Note 10. Subsequent Events

On July 8, 2025, QuantumScape Battery, Inc. (“QS”), a wholly owned subsidiary of QuantumScape Corporation (the “Company”) entered into a Lease Termination Agreement (the “Termination Agreement”) to terminate the Company’s lease for certain premises outside of the Company’s headquarters, consisting of approximately 80,641 rentable square feet of space located in San Jose, California, effective as of August 1, 2025. The original term of the Lease commenced on November 1, 2021 and was to expire on September 30, 2032. The Company expects to recognize a loss of less than $10.0 million in the fiscal quarter ended September 30, 2025.

On July 17 2025, QS entered into an Amended and Restated Collaboration Agreement (the “Amendment”) with PowerCo SE (“PowerCo”), a battery cell company wholly owned by the Volkswagen Group, which is a major investor in the Company. The Amendment amends and restates the Collaboration Agreement entered into on July 5, 2024 between QS and PowerCo for the industrialization of QS’s QSE-5 solid-state lithium metal battery technology. Under the Amendment, QS and PowerCo entered into a statement of work outlining the scope and responsibilities of the joint scale-up team working on the Company’s battery development. PowerCo has agreed that it will contribute up to $130.7 million for the project over the next two years, subject to the completion of certain technical milestones and other project goals by the joint scale-up team. The Company is currently evaluating the impact of the project will have on its consolidated financial statements in the fiscal quarter ended September 30, 2025.