Shares of Quantum Computing Inc. (QUBT) plummeted 15.53% in intraday trading following the release of the company's fourth quarter 2024 financial results. The significant drop reflects investors' concerns over the company's widening losses and increased operating expenses.

The innovative quantum technology company reported a net loss attributable to common stockholders of $51.2 million, or $(0.47) per basic share, for the fourth quarter of 2024. This represents a substantial increase from the $6.8 million loss, or $(0.09) per basic share, reported in the same period of the previous year. The company attributed the higher net loss primarily to non-cash charges related to the mark-to-market of its warrant-related derivative liability.

Despite reporting a 55% gross margin on revenues of approximately $62,000, Quantum Computing Inc. faced challenges with rising operating expenses. Fourth quarter operating expenses totaled $8.9 million, up from $6.6 million in the previous year's fourth quarter. The increase was driven by higher non-cash employee-based expenses, including stock-based compensation, and increased depreciation expense for production equipment at the company's TFLN chip foundry in Tempe, Arizona. While the company highlighted progress in its quantum solutions and foundry services, including partnerships with NASA and the upcoming launch of its Quantum Photonic Chip Foundry, the market's reaction suggests that investors are focusing on the near-term financial performance rather than long-term potential.