Arqit Quantum Inc. Announces Select Preliminary Financial Results for the Second Half and Full Fiscal Year 2026
Full-year revenue is expected to exceed fiscal 2025, while second-half revenue declined after recognition ceased under a material customer contract.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
Arqit Quantum (ARQQ) announced preliminary unaudited fiscal 2026 revenue expected to reach $975,000 to $1,000,000, above the prior year.
For the year ended September 30, 2026, expected revenue compares with $530,000 in fiscal 2025. Second-half revenue is expected at approximately $355,000 to $380,000, down from $463,000 a year earlier. Revenue recognition ceased under a material Middle East customer contract. Cash and cash equivalents were approximately $51 million at September 30.
Annual growth included revenue from earlier contracts and seven new contracts. Arqit signed three Encryption Intelligence contracts in the second half and renewed or expanded two contracts. On October 6, it signed a NATO secure networking contract through a winning consortium, with a one-year term and two annual renewal options. The preliminary figures remain subject to potentially material adjustments; Arqit expects complete results in December 2026.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- Moderate point. Forward-looking: it has not happened yet and may not happen.Fiscal 2026 revenue expected at $975,000 to $1,000,000, versus $530,000 in fiscal 2025.
- Minor pointNATO secure networking contract signed October 6, 2026, through a winning consortium; one year with two annual renewal options.
- Minor point. Forward-looking: it has not happened yet and may not happen.Three Encryption Intelligence contracts signed in the second half; revenue recognition began late or will commence in fiscal 2027's first quarter.
- Minor pointTwo contracts renewed or expanded in the second half of fiscal 2026.
- Minor point. Forward-looking: it has not happened yet and may not happen.Encryption Intelligence commercialized earlier in 2026; Arqit expects it to drive customer engagement in fiscal 2027.
Negative
- Moderate pointMaterial Middle East customer contract revenue recognition ceased; regional geopolitical events affected the customer's ability to fulfill obligations.
- Minor point. Forward-looking: it has not happened yet and may not happen.Second-half fiscal 2026 revenue expected at approximately $355,000 to $380,000, down from $463,000 a year earlier.
- Minor point. Forward-looking: it has not happened yet and may not happen.Preliminary unaudited figures have not been reviewed by the independent accounting firm and may require material adjustments.
- Minor point. Forward-looking: it has not happened yet and may not happen.Existing-contract revenue recognition depends on successful product delivery and customers not cancelling, delaying or amending contracts.
Details
Market move: ARQQ -19.58% vs previous close. FY2026 preliminary earnings report
On Oct 8, the day this news came out, the latest delayed price for ARQQ is 19.58% below the previous close. Our momentum scanner has recorded 68 alerts for this stock so far that day. The latest delayed price is $18.14. Relative volume is very high at 3.8x the average.
Data tracked by StockTitan Argus (15 min delayed). Upgrade to Gold for real-time data.
Key Figures
- Second-half revenue
- $355,000 to $380,000
- Preliminary, unaudited FY2026; down from $463,000 in the same period of FY2025
- Full-year revenue
- $975,000 to $1,000,000
- Preliminary, unaudited FY2026; compares favorably with $530,000 in FY2025
- Cash and cash equivalents
- Approximately $51 million
- As of September 30, 2026
- New contracts signed
- 7
- During FY2026; cited as one source of year-over-year revenue growth
- NATO services contract term
- 1 year with 2 annual renewal options
- Contract signed October 6, 2026
Previous Earnings Reports
-
Reported first-half FY2026 revenue of $623,000 and cash of $28.9 million.
-
Reported FY2025 revenue of $530,000 and second-half revenue of $463,000.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
revenue recognition financial
post-quantum cryptography technical
preliminary unaudited financial
forward-looking information regulatory
AI-generated analysis. How Rhea-AI works. Not financial advice.
LONDON, Oct. 08, 2026 (GLOBE NEWSWIRE) --
Arqit Quantum Inc. (Nasdaq: ARQQ) (“Arqit”), a global leader in quantum-safe encryption, announces select preliminary financial results for the second half and full fiscal year 2026.
Based on preliminary unaudited results, management expects revenue for the second half period ended 30 September 2026 of approximately
Revenue for the second half period ended 30 September 2026 was down as compared to revenue of
Growth in revenue for fiscal year 2026 versus fiscal year 2025 resulted from but was not limited to:
- Revenue recognition associated with delivery under contracts signed prior to the commencement of the period; and
- Revenue recognition associated with 7 new contracts signed in the period.
- Revenue for the second half of fiscal year 2026 was adversely affected by cessation of revenue recognition under a material contract with a customer in the Middle East. The customer’s ability to fulfill its contractual obligations has been impacted by, but not limited to, geopolitical events in the region.
Recognition of revenue under existing contracts is subject to a number of factors including, amongst others, the successful delivery of our products under the terms of those contracts, and the assumption that customers will not cancel, delay or amend the terms their contracts.
Notable revenue related events during the second half of the fiscal period or immediately following the close of the period include:
- Arqit signed 3 contracts in the second half of the fiscal period for Encryption Intelligence, Arqit’s automated cryptographic inventory solution, which enables continuous discovery and risk prioritisation to help governments and enterprises plan and execute migration to post-quantum cryptography. Revenue recognition under the contracts either began late in the second half of the fiscal period or will commence in the first quarter of fiscal year 2027. Encryption Intelligence launched commercialization earlier this year. The company believes Encryption Intelligence will be an important driver of customer engagement in fiscal year 2027.
- Renewed and or expanded two contracts in the second half of the fiscal year 2026.
- On 6 October 2026, following the end of fiscal year 2026, Arqit signed a contract as part of a winning bidding consortium to provide secure networking services to NATO. Services will be delivered as a 1 year contract with 2 annual renewal options.
The preliminary financial results discussed in this press release are based on management’s preliminary unaudited analysis of financial results for the second half and full fiscal year 2026. As of the date of this press release, the Company has not completed its financial statement reporting and the Company’s independent accounting firm has not reviewed the preliminary financial data discussed in this press release. During the course of the Company’s second half and full fiscal year closing procedures and independent accountant review process, including the finalization of its financial statements for and as of the period ended 30 September 2026, the Company may identify items that would require it to make adjustments, which may be material to the information presented above. As a result, the estimates above constitute forward-looking information and are subject to risks and uncertainties, including possible adjustments to preliminary results.
Conference Call
The Company expects to report complete second half and full year results in December 2026 followed by a conference call. Additional details, including the date and time of the conference call, will be provided in advance of the event.
About Arqit
Arqit Quantum Inc. (Nasdaq: ARQQ) secures the world’s most critical data with quantum-safe encryption software. Simple, scalable, and compliant, its products integrate with existing infrastructure, and requires no rip and replace of hardware.
Arqit provides a complete “Detect, Protect, Comply” solution for governments and enterprises that detects and inventories cryptographic assets, protects data, ensures compliance, and safeguards transition to the post-quantum era.
Arqit’s primary product offerings are Encryption Intelligence and NetworkSecure™. Encryption Intelligence detects cryptographic exposure, identifies vulnerabilities, and maps dependencies. NetworkSecure™ protects data in transit with provably secure post-quantum cryptography and contributes to establishment of confidential compute environments for complete data sovereignty.
Arqit is an IDC Innovator for Post-Quantum Cryptography (2024) and a multi-award-winner in quantum-safe security. For more information, visit www.arqitgroup.com.
Media relations enquiries:
Arqit: pr@arqit.uk
Investor relations enquiries:
Arqit: investorrelations@arqit.uk
Caution About Forward-Looking Statements
This communication includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, may be forward-looking statements. These forward-looking statements are based on Arqit’s expectations and beliefs concerning future events and involve risks and uncertainties that may cause actual results to differ materially from current expectations. These factors are difficult to predict accurately and may be beyond Arqit’s control. Forward-looking statements in this communication or elsewhere speak only as of the date made. New uncertainties and risks arise from time to time, and it is impossible for Arqit to predict these events or how they may affect it. Except as required by law, Arqit does not have any duty to, and does not intend to, update or revise the forward-looking statements in this communication or elsewhere after the date this communication is issued. In light of these risks and uncertainties, investors should keep in mind that results, events or developments discussed in any forward-looking statement made in this communication may not occur. Uncertainties and risk factors that could affect Arqit’s future performance and cause results to differ from the forward-looking statements in this release include, but are not limited to: (i) the outcome of any legal proceedings that may be instituted against Arqit, (ii) the ability to maintain the listing of Arqit’s securities on a national securities exchange, (iii) changes in the competitive and regulated industries in which Arqit operates, variations in operating performance across competitors and changes in laws and regulations affecting Arqit’s business, (iv) the ability to implement business plans, forecasts, and other expectations, and identify and realise additional opportunities, (v) the potential inability of Arqit to successfully deliver its operational technology, (vi) the risk of interruption or failure of Arqit’s information technology and communications system, (vii) the enforceability of Arqit’s intellectual property, (viii) market and other conditions, and (ix) other risks and uncertainties set forth in the sections entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in Arqit’s annual report on Form 20-F (the “Form 20-F”), filed with the U.S. Securities and Exchange Commission (the “SEC”) on 9 December 2025 and in subsequent filings with the SEC. While the list of factors discussed above and in the Form 20-F and other SEC filings are considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties. Unlisted factors may present significant additional obstacles to the realisation of forward-looking statements.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What revenue does Arqit expect for fiscal 2026 and its second half?
Arqit expects fiscal 2026 revenue of $975,000 to $1,000,000 and second-half revenue of approximately $355,000 to $380,000. Both periods ended September 30, 2026. These preliminary unaudited estimates compare with $530,000 and $463,000, respectively, in the corresponding fiscal 2025 periods.
What are the terms of Arqit's NATO secure networking contract?
Arqit's NATO secure networking services contract has a one-year term with two annual renewal options. It was signed on October 6, 2026, after fiscal 2026 ended, as part of a winning bidding consortium.