Core Viewpoint - Chongqing Qianli Technology Co., Ltd. reported significant revenue growth in Q3 2025, indicating signs of performance recovery, but the profit increase is largely attributed to non-core business activities and government subsidies [2][4]. Financial Performance - The company achieved a quarterly revenue of 2.76 billion yuan, a year-on-year increase of 51.2% [3]. - Net profit attributable to shareholders was approximately 22.11 million yuan, reflecting a 60.8% year-on-year growth [3]. - However, the actual loss excluding non-recurring items was 42.41 million yuan, indicating a sixfold increase in loss compared to the previous year [3][5]. - The net cash flow from operating activities was 2.51 billion yuan, a significant increase of 364% year-on-year [6]. Business Transformation - Qianli Technology is transitioning from traditional motorcycle and light vehicle manufacturing to smart driving, onboard system software, and intelligent cockpit solutions [4]. - R&D expenses reached 455 million yuan in the first three quarters, up 68.2% year-on-year, demonstrating the company's commitment to becoming a systematic supplier [4]. Non-Recurring Income - Non-recurring income for the period was approximately 229 million yuan, with government subsidies contributing about 257 million yuan, highlighting reliance on external support for profit [5][6]. Asset and Cash Flow Concerns - Accounts receivable stood at 1.747 billion yuan and inventory at 1.982 billion yuan, raising concerns about turnover efficiency [5]. - Deferred income reached 767 million yuan, primarily related to government subsidies, necessitating monitoring of its future impact on profit [5]. Strategic Vision - The company aims to become a provider of smart driving solutions, integrating external resources and collaborating with OEMs and tier-one suppliers to build an ecosystem from perception to vehicle collaboration [6][7]. - Despite increased R&D investment, the company has not disclosed specific commercialization data, raising questions about the execution of its strategic vision [7]. Challenges Ahead - The company faces challenges in maintaining growth in traditional manufacturing amidst rapid technological changes and shrinking profit margins [7]. - The high dependency on the Geely system for growth may limit the company's expansion potential in the smart driving sector [7]. - The significant proportion of pledged shares among major shareholders poses risks to stability and financing resilience in volatile market conditions [7][8].