Core Viewpoint - The recent termination of a significant 36.9 billion yuan (including tax) computing power service agreement by Hainan Huatie has raised concerns among investors and prompted regulatory scrutiny [2][5]. Group 1: Contract Termination - Hainan Huatie announced the cancellation of a five-year computing power service agreement with Hangzhou X Company due to market changes and lack of purchase orders [2][8]. - The contract was substantial, accounting for approximately 71% of Hainan Huatie's revenue for 2024, which was 51.71 billion yuan [8][10]. - The company stated that the contract had not been executed, resulting in no actual procurement costs or capital expenditures incurred, and it would not impact the company's financial performance or cash flow [10]. Group 2: Market Reaction - Following the announcement, there was significant backlash from investors, leading to a flurry of discussions and criticisms in the investor community [4]. - The Shanghai Stock Exchange issued a regulatory letter to Hainan Huatie regarding the termination of the major contract, outlining specific compliance requirements for the company and its executives [5]. Group 3: Company Performance - In the first half of 2025, Hainan Huatie reported a revenue of 28.05 billion yuan, reflecting an 18.89% year-on-year increase, while the net profit attributable to shareholders decreased by 3.78% to 3.86 billion yuan [11]. - The company has been expanding its business into computing power services, having established a smart technology division and delivered computing power assets worth over 14 billion yuan by the end of the reporting period [10].