QuantumScape reported that its third-quarter loss narrowed to $84.5 million.

  • QuantumScape’s Eagle Line facility in San Jose is producing more QSE-5 battery cells.
  • The company is also targeting AI data centers, defense, aviation and telecommunications.
  • QuantumScape sees 2026 adjusted EBITDA loss of $250 million to $275 million. 

QuantumScape Corp. (QS) stock gained over 8% overnight after the solid-state battery maker announced plans for a 100-megawatt-hour production line targeting AI data centers, aerospace and defense markets and posted a narrower third-quarter loss. The company partnered with Muehlbauer Group on manufacturing equipment, with production expected to begin in 2028.

QuantumScape stock traded over 8% higher overnight. The stock has plunged 14% so far this month. 

QuantumScape Scaling Battery Production

QuantumScape is using its automated Eagle Line pilot facility in San Jose, California, to show it can produce its solid-state battery technology at higher volumes. German automation firm Muehlbauer has reviewed the facility’s manufacturing processes and identified design changes intended to support a more productive commercial setup.

“The Eagle Line proved to us that QuantumScape’s solid-state technology is ready to scale to the next level,” said Josef Markus Mühlbauer, CEO of Muehlbauer Group.

The proposed line also reflects QuantumScape's effort to pursue applications outside the electric vehicle market. AI data centers require reliable power infrastructure, while aerospace and defense operators can have demanding energy-storage requirements. The company sees these sectors as potential markets for its solid-state battery technology.

In a letter to shareholders, CEO Siva Sivaram said QuantumScape’s Eagle Line manufacturing facility is operational and producing growing quantities of QSE-5 battery cells for customers. Its QuantumScape Data Center business is developing the QS PowerBlock for energy storage inside advanced AI data centers.

Its QuantumScape Advanced Solutions business is targeting applications in defense, aviation and telecommunications. The company has already started generating customer billings from shipments of QSE-5 sample cells for these markets.

QuantumScape Q3 Financial Performance 

QuantumScape’s Q3 2026 net loss fell to $84.4 million from $105.8 million a year earlier. Its adjusted EBITDA loss was $60.7 million, in line with expectations.

Operating expenses dropped to $92.4 million from $115 million last year. Research and development costs fell to $73.9 million from $92.1 million, while general and administrative expenses declined to $18.5 million from $22.9 million. The company maintained its 2026 forecast for an adjusted EBITDA loss of $250 million to $275 million.

QuantumScape finished the quarter with $819.8 million in liquidity, providing financial resources to support its development plans.

What Are QS Retail Traders Saying 

On Stocktwits, retail sentiment around the stock remained in ‘bullish’ territory. The stock saw a 234% increase in message volume over the past 24 hours. 

A user said, “This company is going to overachieve on its goals ! The market is huge, and it can dominate with its technology.”

Another user said, “Looking forward to the future. Solid state is THE way forward.” 

QS stock has crashed 61% year-to-date. 

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