2025 Annual Report Guangdong Provincial Expressway Development Co. Ltd.2025 Annual Report March 2026 12025 Annual Report I. Important Notice Table of Contents and Definitions The Board of Directors and the directors Supervisory Committee and supervisors and Senior Executives of the Company hereby warrant that at the year there are no misstatement misleading representation or important omissions in this report and shall assume joint and several liability for the authenticity accuracy and completeness of the contents hereof.Mr.Miao Deshan The Company leader Mr. Lu Ming Chief financial officer and the Ms.Yan Xiaohong the person in charge of the accounting department (the person in charge of the accounting )hereby confirm the authenticity and completeness of the financial report enclosed in this annual report.All the directors attended the board meeting for reviewing the Annual Report.The toll revenues of Expressway is main source of the major business income of the company The charge standard of vehicle toll must be submitted to the same level people's government for review and approval after the transport regulatory department of province autonomous region or municipality directly under the central government in conjunction with the price regulatory department at the same level consented upon examination.Therefore the adjustment trend of the charge price and the charge price if has the corresponding adjustment in the future price level when the cost of the company rises still depend on the approval of relevant national policies and government departments and the company isn't able to make timely adjustment to the charge standard in accordance with the its own operation cost or the change of market supply demand. So the change of charge policy and the adjustment of charge standard also have influence on the expressways operated by the company to some extent. So the charging policy changes and charges adjustment will affect the highways operation of the company.The profit distribution proposal reviewed and approved by the boarding meeting was summarized as follows:2090806126 for the base the Company would distribute cash dividend to all the shareholders at the rate of CNY 6.04 for every 10 shares (with tax inclusive) 0 bonus shares（including tax）and no reserve would be converted into share capital. 22025 Annual Report Table of Contents I.Important Notice Table of contents and Definitions II. Company Profile & Financial Highlights.III. Management Discussion & Analysis IV. Corporate Governance and Environmental Social V. Important Events VI. Changes in shares and information about Shareholders VII. Corporate Bond VIII. Financial Report 32025 Annual Report Documents available for inspection 1. Accounting statements carried with personal signatures and seals of legal representative General Manager Chief Financial officer（Chief accountant）the person in charge of the accounting department (the person in charge of the accounting )Financial Principal . 2. Original of Auditors’ Report carried with the seal of Certified Public Accountants as well as personal signatures of certified Public accountants. 3. The texts of all the Company's documents publicly disclosed on the newspapers and periodicals designated by China Securities Regulatory Commission in the report period. 42025 Annual Report Definition Terms to be defined Refers to Definition Reporting period This year Refers to January 1 2025 to December 31 2025 Reporting date Refers to The annual report of the company was approved by the board of directorson 2025 that is March 13 2026 YOY Refers to Compared with 2024 The Company This Company Guangdong Refers to Guangdong Provincial Expressway Development Co.Ltd.Expressway Guangfo Company Refers to Guangdong Guangfo Expressway Co. Ltd.Guanghui Company Refers to Guangdong Guanghui Expressway Co. Ltd.Guangzhu East Company Refers to Jiangzhu Expressway Guangzhu Section Co. Ltd.Yuegao Capital Refers to Yuegao Capital Investment (Guangzhou) Co. Ltd. 52025 Annual Report II. Company Profile & Financial Highlights. 1.Company Profile Stock abbreviation: Expressway A Expressway B Stock code 000429 200429 Stock exchange for listing Shenzhen Stock Exchange Name in Chinese 广东省高速公路发展股份有限公司 Abbreviation of Registered粤高速 Company (if any) English name (If any) Guangdong Provincial Expressway Development Co.Ltd.English abbreviation (If any) GPED Legal Representative Miao Deshan Registered address 85 Baiyun Road Guangzhou Guangdong Province Postal code of the Registered 510100 Address Historical change of the 1992—1999，4/FDongjian BuildingNo.503Dongfeng Road Guangzhou;Since 1999 85 company's registered address Baiyun Road Guangzhou Guangdong Province Office Address 45-46/F Litong Plaza No.32 Zhujiang East Road Zhujiang New City Tianhe District Guangzhou Postal code of the office address 510623 Internet Web Site www.gpedcl.com E-mail ygs@gdcg.cn 2. Contact person and contact manner Board secretary Securities affairs Representative Name Yang Hanming Liang Jirong Contact 46/F Litong Plaza No.32 Zhujiang East Road Zhujiang 45/F Litong Plaza No.32 Zhujiang East Road Zhujiang address New City Tianhe District Guangzhou New City Tianhe District Guangzhou Tel 020-29004619 020-29004523 Fax 020-38787002 020-38787002 E-mail Hmy69@126.com 139221590@qq.com 3. Information disclosure and placed Newspapers selected by the Company for information Securities Times China Securities Shanghai Securities Daily disclosure and Hongkong Commercial Daily.Internet website designated by CSRC for publishing the Annual www.cninfo.com.cn report of the Company The place where the Annual report is prepared and placed Securities affair Dept of the Company 4.Changes in Registration Organization Code 91440000190352102M Changes in principal business activities since listing (if any) No change On November 2000 In accordance with Cai Guan Zi (2008) No. 109 Document of Ministry of Finance and Yue Ban Han (2000) No. 574 Document of General Office of Guangdong People's Government the state-owned shares Changes is the controlling shareholder in the of Guangdong Expressway originally entrusted to Guangdong ExpresswayCompany (now renamed as "Guangdong Provincial Expressway Co. Ltd.") for past (is any) management were transferred to Guangdong Communication Group Co. Ltd.for holding and management. After the transfer of state-owned shares Guangdong Communication Group Co. Ltd. became the largest shareholder of the Company. The nature of equity was defined as state-owned shares. 5. Other Relevant Information CPAs engaged 62025 Annual Report Name of the CPAs Guangdong ZhongzhixinGertified Public Accountants LLP Office address （Self-defined Unit 01-04 and 06）Room 1001 No.11 Zhujiang： East Road Tianhe District Guangzhou City Names of the Certified Public Accountants as the Nie Tieliang Deng Jilong signatories The sponsor performing persistent supervision duties engaged by the Company in the reporting period.□ Applicable√ Not applicable The Financial advisor performing persistent supervision duties engaged by the Company in the reporting period □ Applicable√ Not applicable 6. Accounting Data and Financial Indicators Whether it has retroactive adjustment or re-statement on previous accounting data □Yes √ No Changed over 202520242023 last year（％） Operating income（Yuan） 4469738160.51 4569903078.72 -2.19% 4879066948.19 Net profit attributable to the shareholders of the listed company Yuan 1801337614.93 1562122219.95 15.31% 1633811033.68（ ） Net profit after deducting of non-recurring gain/loss attributable to the shareholders of listed 1523003689.21 1644578715.04 -7.39% 1705099801.05 company（Yuan） Cash flow generated by business operation net Yuan 3559494395.28 3256363593.91 9.31% 3831785563.47（ ） Basic earning per share(Yuan/Share) 0.86 0.75 14.67% 0.78 Diluted gains per share(Yuan/Share) 0.86 0.75 14.67% 0.78 Weighted average ROE(%) 16.83% 15.52% 1.31% 17.30% Changed over End of 2025 End of 2024 End of 2023 last year（％） Gross assets（Yuan） 26790914410.82 22441664114.93 19.38% 21368963167.41 Net assets attributable to shareholders of the listed company Yuan 11116100975.79 10468100319.53 6.19% 9847531855.89（ ） The lower of the company’s net profit before and after the deduction of non-recurring gains and losses in the last three fiscal years is negative and the auditor's report of the previous year shows that the Company’s going concern ability is uncertain.□ Yes √No The lower of the net profit before and after the deduction of the non-recurring gains and losses is negative.□ Yes √No 7.The differences between domestic and international accounting standards 1.Differences in net profits and net assets in the financial report disclosed under the international accounting standards and that disclosed under the domestic accounting standards □ Applicable□√ Not applicable There was no difference in net profits and net assets in the financial report disclosed under the international accounting standards and that disclosed under the domestic accounting standards during the report period. 2. Differences in net profits and net assets in the financial report disclosed under the overseas accounting standards and that disclosed under the domestic accounting standards □ Applicable √Not applicable There was no difference in net profits and net assets in the financial report disclosed under the overseas accounting standards and that disclosed under the domestic accounting standards during the report period. 72025 Annual Report 8.Main Financial Index by Quarters In RMB First quarter Second quarter Third quarter Fourth quarter Operating revenue 1049919860.48 1068042912.77 1244545969.16 1107229418.10 Net profit attributable to the shareholders of the listed company 657482517.83 399670336.31 488018815.20 256165945.59 Net profit after deducting of non-recurring gain/loss attributable to the shareholders of listed 399682317.42 399377067.21 487093457.19 236850847.39 company Net Cash flow generated by business operation 1404783085.32 492883697.23 1147044563.19 514783049.54 Whether significant variances exist between the above financial index or the index with its sum and the financial index of the quarterly report as well as semi-annual report index disclosed by the Company.□Yes √No 9.Items and amount of non-current gains and losses √Applicable □Not applicable In RMBItem Amount (2025) Amount(2024 Amount (2023) Notes） Non-current asset disposal gain/loss(including the write-off part for which assets impairment 23759341.63 6080729.08 12740003.03 provision is made) Government subsidies recognized in current gain and loss(excluding those closely related to the Company’s business and granted under the 1012600.35 11296964.50 10685002.61 state’s policies) Gain and loss from change of the fair value arising from transactional monetary assets transactional financial liabilities as held as well as the investment income arising from disposal of the transactional monetary assets 8725590.15 2637409.20 2456768.00 transactional financial liabilities and financial assets available for sale excluding the effective hedging transaction in connection with the Company’s normal business Capital occupation charges on non-financial enterprises that are recorded into current gains 742880.50 1284835.59 and losses Net amount of non-operating income and expense except the aforesaid items -910572.44 -1689556.16 -4515527.98 Other non-recurring Gains/loss items 1010945.97 235202.32 921152.92 The maintenance and management expenses advanced by Guangfo Company have been The impairment provision for the advance confirmed to be expenses that have occurred but need to be 342942142.53 -121834522.51 -123358138.31 reimbursed by theProvincial Loan defined from the source of funds Repayment Center and the accrued impairment provisions have been reversed accordingly.Less :Influenced amount of income tax 8633279.22 9343308.39 988084.33 Influenced amount of minor shareholders’ equity (after tax) 90315723.75 -28875751.28 -30770056.69 Total 278333925.72 -82456495.09 -71288767.37 -- 82025 Annual Report Details of other profit and loss items that meet the non-recurring profit and loss definition □ Applicable√ Not applicable There are no other gains/losses items that meet the definition of non-recurring gains/losses in the Company.Explain the items defined as recurring profit (gain)/loss according to the lists of extraordinary profit (gain)/loss in Q&A Announcement No.1 on Information Disclosure for Companies Offering Their Securities to the Public - -- Extraordinary Profit/loss □ Applicable √ Not applicable There are no items defined as recurring profit (gain)/loss according to the lists of extraordinary profit (gain)/loss in Q&A Announcement No.1 on Information Disclosure for Companies Offering Their Securities to the Public - -- Extraordinary Profit/loss. 92025 Annual Report III. Management Discussion & Analysis I. Industry information of the Company during the reporting period The Company is mainly engaged in tolling and maintenance of Guangfo Expressway Fokai Expressway Jingzhu Expressway Guangzhu Section and Guanghui Expressway investment in technological industries and provision of relevant consultation while investing in Shenzhen Huiyan Expressway Co. Ltd.Guangdong Jiangzhong Expressway Co. Ltd. Zhaoqing Yuezhao Expressway Co. Ltd.Ganzhou Kangda Expressway Ganzhou Gankang Expressway Co. Ltd.Guangdong Yuepu Technology Petty Loan Co.Ltd.Guangle Expressway Co. Ltd.Guoyuan Securities Co. Ltd. Garage electric pile Holding (Shenzhen) Co.Ltd.and SPIC Yuetong Qiyuan Chip Power Technology Co. Ltd..As of the end of the reporting period the company’s share-controlled expressway is 306.78 km and the share- participation expressway is 295.88 km.II.Main Business the Company is Engaged in During the Report Period The Company's principal business encompasses the investment construction toll collection and maintenance management of expressways grade highways and bridges operating within the highway management and maintenance industry.Highways particularly expressways are a core component of the modern infrastructure system and serve as a critical pillar for economic and social development. They hold significant strategic importance for safeguarding national security smoothing the domestic economic cycle promoting the dual domestic and international circulations expanding domestic demand and fostering high-quality development.With the substantial completion of the "ten vertical and ten horizontal" comprehensive transportation corridors and the continuous advancement of the "71118" national expressway network plan China's expressway network is consistently expanding and the industry maintains stable growth. According to the Ministry of Transport's 2024 Statistical Bulletin on the Development of the Transportation Industry by the end of 2024 the total length of expressways in China reached 190700 kilometers with an increase of 7000 kilometers compared to the end of the previous year; The total length of national highways reached 5490400 kilometers with the proportion of Class IV and above highways increasing to 97.3%.Currently China's economic development has entered a new normal with sustained national economic growth and the deepening implementation of national strategies such as the Guangdong-Hong Kong-Macao Greater Bay Area development. Consequently the demand for comprehensive expressway support services in society is expected to increase steadily. In the future as the completion rate of the main framework for the national comprehensive three-dimensional transportation network comprising the "6 axes 7 corridors and 8 channels" exceeds 90% China's expressway industry still possesses significant room for development.As a crucial infrastructure industry for national economic development transportation demand on expressways is predominantly rigid demand making it relatively resilient to fluctuations in the macroeconomy and resulting in a weak industry cyclicality. Given that expressway enterprises primarily generate cash income their cash flow is abundant effectively ensuring the operational and financial robustness of the industry. During periods of economic prosperity increased traffic volume can drive industry growth; During economic adjustments the industry leveraging its characteristic of rigid demand can effectively withstand market shocks arising from macroeconomic changes.III. Analysis On core Competitiveness 102025 Annual Report (I) Regional Economic Advantages: Leveraging the Guangdong-Hong Kong-Macao Greater Bay Area to fully enjoy development dividends The Company's core toll roads are situated in the Guangdong-Hong Kong-Macao Greater Bay Area one of the most economically dynamic regions in China. As the nation's leading economic province Guangdong Province achieved a Gross Domestic Product of RMB 14.16 trillion in 2024 ranking first in China for 36 consecutive years and accounting for 10.5% of the national GDP total. The region possesses robust foreign trade strength with total annual imports and exports exceeding RMB 9 trillion for the first time ranking first nationally for 39 consecutive years. This represents a year-on-year growth of 9.8% contributing nearly 40% to the national foreign trade growth. The industrial structure is continuously optimized. The added value of the advanced manufacturing and high-tech manufacturing sectors grew by 8.2% and 9.1% respectively accounting for 55.3% and 34.7% of the total value added by industries above the designated size. The added value of strategic emerging industries increased to 28.5% of GDP. The thriving regional economy provides a solid demand foundation for the growth of traffic volume on expressways.(II) Strategic Location Network: Core channel assets occupying key nodes of road network The expressways invested in and held by the Company are all key components of the main framework of both national and provincial road networks forming a strategic asset layout covering the core area of the Pearl River Delta: Toll Road Name Shareholding Strategic Positioning Road Network Function Status Foshan–Kaiping Wholly- "Five Vertical and Seven Horizontal" National Strategic westward channel from the Expressway owned Trunk Highways "71118" National Expressway Guangdong-Hong Kong-Macao Greater Bay Network Area radiating into the greater Southwest region Beijing-Zhuhai Controlled Main Framework of Guangdong Province's Major expressway artery connecting the east Expressway "Twelve Vertical Eight Horizontal Two Rings and west banks of the Pearl River Delta (Guangzhou- Sixteen Radial" network Zhuhai Section) Guangzhou- Controlled Main Framework of Guangdong Province's Important seaward channel connecting Huizhou "Twelve Vertical Eight Horizontal Two Rings Guangzhou eastward to the Eastern Expressway Sixteen Radial" network Guangdong region Invested Invested Main Framework of the Guangdong Provincial Key nodes for interconnection within the expressways Expressway Network Plan province's core economic regions (III) Rigid Demand Characteristics: Strong cash generation capability prominent counter-cyclical attributes Transportation demand on expressways is predominantly for essential travel making it relatively less susceptible to macroeconomic fluctuations. The Company's toll road assets are situated in a core economic region with a GDP exceeding RMB 14 trillion where passenger and freight transport demand is both robust and stable. The toll road business model is mature ensuring timely and ample cash recovery and a stable financial structure. This endows the Company with strong risk resistance and sustainable operational capacity.(IV) Sustained Momentum for Development: Regional strategic depth vast growth potential 112025 Annual Report With the accelerated formation of the main skeleton of the national comprehensive three-dimensional transportation network comprising the "6 axes 7 corridors 8 channels" the deepening integration of the Guangdong-Hong Kong-Macao Greater Bay Area and the implementation of Guangdong Province's "One Core One Belt One Zone" regional development strategy the economic agglomeration effect and transportation demand in the regions where the Company's core toll roads are located will continue to strengthen. This will provide long-term impetus for future traffic volume growth and toll revenue enhancement.IV. Main business analysis Ⅰ. General (1) The overall situation In 2025 the Company closely adhering to the strategy of building China's strength in transportation will focus on the main themes of successfully concluding the "14th Five-Year Plan" and strategically planning for the "15th Five-Year Plan". It will anchor itself to its principal responsibilities and core business solidify the foundation of transportation infrastructure and achieve significant results in multiple areas including accelerating expressway reconstruction and expansion projects and enhancing the quality and efficiency of service areas. 1) Aim at steady development of its main business and steadily promote the reconstruction and expansion of multiple participating and controlling projects. During the reporting period the Huizhou-Yantian Expressway reconstruction and expansion project was completed and opened to traffic; The reconstruction and expansion projects of the Guangzhou-Huizhou Expressway Beijing-Zhuhai Expressway (Guangzhou-Zhuhai Section) and Yuezhao Expressway were implemented in an orderly manner. 2) Promote the quality improvement and upgrading of expressway service areas. During the reporting period the Zhishan Service Area (North Zone) commenced operations and was selected for the "2025 National Typical Innovative Cases of Transportation and Energy Integration Development".Completed the micro- renovation project of Yayao Service Area achieving tangible results in the "Baiqianwan Project" and "Green and Beautiful Guangdong" initiatives. 3) Comprehensively enhance the level of toll road passage service capabilities. The Company supervised the road section company to guarantee smooth and safe services during major holidays strengthen and increase patrol inspections by road administration deepen the linkage and cooperation mechanism by road police and emergency joint services ensure excess rejection at entrances and accurate issuance of ETC at toll stations strengthen safety supervision of road occupation construction and ensure road safety and unimpeded access. 4) Strengthened the reserve of high-quality core business projects conducting on-site investigations and due diligence on multiple expressway projects; advanced in-depth research and preliminary work for key projects completed investment approval for 3 strategic emerging industry projects laying a solid foundation for subsequent investment implementation. (2) Participate in the holding of the expressway situationVolume of vehicle Increase Toll income in 2025（Ten Increase /Decrease(%traffic in 2025（Ten /Decrease(%) thousands）thousands vehicles） Guangfo Expressway 10374.41 4.54% - - 122025 Annual ReportVolume of vehicle Increase Toll income in 2025（Ten Increase /Decrease(%traffic in 2025（Ten /Decrease(%) thousands）thousands vehicles） Fokai Expressway 8816.05 -2.24% 142377.62 -4.78% Jingzhu Expressway Guangzhu East Section 7380.06 -5.25% 95553.75 -11.50% Guanghui Expressway 8941.49 3.11% 200330.19 4.08% Huiyan Expressway 5739.66 24.81% 24895.27 22.02% Guangzhao Expressway 3885.44 -7.61% 47550.80 -11.34% Jiangzhong Expressway 6334.92 6.09% 43085.65 23.16% Kangda Expressway 142.94 -6.92% 29664.07 -2.85% Gankang Expressway 319.56 -23.93% 19473.98 -8.45% Guangle Expressway 3853.68 -1.50% 252890.12 -12.51% Note. According to the informal letter No. 24-[2022] Yue Transportation Operation-"Notice of the Department of Transportation of Guangdong Province on Issues Concerning the Expiration of Toll Collection of Guangfo Expressway" issued by Guangdong Provincial Department of Transportation Guangfo Expressway shall stop toll collection from 0:00 on March 3 2022. 1) Foshan–Kaiping Expressway: Experienced a year-on-year decrease in traffic volume and toll revenue impacted by the traffic diversion effect on traffic flows between eastern and western Guangdong following the opening of the Shenzhen–Zhongshan Link and Zhongshan–Kaiping Expressway as well as the full closure of the main line from Sicun Interchange to Lianhuashan Interchange on the Shenzhen–Cenxi Expressway (Jiangmen Section) for construction and construction works on the Fenjiang Bridge; 2) Beijing-Zhuhai Expressway (Guangzhou-Zhuhai Section): Experienced a year-on-year decrease in traffic volume and toll revenue impacted by traffic diversion following the opening of the Shenzhen–Zhongshan Link and Nansha–Zhongshan Expressway as well as factors such as reconstruction and expansion works; 3) Huizhou-Yantian Expressway: Experienced a year-on-year increase in traffic volume and toll revenue as the reconstruction and expansion project was completed and opened to traffic; 5) Jiangmen-Zhongshan Expressway: Experienced a year-on-year increase in traffic volume and toll revenue as the reconstruction and expansion project was completed and opened to traffic and a new toll rate has been implemented since June 13 2025; 6) Nankang–Dayu Expressway: Experienced a year-on-year decrease in traffic volume and toll revenue impacted by changes in the road network such as the completion of parallel national highways in the surrounding area; 7) Ganzhou-Kangdu Expressway: Experienced a year-on-year decrease in traffic volume and toll revenue impacted by changes in the road network including the early completion of the Daqing–Guangzhou Expressway (Jikang Section) reconstruction and expansion the opening of the Gannan Avenue Expressway and the opening of the Longchuan-Xunwu Expressway; 8) Guangzhou-Lechang Expressway: Experienced a year-on-year decrease in traffic volume and toll revenue impacted by the full closure of the southbound direction of the Leiyang–Yizhang Expressway for construction. 2. Revenue and cost (1)Component of Business Income 132025 Annual Report In RMB 2025 2024 Increase Amount Proportion Amount Proportion /decrease Total operating 4469738160.51100%4569903078.72100%-2.19% revenue Industry Highway 4382615622.7398.05%4499825267.4398.47%-2.60% transportations Other 87122537.78 1.95% 70077811.29 1.53% 24.32% Product Highway 4382615622.7398.05%4499825267.4398.47%-2.60% transportations Other 87122537.78 1.95% 70077811.29 1.53% 24.32% Area Guangfo Expressway 0.00 0.00% -4985.14 0.00% -100.00% Fokai Expressway 1423776151.84 31.85% 1495267944.19 32.72% -4.78% Jingzhu Expressway 955537535.87 21.38% 1079757126.95 23.63% -11.50% Guangzhu Section Guanghui Expressway 2003301935.02 44.82% 1924805181.43 42.12% 4.08% Other 87122537.78 1.95% 70077811.29 1.53% 24.32% Sub-sales model Highway 4382615622.7398.05%4499825267.4398.47%-2.60% transportations Other 87122537.78 1.95% 70077811.29 1.53% 24.32% (2)Situation of Industry Product and District Occupying the Company’s Business Income and Operating Profit with Profit over 10% √ Applicable □Not applicable In RMB Increase/decrease Increase/decrease Increase/decrease Gross of revenue in the of business cost of gross profit Turnover Operation cost profit same period of over the same rate over the rate(%) the previous period of same period of year(%) previous year the previous year(%) (%) Industry Highway 4382615622.731550797515.9864.61%-2.60%-2.95%0.19% transportations Product Highway 4382615622.731550797515.9864.61%-2.60%-2.95%0.19% transportations Area Fokai Expressway 1423776151.84 591557687.21 58.45% -4.78% 7.20% -7.37% Jingzhu Expressway Guangzhu 955537535.87 331437571.68 65.31% -11.50% -8.48% -1.72% Section Guanghui Expressway 2003301935.02 630891787.95 68.51% 4.08% -7.78% 6.28% 142025 Annual Report Sub-sales model Highway 4382615622.731550797515.9864.61%-2.60%-2.95%0.19% transportations Under circumstances of adjustment in reporting period for statistic scope of main business data adjusted main business based on latest on year’s scope of period-end.□ Applicable √Not applicable (3)Whether the Company’s Physical Sales Income Exceeded Service Income □ Yes √ No (4)Degree of Performance of the Significant Sales Contract Signed up to this Report Period □ Applicable √Not applicable (5)Component of business cost Industry category In RMB 20252024 Industry Proportion Increase/ category Item Proportion in Decrease Amount the operating Amount in the costs (%) operating (%) costs (%) Highway Depreciation transportations and Amortized 1006654332.36 63.47% 1050490831.47 64.40% -4.17% Highway Out of pocket transportations expenses 544143183.62 34.31% 547507414.33 33.57% -0.61% Other Other 35347834.01 2.23% 33076019.31 2.03% 6.87% (6)Whether Changes Occurred in Consolidation Scope in the Report Period □Yes□No (7)Relevant Situation of Significant Changes or Adjustment of the Business Product or Service in the Company’s Report Period □ Applicable √Not applicable (8)Situation of Main Customers and Main Supplier □ Applicable √Not applicable 3.Expenses In RMB 2025 2024 Increase/Decrease(%) Notes Administrative expenses 200164930.86 203389242.59 -1.59% Interest expenses decreased due to lower Financial expenses 72222083.76 126040674.05 -42.70% loan interest rates and the repayment of medium-term notes.R & D expenses 6071273.33 5083785.20 19.42% 152025 Annual Report 4. Research and Development √ Applicable □ Not applicable Name of main R&D project Project purpose Project progress Goal to be achieved Expected impact on the future development of the Company According to the Notice on Issuing the Development Outline and Work Breakdown Sheet for Maintenance Management of Guangdong Provincial Transportation Group's "14th Five Year Plan" Expressway through on- site inspection and research it establishes a Research Report on Post-evaluation technical and economic analysis model for Post-evaluation of Bridge It has been Technology for Reinforcement Effect of Box Enhance bridge management and bridge maintenance engineering to deeply Reinforcement closed Girder Bridges on In-service Foshan– maintenance level analyze the principle of post evaluation methods Kaiping Expressway and build a technical system for post-evaluation of bridge maintenance engineering effects; and develops the evaluation guidelines for technical measures such as maintenance treatment reinforcement and reconstruction of expressway bridges in Guangdong Province.There are 16 small-radius bends along the entire Foshan–Kaiping Expressway mainly in the southern section where vehicles are prone to traffic accidents due to high speed strong centrifugal force and close visual distance Research on Traffic especially in rainy days which can cause Safety Improvement Research Report on Countermeasures for skidding and loss of control. In order to prevent Strategies for It has been Improving Traffic Safety in Accident-Prone and resolve road traffic risks and improve the Enhance road safety level Expressway Sections closed Sections of High-Traffic-Volume driving safety level on Foshan–Kaiping with High Traffic Expressways (Foshan–Kaiping Expressway) Expressway a comprehensive evaluation of the Volume and Accidents safety technology of Foshan–Kaiping Expressway is proposed combined with typical traffic accidents for comprehensive analysis and a comprehensive improvement plan for road traffic safety is proposed.Research on Key Through the research of such topic it forms the Research Report on Key Technologies for Technologies for Digital evaluation criteria and recommended It is in the mid- Digitizing Existing Expressways Based on Enhance digital and intelligent management Application of Existing deployment principles for perception indicators term High-Precision Digital Base Maps (Foshan– and maintenance level Expressways Based on of holographic perception and digital front-end Kaiping Expressway) 162025 Annual Report Name of main R&D Project purpose Project progress Goal to be achieved Expected impact on the future developmentproject of the Company High Precision Digital perception devices for expressways and in Base Maps addition it can form a key technical system suitable for the operation and safety guarantee of the Foshan–Kaiping Expressway through the technical research on the integration of digital data of mainline traffic flow and high-precision digital base maps so as to guide the construction and management of expressways and provide reference for similar expressway construction nationwide.The increasingly frequent transportation of large items on highways poses new requirements for the load-bearing capacity of highways especially bridges and also challenges on the evaluation of bridge capacity under overweight Research on Key loads. To ensure the safe transportation of Technologies for Safety overweight and oversized items through bridges It is in the mid- Technical Guidelines for Highway Passage Evaluation of Highway it is necessary to evaluate the bearing capacity of Enhance road safety level term Safety for Large Item Transportation Transportation of Large the bridge in a relatively short period of time in Items order to determine whether it can pass and whether temporary reinforcement or other reinforcement measures need to be taken. The safety evaluation of bridges will become a key link in the transportation of large items on highways and its speed and safety are crucial.According to the requirements of the Guangdong Provincial Department of Transportation's Notice on Announcing the 2024 Revision and Development of the Development Projects for Guangdong Provincial Transportation Transportation Standardization Guiding Standardization Guiding Transportation Standardization Guiding Technical Documents (YJK Zi [2024] No. 275) It has been Form industry guiding documents enhance Technical Document Technical Document "Design Guidelines for fully utilize the achievements of the "Research opened road operational safety "Design Guidelines for Drainage of Wide Expressway Pavements" on Key Technologies for Expressway Drainage Drainage of Wide Design" project to extract and summarize Expressway Pavements" technologies related to drainage design for wide expressway pavements and form a guiding document that can be promoted and used within 172025 Annual Report Name of main R&D project Project purpose Project progress Goal to be achieved Expected impact on the future development of the Company the province.Durability issues with precast segmental assembled bridges have long existed. Internal defects in the main bridge joints of Jiujiang Bridge insufficient grouting in internal tendon ducts and steel tendon corrosion all pose serious safety hazards. To ensure that the safety and durability of the long-span erected structure of Research on Long-Term the Jiujiang Bridge main bridge which has been Performance Evaluation in service for many years meet expected and Maintenance Report on Long-Term Performance standards. Through research on internal damage Strategies for Precast It has been Evaluation and Maintenance Strategies for Enhance bridge management and detection technology structural performance Segmental Erected opened Precast Segmental Erected Prestressed maintenance level evaluation methods and maintenance strategies Prestressed Concrete Concrete Continuous Box Girder Bridges for long-span assembled prestressed concrete Continuous Box Girder continuous beam bridges truly understand the Bridges in-service technical condition bearing capacity and durability of the prestressed erected bridge superstructure thereby promptly identifying potential bridge hazards and proposing appropriate repair and reinforcement measures for subsequent maintenance ensuring the safe operation and normal service life of the bridge.Research on Key Technologies for Design Focus on solving the main issues in the Improve the life-cycle economic rationality Help solve key technical difficulties in of Existing Pavement renovation and utilization of old pavement and Closure stage of new and old pavements and ensure pavement design during expressway Reconstruction and widening design for this project balanced durability between new and old expansion and enhance engineering design Expansion pavements and construction quality Research on Key Help solve design challenges in the Technologies for Design Focus on solving the design challenges during of Existing Bridges and the reconstruction and expansion of existing Closure stage Enhance the safety and durability of bridge reconstruction and expansion of existing expressway bridges and tunnels and Tunnels Reconstruction bridges and tunnels for this project and tunnel structures improve structural safety durability and and Expansion economy This project relies on the first application of Research on Construction micro-piles in slope reinforcement engineeringon Guangzhou-Huizhou Expressway. Combined Summarize the applicable conditions key The research outcomes of this project are Technology for New design parameters and construction significantly innovative and have been Micro-Piles in Cutting with the emergency treatment project for the directly applied to expressway slope Slopes of Guangzhou- right-side cutting slope at Jinlong Interchange Closure stage technology for new micro-piles (composite BK0+000~BK0+295 on S21 Guangzhou- structure of section steel micro-pile + maintenance and reinforcement work Huizhou Expressway prestressed anchor cable capping beam). achieving notable social and economicHuizhou Expressway research on the benefits construction technology for new micro-piles in 182025 Annual Report Name of main R&D Project purpose Project progress Goal to be achieved Expected impact on the future developmentproject of the Company cutting slopes will be conducted summarizing design construction and quality control experience to provide a reference for similar projects.Based on the stress performance requirements of the concrete bridge spliced width with medium Research on Splicing and small spans by exploring the overall and Technology of Bridge local mechanical properties of spliced bridges it Through research on widening differentbridge structures it can improve the The implementation of this project holdsIrregular Structures under systematically proposes the theoretical It has passed the significant guiding importance for this Complex Construction mechanism of different types of structural mid-term review construction efficiency for widening mediumand small-span bridges directly reducing project and subsequent reconstruction andConditions Based on splicing for medium and small spans which construction duration input by over 15%. expansion projects in the Greater Bay Area.Factory Production significantly improves the theoretical level of splicing for bridges with different structures in expressway reconstruction and expansion.With increasing traffic volume roads within the Greater Bay Area jurisdiction The implementation of this project will form represented by the Guangzhou-Aomen Research on Soil The design construction evaluation of pipe pile a batch of design methods and technical Expressway Nansha-Zhuhai Section Squeezing Effect and soil squeezing effect of squeezed branch piles systems with independent intellectual (referred to as Guangzhou-Zhuhai East Settlement Control of and intelligent construction of cement mixing It has already property rights providing technical support Line) are all located in soft soil Deep Soft Foundation in piles in the study of soft foundation treatment for passed the for expressway reconstruction and expansion development areas. Some embankment Embankment of expansion and reconstruction in the province are proposal review projects on thick soft soil foundations sections are still undergoing continuous Reconstruction and major issues that urgently need to be studied and significantly enhancing the construction settlement imposing high requirements for Expansion Project solved. quality of such projects in China's soft soil embankment soft soil treatment in regions. expansion projects. The implementation ofthis project can improve soft soil treatment levels and reduce later-stage maintenance costs.Addressing issues such as manpower consumption and delayed problem At present as there is no clear system for the detection in the supervision and drainage of ultra-wide road surface at home and The implementation of this project will form maintenance of expressway drainagea batch of design methods and technical facilities deploy devices such as water film Research on the Design abroad it is very important to improve thecomprehensive drainage capacity of ultra-wide systems with independent intellectual monitoring equipment pipeline robots andand Maintenance property rights providing technical support pavement surface inspection robots to Technology of Wide road surface by improving and optimizing the It has passed thedesign construction and maintenance protocol mid-term review for reconstruction and expansion projects of collect key data for training and improvingRoad surface Drainage of road surface drainage system and evaluating wide expressway pavement drainage drainage system evaluation modelsSystem for Expressways the efficiency of drainage system which will systems significantly enhancing the integrate these into a cloud-technology- become the new normal in expressway construction quality of such projects in based drainage system supervision and construction in China. China. maintenance system to achieve digitalvisual and standardized management of drainage facility blockages damage and runoff pollution and conduct 192025 Annual Report Name of main R&D project Project purpose Project progress Goal to be achieved Expected impact on the future development of the Company demonstration applications of advanced information-based cloud platforms on designated road sections.Based on the actual demand of collision prevention of existing bridge piers in reconstruction and expansion projects through Research on systematic research on the structural Comprehensive characteristics of the bridge itself and the Develop key technologies for research on Measures for Collision channel environment it studies the measures that meeting new specifications for ship collision Guangzhou-Aomen Expressway crosses Prevention of Existing can be taken for the existing bridges to meet the It has already prevention based on existing bridges multiple Class I navigable waterways. The Bridges under Complex current bridge specifications make up for the passed the reducing ship collision risk by over 15%; implementation of this project can Navigation Conditions in shortcomings of existing research and proposal review develop ship collision prevention solutions effectively reduce ship collision risk and Reconstruction and significantly improve the collision prevention suitable for existing bridges reducing enhance project safety.Expansion Projects performance of expressway reconstruction and maintenance costs by over 20%.expansion into bridges which is of great significance for ensuring the safety and practicality of bridges and promoting their application in construction projects.Addressing industry pain points such as high cost long cycle time and difficulty in Develop one set of rapid inspection conducting general surveys for the quality equipment for squeezed branch and plate inspection of squeezed branch and plate piles in piles integrating a medium-strain excitation The research outcomes of this project will Research on Rapid highway engineering due to the unique system improved acoustic wave detection Quality Inspection characteristics of the branch/plate structure this equipment and rapid load test excitation help the Company master core technology Method for Squeezed project relies on stress wave theory to research devices. This can achieve cost savings of for rapid inspection of squeezed branch and Branch and Plate Piles and develop adapted rapid inspection technology Contract signed over 70% per pile for branch/plate integrity plate piles form independent intellectual Based on Stress Wave and equipment for branch/plate integrity and testing and over 90% per pile for single pile property rights consolidate its leading Theory single pile bearing capacity. It aims to establish a bearing capacity testing with inspection technical position and industry discourse standardized inspection method system provide efficiency improved by over 60% compared power in the field of highway engineering efficient and low-cost solutions for engineering to traditional methods significantly reducing pile foundation inspection.quality control promote the standardized inspection costs and enhancing engineering application of this original technology and fill quality control efficiency.the gaps in existing inspection methods.Addressing industry pain points such as low This project plans to develop an infrared- Provide precise inspection and evaluation precision of traditional inspection methods poor ultrasonic combined interface bond quality solutions for the company's contracted Research on Key adaptability of bond performance evaluation detection method and a constrained reconstruction and expansion projects and Technology for and lack of quantitative means for assessing compensation bond strength inversion bridge maintenance projects avoiding Toughness Evaluation of reinforcement effect and residual mechanical Contract signed method. Establish an interface bond excessive or insufficient maintenanceBonded Steel Plate properties of bonded steel plate components on degradation prediction model considering reducing project life-cycle maintenance Components on Existing existing concrete bridges this project relies on multi-factor coupling and a calculation costs strengthening the "technology-driven Concrete Bridges typical bridges in the Guangzhou-Aomen method for the reinforcement effect quality-guaranteed" brand image and Expressway and Guangzhou-Shenzhen degradation coefficient. Form an evaluation assisting the Company's continuous Expressway reconstruction and expansion system for residual bending and shear expansion in the transportation 202025 Annual Report Name of main R&D Project purpose Project progress Goal to be achieved Expected impact on the future developmentproject of the Company projects. It aims to develop high-precision performance of bonded steel plate infrastructure maintenance market.detection technology for the "steel plate- components on existing concrete bridges adhesive-concrete" interface a bond achieving interface defect identification performance degradation assessment method accuracy ≤ 0.5mm bond strength detection under multi-factor coupling and a structural error ≤ 10% and performance prediction toughness quantitative evaluation system. This deviation ≤ 15% with inspection efficiency will solve problems such as the reliance on improved by over 50% compared to experience in traditional inspections and traditional methods.significant deviations in evaluation results providing scientific and technological support for the safety control and maintenance decision- making of existing steel-plate reinforced bridges and filling the gap in systematic detection and evaluation methods in this field.Develop intelligent active safety protection technology for construction areas based on It proposes a research protocol based on cloud multi-sensor fusion transforming passive computing Internet of Things millimeter wave Key technical defense into active defense advancing the Research and Application radar and other technologies to build a safety and economic safety threshold significantly enhancing of Safety Supervision supervision system in digital work zone for the indicators have 1. One set of digital work zone safety supervision system. the intrinsic safety level of construction System Based on Digital traditional mode of safety supervision on been achieved.It 2. Three software copyrights related to the areas effectively protecting the safety of Work Zones construction sites occupying expressway in has been digital work zone safety supervision system personnel and property; significantly order to improve the safety protection and completed and improving management transparency supervision level of on-site road construction. accepted. collaboration efficiency and supervisioneffectiveness achieving traceable processes supervision without blind spots and closed-loop rectification. 212025 Annual Report Company's research and development personnel situation 2025 2024 Increase /decrease Number of Research and Development persons 104 81 28.40% (persons) Proportion of Research and Development persons 3.47% 2.71% 0.76% Academic structure of R&D personnel Bachelor 81 67 20.90% Master 18 9 100.00% Age composition of R&D personnel Under the age of 30 12 12 0.00% 30-40 years old 39 30 30.00% Over 40 years old 53 39 35.90% The Company's R & D investment situation 2025 2024 Increase /decrease Amount of Research and Development Investment ( RMB) 16293149.98 7492700.07 117.45% Proportion of Research and Development Investment of Operation Revenue 0.36% 0.16% 0.20% Amount of Research and Development Investment Capitalization ( RMB) 10221876.65 2408914.87 324.34% Proportion of Capitalization Research and Development Investment of Research and Development Investment 62.74% 32.15% 30.59% Reasons and influence of significant changes in R&D personnel composition of the Company □Applicable □ Not applicable The Reason of the Prominent Change in Total Amount of Research and Development Input Occupying the Business Income Year on Year □ Applicable √Not applicable Reasons for the drastic change of capitalization rate of R&D investment and its rationality explanation □ Applicable √Not applicable 5.Cash Flow In RMB Item 2025 2024 Increase/Decrease(%) Subtotal of cash inflow received from operation activities 5674337858.54 5072283780.29 11.87% Subtotal of cash outflow received from operation activities 2114843463.26 1815920186.38 16.46% Net cash flow arising from operating activities 3559494395.28 3256363593.91 9.31% Subtotal of cash inflow received from investing activities 299681990.64 204637881.38 46.45% Subtotal of cash outflow for investment activities 2885946619.66 2241932456.33 28.73% Net cash flow arising from investment activities -2586264629.02 -2037294574.95 26.95% Subtotal cash inflow received from financing activities 5943025000.00 1583547970.12 275.30% Subtotal cash outflow for financing activities 4684241738.57 3240033342.17 44.57% Net cash flow arising from financing activities 1258783261.43 -1656485372.05 -175.99% Net increase in cash and cash equivalents 2232421871.88 -442004349.42 -605.07% 222025 Annual Report Notes to the year-on-year change of the relevant data ? Applicable □ Not applicable (1) Net cash inflow from investing activities increased by 46.45% year-on-year mainly due to: Yuegao Capital receiving increased year-on-year equity transfer proceeds; and Guangzhu East Company receiving compensation for the disposal of land use rights during the reporting period. (2) Net cash inflow from financing activities increased by 275.30% year-on-year mainly due to: increased loans for the Company's reconstruction and expansion projects and increased capital contributions from minority shareholders year-on-year. (3) Net cash outflow from financing activities increased by 44.57% year-on-year mainly due to: increased cash payments for debt repayment dividend distribution and interest payments by the Company.Reasons of major difference between the cash flow of operation activity in report period and net profit of the Company □ Applicable √Not applicable V. Analysis of Non-core Business √ Applicable □Not applicable In RMB Proportion Amount in total Explanation of cause Sustainable profit (yes or no) Investment Income 240056122.11 7.58% Operating accumulation of shareholding companies Yes Loss on fair 8725590.15 0.28% Changes in fair value of equity investments measured at fair No value changes value which are included in current profits and losses.Impairment of 0.00% asset Non-operating income 7894777.53 0.25% Mainly insurance claims and road property claims No Non-operating expenses 8988454.20 0.28% Mainly road property repair expenditure No Credit Mainly to accrue the credit loss of Guangzhou-Foshan impairment 309703904.28 9.79% Expressway custody expenses receivable from Department of No losses Transport of Guangdong Province VI. Condition of Asset and Liabilities 1.Condition of Asset Causing Significant Change In RMB End of 2025 End of 2024 Proportion in Proportion in Proportion Notes to the significant Amount the total Amount the total increase/decrease change assets(%) assets(%) Monetary fund 6545379942.11 24.43% 4289826663.22 19.12% 5.31% Accounts receivable 96702638.20 0.36% 82361054.69 0.37% -0.01% Investment real estate 2004792.98 0.01% 2225911.46 0.01% 0.00% Long-term equity 4362638936.45 16.28% 3332350008.84 14.85% 1.43% investment Fixed assets 8268301855.93 30.86% 8872808692.97 39.54% -8.68% Construction in process 4760350219.82 17.77% 2665392094.81 11.88% 5.89% 232025 Annual Report End of 2025 End of 2024 Notes to the Proportion in Proportion in Proportion significant Amount the total Amount the total increase/decrease change assets(%) assets(%) Use right assets 3850889.14 0.01% 14217517.99 0.06% -0.05% Shore-term loans 259163958.03 0.97% 0.97% Long-term borrowing 10036331513.04 37.46% 6728264750.00 29.98% 7.48% Lease liabilities 2730189.11 0.01% -0.01% Overseas assets account for a relatively high proportion.□ Applicable √ Not applicable 242025 Annual Report 2.Asset and Liabilities Measured by Fair Value √Applicable □ Not applicable In RMB Gain/Loss on fair Cumulative fair Impairment Purchased Sold amount in amount in Item Opening amount value change in the value change provisions in reporting period recorded into equity the reporting the the Other changes Closing amount period reporting reportingperiod period Financial assets 4.Other equity 1768953885.85323092389.85-798738620.32890653266.65 instrument investment 5. Other non-current 186494177.208725590.15195219767.35 financial assets Subtotal of financial assets 1955448063.05 8725590.15 323092389.85 -798738620.32 1085873034.00 Total of the above 1955448063.05 8725590.15 323092389.85 -798738620.32 1085873034.00 Financial liabilities 0.00 0.00 0.00 0.00 0.00 Other change None Did any significant change occur to the attribute of the Company’s main asset measurement during the reporting period □ Yes √No 252025 Annual Report 3. Assets right restriction till end of reporting period The balance of restricted bank deposits at the end of the period was RMB 198100.00 which was the land reclamation fund deposited into the fund custody account for the reconstruction and expansion project of Sanbao to Shuikou section of Fokai Expressway.VII. Investment situation 1. General √ Applicable □ Not applicable Current Investment Amount(Yuan) Same period of last year (Yuan) Change rate 2554248022.871568931452.3462.80% 262025 Annual Report 2.Condition of Acquiring Significant Share Right Investment during the Report Period □Applicable □Not applicable In RMB Gain or Wheth Name of Capit Progress the Main Investme Investment Share up to Anticipat Less or er to Proport al Partner Investment Product Balance ed the Involv Date of Disclosure Company Business nt Way Amount ion % Sourc Horizon Type Sheet Income Current e in Disclosu re IndexInvested e Date Investme Lawsunt it Guangdon g Road & Bridge Constructi on On the Resolutions Developm basis of of the 13th Zhaoqing ent Co. the term of (Provisional) Yuezhao Expressw Increase Self Ltd.179150000.00 25.00% operation Limited Complet October ay capital No Meeting ofHighway funds Zhaoqing approved company ed 212023 the Tenth Co. Ltd. Highway by the Developm governme Board of nt Directors ent Co.Ltd.Xunh ao Internation al Co. Ltd.Xinyue (Guangzho Guangdo On the u) basis of Resolutions ng the term of theInvestment Jiangzhon 20th(Provision Expressw Increase Self Co. Ltd. ofoperation Limited Complete Julyg ay capital 21150000.00 15.00% Self funds No al) Meetingfunds Guangdon approved company d 312021Expressw of the Ninth g Highway ay Co. by the Board of Constructi Ltd. government Directorson Co.Ltd.Garage Hainan Resolutions Septemb electric New Increase Self Alpha Fish Limited Complet of the 12th pile Energy capital 2088000.00 17.40% Long-term No er funds Technolog company ed (Provisional) 272023 Holding y Co. Meeting of 272025 Annual Report (Shenzhe Ltd. the Tenth n) Co. Zhuhai Board of Ltd Speed Directors Enterprise Manageme nt Partnershi p (limited partnership ) Total -- -- 202388000.00 -- -- -- -- -- -- 0.00 0.00 -- -- -- 282025 Annual Report 3.Situation of the Significant Non-equity Investment Undergoing in the Report Period □Applicable □Not applicable In RMB Accrued Reasons for Accrued Actual Realized Industry not Reaching Fixed Investment Investment Project Income up Project Investmen involved in Capital Anticipated the Planned Disclosur Disclosure investment amount in this Amount up to the schedu to the End e date Index name t method investment Source income Schedule and s or not reporting period End of Reporting le of projects Anticipated Period Reporting Income Period Announcement Nansha- of Resolution of Zhuhai the Second Section of (Provisional) Guangzhou - Macao Self-built Yes Expresswa Self and October Meeting the 1765875007.24 4682038978.06 N/A y Loan 222022 Tenth Board of Expressway Directors； Was rebuilt Announcement and of External Expanded Investment the expansion and Announcement renovation of Resolution of of the Expresswa Self and March the 27th Guanghui Self-built Yes 585985015.63 585985015.63 N/A y Loan 42025 Meeting the Expressway Tenth Board of from Directors Luogang to Lingkeng section Total -- -- -- 2351860022.87 5268023993.69 -- -- 0.00 0.00 -- -- -- 292025 Annual Report 4.Investment of Financial Asset （1）Securities investment √ Applicable □ Not applicable In RMB Chang Book value es in PurchasMode of e Sale Book value Security Securit Stock balance at the fair Cumulative fair Gain/loss of balance at the category y code Abbreviatio Initial accounting investment cost measurem beginning of value value changes amount amount in Accounting Sources n: the reporting of the in equity in the the this the reporting end of the period reporting items of fundsent period this this period period period period Domesti c and Everbright Other equity 601818 517560876.80 FVM 910436633.28 303478877.76 44463184.42 821039754.56 instrument Self foreign Bank investment stocks Total 517560876.80 -- 910436633.28 303478877.76 0.00 0.00 44463184.42 821039754.56 -- -- Disclosure Date of Announcement on Securities Investment Approved July 222009 by the Board of Directors Disclosure Date of Announcement on Securities Investment Approved by the Shareholders Meeting(If August 72009 any) 2）Investment in Derivatives □ Applicable √ Not applicable The Company had no investment in derivatives in the reporting period. 302025 Annual Report VIII. Sales of major assets and equity 1. Sales of major assets □ Applicable √ Not applicable The Company had no sales of major assets in the reporting period. 2.Sales of major equity □ Applicable √ Not applicable 312025 Annual Report IX. Analysis of the Main Share Holding Companies and Share Participating Companies √ Applicable □ Not applicable Situation of Main Subsidiaries and the Joint-stock Company with over 10% net profit influencing to the Company In RMB Company Company Registered Operating Name type Leading products and services capital Total assets Net assets Income Operating profit Net Profit Jingzhu Expressway Guangzhu Subsidiary The operation and management of RMB 4.221 7581657868.46 3095675198.87 1007866801.68 611490441.64 456141355.95 Section Co. Guangzhu Expressway billion Ltd.Investment in and construction of Guanghui Expressway Co. Ltd. and Guangdong supporting facilities the toll collection and RMB Guanghui Sharing maintenance management of Guanghui Expressway company Expressway The Guanghui Expressway's 2.351678 5367609110.62 4825991706.29 2022964170.11 1355882672.59 1010375410.79 Co. Ltd. supporting gas station salvation vehicle billion maintenance vehicle transport catering warehousing investment and development Subsidiaries obtained or disposed in the reporting period □ Applicable √ Not applicable 322025 Annual Report X. Structured subject situation controlled by the company □ Applicable √ Not applicable XI. Prospect for future development of the Company The year 2026 marks the beginning of the "15th Five-Year Plan" period. The Company will focus on core directions such as enhancing the quality of its principal business expanding into new areas deepening reforms and preventing and controlling risks. It strives to achieve operating income of RMB 4.513 billion in 2026 with operating costs controlled within RMB 1.719 billion.(I) Advancing Major Project Construction Accelerate the construction of the main work of the Guangzhou-Huizhou Expressway Reconstruction and Expansion Project within the national network to ensure the annual investment target is met. Promote the construction of key processes for the Guangzhou-Zhuhai East and Guangzhou-Zhaoqing Expressway Reconstruction and Expansion Projects to ensure progress milestones are achieved. Implement the expansion and intelligent upgrade of Dayanshan Toll Station and complete the main structure and commissioning of supporting equipment.(II) Leveraging the Yuegao Capital Platform Fully capitalize on the advantages of Yuegao Capital as a market-oriented investment platform focusing on smart transportation and emerging industries to identify investment opportunities advance the implementation of high-quality projects and cultivate new profit growth drivers. Strengthen post-investment management and resource synergy to support the Company's expansion into emerging sectors.(III) Upgrading Maintenance Management Scientifically formulate annual maintenance plans implement a "maintenance-on-demand" model and carry out special projects for pavement remediation bridge and culvert repair and reinforcement and refinement of traffic safety facilities. Regularly conduct geological hazard inspections focus on completing the ship collision prevention remediation for Jiujiang Bridge and Beijiang Bridge and strengthen the operation and maintenance of real-time monitoring systems for bridges and slopes. Consolidate the achievements of the "Green and Beautiful Guangdong" initiative establish a long-term mechanism for the maintenance of greenery along the route and enhance the greening quality of key areas such as the Yayao Service Area.(IV) Optimizing Service Area Functions.Complete the construction and commissioning of the Zhishan Service Area (South Zone) on the Foshan– Kaiping Expressway simultaneously integrating it with the new energy smart management system. Deepen the development of the "Water-Saving Service Station" at Yayao Service Area on the Foshan–Kaiping Expressway and the integration of "transportation agriculture culture tourism and commerce" introducing local specialty exhibition and sales formats. Advance the preliminary work for the densification of Longjiang Service Area on the Foshan–Kaiping Expressway complete land site selection and red line delineation and initiate scheme design.(V) Strengthening Road Network Operational Efficiency Deepen the joint duty and collaborative mechanism involving multiple stakeholders along the route ("One Road Multiple Parties") and refine holiday traffic assurance plans for congestion-prone sections. Optimize route guidance and "traffic induction" strategies collaborating with navigation platforms and logistics enterprises to enhance traffic flow attraction. Promote the AI intelligent auditing system rigorously combat toll evasion and improve the efficiency of toll recovery.Advance the construction of smart toll stations expand the coverage of unattended toll station models and add new pilot sites for intelligent upgrades. Standardize the process for preventing overloaded vehicles at 332025 Annual Report expressway entrances and conduct special rectification initiatives in conjunction with local authorities.Strengthen the precise issuance of ETC to increase coverage rate and ease of use. 342025 Annual Report XII. Structured subject situation controlled by the company □ Applicable √ Not applicable Reception Place of Way of Types of Main contents discussed and time receptio reception visitors Visitors received information provided Basic indexn Li Yuanzhe from FuguoFund : Zhang Zeyue; Huaxia Funds; Bai Yiqing from Tianhong Fund;Chen Ziyuan from Southern Fund Management Co. Ltd.;MaDuichao from Taikang Fund;Li Wan from Pengyang Funds; Huang Yaru from NB Funds; Zeng Jingke from Boshi Fund; JerryPeng from Morgan Stanley Investment Management;Qin Jinfeng from Shanghai PanjingInvestment Management Center（LP）;Yao Tierui from PinganFund;WangChunhuan from CMS: Mu Tao from Shenzhen ZhongtianFortun;Wei Wei from Shanghai The Company's operating Yiheyuan Assets Management; Gu Daohe performance in 2024 the For details please refer to the "Record Form of from ZhongtianFortune;Wu Guanghua progress of reconstruction and Investor Relations Activities of Guangdong March By Phone Organization from Shenzhen Sihai Yuantong expansion projects for its/ Provincial Expressway Development Co.. 42025 Investment; Zhang Biche from Hongyun major invested and controlled Ltd."disclosed by the interactive platform Private Fund Management ; Jiao road sections and year-on- 2025001 Mingyuan from Shanghai Litan year changes in key financial （ ） Investment Managemen; Song Chunsheng data etc.from Beijing Antu Investment Management ; Wei Xin from Beijing Xiangguo Asset Management; Zhou Yifu from China International finance; Zhou Chengjuan from China Development Bank Securities;HuangXiangqian from Shenzhen Shangcheng Assets Management ; Wei Qiang from Shanghai Qingding Assets Management; Zhang Zhibin from Prudence Investment Management; Luo Guiwen from Nanjing Ruilan Private Fund;CaoZhiping from Yuefo Private fund; Liao Keming from 352025 Annual Report Reception Place of time receptio Way of Types of reception visitors Visitors received Main contents discussed and n information provided Basic index FIDELITYAmara;IGWT Investment; Yan Huichen from Hongshan Capital Inestment ; LvZhenghe from Qingdao ZhonghangSaiwei Investment; Yang Chen from China Post Life insurance ; Zhang Kaiyuan from Oriental Securities Co.Ltd.; Tang Zhichao from Tongtai Fund; Cao Guojun from Shanghai Tianni Investment ; Gu Baocheng from Shanghai Dushi Investment; Zhang Yufeng from COFCO Futures Co. Ltd.; Liao Anzhong Shanghai Qingshang Jiawan Asset Management; Zhao Zifeng from Shanghai Tuling Asset Management; Zhang Chunlong from Hannan Junyang Private fund; Lu Yongguang from Shanghai Fengcang Investment Management ; Song Kaiwen from CITIC Securities Co. Ltd.; Tu Junhui from Sanmu Investment; Wen Shuhan from Goldman Sachs Asia Wen Zhenyu from Western Leadbank FMC; Li Qian from Hangzhou ChangmouInvestmetnManagement ;Li Feng from Pingan Securities; Tian Chaoping from Xunyuan Assets Management ; Zhu Tianjiao from Shanghai MengyangInvestemtnManagement ; Tian Huan from Greatwall Wealth Asset Management; Gu Songhua from Dongwu Securities; Wei Wei from Pacific assets Management ; Zhou Zhengxing from Qianti Investment.Li Xiaying from Huatai Securities; Xie Lei The Company's operating For details please refer to the "Record Form of March By Phone Organization from performance in 2024 the Investor Relations Activities of Guangdong/ 42025 JPMorgan Asset Management (Asia progress of reconstruction and Provincial Expressway Development Co.. Pacific) LimitedVivianTao;Pinpoint Asset expansion projects for its Ltd."disclosed by the interactive platform 362025 Annual Report Reception Place of time receptio Way of Types of Main contents discussed and reception visitors Visitors received information provided Basic indexn Management Limited;Ni Tao from Pinpoint major invested and controlled （2025002） Asset Management Limited;HuangJianbin road sections and year-on- from BoshiFunds;Wu Yanan from Huaan year changes in key financial Fund; data etc.Liu Yang from Pacific assets Management ;Xu Chongcheng from Zhong Ou Asset Management; Zheng Bohong from Shanghai Qincheng Private fund; Liu Lu Shanghai Qincheng Private fund; Wei Ze from Shanghai Qinchen Private fund; Wei Wei fromPacific assets Management ;Chen Xiaoxiao from Pacific assets Management ;Yang Can from Bank of China Investment Management; Chen Jiamin Guotou Securities; Li Wei from Guolian Securities; Li Yanguang from Huatai Securities; Yuan Duowu from Jiutai Fund ; Ma Yi from Zheshang Securities; Chen Shanshan from ZheshangSecurties; Wu Biao from PICC .Li Ning from Tianfeng Securities; Ma Xuzhen from Shanghai Longquan Investment Management; Zhang Tingting from HanheCapital ; Xiao Jun from Guotai Junan Asset Management; Zie Zelin from The Company's operating BoshiFund ;Yan Feng from BOSC Asset; performance in 2024 the Wu Bin from Sunshine Asset Management; For details please refer to the "Record Form of progress of reconstruction and Xiao Xufeng from Changjiang Securities; Investor Relations Activities of Guangdong March / By Phone Organization expansion projects for its Mao Zhiwei Shanghai HuakunJianhe Fund; Provincial Expressway Development Co.. 42025 major invested and controlled He Fangyuan from Wuxi Huili Investment Ltd."disclosed by the interactive platform road sections and year-on- Management; Xie Wei from China Fund; （2025003） year changes in key financial Ding Xuesong from Tianhong fund; Ma Yi data etc.from Tongtai Fund; Wu Kewen from Shanghai Jingxi Investment Management; Li Qi from Xingzheng Fund; Wu Yanan from Huaan Fund; Sun Yong from DIB Asset Management. 372025 Annual Report Reception Place of time receptio Way of Types of reception visitors Visitors received Main contents discussed and n information provided Basic index The Company's operating performance in 2024 the For details please refer to the "Record Form of progress of reconstruction and Investor Relations Activities of Guangdong March By Phone Organization expansion projects for its/ E-fund : Sheng Mingyang Tang Bolun Provincial Expressway Development Co.. 52025 major invested and controlled Ltd."disclosed by the interactive platform road sections and year-on- （2025004） year changes in key financial data etc.The Company's operating performance in 2024 the For details please refer to the "Record Form of progress of reconstruction and Xiong Gongtao from ICBC UBS Asset Investor Relations Activities of Guangdong March By Phone Organization expansion projects for its/ Management Co. Ltd. LinXiaying from Provincial Expressway Development Co.. 72025 major invested and controlled HuataiSecurities Ltd."disclosed by the interactive platform road sections and year-on- （2025005） year changes in key financial data etc.The Company's operating performance in 2024 the Meeting For details please refer to the "Record Form of progress of reconstruction and Room Investor Relations Activities of Guangdong March Field Gong Cheng from China Life Asset expansion projects for its of the Organization Provincial Expressway Development Co.. 102025 research Management Co.Ltd.: major invested and controlled Compan Ltd."disclosed by the interactive platform road sections and year-on- y （2025006） year changes in key financial data etc.The Company's operating performance in 2024 the For details please refer to the "Record Form of progress of reconstruction and Investor Relations Activities of Guangdong March By Phone Organization Mao Liwei from Guotai Fund Li Ning expansion projects for its/ Provincial Expressway Development Co.. 122025 from TianfengSecrurities major invested and controlled Ltd."disclosed by the interactive platform road sections and year-on- （2025007） year changes in key financial data etc.Meeting The Company's operating For details please refer to the "Record Form of Room performance in 2024 the Investor Relations Activities of Guangdong March Field Li Zhepei from China Life Pension Co.of the Organization progress of reconstruction and Provincial Expressway Development Co.. 132025 research LtdQin Mengge from Xinda Securities Compan expansion projects for its Ltd."disclosed by the interactive platform y major invested and controlled （2025008） 382025 Annual Report Reception Place ofreceptio Way of Types of Main contents discussed andtime n reception visitors Visitors received information provided Basic index road sections and year-on- year changes in key financial data etc.The Company's operating Meeting performance the progress of For details please refer to the "Record Form of Room reconstruction and expansion Investor Relations Activities of Guangdong April Field of the Organization You Daozhu from Huaxi Securities projects for its major invested Provincial Expressway Development Co.. 142025 research Compan and controlled road sections Ltd."disclosed by the interactive platform y and year-on-year changes in （2025009） key financial data etc.Shao Meiling from Zhongtai Securities; Zhang Kaiyuan from Oriental Securities Co. Ltd.; Li Yunfeng from Shanghai Jiuxiang Asset Management; Zhang Qiaoshi from Minghe Investment; Guo The Company's operating Runchen from Huaneng GuichengCridit ; performance in the Q1 of For details please refer to the "Record Form of Sun Miaomiao from Guangdong Weicheng 2025 the progress of Investor Relations Activities of Guangdong May 62025 / By Phone Organization Investment; Yan Feng from BOSC Asset; reconstruction and expansion Provincial Expressway Development Co..Huang Xiangqian from Shenzhen projects for its major invested Ltd."disclosed by the interactive platform Shangcheng Asset Management; Cai and controlled road sections （2025010） Tangdong from Shengang Securities; Gu and year-on-year changes in Daohe from Zhongtian Fortune; Cao key financial data etc.Guojun from Shanghai Tianni Investment; Zhang Yao from Guosen Securities; Luo Caiyi from Zhuhai Deruo Private Fund Management Co. Ltd.The Company's operating performance in the Q1 of Meeting For details please refer to the "Record Form of 2025 the progress of Room Investor Relations Activities of Guangdong Field reconstruction and expansion May 62025 of the Organization Tang Bolun from E-Fund: Provincial Expressway Development Co..research projects for its major invested Compan Ltd."disclosed by the interactive platform and controlled road sections y （2025010） and year-on-year changes in key financial data etc.Meeting The Company's operating For details please refer to the "Record Form of Field Wu Yanfeng Sun Xiaodi from HSBC May 92025 Room Organization performance in the Q1 of Investor Relations Activities of Guangdong research Qianhai Securities of the 2025 the progress of Provincial Expressway Development Co.. 392025 Annual Report Reception Place ofreceptio Way of Types oftime reception visitors Visitors received Main contents discussed and n information provided Basic index Compan reconstruction and expansion Ltd."disclosed by the interactive platform y projects for its major invested （2025011） and controlled road sections and year-on-year changes in key financial data etc.The Company's operating performance the progress of For details please refer to the "Record Form of reconstruction and expansion Investor Relations Activities of Guangdong May / By Phone Organization Investor projects for its major invested Provincial Expressway Development Co.. 162025 and controlled road sections Ltd."disclosed by the interactive platform and year-on-year changes in （2025012） key financial data etc.Zhang Yinhan from Changjiang Securaities; The Company's operating Qin Mian from Chana Merchants performance in the Q1 of Meeting Securities; Ma Tangyin from AXA-SPDB For details please refer to the "Record Form of 2025 the progress of Room Investment Managers Co.Ltd.; Liu Zechen Investor Relations Activities of Guangdong May Field reconstruction and expansion of the Organization from Yimi Fund; Wang Jiahao from Capital Provincial Expressway Development Co.. 212025 research projects for its major invested Compan Group ; Pan Jun from Guangdong Cheese Ltd."disclosed by the interactive platform and controlled road sections y Fund; Lin Yuming from Tianhou Private （2025013） and year-on-year changes in fund; key financial data etc.Zhang Feng from Ningbo JiafuXingyuan Private fund The Company's operating Meeting Li Ning from TianfengSecurities ; Hu performance the progress of For details please refer to the "Record Form of Room Xiaonan Zhengshang Securities; Huang reconstruction and expansion Investor Relations Activities of Guangdong May Field of the Organization Shuang from Zhonghui Life; Gao Jing from projects for its major invested Provincial Expressway Development Co.. 262025 research Compan Zhonghui Life; Wang Siyue from Qianhai and controlled road sections Ltd."disclosed by the interactive platform y Kaiyuan Fund and year-on-year changes in （2025014） key financial data etc.The Company's operating Meeting Lin Mujin from CITIC Securities; Li Yong performance the progress of For details please refer to the "Record Form of Room from Runhui Investment Management; Jing reconstruction and expansion Investor Relations Activities of Guangdong Field July 12025 of the Organization Shen from Hongli Fund; Zhang Huayan projects for its major invested Provincial Expressway Development Co..research Compan from GuoshengGroup ; Zhang Bo from and controlled road sections Ltd."disclosed by the interactive platform y FangzhengHesheng Investment and year-on-year changes in （2025015） key financial data etc. 402025 Annual Report Reception Place ofreceptio Way of Types oftime reception visitors Visitors received Main contents discussed and n information provided Basic index Zheng Shuming Huo Zejia from GuojinSecurities;Chen Muhan from The Company's operating BoshiFund; Yang Chen from CCB Capital performance the progress of For details please refer to the "Record Form of Management; Liu Ran from reconstruction and expansion Investor Relations Activities of Guangdong July / By Phone Organization Fangzhengself ; Zhu Xiaoming from projects for its major invested Provincial Expressway Development Co.. 162025 Guolian Fund; Yao Qinglan from Yechun and controlled road sections Ltd."disclosed by the interactive platform Self; You Huazheng from Pingan and year-on-year changes in （2025016） Securities; Xiao Xinyi from key financial data etc.Great wall securities Guan Panlong from Jiashi Fund; Wang Yue from Huabao Fund;HuangShuwen from CITIC Self; Chen Muhan from Boshi Fund; Huang Bao Minsheng Fund; Zhu Xiaoming from Guolian Fund; Zhang Jun from Yuanxin Investment; Jia Siyuan from Runhui Investment; Yu Haishen from HuaxiaJiuying; Wang Kaisi from Citic Asset management; Zheng Zongjie from The Company's operating Unified investment trust; Xie Yuyang from performance in the first half Renqiao Asset; Ma Xuzhen from Shenghai For details please refer to the "Record Form of of2025 the progress of Longquan Investment; Li Yu Bin Yuan Investor Relations Activities of Guangdong August By Phone Organization reconstruction and expansion/ from Korea Investment trust; Luo Kai from Provincial Expressway Development Co.. 282025 projects for its major invested Investment; Qian Zhiying from Hangzhou Ltd."disclosed by the interactive platform and controlled road sections Bank ; Du Qingli from Guotai Haitong; Shi （2025017） and year-on-year changes in Yazhou from Guohai Securities; Luo key financial data etc.YuejiangGuosheng Securities; Qin Mengge from Xinda Securities; Lin Xiying from Huatai Securities; Shao Meiling from Zhongtai Securites; Liu Ruocong from China Merchants Securities; Sun Xiaodi from HSBC Qianhai Securities; Yue Xin Chen Yifan from Guotai Haitong; Hu Shimin Zhang Qinghua and Lin Mujin from CITIC Securities Meeting The Company's operating For details please refer to the "Record Form of September Field Guojing from Changjiang Pension; Qin Room Organization performance in the first half Investor Relations Activities of Guangdong 82025 research Mengge from Xinda Securitie of the of2025 the progress of Provincial Expressway Development Co.. 412025 Annual Report Reception Place of time receptio Way of Types of reception visitors Visitors received Main contents discussed and n information provided Basic index Compan reconstruction and expansion Ltd."disclosed by the interactive platformy projects for its major invested （2025018and controlled road sections and year-on-year changes in key financial data etc. 422025 Annual Report XIII. Implementation of Market Value Management System and Valuation Enhancement Plan Whether the Company has established a market value management system.□Yes□No Whether the Company has disclosed the valuation enhancement plan.□Yes□No XIV. The implementation of the action plan of "Double improvement of quality and return".Whether the Company has disclosed the action plan of "Double improvement of quality and return".□Yes □No (I) Core Measures of the Action Plan In order to respond to and practice the guiding ideology of "activating the capital market and boosting investors' confidence" put forward at the Meeting of the Political Bureau of the CPC Central Committee and "vigorously improving the quality and investment value of listed companies taking more powerful and effective measures to stabilize the market and confidence" put forward at the executive meeting of the State Council safeguard the interests of all shareholders and promote the long-term healthy and sustainable development of the Company Guangdong Provincial Expressway Development Co. Ltd. (hereinafter referred to as "the Company") has formulated the action plan of "double improvement of both quality and returns". The measures are as follows: （1）Adhere to high-quality development focus on connotative growth and optimize resource allocation. （2） Effectively return to shareholders and share the fruits of development. （3） Deepen market communication and strengthen investor relation management. (II) Implementation Progress 1. Focusing on the Principal Business and Solidifying the Development Foundation The Company is steadily advancing the reconstruction and expansion projects of its core toll road assets and continuously optimizing the road network layout: (1) Reconstruction and expansion projects including the Beijing-Zhuhai Expressway (Guangzhou-Zhuhai Section) Guangzhou-Huizhou Expressway Guangzhou-Zhaoqing Expressway Huizhou-Yantian Expressway and Jiangmen-Zhongshan Expressway are being implemented as planned further broadening and optimizing the regional transportation network and laying a solid foundation for the Company's sustainable development (2) Leveraging the quality improvement and upgrade of service areas as the implementation vehicle for the "Hundreds Thousands Tens of Thousands Projects" the Company is concurrently deepening the "Green and Beautiful Guangdong" initiative. The Yayao Service Area on the Foshan–Kaiping Expressway through its intelligent water-saving system and was rated as the best in Guangdong Province in the national characteristic service area evaluation. 2. Sustaining Cash Dividends and Sharing Development Achievements The Company adheres to a stable dividend policy effectively enhancing investors' sense of gain. In the 2025 profit distribution proposal the ** cash dividend ratio maintains 70% of the net profit attributable to owners of the parent company upholding a high dividend level and consistently rewarding shareholder trust. 3. Strengthening Investor Relations Enhancing Communication Quality and Efficiency The Company has established a multi-faceted "online + offline" communication mechanism maintaining high-frequency interactions with investors through diversified channels such as shareholders' meetings performance briefings road shows institutional research and the Shenzhen Stock Exchange's platform 432025 Annual Report (https://irm.cninfo.com.cn/). Since the implementation of the Action Plan the Company has organized 18 institutional investor research and exchange activities effectively enhancing market recognition and value discovery. 442025 Annual Report IV. Corporate Governance and Environmental Social I. General situation In strict accordance with the requirements of laws regulations and normative documents such as the Company Law the Securities Law the Code of Corporate Governance for Listed Companies and the Stock Listing Rules the Company continuously improves its corporate governance structure refines its internal control system and consistently enhances its level of standardized operation. The Company has established a modern corporate governance mechanism centered around the Articles of Association featuring clearly defined rights and responsibilities coordinated operation and effective checks and balances among the Shareholders' Meeting the Board of Directors the specialized committees of the Board and management.The Company has formulated and continuously improves its governance systems including: Basic Governance Systems: Articles of Association Rules of Procedure for Shareholders' Meetings Rules of Procedure for the Board of Directors; Specialized Committee Systems: Rules of Procedure for each special committee such as the Audit Committee and the Remuneration and Appraisal Committee of the Board; Operational Management Systems: Working Rules for the General Manager Strategic Management System Financial Management System Investment Management System; Compliance Management Systems: Information Disclosure Management System Related Party Transaction Management System Raised Funds Management System Compliance Risk Management System. The aforementioned systems cover all key aspects of the Company's operation and management are well-implemented and provide a solid institutional guarantee for the Company's standardized operation.During the reporting period the Shareholders' Meetings of the Company were convened and held strictly in accordance with the relevant provisions of the Company Law the Articles of Association and the Rules of Procedure for Shareholders' Meetings. The procedures were lawful and compliant and the resolutions were legal and effective effectively fulfilling the functional role of the Company's highest authority and safeguarding the legitimate rights and interests of all shareholders particularly minority shareholders. The Board of Directors is accountable to the Shareholders' Meeting and assumes the ultimate decision-making responsibility for the Company's operations and management. During the reporting period the Board of Directors strictly convened meetings in accordance with legal procedures diligently and responsibly exercised its powers made scientific decisions on major company matters effectively implemented the resolutions of the Shareholders' Meeting and ensured the achievement of the Company's strategic goals and its sustained and healthy development. The Audit Committee of the Board maintained close communication and collaboration with the Board management and external auditors. It continuously monitored matters such as the Company's financial reports internal controls audit work and related party transactions effectively fulfilling its supervisory duties and professional advisory obligations providing significant support for the Board's scientific decision-making.Does there exist any difference in compliance with the corporate governance the PRC Company Law and the relevant provisions of CSRC □ Yes √No There exist no difference in compliance with the corporate governance the PRC Company Law and the relevant provisions of CSRC.II. Independence and Completeness in business personnel assets organization and finance 1. Independent business The Company is mainly engaged in tolling and maintenance of Guangfo Expressway Fokai ExpresswayJingzhu Expressway Guangzhu Section and Guanghui Expressway investment in technological industries and provision of relevant consultaion while investing in Shenzhen Huiyan Expressway Co. Ltd. Guangdong Jiangzhong Expressway Co.Ltd. Zhaoqing Yuezhao Expressway Co. Ltd. Ganzhou Kangda Expressway 452025 Annual Report Ganzhou Gankang Expressway Co. Ltd. Guangdong Yuepu Small Refinancing Co. Ltd Guoyuan Securities Co.Ltd. Garage electric pile Holding (Shenzhen) Co. Ltd.SPIC Yuetong Qiyuan Chip Power Technology Co. Ltd.The Company has outstanding main operation independent and complete business and the ability of independent operation. All business decisions of the Company were made independently being completely separated from the shareholder with actual control. Related transactions were carried out in light of the principle of fair transaction which did not harm the interests of the Company and other shareholders of the Company.The content of related transactions was fully timely and accurately disclosed which did not have negative influence on the Company. 2. Complete assets The relationship of the Company's property right is clear. The assets injected by shareholders in the Company are independent and complete and have clear property right. All capital was paid up and relevant formalities of property right change were settled. 3. Independent personnel As for personnel relationship the general manager deputy general managers the secretary to the board of directors and financial controller of the Company were full-time employees and received salary from the Company who did not concurrently hold positions at the parent company.All directors and supervisors of the Company were elected through legal procedure. The general manager deputy general managers chief accountant chief economic engineer and chief engineer were directly appointed by the board of directors. Other managerial personnel of all levels were directly appointed by the general manager. The Company owns independent power of personnel appointment and removal. 4. Independent finance The Company including subsidiaries established independent accounting department，independent accountingsystem and regulations on financial management.The Company independently opened bank account and did not deposit funds in the accounts of the finance company or settlement center of the majority shareholder. The Company independently paid tax. The Company's financial decisions were independently made. The majority shareholder did not interfere with the use of funds by listed companies. 5. Independent organization The board of directors the supervisory committee and other internal organs of the Company operated independently. Its organs are complete and independent.III. Horizontal Competitions □ Applicable √ Not applicable 462025 Annual Report IV. Information about Directors and Senior Executives 1.Basic situation The Shares number of Number of Number ofshares shares Reasonsheld at the Office shares Other for Name Sex Age Positions Starting date of tenure Expiry date oftenure year- held in the reduced in held at the the current changes(s end of the increase orstatus begin(shar current period(sha period(sha hares) period(sha decrease e) res) res) of sharesres) Secretary of the Miao Deshan Male 54 Party Committee In office August 192022 Board Chairman Deputy Secretary Cheng Rui Male 51 of the PartyCommittee In office September 202022 Director Chief accountant In office December 252020 Lu Ming Male 47 Director In office February 42021 Fem Deputy GeneralManager In office October 192015Zuo Jiang 53 ale Director In office December 232021 Zeng Zhijun Male 55 Director In office December42017 Yao Xuechang Male 54 Director In office September 202022 Wu Guijun Male 47 Director In office May 202024 You Dewei Male 57 Independentdirector In office September 202022 Yu Mingyuan Male 63 Independentdirector In office September 202022 Zhang Renshou Male 60 Independentdirector In office December 52023 Liu Heng Male 42 Independentdirector In office December 52023 Lu Zhenbo Male 50 Independentdirector In office June 62025 Luo Baoguo Male 52 Deputy GeneralManager In office December 252020 Zhu Qijun Male 43 Deputy GeneralManager In office April 272023 Yang Hanming Male 56 Secretary to theBoard In office August 282017 Zhou Yisan Male 45 legal counsel In office September 202022 472025 Annual Report Fem Wu Hao 53 Director Dimissio November n November 22020ale 282025 Fem Zeng Xiaoqing 56 Independent Dimissiodirector n May 202019 June 62025ale Total -- -- -- -- -- -- 0 0 0 0 0 -- 482025 Annual Report During the reporting period whether there is dismissal of directors and supervisors and decruitment of senior managers □Yes □No 1. Ms. Zeng Xiaoqing having served as an independent director of the Company for six years ceased to hold the position of independent director of the Company in accordance with the relevant regulations of the China Securities Regulatory Commission. 2. Ms. Wu Hao resigned from her position as a director on November 28 2025 due to work reasons. Ms. Wu Hao holds no position in the Company after her resignation.Changes of directors supervisors and senior executives √ Applicable □ Not applicable Name Positions Types Date Reason Zeng Xiaoqing Independent director Dimission June 62025 Personal reasons Wu Hao Director Dimission November 282025 Personal reasons 2.Posts holding Professional backgrounds major work experience and current duties in the Company of the incumbent directors supervisors and senior management: Mr. Miao Deshan，He served as Chairman with bachelor degree. Bachelor of Engineering degree seniorengineer. From June 2011 to July 2022 he served successively as Deputy General Manager Chief Engineer Deputy Secretary of the Party Committee Director and General Manager of Guangdong Communications Industrial Investment Co. Ltd. has been the Chairman of the Company since August 19 2022. He is also the Director of SPIC YuetongQiyuanxin Power Technology Co. Ltd. the Company's shareholding company and the Legal Representative and Executive Director of Yuegao Capital Holdings (Guangzhou) Co. Ltd.Mr. Cheng Rui Director of the Company holds a master's degree in business administration an economist with the Corporate Legal Adviser and Lawyer qualification.From August 2017 to May 2022 he served as Deputy General Manager of Guangdong Expressway Development Co. Ltd. during which from May 2019 to August 2021 he was appointed as the First Secretary of the Party Organization in Shanhu Village Jinhe Town Jiexi County JieyangCity.Since May 2022 till now he has served as the Director of Legal Affairs Department of Guangdong Communications Group Co. Ltd. He has been the director of the Company since September 20 2022. He has been the Vice president of Boly Changda Engineering Co. Ltd. Mr. Lu Ming He served as Director and Chief accountant of the Company Graduate degree MBA senior accountant from March 2009 to December 2020 served as the Manager Deputy Business Director and Business Director of the Financial Management Department of Guangdong Communications Group Co. Ltd.and from December 2018 to December 2019 he served as the first secretary of the Party Branch of Yinghuai Management Office of Guangdong Nanyue Communications Longhuai Expressway Management Center. Since December 25 2020 he has served as the Chief Accountant of the Company and since February 3 2021 he has served as a Director of the Company. He also serves as the Vice Chairman of Ganzhou Nankang–Dayu Expressway Co. Ltd. the Company's shareholding company the Director of Guangdong Yueke Science and Technology Microfinance Co. Ltd. the Chairman of Beijing-Zhuhai Expressway Guangzhou-Zhuhai Section Co. Ltd. and Guangdong Guangzhou-Huizhou Expressway Co. Ltd.Ms. Zuo Jiang Deputy General Manager of the Company Graduate degree，Master of Economics Senior 492025 Annual Report Economist Qualified as Legal Adviser of the Enterprise Secretary of the Board of Directors. He has been working in the Company since 1994. He has been the Minister of Securities Affairs of the Company since 1999.He has been the Secretary of the Board of Directors and Director of Securities Affairs Department since March 2006. From October 2015 to July 2016 he was the Deputy General Manager and Secretary of the Board of Directors And Minister of Securities Affairs. Since October 2015 he has been the Deputy General Manager of the Company and hold a concurrent post of Director of Guangdong Yueke Science and Technology Microfinance Co. Ltd. director of Guoyuan Securities Co. Ltd. and General Manager Party branch secretary of Yuegao Capital lnvestment(Guangzhou)Co. Ltd.Mr. Zeng Zhijun economist is a director of the Company with master degree. From June 2010 September 2020 he has served as the deputy chief economist of Guangdong Provincial Expressway Co. Ltd. From September 2015 to August 2021 he has served as Minister of Legal Affairs Department of Guangdong Provincial Freeway Co.Ltd.，Since September 2020 He serves as Minister of personnel resource departmentof Guangdong Provincial Freeway Co.Ltd.，Since December 4 2017 he serves as Director of the Company.Mr. Wu Guijun he is the director of the Company has a bachelor's degree a master's degree in accounting and is a senior accountant. From July 2003 to June 2009 he successively served as the financial staff and financial supervisor of Guangdong Jingtong Highway Engineering Construction Group Co. Ltd. the financial supervisor of the project management department of She Expressway No. 1 project the staff of the financial settlement center of Guangdong Communications Group Co. Ltd. from June 2009 to January 2010 the supervisor of the audit and supervision department and the deputy manager deputy minister and minister of the financial management department from January 2010 to December 2015 in Guangdong Communications Group Co. Ltd. From December 2015 to November 2023 he served as the business supervisor of the financial management department of Guangdong Communications Group Co. Ltd. and has been the chief accountant of Guangdong Highway Construction Co. Ltd. since November 2023. He has been the Director of the Company since May 20 2024.Mr. Yao Xuechang Director of the Company Bachelor Degree MBA Senior Engineer of road and bridge served as the Director and Deputy Secretary of the Party Branch of the Reconstruction and Expansion Project Management Office of the Southern Section of Foshan-Kaiping Expressway from October 2015 to February 2020. From February 2020 to October 2021 he successively served as the Director and Deputy Secretary of the Party Branch of Zhongshan-Jiangmen Expressway Reconstruction and Expansion Management Office Deputy Secretary and Director of the Party Branch of the Reconstruction and Expansion Project Management Office of the Southern Section of Foshan-Kaiping Expressway director and deputy secretary of the Party branch of the Guangzhou-Zhuhai Expressway Reconstruction and Expansion Management Office. Since October 2021 he has served as the Deputy Secretary and Director of the Party Branch of the Reconstruction and Expansion Management Office of the Guangzhou-Zhuhai section of Beijing-Zhuhai Expressway and the Director of the Reconstruction and Expansion Project Management Office of the Southern Section of Foshan- KaipingExpressway.He has been the Director of the Company since September 20 2022.Mr. You Dewei the independent director of the Company with a master's degree in law served as the Senior Partner and Lawyer of Guangdong ZonghengTianzheng Law Firm from June 1997 to January 2019 and as the Supervisor Senior Partner and Lawyer of Guangdong ETR Law Firm since January 2019. Meanwhile he is also a part-time External Director of the supervision enterprise of Guangdong State-owned Assets Supervision and Administration Commission part-time External Director of Guangdong Port and Shipping Group Independent Director of Guangzhou Academy of Building Research Co. Ltd. Independent Director of Guangsheng Nonferrous Metals Co. Ltd. and one of the first batch of 35 mediators in the Mediation Center of Guangdong Lawyers Association Deputy Director of the 11th State-owned Assets Law Committee of 502025 Annual Report Guangdong Lawyers Association Deputy Director of the 12th Compliance and Risk Control Law Committee of Guangdong Lawyers Association Executive Director of China Health Law Society Executive Director of Guangdong Health Law Society Director of Guangdong Law Society's Corporate Compliance Research Society Director of Guangdong Law Society's Medicine and Food Law Research Society Deputy Director of Guangzhou Lawyers Association's Medicine and Health Business Legal Committee an Arbitrator of Shenzhen Court of International Arbitration Arbitrator of Qingyuan Arbitration Committee Member of Guangdong Province's Eighth Five-Year Plan Law Popularization Lecturer Group and Member of Guangzhou Municipal Bureau of Justice's "Warm Enterprise Action" 100-expert Lawyer Legal Service Group. He has been an independent director of the Company since September 20 2022.Mr. Yu Mingyuan has been engaged in research on transportation policies and strategies for a long time.He has made outstanding achievements in the fields of toll road policy and institutional innovation highway management system reform highway operation management transportation economy and new business supervision highway transportation development strategy and planning as well as highway transportation related regulations. He has led more than 40 national and provincial scientific research projects and has led and participated in major special research and the formulation and revision of policies and regulations of the Ministry for multiple times. He has repeatedly interpreted national and industry policies related to transportation on mainstream media such as CCTV. He has won 1 provincial and ministerial level science and technology special prize 4 first prizes 2 second prizes and 5 third prizes; He has published more than 30 papers and articles in various academic journals and newspapers and has successively won the titles of exemplary individual of Spiritual Civilization in the National Transportation Industry and One Hundred Excellent Engineers. He is an expert in the expert database of the National Science and Technology Progress Award an expert in the academic department of the Chinese Academy of Sciences a high-level talent of the Chinese Association for Science and Technology an expert in the expert database of the Ministry of Transport an expert in the PPP expert database of the Ministry of Finance and a member of the expert committee of the China Highway & Transportation Society.Mr. Zhang Renshou is an independent director of the Company. He is a doctoral supervisor a postdoctoral cooperative supervisor an MPACC master's supervisor and an MBA supervisor. He used to be the dean of the College of Modern Industry of Guangzhou University and the dean of the Sino-Canadian School of International Education of Guangzhou University. He is currently a professor of the Department of Accounting of School of Management of Guangzhou University the dean of the Institute of Performance and Strategic Management of Guangzhou University the dean of the South China Institute of Big Data in the Guangdong- Hong Kong-Macao Greater Bay Area and the deputy dean of the Guangdong New Era Career Development Research Institute. He has been an independent director of the Company since December 5 2023.Government agency experts: Expert in the demonstration of major administrative decisions by the Guangzhou Municipal Government; Member of the Expert Group of the Budget Committee of the Guangzhou Municipal People's Congress; Member of the Expert Group of the Economic Commission of the Guangzhou Municipal People's Congress; Expert in Industrial Economic Operation Analysis of Guangdong Province; Social Supervisor in Food Safety of Guangdong Province; Special Researcher of Guangzhou Tax Service State Taxation Administration; Consulting Expert in Major Administrative Decisions of Shaoguan Municipal People's Government; Senior Financial Expert and Industrial Development Consulting Expert of Department of Finance Department of Science and Technology and Department of Industry and Information Technology of Guangdong Province.Academic institution experts: Member of the 8th Committee of the Guangdong Social Sciences Association; President of Guangdong South China Economic Development Research Association; External 512025 Annual Report Member of Guangdong Provincial Bureau of Statistics; Social Supervisor of Guangdong Provincial Food and Drug Safety Supervision Commission; Member of the Academic Committee of Guangdong Local Public Finance Research Center; Member of the Academic Committee of Guangdong Coastal Economic Belt Development Research Center.Mr. Liu Heng Ph.D. doctoral supervisor project expert of the National Foundation and Provincial Department of Science and Technology is strategic consultant of many enterprises etc. From June 2015 to June 2023 he served as an associate professor at Sun Yat-sen University and since June 2023 he has been a professor at Sun Yat-sen University. Since August 2022 he has served as an independent director of Guangdong Zhaoqing Xinghu Biotechnology Co. Ltd. He has been an independent director of the Company since December 5 2023.Mr. Lu Zhenbo Independent Director of the Company Male Ph.D. Since March 2003 he has been serving as an Associate Professor and Doctoral Supervisor at the Intelligent Transportation System Research Center School of Transportation Southeast University and also serves as the Party Branch Secretary. His research directions include smart expressways traffic safety traffic control and green and low-carbon transportation. He serves as an Ecological City Planning and Consulting Expert for the Ministry of Housing and Urban-Rural Development an Information Engineering Consulting Expert for Jiangsu Province an evaluation expert for smart expressways and bridges for the Jiangsu Provincial Department of Transportation and a Transport Consultant for the World Bank. He has published over thirty high-level papers including in SCI-indexed journals and has led more than ten projects funded by the National Science Foundation and at provincial/ministerial levels. He has been awarded the First Prize of Natural Science Progress by the Ministry of Education the First Prize of Scientific and Technological Progress by the China Intelligent Transportation Systems Association and the Second Prize of Scientific and Technological Progress by Jiangsu Province. He has served as an Independent Director of the Company since June 6 2025.Mr. Luo Baoguo Deputy General Manager of the Company Master of Engineering Senior Engineer.From July 1999 to December 2003 he successively served as the Project Chief Engineer Deputy Manager of the Project Department Manager of the Project Management Department Deputy Manager of the Branch Manager of the Operating Contract Department and Employee Supervisor of Guangdong Highway Engineering Construction Group Co. Ltd. From March 2007 to July 2014 he successively served as the Director of the Project Development Office and Director of the Investment Development Department of Guangdong Provincial Expressway Development Co. Ltd. From August 2014 to July 2017 he served as the Director General Manager and Deputy Secretary of the Party Committee of Guangdong Foshan–Kaiping Expressway Co. Ltd.From August 2017 to December 2020 he served as the General Manager (Person in Charge) and Deputy Secretary of the Party Committee of Guangdong Foshan–Kaiping Branch of Guangdong Provincial Expressway Development Co. Ltd. Since December 25 2020 he has served as the Deputy General Manager of the Company. He also served as the chairman of Zhaoqing Yuezhao Highway Co. Ltd. the company's shareholding company the vice chairman of Guangdong Jiangmen-Zhongshan Expressway Co. Ltd. the vice chairman of Shenzhen Huizhou-Yantian Expressway Co. Ltd. and the director of Guangdong Guangzhou- Huizhou Expressway Co. Ltd.Mr. Zhu Qijun Deputy General Manager of the Company holds a master's degree in arts and is a political engineer. From August 2016 to February 2022 he successively served as the secretary of the Party branch the deputy general manager and the chairman of the labor union of the commercial operation and management branch of Guangdong Litong Real Estate Investment Co. Ltd. (after upgrading) during which he concurrently served as the deputy general manager of Guangdong Gaoda Property Development Co. Ltd. and the deputy 522025 Annual Report general manager of Guangdong Litong Property Development Co. Ltd. From February 2022 to May 2022 he served as the director of the planning and marketing center of Guangdong Litong Development and Investment Co. Ltd. From May 2022 to March 2023 he served as the director of the business planning department of Guangdong Urban Transportation Investment Co. Ltd. and Guangdong Litong Development and Investment Co. Ltd. and concurrently served as a director of Guangdong Traffic Engineering Co. Ltd. during the period.He has been the Deputy General Manager of the Company since April 27 2023. Also serves as the chairman and legal representative of the Company's direct subsidiary Guangzhou-Foshan Expressway Co. Ltd.Mr. Zhou Yisan General Counsel of the Company Master of Law corporate lawyer second-class legal adviser of state-owned enterprises has the qualifications of secretary of the board of directors securities futures and funds. From April 2016 to October 2017 he served as Deputy Director of Investment Development Department and Legal Affairs Department of the Company; from October 2017 to now he served as Director of Legal Affairs of the Company; from September 2019 to September 2022 he served as Employee Supervisor of the Ninth Board of Supervisors of the Company; and from September 20 2022 he served as General Counsel of the Company. Meanwhile he also serves as the Director of Beijing-Zhuhai Expressway Guangzhou-Zhuhai Section Co. Ltd. the holding company of the Company Supervisor of Guangdong Yueke Science and Technology Microfinance Co. Ltd. and Director of Guangdong Guangzhou-Huizhou Expressway Co. Ltd.Mr. Yang Hanming he has been the Secretary of the Board， bachelor's degree senior economist corporatelegal adviser with the board secretary qualifications. Since March 2000 he has served in the company as Deputy Director of the Investment Planning Department Director of the Legal Affairs Department and Director of the Investment Development Department.Since August 2017 he has been the Secretary of the Board of the Company vice Chairman of Ganzhou Gankang Expressway Co. Ltd. Director of Guangdong Jiangzhong Expressway Co.ltd. and supervisor of Guangdong Yueke Science and Technology Microfinance Co. Ltd. From September 2019 to August 2023 he served as Minister of Development Dept of the Company. He also serves as the vice Chairman of GangzhouGankang Expressway Co. Ltd. a joint stock company of the Company. and vice chairman of Jingzhu Expressway Guangzhu Section Co. Ltd.The situation where the major shareholder and the actual controller concurrently hold the positions of the chairman and the general manager of the listed company □ Applicable √Not applicable Office taking in shareholder companies √Applicable □Not applicable Names of Expiry Does he /she the Names of the shareholders Titles engaged in the Sharing date of date of receive persons shareholders office term office remuneration or in office term allowance fromthe shareholder Cheng Guangdong Communication Group Minister of Legal Affairs. May 12022 Yes Rui Wu Guangdong Highway Construction Chief accountant November 12023 Yes Guijun Co. Ltd.Beijing-Zhuhai Expressway Yao Guangzhou-Zhuhai section Deputy secretary and director of October 1.2021 Yes Xuechang reconstruction and expansion the Party branch.management Office Zeng Guangdong Provincial Freeway General Counsel Deputy Chief Zhijun Co.Ltd. EconomistDirector of Legal September 12020 YesAffairs Department Notes to post-holding in N/A shareholder’s unit 532025 Annual Report Offices taken in other organizations √Applicable □Not applicable Does he/she Name of Titles receive the Name of other organizations engaged in Starting date of Expiry date of remunerationpersons in the other office term office term or allowance office organizations from other organization Guangdong You Dewei ETR Law Lawyer Yes Firm Guangdong ETR Law Firm Seniorpartner March 12019 June 12023 Yes Guangdong ETR Law Firm ChiefSupervisor June 12022 June `1.2023 Yes Guangdong Province SASAC supervises External July 1 2019 Yes enterprises director Guangdong Hongda Holding Group Co. Independent December 12025 Yes Ltd. (Shenzhen Stock Exchange) director Guangdong Provincial Academy of Independent August 12022 Yes Building Research Group Co. Ltd. director Rising Nonferrous Metals Share Co. Independent ltd. director August 12022 January 12025 Yes China Southern Airlines General Independent December 12022 Yes Aviation Co. Ltd director Zhuhai Rural Commercial Bank Co. Executive June 12023 October 12025 Yes Ltd supervisor The Council of the Health Law Vice Research Association of the Guangdong May 12023 No chairman Provincial Law Society Guangdong Enterprise Federation Vice You March 12023 March 12024 NoGuangdong Entrepreneurs Association chairman Dewei Guangdong Enterprise Federation Doctoral March 12024 Guangdong Entrepreneurs Association supervisor The 11th State-owned Assets Law Professional Committee of Guangdong Vice director March 12017 March 12021 No Lawyers Association The 12th Compliance Risk Control Legal Professional Committee of Vice director April 12022 No Guangdong Lawyers Association Executive China Health Law Society June 12019 No director Guangdong Provincial Law Society of Medicine and Food Law Research Director December 12020 No Association Pharmaceutical and Health Business Legal Professional Committee of Vice director September 12020 September 12024 No Guangzhou Law Association Guangzhou Arbitration Commission Arbitrator November 12024 Yes Shenzhen Court of International Arbitrator March 12019 February 12022 Yes Arbitration Qingyuan Arbitration Commission Arbitrator February 12016 Yes Guangzhou Municipal Bureau of Justice "warm enterprise action" 100 experts Member September 12016 No lawyers legal service Yu Research Institute of Highway Ministry Second-level October 12022 Yes Mingyuan of Transport researcher 542025 Annual Report China Highway Society Investment Executive July 12022 No Branch director Jiangsu Ninghu Expressway Co. Ltd. Independentdirector June 12024 Yes Hubei Chutian Smart Communication Independent director December 12022 YesCo. Ltd.Accounting Department School of Management Guangzhou University Professor February 12004 Yes Counsellors 'Office of Guangdong Special Provincial People's Government researcher July 12024 No Guangdong South China Economic Zhang Development Research Association President October 1 2022 No Renshou Foshan Electrical and Lighting Co. Ltd. Independentdirector October 12021 Yes Beijing Scienkong Technology Co. ltd. Independentdirector October 12024 Yes JRCB Unlisted Company Independent（ ） director December 12018 Yes School of Management Sun Yat-sen Professor July 12011 Yes University Guangdong Zhaoqing Xinghu Liu Heng Independentdirector August 12022 YesBiotechnology Co. Ltd Tianyu Digital Technology Group Co. Independent director October 12025 YesLtd.Nanjing Ruiqi Intelligent Transportation Shareholder January 12019 Lu Industry Research Institute Co. Ltd.Zhenbo Jiangsu Zhitong Transportation Shareholder January 12012 No Technology Co. Ltd.Description of employment in other units N/A Punishments to the current and leaving board directors supervisors and senior managers during the report period by securities regulators in the recent three years □ Applicable √Not applicable 3. Remuneration to directors supervisors and senior executives Decision-making procedures basis for determination and actual payment of the remuneration to directors supervisors and senior executives （1）Director remuneration The remuneration of members of the Tenth board of directors and supervisory committee was examined and determined at the second provisional shareholders’ general meeting in 2022. 1.Non-independent directors are not entitled to directors' remuneration. 2.Independent directors are entitled to directors' remuneration，Directors who have not held other positions in the Company and the controlling shareholder of the Company and its related parties are remunerated by the directors of the Company and the standard is RMB 8000 (tax included) per person per month. In addition the expenses incurred by the independent directors at the board of directors and the shareholders' general meeting and the expenses incurred in exercising their functions and powers in accordance with the articles of association may be reimbursed in the company. （2）Remuneration of Senior Managers The remuneration distribution plan for senior managers is formulated in accordance with the Company's Measures for the Management of Remuneration of Managerial Members (Trial) Measures for Remuneration Management (Trial) and Measures for the Management of Incremental Incentive Remuneration Distribution (Trial) and has been approved by the Company's Party Committee General Manager's Office Meeting and Board of Directors. 552025 Annual Report Remuneration to directors supervisors and senior executives in the reporting period In RMB 10000 Total Whether to get Name Sex Age Positions Office status remuneration paid in thereceived from company the Company related party Secretary of the Party Miao Deshan Male 54 Committee In Office 80.89 No Board Chairman Director Cheng Rui Male 51 Deputy Secretary of the In Office Yes Party Committee Lu Ming Male 47 Director Chief Accountant In Office 70.23 No Zuo Jiang Female 53 Director Deputy GeneralManager In Office 68.08 No Zeng Zhijun Male 55 Director In Office 0 Yes Yao Yuechang Male 54 Director In Office 0 Yes Wu Guijun Male 47 Director In Office 0 Yes You Dewei Male 57 Independent director In Office 9.6 No Yu Mingyuan Male 63 Independent director In Office 9.6 No Zhang Renshou Male 60 Independent director In Office 9.6 No Liu Heng Male 42 Independent director In Office 9.6 No Lu Zhenbo Male 50 Independent director In Office 5.6 No Luo Baoguo Male 52 Deputy General Manager In Office 70.27 No Zhu Qijun Male 43 Deputy General Manager In Office 67.05 No Yang Hanming Male 56 Secretary to the Board In Office 60.94 No Zhou Yisan Male 45 Chief legal adviser In Office 61.36 No Wu Hao Female 53 Director Dimission 0 Yes Zeng Xiaoqing Female 56 Independent director Dimission 4 No Total -- -- -- -- 526.82 -- The assessment basis comprises the Company's Management System for Term- Assessment Basis for Remuneration Actually based and Contractual Management of Managerial Members Performance Received by All Directors and Senior Appraisal System for All Employees and Measures for the Management of Managers at the End of the Reporting Period Incremental Incentive Remuneration Distribution (Trial).Assessment Completion Status for The assessment work has been completed in accordance with the Company's Remuneration Actually Received by All Management System for Term-based and Contractual Management of Managerial Directors and Senior Managers at the End of Members Performance Appraisal System for All Employees and Measures for the the Reporting Period Management of Incremental Incentive Remuneration Distribution (Trial).Deferred Payment Arrangements for The deferred payment status for remuneration received by senior managers at the Remuneration Actually Received by All end of the reporting period is as follows: The 2023 annual incremental incentive Directors and Senior Managers at the End of bonus is payable over two years with 70% paid in 2024 and 30% paid in 2025.the Reporting Period Claw back and Withholding Situations for Remuneration Actually Received by All No such situation existed at the end of the reporting period.Directors and Senior Management at the End of the Reporting Period Other □Applicable□Not applicable V. Performance of directors' duties during the reporting period 1. Information of the board meetings during the reporting period Attendance of directors at the board meetings and the general meeting of shareholders 562025 Annual Report Number of Number of board Number of board Number of Whether to meetings board meetings board Number of attend the GeneralName of director attended meetings attended by meetings board board meetings of during the attended in means of attended by meetings meeting in shareholders reporting person communicati proxy absent from person twice attended period on in a row Miao Deshan 9 4 5 0 0 No 3 Lu Ming 9 4 5 0 0 No 3 Zuo Jiang 9 4 5 0 0 No 3 Cheng Rui 9 3 6 0 0 No 3 Zeng Zhijun 9 4 5 0 0 No 3 Wu Guijun 9 4 5 0 0 No 3 Yao 9 2 7 0 0 No 3 Xuechang You Dewei 9 3 6 0 0 No 3 Yu 9 2 7 0 0 No 3 Mingyuan Zhang 9 2 7 0 0 No 3 Renshou Liu Heng 9 2 7 0 0 No 3 Lu Zhenbo 5 0 5 0 0 No 2 Wu Hao 8 1 7 0 0 No 3 Zeng 4 0 4 0 0 No 1 Xiaoqing Explanation of failure to attend the board meeting in person twice in a row None 2. Directors' objections to related matters of the Company Whether the director raises any objection to the relevant matters of the Company □ Yes √ No During the reporting period the directors did not raise any objection to the relevant matters of the Company. 3. Other descriptions of directors' performance of duties Whether the directors' suggestions on the Company have been adopted √Yes □ No The director's statement on whether the relevant suggestions of the Company have been adopted or not During the reporting period all the directors of the Company diligently performed the duties entrusted by the general meeting of shareholders carefully evaluated and considered the Company's operation management investment corporate governance and other matters actively proposed scientifically discussed and collectively made decisions in the board meeting and put forward multiple suggestions that meet the Company's development needs at the present stage which were adopted by the Company in the form of resolutions of the Board of Directors. 572025 Annual Report VI. Situation of special committees under the Board of Directors during the reporting period Committee Number of Other Member information meetings Convening Meeting content Put forward important opinions and information Details of name convened date suggestions of duty objections performance (if any) Listened to the accountants' report on the Conducted consultation and audit plan for Guangdong Expressway's communication regarding the details of the 2024 financial reports including the audit January audit plan and proposed suggestions for scope audit personnel audit work 92025 modification as well as requirements for schedule changes in accounting policies rigorous and timely completion of the accounting estimates key audit matters audit.and significant prior period matters. 1. Reviewed the draft of the 2024 annual audit report raised inquiries concerning 1. Listened to the accountants responsible focus areas such as accounts receivable and for the annual audit report on the audit R&D expenses; 2. Reviewed and approved status of Guangdong Expressway's 2024 the 2024 Internal Control Evaluation financial reports including key financial Report of Guangdong Provincial statement data financial ratios key audit Expressway Development Co. Ltd. and matters and responses; 2. Reviewed and agreed to submit it to the Board of approved the 2024 Internal Control Chairman of the Directors for deliberation; 3. Reviewed and February Evaluation Report of Guangdong Audit committee:Zhang approved the Proposal on the <2024 9 202025 Provincial Expressway Development Co. Committee Renshou Member: Internal Audit Work Report> and <2025 Ltd.; 3. Reviewed and approved the You Dewei Liu Heng Internal Audit Work Plan> and agreed to Proposal on the <2024 Internal Audit submit it to the Board of Directors for Work Report> and <2025 Internal Audit deliberation; 4. Reviewed and approved the Work Plan>; 4. Reviewed and approved 2025 Internal Control Evaluation Work the 2025 Internal Control Evaluation Plan of Guangdong Provincial Expressway Work Plan of Guangdong Provincial Development Co. Ltd. and agreed to Expressway Development Co. Ltd.submit it to the Board of Directors for deliberation. 1. Listened to the financial information in 1. Reviewed and approved the 2024 the Company's 2024 Annual Report and Annual Report and the 2024 Annual Audit the 2024 Annual Audit Report reviewed Report and agreed to submit them to the February and approved the Company's 2024 Board of Directors for deliberation. 2. 242025 Annual Report and 2024 Annual Audit Reviewed and approved the Report on the Report; 2. Reviewed and approved the Evaluation of the Accounting Firm's 2024 Report on the Evaluation of the Performance and the Fulfillment of Accounting Firm's 2024 Performance and Supervision Duties and agreed to submit it 582025 Annual Report Other Committee Number of Convening Put forward important opinions and information Details of name Member information meetings Meeting contentconvened date suggestions of duty objections performance (if any) the Fulfillment of Supervision Duties. to the Board of Directors for deliberation.Listened to the Proposal on the covering reviewed and approved the Tender April aspects such as the selection background Document for the Selection of the 2025 142025 service content service term and fees Annual Audit Institution for Guangdong selection method as well as the selection Provincial Expressway Development Co.procedures and content of the tender Ltd.document. 1. Further inquired about the impact of this accounting estimate change on the Company's operating results; changes in depreciation lives. Upon deliberation agreed to the Proposal on Accounting Estimate Changes considering that this change complies with the Accounting Standards for Business Enterprises No. 28 - Accounting Policies Changes in Accounting Estimates and Corrections of Accounting Errors promulgated by the 1. Reviewed and approved the Proposal Ministry of Finance and the relevant on Accounting Estimate Changes; 2.provisions of the Shenzhen Stock April Reviewed and approved the 2025 Q1 Exchange. There is no situation of 272025 Financial Report and the 2025 Q1 Report manipulating financial indicators such as of Guangdong Provincial Expressway profits or owners' equity by utilizing Development Co. Ltd.changes in accounting policies and accounting estimates. Agreed to submit the Proposal on Accounting Estimate Changes to the Board of Directors for deliberation. 2. Further inquired about the reasons for the change in the Company's operating income for Q1 of 2025; and suggested the Company deploy AI locally to analyze the Company's financial status. Upon deliberation agreed to the Company's 2025 Q1 Financial Report and 2025 Q1 Report 592025 Annual Report Other Committee Number ofMember information meetings Convening Meeting content Put forward important opinions and information Details of name convened date suggestions of duty objections performance (if any) and agreed to submit the 2025 Q1 Report to the Board of Directors for deliberation.Upon deliberation the Company's change of accounting firm this time complies with the provisions of the Measures for the Administration of Selection of Accounting Firms by State-owned Enterprises and Listed Companies (CK [2023] No. 4) issued by the Ministry of Finance the State-owned Assets Supervision and Administration Commission of the State Council and the China Securities 1. Listened to the Company's 2025 Audit Regulatory Commission. Guangdong Institution Selection Bid Evaluation Zhongzhixin Certified Public Accountants Report covering the bid evaluation status Firm (Special General Partnership) for the 2025 audit institution selection possesses the relevant qualifications for the tendering and bid opening process the conducting audit business for listed May review status and the bid evaluation companies adheres to the professional 192025 results; Reviewed and approved the standards of independence objectivity and Proposal on Engaging the Audit integrity has the experience and capability Institution for the 2025 Financial Reports; to provide audit services for listed 2. Reviewed and approved the Proposal companies can meet the Company's needs on Engaging the Audit Institution for the for the 2025 financial report and internal 2025 Internal Control Audit. control audits and can independently audit the Company's financial status. It agreed to engage Guangdong Zhongzhixin Certified Public Accountants Firm (Special General Partnership) as the Company's financial report audit institution and internal control audit institution for 2025 and agreed to submit the above two proposals to the Board of Directors and the General Meeting of Shareholders for deliberation.Reviewed and approved the Company's Further inquired about the reasons for the August 2025 Semi-Annual Financial Report the decrease in operating income the issue of 212025 2025 Semi-Annual Report and its R&D expense super deduction and the risk 602025 Annual Report Number of OtherCommittee Convening Put forward important opinions and information Details of name Member information meetings date Meeting contentconvened suggestions of duty objections performance (if any) summary. control of accounts receivable in the 2025 Semi-Annual Financial Report. Upon deliberation agreed to the Company's 2025 Semi-Annual Financial Report the 2025 Semi-Annual Report and its summary and agreed to submit them to the Board of Directors for deliberation.Further inquiried regarding the 2025 Third Quarter Report: reasons for the decrease in operating income and countermeasures; reasons for the increase in total assets; reasons for the increase in cash received from other operating activities and suggestions for full utilization to increase Reviewed and approved the Company's returns; suggestions that the year-on-year October 2025 Q3 Financial Report and the 2025 increase/decrease descriptions in key 212025 Q3 Report. accounting data and financial indicators should be clearer; inquired about the impact of changes in the share price of China Everbright Bank on the Company's operating results. Upon deliberation agreed to the Company's 2025 Q3 Report and agreed to submit it to the Board of Directors for deliberation.Reviewed and approved the Proposal on Agreed to the Company's Five-Year Plan the Five-Year Plan for Internal Audit for Internal Audit Work of Guangdong December Work of Guangdong Provincial Provincial Expressway Development Co. 262025 Expressway Development Co. Ltd. Ltd. (2026-2030) and agreed to submit it (2026-2030). to the Board of Directors for deliberation. Reviewed and approved the Proposal on Agreed to the proposal and agreed to February the 2024 Remuneration Distribution Remuneration Chairman of the submit it to the Company's Board of242025 Results for the Company's Leadership and Committee：You Directors for deliberation. 4 Team. Assessment Dewei Member: Liu Committee Heng. Reviewed and approved the Proposal on Agreed to the proposal and agreed toApril the 2025 Operational Management Target submit it to the Company's Board of 272025 Responsibility Letter for Members of the Directors for deliberation. 612025 Annual Report Number of OtherCommittee Member information meetings Convening Meeting content Put forward important opinions and information Details of name date suggestions of duty objectionsconvened performance (if any) Company's Management.Reviewed and approved the Proposal on Revising the the Agreed to the proposal and agreed to August Proposal on the 2024 Term-based and submit it to the Company's Board of 212025 Contractual Management Assessment Directors for deliberation.Results for Members of the Company's Management and the Proposal on Disbursing Outstanding Awards for the 2024 Term-based and Contractual Management Assessment for Members of the Company's Management.Reviewed and approved the Proposal on the Assessment Results for the Previous Term (January 1 2021 – September 20 2022) of Leadership Team Members Not Agreed to the proposal and agreed to December Included in Term-based and Contractual submit it to the Company's Board of 252025 Management and the Proposal on Directors for deliberation.Deliberating the 2025 Total Payroll Budget Allocation Plan of Guangdong Expressway.Agreed to the Company's 2024 Chairman of the Development Strategy and Plan Reviewed the Company's 2024 Committee：Miao Implementation Status and 2025 Work Strategy February Development Strategy and Plan Deshan Member : 1 Plan. The proposal objectively reflects the Committee 242025 Implementation Status and 2025 Work Yu Mingyuan Liu relevant circumstances of the Plan.Heng Zeng Xiaoqing implementation of the Company's development plan in 2024.Chairman of the Reviewed the Proposal on the 2025 Risk Upon review it was considered that: 1. The Risk Committee：Zhang December Assessment Results and the Proposal on assessment results objectively reflect theManagement 1 Renshou Member : 252025 <2025 Comprehensive Risk Management Company's current risk status; 2. The 2025 Committee Miao Deshan You and Internal Control Work Summary and Comprehensive Risk Management and 622025 Annual Report Other Committee Number of Convening Put forward important opinions and information Details of name Member information meetingsconvened date Meeting content suggestions of duty objections performance (if any) Dewei 2026 Work Plan of Guangdong Provincial Internal Control Work Summary and 2026 Expressway Development Co. Ltd.>. Work Plan of Guangdong Provincial Expressway Development Co. Ltd.objectively reflects the status of the Company's risk control management work in 2025.Reviewed the undertaking of special Upon review agreed to undertake special April contract compliance matters within the contract compliance matters within the 272025 framework of compliance framework of compliance standardization.standardization.Chairman of the Compliance Committee You Reviewed the Compliance Management： 2 Committee Dewei Member: Yu System Internal Audit Plan of Guangdong Mingyuan Wu Hao. Provincial Expressway Development Co.August Upon review agreed to the Internal Audit Ltd. and the Management Review Plan 212025 Plan and the Management Review Plan. for Compliance Management System of Guangdong Provincial Expressway Development Co. Ltd. 632025 Annual Report VII.The working status of the Audit Committee The Audit Committee finds out whether the company has risks during the monitoring activities during the reporting period □ Yes √ No The Audit Committee has no objection to the supervision matters during the reporting period.VIII. Particulars about employees. 1.Number of staff professional structure and educational background Number of in-service staff of the parent company(person) 109 Number of in-service staff of the main subsidiaries(person) 2920 The total number of the in-service staff(person) 3029 The total number of staff receiving remuneration in the current period(person) 3015 Retired staff with charges paid by the parent company and main subsidiaries (person) 230 Professional Category Number of persons（person） Operating personnel 2420 Sale personnel 0 Technology Personnel 429 Financial personnel 72 Management personnel 108 Total 3029 Education Category Number of persons（person） Holders of master’s degree or above 81 Graduates of regular university 812 Graduates of junior colleges 1619 Other 517 Total 3029 2. Remuneration policies Guangdong Expressway adheres to the principle of efficiency-orientation efficiency and fairness and combination of incentives and constraints with positive incentives and focus on long term. According to national laws regulations and policies it establishes an annual salary system for the assessment of enterprise leaders and a performance-based salary system for management personnel and adopts a total salary budget to be included in comprehensive budget management. According to the interrelated performance contributions of labor management and skills employee salaries are closely linked with personal performance and enterprise benefits.The Company provides various benefits that comply with laws and regulations. Employees are entitled to various benefits such as social insurance enterprise annuity supplementary medical care and trade union mutual aid insurance to ensure that employees share the fruits of development and stimulate their work enthusiasm. 3.Training plan Each business department organizes employees to participate in the business post training organized by the competent department of industry and social professional training institutions according to the employee job 642025 Annual Report characteristics employee job performance and industry development trend of the department. In order to help enterprises develop with high quality and efficiently complete the task of state-owned enterprise reform it is planned to carry out special training on state-owned enterprise reform; in order to improve employees' working satisfaction it is planned to carry out special training on employees' mental health and physical health care. Carry out continuing education and training for professional and technical personnel. Carry out various training activities such as special education and incorruption education in cooperation with the party and the masses supervision and examination etc. 4.Outsourcing situation □ Applicable √ No Applicable IX. Specification of profit distribution and capitalizing of common reserves Formulation implementation or adjustment of the profit distribution policy especially the cash dividend policy during the reporting period √Applicable □ Not applicable On March 16 2024 the Company disclosed the Shareholder Return Plan for the Next Three Years (2024- 2026) which stipulates that absent any major investment plans or significant cash expenditure events the Company shall distribute dividends in cash each year and the cash dividends distributed for the 2024-2026 period shall satisfy the condition that "the profit distributed in cash each year shall not be less than seventy percent of the net profit attributable to the owners of the parent company as reported in the consolidated statements for that year".During the reporting period the Company implemented the 2024 profit distribution plan allocating RMB 1093491603.90 as dividends for the 2024 distribution representing 70.00% of the 2024 consolidated net profit attributable to owners of the parent company which amounted to RMB 1562122219.95.Special Explanation of Cash Dividend Policy Whether it complies with the provisions of the Company's Articles of Association or the Yes requirements of shareholders' meeting resolutions: Whether the dividend standards and ratios are clear and explicit: Yes Whether the relevant decision-making procedures and mechanisms are complete: Yes Whether the independent directors fulfilled their duties and played their due roles: Yes If the Company did not distribute cash dividends the specific reasons should be The Company distributed cash disclosed as well as the measures to be taken next to enhance investor returns: dividends.Whether minority shareholders have adequate opportunities to express their opinions and Yes demands and whether their legitimate rights and interests are fully protected: If the cash dividend policy is adjusted or changed whether the conditions and procedures The Company's cash dividend policy has are compliant and transparent: not been adjusted or changed.During the reporting period the Company made a profit and the profit available to shareholders of the parent company was positive but no cash dividend distribution plan was put forward.□ Applicable √ Not applicable Profit distribution and capitalization of capital reserve during the reporting period √ Applicable □ Not applicable Bonus shares for every ten shares(Shares) 0 Cash dividend for every ten shares (Yuan)(Tax-included) 6.04 A total number of shares as the distribution basis(shares) 2090806126 Cash dividend amount (yuan including tax 1262846900.10 652025 Annual Report Other means (such as repurchase of shares) cash dividend amount (yuan) 0.00 Total cash dividend (yuan including tax) 1262846900.10 Distributable profit(yuan) 6299201032.26 The proportion of the total cash dividend (including other 100% means) in the total profit distribution Proportion of cash dividend in the distributable profit The Company is in a fast growth stage there for the cash dividend will reach 80% of the profit distribution at least. Cash dividend distribution policy.Details of profit distribution or reserve capitalization Preplan 1. Limited to 10% of the registered capital of the Parent company the net profit of the company i.e. 181357579.04 yuan is to be allocated for statutory common reserve fund； 2.The profit for 2025 is to be distributed as follows: 1262846900.10 yuan. is to be allocated as the fund for dividend distribution for 2025. with the total shares at the end of 2025 i.e.2090806126 shares as the base cash dividend of 6.04 yuan (including tax) is to be distributed for every 10 shares .The remaining undistributed profits are to be carried forward to the next year. The foreign exchange translation of the cash dividends for shareholders holding B share and overseas corporate shares will be determined according to HKD:RMB bank’s Middle rate quoted by People’s Bank of China on the first working day after 2025 annual shareholders’ general meeting makes resolution on dividend distribution.X. Implementation Situation of Stock Incentive Plan of the Company Employee Stock Ownership Plan or Other Employee Incentive Measures □Applicable √ Not applicable None XI. Construction and implementation of internal control system during the reporting period 1. Construction and implementation of internal control The Company has established a sound corporate governance structure with clear responsibilities of general meeting of shareholders Board of Directors Board of Supervisors and management established corporate governance rules centered by the Articles of Association rules of procedure of general meeting of shareholders Board of Supervisors Board of Directors and specialized committees there under standardized operation of general meeting of shareholders Board of Directors and Board of Supervisors held and convened relevant meetings in accordance with the provisions of the Company Law and the Articles of Association and reached legal and valid resolutions. The general meeting of shareholders is the highest authority of the Company; the Board of Supervisors is responsible for the general meeting of shareholders and the supervision of directors and management to perform their duties according to law is sound and effective. The Board of Directors shall be responsible to the general meeting of shareholders and exercise the business decision-making power according to law. It is provided with an Audit Committee the independent directors meet the quorum and the decision-making procedures and management rules of procedure of the Board of Directors are scientific and transparent; the management is efficient and rigorous in implementing the resolutions of the Board of Directors.The Company has set up 11 functional departments including Investment Development Department Human Resources Department Financial Management Department Infrastructure Management Department Operation and Management Department Discipline Inspection and Audit Department Securities Affairs Department Comprehensive Affairs Department Legal Affairs Department and PartyDepartment of Work Safety Supervision and Administration and Mass Work Department. The distribution of powers and responsibilities and business processes of all functional departments are clear and reasonable forming a working mechanism of duty performance responsibility shouldering mutual restriction and coordination. The Company has established a perfect control system for parent-subsidiary companies and formed a sound internal control system for each 662025 Annual Report subsidiary company. Meanwhile the Company has established and improved rules and regulations related to risk assessment fraud risk control information and communication and maintained effective internal control.The Company has set up an Audit Committee under the Board of Directors to supervise the effective implementation of the Company's internal control and self-evaluation of internal control. The Company has set up the Discipline Inspection and Audit Department which is responsible for supervising the establishment and operation of the Company's internal control system evaluating the Company's risk control and evaluating the effectiveness of the Company's internal control. It has defined the standards of internal control defect identification rectification procedures and internal control self-evaluation procedures and formed an effective internal control supervision system. 2.Details of major internal control defects found during the reporting period □ Yes √ No XII. Management and control of the Company's subsidiaries during the reporting period There are abnormal circumstances in the management and control of the subsidiaries.□Yes□No XIII. Internal control self-evaluation report or internal control audit report 1.Self-evaluation report on internal control Disclosure date of appraisal report on internal control March 142026 Disclosure index of appraisal report on internal control www.cninfo.com.cn The ratio of the total assets of units included in the scope of evaluation accounting for the total assets on the 100.00% company's consolidated financial statements The ratio of the operating income of units included in the scope of evaluation accounting for the operating income on 100.00% the company's consolidated financial statements Standards of Defects Evaluation Type Financial Report Non-financial Report The qualitative criteria for the evaluation The qualitative criteria for the evaluation of internal control deficiencies in of internal control deficiencies in non- financial reports confirmed by the financial reports confirmed by the Company is as follows: The following Company is as follows: Material situations (including but not limited to) deficiencies: serious violations and beingshall be deemed as “material sentenced to heavy fines or need takingdeficiencies” in the internal control of criminal responsibility; utterly disregard the financial report.(1) There are major the rules of law illegal behaviors in the frauds made by the directors or operation and management are Qualitative standard supervisors or senior management particularly severe and the circumstancepersonnel in the company’s management is very bad which leads to the activities;(2)There are material suspension or cessation to the company's misstatements in the current financial daily operation and management report but the internal control failed to activities and leads to the audit report find the misstatements during its with a disclaimer of opinion or a operation;(3) The supervisions made by negative opinion issued by the CPA; the the company's audit committee and the negative news spread all over the internal audit organization on the internal country which caused severe damage to control are invalid;(4) The control the company’s reputation; resulted in environment is invalid;(5)The material decease of a number of workers or 672025 Annual Report deficiencies found and reported to the citizens or resulted in damages that are management but are not corrected within unable to recover to workers or citizens; a reasonable time;(6)There is an reached the circumstance(grade II) of administrative punishment from the major environmental event. Significant securities regulatory deficiencies: illegal and being punished; institution due to accounting errors. disregard the requirements of the The following situations (including but company’s management system and the not limited to) shall be deemed as relevant rules of law there are illegal “significant deficiencies” in the internal acts of using the authority to seek illegal control of the financial report and interests in the workwhich significantly there are intense signs for the situations affect the efficiency and the result of becoming “material deficiencies”: (1) daily operation and management Frauds made by staff in key activities and lead to the audit report with positions;(2)The supervisory function on qualified opinion issued by the CPA; the compliance is invalid and the violations negative news spread in a region which of regulations may have a significant caused the large-extent damage to the impact on the reliability of the company’s reputation; resulted in financialreport;(3)The significant decease of a worker or a citizen or deficiencies reported to the management resulted in damages that need long time but are not to recover to workers or citizens; corrected within a reasonable period. reached the circumstance(grade Ⅲ) of The following situations (including but big environmental event. General not limited to) shall be deemed as deficiencies: minor violations; the “general deficiencies” in the internal awareness of management under in control of the financial report.(1) Frauds compliance with laws and regulations is made by staff in non key positions or weak lacking of business and business operators execute the management knowledge and there are implementation procedures not strictly phenomena such as being slack in conforming to the company’s policy but performing management duties being resulted in no significant impact on the passive and poorly execute the institution reliability of the financial report. (2)The in the work which shall affect the supervisory function on compliance is efficiency and the result of daily invalid and the violations of regulations operation and management activities and may not have a significant impact on the lead to small effects to the company’s reliability of the financial report;(3)The management goal; the negative news general deficiencies reported to the spread within the company which management but are not corrected within caused the little-extent damage to the a reasonable period. company’s reputation; shortly affected the health of the workers or citizens and the workers or citizens can be recovered in a short time; reached the circumstance(grade Ⅳ) of general environmental event.The qualitative criteria for the evaluation The qualitative criteria for the evaluation of internal control deficiencies in of internal control deficiencies in financial reports confirmed by the financial reports confirmed by the Company is as follows: Material Company is as follows: Material deficiencies: potential misstatement≧1% deficiencies: potential misstatement≧1% of the total amount of the of the total amount of the owner’s equity or RMB 200 million; owner’s equity or RMB 200 million; significant deficiencies: 0.5% of the total significant deficiencies: 0.5% of the total Standards of Quantization amount of the owner’s equity or RMB amount of the owner’s equity or RMB 100 million≤potential misstatement＜1% 100 million≤potential misstatement＜1% of the total amount of the owner’s equity of the total amount of the owner’s equity or RMB 200 million; general or RMB 200 million; general deficiencies: potential misstatement＜ deficiencies: potential misstatement＜ 0.5% of the total amount of the owner’s 0.5% of the total amount of the owner’s equity or RMB 100 million Standards of equity or RMB 100 million Standards of Quantization Quantization Number of major defects in financial reporting 0（a） Number of major defects in non financial reporting (a) 0 Number of important defects in financial reporting（a 0） 682025 Annual Report Number of important defects in non financial reporting 0（a） 2. Internal Control audit report √ Applicable □Not applicable Review opinions in the internal control audit report In our opinion Guangdong Expressway has maintained effective financial report internal control in all material aspects according to the basic standards for Enterprise internal control and relevant regulations ended December 31 2025.Disclosure of internal audit report Disclosure Disclosure date of audit report of internal control March 142026 Disclosure index of audit report of internal control (full-text) Unqualified audit opinion Internal audit report’s opinion No Non-financial reporting has material deficiencies No Has the CPAs issued a qualified auditor’s report of internal control .□ Yes √No Does the internal control audit report issued by the CPAs agree with the self-assessment report of the Board of Directors √Yes □No Whether an unqualified audit opinion on internal control was issued during the reporting period or the previous year □ Yes √No XIV. Rectification of self-examination problems in special governance actions of listed companies None.XV. Environmental information disclosure Whether the listed companies and their main subsidiaries are included in the list of enterprises that disclose environmental information according to law □Yes □No XVI. Social responsibility For details of CSR work please refer to the "2024 EnvironmentalSustainable Development Report of Guangdong Provincial Expressway Development Co. Ltd" disclosed on Cninfo Information Network (www.cninfo.com.cn) on March 14 2026 XVII. Consolidate and expand the achievements of poverty alleviation and rural revitalization None 692025 Annual Report V. Important Events I. Commitments to fulfill the situation 1.The fulfilled commitments in the reporting period and under-fulfillment commitments by the end of the reporting period made by the company shareholder actual controller acquirer director supervisor senior management personnel and other related parities.√Applicable □Not applicable Time of making Period of commitment Fulfillment Commitment Commitment maker Type Contents commitment 1. The explanations commitment and information provided by the Company for this transaction are authentic accurate and complete and there are no false records misleading statements or major omissions. 2. The information provided by the Company to the intermediaries that provide professional services such as auditing evaluation legal and financial consulting for this transaction is authentic accurate and complete original written Commitment on information or duplicate information and the authenticity duplicate or photocopy of the information isCommitment Guangdong accuracy and consistent with its original information or Novemberon share completeness of original copy; The signatures and seals of all 25 Permanently effective Normal Expressway reform the information documents are authentic and the legal 2020 performance provided procedures required for signing and sealing havebeen fulfilled and legal authorization has been obtained; There are no false records misleading statements or major omissions. 3. The Company guarantees that it will provide timely information about this transaction in accordance with relevant laws and regulations relevant regulations of China Securities Regulatory Commission and Shenzhen Stock Exchange ensure the authenticity accuracy and completeness of such information and guarantee that there are no false records 702025 Annual Report Time of making commitment Period of commitment FulfillmentCommitment Commitment maker Type Contents misleading statements or major omissions. 4.The Company shall bear individual and joint legal responsibilities for the authenticity accuracy and completeness of the information provided or disclosed for this exchange. In case of any loss caused to investors due to violation of the above commitments the Company will bear corresponding liability for compensation according to law. 1. The explanations commitment and information provided by the Promisee for this transaction are authentic accurate and complete and there are no false records misleading statements or major omissions. 2. The information provided by the Promisee to the intermediaries that provide professional services such as auditing evaluation legal and financial consulting for this transaction is authentic accurate and complete original written information or duplicate information and the duplicate or photocopy of the information is All directors Commitment on consistent with its original information or supervisors and senior authenticity original copy; The signatures and seals of all management accuracy and documents are authentic and the legal November personnel of completeness of procedures required for signing and sealing have 25 Permanently effective Normal Guangdong the information been fulfilled and legal authorization has been 2020 performance Expressway provided obtained; There are no false records misleadingstatements or major omissions. 3. The Promisee guarantees that it will provide timely information about this transaction in accordance with relevant laws and regulations relevant regulations of China Securities Regulatory Commission and Shenzhen Stock Exchange ensure the authenticity accuracy and completeness of such information and guarantee that there are no false records misleading statements or major omissions. 4. If this transaction is suspected of false records misleading statements or major omissions in the information provided or disclosed and is put on 712025 Annual Report Time of making commitment Period of commitment FulfillmentCommitment Commitment maker Type Contents file for investigation by judicial organs or by China Securities Regulatory Commission the transfer of its shares with interests in the listed company will be suspended until the investigation conclusion of the case is obtained. 5. The Promisee shall bear individual and joint legal responsibilities for the authenticity accuracy and completeness of the information provided or disclosed for this exchange. In case of any loss caused to investors due to violation of the above commitments the Promisee will bear corresponding liability for compensation according to law. 1. I promise not to transfer benefits to other units or individuals without compensation or under unfair conditions nor to damage the interests of the Company by other means. 2. I promise to restrain my job consumption behavior. 3. I promise not to use the assets of the Company to engage in any investment and consumption activities unrelated to my duties. 4.I promise that the salary system formulated by All directors the Board of Directors or the Remuneration supervisors and senior Commitment on Committee of Guangdong Expressway will be management filling measures to linked with the implementation of the reward November Normal personnel of dilute immediate filling measures of Guangdong Expressway. 5. 25 Permanently effective performance Guangdong reward If Guangdong Expressway plans to implement 2020 Expressway equity incentive I promise that the exercise conditions of equity incentive of Guangdong Expressway to be announced will be linked with the implementation of the reward filling measures. 6. In case of any loss caused to Guangdong Expressway or its shareholders due to violation of the above commitments or refusal to perform the above commitments I will bear corresponding compensation responsibilities according to law.Guangdong Commitment on 1. The Company and its holding subsidiaries This letter of commitment is valid from the Provincial Freeway avoiding will not use the controlling shareholder's June date of signing to the date when the Normal Co.Ltd. horizontal holding relationship with Guangdong 262015 Provincial Expressway is no longer performance 722025 Annual Report Time of making Commitment Commitment maker Type Contents commitment Period of commitment Fulfillment competition Expressway to conduct business activities that controlled by the controlling shareholder of harm the legitimate rights and interests of Guangdong Expressway Guangdong Expressway its minority shareholders and its holding subsidiaries. 2. The Company and its holding subsidiaries will not use the information obtained from Guangdong Expressway and its holding subsidiaries to engage in the main business competing with Guangdong Expressway or its holding subsidiaries and will not engage in any acts or activities that damage or may damage the legitimate rights and interests of Guangdong Expressway its minority shareholders and its holding subsidiaries. 3. If the Company and its holding subsidiaries transfer any toll roads bridges tunnels and related ancillary facilities or rights invested or managed by the Company to a company other than Guangdong Communications Group Co. Ltd. and the company directly or indirectly controlled by it Guangdong Expressway will be entitled to the preemptive right under the same conditions unless the transferee is explicitly designated by the relevant government authorities under the premise permitted by relevant laws and regulations. 4. In the future if the Company and its holding subsidiaries invest in the construction of expressways parallel to or in the same direction within 20 km from each side of the expressway controlled by Guangdong Expressway Guangdong Expressway will enjoy the priority of investment over Guangdong Communications Group Co. Ltd. and its directly or indirectly controlled companies except Guangdong Expressway and its holding subsidiaries except for the projects whose investment entities are clearly designated by the relevant government authorities under the premise permitted by relevant laws and regulations. 732025 Annual Report Time of making commitment Period of commitment FulfillmentCommitment Commitment maker Type Contents The Company will not damage the independence of Guangdong Expressway due to the increase of shares held by the Company after the completion of this major asset restructuring and will continue to maintain the principle of separation from Guangdong Expressway in Guangdong Commitment on terms of assets personnel finance organization This letter of commitment is valid from the Provincial Freeway maintaining the and business and strictly abide by the relevant June date of signing to the date when the Normal Co.Ltd. independence of regulations of China Securities Regulatory 262015 Provincial Expressway is no longer listed companies Commission on the independence of listed controlled by the controlling shareholder of performance companies and will not use Guangdong Guangdong Expressway Expressway to provide guarantees nor occupy Guangdong Expressway funds illegally so as to maintain and protect the independence of Guangdong Expressway and protect the legitimate rights and interests of other shareholders of Guangdong Expressway. 1. After the completion of this major asset restructuring the Company and the companies directly or indirectly controlled by the Company and other related parties will try to avoid related transactions with Guangdong Expressway and its holding subsidiaries; Related transactions that are really necessary and unavoidable are carried out in accordance with the principles of fairness equity and compensation of equal Guangdong Commitment on value. The transaction price is determined at a This letter of commitment is valid from the Provincial Freeway reducing and reasonable price recognized by the market. The date of signing to the date when the Co.Ltd. standardizing transaction approval procedures and information June 26 2015 Provincial Expressway is no longer Normal related disclosure obligations are performed in controlled by the controlling shareholder of performance transactions accordance with relevant laws regulations and Guangdong Expressway normative documents and the interests of Guangdong Expressway and its minority shareholders are effectively protected. 2. The Company guarantees to exercise shareholders' rights and fulfill shareholders' obligations in strict accordance with relevant laws and regulations rules and normative documents promulgated by China Securities Regulatory Commission business rules promulgated by 742025 Annual Report Time of making commitment Period of commitment FulfillmentCommitment Commitment maker Type Contents Shenzhen Stock Exchange and Articles of Association of Guangdong Provincial Expressway Development Co. Ltd. and it will not use the controlling position of Guangdong Expressway's controlling shareholders to seek improper benefits or damage the legitimate rights and interests of Guangdong Expressway and its minority shareholders. 1. The information involved in the explanations and commitment provided by the Company for this transaction are authentic accurate and complete and there are no false records misleading statements or major omissions. 2.The information provided by the Company to the intermediaries that provide professional services such as auditing evaluation legal and financial consulting for this transaction is authentic accurate and complete original written information or duplicate information Commitment on and the duplicate or photocopy of the Guangdong authenticity information is consistent with its original Provincial Freeway accuracy and information or original copy; The signatures and November Co.Ltd. completeness of seals of all documents are authentic and the 25 Permanently effective Normal the information legal procedures required for signing and 2020 performance provided sealing have been fulfilled and legalauthorization has been obtained; There are no false records misleading statements or major omissions. 3. The Company guarantees that it will provide timely information about this transaction in accordance with relevant laws and regulations relevant regulations of China Securities Regulatory Commission and Shenzhen Stock Exchange ensure the authenticity accuracy and completeness of such information and guarantee that there are no false records misleading statements or major omissions.Guangdong Commitment on The Company and the companies directly or Communications maintaining the indirectly controlled by the Company except June 18 This letter of commitment is valid from the Normal Group independence of Guangdong Expressway and its holding 2015 date of signing to the date when the performance 752025 Annual Report Time of making commitment Period of commitment FulfillmentCommitment Commitment maker Type Contents listed companies subsidiaries will not damage the independence Provincial Expressway is no longer of Guangdong Expressway due to the increase controlled by the controlling shareholder of in the shares of Guangdong Expressway held by the Company and the companies directly or Guangdong Expressway indirectly controlled by the Company except Guangdong Expressway and its holding subsidiaries after the completion of this major asset restructuring and will continue to maintain the principle of separation from Guangdong Expressway in terms of assets personnel finance organization and business and strictly abide by the relevant regulations of China Securities Regulatory Commission on the independence of listed companies and will not use Guangdong Expressway to provide guarantees nor occupy Guangdong Expressway funds illegally so as to maintain and protect the independence of Guangdong Expressway and protect the legitimate rights and interests of other shareholders of Guangdong Expressway. 1. The Company and the companies directly or indirectly controlled by the Company except Guangdong Expressway and its holding subsidiaries will not use the controlling shareholder's holding relationship with Guangdong Expressway to conduct business activities that harm the legitimate rights and interests of Guangdong Expressway its Commitment on minority shareholders and its holding This letter of commitment is valid from theGuangdong Communications avoiding subsidiaries. 2. The Company and the June date of signing to the date when the Normal Group horizontal companies directly or indirectly controlled by 262015 Provincial Expressway is no longer controlled by the controlling shareholder of performancecompetition the Company except Guangdong Expressway and its holding subsidiaries will not use the Guangdong Expressway information obtained from Guangdong Expressway and its holding subsidiaries to engage in the main business competing with Guangdong Expressway or its holding subsidiaries and will not engage in any acts or activities that damage or may damage the legitimate rights and interests of Guangdong 762025 Annual Report Time of making Commitment Commitment maker Type Contents commitment Period of commitment Fulfillment Expressway its minority shareholders and its holding subsidiaries. 3. If the Company and other companies directly or indirectly controlled by the Company except Guangdong Expressway and its holding subsidiaries transfer any toll roads bridges tunnels and related ancillary facilities or interests invested or managed by the Company to companies other than the Company directly or indirectly controlled by the Company Guangdong Expressway shall be entitled to the preemptive right under the same conditions unless the transferee is explicitly designated by the relevant government authorities under the premise permitted by relevant laws and regulations. 4. In the future if the Company and the companies directly or indirectly controlled by the Company except Guangdong Expressway and its holding subsidiaries invest in the construction of expressways parallel to or in the same direction within 20 km from each side of the expressway controlled by Guangdong Expressway Guangdong Expressway will be entitled to the priority investment right compared with the Company and the companies directly or indirectly controlled by the Company except Guangdong Expressway and its holding subsidiaries except for the projects whose investment entities are clearly designated by the relevant government authorities under the premise permitted by relevant laws and regulations. 1. After the completion of this major asset Commitment on restructuring the Company and other companies Guangdong reducing and and other related parties directly or indirectly This letter of commitment is valid from the Communications standardizing controlled by the Company except Guangdong June date of signing to the date when the Expressway and its holding subsidiaries will try 182015 Provincial Expressway is no longer Normal Group related performance transactions to avoid related transactions with Guangdong controlled by the controlling shareholder of Expressway and its holding subsidiaries; Guangdong Expressway Related transactions that are really necessary 772025 Annual Report Time of making Period of commitment Fulfillment Commitment Commitment maker Type Contents commitment and unavoidable are carried out in accordance with the principles of fairness equity and compensation of equal value. The transaction price is determined at a reasonable price recognized by the market. The transaction approval procedures and information disclosure obligations are performed in accordance with relevant laws regulations and normative documents and the interests of Guangdong Expressway and its minority shareholders are effectively protected. 2. The Company guarantees to exercise shareholders' rights and fulfill shareholders' obligations in strict accordance with relevant laws and regulations rules and normative documents promulgated by China Securities Regulatory Commission business rules promulgated by Shenzhen Stock Exchange and Articles of Association of Guangdong Provincial Expressway Development Co. Ltd. and it will not use the controlling position of controlling shareholders to seek improper benefits or damage the legitimate rights and interests of Guangdong Expressway and its minority shareholders. 1. The explanations commitment and information provided by the Company for this transaction are authentic accurate and complete and there are no false records misleading Commitment on statements or major omissions. 2. The authenticity information provided by the Company to theGuangdong accuracy and intermediaries that provide professional services NovemberCommunications completeness of such as auditing evaluation legal and financial 25 Permanently effective Normal Group the information consulting for this transaction is authentic 2020 performance provided accurate and complete original writteninformation or duplicate information and the duplicate or photocopy of the information is consistent with its original information or original copy; The signatures and seals of all documents are authentic and the legal 782025 Annual Report Time of making commitment Period of commitment FulfillmentCommitment Commitment maker Type Contents procedures required for signing and sealing have been fulfilled and legal authorization has been obtained; The validity of the originals of each document has not been revoked within its validity period and such originals are held by their respective legal holders up to now; There are no false records misleading statements or major omissions. 3. The Company guarantees that if there are false records misleading statements or major omissions in the information provided or disclosed for this transaction which are filed for investigation by judicial organs or filed for investigation by China Securities Regulatory Commission before the investigation conclusion is revealed the Company promises to suspend the transfer of shares with interests in Guangdong Expressway and submit the written application for suspension of transfer and the stock account to the Board of Directors of Guangdong Expressway within two trading days after receiving the notice of filing inspection and the Board of Directors of Guangdong Expressway will apply for locking on behalf of the Company to the stock exchange and the registration and clearing company; If the application for locking is not submitted within two trading days the Board of Directors of Guangdong Expressway is authorized to directly submit the identity information and account information of the Company to the stock exchange and the registration and clearing company after verification and apply for locking; If the Board of Directors of Guangdong Expressway fails to submit the Company's identity information and account information to the stock exchange and the registration and clearing company the stock exchange and the registration and clearing company are authorized to directly lock the relevant shares. If the investigation results show 792025 Annual Report Time of making Commitment Commitment maker Type Contents commitment Period of commitment Fulfillment that there are violations of laws and regulations the Company promises to lock in shares and use them voluntarily for compensation arrangements of relevant investors. 4. The Company shall bear individual and joint legal responsibilities for the authenticity accuracy and completeness of the information provided or disclosed for this exchange. In case of any loss caused to Guangdong Expressway or investors due to violation of the above commitments the Company will bear corresponding liability for compensation according to law. 1. It will not interfere with the business activities of Guangdong Expressway beyond Commitment on authority and will not encroach on the interestsGuangdong Communications fulfilling filling of Guangdong Expressway. 2. In case of any November measures to dilute loss caused to Guangdong Expressway or 25 Permanently effective Normal Group immediate reward investors due to violation of the above 2020 performance commitments the Company will bear corresponding liability for compensation according to law. 1. The land occupied and used by Guangzhou- Huizhou Expressway with a total area of 3732185.08 square meters has not yet obtained the ownership certificate. The Company undertakes that: (1) The ownership of the land use right of the above-mentioned land is clear with no dispute and Guangzhou-Huizhou Commitment on Expressway can legally occupy and use theGuangdong land and real above-mentioned land; (2) Guangzhou-Huizhou NovemberCommunications estate of Guanghui Expressway will continue to effectively occupy 25 Permanently effective Normal Group Expressway and use the relevant land before the ownership 2020 performance certificate is obtained and will not be materially adversely affected thereby; (3) After the completion of this transaction if Guangdong Expressway suffers losses as a shareholder of Guangzhou-Huizhou Expressway for losses suffered because Guangzhou-Huizhou Expressway occupies and uses the above- mentioned land without ownership certificate or 802025 Annual Report Time of making commitment Period of commitment FulfillmentCommitment Commitment maker Type Contents engages in engineering construction on such land the Company will bear the actual losses suffered by Guangdong Expressway. 2. The land occupied and used by Guangzhou-Huizhou Expressway with a total area of 12324867.92 square meters is currently registered under the name of Guangdong Changda Highway Engineering Co. Ltd. (now renamed as "Poly Changda Engineering Co. Ltd." hereinafter referred to as "Changda Company") of which 8799336.79 square meters of land has obtained the ownership certificate and the other 3525531.13 square meters of land has not yet obtained the ownership certificate. The Company promises that after the completion of this transaction if Guangdong Expressway suffers losses as a shareholder of Guangzhou- Huizhou Expressway and because Guanghui Expressway occupies and uses the land registered under the name of Changda Company the Company will bear the actual losses suffered by Guangdong Expressway. 3.The property ownership certificate has not been obtained for the property with a total area of 72364.655 square meters occupied and used by Guangzhou-Huizhou Expressway. The Company promises that: (1) The ownership of the above-mentioned property without ownership certificate currently used by Guanghui Expressway is clear with no dispute and Guangzhou-Huizhou Expressway can legally occupy and use the above-mentioned property; (2) Guangzhou-Huizhou Expressway will continue to effectively occupy and use the above-mentioned property before the property ownership certificate is obtained and will not be materially adversely affected; (3) After the completion of this transaction if Guangdong Expressway suffers losses as a shareholder of Guangzhou-Huizhou Expressway and because 812025 Annual Report Time of making Commitment Commitment maker Type Contents commitment Period of commitment Fulfillment Guangzhou-Huizhou Expressway occupies and uses the above-mentioned property without relevant property ownership certificate the Company will bear the actual losses suffered by Guangdong Expressway. 1. The explanations commitment and information provided by the Company for this transaction are authentic accurate and complete and there are no false records misleading statements or major omissions. 2. The information provided by the Company to the intermediaries that provide professional services such as auditing evaluation legal and financial consulting for this transaction is authentic accurate and complete original written information or duplicate information and the duplicate or photocopy of the information is consistent with its original information or original copy; The signatures and seals of all Commitment on documents are authentic and the legal authenticity procedures required for signing and sealing have Guangdong Guanghui accuracy and been fulfilled and legal authorization has been November Expressway Co. Ltd. completeness of obtained; There are no false records misleading 25 Permanently effective Normal the information statements or major omissions. 3. The Company 2020 performance provided guarantees that it will provide timelyinformation about this transaction in accordance with relevant laws and regulations relevant regulations of China Securities Regulatory Commission and Shenzhen Stock Exchange ensure the authenticity accuracy and completeness of such information and guarantee that there are no false records misleading statements or major omissions. 4.The Company shall bear individual and joint legal responsibilities for the authenticity accuracy and completeness of the information provided or disclosed for this exchange. In case of any loss caused to investors due to violation of the above commitments the Company will bear corresponding liability for compensation 822025 Annual Report Time of making Commitment Commitment maker Type Contents commitment Period of commitment Fulfillment according to law.In order to promote the smooth progress of the issue of shares the cash purchase of assets and the raising of matching funds (hereinafter referred to as "the major asset restructuring") approved by Guangdong Expressway Development Co. Ltd. at its second extraordinary shareholders' meeting in 2015 with regard to all the land and real estate (hereinafter referred to as "relevant land and real estate") owned by Guangdong Fokai Expressway Co. Ltd. (hereinafter referred to as "Fokai Company") and Jingzhu Expressway Guangzhu Section Co. Ltd. (hereinafter referred to as "Guangzhu East Company") without It continued to push forward the progress of ownership certificates (hereinafter referred to as accreditation and completed the registration "relevant land and real estate") disclosed in the procedures of relevant land and real estate Guangdong report of Guangdong Expressway Development ownership within three years after the Communication Other commitment Co. Ltd. on issuing shares and paying cash to April relevant policies were clear and the relevant Normal Group Co. Ltd purchase assets and raising matching funds and 272019 land and real estate met the conditions for performancerelated transactions the company undertook to handling the registration procedures of urge Fokai Company and Guangzhu East ownership in accordance with the relevant Company to go through the ownership laws and regulations and the requirements registration formalities according to the of the competent government departments following plan under the condition that it is conducive to safeguarding the rights and interests of listed companies; Continued to push forward the progress of accreditation and completed the registration procedures of relevant land and real estate ownership within three years after the relevant policies were clear and the relevant land and real estate met the conditions for handling the registration procedures of ownership in accordance with the relevant laws and regulations and the requirements of the competent government departments.Completed on time(Y/N) Yes 832025 Annual Report 2.The existence of the company's assets or projects earnings forecasts and earnings reporting period is still in the forecast period the company has assets or projects meet the original profit forecast made and the reasons explained □Applicable□Not applicable 3.Performance commitment □Applicable□Not applicable II. Particulars about the non-operating occupation of funds by the controlling shareholder □ Applicable √ Not applicable None III. Illegal provision of guarantees for external parties □ Applicable √ Not applicable None IV. Explanation of the Board of Directors on the latest "Non-standard Audit Report" □ Applicable √ Not applicable V. Notes for “non-standard audit report” of CPAs firm during the Reporting Period by board of directors and supervisory board □ Applicable √ Not applicable VI. Explain change of the accounting policy accounting estimate and measurement methods as compared with the financial reporting of last year.□Applicable □Applicable The 28th (Interim) Meeting of the 10th Board of Directors reviewed and approved the Proposal on Accounting Estimate Changes agreeing to change the depreciation lives and depreciable traffic volumes for the interchanges on the Jinan-Guangzhou Expressway (Huizhou Xiaojinkou-Guangzhou Luogang Section) and Guangzhou-Huizhou Expressway (Huizhou Xiaojinkou-Lingkeng Section) (hereinafter referred to as "Guangzhou-Huizhou Expressway") – Nanxiang Mountain Li Lake (Gualv Lake) and Jinlong (Huizhou North) – effective February 1 2025.In January 2025 the Guangzhou-Huizhou Expressway Reconstruction and Expansion Project was approved resulting in an expected extension of the operating period for GuangHui Expressway Co. Ltd. (a controlled subsidiary of the Company). Consequently the depreciation periods and traffic-based depreciation rates for the Nanxiang Mountain Li Lake (Gualv Lake) and Jinlong (Huizhou North) interchanges were adjusted with the depreciation period extended to August 2054.In response to the accounting estimate changes the Company adopts the future application method and its impact on the accounting statement items for this year is as follows: Affected report item name and affected amount Fixed asset Increase by RMB 57204626.27 Payable taxes and fees Increase by RMB 14301156.57 842025 Annual Report Affected report item name and affected amount Deferred income tax liability Increase by RMB2934.50 Operating cost Decrease by RMB57204626.27 Income tax expenses Increase by RMB 14304091.07 Minority shareholders' equity Increase by RMB 21021262.25 Minority shareholders' profits and losses Increase by RMB 21021262.25 Net assets attributable to the parent company Increase by RMB 21879272.95 Net profit attributable to the parent company Increase by RMB 21879272.95 VII. Explain change of the consolidation scope as compared with the financial reporting of last year.□ Applicable √ Not applicable None VIII. Engagement/Disengagement of CPAs CPAs currently engaged Name of the domestic CPAs Guangdong Zhongzhixin Certified Public Accountants LLP Remuneration for domestic accounting firm (Ten thousands 97 yuan) Successive years of the domestic CPAs offering auditing services 1 Name of CPA Nie Tieliang Deng Jilong Continuous years of audit services of certified public accountants of domestic public accounting firms 1Name of the Overseas CPAs（If any N/ARemuneration for overseas accounting firm (Ten thousands yuan) 0（If any） Successive years of the overseas CPAs offering auditing services（If any N/A） Name of CPA（If any） N/A Continuous years of audit services of certified public accountants of overseas public accounting firms（if any N/A） Has the CPAs been changed in the current period √Yes □ No Whether to hire an accounting firm during the audit □Yes□No Whether the change of accounting firm has implemented the examination and approval procedures √Yes □ No Detailed explanation of the change of employment and change of the accounting firm The previous accounting firm Yongtuo Certified Public Accountants LLP had provided audit services to the Company for five consecutive years reaching the maximum number of consecutive engagements specified in the original tender document. To better ensure the independence and objectivity of the audit work and after comprehensive consideration of the Company's needs for business development and overall audit service the Company in accordance with the Measures for the Administration of Selection of Accounting Firms by State- owned Enterprises and Listed Companies and other relevant regulations and upon deliberation and approval by the 17th Meeting of the Audit Committee of the 10th Board of Directors the 29th (Interim) Meeting of the 10th Board of Directors and the 1st Interim Shareholders' Meeting in 2025 agreed to engage Guangdong Zhongzhixin Certified Public Accountants LLP as the Company's financial report audit institution and internal control audit institution for 2025. 852025 Annual Report A detailed explanation of the change of employment and accounting firm √Applicable □ Not applicable On May 21 2025 the 29th (Interim) Meeting of the 10th Board of Directors reviewed and approved the Proposal on Engaging the Audit Institution for the 2025 Internal Control Audit agreeing to engage Guangdong Zhongzhixin Certified Public Accountants LLP as the internal control audit institution for 2025 with audit fees not exceeding RMB 225000 (inclusive). On June 6 2025 the Company's 1st Interim Shareholders' Meeting in 2025 reviewed and approved the Proposal on Engaging the Audit Institution for the 2025 Internal Control Audit. IX. Situation of Facing Listing Suspension and Listing Termination after the Disclosure of the Yearly Report □Applicable √ Not applicable X. Relevant Matters of Bankruptcy Reorganization □Applicable √ Not applicable None XI. Matters of Important Lawsuit and Arbitration □Applicable √ Not applicable None XII. Situation of Punishment and Rectification □Applicable √ Not applicable None XIII. Credit Condition of the Company and its Controlling Shareholders and Actual Controllers □Applicable √ Not applicable According to the National Enterprise Credit Information Publicity System the company's controlling shareholder Guangdong Communication Group Co. Ltd. has a good credit record with no records of legal violations or administrative penalties." XIV. Material related transactions 1. Related transactions in connection with daily operation □Applicable √ Not applicable None 2. Related-party transactions arising from asset acquisition or sale □Applicable √ Not applicable None 3. Related-party transitions with joint investments □Applicable √ Not applicable None 4. Credits and liabilities with related parties □Applicable √ Not applicable None 862025 Annual Report 5. Transactions with related finance company especially one that is controlled by the Company √ Applicable □Not applicable Deposit business Related party Relationship Maximum daily Deposit interest Beginning The amount of this perioddeposit rate range balance(RMB'00000） Total deposit Total amount is Endinglimit(RMB'00000） amount withdrawn for this balance(RMB'00000）(RMB'00000） period(RMB'00000） Guangdong Controlled by the Communications Group same parent 350000 0.70%-2.40% 279078.10 1220894.75 1195610.90 304361.95 Finance Co. Ltd company Loan business Related party Relationship Loant Beginning The amount of this periodLoan interest balance(RMB'00000） Total loan amount of the Total repayment amount of Endinglimit(RMB'00000） rate current the current balance(RMB'00000）range period(RMB'00000） period(RMB'00000） Guangdong Communications Controlled by 2.01%- Group Finance Co. the same parent 600000 85260.84 51162.69 47060.89 89362.642.70% Ltd company Credit extension or other financial servicesRelated party Relationship Business type Total amount(RMB'00000） Actual amount incurred(RMB'00000） Guangdong Communications Group Finance Co. Ltd Controlled by the same parent company Credit extension 600000 49500 872025 Annual Report 6. Transactions between the financial company controlled by the Company and related parties □ Applicable √Not applicable There is no deposit loan credit or other financial business between the financial company controlled by the Company and related parties. 7. Other significant related-party transactions √ Applicable □Not applicable (1) The 27th Meeting of the 10th Board of Directors reviewed and approved the Proposal on Estimated Daily Related Party Transactions for 2025 agreeing to the estimated daily related party transactions for the Company's headquarters branches and wholly-owned and controlled subsidiaries for 2025 with total transaction amounts not exceeding RMB 78.232 million. (2) The 27th Meeting of the 10th Board of Directors reviewed and approved the Proposal on Capital Increase to Guangdong Guanghui Expressway Co. Ltd. for Investment in the Reconstruction and Expansion Project of the Jinan-Guangzhou Expressway (Huizhou Xiaojinkou-Guangzhou Luogang Section) and Guangzhou-Huizhou Expressway (Huizhou Xiaojinkou-Lingkeng Section): 1) Agreed to the Company's capital increase to Guangdong Guanghui Expressway Co. Ltd. for investment in the construction of the aforementioned reconstruction and expansion project; 2) Agreed that based on the project's total estimated investment amount of RMB 30.52 billion approved by the Guangdong Provincial Development and Reform Commission with a project capital ratio of 35% of total investment the Company would undertake the capital contribution according to its 51% shareholding in Guanghui Company with the final amount subject to the project's final completion settlement value. (3) The 30th (Interim) Meeting of the 10th Board of Directors reviewed and approved the Proposal on Borrowing from Ganzhou Gankang Expressway Co.Ltd.: Agreed that the Company would borrow an unsecured loan from Ganzhou Gankang Expressway Co.Ltd. with a loan amount not exceeding RMB 45 million to be drawn down according to the Company's actual needs and the borrowed funds to be used for replenishing working capital. The loan term is one year from the date the Company actually receives the loan with an annual loan interest rate of 2.6% and the principal and interest shall be repaid in a lump sum upon maturity. The Company has the right to repay all or part of the loan principal and interest unconditionally in advance.The website to disclose the interim announcements on significant related-party transactions Description of provisional announcement Date of disclosing provisional Description of the website for disclosingannouncement provisional announcements Estimates announcement of the Daily March 42025 www.cninfo.com.cn Related Party Transaction of 2025 Announcement of related party March 42025 www.cninfo.com.cn transaction Announcement of related party July 252025 www.cninfo.com.cn transaction XV. Significant contracts and execution 1.Entrustments contracting and leasing （1）Entrustment □Applicable √ Not applicable No such cases in the reporting period. （2）Contracting □Applicable √ Not applicable No such cases in the reporting period. 882025 Annual Report （3）Leasing □Applicable □√ Not applicable Note During the reporting period the Company generated a rental income of RMB 41090923.23 with the main leased assets of houses and buildings.Project which generates profit or loss reaching over 10% of total profits of the Company during the Reporting Period □ Applicable √ Not applicable There were no leases with a 10% or greater impact on the Company’s gross profit in the Reporting Period. 2.Significant Guarantees □Applicable √ Not applicable No such cases in the reporting period. 3.Situation of Entrusting Others for Managing Spot Asset (1)Situation of Entrusted Finance □ Applicable √ Not applicable None (2)Situation of Entrusted Loans □ Applicable √ Not applicable None 4. Other significant contract □ Applicable √ Not applicable None XVI. Utilization of raised funds □ Applicable √ Not applicable No such cases in the reporting period.XVII. Explanation of other important events □ Applicable √ Not applicable No such cases in the reporting period.XVIII. Significant event of subsidiary of the Company √Applicable□ Not applicable During the reporting period the Company received relevant government documents clarifying that the Guangzhou-Foshan Expressway would be taken back for management by the government. The operational management and maintenance expenses advanced by Guangfo Company would be paid to Guangfo Company by the relevant entities after audit and settlement were carried out in accordance with procedures. The Company holds 75% equity in Guangfo Company. Guangfo Company reversed the previously accrued bad debt provision for the advanced Guangzhou-Foshan Expressway management and maintenance expenses. The Company will carry out the handover procedures for the Guangzhou-Foshan Expressway in accordance with relevant regulations and processes. The Company will make separate announcements regarding the progress of the related matters. 892025 Annual Report Description of provisional announcement Date of disclosing provisional Description of the website for disclosing provisionalannouncement announcements Announcement of important matters March 152025 http://www.cninfo.com.cn 902025 Annual Report VI.Changes in shares and information about Shareholders I. Changes in share capital 1. Changes in share capital In shares Before the change Increase/decrease（+，-） After the ChangeAmount Proportio Capitalizati n Share Bonu on of allotmen s common Other Subtotal Quantity Proportiont shares reserve fund 1.Shares with conditional 438727120 20.98% -900 -900 438726220 20.98% subscription 1.State-owned shares 410105738 19.61% 410105738 19.61% 2.State-owned legal person 21712738 1.04% 21712738 1.04% shares 3.Other domestic shares 6908644 0.33% -900 -900 6907744 0.33% Including： Domestic Legal 6402633 0.31% -40781 -40781 6361852 0.30% person shares Domestic natural person 506011 0.02% 39881 39881 545892 0.03% shares 4.Foreign shares Including： Foreign legal person shares Foreign natural person shares II.Shares with unconditional 1652079006 79.02% 900 900 1652079906 79.02% subscription 1.Common shares in RMB 1303329006 62.34% 900 900 1303329906 62.34% 2.Foreign shares in domestic 348750000 16.68% 348750000 16.68% market 3.Foreign shares in 0 0.00% 0 0.00% foreign market 4.Other 0 0.00% 0 0.00% III. Total of capital shares 2090806126 100.00% 0 0 2090806126 100.00% Reasons for share changed √Applicable □Not applicable 1. During the reporting period 39881 shares held by "domestic legal persons" were converted into shares held by "domestic natural persons". 2.During the reporting period the 900 shares of "shares with no restricted sale condition" held by Ms Ke Lin the resigned supervisor were converted into "shares with restricted sale condition held by domestic natural persons".Approval of Change of Shares □Applicable √Not applicable 912025 Annual Report Ownership transfer of share changes □Applicable √Not applicable Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to common shareholders of Company in latest year and period □Applicable √Not applicable Other information necessary to disclose for the company or need to disclosed under requirement from security regulators □Applicable √Not applicable 2.Change of shares with limited sales condition √ Applicable □Not applicable In shares Initial Number of Number of Sharehol Restricted Unrestricted Increased Restricted Date of der Name Shares This Restricted Shares in the Reason for Shares Shares This End of the Term Restricted Shares Restriction Term RemovalTerm Outgoing Ke Lin 900 0 900 0 executives locked January 2025 up shares Total 900 0 900 0 -- -- II. Securities issue and listing 1.Explanation of the Situation of the Security Issue(No Preferred Shares) in the Report Period □ Applicable √ Not applicable 2.Change of asset and liability structure caused by change of total capital shares and structure □ Applicable √ Not applicable 3.About the existing employees’ shares □Applicable √Not applicable III. Shareholders and actual controlling shareholder 1. Number of shareholders and shareholding In Shares The total Total number of shareholder preferred Total preference Total number of s at the end shareholder shareholders with common of the s voting voting rights recovered at end shareholders at 57026 month from 54926 rights 0 of last month 0 the end of the the date of restored at before annual reporting period disclosing period-end report disclosed(if the annual (if any)(Note8) report any)(Note 8) Particulars about shares held above 5% by shareholders or top ten shareholders(Excludes shares lent through refinancing) Nature of Proportion of Number of Changes in Amount of Amount of Number of share Shareholders sharehold shares shares held at reporting restricted un-restricted pledged/frozen er held period -end period shares held shares held State of Amou share nt 922025 Annual Report （%） Guangdong State- Communication Group owned Not app Co.Ltd legal 24.56% 513485480 410105738 103379742 licable 0 person State- Guangdong Highway owned Construction Co. Ltd legal 22.30% 466325020 466325020 Not app licable 0 person Shandong Tonghui State- Capital Investmenty ownedlegal 9.68% 202429927 202429927 202429927 Not app licable 0 Group Co. Ltd. person State- Guangdong Provincial owned Not app Freeway Co.Ltd. legal 2.53% 52937491 19582228 33355263 licable 0 person China Pacific Life Insurance Co. Ltd.- China Pacific Life Equity Dividend Not app Product (Life Other 1.81% 37812274 37812274 licable 0 Proprietary Trading) Entrusted Investment (Changjiang Pension) China Construction Bank－Huatai- PineBridge CSI Dividend Low Other 1.75% 36631729 36631729 0 36631729 Not app Volatility Exchange- licable 0 Traded Open-End Index Securities Investment Fund State- Orient Securities ownedlegal 0.78% 16353348 3657235 0 16353348 Not app licable 0 person Overseas Xinyue Co. Ltd. legal 0.63% 13201086 0 0 13201086 Not app person licable 0 State- China Merchants owned 0.61% 12759087 8883287 0 12759087 Not app 0 Securities Co. Ltd. legal licable person China Life Insurance Co. Ltd－Dividends- Individual dividends- Other 0.55% 11594185 10511685 0 11594185 Not applicable 0 005L－FH002 Shanghai Guangdong Communication Group Co. Ltd. is the parent company of Guangdong Highway Construction Co. Ltd.，Guangdong Provincial FreewayStrategic investor or general legal person becoming Co.Ltd. and Xinyue Co. Ltd. It is unknown whether there is relationship top-10 ordinary shareholder due to rights issue (if between other shareholders and whether they are persons taking concerted any) (see note 3) action specified in the Regulations on Disclosure of Information about Change in Shareholding of Shareholders of Listed Companies.Related or acting-in-concert parties among shareholders above None Above shareholders entrusting or entrusted with voting rights or waiving voting rights None Top 10 shareholders including the special account for repurchase (if any) (see note 10) None Shareholding of top 10 shareholders of unrestricted shares(Excluding shares lent through refinancing and Top management lock-in 932025 Annual Report stock) Quantity of Share type Name of the shareholder unrestricted sharesheld at the end of the Share type Quantity reporting period RMB Common Guangdong Highway Construction Co. Ltd 466325020 466325020 shares RMB Common Shandong Tonghui Capital Investment Group Co. Ltd. 202429927 202429927 shares RMB Common Guangdong Communication Group Co.Ltd 103379742 103379742 shares China Pacific Life Insurance Co. Ltd.-China Pacific Life Equity RMB Common Dividend Product (Life Proprietary Trading) Entrusted Investment 37812274 37812274 shares (Changjiang Pension) China Construction Bank－Huatai-Pine Bridge CSI Dividend Low RMB Common36631729 36631729 Volatility Exchange-Traded Open-End Index Securities Investment Fund shares RMB Common Guangdong Provincial Freeway Co.Ltd. 33355263 33355263 shares RMB Common Orient Securities 16353348 16353348 shares Foreign shares Xinyue Co. Ltd. 13201086 placed in 13201086 domestic RMB Common China Merchants Securities Co. Ltd. 12759087 12759087 shares China Life Insurance Co. Ltd－Dividends-Individual dividends-005L－ RMB Common 1159418511594185 FH002 Shanghai shares Explanation on associated relationship or consistent action Guangdong Communication Group Co. Ltd. is the parent company of Guangdong Highway among the top 10 shareholders of non-restricted negotiable shares Construction Co. Ltd.，Guangdong Provincial Freeway Co.Ltd. and Xinyue Co. Ltd. It isand that between the top 10 unknown whether there is relationship between other shareholders and whether they are persons shareholders of non-restricted taking concerted action specified in the Regulations on Disclosure of Information about Change in negotiable shares and top 10 Shareholding of Shareholders of Listed Companies.shareholders Top 10 ordinary shareholders conducting securities margin N/A trading (if any) (see note 4) Information of shareholders holding more than 5% of the shares the top 10 shareholders and the top 10 shareholders of unrestricted tradable shares participating in the lending of shares in securities lending and borrowing business □ Applicable √ Not applicable The top 10 shareholders and the top 10 shareholders of unrestricted tradable shares have changed compared with the previous period due to the securities lending/returning □ Applicable √ Not applicable Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a buy-back agreement dealing in reporting period.□ Yes √ No The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company have no buy –back agreement dealing in reporting period. 2.Controlling shareholder Nature of Controlling Shareholders: Local state holding Type: Legal person Name of the Legal Date of Organization code Principal business activities 942025 Annual Report Controlling representative/Leader incorporation shareholder Equity management organization of asset reorganization and optimized allocation raising funds by means including mortgage transfer of property rights and joint stock system transformation project investment Guangdong operation and management traffic Communication Liu Xiaohua June 232000 91440000723838552J infrastructure construction highway andrailway project operation and relevant Group Co. Ltd. industries technological development application consultation and services highway and railway passenger and cargo transport ship industry relevant overseas businesses; Value added telecommunication services.Equity in other domestic and foreign listed companies held by the controlling shareholder by means of control and Guangdong Communication Group Co. Ltd. holds 74.12% equity of Guangdong mutual shareholding in the reporting Yueyun Traffic Co. Ltd. a company listing H shares.period Changes of controlling shareholder in reporting period □ Applicable √ Not applicable No changes of controlling shareholder for the Company in reporting period. 3．Information about the controlling shareholder of the Company Actual controller nature：Local state owned assets management Actual controller type：Legal person Name of the actual Legal controller representative Date of incorporation Organization code Principal business activities/Leader As an ad hoc organization directly under State-owned Assets the Guangdong provincial government it supervision and is authorized by the Guangdong provincial administration government to represent the Guangdong Commission of Zhi Guangnan June 262024 114400007583361658 provincial government to perform the Guangdong Provincial investor's duties for the supervised People’s Government enterprises in accordance with the lawspecializing in the supervision of state- owned assets.Equity of other domestic/foreign listed As an ad hoc organization directly under the Guangdong provincial government it is authorized by the company with share Guangdong provincial government to represent the Guangdong provincial government to perform the controlling and share investor's duties for the supervised enterprises in accordance with the law specializing in the participation by supervision of state-owned assets.controlling shareholder in reporting period Changes of controlling shareholder in reporting period □ Applicable √ Not applicable No changes of controlling shareholder for the Company in reporting period Block Diagram of the ownership and control relations between the company and the actual controller 952025 Annual Report The actual controller controls the company by means of trust or managing the assets in other way □Applicable √Not applicable 4.The cumulative number of shares pledged by the controlling shareholder or the largest shareholder of the company and its person acting in concert accounts for 80% of the number of shares held by the company □Applicable √Not applicable 5.Particulars about other legal person shareholders with over 10% share held √ Applicable □ Not applicable Legal Legal person person/person Register shareholder in charge of Date of foundation capital Main operation business or management activities the unit Highway bridge tunnel bridge traffic infrastructure Guangdong construction investment and management technical Highway Wang April 161987 14.3 billion consulting leasing of road construction machinery; salesConstruction Kangchen yuan of construction materials construction machinery Co. Ltd. equipment; vehicle rescue services (operated by the branch). 6.Situation of Share Limitation Reduction of Controlling Shareholders Actual Controllers Restructuring Party and Other Commitment Subjects □Applicable √Not applicable IV. Specific implementation of share repurchase during the reporting period Progress in implementation of share repurchase □ Applicable √Not applicable Implementation progress of reducing repurchased shares by centralized bidding □ Applicable √Not applicable V. Preferred stock □Applicable□Not applicable The Company had no preferred stock in the Period. 962025 Annual Report VII. Corporate Bond √ Applicable □ Not applicable I. Enterprise bond □ Applicable √ Not applicable No such cases in the reporting period.II. Corporate bond √ Applicable □ Not applicable No such cases in the reporting period.III. Debt financing instruments of non-financial enterprises √Applicable □ Not applicable 972025 Annual Report 1.Basic Information of Debt Financing Instruments of Non-financial Enterprises In RMB 10000 Bond name Bond short name Bond code Issue day Valuedate Due day Bond Interest balance rate Servicing way Trading Guangdong Provincial Expressway 20 Guangdong Due payments once a year The Development Co. Ltd. 2020 first Expressway 102000367 March March March principal and the last instalment interest Interbank132020 172020 172025 0 3% are paid in one lump sum on the market phase medium-term notes MTN001 redemption date.During the reporting period interest payment situation of the company bonds（If any N/A） Applicable trading mechanism Circulation and transfer in the national inter-bank bond market its listing and circulation will be carried out inaccordance with the relevant regulations promulgated by the National Interbank Funding Center Whether there are risks and countermeasures for terminatinglisting transactions（If any) N/AOverdue and unpaid bonds □ Applicable √ Not applicable 982025 Annual Report 2. Trigger and implementation of option clauses and investor protection clauses of the issuer or investor □ Applicable √ Not applicable 3.Information of intermediary agency Name of bond Name of Name of Contact person of project intermediary agency Office Address signingaccountant intermediary agency Tel 20 Guangdong Expressway China Lianhe Credit No.2 Jianguomenwai Street 010- MTN001 Rating Co. Ltd. Chaoyang District Beijing N/A Yang Ting 85679696 Whether the above agency changes during the reporting period □ Yes √No 4. Use of raised funds In RMB 10000 Whether it is Total Operation of Rectification of consistent with the Name of bond amount Agreed use of Used Unused special purpose use plan project of raised account for illegal use of and other raised funds amount amount funds raised funds raised funds (if agreements (if any) any) stipulated in the prospectus Used to repay the 20 Guangdong issuer's existing Expressway 75000 debt and 75000 0 N/A N/A Yes MTN001 supplement working capital The raised funds are used for construction projects □ Applicable √ Not applicable During the reporting period the Company changed the use of funds raised from the above bonds □ Applicable √ Not applicable 5.Adjustment of credit rating results during the reporting period □ Applicable √ Not applicable 6 The implementation and changes of guarantee debt repayment plan and other debt repayment guarantee measures during the reporting period and their impact on the rights and interests of bond investors □ Applicable √ Not applicable IV. Convertible bond □ Applicable √ Not applicable No such cases in the reporting period.V. The loss within the scope of consolidated statements in the reporting period exceeded 10% of the net assets at the end of the previous year □ Applicable √ Not applicable VI. Overdue interest-bearing debts except bonds at the end of the reporting period □ Applicable √ Not applicable VII. Whether there are any violations of rules and regulations during the reporting period □ Yes √ No 992025 Annual Report VIII. Main accounting data and financial indicators of the Company in recent two years by the end of the reporting period In RMB10000 Item At the end of the reportingperiod At the end of last year At the same time rate of change Current ratio 5.76 2.71 112.55% Debt ratio 46.98% 41.20% 5.78% Quick ratio 5.76 2.71 112.55% Amount of this period Amount of last period At the same time rate ofchange Net profit after deducting non-recurring profit and loss 152300.37 164457.87 -7.39% EBITDA total debt ratio 40.64% 52.07% -11.43% Time interest earned ratio 15.90 12.19 30.43% Cash interest guarantee times 20.29 16.75 21.13% EBITDATime interest earned ratio 20.88 16.62 25.63% Repayment of debt (%) 100.00% 100.00% 0.00% Payment of interest (%) 100.00% 100.00% 0.00% 1002025 Annual Report VIII. Financial Report I. Audit report Type of audit opinion Standard Unqualified audit opinion Date of signature of audit report March 13 2026 Name of audit firm Guangdong Zhongzhixin Certified Public Accountants LLP Audit report Number ZZX001BZ[2026]No.0126 Names of the Certified Public Accountants Nie Tieliang Deng Jilong Audit report I. Opinion We have audited the financial statements of Guangdong Provincial Expressway Development Co. Ltd.(hereinafter referred to as "the Company") which comprise the balance sheet as at December 31 2025 and the income statement the statement of cash flows and the statement of changes in owners' equity for the year then ended and notes to the financial statements.In our opinion the attached financial statements are prepared in all material respects in accordance with Accounting Standards for Business Enterprises and present fairly the financial position of the Company as at December 31 2025 and its operating results and cash flows for the year then ended.II. Basis for Our Opinion We conducted our audit in accordance with the Auditing Standards for Certified Public Accountants in China. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. According to the Code of Ethics for Chinese CPA we are independent of the Company in accordance with the Code of Ethics for Chinese CPA and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.III. Key Audit Matters Key audit matters are those matters that in our professional judgment were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whole and in forming our opinion thereon and we do not provide a separate opinion on these matters. 1. Item description As described in "Note 3.15 Fixed Assets" and "Note 5.(X) Fixed Assets to the Financial Statements": The carrying amount of Guangdong Expressway's toll roads as at the end of 2025 was RMB 7655484167.85 accounting for 28.57% of total consolidated assets; the depreciation expense charged for toll roads in 2025 was RMB 877678761.20 accounting for 55.33% of consolidated operating costs. Guangdong Expressway's toll roads are depreciated using the traffic volume method whereby the current period's depreciation expense is calculated based on the ratio of the actual current period traffic volume to the estimated remaining total traffic volume over the operating period. The total traffic volume over the operating period refers to the forecast of the total traffic volume for Guangdong Expressway's toll roads within their operating periods which constitutes a significant accounting estimate. Therefore we determined that the valuation and depreciation of Guangdong Expressway's toll roads are key audit matters. 1012025 Annual Report 2. Audit response (1) Tested and evaluated the operating effectiveness of key internal controls related to fixed asset depreciation; (2) Selected comparable listed expressway companies for comparative analysis of their road asset depreciation accounting policies considered Guangdong Expressway's past experience recent developments and future operational plans and assessed the reasonableness of management's application of this accounting estimate; (3) Checked whether the actual traffic volume data applied by Guangdong Expressway in the toll road depreciation calculation process was consistent with the actual traffic volume data obtained by Guangdong Expressway from external service providers; (4) Evaluated the independence and professional competence of the third-party institution engaged by Guangdong Expressway for traffic volume forecasting; (5) Understood the methodology used in the traffic volume forecast report issued by the third-party institution for predicting future traffic volumes and evaluated the reliability of the traffic volume forecast report by comparing forecasted traffic volumes from previous years with actual traffic volumes for those periods; (6) Performed recalculations of road and bridge depreciation to verify the accuracy of the road and bridge depreciation amounts presented in the financial statements.IV. Other information The management of Guangdong Expressway Company is responsible for other information. Other information includes the information covered in the 2023 annual report of Guangdong Expressway Company but does not include the financial statement and our audit report.Our audit opinion on the financial statements does not cover other information and we do not issue any form of verification conclusion on other information.In combination with our audit of the financial statements our responsibility is to read other information and consider in such process whether other information is materially inconsistent with the financial statements or the information we learned during the audit or whether there appears to be a material misstatement.Based on the work that we have already performed if we determine that other information contains material misstatements we should report such fact. In this regard we have nothing to report.V. Responsibilities of Management and Those Charged with Governance for the Financial Statements The Company's management is responsible for preparing the financial statements in accordance with the requirements of Accounting Standards for Business Enterprises to achieve a fair presentation and for designing implementing and maintaining internal control that is necessary to ensure that the financial statements are free from material misstatements whether due to frauds or errors.In preparing the financial statements management of the Company is responsible for assessing the Company's ability to continue as a going concern disclosing matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations or has no realistic alternative but to do so.Those charged with governance are responsible for overseeing the Company's financial reporting process.VI. Auditor's Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement whether due to fraud or error and to issue an auditor's report that includes our opinion. 1022025 Annual Report Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with the audit standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if individually or in the aggregate they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.As part of an audit in accordance with ISAs we exercise professional judgment and maintain professional skepticism throughout the audit. We also: (1) Identify and assess the risks of material misstatement of the financial statements whether due to fraud or error design and perform audit procedures responsive to those risks and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error as fraud may involve collusion forgery omissions misrepresentations or the override of internal control. (2) Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. (3) Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management of the Company. (4) Conclude on the appropriateness of using the going concern assumption by the management of the Company and conclude based on the audit evidence obtained whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists we are required to draw attention in our auditor's report to the related disclosures in the financial statements or if such disclosures are inadequate to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However future events or conditions may cause the Company to cease to continue as a going concern. (5) Evaluate the overall presentation structure and content of the financial statements including the disclosures and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. (6) Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Company to express an opinion on the financial statements and bear all liability for the opinion.We communicate with those charged with governance regarding among other matters the planned scope and timing of the audit and significant audit matters including any significant deficiencies in internal control that we identify during our audit.We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence and where applicable related safeguards.From the matters communicated with those charged with governance we determine those matters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when in extremely rare circumstances we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication. 1032025 Annual Report II. Financial statements Currency unit for the statements in the notes to these financial statements: RMB 1. Consolidated balance sheet Prepared by: Guangdong Provincial Expressway Development Co. Ltd.December 312025 In RMB Item December 31 2025 January 1 2025 Current asset： Monetary fund 6545379942.11 4289826663.22 Settlement provision Outgoing call loan Transactional financial assets Derivative financial assets Notes receivable Account receivable 96702638.20 82361054.69 Financing of receivables Prepayments 9701427.59 3732159.00 Insurance receivable Reinsurance receivable Provisions of Reinsurance contracts receivable Other account receivable 607031326.53 148857119.34 Including：Interest receivable Dividend receivable 28621800.58 Repurchasing of financial assets Inventories Including：Data resources Contract assets Assets held for sales Non-current asset due within 1 year Other current asset 7909725.13 6167340.16 Total of current assets 7266725059.56 4530944336.41 Non-current assets： Loans and payment on other’s behalf disbursed Creditor's right investment Other creditor's right investment Long-term receivable Long term share equity investment 4362638936.45 3332350008.84 Other equity instruments investment 890653266.65 1768953885.85 Other non-current financial assets 195219767.35 186494177.20 Property investment 2004792.98 2225911.46 Fixed assets 8268301855.93 8872808692.97 Construction in progress 4760350219.82 2665392094.81 Production physical assets Oil & gas assets Use right assets 3850889.14 14217517.99 Intangible assets 178707658.07 197694153.19 Including：Data resources 2507500.00 Development expenses Including：Data resources 1042025 Annual Report Item December 31 2025 January 1 2025 Goodwill Long-germ expenses to be amortized Deferred income tax asset 31138740.44 32679298.44 Other non-current asset 831323224.43 837904037.77 Total of non-current assets 19524189351.26 17910719778.52 Total of assets 26790914410.82 22441664114.93 Current liabilities Short-term loans 259163958.03 Loan from Central Bank Borrowing funds Transactional financial liabilities Derivative financial liabilities Notes payable Account payable 219716016.18 226104482.05 Advance receipts 276083.20 250984.74 Contract liabilities Selling of repurchased financial assets Deposit taking and interbank deposit Entrusted trading of securities Entrusted selling of securities Employees’ wage payable 22045085.09 22412317.23 Tax payable 174658322.38 131748260.36 Other account payable 292377860.50 272118036.92 Including：Interest payable Dividend payable 36900482.45 32714825.12 Fees and commissions payable Reinsurance fee payable Liabilities held for sales Non-current liability due within 1 year 293845219.93 1017246515.19 Other current liability 123420.61 73697.84 Total of current liability 1262205965.92 1669954294.33 Non-current liabilities： Reserve fund for insurance contracts Long-term loan 10036331513.04 6728264750.00 Bond payable Including：preferred stock Sustainable debt Lease liability 2730189.11 Long-term payable 2022210.11 2022210.11 Long-term remuneration payable to staff Expected liabilities Deferred income 994833116.03 511971907.34 Deferred income tax liability 291774306.12 330830731.06 Other non-current liabilities Total non-current liabilities 11324961145.30 7575819787.62 Total of liability 12587167111.22 9245774081.95 Owners’ equity Share capital 2090806126.00 2090806126.00 Other equity instruments Including：preferred stock Sustainable debt Capital reserves 782912515.57 782661218.56 Less：Shares in stock Other comprehensive income 253875915.99 366149871.08 Special reserve 1052025 Annual Report Item December 31 2025 January 1 2025 Surplus reserves 1870662965.01 1684087655.64 Common risk provision Retained profit 6117843453.22 5544395448.25 Total of owner’s equity belong to the parent company 11116100975.79 10468100319.53 Minority shareholders’ equity 3087646323.81 2727789713.45 Total of owners’ equity 14203747299.60 13195890032.98 Total of liabilities and owners’ equity 26790914410.82 22441664114.93 Legal Representative: Miao Deshan Person in charge of accounting：Lu Ming Accounting Dept Leader: Yan Xiaohong 2.Parent Company Balance Sheet In RMB Item December 31 2025 January 12025 Current asset： Monetary fund 2848640571.65 1827026427.48 Transactional financial assets Derivative financial assets Notes receivable Account receivable 23975736.36 19832233.51 Financing of receivables Prepayments 3735965.82 2429028.94 Other account receivable 310284317.51 436815407.73 Including：Interest receivable Dividend receivable 28621800.58 Inventories Including：Data resources Contract assets Assets held for sales Non-current asset due within 1 year Other current asset 7870507.62 6128385.43 Total of current assets 3194507098.96 2292231483.09 Non-current assets： Creditor's right investment Other creditor's right investment Long-term receivable Long term share equity investment 9940390993.60 7846717402.01 Other equity instruments investment 890653266.65 1768953885.85 Other non-current financial assets Property investment 1752651.24 1973769.72 Fixed assets 4682773950.78 4722709889.80 Construction in progress 46854638.67 308615083.86 Production physical assets 1062025 Annual Report Item December 31 2025 January 12025 Oil & gas assets Use right assets 3378229.34 13566418.32 Intangible assets 112886664.30 116330587.32 Including：Data resources 2507500.00 0.00 Development expenses Including：Data resources Goodwill Long-germ expenses to be amortized Deferred income tax asset 23673400.38 28274192.91 Other non-current asset 14968251.05 2060000.00 Total of non-current assets 15717332046.01 14809201229.79 Total of assets 18911839144.97 17101432712.88 Current liabilities Short-term loans 259163958.03 0.00 Transactional financial liabilities Derivative financial liabilities Notes payable Account payable 122198679.90 116590086.29 Advance receipts 276083.20 250984.74 Contract Liabilities Employees’ wage payable 8497819.56 7715710.30 Tax payable 35251212.56 23752944.73 Other account payable 434875382.64 306323712.32 Including：Interest payable Dividend payable 36080113.26 32714825.12 Liabilities held for sales Non-current liability due within 1 year 163323684.94 931134209.98 Other current liability 68629.01 18906.24 Total of current liability 1023655449.84 1385786554.60 Non-current liabilities： Long-term loan 6722974013.04 5172549750.00 Bond payable Including：preferred stock Sustainable debt Lease liability 0.00 2730189.11 Long-term payable 2022210.11 2022210.11 Long-term remuneration payable to staff Expected liabilities Deferred income 0.00 273537.20 Deferred income tax liability 82747059.27 117617593.90 Other non-current liabilities Total non-current liabilities 6807743282.42 5295193280.32 Total of liability 7831398732.26 6680979834.92 1072025 Annual Report Item December 31 2025 January 12025 Owners’ equity Share capital 2090806126.00 2090806126.00 Other equity instruments Including：preferred stock Sustainable debt Capital reserves 975003604.00 975003604.00 Less：Shares in stock Other comprehensive income 253875915.99 366149871.08 Special reserve Surplus reserves 1690690697.45 1504115388.08 Retained profit 6070064069.27 5484377888.80 Total of owners’ equity 11080440412.71 10420452877.96 Total of liabilities and owners’ equity 18911839144.97 17101432712.88 3.Consolidated Income statement In RMB Item 2025 2024 I. Income from the key business 4469738160.51 4569903078.72 Incl：Business income 4469738160.51 4569903078.72 Interest income Insurance fee earned Fee and commission received II. Total business cost 1888195843.88 1988786259.66 Incl：Business cost 1586145349.99 1631074265.11 Interest expense Fee and commission paid Insurance discharge payment Net claim amount paid Net amount of withdrawal of insurance contract reserve Insurance policy dividend paid Reinsurance expenses Business tax and surcharge 23592205.94 23198292.71 Sales expense Administrative expense 200164930.86 203389242.59 R & D costs 6071273.33 5083785.20 Financial expenses 72222083.76 126040674.05 Including：Interest expense 126160548.68 176538813.65 Interest income 54143805.09 56039879.15 Add: Other income 2023546.32 11532166.82 Investment gain（“-”for loss） 240056122.11 302846786.74 Incl: investment gains from affiliates 193228568.80 192051727.06 Financial assets measured at amortized cost cease to be recognized as income Gains from currency exchange 1082025 Annual Report Item 2025 2024 Net exposure hedging income Changing income of fair value 8725590.15 2637409.20 Credit impairment loss 309703904.28 -121656189.18 Impairment loss of assets Assets disposal income 23942445.86 -721318.52 III. Operational profit（“-”for loss） 3165993925.35 2775755674.12 Add：Non-operational income 7894777.53 6624670.82 Less: Non-operating expense 8988454.20 8289204.77 IV. Total profit(“-”for loss) 3164900248.68 2774091140.17 Less：Income tax expenses 676230316.18 671178358.12 V. Net profit 2488669932.50 2102912782.05 (I) Classification by business continuity 1.Net continuing operating profit 2488669932.50 2102912782.05 2.Termination of operating net profit (II) Classification by ownership 1.Net profit attributable to the owners of parent company 1801337614.93 1562122219.95 2.Minority shareholders’ equity 687332317.57 540790562.10 VI. Net after-tax of other comprehensive income -72694231.43 202581469.75 Net of profit of other comprehensive income attributable to owners of the -72694231.43 202581469.75 parent company.（I）Other comprehensive income items that will not be reclassified into -45306172.66 182511260.27 gains/losses in the subsequent accounting period 1.Re-measurement of defined benefit plans of changes in net debt or net assets 2.Other comprehensive income under the equity method investee can not be 14365326.50 6593511.61 reclassified into profit or loss. 3. Changes in the fair value of investments in other equity instruments -59671499.16 175917748.66 4. Changes in the fair value of the company’s credit risks 5.Other（II） -27388058.77 20070209.48 Other co1m.Optrheehrecnosmivpereinhceonmsievethiantcwomillebuendreecrlathsseifeiqeuditiyntmo eptrhoofdit ionrvleosstse.e can -27388058.77 20070209.48 be reclassified into profit or loss. 2. Changes in the fair value of investments in other debt obligations 3. Other comprehensive income arising from the reclassification of financial assets 4.Allowance for credit impairments in investments in other debt obligations 5. Reserve for cash flow hedges 6.Translation differences in currency financial statements 7.Other Net of profit of other comprehensive income attributable to Minority shareholders’ equity VII. Total comprehensive income 2415975701.07 2305494251.80 Total comprehensive income attributable to the owner of the parent company 1728643383.50 1764703689.70 Total comprehensive income attributable minority shareholders 687332317.57 540790562.10 VIII. Earnings per share （I）Basic earnings per share 0.86 0.75 (II)Diluted earnings per share 0.86 0.75 The current business combination under common control the net profits of the combined party before achieved net profit of RMB 0.00 last period the combined party realized RMB0.00.Legal Representative: Miao Deshan 1092025 Annual Report Person in charge of accounting：Lu Ming Accounting Dept Leader: Zhou Fang 4. Income statement of the Parent Company In RMB Item 2025 2024 I. Income from the key business 1439741378.12 1508500575.92 Incl：Business cost 591828260.57 554664684.30 Business tax and surcharge 8532946.70 8089920.77 Sales expense Administrative expense 121188756.37 128949733.56 R & D expense 4486885.28 3195423.45 Financial expenses 114277558.62 177510575.54 Including：Interest expenses 148398284.80 205562083.83 Interest income 34231792.20 33491134.51 Add：Other income 835844.04 3570579.12 Investment gain（“-”for loss） 1378447834.45 1159856692.42 Including: investment gains from affiliates 195827529.79 196194159.84 Financial assets measured at amortized cost cease to be recognized as income Net exposure hedging income Changing income of fair value Credit impairment loss Impairment loss of assets Assets disposal income -20059.28 -721318.52 II. Operational profit（“-”for loss） 1978690589.79 1798796191.32 Add：Non-operational income 996137.83 1334982.13 Less：Non -operational expenses 1760365.43 1199248.86 III. Total profit(“-”for loss) 1977926362.19 1798931924.59 Less：Income tax expenses 164350571.76 164329931.57 IV. Net profit 1813575790.43 1634601993.02 1.Net continuing operating profit 1813575790.43 1634601993.02 2.Termination of operating net profit V. Net after-tax of other comprehensive income -72694231.43 202581469.75 （I）Other comprehensive income items that will not be reclassified into -45306172.66 182511260.27 gains/losses in the subsequent accounting period 1.Re-measurement of defined benefit plans of changes in net debt or net assets 2.Other comprehensive income under the equity method investee can not be 14365326.50 6593511.61 reclassified into profit or loss. 3. Changes in the fair value of investments in other equity instruments -59671499.16 175917748.66 4. Changes in the fair value of the company’s credit risks 5.Other (II)Other comprehensive income that will be reclassified into profit or loss -27388058.77 20070209.48 1.Other comprehensive income under the equity method investee can -27388058.77 20070209.48 be reclassified into profit or loss. 2. Changes in the fair value of investments in other debt obligations 3. Other comprehensive income arising from the reclassification of financial assets 4.Allowance for credit impairments in investments in other debt obligations 1102025 Annual Report Item 2025 2024 5. Reserve for cash flow hedges 6.Translation differences in currency financial statements 7.Other VI. Total comprehensive income 1740881559.00 1837183462.77 VII. Earnings per share （I）Basic earnings per share (II)Diluted earnings per share 5.Consolidated Cash flow statement In RMB Item 2025 2024 I.Cash flows from operating activities Cash received from sales of goods or rending of services 4578289732.34 4745448281.75 Net increase of customer deposits and capital kept for brother company Net increase of loans from central bank Net increase of inter-bank loans from other financial bodies Cash received against original insurance contract Net cash received from reinsurance business Net increase of client deposit and investment Cash received from interest commission charge and commission Net increase of inter-bank fund received Net increase of repurchasing business Net cash received by agent in securities trading Tax returned Other cash received from business operation 1096048126.20 326835498.54 Sub-total of cash inflow 5674337858.54 5072283780.29 Cash paid for purchasing of merchandise and services 318183079.61 349338366.27 Net increase of client trade and advance Net increase of savings in central bank and brother company Cash paid for original contract claim Net increase in financial assets held for trading purposes Net increase for Outgoing call loan Cash paid for interest processing fee and commission Cash paid to staffs or paid for staffs 509245023.37 502767262.92 Taxes paid 799080927.74 861499760.74 Other cash paid for business activities 488334432.54 102314796.45 Sub-total of cash outflow from business activities 2114843463.26 1815920186.38 Net cash generated from /used in operating activities 3559494395.28 3256363593.91 II. Cash flow generated by investing Cash received from investment retrieving 107111100.00 39614562.90 Cash received as investment gains 172441889.64 158293859.68 Net cash retrieved from disposal of fixed assets intangible assets 20129001.00 1470189.30 Nanedt ocathsherrleocnegiv-teedrmfroamssedtissposal of subsidiaries or other operational units Other investment-related cash received 5259269.50 1112025 Annual Report Item 2025 2024 Sub-total of cash inflow due to investment activities 299681990.64 204637881.38 Cash paid for construction of fixed assets intangible assets and 2430180575.90 2036600945.23 other long-term assets Cash paid as investment 455038000.00 201662000.00 Net increase of loan against pledge Net cash received from subsidiaries and other operational units Other cash paid for investment activities 728043.76 3669511.10 Sub-total of cash outflow due to investment activities 2885946619.66 2241932456.33 Net cash flow generated by investment -2586264629.02 -2037294574.95 III.Cash flow generated by financing Cash received as investment 371875000.00 192500000.00 Including: Cash received as investment from minor shareholders 371875000.00 192500000.00 Cash received as loans 5570700000.00 1350955084.00 Other financing –related cash received 450000.00 40092886.12 Sub-total of cash inflow from financing activities 5943025000.00 1583547970.12 Cash to repay debts 2658136668.48 1270080259.00 Cash paid as dividend profit or interests 2014028498.70 1957815078.56 Including: Dividend and profit paid by subsidiaries to minor 698530338.02 566774796.34 shareholders Other cash paid for financing activities 12076571.39 12138004.61 Sub-total of cash outflow due to financing activities 4684241738.57 3240033342.17 Net cash flow generated by financing 1258783261.43 -1656485372.05 IV. Influence of exchange rate alternation on cash and cash 408844.19 -4587996.33 equivalents V.Net increase of cash and cash equivalents 2232421871.88 -442004349.42 Add: balance of cash and cash equivalents at the beginning of 4259653084.58 4701657434.00 term VI ..Balance of cash and cash equivalents at the end of term 6492074956.46 4259653084.58 6. Cash Flow Statement of the Parent Company In RMB Item 2025 2024 I.Cash flows from operating activities Cash received from sales of goods or rending of services 1478431280.10 1561429158.48 Tax returned Other cash received from business operation 165137285.73 114438110.42 Sub-total of cash inflow 1643568565.83 1675867268.90 Cash paid for purchasing of merchandise and services 101922415.00 113313804.87 Cash paid to staffs or paid for staffs 163424304.02 162987657.26 Taxes paid 202290436.83 199803534.19 Other cash paid for business activities 61326725.65 166979810.96 Sub-total of cash outflow from business activities 528963881.50 643084807.28 Net cash generated from /used in operating activities 1114604684.33 1032782461.62 II. Cash flow generated by investing Cash received from investment retrieving 0.00 0.00 Cash received as investment gains 1308853346.58 1020921447.70 Net cash retrieved from disposal of fixed assets intangible assets and other long-term assets 34985.00 1073952.30 Net cash received from disposal of subsidiaries or other 1122025 Annual Report Item 2025 2024 operational units Other investment-related cash received 0.00 0.00 Sub-total of cash inflow due to investment activities 1308888331.58 1021995400.00 Cash paid for construction of fixed assets intangible assets and other long-term assets 136365868.37 260396069.30 Cash paid as investment 1118575000.00 186350000.00 Net cash received from subsidiaries and other operational units Other cash paid for investment activities 726068.90 0.00 Sub-total of cash outflow due to investment activities 1255666937.27 446746069.30 Net cash flow generated by investment 53221394.31 575249330.70 III. Cash flow generated by financing Cash received as investment 0.00 0.00 Cash received as loans 3235700000.00 10955084.00 Other financing –related ash received 40092886.12 Sub-total of cash inflow from financing activities 3235700000.00 51047970.12 Cash to repay debts 2124231668.48 922119384.00 Cash paid as dividend profit or interests 1253343662.71 1357397095.53 Other cash paid for financing activities 11547193.39 12058626.61 Sub-total of cash outflow due to financing activities 3389122524.58 2291575106.14 Net cash flow generated by financing -153422524.58 -2240527136.02 IV. Influence of exchange rate alternation on cash and cash equivalents 408844.19 -4587996.33 V.Net increase of cash and cash equivalents 1014812398.25 -637083340.03 Add: balance of cash and cash equivalents at the beginning of term 1825805227.48 2462888567.51 VI ..Balance of cash and cash equivalents at the end of term 2840617625.73 1825805227.48 1132025 Annual Report 7. Consolidated Statement on Change in Owners’ Equity Amount in this period In RMB 2025 Owner’s equity Attributable to the Parent Company Other Equity Les Item instrument s:Sha Other Specia Commo Minor Total of owners’ Share Prefe Sust Capital shareholders’ Capital reserves res Comprehens lized Surplus n risk Retained Other Subtotal equity equity rred aina Other in ive Income reserv reserves provisi profit stock ble stoc e on debt k I.Balance at the end of last year 2090806126.00 782661218.56 366149871.08 1684087655.64 5544395448.25 10468100319.53 2727789713.45 13195890032.98 Add: Change of accounting policy Correcting of previous errors Other II.Balance at the beginning of 2090806126.00 782661218.56 366149871.08 1684087655.64 5544395448.25 10468100319.53 2727789713.45 13195890032.98 current year III.Changed in the current year 251297.01 -112273955.09 186575309.37 573448004.97 648000656.26 359856610.36 1007857266.62 （1）Total comprehensive -72694231.43 1801337614.93 1728643383.50 687332317.57 2415975701.07 income（II） Investment or decreasing of 371875000.00 371875000.00 capital by owners 1．Ordinary Shares invested 371875000.00 371875000.00 1142025 Annual Report 2025 Owner’s equity Attributable to the Parent Company Other Equity Les Item instrument s: Specia Commo Minor Total of owners’ Share Prefe Capital Sha Other res Comprehens lized n risk shareholders’ Capital Sust Surplus Retained equity rred Other reserves in ive Income reserv reserves provisi profit Other Subtotal equity aina stock ble stoc e on debt k by shareholders 2．Holders of other equity instruments invested capital 3．Amount of shares paid and accounted as owners’ equity 4．Other（III）Profit allotment 181357579.04 -1274849182.94 -1093491603.90 -699350707.21 -1792842311.11 1.Providing of surplus reserves 181357579.04 -181357579.04 2.Providing of common risk provisions 3．Allotment to the owners (or -1093491603.90 -1093491603.90 -699350707.21 -1792842311.11 shareholders) 4．Other (IV) Internal transferring of -39579723.66 3957972.37 35621751.29 owners’ equity 1. Capitalizing of capital reserves (or to capital shares) 1152025 Annual Report 2025 Owner’s equity Attributable to the Parent Company Other Equity Les Item instrument s:Sha Other Specia Commo Minor Total of owners’ Share Prefe Sust Capital res Comprehens lized Surplus n risk Retained shareholders’Other Subtotal equity equityCapital rred aina Other reserves in ive Income reserv reserves provisi profit stock ble stoc e on debt k 2. Capitalizing of surplus reserves (or to capital shares) 3．Making up losses by surplus reserves. 4.Change amount of defined benefit plans that carry forward Retained earnings 5．Other comprehensive income carry- -39579723.66 3957972.37 35621751.29 over retained earnings 6．Other (V). Special reserves 1. Provided this year 2．Used this term（VI）Other 251297.01 1259757.96 11337821.69 12848876.66 12848876.66 IV. Balance at 2090806126.00 782912515.57 0.00 253875915.99 1870662965.01 6117843453.22 11116100975.79 3087646323.81 14203747299.60 1162025 Annual Report 2025 Owner’s equity Attributable to the Parent Company Other Equity Les Item instrument s:Sha Other Specia Commo Minor Total of owners’ Share Prefe Capital res Comprehens lized Surplus n risk Retained shareholders’ equity Capital Sustrred Other reserves in ive Income reserv reserves provisi profit Other Subtotal equity aina stock ble stoc e on debt k the end of this term 1172025 Annual Report Amount in last year In RMB 2024 Owner’s equity Attributable to the Parent Company Other Equity Item instrumentPref Less: Other Spe ciali Commo Minor shareholders’ Total of owners’ Share Capital erre Sust CapitalOthe reserves Shares Comprehe nsive zed Surplus n risk Retained Other Subtotal equity equity d aina in stock Income rese reserves provisio profit stoc ble r rve n k debt I.Balance at the end of 2090806126.00 783125493.70 163568401.33 1520627456.34 5289404378.52 9847531855.89 2561273947.69 12408805803.58 last year Add: Change of account ing policy Correcting of previous errors Other II.Balance at the beginning of 2090806126.00 783125493.70 163568401.33 1520627456.34 5289404378.52 9847531855.89 2561273947.69 12408805803.58 current year III.Changed in the -464275.14 202581469.75 163460199.30 254991069.73 620568463.64 166515765.76 787084229.40 current year （1）Total comprehensi 202581469.75 1562122219.95 1764703689.70 540790562.10 2305494251.80 ve income（II） Investment 192500000.00 192500000.00 1182025 Annual Report 2024 Owner’s equity Attributable to the Parent Company Other Equity Item instrumentPref Less: Other Spe Minor ciali Commo shareholders’ Total of owners’ Share Capital erre Sust CapitalOthe reserves Shares Comprehe zed Surplus n risk Retainednsive reserves provisio profit Other Subtotal equity equity d aina in stock rese stoc ble r Income rve n k debt or decreasing of capital by owners 1．Ordinary Shares invested by 192500000.00 192500000.00 shareholders 2．Holders of other equity instruments invested capital 3．Amount of shares paid and accounted as owners’ equity 4．Other（III） Profit 163460199.30 -1307131150.22 -1143670950.92 -566774796.34 -1710445747.26 allotment 1.Providing of surplus 163460199.30 -163460199.30 reserves 2.Providing 1192025 Annual Report 2024 Owner’s equity Attributable to the Parent Company Other Equity Item instrument Other Spe Commo MinorPref Less: ciali shareholders’ Total of owners’ Share Capital erre Capital Comprehe Surplus n riskSust Retained equity d Othe reserves Shares in stock nsive zed rese reserves provisio profit Other Subtotal equity aina stoc ble r Income rve n k debt of common risk provisions 3．Allotme nt to the owners (or -1143670950.92 -1143670950.92 -566774796.34 -1710445747.26 shareholders ) 4．Other (IV) Internal transferring of owners’ equity 1. Capitalizing of capital reserves (or to capital shares) 2. Capitalizing of surplus reserves (or to capital shares) 3．Making up losses by surplus reserves. 1202025 Annual Report 2024 Owner’s equity Attributable to the Parent Company Other Equity Item instrument Other Spe Commo MinorPref Total of owners’ Share Capital erre Sust Capital Less: Comprehe ciali Surplus n risk Retained shareholders’ equity d Othe reserves Shares zed Other Subtotal equity aina in stock nsive rese reserves provisio profit stoc ble r Income rve n k debt 4.Change amount of defined benefit plans that carry forward Retained earnings 5．Other comprehensi ve income carry-over retained earnings 6．Other (V). Special reserves 1. Provided this year 2．Used this term（VI） Other -464275.14 -464275.14 -464275.14 IV. Balance at the end of 2090806126.00 782661218.56 366149871.08 0.00 1684087655.64 5544395448.25 0.00 10468100319.53 2727789713.45 13195890032.98 this term 1212025 Annual Report 8.Statement of change in owner’s Equity of the Parent Company Amount in this period In RMB 2025 Other Equity instrument Item Pref Less: Other Specializ Share capital erre Sust Capital Share Comprehensi ed Surplus reserves Retained profit Other Total of owners’ d aina Other reserves s in equitystock ve Income reserve stoc ble k debt I.Balance at the end of last 2090806126.00975003604.00366149871.081504115388.085484377888.8010420452877.96 year Add: Change of accounting policy Correcting of previous errors Other II.Balance at the beginning 2090806126.00975003604.00366149871.081504115388.085484377888.8010420452877.96 of current year III.Changed in the current -112273955.09186575309.37585686180.47659987534.75 year （I）Total comprehensive income -72694231.43 1813575790.43 1740881559.00 (II) Investment or decreasing of capital by owners 1．Ordinary Shares invested by shareholders 2．Holders of other equity instruments invested capital 3.Amount of shares paid and accounted as owners’ equity 4．Other（III）Profit allotment 181357579.04 -1274849182.94 -1093491603.90 1.Providing of surplus reserves 181357579.04 -181357579.04 2．Allotment to the owners (or shareholders) -1093491603.90 -1093491603.90 3．Other 1222025 Annual Report 2025 Other Equity instrument Pref Less:Item Other Specializ Share capital erre Sust Capital Sharereserves s in Comprehensi ed Surplus reserves Retained profit Other Total of owners’ d aina Other stock ve Income reserve equity stoc ble k debt (IV) Internal transferring of owners’ equity -39579723.66 3957972.37 35621751.29 1. Capitalizing of capital reserves (or to capital shares) 2. Capitalizing of surplus reserves (or to capital shares) 3．Making up losses by surplus reserves. 4.Change amount of defined benefit plans that carry forward Retained earnings 5．Other comprehensive income carry-over retained -39579723.66 3957972.37 35621751.29 earnings 6．Other (V) Special reserves 1. Provided this year 2．Used this term（VI）Other 1259757.96 11337821.69 12597579.65 IV. Balance at the end of this term 2090806126.00 975003604.00 253875915.99 1690690697.45 6070064069.27 11080440412.71 1232025 Annual Report Amount in last year In RMB 2024 Other Equity instrument Item Share Capital SustPreferre Capital Less: Other Specializ reserves Shares Comprehensi ed Surplus reserves Retained profit Other Total of owners’ aina Other d stock in stock ve Income reserve equity ble debt I.Balance at the end of last year 2090806126.00 975003604.00 163568401.33 1340655188.78 5156907046.00 9726940366.11 Add: Change of accounting 0.00 policy Correcting of previous errors 0.00 Other 0.00 II.Balance at the beginning of 2090806126.00975003604.00163568401.331340655188.785156907046.009726940366.11 current year III.Changed in the current year 202581469.75 163460199.30 327470842.80 693512511.85 （I）Total comprehensive income 202581469.75 1634601993.02 1837183462.77 (II) Investment or decreasing of capital by owners 1．Ordinary Shares invested by shareholders 2．Holders of other equity instruments invested capital 3.Amount of shares paid and accounted as owners’ equity 4．Other（III）Profit allotment 163460199.30 -1307131150.22 -1143670950.92 1.Providing of surplus reserves 163460199.30 -163460199.30 2．Allotment to the owners (or shareholders) -1143670950.92 -1143670950.92 3．Other (IV) Internal transferring of owners’ equity 1. Capitalizing of capital reserves (or to capital shares) 2. Capitalizing of surplus reserves (or to capital shares) 1242025 Annual Report 2024 Other Equity instrument Item Share Capital SustPreferre Capital Less: Other Specializ reserves Shares Comprehensi ed Surplus reserves Retained profit Other Total of owners’ aina Other equity d stock in stock ve Income reserve ble debt 3．Making up losses by surplus reserves. 4.Change amount of defined benefit plans that carry forward Retained earnings 5．Other comprehensive income carry-over retained earnings 6．Other (V) Special reserves 1. Provided this year 2．Used this term（VI）Other IV. Balance at the end of this term 2090806126.00 975003604.00 366149871.08 1504115388.08 5484377888.80 10420452877.96 1252025 Annual Report III. Company Profile 1. Basic information of the IPO and share capital of the company The Company was established in February 1993 which was originally named as Guangdong Fokai Expressway Co. Ltd. On June 30 1993 it was renamed as Guangdong Provincial Expressway Development Co. Ltd. after reorganization pursuant to the approval of the Office of Joint Examination Group of Experimental Units of Share Holding System with YLSB (1993)No. 68 document. The share capital structure after reorganization is as follows: Composition of state-owned shares: The appraised net value of state-owned assets of Guangdong Jiujiang Bridge Co. and Guangfo Expressway Co. Ltd. as of January 31 1993 confirmed by Guangdong State-owned Asset Management Dept. i.e.RMB 418.2136 million was converted into 155.025 million shares. Guangdong Expressway Co. invested cash of RMB 115 million to subscribe for 35.9375 million shares. Other legal persons invested cash of RMB 286.992 million to subscribe for 89.685 million shares. Staff of the Company invested RMB 87.008 million to subscribe for 27.19 million shares. The total is RMB 307.8375 million shares.Pursuant to the approval of Guangdong Economic System Reform Committee and Guangdong Securities Regulatory Commission with YTG (1996) No. 67 document part of the shareholders of non-state-owned legal person shares transferred 20 million non-state-owned legal person shares to Malaysia Yibao Engineering Co.Ltd. in June 1996.Pursuant to the approval of Securities Commission under the State Council with WF (1996) No. 24 approval document and that of Guangdong Economic System Reform Committee with YTG (1996) No. 68 document the Company issued 135 million domestically listed foreign investment shares (B shares) to overseas investors at the price of HKD 3.54 (equivalent to RMB 3.8) with the par value of each share being RMB 1 during June to July 1996.Pursuant to the reply of the Ministry of Foreign Trade and Economic Cooperation of the People’ s Republic of China with (1996) WJMZYHZ No. 606 document the Company was approved to be a foreign-invested joint stock company limited.The Company distributed dividends and capitalized capital common reserve for the year 1996 in the following manner: The Company paid 1.7 bonus shares f or each 10 shares and capitalized capital common reserve on 3.3- for-10 basis.Pursuant to the approval of China Securities Regulatory Committee (CSRC) with ZJFZ (1997) No. 486 and No. 487 document the Company issued 100 million public shares (A shares) at the price of RMB 5.41 in term of “payable in full on application pro-rate placing and subject to refund” with the par value of each share being RMB 1 in January 1998.In accordance with the Resolutions of the 1999 Shareholders’ General Meeting of the Company and pursuant to the approval of Guangzhou Securities Regulatory Office under CSRC with GZZJH (2000) No. 99 and that of CSRC with ZJGSZ (2000) No. 98 the Company offered 3 Rights for every 10 shares of 764.256249 million shares at the price of RMB 11 per Right.73822250 ordinary shares were actually placed to all .Pursuant to the reply of the General Office of the People’ s Government of Guangdong Province with YBH (2000) No. 574 document the state-owned shares were transferred to Guangdong Communication Group Co. 1262025 Annual Report Ltd. (Group Co.) for holding and management without compensation.Pursuant to the approval of Shenzhen Stock Exchange 53.0205 million staff shares of the Company (132722 shares held by directors supervisors and senior executives are temporarily frozen) were listed on February 5 2001. In accordance with the resolutions of 2000 annual shareholders’ general meeting the Company capitalized capital common reserve into 419039249 shares on 5-for-10 basis with the total share capital as of the end of 2000 i.e. 838078499 shares as base. The date of stock right registration was May 21 2001. The ex-right date was May 22 2001.On March 8 2004As approved by China Securities Regulatory Commission by document Zheng-Jian-Gong-Si- Zi [2003]No.3 the 45000000 non-negotiable foreign shares were placed in Shenzhen Stock On December 21 2005 the Company's plan for share holding structure reform was voted through at the shareholders' meeting concerning A shares. On January 26 2006 The Ministry of Commerce of PRC issued “The approval on share converting of Guangdong Provincial Expressway Development Co. Ltd.” to approvethe share equity relocation and transformation. On October 9 2006 according to the “Circular aboutimplementing of share equity relocation and relative trading” issued by Shenzhen Stock Exchange the abbreviation ID of the Company’s A shares was restored from “G-Expressway” “Expressway A”. 13.Upon the approval document of CSRC No.230-2016 Zheng Jian Xu ke-Approval of the Share-Issuing to Parties such as Guangdong Provincial Expressway Co. Ltd to Purchase Assets and Raise Matching Funds by Guangdong Provincial Expressway Development Co. Ltd in June 2016 the company issued 33355263 shares and paid RMB 803.50 million to Guangdong Provincial Expressway Co. Ltd for purchasing the 25% stake of Guangdong Provincial Fokai Expressway Co. Ltd held by Guangdong Provincial Expressway Co. Ltd; and issued 466325020 shares to Guangdong Provincial Highway Construction Co. Ltd for purchasing the 100% stake of Guangzhou Guangzhu Traffic Investment Management Co. Ltd held by Guangdong Provincial Highway Construction Co. Ltd. On June 21 2016 the company directionally issued 334008095 A-shares to Yadong FuxingYalian Investment Co.Ltd Tibet Yinyue Investment Management Co.Ltd and Guangfa Securities Co.Ltd. The issuance of shares have been registered on July 7 2016 the new shares will be listed on July 8 2016. 2. Company's registered place and headquarters address Registration placeNo.85 Baiyun Road Yuexiu District Guangzhou.Headquarters Office：45-46/F Litong Plaza No.32 Zhujiang East Road Zhujiang New City Tianhe Disrtict Guangzhou 3. Business nature and main business activities Industry and main products of the company: highway management and maintenance.General business items: investment construction charging maintenance and service management of expressways grade roads and bridges; Automobile rescue service maintenance and cleaning; Parking lot charges; Design production release and agency of all kinds of advertisements at home and abroad; Land development along the highway; Warehousing business; Intelligent transportation technology research and development and service; Equity investment management and consultation. (Projects that must be approved according to law can be operated only after being approved by relevant departments).The Company is mainly engaged in tolling and maintenance of Guangfo Expressway Fokai ExpresswayJingzhu 1272025 Annual Report Expressway Guangzhu Section and Guanghui Expressway investment in technological industries and provision of relevant consultaion while investing in Shenzhen Huiyan Expressway Co. Ltd. Guangdong Jiangzhong Expressway Co.Ltd. Zhaoqing Yuezhao Expressway Co. Ltd.Ganzhou Kangda Expressway Ganzhou Gankang Expressway Co. Ltd. Guangdong Yuepu Small Refinancing Co. Ltd. Guoyuan Securities Co. Ltd Garage electric pile Holding (Shenzhen) Co. Ltd . SPIC Yuetong Qiyuan Chip Power Technology Co.Ltd.and Guangdong Guangle Expressway Co. Ltd. 4. Scope and changes of consolidated financial statements in the current period (1) Scope of current consolidated financial statements The consolidated scope of the current financial statements invovlesYuegao Capital Holding (Guangzhou) Co.Ltd. its holding subsidiaries Guangfo Expressway Co. Ltd.Jingzhu Expressway Guangzhu Section Co. Ltd.and Guanghui Expressway Co. Ltd. (2) Changes in the scope of consolidated financial statements in the current period None. 5. Approval and submission date of financial report The financial statements have been authorized for issuance of the Board of Directors of the Company on March 132026. IV. Basis for the preparation of financial statements 1.Preparation basis The financial statements shall be prepared in accordance with the Accounting Standards for Business Enterprises and relevant provisions promulgated by the Ministry of Finance as well as the relevant provisions of the Compilation Rules for Information Disclosure of Companies publicly Issuing Securities No.15 —— Financial Report (2023 Revision) of the China Securities Regulatory Commission. 2.Continuation The Company has evaluated the going concern ability for 12 months from December 312025 and has found no matters or circumstances causing significant doubt about the going concern ability. Therefore this financial statement is prepared on the basis of the going concern assumptions.V. Significant Accounting Policies and Accounting Estimates Tips for specific accounting policy and estimate: None 1. Statement of Compliance with the Accounting Standards for Business Enterprises The financial statements of the Company are recognized and measured in accordance with the regulations in the Chinese Accounting Standards for Business Enterprises and they give a true and fair view of the financial position business result and cash flow of the Company on December 31 2025. 2. Accounting period The accounting period of the Company is the calendar year from January 1 to December 31. 1282025 Annual Report 3.Operating cycle The normal operating cycle refers to the period from the time when the Group purchases assets for processing to the time when cash or cash equivalents are realized. The Company takes 12 months as a business cycle and uses it as a criterion for liquidity classification of assets and liabilities. 4.Standard currency for bookkeeping RMB is the currency of the primary economic environment in which the Company and its domestic subsidiaries operate. Accordingly the Company and its domestic subsidiaries use RMB as their functional currency. These financial statements are presented in RMB. 5 Importance criteria determination method and selection basis ?Applicable□Not applicable Item Materiality Standard Those whose single provision amount accounts for more than 5% Material receivables with bad debt provision accrued individually of the ending balance of various receivables Material recovery or reversal of bad debt provisions for Those whose amount of single collection or reversal accounts for receivables more than 5% of the ending balance of various receivables Those whose single write off amount accounts for more than 5% Material write-off of receivables of the ending balance of various receivables Those whose amount with a single account age of more than one Material prepayments with an age of more than one year year accounts for more than 10% of the ending balance of prepayments and an amount of more than RMB 5 million Those with a single project investment budget of more than RMB Material construction in progress 10 million Those whose amount with a single age of more than one year Material accounts payable and other payables with an age of over accounts for more than 5% of the balance of accounts payable or one year other payables The subsidiaries whose year-end net assets total year-end assets current operating income and total current profit account for more Material non-wholly-owned subsidiaries than 10% of the Company's year-end net assets total year-end assets current operating income and total current profit Those whose ending carrying amount of a long-term equity investment in a single investee accounts for more than 5% of the Company's ending net assets or whose current investment income Material joint venture or associated enterprises (loss calculated in absolute amount) under the equity method of long-term equity investment accounts for more than 5% of the Company's consolidated current net profits Those with an amount for a single type of more than RMB 500 Material commitments million Material contingencies Those with a single amount of more than RMB 10 million Those whose cash received from or paid for a single investment Material investment activities activity account for more than 5% of the total cash inflow or outflow 1292025 Annual Report 6. Accounting Treatment for Business Combinations under Common Control and Non-common Control Business combinations under common control: The assets and liabilities acquired by the acquirer in a business combination (including goodwill arising from the ultimate controlling party's acquisition of the acquiree) are measured based on the carrying amounts of the acquiree's assets and liabilities in the ultimate controlling party's consolidated financial statements as of the merger date. For the difference between the carrying amounts of the net assets obtained in the merger and the carrying amounts of the merger consideration paid (or the total face value of the issued shares) adjust the share capital premium in the capital reserve. If the share capital premium in the capital reserve is insufficient to offset adjust the retained earnings.Business combinations under non-common control: The consideration transferred in a business combination is measured at the fair value of the assets given liabilities incurred or assumed and equity instruments issued by the acquirer at the acquisition date in exchange for control of the acquiree. If the consideration transferred exceeds the acquirer's interest in the fair value of the acquiree's identifiable net assets the excess is recognized as goodwill; if the consideration transferred is less the difference is recognized as profit or loss for the period. The identifiable assets liabilities and contingent liabilities of the acquiree that meet the recognition criteria are measured at their fair values at the acquisition date.Directly attributable costs incurred for a business combination are recognized in profit or loss when incurred; transaction costs related to the issuance of equity or debt securities for the business combination are included in the initial measurement amount of the respective equity or debt securities. 7. Criteria for Control and Preparation Method of Consolidated Financial Statements (1) Criteria for control Control means that the Company has the power over the investee enjoys variable returns by participating in the related activities of the investee and has the ability to influence the amount of returns by using the power over the investee. Once the changes in relevant facts and circumstances lead to changes in the relevant factors involved in the definition of control the Company will re-evaluate. (2) Method for preparing consolidated financial statements The scope of consolidation of the consolidated financial statements is determined based on control.The Company includes subsidiaries in the consolidated financial statements from the date it obtains control and excludes them from the date control ceases.For subsidiaries disposed of their operating results and cash flows prior to the disposal date are included in the consolidated income statement and consolidated cash flow statement; The opening balances of the consolidated balance sheet are not adjusted for subsidiaries disposed of during the period.For subsidiaries acquired through business combinations not under common control their operating results and cash flows have been appropriately included in the consolidated income statement and consolidated cash flow statement from the acquisition date onward. Subsidiaries or businesses acquired during the reporting period through business combinations not under common control are consolidated from the acquisition date based on the fair values of identifiable assets liabilities and contingent liabilities determined at that date. 1302025 Annual Report For subsidiaries acquired through business combinations under common control regardless of when the combination occurs during the reporting period they are treated as if they had been part of the Company's consolidated financial statements since the date they came under the ultimate controlling party's control and their operating results and cash flows are included in the consolidated income statement and consolidated cash flow statement from the beginning of the earliest reporting period presented.Subsidiaries adopt the principal accounting policies and reporting periods in accordance with the uniform accounting policies and reporting periods prescribed by the Company.All significant intercompany balances transactions and unrealized profits are eliminated in the preparation of the consolidated financial statements.The portion of a subsidiary's equity not attributable to the parent company is recognized as "non- controlling interests" within the equity section of the consolidated balance sheet. The portion of a subsidiary's net profit or loss attributable to non-controlling interests is presented as "non-controlling interests in profit or loss" under net profit in the consolidated income statement.If the share of a subsidiary's losses attributable to non-controlling interests exceeds their interest in the subsidiary's opening equity balance the excess shall continue to be allocated against non-controlling interests.For transactions involving the acquisition of non-controlling interests in a subsidiary or partial disposal of equity investments without loss of control over the subsidiary such transactions shall be accounted for as equity transactions. The carrying amounts of equity attributable to the parent company's owners and non-controlling interests shall be adjusted to reflect changes in their respective interests in the subsidiary. Any difference between the adjustment to non-controlling interests and the fair value of consideration paid/received is adjusted to capital reserve. If capital reserve is insufficient retained earnings are adjusted.If control over a subsidiary is lost due to partial disposal of equity interests or other reasons the remaining equity interest is remeasured at fair value at the date control is lost. The difference between (a) the sum of the consideration received from the disposal and the fair value of any remaining equity interest and (b) the share of the net assets of the former subsidiary attributable to the previous ownership percentage (calculated on a continuous basis from the acquisition date) shall be recognized as investment income in the period in which control is lost with a corresponding reduction in goodwill. Other comprehensive income related to the former subsidiary is reclassified to current profits or losses when control is lost. 8. Criteria for Determining Cash and Cash Equivalents Cash refers to the Company's cash on hand and demand deposits. Cash equivalents refer to short-term (generally with a maturity of three months or less from the acquisition date) highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. 9. Foreign Currency Transactions and Foreign Currency Financial Statement Translation Foreign currency transactions are initially recorded in the functional currency at the spot exchange rate on the transaction date. However for foreign exchange transactions or transactions involving currency exchange the actual exchange rate applied is used for translation into the functional currency. 1312025 Annual Report At the balance sheet date foreign currency monetary items are translated using the spot exchange rate on that date. Exchange differences arising from the difference between the spot exchange rate on the balance sheet date and the spot exchange rate at the initial recognition date or the previous balance sheet date are recognized in profit or loss except for: * exchange differences arising from specific borrowings that qualify for capitalization which are capitalized as part of the cost of the related asset during the capitalization period; * exchange differences on hedging instruments used to hedge foreign currency risks which are accounted for under hedge accounting; and * exchange differences arising from changes in the carrying amount (other than amortized cost) of monetary items classified as at fair value through other comprehensive income which are recognized in other comprehensive income.Non-monetary items measured at historical cost in a foreign currency continue to be measured at the functional currency amount translated using the spot exchange rate on the transaction date. Non-monetary items measured at fair value in a foreign currency are translated using the spot exchange rate on the date the fair value is determined. The difference between the translated functional currency amount and the original functional currency amount is treated as a fair value change (including the effect of exchange rate changes) and recognized in profit or loss or other comprehensive income. 10. Financial Instruments A financial asset financial liability or equity instrument is recognized when the Company becomes a party to the contractual provisions of the financial instrument. (1) Classification of financial instruments According to the business model of financial assets under management and the contractual cash flow characteristics of financial assets the Company divides financial assets into three categories at the initial recognition: financial assets measured by amortized cost financial assets measured by fair value with its changes included in other comprehensive income and financial assets measured by fair value with its changes included in profit or loss.The Company classifies financial assets that meet both of the following criteria and are not designated at fair value through profit or loss as financial assets measured at amortized cost: - The business model's objective is to hold the assets to collect contractual cash flows; - The contractual cash flows represent solely payments of principal and interest on the principal amount outstanding.The Company classifies financial assets that meet both of the following criteria and are not designated at fair value through profit or loss as financial assets measured at fair value through other comprehensive income (debt instruments): - The business model's objective is achieved both by collecting contractual cash flows and selling the financial assets; - The contractual cash flows represent solely payments of principal and interest on the principal amount outstanding.For the investment in non-transactional equity instruments the Company can irrevocably designate it as a financial asset measured at fair value with changes included in other comprehensive income at the initial 1322025 Annual Report recognition (equity instrument). The designation is made on the basis of a single investment and the relevant investment conforms to the definition of equity instrument from the issuer's point of view.Except for the above financial assets measured in amortized cost and those at fair value with changes included in other comprehensive income the Company classifies all other financial assets as financial assets measured at fair value with changes included in profit or loss.At initial recognition financial liabilities are classified as either: (i) financial liabilities at fair value through profit or loss or (ii) financial liabilities measured at amortized cost. (2) Recognition criteria and measurement methods for financial instruments 1) Financial assets measured in amortized cost Financial assets measured at amortized cost include notes receivable accounts receivable other receivables long-term receivables debt investments etc. These assets are initially measured at fair value with related transaction costs included in the initial recognition amount. However accounts receivable without significant financing components and those for which the Company elects not to consider financing components of one year or less are initially measured at the contractual transaction price.During the holding period interest calculated using the effective interest method is recognized in profit or loss.Upon derecognition or disposal the difference between the consideration received and the carrying amount of the financial asset is recognized in profit or loss. 2) Financial assets measured at fair value with changes included in other comprehensive income (debt instruments) Financial assets measured at fair value through other comprehensive income (debt instruments) include accounts receivable financing other debt investments etc. These assets are initially measured at fair value with related transaction costs included in the initial recognition amount. These financial assets are subsequently measured at fair value. Changes in fair value except for interest calculated using the effective interest method impairment gains or losses and exchange differences are recognized in other comprehensive income.Upon derecognition the cumulative gains or losses previously recognized in other comprehensive income are reclassified from other comprehensive income to profit or loss. 3) Financial assets measured at fair value with changes included in other comprehensive income (equity instrument) Financial assets measured at fair value through other comprehensive income (equity instruments) include investments in other equity instruments etc. These assets are initially measured at fair value with related transaction costs included in the initial recognition amount. Such financial assets are subsequently measured at fair value with changes in fair value included in comprehensive income. Dividends received are recognized in profit or loss.Upon derecognition the cumulative gains or losses previously recognized in other comprehensive income are reclassified from other comprehensive income to retained earnings. 4) Financial assets measured at fair value with changes included in the profit or loss 1332025 Annual Report Financial assets measured at fair value through profit or loss include trading financial assets derivative financial assets other non-current financial assets etc. These assets are initially measured at fair value with related transaction costs recognized in profit or loss. Such financial assets are subsequently measured at fair value with changes in fair value included in profit or loss. 5) Financial liabilities measured at fair value with changes included in the profit or loss Financial liabilities measured at fair value through profit or loss include trading financial liabilities derivative financial liabilities etc. These liabilities are initially measured at fair value with related transaction costs recognized in profit or loss. Such financial liabilities are subsequently measured at fair value with changes in fair value included in profit or loss.Upon derecognition the difference between the carrying amount and the consideration paid is recognized in profit or loss. 6) Financial liabilities measured in amortized cost Financial liabilities measured at amortized cost include short-term borrowings notes payable accounts payable other payables long-term borrowings bonds payable and long-term payables. These liabilities are initially measured at fair value with related transaction costs included in the initial recognition amount.During the holding period interest calculated using the effective interest method is recognized in profit or loss.Upon derecognition the difference between the consideration paid and the carrying amount of the financial liability is recognized in profit or loss. (3) Derecognition criteria and accounting treatment for financial asset transfers The Company derecognizes a financial asset when either of the following conditions is met: - The contractual rights to receive the cash flows from the financial asset expire; - The financial asset has been transferred and substantially all the risks and rewards of ownership of the financial asset have been transferred to the transferee; - The financial asset has been transferred and although the Company has neither transferred nor retained substantially all the risks and rewards of ownership of the financial asset it has not retained control over the financial asset.When the Company modifies or renegotiates the terms of a contract with the counterparty and such modification constitutes a substantial modification the original financial asset is derecognized and a new financial asset is recognized based on the modified terms.When a financial asset is transferred if substantially all the risks and rewards of ownership of the financial asset are retained the financial asset is not derecognized.In assessing whether the transfer of a financial asset meets the above derecognition criteria the principle of substance over form is applied.The Company divides the transfer of financial assets into the overall transfer and partial transfer of financial assets. When the transfer of a financial asset in its entirety meets the derecognition criteria the difference between the following amounts shall be recognized in profit or loss: 1342025 Annual Report 1) The carrying amount of the transferred financial asset; 2) The sum of the consideration received from the transfer and the cumulative amount of fair value changes previously recognized directly in equity (where the transferred financial asset is a debt instrument measured at fair value through other comprehensive income).When a partial transfer of a financial asset meets the derecognition criteria the carrying amount of the entire financial asset shall be allocated between the derecognized portion and the retained portion based on their relative fair values and the difference between the following amounts shall be recognized in profit or loss: 1) The carrying amount of the derecognized portion; 2) The sum of the consideration received for the derecognized portion plus the proportionate share of cumulative fair value changes previously recognized directly in equity (where applicable to debt instruments measured at fair value through other comprehensive income).If the transfer of financial assets does not meet the conditions for derecognition such financial assets shall be continuously recognized and the received consideration shall be recognized as a financial liability. (4) Derecognition of financial liabilities A financial liability (or part thereof) shall be derecognized when the present obligation is discharged in whole or in part; If the Company enters into an agreement with creditors to replace an existing financial liability with a new financial liability and the terms of the new liability are substantially different from those of the existing liability the existing financial liability shall be derecognized and the new financial liability shall be recognized simultaneously.If there is a substantial modification to the contractual terms of an existing financial liability (in whole or in part) the original financial liability (or the modified portion) shall be derecognized and the modified financial liability shall be recognized as a new financial liability.If all or part of the financial liabilities are derecognized the difference between the carrying amounts of the derecognized financial liabilities and the consideration paid (including the transferred non-cash assets or the new financial liabilities undertaken) will be included in the profit or loss.When the Company repurchases a portion of a financial liability the carrying amount of the entire liability shall be allocated between the portion to be continued and the portion to be derecognized based on their relative fair values as of the repurchase date. The difference between the allocated carrying amount of the derecognized portion and the consideration paid (including transferred non-cash assets or newly assumed financial liabilities) shall be recognized in profit or loss. (5) Fair value measurement methods for financial assets and liabilities The fair value of financial instruments with an active market shall be determined by the quotation in the active market. The fair value of financial instruments without active market shall be determined by valuation technology. At the time of valuation the Company adopts the valuation technology that is applicable in the current situation and supported by sufficient available data and other information selects the input values that are consistent with the characteristics of assets or liabilities considered by market participants in the transaction of relevant assets or liabilities and gives priority to the relevant observable input values. Unobservable input values can only be used if the relevant observable input values are unavailable or impracticable. 1352025 Annual Report (6) Impairment testing and accounting treatment for financial instruments The Company applies impairment accounting based on expected credit losses to financial assets measured at amortized cost debt instruments measured at fair value through other comprehensive income and financial guarantee contracts.The Company measures expected credit losses by incorporating reasonable and supportable information about past events current conditions and forecasts of future economic conditions calculating a probability- weighted amount of the present value of the difference between the contractual cash flows and the expected cash flows using the risk of default as the weighting factor.For receivables and contract assets arising from transactions governed by Accounting Standards for Business Enterprises No. 14 - Revenue the Company consistently measures loss allowances at an amount equal to lifetime expected credit losses regardless of whether they contain significant financing components.For lease receivables arising from transactions governed by Accounting Standards for Business Enterprises No. 21 - Leases the Company has elected to consistently measure loss allowances at an amount equal to lifetime expected credit losses.For other financial instruments the Company assesses changes in credit risk since initial recognition at each balance sheet date.The Company evaluates whether credit risk has increased significantly since initial recognition by comparing the risk of default at the balance sheet date with the risk of default at initial recognition to determine the relative change in default risk over the financial instrument's expected maturity period thus assessing whether the credit risk of the financial instrument has increased significantly since initial recognition. The Company presumes that the credit risk of a financial instrument has increased significantly when it is more than 30 days past due unless there is compelling evidence demonstrating that no significant increase in credit risk has occurred since initial recognition.If a financial instrument has low credit risk at the balance sheet date the Company considers that no significant increase in its credit risk has occurred since initial recognition.For financial instruments whose credit risk has increased significantly since initial recognition the Company measures loss allowances at an amount equal to lifetime expected credit losses; for those without significant increase in credit risk loss allowances are measured at an amount equal to 12-month expected credit losses. The resulting increases or decreases in loss allowances are recognized in profit or loss as impairment losses or gains. For debt instruments measured at fair value through other comprehensive income the loss allowance is recognized in other comprehensive income while impairment losses or gains are recognized in profit or loss without reducing the carrying amount of the financial asset presented in the balance sheet.When objective evidence indicates that a specific receivable has experienced credit impairment the Company measures its impairment provision on an individual basis.For receivables other than those subject to individual bad debt provision as mentioned above the Company categorizes the remaining financial instruments into several portfolios based on their credit risk characteristics and determines expected credit losses on a portfolio basis. The Company's portfolio groupings and determination basis for measuring expected credit losses on notes receivable accounts receivable financing receivables other receivables contract assets and long-term receivables are as follows: 1362025 Annual Report 1) Basis for determining credit risk characteristic portfolios Item Portfolio category Determination basis For accounts receivable and other receivables not individually assessed for loss allowances or included in Portfolio 2 3 or 4 the Company determines Portfolio 1 Aging portfolio loss allowances based on expected credit losses of receivables portfolioswith similar credit risk characteristics grouped by aging brackets in prior periods incorporating forward-looking information. The aging period shall be calculated from the initial recognition date of receivables.Other receivables including various deposits guarantees advance payments Portfolio 2 Deposit-type portfolio warranty funds employee advances and petty cash reserves arising from ordinary operating activities.Portfolio 3 Financial asset portfolio with Notes receivable and other receivables with minimal credit risk based onvery low credit risk expected credit loss assessments.Portfolio 4 Risk-free portfolio Receivables from related parties within the consolidation scope. 2) When performing credit risk assessment using the portfolio approach the Company measures expected credit losses and recognizes loss allowances for financial assets based on the portfolio structure and similar credit risk characteristics (debtors' repayment capacity under contractual terms) incorporating historical default loss experience current economic conditions and forward-looking information using the expected maturity period as the measurement basis.Methods for measuring loss allowances by different portfolios: Item Measurement method Portfolio 1 (aging portfolio) Expected maturity period Portfolio 2 (deposit-type portfolio) Expected maturity period Portfolio 3 (financial asset portfolio with very low credit risk) Expected maturity period Portfolio 4 (risk-free portfolio) Expected maturity period 3) Expected credit loss rates by portfolio: Portfolio 1 (aging portfolio): Expected credit loss rate Aging Expected credit loss rate of accounts Expected credit loss rate of otherreceivable (%) receivables (%) Within 1 year 0.00 0.00 1-2 years（Including 2 years） 10.00 10.00 2-3 years（including 3 years） 30.00 30.00 3-4 years（Including 4 years） 50.00 50.00 4-5 years（Including 5 years） 90.00 90.00 Over 5 years 100.00 100.00 Portfolio 2 (deposit-type portfolio): Based on historical default loss experience current economic conditions and forward-looking information the expected credit loss rate is 0%; Portfolio 3 (financial asset portfolio with very low credit risk): Based on historical default loss experience current economic conditions and forward-looking information the expected credit loss rate is 0%; Portfolio 4 (risk-free portfolio): Based on historical default loss experience current economic conditions and forward-looking information the expected credit loss rate is 0%.If the Company no longer reasonably expects to recover all or part of the contractual cash flows of a financial asset the carrying amount of the financial asset is directly written off. 1372025 Annual Report 11. Contract Assets and Contract Liabilities The Company recognizes contract assets in the balance sheet for rights to consideration that are conditional on factors other than the passage of time (i.e. not unconditional) where the Company has performed its obligations under the contract but the customer has not yet paid the contractual consideration. Contract assets and liabilities under the same contract are presented on a net basis; those under different contracts are not offset.The measurement methods and accounting treatment for expected credit losses on contract assets follow "(6) Impairment testing and accounting treatment for financial instruments in Section 10". The Company presents either a contract asset or liability in the balance sheet based on the relationship between performance obligations and customer payments. Obligations to transfer goods or services to customers for which the Company has received or is entitled to receive consideration are classified as contract liabilities. Contract assets and liabilities under the same contract are presented on a net basis. 12. Long-term Equity Investments (1) Criteria for determining joint control and significant influence Joint control is the contractually agreed sharing of control over an arrangement where decisions about relevant activities of such arrangement require unanimous consent of all parties sharing control. Investees over which the Company exercises joint control with other parties and has rights to their net assets are classified as joint ventures of the Company.Significant influence is the power to participate in financial and operating policy decisions of an investee without control or joint control over those policies. Investees over which the Company has significant influence are classified as associates of the Company. (2) Determination of initial investment cost For long-term equity investments in subsidiaries acquired through business combinations under common control the initial investment cost is measured at the carrying amount of the acquiree's equity interests in the consolidated financial statements of the ultimate controlling party on the merger date. The difference between the initial investment cost of the long-term equity investment and the carrying amount of consideration paid shall be adjusted against the share premium within capital reserves. If the share premium is insufficient to absorb the difference the remaining amount shall be adjusted against retained earnings.For long-term equity investments in subsidiaries acquired through business combinations not under common control the initial investment cost is measured at the fair value of consideration transferred on the acquisition date. (2) Long-term equity investments obtained other than through business combinations For investments acquired by cash payment the initial investment cost is the actual purchase price paid. For investments acquired by issuing equity instruments the initial investment cost is the fair value of the equity instruments issued. (3) Subsequent measurement and profit/loss recognition methods 1382025 Annual Report 1) Long-term equity investments measured at cost The Company applies the cost method for long-term equity investments in subsidiaries unless the investment meets the criteria to be classified as held for sale. The Company recognizes current-period investment income based on its share of cash dividends or profits declared by the investee excluding any dividends or profits declared but not yet paid that were included in the actual payment or consideration for the investment. 2) Long-term equity investments accounted for under the equity method For long-term equity investments in associates and joint ventures the Company applies the equity method.Where the initial investment cost exceeds the investor's share of the fair value of the investee's identifiable net assets at the acquisition date the excess is not adjusted against the initial investment cost; Where the initial investment cost is less than such share the difference is recognized in profit or loss with a corresponding adjustment to the carrying amount of the investment.The Company recognizes its share of the investee's net profit or loss and other comprehensive income as investment income and other comprehensive income respectively with corresponding adjustments to the carrying amount of the long-term equity investment; reduces the carrying amount by its share of profits or cash dividends declared by the investee; and for other changes in the investee's equity other than those resulting from net profit or loss other comprehensive income or profit distributions (hereinafter referred to as "other equity changes") adjusts the carrying amount of the long-term equity investment and recognizes the changes directly in equity.When determining the Company's share of the investee's net profit or loss other comprehensive income and other equity changes such share shall be recognized based on the fair value of the investee's identifiable net assets at the acquisition date after adjusting the investee's net profit and other comprehensive income in accordance with the Company's accounting policies and reporting periods.Unrealized profits and losses arising from transactions between the Company and its associates or joint ventures are eliminated to the extent of the Company's ownership interest when recognizing investment income except when the transferred assets constitute a business. Unrealized losses arising from transactions with the investee that qualify as asset impairment losses are recognized in full.The Company recognizes its share of net losses of a joint venture or associate until the carrying amount of the long-term equity investment plus any long-term interests that are essentially advances to the investee are reduced to zero unless the Company has incurred additional loss obligations. For subsequent net profits earned by the joint venture or associate the Company resumes recognition of its share of profits only after the profit share offsets previously unrecognized loss shares. 3) Disposal of long-term equity investments The difference between the carrying amount of a disposed long-term equity investment and the actual proceeds received is recognized in profit or loss.For partial disposals of equity-method investments where the remaining interest continues to be accounted for under the equity method the other comprehensive income previously recognized under the equity method is reclassified proportionately on the same basis as if the investee had directly disposed of the related assets or liabilities while other equity changes are proportionately reclassified to profit or loss. 1392025 Annual Report When joint control or significant influence over an investee is lost due to disposal of equity investments the other comprehensive income previously recognized under the equity method is accounted for on the same basis as if the investee had directly disposed of the related assets or liabilities upon cessation of equity method accounting while all other equity changes are fully reclassified to profit or loss at the time of discontinuation.When control over an investee is lost due to partial disposal of equity investments the Company in preparing its separate financial statements if the remaining interest retains joint control or significant influence transitions to equity method accounting with retrospective adjustment as if the equity method had always been applied proportionately reclassifying pre-control other comprehensive income on the same basis as if the investee had directly disposed of the related assets/liabilities and proportionately reclassifying equity-method- related other equity changes to profit or loss; if no joint control or significant influence is retained reclassifies the remaining interest as a financial asset with the difference between its fair value and carrying amount at the date of control loss recognized in profit or loss while fully reclassifying all pre-control other comprehensive income and other equity changes.For step-by-step disposals of equity investments in subsidiaries resulting in loss of control that qualify as a single integrated transaction all individual transactions are accounted for as a single disposal event with the difference between the consideration received and the carrying amount of the disposed equity interest for each pre-control-disposal transaction being initially recognized in other comprehensive income in the separate financial statements and subsequently reclassified in its entirety to profit or loss at the point when control is ultimately lost. For non-single arrangements each transaction is accounted for separately. 13. Investment Properties Measurement model of investment property Cost model Depreciation or amortization method Investment properties refer to real estate properties held for earning rental income capital appreciation or both including leased land use rights land use rights held for capital appreciation with intent to transfer and leased buildings.Investment properties are initially measured at cost. Subsequent expenditures related to investment properties are included in the cost of investment real estate if the economic benefits related to the asset are likely to flow in and the cost can be measured reliably. Other subsequent expenditures are recognized in profit or loss when incurred. 14. Fixed Assets (1) Recognition criteria Fixed assets refer to tangible assets held for producing goods providing services leasing or management with a service life of more than one fiscal year. Fixed assets are recognized only when the economic benefits related to them are likely to flow into the Company and their costs can be measured reliably. Fixed assets are initially measured at cost taking into account the impact of estimated disposal costs. Subsequent expenditures related to fixed assets are capitalized when it is probable that associated economic benefits will flow to the 1402025 Annual Report entity and the costs can be reliably measured; The carrying amount of any replaced parts is derecognized; All other subsequent expenditures are recognized as profit or loss when incurred. (2) Depreciation methods Depreciation is calculated from the month following the date when the assets become available for their intended use applying either the straight-line method or units-of-production method over their useful lives.Depreciation rates are determined based on the category of assets estimated useful lives and estimated residual value rates. For fixed assets with recognized impairment losses depreciation in subsequent periods is calculated based on the carrying amount after deducting impairment provisions and the remaining useful life. If components of the fix assets have different useful lives or provide economic benefits to the enterprise in different ways different depreciation rates or methods are applied separately.Useful lives estimated residual values and annual depreciation rates by category of fixed assets: Annual depreciation Category Depreciation method Useful life Residual rate rate Highways & Bridges Including：Guangfo Expressway Working flow basis 28 0.00 Fokai Expressway-Xiebian to Sanbao Section Working flow basis 40 0.00 Fokai Expressway-Sanbao to Shuikou Section Working flow basis 47.5 0.00 Jingzhu Expressway Guangzhu Section Working flow basis 30 0.00 Guanghui Expressway Co. Ltd. Working flow basis 23 0.00 House Building The straight-line method 20-30 3.00-5.00 3.17-4.85 Machine Equipment The straight-linemethod 3-10 3.00-5.00 9.50-32.33 Transportation Equipment The straight-linemethod 5-8 3.00-5.00 11.88-19.40 Other The straight-linemethod 5 3.00-5.00 19.00-19.40 Estimated residual value represents the net amount that the Company would currently obtain from the asset's disposal after deducting estimated disposal costs assuming the asset has reached the end of its expected useful life and is in the condition expected at that time. 15. Construction in Progress The cost of construction in progress is determined based on actual project expenditures including all construction-related expenses incurred during the construction period borrowing costs capitalized before the project reaches its intended usable condition and other relevant costs. No depreciation is allowed for construction in progress.Construction in progress is carried forward to fixed assets after it reaches the intended usable state. The standards and timing for transferring various construction in progress to fixed assets are as follows: Standards for Category transferring to fixed Timing for transferring to fixed assets assets Expressway Reaching the intended (1) Physical construction including the installation of related equipment and 1412025 Annual Report construction project usable condition ancillary facilities has been fully completed or substantially completed; (2) Subsequent construction expenditures are minimal or almost non-existent; (3) Related equipment has been debugged and can operate normally and stably for a certain period; (4) The constructed expressway has met or substantially met the design or contractual requirements; (5) If the construction project has reached the intended usable condition but the final account has not been settled it shall be transferred to fixed assets at an estimated value based on the actual cost from the date it reaches the intended usable condition. (1) Physical construction including installation work has been fully completed or substantially completed; (2) Subsequent expenditures on the buildings and structures are minimal or almost non-existent; (3) The constructed buildings and Buildings and Reaching the intended structures have met or substantially met the design or contractual requirements; structures usable condition (4) If the construction project has reached the intended usable condition but the final account has not been settled it shall be transferred to fixed assets at an estimated value based on the actual cost from the date it reaches the intended usable condition. (1) Related equipment and other supporting facilities have been installed; (2) After Machinery and Reaching the intended debugging the equipment can maintain normal and stable operation for a period equipment usable condition of time and be accepted by relevant personnel. 16. Borrowing Costs Borrowing costs comprise interest expenses on borrowings amortization of discounts or premiums ancillary costs and foreign exchange differences arising from foreign currency borrowings. Borrowing costs that are directly attributable to the acquisition construction or production of a qualifying asset shall be capitalized when expenditures for the asset have been incurred borrowing costs have been incurred and activities necessary to prepare the asset for its intended use or sale have begun and capitalization shall cease when the qualifying asset being acquired constructed or produced has reached its intended usable or salable condition. All other borrowing costs shall be recognized as an expense in the period in which they are incurred.For specific borrowings the amount of borrowing costs eligible for capitalization shall be the actual borrowing costs incurred during the period less any investment income from the temporary investment of those borrowings. For general borrowings the amount of borrowing costs eligible for capitalization shall be determined by applying the capitalization rate to the weighted average of the expenditures on that asset that exceed the specific borrowings. The capitalization rate shall be determined based on the weighted average interest rate of the general borrowings. 17. Intangible Assets (1) Useful life and its determination basis estimation amortization method or review procedure Intangible assets are initially measured at cost including purchase price related taxes and duties and other directly attributable expenditures necessary to bring the asset to its intended use. The Company assesses the useful life of intangible assets upon acquisition. For intangible assets with finite useful lives amortization is recognized over their expected economic benefit periods; Intangible assets for which the expected useful life cannot be reliably estimated are considered to have indefinite useful lives and are not amortized.The amortization methods useful lives and residual values of intangible assets are as follows: Item Useful life Amortization method 1422025 Annual Report Land use right Remaining useful life Straight-line method Software 3-5 years Straight-line method Toll road concession right Residual concession period Working flow basis At each period-end the useful lives and amortization methods of finite-lived intangible assets are reviewed with any changes accounted for as changes in accounting estimates. 18. Long-term Prepaid Expenses Long-term prepaid expenses refer to costs that have already been incurred but should be allocated over the current reporting period and subsequent periods with an amortization period exceeding one year. Such expenses are amortized using the straight-line method over their expected benefit periods. 19. Long-term Asset Impairment For long-term equity investments investment properties measured at cost property plant and equipment construction in progress right-of-use assets and finite-lived intangible assets the Company assesses at each balance sheet date whether there are any impairment indicators. If any impairment indicators exist the recoverable amount shall be estimated and impairment testing shall be performed.If the impairment test indicates that the recoverable amount of an asset is lower than its carrying amount the difference shall be recognized as an impairment provision and recorded as an impairment loss. The recoverable amount shall be the higher of an asset's fair value less costs of disposal and the present value of the estimated future cash flows expected to be derived from the asset. Impairment provisions for assets shall be calculated and recognized on an individual asset basis except when it is impracticable to reliably estimate the recoverable amount of an individual asset in which case the recoverable amount shall be determined for the cash-generating unit to which the asset belongs. Asset group is the smallest asset portfolio that can generate cash inflow independently. 20.Contract Liabilities The company presents contract assets or contract liabilities in the balance sheet based on the relationship between the performance of the obligation and the customer's payment. The obligations to transfer goods or provide services to the customer in exchange for the consideration received or receivable from the customer are presented as contract liabilities. Contract assets and contract liabilities under the same contract are presented net. 21. Employee Benefits (1) Accounting treatment for short-term employee benefits The Company recognizes actual short-term employee benefits as liabilities during the accounting periods in which employees render services with corresponding charges to profit or loss or relevant asset costs. 1432025 Annual Report The Company's contributions to social insurance and housing provident funds for employees as well as labor union funds and worker education funds accrued in accordance with applicable regulations shall be determined based on the prescribed contribution bases and rates during the accounting periods in which employees render services to the Company.Employee welfare expenses are recognized at actual amounts incurred and charged to profit or loss or relevant asset costs with non-monetary benefits measured at fair value. (2) Accounting treatment for post-employment benefits The Company contributes to basic pension insurance and unemployment insurance for employees in accordance with local government regulations. The required contributions calculated based on locally prescribed bases and rates during employee service periods are recognized as liabilities and charged to profit or loss or relevant asset costs. (3) Accounting treatment for termination benefits When providing termination benefits the Company recognizes corresponding liabilities at the earlier of: (a) when the Company can no longer unilaterally withdraw the termination offer under the redundancy plan or severance proposal; or (b) when the Company recognizes restructuring-related costs or expenses involving termination payments with a corresponding charge to profit or loss. 22.Estimated liabilities A provision shall be recognized when all of the following conditions are met in relation to a contingent obligation: (1) the obligation is a present obligation of the Company; (2) it is probable that an outflow of economic benefits will be required to settle the obligation; and (3) the amount of the obligation can be measured reliably.At the balance sheet date provisions shall be measured at the best estimate of the expenditure required to settle the present obligation taking into account risks and uncertainties associated with the contingent event as well as the time value of money where material. When the time value of money is material the best estimate shall be determined by discounting the estimated future cash outflows.The Company reviews the carrying amount of provisions at each balance sheet date and adjusts them to reflect the current best estimate when there is objective evidence that the carrying amount no longer represents the appropriate measurement. 23. Revenue Revenue recognition and measurement accounting policies are disclosed by business type. (1) Accounting policies for revenue recognition and measurement The Company recognizes revenue when it satisfies a performance obligation under the contract by transferring control of goods or services to the customer. Control of goods or services is obtained when the customer has the ability to direct the use of and obtain substantially all the remaining benefits from those goods or services. 1442025 Annual Report For contracts containing two or more performance obligations the Company allocates the transaction price to each distinct performance obligation at contract inception based on the relative stand-alone selling prices of the promised goods or services. Revenue is measured based on the transaction price allocated to each distinct performance obligation.Transaction price is the amount of consideration that the Company is expected to receive for transferring the goods to customers excluding the payment collected on behalf of third parties and the payment that the Company is expected to return to customers. The Company determines the transaction price based on the contract terms and its historical business practices while considering the effects of variable consideration significant financing components in the contract non-cash consideration and consideration payable to customers. The Company estimates the transaction price including variable consideration at an amount that does not exceed the level for which it is highly probable that the cumulative recognized revenue will not be subject to significant reversal when the related uncertainty is resolved. For contracts with significant financing components the Company determines the transaction price as the cash selling price at the date control transfers with any difference between this amount and the contract consideration amortized using the effective interest method over the contract period. At contract inception the Company does not consider the existence of a significant financing component when the period between the transfer of control of goods or services to the customer and the customer's payment is expected to be one year or less.A performance obligation is satisfied over time if one or more of the following criteria are met; otherwise it is satisfied at a point in time: * The customer simultaneously receives and consumes the benefits provided by the Company's performance as the Company performs; * The customer controls the goods or services in process as they are constructed or provided by the Company; The goods or services created by the Company's performance have no alternative use to the Company and the Company has an enforceable right to payment for performance completed to date throughout the contract period.For the performance obligations performed in a certain period of time the Company shall recognize the income according to the performance progress during that period except that the performance progress cannot be reasonably determined. The Company determines the progress of performance using either an output method or input method based on the nature of the goods or services. When the progress cannot be reasonably measured revenue is recognized to the extent of costs incurred that are expected to be recoverable until such time as the progress can be reliably determined.For performance obligations satisfied at a point in time the Company recognizes revenue when the customer obtains control of the related goods or services. In assessing whether control of goods or services has transferred the Company considers the following indicators: * The Company has a present right to payment for the goods or services (i.e. the customer has a present obligation to pay for such goods or services).* The Company has transferred legal title of the goods to the customer (i.e. the customer has legal ownership of such goods). 1452025 Annual Report * The Company has physically transferred the goods to the customer (i.e. the customer has physical possession of such goods).* The Company has transferred the principal risks and rewards of ownership of the goods to the customer (i.e. the customer has obtained the principal risks and rewards of such goods ownership).* The customer has accepted the goods or services etc.* Other indicators demonstrating that the customer has obtained the control of goods.The Company determines whether it is acting as a principal or an agent in transactions by assessing whether it obtains control of the goods or services before transferring them to the customer. When the Company obtains control of goods or services before transferring them to the customer it acts as a principal and recognizes revenue at the gross amount of consideration received or receivable; otherwise it acts as an agent and recognizes revenue at the net amount of commission or fee to which it expects to be entitled. (2) Revenue recognition methods and measurement approaches by business type 1) Toll revenue Toll revenue refers to the toll revenue from operating toll roads which is recognized according to the amount collected and receivable when vehicles pass. 2) Advertising and other revenue Advertising and other revenues are recognized as operating income over the service period based on elapsed service time and contractual pricing.Different revenue recognition methods and measurement approaches apply to similar business activities under different operating models. 24. Contract Costs Contract costs comprise costs to obtain a contract and costs to fulfill a contract.Incremental costs of obtaining a contract (i.e. costs that would not have been incurred if the contract had not been acquired) that are expected to be recovered are recognized as an asset and amortized on the same basis as the revenue recognition pattern of the related goods or services with the amortization charged to profit or loss. Other costs incurred by the Company to obtain a contract shall be recognized as profit or loss when incurred unless they are specifically recoverable from the customer.Costs incurred to fulfill a contract that do not fall within the scope of other standards (such as inventories property plant and equipment or intangible assets) are recognized as an asset when all of the following conditions are met: (1) The costs relate directly to a specific contract (including direct labor direct materials manufacturing overheads or similar costs explicitly chargeable client costs and other costs incurred only for that contract); (2) The costs enhance the Company's resources that will be used to satisfy performance obligations in the future; (3) The costs are expected to be recovered. Such assets are amortized on the same basis as the revenue recognition pattern of the goods related to such assets with the amortization charged to profit or loss. 1462025 Annual Report When determining impairment losses on assets related to contract costs the Company shall first assess and recognize impairment losses on other contract-related assets that are accounted for under applicable accounting standards; subsequently for assets arising from contract costs when the carrying amount exceeds the difference between: (1) the remaining consideration expected to be received for transferring the related goods or services; and (2) the estimated costs required to complete such transfer the excess amount shall be recognized as an impairment provision and recorded as an impairment loss.An impairment provision recognized for an asset relating to contract costs shall be reversed if the reasons for the impairment have ceased to apply such that the above difference exceeds the carrying amount. The reversal shall be recognized in profit or loss provided that the increased carrying amount does not exceed the carrying amount that would have been determined (net of amortization or depreciation) had no impairment provision been recognized 25. Government Grants (1) Classification Government grants are monetary or non-monetary assets received by the Company from government authorities without compensation classified into government grants related to assets and government grants related to income.Government grants related to assets refer to government grants acquired by the Company for the purchase construction or other forms of acquisition of long-term assets. Government grants related to income refer to government grants other than those related to assets.Government documents clearly specify that government grants for purchase construction or other forms of acquisition of long-term assets are recognized as government grants related to assets. If the object of grants is not clearly specified in government documents and long-term assets can be formed the part of government grants corresponding to the value of assets shall be regarded as the government grants related to assets and the rest shall be regarded as the government grants related to income; If it is difficult to distinguish them the government grants as a whole will be regarded as a government grants related to income. Government grants related to assets are recognized as deferred income. The amount recognized as deferred income is systematically amortized to profit or loss over the useful lives of the related assets using a rational and systematic method.Government grants other than those related to assets are recognized as government grants related to income.Government grants related to income that compensate the enterprise for relevant expenses or losses to be incurred in future periods are recognized as deferred income and subsequently amortized to profit or loss when the related expenses are recognized whereas grants compensating already incurred expenses or losses are directly recognized in profit or loss.When the Company receives subsidized preferential loan interest through fiscal authorities disbursing funds to lending banks which then provide loans at preferential policy rates the loan is measured at the actual amount received with borrowing costs calculated based on the principal amount and preferential interest rate; when fiscal authorities directly disburse the interest subsidy to the Company the corresponding subsidy amount reduces the related borrowing costs. (2) Recognition timing 1472025 Annual Report Government grants are recognized when the Company can comply with the attached conditions and can reasonably assure their receipt. (3) Accounting treatment Government grants related to assets are recognized as deferred income and systematically amortized to profit or loss over the useful lives of the related assets using a rational and systematic method. Government grants related to the Company's ordinary activities are recognized as other income while those unrelated to ordinary activities are recognized as non-operating income. 26. Deferred Tax Assets / Deferred Tax Liabilities The Company applies the balance sheet liability method for income tax accounting.For the difference between the carrying amounts of some assets and liabilities and their tax basis and the temporary difference between the carrying amounts of items that are not recognized as assets and liabilities but can be determined in tax basis according to the provisions of the tax law and tax basis the balance sheet liability method is adopted to recognize deferred tax assets and deferred tax liabilities.Deferred tax assets are recognized for deductible temporary differences to the extent that it is probable that taxable profit will be available against which the deductible temporary differences can be utilized. For deductible losses and tax deductions that can be carried forward to future years the corresponding deferred tax assets are recognized to the extent that it is likely to obtain future taxable income for deducting deductible losses and tax deductions.Deferred tax liabilities are recognized for all taxable temporary differences except in certain specified circumstances.Deferred tax assets or liabilities shall not be recognized for the following special circumstances: * * The initial recognition of goodwill; * Transactions or events that (a) are not business combinations (b) at the time of occurrence affect neither accounting profit nor taxable income (or deductible losses) and (c) upon initial recognition of the related assets or liabilities do not create offsetting taxable and deductible temporary differences of equal amounts.A deferred tax liability shall be recognized for taxable temporary differences associated with investments in subsidiaries associates and joint ventures except when the Company can control the timing of the reversal of the temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future. A deferred tax asset shall be recognized for deductible temporary differences associated with investments in subsidiaries associates and joint ventures only when it is probable that the temporary difference will reverse in the foreseeable future and sufficient taxable profit will be available against which the deductible temporary difference can be utilized.On the balance sheet date deferred tax assets and liabilities shall be measured using the tax rates that are expected to apply to the periods when the assets are recovered or liabilities are settled based on tax laws enacted or substantively enacted by that date.On the balance sheet date the carrying amount of deferred tax assets is reviewed and reduced to the extent that 1482025 Annual Report it is no longer probable that sufficient taxable profit will be available to realize the associated benefit. Such reductions are reversed when it subsequently becomes probable that sufficient taxable profit will be available. 27. Lease A lease is a contract that conveys the right to use an asset for a period of time from the lessor to the lessee in exchange for consideration. On the commencement date of the contract the Company evaluates whether the contract is a lease or contains a lease. If a contract conveys the right to control the use of one or more identified assets for a period of time in exchange for consideration the contract is or contains a lease.When a contract contains multiple separate lease components the Company separates and accounts for each lease component individually. For contracts containing both lease and non-lease components lessees and lessors separate the lease components from non-lease components. (1) Accounting treatment as a lessee 1) right-of-use assets At the commencement date of the lease term the Company recognizes right-of-use assets for all leases except short-term leases and leases of low-value assets. The right-of-use assets are initially measured at cost.Such cost comprises: * The initial measurement amount of the lease liability; * Lease payments made at or before the commencement date of the lease term less any lease incentives received; * Initial direct costs incurred by the Company; * The estimated costs to dismantle remove restore the underlying asset or reinstate the site or such underlying asset to its contractual condition excluding costs attributable to inventory production.Subsequently the Company depreciates right-of-use assets using the straight-line method. When the Company is reasonably certain to obtain ownership of the underlying asset by the end of the lease term depreciation is calculated over the remaining useful life of the underlying asset; otherwise depreciation is calculated over the shorter of the lease term and the underlying asset's remaining useful life.The Company assesses right-of-use assets for impairment following the principles described in "XIX.Long-lived Asset Impairment" in this section and accounts for any identified impairment losses accordingly. 2) Lease liabilities At the commencement date of the lease term the Company recognizes lease liabilities for all leases except short-term leases and leases of low-value assets. The lease liability is initially measured at the present value of the unpaid lease payments. Lease payments include: * Fixed payments (including in-substance fixed payments) less any lease incentives; * Variable lease payments that depend on an index or rate; * Amounts expected to be payable under residual value guarantees provided by the Company; 1492025 Annual Report * The exercise price of purchase options if the Company is reasonably certain to exercise the option; * Termination penalties if the lease term reflects the Company's expectation of exercising a termination option.The Company uses the interest rate implicit in lease as the discount rate or if such rate cannot be reasonably determined the Company's incremental borrowing rate shall be adopted as the discount rate.The Company calculates interest expense on the lease liability for each period during the lease term using a fixed periodic interest rate which is charged to profit or loss or capitalized into the cost of related assets.Variable lease payments not included in the lease liability measurement are recognized in profit or loss or capitalized into the cost of related assets when incurred.After the commencement date of the lease term the Company remeasures the lease liability and adjusts the corresponding right-of-use asset in the following circumstances. If the carrying amount of the right-of-use asset has been reduced to zero but further reduction of the lease liability is required the excess is recognized in profit or loss: * When there is a change in the assessment of purchase renewal or termination options or when actual exercise of these options differs from the original assessment the Company remeasures the lease liability using the revised lease payments and updated discount rate; * When there are changes to in-substance fixed payments expected payments under residual value guarantees or indices/rates used to determine lease payments the Company remeasures the lease liability using the revised lease payments and original discount rate; However if the change in lease payments results from fluctuations in a variable interest rate the present value shall be recalculated using the revised discount rate. 3) Short-term leases and leases of low-value assets For short-term leases and leases of low-value assets where the Company elects not to recognize right-of- use assets and lease liabilities the related lease payments are recognized in profit or loss or capitalized into the cost of related assets on a straight-line basis over the lease term. A short-term lease is a lease that at the commencement date of the lease term has a lease term of 12 months or less and does not contain a purchase option. An a lease of low-value assets refers to a lease of an individual asset that has low value when new. The Company classifies leases of individual underlying assets with a new value not exceeding RMB 40000 as leases of low-value assets. If the Company subleases or expects to sublease the underlying assets the original lease does not qualify as a lease of low-value assets. 4) Lease modifications * The modification increases the scope of the lease by adding one or more underlying assets; * The additional consideration is commensurate with the standalone price for the increased lease scope adjusted to reflect the specific circumstances of the contract.If the modification is not accounted for as a separate lease on the effective date of the modification the Company will re-allocate the consideration of the modified contract re-determine the lease term and re- measure the lease liabilities according to the present value calculated by the changed lease payment and the revised discount rate. 1502025 Annual Report If a modification reduces the lease scope or term the Company proportionately reduces the carrying amount of the right-of-use asset and recognizes any gain/loss from partial/full termination in profit or loss. For other modifications requiring lease liability remeasurement the Company adjusts the carrying amount of the right-of-use asset correspondingly. (2) Accounting treatment as a lessor At the commencement date of the lease the Company classifies leases as either finance leases or operating leases. A finance lease is a lease that transfers substantially all the risks and rewards incidental to ownership of the underlying asset regardless of whether legal title is eventually transferred. An operating lease is any lease that does not qualify as a finance lease. When acting as an intermediate lessor the Company classifies subleases based on the right-of-use asset arising from the head lease. 1) Accounting treatment of operating lease Lease income from operating leases is recognized on a straight-line basis over the lease term. Initial direct costs incurred related to operating leases are capitalized and allocated to profit or loss over the lease term using the same basis as lease income recognition. Variable lease payments not included in lease income are recognized in profit or loss when incurred. Modifications to operating leases are accounted for as new leases by the Company from the effective modification date with any prepaid/accrued lease income attributable to the original lease treated as part of the new lease payments. 2) Accounting treatment of finance lease At the commencement date of the lease the Company recognizes finance lease receivables and derecognizes the underlying assets for finance leases. The Company initially measures finance lease receivables at an amount equal to the net investment in the lease. The net investment in the lease is the sum of the present value of the unguaranteed residual value and the lease payments receivable at the commencement date of the lease term both discounted using the interest rate implicit in lease. 28. Fair Value Measurement Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.When measuring fair value the Company assumes that the orderly transaction occurs in the principal market for the asset or liability; in the absence of a principal market the most advantageous market is assumed.The principal market (or most advantageous market) is the market accessible to the Company at the measurement date. The Company uses assumptions that market participants would use when pricing the asset or liability to maximize economic benefits.The fair value measurement of a non-financial asset takes into account either the ability of market participants to generate economic benefits through the asset's highest and best use or their ability to sell it to other market participants who would utilize it in its highest and best use to generate economic benefits. 1512025 Annual Report The Company applies valuation techniques that are appropriate in current circumstances and sufficiently supported by available data and other information prioritizing the use of relevant observable inputs and resorting to unobservable inputs only when observable inputs are unavailable or their collection is impracticable.Assets and liabilities measured or disclosed at fair value in the financial statements are categorized into three fair value hierarchy levels based on the lowest level input that is significant to the entire measurement: Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities accessible at the measurement date; Level 2 inputs are observable inputs other than Level 1 prices whether directly or indirectly observable for the asset or liability; Level 3 inputs are unobservable inputs for the asset or liability.On each balance sheet date the Company reassesses assets and liabilities measured at fair value on a recurring basis in the financial statements to determine whether transfers between fair value hierarchy levels have occurred. 29.Change of main accounting policies and estimations (1)Change of main accounting policies □Applicable √Not applicable （2）Significant estimates changes 1522025 Annual Report √Applicable □Not applicable In RMB Contents and reasons of Name of report item Effective date of changes in accounting Impact amount materially affected application estimates In response to the accounting estimate changes the Company adopts the future application method and In January 2025 the its impact on the accounting statement items for this Guangzhou-Huizhou year is as follows: Expressway Reconstruction The impact of consolidated financial statements and Expansion Project was Fixed assets increased by RMB 57204626.27 approved resulting in an ； expected extension of the Tax payable increased by RMB 14301156.57； operating period for Guanghui Reviewed and Deferred income tax liabilities increased by Expressway Co. Ltd. (a approved by the 18th RMB2934.50； controlled subsidiary of the (Provisional) meeting Operating costs decreased by RMB 57204626.27 February 12025 ； Company). Consequently the of the 10th Board of Income tax expenses increased by RMB depreciation periods and Directors of the 14304091.07； traffic-based depreciation Company Minority shareholders' equity increased by RMB rates for the Nanxiangshan 21021262.25； Lihu (Gualv Lake) and Minority shareholders' profits and losses increased by Jinlong (Huizhou North) RMB 21021262.25 interchanges were adjusted ； with the depreciation period Net assets attributable to the parent company extended to August 2054. increased by RMB 21879272.95； Net profits attributable to the parent company increased by RMB21879272.95 . （3）The information of the adjusting items related to the financial statements at the beginning of the year of first implementation due to the first implementation of new accounting standards from 2025.Adjustment description □Applicable□Not applicable VI. Taxation 1. Major category of taxes and tax rates Tax category Tax basis Tax rate The output tax is calculated based on the income from sales of goods and taxable services calculated according Value-added tax to the provisions of the tax law. After deducting the 3%5%6%9% and 13% input tax allowed to be deducted in the current period the difference is the VAT taxable Urban maintenance and Actual paid turnover taxes 5%、7%construction tax Corporate income tax Taxable income 25% Education surcharge Actual paid turnover taxes 3% Local education Actual paid turnover taxes 2% surcharge 2.Preferential tax treatment None 1532025 Annual Report VII. Notes on major items in consolidated financial statements of the Company 1. Monetary funds In RMB Item Amount in year-end Balance Year-beginning Cash on hand 10412.18 10267.08 Bank deposits 3499682171.87 1498518288.65 Deposits with finance companies 2992067907.37 2761828656.71 Other cash and cash equivalents 512565.04 517072.14 Accrued interest not yet due 53106885.65 28952378.64 Total 6545379942.11 4289826663.22 Including: total amount deposited in overseas Other note Accrued interest not yet due represents interest on 7-day notice deposits. 2. Account receivable （1）Disclosure by aging In RMB Aging Balance in year-end Balance Year-beginningWithin 1 year(Including 1 year） 96702638.20 74944771.52 1-2 years 6577116.50 2-3 years 1116666.67 Over 3 year 3143664.00 3143664.00 4-5 years 2077392.00 Over 5 years 3143664.00 1066272.00 Total 99846302.20 85782218.69 1542025 Annual Report （2）According to the bad debt provision method classification disclosure In RMB Amount in year-end Balance Year-beginning Category Book Balance Bad debt provision Book value Book Balance Bad debt provision Book value Amount Proportion(%) Amount Proportion(%) Amount Proportion(%) Amount Proportion(%) Accrual of bad debt provision by single 3143664.00 3.15% 3143664.00 100.00% 3143664.00 3.66% 3143664.00 100.00% Including： Accrual of bad debt provision by portfolio 96702638.20 96.85% 96702638.20 82638554.69 96.34% 277500.00 0.34% 82361054.69 Including： Aging portfolio 95369554.20 95.51% 95369554.20 75809821.02 88.38% 277500.00 0.37% 75532321.02 Other portfolio 1333084.00 1.34% 1333084.00 6828733.67 7.96% 6828733.67 Total 99846302.20 100.00% 3143664.00 3.15% 96702638.20 85782218.69 100.00% 3421164.00 3.99% 82361054.69 Categories of individual bad debt provisions: In RMB Opening balance Closing balance Name Book Bad debt Book Bad debt Provision Provision reason balance provision balance provision percentage Guangdong Taiheng Expressway Development Under bankruptcy liquidation; recovery 3143664.003143664.003143664.003143664.00100.00% Co. Ltd. unlikely Total 3143664.00 3143664.00 3143664.00 3143664.00 1552025 Annual Report Categories of portfolio-based bad debt provision: Aging portfolio In RMB Closing balance Name Book balance Bad debt provision Provision percentage Within 1 year 95369554.20 Total 95369554.20 Accrual of bad debt provision by portfolio: Other portfolio In RMB Balance in year-end Aging Account receivable Bad debt provision Expected credit loss rate (% Very low credit risk financial 1333084.00 asset portfolio Total 1333084.00 Note： Relevant information of the provision for bad debts will be disclosed with reference to the disclosure method of other receivables if the provision for bad debts of bills receivable is accrued according to the general model of expected credit loss: □ Applicable √ Not applicable (3) Accounts receivable withdraw reversed or collected during the reporting period The withdrawal amount of the bad debt provision： In RMB Opening Amount of change in the current periodCategory Closingbalance Accrual Reversed or collected Write-amount off Other balance Accrual of bad debt provision by 3143664.003143664.00 single item Accrual of bad debt provision by 277500.00-277500.00 credit risk Total 3421164.00 -277500.00 3143664.00 （4）The actual write-off accounts receivable None (5) Top 5 of the closing balance of the accounts receivable collected according to the arrears party In RMB Closing Accounts Company Name Amount of balance of receivable and Proportion of Amount of ending balance total accounts ending balancethe contract contract assets receivable % for bad debts assets ending balance Guangdong Union Electronic 61398033.8561398033.8561.49% Services Co. Ltd.Guangdong Tongyi Expressway 12948500.0012948500.0012.97% Service Area Co. Ltd.Guangdong Jingzhu Expressway Guangzhu North 8997799.99 8997799.99 9.01% section Co. Ltd.Guangdong Humen Bridge Co. 7307339.707307339.707.32% Ltd. 1562025 Annual Report Guangdong Taiheng Expressway Development Co. 3143664.00 3143664.00 3.15% 3143664.00 Ltd.Total 93795337.54 93795337.54 93.94% 3143664.00 3.Other accounts receivable In RMB Item Balance in year-end Balance Year-beginning Dividend receivable 28621800.58 Other accounts receivable 607031326.53 120235318.76 Total 607031326.53 148857119.34 （1）Interest receivable None （2）Dividend receivable 1) Dividend receivable In RMB Item Balance in year-end Balance Year-beginning Guangdong Radio and Television Networks investment 797664.04 No.1 Limited partnership enterprise Guangdong Guangle Expressway Co. Ltd. 21615181.62 Guoyuan Securities 6208954.92 Total 28621800.58 2）Significant dividend receivable aged over 1 year None （3） Other accounts receivable 1) Other accounts receivable classified In RMB Nature Balance in year-end Balance Year-beginning Petty cash 2919325.22 3142132.02 On behalf of money 322449884.33 342942142.53 Deposit 2739702.99 2736640.19 Equity transfer payment receivable 107111100.00 Investment in renovation and extension 306996863.33 and interest Guangzhou-Zhuhai Eastward Land 4972725.62 Acquisition Fund Other 468563.29 7245446.55 Total 640547064.78 463177461.29 2）Disclosure by aging In RMB Aging Balance in year-end Balance Year-beginningWithin 1 year(Including 1 year） 444300806.24 238920756.17 1-2 years 122434522.51 125624239.66 2-3 years 72959196.57 97761543.71 1572025 Annual Report Over 3 years 852539.46 870921.75 3-4 years 12062.00 31680.00 4-5 years 27480.00 2095.07 Over 5 years 812997.46 837146.68 Total 640547064.78 463177461.29 1582025 Annual Report 3) Disclosure by bad debt provision method □Applicable □Not applicable In RMB Amount in year-end Balance Year-beginning Category Book Balance Bad debt provision Book Balance Bad debt provision Amount Proportion(%) Amount Proportion(%) Book value Amount Proportion(%) Amount Proportion(%) Book value Accrual of bad debt provision by 342942142.53 74.04% 342942142.53 100.00% single Including： Accrual of bad debt provision by 640547064.78 100.00% 33515738.25 5.23% 607031326.53 120235318.76 25.96% 120235318.76 portfolio Including： Aging 327422609.9551.12%33515738.2510.24%293906871.70 portfolio CSF 5659028.210.88%5659028.215878772.211.27%5878772.21 Portfolio Very low credit risk financial 307465426.62 48.00% 307465426.62 114356546.55 24.69% 114356546.55 asset portfolio Total 640547064.78 100.00% 33515738.25 5.23% 607031326.53 463177461.29 100.00% 342942142.53 74.04% 120235318.76 1592025 Annual Report Accrual of bad debt provision by single： In RMB Balance Year-beginning Balance in year-end Name Book Bad debt Withdrawal Book Balance Bad debt provision Reason Balance provision proportion Department of Transport of 342942142.53 342942142.53 Guangdong Total 342942142.53 342942142.53 Accrual of bad debt provision by portfolio: In RMB Balance in year-end Name Book balance Bad debt provision Withdrawal proportion Aging portfolio 327422609.95 33515738.25 10.24% CSF Portfolio 5659028.21 Very low credit risk financial 307465426.62 asset portfolio Total 640547064.78 33515738.25 Provision for bad debts is made according to the general model of expected credit losses In RMB Stage 1 Stage 2 Stage 3 Expected credit losses Bad Debt Reserves Expected credit losses Expected credit loss for the entire duration Total over the next 12 over life (no credit (credit impairment months impairment) occurred) Balance as at January 342942142.53342942142.53 12025 Balance as at January 12025 in current This period of 33515738.2533515738.25 provision Reversal in Current Year 342942142.53 342942142.53 Balance as at December 312025 33515738.25 33515738.25 Basis for division of each stage and accrual ratio for bad-debt provision Loss provision changes in current period change in book balance with significant amount □ Applicable √Not applicable 4) Accounts receivable withdraw reversed or collected during the reporting period The withdrawal amount of the bad debt provision： In RMB Opening Amount of change in the current periodCategory Closingbalance Accrual Reversed or collected Write-amount off Other balance Accrual of bad debt provision 342942142.53342942142.53 by single Accrual of bad debt provision 33515738.25 33515738.25 1602025 Annual Report by credit risk Total 342942142.53 33515738.25 342942142.53 33515738.25 Important amount of bad debt provision switch-back or collection in the period: In RMB Recovery/reversal Reason for Recovery Basis and rationale for original Entity name amount reversal method bad debt provision rate Guangdong Provincial Government Expressway Debt Repayment 342942142.53 Management Center (Note) Total 342942142.53 Subsidiary Guangfo Expressway Co. Ltd. ("Guangfo Company") had previously advanced maintenance costs for Guangzhou-Foshan Expressway which were recorded under Guangdong Department of Transport. In March 2025 official government documents confirmed that Guangzhou-Foshan Expressway would be returned to government management. The advanced operational maintenance costs will be audited and settled through due procedures with relevant authorities responsible for reimbursing Guangfo Company. During the current period Guangfo Company received RMB 150 million for reimbursement of the advanced maintenance payments from Guangdong Provincial Government Expressway Debt Repayment Management Center which fully reversed the previously recognized bad debt provisions of RMB 342942142.53. 5) Actual write-off of other receivables in the current period None 6) Top five other receivables by debtor at the end of the period In RMB Percentage of total closing Closing balance Entity name Nature of amount Closingbalance Aging balance of of bad debtother provision receivables Guangdong Provincial Within 1 129507741.80 Government year Expressway Debt Maintenance expenditure 121834522.51 1-2 years 50.34% 12183452.25 Repayment Management Center 71107620.02 2-3 years 21332286.00 Zhaoqing Yuezhao Investment in renovation Within 1 306996863.3347.93% Highway Co. Ltd. and extension and interest year Finance Bureau of Guangzhou Nansha Within 1 Economic and land acquisition payment 4972725.62 0.78% year Technological Development Zone 1816266.94 2-3 years Guangdong Litong 22980.00 4-5 years Development Vehicle parking deposit Within 1 0.29% Investment Co. Ltd. 12062.00 year 7131.00 2-3 years Guangdong Litong Vehicle parking deposit Within 1 0.07% 418725.60 Property Development Management fee deposit year 1612025 Annual Report Co. Ltd. water and electricity charges 12062.00 3-4 years working capital Total 636708700.82 99.41% 33515738.25 4.Prepayments （1）Aging analysis In RMB Balance in year-end Balance Year-beginning Aging Amount Proportion（%） Amount Proportion（%） Within 1 year 9511627.59 98.04% 3572359.00 95.72% 1-2 years 30000.00 0.31% 19800.00 0.53% 2-3 years 19800.00 0.21% Over 3 years 140000.00 1.44% 140000.00 3.75% Total 9701427.59 3732159.00 Notes of the reasons of the prepayment ages over 1 year with significant amount but failed settled in time: None (2) Top 5 of the closing balance of the prepayment collected according to the prepayment target In RMB Name Relations Amount Aging Reasons for Proportion % with the non- Company settlement China Ping An Property Insurance Co. Ltd. Non- Related Within 1 Not yet Guangdong Branch party 5189876.00 53.50year expired China Life Property Insurance Co. Ltd. Guangzhou Non- Related Within 1 Not yet Branch party 1556000.0016.04 year expired China Life Property Insurance Co. Ltd. Guangdong Non- Related Within 1 Not yet 1498588.0015.45 Branch party year expired China Petrochemical Sales Co. Ltd. Guangdong Non- Related Within 1 Not yet 259252.122.67 Guangzhou Petroleum Branch party year expired China Pacific Property Insurance Co. Ltd. Non- Related Within 1 Not yet party 184830.62 1.91Guangdong Branch year expired Total 8688546.74 89.57 5.Other current assets In RMB Item Year-end balance Year-beginning balance Input tax to be credited 353.70 353.70 Input tax to be verified 7391894.80 6064511.82 Prepaid taxes 40985.71 38954.73 VAT carry-over credit 476490.92 63519.91 Total 7909725.13 6167340.16 1622025 Annual Report 6.Other Equity instrument investment In RMB Losses accumulated Reason designated as Gains included in Losses included in Gains accumulated Dividend in other being measured at other other in other income Closing comprehensive fair value and change Name Opening balance comprehensive comprehensive comprehensive recognized in balance income at the end being included in income in the income in the income at the end of the current of the current other comprehensive current period current period the current period period period income Guangle Expressway Co. 799120728.12 382107.80 Ltd.Guangdong Radio and Television Networks investment No.1 69613512.09 59396524.45 10216987.64 19613512.09 309289.49 Non-trading Purpose Limited of Holding partnership enterprise China Everbright Non-trading Purpose Bank Co. Ltd. 821039754.56 910436633.28 89396878.72 303478877.76 44463184.42 of Holding Huaxia Securities Non-trading Purpose Co. Ltd. of Holding Huazheng Asset Management Co. Non-trading Purpose Ltd. of Holding Total 890653266.65 1768953885.85 10216987.64 89778986.52 323092389.85 44772473.91 Breakdown disclosure of investment in non-tradable equity instruments in the current period In RMB Amount of other Reasons for designation as Item Dividend income Cumulative Cumulative consolidated income measured at fair value and changes Reasons for other consolidated recognized gain loss transferred to retained included in other comprehensive income transferred to retained earnings income earnings Change in business model Guangle Expressway Co. Ltd. reclassified as long-term equity50390318.59 50390318.59 investment under the equity method.Guangdong Radio and Television Networks Non-transactional purpose for investment No.1 Limited 309289.49 19613512.09 shareholding partnership enterprise 1632025 Annual Report China Everbright Bank Co. Non-transactional purpose for Ltd. 44463184.42 303478877.76 shareholding Huaxia Securities Co. Ltd. Non-transactional purpose for5400000.00 shareholding Huazheng Asset Management Non-transactional purpose for Co. Ltd. 1620000.00 shareholding Total Other note： Note 1: Huaxia Securities Co. Ltd. has been severely insolvent. In April 2008 the CSRC sent a letter agreeing to Huaxia Securities Co. Ltd. to apply for bankruptcy. In August 2008 the Beijing No.2 Intermediate People's Court officially accepted the bankruptcy liquidation application.Note 2: Huazheng Asset Management Co. Ltd. has been severely insolvent. 7. Long-term equity investment In RMB Increase/decrease Investment Impairme nt Closing Invested Beginning balance provision profit and loss Adjustment of Cash bonus or Withdrawal balance of enterprise begin- Additional Negative other Changes ofother profits of Closing balance impairment year recognized comprehensive Other balance investment investment income equity announced to impairment provision issue provision under the equity method I. Joint venture 2. Affiliated Company Zhaoqing Yuezhao 554108739.37179150000.0041944961.2154150000.00721053700.58 Highway Co.Ltd.Guangdong Jiangzhong Expressway Co. 599185872.46 21150000.00 -14593022.83 10920459.86 594822389.77 Ltd.Ganzhou Gankang Expressway Co. 178670052.26 15513866.16 12000000.00 182183918.42 Ltd.Ganzhou 271494771.93 35503202.11 30000000.00 276997974.04 1642025 Annual Report Kangda Expressway Co.Ltd.Shenzhen Huiyan 401802859.1632068538.54433871397.70 Expressway Co.Ltd.Guoyuan Securities Co. 1086436061.59 56542701.08 -14809716.99 18626864.76 1786984.72 1111329165.64 Ltd.Guangdong Yuepu Small 225188581.816590735.8310058805.32221720512.32 Refinancing Co.Ltd Guangdong Guangle 22256547.6915538696.31798738620.32805456471.70 Expressway Co.Ltd.SPIC Yuetong Qiyuan Chip Power 1236874.66 -104640.39 251297.01 1383531.28 Technology Co.Ltd.Shenzhen Garage Electric 14226195.602088000.00-2494320.6013819875.00 Pile Technology Co. Ltd Subtotal 3332350008.84 202388000.00 193228568.80 -14809716.99 251297.01 151294826.25 800525605.04 4362638936.45 Total 3332350008.84 202388000.00 193228568.80 -14809716.99 251297.01 151294826.25 800525605.04 4362638936.45 The recoverable amount is determined on the basis of the net amount of fair value less disposal costs □Applicable□Not applicable The recoverable amount is determined by the present value of the projected future cash flows □Applicable□Not applicable Other note： （1）The Company made adjustments based on the internal equity changes within Guoyuan Securities Co. Ltd. 1652025 Annual Report（ 2 ） The Company’s investment in Guangdong Guangle Expressway Co. Ltd. was originally designated as a financial asset at fair value through other comprehensive income (other equity instrument investment). During the period the Company changed its management model for this investment and reclassified it as a long-term equity investment accounted for under the equity method. 1662025 Annual Report 8.Other non-current financial assets In RMB Item Closing Openingbalance balance Classified as financial assets measured at fair value and whose changes are included in the current profit and loss Including：Equity investment of Beijing Institute of Architectural Design Co. Ltd. 90061614.90 83510134.11 Equity investment of CMST Nanjing Intelligent Logistics Technology Co. Ltd. 105158152.45 102984043.09 Total 195219767.35 186494177.20 9. Investment property (1) Investment property adopted the cost measurement mode √ Applicable □Not applicable In RMB Item Houses and buildings Land use right Total I. Original value 1.Opening balance 12664698.25 2971831.10 15636529.35 2.Increased amount of the period （1）Outsourcing (2)Inventory Fixed assets and Construction project into (3) )Increased of Enterprise consolidation 3.Decreased amount of the period （1）Disposal （2）Other Out 4.Closing balance 12664698.25 2971831.10 15636529.35 II. Accumulated depreciation accumulated amortization 1.Opening balance 11284833.89 2125784.00 13410617.89 2.Increased amount of the period 147549.12 73569.36 221118.48 (1)Withdrawal or amortization 147549.12 73569.36 221118.48 3.Decreased amount of the period （1）Disposal （2）Other Out 4.Closing balance 11432383.01 2199353.36 13631736.37 1672025 Annual Report Item Houses and buildings Land use right Total III. Impairment provision 1.Opening balance 2.Increased amount of the period （1）Withdrawal 3.Decreased amount of the period （1）Disposal （2）Other Out 4.Closing balance IV. Book value 1.Closing book value 1232315.24 772477.74 2004792.98 2.Opening book 1379864.36 846047.10 2225911.46 The recoverable amount is determined by the net amount of fair value minus disposal expenses □Applicable□Not applicable The recoverable amount is determined according to the present value of the expected future cash flow □Applicable□Not applicable (2) Converted to investment real estate and measured at fair value □Applicable□Not applicable （3）Investment real estate without property rights certificate In RMB Reasons for failing to complete the Item Book value property rights certificate Transportation and other ancillary Houses and Building 555004.63 facilities Not accreditation 10. Fixed assets In RMB Item Year-end balance Year-beginning balance Fixed assets 8267613672.99 8872664544.10 liquidation of fixed assets 688182.94 144148.87 Total 8268301855.93 8872808692.97 1682025 Annual Report (1) List of fixed assets In RMB Jingzhu Electricity Item Guangfo Guanghui Expressway House and Machinery TransportationFokai Expressway Expressway buildings equipment equipment equipment and Total Expressway Guangzhu other section I. Original price 1.Opening balance 1460270190.66 11038279201.71 6825195881.48 5703414303.99 768926071.93 1818659626.05 51382804.53 149139892.20 27815267972.55 2.Increased amount of the 338166277.62 938222.00 11472.00 2959456.00 43280150.73 4671051.26 10367447.14 400394076.75 period （1）Purchase 11472.00 737663.00 10339414.19 4671051.26 10367447.14 26127047.59 （2）Transfer of project under 338166277.62 938222.00 2221793.00 32829534.54 374155827.16 construction (3)Increased of Enterprise consolidation （4）Other 111202.00 111202.00 3.Decreased amount of the 1747565.03 4348963.20 1398072.35 11575449.08 2450962.00 3675195.28 25196206.94 period （1）Disposal or scrap 4348963.20 104789.00 11574815.08 2450962.00 3563993.28 22043522.56 （2）Disposal Subsidiary （2）Other out 1747565.03 1293283.35 634.00 111202.00 3152684.38 4.Closing 1460270190.6611374697914.306826134103.485699076812.79770487455.581850364327.7053602893.79155832144.0628190465842.36 balance II. 1692025 Annual Report Jingzhu Electricity Item Guangfo Guanghui Expressway House and Machinery TransportationFokai Expressway Expressway buildings equipment equipment equipment and Total Expressway Guangzhu other section Accumulated depreciation 1.Opening balance 1460270190.66 6562818550.85 5105719582.43 3701546510.96 527919871.76 1425208920.05 38510186.33 107277205.29 18929271018.33 2.Increased amount of the 369487249.59 347893918.71 160297592.90 35793861.16 73329345.00 2341655.22 11232292.49 1000375915.07 period （1） Withdrawal 369487249.59 347893918.71 160297592.90 35793861.16 73329345.00 2341655.22 11232292.49 1000375915.07 3.Decreased amount of the 3338742.72 99549.55 11001887.66 2307878.90 3379115.32 20127174.15 period (1)Disposal or scrap 3338742.72 99549.55 11001887.66 2307878.90 3379115.32 20127174.15 4.Closing 1460270190.666932305800.445453613501.143858505361.14563614183.371487536377.3938543962.65115130382.4619909519759.25 balance III. Impairment provision 1.Opening 2889394.16 10394796.45 48219.51 13332410.12 balance 2.Increased amount of the period (1)Withdrawal 3.Decreased amount of the period (1)Disposal or scrap 1702025 Annual Report Jingzhu Electricity Item Guangfo Guanghui Expressway House and Machinery TransportationFokai Expressway Expressway buildings equipment equipment equipment and Total Expressway Guangzhu other section 4.Closing 2889394.1610394796.4548219.5113332410.12 balance IV. Book value 1.Closing book value 4442392113.86 1372520602.34 1840571451.65 203983878.05 352433153.86 15058931.14 40653542.09 8267613672.99 2.Opening book 4475460650.86 1719476299.05 2001867793.03 238116806.01 383055909.55 12872618.20 41814467.40 8872664544.10 1712025 Annual Report (2)Fixed assets temporary idle In RMB Original book Accumulated Impairment Item Book value Note value depreciation provision House and 2604578.002474349.10130228.90 Building Office equipment 32630.0025315.447314.56 and other (3) Fixed assets leasing-out by operational lease In RMB Item Ending book value House and Building 13502756.00 Machinery equipment 678125.35 (4) Fixed assets without property rights certificate In RMB Reasons for failing to complete the Item Book value property rights certificate Transportation and other ancillary House and Building 191239245.82 facilities Not accreditation (5) Information of impairment test of fixed assets □Applicable□Not applicable （6） liquidation of fixed assets In RMB Item Ending balance Opening balance House and buildings 5239.45 22187.94 Machinery equipment 573561.42 63915.86 Transportation equipment 1974.86 Office equipment and other 107407.21 58045.07 Total 688182.94 144148.87 11. Project under construction In RMB Item Year-end balance Year-beginning balance Project under construction 4760350219.82 2665392094.81 Total 4760350219.82 2665392094.81 1722025 Annual Report （1）Project under construction In RMB Year-end balance Year-beginning balance Item Book balance Provision for Book value Book balance Provision for Book value devaluation devaluation Reconstruction and Expansion of Nansha-Zhuhai section of Guangzhou- 3994772407.663994772407.662228897400.422228897400.42 Macao Expressway Reconstruction and expansion project of the Huizhou Xiaojinkou- Guangzhou Luogang Section of Jinan-Guangzhou Expressway and the 672670711.08672670711.0886685695.4586685695.45 Huizhou Xiaojinkou-Lingkeng Section of Guangzhou-Huizhou Expressway Reconstruction and Expansion of Fokai Expressway Sanbao to Shuikou 23937438.65 23937438.65 Guangzhou-Shantou Railway Crossing project 19736064.43 19736064.43 19446564.43 19446564.43 Jiangxi-Shenzhen high-speed railway cross-section expansion project 15707672.98 15707672.98 15664172.98 15664172.98 Emergency treatment project of the left cutting slope of k13 10194071.00 10194071.00 6076917.00 6076917.00 Interchange ramp and section of Jiujiang Bridge (Phase II) lighting 5574550.545574550.54 enhancement project Intelligence display board Longshan Toll Station lanes and power supply 5532559.215532559.21 and distribution system upgrade and renovation project Maintenance and reinforcement of highway bridges and culverts as well 3942348.783942348.78 as maintenance and reinforcement of highway rubble-stone culverts Contract for the Construction of the Reconstruction Project of the Large 3722131.693722131.69 Screen in the Monitoring Center Optical Cable Toughness Enhancement Project 1744503.30 1744503.30 The finishing work of the reconstruction and expansion project of the 235837836.81235837836.81 Fokai Expressway from Sanbao to Shuikou Jiujiang Bridge Navigation Span Anti-collision Reinforcement Project 30758087.65 30758087.65 Jili River Bridge Anti-collision Reinforcement Project 12126194.00 12126194.00 Jili River Bridge Anti-collision Reinforcement Project 8770999.00 8770999.00 Fokai Expressay intelligent transformation project 200000.00 200000.00 7200000.00 7200000.00 Charging pile project of Yayao service area 2979043.98 2979043.98 Other 2615760.50 2615760.50 10949183.09 10949183.09 Total 4760350219.82 4760350219.82 2665392094.81 2665392094.81 1732025 Annual Report (2) Changes of significant construction in progress In RMB Including: capitalization Capitalization Name of project Budget Opening balance Increase Transferred to Other Project Capitalization Source fixed assets decrease End balance Proportion % of of process of ofinterest interest interestthis rate (%) funding period Reconstruction and Other Expansion of Nansha- loans loans Zhuhai section of 13735989200.00 2228897400.42 1765875007.24 3994772407.66 33.48% 33.48% 190867990.70 78093621.89 2.24% from Guangzhou-Macao financial Expressway institutions.Reconstruction and expansion project of the Huizhou Xiaojinkou- Other Guangzhou Luogang loans loans Section of Jinan- 30520000000.00 86685695.45 585985015.63 672670711.08 2.20% 2.20% 61250.00 61250.00 2.94% from Guangzhou Expressway financial and the Huizhou institutions.Xiaojinkou-Lingkeng Section of Guangzhou- Huizhou Expressway Other Reconstruction and loans loans Expansion of Fokai 3426210000.00 235837836.81 31911738.13 267749574.94 100.00% 100.00% 84953871.08 2579752.96 2.48% from Expressway Sanbao to financial Shuikou institutions.Jiujiang Bridge Navigation Span Anti- 36419600.00 30758087.65 30758087.65 84.45% 90.12% Other collision Reinforcement Project Guangzhou-Shantou 21460000.00 19446564.43 289500.00 19736064.43 91.97% 91.97% Other Railway Crossing project Jiangxi-Shenzhen high- speed railway cross- 16966900.00 15664172.98 43500.00 15707672.98 92.58% 92.58% Other section expansion project Geological hazard emergency investigation 16993100.00 16041196.50 16041196.50 94.40% 100.00% Other and remediation project 1742025 Annual Report Jili River Bridge Anti- collision Reinforcement 12411900.00 12126194.00 -17996.00 12108198.00 97.55% 100.00% Other Project Emergency treatment project of the left cutting 10250100.00 6076917.00 4117154.00 10194071.00 99.45% 99.45% Other slope of k13 Demolition and Reconstruction Project of the Railway Crossing 10000000.00 10000000.00 10000000.00 100.00% 100.00% Other Bridge of Fenjiang Bridge The finishing work of Other the reconstruction and loans loans expansion project of the 187300000.00 29204.22 23908234.43 23937438.65 12.78% 12.78% 133087.99 133087.99 2.15% from Fokai Expressway from financial Sanbao to Shuikou institutions.Total 47994000800.00 2635522072.96 2438153349.93 336657057.09 4737018365.80 276016199.77 80867712.84 1752025 Annual Report (3)Engineering Materials None 12.Use right assets （1）Right-of-use assets In RMB Item House and buildings Machinery equipment Other Total I. Original price 1.Opening balance 30634734.72 357112.19 1007747.00 31999593.91 2.Increased amount of the period 3.Decreased amount of 230671.46357112.19587783.65 the period （1）Disposition 230671.46 357112.19 587783.65 （2）Disposal subsidiary （3）Other out 4.Closing balance 30404063.26 1007747.00 31411810.26 II. Accumulated depreciation 1.Opening balance 17068316.40 285689.76 428069.76 17782075.92 2.Increased amount of the period 10188188.98 71422.43 107017.44 10366628.85 （1）Withdrawal 10188188.98 71422.43 107017.44 10366628.85 （2）Other increased 3.Decreased amount of 230671.46357112.19587783.65 the period （1）Disposition 230671.46 357112.19 587783.65 （2）Disposal subsidiary （3）Other out 4.Closing balance 27025833.92 535087.20 27560921.12 III. Impairment provision 1.Opening balance 2.Increased amount of the period （1）Withdrawal 3.Decreased amount of the period （1）Disposition 4.Closing balance IV. Book value 1.Closing book value 3378229.34 472659.80 3850889.14 2.Opening book value 13566418.32 71422.43 579677.24 14217517.99 1762025 Annual Report （2）Impairment test of the use right assets □Applicable□Not applicable 13. Intangible assets (1) List of intangible assets In RMB Non Item Land use Patent patented Software The Turnpike Data right franchise Totalright resource technology I. Original price 1.Opening balance 2701738.76 21528949.66 318348741.86 342579430.28 2.Increased amount of the period 2759151.39 2550000.00 5309151.39 (1) Purchase 2759151.39 2550000.00 5309151.39 (2)Internal Development (3)Increased of Enterprise Combination （4）Other 3.Decreased amount of 670017.00670017.00 the period （1）Disposal 670017.00 670017.00 4.Closing balance 2701738.76 23618084.05 318348741.86 2550000.00 347218564.67 II.Accumulated amortization 1.Opening balance 2397366.22 17138010.21 125349900.66 144885277.09 2.Increased amount of the period 15411.24 1680090.82 22557644.45 42500.00 24295646.51 (1) Withdrawal 15411.24 1680090.82 22557644.45 42500.00 24295646.51 3.Decreased amount of 670017.00670017.00 the period （1）Disposal 670017.00 670017.00 4.Closing balance 2412777.46 18148084.03 147907545.11 42500.00 168510906.60 III. Impairment 1772025 Annual Report provision 1.Opening balance 2.Increased amount of the period (1) Withdrawal 3.Decreased amount of the period （1）Disposal 4.Closing balance IV. Book value 1.Closing book value 288961.30 5470000.02 170441196.75 2507500.00 178707658.07 2.Opening book value 304372.54 4390939.45 192998841.20 197694153.19 At the end of this period there is no intangible assets formed through the company's internal research and At the end of this period the intangible assets formed through the company's internal research and development accounted for 0.00% of the balance of intangible assets （2） Data resources recognized as intangible assets In RMB Self-developed data Intangible assets of Intangible assets of Item resources intangible data resources acquired Total external data resources assets by other means 2. Increased amount of 2550000.002550000.00 the period Including：Purchase 2550000.00 2550000.00 4. Closing balance 2550000.00 2550000.00 2. Increased amount of 42500.0042500.00 the period 4. Closing balance 42500.00 42500.00 1.Closing balance 2507500.00 2507500.00 (3)Details of Land use right failed to accomplish certification of property In RMB Reason for not obtaining the title Item Book value certificate Gonghe Town Land 288961.30 Reasons left over from history （4）Impairment test of Intangible assets □Applicable□Not applicable 14. Deferred income tax assets/deferred income tax liabilities 1782025 Annual Report (1) Deferred income tax assets had not been off-set In RMB Balance in year-end Balance Year-beginning Item Deductible temporary Deferred income tax Deductible temporary Deferred income tax difference assets difference assets Assets impairment provisions 13332410.12 3333102.53 13332410.12 3333102.53 Credit impairment provision 3143664.00 785916.00 3421164.00 855291.00 Asset appraisal appreciation depreciation and amortization 104814619.81 26203654.94 98987720.57 24746930.14 Deferred income 61419.75 15354.71 914020.10 228504.89 Lease liabilities 2730189.11 682547.31 13482202.36 3370550.57 Advance lease 472659.80 118164.95 579677.24 144919.31 Total 124554962.59 31138740.44 130717194.39 32679298.44 (2) Deferred income tax liabilities had not been off-set In RMB Balance in year-end Balance Year-beginning Item Deductible DeductibleDeferred income Deferred income tax temporary temporary tax liabilities liabilities difference difference Changes in the fair value of other 323092389.8480773097.46453044707.32113261176.83 equity instruments Deductible temporary differences in the formation of asset impairment 708729766.07 177182441.52 771743732.23 192935933.05 Difference of amortization method of franchise of toll road 17687561.89 4421890.47 14267696.94 3566924.23 Changes in the fair value of trading 24219767.356054941.8415494177.203873544.30 financial assets Tax accounting difference of use right 3850889.14962722.2314217517.983554379.50 asset Tax accounting differences of projects 83022721.3520755680.3450341919.2812585479.82 under construction Depreciation for Fixed assets 6494129.03 1623532.26 4213173.33 1053293.33 Total 1167097224.67 291774306.12 1323322924.28 330830731.06 (3) Deferred income tax assets or liabilities listed by net amount after off-set None (4)Details of income tax assets not recognized In RMB Item Balance in year-end Balance in year-begin Deductible temporary difference 40535738.25 349962142.53 Deductible loss 2676262.24 Total 43212000.49 349962142.53 (5) Deductible losses of un-recognized deferred income tax assets expired on the followed year In RMB Year Ending amount Opening amount Note 20302676262.24 1792025 Annual Report Total 2676262.24 15 .Other non-current assets In RMB Balance in year-end Balance Year-beginning Item Book balance Provision for Book value Book balance Provision for Book value devaluation devaluation Prepaid engineering fees 646688123.27 646688123.27 652374568.29 652374568.29 Prepaid target payment for paddy filed of Guanghui Expressway 183725550.00 183725550.00 183725550.00 183725550.00 Reconstruction and extension project Prepaid tax 909551.16 909551.16 1311921.48 1311921.48 Prepaid equipment 491998.00 491998.00 Total 831323224.43 831323224.43 837904037.77 837904037.77 1802025 Annual Report 16.Assets with restricted right of ownership In RMB Balance in year-end Balance in year-begin Item Book Book Restriction Restriction Book Restriction Restriction Book value balance value type information balance type information Special Special Special Special Monetary funds for funds for funds for funds for 198100.00198100.001221200.001221200.00 fund land land land land reclamation reclamation reclamation reclamation Total 198100.00 198100.00 1221200.00 1221200.00 17. Short-term Borrowing （1）Short-term Borrowing In RMB Item Balance in year-end Balance Year-beginning Credit Borrowing 259000000.00 Interest payable not due 163958.03 Total 259163958.03 （2）Overdue short-term borrowings None 18.Account payable （1） List of account payable In RMB Item Balance in year-end Balance Year-beginning Within 1 year（Including 1 year） 119714922.34 126545685.15 1-2 years（including2 years） 24723721.77 5678510.59 2-3 years（including 3 years） 3524394.75 33415222.43 Over 3 years 71752977.32 60465063.88 Total 219716016.18 226104482.05 （2）Significant payable aging more than 1 year In RMB Item Balance in year-end Reason Foshan Municipal Natural Resources Bureau 29510958.21 Unsettled Heshan Municipal Natural Resources Bureau 9186893.60 Unsettled Total 38697851.81 1812025 Annual Report 19.Other accounts payable In RMB Item Balance in year-end Balance Year-beginning Dividend payable 36900482.45 32714825.12 Other account payable 255477378.05 239403211.80 Total 292377860.50 272118036.92 （1）Interest payable None （2）Dividends payable In RMB Item Balance in year-end Balance Year-beginning Common stock dividends 36080113.26 32714825.12 Other 820369.19 Total 36900482.45 32714825.12 Other explanations including significant dividends payable that have not been paid for more than 1 year it shall disclose the reasons for non-payment: Including significant unpaid dividends payable over one year the unpaid reason shall be disclosed: Final dividend payable 32467363.12 yuan for more a year in unpaid dividends to shareholders over the year was mainly due to non- payment of shareholder dividends did not provide information on interest- bearing bank did not share reform of shareholders to receive dividends or provide application to to receive dividends the bank information is incorrect resulting in failure to pay a dividend or refund. （3）Other accounts payable (1) Other accounts payable listed by nature of the account In RMB Item Year-end balance Year-Beginning balance Provisional receipts payable 81348990.80 110062692.40 Estimated project cost 9670820.25 30011025.21 Deposit warranty and security deposit 99390174.71 78610611.67 Intercompany loan 45451750.00 Other 19615642.29 20718882.52 Total 255477378.05 239403211.80 (2) Other significant accounts payable with aging over one year In RMB Item Closing balance Unpaid/un-carry over reason Poly Changda Highway Engineering Co. 19557861.73 The settlement conditions are not met Ltd.Yayao to Xiebian extension 12416663.00 The settlement conditions are not met Total 31974524.73 20. Prepayment received (1) List of Prepayment received 1822025 Annual Report In RMB Item Balance in year-end Balance Year-beginning Within 1 year（Including 1 year） 276083.20 250984.74 Total 276083.20 250984.74 （2）Significant payable aging more than 1 year None 21.Payable Employee wage （1）Payable Employee wage In RMB Item Year-beginning Increase in the Decrease in the Year-end balance balance current period current period I. Short-term compensation 22412317.23 469482324.21 469849556.35 22045085.09 II.Post-employment benefits - defined contribution plans 81681442.57 81681442.57 III. Dismissal benefits 445438.25 445438.25 Total 22412317.23 551609205.03 551976437.17 22045085.09 （2）Short-term Remuneration In RMB Item Year-beginning Increase in the Decrease in the Year-end balance balance current period current period 1.Wages bonuses allowances and subsidies 465063.49 353270330.76 353270330.76 465063.49 2.Employee welfare 352838.67 32144343.59 32009412.46 487769.80 3. Social insurance premiums 27107578.90 27107578.90 Including：Medical insurance 17383048.89 17383048.89 Work injury insurance 2894386.27 2894386.27 Other 6830143.74 6830143.74 4.Public reserves for housing 41737981.00 41737981.00 5.Union funds and staff education fee 19274379.72 11484795.19 9666923.11 21092251.80 8.Other 2320035.35 3737294.77 6057330.12 Total 22412317.23 469482324.21 469849556.35 22045085.09 （3）Defined contribution plans listed In RMB Balance Year- Increase in this period Payable in this period Balance in year-end Item beginning 1. Basic old-age insurance premiums 51253262.90 51253262.90 2.Unemployment insurance 2616477.59 2616477.59 3.Enterprise annuity payment 27811702.08 27811702.08 Total 81681442.57 81681442.57 22.Tax Payable 1832025 Annual Report In RMB Item Balance in year-end Balance Year-beginning VAT 13386539.07 11949894.06 154507552.01115297349.98 Enterprise Income tax Individual Income tax 3374436.77 3105569.26 City Construction tax 843054.35 746433.27 Education subjoin 403838.12 360283.46 Locality Education subjoin 250782.26 221651.77 Property tax 86108.62 14964.15 Stamp tax 1806011.18 52114.41 Total 174658322.38 131748260.36 23. Non-current liabilities due within 1 year In RMB Item Balance year-end Year-beginning balance Long-term loans due within 1 year 291115030.82 238719839.52 Payable Bonds due within 1 year 767774662.42 Lease liabilities due within 1 year 2730189.11 10752013.25 Total 293845219.93 1017246515.19 24.Other current liabilities In RMB Item Balance year-end Year-beginning balance Tax to be rewritten 123420.61 73697.84 Total 123420.61 73697.84 25. Long-term loan (1) Category of long-term loan In RMB Item Balance year-end Year-beginning balance Credit loan 10320089381.52 6961526050.00 Interest payable when not due 7357162.34 5458539.52 Less: Long-term loans due within one -291115030.82-238719839.52 year Total 10036331513.04 6728264750.00 Other explanations including interest rate range: on December 31 2025 the annual interest rate range of credit loans was 2.10%-2.94%. 26.Bond payable （1）Bond payable In RMB.Item Balance year-end Year-beginning balance Medium- term note 749897950.11 Interest payable when not due 17876712.31 Less:Long-term loans due within one 767774662.42 year 1842025 Annual Report （2）Changes of bonds payable(Not including the other financial instrument of preferred stock and perpetual capital securities that classify as financial liability In RMB Name of the Book value Interest The Overflow bond Issue date Period Issue amount Opening Withdraw Pay in current Closing Whether rate balance current issue interest at par discount amount period balance default 20 Guangdong 2020.3.17- 750000000.00 3.00% 2020.3.13 750000000.00 767774662.42 4623287.69 -102049.89 772500000.00 No Expressway 2025.3.17 MTN001 Total —— 4623287.69 -102049.89 772500000.00 —— (3) Note to conditions and time of share transfer of convertible bonds None 1852025 Annual Report 27.Lease liabilities In RMB Item Balance year-end Year-beginning balance Long-term lease liabilities 2752713.17 13819230.25 Less：Financing costs are not -22524.06-337027.89 recognized Less :Long-term loans due within one -2730189.11-10752013.25 year Total 2730189.11 28. Long-term payable In RMB Item Balance year-end Year-beginning balance Long-term payable 2022210.11 2022210.11 Total 2022210.11 2022210.11 (1) Long-term payable listed by nature of the account In RMB Item Balance year-end Year-beginning balance Non-operating asset payable 2022210.11 2022210.11 29. Deferred income In RMB Item Opening balance Increase Decrease Closing balance Cause Government subsidy 485914020.10 491724200.00 852600.35 976785619.75 Lease income 26057887.24 8010390.96 18047496.28 Total 511971907.34 491724200.00 8862991.31 994833116.03 -- 30.Stock capital In RMB Changed（+，-）Balance Year- Capitalization Balance in year- beginning Issuance of Bonus new share shares of public Other Subtotal end reserve Total of 2090806126.002090806126.00 capital shares 31. Capital reserves In RMB Decrease in Year- beginning Increase in the Item the current Year-end balance balance current period period Share premium 548804033.11 548804033.11 (1) Capital invested by investors 2508408342.99 2508408342.99 (2) the impact of a business combination under the common control -1959604309.88 -1959604309.88 Other capital reserves 233857185.45 251297.01 234108482.46 1862025 Annual Report (1) Changes in other equity of the invested under the equity method accounting -3598455.25 251297.01 -3347158.24 （2）Other 237455640.70 237455640.70 Total 782661218.56 251297.01 782912515.57 - The situation of change in the current capital reserve is as follows: During the period the associate of the Company's subsidiary Yuegao Capital (Holdings) Guangzhou Co. Ltd.Guangdong Yuetong Qiyuan Core Power Technology Co. Ltd. received capital contributions from other shareholders. The subsidiary accounted for the change in long-term equity investment under the equity method resulting in an increase of RMB 251297.01 in capital reserve. 1872025 Annual Report 32. Other comprehensive income In RMB Amount of current period Less：Amount transferred into profit Less：Prior period Item Year-beginning Amount and loss in the current included in other After-tax Year-end balance incurred before period that recognied composite income Less Income After-tax ： attribute to the attribute to balance income tax into other transfer to retained tax expenses minority comprehensive income income in the current parent company shareholder in prior period period 1.Other comprehensive income will be 346377042.10-65196672.3839579723.66-19890499.72-84885896.32261491145.78 reclassified into income or loss in the future Other comprehensive income that cannot be converted to profit and 6593511.61 14365326.50 1786984.72 12578341.78 19171853.39 loss under the equity method Changes in fair value of investments in other 339783530.49 -79561998.88 37792738.94 -19890499.72 -97464238.10 242319292.39 equity instruments 2.Other comprehensive income reclassifiable to profit or loss in 19772828.98 -27388058.77 -27388058.77 -7615229.79 subsequent periods Including：Share of other comprehensive income of the investee that cannot be transferred to profit or 19772828.98 -27388058.77 -27388058.77 -7615229.79 loss accounted for using the equity method Total of other comprehensive income 366149871.08 -92584731.15 39579723.66 -19890499.72 -112273955.09 253875915.99 1882025 Annual Report 33. Surplus reserve In RMB Item Year-beginning Increase in the current Decrease in the current Year-end balance balance period period Statutory surplus reserve 1684087655.64 186575309.37 1870662965.01 Total 1684087655.64 186575309.37 1870662965.01 34. Retained profits In RMB Item Amount of this period Amount of last period Before adjustments: Retained profits in last period end 5544395448.25 5289404378.52 Adjust the total undistributed profits at the beginning of the period 5544395448.25 5289404378.52 Add：Net profit belonging to the owner of the parent company 1801337614.93 1562122219.95 Less: Statutory surplus reserve 181357579.04 163460199.30 Common stock dividend payable 1093491603.90 1143670950.92 Add：Transfer of other comprehensive 35621751.29 income to retained earnings Other adjustment factors 11337821.69 Retained profit at the end of this term 6117843453.22 5544395448.25 As regards the details of adjusted the beginning undistributed profits (1)As the retroactive adjustment on Enterprise Accounting Standards and its related new regulations the affected beginning undistributed profits are RMB 0.00. (2) As the change of the accounting policy the affected beginning undistributed profits are RMB 0.00. (3) As the correction of significant accounting error the affected beginning undistributed profits are RMB 0.00 . (4) As the change of consolidation scope caused by the same control the affected beginning undistributed profits are RMB 0.00. (5) Other adjustment of the total affected beginning undistributed profits areRMB0.00 . Detailed explanation of using capital reserve to cover losses:none 35.Operation income and operation cost In RMB Amount of this period Amount of last period Item Income Cost Income Cost Main operation 4382615622.73 1550797515.98 4499825267.43 1597998245.80 Other operation 87122537.78 35347834.01 70077811.29 33076019.31 Total 4469738160.51 1586145349.99 4569903078.72 1631074265.11 Which the net profit before and after deducting non-recurring gains and losses is lower or whether it is negative □Yes□No Breakdown information of operating income and operating cost: In RMB Amount of this period Amount of last period Contract classification Income Cost Income Cost Business Including： 1892025 Annual Report Toll income 4382615622.73 1550797515.98 4499825267.43 1597998245.80 Service and other 46031614.55 31492263.65 41638860.55 28243600.33 Lease income 41090923.23 3855570.36 28438950.74 4832418.98 Area Including： Guangdong 4469738160.51 1586145349.99 4569903078.72 1631074265.11 Total 4469738160.51 1586145349.99 4569903078.72 1631074265.11 36. Business tax and subjoin In RMB Item Amount of this period Amount of last period Urban construction tax 8483494.08 8667915.53 Education surcharge 4071256.13 4165305.23 Property tax 4357449.18 3850171.38 Land use tax 3222521.13 3069272.41 Vehicle use tax 65761.56 74895.16 Stamp tax 312432.08 229744.59 Business tax 370495.32 370495.32 Locality Education surcharge 2708796.46 2770493.09 Total 23592205.94 23198292.71 37. Administrative expenses In RMB Item Amount of this period Amount of last period Wage 145273775.73 149682335.17 Depreciation of fixed assets 9003752.29 9228538.74 Intangible assets amortization 958793.31 1269077.32 Low consumables amortization 915388.31 694842.82 Rental fee and Management fee 13443827.59 13343318.54 Office expenses 6905014.49 7395865.42 Travel expenses 606103.28 761021.72 Consultation expenses 697579.25 812692.46 The fee for hiring agency 3835172.10 4115335.79 Listing fee 565796.84 660598.20 Information cost and maintenance fee 4378883.75 4140056.87 Other 13580843.92 11285559.54 Total 200164930.86 203389242.59 38.R& D expenses In RMB Item Amount of this period Amount of last period Wage 1960027.37 1718236.48 Entrusted development fee 4111245.96 3365548.72 Total 6071273.33 5083785.20 39.Financial expenses In RMB Item Amount of this period Amount of last period Interest expenses 126160548.68 176538813.65 1902025 Annual Report Interest income -54143805.09 -56039879.15 Exchange Income and loss（Gain-） -412070.62 4544807.46 Bank commission charge 617410.79 996932.09 Total 72222083.76 126040674.05 40.Other gains In RMB Item Amount of this period Amount of last period Government Subsidy-Cancel the Special Subsidy for 837245.5110046949.15 Provincial Toll Station Project of Expressway Government Subsidy-Charging infrastructure incentive funds 15354.84 15354.84 Government subsidy- Stable job subsidies 531511.22 Government subsidy- Maternity allowance 570880.63 703149.29 Government subsidy--Return of tax payment for "dividends 111331.75 and bonuses" Government subsidy--Yuexiu District's "Yuexiu Stars 160000.00 Gathering" subsidy for enterprise management talents in 2025 Withholding and remitting enterprise prepaid income tax fees 382134.62 166639.84 VAT additional deduction 1844.66 VAT reduction 57930.72 66717.82 Total 2023546.32 11532166.82 41. Changes in the fair value of the earning In RMB Item Amount of this period Amount of last period Other non-current financial assets 8725590.15 2637409.20 Total 8725590.15 2637409.20 42. Investment income In RMB Item Amount of this period Amount of last period Long-term equity investment income by equity 193228568.80192051727.06 method Disposition of the investment income generated by 6777025.39 the long-term equity investment Dividends earned during the holding period on 44772473.91102323410.08 investments in other equity instrument Investment income of other non-current financial 1312198.90409788.62 assets during the holding period Other 742880.50 1284835.59 Total 240056122.11 302846786.74 43. Credit impairment losses In RMB Item Amount of this period Amount of last period Impairment losses on account receivable 277500.00 178333.33 Impairment losses on other receivable 309426404.28 -121834522.51 Total 309703904.28 -121656189.18 44.Assets disposal income In RMB Item Amount of this period Amount of last period 1912025 Annual Report Non-current assets disposal gains 23942445.86 -721318.52 Including：Income from disposal of Fixed assets 23942445.86 -723124.34 Disposal gains or losses of the leased 1805.82 assets Total 23942445.86 -721318.52 45. Non-Operation income In RMB Item The amount of non-operating Amount of current period Amount of previous period gains & losses Non-current assets are damaged and scrapped for 38312.45 56349.73 38312.45 profit Insurance claim income 4289100.33 2474658.93 4289100.33 Road property claim income 3350907.80 2877260.24 3350907.80 Relocation compensation income 85000.00 118500.00 85000.00 Other 131456.95 1097901.92 131456.95 Total 7894777.53 6624670.82 7894777.53 46. Non-Operation expense In RMB Item The amount of non-operating Amount of current period Amount of previous period gains & losses Non-current assets are damaged and scrapped for 221416.68 31327.52 221416.68 profit Road rehabilitation 8181232.457669259.008181232.45 expenditure Fine 194072.99 2248.20 194072.99 Other 391732.08 586370.05 391732.08 Total 8988454.20 8289204.77 8988454.20 47. Income tax expense (1) Lists of income tax expense In RMB Item Amount of current period Amount of previous period Current income tax expense 681258103.75 676281258.99 Deferred income tax expense -5027787.57 -5102900.87 Total 676230316.18 671178358.12 (2) Adjustment process of accounting profit and income tax expense In RMB Item Amount of current period Total 3164900248.68 Current income tax expense accounted by tax and relevant regulations 791225062.16 Influence of income tax before adjustment 11096824.53 Influence of non taxable income -60400728.28 Impact of non-deductible costs expenses and losses 10757130.28 Effect of utilizing deductible losses from prior periods for which deferred tax -85735535.72 assets were not previously recognized 1922025 Annual Report The current period does not affect the deferred tax assets recognized deductible 9287563.21 temporary differences or deductible loss Income tax expense 676230316.18 49.Items of Cash flow statement （1）Cash related to operating activities Other cash received from business operation In RMB Item Amount of current period Amount of previous period Interest income 33700803.73 44591923.66 Unit current account 279607880.02 182243574.88 Special government subsidies 782739442.45 100000000.00 Total 1096048126.20 326835498.54 Other cash paid related to operating activities In RMB Item Amount of current period Amount of previous period Management expense 30922837.19 32363363.13 Unit current account 457411595.35 69951433.32 Total 488334432.54 102314796.45 （2）Cash related to Investment activities Cash receivable related to other Investment activities In RMB Item Amount of current period Amount of previous period Interest on occupation of fund 1366702.42 Receipt of returned bid bond 3892567.08 Total 5259269.50 Important cash received in relation to the investment activities In RMB Item Amount of current period Amount of previous period Disposition of cash received by associated 107111100.00 39614562.90 Cash received from dividends and dividends 46882336.8581116037.32 of other equity investments Refund of temporary fund advances 124968962.79 76768033.74 Total 278962399.64 197498633.96 1932025 Annual Report Cash Payable related to other Investment activities In RMB Item Amount of current period Amount of previous period Equity transaction service fee 169611.10 Return Bid deposit 726068.90 3499900.00 Other 1974.86 Total 728043.76 3669511.10 Cash Payable related to other Investment activities In RMB Item Amount of current period Amount of previous period Cash paid for by investing in associates 455038000.00 201662000.00 Cash paid for the reconstruction and expansion of the Nansha-Zhuhai section of the Guangzhou- 1644114526.85 1514598632.64 Macao Expressway Cash paid for the reconstruction and expansion of the Luogang-Lingkeng section of the Guanghui 608602597.74 Expressway Total 2707755124.59 1716260632.64 （3）Cash related to Financing activities Other cash paid in relation to financing activities In RMB Item Amount of current period Amount of previous period Performance commitment compensation 40092886.12 Received loans from minority 450000.00 shareholders Total 450000.00 40092886.12 Cash paid related to other Financing activities In RMB Item Amount of current period Amount of previous period Issuance fee of medium-term notes 13518.75 537769.75 Cash paid for the lease liabilities 11613052.64 11600234.86 Return minority shareholder loan 450000.00 Total 12076571.39 12138004.61 Changes in various liabilities arising from financing activities □Applicable □Not applicable In RMB Item Year-beginning Increase in the current period Decrease in the current period Year-end balance Non-cash Non-cash balance Cash changes Cash changeschanges changes Other payable-Dividend 32714825.121792842311.111788611713.0444940.7436900482.45 payable Other payable 45000000.00 451750.00 45451750.00 Short-loans 260000000.00 2642194.13 3478236.10 259163958.03 Long-term loans （Including part due 6966984589.52 5265700000.00 202337172.38 2107575218.04 10327446543.86within one year） Bond payable （Including part due 767774662.42 4725337.58 772500000.00within one year） 1942025 Annual Report Item Year-beginning Increase in the current period Decrease in the current period Year-end balance Non-cash Non-cash balance Cash changes Cash changeschanges changes Long-term payable （Including part due 2022210.11 2022210.11within one year） Lease liabilities （Including part due 13482202.36 314503.83 11066517.08 2730189.11within one year） Total 7782978489.53 5570700000.00 2003313269.03 4683231684.26 44940.74 10673715133.56 50. Supplement Information for cash flow statement （1）Supplement Information for cash flow statement In RMB Supplement Information Amount of current Amount of previous period period I. Adjusting net profit to cash flow from operating activities Net profit 2488669932.50 2102912782.05 Add：Impairment loss provision of assets Credit loss preparation -309703904.28 121656189.18 Depreciation of fixed assets oil and gas assets and consumable biological assets 996233986.16 1036083773.12 Depreciation of Use right assets 10366628.85 10677119.67 Amortization of intangible assets 24247499.87 24957444.17 Amortization of Long-term deferred expenses 350625.00 350625.00 Loss on disposal of fixed assets intangible assets and other long-term deferred assets -23942445.86 721318.52 Fixed assets scrap loss 183104.23 -25022.21 Loss on fair value changes -8725590.15 -2637409.20 Financial cost 125748478.06 181083621.11 Loss on investment -240056122.11 -302846786.74 Decrease of deferred income tax assets 1540558.00 7156816.67 Increased of deferred income tax liabilities -6568345.57 -12259717.54 Decrease of inventories Decease of operating receivables -39815368.83 -80518246.74 Increased of operating Payable 54392645.07 74285172.90 Other 486572714.34 94765913.95 Net cash flows arising from operating activities 3559494395.28 3256363593.91 II. Significant investment and financing activities that without cash flows: Conversion of debt into capital Convertible corporate bonds maturing within one year Financing of fixed assets leased 3.Movement of cash and cash equivalents： 1952025 Annual Report Ending balance of cash 6492074956.46 4259653084.58 Less: Beginning balance of cash equivalents 4259653084.58 4701657434.00 Add：End balance of cash equivalents Less: Beginning balance of cash equivalents Net increase of cash and cash equivalent 2232421871.88 -442004349.42 （2）Composition of cash and cash equivalents In RMB Item Balance in year-end Balance in year-Beginning 6492074956.464259653084.58 Cash 10412.1810267.08 Of which: Cash in stock Bank savings could be used at any time 6491551979.24 4259125745.36 Other monetary capital could be used at any time 512565.04 517072.14 Balance of cash and cash equivalents at the period end 6492074956.46 4259653084.58 （3）Monetary funds that are not cash and cash equivalents In RMB Reasons other than cash and cash Item Current amount Previous amount equivalents Land reclamation funds in fund custody Land reclamation funds 198100.00 1221200.00 account Unexpired accrued interest 53106885.65 28952378.64 Not actually received Total 53304985.65 30173578.64 51. Lease (1) The Company as lessee □Applicable □Not applicable Variable lease payments not included in the measurement of lease liabilities □Applicable□Not applicable Short-term lease or lease cost of low-value assets with simplified treatment □Applicable□Not applicable In RMB Item Current amount Interest expense of lease liabilities 314503.83 Variable lease payments not included in the measurement of lease liabilities Short-term lease or lease cost of low-value assets with simplified treatment 1150932.24 Income from subletting right-to-use assets Total cash outflow related to leasing 12097645.32 (2) The Company as lessor Operating lease as lessor 1962025 Annual Report □Applicable □Not applicable In RMB In which: income related to variable Item Lease income lease payment not included in lease receipts Operating lease income 41090923.23 Total 41090923.23 Financial lease as lessor □Applicable□Not applicable Undiscounted lease receipts for each of the next five years □Applicable□Not applicable （3） Recognize the profits and losses of financial lease sales as a manufacturer or distributor □Applicable□Not applicable VIII.R & D expenses In RMB Item Amount of the current period Amount of the previous period Remuneration 5719723.92 2415900.35 Entrusted development fee 10573426.06 5076799.72 Total 16293149.98 7492700.07 Including：Expendable research & 6071273.33 5083785.20 development Capitalized R&D expenditure 10221876.65 2408914.87 1972025 Annual Report 1. R&D Projects Eligible for Capitalization In RMB Increases in Current Period Decreases in Current Period Opening Item Internal Entrusted Transferred to Recognized as Closing Balance Recognized asdevelopment Others development current profits and construction in Balance intangible assets expenditure fees losses progress Research on Comprehensive Measures for Collision Prevention of Existing Bridges under 667960.21667960.21 Complex Navigation Conditions in Reconstruction and Expansion Projects Research on Soil Squeezing Effect and Settlement Control of Deep Soft Foundation in Embankment 434149.57 434149.57 of Reconstruction and Expansion Project Research on the Design and Maintenance Technology of Wide Road surface Drainage 516060.28 516060.28 System for Expressways Research on Splicing Technology of Bridge Irregular Structures under Complex Construction 523888.37 523888.37 Conditions Based on Factory Production Research on the Design and Maintenance Technology of Wide Road surface Drainage 804703.50 804703.50 System for Expressways Research on Comprehensive Measures for Collision Prevention of Existing Bridges under 525680.00525680.00 Complex Navigation Conditions in Reconstruction and Expansion Projects Research on Splicing Technology of Bridge Irregular Structures under Complex Construction 277500.00 277500.00 Conditions Based on Factory Production Research on Key Technologies for Design of 850277.101056145.601906422.70 Existing Research on Key Technology of Bridge and Tunnel 767361.023798151.004565512.02 Reconstruction and Expansion Design Total 3759696.55 6462180.10 10221876.65 1982025 Annual Report IX.Changes to the merge scope There were no changes in the Company's consolidation scope during the reporting period.X. Equity in other entities 1. Equity in subsidiary (1) The structure of the enterprise group In RMB Main Shareholding Places Regist Ratio (%) Nature of Obtaining Name of Subsidiary Registered capital of ration Business indir Method Operatio Place direct ect n Under the same Guangfo Expressway Co. Ltd. 200000000.00 Guangz Guan Expressway 75.00% control businesshou gzhou Management combination Under the same Guanghui Expressway Co. Ltd. 2351678000.00 Guangz Guan Expresswayhou gzhou Management 51.00% control businesscombination Under the same Guanghui Expressway Co. Ltd. 4221000000.00 Zhongsh Guan Expressway 75.00% control businessan gzhou Management combination Yuegao Capital 375500000.00 Guangz Guan Investmenthou gzhou management 100.00% EstablishmentInvestment(Guangzhou)Co. Ltd. Notes: holding proportion in subsidiary different from voting proportion: None Basis of holding half or less voting rights but still been controlled investee and holding more than half of the voting rights not been controlled investee: None Significant structure entities and controlling basis in the scope of combination: None Basis of determine whether the Company is the agent or the principal: None Other note: None (2) Important Non-wholly-owned Subsidiary In RMB Profit or Loss Owned Dividends Distributed to Shareholding Ratio Equity Balance of the Equity Balance of the by the Minority the Minority of Minority Minority Shareholders in Minority Shareholders in Shareholders in the Shareholders in the Shareholders (%) the End of the Period the End of the Period Current Period Current Period Guangdong Guanghui Expressway Co. 49.00% 495083951.29 492905338.02 2230860936.09 Ltd.Jingzhu Expressway Guangzhu Section 25.00% 114035338.99 206445369.19 773918799.72 Co.Ltd.Holding proportion of minority shareholder in subsidiary different from voting proportion None Other note：None 1992025 Annual Report (3) The main financial information of significant not wholly owned subsidiary In RMB Year-end balance Year-beginning balance Name Non-Current Non- current Current Total Current Non- current Current Non- current Total Total assets current Total assets assets assets Liabilities liabilities assets assets Liabilities liabilities liabilities liabilities Guangdong Guanghui Expressway Co. Ltd. 2846618215.37 2520990895.25 5367609110.62 217572489.94 324044914.39 541617404.33 2202032502.09 2311186053.66 4513218555.75 200417595.58 103755403.39 304172998.97 Jingzhu Expressway Guangzhu Section 1009826746.46 6571831122.00 7581657868.46 319620343.28 4166362326.31 4485982669.59 421031319.91 5056842394.60 5477873714.51 674646315.03 2160412079.79 2835058394.82 Co.Ltd.In RMB Amount of current period Amount of previous period Name Total TotalCash flows from Cash flows from Business income Net profit Comprehensive Business income Net profit Comprehensive operating activities operating activities income income Guangdong Guanghui Expressway Co. Ltd. 2022964170.11 1010375410.79 1010375410.79 1417815613.70 1939250120.24 905929261.28 905929261.28 1325346450.31 Jingzhu Expressway Guangzhu Section Co.Ltd. 1007866801.68 456141355.95 456141355.95 1132504703.75 1122523853.96 506281476.77 506281476.77 924689753.54 2002025 Annual Report (4) Significant restrictions of using enterprise group assets and pay off enterprise group debt None (5) Provide financial support or other support for structure entities incorporate into the scope of consolidated financial statements None 2. The transaction of the Company with its owner’s equity share changed but still controlling the subsidiary (1) Significant joint venture arrangement or associated enterprise None （2）Affect of the transaction on the minority equity and owner's equity attributable to the parent company None 3. Equity in joint venture arrangement or associated enterprise (1) Significant joint venture arrangement or associated enterprise Proportion Accounting treatment of the Main Name operating Registration investment of place place Business nature Directly Indirectly joint venture or associated enterprise Zhaoqing Yuezhao Highway Co. Zhaoqing Zhaoqing Expressway Ltd. Management 25.00% Equity method Guangdong Guangdong Shenzhen Huiyan Expressway Co.Ltd. Shenzhen Shenzhen Expressway Management 33.33% Equity method Guangdong Jiangzhong Expressway Co. Ltd. Zhongshan Zhongshan Expressway Management 15.00% Equity method Ganzhou kangda Expressway Co.Ltd. Gangzhou Ganzhou Expressway Management 30.00% Equity method Ganzhou Gankang Expressway Co. Gangzhou Ganzhou ExpresswayLtd. Management 30.00% Equity method Guangdong Yuepu Small Hand all kinds of Refinancing Co. Ltd(Note) Guangzhou Guangzhou small loans 15.48% Equity method Guangyuan Securities Co. Ltd. Hefei Hefei Security business 2.37% Equity method Guangdong Guangle Expressway Gangzhou Ganzhou Expressway Co. Ltd. Management 9.00% Equity method SPIC Yuetong Qiyuan Chip Power New Energy Guangzhou Guangzhou 6.67% Equity method Technology Co. Ltd service Software and Shenzhen Garage Electric Pile Shenzhen Shenzhen Information 17.40% Equity method Technology Co. Ltd technology Basis of holding less than 20% of the voting rights but has a significant impact or holding 20% or more voting rights but does not have a significant impact:Guangdong Jiangzhong Expressway Co. Ltd. Yuepu Small Refinancing Co. Ltd.. Guoyuan Securities Co. Ltd.，Guangdong Guangle Expressway Co. Ltd. SPIC YuetongQiyuan Chip Power Technology Co. Ltd.andShenzhen Garage Electric Pile Technology Co.Ltd. holds 20% of the voting rights but has the power to participate in making decisions on their financial and operating decisions and therefore deemed to be able to exert significant influence over the investee. 2012025 Annual Report （2）Main financial information of significant associated enterprise None 2022025 Annual Report （3）Main financial information of significant associated enterprise In RMB Year-end balance/ Amount of current period Year-beginning balance/ Amount of previous period Guoyuan Securities Guangdong Guangle Zhaoqing Yuezhao Guoyuan Securities Guangdong Guangle Zhaoqing Yuezhao Co. Ltd. Expressway Co.Ltd. Highway Co. Ltd. Co. Ltd. Expressway Co.Ltd. Highway Co. Ltd.Current assets Non-current assets Total assets 184879614300.42 20869484787.66 5657661258.00 172526443220.18 21648452816.33 3495659198.96 Current liabilities Non-current Liabilities Total liabilities Minority Shareholders’ Equity Shareholders’ equity attributable to shareholders of the parent 38130811083.17 8949516352.18 2884214802.32 37081084070.93 8875480926.44 2216434957.48 Pro rata share of the net assets calculated 904233533.10 805456471.70 721053700.58 879340429.05 798793283.38 554108739.37 Adjustment items --Goodwill 207095632.54 207095632.54 -- Internal transactions did not achieve profits --Other The book value of equity investments in joint ventures 1111329165.64 805456471.70 721053700.58 1086436061.59 554108739.37 Fair value of equity investment of associated enterprises with open quotation 864079559.70 865114385.52 Buinsess incme 6239240500.33 2557786477.49 477452557.27 7838551047.28 1505394582.29 538230469.98 Net profit 2425087510.27 486856291.63 170682372.66 2285774152.02 266854094.13 214921425.32 Net profit from terminated operations Other comprehensive income -550948374.52 1124398377.85 Total comprehensive income 1874139135.75 486856291.63 170682372.66 3410172529.87 266854094.13 214921425.32 Dividends received from associates during the year 24835819.68 37153877.93 15522387.30 39211459.11 2032025 Annual Report （4）Summary financial information of insignificant joint venture or associated enterprise In RMB Year-end balance/ Amount of current Year-beginning balance/ Amount of period previous period Joint venture： Total amount of the pro rata calculation of the following items Associated enterprise： Total book value of the investment 1724799598.53 2245913947.25 Total amount of the pro rata calculation of the following--Net profitms --Net profit 72484358.82 137648577.81 --Total comprehensive income 72484358.82 137648577.81 (5) Note to the significant restrictions of the ability of joint venture or associated enterprise transfer funds to the Company None (6) The excess loss of joint venture or associated enterprise None (7) The unrecognized commitment related to joint venture investment None (8) Contingent liabilities related to joint venture or associated enterprise investment None 4. Significant common operation None 5. Equity of structure entity not including in the scope of consolidated financial statements None 6.Other note None 6.Other None XI. Government subsidies 1. At the end of the reporting period government subsidies recognized according to the amount receivable □Applicable□Not applicable Reasons for not receiving the estimated amount of government subsidies at the expected time □Applicable□Not applicable 2042025 Annual Report 2. Liabilities involving government subsidies □Applicable □Not applicable In RMB Amount included in Amount Other New subsidy non- transferred to changes Accounting Beginning Closing Related to amount in the operating other income in the subject balance balance assets/income current period income in in the current current the current period period period Deferred 485914020.10 491724200.00 852600.35 976785619.75 Asset-related income Total 485914020.10 491724200.00 852600.35 976785619.75 3. Government subsidies included in current profits and losses □Applicable □Not applicable Government grants related to assets In RMB Accounting subject Amount incurred in the current period Amount incurred in the previous period Other income 1583480.98 11296964.50 Total 1583480.98 11296964.50 Other note： XII. Risks Related to Financial Instruments 1. Risks Related to Financial Instruments The Company is exposed to various financial risks in its operations: credit risk liquidity risk and market risk (including foreign exchange risk interest rate risk and other price risks). These financial risks and the Company's risk management policies to mitigate them are described below: The Company's risk management objective is to strike a balance between risk and return minimize the adverse effects of risks on the Company's operating performance and maximize the interests of its shareholders and other equity investors. Based on such risk management objective the Company's fundamental risk management strategy is to identify and analyze various risks establish appropriate risk tolerance thresholds and risk management measures and reliably monitor all risks to keep them within defined limits.The Board of Directors of the Company is fully responsible for determining risk management objectives and policies and bears ultimate responsibility for them. The management has reviewed and approved policies to manage these risks summarized as follows: (1) Credit risk Credit risk refers to the risk of financial loss resulting from a counterparty's failure to fulfill contractual obligations.The Company's credit risk primarily arises from accounts receivable other receivables and similar receivables. As of the balance sheet date the carrying amounts of the Company's financial assets represent their 2052025 Annual Report maximum credit risk exposure.For receivables the Company has established relevant policies to control credit risk exposure. The Company assesses the credit quality of accounts receivable and other receivables based on customers' financial conditions the possibility of obtaining third-party guarantees credit history and other factors such as current market conditions and sets corresponding credit terms accordingly. The Company regularly monitors customers' credit records to ensure that overall credit risk remains within controllable limits. Additionally at each balance sheet date the Company reviews the recoverability of each individual receivable to ensure adequate bad debt provisions are made for irrecoverable amounts. Therefore the Company's management believes that its credit risk exposure has been substantially mitigated.The Company's cash and cash equivalents are primarily bank deposits held with highly-rated financial institutions and the Company considers there to be no significant credit risk that would result in material losses from bank defaults. (2) Liquidity risk Liquidity risk refers to the risk that an enterprise will encounter difficulties in meeting obligations associated with financial liabilities that are settled by delivering cash or other financial assets.The Company's policy is to maintain sufficient cash and cash equivalents to meet its debt obligations as they fall due. Liquidity risk is centrally managed by the Company's Finance Department. The Finance Department monitors cash and cash equivalent balances and prepares rolling 12-month cash flow forecasts to ensure the Company maintains sufficient funding to meet its liabilities under all reasonably foreseeable circumstances. It also continuously monitors compliance of the Company with borrowing agreements and maintains commitments from major financial institutions to provide adequate standby funding to meet both short-term and long-term financing requirements.The Company's financial liabilities are presented by maturity dates based on undiscounted contractual cash flows as follows: Closing balance Item Total undiscounted Within 1 year Over 1 year Book Value contractual amount Long –short 550278988.8510036331513.0410586610501.8910586610501.89 term loans Account 119714922.34100001093.84219716016.18219716016.18 payable Other payable 106744144.92 148733233.13 255477378.05 255477378.05 Other current 123420.61123420.61123420.61 liabilities Lease liabilities 2730189.11 2730189.11 2730189.11 Long-term 2022210.112022210.112022210.11 payable Total 779591665.83 10287088050.12 11066679715.95 11066679715.95 2062025 Annual Report Opening balance Item Total undiscounted Within 1 year Over 1 year Book Value contractual amount Long –short 238719839.526728264750.006966984589.526966984589.52 term loans Account 226104482.05226104482.05226104482.05 payable Other payable 243181747.77 28936289.15 272118036.92 272118036.92 Other current 767774662.42767774662.42767774662.42 liabilities Lease liabilities 73697.84 73697.84 73697.84 Long-term 11066517.082752713.1713819230.2513482202.36 payable Total 2022210.11 2022210.11 2022210.11 Total 1486920946.68 6761975962.43 8248896909.11 8248559881.22 (3) Market risk Market risk of financial instruments refers to the risk that the fair value or future cash flows of financial instruments will fluctuate due to changes in market prices including foreign exchange risk interest rate risk and other price risks. 1) Interest rate risk Interest rate risk refers to the risk that the fair value or future cash flows of financial instruments will fluctuate due to changes in market interest rates.The Company's risk of changes in cash flows of financial instruments due to interest rate fluctuations is primarily related to floating-rate bank borrowings. The Company's policy is to maintain floating interest rates on these borrowings. 2) Foreign exchange risk Foreign exchange risk refers to the risk that the fair value or future cash flows of financial instruments will fluctuate due to changes in foreign exchange rates.The Company's exposure to foreign exchange risk is primarily related to Hong Kong dollars. Except for annual dividend distributions to B-share shareholders the Company's other major business activities are denominated and settled in RMB. During the reporting period the impact of foreign exchange risk was limited due to the short credit periods for the Company's foreign currency-denominated expenditures. 3) Other price risk Other price risk refers to the risk that the fair value or future cash flows of financial instruments will fluctuate due to changes in market prices other than foreign exchange rates and interest rates.The Company's other price risk mainly arises from various equity instrument investments and is exposed to price fluctuations in these equity instruments. The Company mitigates price risk in equity securities investments by adopting a long-term holding strategy for equity securities. 2072025 Annual Report XIII. The disclosure of the fair value 1. Closing fair value of assets and liabilities calculated by fair value In RMB Closing fair value Item Fir value Fir value Fir value measurement items measurement items measurement items Total at level 1 at level 2 at level 3 I. Consistent fair value measurement -- -- -- -- （2）Equity instrument 195219767.35195219767.35 investment（III）Other equity instrument 821039754.5669613512.09890653266.65 investment Total assets continuously 821039754.56195219767.3569613512.091085873034.00 measured at fair value II. Non –persistent measure -- -- -- -- 2. Market price recognition basis for consistent and inconsistent fair value measurement items at level 1. As at the end of the period the company holds shares 235254944 shares of China Everbright Bank According to the closing price of December 312025 of 3.49 yuan the final calculation of fair value was 821039754.56 yuan. 3. For Level 2 items measured at fair value continuously and non-continuously the valuation techniques and qualitative and quantitative information of significant parameters are adopted The fair value of the assets held by the Company and measured by Level 2 fair value is determined by the market method; Other non current financial assets held by the Company and measured at Level 2 fair value are non transactional equity instrument investments and their fair value is determined based on the prices of similar assets in active or non-active markets. 4. For Level 3 items measured at fair value continuously and non-continuously the valuation techniques and qualitative and quantitative information of significant parameters are adopted The Level 3 fair value measurement held by the Company is designated for non transactional equity instrument investments measured at fair value with changes recognized in other comprehensive income mainly for equity investment projects with no observable active market data verification and with financial forecasts made by using their own data. 5. Valuation technology changes that occurred during this period and reasons for changes The non transactional equity instrument investments held by the Company which are measured at fair value with changes recognized in current profits and losses were evaluated at fair value by using the income method in the same period last year. However in this period due to the inability to obtain previously used 2082025 Annual Report information for financial forecasting and the fact that the Company can obtain similar asset quotes in the market we have changed to evaluate the fair value by using the market method.XIV. Related parties and related-party transactions 1. Parent company information of the enterprise The parent The parent company Name Registered Redistricted company of the of the Company's address Nature capital Company’s vote shareholding ratio ratio Guangdong Equity management traffic communication Guangzhou infrastructure construction 26.8 billion Group Co. Ltd and railway project yuan 24.56%50.12% operation Note： Guangdong Communication Group Co. Ltd. is the largest shareholder of the Company. legal representative: Liu Xiaohua. Date of establishment: June 23 2000. As of December 312025Registered capital: 26.8 billion yuan. It is a solely state-owned limited company. Business scope：equity management organization of asset reorganization and optimized allocation raising funds by means including mortgage transfer of property rights and joint stock system transformation project investment operation and management traffic infrastructure construction highway and railway project operation and relevant industries technological development application consultation and services highway and railway passenger and cargo transport ship industry relevant overseas businesses; The value-added communication business.The finial control of the Company was State owned assets supervision and Administration Commission of Guangdong Provincial People's Government.Other note: 2.Subsidiaries of the Company Subsidiaries of this enterprise see X(1) the rights of other entity 3. Information on the joint ventures and associated enterprises of the Company Details refer to the X-3 Interests in joint ventures or associates Information on other joint venture and associated enterprise of occurring related party transactions with the Company in reporting period or form balance due to related party transactions in previous period: Name Relation with the Company Shenzhen Huiyan Expressway Co. Ltd. Associated enterprises of the Company Zhaoqing Yuezhao Highway Co. Ltd. Associated enterprises of the Company Ganzhou Kangda Expressway Co. Ltd. Associated enterprises of the Company Ganzhou Gankang Expressway Co. Ltd. Associated enterprises of the Company Guangdong Jiangzhong Expressway Co. Ltd. Associated enterprises of the Company SPIC Yuetong Qiyuan Chip Power Technology Co. Ltd Associated enterprises of the Company 4. Other Related parties 2092025 Annual Report Name Relation with the Company Guangdong East Thinking Management Technology Development Co. Ltd. Fully owned subsidiary of the parent company Guangdong Expressway Media Co. Ltd. Fully owned subsidiary of the parent company Guangdong Expressway Technology Investment Co. Ltd. Fully owned subsidiary of the parent company Guangdong Humen Bridge Co. Ltd. Fully owned subsidiary of the parent company Guangdong Hualu Traffic Technology Co. Ltd. Fully owned subsidiary of the parent company Guangdong Communications Testing Co. Ltd. Fully owned subsidiary of the parent company Guangdong Litong Development Investment Co. Ltd. Fully owned subsidiary of the parent company Guangdong Litong Technology Investment Co. Ltd. Fully owned subsidiary of the parent company Guangdong Litong Property Investment Co. Ltd. Fully owned subsidiary of the parent company Guangdong Union Electron Service Information technology Co. ltd. Fully owned subsidiary of the parent company Guangdong Lulutong Co. Ltd. Fully owned subsidiary of the parent company Guangdong Provincial Freeway Co.Ltd. Fully owned subsidiary of the parent company Guangdong Highway Construction Co. Ltd. Fully owned subsidiary of the parent company Guangdong Communication Group Finance Co. Ltd. Fully owned subsidiary of the parent company Guangdong Tongyi Expressway Service Area Co. Ltd Fully owned subsidiary of the parent company Guangdong Xinyue Traffic Investment Co. Ltd. Fully owned subsidiary of the parent company Guangdong Yueyun Traffic Rescue Co. Ltd. Fully owned subsidiary of the parent company Guangzhou Xinyue Traffic Technology Co. Ltd. Fully owned subsidiary of the parent company Guangzhou Xinyue Asphalt Co. Ltd. Fully owned subsidiary of the parent company Guangdong Traffic Development Co. Ltd. Fully owned subsidiary of the parent company Guangdong Yueyun Traffic Co. Ltd. Fully owned subsidiary of the parent company Guangdong Guangle Expressway Co. Ltd. Fully owned subsidiary of the parent company Guangdong Communication Group Financial Shared Service Fully owned subsidiary of the parent company Center Co. Ltd Guangdong Motor Transportation Group Co. Ltd Fully owned subsidiary of the parent company Guangdong Highway Science and Education Center Co. Ltd Fully owned subsidiary of the parent company Guangdong Communications Technology Research and Fully owned subsidiary of the parent company Development Co. Ltd Guangdong Leyi Trade Co. Ltd. Associated enterprises controlled by the same parent company Guangdong Zhongyuetong Oil Products Management Co. Ltd Associated enterprises controlled by the same parent company Poly Changda Engineering Co. Ltd. Fully owned subsidiary of the parent company Guangdong Communication Planning & Design Institute Co.Associated enterprises controlled by the same parent company Ltd.Guangdong Changda Road Conservation Co. Ltd. Fully owned subsidiary of the parent company Guangdong Changda Commerce Service Co. Ltd. Other units significantly affected by the parent company Guangdong Jingzhu Expressway Guangzhu North Section Co.Ltd. Associated enterprises controlled by the same parent company Guangdong Feida Traffic Engineering Co. Ltd. Associated enterprises controlled by the same parent company Changda Municipal Engineering (Guangdong) Co. Ltd. Associated enterprises controlled by the same parent company Hunan Lianzhi Technology Co. Ltd. A wholly owned subsidiary of the Company Guangdong Nanyue Traffic Guangzhou-Zhongjiang Managed by the parent company Expressway Management Office Guangdong Provincial Government Expressway Debt Repayment Management Center Other units significantly affected by the parent company 5. List of related-party transactions (1)Information on acquisition of goods and reception of labor service Acquisition of goods and reception of labor service In RMB 2102025 Annual Report Amount of Amount of Over the Related parties Content of related trading Amount of lasttransaction current period previous limit or period not period 1.Business cost Poly Changda Engineering Co. Ltd. Project fund service 25699543.00 24184238.00 Guangdong Union electronic services co. Ltd. Service 23870783.38 24393142.01 Guangdong Communications Testing Project fund service 13333559.00 10352698.00 Co. Ltd.Guangdong Xinyue Traffic Investment Project fund service 12404071.84 8999520.04 Co. Ltd.Guangzhou Xinyue Asphalt Co. Ltd. Purchase 8942648.02 8656240.65 Guangdong Feida Traffic Engineering Co. Ltd. Maintenance 7130345.00 6602624.00 Guangdong Yueyun Traffic Rescue Co. Ltd. Rescue service fee 4967402.00 4967400.00 Guangdong Hualu Traffic Technology Co. Ltd. Project 4592319.62 4249608.18 Guangdong Communication Planning & Design Institute Co. Ltd. Project labour service 4054868.02 1002277.44 Guangdong Litong Technology Maintenance 3722436.22 1728839.48 Investment Co. Ltd.Guangdong Xinyue Traffic Investment Project fund service 3531146.00 Co. Ltd.Guangdong Leyi Trade Co. Ltd. Purchase 1321028.51 Guangdong East Thinking Management Technology Service 1165800.00 1406378.17 Development Co. Ltd.Guangdong Humen Bridge Co. Ltd. Service 974214.06 1150688.38 Guangdong Highway Science and Training expense 567621.00 662840.00 Education Center Co. Ltd.Guangdong Traffic Technology R & D Service 371281.00 192096.00 Co. Ltd.Guangdong Lulutong Co. Ltd. Maintenance 283716.00 1822181.00 Guangdong Tongyi Expressway Service Area Co. Ltd Service 232637.18 154584.00 Guangdong Expressway Technology Depreciation cost 598500.00 Investment Co. Ltd.Hunan Lianzhi Monitoring Project 147282.00 Technology Co. Ltd.Subtotal 117165419.85 101271137.35 2.Financial cost Guangdong Communication Group Borrowing Interest Finance Co. Ltd. expresses 10488063.60 11415261.10 Ganzhou Gankang Expressway Co. Borrowing Interest Ltd. expresses 451750.00 Guangdong Communication Group Finance Co. Ltd. Deposit interest income -44742755.84 -28914447.25 Subtotal -33802942.24 -17499186.15 3.Administrative expenses Guangdong Litong Property Management Fee water 2485806.70101893.11 Development Co. Ltd. and electricity Guangdong Highway Science and Training expense 1263693.61 1202402.19 Education Center Co. Ltd Guangdong Litong Technology Management Fee 1039900.00 Investment Co. Ltd. 2112025 Annual Report Amount of Amount of Over the Related parties Content of related trading Amount of lasttransaction current period previous limit or period not period Guangdong Union electronic services maintenance fee 898182.00 879986.00 co. Ltd.Guangdong East Thinking Management Technology Maintenance，Service 729068.57 968211.32Development Co. Ltd.Guangdong Communication Group Financial Shared Service Center Co. Service 565080.62 351582.90 Ltd Guangdong Leyi Trade Co. Ltd. Purchase 432027.65 Guangdong Highway Construction Training expense 378733.12 530110.72 Co.Ltd.Guangdong Litong Development Management Fee 156000.00 Investment Co. Ltd.Guangdong Highway Construction Service 111806.12 Co. Ltd. Nanhuan section Branch Guangdong Tongyi Expressway Service Area Co. Ltd Service 92461.66 129318.80 Guangdong Feida Traffic Camera cost 37818.00 EngineeringCo. Ltd.Guangdong Hualu Traffic Meeting fee 2000.00 TechnologyCo. Ltd.Guangdong Expressway Media Co.Work safety funds 101120.00 Ltd.Guangdong Provincial Freeway Co.Ltd. Travel expense 8200.00 Subtotal 8192578.05 4272825.04 4.R & D Guangdong Communication Planning Scientific research 1339449.701545656.31 & Design Institute Co. Ltd. project Guangdong Communications Testing Scientific research 623345.00316299.00 Co. Ltd. project Guangdong Hualu Traffic Technology Scientific research 199920.0016104.90 Co. Ltd. project Guangdong Xinyue Traffic Investment Monitoring service fee -35401.40 Co. Ltd. and installation fee Subtotal 2127313.30 1878060.21 5.Fixed assets Guangdong Xinyue Traffic Investment Co. Ltd. Purchase assets 4910079.60 5049951.00 Guangdong Communications Testing Purchase assets 2873532.00 774006.00 Co. Ltd.Guangdong Expressway Technology Purchase assets 328400.00 88232.91 Investment Co. Ltd.Guangdong Litong Technology Purchase assets 259000.00 380000.00 Investment Co. Ltd.Guangdong East Thinking Management Technology Purchase assets 84699.00 Development Co. Ltd.Guangdong Hualu Traffic Technology Co. Ltd. Purchase assets 52515.22 1905520.15 Guangdong Feida Traffic Engineering Purchase assets 12800.00 11081330.36 Co. Ltd. 2122025 Annual Report Amount of Amount of Over the Related parties Content of related trading Amount of lasttransaction current period previous limit or period not period Guangdong Communication Planning & Design Institute Co. Ltd. Purchase assets 3000244.05 Guangdong Lulutong Co. Ltd. Purchase assets -12129.49 996550.00 Subtotal 8508896.33 23275834.47 6.Construction in process Poly Changda Engineering Co. Ltd. Purchase assets 344081792.00 493403076.00 Guangdong Xinyue Traffic Investment Co. Ltd. Purchase assets 50543031.50 2373193.00 Guangdong Feida Traffic Engineering Purchase assets 9672717.00 4938836.00 Co. Ltd.Guangdong Communication Group Interest capitalized 8761042.09 5597723.65 Finance Co. Ltd.Guangdong Hualu Traffic Technology Co. Ltd. Purchase assets 5611896.08 3570763.04 Guangdong Communication Planning & Design Institute Co. Ltd. Purchase assets 1787124.75 15223406.23 Guangdong Communications Testing Testing Fee 2593345.00 Co. Ltd Guangdong Yueyun Transportation Project 599365.58 Rescue Co. Ltd. Third Branch Guangdong East Thinking Management Technology Purchase assets 569450.00 1321170.00 Development Co. Ltd.Guangdong Communications Group Financial Shared Service Center Co. Purchase assets 151194.47 88015.98 Ltd Guangdong Chfangda Commerce Project 132571.66 Service Co. Ltd.Guangdong Motor Transportation Purchase assets 129300.00 173900.00 Group Co. Ltd Guangdong Highway Science and Purchase assets 56488.00 13300.00 Education Center Co. Ltd Guangdong Highway Construction Purchase assets 16109.46 29053.56 Co. Ltd.Guangdong Highway Construction Project 9550.00 Nanhua Branch Guangdong Traffic Development Co.Purchase assets 7200000.00 Ltd.Subtotal 424714977.59 533932437.46 7.Intangible assets Guangdong Feida Traffic Engineering Purchase assets 245081.00 Co. Ltd Guangdong Xinyue Traffic Investment Purchase assets 60472.00 Co. Ltd.Subtotal 305553.00 8.Non-operating expenses Expenditure on Guangdong Feida Traffic Engineering electromechanical 708148.00 1005769.00 Co. Ltd.system repair Guangdong Xinyue Traffic Investment Co. Ltd. Sporadic repair fees 158133.35 271138.43 Subtotal 866281.35 1276907.43 2132025 Annual Report Related transactions on sale goods and receiving services In RMB Related party Content Amount of current Amount of previous period period 1.Business income Jingzhu Expressway Guangzhu North section Co. Ltd. Commissionmanagement fee 25790000.00 25259811.30 Guangdong Provincial Government loan repayment Commission management fee 8279905.64 6148490.59highway Management Center Guangdong Traffic Development Co. Ltd. Water and electricity 2858236.91 1005319.71 Salaries of expatriate Zhaoqing Yuezhao Highway Co. Ltd. 1587372.50 1132902.61 staff Ganzhou Gankang Expressway Co. Ltd. Salaries of expatriatestaff 1416621.91 1036052.35 Salaries of expatriate Shenzhen Huiyan Expressway Co. Ltd. 1175700.63 1031504.73 staff Guangdong Tongyi Expressway Service Area Co. Ltd Water and electricity 839474.87 1174889.20 Salaries of expatriate Ganzhou Kangda Expressway Co. Ltd. 608783.98 816030.16 staff Guangdong Yueyun Traffic Rescue Co. Ltd. Water and electricity 542553.43 Salaries of expatriate Guangdong Jiangzhong Expressway Co. Ltd. 497844.93 518825.92 staff Guangdong Zhongyuetong Oil Products Management Water and electricity 117856.38 Co. Ltd Guangdong Yueyun Traffic Rescue Co. Ltd. Water and electricity 36049.17 21129.68 Guangdong Expressway Technology Investment Co.Electricity 24076.08 Ltd.Guangdong Expressway Media Co. Ltd. Water and electricity 4705.12 2581.63 Salaries of expatriate Yuetong Qiyuan Chip Power Technology Co. Ltd. 396039.60 staff Poly Changda Engineering Co. Ltd. water and electricity bills 9087.96 Guangdong Litong Technology Investment Co. Ltd. Electricity 1651.77 Subtotal 43779181.55 38554317.21 2）Non-operating income Construction liquidated Poly Changda Engineering Co. Ltd. 37000.00 11000.00 damages Construction liquidated Guangdong Xinyue Traffic Investment Co. Ltd. 6000.00 7500.00 damages Guangdong Union electronic services co. Ltd. Flat cost 88.50 Subtotal 43088.50 18500.00 (2) Information of related lease The Company was lessor： In RMB Name of lessee Category of lease assets The lease income confirmed in The lease income confirmed inthis year last year Guangdong Tongyi Expressway Service Area Co. Ltd Service Area Lease 12331904.76 Guangdong Expressway Advertising lease 2695495.482352418.65 Technology Co. Ltd.Guangdong Tongyi Expressway Service Area Co. Ltd Service Area Lease 2512175.38 2512175.38 Guangdong Expressway Advertising lease 2480564.962393287.84 Technology Co. Ltd.Guangdong Expressway Media Advertising lease 1534321.86 2346482.15 2142025 Annual Report Co. Ltd.Guangdong Traffic Development Equipment lease 668793.29 315372.65 Co. Ltd.Poly Changda Engineering Co.Ltd. Land lease 648002.10 600002.15 Poly Changda Engineering Co.Ltd. Equipment lease 445910.62 445910.62 Guangdong Yueyun Traffic Co. Income from lease 282564.33 Ltd. operation and contracting Guangdong Expressway Property lease 243564.17 252751.02 Technology Co. Ltd.Guangdong Expressway Technology Investment Co. Ltd. Land lease 94678.14 18285.71 Guangzhou Xinyue Traffic Land lease 37028.58 34285.71 Technology Co. Ltd.Guangdong Litong Technology Investment Co. Ltd. Land lease 428101.21 Total 23975003.67 11699073.09 2152025 Annual Report - The company was lessee： In RMB Variable lease payments Rental charges for short-term not included in lease Interest expenses on lease Increased use right Rent paid and low-value assets (if any) liabilities measurement (if liabilities assumed assets any) Category Lessor of leased assets Amount of Amount of Amount of Amount of Amount of Amount of Amount of Amount of Amount Amount of current previous current previous current period previous period current previous of current previous period period period period period period period period Guangdong Litong Decelopment Office Investment Co. space 407743.24 253942.90 10987139.08 10612381.77 312043.84 647871.15 Ltd Guangdong Litong Property Officespace 156000.00 104256.00 4000.28 Development Co.Ltd.Guangdong Motor Transportation Car r 184750.00 Group Co. Ltd Total 407743.24 594692.90 10987139.08 10716637.77 312043.84 651871.43 2162025 Annual Report (3）Rewards for the key management personnel In RMB Item Amount of current period Amount of previous period Rewards for the key management 5286600.006868300.00 personnel （6） Transactions with associated financial companies （1）Deposit business Related party Relationshi Maximum Deposit Beginning The amount of this period p daily deposit interest rate balance(R Total amount Total amount is Ending limit(RMB'0 range MB'00000 for this withdrawn for balance(R 0000） ） period(RMB'00 this MB'00000 000） period(RMB'000 ） 00） Guangdong Controlled Communications by the same Group Finance parent 350000.00 0.70%-2.40% 279078.10 1220894.75 1195610.90 304361.95 Co. Ltd company （2）Loan business Related party Relationshi Beginning The amount of this period p balance(R Total loan amount Total Loan MB'00000Loant interest of the current repayment Endinglimit(RMB'0 ）rate range period(RMB'0000 amount of the balance(R0000） 0） current MB'0000 period(RMB'0 0000） Guangdong Controlled Communications by the Group Finance same 600000.00 2.01%-2.70% 85260.84 51162.69 47060.89 89362.64 Co. Ltd parentcompany The balance of the above-mentioned loan to Guangdong Communications Group Finance Co. Ltd.includes the "unoverdue interest" part. （3）Credit extension or other financial servicesRelated party Relationship Business Total Actual amount incurred(RMB'00000）type amount(RMB'00000） Guangdong Controlled by the Credit Communications Group same parent extension 600000.00 49500.00 Finance Co. Ltd company The Company respectively signed the "Cash Management Business Cooperation Agreement" with Guangdong Communications Group Finance Co. Ltd and the Guangdong Branch of Industrial and Commercial Bank of China on December 25 2017; and signed the "Cash Management Business Cooperation Agreement" with Guangdong Communications Group Finance Co. Ltd and the Guangdong Branch of Industrial and Commercial Bank of China on December 22 2017 respectively joined the cash pool of Guangdong Communications Group Finance Co. Ltd.Guangdong Guanghui Expressway Co. Ltd respectively signed the "Cash Management Business Cooperation Agreement" with Guangdong Communications Group Finance Co. Ltd and Agricultural Bank of China Co. Ltd Guangdong Branch on May 19 2020 joined the cash pool of Guangdong Communications Group 2172025 Annual Report Finance Co. Ltd. (7) Other related-party transactions (1) The 27th Meeting of the 10th Board of Directors reviewed and approved the Proposal on Estimated Daily Related Party Transactions for 2025 agreeing to the estimated daily related party transactions for the Company's headquarters branches and wholly-owned and controlled subsidiaries for 2025 with total transaction amounts not exceeding RMB 78.232 million. (2) The 27th Meeting of the 10th Board of Directors reviewed and approved the Proposal on Capital Increase to Guangdong Guanghui Expressway Co. Ltd. for Investment in the Reconstruction and Expansion Project of the Jinan-Guangzhou Expressway (Huizhou Xiaojinkou-Guangzhou Luogang Section) and Guangzhou-Huizhou Expressway (Huizhou Xiaojinkou-Lingkeng Section): 1) Agreed to the Company's capital increase to Guangdong Guanghui Expressway Co. Ltd. for investment in the construction of the aforementioned reconstruction and expansion project; 2) Agreed that based on the project's total estimated investment amount of RMB 30.52 billion approved by the Guangdong Provincial Development and Reform Commission with a project capital ratio of 35% of total investment the Company would undertake the capital contribution according to its 51% shareholding in Guanghui Company with the final amount subject to the project's final completion settlement value. (3) The 30th (Interim) Meeting of the 10th Board of Directors reviewed and approved the Proposal on Borrowing from Ganzhou Gankang Expressway Co.Ltd.: Agreed that the Company would borrow an unsecured loan from Ganzhou Gankang Expressway Co.Ltd. with a loan amount not exceeding RMB 45 million to be drawn down according to the Company's actual needs and the borrowed funds to be used for replenishing working capital. The loan term is one year from the date the Company actually receives the loan with an annual loan interest rate of 2.6% and the principal and interest shall be repaid in a lump sum upon maturity. The Company has the right to repay all or part of the loan principal and interest unconditionally in advance.The website to disclose the interim announcements on significant related-party transactions. 6. Receivables and payables of related parties （1）Receivables In RMB Amount at year end Amount at year beginning Name Related party Balance of Bad debt Balance of Bad debt Book Provision Book Provision Account receivable Guangdong Union electron Service Co. 61398033.85 56215234.69 Ltd.Account receivable Jingzhu Expressway Guangzhu North 8997799.99 9311649.31 Section Co. Ltd.Account receivable Guangdong Expressway Technology 1333084.00 6828733.67 Investment Co. Ltd.Account receivable Guangdong Humen Bridge Co. Ltd. 7307339.70 5720146.53 Account receivable Guangdong Expressway Media Co. Ltd. 775640.64 1219406.25 Account receivable Poly Changda Engineering Co. Ltd. 503879.00 503879.00 Account receivable Ganzhou Gankang Expressway Co. Ltd. 420607.72 Account receivable Guangdong Traffic Development Co. Ltd. 1979659.76 Account receivable Guangdong Tongyi Expressway Service 12948500.00 Area Co. Ltd.Account receivable Guangdong Yueyun Traffic Co. Ltd. 33110.00 2182025 Annual Report Account receivable Shenzhen Huiyan Expressway Co. Ltd. 184650.06 Account receivable Zhaoqing Yuezhao Highway Co. Ltd. 410324.80 Total 96292629.52 79799049.45 Guangdong Communications Testing Co.Prepayment 1700673.00 711457.00 Ltd Total 1700673.00 711457.00 Other Account Guangdong Guangle Expressway Co.receivable-Dividend 21615181.62 Ltd.receivable Other Account Guangdong Provincial Government loan receivable 322449884.33 33515738.25repayment highway Management Center Other Account receivable Zhaoqing Yuezhao Highway Co. Ltd. 306996863.33 Other Account Guangdong Highway Construction Co.receivable 6707300.48Ltd. Jiangluo Branch Other Account Guangdong Litong Development receivable 1858439.94 1839246.94Investment Co. Ltd.Other Account Guangdong Union electron Service Co.receivable Ltd. 50000.00 50000.00 Other Account Guangdong Litong Property Development receivable 430787.60 19193.00Co. Ltd.Other Account Guangdong Humen Bridge Co. Ltd.receivable 15000.00 15000.00 Other Account Guangdong Expressway Technology receivable 3198.80 7730.44Investment Co. Ltd.Other Account Guangdong Yueyun Traffic Rescue Co.receivable 1827.22 2725.82Ltd.Total 631806001.22 33515738.25 30256378.30 Other Non-Current Poly Changda Engineering Co. Ltd. 165598056.02 130778141.60 Assets Other Non-Current Guangdong Xinyue Traffic Investment 16588096.2017423070.00 Assets Co. Ltd.Other Non-Current Guangdong Hualu Traffic Technology 1715012.001715012.00 Assets Co. Ltd.Other Non-Current Guangdong Traffic Development Co. Ltd. 333398.00 Assets Other Non-Current Guangdong East Thinking Management 251000.00 Assets Technology Development Co. Ltd.Total 183901164.22 150500621.60 （2）Payables In RMB Amount at year Name Related party Amount at year end beginning Short-term loan Guangdong Communication Group Finance Co. ltd. 259163958.03 Total 259163958.03 Account payable Poly Changda Engineering Co. Ltd. 32028570.30 21105254.30 Account payable Guangdong Feida Traffic Engineering Co. Ltd. 18040867.51 14154370.37 Account payable Guangdong Xinyue Traffic Investment Co. Ltd. 20638070.25 7251728.23 Account payable Guangdong Hualu Traffic Technology Co. Ltd. 3800324.10 3692531.87 Account payable Guangdong Nanyue Traffic Guangzhou-Zhongjiang 2747739.00 Expressway Management Office Account payable Guangdong Lulutong Co. Ltd. 283716.00 2278123.00 Account payable Guangzhou Xinyue Asphalt Co. Ltd. 4258253.00 2068875.00 Account payable Guangdong Union electron Service Co. Ltd. 1550206.69 1213419.78 Account payable Guangdong East Thinking Management TechnologyDevelopment Co. Ltd. 745625.00 1072905.56 Account payable Guangdong Communication Planning & Design 3300523.20 1019151.90 2192025 Annual Report Amount at year Name Related party Amount at year end beginning Institute Co. Ltd.Account payable Guangdong Communication Test Co. Ltd. 953880.00 830124.00 Account payable Guangdong Litong Technology Investment Co. Ltd. 1769075.00 713769.34 Guangdong Communications Group Financial Sharing Account payable 335355.04 282411.49 Service Center Co. Ltd Account payable Guangdong Yueyun Traffic Rescue Co. Ltd. 261802.00 261800.00 Account payable Guangdong Expressway Technology Investment Co. 48004.00 Ltd.Account payable Guangdong Litong Property Development Co. Ltd. 17000.00 Total 87983268.09 58740207.84 Other Payable account Ganzhou Gankang Expressway Co. Ltd. 45451750.00 Other Payable account Poly Changda Engineering Co. Ltd. 28872301.73 28546224.97 Other Payable account Guangdong Communication Planning & Design 575646.23 2857255.10 Institute Co. Ltd.Other Payable account Guangdong Hualu Traffic Technology Co. Ltd. 1954802.00 2422446.06 Other Payable account Guangdong Feida Traffic Engineering Co. Ltd. 2765391.05 2267431.65 Other Payable account Guangdong Expressway Technology Investment Co. 1163926.78 1480359.66 Ltd.Other Payable account Guangdong Union electronic services co. Ltd. 1239869.13 1238234.09 Other Payable account Guangdong Xinyue Traffic Investment Co. Ltd. 2709942.43 962439.99 Other Payable account Guangdong Lulutong Co. Ltd. 376177.00 739076.64 Other Payable account Guangzhou Xinyue Asphalt Co. Ltd. 702198.00 Other Payable account Guangdong East Thinking Management TechnologyDevelopment Co. Ltd. 286940.00 588886.62 Other Payable account Guangdong Xinyue Traffic Technology Co. Ltd. 515217.50 317085.50 Guangdong Nanyue Traffic Guangzhou-Zhongjiang Other Payable account 200000.00 Expressway Management Office Other Payable account Guangdong Tongyi Expressway Service Area Co. Ltd. 100000.00 120000.00 Other Payable account Guangdong Communication Test Co. Ltd. 609232.79 96954.00 Other Payable account Guangdong Litong Technology Investment Co. Ltd. 89280.34 50836.53 Other Payable account Guangdong Expressway Media Co. Ltd. 50000.00 50000.00 Other Payable account Guangdong Yueyun Traffic Rescue Co. Ltd. 2000.00 2000.00 Other Payable account Changda Municipal Engineering (Guangdong) Co. 20000.00 Ltd.Total 86782476.98 42641428.81 Non-current liabilities due 1 year Guangdong Litong Development Investment Co. Ltd. 2730189.11 10619693.51 Non-current liabilities due 1 year Guangdong Communication Group Finance Co. ltd. 6462400.11 4608361.15 Non-current liabilities due 1 year Guangdong Litong Property Development Co. Ltd. 55401.73 Total 9192589.22 15283456.39 Lease Liabilities Guangdong Litong Development Investment Co. Ltd. 2730189.11 Total 2730189.11 2730189.11 Long-term loans Guangdong Communication Group Finance Co. ltd. 628000000.00 848000000.00 Total 628000000.00 848000000.00 XV. Share-based payment None XIV. Commitments 1. Significant commitments Significant commitments at balance sheet date 2202025 Annual Report Capital commitments In RMB Item December 312025 December 312024 Contracted but not recognized in the financial statements Building long-term asset commitments - Expressway construction 10008513552.19 6254265422.40 2. Contingency (1) Significant contingency at balance sheet date As of December 312025 the Company did not need to disclose important commitments. (2) The Company have no significant contingency to disclose also should be stated The Company has no important contingency that need to disclosed XVII. Events after balance sheet date 1.Profit distribution In RMB Number of dividends to be distributed for every 6.04 10 shares (RMB) Number of bonus shares to be distributed for 0 every 10 shares (shares) Number of converted shares to be distributed for 0 every 10 shares (shares) Number of dividends for every 10 shares 6.04 declared after deliberation and approval (RMB) Number of bonus shares for every 10 shares 0 declared after deliberation and approval (shares) Number of converted shares for every 10 shares 0 declared after deliberation and approval (shares). Limited to 10% of the registered capital of the Parent company the net profit of the company i.e. 181357579.04 yuan is to be allocated for statutory common reserve fund； 2.The profit for 2025 is to be distributed as follows: 1262846900.10 yuan. is to be allocated as the fund for dividend distribution for 2025. with the total shares at the end of 2025 i.e. 2090806126 shares as the base cash Profit distribution scheme dividend of 6.04 yuan (including tax) is to be distributed for every 10 shares .The remaining undistributed profits are to be carried forward to the next year. The foreign exchange translation of the cash dividends for shareholders holding B share and overseas corporate shares will be determined according to HKD:RMB bank’s Middle rate quoted by People’s Bank of China on the first working day after 2025 annual shareholders’ general meeting makes resolution on dividend distribution.XVIII. Other important events 1. Previous accounting errors collection None 2212025 Annual Report 2. Segment information （1）If the company has no reporting division or fails to disclose the total assets and liabilities of each reporting division the reasons shall be explained The company's business for the Guangfo Expressway the Fokai Expressway Guanghui Expressway and Jingzhu Expressway Guangzhu Section toll collection and maintenance work the technology industry and provide investment advice no other nature of the business no reportable segment. 3.Other important transactions and events have an impact on investors decision-making In 2022 the Company received the Notice of Department of Transport of Guangdong Province on Relevant Matters Concerning the Disposal of Guangzhou-Foshan Expressway at the Expiration of Toll Collection (GJYBH [2022] No.24) and the Guangzhou-Foshan Expressway operated by its holding subsidiary Guangfo Expressway Co. Ltd. stopped charging from 0: 00 on March 3 2022 retaining the existing toll collection facilities to operate as usual at zero rate exempting all vehicles passing through this section from tolls and collecting tolls from vehicles in other sections on behalf. After the toll is stopped Guangfo Company will continue to be responsible for the management and maintenance of Guangzhou-Foshan Expressway.Guangfo Company received relevant government documents in March 2025 confirming that the Guangzhou-Foshan Expressway would be taken over by the government for management. The operation and maintenance costs advanced by Guangfo Company will be reimbursed by relevant units following proper audit and liquidation procedures. During this period Guangfo Company has received RMB 150 million in advanced operation and maintenance payments from the Guangdong Provincial Government Expressway Debt Repayment Management Center.XIX.Notes of main items in financial reports of parent company 1.Account receivable （1）Disclosure by aging In RMB Aging Balance in year-end Balance Year-beginning Within 1 year（Including 1 year） 23975736.36 19832233.51 Total 23975736.36 19832233.51 2222025 Annual Report （2） According to the bad debt provision method classification disclosure In RMB Amount in year-end Balance Year-beginning Category Book Balance Bad debt provision Book Balance Bad debt provision Amount Proportion(%) Amount Proportion(%) Book value Amount Proportion(%) Amount Proportion(%) Book value Including： Accrual of bad debt provision 23975736.36100.00%23975736.3619832233.51100.00%19832233.51 by portfolio Including： Aging portfolio 23975736.36 100.00% 23975736.36 19832233.51 100.00% 19832233.51 Total 23975736.36 100.00% 23975736.36 19832233.51 100.00% 19832233.51 Accrual of bad debt provision by portfolio: The aging In RMB Balance in year-end Aging Account receivable Bad debt provision Expected credit loss rate (% Within 1 year 23975736.36 Total 23975736.36 Relevant information of the provision for bad debts will be disclosed with reference to the disclosure method of other receivables if the provision for bad debts of bills receivable is accrued according to the general model of expected credit loss: □ Applicable √ Not applicable 2232025 Annual Report （3）Accounts receivable withdraw reversed or collected during the reporting period None （4）The actual write-off accounts receivable None (5) Top 5 of the closing balance of the accounts receivable collected according to the arrears party In RMB Closing Accounts balance of receivable Proportion of Amount of Company Name Amount ofending balance the and contract total accounts ending balance contract assets ending receivable % for bad debts assets balance Guangdong Union Electronic 21363700.4321363700.4389.11% Services Co. Ltd.Guangdong Traffic Development 1563343.351563343.356.52% Co. Ltd.Ganzhou Gankang Expressway 420607.72420607.721.75% Co. Ltd.Zhaoqing Yuezhao Highway 410324.80410324.801.71% Co.Ltd.Shenzhen Huiyan Expressway 184650.06184650.060.77% Co.ltd.Total 23942626.36 23942626.36 99.86% 2.Other accounts receivable In RMB Item Balance in year-end Balance Year-beginning Dividend receivable 28621800.58 Other receivable 310284317.51 408193607.15 Total 310284317.51 436815407.73 (1) Interest receivable None （2）Dividend receivable 1)Dividend receivable In RMB Item Balance in year-end Balance Year-beginning Guangdong Radio and Television Networks investment No.1 797664.04 Limited partnership enterprise Guangdong Guangle Expressway Co. Ltd. 21615181.62 Guoyuan Securities Co. Ltd. 6208954.92 Total 28621800.58 2)Significant dividend receivable aged over 1 year None 2242025 Annual Report （3） Other accounts receivable 1) Other accounts receivable classified In RMB Item Balance in year-end Balance Year-beginning Deposit 2289227.54 2277164.74 Petty cash 600000.00 950000.00 Investment in reconstruction and 306996863.33397834010.41 expansion and interest Provisional payment receivable 6707300.48 Other 398226.64 425131.52 Total 310284317.51 408193607.15 2）Disclosure by aging In RMB Aging Balance in year-end Balance Year-beginningWithin 1 year(Including 1 year） 307430676.95 8003997.50 1-2 years 600000.00 2251101.35 2-3 years 1836576.55 397512062.00 Over 3 years 417064.01 426446.30 3-4 years 12062.00 27180.00 4-5 years 22980.00 2095.07 Over 5 years 382022.01 397171.23 Total 310284317.51 408193607.15 2252025 Annual Report 3） According to the bad debt provision method classification disclosure In RMB Amount in year-end Balance Year-beginning Category Book Balance Bad debt provision Book value Book Balance Bad debt provision Book value Amount Proportion(%) Amount Proportion(%) Amount Proportion(%) Amount Proportion(%) Including Accrual of bad debt provision by portfolio 310284317.51 100.00% 310284317.51 408193607.15 100.00% 408193607.15 Including CSF Portfolio 2889227.54 0.93% 2889227.54 3227164.74 0.79% 3227164.74 Very low credit risk 307395089.9799.07%307395089.977132432.001.75%7132432.00 financial asset portfolio Risk-free combination 397834010.41 97.46% 397834010.41 Total 310284317.51 100.00% 310284317.51 408193607.15 100.00% 408193607.15 2262025 Annual Report Accrual of bad debt provision by portfolio:.In RMB Balance in year-end Name Book balance Bad debt provision Withdrawal proportion Cast deposit portfolio 2889227.54 Very low credit risk financial 307395089.97 asset portfolio Risk-free combination Total 310284317.51 4）Accounts receivable withdraw reversed or collected during the reporting period None 5) The actual write-off other accounts receivable in the period: None 6） Top 5 of the closing balance of the prepayment collected according to the prepayment target In RMB Name Relations with the Amount Aging Reasons for non- Proportion Company settlement % Reconstruction and expansion of Zhaoqing Yuezhao Highway 306800000.00 Within 1 year 0.00 investment funds 98.93% Co. Ltd.and interest Interest 196863.33 Within 1 year 0.00 Current fund 1823397.94 2-3 years 0.00 Guangdong Litong Vehicle parking 4-5 years Development Investment Co. 22980.00 0.60% 0.00 deposit Ltd.Lease deposit 12062.00 Within 1 year 0.00 Water and electricity costs 92116.80 Within 1 year 0.00 working capital Guangdong Litong Property Management fee 322408.00 Within 1 year 0.14% 0.00 Development Co. Ltd. deposit Lease deposit 12062.00 3-4 years 0.00 Vehicle parking 4200.00 Within 1 year 0.00 deposit Huang Honggui Petty cash 110000.00 1-2 years 0.04% 0.00 Huang Bisong Petty cash 110000.00 1-2 years 0.04% 0.00 Total 309506090.07 99.75% 0.00 3. Long-term equity investment In RMB End of term Beginning of term Item Impairment Impairment Book Balance Book value Book Balance Book value provision provision Investment in subsidiaries 5592955463.43 5592955463.43 4529830463.43 4529830463.43 Investment in joint ventures and 4347435530.17 4347435530.17 3316886938.58 3316886938.58 associates Total 9940390993.60 9940390993.60 7846717402.01 7846717402.01 2272025 Annual Report （1）Investment to the subsidiary In RMB Increase /decrease in reporting period Name Opening balance Initial balance of the Withdrawn Closing balance Closing balance of impairment provision Add investment Decreasedinvestment impairment Other impairment provision provision Jingzhu Expressway Guangzhu Section Co. Ltd. 1973671883.08 616875000.00 2590546883.08 Guangfo Expressway Co.ltd. 154982475.25 154982475.25 Yuegao Capital Investment (Guangzhou) Co. Ltd. 375500000.00 375500000.00 Guanghui Expressway Co.Ltd. 2025676105.10 446250000.00 2471926105.10 Total 4529830463.43 1063125000.00 5592955463.43 （2）Investment to joint ventures and associated enterprises In RMB Initial Increase /decrease in reporting period balance of Closing Name Opening balance the Increase in Decrease Investment Other Other Announced for Provision Closing balance balance of impairment investment in income under comprehensive changes distributing impairment investment equity method income in cash dividend or for Other impairment provision provision equity profit I. Joint ventures II. Associated enterprises Guangdong Guangle 22256547.6915538696.31798738620.32805456471.70 Expressway Co.Ltd.Guangdong Jiangzhong 599185872.4621150000.00-14593022.8310920459.86594822389.77 Expressway Co.Ltd.Guoyuan Securities 1086436061.59 56542701.08 -14809716.99 18626864.76 1786984.72 1111329165.64 Co.Ltd.Ganzhou Gankang Expressway Co. 178670052.26 15513866.16 12000000.00 182183918.42 Ltd. 2282025 Annual Report Initial Increase /decrease in reporting period balance of Closing Name Opening balance Decrease Investment Other Other Announced for Provision Closing balance balance ofthe Increase in impairment investment in income under comprehensive changes distributing for Other impairment investment equity method income in cash dividend or impairment provision provision equity profit Ganzhou Kangda Expressway Co. 271494771.93 35503202.11 30000000.00 276997974.04 Ltd.Guangdong Yuepu Science and Technology 225188581.81 6590735.83 10058805.32 221720512.32 Microfinance Co.Ltd.ShenzhenHuiyan Expressway Co. 401802859.16 32068538.54 433871397.70 Ltd.Zhaoqing Yuezhao 554108739.3741944961.2154150000.00721053700.58 Highway Co.Ltd.Subtotal 3316886938.58 200300000.00 195827529.79 -14809716.99 151294826.25 800525605.04 4347435530.17 Total 3316886938.58 200300000.00 195827529.79 -14809716.99 151294826.25 800525605.04 4347435530.17 2292025 Annual Report 4. Business income and Business cost In RMB Item Amount of current period Amount of previous period Revenue Cost Revenue Cost Main business 1423776151.84 591557687.21 1495267944.19 553643384.05 Other 15965226.28 270573.36 13232631.73 1021300.25 Total 1439741378.12 591828260.57 1508500575.92 554664684.30 5.Investment income In RMB Item Amount of current period Amount of previous period Long-term equity investment income accounted by cost method 1132360030.84 842860407.87 Long-term equity investment income accounted by equity method 195827529.79 196194159.84 Dividend income from other equity instrument 44772473.91102323410.08 investments during the holding period Other 5487799.91 18478714.63 Total 1378447834.45 1159856692.42 XX. Supplementary Information 1.Current non-recurring gains/losses √ Applicable □Not applicable In RMB Item Amount Notes Non-current asset disposal gain/loss 23759341.63 Government subsidies recognized in current gain and loss(excluding those closely related to the Company’s business and granted under 1012600.35 the state’s policies) Gain and loss from change of the fair value arising from transactional monetary assets transactional financial liabilities as held as well as the investment income arising from disposal of the 8725590.15 transactional monetary assets transactional financial liabilities and financial assets available for sale excluding the effective hedging transaction in connection with the Company’s normal business Capital occupation charges on non-financial enterprises that are 742880.50 recorded into current gains and losses Net amount of non-operating income and expense except the aforesaid items -910572.44 Other non-recurring Gains/loss items 1010945.97 The maintenance and management expenses advanced by Guangfo Company The impairment provision for the advance expenses that have 342942142.53 have been confirmed to be reimbursed by occurred but need to be defined from the source of funds the Provincial Loan Repayment Center and the accrued impairment provisions have been reversed accordingly.Less :Influenced amount of income tax 8633279.22 Influenced amount of minor shareholders’ equity (after tax) 90315723.75 Total 278333925.72 -- Details of other profit and loss items that meet the non-recurring profit and loss definition □Applicable□Not applicable 2302025 Annual Report There are no other gains/losses items that meet the definition of non-recurring gains/losses in the Company.Explain the items defined as recurring profit (gain)/loss according to the lists of extraordinary profit (gain)/loss in Q&A Announcement No.1 on Information Disclosure for Companies Offering Their Securities to the Public - -- Extraordinary Profit/loss □Applicable□Not applicable 2. Return on equity (ROE) and earnings per share (EPS) Weighted EPS（Yuan/share） Profit as of reporting period average ROE (%) EPS-basic EPS-diluted Net profit attributable to common shareholders of the Company 16.83% 0.86 0.86 Net profit attributable to common shareholders of the Company after deduction of non-recurring profit 14.23% 0.73 0.73 and loss 3. Differences between accounting data under domestic and overseas accounting standards（ 1） Simultaneously pursuant to both Chinese accounting standards and international accounting standards disclosed in the financial reports of differences in net income and net assets.□ Applicable□√ Not applicable （2）Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese accounting standards.□ Applicable□√ Not applicable (3)Explanation of the reasons for the differences in accounting data under domestic and foreign accounting standards. If the data that has been audited by an overseas audit institution is adjusted for differences the name of the overseas institution should be indicated 231