Summary of 2025 Annual Report of Konka Group Co. Ltd.Stock code: 000016 200016 Stock abbreviation: Konka Group-A Konka Group-B

Announcement No.: 2026-37

Bond code: 133783 134294 Bond abbreviation: 24 Konka 03 25 Konka 01

134334 25 Konka 03

Summary of 2025 Annual Report of Konka Group Co.Ltd.I. Important notes

The summary of this annual report is from the full text of the annual report. In order to

fully understand the operating results financial status and future development planning

of the Company investors shall carefully read the full text of the annual report in the

media designated by the CSRC.All the Company's directors have attended the board meeting for the review of this

Report.Reminder of non-standard audit opinion

√ Applicable □ Not Applicable

ShineWing Certified Public Accountants (Special General Partnership) issued an

unqualified auditor's report with a paragraph on material uncertainty related to going

concern for the Company's 2025 annual financial report which was clarified by the

Board of Directors and the Audit Committee. Investors are advised to pay attention to

such content.ShineWing Certified Public Accountants (Special General Partnership) issued an

unqualified Internal Control Audit Report with an emphasis of matter paragraph for the

Company which was clarified by the Board of Directors and the Audit Committee.Investors are advised to pay attention to such content.Profit distribution plan or plan for conversion of provident funds into share capital during

the reporting period deliberated by the board of directors

□ Applicable √ Not Applicable

The Company plans not to distribute cash dividends issue bonus shares or convert

capital reserve into share capital.Preferred share profit distribution plan for the reporting period approved by the resolution

of the Board of Directors

□ Applicable √ Not Applicable

As of the end of the Reporting Period the parent company had unappropriated losses.√ Applicable □ Not Applicable

1Summary of 2025 Annual Report of Konka Group Co. Ltd.

As of the end of the Reporting Period the parent company had unappropriated losses

and the profit available for distribution to shareholders was negative. In accordance with

the No.3 Guideline for the Supervision of Listed Companies - Cash Dividend Distribution

of Listed Companies the Guidelines No. 1 of the STAR Market of Shanghai Stock

Exchange for Self-regulation of Listed Companies - Standardized Operation and other

relevant regulations the Company fails to meet the preconditions for implementing cash

dividends yet. Investors are kindly reminded to pay attention to investment-related risks.II. Basic information of the Company

1. Company Profile

000016、Stock Name Konka Group-A Konka Group-B Stock Code

200016

Stock exchange for stock listing Shenzhen Stock Exchange

Previous stock name (if any) None

Contact person and contact

Secretary of the Board of Directors Securities Representative

information

Name Yu Huiliang Miao Leiqiang

Konka R&D Building No. 28 Keji Konka R&D Building No. 28 Keji

South 12th Road Science and South 12th Road Science and

Office Address

Technology Park Yuehai Street Technology Park Yuehai Street

Nanshan District Shenzhen 518057 Nanshan District Shenzhen 518057

Fax 0755-26601139 0755-26601139

Tel. 0755-26609138 0755-26609138

E-mail szkonka@konka.com szkonka@konka.com

2. Introduction to Main Business or Products During the Reporting Period

(1) Consumer Electronics Business

This division primarily comprises the color TV and white TV sub-divisions with details as

follows:

* Color TV Business

The Company's color TV business serves the global market mainly including domestic

and export businesses. The domestic color TV business mainly focuses on two business

models: B2B (an abbreviation for Business-to-Business namely business-to-business)

and B2C (an abbreviation for Business-to-Consumer namely business-to-consumer).Branches business departments and after-sales maintenance service outlets have been

established across the country. The operating profit is derived from the price difference

between the cost of color TV products and their selling prices. As for selling its color TVs

abroad the Company mainly relies on B2B. Its color TVs are sold to Asia Pacific Middle

East Central & South America East Europe etc. and operating profit is also

derived from the differences between the costs and the selling prices of its color TVs.* White Goods Business

2Summary of 2025 Annual Report of Konka Group Co. Ltd.

The Company's white TV business mainly deals in products such as refrigerators

washing machines air conditioners freezers and dishwashers under B2B and B2C

models primarily targeting the global market and generating profit from product price

differences. By acquiring the "Frestec" brand the Company has built a "KONKA +

Frestec" operation strategy. By acquiring the Chinese factory of Beko (front-loading

washing machine) the Company has made up for the technical shortcomings in front-

loading washing machine production. The Company also built a new Xi'an Smart Home

Appliance Industrial Park to explore and develop the dishwasher business. The

Company by now has formed a "KONKA + Frestec" operation pattern for its white TV

business with the capability of production and operation of refrigerators washing

machines freezers air conditioners and kitchen appliances.

(2) Semiconductor Business

The Company by now has established a presence in the semiconductor optoelectronics

and memory sectors the former focusing on three major segments - Micro LED and Mini

LED chips mass transfer and display. After industrialization the operating profit is

derived from the price difference between product cost and selling price;the memory

business primarily focuses on the packaging and testing segment mainly processing

steps such as wafer dicing packaging and testing.

(3) PCB Business

The Company's PCB business primarily focuses on metal substrate products thick

copper products and high multi-layer products. Operating under a B2B business model

the Company targets four major electronics fields namely new energy automotive

electronics communications & data centers and new consumer electronics. Profitability

is achieved through the spread between product costs and sales prices.

3. Key Financial Information

(1) Main Accounting Data and Financial Indicators in Recent Three Years

Whether the Company needs to retrospectively adjust or restate the accounting data of

previous years

√ Yes □ No

Reasons for retrospective adjustment or restatement

Correction of accounting errors

3Summary of 2025 Annual Report of Konka Group Co. Ltd.

Unit: RMB

Changes from

the end of the

previous year

End of 2024 End of 2023

to the end of

End of 2025 the current

year

Before After After Before After

Adjustment Adjustment Adjustment Adjustment Adjustment

Total assets 2235090426 3041276390 3146220406 3582481821 36851973531.25 0.34 4.56 -28.96% 2.66 4.48

Equity

attributable to -

the listed 6083071689 2369668838 1592467508 -481.99% 5644401184 5297168407.10 .28 .65 .84

company's .95

shareholders

2024 YoY change 2023

2025 Before After After Before After

Adjustment Adjustment Adjustment Adjustment Adjustment

Operating 9835474916 1111476396 1111476396 1784933142 1784933142

revenue .53 9.59 9.59

-11.51%9.249.24

Net profit

attributable to - - - - -

the listed 1258239985 3295588668 3725557221 -237.73% 2163790053 2258279326

company’s 6.80 .77 .78 .17 .65

shareholders

Net profit

attributable to

the listed

company’s - - - - -

shareholders 1038083880 3205504053 3534999165 -193.66% 2914445076 2938068349

before non- 3.56 .63 .55 .42 .90

recurring

gains and

losses

Net cash

generated -

from/used in 1611000121 173888842.9 173888842.99 9 -1026.45% 553101277.9

553101277.9

0

operating .19 0

activities

Basic

earnings per -5.2254 -1.3686 -1.5472 -237.73% -0.8986 -0.9378

share

(RMB/share)

Diluted

earnings per -5.2254 -1.3686 -1.5472 -237.73% -0.8986 -0.9378

share

(RMB/share)

Weighted

average

不适用-82.56%-108.62%不适用-32.58%-35.62%

return on

equity

4Summary of 2025 Annual Report of Konka Group Co. Ltd.

Reasons for changes in accounting policies and details of corrections of accounting

errors

After self-examination due to the failure to consider special provisions for some equity

transfer projects insufficient provision for patent fees in previous years and bad debt

provisions for individual customers' accounts receivable the company has made

corrections to relevant error items involving the consolidated balance sheet

consolidated income statement consolidated statement of changes in owner's equity

accounts for the years 2022 to 2024 the first quarter half year and third quarter of 2025

as well as the parent company's balance sheet parent company's income statement

and parent company's statement of changes in owner's equity accounts. The specific

situation is as follows:

1. When introducing strategic investors for Chongqing ypfun Technology Co. Ltd.

(hereinafter referred to as "ypfun") in 2021 the Company signed supplementary

agreements with 11 investors promising that if ypfun failed to complete its IPO before

the agreed time the Company would be obliged to repurchase their transferred equity at

the original transfer price and pay interest. The above-mentioned agreed matters did not

go through the approval procedures of the Company's Board of Directors and the

General Meeting and were not subjected to appropriate accounting treatment and

information disclosure. Based on this contractual obligation and the facts currently known

the Company's management recognized this obligation as a financial liability and

corrected previous accounting errors.

2. When transferring the equity of Anhui Kaikai Vision E-commerce Co. Ltd. (hereinafter

referred to as "Kaikai Vision") in previous years the Company entered into an agreement

with Alibaba (China) Network Technology Co. Ltd. (hereinafter referred to as "Alibaba")

under which the Company undertook to repurchase the transferred equity at the original

transfer price and pay interest if Kaikai Vision failed to complete its IPO before the

agreed time. Since Kaikai Vision failed to complete its IPO within the agreed period

Alibaba filed a lawsuit against the Company in 2024 and the Company paid the equity

repurchase amount and interest to Alibaba in 2025. The above-mentioned agreed

matters did not go through the Company's internal approval procedures and were not

subjected to appropriate accounting treatment. Based on this contractual obligation and

the facts currently known the Company's management recognized this obligation as a

financial liability and corrected previous accounting errors.

3. The color TV products operated by the Company use industry-standard essential

patents. Through self-inspection the Company found that there were differences in

previous payment data and that some patented technologies without prior usage

agreements were recovered by the obligees. The Company should make supplementary

provisions for such patent royalties in previous years and correct previous accounting

errors.

5Summary of 2025 Annual Report of Konka Group Co. Ltd.

4. The Company previously had circumstances where receivables from customers were

not fully accrued due to underlying customers being difficult to collect payments from

resulting in accounting errors and inaccurate disclosure of relevant financial information

requiring correction of prior period accounting errors.

(2) Quarterly Main Accounting Data

Unit: RMB

Q1 Q2 Q3 Q4

Operating revenue 2544411519.38 2703096329.89 2431462871.94 2156504195.32

Net profit attributable

to the listed 94810677.19 -478138696.62 -598192530.33 -11600879307.04

company’s

shareholders

Net profit attributable

to the listed

company’s -440636189.54 -586865935.72 -494190886.44 -8859145791.86

shareholders before

non-recurring gains

and losses

Net cash generated

from/used in -421786013.66 -253837417.27 -410704971.11 -524671719.15

operating activities

Whether there are significant differences between the above financial indicators or the

sum and the relevant financial indicators in the company's disclosed quarterly reports

and semi-annual reports

□ Yes √ No

4. Share Capital and Shareholders

(1) Number of ordinary shareholders and preferred shareholders with restored

voting rights and shareholdings of top 10 shareholders

Unit: Share

Number of

Number of

ordinary Number of preferred

ordinary Number of

sharehold shareholders with

shareholders at preferred

ers as at resumed voting rights

134165 the month-end 126753 shareholders with 0 0

the end of at the month-end prior

prior to the resumed voting

the to the disclosure of this

disclosure of this rights

Reporting Report

Report

Period

Shareholdings of the top 10 shareholders (excluding shares lent through refinancing)

Restricte Shares in pledge

Nature of Shareholding Number of

Name of shareholder d shares marked or frozen

shareholder percentage shares held

held Status Quantity

Panshi Runchuang

State-owned Not

(Shenzhen) Information 21.76% 524022432 0 0

legal person applicable

Management Co. Ltd.CITIC Securities Brokerage Foreign legal 8.24% 198361110 0 Not 0

6Summary of 2025 Annual Report of Konka Group Co. Ltd.

(Hong Kong) Co. Ltd. person applicable

Guoyuan Securities Brokerage Foreign legal Not

2.55%6132724300

(Hong Kong) Co. Ltd. person applicable

Foreign legal Not

HOLY TIME GROUP LIMITED 2.34% 56289100 0 0

person applicable

Domestic nat Not

Wang Jingfeng 1.12% 27001800 0 0

ural person applicable

Domestic nat Not

Li Tao 0.71% 17000000 0 0

ural person applicable

Foreign natur Not

NAM NGAI 0.64% 15300400 0 0

al person applicable

Foreign natur Not

Xu Zhiwang 0.37% 8887629 0 0

al person applicable

Hong Kong Securities Foreign legal Not

0.36%877509700

Clearing Company Ltd. person applicable

Foreign natur Not

Xu Xionggui 0.25% 5995480 0 0

al person applicable

Panshi Runchuang and Commotra Company Limited are both wholly-owned subsidiaries of

China Resources and parties acting in concert; panshi Runchuang holds 524022432 A-

Related or acting-in- shares of Konka Group Co. Ltd. accounting for 21.76% of the total share capital and is

concert parties among the controlling shareholder of the company. Commotra Company Limited holds

the shareholders above 198361110 B-shares of Konka Group Co. Ltd. through CITIC Securities Brokerage (Hong

Kong) Co. Ltd. accounting for 8.24% of the total share capital; it is unknown whether other

shareholders are related or act in concert.Description of

Shareholders A-share shareholder Wang Jingfeng holds 27001800 shares through the Client Credit

Participating in Margin Trading Collateral Securities Account of Guotai Haitong Securities Co. Ltd. A-share

Lending and Securities shareholder Li Tao holds 17000000 shares through the Client Credit Trading Collateral

Lending Business (if Securities Account of Guotai Haitong Securities Co. Ltd.any)

Participation of shareholders holding more than 5% of the shares the top 10

shareholders and the top 10 shareholders of unrestricted tradable shares in refinancing

business and lending shares

□ Applicable √ Not Applicable

Changes to the top 10 shareholders and the top 10 shareholders of unrestricted tradable

shares compared with the previous period due to refinancing lending/repayment

□ Applicable √ Not Applicable

(2) Total Number of Preferred Shareholders and Shareholdings of Top 10 Preferred

Shareholders of the Company

□ Applicable √ Not Applicable

There were no shareholdings of preferred shareholders during the reporting period.

(3) Disclose the Property Rights and Control Relationship Between the Company

and the De Facto Controller in the Form of Block Diagram

7Summary of 2025 Annual Report of Konka Group Co. Ltd.

5. Bonds Existing on the Approval Date of the Annual Report

√ Applicable □ Not Applicable

(1) Basic Information of Bonds

Bond

Balance Intere

Name Abbr. Code Issue date Due date

(RMB'00 st rate

00)

Privately placed corporate bonds to

March 18 March 18

professional investors in 2024 of Konka 24 Konka 03 133783 40000 4.03%

20242027

Group Co. Ltd. (Tranche II) (Variety II)

Privately placed corporate bonds to

June 23 June 23

professional investors in 2025 of Konka 25 Konka 01 134294 41000 3.50%

20252028

Group Co. Ltd. (Tranche I) (Variety I)

Privately placed corporate bonds to

July 04 July 04

professional investors in 2025 of Konka 25 Konka 03 134334 79000 2.80%

20252028

Group Co. Ltd. (Tranche II) (Variety I)

During the reporting period the Company has paid the interest and principal of "22 Konka 01" for the

period from July 14 2024 to July 13 2025 on July 14 2025. "22 Konka 01" was redeemed and delisted

Interest on the Shenzhen Stock Exchange on July 14 2025.Payment of The Company has paid the interest and principal of "22 Konka 03" for the period from September 8

Corporate 2024 to September 7 2025 on September 8 2025. "22 Konka 03" was redeemed and delisted on the

Bonds Shenzhen Stock Exchange on September 8 2025.During the The Company has paid the interest and principal of "22 Konka 05" for the period from October 18 2024

Reporting to October 17 2025 on October 20 2025. "22 Konka 05" was redeemed and delisted on the Shenzhen

Period Stock Exchange on October 18 2025.The Company has paid the interest of "24 Konka 01" for the period from January 29 2024 to January

28 2025 on February 5 2025.

8Summary of 2025 Annual Report of Konka Group Co. Ltd.

The Company has paid the interest of "24 Konka 02" for the period from March 18 2024 to March 17

2025 on March 18 2025.

The Company paid the interest on "24 Konka 03" for the period from March 18 2024 to March 17 2025

on March 18 2025.During the reporting period "25 Konka 01" and "25 Konka 03" have not yet reached the first interest

payment date.As of the date of approval of this annual report the Company has paid the interest for the period from

January 29 2025 to January 28 2026 and the put-back principal of "24 Konka 01" on January 29

2026. "24 Konka 01" was cashed and delisted on the Shenzhen Stock Exchange on January 29 2026.

The company has paid the interest for the period from March 18 2025 to March 17 2026 and the put-

back principal of "24 Konka 02" on March 18 2026. "24 Konka 02" was redeemed and delisted on the

Shenzhen Stock Exchange on March 18 2026.The company paid the interest on "24 Konka 03" for the period from March 18 2025 to March 17 2026

on March 18 2026.Remarks: If the interest exchange/redemption date of the bonds issued by the Company is not a

trading day in the current year it shall be postponed to the next trading day of the interest

exchange/reduction date.

(2) Latest tracking rating and rating changes of corporate bonds

During the reporting period the credit rating results of the Company's entities and

corporate bonds were not adjusted.On June 12 2025 United Ratings Co. Ltd. issued the 2025 Tracking Rating Report on

Private Placement of Corporate Bonds of Konka Group Co. Ltd. (Lianhe [2025] No.

3481). The results of this tracking rating are as follows: the long-term credit rating of the

Company's main body is maintained at AA the credit rating of "22 Konka 01" is AAA

and the rating outlook is stable. On June 12 2025 United Ratings Co. Ltd. issued the

2025 Tracking Rating Report on Private Placement of Corporate Bonds of Konka Group

Co. Ltd. (Lianhe [2025] No. 3482). The results of this tracking rating are as follows: the

long-term credit rating of the company's main body is maintained at AA the credit rating

of "24 Konka 01" is AAA and the rating outlook is stable.

(3) As of the end of the reporting period the main accounting data and financial

indicators of the Company for the recent two years

Unit: RMB'0000

Item 2025 2024 YoY change

Debt/asset ratio 126.22% 95.37% 30.85%

Net profit after deducting -1038083.88 -353499.92 -193.66%

non-recurring gains/losses

EBITDA/debt ratio -54.80% -12.51% -42.29%

Times interest earned -13.84 -4.75 -191.37%

Note: The financial data related to previous years in this report are the amounts

corrected for errors.III. Important matters

9Summary of 2025 Annual Report of Konka Group Co. Ltd.

In 2025 through professional integration the Company continued optimizing its

business structure while steadily promoting cost reduction and efficiency improvement

laying a solid foundation for the Company's future development.In 2025 the Company achieved operating revenue of RMB 98.35 hundred million down

11.51% YoY and net profit attributable to shareholders of the listed company of RMB -

125.82 hundred million with a YoY decrease of 237.73%; cash flow from operating

activities was RMB -16.11 hundred million down 1026% year-on-year.

(1) Reasons for performance changes in 2025

* In 2025 the Company's consumer electronics business witnessed a decline in

operating revenue due to insufficient product competitiveness. Despite the decrease of

overall expenses year-on-year the gross profit still failed to cover the expenses leaving

the consumer electronics business in a loss-making state.* In 2025 in accordance with the Accounting Standards for Business Enterprises the

company made provision for impairment losses on accounts receivable other

receivables inventories investment real estate fixed assets intangible assets

construction in progress goodwill long-term equity investments other current assets

other non-current assets and other items and recognized certain contingent liabilities. As

a result the company incurred a net loss attributable to shareholders of listed companies

in 2025 and its net assets attributable to shareholders of listed companies turned

negative.

(2) Key tasks for 2025

In 2025 against the backdrop of professional integration the Company further clarified

its strategic goals and paths for achievement with focus on improving the operations of

its main businesses under the following work progress:

* Professional management of R&D production supply and sales

In terms of R&D the Company set up a Research Institute responsible for

coordinating Konka's strategic R&D strategies and building a three-tiered R&D

system.For the supply chain the Company gave full play to the role of the Supply Chain

Management Department in coordinating the procurement of bulk and unified raw

materials thus promoting cost reduction in the supply chain.As for marketing the Company established China Marketing Headquarters and

International Marketing Business Division to steadily advance loss reduction and

conversion into profits in the domestic sales businesses while building the overseas

brand image and transforming the marketing pattern of branded products through

integration and collaboration.

10Summary of 2025 Annual Report of Konka Group Co. Ltd.

On the production side the Company clarified the orientation for optimizing and

integrating production bases and planned to launch intelligent upgrading for some

factories for qualitative improvement in the Company's manufacturing capabilities in line

with the industry benchmarks.* Further collaboration for market growth

Based on the Company's business characteristics and CR Group's industrial resources

a cooperation plan covering 5 major areas was formulated to deepen business synergy

with subsidiaries of CR Group. The "China Resources Fuzhou Gas Store & Konka

Quality Base" officially opened at the end of 2025 while other cooperation plans are

under progressive implementation.* Loss reduction and efficiency improvement in existing businesses

In terms of business integration the color TV business and the white goods business are

being integrated in some regions. Such measures such as marketing channels

resources and workforce reusing were taken to drive the Company's consumer

electronics businesses into a collaborative pattern with an incremental performance of

approximately RMB 150 million for the year.In terms of service integration the Company completed a joint tender for black and white

goods express logistics reducing the overall express logistics costs for both categories

by 23.37%; and constantly enhancing the reuse of service providers for the color and

white goods businesses as well as for the Konka and Frestec brands.In manufacturing efficiency enhancement benchmarking against industry leaders all

manufacturing bases steadily improved production efficiency with manufacturing cost

per unit meeting the target. In the quality products total sales exceeded 750000 sets

generating revenue of over RMB 1 billion. Ningbo Konka Hanrui Electrical Appliance Co.Ltd. surpassed its sales target for the 1 HP inverter series air conditioners while Jiangsu

Konka Smart Appliance Co. Ltd. leveraged its 530 Platform to create differentiated

products completing its product matrix.On the other hand the Company clarified its strategy for improving the structure of the

color TV business focusing resources on its own brand business to further advance the

brand towards high-end positioning. The Company deepened its cooperation with key

customers in the white goods business promoting in-depth exchanges in areas such as

product technology design and key indicators.* Corporate transformation and development through organizational optimization

The Company comprehensively advanced organizational restructuring efforts optimized

its headquarters functions and strengthened the professional capabilities of the

corporate headquarters team. The Company restructured its business units to adapt to

11Summary of 2025 Annual Report of Konka Group Co. Ltd.

industry characteristics scaled back non-core businesses and established 4 secondary

business divisions to for the business development. A mechanism of job competition was

adopted to further revitalize the organizational vitality and to establish an organizational

structure that aligns with market principles and business management needs.Konka Group Co. Ltd.Board of Directors

April 29 2026

12