IONQ (NYSE: IONQ) shares plunged 12% in midday trading Thursday after the quantum computing company reported fourth-quarter earnings that missed analyst expectations.
The company posted a fourth-quarter earnings per share (EPS) of -$0.93, well below the consensus estimate of -$0.23. Revenue, however, clocked in at $11.7 million, topping the expected $10.6 million. Despite the revenue beat, the steep EPS miss sparked the sell-off.
In a separate announcement after the earnings release, IONQ disclosed an equity distribution agreement with Morgan Stanley & Co. LLC and Needham & Company LLC. This deal allows the company to sell up to $500 million of its common stock through an “at-the-market” equity offering program. The sales will roll out over time, with Morgan Stanley and Needham acting as the sales agents.
The Maryland-based firm plans to use the net proceeds from these stock sales for general corporate purposes, including ramping up its quantum computing and networking operations.
In addition to the financial updates, IONQ (NYSE: IONQ) shared news on the leadership front. The company welcomed Gabrielle Toledano to its Board of Directors. Toledano brings extensive experience from her previous roles at major firms, including Tesla (NASDAQ: TSLA), Electronic Arts (NASDAQ: EA), and Microsoft (NASDAQ: MSFT). Her background could prove valuable as IONQ pushes forward with its growth strategy.
