2025

Environmental Social and Governance (ESG) Report

QiaoYin City Management Co. Ltd.CONTENTS Solid Foundation Livable ServicesCompliance for Long-Term HarmoniousDevelopment Communities

Corporate Governance 23 Customer Relationship Management 45

Compliance and Risk Management 25 Employee Relationship Management 46

Chairman’s Message Business Ethics 26 Occupational Health and Safety01 55

Information Security Protection 27 Community Relationship Management03 61

Sustainable Development Governance 13

ESG Management 13

Stakeholder Communication 14

15 Green Engine Innovation Driven

Beautiful China Urban Upgrading

Appendix 83 Climate Change Response 31 Enhancing Urban Services 65

Description of Report Preparation 83 Environmental Management 35 Research and Development Innovation 75

ESG Performance Table 84 Resource Utilization 38 Product Quality 77

ESG Indicator Index 86 Circular Economy 40 Supplier Management 78

01 02QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Chairman’s Message In this year

We carried out a series of care activities covering all employees focusing on special

In 2025 amid turbulent times and accelerated upgrading of urban services we remained committed to the vision of comprehensive groups and featuring diverse content and formats.improvement of the human living environment. Through strengthening internal capabilities and working together to overcome

challenges we delivered a report card featuring innovation driven breakthroughs in service quality and AI empowerment.and caring education assistance while taking into account the improvement of urban services and people’s wellbeing thereby practic-

In this year ing public welfare responsibilities.We took the lead in the industry in launching the “Embodied Intelligent Urban Com-prehensive Governance Service” model.Building a complete governance capability system covering “Perception Governance Decision Making Execution” and promoting the

upgrade of urban services from “Passive Response” to “Proactive Decision Making”. At the same time we adhered to service as the

foundation deeply cultivated the core business of the city steward model practiced green and low carbon concepts and explored

aspiration for a better life as our mission continue to comprehensively improve operational and management capabilities and strive for

governance we promoted a virtuous cycle of urban development. We consolidated our domestic presence while expanding into global new heights.Beautiful Upon Arrival”.In this year

We built an AI ecosystem

established in Hangzhou. We successively partnered with the national team in humanoid robotics and the national team in cloud

computing. We brought China’s comprehensive urban service solutions to the global stage and engaged in dialogue on the future with

delegations from Saudi Arabia the United Arab Emirates Uzbekistan Indonesia Thailand and other countries. At the same time we

In this year

We expanded our business to 27 provinces

Supporting more cities in building their “Reception Hall” brand image and increasing the

number of cities served for “Civilized City” and “Sanitary City” initiatives to 75. We optimized

the structure of newly signed urban service orders with a higher proportion of orders from high

management new energy logistics and renewable resources began to take shape strengthen-

ing the foundation for sustainable development.

01 02QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Existing Projects

Regions to Be Expanded

QiaoYin City Management Co. Ltd. (Stock Code: 002973.SZ) is a well known urban and rural

public utility service enterprise in China. Established in 2001 the Company’s business covers

more than 100 cities across 27 provinces (autonomous regions and municipalities). It serves

75 cities participating in “Civilized City” and “Sanitary City” initiatives with operation areanationwide. Centered on the core strategy of “Comprehensive Improvement of the HumanLiving Environment” QiaoYin leverages the synergy of multiple business segments including

integrated urban and rural environmental services sanitation engineering construction

water body management municipal maintenance landscaping maintenance construction

waste and pollutant treatment public property management urban renewal urban energy

management urban green transportation services and intelligent operation equipment and With a team of nearly

services supporting high quality urban development.Based on the needs for a better life QiaoYin takes root in the core strategy of “Comprehensive 50000Improvement of the Human Living Environment” and is committed to becoming a setter of members

industry value standards a practitioner behind people’s happy lives a trusted contributor to

Party committees and governments a platform builder for employees to realize their talents more than

and dreams and a leader in promoting urban evolution. What the Company brings is not only

QiaoYin for urban development lies in continuously promoting urban evolution through 40000

upgrading from urban services to urban management urban operation and smart urban units of equipment

governance.over

200

patents

more than

Across

01 services through service upgrading. 27 20Provinces years of service experience

(Autonomous Regions and Municipalities)

serving over

and more than

Building a full industry chain to achieve a closed loop business

02 ecosystem through business upgrading. 2000 100

honors cities

+ serving

technological upgrading creating a new paradigm for digital and

03 500smart development of the urban comprehensive governance service 75

Invested in Constructed and Operated More cities under “Civilized City”

industry and enhancing the level of urban service development. and “Sanitary City” initiatives

03 04QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

National Sanitary Cities National Civilized Cities

In February 2022 the National Patriotic Health Campaign In November 2020 the Central Commission for Guiding

Cultural and Ethical Progress selected 133 National

Sanitary Cities (districts) among which QiaoYin provided

cleaning services for 28 cities (districts).National Civilized Cities. QiaoYin provided services for 30

of these cities.Sanitary City Benchmark Civilized City Benchmark

In 2021 supported Maoming City in successfully creating In 2020 supported Kunming City in successfully creating

a “National Sanitary City” a “National Civilized City in the First Six Rounds”

Philosophy Strategy and Positioning

Vision Mission Core Values Management Policy

Creating opportunities for employees creating value for

To build a world-leading brand in comprehensive improve- Beautifying every city we live in Seek excellence be down-to-earth make self-improve- customers creating returns for shareholders and creating

ment services for the human living environment ment be persistent and achieve a win-win situation

05 06QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Service Upgrade

Comprehensive Governance with Embodied

IntelligenceQiaoYin is committed to building a modern full domain urban service system. From proposing the “Urban and Rural Sanitation Integra-tion” model in 2017 to releasing the “City Steward” model in 2020 to implementing the “@City” comprehensive governance model in

2022 and to advocating the iterative upgrade to the “Embodied Intelligent Urban Comprehensive Governance” model in 2025 it

wellbeing.

4.0 Urban Integrated Advocating the construction of an urban governance platform by integrating and

Governance optimizing IoT equipment building a new generation data governance engine and AI

scheduling platform promoting the transformation toward AI driven cities and advanc-

ing the development of the Smart city industry.Empowering Cities With Beauty and New Vitality

3.0 @City Comprehensive Based on the Urban Steward business integrating multi domain resources construct-Governance Across ing full chain solutions covering urban investment services management and

the Entire Domain operation and supporting the appreciation operation and management level improve-

ment of urban public assets.Addressing the Issue of “Multiple Administrations”

2.0 Urban By taking the sanitation cleaning work of a city as a whole and expanding the industrial Steward chain horizontally the Company realizes integrated sanitation services urban parking

services Smart urban management construction landscaping maintenance and

municipal maintenance providing overall market oriented management services for

public spaces.Building an Integrated Urban and Rural Development Community

1.0 Providing integrated sanitation service solutions from cities counties (districts) to Sanitation Integration towns (streets) villages and households forming a seamless urban and rural structure

addressing the imbalance in urban and rural development and supporting new type

urbanization and comprehensive rural revitalization.

07 08QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Business Scope

4

Urban Governance Intelligent Agent Matrix Platform

Urban Steward Voice Government Affairs Intelligent Agent Platform

Urban and Rural Sanitation Integration Services

Property Management Services Smart Manufacturing 5

Landscaping Maintenance

Water Area Management and Protection Smart Urban Service Operation Equipment

Municipal Maintenance

Expressway Maintenance

Urban Operation 6

2 Innovation

Urban Renewal

Municipal Wastewater Treatment

Vehicle and Equipment Sales

Leachate Treatment 7

Smart Scenic Area Stations and Cableways

Livestock Breeding and Slaughter Wastewater Treatment

Smart Parking Lots

Hospital Wastewater Treatment

Low Altitude Inspection Operation Services

Hazardous Waste Disposal

Kitchen Waste Treatment

Night Market Economy

Waste Incineration Power Generation

Smart Agricultural Trade Markets

EMC Contract Energy Management (Green Energy Virtual Power Plant)

3 New Energy 7

New Energy Logistics Services

Shared Charging Piles

New Type Energy Storage Green / Professional Sorting Center

Disposal of End-of-Life Assets

Intelligent Sorting Production Line Design and Equipment Sales

09 10QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

2025

Enterprise Honors

At the “Roadshow China” Listed Company Investor Relations At the “14th Listed Company Development Annual Conference and HainanInnovation Summit and the 8th China Excellence IR Awards Free Trade Port Open Opportunity Exchange Conference” the Company was

The Company was listed among the Ceremony QiaoYin was awarded the recognized as the

Guangdong Top 500 Best Investor 2025 Listed Company with Outstanding

Enterprises

for the seventh consecutive year

11 12QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Stakeholder Communication

Governance QiaoYin attaches great importance to communication and engagement with stakeholders establishes communication channels and platforms

through multiple approaches and in various forms and actively responds to stakeholders’ expectations and concerns.Stakeholder Communication

ESG Management Expectations for the Communication Methods

Stakeholders Company and Responses

top to bottom. The Company continuously improves its governance structure optimizes internal management establishes and enhances risk

control mechanisms and promotes the construction of a responsible business system.Governments and

Authorities

Level Tasks

Board of Customers

Directors

Strategy

Committee

ESG

Environment

Working Group

Communities

13 14QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Topic List

-

The Company takes the topics covered in the Exchange’s Guidelines as the benchmark conducts an in-depth analysis of its own business

structure and operating model and carries out survey analysis of stakeholders in the form of questionnaires thereby systematically identifying

material topics that are closely and inherently linked to the Company’s business operations and occupy a prominent position in the stakeholder

concern matrix.Dimension Analytical Approach

Aspect Dimensions of Materiality Analysis

Corporate Identify ESG topics that are highly relevant to the Company’s core competitiveness and future

development direction.Impact Whether the Company’s performance on the relevant

the economy society and the environment.In combination with relevant national and local laws regulations and policy documents

extract ESG topics that have binding or guiding effects on various business segments

ensuring that topic setting aligns with policy orientation.the short medium and long term on the Company’s

business model business operations development strategy

methods and costs. -

tion methods clarify ESG topics that require focused responses enhancing the responsive-

and Response ness and relevance of topics.Dual Materiality Analysis Process for QiaoYin Topics

Ratings and Refer to mainstream ESG rating and disclosure standards such as MSCI SASB and Shenzhen

Information Stock Exchange ensuring that topic selection has an international perspective and industry

applicability.Step 2: Establishment of Topic List

Peer Benchmarking Through benchmarking the disclosure focus of ESG topics of peer enterprises ensure that

topic setting has industry comparability and forward looking characteristics.Step 4: Topic Reporting

15 16QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

2025 ESG Topic Library of QiaoYin Impact Materiality Assessment

According to the Guidelines the Company assesses the impact materiality of sustainability related topics from two aspects namely the

irremediability of impacts.-

Environment 7 ty of 23 topics for the Company and derived a list of impact material topics based on the established impact materiality thresholds.Topics With Impact Materiality

Climate change response pollutant emissions and waste treatment ecosystem and biodiversity protection No. Topics No. Topics

environmental compliance management energy utilization water resource utilization circular economy

1 Climate Change Response 5 Pollutant Emissions and Waste Treatment

2 Energy Utilization 6 Water Resource Utilization

3 Circular Economy 7 Ecosystem and Biodiversity Protection

4 Environmental Compliance Management

Social 9 No. Topics No. Topics

1 Research and Development Innovation 6 Equal Treatment of Small and Medium Sized Enterprises

Research and development innovation technology ethics product and service safety and quality supply

chain security equal treatment of small and medium sized enterprises employees (employee rights protec- 2 Product and Service Safety and Quality

7 Technology Ethics

tion employee training and development occupational health and safety) rural revitalization social

3 Supply Chain Security 8 Rural Revitalizationcontribution enhancing urban services

9

4 Employees Social Contribution

5 Enhancing Urban Services

No. Topics No. Topics

Corporate Governance 7 1 Party Building Guidance 5 Stakeholder Communication

2 Anti Commercial Bribery and Anti-Corruption 6 Due Diligence

3 Compliant Operation and Risk Management 7 Anti-Unfair Competition

Due diligence stakeholder communication anti-commercial bribery and anti-corruption anti-unfair competi-

tion compliant operation and risk management information security protection party building guidance 4 Information Security Protection

17 18QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Financial Materiality Assessment

[inclusive]) medium term (3 years to 5 years [inclusive]) and long term (more than 5 years) from two aspects namely the likelihood of E Environmental compliance management pollutant emissions and Research and development innovation

waste treatment water resource utilization energy utilization

Product and service safety and quality

S Employees equal treatment of small and medium sized enterpris-

impact analyzes the likelihood of occurrence of risks and opportunities for each topic in the short medium and long term as well as their es technology ethics Supply chain security

G Anti commercial bribery and anti-corruption compliant operation Enhancing urban services

and risk management stakeholder communication due diligence

Circular economy

party building guidance information security protection

Topics With Financial Materiality

NO. Topics Ecosystem and biodiversity protection rural revitalization

Climate change response

social public welfare anti-unfair competition

1 Climate Change Response

2 Circular Economy Financial Materiality

NO. Topics

1 Research and Development Innovation

2 Product and Service Safety and Quality

3 Supply Chain Security

4 Enhancing Urban Services

NO. Topics

1 Information Security Protection

Results of Topic Materiality Assessment

The Company comprehensively consolidates the impacts risks and opportunities of material topics and discloses relevant management

four-element framework of “Governance” “Strategy” “Impact Risk and Opportunity Management” and “Indicators and Targets”.

1920

Impact MaterialityQiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

01

Solid Foundation

Compliance for

Long-Term Development

PART

Key ESG Topics of This Chapter

ONE

21 22QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Corporate Governance

Governance Structure Investor Relations Management

QiaoYin strictly complies with the requirements of laws and regulations such as Company Law Securities Law and Code of Corporate QiaoYin continuously deepens investor relations management and effectively safeguards the legitimate rights and interests of investors

Governance for Listed Companies and establishes a governance structure with the General Meeting of Shareholders the Board of Directors

and the management as the main bodies. Under the Board of Directors there are the Strategy Committee the Audit Committee the Nomina- Company revised and improved the Information Disclosure Management System and the Investor Relations Management System adhering to

tion Committee and the Remuneration and Assessment Committee. The decision making supervision and execution responsibilities of each the principles of truthful accurate and complete information disclosure and ensuring that all investors have equal access to information. At

the same time through channels such as periodic reports the General Meeting of Shareholders the Interactive Platform and investor hotlines

transparency and communication effectiveness and creates a fair and mutually trusting investor relations environment.During the reporting period the Company

Party Building Guidance

Held 4 13

General Meeting of Board of Directors QiaoYin adheres to guiding enterprise development through Party building and

Shareholders meetings strengthens the ideological foundation through reinforcing theoretical learning. The

Company strictly implements the “First Topic” system relying on carriers such as the

“Three Meetings and One Lesson” and themed Party Day activities organizing 13

centralized study sessions 3 special Party lectures and 5 seminars throughout the

year thoroughly studying and implementing the spirit of the Fourth Plenary Session

of the 20th Central Committee of the Communist Party of China and closely integrat-

Board Diversity ing theoretical learning with the Company’s development practices ensuring that the

enterprise consistently maintains the correct political direction. At the same time the

The Company attaches great importance to the construction of Board diversity. In terms of gender professional background and international Company holds high-quality annual organizational life meetings conducts in depth

criticism and self-criticism and effectively enhances the principled nature and

combat effectiveness of intra Party political life.development and standardized operation. In 2025 the Company successfully completed the re-election of the Board of Directors. The new

Board consists of 9 members including 5 female directors.In strengthening the organizational foundation the Company continuously improves

Board Independence branch work systems completes the re-election of branch committees in a standard-

ized and timely manner and ensures the continuity and stability of organizational

The Company strictly establishes the governance system of the Board of Directors in accordance with laws regulations and the Articles of operations. The Company strictly controls the quality of Party member development

Association ensuring independent and standardized operation of the Board across all stages including appointment and compliance declara- completing the conversion of 2 probationary Party members to full Party members

tions. The Company currently has 9 Board members including 3 independent directors. Independent director candidates sign relevant indepen- during the year and innovates the management model for mobile Party members

relying on platforms such as “Xuexi Qiangguo” to strengthen daily education and

interests with the Company or related parties that may affect their independence. disciplinary warnings thereby reinforcing the ideological defense line of Party

carrying out “Red Joint Construction” activities with institutions such as Zheshang

Bank and Liby Group and engaging in in depth exchanges on Party building experi-

and Commerce. Through resource sharing and mutual learning the Company

strong impetus into high-quality development.

23 24QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Tax Compliance

Compliant Operation ensuring the standardization and independence of tax related work. The Company adheres to paying taxes in accordance with the law and -

zation of tax burden on the premise of strict compliance. At the same time the Company conducts systematic investigations and analysis of

issues related to tax inquiries and facilitates transformation through case sharing and training.QiaoYin regards compliant operation as the core support for steady development and has established a hierarchical and comprehensive

internal control system. With the Audit Committee as the overall coordinating core the Company has established an audit group and a supervi-

authorities and promotes the standardization of business processes.Business Ethics

supervision and inspection mechanism regularly conducting random inspections and special audits comprehensively evaluating the legality

and effectiveness of internal control management promptly identifying and resolving issues continuously improving the internal control

system and enhancing governance capabilities.Anti-Commercial Bribery and Anti-Corruption

The Company has established an anti-commercial bribery supervision mechanism with full staff participation and full process control. By

Risk Management

governance the Company has not only formulated strict Administrative Measures for Supervision and Reporting but also encourages employ-

QiaoYin has established a full process risk prevention and control system covering three core business segments namely market expansion

through recording special videos and conducting dedicated training for new employees and management ensures that the concept of integri-

external decision making and capital allocation. In combination with the characteristics of each department’s business the Company formu-

ty is truly embedded into daily work fostering a clean and upright corporate environment and safeguarding the integrity baseline for sustain-

able development.and formulates response strategies before risks materialize ensuring that negative impacts are minimized. At the same time the Company

regularly conducts systematic risk management training promoting the deep integration of risk control concepts into frontline business

Supervision Email

general managers. The training was delivered by lecturers specializing in the seven key points and coordinated by the Training

Through a combination of centralized lectures and on-site instruction the training strengthened weak areas in the core perfor- Supervision Hotline

13710380637

implementation and awareness of risk prevention and control.

25 26QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Strategy

Case: Integrity Practice Promotion Training

In December 2025 the Audit and Supervision Department of the Company conducted integrity practice promotion training for The Company continuously upgrades its security capabilities driven by cutting edge technologies introduces advanced concepts such as zero

middle and senior management at the headquarters building. The training focused on the theme of anti-corruption and integrity trust and threat intelligence and entrusts third parties to conduct annual security assessments continuously improving a comprehensive

security defense system. At the same time through organizing annual cybersecurity attack and defense drills the Company simulates real

funds personnel management and “micro corruption”. Through case warnings interpretation of red lines and interactive question attack scenarios to test the effectiveness of the protection system and emergency response capabilities forms review reports and continu-one position” and required managers to exercise strict self-discipline and effectively manage their subordinates thereby strength- disseminate security knowledge fostering an information security atmosphere with full participation and building an information security

ening the ideological defense line of “not daring to be corrupt not being able to be corrupt and not wanting to be corrupt”. protection pattern with coordinated advancement of technology management and culture.Impact Risk and Opportunity Management

Anti-Monopoly and Fair Competition

Physical Layer Network Layer Software Layer

QiaoYin strictly complies with the Anti-Monopoly Law of the People’s Republic of China and the Anti-Unfair Competition Law and other relevant

laws and regulations and regards fair competition as the bottom line of compliant operation. The Company resolutely eliminates any form of The core data center implements Antivirus software is deployed across

monopoly agreements abuse of market dominant position and concentration of undertakings in market competition. It participates in bidding segmentation core business areas all terminals and network access

and commercial cooperation in accordance with the principles of transparency and fairness does not establish any unreasonable market recognition and cabinet access control is implemented. Desktop

barriers or discriminatory terms and respects and protects the legitimate rights and interests of partners and competitors. control 7×24 hour monitoring and is Servers in the core business area Manager software system is

are accessed through a bastion deployed to achieve encryption of

extinguishing systems. Terminal host on the internal network and

devices implement USB control and accessed through a combination of approval for external transmission.data erasure before equipment VPN and bastion host on the

disposal.Information Security Protection segments deploy internet behavior management devices and rectify weak passwords of network

devices. Enterprise Wi Fi adopts

dual authentication of encryption

and domain accounts and the

Governance guest network is physically isolated from the internal network.QiaoYin regards information security as the lifeline of digital operation and

establishes a full process institutional system covering the entire data lifecycle Indicators and Targets

from collection storage use and sharing to destruction ensuring that all stages

are governed by rules and risks are controllable. In terms of organizational

support the Company has established an information security leadership group Indicators Unit

to coordinate decision making. The Information Technology Department and the

Times 6.00

from the grassroots level to senior management. Through a multi-level linkage

reporting mechanism frontline security dynamics can be promptly transmitted to Hours 12.00

the decision-making level enabling rapid risk response and precise decision

making and safeguarding the digital baseline for steady operation. In accordance with the relevant provisions of the Administrative Measures Sessions 4.00

Sessions 1.00

27 28QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

02

Green Engine

Beautiful China

PART

TWO

Key ESG Topics of This Chapter

29 30QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Strategy

Facing the severe challenges of global climate change green and low carbon transformation has become a common choice of the international

community. QiaoYin actively responds to the “dual carbon” strategic goals and continuously explores optimal solutions for carbon neutrality in The Company refers to the framework

the industry. of the International Financial Report-

ing Standard S2 Climate Related

Disclosures (IFRS S2) issued by the

International Sustainability Standards

Governance Board (ISSB) conducts an in depth

analysis of the risks and opportunities

arising from climate change and

actively takes effective measures to

The Company continuously optimizes the management framework for carbon emissions and climate risks assesses monitors and manages

properly address the impacts of

environmental and climate risks coordinates the Company’s “dual carbon” operations and conducts in depth research on emission reduction

climate change on the Company’s

technologies ensuring that greenhouse gas emissions are effectively managed mitigating climate related risks and promoting the achieve-

sustainable development.ment of climate targets.Core Risk or Likelihood of Impact Time Potential Financial Response

Dimensions Description Occurrence Horizon Impact Measures

Establish a policy tracking mechanism conduct

Increase in compliance costs or decline in

Policy and Legal Risks Medium to long term technological upgrades in advance optimize Medium

accounts receivable turnover customer structure and strengthen accounts

payment capacity

receivable management

Increase research and development cooperation

The application of AI Internet of Things and smart sanitation Increase in technology investment but

Technological Risks and Short term to medium

- Medium to High long-term reduction in labor costs and

Opportunities to long term platforms with technology companies and

Transition cal iteration entails risks of investment failure cultivate internal digital capabilities

Risks

and

Strengthen brand and operational quality expand

Market Risks and Uncertainty in revenue growth and pressure

Medium Medium to long term the industrial chain such as kitchen waste resource

Opportunities

opportunities

Safety accidents substandard operational quality environ- Damage to brand reputation which may Strengthen safety training quality inspections and

Reputation Risks mental violations and negative public opinion such as employ- Low Short term environmental compliance establish crisis public

ee treatment issues termination relations plans and enhance employee care

Extreme weather such as typhoons heavy rain heavy snow Formulate emergency plans purchase property

Increase in maintenance costs loss of

Acute Risks and high temperatures may lead to interruption of sanitation Medium Short term and personal insurance reserve emergency materi-

working hours and compensation expenses

operations equipment damage and personnel casualties

Physical

Risks

Long term temperature rise and sea level changes may affect

Chronic Risks Low Long term selection evaluation adopt adaptive design and

additional investment required for relocation

conduct regular inspection of facility durability

31 32QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Impact Opportunity and Risk Management

Emergency Response Plan for

- Strong Wind or Typhoon Weather

nities and in combination with the Company’s operational strategy formulates climate strategies and “dual carbon” action pathways aligned

with actual conditions ensuring the effectiveness of climate risk management.According to the Company’s emergency response plan for strong wind or typhoon weather within 10 to 15 minutes after

-

Climate Change Risk Management Process tion against wind and recovers temporary facilities. Within 30 minutes after the wind subsides the cleaning team arrives at

main roads to carry out cleaning operations and within 2 hours completes the removal of garbage debris and branches on

road surfaces and in green belts. If strong winds occur at night cleaning of main roads and key areas shall be completed

before 7:00 the following day. At the same time the damage to facilities shall be inspected and reported in writing to the

Risk Assessment Risk Response client. Drivers are required to slow down turn on fog lights and drive on solid road surfaces. Outdoor operations shall be

suspended in adverse weather conditions such as winds above Level 6. Special circumstances require approval from the

responsible leader before operations can proceed. Cleaning personnel shall promptly clear garbage and leaves from

With reference to the IFRS S2 Follow a closed loop process of Systematically assess the drainage outlets and similarly suspend outdoor operations in winds above Level 6. Emergency repairs if necessary must beframework strengthen climate “data driven scenario analysis Company’s capability to respond approved and accompanied by safety measures.risk management under climate priority ranking” to assess the to climate risks formulate

change topics and proactively potential impact of extreme management strategies aligned

identify the physical risks weather and climate change on with actual operational needs

transition risks and opportuni- the Company’s sustainable make advance arrangements for

ties faced by the Company. development. climate risk response and

effectively mitigate the impact

of climate change related risks.Emergency Response Plan

Indicators and Targets for Rainstorm Weather

According to the Company’s emergency response plan for rainstorm weather within 15 minutes after receiving the rainstorm

- forecast management personnel and emergency teams complete preparations for drainage and post rain remediation and

ties as well as actual production and operational conditions the Company continuously promotes the implementation of indicators and targets equipment and vehicles enter standby status. Within 1 hour after rainfall stops cleaning personnel arrive at main roads and

Within 4 hours transportation and disposal shall be completed. If immediate transportation is not possible waste shall be

Indicators Unit temporarily accumulated at designated transfer points and completed within 12 hours. If rainfall occurs at night cleaning of

main roads and key areas shall be completed before 7:00 the following day. In the event of urban waterlogging within 15

minutes after the rain stops pumping equipment shall be dispatched to waterlogged road sections and within 12 hours

complete the drainage of accumulated water and silt to designated discharge points. When using water pumps operations

Greenhouse Gas Emissions (Scope 1) Metric Tons of Carbon Dioxide Equivalent 722.74

shall strictly follow procedures and personnel are strictly prohibited from entering drainage pits. If entry is necessary power

must be cut off.Greenhouse Gas Emissions (Scope 2) Metric Tons of Carbon Dioxide Equivalent 19928.66

Metric Tons of Carbon Dioxide Equivalent 20651.40

33 34QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

The Company strictly complies with national and local environmental protection laws regulations and emission standards as the core

and strengthens daily monitoring to ensure that all types of pollutants are stably discharged in compliance with standards. At the same time

the Company continuously reduces environmental risks and ensures operational compliance. Odor generated from kitchen waste pretreatment processes and wastewater treatment systems exhaust gas from biogas boiler combus-

Sulfur containing compounds volatile organic compounds methane and greenhouse gases dust etc.Kitchen waste leachate biogas slurry generated from dehydration of combined anaerobic digestion residues organic slurry after pulping

cooking and three phase separation of kitchen waste production wastewater from circular industrial parks wastewater generated from

deodorization systems production washing wastewater and wastewater generated during vehicle cleaning and disinfection. Management objective

Comply with laws and regulations 100% compliant discharge.Treatment methods

Management objective 1 Production deodorization: Deodorization system. That is: exhaust gas → pretreatment chemical washing → biological treatment →

centrifugal fan → high altitude discharge

Comply with laws and regulations and achieve 100% compliant discharge.Treatment methods removal

1 Guangzhou Likeng Comprehensive Treatment Plant: Wastewa- air into the incinerator for incineration;

(backup) Odor from leachate treatment station: After collection discharged into the waste pit through pipelines and drawn into the incinerator

by induced draft fan for incineration.

2

Part of inorganic residues and organic residues screened during pretreatment biogas residues generated during anaerobic fermentation

production waste empty containers spent activated carbon generated from deodorization systems and laboratory waste liquids etc.Management objective

Comply with laws and regulations 100% compliant discharge.

3 Treatment methods

furnace slag is handled by third parties for resource utilization.

35 36QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Three Waste Treatment Equipment

Wastewater Treatment Wastewater Treatment Waste Residue QiaoYin establishes and improves an energy management system formulates documents such as Energy Saving and Consumption Reduction

Station Station Treatment Plan and Targets for QiaoYin Headquarters Building and Detailed Measures for Energy Control systematically plans energy saving and

For waste gas generated during For odorous units such as unloading For sludge and process residues Relying on the Property Engineering Department and the Security Department as the core execution and supervision forces the Company

production processes the Company pretreatment anaerobic processes generated from wastewater treat- conducts comprehensive inspections and real time monitoring of equipment operation and energy use strengthening full process manage-

is equipped with the following key a n d s l u d g e d e w a te r i n g f u l l y ment the Company is equipped with

equ ipment and co r respond ing enclosed negative pressure collec-

process technologies: grids regulat- tion is implemented. The Company is volume reduction treatment and has

ing tanks anaerobic reaction tanks equipped with multistage combined strictly constructed hazardous waste

aerobic biochemical tanks and ultra- treatment systems such as chemical temporary storage rooms in accor- laying a solid management foundation for green operation.dance with regulations. At the same

systems ensuring that wastewater and activated carbon adsorption time the Company cooperates with

is discharged in compliance with devices effectively removing odor- downstream disposal units to ensure

standards or reused. ous substances such as hydrogen that the entire process of waste Production Water

- residue transfer is stable and compli-

ic compounds. ant.Conduct regular maintenance and servicing of Support reclaimed water reuse.to reduce losses and thereby reduce electricity

consumption.Use energy management systems to conduct real

time monitoring of high energy consuming equipment

and implement peak shifting electricity use.In July 2025 QiaoYin Building welcomed “Young Explorers” from Taixue Primary School in Anshan Town Conghua District. With

anaerobic treatment to produce biogas for self-gen-

the national smart dispatching center and Qiaohong Academy. erated electricity use.-

-

cation games the dream of green technology was shining brightly in their eyes.For kitchen waste collection and transportation Set up waste heat boilers. By recovering waste heat

optimize internal transportation routes to reduce the enterprise can directly reduce the consumption

empty driving and idling operations; of externally purchased fuels such as coal natural

gas and diesel thereby reducing production costs.comparison using natural gas to replace diesel as

production fuel is cleaner and more economical.

37 38QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Indicators Unit

Direct Energy Consumption Tons of Standard Coal 506.10

Indirect Energy Consumption Tons of Standard Coal 11113.71 Governance

Tons of Standard Coal 11619.81 -

sive resource utilization center and combined with the integration of existing sanitation service providers and renewable resource operators

the Company accelerates the construction of a regional waste material recycling system. At the same time the Company makes advance

Tons of Standard Coal/RMB One Million 84.52 arrangements for “trade in for replacement” scenarios connects various units and establishes a comprehensive waste material recycling

system to effectively control incoming materials.Energy Saving Technical Transformation Related Facilities and Equipment Strategy

Anaerobic technology is adopted to generate biogas which is uniformly collected and stored in double mem- The Company adheres to the principle of “government guidance market operation professional management”. By building front end recycling

stations based on the concept of “zero waste cell” units adopting a regional partner cooperation model integrating existing recycling

comprehensive resource utilization center at the terminal stage covering sorting dismantling and reuse processes and promoting the

Impact Risk and Opportunity Management

Waste Incineration Project

- Emphasize establishing close cooperative relationships

with waste generating enterprises and industrial parks and

successfully connected to the grid for power generation. With this it is expected that approximately 240000 tons of domestic

and automated recycling outlets guide relevant enterpris- accelerate the effective connection between waste

waste generated annually in Lichuan City will be treated here ultimately producing about 98040000 kWh of green electricity each

es to participate in the operation and management of generation and resource utilization.year lighting up thousands of households.-

tion from the traditional “passive collection model” to an

active “resource exploration model”.advanced waste incineration power generation technologynamely the process closed loop of “negative pressure enclosedone unit” with a designed daily processing capacity of 700

tons of domestic waste. It is expected to process about 240000 In combination with green shopping mall development Formulate specialized waste management measures

tons of domestic waste annually with an annual power initiatives standardize the treatment processes of various according to the different characteristics of places such as

generation of approximately 98.04 million kWh. solid wastes. schools and hospitals.

39 40QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Indicators and Targets

Case: AI Smart Sorting “Hand” and “Brain” Coordination to Support the

Energy Projects in Indonesia

- In 2025 PT Danantara Investment Management the sovereign investment fund of Indonesia announced that QiaoYin had

waste treatment have been highly recognized by the international market and represents an important step for QiaoYin to expand

AI Smart Recognition System High-Precision End Effector Systemits overseas business landscape and participate in ecological and environmental development in countries along the “Belt andRoad” Initiative.Ultra-High-Speed Conveying System

Human–Machine Interaction

Operating System

The smart sorting equipment for renewable resources deployed in the Kaifeng North America Circular Economy Industrial Park

traditional manual methods and the sorting accuracy exceeds 95%.

41 42QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

03

Livable Services

Harmonious Communities

PART

Key ESG Topics of This Chapter

THREE

43 44QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Management

- In 2025 Duyun Qiaosheng City Management Co. Ltd. actively advanced work centered on the “four modernizations” development

sive diagnostics are conducted across dimensions such as operational quality and integrated management forming issue lists and optimization (informatization urbanization). By strengthening systematic operation management the Company optimized the urban and rural

plans to provide precise data support for service improvement. On this basis the Company has built a reporting chain linking general managers domestic waste collection and transportation system and realized real time dispatch through a smart sanitation system; promoted

continuously improving service standards.as a supplement” with zoned operations; enhanced the construction and maintenance level of municipal facilities through normal-

In addition the Company actively promotes the development of voice smart agents. By integrating natural language understanding emotional ized inspection and maintenance; strengthened urban greening construction and maintenance by coordinating green space systems

voice interaction and business process automation technologies the Company enables “instant handling upon speaking” for citizens’ calls. When and improving quality; At the same time improved collaborative promotion mechanisms and strengthened linkage with the munici-

- pal Party committee municipal government and relevant departments. By virtue of outstanding contributions in urban and rural

ance work order generation and service handling can be completed. waste collection and transportation kitchen waste disposal cleaning services municipal construction and urban greening the

- Company was awarded the title of “Advanced Collective”.

0

opinions and continuously optimizes service experience based on customer needs thereby consolidating the foundation of trust. 1 1

0

01

11

0

100

1101

1

011

1

1

00

1010

00

1

0

Key Performance 11 0 0 0 1 1 0 1 1 0 0 1 1 1 0 0 1 0 0 1

10

1

0

1110

0

11100

01101

010

1

1

101001

During the reporting period the Company including

623307230

individual honors

Management

Equal Employment

-

outstanding talents at home and abroad through channels such as LinkedIn and the HRBP mechanism. At the same time the Company adheres

to a merit-based approach and eliminates all forms of discrimination based on gender religion ethnicity age and other factors during the

selection process. In addition the Company actively promotes collaboration between enterprises and universities having established coopera-

45 46QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Democratic Management Employee Care

The Company has established a democratic communication system covering the entire cycle of employee career development and is commit- QiaoYin adheres to the corporate culture of “people oriented” integrating employee care into every aspect of daily work and life and has

ted to creating an open and inclusive organizational atmosphere. Starting from onboarding training and discussion sessions for new employ- carried out a series of care initiatives covering all employees focusing on special groups with diverse content and formats.ees the Company helps employees integrate quickly and clarify their development paths. Through regular “face to face with senior manage-ment” interview activities communication barriers between management and frontline employees are effectively removed. Relying on the

trade union and the Audit and Supervision Department a two-way supervision mechanism has been established and a “Chairman Mailbox” Care Dimensions Employee Value

International Women’s Day themed activities Convey organizational warmth

“Caring Mother” honorary recognition establishment recognize women’s contributions provide

of a sanitation industry women’s federation dedicated development platforms

Providing assistance through the QiaoYin Charity

Assistance for Foundation granting maternity subsidies

QiaoYin strictly complies with national labor laws and regulations and has established a compensation management system that combines family friendly environment

external competitiveness with internal fairness. The Company formulates compensation standards based on market conditions to ensure that

Organizing annual physical examinations for all Focus on both physical and mental

employees carrying out the “Reading Marathon” health create a reading-oriented

incentive and assessment system establishing special assessment measures for groups such as frontline sanitation workers marketing employee reading activities atmosphere

-

ee value creation and personal growth. The Company has established a smooth appeal mechanism for performance assessment to ensure Enhance sense of ceremony and

Dragon Boat Festival and Mid-Autumn Festival belonging record employee growth

and sound compensation and incentive system. organizing onboarding anniversary celebrations momentsHolding the 7th Sanitation Workers’ Day “Caring Enhance professional dignity gain socialinitiatives such as “Filial Piety Allowance” and birthday gift packages. At the same time the Company organizes comprehensive physical Substitution” activity respect and understanding

examinations for all employees building a solid health safeguard for employees to work with peace of mind. The Company regularly organizes

club activities onboarding anniversary celebrations and sports competitions providing platforms for communication interaction and self-ex-

pression. While enriching employees’ leisure life the Company creates a positive warm and caring organizational atmosphere effectively

enhancing employees’ sense of happiness and belonging.In terms of caring for female employees the

Company organized warm International

Women’s Day activities and on June 19 2025

Key Performance witnessed an industry milestone the Guangzhou

Sanitation Industry Women’s Federation was

the industry QiaoYin not only provided compre-

During the reporting period the Company hensive support but also saw He Qiu’e Director

of the Business Center successfully elected as a

member of the executive committee. In addition

during the Sanitation Workers’ Day activities in

100% October 10 female sanitation workers of the

Company as representatives of “Caring Mothers”

Achieved a performance appraisal coverage rate of

participation in the “Enduring Love Initiative” by

donating hand knitted sweaters to support

the integration of great love of female employees

and the Company’s sense of social responsibility.

47 48QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

In terms of physical and mental health and cultural development in addition to organizing annual physical examinations for all employees to

safeguard their physical health the Company also attaches great importance to the development of employees’ spiritual civilization. In October

reading series activities successfully held the “Reading Marathon” activity and on October 30 held an award ceremony for employees who

persisted in reading check ins encouraging employees to accumulate knowledge during fragmented time and fostering a corporate culture

In July 2025 QiaoYin specially invited an authoritative expert team from Guangdong Provincial Academy of Chinese Medical atmosphere of “nourishing the mind through reading and promoting action through learning” as “a school”.Sciences to QiaoYin Building to carry out a traditional Chinese medicine free clinic activity. This was a warm initiative by QiaoYin

to care for employees’ health especially female employees during menopause. It conveyed a clear message that employee health

is highly valued by QiaoYin. parent child families to board water operation vessels and personally substitute positions to experience the daily work of sanitation workers.The free clinic services included blood pressure measurement traditional Chinese medicine pulse diagnosis consultation on

common diseases acupuncture and tuina therapy. In addition a dedicated “health care for menopausal women” service was

sustained high temperatures QiaoYin City Management Co. Ltd. in collaboration with Guangdong Women and Children Foundation

Women Workers Committee of Guangdong Federation of Trade Unions Jiangmen Women’s Federation Jiangmen Federation of

established in 2020 to continuously focus on supporting vulnerable groups in the sanitation sector and further implemented various welfare

policies in 2025. The Company continues to provide maternity subsidies to both new and existing employees ensuring the continuity of this

promoting the traditional virtue of respecting and caring for the elderly.

49 50QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Training And Development

QiaoYin upholds the corporate spirit of “One School” and relying on “QiaoYin Academy” has established a comprehensive training system

From March to September 2025 to align with the development of the digital

programs such as the “Iron Army Special Training Camp” have achieved remarkable results continuously delivering reserve talents to frontline era and respond to the Company’s ALL-IN-AI strategy enhance employees’

-

erational transfer of core experience and professional capabilities laying a solid foundation for improving overall team strength. On the online -

front the Company has developed a dual matrix consisting of the E-L learning platform and the “QiaoYin Micro Classroom” video account -

wide AI training and skills competitions. The activity adopted a combination of

“QiaoYin Micro Classroom” has launched a series of micro courses widely covering frontline business scenarios such as safety and vehicle

competitions helping employees master the application of AI tools and

promoting the overall improvement of the Company’s AI capabilities and the

optimization of work processes.Commitment to Building a Learning Organization

Program

Million Talent Program In September 2025 to comprehensively enhance the capabilities of regional

general managers in strategic execution resource allocation and implementa-

EDP Leadership Series and Hundred tion of planning the Company organized the “Transformation” Regional

High End Seed Talent Program General Manager Leadership Special Training Program. This training was

delivered by transformation lecturers and coordinated by the Training Team of

training aiming to strengthen the core management capabilities of regional

general managers and support the effective implementation of the Compa-

Specialized Training on ny’s strategy.Seven Key Themes

Specialized Fleet Leader Intensive Training Experi-

ence Sharing and Exchange Sessions

Capability Enhancement Programs

External Training and Others

zone has been established on the online learning platform. It targets personnel from functional departments regional management

Advanced Training for

Talent Functional and Project Roles Through the combination of course learning and online evaluation it promotes continuous improvement in employees’ business capabilities and strategic awareness.Pipeline

New Employee “3+1” and basic operations (M category 14 levels P category 8 levels O category 3 levels). Employees can achieve vertical promotion within a sequence

Onboarding Training based on their personal strengths or realize horizontal expansion through cross position rotation comprehensively enhancing their overall

Foundation capabilities. In terms of promotion assessment the Company takes annual performance results as the core basis and implements a hierarchical Mandatory Courses During Probation

selection process. At the same time the Company requires personnel proposed for promotion to key management positions to undertake on-site

Training

5152

Management Pathway

Professional Pathway

Professional Training SystemQiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Corporate Culture Development

QiaoYin takes “Humanistic Care” as its core concept and systematically builds an employee cultural system. By creating a stable and warm

cultural atmosphere it effectively enhances employees’ sense of professional belonging. In terms of family friendliness the Company has

On the eve of the Mid Autumn Festival and

established a parent childcare area and centered on themes such as traditional festivals and intangible cultural heritage inheritance organizes

National Day in 2025 QiaoYin held a themed

employees to participate with their children in parent child activities such as “Scholarly Cinema” and intangible cultural heritage learninggarden party titled “Full Moon Full Homeintegrating cultural inheritance into family life. At the same time to help employees relieve workplace pressure the Company has created aQiaoYin Together at This Moment” in the lobby

the “Moments Between Pages” series designed for fragmented time (including blind book boxes book fairs and others) enabling reading and

headquarters and simultaneously connected

relaxation to occur at any time and becoming an ideal choice for employees to relax physically and mentally.with employees stationed outside to celebrate

games such as lantern riddle guessing

handmade lantern workshop blindfolded gong

striking mooncake picking ball hammering and

rolling ball maze as well as activities including

DIY lantern making book selection and stamp-

ing at Qiaohong Academy and buffet dining.The purpose was to awaken team tacit

“small families” into the lively atmosphere of the

“big family” effectively relieve employee stress

and enhance employees’ sense of professional

belonging and team cohesion.its social responsibilities. All

employee cultural activities and

reading resources are open to the In September 2025 the QiaoYin Labor Union in collaboration

public free of charge creating an

accessible knowledge dissemina- psychological healing reading session based on Art Psychother-

tion platform and supporting apy at Qiaohong Academy. The activity aimed to help employ-

educational equity and lifelong ees release work and life pressure enhance psychological

learning. Through activities such resilience and strengthen team cohesion. Under the guidance

as reading programs and expert of mentors participants conducted self-exploration through

lectures the Company has nonverbal methods such as painting meditation and color

gradually become a hub of expression. At the same time with the assistance of brainwavecommunity culture having devices and AI algorithms personalized “Mental Health Assess-organized more than 60 themed ment Reports” were generated and one to one suggestion were

activities and served more than provided. Warm interactive elements such as anonymous

100000 participants effectively blessing scratch cards and “Anxiety Relief Cookies” were also

supporting the construction of arranged on site. The entire activity enabled employees to be

Liwan’s “15 Minute Cultural Circle” seen and accepted without the need for verbal expression

and enhancing community effectively alleviating emotions and enhancing team belonging

cohesion and the Company’s and work vitality.

5354

Humanistic

CareQiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Impact Risk and Opportunity Management

Safety Production Protection

Governance

Inspect abnormal

conditions such as abnormal noise leakage and overheating daily conduct comprehensive maintenance monthly

and commission third parties for safety performance testing quarterly strictly prohibiting equipment operation

with faults.Three Musts” the Company implements safety management responsibilities of all professional departments. At the same time the Company’s For special equipment such as boilers high

Equipment Safety voltage electrical equipment and lifting machinery implement registration and regular inspection and operators

Control Ensure waterproof and oil resistant

treatment of electrical equipment to prevent short circuits and leakage regularly disassemble and maintain

equipment and promptly replace worn components.and training plans and regularly conducts comprehensive hazard inspections based on risk lists for control and emergency measures ensuring

In addition the Company has established a systematic emergency response system covering various emergency scenarios including emergency Garbage storage warehouses incinera-

sand and other equipment with regular inspection and replacement.are formulated and one emergency drill is organized each month to enhance employees’ emergency response capabilities. Fire Prevention and Odor warning signs and install ventilation and deodorization equipment.Install combustible gas alarm devices and immediately

Diffusion Prevention initiate ventilation and inspection measures once exceeding standards.Strategy

Operators must wear anti slip shoes protective gloves

safety helmets and other corresponding protective equipment. Safety belts must be worn for high altitude

In many aspects of urban management and operations vehicle operations are an important component. The safe driving behavior of drivers is operations with warning zones set and dedicated personnel for supervision.directly related to the smooth implementation of operations and the safety of employees’ lives. To improve operational safety levels the Company In processes such as garbage feeding slag removal

has set strict accident rate control targets and formulated a series of comprehensive and detailed risk control measures. falling accidents.Operation Safety Protective railings and warning signs are set in areas such as

Management sewage tanks and sedimentation tanks. Ventilation and gas detection must be conducted before operations and meet standards. Dedicated personnel must supervise throughout the process and emergency rescue equipment

must be equipped. Single person operations are strictly prohibited.For chemicals such as disinfectants

leakage and mixed storage reactions.Chemical Safety Strictly follow operating procedures when handling chemicals and operators must wear corresponding protective equipment.Control Equip on-site with neutralization adsorption and emergency collection

equipment to respond to chemical leakage accidents.

55 56QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

In June 2025 the nation’s 24th “Safety Production Month” arrived as scheduled. QiaoYin actively responded to the thematic call of To test and improve employees’ emergency response capabili-

“Everyone Talks About Safety and Everyone Knows Emergency Response Identify Safety Hazards Around You” and with a strong ties during Safety Production Month QiaoYin organized a

sense of responsibility and mission launched a comprehensive and multi-level special campaign on safety production across the series of practical emergency drill activities in response to

country. complex operating environments vehicle and machinery risks

weather impacts and other factors. The types included

aid for personnel. At the same time the Company carried out a

nationwide comprehensive safety production inspection and

conducted a full inspection of key areas such as operating

warehouses.QiaoYin attaches great importance to the development of safety production culture and creates a strong atmosphere for safety produc-

Safety Education and Training

To effectively enhance all employees’ safety awareness and

emergency response capabilities QiaoYin regarded safety

education and training as an important focus of Safety Produc-

tion Month and carried out a variety of training activities in

diverse forms with rich content. At the same time the Company

invited senior industry safety experts and centering on sanita-and other topics innovatively launched the “Safety KnowledgeMicro Classroom”. Through short videos graphics and text and

other forms it transformed complex safety knowledge into

content that is easy to understand and regularly pushed it

through the Company’s online learning platform video account

WeChat groups and other channels. Employees could make use

of fragmented time for learning thereby realizing the normaliza-

tion and convenience of safety education.

57 58QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Occupational Health Protection

Organize one occupational health examination for all

respiratory system skin eyes digestive system and other areas.Establish occupational health records for all employees

Health Monitoring -tion results and strictly prohibit working while ill.QiaoYin focused on drivingsafety and built a “smartsentinel” with the support of

AI technology. By additional-

Install forced ventilation dust removal ly installing a driver behavior

and deodorization equipment in areas such as garbage storage warehouses incineration workshops sewage analysis system blind spot

treatment workshops and chemical storage rooms conduct scheduled ventilation every day reduce the

concentration of dust and harmful gases and carry out regular disinfection and cleaning to prevent bacterial alarms and 360-degree

growth. panoramic visual AI

Improvement of Set up hand washing pools and disinfection facilities in operating monitoring technology on

areas to facilitate timely cleaning and disinfection after work and promptly clean up residual sewage leakage.Working Environment vehicles it carried out all

round integrated monitoring

and management of the

status of drivers and

transport vehicles.according to the differences In risks of each position provide

equipment waterproof shoes and protective goggles and specify standards for wearing use and replacement.“The system automatically analyzes drivers’ driving behavior. Once an abnormal condition occurs it immediately issues an earlyRegularly inspect the integrity of protective equipment and promptly replaceProtective Equipment expired and damaged items; strengthen training on use to ensure that employees wear them correctly and avoid warning reminder.” When drivers engage in behaviors affecting safe driving during vehicle operation such as making or answering

phone calls yawning or closing their eyes the system can also identify them in a timely manner and issue voice reminders.Support Backend personnel can log in to the integrated management service platform to view in real time the driving status and risk status

installed on the right side of the vehicle can promptly detect pedestrians and together with the sound and light alarm issue safety

reminders to alert drivers and pedestrians to stay away from blind spot areas thereby safeguarding the safety of all parties.Regularly carry out occupational health knowledge training set up publicity

columns and post protective knowledge posters and warning slogans to enhance all employees’ awareness of

self-protection.Establish employee health consultation

channels provide guidance on personal hygiene habits (cleaning the body after work changing clothes and

Health Publicity regularly cleaning protective equipment); the Company headquarters regularly inspects and supervises the

implementation of measures and continuously optimizes protection measures.and Training

Indicators and Targets

Indicator Unit 2025 Performance

Occupational health and safety related drill activities Session 21

In 2025 to enhance employees’ emergency awareness improve their self-rescue and mutual rescue capabilities and create an

atmosphere of “Everyone Talks About Safety and Everyone Knows Emergency Response” the Company invited Liwan District Red

Number of participants in occupational health and safety

Persons 255

related drill activities

59 60QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

In April 2025 Guangzhou Municipal Committee Political and Legal Affairs Commission and Guangzhou Foundation for Justice and

Courage held the 2024 “Guangzhou Good Citizen for Acting Righteously” “Guangzhou Advanced Collective for Acting Righteously”

awarded the title of 2024 “Guangzhou Advanced Collective for Acting Righteously”. It was the only enterprise in the industry to receive

and the improvement of infrastructure. In terms of caring education assistance it donated funds to improve schooling conditions in rural areas

safety prevention and control and supports common prosperity through targeted public welfare actions transmitting the power of kindness.Management

responded to the initiative of “Repair the Life Passage and Bring Warmth to Mountain Communities” issued by the People’s Govern-

ment of Dazhe Town. It promptly donated funds to support the construction of the road from Dongpian Village to the emergency

During its continuous growth and development QiaoYin has always kept its corporate social responsibility in mind actively devoted itself to public shelter site. Through practical actions it interpreted corporate responsibility and provided strong protection for the safety of morewelfare undertakings and given back to society through practical actions. Together with Guangzhou QiaoYin Charity Foundation guided by the than 6000 residents. It also empowered the local area to accelerate the advancement of the “Hundred-Thousand-Ten-Thousandpromoting the healthy and sustainable development of public environmental sanitation safety prevention and control” approximately RMB 2.65

million was donated throughout the year focusing on core directions such as rural revitalization and caring education assistance while taking into

account the improvement of urban services and people’s wellbeing thereby practicing public welfare responsibility.

61 62QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

04

Innovation Driven

Urban Upgrading

PART

Key ESG Topics of This Chapter

FOUR

63 64QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Enhancing Urban Services Strategy

The Company initially centered on “serving cities” and proposed the service model of “urban and rural sanitation integration” vertically integrating the

Governance the Company upgraded “serving cities” to “managing cities” and proposed the “city steward” service model integrating resources of civil and public

spaces and applying multi segment smart sanitation systems to further deepen service capabilities. To help the government improve urban governance

QiaoYin adopts multidimensional governance approaches to comprehensively improve urban service levels. It focuses on eight core aspects breakthrough from “managing cities” to “operating cities”.QiaoYin is committed to building a modern full domain urban service system. From proposing

including development strategy control systems governance models business models business structure capital forms brand image and talent the “Urban and Rural Sanitation Integration” model in 2017 to releasing the “City Steward” model in 2020 to implementing the “@City” comprehensive

development and gradually implements the “two verticals and three horizontals” operational development structure. At the same time the governance model in 2022 and to advocating the iterative upgrade to the “Embodied Intelligent Urban Comprehensive Governance” model in 2025 it

-

al Health and Safety Management System. As one of the earliest enterprises in China engaged in comprehensive digital and smart urban services Impact Risk and Opportunity Management

established a systematic system for research and development manufacturing and services forming an integrated smart city governance

solution of “Air Space Land Water Life Production” supporting the transformation and upgrading of the urban service industry and achieving

The environmental sanitation management industry is an emerging comprehensive industry in the early stage of marketization with limited organiza-

tional level and low concentration. With the rapid development of the industry the involvement of upstream and downstream enterprises and the

Digital and Smart Urban Management

quality productive forces into the digital and smart upgrading of urban management and smart city construction. In 2025 focusing on business

transformation and comprehensively consolidated its digital foundation providing strong support for high-quality development. In 2025 focusing on

digital and smart upgrading and comprehensively consolidated its digital foundation providing strong support for high-quality development.Comprehensive Construction of Finance

Business Legal and Tax Platform

Relying on the city partner system for support promote rapid system

implementation through standardized implementation plans and

training and simultaneously complete process sorting and authority control and establish a contract management system to realize closed

adaptation to ensure the smooth transition of organizational structure loop lifecycle management from drafting to performance.Iterative Upgrade of Smart

Information Interaction Center Sanitation Construction

The smart sanitation system continues iterative optimization

and information interaction center achieve cross system collabora- building core modules such as full process salary management

precise data support for business expansion.management needs.

65 66QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

AI New Quality Urban Service System Solution QiaoYin @

The Company owns more than 40000 operating vehicles and equipment and more than 500 water surface cleaning vessels. It has successfully

developed intelligent equipment such as patrol robots intelligent sweeping robots underground pipeline robots and humanoid robots for garbage

supporting the transformation and upgrading of the urban service industry and continuously meeting people’s growing needs for a better life. bin handling actively promoting intelligent networked and panoramic smart robot cluster operation solutions.Model-Q

QiaoYin @ Urban “AI + Service” QiaoYin @ Urban Industrial and convenient cleaning services for large scale areas such as parks

Mega Platform Intelligence Equipment Ecosystem industrial parks and plazas.Self-Managed Operation Investment Attraction

Visualized Analysis Operations Automated Supervision Industries Building New Urban Brand Image

Equipped with multiple sensors and scanning devices it can identify

and avoid obstacles ensuring a safe operating environment.Based on high precision maps it automatically generates optimal

cleaning routes ensuring comprehensive coverage without omission

or repetition.No manual intervention is required throughout the entire process as it

automatically completes cleaning tasks and is equipped with

QiaoYin @ “AI + Service” Mega Platform garbage dumping and station standby.vehicle automatic inspection AI video intelligent recognition mobile collection vehicle inspection and manual routine inspection it builds a three-di-

mensional monitoring and early warning network of “Air Space Land and Water”. At the same time the Company actively promotes the development

Model-Y

Model-Y is a robot designed for outdoor open and semi open

environments providing integrated intelligent sweeping vacuuming

and spraying services.The entire unit is equipped with various types of environmental

perception sensors which can identify and avoid obstacles ensuring a

safe operating environment.Based on high precision maps it automatically generates optimal

cleaning routes ensuring comprehensive coverage without omission

or repetition.No manual intervention is required throughout the entire process as it

automatically completes cleaning tasks and is equipped with

garbage dumping and station standby.

67 68QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

QiaoYin @ Urban Industrial Ecosystem

Model- I

QiaoYin consistently adheres to a people-oriented approach unlocking new quality productive forces and applying

technology to more spaces supporting cities in transformation and creating greater comfort and more pleasant

experiences for people’s better lives.Model-I indoor commercial unmanned cleaning robot is an intelligent cleaning device

and public service halls.The robot adopts advanced L4 level autonomous driving technology and combines it with

self-developed navigation algorithms to intelligently identify and avoid obstacles

ensuring smooth operation in complex indoor environments. It supports multiple cleaning

The robot is also equipped with functions such as scheduled cleaning automatic recharg-

ing and remote control allowing users to easily operate and monitor it through an

application.Model-A(N)

Unmanned Smart Urban Service Integrated Operation Robot

It consists of a six degree of freedom robotic arm a smart mobile chassis (wheeled or

tracked) a robotic arm 3D vision execution mechanism and a smart controller (including

mobile operation software).Equipped with an integrated smart real time robot dedicated operating system it enables

mobile inspection and operation across multiple scenarios can intelligently identify

abnormalities and promptly perform tasks such as garbage collection and can be

Autonomous Cleaning Vessel Unmanned Aerial Vehicle Intelligent Sorting Robot

Model-A(C)

Internet of Things technologies such as autonomous driving facial recognition and

urban management and parking management.Equipped with an advanced perception system including sensors such as LiDAR

cameras and high precision GPS enabling real time perception of the surrounding

environment and ensuring the safety and accuracy of patrol operations.It can autonomously complete patrol and delivery tasks without manual intervention

AI Intelligent Information Intelligent Fatigue Driving and

Collection Vehicle Blind Spot Early Warning System

69 70QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

-In March 2025 the themed event “Empowering All Industries withIntelligence and Enabling Thousands of Sectors” of Guangzhou

gathered to discuss the practical progress and future trends ofdelivered a keynote speech titled “Reshaping Urban Services: A Industry Development Alliance in 2025 were grandly held in Guang-Data and Intelligence Driven Future” introducing the Company’sself-driven transformation path toward becoming a “Digital andSmart Urban Operation Service Provider” providing guidance made the list with its “AI Smart Inspection and Dispatch System”

for the reshaping of industry production relations.becoming the only enterprise from its industry selected marking that its AI technology application has been highly recognized by the

The Company innovatively proposed the 4.0 model namely the “Embodied Intelligent Urban Comprehensive Governance Model”

building a complete governance capability system covering “Perception Reasoning Decision Making and Execution” addressing

pain points such as data silos experience driven operations and extensive operations in the industry and realizing a paradigm

transformation from “Passive Response” to “Predictive Operations”.opened in Shanghai. With the theme of “Intelligent Era SharedFuture” the conference comprehensively showcased the forefront of

AI technology industry trends and the latest practices in globalgovernance. During the conference the “China Electronics CloudConference was successfully held.Scenario Innovation Challenge (CICAS) hosted by China Society of

- Mr. Xia Guanming President of the Company was invited to attend the conference and participated in the signing ceremony of the China

Electronics Cloud AI Large Model Cooperation Initiative. Both parties will focus on cooperation in areas such as urban public service

Computing Power Standards Association and The Hong Kong intelligent agents and integrated city management (urban governance urban safety and urban services).University of Science and Technology (Guangzhou) concludedsuccessfully in Shenzhen. QiaoYin’s “Huanyu Smart ManagementAgent” stood out with its systematic innovation and large-scale

Indicators and Targets

innovative “Embodied Intelligent Urban Comprehensive Governance Model” marking that QiaoYin as a leading enterprise in AI

urban service applications in China is gradually building technological barriers and an ecosystem that lead the industry. QiaoYin will continue to adhere to its original aspiration of “Technology Empowering Urban Development” continuously increase investment in theService” and through more concrete technological achievements more implementable service solutions and broader ecosystem collaboration

contribute more replicable and scalable “QiaoYin Solutions” to building livable resilient and smart cities steadily advancing toward becoming a “WorldClass Leading Brand in Comprehensive Improvement Services for Human Settlements”.

71 72QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Case: Creating a New Vision of Human Machine Symbiosis in Urban Governance

and Inspection

QiaoYin launched a smart sanitation service platform as earlyas 2016 realizing intelligent management of “people vehiclesAs a leading urban operation service provider in China the Company has independently developed L4 level autonomous drivingand materials” in sanitation operations. In recent years the

sweeping robots. Through the coordination of machine vision and lidar these robots can achieve functions such as obstacle recogni-

tion in complex urban environments automatic obstacle avoidance passage through narrow roads with sweeping operationssen Memorial Hall Cleaning Service” and the “Hohhot Xinchengmulti-mode cleaning automatic charging and one click task dispatch.unmanned cleaning vessel deployed in Liwan river channels can

waste such as duckweed into the net bag beneath the vessel. After completing garbage collection the unmanned cleaning vessel

automatically complete water surface garbage collection and

automatically returns to the docking point where sanitation workers remove and transport the waste from the net bag.return to port for unloading.The Company has also introduced AI composite recognition technology in Kaifeng North American Vein Industrial Park to realize

are equipped with driver behavior analysis systems blind spot alarms and 360-degree panoramic visual AI monitoring technology.In addition the Company has introduced unmanned aerial vehicles for inspection expanding the scope of supervision and enabling

and a “Perceptive Brain” covering approximately 12 square kilometers equivalent to the workload of about 10 inspection personnel greatly improving the

QiaoYin actively embraces the wave of the digital economy and

-

Project Data

Analysis

and Fuzhou Mawei recently achieving phased application

Event

results. By further improving the central integrated brain it Statistics

conducts automated analysis of scenarios such as garbage

treatment driving safety and road maintenance realizing full Personnel and Vehicle Data

process closed loop management of road transportation within

On Site At the level of digital and smart equipment QiaoYin has

urban service system covering all domains and scenarios across established a full scenario robot matrix including low altitude

inspection unmanned aerial vehicles autonomous driving

sweeping vehicles pipeline inspection robots water surface

cleaning vessels and sanitation humanoid robots which have

been piloted and implemented in multiple service cities. These

devices are equipped with edge intelligence technology.Through three types of edge sensing devices including vehicle

recognition and high precision positioning combined with

environmental perception and autonomous operations and transmit desensitized data back to the “Urban Intelligent Agent” thereby

constructing a complete closed loop of “Perception-Thinking -Execution-Feedback”.

73 74QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Impact Risk and Opportunity Management

Innovation Industry Academia Research Collaboration

QiaoYin collaborates with leading teams in

-

Governance al Intelligent Connected Vehicle Academician

Workstation Northeastern University Harbin

Institute of Technology Robotics academi-

cians of the Singapore Academy of Engineer-

ing and teams from Nanyang Technological

process. From accurately identifying environmental protection needs at the product design stage to applying professional technologies to buildSmart City Research Institute”. By integrating

maintenance management each step is implemented with solid execution. The Company strives to serve urban service work with higher quality the strengths of all parties it focuses on

technological achievements and contribute practical strength to the green development of society. deeply empowering AI technologies across full

dimensional and full lifecycle comprehensive

urban management scenarios.Launching Ceremony of the Joint Research Institute with Western Intelligent Connectivity (Academi-

cian Workstation) Northeastern University Guoyan HRG and Other Institutions

Strategy

Standards Leadership Program

-

ration. Through an open and cooperative innovation model it accelerates the formation of new advantages in industrial development and Relying on extensive practical experience in urban and rural environmental services the Company has successively drafted led and participated in

- the preparation of 17 national standards and group standards including Requirements for Environmental Sanitation Cleaning Services in Urban and

treatment and hazardous waste treatment. -

collection and transportation of domestic waste and the cleaning of urban and rural roads effectively promoting the development of the industry

toward standardization and normalization.Intellectual Property Protection

QiaoYin regards its intellectual property strategy as a core support for

innovative development and has established an intellectual property

management system covering all types including trademarks patents Indicator Uniy 2025 Performance

implemented for different attributes to ensure standardized operation

throughout the entire process from creation to application and protection. Software

To stimulate innovation momentum the Company has established an Item 85.00 copyrights

incentive mechanism covering all types including inventions utility models

and software copyrights implementing phased rewards for acceptance

and authorization clarifying standards for inventor contributions ensuring Total number of

Item 202.00

fair and effective incentives continuously stimulating employees’ innova- valid patents

green development through solid intellectual property accumulation.

75 76QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Indicators and Targets Impact Risk and Opportunity Management

The Company has established a full process quality assessment and on-site inspection mechanism covering general cleaning routine cleaning waste

transportation public toilets landscaping maintenance and water surface cleaning continuously improving operational compliance rates and client

Research and Development Targets Content

standards may adversely affect brand reputation and contract renewal if not properly controlled. Relying on digital supervision methods the Compa-

-

Mainly intelligent sanitation and urban management operation

equipment: Sanitation robots unmanned sanitation vehicles

intelligent inspection systems and security robots.Mainly building a city level management service cloud control

platform based on Internet of Things device terminals big data and Human Machine Collaboration

digital twin technology.The Company has gradually formed a complete set of “human machine collaboration” operating methods. That is manual labor is mainly responsible

for cleaning sidewalks and auxiliary lanes while mechanical vehicles mainly undertake mechanical cleaning of carriageways (fast lanes) and areas

cloud control platforms to provide comprehensive “digital and smart”smart” services for cities beneath isolation barriers. At the same time mechanical cleaning and washing operations can effectively and rapidly remove accumulated sediment

services across entire urban areas.airborne particulate matter.Governance Governance

QiaoYin has formulated systems such as Procurement Management Measures and Supplier Management Measures clarifying management

standards throughout the entire lifecycle of suppliers. Through regular follow up visits and technical training it empowers the growth of strategic

established a graded incentive mechanism providing positive incentives to high-quality suppliers through forms such as letters of appreciation and

annual excellence awards creating a fair and transparent competitive environment and promoting continuous improvement of suppliers in quality

Strategy

Strategy Based on a global perspective QiaoYin builds a green supply chain ecosystem alliance

featuring collaborative innovation and shared development by integrating high-quality

upstream and downstream resources. The Company not only strengthens the founda-

tion of the local supply chain through strict supplier development evaluation and

Through supervision groups and inspection groups it implements annual full coverage inspections focusing on the “Seven Key Focus Areas” strength- cultivation mechanisms but also strives to bring mature urban service management

ening quality assessment across all sanitation processes. At the same time the Company uses digital means to identify and control operational risks experience and low carbon solutions to the international stage setting a high-quality

continuously reducing the defect rate improving compliance rates and client satisfaction and consolidating its high-quality service brand image. and sustainable model for the global development of China’s urban service industry.

77 78QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Impact Risk and Opportunity Management

Full Lifecycle Management Sustainable Supply Chain Development

The Company has established a full lifecycle management system covering supplier development supervision evaluation cultivation and daily Guided by the concept of sustainable development QiaoYin has established a systematic procurement management system covering procurement

Company has formulated a sunshine procurement system strictly regulating procurement supervision and work discipline strengthening transparent

control throughout the entire process and ensuring fairness and impartiality in procurement activities. At the same time the Company has deeply

also controls the green and sustainable level of the supply chain from the source.Supplier Development and Supplier Evaluation and Supplier Cultivation and

Investigation Assessment Incentives

Introduce high-quality industry Conduct annual assessments of Focus on establishing long term Indicators and Targets

suppliers through multiple suppliers according to standards and and stable cooperative relation-

channels such as exhibitions and form graded results (Grade A to Grade ships with suppliers. Promote the

online research and establish a D). Implement differentiated coopera- growth of strategic suppliers

dedicated investigation team to tion strategies for different grades through regular follow up visits

conduct comprehensive evalua- giving priority and increased coopera- and technical training. At the Indicator Unit 2025 Performance

tions through in-depth interviews tion to excellent suppliers and same time implement positive

credibility checks and on-site incentives through letters of Total number of suppliers Unit 249.00

visits. Finally form the Supplier suppliers continuously optimizing the appreciation annual excellence

Investigation and Evaluation overall quality of the supplier pool. At awards and supplier conferences

Report to ensure that introduced the same time establish a supplier promoting continuous improve- Proportion of procurement personnel trained in

%100.00

suppliers are highly aligned with blacklist to standardize transparent ment of suppliers in quality sustainable procurement within the Company

the Company in terms of quality supplier management. service and research and

service and supply capability. development collaboration.

79 80QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

Appendix

Description of Report Preparation Topic Indicator Unit 2025 Data

Number of General Meeting of Shareholders held Times 4

Number of Board of Directors meetings held Times 13

Overview Number of Strategy Committee meetings held Times 1Corporate

Governance

Number of Remuneration and Assessment Committee meetings held Times 3

“QiaoYin” “the Company” “we”). This report discloses in detail the practices and performance of QiaoYin in 2025 in areas of responsibility including

Number of Nomination Committee meetings held Times 4

environment society and corporate governance aiming to present to stakeholders our policies measures and achievements in environment society

and corporate governance.Number of Audit Committee meetings held Times 4

Number of tax compliance training sessions conducted Times 5.00

Risk

Management

Reporting Scope and Boundary Tax training coverage rate % 90%

Number of data security related training sessions conducted Times 6.00

This report is an annual report with the reporting period from January 1 2025 to December 31 2025. Certain content extends beyond the above scope Data Security

and is explained where involved. and Privacy

Protection Total training duration Hours 12.00

Total diesel consumption Liters 32264072.01

Preparation Basis Total gasoline consumption Liters 3235713.71

Sustainability Reporting Standards by the Global Sustainability Standards Board (GRI Standards); Direct energy consumption Tons of standard coal 506.10

Energy Total electricity consumption Kilowatt hours 35862259.94

United Nations Sustainable Development Goals (SDGs);

Indirect energy consumption Tons of standard coal 11113.71

Total annual energy consumption Tons of standard coal 11619.81

Data Sources and Reliability Statement Annual energy consumption intensity Tons of standard coal per million 84.52

Total biomass fuel consumption Liters 251.70

The data used in this report are sourced from internal statistical reports administrative documents and reports. All content and data disclosed in this

report have been reviewed and approved by the management of QiaoYin. Municipal water purchase volume Tons 145708.40

Water

Resources

Total water consumption intensity = total water consumption per million revenue Tons per million 1059.82

Greenhouse gas emissions (Scope 1) Metric tons of carbon dioxide equivalent 722.74

Report Access Greenhouse

Greenhouse gas emissions (Scope 1) biomass CO2 Metric tons of carbon dioxide equivalent 430.41

Gas Emissions

To practice the concept of low carbon environmental protection and sustainable development this report is mainly published in electronic form on the

Shenzhen Stock Exchange website (http://www.szse.cn) and CNINFO website. Greenhouse gas emissions (Scope 2) Metric tons of carbon dioxide equivalent 19928.66

81 82QiaoYin City Management Co. Ltd. Solid Foundation Compliance for Long-Term Development Green Engine Beautiful China Innovation Driven Urban Upgrading Appendix

ESG Indicator Index

Topic Indicator Unit 2025 Data Dimension No. Topic Corresponding Clause Corresponding Section

Greenhouse

Total greenhouse gas emissions Metric tons of carbon dioxide equivalent

Gas Emissions 20651.40

1 Climate Change Response Article 21 to Article 28 Climate Change Response

Total duration of internal training Hours 400.80 2 Pollutant Emissions Article 30 Environmental Compliance Management

Supply Chain Total number of suppliers Unit 249.00 3 Waste Treatment Article 31 Environmental Compliance Management

Management

Proportion of procurement personnel trained in sustainable procurement

%100.00

within the Company 4 Ecosystem and Biodiversity Protection Article 32 Biodiversity Protection

Environment

Research and development investment amount RMB 10000 1513.60 5 Environmental Compliance Management Article 33 Environmental Compliance Management

Research and Proportion of research and development investment to revenue % 42% 6 Energy Utilization Article 35 Resource Utilization and Circular Economy

Innovation

Software copyrights Item 85.00 7 Water Resource Utilization Article 36 Resource Utilization and Circular Economy

Total number of valid patents Item 202.00 8 Circular Economy Article 37 Resource Utilization and Circular Economy

Performance appraisal coverage rate % 100.00

9 Rural Revitalization Article 39 Rural Revitalization and Social Welfare

Employee Maternity subsidies issued to employees RMB 10000 112.86

Compensation 10 Social Contribution Article 40 Rural Revitalization and Social Welfare

and Benefits Commercial insurance coverage rate % 100.00

11 Innovation Driven Article 42 Research and Innovation

Investment amount in caring education assistance RMB 2112800.00

Rural 12 Technology Ethics Article 43 Not Applicable

Revitalization Investment amount in assistance for the needy RMB 189000.00

and Social Society 13 Supply Chain Security Article 45 Supply Chain Management

Welfare

Investment amount in support for public welfare projects RMB 115000.00

Equal Treatment of Small and Medium

14 sized Enterprises Article 46 Supply Chain Management

15 Product and Service Safety and Quality Article 47 Product Quality and Safety

16 Data Security and Customer Privacy Protection Article 48 Information Security Protection

17 Employees Article 50 Employee Rights and Interests

18 Due Diligence Article 52 Stakeholder Communication

Governance 19 Stakeholder Communication Article 53 Stakeholder Communication

Related to

Sustainable 20 Anti-Commercial Bribery and Anti-Corruption Article 55 Business Ethics

Development

21 Anti-Unfair Competition Article 56 Business Ethics

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