Cambricon(SH:688256) Sou Hu Cai Jing·2025-12-16 06:04Core Viewpoint - The company, Cambrian (688256.SH), announced plans to use its capital reserve of 2.778 billion yuan to offset accumulated losses, as approved in recent board and shareholder meetings [1][2]. Group 1: Financial Situation - As of December 31, 2024, the company's accumulated undistributed profits stood at -2.778 billion yuan, with a year-end balance of surplus reserves at 0 yuan and capital reserves at 9.625 billion yuan [2]. - The negative undistributed profits are primarily due to losses accumulated in previous years [4]. Group 2: Capital Reserve Usage - The capital reserve to be used for loss compensation originates entirely from shareholder contributions in the form of capital surplus [4]. - The plan to utilize the capital reserve for loss compensation aims to alleviate historical loss burdens and enhance the company's ability to provide returns to investors, thereby promoting high-quality development [4]. Group 3: Regulatory Context - The new Company Law effective from July 1, 2024, stipulates that loss compensation should first utilize discretionary and statutory reserves, with capital reserves used only if those are insufficient [5]. - Over 30 A-share companies have disclosed plans for capital reserve loss compensation following the implementation of the new regulations [5]. Group 4: Performance Metrics - For the first three quarters of 2025, Cambrian reported revenues of 4.607 billion yuan, a significant year-on-year increase of 2386.38%, and a net profit of 1.605 billion yuan, marking a turnaround from a loss of 0.725 billion yuan in the same period last year [5]. - In the third quarter alone, Cambrian achieved revenues of 1.727 billion yuan, a year-on-year growth of 1332.52%, with a net profit of 0.567 billion yuan [5]. Group 5: Market Position - Cambrian specializes in the research, design, and sales of AI core chips used in various cloud servers, edge computing devices, and terminal devices, with major product lines including cloud products, edge products, IP licensing, and software [5]. - The company's stock price experienced a significant rise earlier in the year, briefly surpassing Kweichow Moutai to become the new "king of A-shares" [5]. - As of the latest report, Cambrian's stock price decreased by 3.11%, trading at 1290.5 yuan per share, with a market capitalization of 544.83 billion yuan [5].