Cambricon(SH:688256) Chang Jiang Shang Bao·2025-11-04 00:18Core Viewpoint - Cambricon has turned a profit for the first time but is facing a significant lawsuit from its former vice president, claiming compensation for stock incentive losses amounting to 4.287 billion yuan [2][4]. Financial Performance - For the first three quarters of 2025, Cambricon reported revenue of 4.607 billion yuan, a year-on-year increase of 2386.38% [9]. - The net profit attributable to shareholders reached 1.605 billion yuan, up 321.49% year-on-year [9]. - The net profit after deducting non-recurring gains and losses was 1.419 billion yuan, reflecting a growth of 264.52% [9]. - Despite the profit, the cash flow from operating activities was negative at -940 million yuan [10]. Legal Issues - The lawsuit involves former vice president Liang Jun, who claims a labor relationship with the company from October 18, 2017, to February 10, 2022, and seeks compensation for stock incentive losses based on the highest stock price of 372 yuan [4][5]. - Cambricon asserts that the lawsuit will not impact current profits, but future profit implications will depend on the court's ruling [2][5]. - The company contends that Liang's claims contradict the terms of the stock incentive plan he signed, which stipulates that his stock rights should be repurchased due to his departure during a non-disposal period [6][7]. Cash Management - As of the end of the third quarter, Cambricon had cash and cash equivalents totaling 5.178 billion yuan and short-term borrowings of 100 million yuan [3][13]. - The company announced plans to temporarily use up to 1 billion yuan of idle raised funds to supplement working capital [3][13]. Research and Development - In the first three quarters, Cambricon's R&D expenses amounted to 843 million yuan, an increase of 27.89% year-on-year [11].