30.76Thinkon Semiconductor

Corporate Value and Return Enhancement Action Plan 2026

Thinkon Semiconductor Jinzhou Corp. (hereinafter referred to as "Thinkon

Semiconductor" or "the Company") believes that improving the quality of listed

companies enhancing returns to investors and increasing investors' sense of

gain are the inherent responsibilities of a listed company's development and its

due obligation to investors.The Company actively implements the relevant requirements of the "Several

Opinions on Strengthening Supervision Preventing Risks and Promoting the

High-quality Development of the Capital Market" and the "Opinions on Further

Improving the Quality of Listed Companies" issued by the State Council. It

responds to the "Initiative on Carrying out the 'Quality Improvement Efficiency

Enhancement and Return Emphasis' Special Action for Companies Listed on

the Shanghai Stock Exchange" by the Shanghai Stock Exchange practices

the development concept of listed companies that "puts investors first" and

safeguards the interests of all shareholders.Based on confidence in its future development prospects and recognition of

the company's value and earnestly fulfilling its social responsibilities the

Company specially formulates the "Corporate Value and Return

Enhancement Action Plan 2026".This plan summarizes the implementation

of the 2025 plan further improves the company's operational efficiency

strengthens its market competitiveness protects investors' rights and interests

stabilizes the stock price and builds a good image in the capital market. The

main contents are as follows:

1. Focus on Strengthening the Main Business and Improving Core

Competitiveness

Since its establishment Thinkon Semiconductor has been dedicated to the

production research and development and sales of large-diameter silicon

materials and their application products. With years of accumulation and layout

the Company has maintained a leading position in the field of large-diameter

silicon materials mastering all technical processes for crystals up to 22 inches

and below. It is one of the very few integrated manufacturers in China with the

complete manufacturing capability. The Company can provide large-diameter

silicon material products to downstream manufacturers globally on a large

scale with high quality high reliability and wide coverage ranking in the first

tier in the global niche market. In 2025 the Company's large-diameter silicon

material business achieved an operating income of 188152050 yuan ayear-on-year increase of 8.11%; the gross profit margin was 69.87% a

year-on-year increase of 6.02 percentage points; and the silicon parts products

achieved an income of 237171645 yuan a year-on-year increase of 100.15%

a year-on-year increase of 14.48 percentage points.In 2026 the Company will further focus on its main business and enhance its

core competitiveness:

a. Seizing the Development Opportunities of the Semiconductor

Industry’s Recovery Strengthening Marketing Efforts

Data from the World Semiconductor Trade Statistics Association shows that

the global semiconductor market size in 2025 was $792 billion a year-on-year

increase of 25.60%. Entering 2026 global leading IC manufacturers and

semiconductor manufacturing equipment manufacturers have made

predictions. TSMC and Lam Research expect that the global semiconductor

market will continue to recover this year. The downstream demand for the

Company's large-diameter silicon materials and their processed silicon parts

products is closely related to the capacity utilization rate and new capacity of

terminal IC manufacturers. Currently it is still a period of development

opportunities for the global semiconductor industry.The Company will actively respond to the diversified demands of the rapidly

growing domestic market. It will set up local offices get closer to the actual

production of customers improve the feedback speed proactively deploy

market resources integrate and improve technical quality and logistics

services and further enhance customer satisfaction. In the overseas market it

will make strategic arrangements actively track the latest technological

development demands and collaborate with overseas partners based on its

own advantages to further enhance the company's international market status.b. Optimize Operational Management and Improve Business Quality

and Efficiency

In 2026 the company will further improve order collection and payment

management actively control the scale of accounts receivable increase

collection efforts continuously monitor the collection of overdue accounts

receivable and reduce or stop sales to specific customers based on credit risk

assessment.In terms of inventory turnover in 2025 due to the long evaluation and

certification cycle of the Company's strategic business semiconductor 8-inch

silicon wafer products the average capacity utilization rate was limited. The

Company actively sought orders took into account the needs of evaluationand certification and economic benefits optimized the production scheduling

plan and adjusted the production and operation plan in a timely manner

reducing the inventory level. In 2026 the Company will continue to optimize

the production scheduling plan strictly manage inventory and unremittingly

pursue the optimal balance between R&D verification and economic benefits.

2. Share Development Results and Improve the Investor Return

Mechanism

The Company believes that a good investor return is the cornerstone of a

company's long-term development in the capital market.On April 24 2023 the Company formulated and disclosed the "Thinkon

Semiconductor Jinzhou Corp. Shareholder Dividend Return Plan for the Next

Three Years (2023-2025)". The Company will distribute according to the

principle of "same shares same rights and same shares same benefits"

based on the proportion of the company's shares held by each shareholder.The company implements a continuous stable and active profit distribution

policy values reasonable investment returns for shareholders and under the

premise of meeting the cash dividend distribution conditions stipulated by

relevant laws regulations normative documents and the "Company Charter"

the Company will prioritize the cash dividend distribution method. In the

absence of major investment plans or major cash expenditure plans without

affecting the normal business development needs of the company the

company's net profit for the year is positive the accumulated undistributed

profit at the end of the year is positive the capital reserve is positive and other

cash dividend distribution conditions stipulated by relevant laws regulations

normative documents and the "Company Charter" are met the Company

should distribute no less than 10% of the distributable profit for the year in

cash.In 2025 the Company plans to distribute a cash dividend of 1.85 yuan

(including tax) for every 10 shares to all shareholders. As of the announcement

date the total share capital of the Company is 170305736 shares. After

deducting 635016 shares in the repurchase-dedicated account the total

planned cash dividend is 31389083.20 yuan (including tax). The proportion of

cash dividends of the Company in the net profit attributable to shareholders of

the listed company in the consolidated financial statements for this year is

30.76%. This profit-distribution plan has been reviewed and approved by the

12th meeting of the 3rd Board of Directors of the Company and still needs to

be submitted to the general meeting of shareholders for review.In 2026 the Company will continue to balance the dynamic relationship

between company development performance growth and shareholder returnsactively explore ways and methods and under the premise of complying with

relevant laws regulations and the "Company Charter" profit distribution policy

take into account the immediate and long-term interests of shareholders

achieve a "continuous stable and scientific" shareholder return mechanism

and enhance the sense of gain for the majority of investors.

3. Accelerate the Development of New Quality Productive Forces and

Innovate the Allocation of Production Factors

The Company will cultivate and use new quality productive forces to promote

high-quality development of the company and lead industrial transformation

and upgrading. It will strengthen industry-academia-research cooperation and

actively improve the company's operational efficiency through technological

breakthroughs and innovative allocation of production factors.A strong talent supply is the source of momentum for technology-intensive

enterprises. The Company guided by job value and capability driven by

performance results establishes a "fair internally and competitive externally"

compensation system improves the efficiency of compensation resource use

motivates outstanding employees encourages employees to actively

contribute ideas for the company's performance development technological

innovation and management optimization thereby attracting outstanding

talents.In 2026 the Company will continue to strengthen its talent development

strategy optimize talent incentive mechanisms maintain the stability of the

research team use restricted stock incentive plans as a normalized incentive

mechanism continue to recruit compound experts and technicians with rich

production and management experience expand into the existing team of

middle and senior management personnel strengthen the construction of a

high-level talent echelon and continuously enhance the competitive

advantage of talent; continuously optimize and iterate the existing

performance assessment mechanism improve the Company department and

individual three-level performance assessment goals and content and

constantly strengthen the performance assessment and benefit distribution

system centered on "responsibility rights and interests" stimulating the

enthusiasm of talents at work achieving a win-win for the company and

employees.The Company continues to strengthen R&D investment with the company's

R&D investment aimed fundamentally at profitability and R&D activities are

carried out based on the specific and clear assessment and certification

requirements of downstream clients. The Company's R&D investment as a

proportion of its annual operating income from 2023 to 2025 was 16.64%8.26% 7.63% respectively. The Company has cumulatively obtained 18

invention patents 95 utility model patents.In 2026 the Company will stimulate the synergistic effects of R&D with the

market supply chain and customer service. It will keep pace with the

requirements of world-advanced semiconductor manufacturing processes

continuously strengthen its technical reserves and build its core

competitiveness.In the industrial situation where "global division of labor free trade efficiency

first" coexists with "localization of IC manufacturing" the Company considers

innovating the allocation of production factors through investment or

cooperative development while growing internally and growing together with

domestic and foreign high-end semiconductor material and component

manufacturers enabling the Company to cover more product categories and

capture more niche markets laying the foundation for the company's long-term

sustainable growth.

4. Improve the Quality of Information Disclosure and Strengthen

Investor Communication

The Company's securities office is the dedicated department for

communication between the company and investors. Since its listing the

Company has actively answered investor hotlines promptly replied to investor

emails and the "SSE E-Interaction" platform and held investor communication

meetings on platforms such as "SSE Roadshow Center" and "Jinmen Finance"

after the disclosure of quarterly semi-annual and annual reports explaining

the company's operating performance and interpreting regular reports.In 2025 the Company held 3 earnings presentation meetings carried out 3

investor relations management activities through new media and had 12

investor exchanges. The relevant investor relations activity records have been

promptly disclosed.In 2026 the Company will strictly follow laws regulations and regulatory

requirements implement the company's information disclosure management

system and fulfill its information disclosure obligations truly accurately

completely timely and fairly. Specific aspects include:

a. Investor Online Communication Activities

In the future the Company will continue to maintain active online

communication with investors enrich investor communication methods

expand communication channels and enhance transparency. The Companywill hold no less than 4 investor online communication meetings each year

through platforms such as "SSE Roadshow Center" and "Jinmen Finance"

ensuring that the communication meetings are held within one week after the

release of regular reports with the company's chairman general manager

and other key personnel actively participating in relevant activities.b. Improve the Investor Opinion Solicitation and Feedback Mechanism

The Company will continue to improve the investor opinion solicitation and

feedback mechanism enhance the transparency of information disclosure

actively timely and in-depth understand investor demands and make targeted

responses. This will allow investors to fully and timely understand the

company's operating conditions and development strategies strengthen

communication with investors and enhance investor trust in the company.

5. Deepen Corporate Governance and Ensure Standardized Operations

The Company attaches great importance to the soundness of its corporate

governance structure and the effectiveness of its internal control system and

will continue to improve the legal person governance and internal control

systems improve the standardization of company operations and the scientific

nature of decision-making and fully protect shareholder rights. The specific

plan is as follows:

a. Accelerate the Implementation of Independent Director System

Reform

The Company will accelerate the implementation of independent director

system reform optimize the selection of audit institutions and internal audit

management further strengthen the supervision of branches and subsidiaries

and ensure the company's compliant operations.b. Improve Internal Control Construction

Combining the actual situation of the company comprehensively sort out the

original management systems and establish a suitable internal control

management system for the company under the premise of meeting internal

control requirements clarify the responsibilities and authority of relevant

department personnel and implement comprehensive management. The

Company will complete the update of its management system within the year.c. Management Self-discipline and Compliance

The Company's directors and senior management personnel will faithfully anddiligently perform their duties restrain occupational consumption behavior not

transfer benefits to other units or individuals and effectively protect the legal

rights and interests of the listed company and all shareholders. In major

matters such as production and operation investment and mergers and

acquisitions protect the legal rights and interests of investors especially small

and medium-sized investors enhance investor participation and sense of

identification.d. Board and Supervisory Board and Senior Management Training

The Company's board and supervisory board members and senior

management actively participate in various training organized by regulatory

agencies such as the China Securities Regulatory Commission (CSRC) and

the Shanghai Stock Exchange strengthen the study of securities

market-related laws and regulations continuously improve self-discipline and

compliance awareness and promote the company's continuous standardized

operation. The Company will fully encourage and assist the board and

supervisory board members and senior management to actively participate in

relevant training in the future.

6. Strengthen the Binding of Management and Shareholders' Shared

Interests and the Responsibility of the "Key Minority"

Since its listing the Company has maintained close communication with the

actual controller controlling shareholders shareholders holding more than 5%

of the shares and other "key minorities" of the company organized relevant

parties to participate in training on the standardized operation of listed

companies case analysis of risk prevention and training related to "honesty

obligations of major shareholders and board and supervisory board members"

promptly informed the latest regulatory information and regulatory cases

standardized the rights and obligations of the company and shareholders

prevented the abuse of shareholder rights and the advantageous position of

management to damage the rights and interests of small and medium-sized

investors; tracked the fulfillment of promises by relevant parties on a quarterly

basis and conducted pre-communication to ensure that relevant parties fulfill

their promises.In 2026 the Company will continue to strengthen communication with the "key

minorities" guide shareholders to invest long-term track the fulfillment of

promises by the aforementioned relevant parties continuously strengthen the

sense of responsibility and fulfillment of promises of the relevant parties. At the

same time the Company will continue to organize the aforementioned relevant

parties to participate in various training organized by regulatory agencies such

as the Shanghai Stock Exchange and the CSRC promptly convey regulatoryupdates and regulatory dynamics strengthen the "key minorities" learning of

capital market-related laws and regulations professional knowledge and

continuously improve their self-discipline awareness jointly promote the

company's standardized operation. Efforts will be made to guide the "key

minorities" to convey confidence in the company's development prospects

through commitments not to reduce holdings increase holdings in the

company's shares and other methods.

7. Other Matters

The Company will continue to assess the implementation of the action plan

and timely fulfill its information disclosure obligations. The Company will

continue to focus on its main business enhance the company's core

competitiveness profitability and risk management capabilities. Through good

business management standardized corporate governance and active

investor returns the Company will effectively protect investor interests fulfill

the responsibilities and obligations of listed companies reward investor trust

maintain the company's good market image and promote the stable and

healthy development of the capital market.The Company's plans development strategies etc. mentioned in this report

are forward-looking statements that have not yet become facts and do not

constitute a substantive commitment from the company to investors. Investors

are advised to pay attention to the relevant risks.Thinkon Semiconductor Jinzhou Corp.Board of Directors

March 20 2026