**Bullish Points:**
1. Revenue increased slightly to $373 thousand in 2024, driven by sales of hardware products and professional services.
2. Operating expenses decreased slightly to $26.0 million, indicating some cost control efforts.
3. Research and development expenses increased by 27% to $11.3 million, reflecting a commitment to innovation and product development.
4. The company raised $106.8 million through the issuance of common stock, significantly improving its cash position to $78.9 million as of December 31, 2024.
5. Working capital improved dramatically to $74.6 million, compared to a working capital deficit of $2.2 million at the end of 2023.
6. The company has no long-term debt obligations as of December 31, 2024, having fully repaid the Streeterville Convertible Note.
7. The company has substantial federal and state net operating loss carryforwards of approximately $89.4 million and $7 million, respectively, which could provide future tax benefits.
**Bearish Points:**
1. The net loss widened significantly to $68.5 million in 2024, compared to $27.0 million in the previous year, indicating worsening profitability.
2. Revenue growth was minimal, increasing only slightly from $358 thousand in 2023 to $373 thousand in 2024, which may raise concerns about the company's ability to scale its business.
3. The company recognized a significant mark-to-market loss of $40.5 million on warrant liabilities in 2024, compared to a gain of $528 thousand in 2023, negatively impacting financial results.
4. Ongoing legal proceedings, including a breach of contract lawsuit and an appraisal action related to the QPhoton merger, could pose risks to future financial performance.
**Final Summary:**
Quantum Computing Inc. (QUBT) demonstrated some positive developments in 2024, including improved cash and working capital positions, no long-term debt obligations, and increased investment in research and development. However, the company continues to face significant challenges, including a widening net loss, minimal revenue growth, and legal uncertainties. While the improved financial position and focus on innovation are encouraging, the company's ability to achieve sustainable profitability and resolve legal issues will be critical for its future performance.
For more information, you can read the original text of Quantum Computing Inc.'s financial report .
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