Arqit Quantum Inc. (NASDAQ: ARQQ) Q1 2025 Earnings | May 22, 2025

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Arqit Quantum Inc. (NASDAQ: ARQQ), a global leader in quantum-safe encryption, reported its Q1 2025 financial results on May 22, 2025. For the first half of fiscal year 2025, Arqit generated $67,000 in revenue, down from $119,000 in the comparable period last year, primarily due to delayed revenue recognition from a multi-year government contract in the EMEA region that only began generating revenue in late March 2025. Despite the modest revenue, Arqit reported significant strategic progress, including new multi-year contracts in both government and telecom sectors, and the transition to a recurring revenue model through channel partners. The company posted an operating loss of $17.8 million for the period, slightly higher than the $16.6 million loss a year earlier, reflecting ongoing investment in product development and market expansion. Administrative expenses remained steady at $2.4 million per month, as Arqit reduced headcount to align resources with revenue-generating priorities. Cash and cash equivalents stood at $24.8 million as of March 31, 2025, and the company maintains access to a $75 million at-the-market equity program, supporting liquidity and future growth. CEO Andy Leaver highlighted strategic wins, including the company’s first U.S. Department of Defense contract and a major three-year deal with a Tier 1 telecom operator covering 32 countries—both validating Arqit's symmetric key agreement (SKA) technology as a leading quantum-safe encryption solution. The company is well positioned to capitalize on the growing demand for post-quantum cryptography, with a robust pipeline of telecom operators and commercial/government entities in testing phases. Outlook: Anticipates higher revenue in the second half of 2025 as new and existing multi-year contracts ramp up Continued focus on expanding recurring revenue base through strategic partnerships and channel sales Positioned to benefit from accelerating global demand for quantum-safe encryption in telecom, defense, and financial sectors About Inside Ticker: For more expert analysis and real-time updates on Arqit Quantum Inc. (NASDAQ: ARQQ) and other market movers, follow Inside Ticker and visit InsideTicker.com for in-depth reports, financial insights, and the latest news on leading companies. #ArqitQuantum #ARQQ #Q12025 #Earnings #QuantumEncryption #Cybersecurity #FinancialResults #SKA #InsideTicker