working capital and capital expenditures essential to the Company’s ongoing technical development efforts.

Dr. D-Wave CEO Alan Baratz expressed confidence that annealing quantum computing will advance the commercial adoption of quantum technologies. He highlighted the company’s 5,000-qubit Advantage™ quantum computer, which he called the largest in the world and cited as a key enabler for adoption in various sectors such as business, research and government.

The company’s mission is to use quantum computing to solve complex problems across numerous industries, from logistics and AI to drug discovery and financial modeling. D-Wave’s technology has been used by leading organizations such as Mastercard, Lockheed Martin and Los Alamos National Laboratory.

The press release also contained forward-looking statements that addressed risks, uncertainties and other factors that could cause actual results to differ from those projected. The company cautions against relying too heavily on these statements when making investment decisions. With trailing twelve month revenue of $9.42 million and a market cap of $928.54 million, InvestingPro’s analysis shows the stock is trading above its fair value. Investors seeking deeper insights can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers, which provides a detailed analysis of D-Wave’s financial health, growth prospects and market position. This news is based on a press release from D-Wave Quantum Inc.

In other recent news, D-Wave Quantum Inc. has experienced significant changes to its board of directors and financial performance. Ziv Ehrenfeld, a key board member, recently resigned and the vacancy has not yet been filled. In contrast, the company has expanded its board with the strategic appointment of Sharon Holt, a tech industry veteran with extensive experience in semiconductors, embedded technologies and intellectual property.

Financially, D-Wave reported mixed results in its Q3 2024 earnings call. The company announced a 27% decline in overall revenue to $1.9 million, but also reported a 41% increase in its core Quantum Computing as a Service (QCaaS) segment. Despite a widening net loss and a decline in professional services revenue, D-Wave managed to pay off a sizable $50 million loan while maintaining a healthy cash balance.

Among other notable developments, D-Wave’s 4,400-qubit Advantage 2 processor made significant progress, and the company secured a key pilot with NTT DOCOMO, resulting in a 15% reduction in network congestion. Looking forward, D-Wave reiterated its guidance for full-year adjusted EBITDA loss of less than $54.3 million and is targeting sustainable profitability with less funding than competitors. These recent developments underscore D-Wave’s ongoing commitment to establishing a strong presence in the quantum computing market.

This translation was created using artificial intelligence. For further information, please see our Terms of Use.