AI Takeaway
RGTI reported a significant gross profit decline of 63.8% to $2.1M in FY2025 while net losses widened to -$216.2M, though the company substantially strengthened its balance sheet via $439.1M in financing activities, growing total assets 134.1% to $666.6M to fund its quantum computing expansion.
Cost of Revenue
$5.02M
-1.35% YoY
EPS (Basic)
$-0.70
++35.78% YoY
Operating Income
$-84.66M
-23.57% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-K filing
Gross profit collapsed 63.8% year-over-year from $5.7M to $2.1M, even as cost of revenue slightly declined 1.4% to $5.0M, indicating that revenue fell sharply and the company is struggling to monetize its quantum computing products at scale.
Source: Source: 10-K Income Statement (XBRL Financial Data)
R&D expenses surged 23.3% year-over-year to $61.3M, reflecting RGTI's aggressive push to advance its quantum computing technology, which is the primary driver of widening operating losses of -$84.7M.
Source: Source: 10-K Income Statement (XBRL Financial Data)
Total assets grew 134.1% to $666.6M and stockholders' equity surged 331.5% to $546.2M, funded by $439.1M in financing cash flows, suggesting significant equity issuances to fund operations and capital investments.
Source: Source: 10-K Balance Sheet & Cash Flow Statement (XBRL Financial Data)
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Upgrade to unlockRGTI's gross profit fell 63.8% to just $2.1M against $5.0M in cost of revenue, implying minimal or declining revenue from its quantum computing products. The company has not demonstrated a clear path to scaling commercial revenue, which is critical for long-term viability.
Source: Source: 10-K Income Statement (XBRL Financial Data)
Unlock 4 more detailed risk analysis
Upgrade to unlockReported EPS of $-0.03 versus the $-0.03 analyst consensus — a +9.6% beat for FY2025.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Cost of Revenue | $5.02M | $5.09M | -1.35% |
Gross Profit | $2.06M | $5.7M | -63.77% |
Operating Income | $-84.66M | $-68.51M | -23.57% |
Net Income | $-216.21M | $-200.99M | -7.57% |
EPS (Basic) | $-0.70 | $-1.09 | +35.78% |
EPS (Diluted) | $-0.70 | $-1.09 | +35.78% |
R&D Expense | $61.34M | $49.75M | +23.31% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $666.57M | $284.79M | +134.06% |
Current Assets | $454.76M | $206.76M | +119.95% |
Total Liabilities | $120.38M | $158.2M | -23.91% |
Current Liabilities | $12.15M | $11.87M | +2.40% |
Stockholders' Equity | $546.2M | $126.59M | +331.47% |
Cash & Equivalents | $44.85M | $67.67M | -33.72% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $-58.54M | $-50.63M | -15.64% |
Investing Cash Flow | $-403.33M | $-78.36M | -414.70% |
Financing Cash Flow | $439.09M | $175.46M | +150.25% |
D&A | $8.1M | $6.9M | +17.39% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
ROE | -39.6% | — | — |
ROA | -32.4% | — | — |
Current Ratio | $37.423 | — | — |
Debt to Equity | $0.22 | — | — |
RGTI's FY2025 results showed a net loss of -$216.2M and a 63.8% collapse in gross profit to just $2.1M, reflecting very limited commercial revenue from its quantum computing business. However, the company raised $439.1M in financing and grew total assets 134.1% to $666.6M, signaling aggressive investment in future capabilities.
Yes, RGTI's net loss widened 7.6% to -$216.2M in FY2025, and operating losses deepened 23.6% to -$84.7M, driven by a 23.3% increase in R&D spending to $61.3M. EPS improved to -$0.70 from -$1.09, but this was due to more shares outstanding from equity raises, not operational improvement.
RGTI raised $439.1M through financing activities in FY2025, almost certainly through equity issuances given the 331.5% surge in stockholders' equity to $546.2M. The company is entirely dependent on capital markets to fund its -$58.5M operating cash burn and -$403.3M in investing activities.
RGTI has a very strong liquidity position with a current ratio of 37.4x and low leverage with a debt-to-equity ratio of 0.22x, supported by $666.6M in total assets. However, the company has no meaningful profitability, a gross profit of only $2.1M, and is burning cash rapidly, making it entirely dependent on continued access to external financing.
Based on the financial data, RGTI's key risks include its inability to generate meaningful revenue (estimated ~$7.1M vs. $84.7M operating loss), heavy reliance on equity financing to sustain operations, and significant shareholder dilution from ongoing share issuances. The company's quantum computing technology remains in an early commercialization stage with no clear near-term path to profitability.