CONTENTS
01 About This Report
03 Message from the
Chairman
05 About Us
05 Company Profile
05 Honors and Recognitions
07 2025 in Figures
08 ESG Governance
08 Board Statement
08 ESG Governance Structure Service Talent
Section Section
09 Stakeholder Communica-
tion
23 Warmth Along Hunan 51 Gathering Tal-
10 Materiality Assessment Highways Delivering ents in Hunan
Premium Xiandai Nurturing Xian-
Governance Services Environmental dai's Talent Social
Section Section Workforce Section
25 Inspiring Technological
Innovation 53 Protecting Employees'
11 Rooted in Hunan 35 Protecting Hunan's Rights and Interests 59 Committed to
Forging Xiandai Gov- 26 Safeguarding Safety Bot- Landscape Honoring Hunan's Develop-
ernance tom Line Xiandai's Low-Carbon 54 Prioritizing Employee ment Fulfilling Xian-
Commitment Development dai's Social Responsi-
67 Outlook 32 Delivering Premium Servic-
13 Solidifying Corporate Gov- es bilities56 Caring for Employees'
ernance 37 Addressing Climate Change Health and Well-being
68 Appendixes
16 Strengthening Risk Man- 44 Deepening Green Operations
68 Key ESG Performance agement 61 Building a Responsible Supply Chain
49 Protecting Ecological Envi-
69 Report Indicator Index 19 Upholding Business Ethics ronment 62 Promoting Win-Win
70 Reader Feedback 22 Upholding Party Leadership Development with Part-ners
63 Fulfilling Community
Responsibilities01 Xiandai Investment 2025 Sustainability Report 02
About This Report
Report Description Reporting Scope
This annual report is the fourth Sustainability and Environmental Social and Governance ("ESG") Report released by Xiandai In- Unless otherwise specified the time range of the data contained in this report is from January 1 2025 to December 31 2025 ("within
vestment Co. Ltd. ("Xiandai Investment" "Company" or "We\our" for short). this year" or "during the reporting period" for short). In order to enhance the comparability and completeness of the report it will
be extended appropriately.Reporting Boundary
This report covers Xiandai Investment and our branches wholly-owned subsidiaries and holding subsidiaries. Unless otherwise stat- Preparation Basis
ed the scope of this report is the same as that of the Company's annual report.●?Self-Regulatory Guidelines No. 17 for Companies Listed on Shenzhen Stock Exchange - Sustainability Report (For Trial Implemen-
tation)
Branches ●?Self-Regulatory Guidance No. 3 for Companies Listed on Shenzhen Stock Exchange – Preparation of Sustainability Report
●?GRI Sustainability Reporting Standards (GRI Standards) issued by Global Sustainability Standards Board
Changsha Branch of Xiandai Investment Co. Ltd. Huaihua Branch of Xiandai Investment Co. Ltd. ●?The 2030 Agenda for Sustainable Development (SDGs) issued by United Nations
("Changsha Branch" for short) ("Huaihua Branch" for short)
●?Reference Indicator System for ESG Reports of Listed Companies Controlled by Central State-owned Enterprises issued by the
State-owned Assets Supervision and Administration Commission of the State Council (SASAC)
●?Guidance on Social Responsibility (ISO 26000:2010) issued by the International Organization for Standardization (ISO)
Wholly-owned subsidiaries Data Source
Dayou Futures Co. Ltd. Modern Wealth Capital Management Co. Ltd. The financial data disclosed in this report is sourced from the 2025 Annual Report of Xiandai Investment Co. Ltd. Other data comes
("Dayou Futures" for short) ("Modern Wealth" for short) from the Company's official documents and statistical reports which have been reviewed by relevant departments. Unless oth-
erwise specified all currency amounts involved in this report are in CNY. During the reporting period due to some adjustments in
Hunan Modern Environment Technology Co. Ltd. Hunan Modern Assets Management Co. Ltd. statistical methods and restatements of certain data for any discrepancy with previous reports this report shall prevail.("Modern Environment" for short) ("Modern Assets" for short)
Hunan Modern New Energy Co. Ltd. Hunan Modern Hongyuan Venture Capital Co. Ltd.("Modern New Energy" for short) ("Modern Hongyuan" for short) Reliability Assurance
The Board of Directors of the Company hereby guarantees that the report is free of misrepresentations or misleading statements
and bears responsibility for the authenticity accuracy and completeness of the contents.Holding subsidiaries
Hunan Yueyang Baling Rural Commercial Bank Co. Ltd. Hunan Huaizhi Expressway Construction and Report Access
("Yueyang Baling RCB" for short) Development Co. Ltd.("Huaizhi Company" for short) This report includes Chinese and English versions is designed to meet the information needs of stakeholders from different geo-
Hunan Xiangheng Expressway Co. Ltd. graphical and linguistic backgrounds and is published annually in electronic format. You can obtain the electronic version of the
("Xiangheng Company" for short) report on the www.cninfo.com.cn. If there is any discrepancy between the two versions the Chinese version shall prevail.03 Xiandai Investment 2025 Sustainability Report 04
Message from the Chairman
This year we strengthened fundamentals improved quality portance to engineering protection and ecological restoration
and efficiency and strove to be a pioneer in modernizing cor- protected biodiversity improved greening quality in parks and
porate governance. We stayed committed to high-quality devel- realized harmonious coexistence between transportation infra-
opment led by high-quality Party building optimized the "Three structure and the natural environment.Importance and One Greatness" decision-making mechanism
strengthened political oversight and integrity development im- This year we attracted and cultivated talents building a strong
proved the long-term mechanism for compliance management "reservoir" of high-quality industrial teams. Adhering to the
prevented and resolved various risks and translated institutional strategy of strengthening the enterprise with talents we deep-
strengths into governance efficiency. The Company's Wind ESG ened the reform of the industrial worker team built platforms
rating rose from Grade A to AA ranking among the top three for innovation efficiency improvement and cultivation of model
in the expressway sector and first among Hunan's provincial workers and craftsmen and focused on developing research
state-owned enterprises. We successively received honors such teams. Several affiliates were selected into the first batch of
as "Outstanding Sustainable Development Practices of Listed "Youth Innovation and Efficiency Studios" of higher-level au-
Companies" and "Wind's 2025 China Listed Companies ESG Best thorities; many employees won provincial and municipal talent
Practices Top 100 (Mid-and Small-Cap)". Our ESG management honors and were selected into provincial professional expert
leads both the industry and the province effectively enhancing databases further raising the Company's overall professional
the Company's long-term investment value and brand reputation competence. Focusing on the "urgent needs and difficulties" of
in the capital market. employees we completed all livelihood projects identified at
the beginning of the year with high quality including sewage
This year we pursued digital-intelligent operations and in- treatment renovation and AED installation. These efforts laid a
novation acting as a "trailblazer" in digital transformation of solid talent foundation and gathered strong momentum for the
transportation. In digital-intelligent innovation we fostered new Company's high-quality development.Party Secretary "Data × Transportation" business forms; our data application achievements won multiple provincial and ministerial honors. This year we cared for people's wellbeing and gave back to
and Chairman We formulated the "Data-Linked Logistics" strategy continu- society serving as a "standard-bearer" for fulfilling the respon-
ously strengthening and expanding the road-related industrial sibilities of state-owned enterprises. We thoroughly implement-
ecosystem. We promoted the iteration and application of core ed the arrangements of the National Conference on Commerce
technologies including AI recognition and IoT communication regarding "maintaining the resilience and security of industrial
improving the effectiveness of technology deployment. In smart and supply chains" built a "digital platform + supply chain"
highway development we have rolled out the "post-paid toll ser- system further expanded scenarios for new quality productive
vice" and Electronic Toll Collection (ETC) pre-transaction system forces and promoted coordinated development of the industrial
at key toll stations developed an innovative toll collection model chain. We deepened industry-university-research integration and
defined by "fully unmanned toll operations cloud-enabled ser- innovation injecting strong impetus into industrial upgrading.vice delivery and streamlined operation & maintenance (O&M)" We systematically built a women workers' work system with
and completed tidal flow lane retrofitting projects. These initia- characteristics of Xiandai Investment improved a normalized
tives have fully unlocked the potential of existing lane resources assistance mechanism and provided targeted care to employees
effectively alleviated peak-hour traffic congestion and delivered in need. We deepened rural finance and steadfastly advanced
both material improvements in traffic efficiency and tangible en- comprehensive rural revitalization. Around major time points
The journey stretches far and wide; the time to strive is now. The year 2025 just past marks the conclu- vironmental benefits. In maintenance management we widely we launched volunteer services such as the "Warm Winter
sion of the "14th Five-Year Plan" and a pivotal year in the Company's development—one that connects applied advanced technologies such as artificial intelligence Campaign" serving more than 100000 drivers and passengers
the past and the future while forging ahead with perseverance. Over the year we integrated environmen- initially establishing a smart maintenance and intelligent mon- demonstrating the warmth of a state-owned enterprise in serving itoring system and building an integrated "space-air-ground" people's livelihood.tal risk considerations into strategic decision-making embedded commitment to social responsibility monitoring network.into daily operations and strengthened adherence to long-termism in corporate governance. It is this Those who observe the trends are clear-minded; those who follow
exploration of internalizing ESG into our development DNA that guided by the "Dual Carbon" goals has This year we planted and protected greenery pursuing the trends are wise. The year 2026 marks the start of the "15th Five-
enabled us to achieve steady growth in operating performance. At the same time we have demonstrated low-carbon development as a "pathfinder" for road-related Year Plan". We will continue to be guided by Xi Jinping Thought
the responsibility and warmth of a state-owned listed company across broader dimensions: environmen- low-carbon growth. We thoroughly implemented the national on Socialism with Chinese Characteristics for a New Era stay com-
"Dual Carbon" strategy and integrated the philosophy of green
tal protection employee growth and win-win cooperation with partners. mitted to high-quality development anchor value creation and development into the entire operation process. We vigorously pursue "both internal excellence and external excellence". We will
promoted photovoltaic applications and smart energy man- strengthen our core business to improve quality and efficiency
agement advanced innovation in fly ash resource utilization re- consolidate our foundational strengths convey corporate value
search projects and completed iterative research on integrated and strive to build a listed company with prominent core business
smart sewage equipment. We carried out low-noise pavement modern governance and core competitiveness. We will unite and
renovation innovated collaborative solid waste disposal tech- strive to write a new chapter of high-quality development for Xian-
nologies and comprehensively improved energy and resource dai Investment.utilization efficiency. We accelerated new energy development
and actively conducted scientific and technological innovation
and R&D based on project construction. We attached equal im-05 Xiandai Investment 2025 Sustainability Report 06
About Us
Company Profile
Xiandai Investment Co. Ltd. was founded in 1993 principally engaging in the con-
struction operation and management of expressways. The Company was listed on
the Shenzhen Stock Exchange in 1999 (Stock Code: 000900 "Xiandai Investment"
for short name). With the mission of "Creating and Sharing a Better Path Practicing
Green Development" the Company has built a "Main Engine with Dual Boosters"
development pattern taking expressway operation and management as the main
engine and financial services and industrial operation as the "dual boosters". Based
on expressway assets and pursuing synergistic growth its business scope covers ex-
pressways banking futures environmental protection new energy digital-intelligent
logistics and asset management among other fields. In 2025 the Company achieved
a total operating revenue of 6.48 CNY billion a total profit of 717 CNY millionand to-
tal assets of 59.67 CNY billion the weighted average return on equity (ROE) stood at
3.31%.
Honors and Recognitions
Selected as a Typical Case for Develop- Grade A rating for information disclo- Fourth Session of Typical Cases of Grassroots "Outstanding Achievements (Cases) of Party
ment and Utilization of Public Trans- sure 2024–2025 Party Building Innovation in the Transporta- Building Innovation in State-Owned Enter-
portation Data Shenzhen Stock Exchange tion Industry prises" 2025
Science and Technology Department of the China Communications News Co. Ltd. Enterprise Party Building Committee China Enterprise Re-
Ministry of Transport China Communications Press Association form and Development Society; Editorial Office of State-
Owned Enterprises Magazine; Enterprise Observer News
Best Practice Case of Internal Control of Chinese Listed Companies 2025 Outstand- ESG New Benchmark Wind's 2025 China Listed Companies
ing Sustainable Development Practices of Listed Companies 2025 Outstanding Enterprise Award ESG Best Practices Top 100 (Mid-and
Rural Vitalization Practice Case of Listed Companies 2024 StockStar Small-Cap)
China Association for Public Companies Wind
Second Prize of Science and Technol- Golden Information Disclosure "Excellent Institutional Service Award" of 2025 Global Futures Traders Con-
ogy Award of All-China Environment Award 2024 ference and the 19th National Futures (Options) Live Trading Competition
Federation China Securities Journal the 12th Global Derivatives Live Trading Competition
All-China Environment Federation 2025 Global Futures Traders Conference and the 19th National Futures (Options) Live
Trading Competition the 12th Global Derivatives Live Trading Competition07 Xiandai Investment 2025 Sustainability Report 08
2025 in Figures ESG Governance
Governance
Xiandai Investment is guided by the vision of "Empowering Green Development and Creating Long-Term Value". We continue to op-
timize our value delivery path systematically advance the development and implementation of the ESG management system and
Number of female Attendance of board Annual audit plan Response rate of inves- integrate the ESG philosophy into all aspects of production and operation. We strive to strengthen the capital market's recognition
directors members execution rate tor inquires of the Company's long-term value and become a new benchmark in ESG governance among state-owned listed companies.
3100%100%100%
Board Statement
The Board of Directors (the Board) is the highest supervisory and decision-making body for the Company's ESG management. It is
Operation responsible for formulating ESG strategies managing risks and opportunities making decisions for major matters and approving
the Company's annual sustainability report etc. The Board has established a subordinate Strategy and Sustainability Committee to
assist itself in overseeing the implementation of key ESG topics and strategies and to report to the Board on a regular basis.Length of highway Proportion of Class I Road excellence Individuals covered by financial
landscape greenbelt and Class II bridges rate knowledge activities The Board attaches great importance to ESG performance management. The Company has integrated such key topics as work
206.4 100 100 safety rural vitalization and environmental compliance into performance and compensation assessments. The Board conducts an- km % % 45276 participants nual self-evaluations of its work to review whether ESG targets are fulfilled.
ESG Governance Structure
Environmental
We further continuously improved our ESG management system designated the Board as the decision-making body for sustain-
ability initiatives and the responsible unit for the overall planning and promotion of ESG management. The Strategy and Sustain-
Renewable energy consumption Direct (Scope 1) GHG emissions Indirect (Scope 2) GHG ability Committee is fully responsible for the Company's sustainability strategies and management policies. The management
emissions formulates and optimizes ESG management policies and implementation strategies. The Securities Affairs Department as the
1550177.80 kWh 7394.27 leading-ESG department assists the management in setting specific ESG work plans. Other functional departments branches and tCO2e 25545.49 tCO e subsidiaries are responsible for executing related tasks. This solid structure ensures closed-loop management to achieve the Com-2 pany's sustainability strategies and objectives.
Total investment in envi- Investment in road maintenance
ronmental protection projects
Board of Directors
309 CNY million 189 CNY million
Decision-making level
Strategy and Sustainabil-
ity Committee
Social
Customer satisfaction per- Total number of Work safety investment Annual training expenditure The Management
centage employees
Organizational level
99.7% 2354 177 CNY million 913700 CNY Securities Affairs Department
Participants of employ- Number of participants in Beneficiaries of rural
ee training social welfare activities vitalization
100 1768 5378 Headquarters' Functional % Departments Branches and subsidiaries Executive level
Xiandai Investment ESG Governance Structure09 Xiandai Investment 2025 Sustainability Report 10
Stakeholder Communication Materiality Assessment
The Company highly values communication with internal and external stakeholders established diversified communication chan- In accordance with the Self-Regulatory Guidelines No. 17 for Companies Listed on Shenzhen Stock Exchange - Sustainability Report
nels and feedback mechanisms takes the initiative to listen to and respond to stakeholders' demands and promotes in-depth and (For Trial Implementation) and domestic and international ESG disclosure standards the Company identified 21 material topics
solid progress in social responsibility management. based on the "double materiality" principle combined with key stakeholder concerns and industry benchmarks. The management
analyzed and prioritized the topics from the two dimensions of "impact materiality" and "financial materiality" to form a materiali-
Expectations for Xiandai Invest- ty matrix. After review by the management the material topics of the year were finally determined.Stakeholders ment Response and measures
●?Integrity and law-abiding opera- 2025 Xiandai Investment ESG Materiality Matrix
tion
●?Policy advocacy
●?Local economic development
Government and regulatory ●?Qualification review Double materiality matrix of Xiandai Investment
promotion
authorities ●?Information disclosure
●?Energy saving and consumption
●?Suggestions
reduction
Environmental protection High importance●?
●?Employee seminars
●?Work safety
●?Employee training
●?Career development
Employees ●?Corporate culture activities
●?Compensation and benefits
●?Social media
●?Interests and rights protection Risk management
●?Workers' congress
●?Safe travel
●?Customer complaints Innovation-driven
●?Service quality Response to
Customers ●?Satisfaction survey development
●?Information and privacy protec- climate change Product and service safety and quality
●?Social media Corporate governance
tion Occupational health and safety Employees' rights and interestsBoard building
Talent training and management
●?Procurement in an open fair and Energy management
transparent way Supplier audit Business ethics●? Environmental compliance management
Suppliers and partners ●?Compliance management ●?Bidding procurement
Contract fulfillment in compliance Phone and email Circular economy
Supply chain management
●? ●? Data security and customer privacy protection
with laws
Water resource Ecosystem and biodiversity conservation
●?Shareholders' meeting management Emission management
●?Sustainable profitability ●?Periodic information disclosure
Shareholders and investors
●?Regulating governance ●?Investor meeting
●?Media publicity
●?Regular communication and re- Social welfare
●?Environment and social perfor-
porting Community relations
Media and NGOs mance
●?Press release
●?Road quality and safety Rural vitalization
●?Media interview Low importance High importance
●?Harmonious community develop- Impact materiality
●?Volunteer activities
ment
●?Job creation
Communities and the public ●?Local livelihoods improvement
Charity Environmental Social Governance●?
●?Public welfare support
●?Social media
●?Operation according to laws
Financial materiality11 Xiandai Investment Governance Rooted in Hunan Forging Xiandai Section Governance 12
Rooted in Hunan
Forging Modern Governance
Guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era
Xiandai Investment thoroughly implements the guidelines of the State-owned Assets Su-
pervision and Administration Commission (SASAC) and the China Securities Regulatory
Commission (CSRC) on high-quality development of listed companies. The Company
continuously improves its corporate governance system holds fast to the bottom line of
sound operation strengthens the risk and compliance management system prevents and
resolves various risks upholds business ethics reinforces Party building leadership and
comprehensively enhances governance effectiveness.Governance
Section13 Xiandai Investment Governance Rooted in Hunan Forging Xiandai Section Governance 14
Solidifying Corporate Governance Board building
The Company consistently emphasizes the professionalism diversity and inclusiveness of the Board of Directors. In nominating di-
In strict compliance with the Company Law of the People's Republic of China the Securities Law of the People's Republic of China rectors it takes into full account gender age educational background professional experience and industry standing requiring pro-
the Code of Corporate Governance for Listed Companies and other laws and regulations as well as the latest regulatory require- found expertise in road operation legal and risk control financial management and other fields to underpin sound decision-making.ments of the CSRC and the Shenzhen Stock Exchange (SZSE) the Company revised key instruments including the Articles of Asso- The Board currently comprises 9 directors including 3 independent directors and 3 female directors.ciation the Rules of Procedure for the Shareholders' Meeting and the Rules of Procedure for the Board of Directors. It successfully
completed key governance initiatives such as the reform of the Board of Supervisors and the functional optimization of the Audit During the reporting period to further enhance the scientific decision-making of the Board and its special committees external di-
Committee. Meanwhile the Company promoted the iteration of governance systems across all subsidiaries and affiliates building rectors gained in-depth insights into operations and the market through thematic meetings and on-site investigations. Leveraging
an integrated governance system of "parent company leadership subsidiary collaboration". A governance structure composed of the their rich expertise in finance law and investment external directors put forward targeted and practical suggestions on optimizing the
Shareholders' Meeting Board of Directors and Management was established with a well-defined and standardized operating mech- management system refining development strategies and strengthening risk prevention effectively supporting decision-making.anism that effectively ensures impartiality and scientificity in governance decisions supporting steady operation and value creation.Strategy and Sustainability
Committee Shareholders' meeting Shareholder meetings held Board meetings held Specialized committees' meetings
Audit Committee Board of Supervisors 4 8 11
Board of Directors In accordance with the requirements of
Remuneration and Assess- the Company Law of the People's Repub- Extraordinary meetings of The attendance rate of members when participating in Shareholder meet-
ment Committee lic of China (revised at the end of 2024) independent directors ings Board meetings and Specialized committees' meetings
General Manager and regulatory authorities including the
Nomination Committee China Securities Regulatory Commission (CSRC) and stock exchanges the Compa- 3 100%
ny completed the reform of the Board of
Headquarters' Functional Supervisors in November 2025. The Audit
Departments Committee of the Board of Directors ex- Note: As of the reform of the Board of Supervisors in November 2025 a total of 4 meetings were held
ercises the functions and powers of the
Board of Supervisors as stipulated in the
Branches and subsidiaries previous Company Law.Specialized Training for Directors Supervisors and Senior Management
Organization Structure of Xiandai Investment
On April 1 2025 the Company held a specialized training
session for directors supervisors and senior management
themed "Corporate Governance and Market Value Manage-
ment". The training covered recent capital market devel-
opments with a focus on the reform changes following the
"Nine Guidelines of the State Council" the new Company Law
and related regulatory revisions. It elaborated on strategies
and methods of market value management emphasizing its
close alignment with corporate strategy. The training deep-
ened participants' understanding of corporate governance
strengthened their awareness of standardized operation and
performance capabilities and further elevated the Company's
governance effectiveness.15 Xiandai Investment Governance Rooted in Hunan Forging Xiandai Section Governance 16
Strengthening Risk Management
Protection of investors' rights and interests Xiandai Investment has long adhered to the management philosophy of "Promote Compliance Strengthen Internal Control Pre-
vent Risks". It has continuously improved its institutional system to form a hierarchical categorized scientific and robust institu-
The Company adheres to the fundamental principles of "truthfulness accuracy completeness timeliness and fairness" in informa- tional framework. The Company has innovatively developed a digital system that integrates compliance internal control and risk
tion disclosure. It has built a full-process multi-dimensional internal control system covering pre-review in-process control and management (the trinity) and established a sound risk management and control mechanism. By fully leveraging the synergistic
post-event tracking effectively enhancing transparency and credibility in the capital market laying a solid foundation for a sound integration of internal control management audit supervision and legal compliance the Company has steadily enhanced its capa-
corporate image and investor rights protection. bilities in risk identification early warning and response.Law-abiding and compliance
The Company issued The Company has been awarded the Grade A Information Dis- The Company formulated and implemented the Compliance Management System
closure Rating by the Shenzhen Stock Exchange (SZSE) for four and Detailed Rules for the Implementation of Compliance Management System New
106 consecutive years and successfully won the "Golden Information established a Compliance Committee to spearhead the compliance management
13 22 Systems
announcements and documents in systems addedsystem revised and developed lists for compliance review and due compliance exemption to
accordance with regulations Disclosure Award" presented by China Securities Journal . build three lines of defense for compliance. Compliance management is implement-
ed to the frontline of business and integrated into all aspects of operation and man-
agement. In 2025 the annual compliance management report was compiled and 251 Existing systems in total
submitted to the Board for deliberation ensuring full oversight by the governance
The Company adheres to the core philosophy of "investor-centric" and focuses on the goal of "delivering corporate value and layer over risk control and system implementation.building market consensus". It advances the two parallel lines of investor relations – "value attraction line" and "sentiment stability
% Signing rate of compli-
line" – to earnestly fulfill its responsibility of protecting investors' rights and interests realize efficient interaction and in-depth res- Compliance training was delivered to management at all levels key positions and le- 100
onance between the Company and investors and foster a sound capital market ecosystem. gal personnel and online courses were rolled out across all business units to achieve ance commitment lettertotal
full coverage. Compliance training is also included in onboarding programs fostering
a strong compliance culture and self-discipline.Internal control and audit supervision
The Company has formulated and complied with institutional documents including the Internal Control Management Measures
The Company has built a communication Deepen the "going out + bringing in" two- and Detailed Rules for the Implementation of Internal Control Assessment . It has organized all subsidiaries and departments to
matrix of "mainstream financial media way mechanism: participate in industry complete internal control assessments compiled lists of internal control deficiencies and internal control assessment reports
+ professional institutional platforms". exchanges host institutional research formulated rectification plans and supervised the closure of rectification items one by one. These efforts have effectively improved
Following the release of periodic reports and accurately interpret the synergistic the Company's internal control processes and promoted the internal control system to upgrade from "formal compliance" to "sub-
and major announcements it promptly advantages of "transportation infrastruc- stantive effectiveness".delivers in-depth interpretations to sys- Investor re- ture + smart logistics + industrial finance". Centered on budget implementation and supported by risk management economic responsibility post-investment evaluation
tematically communicate the Company's lations initia- Adopt differentiated communication and other work the Company carries out integrated combined audits. It highlights the whole-process review system for budget
strategic layout business highlights and tives strategies for different investor groups to implementation the key points of quality control in each link and the hierarchical responsibility system for audit quality. This ap-
development potential continuously ex- improve precision. proach not only clarifies the boundaries of responsibilities but also strengthens accountability with all nodes working in the same
panding its investor reach. direction to efficiently advance audit work and jointly ensure the quality of audit results.The Company won the "Best Practice Case of Internal Control"
Engage investors through annual performance briefings investor meetings and online
Q&A.The annual performance briefing retained the "dual-platform live streaming + ex- On September 22 2025 under the guidance of the Department of Accounting of the Ministry of Finance of the People's Republic of
ecutive interview videos" format to further narrow the distance with investors. China and the Department of Accounting of the China Securities Regulatory Commission the China Association for Public Compa-
nies announced the results of the selection of best practice cases of internal control. The Company's case Innovation-Driven Devel-
opment: Internal Control Upgrades from Risk Defense to Value Creation stood out from 270 listed companies nationwide and was
successfully selected as a "Best Practice Case of Internal Control" being showcased
as one of the 18 best cases. This fully demonstrates the outstanding achievements of
the Company's innovative construction of the internal control system in recent years.17 Xiandai Investment Governance Rooted in Hunan Forging Xiandai Section Governance 18
Risk management
The Company has established the Comprehensive Risk Management System Risk Assessment and Management Implementation Personnel health &
Rules Operating Risks Prevention and Control System for Subsidiaries. It has established a comprehensive risk management or- Score Impact level Financial impact Corporate reputational impactsafety impact
ganization system composed of the Company's Board of Directors Party Committee management team responsible departments
audit department various functional departments and secondary and tertiary subsidiaries. A "three lines of defense" structure has Causes certain impact within the
been formed consisting of business departments risk control departments and audit supervision departments to jointly manage Low: The risk has a certain F inancial loss province (brand image compet-
and control operational risks. All secondary subsidiaries under the Company have established their own comprehensive risk man- Seriously affects the impact on corporate im- accounts for 5% itiveness market share social
agement systems based on actual conditions. All functional departments and subsidiaries of the Company are responsible for the 1 health of one employee age production and oper- or below of pre- stability etc.) which can be elim-
specific risk management work of their own units and accept the organization coordination and guidance of the Enterprise Man- or citizenation tax profit inated within a certain period at a
agement Department. certain cost
Business departments and their subordinate enterprises are the specific implementing bodies for Medium: The risk affects Causes certain impact within the F inancial loss
First Line risk management and assessment. Their responsibilities primarily involve the implementation of business operation but Seriously affects the province (brand image competi-a c c o u n t s f o r
of Defense relevant policies and procedures the solving of issues within risk management operations and 2 can be effectively resolved health of multiple em- tiveness market share social sta-6%–10% of pre-
the regular identification and self-assessment of risks. with no follow-up impact ployees or citizens bility etc.) which takes a long time tax profit
within a certain period to eliminate at a high cost
The Company's Management and the Enterprise Management Department as the leading organiz- High: The risk has a signif-
Second ing departments for risk assessment are responsible for organizing and guiding the relevant work icant impact on corporate Causes certain impact nationwide F inancial loss
Line of of the Company's departments and subsidiaries supervising and inspecting the implementation operation requiring re- Results in the death of (brand image competitiveness a c c o u n t s f o r
Defense of risk assessments and submitting risk assessment and management reports to the Company's 3 source input for manage- one or more employees market share social stability etc.) over 10% of pre-
management. ment and resolution with- or citizens which requires long-term efforts tax profit
in a certain period and and huge costs to eliminate
affects corporate survival.Third
Line of The Audit Committee and external auditors provide risk management tools and conduct risk man-agement supervision and evaluation.Defense
Three Lines of Defense for the Company's Risk Management
The Company holds 2025 training on legal risk control internal control and compliance
The Company continuously identifies and assesses various risks covering strategic financial market operational and legal as-
pects. In view of potential risks in business processes it classifies them into three levels: "General Significant and Critical". The "2025 Training on Legal Risk Control Internal Control
and Compliance" was closely aligned with the requirements
for deepening the reform and improvement of state-owned
enterprises. With the core goal of "accelerating the building
Score Classification Specific description by classification of a systematic and integrated 'big risk control' management
system" the training integrated policy requirements business
practice and concept development providing targeted solu-
tions to enterprise management and control challenges. Tak-
1 Low Low: Very unlikely to occur (once per year)
ing this training as an opportunity the Company optimized its
compliance management model based on the experience of
2 Medium Medium: Likely to occur (once per quarter) building the "Best Practice Case of Internal Control" promot-
ed in-depth coordination of risk prevention and control with
strategic decision-making and business operation and sup-
3 High High: Highly likely to occur (once per month) ported the high-quality development of the Company.19 Xiandai Investment Governance Rooted in Hunan Forging Xiandai Section Governance 20
Upholding Business Ethics The Company shares characteristic experience at Hunan listed companies integrity & self-discipline meeting
Xiandai Investment adheres to the business philosophy of integrity and trustworthiness and continuously improves its governance On August 15 2025 the first meeting of the Integrity and Self-Discipline Committee of Hunan Listed Companies Association in 2025
systems against corruption unfair competition and money laundering. By improving institutional norms strengthening discipline was held in Changsha. As the chairing unit the Company took the initiative to share its innovative practices in integrity and com-
inspection and supervision opening up reporting channels and deepening compliance training the Company strictly prohibits pliance construction. It focused on the "Five Responsibilities Coordination" accountability mechanism the promotion path of the
any activities that damage its reputation for integrity builds a strong line of defense against corruption and consolidates the foun- "Six Integrity" Project the precise management model of "One Company One Checklist" and the "Two-Way Supervision" system
dation for sustainable development with open and transparent business practices. demonstrating the Company's active exploration in building a sound integrity management system. Meanwhile the Company
actively offered suggestions and put forward constructive opinions on improving industry norms and exploring a risk information
sharing mechanism (under the premise of compliance). The sharing and proposals received positive responses and recognition
Anti-bribery and anti-corruption from the representatives present.The Company strictly implements the Implementation Measures for the Responsibility of Party Governance with "Five Responsibil-
ities Coordination" (Trial) . It has established a Coordination Group for Party Conduct Integrity and Anti-corruption Work forming a
responsibility closed loop of "knowing responsibilities fulfilling responsibilities and serious accountability" and building a respon-
sibility system featuring "overall leadership by the Party Committee leading responsibility by the Secretary detailed responsibility
by team members solid implementation by functional departments and strict supervision by discipline inspection institutions".By setting up grassroots integrity monitoring points implementing the "One Company One Checklist" supervision model and ap-
pointing integrity supervisors the Company has extended supervision to the grassroots and front lines and fostered sound coordi-
nation among various types of supervision.The Company has formulated and issued documents including the Integrity
Risk Prevention Manual of Xiandai Investment Co. Ltd. Typical Cases of Violat-
ing the Eight-point Regulation of the Central Committee and the Action Task List
for the "Three Modernizations" Construction Year of the Company. It has held All branches and subsidiar-
warning education meetings conducted collective integrity talks signed Integ- ies organized
rity Commitments and built characteristic integrity culture positions continu-
ously expanding the influence of the "Clean Xiandai" initiative. All branches and 36 warning education sessions
subsidiaries regularly release integrity updates cartoons and messages through Huaihua Branch builds a featured integrity culture promotion position: Dayou Futures launches "Clean Breeze One Heart Journey" clean gov-"Chasing Light and Sticking to Integrity" ernance collection
the Company's official website WeChat Official Account and internal journals
fostering a strong atmosphere of integrity and building a solid ideological line Covered more than The Company formulated and issued the Measures for Han-
of defense against corruption for cadres and employees. 6000 participants dling Petitions Reports and Problem Clues continuously improving the reporting management mechanism and open- Reporting & complaint channels
ing up internal and external supervision channels. Stakehold-
ers may truthfully report violations of rules and disciplines Email: xdtzjjb@163.com
through the reporting mailbox special hotline and public
email. All reported clues received are strictly verified and han-
dled in accordance with prescribed procedures and relevant Reporting hotline: 0731-88749890
personnel are held accountable in accordance with regula-
tions disciplines and laws. Meanwhile the Company earnestly
protects the legitimate rights and interests of whistleblowers
in accordance with the Whistleblower Protection System.
100%2354
Integrity & anti-corruption training coverage Participants in integrity & anti-corruption training
Held the 2025 Meeting on Party Conduct Integrity and Anti-corruption Work21 Xiandai Investment Governance Rooted in Hunan Forging Xiandai Section Governance 22
Upholding Party Leadership
Xiandai Investment is committed to "striving for excellence and taking the core path of integrated Party-building and business de-
velopment" using high-quality Party building to lead high-quality corporate development. Throughout the year our Party-building
Anti-money laundering work maintained clear direction an optimized system dynamic mechanisms and a distinctive brand providing strong political
underpinning and robust internal impetus for the Company to pursue progress while maintaining stability improving quality and
The Company's anti-money laundering (AML) work is mainly carried out by two boosting efficiency amid a complex environment.subsidiaries: Dayou Futures and Yueyang Baling Rural Commercial Bank. The AML
Center of Dayou Futures compiled and issued the internal journal Anti-Money Laun-
dering Horizon produced and promoted its first promotional video through multiple Strengthening foundations
channels and popularized anti-fraud knowledge on campuses and in communities. 22 Anti-money laundering through learning thinking
Meanwhile it optimized the suspicious transaction model; in 2025 the number of
reported suspicious transactions decreased by 66.67% year-on-year and automatic sessions organized and practice 12Theoretical study seminars of the Party Committee The-
synchronization of system risk levels was realized. Yueyang Baling RCB achieved out-
standing results in anti-money laundering and anti-telecom fraud efforts winning a oretical Learning Center Group held throughout the yearGuided by Xi Jinping Thought on Socialism with Chi-
full score in the annual assessment of the provincial rural credit system and the ac- 1751 attendances of nese Characteristics for a New Era the Company fully
curacy of its suspicious transaction reports was affirmed by regulators. employees implemented the spirit of the 20th National Congress of 24"First Agenda" sessions
the Communist Party of China and the 2nd 3rd and 4th
plenary sessions of the 20th Central Committee. We thor-
Focus on new regulatory rules to build a strong defense against money laundering oughly put into practice General Secretary Xi Jinping's
risks – Dayou Futures holds AML special training important expositions on the reform development
Over 80 Special Party lectures delivered by grassroots
and Party building of state-owned enterprises strictly Party organization secretaries
followed the "First Agenda" system and deeply stud-
On December 19 2025 Dayou Futures launched a special training on Customer Due Diligence (CDD) and Suspicious Transaction ied the major decisions and plans of the Party Central
Reporting. Closely aligned with regulatory policy guidelines the training provided an in-depth interpretation of the Measures for Committee on SOE reform building China into a strong 366 Micro-Party lectures delivered by Party members
Customer Due Diligence Customer Identity Information and Transaction Record Keeping for Financial Institutions and the revised transportation country and developing new quality
Anti-Money Laundering Law. It strengthened the whole staff's awe of compliant operation and established the consensus of "Joint- productive forces. Centered on General Secretary Xi Jin-
ly Resisting Money Laundering Risks". The training optimized the due diligence process and information sharing tools promoted ping's important instructions and directives on scientific
Party members and activists who completed
the safe and efficient flow of necessary customer background information within the compliance framework and achieved the and technological innovation safe development green 883
dual goals of precise risk prevention and protection of legitimate rights and interests of compliant customers. It effectively im- and low-carbon growth and the joint construction of and obtained certificates for special courses via SASAC
proved the compliance operation capabilities of frontline staff strengthened the whole staff's awareness of AML responsibilities the "Belt and Road Initiative" we earnestly reflected the E-Learning
built a solid line of defense for compliant operation and supported the steady development of the Company. "Two Upholds" in concrete actions and daily work.Deep integration to boost development
The Company firmly embraced the philosophy of "focusing on development while strengthening Party building and strengthening
Party building to promote development" fully implemented the "Party Building +" working model and advanced the integrated
evaluation of "Party Building + Value Creation". We promoted deep integration of Party building with scientific and technological
innovation giving full play to the role of Party branches and Party members in key projects including smart highways digital-intel-
ligent logistics new energy and environmental protection research. Organizational strengths were directly channeled to frontline
taskforces and Party building was deeply integrated into all aspects of production and operation.Empowering new energy through brand activities
The Company actively built the Party building brand "Integration for Long-term Development" and issued the Corporate Culture
Manual clarifying brand connotation logo system and practice paths forming a themed hierarchical and experiential "education
matrix". Based on their business characteristics grassroots units created sub-brands such as "Keep Innovation Red Golden Phoe-
Fair competition nix" "Chasing Light" "Great Integration Tree" and "Five Teams in One" enabling Party building brands to take root in business and
empower development.The Company strictly abides by the Anti-Monopoly Law of the People's Republic of China the Anti-Unfair Competition Law of the Honors
People's Republic of China and other relevant laws and regulations. It updated the Internal Supplier List adheres to the principles
of honest operation and fair competition and strictly prohibits unfair competition and monopolistic behaviors such as commercial
●?Huaihua Branch: "Enhancing the Political and Organ- ●?Dayou Futures' "Great Integration Tree" and Huaihua
bribery and false publicity. The Company continuously standardizes procurement management enhances the transparency and izational Functions of Party Organizations and Inte- Branch's "Chasing Light" Party building brands were
traceability of procurement processes is committed to building a fair transparent and healthy business environment and steadily grating Party Building with Business" won Outstanding both selected as the Fourth Session of Typical Cases of
improves its compliant operation and management capabilities. No delayed payment to suppliers occurred in 2025. Achievements (Case) of Party Building Innovation of Grassroots Party Building Innovation in the Transpor-
State-owned Enterprises 2025. tation Industry23 Xiandai Investment Service Warmth Along Hunan Highways Delivering Section Premium Xiandai Services 24
Warmth Along Hunan
Highways
Forging Modern Governance
Xiandai Investment has always upheld a "customer-centric" service philosophy. We contin-
uously upgraded service quality optimized service processes and innovated service mod-
els providing every customer with safe convenient and warm travel experiences with care
and dedication.SDGs:
Service
Section25 Xiandai Investment Service Warmth Along Hunan Highways Delivering Section Premium Xiandai Services 26
Inspiring Technological Innovation Safeguarding Safety Bottom Line
Xiandai Investment pursues innovation-driven development with digital transformation at its core. We deepened technological Xiandai Investment thoroughly implements General Secretary Xi Jinping's important expositions on workplace safety strictly en-
innovation and application in smart highways smart maintenance and other fields improved the intellectual property protection forces the Work Safety Law of the People's Republic of China and other laws and regulations continuously advances workplace
system and strengthened cybersecurity injecting sustained momentum into building an intelligent and efficient modern transpor- safety standardization improves the safety management system strengthens safety risk control deepens hazard investigation and
tation service system. remediation and enhances emergency response capabilities. These efforts ensure a steadily improving workplace safety situation
providing solid safety support for the Company's high-quality development.Intelligent construction of high-quality projects
Driven by digital transformation the Company built an intelligent management platform introduced an AI intelligent inspection Improving the safety management and governance system
system and established a bridge health monitoring system realizing real-time collection and analysis of operation and mainte-
nance data. This shifted highway maintenance from "passive treatment" to "proactive prevention" comprehensively improving
The Company has established a sound organizational structure for workplace safety set up a Work Safety Committee clarified
operational efficiency and service quality.workplace safety responsibilities at all levels and built a responsibility network that covers all sectors horizontally and all levels
vertically. It continuously advances workplace safety standardization improves the dual prevention mechanism strengthens safe-
Huaihua Branch: Building an intelligent operation and maintenance system ty performance assessment and forms a collaborative safety management pattern providing solid organizational and institutional
support for workplace safety.Huaihua Branch established a three-in-one intelligent opera- In accordance with the requirements of "one post two re-
tion and maintenance system: "intelligent equipment + data sponsibilities" and "three managements three musts" the
platform + refined management". It launched the province's Company signs the Work Safety Target Responsibility Letter at
first multi-functional "Management Cabin"; deployed 7 sets of all levels strictly implements the workplace safety assessment
lane intelligent robots with vehicle-type recognition accuracy mechanism combines process and result evaluation and ap-
exceeding 99% and exit toll efficiency increased by 40%; in- plies a "one-vote veto" system. Through monthly evaluations
troduced AI intelligent inspection system to efficiently identify quarterly bulletins and annual accountability the initiative
potholes foreign objects and other road anomalies; applied and consciousness of all staff in fulfilling duties have been
bridge health monitoring system for real-time data collection effectively enhanced. Company leaders lead teams to conduct
and dynamic status control; upgraded unmanned aerial vehi- frontline safety inspections every quarter focusing on the per-
cles (UAVs) to achieve precise positioning of defects on slopes formance of duties and the frequency and quality of hazard
and bridge bearings; promoted systematic digital and auto- identification. In 2025 the Company passed the assessment
mated inspection greatly improving intelligent operation and with a score of 952 and obtained the First-Class Certificate of
maintenance capabilities. Work Safety Standardization for Expressway Operation.Changsha Branch: Building the Huaminglou Smart Operation and Management Center
Metrics Unit 2025
In 2025 Changsha Branch implemented the "Hunan Provincial Trunk Corridor Active
Control Demonstration Project" on the Changsha–Tanjiang Expressway. Using big
CNY million 177
data artificial intelligence and cloud computing it integrated institutional personnel Work safety investment
and regional resources merging Datunying Toll Station Huaminglou Toll Station
Jinshi Toll Station and Changsha Maintenance & Road Assets Safety Management Work safety standardization level - First-class
Office into the Huaminglou Operation and Management Center — the largest of its
kind in Hunan Province. Through the intelligent operation platform it achieved deep
integration of tolling electromechanical audit maintenance and road assets busi- Work safety standardization score Points 952
nesses enhancing intensive management and multi-skilling. It provided an innova-
tive model for intensive operation and management of expressways. Work safety accidents Cases 027 Xiandai Investment Service Warmth Along Hunan Highways Delivering Section Premium Xiandai Services 28
Strengthening risk prevention and control in key areas Deepening safety culture and capacity building
The Company implements full-chain risk prevention and control in key areas including road maintenance operations rescue and The Company firmly upholds the concept of safe development and takes safety culture construction as the fundamental way to
obstacle clearing and extreme weather response. Through standardized operation management intelligent monitoring and early improve safety management. By building a normalized safety training system carrying out emergency drills and safety-themed ac-
warning and multi-department collaboration we have built a closed-loop management system covering prevention in advance tivities and establishing an incentive mechanism for hazard reporting the Company promotes safety awareness to be internalized
response during the event and improvement after the event effectively preventing and resolving major safety risks and ensuring in mind and externalized in action creates a strong atmosphere of "everyone talks about safety everyone can respond to emer-
safe and stable road operation. gencies" and continuously improves the safety literacy and emergency response capabilities of all staff.Strengthening safety management of road rescue and obstacle clearing Improving the safety training system to enhance the competency of all staff
The Company has established a sound safety management
system for road rescue and obstacle clearing improved emer- Changsha Branch
gency plans and standard operating procedures to ensure
rapid response standardized disposal safety and efficiency.Volunteers of Changsha Branch found a large truck stuck in
an inspection pit at Yuhua Toll Station immediately activated
the emergency plan and helped the vehicle get out of trouble Compiled training materials and
in only 30 minutes ensuring smooth traffic without accidents. competition question banks for
Sanjiang Management Office of Huaihua Branch found wild tunnel fire posts built a part-
animals interfering with traffic in Xuefeng Tunnel in the early time fire team and internalized
morning quickly activated the linkage mechanism guided safety awareness through joint
them to a safe area in time eliminated hidden dangers and training to improve the practical
avoided accidents. ability of emergency rescue.Improving the emergency response mechanism for extreme weather Changsha Branch's safety knowledge training session
Huaihua Branch
The Company has improved the monitoring and early warn-
ing system for extreme weather formulated graded response
plans and strengthened the reserve of emergency supplies
and team building. Changsha Branch formulated a special
emergency plan for low-temperature rain snow and freezing Carried out 174 safety training
disasters inspected key sections in advance and installed sessions 224 safety inspections
remote thermometers to achieve accurate early warning and identified 339 hazards; com-
and rapid response. In 2025 it launched 2 low-temperature piled safety manuals and added
responses and 3 flood control responses with no congestion 29 intelligent monitoring points
or secondary accidents. Huaihua Branch launched 3 flood to build a "smart fire protection"
control responses and 2 low-temperature rain snow and system enhancing emergency
freezing responses in 2025 effectively ensuring road safety capabilities and safety culture.and smoothness under severe weather.Huaihua Branch's launch ceremony of work safety month29 Xiandai Investment Service Warmth Along Hunan Highways Delivering Section Premium Xiandai Services 30
Carrying out diversified themed activities to cultivate safety culture Intellectual property protection
Guided by the Measures for the Administration of Scientific and Technological Innovation the Company has established and im-
Taking "Work Safety Month" "Fire Safety Promotion Month" and other activities as carriers the Company extensively carried out proved its intellectual property protection system and strengthened the transformation and application of technological innova-
safety knowledge competitions emergency drills hazard investigations and other themed activities to make safety culture deeply tion achievements. By improving management mechanisms for patent application trademark registration and copyright registra-
rooted in the hearts of the people. tion the Company has enhanced the creation application protection and management of intellectual property rights providing
strong support for the sustainable innovative development of the enterprise.Changsha Branch
Dayou Futures awarded national invention patent
17 emergency drills of various types were held throughout
the year with 480 participants integrating Party member The "Futures Knowledge Base System Based on Big Data Automated Tagging" independently developed by Dayou Futures has
commandos and volunteer services to strengthen the been granted a National Invention Patent Certificate. This system integrates data collection extraction and automated tagging
practical implementation of safety awareness. Tanhengxi builds an index between text data and tags and realizes the accumulation and inheritance of knowledge assets. Employees can
Management Center carried out a joint emergency rescue quickly obtain required information which greatly improves the convenience of information retrieval effectively enhances internal
drill for traffic injuries with multiple units; Huanghua Toll knowledge management and team collaboration efficiency and injects new momentum into the Company's scientific and techno-
Station organized emergency drills for on-site tolling and logical innovation.vault robbery prevention testing the feasibility of emergen-
cy plans through actual combat drills.Fire drill training site
Huaihua Branch
In view of seasonal characteristics and weak links in work-
place safety the Company organized tabletop exercises
such as "Flood Season Emergency Tabletop Drill" "Vehicle
Rescue Review — Tabletop Drill" and "Emergency Re-
sponse to Spontaneous Combustion of New Energy Vehi-
cles" comprehensively simulating the emergency response
process under sudden situations to improve coordination
between departments.Huaihua Branch's rescue review simulation
Metrics Unit 2025 Metrics Unit 2025
Number of safety training sessions Sessions 709 Total number of invention patents Piece 143
Number of participants in safety training Participants 8612 Number of newly added invention patents Piece 12
Number of other intellectual property rights (trademarks
Number of safety and fire publicity and education sessions Sessions 412 Sessions 43
software copyrights etc.)
Number of safety training sessions for special operation personnel Sessions 168 Number of newly added other intellectual property rights
Piece 8
(trademarks software copyrights etc.)
Safety training coverage rate % 10031 Xiandai Investment Service Warmth Along Hunan Highways Delivering Section Premium Xiandai Services 32
Cybersecurity maintenance Delivering Premium Services
Xiandai Investment has always adhered to a customer-centric philosophy. Focusing on smooth and safe highway operation con-
The Company strictly abides by the Cybersecurity Law of venient and thoughtful financial services and high-quality services for various engineering industries the Company continuously
the People's Republic of China and relevant laws and regu- optimizes service processes innovates service models upgrades service standards enhances customers' sense of gain and satis-
lations formulated the Information Work Management Sys- faction elevates service quality to a higher level and creates greater value for customers.tem and supporting management measures established a
Leading Group for Cybersecurity Work and implemented
cybersecurity responsibilities. Through diversified meas-
ures including equipment upgrading infrastructure reno- Smooth safe comfortable and beautiful travel
vation daily operation and maintenance inspection access
control and incident handling the Company has continu- The Company has developed optical-storage integrated monitoring equipment Honors
ously strengthened its cybersecurity barrier to ensure the built an intelligent management system for "truck-free/free vehicles" deployed mul-
safe and stable operation of information systems. ti-functional management cabins and lane robots and innovated the "Five Fixations
and Three Inspections + Three-dimensional Patrol" model. It has built an intelligent ●?The case Reform and Innovative
operation and maintenance system that boosts passage efficiency by 20%–40%. Practice of Intensive Operation
Meanwhile the Company ensures smooth traffic through intelligent traffic sched-
The Company fulfills cybersecurity responsibilities to strengthen road network opera- and Management of Expressways uling multi-party joint drills and real-time traffic prompts. It provides considerate
tion support was selected as a Typical Case of services at toll stations and service areas to improve the travel experience for drivers National Expressway Innovation
and passengers and builds a safe convenient and warm travel environment in an and Development 2025
The Company formulated the Information Work Management System and four supporting measures covering information system all-round way significantly optimizing public travel experience.management computer room management and cybersecurity management. It established a Leading Group for Cybersecurity
Work and implemented cybersecurity responsibilities layer by layer. In 2025 the Company conducted quarterly inspections on The Company fulfills cybersecurity responsibilities to strengthen road network opera-
cybersecurity situation analysis network vulnerability scanning antivirus software verification and signature database checking tion support
continuously strengthening the security support for road network operation. The Company carried out and participated in 4 cyber
attack-defense drills and organized 1 company-wide cybersecurity training throughout the year continuously improving cyberse-
curity protection capabilities and effectively safeguarding the rights and interests of the Company and its customers. Responding to the growing adoption of new energy vehicles
such as LNG-powered heavy trucks Modern Assets' Zhaoshan
Service Area has added new LNG refueling lanes and equip-
ment on the basis of the existing LNG station. The refueling
Dayou Futures builds a multi-level cybersecurity defense system lanes have been expanded from one to two and LNG dispens-ers upgraded from single-nozzle to double-nozzle units. Daily
refueling capacity has jumped from 20 tons to 80 tons mark-
Dayou Futures comprehensively strengthened cybersecurity construction in 2025 deploying terminal access & desktop manage- ing the province's first leapfrog upgrade in vehicle clean ener-
ment systems zero-trust access control systems and Internet behavior management systems to builda multi-level all-round cyber- gy supply. The move contributes to the green transformation
security defense system. The terminal access system verifies the compliance of terminal devices; the zero-trust system reinforces of the province's transportation sector. LNG Refueling Station at Shaoshan Service Area
identity authentication and permission control; the behavior management system standardizes network usage. A closed-loop pro-
tection mechanism is formed from terminal access to access control and from data protection to behavior management ensuring
data privacy and business continuity while effectively protecting the rights and interests of the Company and its customers.Heartfelt services guard a pleasant journey for drivers and passengers
Adhering to the "driver-and-passenger-centric" philosophy
the Company provides diversified considerate services at toll
Metrics Unit 2025 stations and service areas. Party member commandos and
young volunteers are organized to offer free tea medicine
Cybersecurity investment amount CNY ten thousand Approx.150 rest areas route guidance and other services to solve travel
difficulties for drivers and passengers. A total of 196 charging
piles have been installed at service areas. New fast-charging
Cybersecurity training coverage rate % 100 piles have been built and charging infrastructure has been
densified to improve charging support during peak traffic Staff at Majiahe Toll Station distribute safe driving guides to passing
Number of cybersecurity incidents Cases 0 hours and upgrade the travel experience. drivers and passengers
Number of cyber attack-defense drills carried out and
Cases 4
participated in throughout the year33 Xiandai Investment Service Warmth Along Hunan Highways Delivering Section Premium Xiandai Services 34
Efficient and convenient financial services Expanding diversified services
Leveraging the advantages of "industry-finance integration" the Company has built a comprehensive financial service system cov- Relying on the resource advantages of expressways the Com-
ering the entire industrial chain based on diversified financial licenses including futures financial leasing commercial factoring pany actively expands diversified service sectors such as the
guarantee and micro-credit. By innovating financial products optimizing service processes and strengthening risk management energy engineering industry and road-derived economy pro-
the Company provides convenient and efficient financing support and risk management tools for real enterprises helping industri- jects promoting the integrated development of the "Trans-
al chain enterprises reduce costs improve efficiency and achieve steady development. portation +" industries. By revitalizing idle resources along
expressways developing distributed photovoltaic projects
and building a smart logistics data platform the Company has
Innovative financial models solve corporate financing challenges created an industrial service ecosystem of "industry-finance
integration and diversified collaboration" realizing efficient
Modern Wealth adopts a closed-loop model of "government guidance + market-oriented operation + risk sharing" and establishes resource utilization and value appreciation and delivering di-
bank-guarantee cooperation mechanisms with Hengfeng Bank Zheshang Bank and other institutions to provide financing guaran- versified service experiences to customers.tee services for state-owned enterprises and small and micro enterprises effectively lowering their financing thresholds and costs.A "Secretary-in-Charge of Projects" mechanism has been established. Relying on the full expressway industrial chain the Company Data integration empowers logistics cost reduction and efficiency improvement
integrates four licenses (financial leasing commercial factoring guarantee and micro-credit) to carry out supply chain finance ser-
vices and promote business transformation and upgrading.The "GSHT" Platform was selected as one of the first "Typical
Cases for the Development and Utilization of National Public
Transportation Data". Based on the "1 + 3 + N" technical archi-
tecture and innovative "data credit enhancement" technolo-
Futures tools empower industrial chain risk management gy the Company launched "Logistics e-Loan" with Industrial
and Commercial Bank of China providing credit to logistics
Dayou Futures has innovated the "pick-up first fix price later" enterprises without traditional collateral to solve industry
basis trade model to serve new energy industrial chain cli- financing difficulties. It rolled out the "post-paid toll service"
ents. Clients can take physical delivery of lithium carbonate technical solution which eases peak congestion at toll sta-
for production first and lock in the futures benchmark price tions through the digital mechanism of "clearance - advance
within the agreed pricing period effectively reducing procure- payment - online supplementary payment". It also launched
ment costs. It also supports "price stabilization and supply "Huitong Worry-Free" service area liability insurance realizing
guarantee" for expressway construction. Adopting a batch "zero errands" via online claims settlement. Data element in-
position-building strategy for rebar demand it completed tegration drives cost reduction and efficiency improvement in
hedging of nearly 10000 tons successfully hedging against transportation and logistics. Interface of GSHT Products
price fluctuation risks and achieving the dual goals of "price
stabilization" and "supply guarantee". Sharing session on Dayou Futures' innovative model cases
Metrics Unit 2025
Metrics Unit 2025 Number of enterprises granted "Logistics e-Loan" entities 4
Amount of "Logistics e-Loan" issued CNY ten thousand 445
Number of "Insurance + Futures" projects piece 104
Cumulative vehicles served by "post-paid toll service" 10000 trips Over 20.7
Number of covered counties and districts piece Approx. 47
Service areas covered by "Huitong Worry-Free" liability
Underwritten spot scale 10000 tons 19 pair Nearly 20insurance
Goods value CNY billion 2.28
Accumulated compensation amount CNY ten thousand 3337.19 Transportation-energy integration forges a model for green transformation
Benefited business entities entities 1000+
Two cases of Modern New Energy namely Building a Full-Scenario Development Model Forging the "Hunan Experience" for Trans-
Revenue target for collaborative supply chain finance
CNY ten thousand 500 portation-Energy Integration and Practice and Innovation of the Distributed Photovoltaic Project on the Yichang North Expressway
business were successfully selected as 2025 Typical Cases of Transportation and Energy Integration Development
Regulatory rating of micro-credit companies grade Grade A35 Xiandai Investment Environmental Protecting Hunan's Landscape Honoring Section Xiandai's Low-Carbon Commitment 36
Protecting Hunan's
Landscape
Honoring Xiandai's
Low-Carbon Commitmen
Green development is the path to the future and ecological protection is the foundation
for sustainable development. Xiandai Investment is committed to being a practitioner and
guardian of green development. We place environmental management high on our agen-
da actively address the challenges of climate change comprehensively promote energy
and resource conservation and practice green and low-carbon operations making tangible
contributions to the construction of a Beautiful Hunan.SDGs:
Environmental
Section37 Xiandai Investment Environmental Protecting Hunan's Landscape Honoring Section Xiandai's Low-Carbon Commitment 38
Response to climate change
Carbon emission reduction strategy Extreme weather response strategy
Addressing climate change has become a global consensus. Xiandai Investment has a profound understanding of the challenges
and risks posed by climate change and actively explores scientific and effective response solutions. We strictly follow the recom- In response to the national "Dual Carbon" In response to the extreme weather risks caused
mendations of the Task Force on Climate-related Financial Disclosures (TCFD) and systematically advance climate response and goals the Company gradually reduces the by climate change the Company has formulat-
management from the dimensions of governance strategy risk management indicators and targets to ensure the steady opera- carbon emission intensity in its operation by ed a comprehensive emergency plan covering
tion of the business. optimizing business processes promoting the extreme weather such as rainstorms freezing
application of renewable energy and improv- rain typhoons and high temperatures. Through
Governance ing energy utilization efficiency. In expressway close cooperation with meteorological depart-
operation we vigorously promote intelligent ments strengthening the disaster resistance ca-
On the basis of the ESG governance structure the Company further clarifies environment-related management responsibilities. transportation systems optimize traffic flow pacity of infrastructure construction optimizing
The Strategy and Sustainability Committee plays a key leading role in addressing climate change and collaborates with the man- and reduce vehicle idling and unnecessary en- the emergency response mechanism enhanc-
agement team and various departments to build a governance system with clear responsibilities and efficient operation. ergy consumption. In office premises we give ing road patrol and hazard investigation estab-
priority to the use of solar energy to reduce reli- lishing a cross-departmental collaboration and
ance on traditional fossil fuels. linkage mechanism and carrying out employee
●?We closely track the dynamic changes of climate-related policies and regulations at home emergency training and drills we ensure the
and abroad and conduct in-depth research on their potential impacts on core businesses stable operation of the business under extreme
such as expressway operation and financial investment. weather conditions.Strategy and Sustainabili- ●?Combined with industry development trends and the Company's actual situation we for-
ty Committee mulate a forward-looking climate change strategic plan clarifying the long-term goals and
phased tasks of the Company in low-carbon development and climate change adaptation.●?We refine the climate change strategy into specific implementation plans and promote their List of Climate Risks and Opportunities
effective implementation within the Company.●?We organize the formulation and improvement of the Company's climate change-related Risks\ Risk\Opportu- Time
management systems and procedures clarifying the responsibilities and working specifica- Impact on Business CountermeasuresOpportunities nity Name Frame
tions of each department in addressing climate change.●?We coordinate the allocation of resources among departments to ensure the rational deploy- ●?Strengthen the research on the heat
The Management ment of human material and financial resources required for climate change response. Continuous extreme high resistance of pavement materials and
temperature leads to a select new materials that are more
●?We set up a Leading Group for Environmental Protection to implement all work arrangements decline in the performance resistant to high temperatures;
for environmental protection management. Risk of road of pavement materials ●?Optimize road maintenance plans and
Acute physical damage caused resulting in softening Short
Physical risks increase inspections during high tem-
risks by high temper- deformation cracking and term
perature seasons;
ature seriously affecting trans-
portation safety caused ●?Reserve emergency repair materials and
●?Fully consider climate change factors in the project planning and construction stage. by a possible increase of equipment in advance and implement
●?Strengthen energy management in service areas and other operation sites adopt energy-sav- traffic accidents immediate repair once the pavement is
Departments/branches ing equipment and technologies to reduce operation energy consumption.damaged.and subsidiaries ●?●?Implement various plans and programs for addressing climate change. Implement cold-proof and insulation
upgrades to infrastructure such as
Low-temperature frost wrapping water pipes with insulating
damage may cause water
Risk of facility materials and applying anti-frost heave
pipe bursts pavement frost
damage caused measures to road surfaces;
Acute physical heave electrical equip- Short
Strategy Physical risks by low-tem- ●?Strengthen the cold-weather main-risks ment failures to infrastruc- termperature frost tenance of electrical equipment and
ture such as roads bridges
damage regularly check their operational status;
The Company incorporates the identification assessment and management of climate-related risks into the overall enterprise risk and service areas affecting
●?Stockpile emergency repair materials
management process. Focusing on the two types of risk factors brought by climate change—physical risks and transition risks—the their normal operation and equipment for low-temperature
Company formulates strategies tactics and methods to address climate risks. environments.39 Xiandai Investment Environmental Protecting Hunan's Landscape Honoring Section Xiandai's Low-Carbon Commitment 40
Risks\ Risk\Opportu- Time Risks\ Risk\Opportu- Time
Impact on Business Countermeasures Impact on Business Countermeasures
Opportunities nity Name Frame Opportunities nity Name Frame
●?Enhance the design standards for road ●?Conduct comprehensive ecological
drainage systems and increase efforts impact assessments at the project
to the build and maintain drainage planning phase to identify potential
Extreme weather events facilities; biodiversity hotspot areas that may be
Risk of traffic such as torrential rains and
●?Strengthen the construction of slope affected;
disruption floods may lead to disasters
Acute physical Short protection projects and conduct regular The construction and ●?Develop a biodiversity conservation
Physical risks caused by including road waterlog-
risks term stability monitoring of slopes; operation of the Compa- plan and take measures such as habitat
torrential rains ging slope collapses and ny's projects may poten-
●?Establish a meteorological disaster protection and species conservation and flooding bridge washouts resulting tially destroy habitats and
warning mechanism collaborate with Chronic physical Risk of biodi- Short including the establishment of ecolog-in traffic disruptions Physical risks threaten species survival
meteorological departments for early risk versity loss term ical corridors and species monitoring leading to a decline in
warning information and make prepara- programs;biodiversity and affecting
tions for prevention. ●?regional ecological service Strengthen ecological protection train-
●? Establish a cooperative mechanism functions
ing for construction personnel to raise
their awareness of biodiversity conser-
with seismic departments for earth- vation;
quake early warning information;
●?Establish an ecological compensation
Earthquakes may result ●?Reserve earthquake relief supplies and mechanism to compensate biodiversity
in casualties and prop- equipment including rescue tools and losses caused by projects.Risk of infra- erty losses causing road medical supplies;
Acute physical structure dam- collapses bridge fractures Short ●? ●?Closely track changes in policies and
Physical risks Conduct seismic performance assess-
risks age caused by damage to service area term ments on critical infrastructure and regulations and enhance communica-
earthquakes buildings and traffic implement reinforcement and retrofit- The national or local gov- tion with government departments;
disruptions and increasing ting based on the assessment results; ernment introduces stricter ●?Increase investment in the R&D of
repair costs
●?Develop earthquake emergency carbon emission policies Medium energy-saving and emission-reduction Compliance
response plans organize regular drills and environmental regula- and technologies to drive the green trans-Transition risks Policy risk risk caused by
and establish a mechanism for assess- tions raising industry entry short formation of the Company's operations stricter policies
ing earthquake disaster losses. barriers and corporate term and project construction;
carbon emission regulatory ●?Establish and improve a carbon emis-
●?Before the onset of freezing rain reserve requirements sion management system to ensure the
materials such as de-icing agents and accuracy and compliance of the Compa-
anti-skid chains; ny's carbon emission data.Freezing rain may cause ice
●?Enhance road patrols to promptly iden-
layers on the surfaces of
Risk of traffic tify and address icy road sections;
●?Strengthen market research to gain
Acute physical roads and bridges leading Short
Physical risks safety caused in-depth understanding of evolving ●?
risks to slippery road conditions term Disseminate road condition information The increasing environ-
by freezing rain customer demand trends;
and loss of vehicle control to remind drivers to slow down through mental awareness among
affecting traffic safety traffic broadcasts and electronic display
Medium ●?Increase R&D investment in low-carbon
consumers and market de-
screens etc.; Risk of market and financial products and green transpor-Transition risks Market risk velopment bring a growing
demand shift short tation services and cultivate specialized
●?Research and apply new anti-skid and demand for green financial
term innovative talent;
de-icing technologies and materials. products and low-carbon
transportation services ●?Collaborate with relevant enterprises to
●?Inspect and mark landslide prone road jointly develop products and services
sections and install warning signs. that meet market needs.●?Strengthen the monitoring of landslide
Heavy rainfall earthquakes ●?hazard areas and implement engineer- Establish a comprehensive infor-
and other disasters can Untimely or inaccurate ing treatment for landslide-prone zones mation disclosure system and
trigger landslides which information disclosure may
Risk of road such as constructing retaining walls and Reputation procedure to ensure timely and
Acute physical bury roadsdamage infra- Short lead to stakeholder doubts
Physical risks safety caused drainage systems. risk caused Medium accurate information disclosure;
risks structure disrupt traffic term damage the Company's
by landslides ●?Formulate a landslide emergency re- Transition risks Market risk by insufficient and long ●?raise the cost of clearance reputation and undermine Create a quality assessment and
and restoration and en- sponse plan and clarify the emergency
information term
investors' confidence cus- improvement mechanism for
danger human safety. response procedures.disclosure
tomers' trust and partner information disclosure regularly
●?In road planning fully consider geologi- relationships evaluating and enhancing the
cal conditions and avoid high-risk areas disclosure practices.as much as possible.41 Xiandai Investment Environmental Protecting Hunan's Landscape Honoring Section Xiandai's Low-Carbon Commitment 42
Risks\ Risk\Opportu- Time Risks\ Risk\Opportu- Time
Impact on Business Countermeasures Impact on Business Countermeasures
Opportunities nity Name Frame Opportunities nity Name Frame
●?Optimize energy procurement strategies Technological advance-
by signing long-term stable supply con- ments drive the rapid
tracts with suppliers to secure favorable development of green ●?Enhance the operational efficiency of
prices; Opportuni- transportation technol- highways and reduce energy con-
Tight energy supply or
●?Enhance energy usage management to ties of green ogies such as intelligent sumption and environmental pollution;
rising prices increase the Technology ad- Medium
Medium avoid waste; Opportunities transportation transportation systems ●?
Risk of rising Company's operating vancements term
Improve the Company's service quality
Transition risks Market risk and long technology and new energy vehicle ●?
energy costs costs reducing profit mar- Explore diversified energy supply
strengthen its market competitiveness
term innovation charging technologies.gins and limiting business channels and increase the proportion of
and expand business development
The Company is actively
renewable energy procurement; space.development introducing and applying
●?Invest in energy-saving technologies these technologies
and equipment such as energy-efficient
lighting and smart energy management The Company actively ful-
systems. fills its social responsibility ●?Attract more environmentally con-
to address climate change scious customers and partners and
●?Closely monitor the dynamics of Opportunities achieving significant enhance the Company's brand value;
environmental protection standards Self-develop- for enhancing Long Opportunities results in energy conserva- ●?Obtain policy support and social recog-
and establish a tracking and evaluation ment environmental termtion emission reduction
image nition from government departments
Environmental standards mechanism; ecological protection to create favorable business develop-
have been improved and ●?Develop a plan for upgrading environ- and establishing a sound ment conditions.Cost risk the Company needs to mental equipment and improving pro- environmental image
caused by upgrade equipment and Medium cesses and allocate capital investment
●?Reduce building energy consumption
Transition risks Policy risk stricter en- processes to meet require- and long reasonably;
and operation costs and enhance cor-
vironmental ments thus increasing term ●?Actively apply for special environmental porate brand value to attract customers
standards environmental investment funds and seek preferential policies; and partners;
raising operating costs and
●?Establish a mechanism for environmen- With the popularization of
reducing profit margins ●?Promote green building standards tal cost control and efficiency improve- green building concepts Opportunities comprehensively in new construction
ment reducing environmental costs the Company observe of green build- Long and renovation projects and practice
through optimized management and Opportunities Market demand green building standards ing develop- term green concepts throughout the entire
technological innovation. to reduce costs to increase ment process from design construction to
efficiency and enhance
Fluctuations in carbon operation;image
market prices may impact ●?Adopt energy-saving equipment and
●?Closely track the trends in carbon
the value and cost of the technology and collaborate with re-
Risk of carbon Medium market prices optimize the Company's
Company's carbon assets search institutions to explore innova-
Transition risks Market risk market price and long carbon asset structure and rationally
affecting financial planning tive green building solutions.volatility term allocate carbon quotas and carbon
and the motivation for
reduction projects.energy conservation and The rapid development
emission reduction of the environmental ●?Conduct feasibility studies on cooper-
protection industry allows ative project to evaluate the technical
China strongly supports the Company to collabo- feasibility economic rationality and
the development of green ●?Expand the scope of financial invest- rate with environmental market prospects of the projects;
finance introducing a ment business and optimize invest- Opportunities protection enterprises
●?
Opportunities series of preferential ment portfolios for new profit growth
Implement pilot cooperation projects
of cooperation and research institutions
points; Industry develop- Long and accumulate cooperation experi-of green fi- policies to encourage Medium Opportunities in the environ- in business operations
Opportunities Policy impetus ment term ence;
nance invest- financial institutions to term ●?Enhance the Company's brand influ- mental protec- achieving resource sharing
ment increase investment in ●?ence in the green finance field to attract tion industry and complementary ad- Build a stable environmental protec-
green industries such as more green investment projects and vantages and enhancing tion industry cooperation network
renewable energy and customer resources. the Company's environ- and promote the transformation and
energy conservation mental protection technol- application of cooperative project
ogy level and innovation achievements.capabilities43 Xiandai Investment Environmental Protecting Hunan's Landscape Honoring Section Xiandai's Low-Carbon Commitment 44
Risk management Deepening Green Operations
Regarding climate risk as one of the key risk fields for management the Company establishes a whole-process climate change risk
management mechanism of "Identification - Assessment - Response" to systematically and scientifically address climate risks. Xiandai Investment has always taken deepening green operations as an important strategy for sustainable development. Respond-
ing to the national call for green transportation the Company attaches great importance to energy and resource management
develops a circular economy and is committed to building an efficient environmental management system to achieve resource
conservation and environmental friendliness.Improving the management system
Risk identification Risk assessment Risk response The Company strictly abides by the Environmental Protection Law of the People's Republic of China and has formulated internal
documents such as the Ecological Environmental Protection Management System and the Measures for Environmental Protection
●?We establish a cross-depart- ●?We employ a combination ●?We formulate differentiat- Management of Construction Projects (for Trial Implementation) . It has continuously strengthened the standardization of the envi-
mental risk identification of qualitative and quantita- ed response strategies for ronmental management system and passed the GB/T24001-2016/ISO14001:2015 environmental management system certification
team to comprehensively tive assessment approaches various types and levels of cli- with a steady improvement in standardized management.assess climate risks. By using to rate risks based on their mate risks. For physical risks
various approaches poten- likelihood of occurrence and we enhance infrastructure The Company insists on integrating environmental protection management into the whole process of project construction and
tial risk points are identified impact. We assess the proba- protection and strengthen sets relevant environmental protection standards and measures for the pre- mid- and post-project phases.based on the distribution of bility of occurrence potential emergency management ca-
existing facilities and our dis- economic losses casualties pabilities. For transition risks
aster resilience capabilities. and business interruption we adopt proactive strategies
duration to determine risk intensifying policy research ●?Pre-project Professional environmental assessment tools are used to fully identify potential environ-
levels. and market monitoring. mental impact factors of the project and strict environmental goals and feasible imple-phase mentation plans are determined in accordance with relevant laws and regulations.●?
Moreover we further specify incident management responsibilities by taking actions to prevent and respond to environmental A Leading Group for Environmental Protection is established and construction contractors
emergencies and formulating the Emergency Plan for Environmental Incidents which clarifies the duties of personnel at all levels Mid-project are strictly required to carry out construction in accordance with the environmental man-
in incident handling. In such way employees' emergency response capabilities for environmental protection are enhanced. agement plan. The control of pollutants such as dust noise and wastewater during con-phase struction is strengthened and environmental monitoring and pollution source control are
enhanced.Metrics and targets
●?
Post-project Upon project completion all affiliates shall promptly complete the completion acceptance
The Company actively responds to the national "Dual Carbon" strategic goals establishes a scientific and comprehensive cli- procedures for environmental protection and commission environmental protection facili-phase
mate-related indicator monitoring and management system continuously tracks key indicator data and sets clear and measurable ties before the project is put into use.annual targets for different indicators which serve as an important basis for evaluating the effectiveness of the Company's climate
change response efforts.Metrics Category Specific Metrics 2025
Scope 1 carbon emissions (ton) 7394.27
Carbon emission
Scope 2 carbon emissions (ton)* 25545.49
Water resources Total water consumption (m3) 1499259.9
Energy Total energy consumption (tons of standard coal) 152271.87
Note: During the reporting period the Company increased the mileage of entrusted managed road sections which led to a substantial growth in pur-
chased electricity consumption and in turn drove a notable increase in Scope 2 greenhouse gas (GHG) emissions.45 Xiandai Investment Environmental Protecting Hunan's Landscape Honoring Section Xiandai's Low-Carbon Commitment 46
Energy utilization Modern New Energy's photovoltaic intelligent management platform put into operation
The Company fully integrates energy use standards and optimized management into the whole process of operation and devel-
opment. Through technological innovation and equipment upgrading the Company effectively reduces energy consumption in- Modern New Energy's photovoltaic intelligent management platform has been put into use realizing functions such as power
creases the proportion of clean energy and improves energy utilization efficiency. station capacity data access fault analysis and disposal and automatic electricity fee data extraction and generation. It achieves
accurate data collection and refined management of power generation and electricity fees of power stations.
2025 photovoltaic industry development achievements
A total of nearly Installed capacity Average annual clean power
reached supply:
160 photovoltaic power stations (including
supporting energy storage) have been built 40 MW about 36 million kWh
Standard coal saved: CO2 emission reduction: Equivalent to planting
14400 tons 17100 tons 23360 trees
The Company actively carries out energy consumption safety projects such as water supply network emergency repair and high-
and low-voltage equipment rectification to ensure the stable supply of energy. Meanwhile it increases the application of new ma-
terials technologies and processes focuses on the circular utilization of resources reduces environmental pollution and achieves Modern New Energy's photovoltaic intelligent management platform
remarkable economic benefits.Modern Environment integrates clean energy into project construction and operation Construction and management of distributed photovoltaic power plant of Huaihua
accelerating green and intelligent transformation Branch
The Taojiang County Urban Flood Huaihua Branch in cooperation with Modern New Energy launched the construction and management project of a distribut-
Control Project PPP (Public-Private ed photovoltaic power plant. Photovoltaic power generation equipment is deployed by making full use of the idle space in the
Partnership) project constructed and branch's compound with a total installed capacity of 621 kW. The "self-generation and self-use" model is adopted and the gener-
operated by Modern Environment's ated power is mainly used for daily office and operation power supply of the branch. Since its commissioning the project has op-
Taojiang Subsidiary extensively adopts erated stably with remarkable energy-saving and carbon-reduction effects. As of December 2025 it has provided a total of 840000
solar street lamps in dyke flood control kWh of green electricity. It is estimated that this is equivalent to saving about 336 tons of standard coal and reducing about 837
facilities. It uses renewable energy for tons of carbon dioxide emissions providing a feasible path for low-carbon and economical enterprise operation.lighting reduces reliance on the tra-
ditional power grid lowers operation
costs and enhances the sustainability
and environmental friendliness of flood
control work. This measure combined
with intelligent dispatching technolo- Water resource utilization
gy jointly promotes the intelligent and
green development of the project. The Company implements the concept of green water use. All business water is supplied by the municipal water supply network
and natural water intake is prohibited to protect water resources to the maximum extent. Domestic sewage is used for station
greening irrigation and road flushing after pretreatment realizing the circular utilization of water resources. Meanwhile the Com-
Solar flood control street lamps in Niutanhe Dyke Taojiang Subsidiary of Modern Environment
pany strengthens the refined management of water equipment regularly conducts water consumption measurement and data
analysis timely detects and repairs equipment leakage and improves water use efficiency.47 Xiandai Investment Environmental Protecting Hunan's Landscape Honoring Section Xiandai's Low-Carbon Commitment 48
Pollutant discharge
The Company strictly controls pollutant discharge during operation identifies and classifies the types of pollution sources that
may be generated during construction and formulates corresponding regulatory measures. Focusing on people's livelihood demands to solve noise pollution
The operation and maintenance of sewage treatment facilities water quality monitoring and reclaimed water reuse are included
in the daily work assessment system of the Maintenance Department. The post responsibilities and work standards are clarified The Company actively listened to community opinions and implemented a low-noise
and a long-term management mechanism of "daily inspection + quarterly testing + annual evaluation" is established to ensure the pavement renovation project for the noise pollution problem of the Lituo Sinking
long-term effectiveness of the project and realize the sustainable operation of wastewater treatment and resource utilization. Section of the Changsha–Tanjiang Expressway. While implementing environmental
protection and noise reduction projects guided by the responsibility of the operator
the Company took multiple measures to deepen community linkage established a
long-term monitoring mechanism for noise reduction effects and optimized facility
Chaling Ser- The final effluent meets the Class maintenance plans. It also upgraded low-noise pavement materials and technolo-
●?Two sets of integrated treatment equipment with a ca-
vice Area I Grade A standard of the Dis- gies to further improve noise reduction effect and durability. With higher-quality ex-pacity of 200 m3/d are newly added. The original system
Sewage charge Standard of Pollutants for pressway operation services the Company promotes the harmonious coexistence of is upgraded by renovating the original ECRI tank bio- New low-noise asphalt pavement successful-
Treatment Municipal Wastewater Treatment transportation infrastructure with urban ecology and community life and earnestly ly applied in the Changsha Section of the G4 chemical reactor and regulating tank.Project Plants (GB18918-2002). fulfills the social responsibility and livelihood commitment of an expressway opera- Beijing-Hong Kong-Macao Expresswaytor.●?One set of sewage treatment system is newly built in
Guanxin Ex- each of the Gulou Service Area and the east and west
pressway The final effluent is discharged zones of the Baomuyuan Service Area with a single con-
Sewage Treat- after meeting the Class II standard struction scale of 100 m3/d;
ment Project of the Discharge Standard of Main ●?One set of sewage treatment system is newly built in Water Pollutant for Urban Sewage
each of the Xin'an Ramp Toll Station Xi'an Ramp Toll Sta- Waste treatmentTreatment Plants in Hunan Prov-
tion and Anhua West Ramp Toll Station with a construc- ince (DB43/T 1546-2018).tion scale of 8.0 m3/d; To ensure the effective control and treatment of the "three wastes" (waste water waste gas solid waste) during operation the
●?Two sets of sewage treatment systems are newly built Company actively explores new "three wastes" treatment methods ensures the reasonable and compliant disposal of wastes and
in the Nanjin Operation Management Center with con- promotes waste recycling.struction scales of 15 m3/d and 1.0 m3/d respectively. For wastes such as asphalt waste and discarded building materials generated during road construction the Company gives pri-
ority to local recycling and applies them to other nearby road engineering projects improving resource utilization efficiency and
Modern Environment empowers digital-intelligent integration committed to creating reducing the environmental impact of wastes. Taking discarded corrugated panels generated during construction as an example
a clean and safe production and living environment the Company uniformly recycles them and hands them over to Modern Assets for professional treatment providing reusable raw
materials for other enterprises effectively extending the service life of resources and promoting resource recycling in the industry.In 2025 Modern Environment successfully completed the construction of the "Intelligent Operation and Maintenance Manage- When cooperating with local waste recycling plants to treat wastes requiring third-party intervention the Company strictly controls
ment Platform for Sewage Treatment". Relying on IoT technology it built a full-process digital system which collects real-time data the qualifications of partners requiring all third-party units involved in waste treatment to have complete relevant qualifications
such as water quality of sewage facilities and equipment operation status and conducts intelligent analysis driving the transfor- and the treatment process must strictly comply with environmental protection requirements and industry standards.mation of the operation and maintenance model from "passive emergency repair" to "proactive operation and maintenance". Its
Xiangxiang Subsidiary built an unorganized gas collection device for the chelation
workshop and temporary storage warehouse which effectively collects and centrally Modern Environment jointly builds an experimental platform for collaborative dispos-
treats volatile gas dissipated in the area significantly reducing the impact on the sur- al of waste incineration fly ash and silicon-rich waste to promote solid waste resource
rounding environment. This technology was selected into the provincial advanced utilization
environmental protection technologies provincial transportation scientific and tech-
nological achievements and the promotion catalog of Hunan Expressway Group and
has been applied in more than 20 service areas with achievement transformation The innovation and entrepreneurship team for solid waste resource utilization of
income exceeding 40 CNY million. Modern Environment together with hydrothermal technology experts and building
Intelligent Operation and Maintenance Manage- materials experts from Hunan University jointly built an experimental platform for
ment Platform for Sewage Treatment collaborative disposal of waste incineration fly ash and silicon-rich waste. The team
carried out research on the water washing process of waste incineration fly ash clar-
ified the key process parameters and data of hydrothermal harmless and resource
treatment; conducted preliminary design and development of key equipment for the
The Company strictly abides by relevant noise emission standards and controls noise pollution at the source including equipment
hydrothermal disposal system; explored the development of key components and
procurement and manufacturing process design to ensure compliance with laws and regulations. Noise during operation is strictly
system integration paths; and carried out life cycle analysis and comprehensive eval-
controlled and low-noise pavement materials are preferred as the primary noise reduction method to fundamentally reduce noise
uation of the experimental system in terms of economy energy consumption and en-
generation. Combined with engineering characteristics and surrounding natural environment features the Company scientifically Experimental platform for collaborative
vironmental impact. Through industry-university-research cooperation the platform
designs green isolation belts to build ecological noise barriers and effectively block noise transmission. While ensuring noise emis- disposal of waste incineration fly ash and
continues to be built providing an innovative path for solid waste disposal. silicon-rich waste
sion compliance the Company actively listens to the opinions of surrounding communities and takes the initiative to carry out low-
noise pavement renovation so as to effectively eliminate or mitigate the noise hazards of expressway operation along the route.49 Xiandai Investment Environmental Protecting Hunan's Landscape Honoring Section Xiandai's Low-Carbon Commitment 50
Green office Modern Environment integrates engineering protection and ecological restoration to
promote harmonious coexistence between human and nature
The Company incorporates energy conservation and environmental protection actions and publicity and education into routine
work encouraging employees to start from small things in daily office work and thoroughly practice the green and sustainable of- The southeast slope support project of the Huaihua Domestic Waste Incineration Power Generation Project of Modern Environ-
fice philosophy. ment systematically adopts the combination of rigid-flexible and ecological technologies: "gravity retaining wall + gabion net + veg-
etation blanket". The project gives priority to mixed sowing with plants adapted to the local climate to promote the recovery of soil
Green office initiatives microbial communities restore regional water circulation and carbon fixation capacity. The composite vegetation layer provides
foraging and habitat space for insects birds and other organisms and the softened slope landscape significantly reduces the visual
abruptness of industrial facilities. It not only effectively prevents water and soil loss and quickly restores vegetation coverage but
also realizes the harmonious coexistence of the project with the surrounding mountain environment.●?Install energy-saving kitchenware such as en-
●?Promote paperless office and use electronic doc-
ergy-saving stoves
uments and instant messaging tools for file trans-
mission and information communication ●?Launch the "Clean Your Plate Campaign" and
post publicity slogans to advocate employees Huaihua Branch carries out project construction based on the principle of maintain-
●?Encourage employees to print on both sides
to save food ing ecological authenticity
During the construction of projects around the Yanzidong Tunnel Huaihua Branch took into account the complex geological con-
●?Post green office publicity slogans in the office area ditions nearby. The location of the tunnel portal follows the principle of "early entry late exit" to minimize the excavation height
●?Carry out energy-saving renovation of air condi- Regularly organize employees to participate of the portal side and upward slopes and reduce the damage to the natural environment of the portal. The portal design compre-●?
tioners elevators and other equipment in the of- in energy-saving training hensively considers factors such as terrain geology and coordination of left and right portals combined with the requirements of
fice area portal drainage and slope stability and strives for a simple portal structure. The selection of portal forms takes into account various
●?Add green office-related content to new em- factors such as the coordination of tunnel functions with the surrounding environment traffic engineering maintenance manage-
●?Precisely implement the "power reform" project ployee onboarding training ment and tunnel portal construction conditions striving to achieve the unity of safety applicability economy aesthetics and natu-
and promote the intelligent transformation of ral harmony.lighting systems
Yueyang Baling RCB takes multiple measures to empower green office with intelligence
Land use
Yueyang Baling Rural Commercial Bank (RCB) continues to tap energy-saving potential vigorously promotes paperless office re-
alizes the full coverage of OA office software in the headquarters and all branches and achieves full-process online operation and The Company practices the development philosophy of "green ecological integration" rationally uses land enriches the spare time
electronic approval for various administrative and operation processes. The Bank precisely implemented the "power reform" pro- cultural life of employees beautifies the park environment and continuously improves the park greening rate providing innova-
ject successfully adjusted the power nature of many branches from commercial power to residential power promoted the intelli- tive ideas for the Company's ecological environment protection.gent transformation of lighting systems in all branches across the bank and installed timing switch control systems for all branch
light signs to ensure automatic shutdown during non-business hours eliminating invalid energy consumption. It achieved a win- Huaihua Branch launches the "Garden-style Unit" creation activity
win situation of "quality guarantee" and "cost reduction" demonstrating the green effects of refined management.Huaihua Branch insists on including greening and beautifying the environment in its important agenda establishes and improves
systems such as greening management and sanitation cleaning and promotes the creation of a "garden-style unit". In accordance
with the creation philosophy of "ecology harmony and people-oriented" through careful planning and design increased capital
Protecting Ecological Environment investment strengthened scientific management and implementation of creation responsibilities the overall greening rate of the office premises reached 79%. A variety of trees shrubs ground cover plants and flowers are planted in the courtyard forming a
diverse plant community. A landscaping system with reasonable layout optimized functions distinctive features and an organic
Xiandai Investment always upholds the clean and low-carbon development philosophy and integrates the ecological civilization combination of "points lines and surfaces" has gradually taken shape.concept into various production activities such as engineering construction operation and maintenance achieving a win-win of
"environmental protection account" and "development account".Biodiversity
In strict accordance with the Ecological Environmental Protection Management System the Company carries out biodiversity
protection and restoration throughout the whole process of project "design-development-construction-operation" including eco-
logical protection projects habitat restoration species conservation programs and reducing the impact on biodiversity and land
during operation. In 2025 the Company added ecological slope management and ecological greening sectors to its business and
gradually formed an integrated service capacity of "management + beautification".Canteen manage- Energy-saving train-
ment ing
Daily of- Property manage-
fice ment51 Xiandai Investment Talent Gathering Talents in Hunan Nurturing Section Xiandai's Talent Workforce 52
Gathering Talents in
Hunan
Nurturing Xiandai's Talent
Workforce
Xiandai Investment focuses on the core tasks of "performance-driven guidance talent-pow-
ered enterprise development service quality upgrading and in-depth reform advance-
ment". We improve the remuneration and welfare system and democratic management
mechanism refine the talent development system broaden career development paths op-
timize talent structure foster a harmonious and inclusive working environment safeguard
the legitimate rights and interests of employees stimulate innovation vitality promote
the common growth of employees and the enterprise and provide solid talent support for
high-quality development.SDGs:
Talent
Section53 Xiandai Investment Talent Gathering Talents in Hunan Nurturing Section Xiandai's Talent Workforce 54
Protecting Employees' Rights and Interests
Xiandai Investment strictly abides by the Labor Law of the People's Republic of China Labor Contract Law of the People's Repub-
lic of China and other laws and regulations. We have established and improved a system for safeguarding employee rights and Prioritizing Employee Development
interests and effectively uphold the basic rights and interests of employees. By improving the remuneration and welfare system
refining the democratic management mechanism implementing the equal employment policy and fostering a fair working envi- Adhering to the "talent-powered enterprise" strategy Xiandai Investment has built a tiered and classified talent development sys-
ronment we have built harmonious and stable labor relations enabled employees to share the fruits of enterprise development tem. By improving the training system building talent echelons and optimizing the promotion mechanism we have created a tal-
and achieved the common growth of the enterprise and its employees. ent development platform with fair standards and clear paths facilitating the personal growth of employees and the improvement
of corporate competitiveness and realizing the common development of the enterprise and its employees.Improving the remuneration and welfare system
The Company has deepened the reform of the "three institutional systems" (labor personnel and distribution systems) and estab-
lished a scientific remuneration management system and differentiated performance incentive mechanism. We have implement- Enhancing the comprehensive quality of employees
ed the "Four Efficiencies" remuneration distribution system (higher returns for more output stronger competence greater cost
savings and heavier responsibilities) established the orientation of "volume first with equal emphasis on volume and efficiency" The Company has established and improved the employee training system formulated the Implementation Plan for Employee
and built a set of operable quantifiable and scalable performance salary distribution model. We have strengthened the linkage Training and Development of the Company and organized various training courses covering all positions across the Company's
between labor performance and efficiency achieved salary growth alongside profit increase and effectively enhanced employees' system. We have revised and issued regulations including the Training Management Measures of the Company and Internal Trainer
sense of gain and well-being. Management Measures of the Company built an internal trainer team and recommended internal trainers to higher-level authori-
ties. Through multiple measures we provide a continuous talent pipeline for the Company's development.Refining the democratic management mechanism
Metrics Unit 2025
The Company has always upheld the founding mission of "serving the core business serving the overall development serving the
grassroots level and serving frontline staff" and followed the working philosophy of "demand-oriented order-based services". We
standardize the convening of Staff and Workers' Congresses at all levels which deliberate on key documents including adminis- Number of training sessions organized Sessions 198
trative work reports safety work debriefing reports and proposal review reports vote on the appointment and removal of worker Participants in training Participants 6000
supervisors extensively collect opinions and suggestions from employees and drive the high-quality implementation of 6 key em-
ployee proposals. We have effectively integrated democratic management into corporate governance. Number of internal trainers Persons 17
Metrics Unit 2025 Internal trainers recommended to higher-level au- Persons 10
thorities
Trade Union co-construction sites entities 9 Number of winners in national competitions Persons 1
Investment in Trade Union co-construction initiatives CNY ten thousand 18.4 Accredited senior internal trainers Persons 1
Accredited junior internal trainers Persons 2
Building a fair working environment
The Company strictly abides by the Labor Law of the People's Republic of China Labor Contract Law of the People's Republic of
China and other laws and regulations adheres to the principle of equal employment and improves the labor contract manage- 2025
ment system to achieve "formal procedures for employment standardized criteria for management".Annual training expenditure Employee training coverage rate Total training sessions
290
1099 Under 30 years 913700 CNY 100% 1406
old
By gender By age
1255 288 30-50 years old
Female 1776 Above 50 years Total training Total number of trainees (includ- Average training hours
Male old hours ing dispatched workers) per employee
Master's de-
9 hours persons hours
72 Senior manage-
110294.62249244.3
258 154 gree
ment Bachelor's
Middle-level and degree
primary-level Education College degree
By grade
2273 manager 551 distribution Other educa-
Front-line em- 1391 tional qualifi-
ployee cations55 Xiandai Investment Talent Gathering Talents in Hunan Nurturing Section Xiandai's Talent Workforce 56
Consolidating talent support for development
Adhering to the talent development philosophy of "equal emphasis on recruitment and cultivation and echelon building" the
Huaihua Branch actively explores new paths for talent development Company has built a multi-level talent support system. We carry out precise talent recruitment in accordance with the annual em-ployment plan to optimize the structure of the talent team; build a platform for the application of provincial-level talent projects
and youth innovation and efficiency studios; actively strive for financial support for talent development promote the implemen-
On April 9 2025 the Huaihua Branch held an apprenticeship pairing ceremony themed "Honoring Teachers and the Way Inheriting tation of talent projects recommend experts to enter the provincial judge pool and review expert pool and expand the space for
Craftsmanship" and formulated a scientific and rigorous training system. Mentors are required to formulate monthly learning plans talent development.and regularly provide feedback on the apprentices' growth
progress; apprentices are required to actively participate in Metrics Unit 2025
frontline work to achieve the "integration of learning and
practice". Meanwhile monthly assessments are linked to year- Number of campus recruits Persons 16
end excellence evaluation to ensure the tangible results of the
initiative. Through the mentoring interaction model of "expe- Number of social recruits Persons 39
rienced employees guiding new hires and new hires inspiring Applications for provincial and above talent projects piece 7
experienced peers" the branch strives to build a high-quality Talents recommended to higher-level authorities Persons 20
interdisciplinary talent team and drive the overall upgrading Experts recommended to the Youth League Commit-
of the talent pool. Persons 2tee of Hunan Province
Experts recommended to the Hunan Provincial Senior
Persons 12
Professional Title Evaluation Expert Pool
Applications for talent development fund projects piece 27
Stimulating the vitality of talent development
The Company has issued the Company Job and Rank Management Measures Guiding Opinions on the Rating of Technical Se- Caring for Employees' Health and Well-being
quence Job Grades of the Company Guiding Opinions on the Job Grade Rating of Operational Sequence Employees of the Compa-
ny's Operating Subsidiaries and other regulations. We have established a technical talent evaluation system unblocked the career Xiandai Investment attaches great importance to the physical and mental health of employees. We have established and improved
development path for technical talents stimulated employees' enthusiasm for deepening their professional expertise and laid a an occupational health and safety management system refined the health protection mechanism strengthened safety training
foundation for the Company to strengthen the technical core of the operation segment cultivate skilled talents and optimize the and education continuously improved the working environment safeguarded the life health and safety of employees in an all-
construction of the technical team. round manner and created a safe healthy and comfortable working environment for employees."Guan Cong Studio": The "Incubator" for Grassroots Skilled Talents Protecting the physical and mental health of employees
The Company has established an employee health check-up system optimized the health examination plan implemented special
To further advance the reform of the industrial workforce development unblock the growth path of frontline skilled talents and health protection measures strengthened health care for female employees carried out regular assistance for employees in diffi-
stimulate the vitality of grassroots talents the Huaihua Branch relying on the technical expertise of Guan Cong a Model Worker of culties built a physical and mental health service system enriched employees' cultural and sports activities improved employees'
Hunan Province officially inaugurated the "Guan Cong Studio". The studio has built the talent cultivation brand of "State-Owned mental health and consolidated the line of defense for the life physical and mental health of employees.Enterprise Craftsman Young Pioneer" and established and
improved the skill inheritance mechanism of "passing on Building a regularized difficulty assistance system to convey the warmth of the state-
helping and guiding". Taking the opportunity of the Compa- owned enterprise
ny's intensive reform the studio focuses on the competency
requirements of core positions such as operation and main- The Company has established a regularized assistance mechanism for employees in difficulties featuring "centralized festival con-
tenance technology and toll collection business to carry out dolences + daily dynamic assistance" forming a full-process management system with dynamic updates of the ledger of employ-
systematic training. At present the "Guan Cong Studio" has ees in difficulties and precise matching of needs.become a characteristic platform for intensive reform and
interdisciplinary skilled talent training in Hunan's expressway During the 2025 Spring Festival the Party Committee leadership team of the Company led visits to the Changsha Branch Huaihua
sector. It is a typical practical achievement of the Company's Branch Modern Wealth and other units to visit and console employees in difficulties and frontline staff at grassroots stations. They
implementation of the talent-powered enterprise strategy
and has delivered a large number of high-quality frontline held discussions with frontline employees to listen to their actual demands. At pres-
technical talents for the industry. ent the Company has formed a multi-dimensional assistance system covering living
assistance medical support and education subsidies for the children of employees
in difficulties to precisely solve the pressing difficulties and concerns of employees.In 2025 the Company visited and consoled employees in difficulties for more than
20 individuals with a total expenditure of 2 CNY million on condolence money and
various support benefits. We have effectively delivered the warmth and care of the Company leaders visit and console employ-
Company's Party Committee to employees and continuously enhanced the sense of ees in difficulties and frontline grassroots
belonging and identity of all employees. employees57 Xiandai Investment Talent Gathering Talents in Hunan Nurturing Section Xiandai's Talent Workforce 58
Measures taken to safeguard employees' physical and mental health and safety
Labor protection allocation
●?We provide safety protection equipment that meets national standards in full for Lantern Festival Events held
frontline employees in toll collection maintenance and road administration positions
conduct regular inspection and replacement of the equipment to safeguard the labor
safety of personnel engaged in outdoor and night operations.Health check-up services
●?We organize free annual health check-ups for all employees.●?For employees working night shifts we add special examinations for cardiovascular
diseases and sleep quality; for employees engaged in outdoor operations we add spe- Themed Reading Activity for Female Em-
cial screenings for skin diseases and joint diseases to achieve early detection early ployees "Fragrance of Books in Roses Hunan
prevention and early treatment. Reading for Youth" held
Working environment optimization
●?We have upgraded and built staff rest areas water purification equipment and heat-
ing and cooling air conditioning systems for grassroots stations improved the accom-
modation and catering conditions for employees at remote stations to create a com-
fortable working and living environment.Staff Comprehensive Sports Meet
Measures taken to Mental health services
safeguard employees'
physical and mental ●?We have established a company-wide mental health care mechanism.health and safety ●?We carry out full-staff mental health counseling (Employee Assistance Program EAP)
providing mental health lectures one-on-one consultations and psychological hotline
services to help employees alleviate work pressure and resolve emotional distress
through multiple forms. Strengthening occupational health management
The Company has established and improved the occupational
health and safety management system for employees and re- 2025
Care for special groups fined the occupational health protection mechanism. For the
occupational health of personnel working in special positions Investment in safety facilities Number of
●?We have established a special assistance ledger for female employees during pregnan- we provide labor protection supplies and improve the oper- equipment and labor protection work-related
cy and lactation as well as employees with illnesses and family financial difficulties ating environment. For high-risk operation links we have for- supplies fatalities
and implemented care policies such as paid leave and hardship allowances. mulated special protection measures to reduce occupational
health risks. We have improved the occupational health train- 4.2 CNY million 0
ing system to enhance employees' awareness of occupational
health and self-protection capabilities. No major work safety
accidents occurred throughout the year.59 Xiandai Investment Social Committed to Hunan's Development Section Fulfilling Xiandai's Social Responsibilities 60
Committed to Hunan's
Development
Fulfilling Xiandai's Social
Responsibilities
While pursuing corporate development Xiandai Investment has always remained commit-
ted to giving back to society. We advance hand in hand with partners to jointly build the
industry ecosystem and promote industry development actively foster sound community
relations and deeply participate in the comprehensive rural revitalization strategy. We con-
tribute to enhancing social well-being and promoting coordinated regional development
and share the fruits of corporate development with the whole society.SDGs:
Social
Section61 Xiandai Investment Social Committed to Hunan's Development Section Fulfilling Xiandai's Social Responsibilities 62
Responsible procurement
Building a Responsible Supply Chain Xiandai Investment has integrated the idea of environmental protection into the procurement of materials and equipment and
prepares and continuously optimizes the Bidding and Procurement Management System. Through the four-in-one bidding and
The Company strictly complies with the Regulations on the Implementation of the Bidding and Tendering Law of the People's Re- procurement management system the Company prioritizes the procurement of energy-saving and environmentally friendly prod-
public of China Government Procurement Law of the People's Republic of China and other relevant laws and regulations. We have ucts strictly abiding by national green manufacturing standards and relevant customer requirements with a commitment to build-
formulated a series of systems including the Bidding and Procurement Management System and Management System for Bidding ing a responsible supply chain. During the reporting period the Company required relevant suppliers to participate in industry and
and Procurement Agencies and strive to ensure the orderly operation of the supply chain management system. No illegal or irreg- professional training organized by relevant ministries and commissions.ular incidents related to bidding and procurement occurred in the Company during the reporting period.Four-in-one bidding and procurement management system
Supplier management
Clarifying management Clarify the rights and responsibilities of bidding and procure-
The Company adheres to the principles of "openness fairness and justice" and in accordance with the established Supplier Man- responsibilities ment management at all levels
agement Measures Contract Management System and other regulations conducts standardized management of the full life cycle
of suppliers including access mechanism investigation and evaluation performance appraisal exit mechanism and confidentiali-
ty management. We strictly implement pre-procurement in-procurement and post-procurement supervision. Optimizing management Formulate the Bidding and Procurement Management System
mechanism
Supplier admission Supplier monitoring
All announcements issued by units at all levels enter project informa-
●?A new supplier development plan is carried ●?For existing suppliers follow-up inspections and Building
out quarterly. During the supplier admis- dynamic evaluations are conducted to encourage information
tion through the platform and record and manage the whole process of
bid opening evaluation and bid selection on the platform and take this
sion stage information is collected from their continuous improvement in product and ser- platform as basis for signing the project contract
multiple channels and risk assessments are vice quality.conducted. After a basic investigation an
on-site inspection and evaluation are per- Enhancing profes- Conducting training on bidding and procurement and contract
formed. Suppliers passing the evaluation sional quality management
are included in the potential supplier list.Supplier assessment Risk response Promoting Win-Win Development with Partners
●?Suppliers are categorized into five major ●?We proactively identify and dynamically monitor
types: equipment materials engineer- supply chain risks ensuring supply chain secu- Xiandai Investment actively builds cooperation platforms carries out open cooperation with partners from all parties for mutual
ing services and others with different rity and compliance through quality control and benefit and win-win results continuously expands the scope of cooperation and works together to build a value ecosystem of the
evaluation criteria. Based on their scores emergency mechanisms. We maintain frequent industrial chain to promote the common growth of the Company and all its partners.they are classified into four levels and communication with suppliers promptly share in-
non-compliant ones are included in the formation and requirements conduct full-process Baling RCB: Effective police-bank collaboration stops telecom fraud at the counter to
restricted bidding list. tracking and inspection of projects and evaluate protect people's livelihoods
project progress. We have established correspond-
ing emergency mechanisms for contractors' perfor- In December 2025 the Business Department of Baling RCB successfully intercepted a telecom fraud case through the police-bank
mance capabilities and unexpected situations to linkage mechanism helping a customer avoid potential losses of 500000 CNY. On the day of the incident the bank teller noticed
ensure the Company's stable development. that the customer was acting abnormally when handling the early withdrawal of a large-amount fixed deposit and refused to ex-
plain the purpose of the funds. The teller immediately activated the police-bank linkage emergency plan: The teller calmed and
retained the customer on the pretext of information verification and simultaneously sent an early warning to the local police sta-
tion. Police officers arrived at the scene promptly confirmed that
the customer was falling victim to telecom fraud and dissuaded
the customer on site. The customer finally abandoned the transfer.This incident is a vivid practice of Baling RCB in deepening the po-
lice-bank linkage mechanism. Through the keen identification of
frontline employees and the rapid response of the public security
authorities the bank effectively protected the "hard-earned money"
of the public.Frontline employees carry out anti-fraud promo-
tion in the bank lobby63 Xiandai Investment Social Committed to Hunan's Development Section Fulfilling Xiandai's Social Responsibilities 64
Modern Environment: Multi-party industry-university-research collaboration drives
multiple joint innovation initiatives
Xiandai Investment's financial measures to boost rural revitalization
In 2025 Modern Environment and its subsidiary Xiangxiang Branch together with Central South University carried out the "Re-
search on Key Technologies for Mercury Pollution Control in Waste Incineration Flue Gas" which was approved as a Hunan Provin-
●?We deepen government-bank collaboration conduct regular visits to farmers micro
cial Environmental Protection Scientific Research Project. It also joined hands with Hunan Expressway Group and Hunan University and small entities industrial clusters and commercial markets to accurately identify
to conduct the "Technical Research and Engineering Demonstration on the Co-Disposal and Building Material Utilization of Waste Strengthening financing needs in the agriculture rural areas and farmers ("Three Rural Issues") sector
Incineration Fly Ash and Silicon-Rich Wastes". These projects provide technical support for the green and low-carbon development the efficiency dynamically track service demands efficiently allocate credit funds and customize
of the waste incineration industry and contribute to the realization of China's "Dual Carbon" strategic goals. In addition Modern of financial sup- differentiated credit solutions. We fully support farmers in increasing their income and
Environment has carried out joint project research with Hunan University providing a real production environment and R&D fund- ply 01 comprehensively expand the coverage and availability of financial supply for the "Three ing support for college students' innovation and entrepreneurship. By integrating scientific and technological innovation with tal- Rural Issues" sector.ent cultivation the company strives to build a more competitive innovation ecosystem.●?Through diversified models including "online + offline" and "centralized + door-to-
Deepening finan- door" sessions we carry out tiered and targeted financial knowledge lectures for village
Dayou Futures hosts "Training Session on Risk Management and Application for Lithi- cial literacy organizations and villagers bring financial knowledge to rural areas and households
um Carbonate Industrial Chain Enterprises" education and effectively enhance the financial risk awareness and market participation capacity of ru-
promotion ral entities and foster a rural financial ecosystem where people "understand and make
On December 10 2025 the "Training Session on Risk Management and Application for Lithium Carbonate Industrial Chain Enter- 02 good use of finance".prises" hosted by Dayou Futures and supported by the Guangzhou Futures Exchange was successfully held in Changsha. The train-
ing session precisely matched the needs of the industry attracting participants from 25 midstream and downstream lithium car-
●?We conduct a systematic investigation of new types of rural business entities special-
bonate production and trading enterprises. This event is a vivid practice of Dayou Futures in implementing the "industry + finance" Cultivating new ized farmers and key enterprises and establish a tiered cultivation database covering
integrated development model. It not only improved the awareness and utilization of lithium carbonate futures instruments in the types of busi- "advantageous industries - potential enterprises - scaled farmers". We provide targeted
regional industry but also helped industrial chain enterprises consolidate risk prevention barriers stabilize business expectations ness entities empowerment for entities with standardized management marketable products and
and inject financial impetus into the high-quality development of the real economy. 03 strong growth potential to help form the "One Village One Product" industrial pattern.Fulfilling Community Responsibilities ●?We advance the quality improvement project for the development of credit villages and
Optimizing credit townships strengthen the promotion and guidance of integrity culture and strict-
Xiandai Investment gives full play to its own advantages actively participates in the overall development of society and regional the rural ly implement preferential differentiated credit policies for credit villages. Through the
coordinated development practices corporate social responsibility with practical actions is committed to realizing the vision of financial eco- development of the credit environment we drive the improvement of rural civilization
harmonious and common prosperity of society and contributes to improving the overall development level of the region. system04 and build a virtuous cycle of "credit empowerment - financial support - industrial devel-opment".Boosting rural revitalization
The company actively responds to the national strategy for all-round rural revitalization earnestly implements the work arrange-
ments on rural revitalization and consumption assistance made by the CPC Hunan Provincial Committee and the People's Gov- Dayou Futures continues to leverage the "Insurance + Futures" model to boost com-
ernment of Hunan Province and proactively fulfills the social responsibility of a listed company. It closely integrates its own de- prehensive rural revitalization
velopment with rural revitalization leverages its professional strengths and the resource advantages of the assisted areas adopts
location-specific and targeted measures and comprehensively supports rural development.In 2025 the company dispatched two In 2025 Dayou Futures continued to provide in-depth services for rural revitalization through the "Insurance + Futures" projects.staff members to participate in the village-based rural revitalization assistance work organized by the State-owned Assets Supervi- Throughout the year the Company successfully implemented 104 "Insurance + Futures" projects covering about 47 counties and
sion and Administration Commission of Hunan Province and Hunan Expressway Group and carried out consumption assistance in districts nationwide with an insured spot scale of 190000 tons and a total commodity value exceeding 2.28 CNY billion. It paid a
the designated village. total of 33.3719 CNY million in indemnities to farmers and
cooperatives. The natural rubber "Insurance + Futures" pilot
Innovative characteristic financial services to deepen rural financial inclusion project in Mengla County Yunnan Province jointly declared
by Dayou Futures and CPIC Yunnan Branch was carried out
smoothly achieving a compensation effect well received by
Xiandai Fortune has partnered with Hunan New Wellful Co. Ltd. on the Huaxin Agriculture and Animal Husbandry Project provid- the insured farmers. The Party Branch of the Company also
ing targeted support for the construction of high-standard pig farms through financial leasing. The project has delivered remark- signed a paired assistance agreement with the local grass-
able social and environmental benefits. On the one hand the high production capacity can significantly increase the regional live roots Party organization of the project effectively carrying out
pig supply contributing to the stability of the "vegetable basket" supply. It also brings land transfer income for local residents fixed industrial assistance and Party building co-development to
asset rent after the completion of the pig farms and long-term employment opportunities generated by breeding operations. On 2025 Training Session and Party Building Signing Ceremony for Natural fully support rural revitalization. Rubber "Insurance + Futures" Project in Mengla Yunnan
the other hand the environmental protection treatment facilities supporting the high-standard pig farms can convert manure into
organic fertilizer for surrounding farmland and orchards forming an ecological cycle of "integration of planting and breeding" and
improving the production efficiency and environmental protection level of the industry.65 Xiandai Investment Social Committed to Hunan's Development Section Fulfilling Xiandai's Social Responsibilities 66
Expanding the reach of rural financial services to bridge the "last mile" of rural financial "Join Forces for Love Build Dreams for Children" - Lei Feng Spirit Themed Educational
inclusion Joint Activity
Yueyang Baling RCB has built Fuxiang E-Station integrating financial services into the daily life scenarios of villagers through a On March 21 2025 the Company joined hands with Xiangfu Yingcai Primary School and Jiufengyuan Community to carry out a
lightweight service model. Take the Fuxiang E-Station (Damingshan Service Point) at Zhangguying Village Committee as an ex- Lei Feng Spirit themed activity. The Company's volunteers set up the "Little Financial Lei Feng Classroom" helping children estab-
ample. The station focuses on solving the difficulties of villagers: traveling long distances for small-sum deposit and withdrawal lish a correct consumption concept through fun explanations and financial management games. They organized the "Children's
cumbersome livelihood payment procedures and inconvenient subsidy inquiry. Villagers can handle pension withdrawal medical Heart Market" charity bazaar with all proceeds donated in full to the Changsha Youth Development Foundation. They also held
insurance and social security contributions small-sum trans- waste sorting promotion sessions and Lei Feng story sharing
fers for agricultural materials and other businesses nearby. meetings. With public welfare and charity as the core thread
At the same time the station cooperates with the village the activity linked school-enterprise-community resources
committee to carry out financial knowledge popularization instilled the power of kindness in children built a sustainable
activities realizing the dual delivery of "financial services + development ecosystem of "education + public welfare + prac-
knowledge popularization". The construction and operation of tice" explored a new path for the coordinated development of
the stations have effectively filled the gap in the service cover- enterprises and society and demonstrated the social respon-
age of township branches and become an important carrier sibility of a state-owned enterprise. The Company joins hands with Xiangfu Yingcai Primary School and
to bridge the "last mile" of rural financial services. Jiufengyuan Community to carry out Lei Feng Spirit themed activity
Fuxiang E-Station at Zhangguying Village Committee of
Yueyang Baling RCB
Yueyang Baling RCB integrates financial knowledge promotion into the national "Village
Spring Festival Gala"
Dedication to public welfare and charity On January 22 2025 Zhangguying Village in Yueyang County was bustling as the main venue of the national Spring Festival "Village
Spring Festival Gala". Meanwhile young employees of Yueyang Baling RCB carried out a themed promotion campaign of "Golden
While pursuing development the Company never forgets to give back to society and actively carries out public welfare and charity Snake Welcomes the Spring Deposit Insurance Protects Your
activities to deliver warmth through practical actions. Centering on key festivals and events we carry out volunteer services includ- Wealth" at the event delivering a special financial "knowledge
ing the "Warm Winter Campaign" continuously expand activity forms and organize Lei Feng Spirit themed educational joint activi- package" to villagers and tourists from all over the country.ties to achieve two-way empowerment between volunteer services and youth development and help young people grow through At the event site the staff enthusiastically distributed promo-
serving the society. tional brochures to passing tourists and explained in detail
the core knowledge of deposit insurance including its basic
Metrics Unit 2025 concept coverage scope and repayment ceiling. This activity
not only helped the public understand the protection function
Total social welfare expenditure CNY ten thousand 52.67 of deposit insurance but also made the public feel that rural Young employees of Yueyang Baling RCB carry out themed promotion
Participants in public welfare activities Participants 1768 commercial banks are the reliable responsible banks always campaign of "Golden Snake Welcomes the Spring Deposit Insurance
by the people's side. Protects Your Wealth"
Number of public welfare activities Sessions 104
Total hours of public welfare activities hours 478
Modern Environment launches a series of public welfare science popularization activities
2025
Modern Environment proactively carries out public welfare science popularization activities for the public industrial enterprises
Centering on the Spring Festival travel rush we carried out the "Warm Winter Cam- Youth League members and partners. On June 5 2025 (World Environment Day) it joined hands with the Gejiu Branch of the Honghe Prefecture Ecological
paign" volunteer services dispatching volunteer service teams
358 Environment Bureau to carry out the "Beautiful China I Take the Lead" Environment Day themed promotion. Through facility dis-11 play professional explanation and interactive experience the activity enhanced the public's understanding of hazardous
The services covered the provincial capital Changsha as well as Xiangtan Hengyang Directly serving more than waste disposal and resource recycling. On June 25 it cooper-
Loudi Huaihua and other regions with accumulated service hours exceeding ated with hazardous goods transportation enterprises to hold
26000 a "Safety Drill + Facility Open Day" event explaining environ-520 passengers mental risk prevention and control in line with industry char- hours acteristics and strengthening the environmental protection
and safety awareness of practitioners. On December 9 it held
a special environmental protection facility open day for back-
The Youth League Committee of the Company won the Outstanding Volunteer Ser- Individuals awarded the bone staff of local large retail enterprises. Through immersive
vice Organization Award of Hunan Province's 2025 "Warm Winter Campaign". Teams title of the "Outstanding visits and exchanges it promoted the cross-industry dissemi-
awarded the title of Outstanding Volunteer Service Team" Volunteer" nation of environmental protection concepts. Modern Environment carries out "Beautiful China I Take the
Lead" Environment Day themed promotion activity
3 个 367 Xiandai Investment 2025 Sustainability Report 68
Appendixes
Outlook Key ESG Performance
Indicator Unit 2023 2024 2025
The formidable passes and long road stood firm as iron yet now we Company information
take bold strides forward to start a new journey. The 15th Five-Year Annual revenue CNY billion 8.47 8.20 6.48
Plan period is a critical period to lay a solid foundation and go all out Tax
for the basic realization of socialist modernization. Xiandai Investment Tax paid CNY million 357 416 403
will thoroughly implement the decisions and arrangements of the CPC Corporate governance
Central Committee and the State Council on improving the modern
Total board members \ 9 9 9
corporate system with Chinese characteristics. We will take the ESG
philosophy to guide the new journey of high-quality development fo- -Number of female directors \ 2 3 3
cus on the green transition of smart expressways and embed low-car- -Percentage of female directors % 22.22 33.33 33.33
bon principles into every link of construction and operation. We will -Number of independent directors \ 3 3 3
uphold our due responsibility for rural revitalization and fulfill the -Proportion of independent directors % 33.33 33.33 33.33
mission of a state-owned enterprise on the path to common prosper- -Number of employee directors \ 1 1 1
ity and consolidate the foundation of modern corporate governance -Proportion of employee directors % 11.11 11.11 11.11
to prevent and defuse risks through institutional strengths. We will ad-
here to long-termism foster sustainable competitiveness and strive Average term of office of board members year 3 4 4
to build a new benchmark for listed companies with leading value and Number of female senior management personnel \ 1 1 1
high-quality development. Proportion of female senior management personnel % 16.67 16.67 16.67
Turnover rate of directors supervisors and senior management % 4.00 0 18.75
Standard deviation of age among directors supervisors and sen-
ior management year 7 8 8
Number of board meetings \ 9 5 8
Attendance of board members % 100 100 100
Number of directors attending less than 75% of meetings \ 0 0 0
Number of Audit Committee meetings \ 10 5 6
Number of Remuneration Committee meetings \ 2 1 1
Number of Nomination Committee meetings \ 1 1 3
Number of Strategy and Sustainability Committee meetings \ 3 1 1
Internal control
Announcement disclosed piece 72 73 106
Periodic reports \ 6 6 6
Interim reports \ 66 67 100
Annual audit plan execution rate % \ 100 100
Investor relation management
Investor Reception Day times 1 1 1
Investors received \ \ 30 83
Performance briefing session 1 1 1
Number of investor inquires \ \ 57 39
-Number of replies \ \ 57 39
-Response rate % 100 100 100
Shareholders' equity
Number of Shareholders' meetings held session 3 3 4
Note1:In November 2025 the Company completed its Board of Supervisors reform consolidating the functions previously assigned to the Board of
Supervisors into the Board's Audit Committee.Note2:In 2025 the "Strategy Committee" was adjusted to become the "Strategy and Sustainability Committee".69 Xiandai Investment 2025 Sustainability Report 70
Indicator Unit 2023 2024 2025 Environmental performance
Business ethics
Lawsuits related to anti-competitive be-
havior anti-trust and anti-monopoly laws case \ 0 0 Category Unit 2023 2024 2025
Integrity and anti-corruption training Energy management
Number of executives receiving integrity ton of standard
and anti-corruption training \ \ 10 9 Total energy consumption coal 3934.00 114501.34 152271.87
Proportion of executives receiving integrity ton of stand-
and anti-corruption training % \ 100 100.00 Energy consumption intensity ard coal\CNY 4.00 13.97 23.50
Number of middle and primary-level man- million revenue
agement receiving integrity and anti-cor- \ \ 74 72
ruption training Non-renewable energy consumption
Proportion of middle and primary-level -Gasoline（92#） liter 222311.00 214937.48 202848.30
management receiving integrity and % \ 100 100 -Gasoline（95#） liter 34426.00 63094.33 59767.39
anti-corruption training -Biomass fuel* ton 2128.00 408264.06 532578.40
Number of front-line employees receiving
integrity and anti-corruption training \ \ 2350 2273 -Coal ton \ 3.25 0.00
Proportion of front-line employees receiv- -Liquefied petroleum gas kg 25995.00 21175.00 39219.00
ing integrity and anti-corruption training % \ 100 100 - Diesel* liter 394593.00 774179.62 878363.79
Featured business indicators -Non-transportation fuel energy - natural gas m3 172818.00 199356.64 148367.70
Total investment in environmental protec- CNY
tion million 253 437 309 -Purchased electricity consumption kWh 23712181.00 16570897.67 48144532.10
CNY Renewable energy consumption kWh \ 826581.00 1550177.80Investment in road maintenance projects million 165 166 189 -Installed capacity of photovoltaic power plants MW 4.04 5.50 35.319
Number of work-related fatalities among
suppliers \ \ 0 0
-Annual power generation of photovoltaic power
plants GWh 1.07 4.82 2505.83
Number of work-related injuries among
suppliers \ \ 0 0 -Standard coal saved by photovoltaic power plants ton 1396.00 1926.70 10023.32
Huaihua: Xuhuai Expressway 99.99 Huaihua: Xuhuai Expressway 99.99 -Carbon dioxide emissions reduced by photovoltaic
power plants ton 1648.00 2287.98 11902.69Huaizhi Expressway 100.00 Huaizhi Expressway 100.00
Resumption of normal traffic within 2 % \ Changsha: Changyong and Changtan Changsha: Changyong and Changtan Water resource managementhours Expressway 99.83 Changsha - Expressway 100 Changsha - Water intake ton \ 1069974.61 1392320.90
Shaoshan - Loudi Expressway 99.86 Shaoshan - Loudi Expressway 99.68
Tanhengxi Expressway 99.75 Tanhengxi Expressway 99.64 Recycled water consumption ton 47179.00 79007.61 106939.00
Fresh water usage ton 597447.00 1054387.00 1392320.90
Huaihua: Xuhuai Expressway 50.00 Huaihua: Xuhuai Expressway 60.00
Huaizhi Expressway 46.60 Huaizhi Expressway52.00Yuanchen Ex- Total water consumption ton 644626.00 1133394.61 1499259.90
Average clearing time for hindrance clear- Changsha: Changyong and Changtan pressway47.00Xinxu Expressway57.00 Addressing climate change
ance minute \ Expressway 29.32 Changsha - Shaos- Changsha: Changyong and Changtan
han - Loudi Expressway 39.52 Tan- Expressway30.82 Changsha -
Direct (Scope 1) GHG emissions tCO2e 1888.00 6312.84 7394.27
Shaoshan - Loudi Expressway 41.00 Indirect (Scope 2) GHG emissions* tCO2e 13523.00 8891.94 25545.49hengxi Expressway 43.57 Tanhengxi Expressway 52.78
Number of highway hindrance clearance Greenhouse gas emission intensity (by income)
tCO2e\CNY
million revenue 1.82 1.86 5.08
points \ \ 15 16 Greenhouse gas emission reduction tCO e 1004.00 724.99 1332.69
Annual hindrance clearance \ \ 5220 5381 2
Length of highway landscape greenbelt km \ 206.40 206.40 Pollution control
Exhaust gas emissions
Huaihua: Xuhuai Expressway 93.96 Huaihua: Xuhuai Expressway94.29
Huaizhi Expressway 94.89 Huaizhi Expressway 94.82 -Particulate matter (PM) ton 7.00 9.31 15.15
Changsha: Changsha -Shaoshan - Changsha:Changsha - -Nitrogen oxide (NOx ) ton 121.00 212.01 435.91Pavement Quality Index (PQI) \ \ Loudi Expressway 93.94 Tanhengxi Ex- Shaoshan - Loudi Expressway 93.79
pressway 93.00 Changtan Expressway Tanhengxi Expressway 93.03
-Sulphur oxides (SOx ) ton 28.00 44.48 65.68
93.30 Changyong Expressway 93.01 Changtan Expressway 94.71
Wastewater
Changyong Expressway 93.06 -Displacement ton 143476.00 163860.86 163715.23
Huaihua: Xuhuai Expressway 95.58 Huaihua: Xuhuai Expressway 95.89 -Industrial wastewater discharged ton \ 69049.36 69011.81
Huaizhi Expressway 96.35 Huaizhi Expressway 96.28
Maintenance Quality Index (MQI) \ \ Changsha: Changsha -Shaoshan - Changsha:Changsha -Shaoshan -
-Domestic wastewater discharged ton \ 94811.50 94869.25
Loudi Expressway 95.63 Tanhengxi Ex- Loudi Expressway 95.53 Tanhengxi Ex- -Chemical Oxygen Demand (COD) discharged ton 1.83 3.85 3.78
pressway 95.09 Changtan Expressway pressway 95.12 Changtan Expressway -Ammonia nitrogen discharged ton 0.70 3.20 3.18
94.36 Changyong Expressway 94.33 93.27 Changyong Expressway 94.4 -Five day Biochemical Oxygen Demand (BOD5) ton 0.09 0.88 0.098
Road excellence rate % \ 100 100
Proportion of Class I and Class II bridges % \ 100 100 -Suspended Solids (SS) discharged ton 0.13 0.97 0.89
Financial knowledge activities session 112 147 1452 Waste
Individuals covered by financial knowl- -Total solid waste discharged ton 94228.74 93500.42 145057.22
edge activities \ 18164 49521 45276 -General industrial solid waste disposed ton \ 79567.22 131148.28
Online financial knowledge promotion
works \ 105 122 67 -Hazardous waste disposed ton \ 25147.54 27910.74
-Total hazardous waste generated ton \ 5969.85 5862.59
Note: During the reporting period the Company increased the mileage of entrusted managed road sections which led to a substantial growth in pur-
Note: In 2025 the "General Meeting of Shareholders" of the Company was renamed as "Shareholders' Meeting". chased electricity consumption and in turn drove a notable increase in Scope 2 greenhouse gas (GHG) emissions.71 Xiandai Investment 2025 Sustainability Report 72
Social performance
Category Unit 2023 2024 2025 Category Unit 2023 2024 2025
Product safety and quality Number of veterans in service \ 79 110 92
Percentage of product and service categories assessed for the health Total new employees \ 153 80 106
and safety impacts % 0 0 0
Male \ 89 44 65
Health and safety incidents related to products and services case 0 0 0 -By gender
Female \ 64 36 45
Number of incidents punished due to violations case 0 0 0
Number of incidents receiving warnings due to violations case 0 0 0 30 years old or below \ 70 42 66
Number of incidents violating voluntary guidelines case 0 0 0 -By age group 30-50 years old \ 58 38 42
Customer service and rights 50 years old or above \ 25 0 0
Customer satisfaction percentage % 100 100 99.7 Total new employment rate % 5.70 3.29 4.5
Customers claims \ 360 287 860 Male % 6.20 3.38 5.2
-By gender
Number of customer complaints resolved case 360 287 859 Female % 5.20 3.18 4.1
R&D investment million 26.48 26.37 28.93 30 years old or below % 17.00 12.24 22.8
Proportion of R&D investment to business revenue % \ 0.35 0.49 - By age 30-50 years old % 3.00 2.11 2.4
Number of R&D personnel \ 278 295 309 50 years old or above % 8.60 0 0.0
Proportion of R&D personnel % 10.40 10.28 11.17
Total employee turnover \ 294 229 181
Total number of invention patents case 153 123 143
Male \ \ 116 108
Number of newly added invention patents case 8 18 12 -By gender
Number of trademarks software copyrights and other intellectual Female \ \ 113 77
property rights case 57 70* 43 30 years old or below \ \ 39 26
Number of newly added intellectual property rights such as trade- -By age group 30-50 years old \ \ 132 111
marks and software copyrights case \ 13 8 50 years old or above \ \ 58 48
Employment Overall employee turnover rate % 11.00 9.41 7.7
Total number of employees \ 2673 2434 2354
Male % \ 8.90 8.6
-Number of labor dispatch personnel \ \ 435 254 -By gender
Female % \ 9.99 7.0
Male \ 1432 1303 1099
-By gender
Female \ 1241 1131 1255 30 years old or below % \ 11.37 9.0
Full-time employees \ 2672 2434 2354 -By age group 30 years old or below % \ 7.31 6.3
-By employment type
Part-time employees \ 1 0 26 50 years old or above % \ 20.28 16.7
Number of senior managers \ \ 10 9 Compensation and benefits
-By grade Number of middle-level and primary-level Labor contract signing rate % 100 100 100 managers \ \ 74 72 Social insurance coverage % 100 100 100
Number of front-line employees \ \ 2350 2273 Beneficiaries of employee care and assistance \ \ 293 389
30 years old or below \ 412 343 290
Investment in employee care and assistance CNY 240000 329000 37
-By age group 30-50 years old \ 1940 1805 1776
Employee Seminar session \ 123 111
50 years old or above \ 291 286 288
Master's degree \ 148 136 154 Occupational development and training
-By educational back- Bachelor's degree \ 1374 1367 1391 Annual training expenditure CNY 1.75 1.65 0.91
ground millionCollege degree \ 713 617 551
Other educational qualifications \ 438 314 258 Employee training coverage rate % 100 100 100
Number of employees with disabilities in service \ 11 4 4 Total training sessions \ \ 1232 1406
Number of employees with ethnic minority in service \ \ 175 173 Total training hours hour 147156.00 161062.50 110295
Number of foreigners in service \ \ 0 0 Total employees trained \ 2673 2434 249273 Xiandai Investment 2025 Sustainability Report 74
Report Indicator Index
Category Unit 2023 2024 2025 Xiandai Investment is in accordance with GRI standards from January 1
Male \ 1432 1303 1359 Instructions
-By gender 2025 to December 31 2025 for reports preparation
Female \ 1241 1131 1133
Senior managers \ \ 10 9 GRI 1 GRI 1: Foundation 2021
-By rank Middle-level and primary-level managers \ 86 74 72
Front-line employees \ 2587 2350 2262
Total training hours per employee hour 55.00 66.20 44 GRI Stand-
ards Disclosures Sections Page
Male hour 53.00 63.80 42.4
-By gender GRI 2: General Disclosures 2021
Female hour 57.00 68.60 45.6 2-1 Organizational details About Us P5-6
Senior managers hour \ 174.00 155 2-2 Entity included into the ESG report About This Report P1-2
-By rank Middle-level and primary-level managers hour 90.00 75.00 68.00 2-3 Reporting period frequency and contact point
2-4 Restatements of information This report does not require information Front-line employees hour 54.00 65.00 43.2 restatement /
Occupational health and safety
2-5 External assurance This report does not conduct external /
Work safety investment CNY
assurance
million 149.66 165 177 2-6 Activities value chain and other business relationships About Us P5-6
CNY 2-7 Employees Protecting Employees' Rights and Inter--Investment in work safety liability insurance million \ 2.33 223 ests
P53
-Investment in work safety liability insurance % \ 100 100 2-8 Workers who are not employees N\A non-employee staff is not involved /
2-9 Governance structure and composition Solidifying Corporate Governance P13-
-Investment in work-related injury insurance CNY \ 2.46 233 14million 2-10 Nomination and selection of the highest governance body
-Coverage rate of work-related injury insurance % \ 100 100 2-11 Chair of the highest governance body
CNY Role of the highest governance body in overseeing the management of See the Annual Report /-Investment in occupational injury insurance million \ 4.29 404 2-12 impacts
Number of emergency drills conducted \ \ 98 179 2-13 Delegation of responsibility for managing impacts
Number of regular and irregular safety inspections \ \ 792 1004 2-14 Role of the highest governance body in sustainability reporting ESG Governance P8
2-15 Conflicts of interest
-Hidden dangers inspected case \ 1511 2752 See the Annual Report /2-16 Communication of critical concerns
-Hidden danger rectification rate % \ 100 100 2-17 Collective knowledge of the highest governance body
ESG Governance P8
Safety training session 379 408 709 2-18 Evaluation of the performance of the highest governance body
Participants of safety training \ 3119 2869 2608 2-19 Remuneration policies
Number of work-related fatalities \ \ 0 0 2-20 Process to determine remuneration See the Annual Report /
2-21 Annual total compensation ratio
Number of all traceable work-related health problem cases \ \ 0 0 2-22 Statement on sustainable development strategy Not formulated /
Supply chain management 2-23 Policy commitments ESG Governance P8
Number of suppliers within Hunan Province \ 555 478 794 2-24 Embedding policy commitments
No related actions /
Number of suppliers outside Hunan Province \ 330 247 477 2-25 Processes to remediate negative impacts
Social contribution 2-26 Mechanisms for seeking advice and raising concerns ESG Governance P9
2-27 Compliance with laws and regulations Comply with all laws and regulations /
Total social welfare expenditure CNY million 7.36 1.53 53 2-28 Membership associations No related actions /
2-29 Approach to stakeholder engagement ESG Governance P9
Participants of social welfare activities \ \ 1205 1768
Number of social welfare activities session \ 108 104 2-30 Collective bargaining agreements
Protecting Employees' Rights and Inter-
ests P53
Total hours of social welfare activities hour \ 343 478 GRI 3: Material Topics 2021
National strategic response 3-1 Process to determine material topics ESG Governance P10
3-2 List of material topics
Total investment in rural vitalization CNY million \ 31.99 141 Economic
GRI 201: Economic Performance 2016
Beneficiaries of rural vitalization \ \ 616 5378 GRI3-3 Management of material topics / /
201-1 Direct economic value generated and distributed Company Profile P5
201-2 Financial implications and other risks and opportunities due to climate P37-change Addressing Climate Change 4375 Xiandai Investment 2025 Sustainability Report 76
GRI Stand-
ards Disclosures Sections Page
GRI Stand-
ards Disclosures Sections Page
201-3 Defined benefit plan obligations and other retirement plans Protecting Employees' Rights and Inter- P53- GRI 304 Biodiversity 2016ests 54 GRI3-3 Management of material topics / /
201-4 Financial assistance received from government See the Annual Report /
304-1 Operational sites owned leased managed in or adjacent to protected GRI 202: Market Presence 2016 areas and areas of high biodiversity value outside protected area Protecting Ecological Environ- P49-
GRI3-3 Management of material topics / / 304-2 Significant impacts of activities products and services on biodiversity ment 50
202-1 Ratios of standard entry level wage by gender compared to local mini- 304-3 Habitats protected or restoredmum wage Protecting Employees' Rights and Inter- P53-
ests 54 IUCN Red List species and national conservation list species with habi-
202-2 Proportion of senior management hired from the local community 304-4 tats in areas affected by operations N\A /
GRI 203: Indirect Economic Impacts 2016 GRI 305: Emissions 2016
GRI3-3 Management of material topics / / GRI3-3 Management of material topics / /
203-1 Infrastructure investments and services supported 305-1 Direct (Scope 1) GHG emissions
See the Annual Report / Addressing Climate Change P43
203-2 Significant indirect economic impacts 305-2 Energy indirect (Scope 2) GHG emissions
GRI 204: Procurement Practices 2016 305-3 Other indirect (Scope 3) GHG emissions Not calculated /
GRI3-3 Management of material topics / / 305-4 GHG emissions intensity
204-1 Proportion of spending on local suppliers Performance Appendixes 305-5 Reduction of GHG emissions
GRI 205: Anti-corruption 2016 305-6 Emissions of ozone-depleting substances (ODS) Performance Appendixes /
GRI3-3 Management of material topics / / 305-7 Nitrogen oxides (NOX) sulfur oxides (SOX) and other significant air emis-
205-1 Operations assessed for risks related to corruption sions
Communication and training about anti-corruption policies and proce- P19- GRI 306: Waste 2020205-2 dures Upholding Business Ethics 21 GRI3-3 Management of material topics / /
205-3 Confirmed incidents of corruption and actions taken 306-1 Waste generation and significant waste-related impacts
Deepening Green Operations P48
GRI 206: Anti-competitive Behavior 2016 306-2 Management of significant waste-related impacts
GRI3-3 Management of material topics / / 306-3 Waste generated
206-1 Legal actions for anti-competitive behavior anti-trust and monopoly Upholding Business Ethics P21 306-4 Waste diverted from disposal Performance Appendixes 68practices 306-5 Waste directed to disposal
GRI 207: Tax 2019 GRI 308: Supplier Environmental Assessment 2016
GRI3-3 Management of material topics / / GRI3-3 Management of material topics / /
207-1 Approach to tax 308-1 New suppliers that were screened using environmental criteria Building a Responsible Supply P61-
207-2 Tax governance control and risk management See the Annual Report / 308-2 Negative environmental impacts in the supply chain and actions taken Chain 62
207-3 Stakeholder engagement and management of concerns related Social
207-4 Country-by-country reporting N\A / GRI 401: Employment 2016
Environmental GRI3-3 Management of material topics / /
GRI 301: Materials 2016 401-1 New employee hires and employee turnover Performance Appendixes
GRI3-3 Management of material topics / /
401-2 Benefits provided to full-time employees that are not provided to tem- Protecting Employees' Rights and P54-301-1 Materials used by weight or volume porary or part-time employees Interests 55
301-2 Recycled input materials used N\A no product or material is involved / 401-3 Parental leave Protecting Employees' Rights and P53
301-3 Reclaimed products and their packaging materials Interests
GRI 302: Energy 2016 GRI 402: Labor\Management Relations 2016
GRI3-3 Management of material topics / / GRI3-3 Management of material topics / /
302-1 Energy consumption within the organization 402-1 Minimum notice periods regarding operational changes Comply with all laws and regula-tions /302-2 Energy consumption outside of the organization
302-3 Energy intensity Deepening Green Operations P45 GRI 403: Occupational Health and Safety 2018Performance Appendixes
302-4 Reduction of energy consumption GRI3-3 Management of material topics / /
302-5 Reductions in energy requirements of products and services 403-1 Occupational health and safety management system
GRI 303: Water and Effluents 2018 403-2 Hazard identification risk assessment and incident investigation
GRI3-3 Management of material topics / / 403-3 Occupational health services
303-1 Interactions with water as a shared resource Worker participation consultation and communication on occupation-
Deepening Green Operations P46 403-4
303-2 Management of water discharge-related impacts al health and safety
303-3 Water withdrawal 403-5 Worker training on occupational health and safety Caring for Employees' Health and
Well-being P56-
303-4 Water discharge Performance Appendixes 403-6 Promotion of worker health 58
303-5 Water consumption 403-7 Prevention and mitigation of occupational health and safety impacts
Performance Appendixes
directly linked by business relationships
403-8 Workers covered by an occupational health and safety management system
403-9 Work-related injuries
403-10 Work-related ill health77 Xiandai Investment 2025 Sustainability Report 78
GRI Stand-
ards Disclosures Sections Page
GRI 404: Training and Education 2016
GRI3-3 Management of material topics / / Reader Feedback
404-1 Average hours of training per year per employee Performance Appendixes
404-2 Programs for upgrading employee skills and transition assistance pro-grams Prioritizing Employee Develop- P54- Dear Readers
404-3 Percentage of employees receiving regular performance and career
ment 56
development reviews Thank you very much for reading the 2025 Sustainability Report of Xiandai Invest-
GRI 405: Diversity and Equal Opportunity 2016 ment Co. Ltd. We sincerely invite you to leave us your valuable feedback on this
GRI3-3 Management of material topics / / report. Your comments and suggestions are crucial for our ongoing improvement of
405-1 Diversity of governance bodies and employees Protecting Employees' Rights and Interests P53 the report.
GRI 406: Non-discrimination 2016
GRI3-3 Management of material topics / /
406-1 Incidents of discrimination and corrective actions taken Protecting Employees' Rights and Interests P53
GRI 407: Freedom of Association and Collective Bargaining 2016
GRI3-3 Management of material topics / /
407-1 Operations and suppliers in which the right to freedom of association Protecting Employees' Rights and Please send us your feedback via dong-and collective bargaining may be at risk Interests P53
ban@xdtz.net
GRI 408: Child Labor 2016
GRI3-3 Management of material topics / /
408-1 Operations and suppliers at significant risk for incidents of child labor Protecting Employees' Rights and Interests P53
GRI 409: Forced or Compulsory Labor 2016
GRI3-3 Management of material topics / /
409-1 Operations and suppliers at significant risk for incidents of forced or Protecting Employees' Rights and compulsory labor Interests P53
GRI 410: Security Practices 2016
GRI3-3 Management of material topics N\A /
GRI 411: Rights of Indigenous Peoples 2016
GRI3-3 Management of material topics N\A /
411-1 Incidents of violations involving rights of indigenous peoples N\A /
GRI 413: Local Communities 2016
GRI3-3 Management of material topics / /
413-1 Operations with local community engagement impact assessments Fulfilling Community Responsi- P63-and development programs bilities 66
413-2 Operations with significant actual and potential negative impacts on P49-local communities Deepening Green Operations 50
GRI 414: Supplier Social Assessment 2016
GRI3-3 Management of material topics / /
414-1 New suppliers that were screened using social criteria Building a Responsible Supply P61-
414-2 Negative social impacts in the supply chain and actions taken Chain 62
GRI 415: Public Policy 2016
GRI3-3 Management of material topics N\A /
415-1 Political contributions N\A /
GRI 416: Customer Health and Safety 2016
GRI3-3 Management of material topics / /
416-1 Assessment of the health and safety impacts of product and service categories Safeguarding Safety Bottom Line
P26-
29
416-2 Incidents of non-compliance concerning the health and safety impacts of products and services None /
GRI 417: Marketing and Labeling 2016
GRI3-3 Management of material topics / /
417-1 Requirements for product and service information and labeling
417-2 Incidents of non-compliance concerning product and service informa-tion and labeling N\A /
417-3 Incidents of non-compliance concerning marketing communications
GRI 418: Customer Privacy 2016
GRI3-3 Management of material topics / /
418-1 Substantiated complaints concerning breaches of customer privacy and losses of customer data None /
沪公网安备31011802005267号
