Press Release: Xanadu Announces Fourth Quarter and Full Year 2025 Results

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Following its Public Listing in the First Quarter of 2026, Xanadu Entered 2026 with Strengthened Capital Resources to Execute Against a Multi-Year Technology Roadmap Spanning Fault Tolerance, Manufacturing Scale-Up, and Commercial Adoption

Introduced Aurora, the World's First Modular, Networked Photonic Quantum Computer With Real-Time Error Correction(1)

Advanced to Stage B of DARPA's Quantum Benchmarking Initiative ("QBI") Program, Unlocking up to an Additional $15 Million in U.S. Government Funds

Selected for Canada's Quantum Champions Program Providing Additional Funding Support of up to CAD $23 Million

Expanded Adoption of PennyLane, Further Establishing Xanadu's Software Platform as a Bridge Between Quantum Hardware Development and Real-World Application Design

TORONTO, April 09, 2026 (GLOBE NEWSWIRE) -- Xanadu Quantum Technologies Limited (Nasdaq, TSX: XNDU) and Xanadu Quantum Technologies Inc. (collectively, "Xanadu" or the "Company"), a leading photonic quantum computing company, today announced financial results for the quarter and full year ended December 31, 2025 for Xanadu Quantum Technologies Inc. and for the period from October 2, 2025 (incorporation) to December 31, 2025 for Xanadu Quantum Technologies Limited. All figures in this press release are in U.S. dollars, unless specified otherwise.

"The past year demonstrated meaningful execution against the technical milestones required to build quantum computers that are useful to people and businesses around the world and to scale photonic quantum computing, while our recent public listing and anticipated government funding provide the capital needed to continue our rapid pace of development," said Dr. Christian Weedbrook, Founder and Chief Executive Officer of Xanadu.

"During the year, Xanadu reduced optical loss by 60%, contributing to a 20-fold improvement over the past three years, demonstrated 12 logical GKP qubits with real-time error correction, and continued reducing key scaling barriers in photonic quantum computing. These advances are critical to lowering error rates and improving system performance as we work toward scalable, fault-tolerant quantum architectures. Many of these achievements have been peer-reviewed and published, validating our technical approach. We remain on track toward our goal of delivering up to 500 logical qubits in 2029-2030."

"We believe this progress further differentiates Xanadu's photonic approach, which is designed to leverage semiconductor-compatible manufacturing techniques, while expanding the reach of PennyLane and strengthening the strategic partnerships needed to commercialize quantum technologies over time," concluded Dr. Weedbrook.

"The Company also advanced to Stage B of DARPA's Quantum Benchmarking Initiative, a U.S. government program evaluating the technical performance and commercial potential of quantum computing platforms, unlocking up to $15 million in funds. Xanadu was also selected for Canada's Quantum Champions Program, providing additional funding support of up to CAD $23 million," said Michael Trzupek, Chief Financial Officer of Xanadu. "Additionally, in March 2026, we announced negotiations for up to CAD $390 million from the governments of Canada and Ontario to launch Project OPTIMISM and establish advanced semiconductor and photonic manufacturing infrastructure supporting Canada's domestic quantum supply chain."

"With the successful completion of the business combination with Crane Harbor Acquisition Corp., Xanadu is well capitalized with $302 million in gross proceeds added to the balance sheet, providing a strong foundation for success not only in developing utility-scale, fault tolerant computers, but in the public market as well. We have also strengthened our leadership through key additions at both the board and executive levels, further deepening our corporate capabilities. Taken together, the proceeds from our transaction and the anticipated funding from the Canadian government position us to scale our quantum computers, " Trzupek added.

Business Combination Close

   -- On March 27, 2026, Xanadu became publicly listed on Nasdaq and the 
      Toronto Stock Exchange under the ticker symbol XNDU following the 
      completion of its business combination with Crane Harbor Acquisition 
      Corp. 
 
   -- The transaction generated $302 million in gross proceeds, and together 
      with existing cash and committed government funding, extends Xanadu's 
      ability to execute against its technical milestones and commercialization 
      initiatives. 

2025 Technology Highlights

   -- Aurora, a scalable photonic quantum computer: Introduced the world's 
      first modular, scalable, and networked photonic quantum computer, marking 
      a major architectural milestone toward large-scale, fault-tolerant 
      quantum systems. Aurora's modular design supports flexible scaling while 
      maintaining coherence across distributed qubits. 
 
   -- Logical GKP qubits with real-time error correction: Demonstrated 12 
      logical GKP qubits with real time error-correction decoding, representing 
      a critical step in fault-tolerant photonic quantum computing. This 
      validates error-corrected operations on a multi-qubit photonic platform. 
 
   -- Optical loss reduction: Achieved a 60% reduction in optical loss in 2025 
      and a 20-fold improvement over the past three years, directly improving 
      qubit fidelity, system performance, and scalability. 
 
   -- PennyLane adoption growth: Expanded the PennyLane quantum software 
      ecosystem to approximately 160,000 average monthly downloads, reflecting 
      161% growth from the previous year. The platform continues to drive 
      broader engagement with quantum computing applications, hybrid workflows, 
      and machine learning integration. 
 
   -- Roadmap to fault tolerance: Advanced the technical roadmap toward 
      fault-tolerant operations by 2028, with a clear path to delivering up to 
      500 logical qubits in 2029-2030, leveraging both hardware innovation and 
      software control. 

2025 Peer-Reviewed Technology Milestones

   -- 12 logical GKP qubits with real-time error correction: Published in 
      Nature, validating error-corrected operations on a multi-qubit photonic 
      platform. 
 
   -- Aurora modular photonic architecture: Detailed in Nature, a 12-qubit 
      system providing independent validation of scalable, networked photonic 
      design. 

2025 Business and Partnership Highlights

   -- DARPA and Quantum Champions Program milestones: Advanced to Stage B of 
      DARPA's Quantum Benchmarking Initiative, unlocking up to $15 million, and 
      selected for Canada's Quantum Champions Program, providing up to CAD $23 
      million in additional support. 
 
   -- Application-focused R&D collaborations: Deepened partnerships with Air 
      Force Research Laboratory, Mitsubishi Chemical, and a joint collaboration 
      involving Rolls-Royce and Riverlane, targeting quantum simulation, 
      precision lithography, aerospace, and industrial optimization use cases. 
 
   -- Manufacturing infrastructure expansion: Opened a $10 million advanced 
      photonic packaging facility in Ontario and strengthened manufacturing 
      partnerships with Corning Incorporated and Applied Materials, enabling 
      high-volume production of photonic quantum chips. 
 
   -- Strategic partnerships: Announced 10 new strategic partnerships across 
      hardware, manufacturing, supply chain, R&D, and commercial applications. 

First Quarter 2026 Announcements

   -- Public listing: On March 27, Xanadu became the first publicly listed 
      pure-play photonic quantum computing company, completing its business 
      combination with Crane Harbor Acquisition Corp. and listing on Nasdaq and 
      the Toronto Stock Exchange under the ticker "XNDU". 
 
   -- Government support negotiations: Entered discussions for up to CAD $390 
      million in funding from the governments of Canada and Ontario to advance 
      Project OPTIMISM and domestic quantum manufacturing capabilities. The 
      proposed support remains subject to the completion of due diligence and 
      the execution of final agreements. 
 
   -- Executive appointments: On January 12, 2026, the Company announced the 
      appointment of Michael Trzupek as Chief Financial Officer and Natalie 
      Wilmore as Chief Legal Officer, further strengthening leadership as 
      Xanadu enters its next phase as a public company. 
 
   -- Inaugural Analyst Day: Hosted Xanadu's first analyst day at the Nasdaq 
      MarketSite in New York City, showcasing technical progress, roadmap 
      updates, and a deeper view of commercialization strategy. 
 
   -- Strategic collaborations: Announced partnerships with AMD, Lockheed 
      Martin, Tower Semiconductor, and TELUS, supporting the company's path to 
      commercialization. 

Full Year 2025 Financial Highlights

For Xanadu Quantum Technologies Inc.:

   -- Revenue was $4.6M for the year ended December 31, 2025, up 188% compared 
      to $1.6M the year ended December 31, 2024. The Company increased its 
      customers count as well as the adding in one large services contract to 
      effect the growth in revenue. 
 
   -- Net loss of $70.7 million for the year ended December 31, 2025 compared 
      to $46.0 million for the year ended December 31, 2024. The increase in 
      net loss arose primarily from the increase in research and development 
      costs combined with costs related to the Business Combination. 
 
   -- Loss per share for the year ended December 31, 2025 was $14.29 compared 
      to $9.35 in the year ended December 31, 2024. 
 
   -- Cash and cash equivalents of $16.2 million as of December 31, 2025. Cash 
      on hand combined with expected cash in flows were more than enough to see 
      the Company through to the closing of the Business Combination. 

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April 09, 2026 17:06 ET (21:06 GMT)

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