Honeywell subsidiary Quantinuum lists on Nasdaq; shares surge 18% intraday before giving back most gains; CEO says commercialization 'already started'; investors cautious as sales fall 73%, losses widen

Quantinuum logo [Reuters]
Quantinuum logo [Reuters]

By Seo Ji-yeon, The Herald Business

Quantinuum, the quantum computing company that had drawn attention as the sector's first decacorn — a private company valued at more than $10 billion — made a successful debut on US markets Thursday. Its first-day share price surged sharply intraday before giving back most of those gains, reflecting the market's divided views on the growth potential and commercial viability of the quantum computing industry.

Quantinuum opened on the Nasdaq at $68, a 13.3 percent premium to its IPO price of $60.

Early investor enthusiasm pushed the stock as high as $71.35, but shares retreated through the afternoon and ultimately closed at $60.38.

The closing price gave the company a market capitalization of approximately $15.7 billion (about 24 trillion won).

In the IPO, Quantinuum sold 28 million shares at $60 each, raising $1.68 billion — above its initial target price range of $53 to $55 per share.

Parent company Honeywell will retain a 48.1 percent voting stake following the listing, preserving its control over the company.

Quantinuum was formed in 2021 through the merger of Honeywell's quantum computing division and Cambridge Quantum, a British software firm.

Like rival IonQ, the company focuses on developing quantum computers using trapped-ion technology.

Quantum computers harness the phenomenon of quantum superposition, moving beyond the binary zero-and-one logic of conventional machines. The technology is expected to perform highly complex calculations — in drug development, financial modeling, AI and climate forecasting — far faster than traditional computers.

Alongside its listing, Quantinuum moved aggressively to promote the commercial prospects of quantum computing.

CEO Raj Hazra said quantum technology "is no longer a future that is years away," adding that commercialization "has already started — still small in scale, but very encouraging."

The quantum computing industry has recently emerged as the next major technology investment destination after AI.

Big Tech companies including Google, IBM, Microsoft and Amazon have continued to pour in large-scale investment, while the US government, China and the EU have all designated the technology a national strategic priority.

Yet despite investor enthusiasm, analysts say profitability remains a distant goal.

According to financial disclosures in the company's prospectus, Quantinuum posted sales of $5.24 million in the first quarter of this year, down 73 percent from $19.1 million in the same period last year.

Its net loss, meanwhile, widened sharply — from $30.5 million to $136.5 million.

"Commercial adoption is still limited at this point," said Kat Liu, an analyst at IPOX Schuster. "Investors are betting on long-term growth potential rather than near-term earnings."


sjy@heraldcorp.com