D-Wave Quantum (QBTS) Q4 2024 Earnings Call Transcript


D-Wave Quantum Inc. (NYSE:QBTS) Q4 2024 Earnings Conference Call March 13, 2025 8:00 AM ET

Company Participants

Alan Baratz – Chief Executive Officer
John Markovich – Chief Financial Officer
Kevin Hunt – Investor Relations

Conference Call Participants

Mayur – B. Riley Securities
Richard Shannon – Craig Hallum
Quinn Bolton – Needham & Co.
Suji Desilva – Roth Capital
David Williams – Benchmark
Harsh Kumar – Piper Sandler

Operator

Good morning everyone and welcome to D-Wave’s fourth quarter and fiscal year 2024 earnings conference call.

Today’s call is being recorded.

At this time, I would like to turn the call over to Kevin Hunt of Investor Relations. Please go ahead.

Kevin Hunt

Thank you and good morning. With me today are Dr. Alan Baratz, Chief Executive Officer, and John Markovich, our Chief Financial Officer.

Before we begin, I’d like to remind everyone that this call may contain forward-looking statements and should be considered in conjunction with cautionary statements contained in our earnings release and the company’s most recent periodic SEC report.

During today’s call, management will provide certain information that will constitute non-GAAP financial and operational measures under SEC rules, such as non-GAAP gross profit, non-GAAP operating expenses, adjusted EBITDA, and bookings. Reconciliations to GAAP financial measures and certain additional information are also included in today’s earnings release, which is available in the Investor Relations section of our company website at www.dwavequantum.com.

I’ll now hand over the call to Alan.

Alan Baratz

Thanks Kevin. Good morning everyone and thank you for joining us today.

It’s a remarkable time to be leading one of the world’s preeminent quantum computing companies, and it is incredible how much has happened since we spoke to you last quarter. Big companies like Google, Nvidia, Amazon and Microsoft all made quantum headlines recently, fueling debate among quantum industry skeptics, enthusiasts and undecideds as



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Recent Reviews


Big sunspots have been few and far between on the sun in recent weeks. But there sure have been lots of smaller ones. On most sunny days I set up a small, filtered telescope to see what the sun’s up to. Solar observing is incredibly fast and easy — telescope, safe filter placed securely over the front lens, tripod, and you’re good to go.

Solar telescope

This is my simple setup for solar observing — 80mm refracting telescope, a solar filter over the front, and tripod.

Contributed / Bob King

On March 16 it looked someone had sprinkled bits of dirt across the sun. I counted 13 different sunspot groups that day using a magnification of 27x. None of them displayed any impressive spots, at least compared to the behemoths of last summer. But their sheer number made an impression.

Sunspots are sites on the sun where magnetic energy is strongly concentrated. They’re dark because they’re about 3,500 degrees cooler than the surrounding 10,000-degree surface. Strong magnetic fields — like those around an ordinary bar magnet but thousands of times more intense — inhibit the flow of hot gases from the solar interior, insulating and chilling the area. Chill is a relative term. Despite their dark appearance, spots are still around 13 times hotter than a very hot oven.

Sunspot group visible UV with whorls and magnet filings S.jpg

An enormous sunspot group from Nov. 2014 is seen in visible light at left. The center view shows the same group in ultraviolet light, and it reveals the whorls of group’s magnetic field. Sprinkle iron filings around a bar magnet (right) and you’ll see similar lines of magnetic force.

Contributed / NASA (left and center), Bob King (right)

At first glance, it may look like the spots are randomly scattered across the sun, but most gather in groups. Some groups stand alone and are easy to tell apart. For others it takes a little experience to see where the border of one ends and a new one starts.

Each group’s members are magnetically linked to each other, with one section acting as the north pole of a magnet, and the other as the south pole. Each bunch is assigned a number so we can keep track of it as the sun slowly rotates on its axis once approximately every 4 weeks.

Astronomers have been counting spots systematically since 1847, but useful data goes back to the early 1600s. Sunspot number is a good indicator of overall solar activity. Flares and coronal mass ejections are frequently connected to sunspot groups, so the more spots — and the more complex sunspot groups become — the better the chances for solar storms to occur. And that means increasing chances to see the northern lights.

Counting them is easy enough, but there’s a twist. Astronomers tally both individual sunspots and groups. Each group is assigned a value of 10 spots. In the photo there are 13 groups, so 13 multiplied by 10 is 130. Next, you add in the number of individual sunspots. I counted 40. Together, the total sunspot number for March 16 comes to 170. That’s a high number and indicative of strong solar activity.

When formally submitting sunspot tallies, an observer also has to multiply their result by a small factor depending on observing conditions and equipment. By counting sunspots with a small, filtered telescope, arriving at what the monthly average is, and plotting the result on a piece of graph paper, the ups and downs of the 11-year solar cycle will appear right before your eyes.

Solar cycle from 1700 to 2025

Counting sunspots reveals the ups and downs of the solar cycle. Sunspot number is shown at left with a timeline along the bottom. Monthly peaks for each cycle are shown in black. Solar Cycle 1 peaked in the year 1761; we’re now in Cycle 25. Notice how sunspot numbers (solar activity) vary from cycle to cycle. The red hump in Cycle 25 is the original prediction, which has been exceeded.

Contributed / NASA, NOAA, ISES

Or you can have the professionals do it. They count sunspots, average monthly numbers and lay it all out on a curve to look for trends. They also study historical patterns and include data like how much radio energy the sun produces, which fluctuates throughout the solar cycle. Before every new cycle they gather and make a prediction of when the next peak, called solar maximum, will occur.

The original forecast for the current cycle, dubbed Cycle 25, was made in 2019 with the peak predicted for this upcoming July. However, more recent forecasts hint that we reached maximum in late 2024, so we may have already passed the peak. A more definitive answer will have to wait until the sun enters a slump. Then we’ll be able to look back with hindsight and better frame the time.

March 21 aurora

A moderate geomagnetic storm hit on Friday night, March 21, lighting up the northern sky with colorful auroras. A stronger storm is expected Saturday night, March 22.

Contributed / Bob King

In the meantime, enjoy the sun’s busy period while you can by catching the northern lights. On Friday night, March 21, we had a fine display in the Duluth region. A stronger storm is forecast for Saturday night, March 22. If the sky stays clear, go out as early as 9 p.m., look north from a dark location, and you might just see arcs and rays dance across the northern sky. I’ll post updates on my Facebook page at facebook.com/astrobobking.

“Astro” Bob King is a freelance writer and retired photographer for the Duluth News Tribune. You can reach him at nightsky55@gmail.com.





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