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SEC filingArqit Quantum reported H1 FY2026 revenue of $623k, up from $67k, and a net loss of $33.0M, reflecting increased share-based compensation and legal costs, while maintaining cash discipline with $28.9M at period end.
Arqit’s H1 FY2026 results reflect a rapidly scaling commercial business with strong revenue growth, but also increased investment costs as the company builds its post-quantum cryptography business. Revenue surged to $623k from $67k year-over-year, driven by 11 contracts versus 7 in the prior full fiscal year, including engagements with telecom operators and government/defense clients. The revenue growth was consistent with management’s preliminary range announced in April.
The net loss widened to $33.0M from $19.4M, primarily due to a $12.8M share-based compensation charge (vs $0.9M in the prior period) as the company granted RSUs to employees. Administrative expenses also rose due to higher legal and professional fees ($2.7M vs $1.7M) partly from the resolution of a shareholder lawsuit. However, management highlighted cost discipline with operating costs averaging $2.6M per month excluding those legal expenses.
Cash and cash equivalents decreased to $28.9M from $36.9M at year-end, reflecting cash burn of $25.7M from operations. The company subsequently raised approximately $18M via an at-the-market (ATM) equity program, boosting cash to $35.9M as of May 20.
Strategically, Arqit launched Encryption Intelligence, a cryptographic inventory solution, and formed partnerships with Intel, 6WIND, and RAD to integrate its quantum-safe encryption into telecom and network infrastructure. The CEO noted increasing regulatory and market urgency for post-quantum migration, with the company well-positioned to provide end-to-end solutions. The company’s focus for the second half is converting defense engagements and expanding confidential computing opportunities.