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# RMB 118.7bn at 89.53%: Who Gets Paid While CXMT's Next Bay Stays Unfinished
- URL: https://www.sotkn.com/markets/china/china-cxmt-q3-sample-verified-november-2026/
- Published: 2026-11-02T02:19:25.000Z
- Updated: 2026-11-02T02:19:25.000Z
- Description: CXMT is paid on DRAM it already shipped: RMB 118.714 billion of third-quarter sales, at an 89.53% gross margin. Parent shareholders are paid on RMB 54.435 billion of profit. Minority owners of the operating fabs are paid on a larger share of the growth. The stuck step is the next bay.
- Author: Sean
- Tags: #market-china

CXMT is paid on DRAM it already shipped: RMB 118.714 billion of third-quarter sales, at an 89.53% gross margin. Parent shareholders are paid on RMB 54.435 billion of profit. Minority owners of the operating fabs are paid on a larger share of the growth. The stuck step is the next bay. The sixth-generation die is a verified sample, and the construction balance has not become a producing line.

**CHINA PULSE** · Data as at 2 Nov 2026 · Next update: CXMT’s 2026 annual report  
**Affects:** Semiconductors · Hyperscalers — **Markets:** China · Korea · US

**In short:** CXMT’s unaudited third quarter, signed 30 October and posted 31 October, did RMB 118.714 billion of sales, up 19.30% on the quarter and 613.18% on the year. Gross margin 89.53%. Group profit rose 19.38%. Parent profit rose 3.01%. Fixed assets rose RMB 1.876 billion. Construction in progress rose RMB 12.445 billion. Who gets paid is the company on DRAM that shipped. The stuck step is the next bay.

*Education only, not advice to buy or sell any security. Figures are from the company filing and the 30 October briefing, dated below. Lines marked our arithmetic are worked on this page.*

## The numbers that matter this month

The print is CXMT’s unaudited 2026 third-quarter report, STAR Market 688825\. The board dated it 30 October. cninfo posted it the next day. Statement lines below are exact yuan. The group’s quarterly profit is the company’s rounded narrative.

| Line                                  | Figure              | Change                                      |
| ------------------------------------- | ------------------- | ------------------------------------------- |
| Q3 revenue                            | RMB 118.714 billion | +613.18% vs a year earlier · +19.30% vs Q2  |
| Q3 gross margin                       | 89.53%              | +1.94 points vs the prior quarter           |
| Q3 net profit, whole group            | RMB 88.983 billion  | +19.38% vs Q2, company rounded              |
| Q3 profit to parent shareholders      | RMB 54.435 billion  | +3.01% vs Q2                                |
| Q3 parent profit, ex one-offs         | RMB 55.237 billion  | +5.31% vs Q2 · +4,070.56% vs a year earlier |
| January–September revenue             | RMB 269.024 billion | +738.51% vs a year earlier                  |
| January–September gross margin        | 86.85%              | Our arithmetic from the income statement    |
| January–September operating cash flow | RMB 254.751 billion | +1,864.52% vs a year earlier                |
| Fixed assets, 30 Sep                  | RMB 184.900 billion | +RMB 1.876 billion since 31 Dec 2025        |
| Construction in progress, 30 Sep      | RMB 44.235 billion  | +RMB 12.445 billion since 31 Dec 2025       |
| Contract liabilities, 30 Sep          | RMB 7.036 billion   | 15.7× the RMB 0.447 billion at year-start   |

Source: [CXMT 2026 third-quarter report, cninfo, board date 30 October 2026](https://static.cninfo.com.cn/finalpage/2026-10-31/1225649723.PDF?ref=sotkn.com). Status chips are Second Order’s read. Record margin on DRAM that shipped. Parent profit lagged the group. The next bay is still unfinished.

![Bar chart of CXMT third-quarter 2026 growth: revenue up 19.30 percent, group net profit up 19.38 percent, parent profit up 3.01 percent](https://storage.ghost.io/c/cd/10/cd10e222-131f-4ba4-b4a9-ca4214e8c12d/content/images/2026/11/china-cxmt-q3-sample-verified-november-2026-growth-1.png)

Group profit tracked sales. Profit for the listed parent rose 3.01%.

## Why does China matter now?

Because the DRAM that sits beside an AI accelerator is still priced in a shortage, and a Chinese maker just printed the quarter in which that price became cash.

An AI server order ends at the same shelf: a processor, a stack of high-bandwidth memory, and a larger pile of ordinary DRAM. Korea holds the high-bandwidth stacks. That door is the [SK hynix third-quarter pulse](https://www.sotkn.com/markets/korea/korea-sk-hynix-q3-hbm4-october-2026/). China, in this print, is the other memory cheque. CXMT’s cause for the 613.18% sales jump, written in the [quarterly report](https://static.cninfo.com.cn/finalpage/2026-10-31/1225649723.PDF?ref=sotkn.com), is global compute demand, capacity choices at the major makers, and a DRAM market that could not fill orders. Volume rose. Price rose. Unit cost fell as the fabs got bigger.

Customers paid RMB 277.386 billion for goods over the nine months. Revenue booked was RMB 269.024 billion. Cash collected sits RMB 8.362 billion above the sales line, on our arithmetic. Receivables are RMB 9.310 billion, 3.5% of nine-month sales. Contract liabilities, cash already in for chips not yet in revenue, are RMB 7.036 billion, up from RMB 0.447 billion. That is 15.7 times the year-start balance and 5.9% of one quarter’s sales. Prepayment has started. It is a small cheque next to the quarter.

The listed parent does not own all of the profit. Nine-month net profit was RMB 196.532 billion. Parent shareholders take RMB 132.040 billion. Minority shareholders take RMB 64.492 billion. Add those two and you get 196.532\. The parent’s share is 67.2%. On the 30 October briefing, reported the next day by [STAR Market Daily](https://www.cls.cn/detail/2521594?ref=sotkn.com), management said two controlled fabs, Changxin Xinqiao and Changxin Jidian, grew revenue and profit more than 50% from the prior quarter and drove the group’s growth. The parent’s stake in those fabs is the lower one. In August the company put more capital into Changxin Jidian and raised that stake. The briefing gave no amount.

The parent’s own register is a different list. The largest holders at 30 September were Hefei vehicles and the second national integrated-circuit fund. Zhejiang Alibaba Cloud Computing held 3.42%. Those owners sit on the parent. The minority line sits inside the fabs. Korea is paid when an HBM stack is allocated. China, here, is paid when a DRAM chip ships at a shortage price. The [HBM explainer](https://www.sotkn.com/explained/hbm-explained/) is the other clock.

## What changed

The [12 October pulse](https://www.sotkn.com/markets/china/china-cxmt-server-dram-october-2026/) had the first half and a year-end server-module plan. This filing prices the quarter. Parent profit for January through June is RMB 77.605 billion on our arithmetic, 132.040 minus 54.435, which is the RMB 77.6 billion that earlier note used.

The report’s narrative matches the tables where both exist. Third-quarter revenue RMB 118.714 billion. Group net profit RMB 88.983 billion, the company’s rounded 889.83 亿元, not a yuan-exact line. Parent profit RMB 54.435 billion. Parent profit after one-offs RMB 55.237 billion. Gross margin 89.53%, up 1.94 points. “About” is the company’s word on the quarter-on-quarter rates. Revenue and parent profit in the main table are exact yuan.

One-offs reduced the parent. Non-recurring items were minus RMB 0.802 billion after tax and minority. Our arithmetic: 55.237 minus 54.435 equals 0.802\. The largest non-recurring line was a RMB 1.255 billion fair-value loss on financial assets, before tax and minority. Profit ex one-offs rose 5.31%. That is still far from 19.30% sales growth. The lag is not a securities gain.

The filing’s product sentence is one line. DRAM on the sixth-generation platform has completed engineering-sample verification. It does not say mass production, name a customer, or give a wafer start. The server-sample date is a different sentence, from the briefing.

On that briefing, DDR5 for servers is short and enterprise demand is the strong part of the book. LPDDR6 is on a leading phone, and shipments are climbing. The first 4F² DDR5 server module is expected out as a sample by year-end, with volume after customer verification. Long-term agreements are in talks with several leading customers. No name, no yuan, no term. Fourth-quarter gross margin is expected to stay stable, and revenue to keep growing, with no numeric range.

The briefing recited the half year, which is not a third-quarter split: DDR RMB 69.472 billion, 46.22% of first-half sales, and LPDDR RMB 78.191 billion, 52.02%. DDR’s share of the nine-month total was described as higher. The nine-month percentage was not printed. We do not fill it in.

## Our math

These lines are our arithmetic, from the [filing](https://static.cninfo.com.cn/finalpage/2026-10-31/1225649723.PDF?ref=sotkn.com). Where we divide by a rate the company called “about”, the prior quarter is implied. CXMT did not print that prior quarter as its own yuan line.

**Nine-month gross margin.** Revenue RMB 269.024 billion minus cost of sales RMB 35.369 billion is RMB 233.655 billion. The margin is 86.85%. The briefing stated the same figure.

**Third-quarter gross profit.** 89.53% of RMB 118.714 billion is RMB 106.285 billion. Cost is RMB 12.429 billion.

**First half, by subtraction.** Revenue RMB 150.310 billion. Cost RMB 22.940 billion. Margin 84.74%. The nine-month rate is 2.11 points higher, the same gap the briefing stated. The prior quarter’s margin, using the company’s 1.94 point rise, is 87.59%.

**Extra profit on the extra sales.** Divide RMB 118.714 billion by 1.1930 and the implied second quarter is RMB 99.509 billion. The new sales are RMB 19.205 billion. Divide RMB 54.435 billion by 1.0301 and implied second-quarter parent profit is RMB 52.844 billion. The new parent profit is RMB 1.591 billion. That is an 8.3% incremental margin for the listed parent, against an 89.53% gross margin.

**The rest of the profit.** Rounded group profit of RMB 88.983 billion minus parent profit of RMB 54.435 billion leaves RMB 34.548 billion with minority owners. The parent’s share of that rounded quarter is 61.2%, against 67.2% for the nine months. A rounding unit on 889.83 亿元 does not close a gap from 19% to 3%.

**Cash bridge.** Opening cash equivalents RMB 37.798 billion, plus operating cash flow RMB 254.751 billion, minus investing outflow RMB 92.324 billion, plus financing inflow RMB 65.442 billion, minus exchange RMB 1.365 billion, equals RMB 264.302 billion. The statement prints that ending figure. Cash spent on buildings and equipment was RMB 36.998 billion, 2.2% above last year’s RMB 36.191 billion. The other RMB 55.326 billion of investing outflow is mostly financial products, shown apart from capex. Operating cash flow is 1.93 times nine-month parent profit.

This is not a price call. The implied second-quarter yuan exist only because we divided by rounded growth rates.

![Bar chart of CXMT gross margin: first half 84.74 percent, January to September 86.85 percent, third quarter 89.53 percent](https://storage.ghost.io/c/cd/10/cd10e222-131f-4ba4-b4a9-ca4214e8c12d/content/images/2026/11/china-cxmt-q3-sample-verified-november-2026-margin-1.png)

Gross margin stepped up. The first-half and nine-month rates are our arithmetic. The third quarter is the company’s.

## Where does the money stick?

With the DRAM that has left the fab, and in the bay that has not started.

![Infographic of where CXMT third-quarter money sticks: DRAM already shipped, the unfinished next bay as the stuck step, and the split between parent and fab minority owners](https://storage.ghost.io/c/cd/10/cd10e222-131f-4ba4-b4a9-ca4214e8c12d/content/images/2026/11/china-cxmt-q3-sample-verified-november-2026-infographic-1.png)

Shipped DRAM is paid. The next bay is not a producing line yet.

**1\. DRAM already shipped.** This is who gets paid now. Gross margin 89.53%. Operating cash flow RMB 254.751 billion. Cash equivalents RMB 264.302 billion. Monetary funds RMB 285.165 billion. Trading financial assets RMB 68.457 billion. Cash from investors was RMB 76.826 billion, of which the fabs’ other owners put in RMB 10.509 billion. Our arithmetic puts the parent’s own raise at RMB 66.317 billion. That cheque is financing. Operating cash flow is the chips.

**2\. The next bay. This is the stuck step.** Fixed assets rose from RMB 183.024 billion to RMB 184.900 billion, up RMB 1.876 billion, or 1.0%. Construction in progress rose from RMB 31.790 billion to RMB 44.235 billion, up RMB 12.445 billion, or 39.1%. Cash capex was RMB 36.998 billion. Those three lines do not form an identity, and we do not force one. The producing base barely moved. The unfinished base did.

**3\. The ownership split.** Group profit rose with sales. Parent profit rose 3.01%. Return on parent equity was 96.46% for the nine months. Opening parent equity was RMB 56.754 billion, and the year opened on a loss of RMB 36.650 billion in undistributed profit. A high return on a base that has just left losses is the early year of a profit swing.

Inventory rose from RMB 28.568 billion to RMB 39.227 billion. Against nine-month cost that is about 303 days. Against nine-month sales it is about 40 days. The long cost-days are the margin: stock is carried at cost and sold at a shortage price. Cash collection moved the other way.

![Bar chart comparing CXMT fixed-asset increase of RMB 1.88 billion, construction-in-progress increase of RMB 12.45 billion, and cash capex of RMB 37.00 billion](https://storage.ghost.io/c/cd/10/cd10e222-131f-4ba4-b4a9-ca4214e8c12d/content/images/2026/11/china-cxmt-q3-sample-verified-november-2026-bay-1.png)

Cash spent on buildings and equipment was RMB 37.00 billion. Fixed assets rose RMB 1.88 billion.

## Is the next bay still stuck?

Yes. Two gates sit in front of the next server part, and the balance sheet agrees.

The filing’s gate is the sixth-generation platform. Engineering samples are verified. The report does not call that a shipment, and it names no customer. Until a later print says volume, this gate stays shut.

The briefing’s gate is a separate sentence. Management expects to send the first 4F² DDR5 server samples by the end of 2026\. Volume follows customer verification. A sample on a calendar is not a module in a server. The 12 October pulse called server testing the stuck step on that plan. The plan is still a plan. This quarter added the cash on DRAM that already ships, and a construction-in-progress line that still holds the next tools.

LPDDR6 is already on a leading phone, with shipments climbing. Phone memory of that generation is past the tray. Server memory on the new cell is not. The money in this quarter is the DDR5 the fabs can already build, which the company called short. The bay and the server sample have not joined that shortage.

Talks on long-term agreements are not a booked yuan figure. The prepay the statements show is RMB 7.036 billion. Fourth-quarter language is the same shape: margin stable, revenue still growing, no range.

## What dates matter

Five dates. Two have already happened. Three are tests.

| Date           | What                                                                          | What would count                                                                               |
| -------------- | ----------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------- |
| 30 Oct 2026    | Board signs the unaudited report. Briefing that evening.                      | Done.                                                                                          |
| 31 Oct 2026    | cninfo posts the file.                                                        | Done. Sixth-generation die is a verified sample.                                               |
| 31 Dec 2026    | First 4F² DDR5 server samples expected out.                                   | A sample leaves, or the date slips. Briefing language, not a filing covenant.                  |
| Q4 2026        | Margin expected stable. Revenue expected to keep growing. No range.           | A margin break of more than a point or two, or a sales quarter that falls.                     |
| By 30 Apr 2027 | Annual report. Listed companies file by 30 April. CXMT has not named its day. | Audited numbers. Construction moving into fixed assets. Contract liabilities becoming revenue. |

Sources: the [30 October report](https://static.cninfo.com.cn/finalpage/2026-10-31/1225649723.PDF?ref=sotkn.com) for the filing dates, and [STAR Market Daily’s 31 October account](https://www.cls.cn/detail/2521594?ref=sotkn.com) of the briefing for the sample plan and the fourth-quarter sentence. The April date is the listing timetable, not a company appointment.

![Calendar of CXMT dates from 30 October 2026 through the annual report due by 30 April 2027](https://storage.ghost.io/c/cd/10/cd10e222-131f-4ba4-b4a9-ca4214e8c12d/content/images/2026/11/china-cxmt-q3-sample-verified-november-2026-calendar-1.png)

Two dates are done. The sample, the fourth quarter, and the annual report are the tests.

## How is this different from SK hynix?

SK hynix, on 28 October, printed a quarter in which the scarce memory was already shipping. Revenue ₩104.6155 trillion. Operating profit ₩83.3338 trillion, about an 80% operating margin on the company’s rounding. HBM4 had begun to ship in earnest. Customer ask was more than twice supply. Agreements with 14 customers covered more than half of 2027–28 capacity. Who gets paid there is the maker on stacks it allocates. The full read is the [Korea pulse](https://www.sotkn.com/markets/korea/korea-sk-hynix-q3-hbm4-october-2026/).

CXMT’s 89.53% is a gross margin. Korea’s 80% is an operating margin. They are different ratios, and this filing does not print a quarterly operating-profit yuan. Korea is short of a product it sells. China, here, is paid on DRAM it sells, and still short of the next server module and the next commissioned bay.

The 12 October note on this same company had the first-half profit and the year-end sample plan. It did not have this cash, this 89.53%, the 3.01% parent rate, or fixed assets up 1.0%. [Naura’s 31 October pulse](https://www.sotkn.com/markets/china/china-naura-q3-tools-wait-on-parts-october-2026/) is tools waiting on parts. CXMT’s cash capex was 2.2% above the year-earlier nine months. The bind here is commissioning and customer qualification.

## What would change this view?

Who gets paid is CXMT on DRAM that shipped, parent shareholders on a thin slice of the extra profit, and minority owners of the fast fabs on the rest. The stuck step is the next bay, and a server die that is still a sample.

- The sixth-generation DRAM, or the 4F² server module, ships in volume and a customer qualification is named.
- The next balance sheet moves construction in progress into fixed assets by more than a rounding error. A rise of a few billion in fixed assets, against RMB 37 billion of cash capex, would be the commissioning we do not see here.
- Fourth-quarter gross margin breaks the “stable” line by more than a point or two, or the sales quarter falls. Either one says the shortage price did not hold.
- Parent profit growth moves up toward sales growth. That would mean the stake in Xinqiao and Jidian, or the mix, has changed. The August injection is the company’s stated attempt. This print does not show the new percentage.
- The company stops describing DRAM as short. A long-term agreement with a yuan figure would be a new fact. Talks are not that figure.
- The annual report, which is audited, moves any of these unaudited ratios by enough to change the arithmetic above. This quarterly file is marked unaudited on its face.

## Practical takeaways

- The quarter paid DRAM already shipped: RMB 118.714 billion of sales, 89.53% gross margin, operating cash flow of RMB 254.751 billion for the nine months.
- Our arithmetic puts the listed parent’s incremental margin at 8.3%. Group profit rose 19.38%. Parent profit rose 3.01%.
- One-offs reduced parent profit by RMB 0.802 billion. The fair-value line was a loss.
- The next bay is unfinished: fixed assets up RMB 1.876 billion, construction in progress up RMB 12.445 billion, cash capex RMB 36.998 billion.
- The sixth-generation die is a verified sample. The 4F² server module is a year-end sample. LPDDR6 on a phone is already moving.
- Next tests: that sample, a fourth quarter with no range, and the annual report by 30 April 2027.

## FAQ

**Who gets paid on CXMT’s third quarter?**  
CXMT, on DRAM it already shipped. Parent shareholders, on RMB 54.435 billion. Minority owners of the operating fabs, on the larger share of the growth. The next bay has not started paying anyone for new wafers.

**What was CXMT’s revenue and gross margin in the third quarter of 2026?**  
Revenue was RMB 118.714 billion, up 19.30% on the quarter and 613.18% on the year. Gross margin was 89.53%, up 1.94 points. The report is unaudited.

**Why did profit for parent shareholders rise only about 3%?**  
Group net profit rose 19.38%. On the 30 October briefing the company said two controlled fabs grew more than 50% and that the parent’s stake in them is lower. Our arithmetic puts the parent’s incremental margin at 8.3% of the extra sales. One-offs reduced parent profit.

**Is CXMT’s sixth-generation DRAM shipping?**  
The filing says sixth-generation products have completed engineering-sample verification. It does not say they are in mass production. The briefing expects the first 4F² DDR5 server module to be sampled by year-end, with volume after customer verification.

**Is the next bay still the stuck step?**  
Yes. Fixed assets rose RMB 1.876 billion. Construction in progress rose RMB 12.445 billion. Cash spent on buildings and equipment was RMB 36.998 billion.

**What date matters next?**  
The company’s test is the end of 2026, when it expects to send the first 4F² server samples. The next full accounts are the 2026 annual report, due from Chinese listed companies by 30 April 2027\. CXMT has not named its day.

## Keep reading on the map

- **Explained:** [HBM, explained](https://www.sotkn.com/explained/hbm-explained/)
- **Markets:** [CXMT in October, the server-module promise](https://www.sotkn.com/markets/china/china-cxmt-server-dram-october-2026/) · [Korea: SK hynix and the HBM4 allocation](https://www.sotkn.com/markets/korea/korea-sk-hynix-q3-hbm4-october-2026/) · [China](https://www.sotkn.com/markets/china/) · [Korea](https://www.sotkn.com/markets/korea/)
- **The Stack:** [Semiconductors](https://www.sotkn.com/semiconductors/)

**Members’ Analysis:** the paid question is which company sits on the next bay. [Read Analysis](https://www.sotkn.com/analysis/)

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**How we check this**

Yuan figures and the sixth-generation sentence are from CXMT’s unaudited [third-quarter report](https://static.cninfo.com.cn/finalpage/2026-10-31/1225649723.PDF?ref=sotkn.com), board date 30 October 2026\. Briefing points are from [STAR Market Daily, 31 October 2026](https://www.cls.cn/detail/2521594?ref=sotkn.com). Subtraction and division are marked our arithmetic.

**Last reviewed:** 2 Nov 2026 · **Next review:** after a fourth-quarter print or the annual report

[Tell us](mailto:sean@thekopinotes.com) if a figure is wrong. [Editorial standards](https://www.sotkn.com/editorial-standards/)