RGTI's Q2 Revenues Soared 185.3% but Losses Widened: What Comes Next?

Rigetti's Q2 revenues jumped 185.3% on Novera hardware sales, but widening losses and customer concentration keep the next system delivery in focus.

Harshit Gupta

3 min read

Rigetti Computing, Inc. RGTI delivered a top-line beat in the second quarter of 2026 as on-premises quantum hardware sales accelerated. At the same time, higher research and operating costs pushed losses further into the red.

The key question is whether that hardware traction can outpace the spending needed to improve fidelity, scale systems and support commercialization. Gross margin improved, but the operating loss widened, leaving the next large system delivery as an important test.

RGTI's Q2 Revenue Beat Shows Hardware Demand

Second-quarter revenues reached $5.1 million, up 185.3% from $1.8 million a year earlier and 4.7% above the Zacks Consensus Estimate. The increase came mainly from higher sales of 9-qubit Novera quantum computing systems and related products.

Sales of quantum computers and quantum components contributed about $4.1 million of quarterly revenues. The first two 9-qubit systems delivered in 2026 went to commercial organizations, making on-premises hardware a larger part of Rigetti's revenue mix.

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Rigetti's Cost Growth Dulls the Revenue Surge

Gross profit rose 286.6% year over year to $2.2 million as gross margin expanded about 1,120 basis points to 42.6%. The mix benefited from Novera system sales, which carry a higher gross-margin profile than collaborative research and professional services.

The cost structure still dwarfed the revenue base. Research and development expenses increased 53.3% to $20.7 million, selling, general and administrative expenses rose 37.5% to $9.5 million and total operating expenses climbed 47.9% to $30.3 million. Operating loss widened to $28.1 million from $19.9 million.

RGTI's Customer Mix Keeps Results Lumpy

Customer concentration remained high in the quarter. Rigetti's largest customer represented 64% of revenues and another accounted for 16%. Management expects quarterly and annual revenues to fluctuate with contract mix, pricing, milestones and delivery schedules while development contracts and on-premises system sales remain central to the model.

That concentration sits in a competitive market. International Business Machines Corporation IBM said in June that it plans to invest more than $10 billion in quantum computing over five years. Alphabet Inc. GOOGL, through Google Quantum AI, continues to develop superconducting systems and expanded its research into neutral-atom computing in March. Until practical workloads and repeat usage broaden, Rigetti's reported growth can remain volatile.

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Rigetti's C-DAC Order Shapes the Next Revenue Test

Rigetti's $8.4 million order from India's Centre for Development of Advanced Computing is for an on-premises 108-qubit system. The company expects to recognize the associated revenues in the fourth quarter of 2026 after installation and performance acceptance testing.

Completion would mark a larger system-sale event than the 9-qubit Novera deliveries that supported second-quarter growth. It would also provide another measure of whether customer interest can translate into sizable hardware revenues as Rigetti expands beyond research contracts and cloud access.

RGTI's Scores Temper the Q2 Revenue Optimism

The second quarter strengthened the evidence for hardware demand, but it did not establish operating leverage. Revenue growth, gross-margin expansion and the planned C-DAC delivery are constructive, yet the current expense base and concentrated customer mix keep execution risk elevated.

RGTI carries a Zacks Rank #5 (Strong Sell), with a Value Score of F, a Growth Score of F, a Momentum Score of D and a VGM Score of F. The Zacks Rank points to an unfavorable near-term earnings-estimate revision backdrop. The Style Scores also provide little support across value, growth and momentum factors, keeping the focus on whether future sales can broaden and costs can scale more favorably.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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