BLOOMAGE BIOTECH 2023 Sustainability Report About this Report 1

About This Report

Report Introduction

This report is the inaugural Sustainability Report (hereinafter referred to as "this Report") released by Bloomage Biotechnology Corporation

Limited (hereinafter referred to as "Bloomage Biotech" "the Company" or "We") following four consecutive annual Corporate Social

Responsibility (CSR) reports since the Company's listing in 2019. This report discloses information pertinent to the Company's sustainable

development and fulfilment of social responsibilities.Report Scope

This Report covers Bloomage Biotechnology Corporation Limited together with its subsidiaries in line with the reporting period covered in

Bloomage Biotech's Annual Report unless specifically stated otherwise. The reporting period of this Report spans from 1 January 2023 to 31

December 2023. To ensure continuity integrity and comparability certain content extends beyond the scope mentioned above with detailed

explanations provided within the report.Basis of Compilation

This Report is compiled in compliance with Guidelines No. 1 of the Shanghai Stock Exchange for the Self-Regulation of the Listed Company

-Standard Operation (revised in 2023) . It also references the Global Reporting Initiative Standards (GRI Standards) issued by the Global

Sustainability Standards Board (GSSB) the United Nations Sustainable Development Goals (SDGs) the Standards of the Sustainability

Accounting Standards Board (SASB Standards) the Task Force on Climate-related Financial Disclosures framework (TCFD framework)

issues monitored by Morgan Stanley Capital International ESG Ratings (MSCI) and the Ten Principles of the United Nations Global Compact

(UNGC) ("the Ten Principles of the UNGC"). For readers' convenience a comprehensive index is provided in the appendix for easy reference.Data Sources

All information presented in this report originates from internal official documents statistical reports third-party questionaries and surveys

and relevant public sources within Bloomage Biotech. Financial data is meticulously sourced from the Company's annual reports with all

monetary amounts denoted in Chinese Renminbi (RMB) unless explicitly stated otherwise.Board Statement

This report has been deliberated and approved by the Board of Directors of Bloomage Biotech. The Board of Directors solemnly assures

that there are no falsifications or misleading statements within this report and assumes full accountability for the truthfulness accuracy and

completeness of its content.Report Release

Both a Simplified Chinese and English version of this report will be officially published. In case of any ambiguity the Simplified Chinese version

shall take precedence.Electronic copies of this report in both Chinese and English are readily accessible through the Company's official website and the Shanghai

Stock Exchange's website:

https://www.bloomagebiotech.com/

http://www.sse.com.cn/

Feedback

For inquiries or feedback regarding this report and its contents you are welcome to reach out through the following contacts:

Office Address: Floor 33 Tower D Bloomage International Center 6A Jianguomenwai Avenue Chaoyang District 100022 Beijing China

Email: esg@bloomagebiotech.com2 BBLLOOOOMMAAGGEE B BIOIOTTEECCHH 22002233 S Suusstataininaabbiliitlyity R Reeppoortrt Catalogue 3

CATALOGUE

About this Report Compliance Governance: Building Competitiveness Based Reciprocal Cooperation and

Chairwoman and CEO's Message Enhancing Development Capacity on People-Oriented Principle Cohesive Development

About this Report 01 Board of Directors 17 Fair and Regulated Employment 49 Supply Chain Management System 75

Chairwoman and CEO's Message 04 Compliance Management 18 Employee Development 52 Supply Chain Quality Supervision and Review 76

Internal Control and Risk Management 20 Safety and Health 56 Supply Chain ESG Management 77

About Bloomage Biotech

Business Ethics 22 Employee Rights and Benefits 60

Company Overview 06 Cybersecurity and Privacy 26

Major Business 07 Investor Rights Protection 27

Corporate Culture 08

Annual Major Honors 08

Sustainable Development Technological Innovation to Green and Low Carbon to Protect Care for Society Inspires

Management Enhance Product Efficacy Ecological Force Vitality

ESG Management System 11 R&D Innovation 29 Improving Environmental Management 63 Care for Society 78

ESG Strategic Planning 12 Pilot Scale Results Transformation 35 Strengthening Pollution Prevention and Control 66

Stakeholders Engagement 13 Quality Management 37 Optimizing Resource Use 68 Appendix

ESG Materiality Assessment 15 Product Accessibility and Affordability 42 Addressing Climate Change 71 Index of Indicators 82

Major Accolades in the ESG Domain 15 Pharmacovigilance 43 GHG Verification Statement 86

High-quality Service 44 ESG Key Performance Tables 88

Intellectual Property Protection 454 BBLLOOOOMMAAGGEE B BIOIOTTEECCHH 22002233 S Suusstataininaabbiliitlyity R Reeppoortrt Chairwoman董 a事nd长 CE兼O总's M裁e致ssa辞ge 5

Chairwoman and CEO's Message

"It is my great pleasure to share Bloomage Biotech's annual Sustainability Report with you all. This report is our first sustainability report marking our unwavering commitment to the cause of sustainable development and ushering in a new era as Bloomage Biotech embraces a

comprehensive Environmental Social and Governance (ESG) strategy.In today's world sustainable development has become a global Adhering to the corporate development logic of "science → We uphold the greater good and pursue shared interests

consensus and a shared pursuit for all mankind. It stands as a vital technology → product → brand" we have identified synt"hetic and actively take into account the expectations and

requirement for both social progress and the long-term prosperity biology as a key direction for our strategic development and demands of different stakeholders striving to achieve

of enterprises. As a biotechnology company with a strong sense of stayed committed to investing in basic research and applied win-win cooperation among stakeholders including

social responsibility and extensive global influence we recognize basic research. In 2023 we continued to deepen our synthetic shareholders customers employees suppliers

the imperative of steadfastly implementing a ESG strategy. We biology strategy achieving breakthroughs in the R&D of various and communities. We continuously improve our quality

believe that integrating sustainable development principles into substances and launching several new products made with management system endeavoring to provide clients and

our strategic planning and daily operations is essential for the biologically active substance raw materials such as "Hybloom consumers with high-quality trustworthy products. We

Company to ceaselessly drive sound and continuous growth while Minitrue" and "Bioyouth-EGT Pure Ultrapure Ergothioneine". prioritize people respecting and safeguarding employees'

contributing to society and the sustainable future of humanity. Moreover we established a first-class synthetic biology pilot- legitimate rights and interests working to create a fair safe and

To this end in 2023 we formally embedded ESG into our long- scale testing platform successfully putting it into operation healthy working environment and providing learning platforms

term development strategy and established an ESG management and we completed the layout of new capacities and platforms that meet the personal growth and career development needs

system tailored to our unique characteristics so as to seamlessly in bases such as our Bloomage Biotech (Hainan) Science and of employees to help them realize their value. In addition we

infuse sustainable development principles into every facet of our Technology Industrial Park. Additionally we also steadily promoted continuously optimize our supplier management mechanism

business. Seizing this opportunity we comprehensively revamped the integration of industry-university-research cooperation and and strengthen communication and cooperation with suppliers

our previous annual CSR reports and compiled this Sustainability established the first synthetic biology Corporate Venture Capital in product quality environmental protection and labor rights

Report with reference to mainstream ESG standards both (CVC) fund in China. These efforts have formed a synthetic jointly promoting high-quality development. For the thirteenth

domestically and internationally in order to present our efforts in biology-supported biomanufacturing industry chain spanning consecutive year we have carried out "Yun Zhong (In Cloud)

ESG-related areas more systematically and comprehensively scientific innovation pilot-scale testing industrial transformation Public Welfare" campaign dedicated to exploring inheriting and

responding to the expectations from all stakeholders in society in a and market transformation. promoting the cultural treasures of ethnic minorities not only

more profound and well-rounded way. We fully recognize that green development not only enhancing cultural confidence and influence but also driving

Amid the evolving dynamics of 2023 marked by heightened global embodies a company's social responsibility but also reflects

rural development influencing and changing more lives.instability and uncertainty the world faces multifaceted challenges its long-term competitiveness. Therefore we accelerate ESG is gradually becoming the consensus of more and more

including economic volatility rapid technological advancements the green and sustainable development by leveraging people and sustainable development has become the main

divergent values and frequent climate disasters. In this shifting era scientific and technological innovation new infrastructure theme of social development profoundly impacting and guiding

where opportunities and challenges coexist Bloomage Biotech has and digital management. In 2023 based on the entire product the operation and development of enterprises. Therefore

proactively responded to the demands of the times. We have reshaped life cycle we continued to optimize our research and development through this Sustainabil i ty Report we hope to enable

our mindset and behaviours bravely confronting the all kinds of design and production techniques to continuously reduce energy more people to understand the management philosophy

challenges presented by both internal and external environments. and resource consumption and minimize negative environmental practice principles strategic thinking and our commitment

impacts. We introduced new energy facilities such as photovoltaics to social responsibility behind Bloomage Biotech's business

We have continuously refined our corporate governance and methane power generation from wastewater to optimize our performance. In the future Bloomage Biotech will continue

mechanisms enhanced organizational capabilities and energy structure. Additionally we established a digital energy to uphold sustainable development principles optimize

optimized management systems. In 2023 we established management platform and ESG data dashboard effectively ESG management unwaveringly promote the Company's

a new organizational structure building a comprehensive enhancing our data management capabilities. We have also sustainable development create greater value and achieve

operational management system a talent vitality mechanism an conducted an organizational-level carbon audit and a carbon the long-term development of the enterprise and the shared

ESG management system and a compliance and anti-bribery footprint assessment of hyaluronic acid products both of which progress of society.management system to adapt to the new stage of company have received third-party authority certification.development. Simultaneously we have ceaselessly improved

existing systems such as centralized purchasing human resources

management research and development (R&D) management

and quality management to ensure that the organization can better

support the Company's strategy and enable each employee to

fully realize their value and potential for growth. These initiatives Zhao Yan

not only elevate the Company's management capabilities but also Chairwoman and CEO of Bloomage Biotech

enhance its operational resilience laying a solid foundation for

increasing future-oriented competitiveness.6 BBLLOOOOMMAAGGEE B BIOIOTTEECCHH 22002233 S Suusstataininaabbiliitlyity R Reeppoortrt About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 7

Major Business

01 As a biotechnology all-industrial-chain platform company Bloomage Biotech focuses on innovation and transformation in the synthetic biology field gradually forming a business layout driven by "four-wheel": biologically active substance raw materials medical terminal products functional skincare products and functional foods.Biologically Active Substance Raw Materials

Leveraging microbial fermentation platforms as well as our advantages in industrialization we develop biologically active products beneficial

About Bloomage Biotech to life health including functional sugars proteins polypeptides amino acids nucleotides and natural active compound. Our range includes hyaluronic acid in over 200 specifications of pharmaceutical-grade cosmetic-grade and food-grade products widely applied in

pharmaceuticals medical devices cosmetics functional foods and ordinary food fields spanning new areas such as pets reproductive

health oral care fabrics and paper products. Other biologically active products include gamma-aminobutyric acid (GABA) sodium

polyglutamate Ectoine Ergothioneine collagen SCLEROTIUM ROLFSSII natto extract brown rice ferment filtrate and Microecobeauty

Company Overview products.Established in 2000 and publicly listed on the A-share Science and Technology Innovation Board (Stock Code: 688363. Medical Terminal Products

SH) in November 2019 Bloomage Biotech is a biotechnology company propelled by innovation in synthetic biology and

Our medical cosmetic products encompass soft tissue fillers medical skin protectants and postoperative repair products offering

a platform company for the whole industrial chain of biological materials dedicated to improving people's quality of life by

comprehensive solutions for facial rejuvenation. Notably our BIOHYALUX Modified Sodium Hyaluronate Gel for Injection was the first

creating healthier experiences. Driven by industry demands we prioritize fundamental and applied basic research. We have

domestically produced cross-linked hyaluronic acid soft tissue filler approved by the National Medical Products Administration (NMPA) for

established six major research and development (R&D) platforms including the synthetic biology research and development

market in 2012. Following this success in 2016 our modified sodium hyaluronate gel for injection enriched with lidocaine took the lead to

platform microbial fermentation platform application mechanism research and development platform pilot-scale testing

achieve NMPA certification. Then in 2019 we unveiled our self-developed single-phase hyaluronic acid soft tissue filler with anesthetic the

platform crosslinking technology platform and formula & process research and development platform enabling us to cover

first of its kind in China. Building on this momentum in the latter half of 2020 we introduced Aqualuna Modified Sodium Hyaluronate Gel for

the entire product lifecycle from cell establishment to commercial application.Injection a micro-crosslinked HA product infused with lidocaine designed for wrinkle correction spanning from the surface to the middle layers

Embracing the development logic of "science → technology → product → branding" Bloomage Biotech firmly believes that of facial dermis. Continuing our commitment to innovation in 2021 we launched an upgraded version of our micro-crosslinked hyaluronic

technological innovation is the primary engine of progress. We consider talent as the cornerstone and guarantee of acid dermal revitalization product called Wrinkle Remover a modified sodium hyaluronate gel for injection tailored for comprehensive facial

our advancement. Guided by the corporate mission of "Creative Technology For Vibrant Life" we concentrate on the rejuvenation and subtle wrinkle filler injection on the top of the skin. And most recently in 2022 we unveiled our latest endeavor the Aqualuna

development and industrial application of six major categories of biologically active substances conducive to life health: Skincare focusing on post-operation recovery in the medical aesthetics domain offering a range of products including repair essences spray

functional sugars proteins polypeptides amino acids nucleotides and natural active compounds. We are advancing a dressings skin repair masks and repair creams the current Aqualuna series includes micro cross-linked doll needles single-phase Natural

diversified business strategy represented by our "four-wheel drive" model encompassing biologically active substance raw and dual-phase products such as Aqualuna 2 3 and 5.materials medical terminal products functional skincare products and functional foods. Moreover we continuously expand

In the realm of pharmaceuticals and healthcare our portfolio encompasses medical devices such as ophthalmic viscoelastic devices (OVDs)

our market share domestically and internationally establishing competitive advantages with our industrial scale at the

and medical lubricants as well as pharmaceutical products such as intra-articular injections for joint in the treatment of osteoarthritis. As the

forefront of the world. Bloomage Biotech's raw material products medical terminal products and functional skincare products

only distributor of RegenLab (Switzerland) in China we continued our efforts in 2022 to promote and distribute products of Platelet-Rich Plasma (PRP)

are distributed to over 70 countries and regions worldwide. Additionally the Company holds the distinction of being the world's

preparation kits for orthopedics sports medicine plastic surgery and pain management across multiple medical specialties domestically.largest developer producer and distributor of hyaluronic acid (HA).Bloomage Biotech's medical terminal products currently comprise seven brands: Aqualuna BIOHYALUX Hyprojoint HYMOIS HyaBricant

Meiyu and RegenACR.Functional Skincare Products

Drawing on six R&D platforms including the synthetic biology research and development platform microbial fermentation platform application

mechanism research and development platform pilot-scale testing platform crosslinking technology platform and the formula & process

research and development platform we conduct in-depth research into the effects of hyaluronic acid with different molecular weight gamma-

aminobutyric acid (GABA) Ectoine and other biologically active substances along with their cross-linked derivatives on human skin. Based

on these bioactive substances researched as the core ingredients and focusing on streamlining formulations boosting the concentration of

active ingredients and targeted efficacy we develop a series of functional skincare products tailored to address a range of skin concerns including

sensitive skin damaged skin barriers facial redness and acne. Leveraging our extensive expertise and experience in the biopharmaceutical

industry we employ the Blow Fill Seal (BFS) integrated technology to produce small packaging Hyaluronic Acid Essence series products.Bloomage Biotech's functional skincare products embrace multiple brands including BIOHYALUX QuadHA MedRepair and Bio-MESO.Functional Foods

The Company has maintained a longstanding dedication to researching oral hyaluronic acid. After a persistent effort spanning 16 years

in 2021 the National Health Commission approved Bloomage Biotech's application for sodium hyaluronic acid as a novel food ingredient

permitting its integration into common foods. Presently the Company has established both the Wuxi Functional Food Basic Research Center

and the Shanghai Food Research Center. Within the realm of functional food development we prioritize beauty joint health and sleep health

as its primary R&D and application areas. Leveraging the capabilities of our six major R&D platforms Bloomage Biotech has developed a wide

range of bioactive raw materials for functional beverages dietary supplements dairy products and beyond. Among these offerings are brands

like WHATER which is a drinking water product with comestible hyaluronic acid.8 BBLLOOOOMMAAGGEE B BIOIOTTEECCHH 22002233 S Suusstataininaabbiliitlyity R Reeppoortrt About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 9

Corporate Culture Honors Received by Bloomage Biotech in 2023 (Continued)

Award or Honor Organizer/Awarding Institution

Shandong Province 2023 (First Batch) Provincial Green

Manufacturing List: Provincial Green Supply Chain Management Department of Industry and Information Technology of Shandong

Mission Enterprise

Creative Technology for Vibrant Life Pilot Enterprise in Shandong Province for the Construction of Pilot

Shandong Development and Reform Commission

Zones for Green Low-Carbon and High-Quality Development

The 24th China Patent Excellence Award National Intellectual Property Administration

Talent Philosophy

Attitude Manner Insight Depth Purpose 2023 Enterprise Brand Innovation Outstanding Achievement Award Quality Evaluation Association of Shandong Province

Integrity Courage Fortitude Healthy Beautiful Happy of Shandong Province

Grandeur Top 100 Innovation List of Public Companies in National High-tech Chinese High-tech Zone Research Center Institute of Scientific

Zone and Development Chinese Academy of Sciences

Rated A in the 2023 Information Disclosure Evaluation of Listed

Shanghai Stock Exchange (SSE)

Companies on the STAR Market

2023 Best Practice Case in Corporate Governance China Association for Public Companies

Development 2023 Best Practice Case for Public Company Boards China Association for Public Companies

Philosophy "Enabling Biologically Active Raw Materials Synthetic Biology Helps Vision Science and Technology Daily

Rely on technological strength Achieve 'Dual Carbon' Goals" recognized as one of the "Top Ten

Becoming a leader in the Life and Chinese Society of Biotechnology

create product power shape Typical Applications" of synthetic biology in China

Health Industry

brand power gain competitive

The 25th Golden Bull Award for Listed Companies-Golden Bull

power and possess resilience

Science and Technology Innovation Award Golden Information China Securities Journal

Disclosure Award

The 17th China Listed Company Value Awards "Top 30 Value of

Objectives Securities TimesListed Companies on the STAR Market"

To create products that make

Core Values Outstanding Cutting-edge Technology Enterprise of the 12th

Chinese people confident Listed Company Research Institute of JRJ

Persistence Perseverance "Golden Wisdom Award"

and proud and to become a

Innovation Responsibility

respected and beloved Chinese 2023 China Medical Aesthetics Industry Overall Evaluation List-

enterprise worldwide National Business Daily Think Tank hosted by Medical Beauty 2023 Outstanding Enterprise Award of China Medical Aesthetics

Industry Blue Book Think Tank

Industry Overall Evaluation List

2023 Yicai Capital Market Annual Value List-2023 Annual

Yicai

Innovation Enterprise

Annual Major Honors 2023 Outstanding Development Award of 50 Best Company Shanghai United Media Group Jiemian.com

In recent years Bloomage Biotech has garnered numerous national and provincial honors and awards including the Second Prize of National

Award for Science and Technology Progress Champion Demonstration Enterprise of National Enterprise Technology Center and National Honors Received by Ms. Zhao Yan Chairwoman and CEO of Bloomage Bio tech in 2023 (Partial)

Manufacturing National Green Factory China Patent Gold Award First Prize of Scientific and Technological Progress in the Shandong Award or Honor Organizer/Awarding Institution

Province and Quality Award in Shandong Provine. Additionally we have received honors from various national associations including the

Science and Technology Award of the China Food Industry Association the Gold Bridge Award of the China Technology Market Association Shandong Province Private Entrepreneurs "Leading the Way" the Office of the Leading Group for Promoting the Development of the

and China Hi-Tech of the China Association of Productivity Promotion Center. Top 100 List-Elite Entrepreneur Non-Public Sector of the Economy in Shandong Province

In 2023 Bloomage Biotech continued to engage with relevant government departments industry associations research institutions media 2023 Forbes China Power Businesswomen Forbes China

and other stakeholders maintaining good relationships and jointly promoting industry and societal development. Our Chairwoman and CEO

2023 Herose Club · Hurun Richest Women in China Hurun Report

Ms. Zhao Yan received recognition and awards from all walks of life. Some of these honors are listed below:

2023 Top 100 Annual Brands List-2023 Top 10 Annual Brand Figures Sina Finance

Honors Received by Bloomage Biotech in 2023 (Partial)

China Cosmetics Review -First China Cosmetics Science and

Top 10 Newsmakers in the Chinese Cosmetics Industry 2022

Award or Honor Organizer/Awarding Institution Technology Conference

Jinan Municipal Committee of the Communist Party of China Jinan The 18th "Golden Round Table Award" for Boards of Listed

Quancheng Outstanding Enterprise Directors & Board Magazine

Municipal People's Government Companies-Entrepreneurship Award10 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 11

ESG Management System

02 Bloomage Biotech is committed to refining its sustainable development management and has established an effective ESG management mechanism. This has resulted in a clear and well-defined ESG governance structure providing robust support for the Company's stable operations and sustainable growth. The Company established an ESG Committee under the Board of Directors and formulated and published the Work Regulations for the ESG Committee of Bloomage Biotech Corporation Limited reinforcing the roles and responsibilities of the Board

of Directors and its ESG Committee in the ESG strategy research and formulation material topics identification ESG risks and opportunities

management ESG performance management capital market ratings and so forth thus enhancing the Company's governance transparency and

Sustainable Development sustainable development management. Meanwhile after the Board of Directors' consideration and approval the Company has newly established the ESG Strategic Management Center which is responsible for the Company's ESG management.Management The Board of Directors is responsible for overseeing and coordinating

ESG-related tasks and listens to and approves relevant advice proposed

Board of Directors by the ESG Committee so as to ensure the implementation of sustainable

Bloomage Biotech embeds the principles of sustainable development into its operation placing a strong emphasis on development from top to bottom as well as the integration of ESG

Environmental Social and Governance (ESG) management. By establishing an ESG management structure formulating management into the Company's decision-making process

ESG strategic plans and actively engaging in cooperation and communication with stakeholders the Company ceaselessly Governanve

enhances its management on material topics and analysis of ESG issues.Established and supervised under the Board of Directors the ESG

Committee reports to the Board of Directors and aims to achieve

ESG Committee high-quality sustainable development for the Company which also

deliberates on ESG-related matters and provides regular reports to

the Board

Tasked with overseeing the Company's ESG management including

building the ESG management system assessing ESG risks formulating

Management ESG Strategic

ESG strategic plans facilitating the implementation of key ESG initiatives

Management Center evaluating and optimizing key ESG indicators and managing ESG

communication and disclosure. The center reports annually to the ESG

Committee on its achievements of the year and future plans receiving

guidance and supervision from the committee

ESG Working Groups Established within various business lines factories and functional

(Established within various departments these working groups are responsible for maintaining ESG Execution

business lines factories and information within their respective areas and implementing specific ESG-

functional departments) related tasks.Bloomage Biotech's ESG Management and Governance Structure

During the reporting period the Company's Chairwoman and CEO along with the ESG Committee and relevant executives reviewed the

Company's ESG management plans and annual ESG work summaries. They also approved the 2024 special action plan on corporate

governance and ESG enhancement covering ESG strategy green and low-carbon environmental production supply chain ESG

management labor rights ESG digital management as well as sustainable corporate culture development.12 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 13

ESG Strategic Planning Stakeholders Engagement

The Company has developed its distinctive ESG strategic plan aiming to advance ESG initiatives guided by strategies and scientifically Bloomage Biotech highly values the expectations and demands of all stakeholders and is devoted to establishing a normalized stakeholder

promoting ESG tasks thus enhancing resilience of corporate operation and capabilities adapting to the future development. engagement mechanism. We actively listen to and solicit opinions and suggestions from all stakeholders including regulatory agencies

shareholders employees clients partners and communities through various channels such as reports emails phone calls meetings

surveys forums and questionnaires. These ongoing dialogues aim to deepen internal and external stakeholders' understanding and

recognition of Bloomage Biotech. Meanwhile we incorporate stakeholders' expectations and concerns into our operations and decision-

In the realm of operation sustainability we aim to continuously promoting corporate making publicly disclosing them in our annual reports to continually enhance stakeholders' recognition and confidence in the Company.governance and ESG risk management. We strive to identify assess and address key risks Moreover we prioritize addressing the concerns of regulatory agencies customers capital markets and other stakeholders regarding our

while consistently fostering a healthy transparent and equitable corporate governance ESG management practices. While ensuring compliance with ESG information disclosure we establish connections with major domestic

framework to underpin the Company's enduring stability and operations and international ESG rating agencies and respond to their assessments. During the reporting period the Company's performance in MSCI

Carbon Disclosure Project (CDP) EcoVadis and other ratings has improved.During the reporting period the Company established a standardized audit mechanism for factory ESG audits to efficiently address client

demands for factory ESG audits and implement corrective actions for all identified problems. Furthermore we engaged internationally

renowned audit firms to conduct Sedex Members Ethical Trade Audit (SMETA) audits on our factories in Jinan Dongying and Tianjin. Based

on the SMETA audit reports we proactively communicated with clients to reduce ESG risks in supply chain and continuous improve our ESG

Corporate ESG Risk management practices.Governance Management

Bloomage Biotech Stakeholder Engagement Mechanism

Sustainable

Stakeholder Expectations and Demands Engagement and Response

Operations

Compliant operations Tax compliance Supervision and inspection Daily management

Government and

Economic development Anti-corruption Meetings and exchanges Public consultation

Regulatory Agencies

Product responsibility

Corporate governance Risk management Shareholders' meetings Investor exchanges

Shareholders and Shareholder rights ESG performance Information disclosure Field investigations

Employee

R&D Innovation ESG Investors Information transparency Business ethics Roadshow activities Conference callsRights

Strategy Email and online engagement platforms

Employee rights protection Employee forums Labor union

Employee compensation and benefits Performance evaluations Employee training

Employees

Sustainable Sustainable Employee training and development Employee satisfaction surveys

Employee safety and health

Products Society

Product responsibility High-quality service Client satisfaction surveys Client follow-up

Clients and

Product accessibility Product affordability Social media platforms

Consumers

Client privacy protection Client service hotline

Reducing Social Impact

Sustainable purchasing Green products Supplier assessments

Environmental and Public

Suppliers and Product responsibility Anti-corruption Strategic cooperation

Impact Welfare

Partners Intellectual property protection Supplier meetings and exchanges

Honorable fulfillment of contracts Supplier training

Public welfare and charity Rural revitalization Public welfare activities Community events

In terms of sustainable product development we Regarding social sustainabil ity we priorit ize Community Environmental protection Media communication Public consultations

firmly believe that research and innovation are key safeguarding employee rights and creating a Community development

drivers to our sustainable development. We will diverse inclusive and fair work environment.Industry Associations Scientific and technological innovation Industry exchanges Field visits

continue to invest in R&D to develop more efficient and M o r e o v e r w e r e m a i n d e d i c a t e d t o a c t i v e l y

and Chambers of Industry development Formulation of industry standards

environmentally friendly technologies and products. participating in social empowerment and public

Commerce Product responsibility

Additionally we are committed to reducing the welfare activities leveraging our technology and

environmental impact of our products by optimizing resources to create greater value for society Product responsibility ESG performance Press conferences Field interviews

processes such as purchasing and production Employee rights protection Social media platforms

Media

and reduce waste emission as well as energy and Business performance Public opinion monitoring

resource consumption so as to achieve sustainability Response to climate change

throughout the product lifecycle

Scientific research innovation Education assistance Academic research

Universities and

Talent development Technology cooperation

Research Institutes

University-enterprise cooperation14 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 15

Case: Bloomage Biotech participates in UN SDG Summit Official Side Event and signs initiative ESG Materiality Assessment

Bloomage Biotech has established a systematic process for screening researching and analyzing ESG material topics helping the Company

In September 2023 Bloomage Biotech was invited to participate in the side event of the 2023 SDG Summit held in New York under the theme to understand the concerns of various stakeholders on ESG material topics and provides a reference for future ESG management.of Innovation for Industrial Sustainability. During the event Bloomage Biotech signed the "Business in Action-Consensus on Sustainable In 2023 with the assistance of external professional teams Bloomage Biotech conducted an assessment on material topics in three steps

Industrial Development" initiative initiated by the Sustainable China Industry Development Action. This initiative aims to foster consensus which are as follows:

and commitments among businesses and industries regarding sustainable industrial development focusing on areas such as sustainable

consumption and production patterns efficient utilization and sustainable management of natural resources technological innovation Taking into account international standards and disclosure frameworks capital market rating indicators peer

Identification of

inclusive development and sustainable international cooperation. Ms. Zhao Yan Chairwoman of Bloomage Biotech emphasized on the event performance national policies and Bloomage Biotech's business development 29 sustainable development topics

Material Topics

that corporate development must align with the requirement of sustainable development. She stated "All corporate endeavors must adhere to closely related to the Company's operations were identified which formed a repository for material topics

the principles of sustainable development to effectively promote beauty and value enhance quality of life and extend lifespan." Stakeholders both within and outside the Company were invited to assess the materiality through online

questionnaires. The questionnaire survey covered 11 categories of stakeholders including company management

Research of

employees government or regulatory agencies shareholders or investors clients or consumers suppliers

Material Topics

or partners universities or research institutions industry associations or chambers of commerce non-profit

organizations the public and sustainable development industry experts

Material topics ranking：Survey data was handled and analyzed to quantitatively evaluate rankings based on two

Analysis of dimensions: "materiality to the Company's sustainable development" and "materiality to stakeholders"

Material Topics Material topics review：External experts provided suggestions for major material topics and rankings which were then

reviewed by the Company's management

Applying the double materiality principle Bloomage Biotech assessed dozens of ESG material topics resulting in the formation of a material topics matrix

and list with 30 major material topics identified determining the focus of this report. Bloomage Biotech's 2023 ESG material topics list is as follows:

Environment Social Governance

Environmental Management Research and Innovation Product Quality Corporate Governance

Pollutant Management Chemicals Safety Management Compliant Operations

Material Issues with Waste Management Information Security Risk Management

High Importance Energy Management Employee Rights Business Ethics

Water Resource Management Employee Training and Development Intellectual Property Protection

Material Management Occupational Health and Safety

Product Environmental Impact Health Accessibility Client Service Sustainable Development

Material Issues with Environmental Permits and Responsible Marketing Management

Medium Importance Certifications Supplier Management

Response to Climate Change Industry Collaboration and Development

Material Issues with Biodiversity Research Ethics

The chairwomen of Bloomage Biotech Ms. Zhao Yan attended the SDG Summit Side Event Low Importance Social Welfare and Community Relations

Case: Bloomage Biotech hosts China (Jinan) Hyaluronic Acid Industry Conference (HAIC) Major Accolades in the ESG Domain

Award or Honor Organizer/Awarding Instituion

In June 2023 Bloomage Biotech hosted the China

(Jinan) Hyaluronic Acid Industry Conference in 2023 United Nations SDG Summit Side Event Outstanding Corporate Practice Case the United Nations

Jinan Shandong Province. Themed "Technology 2023 Best ESG Practice Case for Listed Companies China Association for Public Companies

Builds the Foundation Innovation Lead the Way" China Association of Fragrance Flavour

the conference featured a wide range of activities Distinguished ESG Practice in the Flavor Fragrance and Cosmetics Industry and Cosmetic Industries

including thematic forums specialized forums

Social Responsibility Award of 2023 CNR News

strategic signings and project unveilings bringing

together experts from diverse industries academic Global Trend Practice 2023-Outstanding ESG Development Practice Case of the Year Huanqiu.com

scholars investment leaders government and The 10th China Financial V Forum-Outstanding ESG Contribution Enterprise Economic View

corporate representatives high-tech enterprises

The 3rd Golden Cane Awards-Outstanding ESG Enterprise in China Comprehensive Health of 2023 China Times

and experienced media professionals. Discussions

at the conference revolved around academic 2023 ESG Star Green Company Pioneer of Dual Carbon in Beautiful China 2023 tzsbw.com.cn

and industrial issues related to hyaluronic acid 2023 Sustainability Green Award of Caijing Award Caijing.com.cn

aiming to envision the future of high-quality

2023 Boao Forum for Entrepreneurs-2023 Outstanding Corporate Social Responsibility Practice Case Hexun.com

development in the hyaluronic acid industry

The 2nd China Businesses Social Responsibility Forum Outstanding Social Responsibility Organizing Committee of China

through multidimensional interdisciplinary and

Practice Case Businesses Social Responsibility Forum

cross-category perspectives. Bloomage Biotech hosted the China (Jinan) Hyaluronic Acid Industry Conference16 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 17

Board of Directors

03 Bloomage Biotech rigorously adheres to pertinent laws and regulations as well as requirements of the exchanges such as the Company Law of the PRC the Securities Law of the PRC the Code of Corporate Governance for Listed Companies and the Rules Governing the Science and Technology Innovation Board Stock Listing Rules of the Shanghai Stock Exchange . The Company continually refines its corporate legal person management system strengthens internal control systems and establishes a robust and efficient corporate governance structure comprising the shareholders' meeting the Board of directors and its subcommittees management and operational executives. This

governance framework ensures clear delineation coordination and checks and balances among the power decision-making supervision

Compliance Governance: and execution bodies providing robust protection for the Company's stable development and safeguarding the legitimate rights and interests of the Company and shareholders.Enhancing Development Shareholders' Meeting

Capacity Supervisory Board

Board of Directors

Robust compliance governance forms the bedrock of corporate advancement. Bloomage Biotech steadfastly upholds

legal compliance as the prerequisite for all operational endeavors. Through continuously reinforcing corporate governance

fundamentals bolstering risk management frameworks and nurturing a culture of integrity the Company comprehensively

elevates its long-term competitiveness productivity and operational resilience. Nomination Remuneration and

Audit Committee Strategy Committee ESG Committee

Committee Assessment Committee

Major Material Topics of Sustainability Covered in this Chapter:

Bloomage Biotech's management centers operation and management departments of business lines

Corporate Governance Compliance Operations opeeration and management centers of platforms

Risk Management Business Ethics

Bloomage Biotech corporate governance structure

Responsiible Marketing

The Company strictly follows procedures outlined in the Articles of Association for the election of directors. Embracing a diversity

policy that includes but is not limited to considerations such as gender age cultural and educational backgrounds expertise

SDGs Addressed in this Chapter: skills knowledge and past achievements ensures diversity comprehensiveness and professionalism in member composition and

viewpoints. We continuously monitor the proportion of female directors and independent directors in the Board. Moreover the nomination

and appointment of board members are based on the skills and experience required for the overall operation of the Board to ensure that

board members possess the necessary knowledge and professional experience to carry out their duties. Independent directors are

appointed by relevant laws regulations and regulatory requirements and independent director remuneration is also issued based on

standards approved by the shareholders' meeting. Additionally the directors of the Company have backgrounds skills and international

perspectives in biomedicine skincare products risk management finance and accounting law and sustainable development enabling

them to make positive contributions to comprehensive decision-making for the Company.The Company actively provides continuous training to all board members on topics such as integrity in practice normative operations and

information disclosure to ensure that corporate governance is conducted in compliance and orderliness.Bloomage Biotech Board composition and governance overview：

9333.3%66.7%

Number of directors Number of female directors Proportion of female directors Proportion of independent

in the Board in the Board in the Board directors in the ESG Committee18 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 19

Compliance Management Bloomage Biotech continues to strengthen its compliance system to improve the standardization level of compliance management and we

formulated and implemented the following major management regulations:

Bloomage Biotech has established a robust compliance management system constructing a comprehensive organizational structure and

operating mechanism for compliance management. Simultaneously the Company instils the concept of "compliance with laws and integrity" Compliance Management System

among all employees conducts continuous compliance advocacy and cultural development activities and follows rigorous and pragmatic tax

Compliance (Anti-Bribery) Management Measures Regulations on Compliance Consultation and Reporting

management principles to pay taxes in accordance with the law thereby building a solid foundation for the Company's stable operation.Business Partner Compliance Management Measures Implementation Methods on the Compliance Review

Compliance Management System Due Diligence Management Regulations Legal Affairs Management Regulations

Management Measures on Compliance Performance Information Collection

Bloomage Biotech complies with laws and regulations such as the Company Law of the People's Republic of China and the Anti-Unfair Management Measures on Non-Compliance Corrective and Preventive Action

Competition Law of the People's Republic of China . In accordance with the requirements of ISO 37301 Compliance Management System Management Measures for Compliance Reporting Investigation and Handling

Standard we have revised and issued twelve compliance management policies for the current year including the Compliance (Anti-Bribery) Employee Compliance and Anti-Bribery Handbook nonconformance and corrective and preventive action

Management Measures . These policies cover not only all employees and external business partners but also various aspects of compliance Management Measures on Compliance Obligations Identification and Risk Assessment

management. From due diligence investigations and compliance consultations in the early stage to compliance obligation identification

risk assessment performance management in the middle stage and compliance review non-conformity and corrective and preventive

measures in the later stage the Company has formulated specific management measures to ensure that the entire process of compliance Business Ethics

management is standardized and systematic following regulations and instructions.Bloomage Biotech Anti-Corruption and Anti-Fraud Regulations Professional Code of Ethics and Conduct

The Company has meticulously outlined a comprehensive array of procedures for compliance management encompassing policies Regulations on Sales Personnel and Sales Behavior Management Guidelines for Anti-Commercial Bribery Compliance

organizational structures compliance controls and operational mechanisms performance evaluations cultural development as well as

compliance internal auditing and improvement processes. Through the establishment of a robust compliance management system we have

obtained ISO 37301 external certification for the compliance management system effectively bolstering our resilience against compliance risks. Responsible Marketing and Purchasing

The Company has built a top-down three-tier compliance management structure with the compliance department (Legal Affairs Center)

Purchasing Management Regulations Compliance Guidelines for Live Streaming Promotion

responsible for overall coordination planning and implementation of compliance management tasks. In addition we have included the

Regulations for Reviews on External Promotional Copywriting Bloomage Biotech Code of Conduct for Advertising Release

Company's compliance system and major compliance risk prevention and control within the scope of audit supervision in order to continuously

Sensitive Term Base for Cosmetics and Daily Chemical Products (2022 Edition)

improve the existing compliance management system.Compliance Culture Development

Bloomage Biotech places a strong emphasis on fostering and promoting a culture of compliance operations advocating the principles of

Board of Directors

"Compliance with law and integrity" as the cornerstone for the Company's sustainable growth. This ethos has shaped Bloomage Biotech's

compliance policy which is disseminated to all employees through the signing of compliance commitments comprehensive compliance

training programs and compliance performance evaluations.In terms of compliance training Bloomage Biotech integrates compliance topics into its employee training regimen. Following the guidelines

outlined in the Training Management Regulations the Company devises an annual compliance training plan and hosts training sessions to

ensure that employees are well-versed in compliance protocols and abreast of the latest changes of laws and regulations. The effectiveness

of these training initiatives is also assessed through examinations. Personnel in key positions including leaders purchasing managers and

finance and sales personnel are required to complete the training and learning of Employee Compliance Handbook within 30 days of joining the Company.Regarding compliance performance assessment Bloomage Biotech has established the Management Measures on Compliance

Executive Management Performance Information Collection and Management Measures on Examination Evaluation . These frameworks incorporate reward and

penalty mechanisms and implement results throughout various business departments and to employees themselves and third-party

personnel fostering a culture of compliance and reinforcing the Company's commitment to ethical conduct.Legal Affairs Center 100 % 6 sessions 100 %（compliance department） The employees sign rate of the Cover the Bloomage Biotech to conduct the Key positions personnel compliance training

Compliance Commitment number of special compliance training coverage rate

Tax Compliance Management

Various Business Departments

Bloomage Biotech diligently fulfills fundamental obligations to pay taxes in accordance with laws. The Company establishes and regularly updates

tax-related management systems including tax internal control manuals and invoice compliance guidelines. We systematically monitor the

implementation of tax policies on a regular basis and conscientiously fulfill our social responsibility to pay tax.Audit and Inspection Center

In the realm of tax risk mitigation the Company diligently monitors and identifies potential tax risks as part of its standard operating procedures. This

（Compliance Supervision Department）

entails employing a multi-tiered review process for tax declarations actively engaging with external entities for tax inspections regularly analyzing

the latest tax policies and maintaining open channels of communication with external stakeholders. These proactive measures are designed to

fortify the Company against tax-related risks and bolster the predictability of tax management outcomes. For further insights into the Company's tax

Bloomage Biotech Compliance Management Structure management practices please refer to the Bloomage Biotech 2023 Annual Report.20 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 21

Internal Control and Risk Management Risk Identification and Response

At Bloomage Biotech we prioritize the establishment of robust systems for internal control and risk management integrating them throughout Confronting the persistent operational risks in the business landscape Bloomage Biotech is committed not

our operational framework. Regular internal audits and inspections are conducted to ensure their effectiveness with ongoing enhancements only to refining its internal risk management protocols and organizational frameworks but also to implementing

made to our internal control systems. This proactive approach aims to effectively manage and mitigate risks thus ensuring the steady comprehensive measures across all business departments. These efforts encompass risk prevention and 4

advancement of our Company's development. control ongoing scrutiny for hidden risks and effective management of operations on a regular basis. Number of risk

issues identified

We classify risks into five major categories: strategic risks financial risks market risks operational risks

Internal Control

and legal compliance risks. Additionally we break down these risks into 26 specific dimensions based on

Adhering strictly to the laws and regulations including the Company Law of the People's Republic of China Bloomage Biotech conducts timely their sources covering corporate governance risks environmental risks security risks human resources

assessments updates and improvements to its internal control system guided by the Basic Norms for Internal Control of Enterprises . risks and product quality and measurement risks so as to establish our risk classification framework. In 2023 0

Our internal control mechanisms cover critical aspects of operational management with emphasis on high-risk areas such as sales receivables Bloomage Biotech conducted risk identification activities and updated the Risk Identification Checklist based on

Number of significant risks

purchasing payments production warehousing quality control financial management asset management and contract management processes. this risk classification framework covering the 5 major risk types and 26 risk dimensions mentioned above.detected during audits

During the reporting period we collaborated with renowned external consulting firms to conduct comprehensive business operation diagnostics and The Company has also developed the Risk Management Matrix which amalgamates industry and market

process reforms across the Company so as to bolster the refinement of internal control systems and enhance their effectiveness. insights while giving due consideration to both internal and external factors that impact the achievement

During the reporting period external auditors were engaged to conduct annual audits of internal controls affirming the soundness reasonableness of the Company's strategic goals. These factors encompass historical data future projections operational

and effectiveness of our internal control construction. No significant defects affecting the Company's business development were identified. For more workflows and product lifecycle management. The matrix is designed to meticulously monitor risks and 100 %

details on internal control and internal control audits please refer to the Bloomage Biotech 2023 Annual Report or our Company announcements. their implications across all departments delineating specifics such as risk types descriptions severity Risk management initiatives

levels pivotal control points accountable departments regulatory frameworks and management tools involved of the business

Risk Management facilitating an efficient response to all kinds of risks.Bloomage Biotech ceaselessly enhances its risk management framework through the establishment of the Risk Management Regulations Internal Audit and Supervision

which delineates objectives principles organizational structures management processes supervision and improvement mechanisms

cultural development initiatives and assessment protocols for risk management. Following the PDCA cycle this ensures a closed-loop Complying with the laws and regulations including the Audit Law of the People's Republic of China Bloomage Biotech has established and

approach to risk management driving systematic risk mitigation efforts. implemented regulations such as the Internal Audit Charter Internal Audit Management System and Post-audit Follow-up Management

System clearly defining the conduct scope of work and workflow requirements for internal auditors. The Company also regularly organizes

Risk Management System

revisions and updates to these regulations to continuously enhance audit efficiency and quality thereby strengthening compliance risk

Regarding the organizational structure for risk management management.the Company has established a four-tiered framework

Considering strategic objectives development plans significant business decisions and the risk status of each department the

comprising the Board of Directors the Executive Management Board of Directors Company has assembled a team of professional auditors to form an internal audit task force. This team formulates an annual internal

the Risk Responsibility Departments (across various business

audit plan and carries out internal audits focusing on the effectiveness of internal controls and risk management the authenticity and

departments) and the Risk Management Department. This Audit Committee

integrity of financial information as well as the efficiency and effectiveness of operational activities. In the event of internal control

structured hierarchy ensures comprehensive management

deficiencies identified during audits the Company promptly implements corrective actions and conducts subsequent reviews to ensure

and leadership of internal risk governance from top to bottom. Executive Management

the thorough implementation of these corrections.Specifically the Board of Directors serving as the highest

decision-making body in risk management holds accountability In 2023 the Company conducted internal specific audits in phases covering core

for ensuring the effectiveness of risk management endeavors. management areas such as purchasing production sales research and development

Functional Department of 7"Three-line investment and performance. Special attention was paid to supervising and evaluating

Our risk management efforts are bolstered by an internal

Risk Management business processes information systems and risk controls at key points. The results of Number of Bloomage Biotech to of Defense"

control "three-line of defense" model. All business units (Risk

Model of internal audits were reported to the Board of Directors.conducted internal audit projects

Responsibility Departments) constitute the first line of defense Risk Responsibility Bloomage

managing and controlling business risks within their purview. Departments Biotech's

The Risk Management Department serves as the second line

Risk

of defense overseeing overall risk management throughout Audit and Inspection

Management

the Company and conducting daily supervision and follow-up Center

on improvements. The Audit and Inspection Center acts as the

third line of defense responsible for reviewing and evaluating

the Company's risk management practices and supervising risk

Bloomage Biotech Risk Management Strucutre and Supervision Mechanisms

management efforts.In terms of the risk management process the Company carries out activities such as risk collection identification assessment response

monitoring and early warning based on our business management and operational practices. We've established a regular mechanism for

reporting major risks and emergency situations.With regard to the culture development of risk management we are dedicated to fostering a positive value of risk and management awareness

not only providing training for directors supervisors and senior management but also organizing courses and practical projects for managers

and business operators at all levels so as to enhance the quality of risk management talents and improve their capabilities in risk management.Furthermore we've integrated risk management into our target management and annual performance evaluation system. We're also

promoting the informatization of risk management gradually establishing a risk management information system covering risk information

collection assessment analysis monitoring and early warning response and disposal to promote the establishment of a systematic

standardized and efficient risk management system for the Company.22 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 23

Business Ethics Regarding confidentiality Bloomage Biotech requires employees not to disclose or use proprietary confidential or commercially sensitive

information or materials encountered for any reason or purpose during their employment with the Company. Employees are required to

At Bloomage Biotech the management of business ethics stands as the top priority of corporate governance. We remain steadfast in our sign a Confidentiality Agreement upon signing the labour contract and core positions are also required to sign a Non-Compete Agreement

adherence to legal statutes and regulatory mandates while continuously refining internal control mechanisms across all business processes. as required by the Company. Moreover personal information is considered confidential material by the Company and employees should

By establishing robust auditing mechanism we ensure rigorous supervision of business ethical affairs such as integrity in professional maintain the confidentiality of such information.conduct anti-corruption measures reporting and whistleblowing and responsible marketing practices effectively preventing instances of Any behaviour that violates relevant professional ethics regulations once discovered by the Company will be subject to verbal warnings

improper behaviours regulatory breaches and fraudulent activities. written warnings contract termination or other corresponding penalties.

2 2 Summary of the Manager's Red Line Behavior - 12 Articles

To strengthen the supervision of core managers and better promote the Company's compliance management system creating a

Number of Bloomage Biotech to conduct corruption risk Number of Bloomage Biotech to conduct

transparent efficient and collaborative working environment Bloomage Biotech has formulated the Manager's Red Line Behavior - 12

assessments and due diligence investigations business ethics standards audits

Articles clearly defining the red line behaviours of company management. This document is issued for implementation by the chairwoman

of the board and is publicly disclosed to all employees along with reporting channels to earnestly accept supervision from all parties.Professional Ethics

1. Falsification 7. Doing business with relatives that harms company interests

At Bloomage Biotech we uphold the ethos of honesty management demanding that all employees 2. Misappropriation of company property 8. Unauthorized part-time work for remuneration

conduct themselves with integrity and honesty strictly prohibiting falsehoods fraud or unlawful activities. 3. Misappropriation of public funds private borrowing of 9. Spreading illegal or reputation-damaging remarks that affect the

To this end we have established documents such as the Professional Code of Ethics and Conduct and Integrity funds or unauthorized guarantees Company's reputation brand image or organizational unity

the Employee Handbook outlining fundamental behavioural guidelines that employees should abide 4. Unauthorized loans or credit sales 10. Soliciting benefits from partners customers subordinates or

by responsibilities to the Company clients and the market as well as confidentiality requirements. All Compliance with laws 5. Speculative use of enterprise funds affiliated companies

employees are required to sign a confirmation form acknowledging their adherence to the Professional and company regulations 6. Disclosure of company trade secrets 11. Provocation or causing troubles

Code of Ethics and Conduct . Moreover we provide periodic professional ethics training for both new 12. Dereliction of duty or gross negligence

and existing employees and make a series of relevant management policy documents publicly available

on the Company's internal communication platform and office systems ensuring accessibility to all Avoidance of conflicts of Anti-Bribery Management

employees. Additionally in 2023 we revised and updated the Employee Compliance and Anti-Bribery interest

Anti-bribery stands as a crucial focus within Bloomage Biotech's business ethics management.Manual further guiding employees on compliance standards during recruitment employment and

The Company strictly abides by national laws policies and regulations such as the Anti-Unfair

departure ensuring integrity and probity in all interactions with internal and external stakeholders.Competition Law of the People's Republic of China and the Interim Provisions on Banning 2

Bloomage Biotech highly regards integrity compliance with laws and company regulations and the avoidance of conflicts of interest as the Commercial Bribery instituting anti-corruption regulations including the Bloomage Biotech Anti- Sessions of Bloomage Biotech to

unwavering foundation of professional ethics. Employees are expected to uphold the core values of integrity in all business activities comply Corruption and Anti-Fraud Regulations and the Guidelines for Anti-Commercial Bribery Compliance . conduct specialized anti-bribery

with laws social norms and professional ethics and refrain from engaging in any behavior that may compromise the objectivity of their duties These regulations are communicated and interpreted across the Company and subjected to training training

due to personal activities or interests. sessions organized for management and relevant departments to ensure effective implementation.Bloomage Biotech stipulates the following responsibilities of all employees to the Company clients and the market: Bloomage Biotech has established a corporate ethics governance system comprising the Board

of Directors Audit Committee and relevant departments. The Legal Affairs Center Audit and 100 %

Responsibilities to the Company Responsibilities to clients Responsibilities to the market Supervision Center and Risk Management Department oversee the effective implementation and Key positions personnel specialized

monitoring of relevant policies from the perspectives of compliance management internal control anti-bribery training coverage rate

Respect for every employee; prohibit Keep confidentiality of all client information; F a i r l y t r a d e w i t h t h e C o m p a n y ' s and risk management and they directly report to the board of directors. The Company has initiated

using one's position for personal gain prohibit unauthorized disclosure; timely customers suppliers and competitors; the ISO 37001 Anti-Bribery Management System Standard introduction project building its anti-

accepting unreasonable hospitality notify potential conflicts of interest to prohibit manipulation concealment bribery management system through policy revisions procedural improvements training initiatives

from suppliers or making payments to relevant parties; carefully select business damage defamation abuse of proprietary 1and operational implementations. Consequently we have also obtained ISO 37001 external

achieve sales purchases or special partners and clients i n f o r m a t i o n o r f a l s e r e p o r t i n g o f Session of the board of directors certification for the Anti-Bribery Management System.favours; prohibit using company assets significant facts; prohibit providing illegal participated in anti-corruption

Identified risk areas such as daily operations sales business and client interactions are scrutinized

for activities unrelated to work; adhere improper or suspicious payments or (integrity in employment) training

and activities prohibited or permitted are summarized for each risk area thus preventing abuses of

to safety and health-related rules and promises to others for undue benefits

power favouritism improper gain-seeking and any actions detrimental to the Company's interests.policies to maintain workplace safety

During the reporting period Bloomage Biotech conducted a new round of internal audits including 33.3 %

anti-bribery anti-fraud and anti-corruption issues across key areas like sales and purchasing in its

domestic subsidiaries. No instances of bribery corruption or related illegalities were detected within Percentage of directors attended the Summary of Professional Code of Ethics and Conduct

Bloomage Biotech during the reporting period. anti-corruption training

Bloomage Biotech is committed to honest and ethical business practices whether in external interactions or within the Company. All

In the culture development of integrity the Company strives to foster a working atmosphere of integrity and honesty. We regularly provide anti-

employees must adhere to the letter and spirit of the law treating clients suppliers and colleagues with honesty and respect.corruption and anti-bribery training to board members and all employees with specialized training for high-risk positions like marketing. In

Adherence to these regulations is a prerequisite for employees to receive bonuses and for suppliers to continue cooperation with the 2023 themed articles on "How to Prevent Economic Crimes" were published in our internal publication elucidating definitions citing examples

Company. Consistent and fair code of conduct provides employees with ample opportunities for improvement. interpreting legal regulations and explaining company policies thus educating all staff on the definitions types and consequences of such

Employees found to violate the Professional Code of Ethics and Conduct will face corresponding penalties upon confirmation by the crimes raising legal awareness and staying away from crimes.Company. The Company reserves the right to reduce or cancel any bonuses or promotions that should be paid and severe cases may Furthermore Bloomage Biotech is willing to collaborate with all stakeholders to create a fair and upright business ecosystem. We require all

result in the termination of the labour contract. Suppliers found to violate the Code will have their business relationship with the Company parties involved in business with Bloomage Biotech (including suppliers clients etc.) to adhere to our anti-corruption regulations and have

terminated. established clauses for integrity and self-discipline in various purchasing contracts or appendices to the Anti-Commercial Bribery Agreement .During the reporting period the signing rate for the Anti-Commercial Bribery Agreement among suppliers was 94%.24 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 25

Whistle-blowing Management Mechanism Responsible Marketing

Bloomage Biotech encourages employees clients suppliers and other stakeholders to jointly supervise and maintain integrity. The Company Bloomage Biotech rigorously complies with laws and regulations in terms of responsible marketing such as the Law of the People's Republic

has established a normalized reporting mechanism formulated and strictly followed the Management Measures for Compliance Reporting of China on the Protection of Consumer Rights and Interests Advertising Law of the People's Republic of China and Provisions for the Clear

Investigation and Handling and carried out reporting and investigation tasks. We comply with the principles of handling issues according Marking of Prices and the Prohibition of Price Fraud . The Company has devised policies like the Bloomage Biotech Code of Conduct for

to laws and regulations seeking truth from facts safeguarding the legitimate rights and interests of the parties involved handling issues Advertising Release Bloomage Biotech Code of Conduct for Advertising Release (Applicable to Cosmetics) Compliance Guidelines for Live

promptly and combining investigation handling and prevention when conducting compliance reporting management ensuring that reports Streaming Promotion Sensitive Term Base for Cosmetics and Daily Chemical Products to regulate marketing and communication practices.are handled objectively independently and safely. Tailored compliance procedures have been established for different product categories and promotional channels with regular internal

training sessions organized. For instance within the functional food and health products business line Bloomage Biotech invited law firms to

We have established a wide range of complaint and reporting channels which are publicized to all employees distribution clients and

conduct specialized seminars on the theme of The Path to Food Compliance providing comprehensive explanations and discussions on food

suppliers. Whistleblowers can report violations through telephone internet written or face-to-face methods. A dedicated reporting email

safety-related laws and regulations regulatory systems and clauses of the advertising law to enhance employees' awareness of compliant

address is maintained by a specialist with single-line contact established with whistleblowers to ensure their protection and the confidentiality

marketing and understanding of relevant laws and regulations. All claims regarding product efficacy must be based on results of external

of information. The Company uniformly accepts and categorizes all reported matters and clues and when necessary sets up investigation

authoritative testing and verification to ensure the compliant disclosure of authentic product information. During the reporting period no

teams to conduct investigations and gather evidence. For cases confirmed to involve violations of the company's compliance management

violations of marketing communications occurred nor were there any lawsuits related to false marketing claims that resulted in financial losses.system the Company will impose penalties in accordance with relevant regulations; for suspected criminal behaviours the Company will refer

them to judicial authorities according to relevant procedures to pursue their responsibilities. If the reported matters are confirmed to be true The Company places great emphasis on the timely disclosure of product ingredients. In addition to complying with laws and regulations

and result in the recovery or reduction of losses for the Company the whistleblowers may be rewarded materially or spiritually under relevant regarding product ingredient labelling Bloomage Biotech enhances product information transparency by clearly stating product ingredients

reward systems as appropriate. in promotional materials and publicly disclosing product information across multiple platforms thereby inviting scrutiny from a wide range of

customers and consumers.Online platform stores and e-commerce livestreams serve as the primary sales channels for Bloomage Biotech's functional skincare and food

products. To raise employees' awareness of responsible marketing and ensure compliance during the sales process the Company conducts

Collecting Classifying Analyze and sort compliance promotion training for key marketing position employees summarizing and sharing regulatory and policy consultations related to

whistle-blowing information reporting records out information compliant product promotion promptly. External experts are occasionally invited to conduct compliance promotion training for sales personnel.Furthermore the Company regularly reviews prohibited marketing keywords and other online sales risks reinforcing the compliance and

operational capabilities of relevant personnel through post-event analysis and internal training so as to avoid providing consumers with

negative experiences due to violation.Bloomage Biotech responsible marketing training overview

Indicator Unit 2023

Number of Participants - 8585

Cumulative Training Duration Hours 2714

Establish an

File a record Reporting Process Flowchart The Company respects and complies with management requirements from platforms such as Tmall TikTok and JD.com by providing high-

investigation team

quality products efficient logistics and high-standard customer service earnestly maintaining the reputation and image of our online stores.The company sets limits on online store purchases to prevent scenarios like click farming and distributor restocking ensuring the authenticity

and effectiveness of store performance. During the reporting period all brands under Bloomage Biotech maintained high DSR1 scores on

major mainstream online platforms without serious violations.In terms of external collaborations for sales the Company includes marketing risk clauses in marketing promotion contracts which require

cooperation agencies and influencers to sign the Commitment Letter for marketing compliance strictly adhering to all applicable laws

regulations company policies and promotion platform regulations related to internet promotion activities.Reconsider respond DSR scores of Bloomage Biotech's online storesParties appeal

and handle Handle the investigation result DSR Scores on Online Platforms（if there is any objection） Brand

TikTok 2 Tmall 3 JD.com 4

BIOHYALUX 5 4.9 4.8

QuadHA 5 4.9 -

Whistleblowers have the right to know the progress of the investigation into the issues they reported and may request relevant personnel MedRepair 5 4.8 4.6

to recuse themselves. The department receiving the report and the investigating personnel must strictly keep confidential the personal Bio-MESO 5 4.8 4.6

information of the whistleblowers and the reported information regulate the transmission of report materials strictly control the number of Bloomage Biotech Skincare Flagship Store 5 - -

people who know properly keep the report materials and verify the situation without exposing the identity of the whistleblower. The Company ("-": Indicates that no store is set up on that platform)

will strictly hold accountable any individuals who violate the provisions related to the protection of whistleblowers and effectively safeguard their

rights and interests. 1 DSR score is the detailed evaluation score given by buyers on e-commerce platforms to sellers reflecting the performance of sellers in aspects such as product

description logistics service communication and transaction experience.

2 The comprehensive experience score of stores on TikTok is on a 5-point scale with a minimum of 3 points calculated by weighting the scores of product

Reporting Channels:

experience logistics experience and service experience of the seller in the last 90 days.

3 Tmall store ratings are on a 5-point scale including description matching service attitude and logistics service with data here representing the average of the three

Email: jubao@bloomagebiotech.com

ratings over the past six months.Phone: 010-85670099-1503 4 Ratings of store on JD.com mainly consist of user evaluation customer service consultation logistics performance after-sales service and transaction dispute

resolution with data here representing the average of the five ratings.26 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 27

Cybersecurity and Privacy The Company conducts regular internal and external information security risk assessments each year evaluating the security levels of

the anti-counterfeiting tracing system and portal website and completing records. We comprehensively identify and analyze risks and

Information technology and digitization serve as pivotal foundations for the stable and efficient advancement of modern enterprises. As the vulnerabilities across various aspects such as company network infrastructure data storage transmission and processing access control

depth of digital transformation intensifies Bloomage Biotech keenly acknowledges the core value of cybersecurity and privacy protection and physical environment of devices. Based on assessment results corresponding plans and corrective measures are established to

for corporate growth in today's digital landscape. The Company is dedicated to navigating the challenges and opportunities presented by continuously refine the data security risk prevention system.cybersecurity and privacy protection by leveraging innovative management practices and the application of cutting-edge technologies. Each year necessary information security training and awareness promotion campaigns are conducted for company employees relevant

contractors and other external personnel to continuously bolster the information security awareness of all staff. Simultaneously employees

Cybersecurity and Privacy Management System engaged in information security positions are encouraged and supported to continuously enhance their professional skills and actively pursue

professional qualification certification for information security. Presently members of the Company's information security team have obtained

Complying with relevant laws and regulations such as the Cybersecurity Law of the People's Republic of China Data Security Law of the

the national certification of Certified Information Security Professional (CISP).People's Republic of China and Personal Information Protection Law of the People's Republic of China and drawing from the ISO/IEC

27001 Information Security Management Standard Bloomage Biotech has established a robust information security management system Investor Rights Protection

encompassing organization management technology training and supervision. This system articulates clear policies for cybersecurity and

privacy protection which are implemented across the spectrum of production testing operation and marketing. In addition the Information Bloomage Biotech prioritizes investor relations strictly adhering to laws and regulations such as the Measures for the Administration of

Security Management Committee oversees and coordinates the Company's efforts in this regard with dedicated departments entrusted to Information Disclosure by Listed Companies issued by regulatory authorities. The Company has established robust systems including the

execute information security protection strategies and procedures. During the reporting period the Company once again achieved ISO 27001 Information Disclosure Management System and the Investor Relations Management System consistently implementing them to enhance the

certification for information security management systems. Additionally in 2023 two systems namely the anti-counterfeiting tracing system quality of information disclosure and safeguard the interests of investors and other stakeholders.and the raw material portal website system obtained Level 2 Certification for National Information Security.The Company is committed to upholding the core principles of information disclosure ensuring that all disclosures are truthful accurate

In 2023 the Company updated and issued several regulations related to cybersecurity and privacy protection including the Bloomage Biotech comprehensive and easily understandable. This commitment ensures that investors have timely and equal access to information. In

Public Internet Access Management System for Information Systems Account Password and Authority Management System and Data addition we offer a variety of communication channels for investors and patiently address their inquiries thereby cultivating a reputation for

Backup and Recovery Management System building upon existing policies such as the Information Security Control Policy and Specifications responsibility and reliability. Moreover we actively foster communication with investors through diverse forms including organizing large-

on Vulnerability Handling Process . These regulations aim to standardize and fortify cybersecurity risk prevention and control account scale public exchanges participating in strategy meetings organized by securities firms hosting investor visits to our facilities for research

password and authority management as well as ensure the security and stability of information systems thereby enhancing the Company's purposes conducting conference calls utilizing the Shanghai Stock Exchange Interactive Platform holding roadshows and maintaining

proactive and reactive capabilities in addressing contingencies. regular contact with investors via email. These efforts aim to proactively disclose and update the Company's operational status to the capital

markets thereby strengthening our effective communication with investors. In 2023 the Company issued 81 announcements produced and

Data Security and Privacy Protection Measures disseminated the Company's 2022 performance interpretation videos and the long charts of 2022 performance through new media platforms

At the technological level Bloomage Biotech integrates a variety of mature information security technologies and products guided by the held 6 performance presentations received hundreds of investors and participated in more than 100 strategy sessions and roadshows

principle of defense in depth. This approach facilitates the implementation of security functions such as identity authentication access control organized by brokerage firms.data integrity and data confidentiality across multiple layers thus fostering an effective security technology protection framework. In 2023

the Company undertook various projects to enhance information and data security including bolstering access control for core applications

preventing data leakage from terminals managing off-site backups and establishing a self-inspection platform for vulnerability management. 81 6 A

These endeavors significantly elevated the security of critical applications to a higher echelon and further fortified the Company's information

Issued announcements Held earning briefings Achieved the highest rating of grade in the

security monitoring and protection capabilities across all business segments.annual information disclosure evaluation

The Bloomage Biotech official website serves as a vital platform for showcasing communicating and delivering services. Consequently conducted by the Shanghai Stock Exchange

the Company has crafted and issued a website privacy policy to transparently elucidate the policies and practices concerning the collection

processing and protection of personal information for users/visitors.Concerning the protection of user personal

i n f o r m a t i o n t h e C o m p a n y e m p l o y s

Inform risks in

encryption de-identification and other

advance

technologies to ensure its security utilizing

trusted protection mechanisms to thwart

malicious cyberattacks and deploying

strict access control mechanisms to avert

unauthorized access or use of personal Establish response Establish a

information. To facilitate users' exercise of procedures reporting process

their rights to access rectify delete etc. Data Security and

their personal information corresponding Privacy Protection

operational settings are provided on the Measures

website and related services. Moreover in

collaboration with third parties and business

partners the Company strictly adheres

to laws and regulations requiring third

parties to sign agreements and implement External security Assess risks

necessary security measures to handle assessment regularly

relevant user personal data in accordance

with privacy policy requirements.28 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 29

R&D Innovation

04 R&D innovation is at the core of enhancing corporate competitiveness. Bloomage Biotech emphasizes independent innovation capabilities to construct a distinctive research and development innovation platform. We coordinate innovative management structures and resource elements facilitating in-depth integration of industry academia and research for innovation. We explore sustainable management throughout the product lifecycle and composition actively leveraging our advantages in innovation platforms resource allocation talent aggregation and technological foundations focusing on core technology breakthroughs to promote high-quality development for the Company and the

industry.Technological Innovation Construction of R&D Innovation Platform

Bloomage Biotech continues to establish and refine a research and development innovation platform primarily composed of 1 national

to Enhance Product enterprise technology center 2 core research areas 6 high-end scientific research platforms and 8 research laboratory bases. We coordinate efforts to strengthen the aggregation capacity of innovative resources effectively enhancing the level of technology transfer and

industrialization. The Company focuses on the R&D innovation and production of 6 categories of biologically active substances related to

Efficacy human health including functional sugars proteins peptides amino acids nucleotides and natural active compounds covering the entire industry chain from cell construction to commercial applications. We adhere to a research and development strategy with a global multi-point

layout achieving global collaborative innovation to provide research support for the entire industry chain and long-term development.Research

Bloomage Biotech adheres to the logical progression of "science → technology → product → branding" in corporate development

with synthetic biology as a key direction. The Company persistently invests in both fundamental and applied research Laboratory Bases

complying with relevant laws regulations and regulatory requirements while integrating various resources. We continuously High-end Scientific

establish and improve our research and development innovation management system to create high-standard R&D Research Platforms 8

centers and pilot-scale transformation centers. Through technological innovation material expansion technology transfer Core Research

intellectual property protection and deep integration of industry academia and research our technological capabilities are

Areas 6 Jinan R&D Center

further improved. The Company is committed to strengthening the quality management of products and services managing National Enterprise Beiing R&D Center

customer needs and satisfaction and providing the market with fair accessible healthy and environmentally friendly

Technology Center Shanghai R&D Center

products and services that empower people with healthy beautiful and joyful life experiences through biotechnology. 2 Synthetic Biology R&D Platform

Wuxi R&D Center

Microbial Fermentation Platform

1 Key Laboratory of Regenerative Application Mechanism R&D Major Material Topics of Sustainability Covered in this Chapter: Basic Research Medicine Technology and Platform

Application Research Material Transformation in Hainan

Research and Innovatiion Product Environmental Impact Pilot-scale Testing Platform

Province

Crosslinking Technology Platform

Chemicals Safety Management Industry Collaboration and Development R&D Laboratory in France

Formula & Process R&D Platform

Research Ethics Product Quality R&D Laboratory in Japan

Health Accessibility Client Service R&D Laboratory in the US

Information Security Intellectual Property Protection

Bloomage Biotech R&D innovation platform

The Company continues to increase its investment in scientific research

SDGs Addressed in this Chapter: funds to strengthen R&D capabilities. During the reporting period the 4.46 7.35 %

total R&D investment amounted to 4.46 RMB 100 million representing

a year-on-year growth of 14.95%. The proportion of R&D investment to R&D expenses Proportion of R&D investment

total revenue accounts for approximately 7.35%. (RMB 100 million) to revenue

Additionally during the reporting period the Company has been awarded a series of awards and honors in technological R&D including the

"Annual Biotechnology Innovation Award" the "Innovation Award for National High-tech Zone Listed Company" and the "Top Ten Outstanding

Applications of Synthetic Biology" in China. Over the years the Company has also received other national and local awards in related to major

technological innovations (as shown in the table below).Major technological innovation awards received by Bloomage Biotech

Category Number of awards Fields

China patent award 2 Enzyme cutting technology cross-linking technology

Research and development of sodium hyaluronate and

National scientific and technological progress award 2

its pharmaceutical preparations

Fermentation technology enzyme cutting technology

Provincial scientific and technological progress award 4

cross-linking technology

Shandong provincial patent award 2 Enzyme cutting technology cross-linking technology30 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 31

R&D Innovation Management Structure and Systems Technology and Product Innovation

Bloomage Biotech strictly adheres to relevant laws regulations and regulatory requirements to ensure that the identification and R&D of

Bloomage Biotech has established an R&D Management Committee led by the Chairwoman with senior management and key technical

new materials and the design and production of new products meet human health and environmental standards. The Company is committed

managers involved in the comprehensive management of the Company's R&D system. Each center or studio is responsible for implementing

to developing and producing products with no by-products low or no toxicity minimal impurities low impurity content and high safety and

specific projects and related tasks. The Company emphasizes the integration of advantageous resources to enhance its core competitiveness

stability. Through measures like source substitution and process optimization the Company achieves energy saving pollution reduction and

in R&D.consumption reduction thereby reducing the negative impact of the product's entire lifecycle on the environment and biodiversity. If green processes

In line with the diversified market and the operation of the entire industry chain the Company adopts a business-oriented approach and have deficiencies in purity the Company will use low-toxicity organic reagents such as ethanol as much as possible in product development.establishes R&D studios in different directions with full authorization granted. This initiative promotes stronger collaboration among studios

breaks down internal barriers and facilitates the efficient flow of information. In source substitution the Company uses fermentation instead of extraction to produce Rhodiola extract reducing the consumption of

Rhodiola a plant protected at the national level

In the product R&D process the Company strives to use green processes for product purification and refinement such as membrane

R&D Management Committee Responsible for the comprehensive management of the filtration and enzymatic hydrolysis instead of traditional methods such as alcohol precipitation and acid-base processes

Company's R&D system In the process of design and optimization the Company avoids the use of environmentally unfriendly reagents consumables etc.For instance concentrated crystallization is used instead of traditional acid and organic reagent crystallization in part of the product

development process

Members of the committees report to the

Management Committee Management Committee Management Committee chairwoman of the Board of Directors

for Raw Material R&D for Medical Device R&D for Personal Care Appliance E a c h m a n a g e m e n t c o m m i t t e e i s 387 4 7

R&D responsible for the R&D management

and operation of each business line Total number of various types of Number of participated in national Number of participated in provincial

R&D management structure at Bloomage Biotech R&D projects key R&D projects key R&D projects

Bloomage Biotech strictly adheres to laws and regulations including the Regulations on the Safety Management of Biotechnology Research

and Development the Regulations on Drug Registration Management the Regulations on Cosmetics Supervision and Administration the Case: Leading the upgrade of the regenerative medicine industry

Food Safety Law and the Ethical Review Measures for Life Sciences and Medical Research Involving Humans. The Company has formulated

internal systems such as the Public Laboratory Management Regulations the Research and Development Center Equipment Lifecycle The Key Laboratory of Regenerative Medicine Technology and Material Transformation in Hainan Province (hereinafter referred to as the "Key

Management Procedures the Design and Development Control Procedures the Patent Management Regulations the Patent Incentive Laboratory") established and applied for by Bloomage Biotech was officially inaugurated in December 2023 at the Bloomage Biotech (Hainan)

Measures and the Implementation Rules for Research and Development Center Performance Management. These systems are implemented Science and Technology Industrial Park. This laboratory is the first provincial-level key laboratory for regenerative medicine in Hainan Province

to standardize the Company's project development processes talent recruitment and management research outcomes and talent reward focusing primarily on three research directions Basic Research and Application Transformation of Biomedical New Materials Design and

criteria. Furthermore the Company has established research project management regulations to ensure that relevant activities are conducted Development of Stem Cell Culture Medium and Innovative Application Research of Stem Cell-Derived Bioproducts and hiPSC Regeneration and

legally and compliantly throughout stages such as project initiation design development review validation transformation and confirmation. Transformation Research.Talent Development for R&D Innovation Leveraging the Company's layout in regenerative medicine and its advantages in the industrial chain this key laboratory aims to achieve

synergistic innovation and development across the entire industrial chain from technological innovation to industrial and market

Talent is at the core of innovative development. Bloomage Biotech fully recognizes the critical transformation leading the upgrade of the regenerative medicine industry.role of talent in R&D innovation and continually broadens channels for talent introduction with

increasing efforts. The Company emphasizes internal talent mobility optimizes the structure Case: Recombinant collagen technology and products with health safety and green attributes

of its talent pool establishes pathways for talent development formulates and updates

mechanisms for talent assessment and incentives and improves talent cultivation and Based on the analysis of the functional structural and sequence correspondence of human type III collagen Bloomage Biotech designed

management models to achieve comprehensive talent acquisition cultivation and utilization. tested and ultimately selected protein sequences with composite efficacy excellent safety and the ability to meet terminal cost control

Aligned with an R&D talent management culture guided by corporate strategy and customer- requirements. The product is expressed by yeast which is endotoxin-free and free from viral contamination. It possesses powerful repair and

centered philosophy the Company constructs an R&D Management Committee to coordinate healing as well as collagen regeneration promotion effects. This product can be widely used in wound repair post-medical aesthetic surgery

supervision and guidance adopts a collaborative management model among departments wound recovery skin problem treatment and facial rejuvenation care meeting the needs of human health and beauty. At the same time this

and strengthens talent organization construction and management to attract high-level technology addresses environmental pollution caused by large amounts of acid and alkali in the extraction process of animal collagen thus

talents within the industry. Moreover we encourage internal job rotations and transfers embodying green environmental protection and sustainable development attributes.among relevant personnel to vibrate and manage the internal talent market.Case: BloomStem becomes a key contracted project for China-Japan green low-carbon

Bloomage Biotech boasts a multidisciplinary professionally structured industry-experienced 占位图

deeply capable and efficiently collaborative talent team providing fundamental support for cooperation

the Company's technological innovation. As of the end of the reporting period the Company

has 926 R&D personnel accounting for 20% of the total workforce nearly 50% of whom Bloomage Biotech's subsidiary BloomStem (Hainan) Co. Ltd. along with Japan's Otsuka Pharmaceutical Co. Ltd. BioMimetics Sympathies

come from renowned domestic and international institutions holding postgraduate or above and other relevant partners invested in the establishment of a joint venture named BloomStem Biotechnology (Hainan) Co. Ltd. (referred

degrees. We have 2 experts enjoying special allowances from the State Council 2 provincial- to as BloomStem) in 2022. As a Key Contracted Project for China-Japan Green Low-Carbon Cooperation BloomStem will mainly focus on

level experts with outstanding contributions 3 Taishan Industry leading talents 1 leading expanding research in the biomedical field. It will introduce leading Animal Origin Free (AOF) mesenchymal stem cell culture technology from

talent at the municipal level and 30 key technical personnel in critical fields such as senior/ Japan and launch the BloomStem series of AOF mesenchymal stem cell expansion culture media various high-performance cell culture

deputy engineers and pharmacists. Additionally the Company forms external scientific media and cell culture derivatives among other regenerative medical products and customized development services.research expert teams and has successfully attracted more than 50 professionals in relevant Cell culture media as a cornerstone of the biopharmaceutical and biotechnology industry plays a crucial role in the development of the

fields through flexible recruitment further enhancing the strength of the Company's research biotechnology industry with a green and low-carbon nature. This contracted project will help promote biotechnology cooperation and green

team and providing strong support for favorable business development. development cooperation between China and Japan.32 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 33

Case: Facilitating the green transformation of biotechnology packaging materials Case: Collaboration between Bloomage Biotech and China National Institute of Metrology (CNIM)

Bloomage Biotech has completed R&D of sugarcane-based plastics in the disposable packaging materials through technological extraction Since the strategic cooperation agreement signed by Bloomage Biotech and CNIM in July 2021 the two parties have collaborated on various

and semi-automatic wet pressing processes. This simple and recyclable product packaging compared to traditional petroleum-based plastic aspects including "quality control research the establishment of quality standards research on standard substances new measurement

packaging can reduce approximately 3 tons of carbon dioxide emissions per ton achieving multiple environmental benefits such as resource methods characterization technology research" and have achieved remarkable results over the past two years. In June 2023 the

conservation energy consumption reduction and greenhouse gas emission reduction. collaboration between the Company and CNIM was comprehensively upgraded with a cooperation agreement signed for the project

"Technological Innovation of the Full Industry Chain of Bioactive Substances and Standard-Setting Leading High-Quality Development".Case: Environmentally friendly production technology for skincare ingredients This project will focus on 6 categories of bioactive substances of Bloomage Biotech (functional sugars amino acids and derivatives peptides

proteins nucleotides and derivatives natural active compounds) conducting comprehensive and multi-field cooperation on quality and

standardization research achieving complementary advantages and strong alliances.During the reporting period Bloomage Biotech completed the production development of 2 probiotic skincare products with antioxidant and

barrier function effects (Microgeometry ME-2 and ME-3). The Company used natural and sustainable materials and significantly reduced the

addition of carbon and nitrogen sources during fermentation through process optimization. Moreover all products obtained after fermentation Case: The Belt and Road scientists delegation visiting Bloomage Biotech

can be used for skincare ingredient development and no wastewater is generated during the production process resulting in benevolent

environmental influences. In November 2023 more than 20 professors and young scientists from over ten Belt and Road (hereinafter referred to as "B&R") countries

such as Pakistan and Iran accompanied by representatives from the Tianjin Institute of Industrial Biotechnology Chinese Academy of

Ingredient Sustainability

Sciences visited the Bloomage Biotech Tianjin factory. They engaged in in-depth exchanges and discussions on scientific research

Bloomage Biotech places great emphasis on the green safe and reliable nature of product ingredients strictly adhering to domestic technology and products.and international regulations such as the Cosmetic Safety Technical Specifications and the Regulation on Registration the Evaluation The visit is an active response of the Company to the national B&R strategic policy and demonstrates the crucial role of large national

Authorization and Restriction of Chemicals (REACH Regulation). Necessary qualifications or certifications related to ingredient safety enterprises. It will provide a platform and sample for national industry-academia-research cooperation the transformation of scientific

and natural organic properties are obtained for products. The Company extensively refers to industry and market authoritative standards research achievements and more exchanges and cooperation with scientists from countries and regions along the B&R which will facilitate

formulates systems such as the Chemical Use List for Research and Development establishes chemical use and management expansion businesses in countries involved in the initiative and promote the high-quality development accordingly.mechanisms and identifies hazardous factors. By continuously reducing substituting or prohibiting controversial ingredients the

negative impact of product ingredients on human health and the environment is minimized. During this reporting period no penalty from

regulatory agencies occurred due to non-compliance with chemical usage in products.Furthermore the Company is committed to promoting the sustainability of product ingredients in the industry and actively participates in

the "Cosmetic Mercury-free Action" advocated by the Skin Health Industry China Science and Technology Alliance as a member of the

formulation of the first domestic group standard for low-mercury cosmetics. The Action is an important initiative concerning consumer safety

and environmental protection which Bloomage Biotech continues to invest in willing to collaborate with enterprises research institutions and

consumers to provide consumers with higher quality and safer products.Case: Focus on the R&D and application of green surfactant lipopeptides

During this reporting period Bloomage Biotech successfully launched its first bio-surfactant product Bloomsurfact Bacillus lipopeptide

sodium to the market. This product utilizes natural sugarcane-derived brown sugar as a carbon source to efficiently synthesize lipopeptide

skeletons replacing traditional surfactants and oils derived from fossil fuels and plants. Moreover it enhances fermentation yield through

low-foam fermentation technology. The production process of this product is environmentally friendly as it does not involve organic solvent

synthesis steps leaves no chemical toxic residue exhibits high biodegradability and reduces the use of petroleum and plant resources hence

promoting the safety greenness and sustainability of bioactive substances.Industry-Academia-Research Collaboration

The B&R scientists delegation visits Bloomage Biotech

Bloomage Biotech emphasizes the establishment of high-quality standards the deep

Collaborative Development

integration of industry academia and research and collaborative technological innovation

to continuously build brand advantages. The Company actively forms links between Bloomage Biotech leverages its own technological innovation capabilities and technical platform advantages to implement open cooperation

industry academia and research through strategic cooperation agreements joint research actively collaborating with governments industry organizations research institutions etc. to promote the establishment of standardized

center establishment leading pilot conversion platforms and applied basic research in norms and industry knowledge popularization driving the sustainable and healthy development of related industries.related technologies and manufacturing fields. It has also engaged in extensive research

Standard Setting

collaboration with prestigious domestic and international research institutions such as the

Chinese Academy of Sciences the China National Institute of Metrology Cornell University To promote new materials technologies processes and advanced management concepts and to eliminate technological barriers to facilitate

the University of Oxford and other professional institutions and enterprises to put forward the transformation of scientific and technological achievements Bloomage Biotech takes the initiative to lead and participate in the formulation

research and product innovation as well as high-quality development of the industry. and implementation of national group and industry standards which not only enhances its own influence and discourse power but also

During the reporting period the Company has actively carried out more than 70 collaborative projects with research institutions peers promotes the industry to have clear guidelines and standards to follow.customers and other parties in raw materials pharmaceuticals medical devices functional skincare products etc. These collaborations Bloomage Biotech has led or participated in the formulation of 8 industry standards and 36 group standards among which 15 group standards

provide technical support for the Company and industry development promote comprehensive advancement of the industrial chain and were released during the reporting period. Additionally the Company is currently involved in the development of 30 national industry and

further strengthen the Company's leadership and influence in the hyaluronic acid industry. group standards.34 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 35

Industry Education Pilot Scale Results Transformation

As part of its commitment to popularize knowledge related to life sciences and biomanufacturing Bloomage Biotech has established exhibition

Bloomage Biotech aims to establish a world-class intelligent pilot scale results transformation center focusing on achieving high-

halls in its main offices factories and R&D centers to conduct science popularization activities for visiting groups.quality efficient product transformation and creating value for domestic and international customers through "smart manufacturing" of

We have established the World Hyaluronic Acid Museum and the Synthetic Biology Science Museum. The World Hyaluronic Acid Museum is 6 categories of bioactive substances. The Company follows Integrated Product Development (IPD) principles constructing a product

the world's first hyaluronic acid theme museum showcasing its knowledge and applications through scientific videos historical documents planning and development management system centered on market and customer needs. This system aims to swiftly respond to market

and simulated displays etc. The Synthetic Biology Science Museum is the world's first science museum dedicated to synthetic biology using changes significantly shorten product development cycles reduce project rejection rates lower development costs and resource waste

technology-driven and interactive methods to explore topics such as the origin of life global crises and sustainable development while and ensure products not only have excellent stability but are also easy to produce and service bringing higher value experiences to the

introducing the definition significance development technological foundation industrial applications and underlying support for carbon Company and its customers. 4 key business competencies are integrated into the pilot scale results transformation center: process

peaking and carbon neutrality brought by synthetic biology. Since the official opening the World Hyaluronic Acid Museum has welcomed research and validation sample preparation and inspection testing medium and small-scale commercial production and process

27692 visitors while the Synthetic Biology Science Museum has seen 2243. optimization and quality improvement. It is committed to optimizing value assisting creative achievements in realizing the leap from the

The Company integrates internal and external professional resources to conduct online public education. This involves producing and lab to the market and satisfying internal and external needs for product transformation.releasing themed video series including "Amazing Life Science" "Amazing Hyaluronic Acid" and "Amazing GABA" on the Company's official

Mission Positioning Vision-the next 30 years

website. Additionally the Company has established the "Bloomage Science Popularization" column on Weibo where it carried out 153 science

popularization activities related to bioactive substances throughout the year.Make it possible for cell factories The key step for laboratory results to Biomaterials for biomanufacturing :

In addition to further assist customers in developing a logical and scientific view on skincare the Company also works with businesses and to produce everything and build a achieve commercial transformation 1.Substitute 50 % of the materials extracted

universities to develop projects and publish a Scientific Skincare Guide for Oily Skin a White Paper on Insights into Eye Anti-Aging and a platform where achivements of digital from animals and plants

White Paper on Trends in Anti-Aging for Sensitive Skin in China. intelligence can be transformed 2.Substitute 70% of petrochemical-based

sources

Ethical Testing

Bloomage Biotech strictly adheres to the laws and regulations of the PRC including the Civil Code the Basic Healthcare and Health Promotion Mission vision and positioning of Bloomage Biotech's pilot scale results transformation center

Law the Law on Scientific and Technological Progress the Biosafety Law the Regulations on the Management of Laboratory Animals and

The Company strictly adheres to relevant laws and regulations such as the Law of the PRC on Promoting the Transformation of

the Regulations on the Quality Management of Clinical Trials of Drugs . Following the principles of the 3R5 for animal experimentation the Scientific and Technological Achievements the Notice of the General Office of the State Council on Printing and Distributing the

Company respects the Declaration of Helsinki by the World Medical Association and relevant national or regional ethical systems conducting Action Plan for Promoting the Transfer and Transformation of Scientific and Technological Achievements and the Interim Measures

internal and external trials legally and compliantly. During the reporting period the Company did not incur fines from regulatory bodies for for the Filing and Management of Pilot Demonstration Bases for the Transformation of Scientific and Technological Achievements

breaking ethical testing guidelines. in Shandong Province . It has meticulously formulated and implemented a series of internal management systems such as the

Pilot and Trial Production Development Control Procedure the Research and Development Results Production Transfer and

Bloomage Biotech uses human subjects cell testing ex vivo skin testing and 3D skin model testing in place of animal testing for Production Introduction Management System and the Pilot and Process Verification Management System clarifying the execution

efficacy trials on functional skincare products. Participants may opt out at any moment and is completely voluntary standards at different key points of the products enhancing the standardization compliance and effectiveness of product process

The Company gives preference to alternative methodologies for medical device efficacy trials to minimize the need for animal and transformation and technology transfer and building a sound and efficient chain for the transformation of scientific and technological

human clinical trials achievements.Bloomage Biotech does not directly conduct animal or human testing nor does it have any regulations regarding the care or welfare of its

test subjects. All necessary animal and human clinical trials are entrusted to qualified Contract Research Organizations (CROs) or hospitals

with contracts stipulating compliance according to national regulations on trial ethics and related measures for the welfare of human/animal

subjects.The third-party animal experimentation and inspection institution admission requirements of Bloomage Biotech:

Possession of professional qualifications Suitable facility conditions

The Company ensures that third-party col laboration The Company inspects whether the facilities and equipment

institut ions possess nationally recognized laboratory of third-party collaboration institutions meet the requirements

qualifications as well as relevant certifications and approvals including but not limited to the size ventilation temperature

from animal experimentation ethics committees humidity and hygiene conditions of animal rooms to ensure

they are suitable for animal survival and experimentation

Experience and technical proficiency Legal and regulatory compliance

The Company assesses the technical capabil it ies and The Company undertakes relevant measures to ensure that

experience of the institutions through observations and on-site third-party collaboration institutions comply with applicable

visits laws regulations and ethical requirements for experimentation

following ethical review procedures

5 The "3R" principle is the principle of Reduction Refinement and Replacement of animal experiments.36 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 37

The Company deeply understands the importance of sustainable development and is committed to optimizing the product development Quality Management

and assessment process. It integrates environmental protection and safety concepts throughout the project research and development

process. Comprehensive reviews are conducted on EHS risks including the use of organic solvents potential human hazards and analysis Bloomage Biotech follows the quality management policy and principles of "leading technology standardized management safe and reliable

of pathogenic bacteria to ensure that every R&D outcome meets green and safety standards. Additionally the Company utilizes bio-based and professional service" with product quality always prioritized. The Company constantly strengthens technological innovation pursues

carbon sources aimed at reducing greenhouse gas emissions improving wastewater treatment reducing air emissions and minimizing waste excellent quality practices and improves the construction of a quality system throughout the entire lifecycle thereby promoting a culture

generation. The overall goal is to minimize the negative impact on both personnel and the environment while promoting project research and of quality guiding quality consumption assuming primary responsibility for quality and safety and guiding customers to enjoy high-quality

development. products and services.Case: Continuous improvement of organizational capacity in the pilot transformation center Annual key quality objectives for Bloomage Biotech

Item Objective Status

Talent is the core driving the transformation of research achievements. Bloomage Biotech has established and optimized a talent training

Customer satisfaction ≥ 90% Achieved

system and a pilot knowledge management system. It adheres to diversified and multi-channel pilot talent training forming a professional

team proficient in pilot research in related fields and possessing R&D capabilities. During the reporting period the Company implemented the Qualified rate of finished products at one time ≥ 98% Achieved

following series of measures to improve the organizational capacity of the pilot transformation center:

Organized multiple research and pilot issue communication meetings and co-creation sessions actively integrating internal and external Quality Management System

resources and conducting over 30 trainings covering standardization lean production management skills internal processes etc

Bloomage Biotech strictly complies with laws and regulations of the Product Quality Law of the PRC

Established a "Problem-solving Camp" to enhance employees' abilities to identify analyze and solve problems

the Drug Administration Law of the PRC the Food Safety Law of the PRC the Regulations on the

Launched online pilot classrooms to provide employees with a platform for learning safety quality and general skills

Implementation of the Food Safety Law of the PRC the Drug Alert Quality Management Specification and

Conducted a 5-month "Peak Camp" management empowerment training program to equip employees with enhanced project

Cosmetic Production Quality Management Specification . The Company has formulated and implemented

management capabilities

regulations such as the Quality Food Safety HACCP Management Manual and Product Surveillance and

Conducted pilot personnel capability testing and competency inventory and constructed job competency models to guide employees'

Measurement Control Procedures carrying out full-process quality management from product design

career development and growth paths

R&D and production to post-launch quality and safety assurance to ensure product safety and efficacy.Promoted cross-department cooperation and talent mobility implemented project team systems and established cross-functional

team operation mechanisms to enhance overall synergy The Company has established and continuously improved the quality management system for the entire

Established a pilot knowledge system to accelerate the precipitation and dissemination of knowledge and experience gradually forming lifecycle of products to ensure the controllability of product quality and safety. We have obtained ISO

an internal culture of sharing to provide strong support for the organization's continuous development and innovation 9001 quality management system certification ISO 13485 medical device quality management system

certification laboratory national accreditation certification6 and high-standard production lines that meet

US cGMP China GMP and IC HQ7 requirements as well as on-site inspections by the US FDA South

Korea MFDS and China GMP standards.The Company is promoting the construction and application of digitalized systems in the comprehensive quality management systems of

various products continuously refining the quality management model. The implementation of the QMS system (Quality Management System)

which aims to optimize quality decision-making processes shorten the cycle of quality event handling and improve daily quality management

levels is advancing compliance and refinement of quality management thereby improving our quality management system. Additionally the

Company has implemented the DMS system (Document Management System) to regulate and control document management activities while

incorporating features such as security confidentiality and audit tracking thereby increasing the efficiency of quality management.The Company actively participates in numerous external quality audits by regulatory authorities system certifications and customers all of

which have passed without major faults or substantial flaws with minor errors corrected. During this reporting period the Company formed

an internal quality inspection and audit team which conducted 6 internal audits on the construction and operation of each factory's quality

management system for a total of 9252 product tests.The Company has long viewed quality as a vital basis and lifeline for company development and has been constantly developing the

enterprise's quality management system. Currently the Company has implemented a quality management system that covers the whole

Professional training for pilot personnel at Bloomage Biotech lifecycle and operation of medications cosmetics food health food disinfectants sanitary goods and medical devices. With technological

innovation as its foundation the Company monitors product quality with high standards and strict requirements continuously improving an

Case: Optimizing processes and management to achieve win-win economic and excellent and lean quality management system achieving enterprise standards that exceed industry domestic and international standards

environmental performance and becoming a benchmark enterprise for promoting high-quality development.Case: Bloomage Biotech wins the "8th Shandong provincial governor's quality award"

Bloomage Biotech actively promotes lean management delving deep into the pain points of production and meticulously analyzing the

root causes of issues. Focusing on key influencing factors we employ simulation analysis and repeated validation to continuously optimize

processes and operational workflows significantly improving the quality and pass rate of pilot production. The Company's competitive Bloomage Biotech received the "8th Shandong Provincial Governor's Quality Award" at the Shandong Provincial Quality Conference in 2023.advantages of the company's products on key indicators has been reinforced by this improvement. Through optimizing production processes As one of the first firms in Shandong Province to apply the "Chief Quality Officer" system internally the Company's quality management

we minimize our dependency on raw materials and energy while shortening R&D and production cycles which lowers the amount of solid product quality independent innovation capability and management level are among the best in the local sector.waste and wastewater that is produced. These measures help us reduce costs and increase efficiency also demonstrate our commitment

to green environmental principles. Furthermore the Company has established a rapid and compliant commercial release system. Through

cross-department collaboration and stringent quality control we have effectively accelerated the pace of research and development 6 Bloomage Biotech testing center officially passed the CNAS ISO/IEC 17025:2017 laboratory accreditation in 2022 and the Company's laboratory owns first-class

commercialization facilitating faster product launches into the market. testing and calibration capabilities reaching the internationally recognized standardization level with authoritative test results.38 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 39

Quality Risk Management Production Quality

To actively address and manage quality risks Bloomage Biotech has developed management regulations and related systems such as the Bloomage Biotech rigorously manages the work environment that affects product quality and safety including production workshops

Quality Risk Management Procedures the Risk and Opportunity Control Procedures the Emergency Response Plans for Sudden Incidents warehouses and factory premises. According to relevant laws regulations and the requirements of the quality management system the

and the Food Safety Traceability Management Procedures about relevant laws and regulations. The Company consistently identifies Company formulates production and quality inspection procedures which are implemented at different stages of production activities.assesses controls communicates audits and minimizes quality risks throughout its product's lifecycle to decrease the likelihood and impact The Company focuses on quality control from the source of raw materials and closely monitors the production process from raw material

of risks to an acceptable level while protecting consumer safety health and rights. The Company conducts comprehensive quality risk procurement to pre-production material testing equipment selection and maintenance to standardized operating instructions and production

assessments annually and rectifies any defects found. During this reporting period the Company invited third-party organizations to audit the processes strictly controlling the quality of products at every stage of manufacturing operations.quality management system a total of 62 times and no major quality risks were identified.The Company conducts performance and functional testing during

the production process and comprehensive quality testing after

Case: Smart QR code traceability system facilitating quality risk control the production is concluded. It has established the Procedures for

Monitoring and Controlling Products specifying the management

Bloomage Biotech continues to promote the digitalization of the industry and has established a smart QR code traceability system to processes for packaging materials raw materials process water

strengthen the control of key elements' risks such as new product introduction management supplier management raw material certification intermediate products finished product acceptance inspection and

production control laboratory management and warehousing and transportation management. The Company has achieved direct traceability testing. The Company ensures the reliability of process monitoring

from raw material warehousing to final product packaging. Additionally we've conducted forward and backward traceability simulations and measurement devices by managing their calibration and issues

annually to ensure that products can be traced throughout their entire lifecycle from project initiation R&D and production to market launch a qualified inspection report as the basis for the release of qualified

thereby implementing the Company's primary responsibility for product quality and safety. batch products. Otherwise an unqualified inspection report is issued

and non-conforming products are handled according to Company

R&D Quality procedures ensuring the quality efficacy and safety of products

Bloomage Biotech combines raw material procurement as well as technical and process research and development into its product before they leave the factory.quality management systems. It continuously improves the evaluation of project proposals expands market involvement in research and The Company continuously conducts lean production activities

development projects strengthens quality management improves product quality and produces high-quality goods to satisfy customer adhering to the 5S7 management concept creating a visual

and market demands. For various categories of product development stages including R&D initiation experimental design pilot testing to environment and consolidating the foundation for continuous

initial scale-up trials pilot-scale amplification and trial release the Company has established quality control requirements and management improvement. It adopts standardized production operations optimizes

procedures. It follows internal quality management guidelines to the letter which are even stricter than industry and national guidelines. workflows strengthens work accuracy and improves production skills

and efficiency while reducing human errors and deviations.The Company has also introduced a sorting machine to replace manual product inspection which comprehensively detects the quality of

products distributing only qualified products to the next process step and rejecting non-conforming products to the defective products area.This enhances the qualification rate of outgoing products ensuring product quality with greater precision and efficiency.Case: Empowering quality management and enhancement of functional skincare products

through digital transformation

Bloomage Biotech's functional skincare product workshop employs a visual inspection system. This system captures inspection images

through cameras converts them into digital signals and utilizes advanced computer hardware and software technology to process and

analyze the digital signals promoting fine and intelligent management of product quality.

7 5S management concept (Seiri Seiton Seiso Seiketsu and Shitsuke management).40 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 41

Management Quality Quality Culture

Bloomage Biotech complies with laws and regulations such as the Product Quality Law of the PRC and the Quality Management Standards Bloomage Biotech clearly defines quality management goals emphasizes the development of a quality system promotes lean production

for Medical Device Operations establishing a compliant product quality management system that includes formulating quality standards encourages cross-site collaboration and empowerment advocates quality training and education values practical quality management

inspection procedures and records to ensure the execution of product quality management in the operational process. To enhance exercises implements quality assessments and incentive mechanisms and has created a distinct quality management culture. The Company

compliance and capabilities in quality management during operations the Company regularly conducts compliance training for employees actively fosters a good quality management atmosphere by organizing quality month activities providing quality training and promotion

doctors and distributors in line with relevant regulatory requirements. Additionally the Company conducts at least one routine audit for all products participating in the construction of quality standards maintaining cooperation and communication with external parties etc. to nurture

each year and collaborates with regulatory authorities customers and other parties for special and routine supervision and inspection. During this employees' quality concepts and awareness.reporting period no serious defects in product quality were found indicating manageable quality management risks in the operational phase.Quality Month Activities

Product Labeling and Instruction Management

To fully leverage the influences of "Quality Month" activities innovative activities are continuously carried out to strengthen quality awareness

The Company continuously tracks updates in regulations and policies related to product instructions labels and packaging conducting

and improve quality levels. The execution of quality initiatives promotes the development of quality management while also improving the

internal inspections promptly to ensure compliance with regulatory requirements. Adhering to the principle of transparent disclosure of product

enterprise's cohesion and competitiveness. Therefore the Company together with relevant departments in various factories has organized

information the Company accurately labels ingredient composition content recommended usage contraindications and other necessary

a series of quality month activities themed "I Promise Building Quality Bloomage" including knowledge competitions billboard evaluations

information in product instructions. For instance for disinfectant products containing alcohol the Company labels the effective disinfectant

inspection skills competitions and "Most Beautiful Quality Person" photography contests.components and ethanol content on the packaging enabling customers to make informed choices based on their needs and skin sensitivity

thus preventing misuse.Product Traceability Management

Complying with standards of ISO 9001 ISO 22000 and GB/T 27341-2009 the Company establishes a product traceability management

mechanism covering the entire process to ensure the management of traceability records and channels. The Company ensures the integrity and

clarity of product packaging for various delivered products maintaining accurate reliable and standardized records to ensure the accessibility retrieval

and traceability of product-related information. The Company implements a Code Reassurance Traceability System for drugs to ensure traceability and

manages medical devices under the Unique Device Identifier (UDI) system enhancing product quality control and transparency of information.Product Recall

The Company has formulated the Product Recall Management Regulations for different types of products standardizing the conditions and

procedures for recalls effectively handling defective products and taking corresponding measures to control risks promptly. The Company

has separate recall plans for pharmaceutical and non-pharmaceutical products and conducts annual simulated recall and disposal exercises.In 2023 a total of 5 product recall simulation drills were carried out. During the reporting period no incidents requiring the recall of sold or

inspected products due to safety and health reasons occurred. However one recall for functional skincare products due to packaging defects

was reported involving 179 boxes of defective products all of which were recalled and disposed of.Collection Formulate

Implement Analyze product Evaluate recall Submit to the

quality-related specific recall

recalls recalls Effectiveness regulators

accidents policies

Quality Management Training and Promotion

Bloomage Biotech product recall process

The Company has scheduled 10 sessions of the "Emphasizing Quality and Strengthening Compliance" series of quality learning activities

Management of Non-conforming Products for all workers. Monthly quality verification knowledge lectures are conducted quality regulations are collected and trained on and quality

Non-conforming products including raw materials packaging materials intermediate products finished products and recalled/withdrawn knowledge is shared through learning groups to promote internal capacity transformation and comprehensive improvement of all staff's quality

products that do not meet the Company's quality standards are managed following regulations and procedures to prevent confusion between management capabilities. During the reporting period the Company conducted hundreds of offline/online quality-related trainings covering all

conforming and non-conforming products. The Company isolates and stores non-conforming and returned products separately promptly relevant personnel involved in product quality management.changing the quality status labels and conducting investigations corrective actions and inspections. Non-conforming items that fulfill rework Construction of Quality Standards

requirements are reworked until they meet quality standards while those that cannot be reworked are destroyed by protocols and under on-

site supervision to prevent non-conforming products from entering the market. The Company actively participates in the construction of international national industry and group quality-related standards thereby

boosting the high-quality development of the industry. During this reporting period the Company contributed to drafting standards for

Quality Emergency Management

pharmaceutical raw materials such as sodium hyaluronate and was involved in the development and validation of industry standards such

To guide and standardize the emergency response to product safety incidents effectively prevent and control various product safety incidents as the Medical Sodium Hyaluronate Dressing and Sodium Hyaluronate as well as group standards of the Sodium Hyaluronate for Nursing

and minimize harm to public health and safety the Company has developed management systems such as the Emergency Preparedness Protection and Oral Equipment . Additionally the Company provided professional support with product samples and methodology to relevant

and Response Control Procedure and the Food Safety Incident Handling Plan . These systems follow principles of unified leadership graded research institutions to help with building industry standards and project themes.responsibilities prevention as the primary focus combining prevention and control swift and coordinated response legal compliance and scientific

disposal to occurrences involving product safety. External Cooperation and Exchange

The Company's product safety incident handling process includes monitoring early warning reporting emergency response follow-up The Company actively participates in industry exchanges related to quality management. During this reporting period the Company

disposal and safeguard measures. We conduct one emergency response training annually for drug safety and emergency drills allowing participated in several training sessions organized by the regulatory authorities of Shandong Province attended forums on high-quality

relevant personnel to understand the content and procedures of emergency response thereby enhancing the Company's emergency innovation and development of the medical device industry and took part in training sessions organized by local pharmaceutical industry

management capabilities. To make sure that the appropriate departments can react quickly to occurrences and stop and address any associations to learn regulations and standards draw on excellent quality management experiences extensively conduct industry

potential effects on food safety we also hold an annual emergency drill for food safety events. exchanges and jointly advance with various sectors of the industry.42 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 43

Product Accessibility and Affordability Pharmacovigilance

Driven by making products and services better quality more accessible more inclusive safer and longer-lasting Bloomage Biotech has Bloomage Biotech has established a pharmacovigilance system for post-market drugs and formulated pharmacovigilance management

always expanded product application areas and consumption scenarios to bring healthy beautiful and happy life experiences to mankind. procedures. We have maintained communication with regulators and other stakeholders and continued to enhance and improve pharmacovigilance

management. For the safety of medication for the public we have ensured that pharmacovigilance throughout the lifecycle of related products.Product Accessibility Pharmacovigilance Policies and Procedures

As the first company in China to use microbial fermentation to produce hyaluronic acid on a large scale Bloomage Biotech has become Bloomage Biotech complies with the requirements of

the world's largest hyaluronic acid developer producer and seller since 2007. We have made originally expensive and scarce hyaluronic laws and regulations such as the Drug Administration

Implement relevant risk control Collect adverse reaction information

acid available to the public. Initiating to use enzymatic digestion method to produce oligomeric hyaluronic acid we have expanded the 08 01L a w o f t h e P R C t h e G o o d P h a r m a c o v i g i l a n c e measures and feedback to make feedback forms

application space of hyaluronic acid. Bloomage Biotech has expanded from the earliest fields of ophthalmology to orthopedics plastic Pract ice and the Pharmacovigi lance Inspect ion

surgery dermatology and other pharmaceutical and medical fields and also to cosmetics and food and then to emerging fields such as daily Guidelines . We have formulated pharmacovigilance 02 Evaluate information

necessities and targeted cancer drugs. In this way we have expanded product application scenarios to reach and benefit more people. s y s t e m s a n d b u i l t p r e - a n d p o s t - m a r k e t Make risk control decisions 07 update feedback and

Adverse reaction

summarize information

The Company has conducted more international operations to explore emerging markets at home and abroad. The Company's various p h a r m a c o v i g i l a n c e s y s t e m s . T h e C o m p a n y ' s incident handling

terminal products have been successfully registered/filed internationally in many countries and regions such as Europe America Asia and so c h a i r m a n & C E O h a s l e d t o m a n a g i n g t h e d r u g Summarize the analysis and flow06 03 Analyze the evaluation

on. The products include products of hyaluronic acid other bioactive raw materials medical devices functional skin care products and food. So s a f e t y a f f a i r s a n d e s t a b l i s h e d a D r u g S a f e t y report it to the Drug Safety and reports to make a

far the Company's products have been sold to over 70 countries and regions overseas. The Company has leveraged its core advantages of Committee. Other members of the Committee are Committee report form

the raw material business to serve domestic and overseas customers and enterprises. By doing so we have promoted industry development composed of managers from various departments

and product accessibility making safe and effective products benefit the world. related to drug safety. The departments include

Carry out investigations and assessments 05 04 Monitor analyze and evaluate

on relevant links and form a report and signals assess risks research

pharmacovigilance quality management production

The Company is committed to improving drug accessibility and medical levels in underdeveloped areas. We have actively cooperated with plan of rectification measures and make decisions

sales R&D and registrat ion. We have ensured

sectors of society such as governments medical institutions and non-governmental organizations to carry out "the Patient Care Charity

t h a t p h a r m a c o v i g i l a n c e a n d a d v e r s e r e a c t i o n

Campaign". Each year the Chairwoman and senior managers lead their charity walk campaign to help solve the health problems of people in Adverse reaction incident handling flowchart of Bloomage Biotech

management throughout the product lifecycle.underdeveloped areas.The Company has revised and put into effect the Drug Safety Committee Charter the Pharmacovigilance Quality Management Procedures

In addition the Company has leveraged its strong scientific research capabilities to improve the treatment of difficult diseases. For example

and other management systems. We have formulated and implemented more than 50 control procedures such as vigilance systems adverse

the Company has conducted R&D on cancer treatment and successfully obtained an invention patent titled "A 3D Cross-linked Hyaluronic

event reporting and disposal related to drugs cosmetics and medical devices. The Company has analyzed and evaluated reports and

Acid Gel and Preparation Method thereof for Radiotherapy Protection".monitoring data of product adverse reactions which have been actively and passively collected. We ensure product traceability and efficient

and accurate pharmacovigilance management. The Company has ensured the effective operation of the pharmacovigilance system through

Case: Bloomage Biotech helps cancer treatment continuous internal and external audits training and exchanges.The Company has provided smooth information feedback channels to stakeholders and actively responded to adverse events or information

Based on hyaluronic acid an endogenous material in the human body Bloomage Biotech has developed biomaterials for radiotherapy

fed back by customers and consumers. The Company has maintained continuous and smooth communication with regulators such as the

protection isolation with excellent biocompatibility which can isolate tumor tissues and reduce organ damage. We have obtained an invention

Jinan Adverse Drug Reactions and Medical Device Adverse Event Monitoring Center in Shandong. We have proactively reported adverse

patent for the product which is undergoing large-scale clinical trials. It is expected to obtain a Class III medical device registration certificate in

events to relevant regulators on time and conducted signal detection and risk assessment.

2026 realizing localized substitution and innovation of similar products. In addition this product can be expanded for various clinical scenarios

such as interventional therapy and postoperative auxiliary radiotherapy. We have promoted the R&D of biomedical materials in China to the Adverse reaction feedback telephone number of the Company : 0531-82685091

internationally advanced level which is clinically significant for tumor treatment. Adverse reaction feedback email of the Company : pv@bloomagebiotech.com

Product Affordability Continuous Improvement

Bloomage Biotech strives to provide customers and consumers with high-quality raw materials and terminal products at reasonable prices. To Based on external policies and regulatory guidance stakeholder demands and internal needs for compliance operations the Company has

continuously improve the affordability of our products in the global market we fully consider the level of economic development in each region continued to revise its pharmacovigilance management mechanism procedures and operation specifications. By doing so we have improved

in product pricing. pharmacovigilance effectiveness. The Company has revised and dynamically adjusted the pharmacovigilance risk management system and

formulated drug-related pharmacovigilance plans. We have conducted signal detection and analysis of drug safety as well as risk monitoring

While abiding by the market pricing mechanism the Company has taken into account factors such as the affordability and amount purchased

identification and assessment of adverse drug reactions and other harmful reactions related to drug use. In this way we have developed a risk

from different countries and regions. Adhering to business ethics rules such as anti-monopoly and anti-unfair competition the Company has

assessment report and formulated control measures for risk management and minimization based on relevant adverse reactions.priced fairly in accordance with the local market industry pricing and regulatory requirements.The Company has actively collected and understood national local and foreign regulations and guidelines related to pharmacovigilance. We

At present the Company owns one ophthalmic pharmaceutical product and one orthopedic drug both of which have been included in the

have searched the literature and collected regulations on product adverse events every month. To make relevant staff's work more standard

medical insurance to benefit the whole country reducing the economic burden of patients and benefiting more patients.professional and efficient we have also instructed and supervised them and provided training and information exchange activities.The Company has always maintained information exchange with external stakeholders and actively participated in relevant activities to

understand their demands and expectations of the Company's pharmacovigilance management. The Company has actively participated

in training activities such as core pharmacovigilance technology training improvement training on pharmacovigilance business skills and

core cosmetics technology training organized by regulators of all levels. We have enhanced our awareness and management capabilities

in pharmacovigilance. Meanwhile the Company has conducted more training on pharmacovigilance expertise application of MedDRA (an

international medical terminology dictionary) related product adverse events and adverse reactions and cosmetics internal auditors. We have

popularized and improved employees' pharmacovigilance knowledge systems and professional skills in responding to adverse events.During the reporting period the Company has actively cooperated with domestic and foreign official agencies in auditing adverse reactions and

completed the rectification of deficiencies. The Company has received and handled 109 reports of adverse drug reactions and 66 reports of adverse

medical device reactions. There were no product-related deaths or violations of the current Good Pharmacovigilance Practice.44 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 45

High-quality Service Intellectual Property Protection

Bloomage Biotech has conducted intellectual property management activities in product project initiation R&D small trials pilot plant tests

Bloomage Biotech strictly abides by laws and regulations such as the Law of the PRC on the Protection of Consumer Rights and Interests.production and post-market operation and management. The Company has built and continuously improved its standardized and effective

Attaching great importance to protecting consumer rights we have continuously improved communication and service quality with the needs

intellectual property management system by clarifying management policies and objectives improving management structure and resource

of customers and consumers at the center. We have provided timely responsible and high-quality experiences.elements strengthening lifecycle management of intellectual property and conducting operational control inspection analysis and continuous

Improving Customer Satisfaction improvement. The Company has been certified by GB/T 29490-2013 intellectual property management system.Bloomage Biotech has formulated the Operation Specifications on Intellectual Property Management Policies and Objectives

Customer Satisfaction Survey and Analysis and established a consumer The Company has managed its intellectual property based on the principles of protecting technological innovation achievements controlling

research team. We have cooperated with a well-known external data intellectual property risks fostering core competition advantages and empowering itself to keep innovating and operating for profits. The

analyzer to conduct customer satisfaction surveys on the quality of Company has always been committed to:

products sold and services. We have conducted in-depth analysis of the Effectively implementing intellectual property strategies improving systems and standardizing management

research results continuously optimizing how and what we work. Strengthening the creation application and protection of intellectual property to stimulate innovation and promote the effective

With more than 4000 stable customers in the global market the Company industrialization of innovation results

has become a strategic partner of many international pharmaceutical Identifying preventing and responding to intellectual property risks in all aspects

cosmetics and health food companies. To provide a high-quality service Making every effort to foster current and future patent-based competitive advantages

experience to global customers promptly the Company has set up its Establishing an inter-disciplinary talent team with technical and intellectual property management capabilities

subsidiaries in the United States France Japan South Korea and other 占位图 In the next 3 to 5 years the Company will actively conduct intellectual property operations and continue to increase the number of patents

countries and regions. We have recruited local professionals to realize especially the number of patents for inventions. We will also promote the conversion rate of patented technology and steadily increase the

localized offices. We have also developed an efficient "iron triangle" proportion of sales revenue of products with intellectual property rights.management team composed of customer managers solution experts and

Bloomage Biotech strives to contribute to realizing the vision of world-inclusive health. We respect the outcomes and spirit of the Declaration on

delivery specialists. In this way we have improved international customer

the TRIPS Agreement and Public Health and abide by compulsory licensing requirements for public interests public health and other purposes

response efficiency customer satisfaction and brand stickiness. During

in the Patent Law of the PRC. We involuntarily transfer relevant patents when necessary to popularize and promote technologies. In this way the

the reporting period the Company has conducted a satisfaction survey

Company can benefit more people with its innovative achievements and make them enjoy equal access to necessary medical and health services.on 403 customers with a comprehensive score of 96.59 (100-point scale)

and a satisfaction rate of 100% achieving the 2023 satisfaction target. Intellectual Property Management Structure and System

The Company's Chairwoman and CEO is responsible for the operation and continuous improvement of the intellectual property management

Customer Privacy Protection

system. The Strategic Management Center of Intellectual Property is responsible for professional output and implementation of specific tasks.Bloomage Biotech attaches great importance to customer privacy and security. To protect customer information and business secrets and The Company reviews the suitability and effectiveness of the intellectual property management system every year.prevent customer privacy leaks we have required employees to strictly control and manage documents and other materials by relevant The Company strictly abides by the latest regulations of the Patent Law of the PRC the Trademark Law of the PRC the Measures for the

regulations. It is forbidden to arbitrarily leak any documents and materials of the Company to outsiders. In addition the Company organizes Implementation of the Mechanism for Early Settlement of Drug Patent Disputes(interim) and other relevant laws and regulations. We have referred

special training on business secret protection on an irregular basis to enhance employees' confidentiality awareness. to standards such as the Enterprise Intellectual Property Management. We have formulated and continued to improve its intellectual property

The Company strictly protects the privacy and data security of B-end customers. We have confidentiality clauses in all contracts signed with protection management policies suitable for the Company's business development such as the Intellectual Property Management Manual the

customers. We disclose no customer privacy without his or her knowledge and consent. The Company abides by the Personal Information Intellectual Property Risk Management and Control Procedures and the Intellectual Property Dispute Control Procedures . We have implemented

Protection Law of the PRC and the data protection policies of online shopping platforms. We have strengthened our internal self-discipline and them in intellectual property management activities. The Company has clarified its principles and division of responsibilities for intellectual property

autonomy. Based on legality and compliance the Company has handled C-end consumers' personal information following the principle of management in patents trademarks copyrights domain names and business secrets. We have clearly defined the application registration use

personal information notification and consent. management transfer and protection of intellectual property and have managed intellectual property documents in a scientific and orderly manner.During the reporting period the Company has received no confirmed complaints about infringement of customer privacy or loss of customer Intellectual Property Strategy Management Center

data. No customer complaints have occurred due to poor security management of customer data.R&D Center

Customer Feedback and Complaints

To respond to customer feedback on time handle customer complaints efficiently and improve service quality Bloomage Biotech has Human Resources Center

formulated the Customer Complaint Handling Procedures and established handling and feedback procedures customer service standards

and specifications and emergency handling procedures. The Company has optimized its service quality through daily inspections research External Affairs and General Management Center

and analysis and timely training for relevant employees. After investigating and evaluating the collected complaint information we work out Top Managers

and implement corrective and preventive measures to properly handle each complaint. Digital Center

The Company welcomes feedback from B-end customers through WeChat email phone calls and interviews. During the reporting period

Management Finance Center

the Company received a total of 14 complaints from such customers through various channels with a response rate of 100% and a complaint

Representatives

resolution rate of 100%.Legal Center

The Company welcomes demands and suggestions from C-end consumers through online or offline channels. The Company has provided

online customer service on e-commerce platforms such as Tmall JD.com and TikTok. If C-end consumers have any questions or

Manufacturing Center

complaints they can contact us through customer service channels. Besides we have participated in the "Return and Exchange Guarantee"

plan promoted by the platforms such as 7-day unconditional returns and exchanges allergy refunds fast refunds and compensation for

Business Lines

counterfeits. During this reporting period the Company has received a total of 90 C-end consumer complaints through various channels with

a response rate of 100% and a complaint resolution rate of 100%. Intellectual property management structure of Bloomage Biotech46 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 47

Intellectual Property Operation Management Intellectual Property Rights Protection

Intellectual Property Risk Management To protect intellectual property rights Bloomage Biotech has actively cooperated with police and judicial authorities in many places by assisting

in handling cases of counterfeit production and sale. The Company has entrusted professional third-party organizations to follow up on

The Company has established a patent search mechanism for its products to conduct analyses on FTO (Freedom to Operate) circumvention

infringements of its trade names trademarks patents and other intellectual property rights. During the reporting period the Company filed 143

and patentability before project initiation during R&D project conclusion and before marketing. By doing so we have avoided involving

rights protection litigation cases. The Company has not been punished by relevant competent authorities or held liable by court judgments for

technologies at risk of infringement during the R&D and marketing process. We have identified infringement risks from the source and

infringement of others' intellectual property rights. There have been no major infringement litigation cases of intellectual property (including

taken preventive measures. The Company has established a monitoring mechanism for competitors' patents to monitor and assess the

abuse of a dominant position counterfeiting and piracy).risk of infringing the Company's key products in real time. The Company pays attention to the regional characteristics of intellectual property

protection. Based on business development needs we have actively applied for international patents to fully protect our intellectual property Intellectual Property Honors and Performance

and enhance our ability to respond to supply chain risks. The Company allocates necessary budgets every year to deal with possible

intellectual property risks. During this reporting period Bloomage Biotech's patent of "Modified Sodium Hyaluronate Gel for Injection" has won the 24th China Patent

Excellence Award. The company was not only honored with the title of 'National Intellectual Property Advantage Enterprise' but also won the

The main tasks of Bloomage Biotech's patent risk management： honorary title of Business Secret Protection Leader issued by the Jinan Innovation Zone and Jinan Area China (Shandong) Pilot Free Trade

Zone.Risk assessment before patent Risk assessment in Risk management after patent

application patent application licensing

Conduct patent and non-patent literature Write patent application Manage patent renewal to ensure timeliness

searches documents Monitor regularly competitors' products or

Predict potential infringement risks and patent Determine the scope and technologies in the market to determine

disputes the countries where the whether there is any infringement of our patent

Evaluate patentability and commercial value to patent rights are protected rights

form an FTO report Monitor the progress of Analyze competitors' patent layouts to guide

Develop risk response strategies patent application review our own R&D and patent strategy planning

Conduct supplemental search update FTO Respond timely to review Monitor the legal compliance of patent marks

reports and issue risk assessment reports comments used internally and externally

Intellectual Property Digital Management

The Company has purchased well-known patents and literature databases in the industry and conducted training for relevant personnel.In this way we have achieved a more comprehensive search of patented technologies improved the quality of patent applications and

strengthened intellectual property awareness and capabilities of researching and applying information. The Company ensures that it does

not infringe on others' patents. At the same time the Company has introduced a management system for professional intellectual property

operation and maintenance to improve efficiency. We can manage intellectual property materials in a centralized manner such as patents

trademarks and copyrights and automatically monitor patents' progress.Intellectual Property Training and Exchange

To enhance employees' intellectual property awareness and capabilities and effectively protect its innovative achievements and intellectual

Bloomage Biotech's intellectual property licensing

property assets the Company carries out intellectual property training activities for its employees every year such as professional internal

training and bi-weekly sharing sessions. During the reporting period the Company has carried out 11 intellectual property-related publicity Category Total licensed patents Number of licenses in 2023 Number of applications in 2023

and training sessions with more than 400 participants and more than 20 training hours.In addition we have actively participated in relevant external exchange activities and received investigations and research of relevant supervisory Total patents 452 115 189

and management departments on our intellectual property management. We have also been involved in various seminars training classes and

Patents for invention 296 87 142

other activities. By doing so we have better understood and implemented the work programs on the intellectual property of the state and regulators

and have standardized and promoted our intellectual property operations. Design patents 58 16 21

Intellectual Property Performance Appraisal Utility model patents 98 12 26

To strengthen the intellectual property appraisal improve the balanced distribution system of interests and improve the

Trademark rights 4346 585 822

effectiveness of the technology transfer the Company has the requirements clarif ied intel lectual property rewards and

punishments decomposed the intellectual property management objectives and carried out assessments. We have formulated Copyrights of software and works 100 17 19

the Patent Reward Measures and the Intellectual Property Reward and Punishment Regulations . We have followed the principles

of openness fairness and impartiality in conducting patent awards and penalties for violations. Based on their relevance and Domestic patents 445 112 167

contribution to Bloomage Biotech's business the Company provides corresponding rewards for domestic invention patents. The

Company also provides rewards for overseas patents utility model patents and design patents authorized in other countries Overseas patents 7 3 22

through the PCT (Patent Cooperation Treaty) or Paris Convention on the Protection of Industrial Property. For violations of relevant By region

Domestic trademarks 3749 530 404

rules and regulations that cause damage or economic losses to its intellectual property rights or customers' intellectual property

the Company makes claims based on actual losses and holds people accountable for their actions During this reporting period the

Overseas trademarks 597 55 418

Company has provided intellectual property performance rewards to 274 employees with bonuses totaling RMB 2.33 million.48 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 49

Fair and Regulated Employment

05 Adhering to the principles of legal and equal employment Bloomage Biotech has standardized the employee recruitment and hiring process and continuously improved the employment management system. We have clarified the code of conduct and ethics to fully respect and protect human rights as well as workers' rights and interests.Compliance Employment

Bloomage Biotech respects the relevant regulations of the Universal Declaration of Human Rights and strictly abides by the Labor Law of the

Building Competitiveness People's Republic of China the Labor Contract Law of the People's Republic of China and the Provisions on Prohibition of Child Labor as well as the laws and regulations of the countries and regions where it operates along with relevant international conventions approved by the

Chinese government. We have referred to the requirements of the SA8000 Social Accountability 8000 International standard ISO 26000 social

Based on People- responsibility management system standard and ETI (Ethical Trade Initiative) basic principles. We have formulated and implemented our Employee Handbook and several related management systems. We treat employees of different races colors nationalities genders ages

religious beliefs and cultural backgrounds fairly and impartially. We strictly prohibit any form of child labor and forced labor through violence

Oriented Principle threats or illegal restrictions on personal freedom. Besides we prohibit physical punishment intimidation harassment abuse and any form of discrimination against employees.We have made employee recruitment and management standard including but not limited to:

Bloomage Biotech firmly believes that talents underlie its sustainable development. We have always been devoted to creating Formulate the Recruitment Management Regulations adhere to the principle of openness and fairness in recruitment

a diverse inclusive and safe workplace actively investing resources to promote employee development and providing Recruitment with no regard for factors such as ethnicity religion disability gender and marital status. Conduct necessary background

excellent career advancement opportunities. We have continued to improve occupational health and safety management checks when informing applicants and getting their consent to ensure that no identity frauds and conflicts of interest

protecting employees' occupational safety and physical and mental health. In this way we can achieve our vision of Formulate the Attendance and Leave Management System and implement the standard workhour system and

sustainable development together. During work comprehensive workhour system. In this way we have protected the Company's operation and production order while

ensuring employees' legitimate rights and interests in rest and vacation

Major Material Topics of Sustainability Covered in this Chapter: Employee-initiated termination of labor contract:

Respect employees' willingness to resign voluntarily and carry out the resignation process in accordance with regulations

Rights and Interests of Employees Employee Training and Development

Unilateral termination of labor contract by the Company:

Occupational Health and Safety Safety Management of Chemicals Respect laws and labor contracts: abide by local laws regulations and labor contracts to ensure the legality and

fairness of dismissal or layoff procedures

Dismissal and

Make communication smooth and transparent: communicate with employees to make information transparent before

SDGs Addressed in this Chapter: resignation

the formal dismissal process. We clarify the specific reasons for dismissal or layoff the implementation process and

follow-up arrangements

Provide support and compensation: respect employees' rights and interests and provide corresponding compensation

and benefits; help employees get re-employed including providing career counseling training opportunities internal

recommendations and job transfer opportunities

The Company prohibits the use of child labor formulates and implements management procedures for prohibiting child labor and protecting

underage workers. We have conducted identity and background investigations on employees and ensured effective management by taking

the following measures:

Statements and principles: we firmly oppose any use of child labor and any suppliers who intentionally use child labor

Recruitment and employment: we have established personnel files and verify and identify employees' true identity information to

prevent misrecruitment of child labor due to false information

Protection of underage workers: we forbid underage workers of over 16 but under 18 to engage in or to be arranged to engage

in high-altitude underground radioactive highly toxic flammable and explosive work or work of level Ⅳ physical labor intensity

stipulated by the state and other internship labor with potential hazards. Besides we have conducted regular health examinations in

accordance with legal requirements

Child labor relief procedures: Once the misuse of child labor is discovered we must stop his or her work immediately and escort

him or her home after physical examinations. We also inform the child's guardian and relevant departments

The Company prohibits any form of forced labor and abuse including but not limited to sexual coercion sexual assault threats body

searches abuse humiliation exploitation or harassment. We have formulated relevant management systems to explain employees' rights

and interests and to define requirements for managers. The Company has set up a complaint channel and a specialized department to

conduct investigations supervising and improving management quality.During this reporting period the Company's labor contract signing rate was 100% and all employees were adult workers. There has been no

employment of child labor or forced labor and no serious violations of human rights requirements such as bonded labor labor trafficking or

transfer.50 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 51

To ensure the effectiveness of employment systems and procedures Bloomage Biotech has regularly reviewed policies and implementation Diversity and Inclusion

procedures and effects. We have also identified and evaluated employment risks and taken appropriate risk control measures. In addition

the Company has established a complaint and appeal mechanism. When receiving direct complaints from employees we conduct relevant Bloomage Biotech attaches great importance to creating a diverse inclusive and equal workplace and respects employees of different ages

investigations and handle them promptly. races genders nationalities and physical conditions. To ensure the fairness and justice of the Company's procedures and processes in

recruitment salary incentives training and promotion we have formulated and implemented the Professional Code of Ethics and Conduct

Case: Bloomage Biotech communicated with the Women's Federation on child labor and forced labor and other systems. In this way we ensure that employees enjoy equal rights prohibiting any form of discrimination and accepting employees'

complaints when necessary.The Company has actively built a diversified workforce and provided equal opportunities to all employees. We have fully utilize the respective

Bloomage Biotech and Jinan Women's Federation have cooperated and exchanged to promote the Company to adopt responsible practices

advantages of gender differences and capability differences at work to stimulate a diversified atmosphere and unleash the power of diversity.on child labor and forced labor. In this exchange Bloomage Biotech has shared its current policies measures and results of child labor and

In addition we respect and protect the rights and interests of female employees and clarify the scope of work for female employees:

forced labor. The Jinan Women's Federation has also shared its research results and experience in intervention of related fields. Through in-

We forbid arranging female employees in super labor-intensive positions

depth discussions both parties have put forward specific suggestions in corporate management supply chain supervision employee training.We prohibit arranging pregnant and lactating female employees to engage in any work that may endanger their and their children's health

In this way the Company aims to further improve itself in these aspects. Bloomage Biotech has expressed its willingness to maintain close

and safety

communication and cooperation with the majority of stakeholders to improve corporate social responsibility and contribute to making social

environment fairer more just and harmonious.Staff Structure 49.65 % 50.00 % 49.47 % 62.20 %

Bloomage Biotech continues to its reasonable talent team and expand it. As of the end of this reporting period the Company has had a total of The proportion of female The proportion of female The proportion of female The proportion of female

4655 employees with an employee turnover rate of 28.46%. employees of Bloomage employees of Bloomage employees of Bloomage Biotech employees of Bloomage

Biotech in total employees Biotech in senior management in middle management Biotech in technical personnel

231170

49.65% 1.50% In addition we have formulated the Management Regulations on Retirement and Re-employment . We have not restricted the opportunities

for employees to develop old employees' abilities. Oriented to personal expertise and industry experience we conduct retirement and re-

employment when necessary to fully protect the rights and interests of re-employed employees. As of the end of the reporting period

Bloomage Biotech has had 6 re-employed employees.By Gender By Age The Company respects and embraces multiculturalism by widely absorbing talents from different cultural backgrounds. We have currently

established 4 subsidiaries in the United States France Japan and South Korea with its business reaching more than 70 countries and

regions around the world. We pay attention to the lives of employees of different races and ethnicities fully respecting their emotions and

cultural habits. By the end of the reporting period the Company has employed a total of 18 foreign employees and a total of 131 minority

employees.

234425682017

The Company supports the employment of special groups such as people with disabilities. Adhering to the principle of fairness and justice we

50.35%55.17%43.33%

have prohibited discrimination against the disabled in the recruitment and appointment process. When conditions permit we provide suitable

positions for such individuals to protect their legitimate rights and interests. By the end of the reporting period Bloomage Biotech has employed

a total of 12 disabled employees.Famale Male Aged 51 or Above Aged 31-50 Aged 30 or Below

Case: Bloomage Biotech has carried out corporate culture promotion for foreign employees

and organized diversified exchange activities

36 8654 To make communication and collaboration in diverse backgrounds smoother Bloomage Biotech has organized foreign employees to travel to

0.77% 14.05% 0.17% China in July 2023 to visit its World Hyaluronic Acid Museum. Besides we have also invited foreign employees to participate in many activities 663

such as the Company's anniversary celebrations corporate culture promotion and fun sports games. In this way we have deepened their

14.24%

understanding and recognition of the Company and industry eliminated their sense of cultural distance and enhanced their cross-cultural

awareness.By Education By Rank

225317123984

48.40%36.78%85.59%

Doctor and Professor Master Bechelor Below Bechelor Senior Management Middle Management General Staff

Employment of Bloomage Biotech in 2023 （person %） Foreign employees visited the World Hyaluronic Acid Museum and attended corporate culture promotion52 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 53

Employee Development Employee Growth Channels

Bloomage Biotech provides a variety of career development channels to improve employee development paths in terms of three directions:

Bloomage Biotech attaches great importance to attracting and retaining talents. We have strived to make career development channels "experiential and practical learning" "feedback and instruction" and "courses and skills training". At the same time we have employed IDP

smooth continuously optimized employee training systems and built a complete performance incentive mechanism. By doing so we provide (Individual Development Plan) tools to help employees improve their development plans. We have also established an employee training

a broad platform for employee development. evaluation mechanism to continuously improve the training.Talent Introduction Talent training practices of Bloomage Biotech

Bloomage Biotech has established a reasonable talent recruitment management mechanism. We hire external human resources service Courses and Leveraging its training system and learning platform the Company has provided teaching resources and online

agencies promptly to assist us in building its talent pool in technology management and profession. We carry out social and campus skills training and offline courses in management professional general and other knowledge

recruitment activities on mainstream social and recruitment platforms. Meanwhile we encourage employees to recommend candidates as a Tutorial system: establish an internal teaching mechanism develop a team of internal lecturers and provide

way to support the Company in introducing high-quality talents. personalized instruction

In addition the Company has drawn talents' attention by participating in industry activities conducting training with schools promoting Feedback and Daily communication: each department holds regular meetings to encourage communication and learning between

employer brands and providing competitive benefits. instruction old middle-aged and young employees between current employees and new employees and between

employees in relevant departments. This aims to pass on excellent experience and help employees independently

Talent Cultivation access to training resources needed

Employee Training System Job-specific learning: match suitable positions according to personal abilities and continue to accumulate skills and

management experience at work

Bloomage Biotech has improved employee qualities and fueled their career development through training. The Company has formulated Experiential and Job rotation mechanism: provide three-year rotation opportunities for the head of first-line business to promote

its Employee Handbook and Training Management Regulations to clarify its talent cultivation strategy. By developing diversified promotion practical learning internal mobility of talents

channels and establishing an open development platform we have provided employees with more opportunities for training and further study. Personal improvement: provide learning subsidies to encourage employees to improve their academic level or professional

We have built a systematic talent training system framework. To help build an internal talent echelon we have provided multi-field and multi- and technical abilities and obtain relevant qualifications and academic certificates at their own will

level training programs covering management training professional training new staff training and general skills training. In addition we

We have always paid attention to employees' training needs and practical experience. For the management training path we have formulated

provide rich academic resources and platforms such as various AI office tools and CNKI accounts to help employees make efficient use of

personal development plans and understood employees' personal development needs from the aspects of development goals resource

office and learning resources and support their development.needs and challenging tasks while regularly tracking their progress. Furthermore we regularly review and evaluate various training programs

for all employees and continue to optimize training methods based on feedback.Diversified promotion paths Open development platform

Management sequence Professional sequence Establishment of R&D studio Internal job competition system

R&D sequence Job rotation system Management trainee system

46.61%20.72%

Management training Professional training Newcomer training General training

Proportion by Proportion by

For all managers For all employees For new employees For all employees

Gender Rank

Provide hierarchical For each professional Provide training on corporate Provide training on knowledge

management training for all sequence covered by culture company system job that all employees of different

management levels marketing R&D production basics knowledge and skills sequences are required to

Include leadership training for and functions Enable newcomers to better master 53.39% 79.28%

senior managers leadership Provide professional skills i n t e g r a t e i n t o t h e i r n e w Include general management

training for middle managers training courses including positions and grasp the basic general qualit ies general

Famale Male Management Level General Staff

management skills training three stages of beginners knowledge required by the s k i l l s a n d o t h e r r e l a t e d

for junior managers and intermediate and advanced position in a short time knowledge and skills as well

management skills training for levels as related training courses

newly promoted managers

Lecturer resources Offline courses Online platform (E-learning) 23.15 18.49

Internal lecturers external Cover managerial technical operational Case videos learning courseware knowledge

experts general courses base resources etc. Hours by Gender Hours by Rank

Sharing of educational resources

Bloomage Biotech's all-round employee training system

22.1938.52

In addition the company formulated and promulgated the Implementation Rules for Learning and Growth Welfare established vocational

qualification training projects and learning education plans covering all employees (including part-time workers and contract workers)

and encouraged employees to obtain relevant professional qualification certificates or improve their academic qualifications clearly Famale Male Management Level General Staff

Reimbursement of expenses for personal academic qualification improvement and subsidy for obtaining certificates. We provide different

amounts of learning subsidies to all employees according to their different ranks. During the reporting period the Company has invested a total

of RMB 659500 in subsidies to support employees in obtaining education and qualification certificates. Employee training of Bloomage Biotech in 2023（% hour）54 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 55

Talent Development

Case: Bloomage Biotech established a growth channel for management trainees as reserve

talents for its management positions Promotion Mechanism

Committed to building a growth system consistent with job requirements and employees' career goals Bloomage Biotech has designed

The Company has established a training path for management trainees and launched a two-year training plan for them. In the first year scientific and rigorous evaluation standards for employees' promotions. We have formulated our Performance Management System to

we provide graduates with basic training including corporate culture company systems and job expertise through training courses online standardize the performance management process including performance indicator setting performance communication and counseling

learning platforms and scene exercises. In this way we ensure that they can adjust to their jobs and integrate into the team in a short time. performance evaluation performance interviews and feedback. We have adopted an assessment method combining quarterly and annual

In the second year we determine suitable management trainee candidates based on their assessment results. We focus on training on assessments and managed performance regularly to provide data support for salary distribution talent selection and training. In addition

management skills such as project coordination and planning capabilities and assign dedicated tutors to provide one-on-one instruction and the Company has established its performance appeal process. When having doubts about their performance results employees can submit

training. reasonable appeals to the Human Resources Center in terms of the appeal process.We conduct monthly quarterly and annual evaluations. We have established a complete evaluation system through knowledge assessment To further optimize talent al location and promote employees' al l-round

performance assessment and 360-degree surveys. The system focuses on management trainees' post-knowledge professional skills development we have formulated the Internal Competition Management

personal behaviors and abilities and checks employees' learning capabilities and the effectiveness of training programs. R e g u l a t i o n s t o e n c o u r a g e e m p l o y e e s t o f i n d m o r e s u i t a b l e c a r e e r All employees

development opportunities. Additionally we have implemented a fair just undergo performance assessment

Case: Bloomage Biotech has launched diversified leadership training programs and standardized internal competition assessment process to assist the

Company in better allocating and managing talent resources.Bloomage Biotech has continuously cult ivated its successor Incentives and Recognition

candidates and conducted various forms of leadership development

training. On talent incentives Bloomage Biotech implements the Management Measures of Honors and Recognition for all employees. We have

Establishing the long-term leadership program of "Bloomage improved the selection mechanism for honors and recognition and incorporated both spiritual and material incentives into the employee

Biotech Institute of Advanced Studies in Management" performance evaluation system.The Institute focuses on cultivating two types of managers: total

management group and functional management group. The Honor and recognition system of Bloomage Biotech

total management group learns courses and tools centering on Teams or individuals awarded in the quarterly honors recognition

strategy organization and management. Students are required to Objects of Exemplars from each business line

systematically think about the strategy organization and management recognition Employees making outstanding contributions to important projects/tasks

of their business in a written manner. In addition to basic management Employees involved in Bloomage Biotech's milestones

courses the functional management group learns additional courses

such as processes products and communication. The company also Spiritual incentives: customized medals/trophies certificates commemorative medals/souvenirs. We have

learns how to practise market-oriented closed-loop business and improved employees' sense of honor and achievement by awarding medals of honor and titles

R&D transformation. Forms of Material incentives: we select annual outstanding projects and provide bonus incentives to groups and individuals

Carrying out leadership training activities of "Peak Camp" recognition Talent development incentives: we record key matters in personal development files. We include employees in the

In 2023 Bloomage Biotech launched its leadership training program of core reserve echelon for special training. We also provide promotion opportunities and a priority to medium and

"Peak Camp" to promote and provide instruction on managerial roles long-term incentives such as equities

management responsibilities management tasks and management Recognition Awards will be given in the annual/quarterly summing-up meeting

teams. More than 120 employees have participated in this program frequency Prompt awards after important projects/tasks are completed

including company executives department-level managers junior

managers and high-potential employees. There have been 61 female

employees accounting for 50.83%. Bloomage Biotech leadership training activities Case: Commendation activities on Bloomage Biotech's anniversary

Employee Training Model

In August 2023 Bloomage

Bloomage Biotech continuously improves its employee training system and models including internal tutoring external expert teaching and Biotech honored benchmarking

school-enterprise cooperation. The Company has continued to enrich the existing teaching resource library to meet employees' diverse and model employees at its

growth needs. anniversary celebration. The

The Company has formulated internal documents such as the Interim Regulations on the Management of Tutoring New Employees C o m p a n y a w a r d e d a t o t a l

and Interim Regulations on the Management of Internal Trainers of 17 categories of individual . By doing so we have clarified the tutoring process tutor qualifications

and team honorary awards

and appointments teaching responsibilities and assessment methods. We have regulated internally established tutorial system and

including Chairman's Special

apprenticeship to build a stable and high-quality team of trainers and improve the training quality for new employees.Award Excellent Teamwork

To effectively improve its management the Company has invited well-known external consulting agencies to offer 8 types of training courses A w a r d a n d O u t s t a n d i n g

on strategy digital transformation and supply chain management in 2023. In this way we have helped all employees reshape process thinking C o n t r i b u t i o n A w a r d . W h i l e

and develop management tools thereby improving the competitiveness of individuals and organizations. e x p r e s s i n g g r a t i t u d e f o r

The Company has also strengthened school-enterprise cooperation to contribute to developing the industry-education integration employees' hard work we also

community. In 2023 Bloomage Biotechnology has participated in constructing the communities in biotechnology industry technical service inspired outstanding employees

industry for medical equipment and pharmaceutical industry. We have coordinated with universities of various industries to carry out joint to continue to yield outstanding

enrollment pre-job training and other training models to improve talent training quality and unblock talent growth paths. achievements with us. Commendation scene on Bloomage Biotech's anniversary56 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 57

Safety and Health To achieve its safety production targets successfully the Company has decomposed the Employees' occupational health and

targets into subsidiaries departments manufacturing workshops teams and individuals. safety conditions of Bloomage Biotech

Strictly abiding by laws and regulations including the Production Safety Law of the People's Republic of China and the Law of the People's We have completed the targets from top to bottom by standardizing the production system

Indicators 2023

Republic of China on Prevention and Control of Occupational Diseases Bloomage Biotech have established a complete management improving the safety management structure constructing a safety culture and assessing

system for safety production and occupational health as a way to provide a safe and healthy workplace for all employees and to ensure our safety performance. Number of work-related deaths 0 person

occupational health and safety management. Based on its realities each factory has formulated its management measures for Number of work-related injuries 3 accidents

performance appraisal which are related to safety production and occupational health.Safety Management Number of working days lost These measures stipulated safety performance appraisal standards and procedures 53 Days

due to work-related injuries

covering all relevant employees. We also require general managers of all factories and

By benchmarking ISO 45001 standards and international best practices we have formulated policies to conduct safety and health Work-related accidents per

Safety Production Management System employees to sign a safety target responsibility letter. In 2023 the signing rate of employee management such as the and Occupational Health Management System . By the end of this reporting 0.32million work hours

safety target responsibility letters in all factories of Bloomage Biotech has been 100%.period Bloomage Biotech's Jinan Tianjin and Dongying factories have all been certified by ISO 45001 occupational health and safety

management system. Bloomage Biotech has formulated the Safety Investment Management System. We have increased safety investment continuously improved

transformed and maintained safety protection facilities and equipment and updated new technologies standards and processes suitable for

Security Structure

safe production. To eliminate potential risks we have also strengthened the construction of emergency rescue teams and safety production

Bloomage Biotech attaches great importance to standardizing production education and publicity. During the reporting period Bloomage Biotech invested a total of RMB 5.1968 million

8 in production safety and

safety and has established its Production Safety Committee. The Production Safety Committee occupational health.Committee is directed by the Chairwoman & CEO with relevant senior Safety Expert Production Safety

executives and safety directors of factories serving as deputy directors and Group To promote the standardized management of safe production the Company has formulated a series of

heads of relevant departments at each factory participating as members. Subsidiaries regulations such as the Compilation of Safety Production Management Systems and the Management System

Besides workshop managers and core personnel have been appointed as 100 %for Responsibility System of Safety Production . To guide actual tasks we have also specially formulated relevant

safety officers. Bloomage Biotech has established a top-down approach to policies in each link of safety production management such as risk identification and evaluation safety hazard Coverage rate of internal

organize instruct and coordinate each subsidiary's implementation of the All relevant departments investigation chemical management occupational health management emergency response and accident safety audit

safety production tasks while holding safety production meetings regularly. management.In addition we have specially set up a Safety Expert Group composed

Workshops and studios We implement a dual prevention system for production safety involving hierarchical control of risks and

of safety experts from each factory. They assist in formulating safety 100 %investigation and management of potential accident hazards. We organize safety education and training

production regulations conducting safety audits and academic Rectification rate of activities regularly and continue to promote the production digitalization. Through regular internal and external

discussions on production safety. Safety production management structure of Bloomage Biotech safety hazard safety audits we achieve standardized closed-loop management throughout the production.Safety Goals Safety Culture Construction Safety Informatization

Guided by relevant policies the Company sets goals related to occupational health and safety production every year as a guide to promote

various safety production management tasks. In 2023 the Company adjusted the safety production goals of 2023 by combining the safety Risk Evaluation and Safety Hazard Chemicals Occupational Health Emergency Planning

audit rectification opinions and national laws and regulations related to safety production. We have finally developed 13 annual goals and Control Investigation Management Management and Accident Response

decomposed them to each subsidiary ensuring their implementation at each factory. Management Regulations Management Regulations Regulations on the Safety Special Equipment Emergency Plan of

for Safety Production Risk for Production Safety Management of Hazardous Management System Production Safety Accident

Safety Production Targets of Bloomage Biotech Target Completion in 2023 Classification and Control Accident Hidden Danger Chemicals Labor Protection Accident Management

System Investigation and Regulations on Supplies Management System

Minor injury rate ≤ 1% Accomplished

Major Hazardous Sources Management System the Safety Management System Employee Work-

The number of larger or greater events is 0 Accomplished Management System Safety Hazard of Precursor and Compilation of Related Injury Insurance

The number of accidents is 0 Accomplished Hazardous Sources Investigation Evaluation Explosive Chemicals Occupational Health Management System

Identification and Risk and Rectification System …… Management Systems ……

The pass rate of hidden danger rectification reaches over 95% Accomplished Analysis of Operations …… ……

Promote the model of safety culture workshop with the coverage rate of up-to-standard workshops ……

Accomplished

reaching more than 95%

Internal Reviews External Reviews

The employment rate of full-time safety management personnel special operations personnel and

Accomplished

special equipment operators with certificates is 100%. The periodic review rate is 100% Safety management system of Bloomage Biotech

The training coverage rate of "three-level safety education" for new employees is 100%. The safety

Accomplished In addition the Company pays attention to the safety management of engineering contractors and other suppliers in the industrial park. We

training coverage rate for all employees is 100% have formulated and strictly implemented the Contractor and Supplier Safety Management System . We conduct compliance inspections

The regular inspection rate of special equipment and safety accessories is 100% Accomplished on contractor qualifications clarify safety requirements in advance for all engineering contractors. To prevent safety risks for contractors

and suppliers operating in the park we also conduct safety training and assessment for external construction personnel as well as safety

100% of safety equipment and facilities are in good condition Accomplished

supervision and management throughout the process.The reporting rate of runaway loss events is 100% Accomplished

The Company has also actively promoted the digitalization of production safety by:

The "Three Simultaneities" completion rate of safety facilities in new renovated and expanded projects

Accomplished Building an integrated security platform and equipping an intelligent system to realize real-time dynamic monitoring through electronic maps

is 100% and to achieve all-round security monitoring of the industrial park

The permit rate for special operations is 100% Accomplished Equipping an automatic fire alarm system including combustible gas detectors automatic fire alarms temperature detectors sound and light alarms etc

The compliance rate of contractor qualification is 100% Accomplished 8 The statistical caliber covers all of Bloomage Biotech's wholly-owned operating factories in China.58 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 59

Chemical Safety

Occupational health and safety training of Bloomage Biotech9

To prevent hazardous chemical accidents Bloomage Biotech abides by relevant laws and regulations such as the Production Safety

Law of the People's Republic of China and the Regulations on the Safety Management of Hazardous Chemicals . We have formulated and Indicators Unit 2023

implemented a series of internal rules and regulations such as the Regulations on the Safety Management of Hazardous Chemicals and Number of occupational health and safety training times 640

the Regulations on the Safety Management of Precursor and Explosive Chemicals to define the responsibilities of each department. We

have established the List of Hazardous Chemicals and the Special Emergency Plan for Hazardous Chemicals (Major Hazardous Sources) Number of employees trained on occupational health and safety person 16675

Accidents and organized regular drills to standardize management such chemicals' entire process of procurement storage loading and

unloading transportation use disposal and accident handling. Total hours of occupational health and safety training hours 23533

Laboratory Safety

Safety Drills

As Bloomage Biotech's core to promote its continuous innovation and development the laboratory serves as a centralized place for hazardous

chemicals. To standardize laboratory safety management Bloomage Biotech has formulated and implemented strict laboratory safety Bloomage Biotech has formulated comprehensive emergency plans special emergency plans and on-site disposal plans such as the

procedures clarifying standard operating procedures for the management of chemicals biological materials and laboratory equipment. We Emergency Plan for Production Safety Accidents and the Special Emergency Plan for Fire and Explosion Accidents . The plans cover a total

have taken multiple measures to ensure the safe operation of the laboratories. of 13 categories including fire vehicle injuries electric shocks alcohol accidents and scalding accidents and the relevant plans have been

Safety measures of Bloomage Biotech's laboratories: registered for the record. We carry out safety emergency drills in various factories and offices every year based on relevant plans to help

employees apply the knowledge and skills learned in safety training to practice.We have formulated and continued to improve the Public Laboratory Management System Reporting

System for Precursor and Explosive Chemicals Flow System for Precursor and Explosive Chemicals Safety

System construction Case: Bloomage Biotech carried out fire safety awareness promotion activities

Management System for Synthetic Biology R&D Laboratory Special Equipment Management Regulations

and Full Life Cycle Management Regulations of R&D Center Equipment

Special fire safety training

Hazardous chemicals We properly classify label store and dispose of all biological materials and chemicals to reduce the risks of

In November 2023 the Jinan factory of Bloomage Biotech carried out its fire safety training

management cross-contamination and accidental exposures

activities for the third quarter. We have organized all employees from the production center

Personal protection We provide necessary personal protective equipment such as lab coats safety glasses gloves and masks of the functional skin care products to watch warning educational films themed chemical

management and ensure that employees can use them correctly fires and residential community fires. We have also strengthened front-line employees'

Facility and equipment We regularly maintain and inspect all laboratory equipment to ensure it is in good condition awareness of fire safety and production standards by sharing accident cases with them and

management conducting group discussions.Special fire safety emergency drills

We have assigned safety commissioners responsible for preparing laboratory emergency plans and

Emergency In 2023 Bloomage Biotech carried out fire safety emergency drills at each factory base and

conducting drills. In 2023 the raw material R&D line conducted 2 fire evacuation drills and 1 special chemical

preparedness further improved emergency plans and disposal plans based on the results of the drills. Fire safety training and day emergency drills

leakage drill

We regularly organized training on laboratory operations and equipment use. In 2023 the Company hired Occupational Health

Personnel training specialist agencies to carry out training on laboratory personal protection full life cycle management of

Bloomage Biotech has implemented the Law of the People's Republic of China on Prevention and Control of Occupational Diseases and

laboratory chemicals and safety management of laboratory equipment

the Labor Law of the People's Republic of China . We have formulated released and implemented the Compilation of Occupational Health

Management Systems Special Operations Management System Personal Occupational Health Management Regulations Labor Protection

Safety Culture

Supplies Management System and other occupational health-related systems. We have also hired external agencies every two years to

Safety Training detect occupational hazard factors in the factory and provided employees with comprehensive occupational disease risk protection in terms of

Bloomage Biotech has developed and implemented its internal documents such as the Regulations on the Management of Occupational personal safety protection and environmental and equipment safety. This helps us address our main occupational disease risks such as dust

Safety and Health Education and Safety Training and Education System to develop the awareness of "inadequate training causing a major high temperature noise power frequency electric fields and chemicals. During this reporting period the health examination coverage rate of

safety hazard". We have also required the chief persons in charge safety managers and transferred employees of each factory base to Bloomage Biotech employees has been 100%.receive safety education. Special operations personnel and special equipment operators must have relevant professional qualifications. New

employees must receive three-level education on production safety. On personal protection we provide employees and other personnel entering the production site with a full set of labor protection

equipment for free and guide and supervise employees to use and wear them correctly

Case: Safety education and training for new employees of Bloomage Biotech On equipment management we regularly maintain special equipment such as boilers and elevators in accordance with regulations

and develop strict procedures for the placement operation and maintenance of dangerous facilities

On operational safety we have clear operation and protection requirements for special operations such as high-altitude operations

In 2023 each factory base of Bloomage Biotech carried out activities of three-level safety education and training for new employees providing

and electrical operations. We also require relevant personnel to pass professional training and obtain certificates before operations

comprehensive safety education and training on basic knowledge of production safety laws and regulations basic knowledge of production

On risk prevention we post warning signs of occupational health and safety risks at necessary locations of the production site. In

safety (such as common knowledge of using labor protection supplies electricity safety and fire prevention) hazard identification hidden

accordance with regulations we also provide regular physical examinations for employees in positions with potential occupational

danger investigation and accident emergency response. We have required a passing rate of 100% to raise new employees' awareness of

disease hazards

prevention and reduce accidents.Case: Bloomage Biotech carried out activities in "Production Safety Month" in many places In addition the Company pays attention to preventing the risks of repetitive strain injuries that may be caused to employees by daily operations.We have reduced the risks of discomfort and injuries to workers caused by repeated movements or overuse. For this we have improved the

operating environment and methods such as upgrading the manual packaging process to automatic or semi-automatic packaging machines

In June 2023 multiple factory bases of Bloomage Biotech carried out the activities themed "Safety for All Emergency Response for All"

and installing fans to displace air and offset the impact of high temperatures in the workshop.with all employees participating. The activities include but are not limited to holding safety knowledge competitions making publicity boards

and banners organizing special emergency drills conducting centralized self-investigation and rectification of hidden dangers and holding

meetings to review safety issues. In this way we have created a strong atmosphere for safety learning. 9 The statistical caliber covers all of Bloomage Biotech's wholly-owned operating factories in China.60 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 61

Employee Rights and Benefits Case: Bloomage Biotech's subsidiaries jointly carried out theme activities of the Women's Day

Bloomage Biotech has established a standardized salary and performance management system to protect and improve employees' welfare

in daily management. It has also strived to make employee communication channels smooth to effectively care for employees and to improve In March 2023 all subsidiaries and bases of Bloomage Biotech jointly launched the Women's Day activities themed "Your Beauty Need not be

their sense of happiness and belonging. Defined". The scope of the event covered more than 10 provinces and cities where various activities were carried out. The activities included

flower arrangement learning Ukulele making and painting with employees' happy work and life promoted.Employee Compensation

Bloomage Biotech adheres to the principle of equal pay for equal work and has formulated the Salary Management System . To match

salary with employees' contributions and performance and to boost their motivation we have built a scientific and reasonable salary system

optimized the income distribution structure and clarified the salary incentive orientation. The Company's remuneration payments are based on

the following principles:

Principle of job value payment: we have gradually established a salary deciding and adjustment mechanism in line with job value and market

best practices. In this way we have recognized job value and enhanced internal fairness

Principle of performance results payment: we link remuneration with organizational and individual performance while improving the

performance management mechanism linking corporate economic benefits with job performance. By doing so we have tilted income

distribution toward key positions and personnel

The principles of openness fairness and transparency

Employee Benefits

Bloomage Biotech adheres to its people-oriented principle and builds an Case: Bloomage Biotech's "Happiness Proposal" Plan

employee welfare system covering three categories: statutory benefits corporate

independent benefits and supplemental benefits. Based on employee feedback 100 %

we continuously optimize the welfare composition to meet employees' various Bloomage Biotech has launched its "Happiness Proposal" plan to provide periodic congratulations and gifts on key dates such as employees'

needs. In addition we provide diversified care to our female employees by setting The social insurance payment ratio of the employees induction regularization promotion anniversaries and birthdays. By doing so we have expressed our care and gratitude to them to improve

up a dedicated lactation room in the Company and organizing regular care their sense of belonging and boost their motivation.activities.Committed to keeping employees' work-life balance and boosting their motivation Case: Teacher' Day theme activities of Bloomage Biotech

we have carried out various care activities including holiday celebrations periodic 100 %

consolations and team-building activities. We have also continuously made the The coverage of supplementary medical insurance and In September 2023 Bloomage Biotech launched

office environment more comfortable to provide employees with a more pleasant physical examination for regular employees Teacher's Day theme activities by sending exclusive

and humane workplace. gift packs and sincere blessings to its internal

lecturers. In this way we have enabled employees to

Statutory benefits feel they were valued and cared for to create a warm

and harmonious workplace.Provide benefits to employees to meet national statutory requirements according to the Leave and Attendance

Management System: Employee Communication

Statutory holidays annual leave sick leave marriage leave maternity and paternity leave funeral leave social insurance (medical Bloomage Biotech attaches importance to communicating with employees and has established multiple and open channels for it. Employees

insurance pension insurance unemployment insurance work-related injury insurance maternity insurance) housing fund can report their problems and suggestions to department heads or the Human Resources Department through online feedback channels like

emails dedicated feedback boxes and face-to-face communication activities such as staff assemblies and department meetings to collect

employee opinions. The company is committed to protecting employees' rights and interests maintaining fairness and justice and providing

Corporate-owned benefits timely feedback to employees.Provide additional benefits to all regular employees to enhance welfare benefits and satisfaction including: To protect employees' legitimate rights interests and privacy the Company has established an anonymous complaint and reporting channel

Additional paid vacation holiday benefits employee mall discounts and kept employees' complaints and reporting information confidential. Employees can anonymously report any violations and workplace

Meal allowance factory canteen team building/annual meeting activities etc. misconduct to their superiors or the Human Resources Department. Then the relevant responsible departments conduct follow-up

investigations and handling based on employees' complaints or reports.In 2023 we conducted an employee satisfaction survey anonymously covering five dimensions: job duties management process working

Supplementary benefits environment career development salary and benefits. We have also analyzed data with a third-party professional research platform. We

have made organizational improvement plans based on the survey and analysis results. We have paid attention to employees' working

Care benefits: supplementary medical insurance annual physical examination high temperature subsidy holiday gift wedding gift conditions through the survey data and provided appropriate care to gradually improve employee satisfaction. In 2023 the average score of

etc. average score's overall employee satisfaction was 84.4 points.Economic benefits: subsidies in lunch business trip transportation communication overtime

In addition Bloomage Biotech explicitly respects employees' rights to freedom of association. We do not interfere with employees' legal

Learning and growth benefits: provide a certification allowance while in service

establishment operation or management of collective bargaining and provide convenience for communication between labor and

Corporate culture benefits: application for Beijing work-type residence permits

management. As of the end of the reporting period each of Bloomage Biotech's production bases has established its trade union. According

to the Trade Union Management System we listen to employees' opinions safeguard their legitimate interests and democratic rights and

Welfare system of Bloomage Biotech regularly carry out union welfare activities to improve their lives.62 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 63

Improving Environmental Management

06 Upholding the concept of green manufacturing and the management policy of "preventing accidents complying with regulations protecting the environment and continuously improving" Bloomage Biotech has established and continued to improve the environmental management system to ensure environmental compliance while reducing the impact of operations on the environment.Environmental Management System

Bloomage Biotech has strictly abided by the requirements of laws and regulations such as the Environmental Protection Law of the People's

Green and Low Carbon to Republic of China and the Energy Conservation Law of the People's Republic of China . With reference to the standards and requirements of ISO 14001 Environmental Management System we have formulated internal environmental management systems such as the Environmental

Management Handbook Internal Audit Control Procedures the Energy Management Energy Saving and Consumption Reduction

Protect Ecological Force Regulations as well as management regulations on air emissions wastewater and waste discharge.The Company has set up dedicated safety and environmental protection centers in each factory. They are responsible for identifying

investigating and evaluating environmental factors determining important environmental factors and relevant goals and indicators

formulating corresponding management plans and supervising the implementation of the plans. To further clarify the responsibilities of

The genes of green technology have been deeply rooted throughout Bloomage Biotech's production and operation. We have relevant departments standardize employees' environmental protection and energy-saving behaviors and ensure that rewards and

always improved the environmental management system product design and production processes as a way to practice the punishments are well-founded we have formulated the Safety Environmental Protection and Occupational Health Performance Appraisal

concept of green manufacturing. We constantly explore new ways of comprehensive utilization of resources and energy to Management Procedures and an energy efficiency incentive mechanism. We monthly assess employees of each level on rationalized

practice green and low-carbon production and operation. suggestions environmental protection and energy-saving technologies operations against regulations and relevant penalties.During the reporting period Bloomage Biotech has invested a total of RMB 15.41 million10 in environmental protection. No major environmental

Major Material Topics of Sustainability Covered in this Chapter: pollution incidents occurred and the following annual environmental management goals were achieved:

Environmental Management Environmental Permits and Certification

Biodiversity Waste Management 100 % 100 %

Product Environmental Impact Pollutant Management Wastewater discharge compliance rate Air emission compliance rate

Energy Management Water Resources Management

Material Management Response to Climate Change

100%

SDGs Addressed in this Chapter: 100 %

Compliance rate of hazardous waste treatment The pass rate of environmental hazards rectification

Certifications

Bloomage Biotech's Jinan factory Dongying factory and Tianjin factory have been certified by ISO 14001 Environmental Management

System

1 national-level green factory

1 municipal green factory

10 The statistical caliber covers all of Bloomage Biotech's wholly-owned operating factories in China.64 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 65

Environmental Risk Management and Control Environmental Supervision and Audit

Daily Risk Management and Control Bloomage Biotech strictly implements the "three simultaneous" system of environmental protection (environmental protection facilities and

the main project must be designed constructed and put into use simultaneously). We conduct timely environmental impact assessments

To step up its daily environmental risk management and control Bloomage Biotech has established its environmental factor identification and

before project construction to obtain approval and organize acceptance of environmental protection after project completion to ensure that

evaluation control procedures. We regularly identify evaluate and update the environmental factors involved in the Company's production

new projects meet environmental compliance requirements. We regularly conduct internal and external audits to discover problems and

R&D and operation processes from 3 temporal perspectives 3 states 8 types and 2 aspects. We regularly evaluate the effectiveness of

deficiencies in environmental management. We also take timely corrective measures to prevent potential environmental accidents and

control measures for important environmental factors.pollution incidents and to protect environmental and public interests.In accordance with the requirements of the Internal Audit Control Procedure the Company conducts at least 1 internal audit covering its systems

Discharge to the atmosphere of environment/occupational health and safety management every year. Through personnel interviews document reviews and on-site visits

we conduct inspections and develop our Audit Report on environmental management policies documented information pollutant prevention and

Discharge to water bodies control measures and emergency preparedness and response. For problems discovered in the internal audit the audited department analyzes

the causes of the non-conformities and prepares a report. Subsequently the department makes its rectification plan based on the Corrective and

Preventive Control Procedures and completes rectification within a time limit. Internal auditors are responsible for confirming the rectification results.Discharge to land

We regularly invite external third-party agencies to conduct ISO 14001 Environmental Management System audits on the Company to ensure

Raw materials and natural resource the applicability and effectiveness of the management system. We regularly promote cleaner production audits and tap our emission reduction

use potential to continuously improve resource utilization and pollution prevention and control. In 2023 Bloomage Biotech hired specialist agencies Past present future Environmental pollution

to conduct clean production audits on Jinan and Dongying factories covering energy consumption pollution discharge production processes

Energy emissions

operation of environmental protection facilities and environmental management status. We have also implemented clean production plans

Ecological damage and rational use of to further enhance economic and environmental benefits. In addition each factory accepts irregular inspections from relevant government

Normality abnormality emergency Energy release

resources departments of all levels and clients' on-site audits to continuously improve the credibility and transparency of environmental management.Improving Environmental Protection Capabilities

Waste and by-products

The Company regularly conducts environmental protection training to provide in-depth interpretations of environmental laws regulations and

Space occupation standards. In this way we have enhanced employees' environmental awareness and created a corporate atmosphere in which all employees

participate in environmental protection. In addition we have developed guidance documents for relevant positions of environmental protection

such as environmental protection equipment operating procedures. We have also provided special training for corresponding employees to

Flow chart of environmental factor identification

strengthen professional capabilities in environmental management ensure their compliant operations and prevent violations.The Company has effectively inspected environmental protection facilities monitored the environment and managed emergency response to

Environmental protection training of Bloomage Biotech11

minimize environmental risks:

Indicators Unit 2023

Daily inspection Environmental monitoring Emergency management

Number of training sessions on environmental protection and pollution prevention and control times 43

We assign dedicated personnel to conduct In accordance with the Management We have established and improved the Number of employees trained in environmental protection and pollution prevention and control person 3622

regular inspections of environmental Regulations on Pollutant Discharge Permits response mechanism for environmental Total hours of training on environmental protection and pollution prevention and control hours 3313

protection facilities to check their operation and the requirements of the pollutant emergencies and prepared documents such

and equipment wear. We also carry out discharge permit we conduct regular as the Emergency Plan for Environmental Case: Comprehensive and special environmental protection training

timely maintenance to ensure the safe environmental monitoring to effectively Emergencies and the Emergency Plan

and effective operation of all kinds of monitor the discharge of pollutants and for Heavily Polluted Weather . In this way

The Jinan factory organized 4 environmental protection-related training sessions in 2023 to promote the popularization and improvement

environmental protection facilities disclose the environmental test results in a we have standardized the response to

of its internal environmental awareness. A total of more than 600 people have participated in the training. Besides the factory has actively

timely manner as required. The results are environmental emergencies and ensured

participated in more than 10 training and exchange activities of Ecology and Environment Bureau of Jinan to better understand policies and

subject to review by regulators and public that on-site response to environmental

improve the Company's environmental management.supervision emergencies can be conducted in a quick

In 2023 the Dongying factory has invited external lecturers to conduct training on special solid waste management for relevant personnel

orderly and efficient manner

of the safety and environmental department and production department. They have provided in-depth interpretations of laws regulations

and standards related to environmental protection and solid waste pollution prevention and control. They have also further defined daily

Case: Each factory of Bloomage Biotech developed response strategies for environmental management requirements of general solid waste and hazardous wastes such as classified storage labeling and ledger recording. The

passing rate of the training assessment was 100%.pollution and conducted necessary drills

Biodiversity Assessment

Bloomage Biotech identifies and monitors the negative impacts that its operations may have on the surrounding ecology. To understand the

The Jinan factory has actively communicated with the local ecology and environment bureau. It formulated an emergency plan for heavily

current situation of biodiversity around the operation site the Company conducted a biodiversity assessment in 2023 to thoroughly investigate

polluted weather in November 2023 and publicized the "One Strategy for One Factory" notice board. During the orange alert and red alert

the surrounding ecosystems animal and plant species. We have developed corresponding prevention and control measures in terms of

the Company's production and relevant departments promptly implement factory shutdown and production restriction measures. The use

potential risk sources scope of affected areas probability of occurrence extent of harm and risk levels. The assessment results have shown

of freight vehicles with emissions below National IV Standards for transportation are strictly prohibited. These measures ensure Bloomage

that there are no nature reserves scenic spots national and local key protected wild plants and rare or endangered wild animals within 1km of

Biotech's compliant production in the emergency of heavily polluted weather.the area where the Company is located. The Company causes no significant negative impacts on biodiversity while maintaining the normal and

To improve employees' emergency response capabilities the sewage treatment workshop of the Dongying factory has organized effective operation of environmental protection facilities and detecting and disinfecting foreign objects.employees to conduct 4 emergency plan drills in 2023 including 2 on-site drills for limited space accidents 1 on-site drill for hazardous

waste leakage accidents and 1 on-site drill for chemical leakage accidents. 11 The statistical caliber covers all of Bloomage Biotech's wholly-owned operating factories in China.66 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 67

Strengthening Pollution Prevention and Control Wastes

Bloomage Biotech abides by relevant regulations and standards of pollutant prevention and control. To minimize the negative impact of Bloomage Biotech adheres to the sustainable development concept of green operation. We thoroughly implement the requirements of

pollutants on the environment we have always upgraded environmental protection design transformed environmental protection equipment the Law of the People's Republic of China on the Prevention and Control of Environmental Pollution by Solid Waste . We also uphold the

and improved the treatment efficiency of environmental protection facilities. principle of "reduction recycling and harmlessness" of solid waste to promote comprehensive solid waste management and utilization.The Company has formulated systems such as the Waste Discharge Management Regulations and Hazardous Waste Management

Air Emissions

Regulations to standardize the classified management of waste. Each of the Company's factories has built storage areas for general

Bloomage Biotech abides by the Law of the People's Republic of China on the Prevention of Atmospheric Pollution and national and local solid waste and temporary storerooms for hazardous waste to store the classified waste. The factories have also established ledgers for

waste gas emission standards applicable to the Company. We also implement the "three simultaneous" system for environmental protection in the generation transfer and storage of waste to realize traceability throughout the waste management.construction projects. We promptly install waste gas treatment facilities in newly built workshops and continuously optimize existing waste gas

On hazardous waste management the Company has installed ground anti-seepage facilities gas collection systems and exhaust tube

treatment designs and equipment. We adopt advanced waste gas treatment technology for pollutants generated during production and operations

equipment in the temporary storerooms in strict accordance with the relevant requirements of the Standard for Pollution Control on Hazardous

such as nitrogen oxides (NOx) and volatile organic compounds (VOCs). Each factory has formulated its own air emission management system

Waste Storage and Technical Specifications for Collection Storage Transportation of Hazardous Waste . We classify and store various

and established its emission management ledger. To ensure the stable operation of waste gas treatment facilities and the compliance of waste gas

hazardous wastes such as waste liquid waste packaging used oil waste lamp tubes and spent activated carbon and set prominent warning

emissions the factories assign dedicated personnel to maintain the facilities and regularly entrust third-party agencies to conduct tests.signs of hazardous waste in the storage area. The Company has entrusted qualified third parties to transport and dispose of all hazardous waste.In terms of air emission management the Company takes emission reduction measures Emissions of major air pollutants of

for organic waste gas. We have also improved treatment efficiency and reduced emissions 12 Bloomage Biotech's disposal measures for various wastes mainly include:Bloomage Biotech

by upgrading process design and transforming environmental protection equipment. For

Indicators Total emissions in 2023

example the Chaohu factory has phased out and replaced two BFS 3-in-1 equipment which Source reduction Recycling Harmlessness

is expected to reduce waste gas emissions with non-methane total hydrocarbon by 5.4 million Nitrogen oxides 7.46 Tons

O p t i m i z e p r o d u c t i o n p r o c e s s e s Recycle waste plastics waste packaging Entrust a qualified third party to dispose

cubic meters per year. At the same time the Jinan factory has developed its collection and

Volatile organic and improve product qual i ty and cartons and other wastes of unrecyclable general industrial waste

treatment plan for the waste gas from alcohol storage tanks. After completing the project the 3.30 Tons

compounds productivity to reduce solid waste Entrust a qualified third party to fire and hazardous waste

factory can further reduce the fugitive emissions of VOCs (ethanol).generation waste perlite and sludge into building

Waste Water Recycle cleaning solution to reduce materials and turn waste plastics into

Bloomage Biotech abides by the Law of the People's Republic of China on Prevention and Control of Water Pollution and national and local chemical consumption and hazardous recycled plastic particles

wastewater discharge standards applicable to the Company. We have strengthened the management of water pollution prevention and waste production

control facilities and effectively controlled various water body risks. The Company has formulated its wastewater management system to Optimize the wastewater treatment

strictly control all aspects of wastewater discharge and treatment to ensure compliance. process to reduce the amount of

Factories listed as key sewage discharge units have established wastewater treatment workshops within their parks to ensure that wastewater dosing and sludge generation

treatment meets the requirements of the Wastewater Quality Standards for Discharge to Municipal Sewers (GB/T31962-2015) before being

discharged into the municipal sewage pipe network. Besides in accordance with the requirements of the Management Regulations on

Waste Discharge of Bloomage Biotech14

Pollutant Discharge Permits they have installed wastewater online monitoring equipment and networked with the government's environmental

protection department to achieve internal and external collaborative and dynamic supervision of wastewater discharge. The wastewater Indicators Unit Total amount in 2023

quality of other factories is regularly tested by the government and can be directly discharged into the municipal sewage pipe network. 100% of General industrial waste Tons 9599.45

such wastewater discharged into the municipal sewage pipe network meets the discharge requirements.Hazardous waste Tons 85.01

During the reporting period Bloomage Biotech has strengthened daily inspections of potential wastewater discharge hazards. We promptly

handle potential risks identified in the inspections to ensure the stable operation of wastewater treatment facilities and prevent leakage and Domestic waste Tons 581.09

venting during production. Bloomage Biotech has been continuously improving precise monitoring and efficient end-of-pipe treatment of Food waste Tons 658

wastewater treatment processes. Through digital management and upgrading of wastewater treatment facilities the Company has further

ensured the stability and compliance of wastewater treatment. For example the Dongying factory has installed an alarm system in the Total hazardous waste Tons 10923.55

wastewater treatment workshop to conduct real-time monitoring of the pretreatment system anaerobic system AO system and dosing Recycled waste Tons 7331

equipment. We issue timely early warnings for abnormalities to enable operators to quickly reset faults remotely. At the same time the Jinan

factory has upgraded its fans and aerating system to reduce the mud content of the effluent enhancing the aeration effect and the effluent

quality. In this way we have improved wastewater treatment efficiency and reduced power consumption.Bloomage Biotech has the business of producing pharmaceutical-grade Wastewater discharge of Bloomage Biotech13

products. The Company's related products (hyaluronic acid and related

Indicators Total emissions in 2023

products) may flow into the wastewater treatment system during production due

to container cleaning and other reasons. Such products are discharged after Total amount of wastewater

123.85（in 10000 tons）

treatment meeting the pollution discharge supervision requirements. In addition discharge

the products themselves are non-toxic so they can also be used as a raw-food COD 54.01 Tons

material without bioactivity. Therefore they have no significant negative impact on

Ammonia nitrogen 2.03 Tons

the environment and no substantial negative impact on employees' health.

12 The Company monitors collects and treats air pollutant emissions in accordance with regulatory requirements including pollutants such as sulfur dioxide and

particulate matter which are insignificant in information disclosure. The statistical caliber covers all of Bloomage Biotech's wholly-owned operating factories in China.

13 The Company monitors collects and treats wastewater pollutant emissions in accordance with the requirements of regulators including pollutants such as total

nitrogen total phosphorus and others that are insignificant in information disclosure. The statistical caliber covers all of Bloomage Biotech's wholly-owned operating

14

factories in China. The statistical caliber covers all of Bloomage Biotech's wholly-owned operating factories in China.68 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 69

Optimizing Resource Use Water Resources Management

Bloomage Biotech attaches importance to the rational utilization of water resources and continuously strengthens scientific water

Bloomage Biotech continues to consolidate normalized resource use management reduce its resource consumption and recycle and reuse

management. The Company has formulated the Energy Management Energy Saving and Consumption Reduction Regulations adding water

its resources in details. We have improved resource utilization efficiency comprehensively and given full play to its innovation advantages. We

consumption management indicators into the daily indicator management system of each workshop and team and clarifying water metering

have also pushed forward the implementation of programs for resource recycling and green alternatives.requirements. Besides we formulate annual water use plans and entrust third parties to conduct water balance tests and industrial water-

Energy Management saving diagnoses. By doing so we have laid a solid foundation for the long-term improvement of water resource utilization efficiency. All the

Company's office and production are supplied by municipal water. The types of water used mainly include production water make-up water

Bloomage Biotech strives to reduce energy consumption and carbon emissions during production and operations. We have actively promoted for cooling circulating water boiler replenishment water water for environmental protection facilities and domestic water.the establishment of an energy management system and formulated system documents such as the Energy Management Energy Saving

In the production process the Company has actively used water-saving equipment optimized production processes and recycled industrial

and Consumption Reduction Regulations and Energy Management Implementation Plan . We have implemented a multi-level energy

water steam and wastewater to avoid unnecessary drainage flushing and overflow. Besides we continue to improve water metering identify

management post-responsibility system. As of the end of the reporting period the Jinan factory has been certified by the ISO 50001 energy

weak links in water use and replace old water facilities to prevent water resource waste such as leakage and venting in the water supply pipe

management system achieving scientific standardized and procedural energy management.network.Energy management measures of Bloomage Biotech mainly include:

Aiming to build a water-saving enterprise the Company has vigorously promoted the use of advanced water-saving technologies and

Energy-consuming Energy metering statistics Energy performance management processes to enhance its water-saving management. The Dongying factory has been honored as a Water-saving Enterprise of Shandong

equipment management Province.Water-saving measures of Bloomage Biotech mainly include:

Forbid the use of equipment Equip qualified measuring instruments Hire specialist agencies to assist factories in

phased out by the state and as required and continuously upgrade conducting energy-saving diagnosis

Cooling water recycling

use the latest energy-saving and optimize the IoT(Internet of Things)- Implement a daily inspection system for energy

products recommended by based online collection system of energy management and a joint inspection system.the state consumption data to facilitate energy Reward and punish individuals and departments The Dongying factory carried out a technical transformation project to transform the cooling water discharge pipes in the power

Carry out regular equipment planning and management in advance for their performance. workshop fermentation workshop and alcohol recovery workshop. It has also installed cooling circulating water tanks to achieve

maintenance and repair to Carry out weekly energy statistics Encourage employees to put forward rationalized reuse of production water saving approximately 30000 cubic meters of water annually

el iminate faults leakage and monthly summary analysis and proposals and participate in technological The Jinan factory has achieved 97% indirect cooling water circulation and 95% industrial water recycling

and venting and to keep the benchmarking. Analyze the reasons and transformations of energy-saving and consumption-

equipment at top performance develop rectification measures promptly in reducing. Provide positive incentives based on cost

Troubleshooting for water pipelines

for a long time the case of a large increase or decrease in savings when the proposals are implemented and

energy consumption evaluated to be effective

The Chaohu factory has replaced the rusted galvanized pipelines in the production workshop and de-rusted and insulated all chilled

We implement low-carbon emission reduction measures in details and actively recycle and reuse energy in production. For example we water and steam pipelines. The annual maintained pipelines exceeded 300 meters

use the steam and heat generated during the fermentation process for factory heating hot water supply and heat energy consumption in

employee canteens. In addition we vigorously promote the comprehensive utilization of energy and utilize biogas generated in the anaerobic

16

stage of wastewater treatment for power generation. We have actively developed and utilized clean energy introducing rooftop solar Water consumption of Bloomage Biotech

photovoltaic power generation systems for production and office use. In this way we have enhanced the proportion of green energy.Indicators Unit Consumption in 2023

Total water consumption 10000 tons 142.12

The Tianjin factory and the Jinan factory have built rooftop photovoltaic and biogas power generation equipment with a total annual

power generation of approximately 3.522 million kilowatt hours (kWh) and greenhouse gas (GHG) emission reduction of approximately Circulating water consumption Tons 6734

2008 tons of carbon dioxide equivalent

During the reporting period the Jinan factory introduced external biomass heating for a total of 38283 GJ replacing the original

natural gas boiler. We have reduced GHG emissions by approximately 5000 tons of carbon dioxide equivalent

Energy Use of Bloomage Biotech15

Indicators Unit Amount in 2023占位图

Natural gas cubic meter 15686836

Gasoline litre 21706

Diesel oil litre 8939

Purchased electricity kWh 66931210

Purchased heat from fossil fuels GJ 174332

Self-generated renewable electricity kWh 3521913

Purchased heat from biomass fuel GJ 38283

15 The statistical caliber covers all of Bloomage Biotech's wholly-owned operating factories in China. 16 The statistical caliber covers all of Bloomage Biotech's wholly-owned operating factories in China.70 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 71

Packaging Material Management Addressing Climate Change

Bloomage Biotech strictly complies with the laws and regulations such as the Product Quality Law of the People's Republic of China the

Bloomage Biotech actively explores the development path of green manufacturing. The Company has been less dependent on natural

Food Safety Law of the People's Republic of China the Drug Administration Law of the People's Republic of China the Law of the People's

resources and chemicals and continuously reduced resource consumption and GHG emissions. While reducing its own emissions the

Republic of China on the Prevention and Control of Environmental Pollution by Solid Waste Regulations Concerning Hygiene Supervision over

Company strives to provide green manufacturing solutions to achieve the "dual carbon" goals and support sustainable development.Cosmetics and the Regulation on the Supervision and Administration of Medical Devices . We conduct packaging design procurement and

processing according to the laws and regulations' requirements. Besides we implement the concept of green and low-carbon high-quality The Company has realized the necessity and urgency of responding to climate change. We have proactively identified the impacts and risks

development in accordance with the requirements of the national standard of the Requirements of Restricting Excessive Package—Foods and that climate change may bring to all aspects of our operations. We have established a top-down ESG management mechanism to advance

Cosmetics and documents such as the Sustainable Packaging Initiative for Cosmetics . To lessen the impact of packaging on the environment the effective implementation of tasks such as responding to climate change conserving energy and reducing emissions. We have also set up

and health we focus on reducing packaging weight and quantities in packaging design material transportation production packaging an ESG Strategic Management Center responsible for policy research path planning carbon management information disclosure and other

procurement and other links. climate change-related tasks. The Company attaches great importance to managing carbon emissions at the organization and product levels

and has conducted GHG inventory based on ISO 14064 standards for all factories in China for two consecutive years as well as an accounting

Green packaging initiatives of Bloomage Biotech mainly include: on product carbon footprint and carbon emissions for our main products of hyaluronic acid which have all obtained verification statements

from well-known auditing organizations.Conduct research on the application of sugarcane-based plastics in disposable packaging materials.Compared with traditional petroleum-based plastics each ton of bio-based plastics can reduce carbon dioxide 18

Green packaging GHG emissions of Bloomage Biotech

emissions by about 3 tons

design

Employ BOPP environmentally friendly film in place of PVC cigarette wrapping film to avoid the impact of harmful Indicators Unit 2023

substances contained in PVC on the environment and employees' health

Direct emissions (Scope 1) tCO2e 43554.73

Optimization

Use reusable material transfer tanks to transport materials and reduce the use of polyethylene plastic bags

of material Indirect emissions (Scope 2) tCO2e 57347.36

Strengthen the linkage between equipment and reduce material turnover to save the use of packaging materials

transportation Total GHG emissions (Scope 1 + Scope 2) tCO2e 100902.09

Recycle secondarily waste plastics waste outer packaging cartons and other waste generated during the

Packaging recycling

production process to minimize the amount of waste packaging

Obtain FSC-COC (Forest Chain of Custody) certification and have the ability to purchase FSC (Forest Case: Product carbon footprint certification

Stewardship Council) certified packaging materials. More than 95% of the purchased external packaging

Green packaging

materials for functional skin care products have been certified by FSC

procurement Carbon footprint accounting serves as the foundation and key for Bloomage Biotech to achieve low-carbon and green development. It is also

Actively purchase biodegradable plastics recyclable plastics and other environmentally friendly materials to

essential for the Company to reach the international market. During this reporting period we have carried out cradle-to-gate carbon footprint

replace traditional plastic packaging

accounting on our product of hyaluronic acid in accordance with ISO 14067 PAS 2050 the GHG Protocol Product Life Cycle Accounting and

Reporting Standard and the General Rules for Product Carbon Footprint Evaluation in Shandong Province . We have obtained the carbon

Case: BIOHYALUX's "Empty Tube Recycling" program for single-use products footprint certification statement.Climate Risks and Opportunities

As Bloomage Biotech's brand of functional skin care BIOHYALUX has carried out the "Empty Tube Recycling" program for four consecutive

years since 2020. It has encouraged more consumers to participate in sustainable consumption by distributing unconditional coupons and Bloomage Biotech pays close attention to the impact of

exchanging empty tubes for genuine products. By the end of 2023 it has conducted 13 sessions of the "Empty Tube Recycling" campaign and climate change on its production and operations. We have

recovered over 9.08 million tubes. A total of nearly 100000 people have participated with the recycling weight of 13.62 tons. issued and implemented the Natural Disaster Emergency

Plan to improve our rel ief system and operat ing

Case: Integration of skin care and environmental protection concepts mechanism for responding to natural disasters. In

addition for the first time in 2023 we referred to the TCFD

framework to identify climate risks and opportunities and

Bloomage Biotech is oriented to consumer demands. While focusing on R&D and innovation in skin care the Company's major functional developed countermeasures focusing on our operating

skincare brands are committed to practicing green and environmentally friendly sustainable concepts. We are convinced that we can shape a locations. With the complicated and changeable impacts

more sustainable consumer market alongside our customers with our products. While pursuing product effectiveness we have always fulfilled of climate risks the Company will continue to track and

our responsibility to the environment. To lessen the burden on the environment as much as possible we have continued to optimize packaging assess the risks timely adjust and update their objective

design and effectively reduced the use of paper plastic and other materials. Besides we have also launched refill products to encourage expressions. We will promote the continuous integration

consumers to recycle containers to reduce resource waste. In addition we use FSC-certified paper packaging materials in our product of climate risks and our risk management system and

packaging to support the protection and sustainable development of the forest ecosystem. gradually develop risk response strategies to push

forward the implementation of tasks.Packaging Materials Procurement of Bloomage Biotech

Indicators Unit Amount in 2023 18 The report of Bloomage Biotech's GHG emission data in 2023 covers all of Bloomage Biotech's offices R&D centers and wholly-owned operating factories in

China. The emissions from offices and R&D centers are negligible and excluded from quantification based on international norms. Scope 1 GHG emissions refer to the

Total procurement of packaging materials17 Tons 5270

emissions generated from the consumption of natural gas diesel gasoline fugitive emissions of methane in waster water and refrigerant filling. GHG emissions in

Purchase volume of FSC-certified paper packaging materials Tons 846 Scope 2 refer to the emissions generated from the consumption of purchased electricity and heat. The Company has accounted its GHG statistics in accordance with

the requirements of ISO14064-1: 2018 Specification with Guidance at the Organization Level for Quantification and the GHG Protocol Enterprise Greenhouse Gas

Emission Accounting and Reporting Standard and Reporting of Greenhouse Gas Emission and Remova l. The emission factors refer to the requirements of technical

documents such as the 2019 Refinement to the 2006 IPCC Guidelines for National Greenhouse Gas Inventories and the latest average grid emission factor of 0.5703

17 The packaging materials purchased by the Company mainly include paper plastic glass and aluminum. tCO2 / MWh issued by the Ministry of Ecology and Environment of the People's Republic of China.72 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 73

Physical Risks Transition Risks and Opportunities

We have conducted the scenario analysis based on the two Representative Concentration Pathways (RCPs) of the Intergovernmental Driven by the national "dual carbon" strategy and global carbon neutrality trend Bloomage Biotech is well aware of the necessity of low-carbon

Panel on Climate Change (IPCC) namely RCP4.5 (low carbon emissions scenario) and RCP8.5 (high carbon emissions scenario). We have transition as well as potential compliance risks in long term operation and business expansion and cost burdens increased therefor. At the

comprehensively identified our potential physical risks in the short term (2030) medium term (2050) and long term (2080) as follows: point we analyze climate-related transition risks and opportunities facing the Company with two shared socio-economic pathways (SSPs) of

Intergovernmental Panel on Climate Change (IPCC) namely SSP1-1.9 (low carbon emission scenario) and SSP2-4.5 (high carbon emission

Expected

Risk scenario).Risk Type Occurrence Potential Impacts Response

Level

Time Risk/

Possible damages or faults to devices Develop Preparedness Plan to Respond to Natural Type Opportunity Potential Impacts Response

and infrastructure resulting in production Disasters Environmental Emergency Plan and Type

Near interruption and reduced production Production Safety Accident Response combined China's Carbon Emissions Trading System operates Pay close attention to changes in international and

Extreme

High interim efficiency as well as more additional costs with regular drills to continuously improve and with carbon pricing. If included in the carbon quota domestic laws regulations and policies involving

Precipitation

long terms allocation list the Company will cost more to support environmental protection and carbon emissions so in device maintenance and replacement. optimize emergency response mechanisms.Policies and related compliant operation. that the Company can plan and carry out annual carbon

An increase in short-term wastewater Plan and prepare sufficient flood prevention

regulations As stricter national policies and regulations are emission review and measurement in advance and

disposal burdens leads to larger external resources in advance such as sandbags sump

enacted to mitigate climate change the Company is gradual carbon footprint verification etc.drainage volumes and severer water pumps raincoats waterproof boots. faced with more pressures on compliance activities Strengthen internal management to prevent additional

pollution risks affecting production stability. Optimize water supply and drainage facilities to and related litigation risks. cost increases and negative environmental events.The normal operation of logistics and increase the capacity of wastewater disposal Technological cost in low-carbon transition. Work harder in the feasibility study of new technologies to

Tropical supply chain may be affected with system or apply more efficient treatment

Moderate Interim term Investments in low-carbon technology failed and the ensure rationality and applicability.Cyclone logistics delays inventory shortages technologies with external outlet shut-off valves Technologies Company lagged behind peers in low-carbon Focus on the cultivation and retention of R&D talents

and even overdue delivery incurring arranged. transition. consolidate for stronger R&D capabilities.Risk

a big threat to business continuity and Raw material costs may rise due to the climate- Pay attention to any change in raw material market and plan

customer satisfaction. affecting quality and quantity. to reserve raw materials in advance.A need produced to equip more Develop Preparedness Plan to Respond to Natural The demand for our products may decrease as Take an active part in energy conservation and emission

refrigeration equipment in an increased Disasters combined with regular drills to continuously Markets customers/consumers become stricter about low- reduction and increase the proportion of clean energies used.operational cost. improve emergency response mechanisms. carbon products and ESG performance of their Integrate the concept of sustainability into product

suppliers. design and research and development to meet the need of

Some raw materials and products go Strictly monitor and ensure raw materials and products

Near customers/consumers for green products.Extremely high bad during storage and shipment stored and shipped under appropriate conditions

Moderate interim As the Company's ESG performance remains as Actively respond to concerns of stakeholders about

temperatures affecting the quality and marketability of involving timely adjustments to ventilation

long terms a focus for stakeholders failure to address climate climate related issues by disclosing ESG reports

products. temperature and humidity.Reputation change risks or fulfill environmental responsibilities updating information disclosed on the official website

Fire and explosion risks rise in the Strengthen fire prevention including regular may incur a negative impact on its reputation and and completing questionnaires.warehousing. inspections and maintenance of fire-fighting further damage its brand image and market position.equipment and facilities and fire drills. Incentive policies involving carbon reduction Actively engage in the development and implementation of

Long term drought may cause a Stick to optimization of production processes employ subsidies and support are formulated by the carbon reduction projects and timely apply for relevant subsidies.Near water shortage in production and affect water-saving devices instead of old ones for highly government. Build the capability of advancing green transformation

Water

Moderate interim production stability. efficient water resource utilization. The Company can count on new financing channels and expand funding sources.Shortage

terms Make a scientific schedule for production and strictly Market and support policies attributable to development of Achieve non-hazardous disposal and low-carbon

act with it. green financing and sustainable investment. production of products by means of research and

Opportunity

Flooding risks increased in coastal areas Strengthen the resilience of buildings and The demand of customers/consumers for green development innovation process optimization etc. and try to

products increases. obtain product carbon footprint certification and environmental

cause damage or faults to equipment infrastructure to disasters such as a design of

declaration for higher product competitiveness.and infrastructure and put factories higher building foundation more efficient drainage

Opportunities are provided by industrial energy- Employ high-efficiency production equipment to improve

warehouses and office buildings in systems.Technologies saving technologies and equipment for companies resource recovery and utilization and further reduce costs

Sea-level danger of seawater erosion and Assess risks related to sea-level rise in coastal

Low Long term to reduce costs and increase production efficiency. related to energy and resource consumption.Rise drowning as a result of which production operation bases so as to adjust investment and

may be interrupted or relocation needed. development plans in a timely manner that Greenhouse Gas Emission Reduction

Potential damages to coastal ports and potential risks are addressed.Well understanding how necessary it is to accelerate low-carbon transition Bloomage Biotech focuses on short-term emission reduction

transportation channels are associated with

projects with long-term reduction strategies. As of the disclosure of this report the Company strengthened its renewable electricity capacity

supply chain disruption or logistics delays.by means of photovoltaic distributed generation facilities and facilities for biogas to electricity conversion.An increase in short-term wastewater Develop Preparedness Plan to Respond to Natural

disposal burdens leads to larger external Disasters combined with regular drills to continuously In time to come we will continue to improve our carbon emission management system with measures taken including professional talent

drainage volumes and severer water improve emergency response mechanisms. allocation and external cooperation and exchanges. At first we will integrate internal and external resources to optimize the energy structure

Near

pollution risks. Optimize water supply and drainage facilities to and reduce dependence on fossil fuels thermal power generation and steam power by fossil fuels aiming at a decrease in greenhouse gas

interim

Floods Low Possible damages or faults to devices increase the capacity of wastewater disposal system emissions resulting from energy consumption. Secondly we will work toward improved energy efficiency through technological and process

long terms

and infrastructure resulting in production or apply more efficient treatment technologies with innovation so as to reduce intensity of energy use and greenhouse gas emissions.interruption and reduced production external outlet shut-off valves arranged. In addition we understand the importance of joint efforts by all parties to achieve the low-carbon transition and prepare to work with value

efficiency as well as more additional costs Plan and prepare sufficient flood prevention resources chain partners for greenhouse gas emission reduction projects conducted in the full life cycle of products because we know expectations of

in device maintenance and replacement in advance such as sandbags sump pumps. our customers regulatory agencies and other stakeholders for the Company's low-carbon development.74 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 75

Supply Chain Management System

07 Committed to building and maintaining a reliable and sustainable supply chain that is important to its development Bloomage Biotech continuously optimizes the supply chain management system to meet diverse procurement needs. In addition we have developed multi-dimensional management methods for various suppliers in a targeted manner which are effective to enhance the resilience of the supply chain.Supply Chain Management System and Structure

Strictly abiding by relevant laws and regulations such as the Company Law of the People's Republic of China and the Tendering and

Reciprocal Cooperation Bidding Law of the People's Republic of China the Company formulated procedural documents including Regulations on Material Procurement Management and On-Site Supplier Audit Regulations according to its own business needs as a guide to standardized

management in all aspects such as supplier entry evaluation and review routine management and quality management. In the year

and Cohesive Development of reporting the Company integrated planned and implemented tendering and procurement strategies put into practice supplier management plans and strengthened supply chain risk management capabilities while promoting collaborative actions among

procurement-related departments for the improved supply chain management process in order to achieve better supply chain

management and further improve functions of the procurement strategy management center.A stable and reliable supply chain is crucial for corporate development. Bloomage Biotech actively collaborates with suppliers In 2023 the Company revised and newly established regulations including the Cosmetics Supplier Entry Supervision and Management

for greater value in the supply chain which yields a win-win result. We develop close partnerships to practice responsible Regulations to further refine and clarify the management processes of different procurement areas and categories and to enhance the

procurement aiming at a positive impact on the environment and society while product quality is guaranteed. multi-dimensional supplier management capabilities . In addition the Company has improved the efficiency of supply chain management

by means of digital intelligence and has completed the acceptance of the Supplier Relationship Management (SRM) project. SRM is a

Major Material Topics of Sustainability Covered in this Chapter: system that can enhance cross-departmental business collaboration standardize and implement a series of management processes

related to procurement and supplier supervision.Supplier Management

Case: Bloomage Biotech was honored as "Green Supply Chain Management Enterprise"

SDGs Addressed in this Chapter:

Bloomage Biotech is committed to more efficient and targeted management and communication with suppliers by improving centralized

procurement management system launching and applying platforms like Supplier Relationship Management (SRM) and cooperating

with partners for lean production management. Moreover the Company actively builds itself into a green manufacturing benchmark with a

focus on green supply chain development. To be specific we establish green procurement standards and supplier performance evaluation

mechanisms and strengthen special exchanges with downstream enterprises through technical exchanges new product promotion and

other activities. On the basis that supply quality is ensured we prioritize cooperation with suppliers with outstanding performance in green

production. In 2023 Bloomage Biotech was selected as one of provincial-level green manufacturing enterprises in Shandong Province and

honored as "Green Supply Chain Management Enterprise".Supplier Entry and Classification Management

Bloomage Biotech has established a strict supplier entry mechanism used for comprehensive evaluations of potential suppliers in respects

such as basic qualifications quality assurance scale and strength competitiveness etc. and necessary on-site audits. Eligible suppliers are

included in the annual Qualified Supplier List .The Company implements classified management of qualified suppliers and the suppliers are classified according to their procurement

amount importance of goods and impact on the Company's products and production and other dimensions. By stratifying suppliers according

to these dimensions we manage suppliers in a tiered manner effectively controlling supplier risks and ensuring high-quality stable and safe

operation of the supply chain.As per our requirements suppliers of raw materials packaging materials and other types must be qualified with certificates for production

and operation necessary management system (eg. Quality management system GMP etc.) and for purchased items (such as production

process description safety assessment quarantine certificates toxicology and efficacy study data or inspection reports of raw materials

etc.) accompanied with appropriate production conditions. Besides the Company assesses performances of suppliers in environmental

protection occupational health and safety energy management and labor rights and rewards additional credits to excellent suppliers with

well-established management systems and certifications.In the reporting period Bloomage Biotech has developed partnerships with 712 production suppliers distributed as follows:

Country/region Unit Number

China's mainland Supplier 601

Taiwan of China Supplier 2

Overseas Supplier 10976 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 77

Supply Chain Quality Supervision and Review Supply Chain ESG Management

Supplier quality management is an important part of the corporate quality management system. Bloomage Biotech attaches great importance Adhering to the concept of "clear and transparent healthy and orderly" the Company practices the principle of "equal fair just transparent

to the quality of supply chain and has established an effective evaluation and management mechanism which works to strictly control quality willing and free negotiation" in procurement and fulfills responsibilities strictly in accordance with relevant systems and requirements to protect

of goods provided by suppliers through routine monitoring and regular evaluation. Additionally the Company cooperated with suppliers to legitimate rights and interests of suppliers and ensure the legal and compliant procurement.improve the quality of supply chain and provide customers with reliable and safe products and services. Bloomage Biotech continues to explore how to deepen the supply chain ESG management mechanism and expand communication channels

To ensure the stable and reliable quality of materials provided by suppliers Bloomage Biotech has established a comprehensive supplier and cooperation approaches. We manage important ESG issues such as green development labor rights safety and health and business

management system and a series of management documents and audit forms in alignment with regulations standards and other ethics etc. aiming to reduce supply chain risks promote sustainability and maintain corporate reputation for mutual prosperity for the

requirements such as Regulations on Selection Evaluation and Management of Raw Material Suppliers Supplier Entry Supervision and company society and the environment.Management Regulations Class A Raw Material Supplier Quality Management Regulations and On-Site Supplier Audit Regulations . The Suppliers are required to comply with ESG-related laws and regulations and encouraged to practice high-standard management systems

Company has established a rigorous supplier quality audit process requiring a 2-3 year-round of on-site quality audits for all suppliers of and business ethics. In addition to the Anti-Bribery Agreement signed by suppliers we also clearly specified in the contract that environmental

important materials. The audit encompasses various aspects of suppliers' operations including management production logistics and protection safety quality and others are responsibilities suppliers must assume.warehousing etc. Any non-compliance issues if found during the audit will be rectified by suppliers referring to the corrective action plan the

Company helps develop. Also we will regularly communicate with suppliers on the implementation of the plan and arrange necessary re- Bloomage Biotech's supply chain ESG management indicators include but are not limited to:

audits to confirm the effectiveness of the corrective measures ensuring continuous oversight until issues are resolved.We stick to communications and sign Quality Assurance Agreement with suppliers and conduct annual evaluations and assessments. At the

ESG dimensions Requirements

beginning of each year the Qualified Supplier List is updated annually based on the evaluation of qualified suppliers. Suppliers assessed as

"excellent" "good" and "eligible" will be provided with corporate comments on their shortcomings and urged to improve; suppliers found to be

rejected in critical items or "ineligible" in review conclusions will no longer be included in the Qualified Supplier List in this year and if reactivated

Comply with national and regional environmental laws and regulations

they will be evaluated according to the admission process for new suppliers. In the period of reporting the Company conducted quality audits

Complete necessary environmental impact assessments and pollutant discharge permit

and reviews on 261 suppliers and no supplier was assessed as "ineligible" in the annual evaluation. Environment

application

Application and Small Batch Sample Be certified to Environmental Management System

Document Sample Evaluation Assessment Evaluation and Trial On-site Review

Evaluation Regarding Changes Production

Be certified to Occupational Health and Safety Management System

Safety Complete necessary safety evaluations and safe production permit application

Supplementary List of

List of Qualified Trial Production Standardize chemical management documents and ledger records

Supplier Approval Quality Agreements Qualified Suppliers (to

Suppliers Verification

be Verified )

Comply with applicable national labor laws and regulations

Supplier Access Flow Chart

No child labor or forced labor

Labor

Regular health examinations

Case: Continuous supplier quality exchanges for quality improvement among the industry Necessary employee training

In Sep 2023 Bloomage Biotech invited 9 leading suppliers in the cosmetics raw material industry (including raw material and packaging

suppliers) to visit Jinan factory and exchange experience and insights in supply chain management and quality management. The exchange Integrity management qualifications

activities intended to actively promote joint efforts by all enterprises in high-quality production and further advance quality improvement in the Business ethics Positive track record of ethical business conduct

entire industry. While communicating we introduced our quality culture and management philosophy to visitors which were widely recognized. Sign anti-bribery agreement

Established procedures for selection confirmation and audit of suppliers

Procurement Established relevant regulations on supplier evaluations and retained evaluation records

Established a qualified supplier list and updated in a timely manner

Customer complaint investigation corrective and preventive measures management procedures

Customer relationship Recall procedures

Customer service performance evaluation

While promoting suppliers to improve ESG performance the Company actively practices sustainable procurement prioritizing products with

a nature in sustainability and builds a sustainable supply chain from the source. We delve deeply into the sourcing and production methods

of purchased materials ensuring compliance with pertinent sustainable standards to reduce our impact on environment and society. The

Company has been certified to FSC-COC (chain of custody) allowed to purchase FSC (Forest Stewardship Council) certified packaging

materials and over 95% of outsourced materials purchased for functional skincare products are FSC certified.78 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 79

Bloomage Biotech strives to create sustainable social value and concerns diverse social issues. For years we continued to conduct two major

08 public welfare activities "In Cloud" and "Bloomage Health Tour" aiming to explore and enrich public welfare practices in medical inclusion rural revitalization cultural inheritance and other fields so that the corporate social influence grows increasingly.At the same time we actively seek the industry-university-research cooperation. Thus we engage in in-depth cooperation with universities including the Central Academy of Fine Arts Shandong University and other colleges by providing scholarships and innovation and development funds as part of our public welfare activities to contribute to the development of science technology art and medical education.

Total investment Distributed by form

Care for society inspires 2.68 RMB million 1.68 RMB million 1 RMB million

vitality In social welfare Bloomage Biotech Provision of goods and services Cash donationstotally invested

Distributed by Impact

Bloomage Biotech cares about society and actively practicing corporate responsibilities through high-quality public welfare

initiatives such as "In Cloud" and "Bloomage Health Tour". These initiatives promote the integration between technology and "In Cloud" has lasted for 13 years traveled more than 150000 kilometers penetrated into ethnic minority settlements in more than

art while supporting advancements in medical education. The company continuously pays attention to social needs and 60 cities and helped nearly 400 ethnic culture and intangible cultural heritage inheritors from 38 ethnic groups to go to domestic and

leverages corporate advantages integrating internal and external resources and working together with all sectors of society international stages. During the period of reporting the project was included in excellent cases at the Pavilion UN SDG Summit 2023

to lay a solid foundation for the construction of a mutually beneficial and harmonious society. and ESG best practices for Chinese Listed Companies 2023 by China Association for Public Companies

"Bloomage Health Tour" has been carried out for 10 years with volunteer medical activities covering Yexian county of Henan

Major Material Topics of Sustainability Covered in this Chapter: Province Seda county of Sichuan Province Yinchuan city of Ningxia Province Zibo city of Shandong Province Bole city of Xinjiang

Province and other areas

Healthcare Availability Social Welfare and Community Relations

Industrial Cooperation and Development

Case: In Cloud has been conducted for 13 years supporting the vigorous development of

ethnic cultural inheritance

SDGs Addressed in this Chapter:

"I hope an increasing number of people will pay attention to ethnic culture and become a member who explores inherits and promotes the

disappearing cultures nourished on the land of China. I look forward to a future in which we grow with our ethnic cultures."

—— Ms. Zhao Yan Chairwoman and CEO of Bloomage Biotech initiator of "In Cloud"

In 2011 Zhao Yan Chairwoman and CEO of the Company initiated the "In Cloud" project with a mission to protect China's original cultures.This project explores how to preserve the intangible cultural heritage of various ethnic groups in China through art exhibitions immersive

experiences singing and dancing performances and culinary events. Additionally it supports rural development by promoting the inheritance

of ethnic cultures and improving local residents' living standards. In general it contributes to rural prosperity.To date the "In Cloud" series has been developed creatively with the times both in content and form including 13 thematic projects. It has

covered more than 60 cities in ten provinces and autonomous regions where ethnic groups gather it cumulatively helping nearly 400 inheritors

of ethnic cultures and intangible cultures from 38 ethnic groups along the tour of over 150000 kilometers come into view of domestic and

international communities.Bloomage Biotech carried out a series of folk art

activities and held "Know Xinjiang" music theme party

In 2023 the "In Cloud" team embarked on a one-year folk

art collection tour deep in northern Xinjiang searching for

endangered intangible cultural heritages and folk arts. A series

of "Know Xinjiang" activities were held including music parties

art exhibitions live forum chat etc. which presented the public

with a feast of diverse ethnic cultures via such comprehensive

experiences as singing and dancing art exhibitions enjoying

delicacies and cultural forums. The music theme party of

"Know Xinjiang·In Cloud" was broadcast simultaneously on

the CCTV4 TikTok account WeChat channel CCTV-channel

Homeland Dreamland Bloomage Biotech official Weibo and

other channels sharing and exploring the inheritance of

intangible culture with netizens amounting to nearly one million.80 BLOOMAGE BIOTECH 2023 Sustainability Report About Us Sustainability Management Compliance Innovation Employee Environment Supply Chain Community 81

Case: In Cloud has been conducted for 13 years supporting the vigorous development of Case: Bloomage Biotech sets up "Synthetic Biology Scholarship" to promote close

ethnic cultural inheritance（Continued） collaboration and integration between synthetic biology and arts

Bloomage Biotech supported development of local special agricultural products Technical Art is a discipline that promotes the integration of technological ideas and knowledge

In 2023 during the cultural tour in Gansu province the "In Cloud" team discovered a special fruit called Piteguo fruit. However due to its in art schools as well as artistic thinking in technology schools. Bloomage Biotech aims to

astringent taste it had limited economic value. To address this issue Bloomage Biotech utilized its professional technical expertise in synthetic foster industry-university-research cooperation to develop technical art. In June 2023 it

biology by applying microbial fermentation to increase the assay of active substances in the fruit. This effectively improved its economic value entered into an official cooperation agreement with the Central Academy of Fine Arts and

and facilitated product transformation and upgrading within the local market. In addition the Company utilized online and offline sales channels donated RMB 1 million for the "Synthetic Biology Scholarship". This scholarship encourages

to expand markets for Piteguo and processed products thereof which helped increase economic incomes in the local area and improve the and inspires artists to create artwork related to synthetic biology identifies innovative

economic situation of its residents. artists with unique perspectives and provides them with financial support and experimental

Bloomage Biotech contributed to childhood education in rural areas conditions.The public welfare activity "In Cloud" actively participates in funding education for children in remote areas. In 2023 sub-brands of Bloomage With the support of this scholarship the first group of selected artists visited various

Biotech such as "Biohyalux" and "Bio-MESO" sponsored the construction of schools in poverty-stricken areas including Yecha Primary laboratories and factories at Bloomage Biotech during the summer of 2023 for on-site art

School in Qinggangtang Town Suiyang County Zunyi City Guizhou Province and Zhongshiwanxiao Primary School in Yongning Town creation. They had extensive exchanges with frontline scientists engineers and production

Ninglang County Yunnan Province through the public welfare project. They donated classrooms and educational materials to create a more personnel while experiencing firsthand the innovative nature of synthetic biotechnology. The

suitable environment where students can enjoy reading and learning while promoting the development of rural childhood education. establishment of the "Synthetic Biology Scholarship" aims to popularize synthetic biology

through artistic creations so that more people can intuitively appreciate its charm and power. Award-winning works by honored artists (Partial)

Case: Bloomage Health Tour focuses on medical inclusion welfare with practices following

the concept that "life is to live" Case: Ms. Zhao Yan Chairwoman and CEO of Bloomage Biotech donated equity holding to

Shandong University as a support to the development of medical education and technology

With a focus on social health Bloomage Biotech has long provided support for medical inclusion welfare which plays an advantageous role.The company initiated the public welfare activity called "Bloomage Health Tour" in 2013 and has been providing free surgical consumables for In Oct 2023 Ms. Zhao Yan Chairwoman and President of Bloomage Biotech donated a portion of her holdings in the Company to Shandong

cataract patients in areas with relatively scarce medical resources for many years. It invited nationally renowned ophthalmologists to screen University accounting for 1% of the total share capital which is to support scholars and researchers at the university who have made

and treat local patients with eye problems and expanded its support to other life sciences and health fields - orthopedics and dermatology - in outstanding contributions in the field of biomedicine.

2021. The aim is to include more people in need into its public welfare projects as a way to fulfill corporate social responsibilities.

The donated shares will be used for the advancement of medical education and technology at Shandong University through the establishment

Furthermore its ophthalmic products "Hymois" (medical sodium hyaluronate gel) and "Hyprojoint" (sodium hyaluronate injection) have been of the Bloomage Biotech Medical Innovation and Development Fund. This fund will provide further support for Shandong University's efforts

included on the list of medical consumables covered by health insurance nationwide improving the level of medical security and healthcare. in constructing medical disciplines and transforming medical research across various areas such as synthetic biology organ regeneration

and stem cell research (anti-aging) new biomedical technologies and materials research and development as well as other life sciences and

Bloomage Biotech invited orthopedic specialists to provide free medical services in the "Bloomage Health Tour" project

health fields.In Aug 2023 the "Bloomage Health Tour" team visited Bole a northern border city in Xinjiang Province. Accompanying the team were two

well-known domestic orthopedic experts from the First Teaching Hospital of Xinjiang Medical University we invited to screen and treat Bloomage Biotech taking into account its own technological strength decided on this donation to contribute towards the development of

nearly 100 local patients with osteoarticular diseases for free and provide treatment suggestions. In addition under the help of the Beijing medical education with an intention to promote science and technology transformation into productivity while empowering life sciences for

Charity Association the Company donated 1000 vials of "Hyprojoinz" (sodium hyaluronate injection) and 500 vials of "Hymois" (medical societal progress that supports human healthy living standards characterized by beauty and happiness.sodium hyaluronate gel) to the Fifth Division Hospital of Xinjiang Production and Construction Corps which will be used in the treatment of

osteoarticular diseases and ophthalmic diseases including cataracts. The Company puts its advantages to good use providing free medical

services and health consultation services for residents in impoverished and remote areas.Bloomage Biotech sponsored Guangming Xing charity

In Jul 2023 the "Guangming Xing along the Silk Road" public welfare activity was held in Baisha County Hainan Province as its 20th stop

aiming to provide free diagnosis and surgical treatment for cataract patients in medically weak and underdeveloped areas. Bloomage Biotech

took an active part by sponsoring 200 vials of "Hymois" viscoelastic used as high-quality medical products for cataract patients in order to help

cataract patients from local disadvantaged families regain their eyesight.Orthopedic specialists are providing free medical services in the "Bloomage Health Tour" project Bloomage Biotech stock donation ceremony82 BLOOMAGE BIOTECH 2023 Sustainability Report Appendix 83

Appendix GRI Index（Continued）

GRI standard Disclosure Index

Index of Indicators 3-1 Process to determine material topics P15

GRI 3：Material Topics 3-2 List of material topics P15

GRI Index

3-3 Management of material topics P15

GRI standard Disclosure Index

201-1 Direct economic value generated and distributed P6

2-1 Organizational details P6-7

GRI 201: Economic 201-2 Financial implications and other risks and opportunities due to climate change P71-73

2-2 Entities included in the organization's sustainability reporting P1 Performance 201-3 Defined benefit plan obligations and other retirement plans P55

2-3 Reporting period frequency and contact point P1

201-4 Financial assistance received from government /

2-4 Restatements of information P1

202-1 Ratios of standard entry level wage by gender compared to local minimum wage /

2-5 External assurance / GRI 202：Market Presence

202-2 Proportion of senior management hired from the local community /

2-6 Activities value chain and other business relationships P6-7

GRI 203: Indirect Economic 203-1 Infrastructure investments and services supported N/A

2-7 Employees P48-61

Impacts 203-2 Significant indirect economic impacts P79-81

2-8 Workers who are not employees P49

GRI 204: Procurement

2-9 Governance structure and composition P17 204-1 Proportion of spending on local suppliers /

Practices

2-10 Nomination and selection of highest governance body P17

205-1 Operations assessed for risks related to corruption P21-22

2-11 Chair of the highest governance body /

GRI 205: Anti-corruption 205-2 Communication and training about anti-corruption policies and procedures P22-23

2-12 Role of the highest governance body in overseeing the management of

P17

impacts 205-3 Confirmed incidents of corruption and actions taken P23

2-13 Delegation of responsibility for managing impacts / GRI 206: Anti-competitive 206-1 Legal actions for anti-competitive behavior anti-trust and monopoly practices /

Behavior

2-14 Role of the highest governance body in sustainability reporting P11

207-1 Approach to tax P19

2-15 Conflicts of interest P13-14

GRI 2: General 207-2 Tax governance control and risk management P19

Disclosures 2-16 Communication of critical concerns P24 GRI 207: Tax

207-3 Stakeholder engagement and management of concerns related to tax P19

2-17 Collective knowledge of the highest governance body P17

207-4 Country-by-country reporting N/A

2-18 Evaluation of the performance of the highest governance body /

301-1 Materials used by weight or volume P70

2-19 Remuneration policies P60

2-20 Process to determine remuneration P60 GRI 301: Materials 301-2 Recycled input materials used P70

2-21 Annual total compensation ratio / 301-3 Reclaimed products and their packaging materials P70

2-22 Statement on sustainable development strategy P12 302-1 Energy consumption within the organization P68

2-23 Policy commitments P22-27、P49 302-2 Energy consumption outside of the organization /

2-24 Embedding policy commitments P19-25、P49-50、P76 GRI 302: Energy 302-3 Energy intensity /

2-25 Processes to remediate negative impacts P24、P44 302-4 Reduction of energy consumption P68

2-26 Mechanisms for seeking advice and raising concerns P43 302-5 Reductions in energy requirements of products and services P68

P18-27、P34、P37-45、 303-1 Interactions with water as a shared resource P69

2-27 Compliance with laws and regulations P49、P56-59、P63-70、P75-76 303-2 Management of water discharge-related impacts P66

2-28 Membership associations P14 GRI 303: Water and Effluents 303-3 Water withdrawal P69

2-29 Approach to stakeholder engagement P75-76 303-4 Water discharge P66

2-30 Collective bargaining agreements / 303-5 Water consumption P6984 BLOOMAGE BIOTECH 2023 Sustainability Report Appendix 85

GRI Index（Continued） GRI Index（Continued）

GRI standard Disclosure Index GRI standard Disclosure Index

404-1 Average hours of training per year per employee P53

304-1 Operational sites owned leased managed in or adjacent to protected areas and areas of high

P65

biodiversity value outside protected areas GRI 404: Training and 404-2 Program for upgrading employee skills and transition assistance programs P52-55

Education 404-3 Percentage of employees receiving regular performance and career development

304-2 Significant impacts of activities products and services on biodiversity P65 P55

reviews

GRI 304: Biodiversity

304-3 Habitats protected or restored N/A GRI 405: Diversity and 405-1 Diversity of governance bodies and employees P50-51

Equal Opportunity

304-4 IUCN Red List species and national conservation list species with habitats in areas affected 405-2 Ratio of basic salary and remuneration of women to men /

P65

by operations GRI 406: Non-

406-1 Incidents of discrimination and corrective actions taken P49-51

discrimination

305-1 Direct (Scope 1) GHG emissions P71

GRI 407: Freedom

407-1 Operations and suppliers in which the right to freedom of association and collective

305-2 Energy indirect (Scope 2) GHG emissions P71 of Association and P61

bargaining may be at risk

Collective Bargaining

305-3 Other indirect (Scope 3) GHG emissions /

GRI 408: Child Labor 408-1 Operations and suppliers at significant risk for incidents of child labor P49

GRI 305: Emissions 305-4 GHG emissions intensity /

GRI 409: Forced or

409-1 Operations and suppliers at significant risk for incidents of forced or compulsory labor P49

305-5 Reduction of GHG emissions P68 Compulsory Labor

GRI 410: Security

305-6 Emissions of ozone-depleting substances (ODS) P71 410-1 Security personnel trained in human rights policies or procedures /

Practices

305-7 Nitrogen oxides (NOx) sulfur oxides (SOx) and other significant air emissions P66 GRI 411: Rights of

411-1 Incidents of violations involving rights of indigenous peoples N/A

306-1 Waste generation and significant waste-related impacts P67 Indigenous Peoples

413-1 Operations with local community engagement impact assessment and development

306-2 Management of significant waste-related impacts P67 GRI 413: Local P78-81programs

Communities

GRI 306: Waste 306-3 Waste generated P67 413-2 Operations with significant actual and potential negative impacts on local communities P78-81

306-4 Waste diverted from disposal P67 GRI 414: Supplier 414-1 New suppliers that were screened using social criteria P75-77

Social Assessment 414-2 Negative social impacts in the supply chain and actions taken P75-77

306-5 Waste directed to disposal P67

GRI 415: Public Policy 415-1 Political contributions N/A

GRI 308: Supplier 308-1 New suppliers that were screened using environmental criteria P75-77 416-1 Assessment of the health and safety impacts of product and service categories P31、P37-40、P43

Environmental GRI 416: Customer

308-2 Negative environmental impacts in the supply chain and actions taken P75-77 Health and Safety 416-2 Incidents of non-compliance concerning the health and safety impacts of products Assessment P40

and services

401-1 New employee hires and employee turnover P50 417-1 Requirements for product and service information and labeling P25、P40

GRI 417: Marketing

401-2 Benefits provided to full-time employees that are not provided to temporary or part-time 417-2 Incidents of non-compliance concerning product and service information and labeling P25、P40

GRI 401: Employment P60-61 and Labeling

employees 417-3 Incidents of non-compliance concerning marketing communications P25

401-3 Parental leave P60 GRI 418: Customer 418-1 Substantiated complaints concerning breaches of customer privacy and losses of P44

Privacy customer data

GRI 402: Labor/

402-1 Minimum notice periods regarding operational changes N/A

Management Relations Principles of the United Nations Global Compact (UNGC)

403-1 Occupational health and safety management system P56-57 Category Principles Index

Principle 1: Businesses should support and respect the protection of internationally

403-2 Hazard identification risk assessment and incident investigation P57 P49-51

Human Rights proclaimed human rights; and

403-3 Occupational health services P59 Principle 2: Make sure that they are not complicit in human rights abuses P49-51

403-4 Worker participation consultation and communication on occupational health and safety P59 Principle 3: Businesses should uphold the freedom of association and the effective P61

recognition of the right to collective bargaining

403-5 Worker training on occupational health and safety P58-59 Labour Principle 4: The elimination of all forms of forced and compulsory labour P49-51

GRI 403: Occupational

403-6 Promotion of worker health P59 Principle 5: The effective abolition of child labour; and P49-51Health and Safety

Principle 6: The elimination of discrimination in respect of employment and occupation P49-61

403-7 Prevention and mitigation of occupational health and safety impacts directly linked by

P59 Principle 7: Businesses should support a precautionary approach to environmental

business relationships P62-73

challenges

403-8 Workers covered by an occupational health and safety management system P56-59 Environment Principle 8: Undertake initiatives to promote greater environmental responsibility; and P62-73

Principle 9: Encourage the development and diffusion of environmentally friendly

403-9 Work-related injuries P57 P31-32、P66-70

technologies

403-10 Work-related ill health P59 Anti-Corruption Principle 10: Businesses should work against corruption in all its forms including extortion and bribery P22-2486 BLOOMAGE BIOTECH 2023 Sustainability Report Appendix 87

GHG Verification Statement88 BLOOMAGE BIOTECH 2023 Sustainability Report Appendix 89

ESG Key Performance Tables Social Performance

Environmental Performance Indicators Unit 2023

Total number of employees person 4655

Indicators Unit 2023

Number of employees by gender

Total GHG emissions (Scope 1 2) tCO2e 100902.09 Male person 2344

Greenhouse gases Scope 1 emissions tCO2e 43554.73 Female person 2311

Scope 2 emissions tCO2e 57347.36 Number of employees by age

51 and over person 70

Natural gas cubic meter 15686836

31 to 50 person 2017

Gasoline litre 21706

Employment 30 and below person 2568

Diesel oil litre 8939

Number of Employees by rank

Energy Purchased electricity KWh 66931210 Senior Management person 8

Purchased heat from fossil fuels GJ 174332 Middle Management person 663

Self-generated renewable electricity KWh 3521913 General staff person 3984

Number of employees by geographic location

Purchased heat from biomass fuel GJ 38283

Mainland China person 4637

Total water consumption 10000 tons 142.12

Water Resource Regions or countries outside the mainland (including Hong Kong Macao and Taiwan) person 18

Circulating water consumption tons 6734

Number and proportion of women in management

Total procurement of packaging materials tons 5270 Female senior management (executives) person 4

Packaging materials

Purchase volume of FSC-certified paper packaging materials tons 846 Proportion of women in senior management % 50.00

Total hazardous waste tons 10923.55 Female middle management (above the manager level) person 328

Proportion of women in middle management % 49.47

General industrial waste tons 9599.45

The number and proportion of R&D employees

Hazardous waste tons 85.01

Waste Number of R&D employees person 926

Domestic waste tons 581.09

The proportion of R&D employees % 19.87

Food waste tons 658

Number of female R&D employees person 576

Recycled waste tons 7331

The proportion of female R&D employees % 62.20

Employee

Nitrogen oxides tons 7.46 Number of employees by physical condition

Waste gas Diversity

Volatile organic compounds tons 3.30 General employees person 4643

Disabled employees person 12

Total amount of wastewater discharge 10000 tons 123.85

Number of employees by ethnic group

Wastewater Chemical oxygen demand (cod) tons 54.01

Number of employees of ethnic minorities person 131

Ammonia nitrogen tons 2.03

Number of employees of non-ethnic minorities person 4524

Number of training sessions on environmental protection and pollution times 43

Number of employees by education

prevention and control

Training on Doctor and Professor person 36

environmental Number of employees trained in environmental protection and pollution person 3622

protection and pollution prevention and control Master person 654

prevention and control Bachelor person 1712

Total hours of training on environmental protection and pollution prevention hours 3313

and control Below bachelor person 225390 BLOOMAGE BIOTECH 2023 Sustainability Report Appendix 91

Social Performance（Continued） Governance Performance

Indicators Unit 2023 Indicators Unit 2023

Employee turnover Total employee turnover rate % 28.46 Number of directors in the Board person 9

Proportion of trained employees by gender Number of female directors in the Board person 3

Male % 53.39 Proportion of female directors in the Board % 33.3

Number of independent directors in the Board person 3

Female % 46.61

Proportion of independent directors in the Board % 33.3

Proportion of trained employees by rank

Number of directors with industry experience person 5

Management Level % 20.72

Number of directors with risk management experience person 6

General staff % 79.28

Employee Training Number of directors with financial management experience person 3

Average training hours by gender

Proportion of independent directors of the Audit Committee % 66.7 / 10019

Male hours 22.19

Proportion of independent directors of the Nomination Committee % 66.7

Female hours 23.15 Board composition and

Proportion of independent directors of the Remuneration and

governance overview % 66.7

Assessment Committee

Average training hours by rank

Proportion of independent Directors of the Strategy Committee % 20.0

Management Level hours 38.52

Proportion of independent directors in the ESG Committee % 66.7

General staff hours 18.49

Number of supervisors person 3

Number of occupational health and safety training times 640

Number of female supervisors person 3

Number of employees trained on occupational health and safety person 16675

Number of employee supervisors in the Board of Supervisors person 1

Total hours of occupational health and safety training hours 23533

Proportion of employee supervisors in the Board of Supervisors % 33.3

Employee health and safety Number of work-related injuries accident 3

Number of the Board meetings held times 6

Number of work-related deaths person 0

Number of the Supervisory Board meetings held times 4

Number of working days lost due to work-related injuries days 53 Number of the Shareholders' meetings held times 1

Work-related accidents per million work hours - 0.32 Number of the Committee meetings held times 7

Social welfare Total investment in public welfare RMB million 2.68

Economic Performance

Indicators Unit 2023

Operating Revenue RMB 100 million 60.76

Net Profit RMB 100 million 5.93

R&D investment RMB 100 million 4.46

19 On December 29 2023 the Company convened the 10th meeting of the second board of directors. During this meeting the Proposal to Adjust the Composition of

Proportion of R&D investment to revenue % 7.35 the Audit Committee of the Second Board of Directors was deliberated and approved. Following the adjustment the proportion of independent directors on the Audit

Committee of the Company reached 100%.BLOOMAGE BIOTECH 2023 Sustainability Report

Bloomage Biotechnology Corporation Limited

Address: Floor 33 Tower D Bloomage International Center 6A Jianguomenwai Avenue Chaoyang District 100022 Beijing China

Email: esg@bloomagebiotech.com

Website: https://www.bloomagebiotech.com/