Haiguang director and general manager Sha Chaoqun said contract liabilities fell
by the end of Q3 mainly because the company completed deliveries under existing
contracts and recognised the related revenue. He said advance payments are not
the company's standard settlement method but were used by some customers for
specific projects; as those orders enter delivery Haiguang is recognising
revenue and releasing contract liabilities. Sha said the company has an ample
order backlog, industry compute infrastructure is accelerating expansion, deep
adaptation between domestic AI models and domestic chips is a clear direction,
and demand for the company's AI compute products is rising and can support
earnings growth.
