SUNWODA(SZ:300207) Ge Long Hui·2025-12-29 06:16Core Viewpoint - The stock price of Xinwanda experienced a significant drop, reaching a four-month low, primarily due to a lawsuit related to quality issues with battery cells [1][3]. Group 1: Stock Performance - Xinwanda's stock fell nearly 16% to 25 yuan during intraday trading, marking a four-month low, before narrowing the decline to under 11% [1]. Group 2: Legal Issues - Xinwanda's wholly-owned subsidiary, Xinwanda Power Technology Co., Ltd., is being sued by Weir Electric Vehicle Technology (Ningbo) Co., Ltd. for a contract dispute involving an amount as high as 2.314 billion yuan [3]. - The plaintiff claims that battery cells delivered by Xinwanda Power from June 2021 to December 2023 have serious quality issues, resulting in significant economic losses [3]. - The lawsuit includes multiple claims for damages, covering compensation for losses, as well as costs for appraisal and legal fees [3]. Group 3: Company Response - In response to the lawsuit, Xinwanda stated that all production and operations within the company and its subsidiaries are normal as of the announcement date [3]. - The company noted that the lawsuit has not yet gone to court, and the outcome remains uncertain, making it difficult to assess the impact on current or future profits [3]. - Xinwanda will follow accounting standards to handle the case's progress and will determine the final impact on profits based on data confirmed by auditors [3].