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IonQ, Inc.: Q1 FY2026 earnings call

What management said about Q1 FY2026, from the documents filed with the SEC on 6 May 2026: press release. Guidance figures: 1 raised, 2 new, 1 kept. The quarter’s numbers.

Key takeaways

  • Revenue rose 755% to $64.7 million: Revenue was $64.7 million, against $7.6 million a year earlier, and 30% above the midpoint of the $48 million to $51 million first-quarter range given in February. Source
  • Remaining performance obligations up 554%: Remaining performance obligations reached $470 million, up 554% year-on-year, and management said backlog increased during the quarter. Source
  • Commercial and international revenue shares: Management said about 60% of revenue came from commercial customers and about 35% from international customers. Source
  • First 256-qubit system sold: IonQ sold its first sixth-generation, chip-based 256-qubit system to the University of Cambridge, and received its first ion trap chip samples back from the fab. Source
  • Adjusted EBITDA loss of $96.8 million: Adjusted EBITDA loss was $96.8 million, or $85.0 million excluding SkyWater spend; adjusted EPS was a loss of $0.34. SkyWater spend included $11.8 million of research and development costs. Source
  • Cash and investments of $3.1 billion: Cash, cash equivalents and investments were $3.1 billion at March 31, 2026, compared with $3.3 billion at December 31, 2025. Source

“With $64.7 million in revenue, we have once again significantly outperformed our guidance range, exceeding the midpoint by 30%,”

Niccolo de Masi, Chairman and CEO

Guidance

AreaPeriodFigureAgainst last quarter
Revenue SourceFull year 2026between $260 million and $270 millionRaised from between $225 million and $245 million
Revenue SourceSecond quarter 2026between $65 million and $68 millionNew
Adjusted EBITDA loss SourceFull year 2026between ($330) million and ($310) millionKept
Organic revenue growth SourceFull year 2026over 100% year-on-yearNew

What changed from last quarter

  • Guidance raised: Full-year 2026 revenue expectation raised to $260 million to $270 million, from $225 million to $245 million previously. Source
  • New guidance: A second-quarter 2026 revenue range of $65 million to $68 million was given; the prior release gave only a first-quarter range. Source
  • Guidance kept: The full-year Adjusted EBITDA loss range was reaffirmed at ($330) million to ($310) million. Source
  • New: IonQ sold its first sixth-generation, chip-based 256-qubit system, to the University of Cambridge. Source
  • New: IonQ was selected for DARPA’s HARQ Program on modular quantum computing and quantum interconnects. Source
  • New: IonQ was awarded a $39 million contract under the Space Development Agency’s HALO program for tactical space communications. Source

Results and growth drivers

  • Revenue rose 755% to $64.7 million: Revenue was $64.7 million, against $7.6 million a year earlier, and 30% above the midpoint of the $48 million to $51 million first-quarter range given in February. Source
  • Remaining performance obligations up 554%: Remaining performance obligations reached $470 million, up 554% year-on-year, and management said backlog increased during the quarter. Source
  • System sales and cloud use drove revenue: Management attributed revenue to accelerating global system sales, Tempo demand, a strengthening pipeline and higher cloud utilization, with growth across product offerings. Source
  • Net income lifted by warrant gain: Net income attributable to IonQ was $805.4 million, with diluted EPS of $2.07; the statements show a $1,057.6 million gain on change in fair value of warrant liabilities. Source

Customers and geographic reach

  • Commercial and international revenue shares: Management said about 60% of revenue came from commercial customers and about 35% from international customers. Source
  • Multi-product sales over one third: Over one third of quarterly revenue came from multi-product sales, which management said shows the platform strategy reaching customers beyond computing. Source
  • Sales now in more than 30 countries: Management said IonQ solutions have now been sold in more than 30 countries, against only a few a year earlier. Source

“I am proud to report that we saw not only record revenues, but an increase in our backlog as well.”

Inder Singh, COO and CFO

Products and platform milestones

  • First 256-qubit system sold: IonQ sold its first sixth-generation, chip-based 256-qubit system to the University of Cambridge, and received its first ion trap chip samples back from the fab. Source
  • Moving to system-level testing: Management said the company is now testing the full 256-qubit computer at system level rather than component level. Source
  • Tempo demand continues: Management said demand for the fifth-generation Tempo system continues, alongside a secure quantum network partnership for the 256-qubit sale. Source
  • Sensing and security products expanded: Management cited commercialization of its sensing products and global deployments of its post-quantum cybersecurity solutions as milestones of the quarter. Source
  • Networking deployments in Poland and US: Deployments included a national quantum communication network in Poland, a quantum memory node sale into the U.S. Mid-Atlantic network, and a Florida statewide networking initiative. Source
  • Two commercial computers connected: The company reported a first commercial demonstration of two connected commercial quantum computers, which it described as a foundational interconnect milestone. Source

Government and defense awards

  • DARPA selection for modular computing: IonQ was selected for DARPA’s HARQ Program, which the release links to its modular quantum computing and quantum interconnect work. Source
  • $39 million space communications award: IonQ was awarded a $39 million contract under the Space Development Agency’s HALO program, and was selected to support the Missile Defense Agency’s SHIELD IDIQ contract. Source
  • Partnerships with GDIT and KISTI: The company expanded its partnership with General Dynamics Information Technology and signed an MOU with KISTI on hybrid quantum-HPC technologies. Source

“Securing our first 256-qubit system sale and receiving our first ion trap chip samples back from the fab this quarter marks a pivotal shift toward commercial scale.”

Niccolo de Masi, Chairman and CEO

Costs and adjusted EBITDA

  • Adjusted EBITDA loss of $96.8 million: Adjusted EBITDA loss was $96.8 million, or $85.0 million excluding SkyWater spend; adjusted EPS was a loss of $0.34. SkyWater spend included $11.8 million of research and development costs. Source
  • Operating expenses rose from prior year: Research and development, sales and marketing, and general and administrative costs each rose from the prior-year quarter; depreciation and amortization was $43.1 million. Source

Capital, cash and investments

  • Cash and investments of $3.1 billion: Cash, cash equivalents and investments were $3.1 billion at March 31, 2026, compared with $3.3 billion at December 31, 2025. Source
  • Operating cash outflow widened: Net cash used in operating activities was $151.0 million, against $33.0 million a year earlier; purchases of property and equipment were $8.4 million. Source

Strategy, go-to-market and SkyWater

  • Land-and-expand go-to-market approach: Management said a strengthened go-to-market team is using methodical pursuit and capture tactics and a land-and-expand strategy across the platform. Source
  • Fault-tolerance blueprint published: IonQ published an architectural blueprint for fault-tolerant quantum computing, which management described as the first of its kind. Source
  • Manufacturing and deployment capacity expanded: Management cited more manufacturing capacity, deployment resources and a corporate dashboard as ways to keep operational rigor across a growing enterprise. Source

Coming up, as management said on 6 May 2026

  • SkyWater deal expected to close: The SkyWater transaction is expected to close in the second or third quarter of 2026, subject to shareholder, regulatory and customary conditions. Source
  • Investor conferences in May and June: Upcoming events include Needham on May 12, J.P. Morgan on May 18, B. Riley on May 20, Reagan National Economic Forum May 28-29, Mizuho on June 9 and Rosenblatt on June 10. Source
  • Continued investment in products: Management said it will keep investing in market-leading quantum products and applications for customers. Source
  • Aim to demonstrate fault-tolerance at scale: Management said IonQ is positioned to be the first company to fully demonstrate fault-tolerance at scale. Source

Figures management reported

FigureReported
Remaining performance obligations Source$470 million
Remaining performance obligations growth Source554% year-on-year

Risks management discussed

  • Financial: GAAP results are affected by changes in fair value measurements, which management said could significantly impact GAAP results and are reconciling items to Adjusted EBITDA. Source
  • Financial: SkyWater-related costs will continue in Adjusted EBITDA until the acquisition receives regulatory approval and closes. Source

Earlier plans management reported on

  • Ahead: Management said first-quarter revenue significantly outperformed the guidance range, exceeding its midpoint by 30%. Source
  • Not stated: Management reaffirmed the full-year Adjusted EBITDA loss range given in the prior release. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.