Markets

Rigetti Stock Plunges 7%, Erasing $297 Million After Quarterly Revenue Falls

The operating loss widened, and its approximately $20 million annual sales forecast depends on acceptance of a quantum system in India.

Rigetti Computing, which builds quantum computers and makes their processors, plunged 7.3% to $11.26 in Wednesday trading, as of 3:31 PM ET, erasing $297 million in market value. Tuesday’s earnings release, which accompanied an SEC filing and preceded the decline, showed that the $1.9 million in revenue recorded a year earlier had fallen to $1.4 million in the third quarter.

Lower Sales, Larger Operating Loss

The $20.5 million loss Rigetti incurred from operating the business a year earlier grew to $33.2 million in the third quarter. Revenue fell as the cost of running the business left a larger loss.

Management urged listeners on Tuesday’s earnings call to focus on technical progress over research sales. Most of Rigetti’s revenue comes from contracts to develop technology.

An Indian Customer Anchors The Forecast

Approximately $20 million in full-year revenue is Rigetti’s expectation. Acceptance of the Rigetti system it ordered by India’s Centre for Development of Advanced Computing and Rigetti’s recording of the related revenue in the fourth quarter are both conditions of that forecast.

The company sells processors and complete quantum systems, alongside engineering services and access to computing through the cloud. Its customers span businesses, government organizations, universities and research laboratories.

Rigetti manufactures its processors at Fab-1, its U.S. facility, and develops software for accessing and programming its computers. Customers can use its systems directly through the cloud or through Amazon Braket and Microsoft Azure Quantum. In 2025, Rigetti received orders worth approximately $5.7 million for two Novera quantum computing systems.

A Slide Already Under Way

Rigetti shares were down 45% for the year through Tuesday’s close, against a 10% gain for the S&P 500. The stock had fallen 13% over the previous month before Wednesday’s decline.

Wednesday’s move was on pace to become Rigetti’s second drop of 7% or more this month. Its total market value stood at about $3.8 billion in Wednesday trading.

Recording the related sales in the fourth quarter remains necessary for Rigetti’s annual forecast, and the next step toward that forecast is customer acceptance of the Indian system.