Nanjing Putian Telecommunications Co. Ltd.Nanjing Putian Telecommunications Co. Ltd.[April 2026]

1Nanjing Putian Telecommunications Co. Ltd.

Section I Important Notes Contents and Interpretations

The Board of Directors directors and senior executives of the Company

guarantee the truthfulness accuracy and completeness of the Annual Report

and ensure that there are no false records misleading statements or major

omissions and they will be held individually and jointly liable for any legal

liability that may arise.Shen Xiaobing the person in charge of the Company and Zhang Jie the

person in charge of accounting work and Zhang Jingxia the person in charge

of the accounting institution (accounting supervisor) declare that: they

guarantee the truthfulness accuracy and completeness of the financial reports

in this Annual Report.All directors have attended the board meeting where this report was

deliberated.This Annual Report contains forward-looking statements concerning

future plans such as the Company's business plan. It is important to note that

these plans do not constitute a substantive commitment to investors and

investors and related parties should exercise sufficient risk awareness and

carefully consider the differences among plans forecasts and commitments.In "Section III Discussion and Analysis of the Management Team" the

Company has provided an analysis of the potential risks that may affect the

2Nanjing Putian Telecommunications Co. Ltd.

Company's development. We encourage investors to review this section

carefully.The Company plans not to distribute cash dividends issue bonus shares

or convert surplus reserve into share capital.As of the end of the reporting period the parent company has an

accumulated deficit. The accumulated undistributed profit on the parent

company's financial statements is -496761090.96 RMB and that on the

consolidated financial statements is -403806789.70 RMB. The Company is not

yet eligible for profit distribution. In light of the Company's actual operating

conditions the Company plans not to distribute cash dividends issue bonus

shares or convert surplus reserve into share capital for the year 2025.Investors are kindly requested to pay attention to this situation and be aware

of investment risks.

3Nanjing Putian Telecommunications Co. Ltd.

Table of Contents

Section I Important Notes Contents and Interpretat... 2

Section II Company Profile and Main Financial Indi... 7

Section III Management's Discussion and Analysis ... 12

Section IV Corporate Governance Environmental and ...31

Section V Important Matters ........................ 54

Section VI Changes in Shares and Shareholder Infor.. 95

Section VII Matters Relating to Bonds ............. 103

Section VIII Financial Report ......................104

4Nanjing Putian Telecommunications Co. Ltd.

Contents of Documents for Future Reference

(I) Financial statements containing the signatures and seals of the person in charge of the Company the person in charge of

accounting work and the person in charge of the accounting institution (accounting supervisor).(II) The original audit report containing the seal of the accounting firm and the signatures and seals of the certified public

accountants.(III) The originals of all Company documents and announcements publicly disclosed during the reporting period.

5Nanjing Putian Telecommunications Co. Ltd.

Interpretations

Interpretation Item Means Interpretation Content

Nanjing Putian Telecommunications Co.This Company the Company Means

Ltd.China Electronics Technology Group

CETC Means

Corporation

CETC Glarun Means CETC Glarun Group Co. Ltd.Nanjing Southern Telecom Co. Ltd. (a

Southern Telecom Means

holding subsidiary of the Company)

Nanjing Putian Telege Intelligent

Putian Telege Means Building Ltd. (a holding subsidiary of the

Company)

Nanjing Putian Datang Information

Putian Datang Means Electronics Co. Ltd. (a holding

subsidiary of the Company)

6Nanjing Putian Telecommunications Co. Ltd.

Section II Company Profile and Main Financial Indicators

I. Company Information

Stock Abbreviation NING TONG XIN B Stock Code 200468

Stock Exchange Shenzhen Stock Exchange

Chinese Name of the南京普天通信股份有限公司

Company

Chinese Abbreviation of the

Nanjing Putian

Company

English Name of the

Nanjing Putian Telecommunications Co. Ltd.Company (if any)

Legal Representative Shen Xiaobing

Registered Address No.8 Fenghui Avenue Yuhua Economic Development Zone Nanjing

Postal Code of Registered

210039

Address

When the Company was established in 1997 its registered address was Building 1 on the west

Historical Changes of the side of Ericsson in Jiangning Economic and Technological Development Zone Nanjing; In

Company's Registered 2003 the registered address of the Company was changed to No.58 Qinhuai Road Jiangning

Address Economic and Technological Development Zone Nanjing; In 2021 the registered address of the

Company was changed to No.8 Fenghui Avenue Yuhua Economic Development Zone Nanjing.

11th Floor Building 2 (Block B) Shuchuang Weilai Center No. 9 Guangjing Road Qinhuai

Office Address

District Nanjing Jiangsu Province

Postal Code of Office

210022

Address

Company Website www.postel.com.cn

E-mail: pt_daiyuan@cetc.com.cn

II. Contact Person and Contact Information

Board Secretary Securities Affairs Representative

Name Li Jing Dai Yuan

11th Floor Building 2 (Block B) 11th Floor Building 2 (Block B)

Shuchuang Weilai Center No. 9 Shuchuang Weilai Center No. 9

Contact Address

Guangjing Road Qinhuai District Guangjing Road Qinhuai District

Nanjing Jiangsu Province Nanjing Jiangsu Province

Tel.: 86-25-69675805 86-25-69675865

Fax.: 86-25-52416518 86-25-52416518

E-mail: pt_lijing@cetc.com.cn pt_daiyuan@cetc.com.cn

III. Information Disclosure and Place for Document Inspection

Website of the stock exchange where the Company discloses its

Shenzhen Stock Exchange (http://www.szse.cn)

annual report

Names and websites of the media where the Company discloses Securities Times Shanghai Securities News CNINFO

its annual report (http://www.cninfo.com.cn)

7Nanjing Putian Telecommunications Co. Ltd.

Place where the Company's annual report is available for

The Board Office of the Company

inspection

IV. Registration Changes

Unified Social Credit Code 91320000134878054G

Changes in the Company's main business since its listing (if

No changes.any)

When the Company was established in 1997 its controlling

shareholder was China Post & Telecommunication Industry

Corporation (later renamed as China Putian Information

Industry Group Corporation China Putian Information Industry

Group Co. Ltd.). In 2005 China Putian Information Industry

Group Corporation transferred all its shares to China Putian

Changes in the Company's controlling shareholder over the

Information Industry Co. Ltd. free of charge and the

years (if any)

Company's controlling shareholder was changed to China

Putian Information Industry Co. Ltd.. In 2022 China Putian

Information Industry Co. Ltd. transferred all its shares to

CETC Glarun Group Co. Ltd. free of charge and the

Company's controlling shareholder was changed to CETC

Glarun Group Co. Ltd..V. Other Relevant Information

Accounting firm engaged by the Company

Zhongxinghua Certified Public Accountants LLP (Special

Name of the accounting firm

General Partnership)

20th Floor South Building Building 1 Yard 20 Lize Road

Office address of the accounting firm

Fengtai District Beijing

Name of the signing certified public accountants Zhao Ming Zhao Yonghua

Sponsor institution performing continuous supervision duties during the reporting period engaged by the Company

□ Applicable? Not Applicable

Financial consultant performing continuous supervision duties during the reporting period engaged by the Company

?Applicable □ Not Applicable

Name of the financial Office address of the financial Continuous supervision

Name of the host sponsors

consultant consultant period

Guolian Minsheng Securities No.8 Puming Road China

December 27 2024 -

Underwriting & Sponsorship (Shanghai) Pilot Free Trade Zhou Junyu Jia Yezhen

December 31 2025

Co. Ltd. Zone

VI. Main Accounting Data and Financial Indicators

Does the Company need to retrospectively adjust or restate the accounting data of previous years

□ Yes? No

Change from the

Year 2025 Year 2024 Year 2023

previous year

Operating Revenue

617639484.96811670527.41-23.91%818334374.30

(RMB)

Net profit attributable -9462362.33 11376879.14 -183.17% -16884077.62

8Nanjing Putian Telecommunications Co. Ltd.

to shareholders of the

listed company (RMB)

Net profit attributable

to shareholders of the

listed company after

-26158017.78-41338708.8736.72%-23157886.24

deducting non-

recurring profit and

loss (RMB)

Net cash flow from

operating activities -87273270.59 -17196342.40 -407.51% -6017650.03

(RMB)

Basic earnings per

-0.040.05-180.00%-0.08

share (RMB/share)

Diluted earnings per

-0.040.05-180.00%-0.08

share (RMB/share)

Weighted average

-83.73%105.34%-189.07%-124.58%

return on net assets

Change from the end of

End of 2025 End of 2024 End of 2023

the previous year

Total assets (RMB) 729923596.97 838023763.76 -12.90% 826241412.27

Net assets attributable

to shareholders of the 8250911.72 14351013.02 -42.51% 5111258.66

listed company (RMB)

Whether for the last three consecutive fiscal years the lower of the net profit before and after deducting non-recurring profit and

loss is negative and the audit report for the most recent year indicates that there is uncertainty about the Company's ability to

continue as a going concern:

□ Yes? No

Whether the lower of the audited total profit net profit and net profit after deducting non-recurring profit and loss of the Company

during the reporting period is negative:

?Yes □ No

Item Year 2025 Year 2024 Remarks

Operating Revenue (RMB) 617639484.96 811670527.41 -

Subtotal of business income Business income unrelated to

9547500.8415106674.24

unrelated to the main business the main business

Deduction amount of

9547500.8415106674.24-

operating revenue (RMB)

Operating revenue after

796563853.17-

deduction (RMB) 608091984.12

VII. Differences in Accounting Data under Domestic and Overseas Accounting Standards

1. Differences in net profit and net assets between the financial reports disclosed in accordance with

International Financial Reporting Standards and Chinese Accounting Standards:

□ Applicable? Not Applicable

There is no difference in net profit and net assets between the financial reports disclosed in accordance with International

Accounting Standards and Chinese Accounting Standards during the reporting period.

9Nanjing Putian Telecommunications Co. Ltd.

2. Differences in net profit and net assets between the financial reports disclosed in accordance with

overseas accounting standards and Chinese Accounting Standards:

□ Applicable? Not Applicable

There is no difference in net profit and net assets between the financial reports disclosed in accordance with overseas accounting

standards and Chinese Accounting Standards during the reporting period.VIII. Quarterly Main Financial Indicators

Unit: RMB

Q1 Q2 Q3 Q4

Operating Revenue 137018953.06 169295165.59 144783524.12 166541842.19

Net Profit Attributable

to Shareholders of the -4768833.34 -2384367.95 -8025274.43 5716113.39

Listed Company

Net Profit Attributable

to Shareholders of the

Listed Company after

-4991047.69-2418394.67-11622416.10-7126159.32

Deducting Non-

recurring Gains and

Losses

Net Cash Flow from

-107998630.27-24266955.27-38769007.8683761322.81

Operating Activities

Are the above financial indicators or their totals significantly different from the relevant financial indicators disclosed in the

Company's previously published quarterly reports and semi-annual report

□ Yes? No

IX. Non-recurring Profit and Loss Items and Amounts

?Applicable □ Not Applicable

Unit: RMB

Item Amount in 2025 Amount in 2024 Amount in 2023 Description

Gains and losses on

disposal of non-current

assets (including the 5359026.59 1083098.78 -134939.44

write-back of provision

for asset impairment)

Government grants

included in the current

profit or loss

(excluding those

closely related to the

Company's normal

business in line with 1951399.86 368017.41 1441162.29

national policies

enjoyed in accordance

with established

standards and having a

continuous impact on

the Company's profit or

10Nanjing Putian Telecommunications Co. Ltd.

loss)

Reversal of provision

for impairment of

receivables tested 89028.78 3413067.60

individually for

impairment

Gains and losses from

649103.121514624.88588868.84

debt restructuring

Other non-operating

income and expenses

2477843.44-83850.261049278.58

other than the above

items

Other profit and loss

items conforming to

the definition of non- 7389153.73 50832148.02 717457.47

recurring profit and

loss

Less: Income tax

324120.69804895.34224119.31

impact

Impact of

minority shareholders' 895779.38 193555.48 576967.41

equity (after tax)

Total 16695655.45 52715588.01 6273808.62 --

Specific information of other profit and loss items conforming to the definition of non-recurring profit and loss:

?Applicable □ Not Applicable

The other profit and loss items conforming to the definition of non-recurring profit and loss are mainly the gains

from the liquidation and deregistration of the invested company.Explanation on the situation where the non-recurring profit and loss items listed in the Explanatory Announcement No.1 on

Information Disclosure by Companies Offering Securities to the Public - Non-recurring Profit and Loss are defined as recurring

profit and loss items:

□ Applicable? Not Applicable

The Company does not have any situation where the non-recurring profit and loss items listed in the Explanatory Announcement

No.1 on Information Disclosure by Companies Offering Securities to the Public - Non-recurring Profit and Loss are defined as

recurring profit and loss items.

11Nanjing Putian Telecommunications Co. Ltd.

Section III Management's Discussion and Analysis

I. Principal Business Activities of the Company during the Reporting Period

As one of the important product and solution providers in the domestic information and communication field

the company has always adhered to the "product+solution+service" strategy continuously accelerating product

innovation industrial structure adjustment and transformation and upgrading. The company actively integrates into

the industry sector of China Electronics Technology Group Corporation's network information system focusing on

the development of communication network basic products multimedia communication products and solutions while

continuously strengthening its capabilities in smart lighting products precision manufacturing business and other

areas. The basic business of communication networks focuses on the development of intelligent cabling data center

rooms MPO high-density multi-core fiber connectors and other products striving to become the mainstream brand

products for high reliability system cabling applications; Multimedia communication products and solutions with a

focus on continuous research and development investment in the field of multimedia communication and innovation

in intelligent applications gradually transitioning from business positioning to "intelligent conferences" to promote

the company to seize opportunities in the development of the intelligent industry; Smart lighting product business

with a focus on developing IoT smart lighting systems solar energy and mains power controllers; Precision

manufacturing business focuses on promoting the comprehensive upgrading of manufacturing equipment and process

technology gradually improving the capability of precision manufacturing business.The main businesses of the Company and its subsidiaries cover fields such as intelligent conference intelligent

cabling and smart lighting mainly including multimedia communication and application solutions building

intelligence integrated solutions IoT solar energy and mains power street lamp control systems etc. The products

mainly serve customers in large central SOEs government finance electric power medical and other industries.Subsidiary Nanfang Telecommunications mainly provides multimedia communication and application solutions

for large and medium-sized industry customers in central SOEs government finance medical and other fields.Subsidiary Putian Telege mainly provides customers with mid-to-high-end integrated cabling and building

intelligence system solutions. Subsidiary Putian Datang mainly provides customers with mains power solar street

lamp controllers and IoT smart street lamp management and control solutions.The Company mainly obtains business opportunities by participating in project bidding. It designs solutions

according to project requirements produces or purchases equipment required by customers and is responsible for

installation commissioning and system integration realizing profits by deducting costs from the contract price. The

Company's operating performance is mainly affected by factors such as capital expenditure information investment

and bidding results of customers in central SOEs government finance and other industries as well as fluctuations in

raw material prices and changes in other costs.

12Nanjing Putian Telecommunications Co. Ltd.

Intelligent cabling/data center Intelligent Conference Products

products

Smart Lighting Products Precision Manufacturing Business

II. Industry Environment during the Reporting Period

According to the data released by the Ministry of Industry and Information Technology the

communication industry will achieve steady growth by 2025 with continuous optimization of the industrial

structure accelerated deployment of new information infrastructure such as 5G and gigabit and increasingly

prominent empowerment effects. High quality development will be promoted in depth.The communications equipment manufacturing industry is an important foundation of the

communications industry. Driven by national policies the industry is presented with sound development

opportunities on the whole. Meanwhile it is a fully competitive industry with a large number of enterprises and

fierce market competition.In 2025 the communication equipment manufacturing industry where the company is located is

undergoing a deep transformation with digitalization intelligence and integration as the core. The industry as a

whole is in a new round of growth stage driven by emerging demands such as artificial intelligence computing

network and industrial Internet. The cyclical feature is that technology iteration dominates and superimposes

macroeconomic impact. Industry characteristics during the reporting period: firstly the explosive demand for

AI computing power drives data centers to upgrade to high speed and low latency which puts forward new

requirements for optical communication technology; The second is the demand for domestically produced and

controllable products which profoundly changes the market competition pattern and procurement decisions;

The third is to accelerate the integration of application scenarios from a single connection to an integrated

solution. The "14th Five Year Plan" for the development of the digital economy and related regulations will

bring clear market growth to computing infrastructure and industrial digitization; Regulations such as the Data

Security Law have made security and trustworthiness a mandatory threshold for projects driving a surge in

demand for related products; At the same time the policy of large-scale equipment updates has also stimulated

the demand for upgrading and replacing existing facilities. The company currently maintains an important

13Nanjing Putian Telecommunications Co. Ltd.

position in segmented markets such as smart cabling and smart conferencing and is in a critical period of

consolidating traditional advantages and exploring emerging tracks.The video conference industry will take in-depth technology integration and vertical scenario penetration

as its core direction and enter a critical phase of experience upgrading and market expansion. AI technology

will be fully integrated into the entire conference process realizing functions such as real-time intelligent

translation automatic meeting minutes generation and participant behavior analysis which greatly improves

conference efficiency. The mature application of Virtual Reality (VR)/Augmented Reality (AR) technologies

will create immersive virtual meeting rooms support scenarios including 3D modeling display and virtual sand

table collaboration and meet the demands of high-end business telemedicine surgical demonstration and

teaching. Multi-platform integration and mobility capabilities have been further improved. Technologies such as

seamless cross-terminal switching and adaptive network bandwidth optimization have made the conference

experience smoother and more convenient accelerating penetration into vertical scenarios including financial

remote in-person signing dual-teacher classrooms in education and cross-border project collaboration. The

upgrading of national network infrastructure and policy dividends from cloud computing continue to be released.The full nationwide coverage of 5G and gigabit networks provides stable support for high-definition

conferences and the further reduction in deployment costs of cloud video conferencing has driven the increase

of industry penetration rate. Relying on its ecological cooperation with Huawei and its state-owned enterprise

background the Company will deeply cultivate sectors with high security and compliance requirements such as

Party and government authorities and the financial industry and actively expand customized intelligent

conference solutions.Driven by multiple factors including the implementation of the "Eastern Data Western Computing"

national project the upgrading of intelligent buildings the integration of wireless technologies and the

accelerated domestic substitution the intelligent cabling industry has entered a critical phase of technology

iteration and in-depth scenario development. In the data center field 800G high-speed optical fiber cabling AI

intelligent operation and maintenance (O&M) platforms and liquid cooling energy-saving solutions have

become the standard configuration of ultra-large computing power hubs. The construction of data center

clusters in western China and the upgrade of existing facilities in eastern China have generated structured

market increment. In intelligent building scenarios cabling systems have been upgraded from a "connectivity

carrier" to a "perception and control hub" embedded with IoT sensors and edge computing modules to realize

cross-domain collaboration with systems such as smart lighting and intelligent conferences leading to surging

demand for the renovation of smart parks and old buildings. In terms of wireless integration the

commercialization of Wi-Fi 7 and the distributed deployment of 5G small cells have promoted in-depth "wired

+ wireless" coordination with the Industrial Internet and commercial complexes becoming key implementation

scenarios. Domestic substitution continues to deepen and domestic brands have achieved steady growth in

market share in the high-end segment by virtue of technological breakthroughs and customized services.Relying on its multi-business synergy advantages the Company will focus on core scenarios seize the

opportunities of domestic substitution and consolidate its leading position in the industry.

14Nanjing Putian Telecommunications Co. Ltd.

III. Analysis of Core Competitiveness

1. Marketing capability

Adhering to the market-oriented business philosophy the company has built a mature and complete

marketing network and has long served customers in central enterprises government finance power medical

Internet enterprises and other industries with rich industry experience. In addition the company has established

offices in Beijing Xi'an Shanghai Chengdu Wuhan Shenzhen and other places and formed a localized

marketing team composed of sales team technical team and business team to provide customers with

professional and customized in-depth services.

2. Product competitiveness

The company adheres to an innovation driven strategy further strengthens the research and development

of new products and continuously enhances its core competitiveness. The company has over 20 years of rich

professional technical service experience in the field of intelligent conferences focusing on independent

research and development capabilities. Its self-developed products have been widely recognized by customers

in industries such as central enterprises governments finance and healthcare. The company's intelligent

cabling products are positioned in the high-end market mainly providing customers with high-quality integrated

cabling and building intelligent system solutions. They have strong competitive advantages in market sales

product technology level and have become a well-known brand for domestic independent product substitution.In the field of smart lighting the company has long been deeply involved in energy-saving controller systems

mainly providing customers with advanced IoT solar energy city circuit light controllers and smart street light

overall solutions. It has formed a complete system integrating research and development production and large-

scale sales.During the reporting period the company applied for 7 new patents and 6 new software copyrights; 8 new

patent authorizations were granted 6 new software copyrights were obtained and 1 national standard was

participated in the compilation. Putian Tianji has been awarded the title of National Specialized and Innovative

"Little Giant" Enterprise and Jiangsu Province "Green Factory". Southern Telecom was awarded the title of

"Specialized Refined Unique and New" enterprise in Jiangsu Province and received special government

support. It was also awarded the title of "Best Practice Partner for Data Storage (Intelligent Collaboration)" by

Huawei.

3. Brand influence

The company is an information and communication enterprise under a state-owned enterprise. Southern

Telecom has video conferencing series products such as Ruijing and Ruizhi which have a high reputation in

China; Putian Tianji's comprehensive cabling products are well-known brand products and trademarks in

Jiangsu Province. They have won the "Top Ten Comprehensive Cabling Brands" award for 21 consecutive

years and have become a well-known domestic independent substitute brand; Putian Datang has a strong brand

influence in the field of energy-saving control.IV. Analysis of Core Business Operations

1. Overview

The year 2025 is not only the decisive year for the successful conclusion of the 14th Five-Year Plan but

also the key year for thoroughly implementing the spirit of the Fourth Plenary Session of the 20th Central

Committee of the Communist Party of China and more importantly the pioneering year for the Company to

15Nanjing Putian Telecommunications Co. Ltd.

seize development opportunities and concentrate efforts to overcome difficulties and make breakthroughs.Facing multiple challenges such as market competition the Company has closely followed the main line of the

development of its core responsibilities and businesses optimized resource allocation solidly promoted the

implementation and effectiveness of various key tasks and taken solid steps in the process of high-quality

development. We have adhered to the guidance of Party building deepened reform and innovation and

continuously empowered the Company's high-quality development with high-quality Party building; focused on

market breakthroughs strengthened coordination and linkage and promoted steady progress in performance

with the core competitiveness of independent product plans and solutions; deepened reform to create benefits

optimized organizational structure and management processes and activated the internal momentum of the

organization with refined management as the starting point; strictly abided by the compliance bottom line

improved the systematic governance structure consolidated the foundation of risk prevention and control and

escorted the steady development of the enterprise with systematic governance.During the reporting period the Company achieved operating revenue of 617.6395 million RMB and the

net profit attributable to shareholders of the listed company was -9.4624 million RMB.Development of core business during the reporting period:

The Company targeted its core business and principal responsibilities in the cyber and information sector

focused on the main industrial lines including "communication network infrastructure multimedia

communication products and integration and smart lighting products" firmly implemented the two-wheel drive

strategy of market breakthroughs and independent innovation and leveraged the advantages of the CETC

platform to promote the coordinated development of various businesses.In terms of smart conference products the Company achieved a leap in comprehensive delivery capacity

and successively won bids for key projects from core customers such as the Head Office of the Agricultural

Bank of China China Petrochemical Corporation (Sinopec) China National Offshore Oil Corporation

(CNOOC) and China Development Bank resulting in a significant enhancement of its industry influence. The

three self-developed systems of Nanjing Southern Telecom Co. Ltd. namely the Ruijing Smart Conference

Management System Multimedia IoT Centralized Control System and Multimedia Information Release

System completed architectural iteration and were successfully deployed at leading customers including

CNOOC China General Nuclear Power Corporation (CGN) China Resources Group and Fujian Provincial Big

Data Administration realizing the large-scale application of independent products in the central enterprise and

government markets.In terms of intelligent cabling products the Company continued to deepen its presence in the

communication infrastructure business and achieved solid progress in key sectors such as finance and high-

reliability fields. The Company successfully won the bid for the "Comprehensive Cabling Service Project for

the Data Center Computer Room of Bank of Shanghai" and landmark projects in high-reliability fields laying a

solid foundation for subsequent large-scale business expansion. During the reporting period core components

such as optical fiber connectors developed by Putian Telege achieved domestic substitution and were

successfully applied in financial data center projects; shielded cabinet products were deployed in key projects in

high-reliability fields; the commissioning of automated production lines for cabling products significantly

improved production efficiency and capacity.In terms of smart lighting products the Company achieved its first breakthrough in the centralized

procurement market of power grids with independent products and customized products such as off-grid energy

storage controllers and smart lighting terminals developed by Putian Datang have been delivered in batches.

16Nanjing Putian Telecommunications Co. Ltd.

2. Revenue and Costs

(1) Composition of Operating Revenue

Unit: RMB

Year 2025 Year 2024

Proportion in Total Proportion in Total Year-on-Year

Amount Operating Amount Operating Change

Revenue Revenue

Total Operating

617639484.96100%811670527.41100%-23.91%

Revenue

By Industry

Communications

617639484.96100.00%718852729.3588.56%-14.09%

Industry

Electrical Industry 0.00 0.00% 92817798.06 11.44% -

By Product

Operating

Revenue from 294056233.62 47.61% 334845850.46 41.25% -12.18%

Generic Cabling

Products

Operating

Revenue from 268214493.37 43.43% 300755072.54 37.05% -10.82%

Video Conference

Products

Operating

Revenue from 0.00 0.00% 92817798.06 11.44% -

Intelligent

Electrical Products

Operating

Revenue from

Communication 58699666.27 9.50% 107049684.20 13.19% -45.17%

Infrastructure

Products and

Others

Inter-segment -3330908.30 -0.54% -23797877.85 -2.93% 86.00%

Elimination

By Region

Domestic 617639484.96 100.00% 811670527.41 100.00% -23.91%

By Sales Model

Direct Sales 407994177.18 66.06% 521098366.54 64.20% -21.70%

Distribution Sales

209645307.7833.94%290572160.8735.80%-27.85%

(2) Information on Industries Products Regions and Sales Models Accounting for Over 10% of the Company's Operating

Revenue or Operating Profit

?Applicable □ Not Applicable

Unit: RMB

Year-on-Year Year-on-Year Year-on-Year

Gross

Change in Change in Change in

Operating Revenue Operating Costs Profit

Operating Operating Gross Profit

Margin

Revenue Costs Margin

17Nanjing Putian Telecommunications Co. Ltd.

By Industry

Communication 617639484.96 487520396.95 21.07% -14.08% -13.31% -0.70%

s Industry

Electrical 0.00 0.00 0.00% - - -

Industry

By Product

Operating

Revenue from

Generic 294056233.62 234606345.38 20.22% -12.18% -12.45% 0.25%

Cabling

Products

Operating

Revenue from

Video 268214493.37 213171492.80 20.52% -10.82% -9.18% -1.44%

Conference

Products

Operating

Revenue from

Intelligent 0.00 0.00 0.00% - - -

Electrical

Products

Operating

Revenue from

Communication 58699666.27 42333131.57 27.88% -45.17% -48.48% 4.64%

Infrastructure

Products and

Others

Inter-segment -3330908.30 -2590572.80 22.23% -86.00% -88.47% 16.61%

Elimination

By Region

Domestic 617639484.96 487019478.78 21.15% -14.08% -13.40% -0.62%

By Sales Model

Direct Sales 407994177.18 321777701.34 21.13% -21.70% -20.65% -1.05%

Distribution

209645307.78165742695.6120.94%-27.85%-27.85%-0.01%

Sales

Core business data of the Company for the last fiscal year adjusted on the statistical basis as at the end of the reporting period

where an adjustment to the statistical basis of the Company's core business data has been made during the reporting period.□ Applicable? Not Applicable

(3) Whether the Company's Sales Revenue from Physical Goods is Greater than that from Labor Services

?Yes □ No

Year-on-Year

Industry Category Item Unit Year 2025 Year 2024

Change

Sales Volume RMB 617639484.96 718852729.35 -14.08%

Production

Communications RMB 592440707.00 714080282.13 -17.03%Volume

Industry

Inventory Volume RMB 61937412.34 87136190.30 -28.92%

Sales Volume RMB 0 92817798.06 -

Electrical Industry Production

RMB 0 91673260.78 -

Volume

18Nanjing Putian Telecommunications Co. Ltd.

Inventory Volume RMB 0 0.00 -

Explanation for Reasons for Changes of Over 30% in Relevant Data Year-on-Year

□ Applicable □ Not Applicable

(4) Performance of Major Sales Contracts and Major Procurement Contracts Signed by the Company as of the End of the

Reporting Period

□ Applicable? Not Applicable

(5) Composition of Operating Costs

Industry Category

Unit: RMB

Year 2025 Year 2024

Industry

Item Proportion in Proportion in

Year-on-

Category Amount Total Operating Amount Total Operating Year Change

Costs Costs

Cost of Core

Business - Raw

Communi

Material

cations 446664067.98 91.62%

Expenses 514103961.41 80.93%

-13.12%

Industry

(Procurement

Costs)

Communi

Cost of Core

cations 37132240.15 7.62% 12.27%

Business - Others 33073571.90 5.21%

Industry

Communi

Cost of Other

cations 3724088.82 0.76% 14718160.19 2.32% -74.70%

Businesses

Industry

Cost of Core

Business - Raw

Electrical Material

0.000.00%64559001.7010.16%-

Industry Expenses

(Procurement

Costs)

Electrical Cost of Core

0.000.00%8273534.851.30%-

Industry Business - Others

Electrical Cost of Other

0.000.00%496500.000.08%-

Industry Businesses

Total Operating Costs 487520396.95 100.00% 635224730.05 100.00% -23.25%

Notes

(6) Whether there was a Change in the Scope of Consolidation during the Reporting Period

□ Yes? No

(7) Information on Major Changes or Adjustments to the Company's Business Products or Services during the Reporting

Period

□ Applicable? Not Applicable

19Nanjing Putian Telecommunications Co. Ltd.

(8) Information on Major Sales Customers and Major Suppliers

Information on the Company's Major Sales Customers

Total Sales Amount from the Top Five Customers (RMB) 102872376.16

Proportion of Total Sales Amount from the Top Five

16.66%

Customers in Total Annual Sales

Proportion of Sales to Related Parties in Sales from the Top

8.88%

Five Customers in Total Annual Sales

Information on the Company's Top Five Customers

Proportion in Total Annual

S/N Customer Name Sales Amount (RMB)

Sales

1 Customer I 54874459.32 8.88%

Shenzhen Huawang

2 Enterprise Management Co. 15242524.22 2.47%

Ltd.

3 China Investment Corporation 12968778.74 2.10%

4 Customer IV 10513162.54 1.70%

5 China Development Bank 9273451.34 1.50%

Total -- 102872376.16 16.66%

Explanation of Other Information on Major Customers

?Applicable □ Not Applicable

Shenzhen Huawang Enterprise Management Co. Ltd. China Investment Corporation and China Development Bank are each

among the newly added top five customers.Information on the Company's Major Suppliers

Total Procurement Amount from the Top Five Suppliers

149688934.33

(RMB)

Proportion of Total Procurement Amount from the Top Five

30.71%

Suppliers in Total Annual Procurement

Proportion of Procurement from Related Parties in Procurement

0.00%

from the Top Five Suppliers in Total Annual Procurement

Information on the Company's Top Five Suppliers

Proportion in Total Annual

S/N Supplier Name Procurement Amount (RMB)

Procurement

1 Supplier I 58457720.17 11.99%

2 Supplier II 27835594.00 5.71%

3 Zhejiang Shengyang TechnologyCo. Ltd. 25928883.44 5.32%

4 Supplier IV 22762549.41 4.67%

5 Unisplendour Digital (Suzhou)Group Co. Ltd. 14704187.31 3.02%

Total -- 149688934.33 30.71%

Explanation of Other Information on Major Suppliers

?Applicable □ Not Applicable

Zhejiang Shengyang Technology Co. Ltd. and Unisplendour Digital (Suzhou) Group Co. Ltd. are each among the newly added

top five suppliers.Proportion of the Company's Trading Business Revenue in Operating Revenue Exceeded 10% during the Reporting Period

20Nanjing Putian Telecommunications Co. Ltd.

□ Applicable? Not Applicable

3. Expenses

Unit: RMB

Explanation for Major

Year 2025 Year 2024 Year-on-Year Change

Changes

Selling Expenses 55636075.45 71756768.98 -22.47%

Administrative

Expenses 43658123.43 62275909.90 -29.90%

Financial Expenses 8597553.21 10163792.27 -15.41%

R&D Expenses 29208797.71 34850835.24 -16.19%

4. R&D Investment

?Applicable □ Not Applicable

Expected Impact on the

Name of Major R&D

Purpose of the Project Progress of the Project Intended Objectives Company's Future

Projects

Development

R&D Project for

Category 6 Shielded Enrich the Company's Improve product

Category 6A Shielded Continuous iteration product portfolio and performance enhance

Project acceptance has

and Unshielded based on customer and improve product product

been completed.Modules and market demands. technical competitiveness and

Automated Production specifications. drive business growth.Line

Expand the Company's

R&D of Integrated Meet customer

Develop new products product categories and

Micro-Module Project Project acceptance has demands and enrich the

based on customer and enhance the

for Data Center been completed. Company's product

market demands. diversification of the

Reserve portfolio.Company's products.Enrich the Company's Improve product

Completion of R&D

Continuous iteration product portfolio and performance enhance

for Ruijing Conference Project acceptance has

based on customer and improve product product

Management System been completed.market demands. technical competitiveness and

V2.0

specifications. drive business growth.Enrich the Company's Improve product

Completion of R&D

Continuous iteration product portfolio and performance enhance

for Ruijing IoT Project acceptance has

based on customer and improve product product

Centralized Control been completed.market demands. technical competitiveness and

System V2.0

specifications. drive business growth.Enrich the Company's Improve product

Completion of R&D Continuous iteration product portfolio and performance enhance

Project acceptance has

for Ruijing Information based on customer and improve product product

been completed.Release System V2.0 market demands. technical competitiveness and

specifications. drive business growth.Expand the Company's

Project on the Meet customer

Develop new products product categories and

Application of Anti- Project acceptance has demands and enrich the

based on customer and enhance the

Leakage Watermarking been completed. Company's product

market demands. diversification of the

in Video Conferences portfolio.Company's products.Off-Grid Energy Continuous iteration Project acceptance has Enrich the Company's Improve product

Storage MPPT based on customer and been completed. product portfolio and performance enhance

21Nanjing Putian Telecommunications Co. Ltd.

Controller market demands. improve product product

technical competitiveness and

specifications. drive business growth.Enrich the Company's Improve product

Continuous iteration product portfolio and performance enhance

Smart Lighting Project acceptance has

based on customer and improve product product

Monitoring Terminal been completed.market demands. technical competitiveness and

specifications. drive business growth.Information on the Company's R&D Personnel

Year 2025 Year 2024 Change Ratio

Number of R&D Personnel 271 287 -5.57%

(Person)

Proportion of R&D Personnel 44.00% 39.70% 4.3%

in Total Workforce

Educational Background of R&D Personnel

Bachelor's Degree 175 179 -2.23%

Master's Degree 4 5 -20.00%

Doctoral Degree 1 1 0.00%

Below Bachelor's Degree 91 102 -10.78%

Age Structure of R&D Personnel

Under 30 years old 63 64 -1.56%

30-40 years old 134 140 -4.29%

40-50 years old 65 66 -1.52%

Over 50 years old 9 17 -47.06%

Information on the Company's R&D Investment

Year 2025 Year 2024 Change Ratio

Amount of R&D Investment

29208797.7134850835.24-16.19%

(RMB)

Proportion of R&D

Investment in Operating 4.73% 4.29% 0.44%

Revenue

Capitalized Amount of R&D

0.000.000.00%

Investment (RMB)

Proportion of Capitalized

R&D Investment in Total 0.00% 0.00% 0.00%

R&D Investment

Reasons for and Impact of Major Changes in the Composition of the Company's R&D Personnel

□ Applicable?Not Applicable

Reasons for Significant Changes in the Proportion of Total R&D Investment in Operating Revenue Compared with the Previous

Year

□ Applicable? Not Applicable

Reasons for Significant Changes in the Capitalization Rate of R&D Investment and Explanation of Its Rationality

□ Applicable? Not Applicable

5. Cash Flow

Unit: RMB

22Nanjing Putian Telecommunications Co. Ltd.

Item Year 2025 Year 2024 Year-on-Year Change

Total Cash Inflow from

589112774.23785630524.06-25.01%

Operating Activities

Total Cash Outflow from

-15.75%

Operating Activities 676386044.82 802826866.46

Net Cash Flow from

-87273270.59-17196342.40-407.51%

Operating Activities

Total Cash Inflow from

5621791.00108162382.81-94.80%

Investing Activities

Total Cash Outflow from

Investing Activities 3193809.83 3407560.46

-6.27%

Net Cash Flow from Investing

2427981.17104754822.35-97.68%

Activities

Total Cash Inflow from

Financing Activities 202614067.87 154800000.00

30.89%

Total Cash Outflow from

226040376.55118210811.1091.22%

Financing Activities

Net Cash Flow from

-23426308.6836589188.90-164.03%

Financing Activities

Net Increase in Cash and

Cash Equivalents -108276466.07 124150384.32

-187.21%

Explanation of Main Influencing Factors for Major Year-on-Year Changes in Relevant Data

?Applicable □ Not Applicable

The net cash flow generated from operating activities decreased year-on-year mainly due to the phased impact of project delivery

during the reporting period resulting in a decrease in some project payments compared to 2024.The year-on-year decrease in cash inflows from investment activities is mainly due to the company's cash recovery from selling

equity in subsidiaries in 2024 and no such projects in 2025.The reason for the year-on-year decrease in net cash flows generated from investment activities is the same as above.The year-on-year increase in cash inflows from financing activities is mainly due to the stable arrangement of funds for long-term

loans during the reporting period.The year-on-year increase in cash outflows from financing activities is mainly due to the repayment of long-term loans due during

the reporting period.The net cash flow generated from financing activities decreased year-on-year mainly due to the company's optimization of debt

structure proactive reduction of external borrowing scale and timely fulfillment of debt repayment obligations. The overall debt

structure has become more reasonable and financial risks remain controllable.The net increase in cash and cash equivalents decreased year-on-year mainly due to the combined impact of cash flows from

operating activities investing activities and financing activities.Explanation for Reasons for Significant Differences between the Net Cash Flow from Operating Activities Generated by the

Company during the Reporting Period and the Net Profit for the Current Year

□ Applicable? Not Applicable

V. Analysis of Non-Core Business

?Applicable □ Not Applicable

Unit: RMB

23Nanjing Putian Telecommunications Co. Ltd.

Proportion of Total

Amount Explanation of Causes Sustainability

Profit

Mainly generated from

the liquidation and

Investment Income 8038145.41 1785.55% No

deregistration of

subsidiaries

Loss from inventory

Asset Impairment Loss -2237689.03 -497.07% No

write-down

Mainly from the

reversal of long-term

Non-Operating Income 3000746.99 666.57% Nopayables that are

unable to be settled

Mainly including

Non-Operating product quality

522903.55 116.16% NoExpenses settlement funds and

late payment fines

According to the new

financial instrument

standards provision for

expected credit losses

Credit impairment loss -6979118.96 -1550.31% Noshall be made for

accounts receivable

other receivables and

notes receivable

VI. Analysis of Assets and Liabilities

1. Major Changes in Asset Composition

Unit: RMB

End of 2025 Beginning of 2025

Change in Explanation for

Proportion of Proportion of

Amount Amount Proportion Major Changes

Total Assets Total Assets

Monetary

182285495.9224.97%292600989.8034.92%-9.95%

Funds

Accounts

Receivable 323586922.02 44.33% 293535326.34 35.03% 9.30%

Contract Assets 0.00 0.00% 0.00 0.00% 0.00%

Inventories 61937412.34 8.49% 87136190.30 10.40% -1.91%

Investment

Properties 4977270.72 0.68% 5547238.47 0.66% 0.02%

Long-term

Equity 0.00 0.00% 10412683.37 1.24% -1.24%

Investments

Fixed Assets 84173058.11 11.53% 85757024.11 10.23% 1.30%

Construction in

0.000.00%0.000.00%0.00%

Progress

Right-of-Use

2187184.720.30%2447793.040.29%0.01%

Assets

Short-term

Borrowings 203925721.98 27.94% 128127987.75 15.29% 12.65%

24Nanjing Putian Telecommunications Co. Ltd.

Contract

Liabilities 8426313.45 1.15% 24794919.13 2.96% -1.81%

Long-term

0.000.00%70000000.008.35%-8.35%

Borrowings

Lease

Liabilities 0.00 0.00% 840373.96 0.10% -0.10%

High Proportion of Overseas Assets

□ Applicable? Not Applicable

2. Assets and Liabilities Measured at Fair Value

?Applicable □ Not Applicable

Unit: RMB

Fair Cumulati

Value ve Fair

Impairment Addition

Change Value Disposals

Opening Provision s during Other

Item Gain or Changes during the Closing Balance

Balance Made for the Changes

Loss for Recogni Period

the Period Period

the zed in

Period Equity

Financial Assets

4. Other

Equity

Instrument 741953.00 741953.00

Investment

s

Subtotal of

Financial 741953.00 741953.00

Assets

Notes

Receivable 34520299.04 27655375.14

Financing

Total

35262252.0428397328.14

Above

Financial

0.000.00

Liabilities

Details of Other Changes

Whether there have been material changes in the measurement attributes of the Company's major assets during the reporting period

□ Yes? No

3. Restrictions on Asset Rights as at the End of the Reporting Period

Item Closing Book Value Reason for Restriction

Monetary Funds 2233897.56 Deposits

Fixed Assets 52986451.08 Mortgaged

Intangible Assets 4901288.52 Mortgaged

25Nanjing Putian Telecommunications Co. Ltd.

Total 60121637.16

Except for the assets whose ownership or use rights are restricted as mentioned above the parent company

China Electronics Guorui Group Co. Ltd. provides guarantees for our company's loan to China Electronics

Technology Finance Co. Ltd. The company pledges its 40% equity of its subsidiary Nanjing Putian Tianji

Building Intelligence Co. Ltd. corresponding to a capital contribution of 8 million yuan to the parent company;

The company will pledge 56.28% equity of its subsidiary Nanjing Southern Telecom Co. Ltd. corresponding

to a capital contribution of 28.534 million yuan to the parent company for the purpose of entrusting China

Electronics Technology Finance Co. Ltd. to pay a loan to the company; Our company will pledge 40% equity

of its subsidiary Nanjing Putian Datang Information Electronics Co. Ltd. corresponding to a capital

contribution of 4 million yuan to China Electronics Technology Leasing Co. Ltd. for the purpose of handling

financing leasing business with China Electronics Technology Leasing Co. Ltd. The transfer of equity in the

above-mentioned subsidiaries is restricted before the release of the pledge.VII. Analysis of Investment Status

1. Overview

?Applicable □ Not Applicable

Investment Amount for the

Investment Amount during the Reporting

Corresponding Period of the Previous Change Rate

Period (RMB)

Year (RMB)

5030595.863690761.0536.30%

2. Major Equity Investments Acquired during the Reporting Period

□ Applicable? Not Applicable

3. Major Non-Equity Investments in Progress during the Reporting Period

□ Applicable? Not Applicable

4. Financial Asset Investments

(1) Securities Investments

□ Applicable? Not Applicable

The Company had no securities investments during the reporting period.

(2) Derivatives Investments

□ Applicable? Not Applicable

The Company had no derivatives investments during the reporting period.

26Nanjing Putian Telecommunications Co. Ltd.

VIII. Disposal of Major Assets and Equity Interests

1. Disposal of Major Assets

□ Applicable? Not Applicable

The Company did not dispose of any major assets during the reporting period.

2. Disposal of Major Equity Interests

□ Applicable? Not Applicable

IX. Analysis of Major Holding and Participating Companies

?Applicable □ Not Applicable

Details of Major Subsidiaries and Participating Companies whose Impact on the Company's Net Profit Exceeds 10%

Unit: RMB

Company Type of Principal Registered Total Operating Operating

Net Assets Net Profit

name Company Business Capital Assets Revenue Profit

Multimedia

Nanjing

communica

Southern RMB 50.70 31382408 11782389 26821449 3131846.0 2982757.6

Subsidiary tion and

Telecom million 1.88 6.28 3.37 8 7

application

Co. Ltd.solutions

Developme

nt

Nanjing

production

Putian

and sales of

Telege RMB 20.00 31357000 10919579 29405623 15918953. 15051430.Subsidiary generic

Intelligent million 7.02 8.02 3.62 14 91

cabling and

Building

building

Ltd.intelligent

products

R&D

production

and sales of

mains and

Nanjing

solar street

Putian

light

Datang

controllers RMB 10.00 54142271. 27601575. 26915214.Informatio Subsidiary 815004.45 881786.32

as well as million 04 70 11

n

production

Electronics

and

Co. Ltd.processing

of

electronic

products

Acquisition and Disposal of Subsidiaries during the Reporting Period

?Applicable? Not Applicable

Explanation of the situation of the main holding and participating companies

The company liquidated and cancelled its equity participation in SEI-Nanjing Putian Optical Network confirming an investment

income of 7.3892 million yuan.

27Nanjing Putian Telecommunications Co. Ltd.

X. Structured Entities Controlled by the Company

□ Applicable? Not Applicable

XI. Outlook on the Company's Future Development

The year 2026 marks the first year of the 15th Five-Year Plan. The Company will fully implement all

decisions and arrangements made by the Party Leadership Group of China Electronics Technology Group

Corporation (CETC) and the Party Committee of CETC Glarun Group Co. Ltd. anchor the core goal of high-

quality development and adhere to the dual-wheel drive of Party building leadership and strategic coordination.The Company will focus on its core businesses including intelligent buildings generic cabling data centers

video conferencing and smart lighting continuously optimize its strategic layout promote independent

innovation strengthen coordination and linkage deepen lean management stimulate endogenous development

momentum and spare no effort to achieve new leaps and embark on a new journey in the high-quality

development of the Company.(I) Key Annual Priorities of the Company

1. Focus on market breakthroughs and strengthen in-depth industry expansion. Centering on the three corepaths of “focusing on advantageous markets deepening independent innovation and strengthening coordinationand linkage” the Company will systematically advance market development and business breakthroughs. With

major projects as the starting point the Company will guide its core businesses to focus on high-value sectors

deeply cultivate core strategic industries including finance energy and high-reliability fields and realize the

transformation from single project breakthroughs to ecological operation. The Company will strive to deepen

industry-wide penetration fully tap the value of existing customers extend from single product supply to full

life cycle services and overall solutions so as to enhance customer stickiness and comprehensive returns.

2. Promote independent innovation and build differentiated competitive advantages. The Company has

always adhered to the innovation-driven development strategy through scientific and technological innovation.It will increase the allocation of R&D resources to strategic products actively carry out external cooperation

strive to develop new technologies and products enhance scientific and technological competitiveness and

explore new sources of economic growth.

3. Strictly control cost budgeting and improve asset efficiency. Centered on budgetary control and with

asset revitalization as the breakthrough point the Company will systematically advance cost optimization and

operational efficiency enhancement while stepping up efforts to ensure full coverage of demand letters for all

outstanding receivables and initiate legal proceedings wherever warranted as well as strengthen the collection

and reduction of the "two funds" (accounts receivable and inventory).

4. Revitalize existing assets and release resource efficiency. The Company will fully revitalize low-

efficiency and non-performing assets through diversified means optimize the asset allocation structure and

improve asset utilization efficiency.(II) Risks the Company May Face in Its Development:

1. Risks of market competition

The communication industry in which the company operates belongs to a perfectly competitive industry

with a large number of enterprises in the industry. At the same time the current slowdown in national economic

growth has further intensified industry competition. The company has accumulated certain competitive

advantages in brand technology quality marketing and other aspects through long-term business development.If the company's products cannot adapt to future market changes they may lose their original advantages in

market competition.

28Nanjing Putian Telecommunications Co. Ltd.

Response measures: The company will continue to rely on its existing advantages to consolidate traditional

markets actively explore high-quality fields such as central enterprises finance government energy civil

aviation etc. strengthen and expand the social industry market accelerate industrial transformation and

upgrading and cultivate strategic emerging industries. Continuously strengthen cost control consolidate

product manufacturing and technological research and development capabilities and steadily enhance market

competitiveness. At the same time pay attention to market dynamics grasp market information adjust sales

policies in a timely manner actively respond to market changes and maintain market competitiveness.

2. Technical research and development risks

The technological development and product upgrading in the communication industry are very rapid. If the

company's existing products and technology platforms cannot be upgraded and transformed in a timely manner

according to market demand or if the research and development results do not meet market demand it will

have a negative impact on the company's operations.Response measures: The company will actively track the development trends of industry technology

vigorously promote technological innovation guided by the market optimize product technology through

independent research and development form differentiated competitiveness and expand the layout of new

product projects striving to maintain a leading position in technology in the industry.

3. Procurement risk

Due to the increased uncertainty in the external environment the price trends and supply stability of the

main raw materials used in the company's daily production such as iron copper steel plates and optical fibers

have an impact on the company's profitability. Although the company's raw material supply channels are

smooth and relatively sufficient it cannot be completely ruled out that changes in the supply and demand

structure of related raw materials may lead to supply shortages or fluctuations in prices and quality which may

have adverse effects on the company's product quality costs and profitability.Response measures: The company will strengthen strategic cooperation with core suppliers and explore the

establishment of a more flexible supply chain system to cope with potential supply interruption risks; We will

transfer or resolve the pressure of rising raw material prices through various means such as technological

innovation product structure optimization and improving customer cooperation depth.

4. Risk of tight cash flow

The company's products mainly serve customers in industries such as central enterprises and governments.Due to factors such as long approval processes and project completion cycles the sales collection cycle is

relatively long and the cash flow pressure is high.Response measures: The company adheres to budget management of funds coordinates the reasonable

ratio of fund payments and withdrawals and ensures the dynamic balance of cash flow; The company classifies

and collects long aged accounts receivable increases assessment efforts formulates reward and punishment

measures promotes timely collection of payments strengthens inventory management and improves inventory

liquidity; Obtain a certain amount of working capital financing from financial institutions as needed.XII. Receipt of Research Communication and Interview Activities during the Reporting

Period

?Applicable □ Not Applicable

Main Topics Index for Basic

Date of Venue of Reception Type of Discussed and Information of

Counterparty

Reception Reception Method Counterparty Materials the Research

Provided Activity

29Nanjing Putian Telecommunications Co. Ltd.

Introduction to

Company the Company's CNINFO

May 13 2025 On-site Individual

Conference Individual key work no (www.cninfo.c

Research Investor

Room materials om.cn)

provided

Investors Q&A on the

participating in Company's

Online

the Company's operation and CNINFO

Communication

May 30 2025 Value Online Others 2024 Annual industry (www.cninfo.c

via Web

Online development om.cn)

Platform

Performance no materials

Briefing provided

Q&A on the

Company's

Investors and

Company operation and CNINFO

On-site Institutional representatives

June 25 2025 Conference industry (www.cninfo.c

Research Individual of Minsheng

Room development om.cn)

Securities

no materials

provided

XIII. Formulation and Implementation of Market Value Management System and

Valuation Enhancement Plan

Has the Company formulated a market value management system

□ Yes? No

Has the Company disclosed a valuation enhancement plan

□ Yes? No

XIV. Implementation of the Action Plan for "Dual Improvement of Quality and Returns"

Has the Company disclosed the announcement on the Action Plan for "Dual Improvement of Quality and Returns"

□ Yes? No

30Nanjing Putian Telecommunications Co. Ltd.

Section IV Corporate Governance Environmental and Social

Responsibility

I. Basic Status of Corporate Governance

The Company has strictly complied with the requirements of the Company Law of the People's Republic of

China Securities Law of the People's Republic of China Code of Corporate Governance for Listed Companies

Stock Listing Rules of the Shenzhen Stock Exchange and other relevant laws and regulations established a

governance system consisting of the General Meeting of Shareholders the Board of Directors and the executive

management and created a governance structure with clearly defined powers and responsibilities each

performing its own duties and operating in a coordinated manner. The Company has improved its internal

control system strengthened internal and external supervision and enhanced the level of standardized operation.During the reporting period the Company adhered to the combination of Party organization development and

corporate governance operated in accordance with the law earnestly safeguarded the legitimate rights and

interests of minority shareholders and promoted the sustained and sound development of the Company.

1. Shareholders and General Meeting of Shareholders

The Company has formulated the Articles of Association of the Company in strict accordance with the

Company Law of the People's Republic of China Guidelines for the Articles of Association of Listed Companies

and other laws and regulations to ensure that all shareholders enjoy equal rights and assume corresponding

obligations in accordance with the shares they hold. The convening holding and voting of the General Meeting

of Shareholders are conducted in accordance with laws and regulations. The Company provides online voting

for all shareholders to ensure their right to know and right to make decisions on material matters. The decision-

making procedures for related party transactions strictly abide by the provisions of laws and regulations and the

Articles of Association and no circumstances have occurred that damage the interests of the Company and non-

related shareholders.

2. Directors and Board of Directors

The Company elects directors in strict accordance with the election procedures stipulated by laws and

regulations and the Articles of Association. The Board of Directors of the Company consists of 8 members

including 3 independent directors. The number and composition of the Board of Directors comply with the

requirements of laws and regulations. The Board of Directors independent directors and special committees of

the Board of Directors exercise their powers in accordance with the provisions of laws and regulations and the

Articles of Association and safeguard the legitimate rights and interests of the Company and all shareholders.All directors abide by the relevant provisions of laws regulations and the Articles of Association perform their

duties diligently and prudently attend Board meetings in earnest express their opinions on the matters under

discussion and ensure the efficient operation and scientific decision-making of the Board of Directors. The

convening and holding procedures of the Board of Directors are legal and the operation is standardized.

3. Senior Management and Incentives

The Company appoints senior management in strict accordance with statutory procedures and the

provisions of the Articles of Association. There is no circumstance where the controlling shareholder the actual

controller and their related parties interfere with the normal appointment and removal procedures of senior

management or directly appoint or remove senior management by bypassing the General Meeting of

31Nanjing Putian Telecommunications Co. Ltd.

Shareholders and the Board of Directors. The Company has established a mechanism linking remuneration to

corporate performance and individual performance and takes the performance evaluation of senior management

as an important basis for their remuneration and other incentives.

4. Controlling Shareholder and Its Related Parties

The Company's controlling shareholder exercises its shareholder rights and performs its shareholder

obligations towards the Company in accordance with the law. There is no circumstance where the controlling

shareholder and the actual controller have used their control rights to damage the legitimate rights and interests

of the Company and other shareholders. The nomination or recommendation of director candidates by the

controlling shareholder complies with the conditions and procedures stipulated by laws and regulations and the

Articles of Association. Major decisions of the Company are made by the General Meeting of Shareholders and

the Board of Directors in accordance with the law. The Company is completely separated from the controlling

shareholder and the actual controller in terms of personnel assets and finance and is independent in terms of

organization and business with independent accounting and independent assumption of responsibilities and

risks for each party. Strict decision-making procedures and information disclosure obligations are performed for

related party transactions in accordance with relevant regulations. The Company does not provide guarantees

for the controlling shareholder and its affiliated enterprises nor is there any circumstance of non-operational

fund occupation of the Company by the controlling shareholder.

5. Stakeholders Environmental Protection and Social Responsibility

The Company respects the legitimate rights of stakeholders including banks and other creditors employees

customers suppliers and the community. While maintaining the Company's development striving to improve

operating performance and protecting the interests of shareholders the Company actively fulfills its social

responsibilities conducts effective communication and cooperation with stakeholders and jointly promotes the

sustained and steady development of the Company and the industry.

7. Information Disclosure and Transparency

The Company strictly performs its information disclosure obligations in accordance with the provisions of

laws and regulations self-regulatory rules and the Articles of Association continuously strengthens the

standardization of information disclosure carries out investor communication work in accordance with

regulations fully protects the shareholders' right to know ensures the transparency of information disclosure

and guarantees that all shareholders of the Company can obtain information on an equal basis.Whether there is any material discrepancy between the actual status of the Company's corporate governance and the provisions on

corporate governance of listed companies issued by laws administrative regulations and the China Securities Regulatory

Commission (CSRC)

□ Yes? No

There is no material discrepancy between the actual status of the Company's corporate governance and the provisions on corporate

governance of listed companies issued by laws administrative regulations and the CSRC.II. Independence of the Company from the Controlling Shareholder and Actual Controller

in Terms of Assets Personnel Finance Organization and Business

The Company is mutually independent and completely separated from the controlling shareholder the

actual controller and other related parties in terms of assets personnel finance organization and business.

1. Assets

The assets owned by the Company are independent complete and with clear property rights and there is

no circumstance where such assets are occupied or controlled by directors senior management the controlling

shareholder the actual controller and their related parties.

32Nanjing Putian Telecommunications Co. Ltd.

2. Personnel

The Company has an independent labor and personnel system and an independent workforce. Senior

management are appointed in accordance with relevant provisions and do not hold any other administrative

positions other than director in the controlling shareholder or enterprises controlled by it.

3. Finance

The Company has set up an independent finance department established an independent financial

accounting system and has standardized financial and accounting systems as well as financial management

systems for branches and subsidiaries. The Company is able to make independent financial decisions and there

is no circumstance where the controlling shareholder interferes with the Company's use of funds.

4. Organization

The Company has established an independent and complete corporate governance structure and internal

operation and management institutions. The Board of Directors and other internal institutions operate

independently and there is no mixed operation with the controlling shareholder.

5. Business

The Company has a complete business system including procurement production sales and R&D systems

makes independent decisions and operates independently and does not need to rely on shareholders and other

related parties for production and operation activities.III. Horizontally Competitive Business Status

□ Applicable? Not Applicable

IV. Information on Directors and Senior Management

1. Basic Information

Numb Numb Numb

Numb

er of er of er of

er of

Shares Shares Shares Reaso

Comm Other Shares

Expira Held at Increas Reduc ns for

encem Chang Held at

Emplo tion the ed in ed in Chang

Gende Positio ent es in the

Name Age yment Date Beginn the the es in

r n Date Shares End of

Status of ing of Curren Curren Shareh

of (Share the

Term the t t olding

Term s) Period

Period Period Period s

(Share

(Share (Share (Share

s)

s) s) s)

Chair Nove

Shen

man of Incum mber

Xiaobi Male 47 0 0 0 0 0

the bent 13

ng

Board 2024

Shen Octobe

Direct Incum

Xiaobi Male 47 r 18 0 0 0 0 0

or bent

ng 2022

Jia May

Femal Direct Incum

Haowe 45 28 0 0 0 0 0

e or bent

n 2025

Decem

Shen Direct Incum

Male 47 ber 23 0 0 0 0 0

Kejian or bent

2024

33Nanjing Putian Telecommunications Co. Ltd.

Nove

Hu Direct Incum mber

Male 35 0 0 0 0 0

Yifei or bent 18

2025

Wang Octobe

Direct Incum

Xingy Male 47 r 18 0 0 0 0 0

or bent

u 2022

Indepe

Song Octobe

ndent Incum

Tieche Male 58 r 18 0 0 0 0 0

Direct bent

ng 2022

or

Indepe

Octobe

Gao Femal ndent Incum

57 r 18 0 0 0 0 0

Jing e Direct bent

2022

or

Indepe

Octobe

Huang ndent Incum

Male 45 r 18 0 0 0 0 0

Linkui Direct bent

2022

or

Genera

Jia April

Femal l Incum

Haowe 45 11 0 0 0 0 0

e Manag bent

n 2025

er

Chief

March

Zhang Financ Incum

Male 39 3 0 0 0 0 0

Jie ial bent

2025

Officer

Deput

y

Octobe

Femal Genera Incum

Li Jing 50 r 18 0 0 0 0 0

e l bent

2022

Manag

er

Board August

Femal Incum

Li Jing 50 Secret 23 0 0 0 0 0

e bent

ary 2017

Deput

y

Wang March

Genera Incum

Jianfen Male 51 3 0 0 0 0 0

l bent

g 2025

Manag

er

Deput

y

May

Chen Genera Incum

Male 47 28 0 0 0 0 0

Hao l bent

2025

Manag

er

Depart

March May

Jiang Direct ure

Male 45 6 28 0 0 0 0 0

Yi or from

20232025

office

Genera Depart

Februa April

Jiang l ure

Male 45 ry 16 11 0 0 0 0 0

Yi Manag from

20232025

er office

Shi Male 52 Direct Depart Octobe Nove 0 0 0 0 0

34Nanjing Putian Telecommunications Co. Ltd.

Jiando or ure r 18 mber

ng from 2022 18

office 2025

Deput

y

Genera

Depart

Liao l Octobe March

ure

Rongc Male 51 Manag r 18 3 0 0 0 0 0

from

hao er and 2022 2025

office

Chief

Accou

ntant

Chief Depart Nove

Fu Octobe

Legal ure mber

Guoka Male 35 r 18 0 0 0 0 0

Couns from 18

i 2022

el office 2025

Total -- -- -- -- -- -- 0 0 0 0 0 --

Whether any directors or senior management left their positions during their term of office in the reporting period

?Yes □ No

During the reporting period Mr. Jiang Yi and Mr. Shi Jiandong former directors no longer served as directors of the company

due to job transfers. Mr. Liao Rongchao former deputy general manager and chief accountant no longer served as deputy general

manager and chief accountant due to job transfers. Mr. Fu Guokai former general legal advisor resigned after his term of office

expired.Changes in Directors and Senior Management of the Company

?Applicable □ Not Applicable

Name Position Held Type Date Reason

Jia Haowen Director Elected May 28 2025 Job Transfer

Jia Haowen General Manager Appointed April 11 2025 Job Transfer

Zhang Jie Chief Financial Officer Appointed March 3 2025 Job Transfer

Deputy General

Wang Jianfeng Appointed March 3 2025 Job Transfer

Manager

Deputy General

Chen Hao Appointed May 28 2025 Job Transfer

Manager

Jiang Yi Director Departure from office May 28 2025 Job Transfer

Jiang Yi General Manager Departure from office April 11 2025 Job Transfer

Deputy General

Liao Rongchao Departure from office March 3 2025 Job Transfer

Manager

Resigned upon

Fu Guokai Chief Legal Counsel November 18 2025 Job Transfer

Expiration of Term

2. Employment Status

Professional Background Main Work Experience and Current Primary Responsibilities in the Company of the Company's

Incumbent Directors and Senior Management

Directors:

Shen Xiaobing male born in 1978 bachelor's degree engineer. He entered the workforce in 1997 and

formerly served as General Manager of Nanjing Lopu Technology Co.Ltd. and General Manager of Nanjing

Lopu Co. Ltd. He is currently Deputy General Manager of CETC Glarun Group Co. Ltd. Chairman of the

Board and Party Secretary of Nanjing Putian Telecommunications Co. Ltd. and concurrently Chairman of

35Nanjing Putian Telecommunications Co. Ltd.

Nanjing Lopu Technology Co. Ltd. Chairman of Nanjing Lopu Co. Ltd. and Chairman of Nanjing Rail

Transit System Engineering Co. Ltd.Jia Haowen female born in 1980 bachelor's degree in management senior human resource manager. She

entered the workforce in 2002 and formerly served as Administration and Sales Staff of Shanghai Xinhaoshi

Real Estate Co. Ltd.; Secretary to the President's Office Director of Human Resources Department Director of

Comprehensive Management Department Party Branch Secretary of Comprehensive Management Department

Director of Multimedia Application Industry Division and Assistant to the General Manager of the Company.She is currently Director General Manager and Deputy Party Secretary of Nanjing Putian Telecommunications

Co. Ltd. and concurrently Chairman of Nanjing Southern Telecom Co. Ltd.Shen Kejian male born in 1978 bachelor's degree senior engineer. He entered the workforce in 2002 and

is currently Deputy Director of the Science and Technology Department of CETC Glarun Group Co. Ltd.Deputy Director of the Science and Technology Department of the 14th Research Institute of China Electronics

Technology Group Corporation (CETC) and Director of Nanjing Putian Telecommunications Co. Ltd.Hu Yifei male born in 1990 master's degree in management. He entered the workforce in 2015 and

formerly served as Assistant Accountant in the Finance Department of the 14th Research Institute of CETC. He

is currently Deputy Director of the Finance Department of the 14th Research Institute of CETC and Director of

Nanjing Putian Telecommunications Co. Ltd.Wang Xingyu male born in 1978 master's degree in engineering senior engineer. He entered the

workforce in 2000 and formerly served as Assistant Engineer of the Materials Department and Deputy Director

of the Materials Department of the 14th Research Institute of CETC. He is currently Deputy Party Branch

Secretary of the Joint Party Branch of the Materials Department and Logistics Company of the 14th Research

Institute of CETC Deputy Director of the Materials Department and Director of Nanjing Putian

Telecommunications Co. Ltd.Song Tiecheng male born in 1967 doctor's degree in engineering. He entered the workforce in 1992 and

formerly served as Teaching Assistant Lecturer and Associate Professor at Southeast University.Current

professor at Southeast University independent director of Hansang (Nanjing) Technology Co. Ltd.independent director of Shanghai Hanxun Information Technology Co. Ltd. and independent director of

Nanjing Putian Communication Co. Ltd.Gao Jing female born in 1968 bachelor's degree senior accountant certified public accountant. She

entered the workforce in 1989 Formerly served as the accountant and deputy director of China Aviation

Industry Jincheng Group Co. Ltd. deputy director of China Aviation Industry Jincheng Nanjing

Electromechanical and Hydraulic Engineering Research Center chief accountant of China Aviation Industry

Electromechanical Systems Co. Ltd. chief risk control officer of Shenzhen Guangqi Cutting edge Equipment

Technology Co. Ltd. CFO of Guangqi Technology Co. Ltd. director of risk control department and secretary

of the board of directors of Shenzhen Haimuxing Laser Intelligent Equipment Co. Ltd. vice president of

Haimuxing Laser Technology Group Co. Ltd. director of Changzhou Haimuxing Jinyu New Energy

Technology Co. Ltd. and Independent Director of Nanjing Putian Telecommunications Co. Ltd.Huang Linkui male born in 1980 bachelor's degree. He entered the workforce in 2003 and formerly

served as Partner of Jiangsu Tonganning Law Firm. He is currently Partner of Grandall Law Firm (Nanjing) and

Independent Director of Nanjing Putian Telecommunications Co. Ltd.Senior Management:

Jia Haowen female born in 1980 bachelor's degree in management senior human resource manager. She

entered the workforce in 2002 and formerly served as Administration and Sales Staff of Shanghai Xinhaoshi

Real Estate Co. Ltd.; Secretary to the President's Office Director of Human Resources Department Director of

36Nanjing Putian Telecommunications Co. Ltd.

Comprehensive Management Department Party Branch Secretary of Comprehensive Management Department

Director of Multimedia Application Industry Division and Assistant to the General Manager of the Company.She is currently Director General Manager and Deputy Party Secretary of Nanjing Putian Telecommunications

Co. Ltd. and concurrently Chairman of Nanjing Southern Telecom Co. Ltd.Zhang Jie male born in 1987 master's degree in accounting. He entered the workforce in 2009 and

formerly worked at Huai'an Medison Chemical Co. Ltd. Jiangsu Huasu Coating Technology Co. Ltd. and

Nanjing Huxin Hutu Technology Co. Ltd. He is Chief Financial Officer of Nanjing Putian Telecommunications

Co. Ltd.Li Jing female born in 1975 master's degree in management senior economist. She entered the workforce

in 1996 and formerly served as Secretary and Customs Declarant of Nanjing Mennekes Electric Co. Ltd.Purchaser and Labor Administrator of Nanjing Putian Computer Industry Co. Ltd. She also formerly served as

Investment Administrator Assistant and Deputy Director of the Enterprise Development Department Deputy

Director of the Strategic Development Department Deputy Director of the Comprehensive Management

Department Deputy Director and Director of the Investment Management Department and Director of the

Strategic Investment Department of Nanjing Putian Telecommunications Co. Ltd. She is currently Deputy

General Manager and Board Secretary of Nanjing Putian Telecommunications Co. Ltd. and concurrently

Chairman of Nanjing Putian Datang Information Electronics Co. Ltd.Wang Jianfeng male born in 1975 master's degree in engineering professor-level senior engineer. He

entered the workforce in 1998 and successively served as Deputy Director and Director of the Research Office

of the 14th Research Institute of CETC and Deputy Director of a factory. He is currently Deputy General

Manager of Nanjing Putian Telecommunications Co. Ltd.Chen Hao male born in April 1978 master's degree. He successively served as Engineer of the System

Engineering Department of the 28th Research Institute of CETC Deputy Director (in charge of work) of the

Civil Product Industry Department General Manager of CETC Jiaxing New Smart City Technology

Development Co. Ltd. General Manager of the Industrial Development Department and Assistant to the

General Manager of the Company. He is currently Deputy General Manager of Nanjing Putian

Telecommunications Co. Ltd. and concurrently Chairman of Nanjing Putian Telege Building Intelligence Co.Ltd.Circumstances where the controlling shareholder or actual controller concurrently serves as the Chairman of the Board and

General Manager of the Listed Company

□ Applicable? Not Applicable

Employment in Shareholder Entities

?Applicable □ Not Applicable

Whether

Position Held in Remuneration and

Name of the Name of the Commencement Expiration Date of

the Shareholder Allowances are

Incumbent Shareholder Entity Date of Term Term

Entity Received from the

Shareholder Entity

CETC Guorui Deputy General

Shen Xiaobing January 10 2022 Yes

Group Co. Ltd. Manager

Deputy Director of

CETC Glarun the Science and

Shen Kejian February 13 2024 No

Group Co. Ltd. Technology

Department

Deputy Director of

CETC Glarun

Hu Yifei the Finance February 17 2023 No

Group Co. Ltd.Department

37Nanjing Putian Telecommunications Co. Ltd.

Employment in Other Entities

?Applicable □ Not Applicable

Whether

Remuneration and

Name of the Name of the Other Position Held in Commencement Expiration Date of

Allowances are

Incumbent Entity the Other Entity Date of Term Term

Received from the

Other Entity

Nanjing Lopu

Chairman of the

Shen Xiaobing Technology Co. February 10 2022 No

Board

Ltd.Nanjing Lopu Co. Chairman of the

Shen Xiaobing February 10 2022 No

Ltd. Board

Nanjing Rail

Transit System Chairman of the

Shen Xiaobing April 19 2024 No

Engineering Co. Board

Ltd.Deputy Director of

The 14th Research the Science and

Shen Kejian February 13 2024 Yes

Institute of CETC Technology

Department

Deputy Director of

CETC Glarun

Hu Yifei the Finance February 17 2023 Yes

Group Co. Ltd.Department

th Deputy Director ofThe 14 Research

Wang Xingyu the Materials November 2 2020 Yes

Institute of CETC

Department

Materials

Department and Deputy Party

Logistics Branch Secretary

Wang Xingyu January 5 2022 No

Company of the of Joint Party

14th Research Branch

Institute of CETC

Southeast

Song Tiecheng Professor April 8 2005 Yes

University

Hansong (Nanjing)

Independent

Song Tiecheng Technology Co. May 20 2025 Yes

Director

Ltd.Jushri Independent December 26

Song Tiecheng Yes

Technologies Inc. Director 2022

Hymson Laser

Gao Jing Technology Group Vice President January 29 2024 January1 2026 Yes

Co. Ltd.Changzhou

Hymson Jinyu

Gao Jing New Energy Director May 6 2019 January1 2026 Yes

Technology Co.Ltd.Grandall Law Firm

Huang Linkui Partner May 9 2022 Yes

(Nanjing)

Penalties Imposed by Securities Regulatory Authorities on the Company's Incumbent Directors and Senior Management and

Those Who Left Their Positions During the Reporting Period in the Past Three Years

□ Applicable? Not Applicable

38Nanjing Putian Telecommunications Co. Ltd.

3. Remuneration of Directors and Senior Management

Decision-making Procedures Determination Basis and Actual Payment of Remuneration for Directors and Senior Management

The company did not pay salaries to directors who did not concurrently hold senior management positions;

directors who hold administrative positions in the Company receive remuneration based on their administrative

positions. Independent directors receive independent director allowances from the Company the standard of

which is determined by the General Meeting of Shareholders. The remuneration standards and assessment

methods for senior management are determined by the Board of Directors.The Company's senior management are subject to a performance-based annual salary system and their

remuneration is assessed and paid based on the completion of the Company's production and operation

indicators and the work undertaken by the senior management.Remuneration of Directors and Senior Management of the Company during the Reporting Period

Unit: RMB ×104 Yuan

Whether

Total Pre-tax Remuneration

Employment Remuneration is Received

Name Gender Age Position

Status Received from from the

the Company Company's

Related Parties

Chairman of

Shen Xiaobing Male 47 Incumbent 0 Yes

the Board

Director and

Jia Haowen Female 45 General Incumbent 74.16 No

Manager

Shen Kejian Male 47 Director Incumbent 0 Yes

Hu Yifei Male 35 Director Incumbent 0 Yes

Wang Xingyu Male 47 Director Incumbent 0 Yes

Independent

Song Tiecheng Male 58 Incumbent 9 No

Director

Independent

Gao Jing Female 57 Incumbent 9 No

Director

Independent

Huang Linkui Male 45 Incumbent 9 No

Director

Chief Financial

Zhang Jie Male 39 Incumbent 21.54 No

Officer

Deputy General

Manager and

Li Jing Female 50 Incumbent 52.41 No

Board

Secretary

Deputy General

Wang Jianfeng Male 50 Incumbent 30.54 No

Manager

Deputy General

Chen Hao Male 47 Incumbent 24.02 No

Manager

Director and

Appointed and

Jiang Yi Male 45 General 29.28 No

Removed

Manager

Appointed and

Shi Jiandong Male 55 Director 0 Yes

Removed

Deputy General

Manager and Appointed and

Liao Rongchao Male 51 21.13 No

Chief Removed

Accountant

39Nanjing Putian Telecommunications Co. Ltd.

Chief Legal Appointed and

Fu Guokai Male 35 48.07 No

Counsel Removed

Total -- -- -- -- 328.15 --

Note: The current directors and executives' compensation during the reporting period is the total compensation

received during their tenure in that position; The disclosed compensation amount for executives who resigned

during the reporting period is the total compensation received during their tenure as executives during the

reporting period.Assessment Basis for the Actual Remuneration Received by Based on the financial budget indicators approved by the board

All Directors and Senior Management at the End of the of directors formulate the company's "2025 Business Target

Reporting Period Responsibility Agreement" and conduct assessments.Completion of Assessment of the Actual Remuneration

The assessment is currently underway based on the actual

Received by All Directors and Senior Management at the End

business situation after the audit.of the Reporting Period

Deferred Payment Arrangements for the Actual Remuneration

Received by All Directors and Senior Management at the End None

of the Reporting Period

Suspension of Payment and Recourse in Respect of the Actual

Remuneration Received by All Directors and Senior None

Management at the End of the Reporting Period

Explanation of Other Circumstances

?Applicable □ Not Applicable

In 2025 the total pre tax compensation received by the company's directors and executives from the

company was 3.2815 million yuan of which the total pre tax compensation for the reporting period was 2.7337

million yuan a decrease from the same period last year; The total incentive for the term from 2022 to 2024 is

547800 yuan including 147500 yuan for Jia Haowen 100300 yuan for Lijing 99800 yuan for Jiang Yi 106300

yuan for Liao Rongchao and 93900 yuan for Fu Guokai.V. Performance of Duties by Directors during the Reporting Period

1. Attendance of Directors at Board of Directors and Shareholders' General Meetings

Attendance of Directors at Board of Directors and Shareholders' General Meetings

Number of

Whether

Board Number of

Number of Number of Failed to Number of

Meetings Board Number of

Board Board Attend Two Shareholders'

Name of Required to Meetings Board

Meetings Meetings Consecutive General

Director Attend Attended via Meetings

Attended in Attended by Board Meetings

during the Communicati Absent from

Person Proxy Meetings in Attended

Reporting on

Person

Period

Shen

15 1 14 0 0 No 1

Xiaobing

Jia Haowen 10 0 10 0 0 No 4

Shen Kejian 15 1 14 0 0 No 0

Hu Yifei 2 0 2 0 0 No 0

Wang

15 1 14 0 0 No 0

Xingyu

40Nanjing Putian Telecommunications Co. Ltd.

Song

15 1 14 0 0 No 0

Tiecheng

Gao Jing 15 1 14 0 0 No 0

Huang

15 1 14 0 0 No 0

Linkui

Jiang Yi 5 1 4 0 0 No 0

Shi Jiandong 13 1 12 0 0 否 1

Explanation on Failure to Attend Two Consecutive Board Meetings in Person

2. Objections Raised by Directors on Company Matters

Whether Directors Raised Objections on Company Matters

□ Yes? No

No director raised any objection on company matters during the reporting period.

3. Other Explanations on the Performance of Duties by Directors

Whether Relevant Proposals Made by Directors Have Been Adopted

?Yes □ No

Explanation on the Adoption or Non-adoption of Relevant Proposals Made by Directors

During the reporting period all directors of the Company performed their duties in strict accordance with the

Company Law of the People's Republic of China Securities Law of the People's Republic of China Stock

Listing Rules of the Shenzhen Stock Exchange Guidelines for the Standardized Operation of Listed Companies

of the Shenzhen Stock Exchange other applicable laws and regulations and the Articles of Association of the

Company. All directors attended board meetings on schedule conducted in-depth research on all proposals

submitted to the board of directors in light of the actual operation of the Company made prudent decisions

supervised and promoted the implementation of resolutions of the board of directors and safeguarded the

legitimate rights and interests of the Company and all shareholders.VI. Performance of the Special Committees under the Board of Directors during the

Reporting Period

Key

Number of Opinions and Other Details of

Name of the Date of Content of

Membership Meetings Recommend Performance Objections

Committee Meeting the Meeting

Held ations Put of Duties (if any)

Forward

1. Proposal Reviewed

on the and

Gao Jing Shi Appointment approved: 1.The 8th Jiandong of the Proposal on

Session of Wang Company's the

the Board Xingyu February 28 Chief Appointment

7

Audit and Song 2025 Financial of the

Risk Control Tiecheng Officer; 2. Company's

Committee Huang Risk Chief

Linkui Assessment Financial

Report on the Officer; 2.Capital Risk

41Nanjing Putian Telecommunications Co. Ltd.

Increase Assessment

Project of Report on the

Nanjing Capital

Southern Increase

Telecom Co. Project of

Ltd. Nanjing

Southern

Telecom Co.Ltd.Reviewed

and

1. Annual

approved: 1.Report 2024

Annual

and Annual

Report 2024

Report

and Annual

Abstract of

Report

April 21 the

Abstract of

2025 Company; 2.

the

2024 Internal

Company; 2.Control

2024 Internal

Evaluation

Control

Report of the

Evaluation

Company

Report of the

Company

Reviewed

and

2025 First

approved:

April 27 Quarter

2025 First

2025 Report of the

Quarter

Company

Report of the

Company

Reviewed

and

2025 Semi-

approved:

annual

2025 Semi-

Report and

annual

July 31 2025 Semi-annual

Report and

Report

Semi-annual

Abstract of

Report

the Company

Abstract of

the Company

Reviewed

and

Proposal on

approved:

the Change

August 22 Proposal on

of

2025 the Change

Accounting

of

Firm

Accounting

Firm

Reviewed

Proposal on and

the Write-off approved:

of Some Proposal on

September

Long-term the Write-off

262025

Outstanding of Some

Payables and Long-term

Receivables Outstanding

Payables and

42Nanjing Putian Telecommunications Co. Ltd.

Receivables

Reviewed

and

2025 Third

approved:

October 24 Quarter

2025 Third

2025 Report of the

Quarter

Company

Report of the

Company

Reviewed

and

Proposal on

Gao Jing Hu approved:

The 9th the

Yifei Wang Proposal on

Session of Appointment

Xingyu the

the Board November of the

Song 1 Appointment

Audit and 18 2025 Company's

Tiecheng of the

Risk Control Chief

Huang Company's

Committee Financial

Linkui Chief

Officer

Financial

Officer

Reviewed

and

1. Proposal

approved: 1.on the

Proposal on

Appointment

the

of the

Appointment

Company's

of the

Deputy

Company's

General

Deputy

February 28 Manager; 2.General

2025 Proposal on

Manager; 2.the

Proposal on

Appointment

the

of the

Appointment

Company's

of the

Chief

Company's

Song Financial Chief

Tiecheng Officer.The 8th Financial

Shen

Session of Officer.Xiaobing Jia

the Board 4 Reviewed

Haowen

Nomination 1. Proposal and

Gao Jing

Committee on approved: 1.Huang

Nominating Proposal on

Linkui

Ms. Jia Nominating

Haowen as a Ms. Jia

Candidate for Haowen as a

Director of Candidate for

April 9 2025 the Director of

Company; 2. the

Proposal on Company; 2.the Change Proposal on

of the the Change

Company's of the

General Company's

Manager. General

Manager.Proposal on Reviewed

May 26

the and

2025

Appointment approved:

43Nanjing Putian Telecommunications Co. Ltd.

of the Proposal on

Company's the

Deputy Appointment

General of the

Manager Company's

Deputy

General

Manager

Reviewed

1. Proposal and

on the approved: 1.General Proposal on

Election of the General

the Board of Election of

Directors and the Board of

the Directors and

Nomination the

of Nomination

Candidates of

for Non- Candidates

independent for Non-

October 15

Directors; 2. independent

2025

Proposal on Directors; 2.the General Proposal on

Election of the General

the Board of Election of

Directors and the Board of

the Directors and

Nomination the

of Nomination

Candidates of

for Candidates

Independent for

Directors. Independent

Directors.

1. Proposal Reviewed

on the and

Appointment approved: 1.of the Proposal on

Company's the

General Appointment

Manager; 2. of the

Proposal on Company's

Song the General

The 9th Tiecheng Appointment Manager; 2.Session of Shen Kejian of the Proposal on

November

the Board Wang 1 Company's the

182025

Nomination Xingyu Gao Deputy Appointment

Committee Jing Huang General of the

Linkui Manager; 3. Company's

Proposal on Deputy

the General

Appointment Manager; 3.of the Proposal on

Company's the

Chief Appointment

Financial of the

Officer; 4. Company's

44Nanjing Putian Telecommunications Co. Ltd.

Proposal on Chief

the Financial

Appointment Officer; 4.of the Proposal on

Company's the

Board Appointment

Secretary. of the

Company's

Board

Secretary.Suggestion:

Conduct

assessments

on relevant

personnel

The 9th

Song Listen to the based on the

Board of

Tiecheng company's financial

Directors

Jia Haowen professional budget

Compensatio December

Shen Kejian 1 report on indicators

n and 31 2025

Gao Jing salary and annual

Assessment

Huang assessment business

Committee

Linkui management. target

Meeting

responsibility

letter

approved by

the board of

directors.Listen to the

Shen company's Suggestion:

Xiaobing Jia special report According to

The 8th Haowen on the the relevant

Board Shen Kejian liquidation requirements

Strategy and Shi Jiandong October 13 and of state-

Investment Gao Jing 2025 cancellation owned

Committee Song of Nanjing assets

Meeting Tiecheng Puzhu prevent and

Huang Optical dispose of

Linkui Network Co. risks.Ltd.Suggestion:

1. The

company

1. Listen to

should focus

the

Shen on leading

company's

Xiaobing Jia industries

report on the

Haowen empower

The 9th 15th Five

Shen Kejian technology

Board Year

Hu Yifei enhance core

Strategy and December 8 Development

Wang 1 competitive

Investment 2025 Plan; 2.Xingyu Gao advantages

Committee Listen to the

Jing Song consider the

Meeting company's

Tiecheng second curve

report on the

Huang layout and

expropriation

Linkui achieve high-

of some

quality

houses.development.

2. According

to the

45Nanjing Putian Telecommunications Co. Ltd.

relevant

requirements

of state-

owned

assets

standardize

the disposal

and

prevention of

risks.VII. Work of the Audit Committee

Whether the Audit Committee Identified Any Risks of the Company in Its Supervision Activities during the Reporting Period

□ Yes? No

The Audit Committee has no objection to the supervision matters during the reporting period.VIII. Employee Information of the Company

1. Number Professional Composition and Educational Background of Employees

Number of On-the-job Employees of the Parent Company at

100

the End of the Reporting Period (person)

Number of On-the-job Employees of Major Subsidiaries at the

516

End of the Reporting Period (person)

Total Number of On-the-job Employees at the End of the

616

Reporting Period (person)

Total Number of Employees Receiving Remuneration in the

733

Current Period (person)

Number of Retired Employees Whose Expenses Shall Be

309

Borne by the Parent Company and Major Subsidiaries (person)

Professional Composition

Category of Professional Composition Number of Employees (person)

Production Personnel 106

Sales Personnel 166

Technical Personnel 271

Financial Personnel 18

Administrative Personnel 55

Total 616

Educational Background

Category of Educational Background Number (person)

Postgraduate and Above 10

Bachelor's Degree 304

Junior College 199

High School and Below 103

Total 616

46Nanjing Putian Telecommunications Co. Ltd.

2. Remuneration Policy

The company strictly implements national provincial and municipal laws and regulations adheres to the

concept of people-oriented and talent priority and continuously promotes the optimization and construction of

the salary management system in combination with industry development and enterprise operation. In order to

fully mobilize the enthusiasm initiative and creativity of employees the company implements an efficiency

oriented and performance-based salary distribution mechanism. In addition to the five insurances and one fund

the company also provides employees with commercial insurance enterprise annuities and other compensation

and benefits.

3. Training Plan

In accordance with the Company's development plan the Company adheres to the principle of the Party

managing talent bases itself on the new development stage implements the new development philosophy

focuses on the talent work deployment in the new era prioritizes the development of employees' capabilities

highlights the three key links of training and education on-the-job cultivation and practical exercise improves

the training system and enhances the quality of the talent team. The Company focuses on the cultivation of

innovative and interdisciplinary talents strengthens tiered and classified training and builds up talent reserves

for the implementation of the Company's innovation and transformation.

4. Labor Outsourcing

□ Applicable? Not Applicable

IX. Profit Distribution and Capitalization of Capital Surplus into Share Capital of the

Company

Formulation Implementation and Adjustment of Profit Distribution Policies Especially Cash Dividend Policies during the

Reporting Period

□ Applicable? Not Applicable

The Company was profitable during the reporting period and the parent company's distributable profits to shareholders were

positive but no cash dividend distribution proposal was put forward

□ Applicable? Not Applicable

Profit Distribution and Capitalization of Capital Surplus into Share Capital during the Reporting Period

□ Applicable? Not Applicable

The Company has no plan to distribute cash dividends issue bonus shares or capitalize capital surplus into share capital for the

year.X. Implementation of the Company's Equity Incentive Plan Employee Stock Ownership

Plan and Other Employee Incentive Measures

□ Applicable? Not Applicable

The Company has no equity incentive plan employee stock ownership plan other employee incentive measures or relevant

implementation activities during the reporting period.

47Nanjing Putian Telecommunications Co. Ltd.

XI. Establishment and Implementation of the Internal Control System during the Reporting

Period

1. Establishment and Implementation of Internal Control

In 2025 the Company continued to sort out and improve the systems of the internal control system and

steadily advanced the development and improvement of the Company's internal control system to ensure the

legality and compliance of the Company's operation and management and the orderly progress of all work. A

total of 39 systems were newly added or revised throughout the year including 4 high-level systems 5 mid-

level systems and 30 low-level systems. In terms of strengthening the Party's leadership 1 system namely the

Working Rules of the Committee of the Communist Party of China for Nanjing Putian Telecommunications Co.Ltd. was revised. In terms of corporate governance reform and restructuring 20 systems including the Articles

of Association of the Company Rules of Procedure for Shareholders' General Meetings and Rules of Procedure

for the Board of Directors were revised. In terms of Party building and mass organizations work 1 system

namely the Administrative Procedures for Publicity Work was revised. In terms of organizational personnel and

performance management 3 systems including the Administrative Procedures for Key Post Personnel Interim

Administrative Procedures for Remuneration of the Operation Teams of Business Entities and Relevant

Provisions on the Use of the Company's Training Expenses were revised. In terms of financial management 4

systems including the Administrative Procedures for Connected Transactions Administrative Procedures for

Bills Administrative Procedures for Fund Planning and Administrative Procedures for Accounting

Reimbursement were newly added or revised. In terms of discipline inspection audit and risk management 3

systems including the Administrative Procedures for Annual Audit Plans Administrative Procedures for Audit

Project Operations and Administrative Measures for Internal Audit were newly added or revised. In terms of

legal and compliance management 1 system namely the Administrative Procedures for Compliance

Management was revised. In terms of quality management and standardization 1 system namely the Basic

System for Quality Management was revised. In terms of capacity building and asset management 1 system

namely the Administrative Procedures for Capital Construction Projects was revised. In terms of work safety 1

system namely the Basic System for Environmental and Occupational Health and Safety Management was

newly added. In terms of comprehensive management 3 systems including the Administrative Procedures for

the Performance Benefits and Business Expenses of Enterprise Principals Administrative Procedures for the

Management of Official Vehicles and Expense Reimbursement and Administrative Procedures for Seal

Management were revised. Through the revision and improvement of the above systems the Company has

further enhanced the compliance management in key areas including human resources financial investment

legal affairs audit informatization marketing technology and quality so as to ensure the orderly progress of

all work of the Company.The Company revised and improved its Internal Control Management Manual and coordinated the

preparation of Internal Control Management Manuals by its 3 holding subsidiaries. Taking into account the

Company's characteristics and business management model with the overall goal of "strengthen internal control

prevent risks and promote compliance" guided by risk management and focused on compliance management

and supervision the Company has fully covered and strictly standardized all business activities further

standardized the relevant internal business processes decomposed and implemented responsibilities managed

and controlled corporate risks and reasonably ensured the legality and compliance of operations.The General Management Department is the department responsible for the establishment of the internal

control system which is tasked with improving the basic systems for internal control management and

48Nanjing Putian Telecommunications Co. Ltd.

establishing a sound internal control management system and mechanism. The Audit Discipline Inspection and

Risk Control Department is the internal control evaluation department which supervises and evaluates various

business activities of the enterprise and implements internal control responsibilities.The Company combines regular self-inspection by each business entity with irregular special supervision

and inspection by relevant functional departments to strengthen the supervision and control of key business

processes and steps including illegal trade authorization management and contract approval signing and

performance. Based on the inspection results the Company evaluates the effectiveness of the current internal

control management and carries out continuous improvement to effectively prevent and resolve the Company's

operational risks.According to the requirements of the company's internal control standard system and relevant regulations

a sound internal control system has been established in all major aspects and relevant control measures have

been effectively implemented achieving the goals of internal control. No significant deficiencies in internal

control of financial and non-financial reporting have been found. With the needs of operation and business

development the company will continue to improve the construction of internal control system strengthen the

implementation of internal control system and promote the sustained stable and high-quality development of

the company.2. Details of Significant Weaknesses in Internal Control Identified during the

Reporting Period

□ Yes? No

XII. Management and Control of Subsidiaries by the Company during the Reporting Period

Problems

Name of the Integration Measures Progress of Subsequent

Integration Plan Encountered in

Company Progress Taken Resolution Resolution Plan

Integration

None N/A N/A N/A N/A N/A N/A

Abnormalities in the Management and Control of Subsidiaries

□ Yes? No

XIII. Internal Control Evaluation Report or Internal Control Audit Report

1. Internal Control Evaluation Report

Full text disclosure date of the Internal

April 23 2026

Control Evaluation Report

Full text disclosure index of the Internal 2025 Internal Control Evaluation Report of Nanjing Putian Telecommunications Co.Control Evaluation Report Ltd. published on cninfo.com.cn (http://www.cninfo.com.cn)

Proportion of total assets of entities

included in the evaluation scope to the

100.00%

total assets in the company's consolidated

financial statements

Proportion of operating revenue of

entities included in the evaluation scope

to the operating revenue in the 100.00%

company's consolidated financial

statements

Criteria for Defect Identification

Category Financial Reporting Non-Financial Reporting

49Nanjing Putian Telecommunications Co. Ltd.

Regulatory Compliance: Slight violation

that has been rectified is deemed a minor

deficiency; violation resulting in

penalties is deemed a significant

deficiency; serious violation resulting in

heavy penalties or the assumption of

criminal liability is deemed a significant

weakness.Operation: Temporary

production suspension that can be

resumed within half a day is deemed a

minor deficiency; production suspension

within 2 days is deemed a major

deficiency; production suspension for 3

days or more is deemed a significant

weakness. Reputation: Negative

information circulating within the

company without material adverse

impact on the company's external

reputation is deemed a minor deficiency;

Any of the following circumstances

negative information circulating in a

(including but not limited to) shall

certain region causing material damage

generally be deemed a significant

to the company's reputation is deemed a

weakness in internal control over

major deficiency; negative information

financial reporting: (1) Abuse of power

circulating nationwide causing severe

by senior management resulting in the

damage to the company's reputation is

occurrence of material fraud; (2)

deemed a significant weakness. Safety:

Correction of previously submitted or

Temporary impact on the health of

disclosed financial reports due to the

employees or the public with short-term

discovery of material accounting errors

recoverability is deemed a minor

Qualitative Criteria in prior years; (3) Discovery of material

deficiency; death of one employee or

misstatements in the financial statements

member of the public or long-term

of the current period that were not

recovery required for health impacts on

detected by the internal control during its

employees or the public is deemed a

operation; (4) Ineffective supervision of

major deficiency; death of multiple

internal control by the internal audit

employees or members of the public or

institution; (5) Material or significant

irreversible health damage to employees

deficiencies that have been identified and

or the public is deemed a significant

reported to the management have not

weakness. Environment: Environmental

been rectified within a reasonable time

pollution and damage within a

frame.controllable scope without permanent

environmental impact is deemed a minor

deficiency; severe pollution to the

surrounding environment requiring high

restoration costs is deemed a major

deficiency; permanent pollution or

irreparable damage to the surrounding

environment is deemed a significant

weakness. Any of the following

circumstances (including but not limited

to) shall generally be deemed a

significant weakness in non-financial

reporting internal control: (1) Serious

violation of national laws administrative

regulations and normative documents

resulting in adverse impacts; (2) "Three

Major and One Big" matters (referring to

major decision-making major events

important personnel appointment and

50Nanjing Putian Telecommunications Co. Ltd.

removal and large fund payment) have

not gone through the collective decision-

making process; (3) Severe turnover of

management and technical personnel in

key positions; (4) Lack of systematic

control or failure of the system for key

businesses involving the company's

production and operation; (5) Failure to

timely rectify major weaknesses or

significant deficiencies in internal

control.Potential misstatement in the total profit

of financial reporting: misstatement less

than 2% of the total profit or RMB

500000 is deemed a minor deficiency;

misstatement no less than 2% of the total

profit or RMB 500000 and less than 3%

of the total profit or RMB 3000000 is

deemed a major deficiency; misstatement

no less than 3% of the total profit or

RMB 3000000 is deemed a significant

weakness. Potential misstatement in the

total assets of financial reporting:

misstatement less than 1% of the total

assets or RMB 2000000 is deemed a

minor deficiency; misstatement no less

than 1% of the total assets or RMB

2000000 and less than 2% of the total

assets or RMB 10000000 is deemed a

major deficiency; misstatement no less

than 2% of the total assets or RMB

Potential asset or fund loss: loss less than

10000000 is deemed a significant

RMB 100000 is deemed a minor

weakness. Potential misstatement in the

deficiency; loss no less than RMB

total operating income of financial

Quantitative Criteria 100000 and less than RMB 1000000 is

reporting: misstatement less than 0.5% of

deemed a major deficiency; loss no less

the total operating income or RMB

than RMB 1000000 is deemed a

2000000 is deemed a minor deficiency;

significant weakness.misstatement no less than 0.5% of the

total operating income or RMB

2000000 and less than 1% of the total

operating income or RMB 10000000 is

deemed a major deficiency; misstatement

no less than 1% of the total operating

income or RMB 10000000 is deemed a

significant weakness. Potential

misstatement in the total owners' equity

of financial reporting: misstatement less

than 0.5% of the total owners' equity or

RMB 1000000 is deemed a minor

deficiency; misstatement no less than

0.5% of the total owners' equity or RMB

1000000 and less than 1% of the total

owners' equity or RMB 5000000 is

deemed a major deficiency; misstatement

no less than 1% of the total owners'

equity or RMB 5000000 is deemed a

significant weakness.

51Nanjing Putian Telecommunications Co. Ltd.

Number of significant weaknesses in

0

financial reporting

Number of significant weaknesses in

0

non-financial reporting

Number of major deficiencies in

0

financial reporting

Number of major deficiencies in non-

0

financial reporting

2. Internal Control Audit Report

?Applicable □ Not Applicable

Opinion Paragraph in the Internal Control Audit Report

According to our audit Nanjing Putian has maintained effective internal control over financial reporting in all significant respects

in accordance with the Basic Standard for Enterprise Internal Control and relevant provisions.Disclosure status of the internal control audit report Disclosed

Full text disclosure date of the Internal Control Audit Report

April 23 2026

Internal Control Audit Report of Nanjing Putian

Full text disclosure index of the Internal Control Audit Report Telecommunications Co. Ltd. published on cninfo.com.cn

(http://www.cninfo.com.cn)

Types of Audit Opinions for Internal Control Audit Report Standard Unqualified Opinion

Whether there are significant weaknesses in non-financial

No

reporting

Whether the accounting firm issued an internal control audit report with modified opinions

□ Yes? No

Whether the opinions in the internal control audit report issued by the accounting firm are consistent with the board of directors'

self-evaluation report

?Yes □ No

Whether a modified audit opinion on internal control was issued during the reporting period or the prior year

□ Yes? No

XIV. Rectification of Self-inspection Issues in the Special Campaign for Corporate

Governance of Listed Companies

The self-inspection issues identified by the company in the "Special Campaign for Corporate Governance of

Listed Companies" in April 2021 were fully rectified in October 2022.XV. Environmental Information Disclosure

Whether the listed company and its major subsidiaries are included in the list of enterprises subject to mandatory environmental

information disclosure

□ Yes? No

52Nanjing Putian Telecommunications Co. Ltd.

XVI. Social Responsibility

For details please refer to the 2025 Environmental Social and Governance (ESG) Report disclosed by the

company on the same date.XVII. Efforts in Consolidating and Expanding the Achievements in Poverty Alleviation and

Rural Revitalization

The company cares for vulnerable groups provides assistance and regular consolation to employees in

financial difficulties and strives to handle practical matters deliver tangible benefits and solve difficulties for

them. Ensuring that employees in need truly feel the care and warmth from the labor union and the company has

been a fundamental work upheld by the company for many years.

53Nanjing Putian Telecommunications Co. Ltd.

Section V Important Matters

I. Performance of Commitments

1. Commitments that have been fully performed by the relevant parties including the company's actual

controller shareholders related parties offeror and the company during the reporting period and

commitments that have not been fully performed as of the end of the reporting period

?Applicable □ Not Applicable

Subject of Type of Details of Date of Term of Performance

Promisor

Commitment Commitment Commitment Commitment Commitment Status

Commitments

China See

on Non-

Electronics "Undertaking

competition Being

Technology 1" in "2. August 31

Related Party Long-term performed

Group Specific 2021

Transactions normally

Corporation Contents of

and Fund

(CETC) Commitments"

Occupation

Commitments

China

on Non-

Electronics

competition See Being

Technology August 31

Related Party "Undertaking Long-term performed

Group 2021

Transactions 2" normally

Corporation

and Fund

(CETC)

Occupation

Commitments

China

on Non-

Electronics

competition See Being

Technology August 31

Related Party "Undertaking Long-term performed

Group 2021

Commitments Transactions 3" normallyCorporation

made in the and Fund(CETC)

Acquisition Occupation

Report or Commitment

Equity Change on Maintaining

Report the

See Being

CETC Glarun Independence October 12

"Undertaking Long-term performed

Group Co. Ltd. of Nanjing 2022

4" normally

Putian

Telecommunica

tions Co. Ltd.Commitment

on Avoiding

Horizontal

See Being

CETC Glarun Competition October 12

"Undertaking Long-term performed

Group Co. Ltd. with Nanjing 2022

5" normally

Putian

Telecommunica

tions Co. Ltd.Commitment

on Regulating See Being

CETC Glarun October 12

and Reducing "Undertaking Long-term performed

Group Co. Ltd. 2022

Related Party 6" normally

Transactions

54Nanjing Putian Telecommunications Co. Ltd.

Jia Haowen and

Li Jing are

performing the

undertaking

Xu Qian; Wang

normally; Xu

Wenkui; Li

Qian Wang

Tong; Liu Yun;

Wenkui Li

Wang Jinfeng;

Tong Liu Yun

Qin Zhen; Tang

Wang Jinfeng

Fuxin; Xie See

Other November 25 Qin Zhen Tang

Manlin; Du "Undertaking Long-term

Commitments 2020 Fuxin Xie

Xiaorong; Jia 7"

Manlin Du

Haowen; Lei

Xiaorong Lei

Xu; Liu

Xu Liu

Xiaodong;

Xiaodong and

Wang Huailin;

Wang Huailin

Li Jing

have fully

performed the

undertaking

(resigned)

Commitments

China

on Non-

Electronics

competition See Being

Technology November 27

Related Party "Undertaking Long-term performed

Group 2024

Transactions 8" normally

Corporation

and Fund

(CETC)

Occupation

Commitments Commitments

made in the on Non-

Asset competition See BeingCETC Glarun November 27

Restructuring Related Party "Undertaking Long-term performedGroup Co. Ltd. 2024

Transactions 9" normally

and Fund

Occupation

China

Electronics

Technology See Being

Other November 27

Group "Undertaking Long-term performed

Commitments 2024

Corporation 10" normally

CETC Glarun

Group Co. Ltd.Commitments

China

on Non-

Electronics

competition See Being

Technology November 27

Related Party "Undertaking Long-term performed

Group 2024

Transactions 11" normally

Corporation

and Fund

(CETC)

Occupation

Commitments

on Non-

competition See Being

CETC Glarun November 27

Related Party "Undertaking Long-term performed

Group Co. Ltd. 2024

Transactions 12" normally

and Fund

Occupation

See Being

CETC Glarun Other November 27

"Undertaking Long-term performed

Group Co. Ltd. Commitments 2024

13" normally

55Nanjing Putian Telecommunications Co. Ltd.

Shen Xiaobing

Wang Xingyu

Song Tiecheng

Gao Jing

Shen Xiaobing

Huang Linkui

Jiang Yi Shi

Jia Haowen and

Jiandong

Li Jing are

Wang Xingyu

performing the

Song Tiecheng

undertaking

Gao Jing See

Other November 27 normally; Jiang

Huang Linkui "Undertaking Long-term

Commitments 2024 Yi Shi

Mei Lin He 14"

Jiandong Liao

Hui Qiu

Rongchao Mei

Huizhen Jia

Lin He Hui

Haowen Liao

Qiu Huizhen

Rongchao Li

and Fu Guokai

Jing Fu Guokai

have fully

performed the

undertaking

(resigned)

Shen Xiaobing

Wang Xingyu

Song Tiecheng

Gao Jing

Shen Xiaobing

Huang Linkui

Jiang Yi Shi

Jia Haowen and

Jiandong

Li Jing are

Wang Xingyu

performing the

Song Tiecheng

undertaking

Gao Jing See

Other November 27 normally; Jiang

Huang Linkui "Undertaking Long-term

Commitments 2024 Yi Shi

Mei Lin He 15"

Jiandong Liao

Hui Qiu

Rongchao Mei

Huizhen Jia

Lin He Hui

Haowen Liao

Qiu Huizhen

Rongchao Li

and Fu Guokai

Jing Fu Guokai

have fully

performed the

undertaking

(resigned)

China

Electronics

Technology See Being

Other November 27

Group "Undertaking Long-term performed

Commitments 2024

Corporation 16" normally

CETC Glarun

Group Co. Ltd.Nanjing NM See Being

Other November 27

Electrical Co. "Undertaking Long-term performed

Commitments 2024

Ltd. 17" normally

Nanjing Rail

See Being

Transit System Other November 27

"Undertaking Long-term performed

Engineering Commitments 2024

18" normally

Co. Ltd.Nanjing Putian See Being

Other November 27

Telecommunica "Undertaking Long-term performed

Commitments 2024

tions Co. Ltd. 19" normally

Shen Xiaobing Other See November 27 Long-term Shen Xiaobing

56Nanjing Putian Telecommunications Co. Ltd.

Jiang Yi Shi Commitments "Undertaking 2024 Wang Xingyu

Jiandong 20" Song Tiecheng

Wang Xingyu Gao Jing

Song Tiecheng Huang Linkui

Gao Jing Jia Haowen and

Huang Linkui Li Jing are

Jia Haowen performing the

Liao Rongchao undertaking

Li Jing Fu normally; Jiang

Guokai Yi Shi

Jiandong Liao

Rongchao and

Fu Guokai have

fully performed

the undertaking

(resigned)

China

Electronics

Technology See Being

Other November 27

Group "Undertaking Long-term performed

Commitments 2024

Corporation 21" normally

CETC Glarun

Group Co. Ltd.Nanjing Putian See Being

Other November 27

Telecommunica "Undertaking Long-term performed

Commitments 2024

tions Co. Ltd. 22" normally

Shen Xiaobing

Wang Xingyu

Song Tiecheng

Gao Jing

Shen Xiaobing

Huang Linkui

Jiang Yi Shi

Jia Haowen and

Jiandong

Li Jing are

Wang Xingyu

performing the

Song Tiecheng

undertaking

Gao Jing See

Other November 27 normally; Jiang

Huang Linkui "Undertaking Long-term

Commitments 2024 Yi Shi

Mei Lin He 23"

Jiandong Liao

Hui Qiu

Rongchao Mei

Huizhen Jia

Lin He Hui

Haowen Liao

Qiu Huizhen

Rongchao Li

and Fu Guokai

Jing Fu Guokai

have fully

performed the

undertaking

(resigned)

Nanjing Rail

See Being

Transit System Other November 27

"Undertaking Long-term performed

Engineering Commitments 2024

24" normally

Co. Ltd.China

Electronics

Technology See Being

Other November 27

Group "Undertaking Long-term performed

Commitments 2024

Corporation 25" normally

CETC Glarun

Group Co. Ltd.Nanjing Putian Other See November 27 Long-term Being

57Nanjing Putian Telecommunications Co. Ltd.

Telecommunica Commitments "Undertaking 2024 performed

tions Co. Ltd. 26" normally

Shen Xiaobing

Wang Xingyu

Song Tiecheng

Gao Jing

Shen Xiaobing

Huang Linkui

Jiang Yi Shi

Jia Haowen and

Jiandong

Li Jing are

Wang Xingyu

performing the

Song Tiecheng

undertaking

Gao Jing See

Other November 27 normally; Jiang

Huang Linkui "Undertaking Long-term

Commitments 2024 Yi Shi

Mei Lin He 27"

Jiandong Liao

Hui Qiu

Rongchao Mei

Huizhen Jia

Lin He Hui

Haowen Liao

Qiu Huizhen

Rongchao Li

and Fu Guokai

Jing Fu Guokai

have fully

performed the

undertaking

(resigned)

China

Electronics

Technology See Being

Other November 27

Group "Undertaking Long-term performed

Commitments 2024

Corporation 28" normally

CETC Glarun

Group Co. Ltd.Nanjing NM See Being

Other November 27

Electrical Co. "Undertaking Long-term performed

Commitments 2024

Ltd. 29" normally

Nanjing Rail

See Being

Transit System Other November 27

"Undertaking Long-term performed

Engineering Commitments 2024

30" normally

Co. Ltd.Nanjing Putian

Telecommunica

tions Co. Ltd.Nanjing Putian

Shen Xiaobing

Telecommunica

Wang Xingyu

tions Co. Ltd.Song Tiecheng

and Shen

Gao Jing

Xiaobing Jiang

Huang Linkui

Yi Shi

Jia Haowen and

Jiandong

Li Jing are

Wang Xingyu See

Other November 27 performing the

Song Tiecheng "Undertaking Long-term

Commitments 2024 undertaking

Gao Jing 31"

normally; Jiang

Huang Linkui

Yi Shi

Mei Lin He

Jiandong Liao

Hui Qiu

Rongchao Mei

Huizhen Jia

Lin He Hui

Haowen Liao

Qiu Huizhen

Rongchao Li

and Fu Guokai

Jing Fu Guokai

have fully

performed the

undertaking

58Nanjing Putian Telecommunications Co. Ltd.

(resigned)

Nanjing NM See Being

Other November 27

Electrical Co. "Undertaking Long-term performed

Commitments 2024

Ltd. 32" normally

Nanjing Rail

See Being

Transit System Other November 27

"Undertaking Long-term performed

Engineering Commitments 2024

33" normally

Co. Ltd.Whether the

commitments

Yes

are performed

on schedule

In case the

commitments

are not fully

performed after

the expiration

date a detailed

explanation of

N/A

the reasons for

non-

performance

and the follow-

up work plan

shall be

provided

2. Specific Contents of Commitments

Undertaking 1

Promisor: China Electronics Technology Group Corporation

Content of Commitment:

Upon the research of the State-owned Assets Supervision and Administration Commission of the State

Council (SASAC) and submission to the State Council for approval China Putian Information Industry Group

Co. Ltd. (hereinafter referred to as "China Putian") was transferred to China Electronics Technology Group

Corporation (hereinafter referred to as "the Company") as a whole through a free transfer becoming a wholly-

owned subsidiary of the Company (hereinafter referred to as "this Restructuring"). This Restructuring will result

in the Company becoming the indirect controlling shareholder of Nanjing Putian Telecommunications Co. Ltd.(hereinafter referred to as "the Listed Company") a listed company owned by China Putian. As the offeror of

the Listed Company the Company hereby makes the following commitments to ensure the independence of the

Listed Company in terms of assets personnel finance business and organization:

1. Personnel Independence

(1) The Company undertakes that the senior management of the Listed Company including the general

manager deputy general managers chief financial officer and board secretary will not hold any administrative

positions other than directors and supervisors in the Company and other enterprises and institutions controlled

by the Company (hereinafter referred to as "Subordinate Enterprises and Institutions") nor will they receive

remuneration from the Company and its Subordinate Enterprises and Institutions.

(2) The financial personnel of the Listed Company will not hold concurrent positions in the Company and

its Subordinate Enterprises and Institutions.

2. Financial Independence

59Nanjing Putian Telecommunications Co. Ltd.

(1) The Company undertakes that the Listed Company will establish an independent financial and

accounting department have an independent financial accounting system and financial management system

and make independent financial decisions.

(2) The Company undertakes that the Listed Company will maintain independence in financial decision-

making and the Company and its Subordinate Enterprises and Institutions will not interfere with the use of

funds of the Listed Company.

(3) The Company undertakes that the Listed Company will independently open bank accounts for receipt

and payment settlement and independently conduct tax filing and fulfill tax payment obligations in accordance

with the law.

3. Organizational Independence

(1) The Company undertakes that the Listed Company and its subsidiaries will legally establish and

improve the corporate governance structure and operate independently; the office institutions and production

and operation premises of the Listed Company will be separated from those of the Company and its Subordinate

Enterprises and Institutions.

(2) The Company undertakes that the Listed Company and its subsidiaries will operate independently and

there will be no subordinate relationship between them and the functional departments of the Company.

4. Asset Independence

(1) The Company undertakes that the Listed Company has independent and complete assets.

(2) The Company undertakes that the Company and its Subordinate Enterprises and Institutions will not

illegally occupy the assets funds and other resources of the Listed Company.

5. Business Independence

(1) The Company undertakes that the Listed Company has independent business operations and carries out

business activities independently.

(2) The Company undertakes that the Listed Company independently signs contracts and conducts

business with external parties establishes an independent and complete business system implements

independent accounting in operation and management independently assumes responsibilities and risks and

has the ability to operate independently and sustainably in the market.This Commitment shall remain effective for the period during which the Company has control over the

Listed Company. If the Company fails to perform the above commitments and causes losses to the Listed

Company the Company shall bear corresponding compensation liability.Undertaking 2

Promisor: China Electronics Technology Group Corporation

Content of Commitment:

Upon the research of the State-owned Assets Supervision and Administration Commission of the State

Council (SASAC) and submission to the State Council for approval China Putian Information Industry Group

Co. Ltd. (hereinafter referred to as "China Putian") was transferred to China Electronics Technology Group

Corporation (hereinafter referred to as "the Company") as a whole through a free transfer becoming a wholly-

owned subsidiary of the Company (hereinafter referred to as "this Restructuring"). This Restructuring will result

in the Company becoming the indirect controlling shareholder of Nanjing Putian Telecommunications Co. Ltd.(hereinafter referred to as "the Listed Company") a listed company owned by China Putian. As the offeror of

the Listed Company to avoid horizontal competition and protect the interests of public shareholders the

Company hereby commits as follows:

60Nanjing Putian Telecommunications Co. Ltd.

From the date of issuance of this letter the Company will further investigate whether there is any business

that constitutes horizontal competition with the Listed Company. If such business exists the Company will

strengthen internal coordination control and management to ensure the healthy and sustainable development of

the Listed Company and will not cause any damage to the interests of the Listed Company and its public

investors. If no such business exists during the period when the Company directly or indirectly maintains

substantial equity control over the Listed Company the Company will strictly abide by the relevant rules

formulated by the China Securities Regulatory Commission (CSRC) and stock exchanges as well as the

relevant provisions of the Articles of Association of the Listed Company and will not use its controlling

position over the Listed Company to engage in horizontal competition that damages the legitimate rights and

interests of the Listed Company and its minority shareholders.The above commitments shall take effect on the date of issuance of the commitment letter and shall remain

effective for the period during which the Listed Company legally and validly exists and the Company acts as the

actual controller of the Listed Company.Undertaking 3

Promisor: China Electronics Technology Group Corporation

Content of Commitment:

Upon the research of the State-owned Assets Supervision and Administration Commission of the State

Council (SASAC) and submission to the State Council for approval China Putian Information Industry Group

Co. Ltd. (hereinafter referred to as "China Putian") was transferred to China Electronics Technology Group

Corporation (hereinafter referred to as "the Company") as a whole through a free transfer becoming a wholly-

owned subsidiary of the Company (hereinafter referred to as "this Restructuring"). This Restructuring will result

in the Company becoming the indirect controlling shareholder of Nanjing Putian Telecommunications Co. Ltd.(hereinafter referred to as "the Listed Company") a listed company owned by China Putian. As the offeror of

the Listed Company to protect the legitimate rights and interests of the Listed Company and its minority

shareholders the Company hereby makes the following commitments regarding the regulation of related party

transactions with the Listed Company:

1. The Company and its subordinate organizations controlled by the Company will try to avoid or reduce

unnecessary related party transactions with the Listed Company and its subsidiaries. For any related business

transactions that are unavoidable or occur for reasonable reasons they will be conducted on the basis of equality

and voluntariness in accordance with the principles of fairness impartiality and openness and the transaction

prices will be reasonably determined in accordance with market-oriented principles. For related party

transactions where it is difficult to compare market prices or the pricing is restricted the standards for relevant

costs and profits shall be specified in the contract and the decision-making procedures shall be performed in

accordance with relevant laws and regulations normative documents and the Articles of Association of the

Listed Company so as to ensure that the legitimate rights and interests of the Listed Company and other

shareholders are not damaged through related party transactions and the information disclosure obligations

shall be performed in accordance with relevant provisions at the same time.

2. Any agreements and arrangements made between the Company and its subordinate enterprises

controlled by the Company and the Listed Company in respect of mutual related party affairs and transactions

shall not prevent the other party from conducting business transactions with any third party under the same

competitive market conditions for its own interests.This Commitment Letter shall remain effective for the period during which the Listed Company legally

and validly exists and the Company acts as the actual controller of the Listed Company. If the Company

61Nanjing Putian Telecommunications Co. Ltd.

violates the commitments under this Commitment Letter and causes losses to the Listed Company the

Company shall bear corresponding compensation liability in accordance with the law.Undertaking 4

Promisor: CETC Glarun Group Co. Ltd.Content of Commitment:

As the offeror of NING TONG XIN B the Company hereby makes the following commitments to ensure

the independence of the Listed Company in terms of assets personnel finance business and organization after

the completion of this acquisition:

1. Personnel Independence

(1) The Company undertakes that the senior management of the Listed Company including the general

manager deputy general managers chief financial officer and board secretary will not hold any positions other

than directors and supervisors in the Company and other enterprises and institutions controlled by the Company

(hereinafter referred to as "Subordinate Enterprises and Institutions") nor will they receive remuneration from

the Company and its Subordinate Enterprises and Institutions.

(2) The Company undertakes that the financial personnel of the Listed Company will not hold concurrent

positions or receive remuneration in the Company and its Subordinate Enterprises and Institutions.

(3) The Company undertakes that the Listed Company has a complete and independent labor personnel

and remuneration management system which is completely independent of the Company and its Subordinate

Enterprises and Institutions.

2. Financial Independence

(1) The Company undertakes that the Listed Company will establish an independent financial and

accounting department have an independent financial accounting system and financial management system

and make independent financial decisions.

(2) The Company undertakes that the Listed Company will maintain independence in financial decision-

making and the Company and its Subordinate Enterprises and Institutions will not interfere with the use of

funds of the Listed Company.

(3) The Company undertakes that the Listed Company will independently open bank accounts for receipt

and payment settlement and independently conduct tax filing and fulfill tax payment obligations in accordance

with the law.

(4) The Company undertakes that the financial personnel of the Listed Company will not hold dual

positions in the Company and its Subordinate Enterprises and Institutions.

3. Organizational Independence

(1) The Company undertakes that the Listed Company and its subsidiaries will legally establish and

improve the corporate governance structure set up independent and complete organizational institutions and

operate independently; the office institutions and production and operation premises of the Listed Company will

be separated from those of the Company and its Subordinate Enterprises and Institutions without any

institutional confusion.

(2) The Company undertakes that the Listed Company and its subsidiaries will operate independently and

there will be no subordinate relationship between them and the functional departments of the Company.

4. Asset Independence

(1) The Company undertakes that the Listed Company has independent and complete assets.

(2) The Company undertakes that the Company and its Subordinate Enterprises and Institutions will not

illegally occupy the assets funds and other resources of the Listed Company.

62Nanjing Putian Telecommunications Co. Ltd.

5. Business Independence

(1) The Company undertakes that the Listed Company has independent business operations and carries out

business activities independently.

(2) The Company undertakes that the Listed Company has the assets personnel qualifications required for

independent business operations as well as the ability to independently sign contracts and conduct business

with external parties establish an independent and complete business system implement independent

accounting in operation and management independently assume responsibilities and risks and maintain

independent and sustainable operation capability facing the market.

(3) If unavoidable related party transactions occur between the Company and its Subordinate Enterprises

and Institutions and the Listed Company agreements shall be signed in accordance with the law and the

necessary statutory procedures shall be performed in accordance with relevant laws and regulations and the

Articles of Association of the Listed Company.This Commitment shall remain effective for the period during which the Listed Company legally and

validly exists and the Company acts as the controlling shareholder of the Listed Company. If the Company fails

to perform the above commitments and causes losses to the Listed Company the Company shall bear

corresponding compensation liability.Undertaking 5

Promisor: CETC Glarun Group Co. Ltd.Content of Commitment:

There is no identical or similar business between the main business of the Company and that of the Listed

Company. Prior to this acquisition the actual controller of the Listed Company was China Electronics

Technology Group Corporation (hereinafter referred to as "CETC"). Upon completion of this acquisition the

actual controller of the Listed Company will remain CETC. This acquisition is conducted between different

entities under the control of the same actual controller which will not result in a change in the actual controller

of the Listed Company nor will there be any change in the related parties of the Listed Company. Therefore

this acquisition will not create new horizontal competition between the relevant related parties and the Listed

Company.To avoid horizontal competition and protect the interests of public shareholders the Company hereby

commits as follows:

I. As of the date of issuance of this Commitment the Company and other enterprises controlled by the

Company do not engage in or participate in any business or activities that constitute a substantial competitive

relationship with the main business of the Listed Company.II. Upon completion of this acquisition the Company and other enterprises controlled by the Company will

not directly or indirectly engage in any business identical to the main business of the Listed Company.III. Upon completion of this acquisition the Company will through internal coordination control and

management ensure that no substantial horizontal competition will arise between the Company and its

subordinate organizations and the Listed Company in the future. If the Company and its subordinate

organizations obtain business opportunities for new businesses that may result in horizontal competition with

the Listed Company the Company and its subordinate organizations will give priority to providing the Listed

Company with the option to take up such business opportunities for new businesses and will use its best efforts

to ensure that such business opportunities are transferable to the Listed Company.If the Listed Company waives the above business opportunities for new businesses the Company and its

subordinate organizations may operate the relevant new businesses on their own. However subject to the needs

63Nanjing Putian Telecommunications Co. Ltd.

of future business development and to the extent permitted by applicable laws and regulations and relevant

regulatory rules the Listed Company shall still have the following rights:

1. The Listed Company shall have the right to acquire the assets and equity related to the above businesses

from the Company and its subordinate organizations in one or more transactions;

2. In addition to acquisition to the extent permitted by applicable laws and regulations and relevant

regulatory rules the Listed Company may also choose to operate the assets and/or businesses related to the

above businesses of the Company and its subordinate organizations by means of entrusted management lease

contracted operation licensing and other methods.IV. This Commitment Letter shall remain effective for the period during which the Listed Company legally

and validly exists and the Company acts as the controlling shareholder of the Listed Company. From the date of

issuance of this Commitment Letter if the Company or its subordinate organizations violate the commitments

under this Commitment Letter and cause losses to the Listed Company the Company shall bear corresponding

compensation liability in accordance with the law.If the Company is truly unable to perform the commitments or needs to make adjustments due to objective

reasons such as policy adjustments and market changes the Company and the Listed Company will make

explanations to the market in advance fully disclose the reasons for the adjustment or non-performance and

propose corresponding disposal measures.Undertaking 6

Promisor: CETC Glarun Group Co. Ltd.Content of Commitment:

Upon completion of this acquisition the Listed Company will continue to strictly abide by the provisions

on related party transactions in the Articles of Association in accordance with the requirements of relevant laws

and regulations and the Listing Rules perform the necessary legal procedures conduct related party transactions

in accordance with legally valid agreements give full play to the role of independent directors in practical work

follow the principles of fairness impartiality and openness and perform information disclosure obligations so

as to protect the interests of minority shareholders. To reduce and regulate related party transactions and protect

the legitimate rights and interests of the Listed Company and its public shareholders the Company hereby

makes the following commitments regarding the regulation of related party transactions with the Listed

Company:

1. The Company and its subordinate organizations controlled by the Company will try to avoid or reduce

unnecessary related party transactions with the Listed Company and its subsidiaries. For any related business

transactions that are unavoidable or occur for reasonable reasons they will be conducted on the basis of equality

and voluntariness in accordance with the principles of fairness impartiality and openness and the transaction

prices will be reasonably determined in accordance with market-oriented principles. For related party

transactions where it is difficult to compare market prices or the pricing is restricted the standards for relevant

costs and profits shall be specified in the contract and the decision-making procedures shall be performed in

accordance with relevant laws and regulations normative documents and the Articles of Association of the

Listed Company so as to ensure that the legitimate rights and interests of the Listed Company and other

shareholders are not damaged through related party transactions and the information disclosure obligations

shall be performed in accordance with relevant provisions at the same time.

2. Any agreements and arrangements made between the Company and its subordinate enterprises

controlled by the Company and the Listed Company in respect of mutual related party affairs and transactions

64Nanjing Putian Telecommunications Co. Ltd.

shall not prevent the other party from conducting business transactions with any third party under the same

competitive market conditions for its own interests.This Commitment Letter shall remain effective for the period during which the Listed Company legally

and validly exists and the Company acts as the controlling shareholder of the Listed Company. If the Company

violates the commitments under this Commitment Letter and causes losses to the Listed Company the

Company shall bear corresponding compensation liability in accordance with the law.If the Company is truly unable to perform the commitments or needs to make adjustments due to objective

reasons such as policy adjustments and market changes the Company and the Listed Company will make

explanations to the market in advance fully disclose the reasons for the adjustment or non-performance and

propose corresponding disposal measures.Undertaking 7

Promisor: Xu Qian; Wang Wenkui; Li Tong; Liu Yun; Wang Jinfeng; Qin Zhen; Tang Fuxin; Xie Manlin;

Du Xiaorong; Jia Haowen; Lei Xu; Liu Xiaodong; Wang Huailin; Li Jing

Content of Commitment:

To ensure the effective implementation of the Company's measures to fill the diluted immediate returns all

directors and senior management of the Company make the following commitments:

(1) The declarant undertakes not to transfer interests to other entities or individuals for free or on unfair

terms nor to damage the interests of the Listed Company by other means;

(2) The declarant undertakes to regulate the declarant’s own duty-related consumption conduct;

(3) The declarant undertakes not to use the assets of the Listed Company to engage in investment and

consumption activities unrelated to the performance of the declarant’s duties;

(4) The declarant undertakes to within the scope of declarant’s duties and authority use declarant’s best

efforts to ensure that the remuneration system formulated by the board of directors or the remuneration

committee is linked to the implementation of the Listed Company's measures to fill the diluted returns;

(5) If the Listed Company plans to implement equity incentive in the future the declarant undertakes to

within the scope of the declarant’s duties and authority use the declarant’s best efforts to ensure that the

exercise conditions of the equity incentive planned by the Listed Company are linked to the implementation of

the measures to fill the diluted returns;

(6) From the date of issuance of this Commitment to the completion of the implementation of this

Transaction if the CSRC issues other new regulatory provisions on measures to fill diluted returns and related

commitments and the above commitments cannot meet the provisions of the CSRC the declarant undertakes to

issue supplementary commitments in accordance with the latest provisions of the CSRC at that time;

(7) The declarant undertakes to effectively implement the relevant measures to fill diluted returns

formulated by the Listed Company and any commitments made by the declarant in this regard. If the declarant

violates such commitments and causes losses to the Listed Company or investors the declarant shall be liable

for compensation to the Listed Company or investors in accordance with the law.Undertaking 8

Promisor: China Electronics Technology Group Corporation

Content of Commitment:

1. As an investment institution authorized by the State Council the Company exercises the contributor's

rights to relevant member organizations including Nanjing Putian and conducts state-owned equity

65Nanjing Putian Telecommunications Co. Ltd.

management to realize the preservation and appreciation of state-owned capital. The Company itself does not

participate in specific businesses and has no horizontal competition with Nanjing Putian.

2. After the material asset restructuring of Nanjing Putian other enterprises and institutions directly or

indirectly controlled by the Company will not directly or indirectly engage in any business that constitutes

horizontal competition with significant adverse impact on the main business of Nanjing Putian.

3. If the business opportunities obtained by the Company and other enterprises and institutions controlled

by the Company constitute horizontal competition with significant adverse impact on the main business of

Nanjing Putian and Nanjing Putian intends to seek such business opportunities the Company will strengthen

internal coordination control and management to avoid damage to the interests of Nanjing Putian and its public

investors due to horizontal competition.

4. This Commitment Letter shall remain effective for the period during which Nanjing Putian legally and

validly exists and the Company acts as the actual controller of Nanjing Putian. From the date of issuance of this

Commitment Letter if the Company violates any terms of this Commitment Letter and causes losses to Nanjing

Putian the Company shall make full compensation within a reasonable time limit after the amount of the

relevant losses is determined.Undertaking 9

Promisor: CETC Glarun Group Co. Ltd.Content of Commitment:

1. As a secondary member organization under CETC the Company mainly undertakes the management

function of subordinate enterprises. The Company itself does not participate in specific businesses and has no

horizontal competition with Nanjing Putian.

2. After the material asset restructuring of Nanjing Putian other enterprises and institutions directly or

indirectly controlled by the Company will not directly or indirectly engage in any business that constitutes

horizontal competition with significant adverse impact on the main business of Nanjing Putian.

3. If the business opportunities obtained by the Company and other enterprises and institutions controlled

by the Company constitute horizontal competition with significant adverse impact on the main business of

Nanjing Putian and Nanjing Putian intends to seek such business opportunities the Company will strengthen

internal coordination control and management to avoid damage to the interests of Nanjing Putian and its public

investors due to horizontal competition.This Commitment Letter shall remain effective for the period during which Nanjing Putian legally and

validly exists and the Company acts as the controlling shareholder of Nanjing Putian. From the date of issuance

of this Commitment Letter if the Company violates any terms of this Commitment Letter and causes losses to

Nanjing Putian the Company shall make full compensation within a reasonable time limit after the amount of

the relevant losses is determined.Undertaking 10

Promisor: China Electronics Technology Group Corporation CETC Glarun Group Co. Ltd.Content of Commitment:

1. Prior to this Transaction the Listed Company has always been independent of the Company and other

enterprises controlled by the Company in terms of business assets organization personnel and finance and has

maintained independence in the above aspects.

2. Upon completion of this Transaction the Company and other enterprises controlled by the Company

will not use its identity as the controlling shareholder/actual controller of the Listed Company to affect the

66Nanjing Putian Telecommunications Co. Ltd.

independence of the Listed Company and will continue to take effective measures to ensure the independence

of the Listed Company in terms of business assets organization personnel and finance in accordance with the

Company Law of the People's Republic of China the Securities Law of the People's Republic of China and other

relevant laws regulations normative documents and the requirements of the regulatory authorities for listed

companies.

3. This Commitment Letter shall remain effective for the period during which the Company acts as the

controlling shareholder/actual controller of the Listed Company.Undertaking 11

Promisor: China Electronics Technology Group Corporation

Content of Commitment:

1. The Company and the organizations controlled by the Company (excluding Nanjing Putian and the

enterprises controlled by it hereinafter the same) will try to avoid related party transactions with Nanjing Putian

and the enterprises controlled by it (hereinafter collectively referred to as "Nanjing Putian"). For any related

party transactions that are unavoidable in the future the Company undertakes to conduct transactions with

Nanjing Putian in accordance with the fair principle of market transactions (i.e. normal commercial terms).

2. If Nanjing Putian must conduct unavoidable related party transactions with the Company and the

organizations controlled by the Company in its future business activities the Company will ensure that such

transactions strictly go through the approval procedures in accordance with relevant national laws and

regulations and the Articles of Association of Nanjing Putian. When the board of directors or the general

meeting of shareholders of Nanjing Putian votes on the related party transactions the Company and/or its

related parties and persons acting in concert will strictly perform the obligation to abstain from voting; a written

agreement will be legally signed with Nanjing Putian for such transactions and the information disclosure

obligations will be performed in a timely manner; the Company undertakes that the transactions will be

conducted under normal commercial conditions and the Company and the organizations controlled by the

Company will not require or accept more favorable terms from Nanjing Putian than those offered to any third

party in any fair market transaction so as to ensure that the legitimate rights and interests of Nanjing Putian and

other investors are not damaged through related party transactions; the Company and the organizations

controlled by the Company will not seek priority rights to conclude transactions with Nanjing Putian by using

its position as the actual controller and its controlling influence.

3. The Company and the organizations controlled by the Company will strictly and in good faith perform

various related party transaction agreements signed with Nanjing Putian. The Company and the organizations

controlled by the Company will not seek any benefits or gains from Nanjing Putian beyond those specified in

the above agreements.

4. If the Company violates the above commitments and causes losses to Nanjing Putian the Company shall

bear compensation liability in accordance with the law.

5. The above commitments shall be binding on the Company during the period when the Company acts as

the actual controller of Nanjing Putian.Undertaking 12

Promisor: CETC Glarun Group Co. Ltd.Content of Commitment:

1. The Company and the organizations controlled by the Company (excluding Nanjing Putian and the

enterprises controlled by it hereinafter the same) will try to avoid related party transactions with Nanjing Putian

67Nanjing Putian Telecommunications Co. Ltd.

and the enterprises controlled by it (hereinafter collectively referred to as "Nanjing Putian"). For any related

party transactions that are unavoidable in the future the Company undertakes to conduct transactions with

Nanjing Putian in accordance with the fair principle of market transactions (i.e. normal commercial terms).

2. The Company and the organizations controlled by the Company undertake not to occupy the funds and

assets of Nanjing Putian by means of loans debt repayment on behalf of others advance payments or other

methods nor require Nanjing Putian to provide illegal guarantees for the Company and the organizations

controlled by the Company.

3. If Nanjing Putian must conduct unavoidable related party transactions with the Company and the

organizations controlled by the Company in its future business activities the Company will ensure that such

transactions strictly go through the approval procedures in accordance with relevant national laws and

regulations and the Articles of Association of Nanjing Putian. When the board of directors or the general

meeting of shareholders of Nanjing Putian votes on the related party transactions the Company and/or its

related parties and persons acting in concert will strictly perform the obligation to abstain from voting; a written

agreement will be legally signed with Nanjing Putian for such transactions and the information disclosure

obligations will be performed in a timely manner; the Company undertakes that the transactions will be

conducted under normal commercial conditions and the Company and the organizations controlled by the

Company will not require or accept more favorable terms from Nanjing Putian than those offered to any third

party in any fair market transaction so as to ensure that the legitimate rights and interests of Nanjing Putian and

other investors are not damaged through related party transactions; the Company and the organizations

controlled by the Company will not seek priority rights to conclude transactions with Nanjing Putian by using

its position as the controlling shareholder and its controlling influence.

4. The Company and the organizations controlled by the Company will strictly and in good faith perform

various related party transaction agreements signed with Nanjing Putian. The Company and the organizations

controlled by the Company will not seek any benefits or gains from Nanjing Putian beyond those specified in

the above agreements.

5. If the Company violates the above commitments and causes losses to Nanjing Putian the Company shall

bear compensation liability in accordance with the law.

6. The above commitments shall be binding on the Company during the period when the Company acts as

the controlling shareholder of Nanjing Putian.Undertaking 13

Promisor: CETC Glarun Group Co. Ltd.Content of Commitment:

The Company undertakes that from the date of issuance of this Commitment Letter to the completion of

the implementation of this Transaction the Company has no intention or plan to reduce its shareholding in

Nanjing Putian Telecommunications Co. Ltd. (hereinafter referred to as "Nanjing Putian") and will not reduce

its shareholding in any manner. If the Company violates this Commitment and causes losses to Nanjing Putian

or other investors as a result the Company undertakes to bear corresponding compensation liability to Nanjing

Putian or other investors in accordance with the law.Undertaking 14

Promisor: Shen Xiaobing Jiang Yi Shi Jiandong Wang Xingyu Song Tiecheng Gao Jing Huang Linkui

Mei Lin He Hui Qiu Huizhen Jia Haowen Liao Rongchao Li Jing Fu Guokai

Content of Commitment:

68Nanjing Putian Telecommunications Co. Ltd.

The declarant undertakes that from the date of issuance of this Commitment Letter to the completion of

the implementation of this Transaction the declarant has no intention or plan to reduce the declarant’s

shareholding in Nanjing Putian Telecommunications Co. Ltd. (hereinafter referred to as "Nanjing Putian") and

will not reduce the declarant’s shareholding in any manner. If the declarant violates this Commitment and

causes losses to Nanjing Putian or other investors as a result the declarant undertakes to bear corresponding

compensation liability to Nanjing Putian or other investors in accordance with the law.Undertaking 15

Promisor: Shen Xiaobing Jiang Yi Shi Jiandong Wang Xingyu Song Tiecheng Gao Jing Huang Linkui

Mei Lin He Hui Qiu Huizhen Jia Haowen Liao Rongchao Li Jing Fu Guokai

Content of Commitment:

As of the date of signing this Commitment Letter the Company its directors supervisors senior

management and the institutions controlled by them are not subject to the circumstances specified in Article 12

of the Guidance for Listed Companies No.7 – Supervision on Abnormal Stock Trading Related to Material

Asset Restructuring of Listed Companies (China Securities Regulatory Commission Announcement [2023] No.

39) namely: "Where a person is filed for investigation or criminal investigation for insider trading related to

this material asset restructuring he/she shall not participate in any material asset restructuring of any listed

company from the date of filing until the liability is determined. Where the CSRC imposes an administrative

penalty or a judicial organ imposes criminal liability in accordance with the law the above-mentioned persons

shall not participate in any material asset restructuring of any listed company for at least 36 months from the

date when the administrative penalty decision made by the CSRC or the relevant effective judgment made by

the judicial organ takes effect."

Undertaking 16

Promisor: China Electronics Technology Group Corporation CETC Glarun Group Co. Ltd.Content of Commitment:

As of the date of signing this Commitment Letter the Company its directors supervisors senior

management and the institutions controlled by them are not subject to the circumstances specified in Article 12

of the Guidance for Listed Companies No.7 – Supervision on Abnormal Stock Trading Related to Material

Asset Restructuring of Listed Companies (China Securities Regulatory Commission Announcement [2023] No.

39) namely: "Where a person is filed for investigation or criminal investigation for insider trading related to

this material asset restructuring he/she shall not participate in any material asset restructuring of any listed

company from the date of filing until the liability is determined. Where the CSRC imposes an administrative

penalty or a judicial organ imposes criminal liability in accordance with the law the above-mentioned persons

shall not participate in any material asset restructuring of any listed company for at least 36 months from the

date when the administrative penalty decision made by the CSRC or the relevant effective judgment made by

the judicial organ takes effect."

Undertaking 17

Promisor: Nanjing NM Electrical Co. Ltd.Content of Commitment:

As of the date of signing this Commitment Letter the Company its directors supervisors and senior

management are not subject to the circumstances specified in Article 12 of the Guidance for Listed Companies

No.7 – Supervision on Abnormal Stock Trading Related to Material Asset Restructuring of Listed Companies

69Nanjing Putian Telecommunications Co. Ltd.

(China Securities Regulatory Commission Announcement [2023] No. 39) namely: "Where a person is filed for

investigation or criminal investigation for insider trading related to this material asset restructuring he/she shall

not participate in any material asset restructuring of any listed company from the date of filing until the liability

is determined. Where the CSRC imposes an administrative penalty or a judicial organ imposes criminal liability

in accordance with the law the above-mentioned persons shall not participate in any material asset restructuring

of any listed company for at least 36 months from the date when the administrative penalty decision made by

the CSRC or the relevant effective judgment made by the judicial organ takes effect."

Undertaking 18

Promisor: Nanjing Rail Transit System Engineering Co. Ltd.Content of Commitment:

As of the date of signing this Commitment Letter the Company its directors supervisors senior

management the institutions controlled by them and other key personnel are not subject to the circumstances

specified in Article 12 of the Guidance for Listed Companies No.7 – Supervision on Abnormal Stock Trading

Related to Material Asset Restructuring of Listed Companies (China Securities Regulatory Commission

Announcement [2023] No. 39) namely: "Where a person is filed for investigation or criminal investigation for

insider trading related to this material asset restructuring he/she shall not participate in any material asset

restructuring of any listed company from the date of filing until the liability is determined. Where the CSRC

imposes an administrative penalty or a judicial organ imposes criminal liability in accordance with the law the

above-mentioned persons shall not participate in any material asset restructuring of any listed company for at

least 36 months from the date when the administrative penalty decision made by the CSRC or the relevant

effective judgment made by the judicial organ takes effect."

Undertaking 19

Promisor: Nanjing Putian Telecommunications Co. Ltd.Content of Commitment:

1. The Company intends to sell 100% of the equity interest in Nanjing NM Electrical Co. Ltd. held by it.

The Company undertakes that it has complete and unencumbered rights to the underlying assets of this

Transaction which are free from other defects in rights and are not subject to any mortgage or other

encumbrances.

2. The capital contributions corresponding to 100% of the equity interest in Nanjing NM Electrical Co.

Ltd. held by the Company have been fully and truthfully paid and there are no acts in violation of shareholders'

obligations and liabilities such as false capital contribution deferred capital contribution or capital flight. The

100% of the equity interest in Nanjing NM Electrical Co. Ltd. held by the Company is not subject to nominee

shareholding trust shareholding or any other shareholding on behalf of a third party nor is there any

entrustment of others to exercise voting rights.

3. There are no restrictions on the trading of the underlying assets of this Transaction.

Undertaking 20

Promisor: Shen Xiaobing Jiang Yi Shi Jiandong Wang Xingyu Song Tiecheng Gao Jing Huang Linkui

Jia Haowen Liao Rongchao Li Jing Fu Guokai

Content of Commitment:

To ensure the effective implementation of the Company's measures to fill the diluted immediate returns all

directors and senior management of the Company make the following commitments:

70Nanjing Putian Telecommunications Co. Ltd.

1. The declarant undertakes not to transfer interests to other entities or individuals for free or on unfair

terms nor to damage the interests of the Listed Company by other means;

2. The declarant undertakes to regulate the declarant’s own duty-related consumption conduct;

3. The declarant undertakes not to use the assets of the Listed Company to engage in investment and

consumption activities unrelated to the performance of the declarant’s duties;

4. The declarant undertakes to within the scope of declarant’s duties and authority use declarant’s best

efforts to ensure that the remuneration system formulated by the board of directors or the remuneration

committee is linked to the implementation of the Listed Company's measures to fill the diluted returns;

5. If the Listed Company plans to implement equity incentive in the future the declarant undertakes to

within the scope of the declarant’s duties and authority use the declarant’s best efforts to ensure that the

exercise conditions of the equity incentive planned by the Listed Company are linked to the implementation of

the measures to fill the diluted returns;

6. From the date of issuance of this Commitment to the completion of the implementation of this

Transaction if the CSRC issues other new regulatory provisions on measures to fill diluted returns and related

commitments and the above commitments cannot meet the provisions of the CSRC the declarant undertakes to

issue supplementary commitments in accordance with the latest provisions of the CSRC at that time;

7. The declarant undertakes to effectively implement the relevant measures to fill diluted returns

formulated by the Listed Company and any commitments made by the declarant in this regard. If the declarant

violates such commitments and causes losses to the Listed Company or investors the declarant shall be liable

for compensation to the Listed Company or investors in accordance with the law.Undertaking 21

Promisor: China Electronics Technology Group Corporation CETC Glarun Group Co. Ltd.Content of Commitment:

1. The Company will not illegally interfere with the operation and management activities of the Listed

Company or encroach on the interests of the Listed Company;

2. The Company undertakes not to use the assets of the Listed Company to engage in investment and

consumption activities unrelated to the performance of its duties;

3. If the Company violates the above commitments and causes losses to the Listed Company or investors

the Company undertakes to bear corresponding legal liability in accordance with the law;

4. From the date of issuance of this Commitment to the completion of this Transaction if the China

Securities Regulatory Commission (CSRC) and the Shenzhen Stock Exchange (SZSE) issue the latest

regulatory provisions related to measures to fill diluted returns and relevant commitments and the above

commitments cannot meet the provisions of the CSRC and the SZSE the Company will issue supplementary

commitments in accordance with the relevant provisions of the CSRC and the SZSE at that time;

5. As one of the responsible parties for the measures to fill diluted returns the Company undertakes to

strictly perform the above commitments to ensure the effective implementation of the Listed Company's

measures to fill diluted returns. If the Company violates or refuses to perform the above commitments the

Company shall bear corresponding legal liability in accordance with relevant laws regulations rules and

normative documents.Undertaking 22

Promisor: Nanjing Putian Telecommunications Co. Ltd.Content of Commitment:

71Nanjing Putian Telecommunications Co. Ltd.

1. In the past three years the Company has not engaged in any non-compliant provision of guarantees to

third parties and there has been no misappropriation of the Company’s funds by its controlling shareholder

actual controller or any other entities under their control whether by way of loans debt repayment on their

behalf payment advances on their behalf or otherwise.

2. The Company warrants that it has legally performed its statutory information disclosure and reporting

obligations in this Transaction and its information disclosure and reporting activities are legal and valid

without any contracts agreements arrangements or other matters that should be disclosed but have not been

disclosed.

3. The Company undertakes that there is no leakage of inside information related to this asset restructuring

or any insider trading using the information of this Transaction.

4. There are no other circumstances that seriously damage the legitimate rights and interests of investors

and the social public interests.

5. If the Company violates the above commitments and causes losses to other relevant parties to this

Transaction the Company shall bear the compensation liability.Undertaking 23

Promisor: Shen Xiaobing Jiang Yi Shi Jiandong Wang Xingyu Song Tiecheng Gao Jing Huang Linkui

Mei Lin He Hui Qiu Huizhen Jia Haowen Liao Rongchao Li Jing Fu Guokai

Content of Commitment:

1. During the term of office as a director supervisor or senior management of the Listed Company the

declarant will strictly abide by the provisions of laws administrative regulations and the Articles of Association

perform the duties of loyalty and diligence to the Company and will not commit any acts in violation of the

relevant provisions of Article 180 and Article 181 of the Company Law of the People's Republic of China.

2. The declarant warrants that the declarant has legally performed the statutory information disclosure and

reporting obligations in this Transaction and the information disclosure and reporting activities are legal and

valid without any contracts agreements arrangements or other matters that should be disclosed but have not

been disclosed.

3. The declarant undertakes that there is no leakage of inside information related to this Transaction or any

insider trading using the information of this Transaction.Undertaking 24

Promisor: Nanjing Rail Transit System Engineering Co. Ltd.Content of Commitment:

1. The Company warrants that it has legally performed its statutory information disclosure and reporting

obligations in this Transaction and its information disclosure and reporting activities are legal and valid

without any contracts agreements arrangements or other matters that should be disclosed but have not been

disclosed.

2. The Company undertakes that there is no leakage of inside information related to this asset restructuring

or any insider trading using the information of this Transaction.

3. There are no other circumstances that seriously damage the legitimate rights and interests of investors

and the social public interests.

4. If the Company violates the above commitments and causes losses to other relevant parties to this

Transaction the Company shall bear the compensation liability.

72Nanjing Putian Telecommunications Co. Ltd.

Undertaking 25

Promisor: China Electronics Technology Group Corporation CETC Glarun Group Co. Ltd.Content of Commitment:

1. No damage to the interests of the Listed Company

During the period when the Company acts as the controlling shareholder/actual controller of the Listed

Company there is no circumstance that seriously damages the rights and interests of the Listed Company and

has not been eliminated.

2. Performance of confidentiality obligations

The Company has performed its confidentiality obligations in respect of the information of this

Transaction known to it and there is no illegal activity such as insider trading or market manipulation using the

information of this Transaction.

3. Commitment to integrity and law-abiding

The Company is not under any circumstances of being filed for criminal investigation by a judicial organ

for suspected crimes or filed for investigation by the CSRC for suspected violations of laws and regulations;

there is no record of administrative penalties (except those obviously unrelated to the securities market) or

criminal penalties or public condemnation by the stock exchange in the last three years; there is no act of

failing to perform public commitments made to investors due to non-objective reasons; nor are there any other

circumstances of violations of laws and regulations or breach of trust.Undertaking 26

Promisor: Nanjing Putian Telecommunications Co. Ltd.Content of Commitment:

1. The Company has provided the intermediaries serving this Transaction with relevant information and

documents of the Company in relation to this Transaction (including but not limited to original written materials

copy materials or oral testimony etc.). The Company warrants that the copies or photocopies of the documents

and materials provided are consistent with the originals or the original copies and the signatures and seals on

such documents and materials are authentic; the Company warrants that the information and documents

provided are true accurate and complete without any false records misleading statements or material

omissions and shall bear individual and joint legal liability for the authenticity accuracy and completeness of

the information provided.

2. During the participation in this Transaction the Company will timely disclose information related to this

Transaction in accordance with relevant laws and regulations rules and the relevant provisions of the CSRC

and the SZSE and warrants that such information is true accurate and complete without any false records

misleading statements or material omissions.If the information provided or disclosed by the Company for this Transaction is suspected of false records

misleading statements or material omissions and is filed for criminal investigation by a judicial organ or filed

for investigation by the CSRC the Company is willing to bear full legal liability therefor.Undertaking 27

Promisor: Shen Xiaobing Jiang Yi Shi Jiandong Wang Xingyu Song Tiecheng Gao Jing Huang Linkui

Mei Lin He Hui Qiu Huizhen Jia Haowen Liao Rongchao Li Jing Fu Guokai

Content of Commitment:

1. The declarant will timely provide Nanjing Putian Telecommunications Co. Ltd. (hereinafter referred to

as "Nanjing Putian") with relevant information of this Transaction and warrants that the information provided

73Nanjing Putian Telecommunications Co. Ltd.

is true accurate and complete. If the information provided contains false records misleading statements or

material omissions resulting in losses to Nanjing Putian or investors the declarant shall bear compensation

liability in accordance with the law.If the information provided or disclosed for this Transaction is suspected of false records misleading

statements or material omissions and is filed for criminal investigation by a judicial organ or filed for

investigation by the CSRC the declarant will not transfer the shares with rights and interests in Nanjing Putian

before the formation of the investigation conclusion and will submit a written application for suspension of

transfer and the stock account to the board of directors of Nanjing Putian within two trading days upon receipt

of the notice of filing for investigation so that the board of directors can apply for lock-up to the stock

exchange and the securities depository and clearing company on behalf of the declarant. If the declarant fails to

submit the application for lock-up within two trading days the declarant authorizes the board of directors to

directly submit the identity information and account information of the declarant to the stock exchange and the

securities depository and clearing company for lock-up after verification. If the board of directors fails to submit

the identity information and account information of the declarant to the stock exchange and the securities

depository and clearing company the declarant authorizes the stock exchange and the securities depository and

clearing company to directly lock up the relevant shares. If the investigation conclusion finds any illegal or

irregular circumstances the declarant undertakes that the locked-up shares will be voluntarily used for the

relevant investor compensation arrangements.Undertaking 28

Promisor: China Electronics Technology Group Corporation CETC Glarun Group Co. Ltd.Content of Commitment:

1. The Company warrants that the information provided for the material asset restructuring is true accurate

complete and timely without any false records misleading statements or material omissions and shall bear

individual and joint legal liability for the authenticity accuracy and completeness of the information provided.

2. The Company warrants that all materials provided to the intermediaries participating in the material

asset restructuring are true and original written materials or copy materials the copies or photocopies of such

materials are consistent with the originals or the original copies are accurate and complete all signatures and

seals on the documents are authentic and there are no false records misleading statements or material

omissions.

3. According to the progress of the material asset restructuring if it is necessary to continue to provide

relevant documents and information the Company warrants that the documents and information continued to be

provided will still meet the requirements of truthfulness accuracy completeness timeliness and validity.

4. If the material asset restructuring report and other information disclosure materials of Nanjing Putian

contain false records misleading statements or material omissions resulting in losses to the shareholders of

Nanjing Putian and public investors in the securities trading of Nanjing Putian the Company shall bear civil

compensation liability in accordance with the provisions of relevant laws regulations and normative documents

based on the final handling decision of the CSRC or the effective judgment of the people's court and other

competent authorities to compensate for the losses of the shareholders of Nanjing Putian and public investors.

5. The Company warrants that it will bear the individual and joint legal liability arising therefrom if it

violates the above statements and commitments.Undertaking 29

Promisor: Nanjing NM Electrical Co. Ltd.

74Nanjing Putian Telecommunications Co. Ltd.

Content of Commitment:

1. The Company has provided Nanjing Putian Telecommunications Co. Ltd. (hereinafter referred to as

"the Listed Company") and the intermediaries serving this Transaction with relevant information and documents

of the Company in relation to this Transaction (including but not limited to original written materials copy

materials or oral testimony etc.). The Company warrants that the copies or photocopies of the documents and

materials provided are consistent with the originals or the original copies and the signatures and seals on such

documents and materials are authentic; the Company warrants that the information and documents provided are

true accurate and complete without any false records misleading statements or material omissions and shall

bear individual and joint legal liability for the authenticity accuracy and completeness of the information

provided.

2. During the participation in this Transaction the Company will timely disclose information related to this

Transaction to the Listed Company in accordance with relevant laws and regulations rules and the relevant

provisions of the CSRC and the SZSE and warrants that such information is true accurate and complete

without any false records misleading statements or material omissions.If the information provided or disclosed by the Company for this Transaction is suspected of false records

misleading statements or material omissions and is filed for criminal investigation by a judicial organ or filed

for investigation by the CSRC the Company is willing to bear full legal liability therefor.Undertaking 30

Promisor: Nanjing Rail Transit System Engineering Co. Ltd.Content of Commitment:

1. The Company has provided Nanjing Putian Telecommunications Co. Ltd. (hereinafter referred to as

"the Listed Company") and the intermediaries serving this Transaction with relevant information and documents

of the Company in relation to this Transaction (including but not limited to original written materials copy

materials or oral testimony etc.). The Company warrants that the copies or photocopies of the documents and

materials provided are consistent with the originals or the original copies and the signatures and seals on such

documents and materials are authentic; the Company warrants that the information and documents provided are

true accurate and complete without any false records misleading statements or material omissions and shall

bear individual and joint legal liability for the authenticity accuracy and completeness of the information

provided.

2. During the participation in this Transaction the Company will timely disclose information related to this

Transaction to the Listed Company in accordance with relevant laws and regulations rules and the relevant

provisions of the CSRC and the SZSE and warrants that such information is true accurate and complete

without any false records misleading statements or material omissions.If the information provided or disclosed for this Transaction is suspected of false records misleading

statements or material omissions and is filed for criminal investigation by a judicial organ or filed for

investigation by the CSRC the Company will not transfer the shares with rights and interests in the Listed

Company before the formation of the investigation conclusion and will submit a written application for

suspension of transfer and the stock account to the board of directors of the Listed Company within two trading

days upon receipt of the notice of filing for investigation so that the board of directors can apply for lock-up to

the stock exchange and the securities depository and clearing company on behalf of the Company. If the

Company fails to submit the application for lock-up within two trading days the Company authorizes the board

of directors to directly submit the identity information and account information of the Company to the stock

exchange and the securities depository and clearing company for lock-up after verification. If the board of

75Nanjing Putian Telecommunications Co. Ltd.

directors fails to submit the identity information and account information of the Company to the stock exchange

and the securities depository and clearing company the Company authorizes the stock exchange and the

securities depository and clearing company to directly lock up the relevant shares. If the investigation

conclusion finds any illegal or irregular circumstances the Company undertakes that the locked-up shares will

be voluntarily used for the relevant investor compensation arrangements.Undertaking 31

Promisor: Nanjing Putian Telecommunications Co. Ltd. and Shen Xiaobing Jiang Yi Shi Jiandong

Wang Xingyu Song Tiecheng Gao Jing Huang Linkui Mei Lin He Hui Qiu Huizhen Jia Haowen Liao

Rongchao Li Jing Fu Guokai

Content of Commitment:

With respect to illegal and irregular acts and breach of trust in the last three years the Company and its

incumbent directors supervisors and senior management hereby make the following commitments:

1. The incumbent directors supervisors and senior management of the Company are not subject to any

circumstances that disqualify them from serving as directors supervisors or senior management of the

Company as stipulated in the Company Law of the People's Republic of China.

2. The Company and its incumbent directors supervisors and senior management are not under any

circumstances of being filed for criminal investigation by a judicial organ for suspected crimes or filed for

investigation by the CSRC for suspected violations of laws and regulations.

3. Specific details of administrative penalties administrative regulatory measures disciplinary sanctions by

the stock exchange and self-regulatory measures imposed on the Company and its incumbent directors

supervisors and senior management in the last three years are as follows:

(1) Letter of Concern from the SZSE in February 2021

On February 25 2021 the Company Management Department of the Shenzhen Stock Exchange issued

Letter of Concern on Nanjing Putian Telecommunications Co. Ltd. ([2021] No. 34) in respect of the

Announcement on Abnormal Fluctuation of Stock Trading and the Prompt Announcement on the Proposed Free

Transfer of the Overall Property Rights of the Actual Controller disclosed by the Company. The Letter required

the board of directors of the Company to on the basis of inquiry with relevant shareholders explain the specific

time when the matters disclosed in the Prompt Announcement were initially planned or discussed the specific

time when the Company and the directors supervisors and senior management first learned of the

aforementioned matters whether the directors supervisors senior management and their immediate family

members as well as insiders of the aforementioned matters have engaged in any trading of the Company's

shares recently and whether there is any suspected insider trading etc. The Company was required to reply in

writing to the Company Management Department of the SZSE with the aforementioned verification results

before March 2 2021 and timely submit the list of insiders of the aforementioned matters. In addition the

Company and all directors supervisors and senior management were reminded to perform their information

disclosure obligations in accordance with laws and regulations.

(2) Order for Rectification issued by Jiangsu Supervision Bureau of the CSRC to the Listed Company in

January 2022 and Supervisory Letter from the SZSE in May of the same year

On January 26 2022 the Jiangsu Supervision Bureau of the China Securities Regulatory Commission

issued Decision on Taking Regulatory Measures of Order for Rectification against Nanjing Putian

Telecommunications Co. Ltd. ([2022] No. 10) which determined that during the period from 2017 to 2019 the

revenue from the private network communication business carried out by the Company should have been

recognized as commissioned processing service income using the net method but the Company had been

76Nanjing Putian Telecommunications Co. Ltd.

recognizing revenue using the gross method. This act violated the provisions of Accounting Standards for

Business Enterprises No. 14 – Revenue and Article 2 of the Measures for the Administration of Information

Disclosure of Listed Companies (CSRC Order No. 40). In accordance with Article 59 of the Measures for the

Administration of Information Disclosure of Listed Companies (CSRC Order No. 40) it was decided to take the

regulatory measure of ordering rectification against the Company and record it in the integrity file of the

securities and futures market.On May 25 2022 the Listed Company Management Department 2 of the Shenzhen Stock Exchange

issued Supervisory Letter on Nanjing Putian Telecommunications Co. Ltd. ([2022] No. 108). The main content

is: according to the Announcement on Correction of Prior Period Accounting Errors disclosed by the Listed

Company on April 26 2022 it was determined that during the period from 2017 to 2019 the revenue from the

private network communication business carried out by the Company should have been recognized as

commissioned processing service income using the net method but the Company had been recognizing revenue

using the gross method. The above acts violated the provisions of Article 1.4 and Article 2.1 of the Stock Listing

Rules (Revised in November 2018) of the SZSE. The SZSE required the Company and all directors supervisors

and senior management to learn a lesson make timely rectification and prevent the recurrence of the above

problems.

(3) Supervisory Letter from the SZSE received by the Listed Company in April 2024

On April 30 2024 the Listed Company Management Department 2 of the Shenzhen Stock Exchange

issued a Supervisory Letter ([2024] No. 89) which determined that part of the content in the "Table of the

Number of Common Shareholders and Preferred Shareholders with Restored Voting Rights and the

Shareholding of the Top 10 Shareholders" in the 2023 Annual Report Summary of the Company was

inconsistent with the actual situation resulting in inaccurate information disclosure. This act violated the

provisions of Article 1.4 and Article 2.1.1 of the Stock Listing Rules (Revised in August 2023) of the SZSE.

4. Except for the above circumstances the Company and its incumbent directors supervisors and senior

management have not been subject to any administrative penalties for violating relevant laws and regulations in

the last three years (except those obviously unrelated to the securities market) and have no record of criminal

penalties or major civil litigation or arbitration cases related to economic disputes in the last five years. Except

for the above circumstances the Company and its incumbent directors supervisors and senior management

have maintained a good credit standing in the last three years without any major breach of trust including but

not limited to failure to repay large debts on schedule failure to perform commitments being subject to

administrative regulatory measures by the CSRC or disciplinary sanctions by the stock exchange.Undertaking 32

Promisor: Nanjing NM Electrical Co. Ltd.Content of Commitment:

1. The incumbent directors supervisors and senior management of the Company are not subject to any

circumstances that disqualify them from serving as directors supervisors or senior management of the

Company as stipulated in the Company Law of the People's Republic of China.

2. The Company and its incumbent directors supervisors and senior management and other key personnel

are not under any circumstances of being filed for criminal investigation by a judicial organ for suspected

crimes or filed for investigation by the CSRC for suspected violations of laws and regulations.

3. The Company and its incumbent directors supervisors and senior management and other key personnel

have not been subject to any administrative penalties administrative regulatory measures or disciplinary

sanctions by the stock exchange in the last three years.

77Nanjing Putian Telecommunications Co. Ltd.

4. The Company and its incumbent directors supervisors and senior management and other key personnel

have not been subject to any administrative penalties for violating relevant laws and regulations in the last three

years (except those obviously unrelated to the securities market) and have no record of criminal penalties or

major civil litigation or arbitration cases related to economic disputes in the last five years. The Company and

its incumbent directors supervisors and senior management and other key personnel have maintained a good

credit standing in the last three years without any major breach of trust including but not limited to failure to

repay large debts on schedule failure to perform commitments being subject to administrative regulatory

measures by the CSRC or disciplinary sanctions by the stock exchange.Undertaking 33

Promisor: Nanjing Rail Transit System Engineering Co. Ltd.Content of Commitment:

1. The incumbent directors supervisors and senior management of the Company are not subject to any

circumstances that disqualify them from serving as directors supervisors or senior management of the

Company as stipulated in the Company Law of the People's Republic of China.

2. The Company and its incumbent directors supervisors and senior management and other key

management personnel have not been subject to any administrative penalties (except those obviously unrelated

to the securities market) or criminal penalties in the last five years nor have they been involved in any major

civil litigation or arbitration related to economic disputes. The Company and its incumbent directors

supervisors and senior management and other key management personnel have maintained a good credit

standing in the last five years without any major breach of trust including but not limited to failure to repay

large debts on schedule failure to perform commitments being subject to administrative regulatory measures

by the CSRC or disciplinary sanctions by the stock exchange.

3. Where the company has profit forecasts for assets or projects and the reporting period is still within

the profit forecast period the company shall explain whether the assets or projects have achieved the

original profit forecast and the reasons therefor

□ Applicable? Not Applicable

4. The company is involved in performance commitments

□ Applicable? Not Applicable

II. Non-operational Fund Occupation of the Listed Company by the Controlling

Shareholder and Other Related Parties

□ Applicable? Not Applicable

During the Reporting Period there was no non-operational fund occupation of the Listed Company by the Controlling Shareholder

and other Related Parties.III. Non-compliant External Guarantees

□ Applicable? Not Applicable

The Company had no non-compliant external guarantees during the Reporting Period.

78Nanjing Putian Telecommunications Co. Ltd.

IV. Explanation by the Board of Directors on Matters Relating to the Latest “ModifiedAudit Report”

□ Applicable? Not Applicable

V. Explanation by the Board of Directors and Independent Directors (if any) on the

“Modified Audit Report” Issued by the Accounting Firm for the Current Reporting Period

□ Applicable? Not Applicable

VI. Explanation on Changes in Accounting Policies Changes in Accounting Estimates or

Correction of Material Accounting Errors Compared with the Previous Year's Financial

Report

□ Applicable? Not Applicable

The Company had no changes in accounting policies changes in accounting estimates or correction of material accounting errors

during the Reporting Period.VII. Explanation on Changes in the Scope of Consolidated Financial Statements Compared

with the Previous Year's Financial Report

□ Applicable? Not Applicable

There was no change in the scope of the Company's consolidated financial statements during the Reporting Period.VIII. Appointment and Dismissal of Accounting Firms

Currently Appointed Accounting Firm

Zhongxinghua Certified Public Accountants LLP (Special

Name of Domestic Accounting Firm

General Partnership)

Remuneration of Domestic Accounting Firm (104 Yuan) 50

Consecutive Years of Audit Services Provided by the Domestic

1 year

Accounting Firm

Names of Certified Public Accountants of the Domestic

Zhao Ming Zhao Yonghua

Accounting Firm

Consecutive Years of Audit Services Provided by the Certified

1 year

Public Accountants

Whether the Accounting Firm was Changed during the Current Period

□ Yes? No

Appointment of Internal Control Audit Accounting Firm Financial Advisor or Sponsor

?Applicable □ Not Applicable

The Company appointed Zhongxinghua Certified Public Accountants LLP (Special General Partnership) as the

internal control audit institution for the year 2025 with an internal control audit fee of RMB 100000.IX. Delisting Risks after the Disclosure of the Annual Report

□ Applicable? Not Applicable

79Nanjing Putian Telecommunications Co. Ltd.

X. Matters Relating to Bankruptcy Reorganization

□ Applicable? Not Applicable

No matters relating to bankruptcy reorganization occurred to the Company during the Reporting Period.XI. Material Litigation and Arbitration Matters

?Applicable □ Not Applicable

Basic Whether

Amount Progress of Enforcement

Information 4 Provisions Trial Result Disclosure DisclosureInvolved (10 Litigation Status of

of Litigation are and Impact Date Reference

Yuan) (Arbitration) Judgment

(Arbitration) Recognized

Contract

dispute case

of Nanjing

Announceme

Putian No material

nt on

Datang impact on the

Accumulated

Information Judgment has Company's Under

2.35 No May 6 2025 Litigation

Electronics taken effect current or enforcement

(Announcem

Co. Ltd. v. subsequent

ent No.:

Nanjing profit

2025-021)

Yuebo Power

System Co.Ltd.Trademark

infringement

dispute case

of Nanjing

Putian

Telege Announceme

No material

Building nt on

impact on the

Intelligence Accumulated

Court Company's Enforcement

Co. Ltd. v. 32.46 No May 6 2025 Litigation

mediation current or completed

Yixiantian (Announcem

subsequent

Electrical ent No.:

profit

Appliance 2025-021)

Business

Department

of Jinqiao

Decoration

City

Construction

contract

Announceme

dispute case No material

nt on

of Zhang impact on the

Accumulated

Feng v. Judgment has Company's Enforcement

2.82 No May 6 2025 Litigation

Nanjing taken effect current or completed

(Announcem

Putian subsequent

ent No.:

Telecommun profit

2025-021)

ications Co.Ltd.Labor No material Announceme

dispute case Arbitration impact on the Enforcement nt on

1.51 No May 6 2025

of Wang mediation Company's completed Accumulated

Chaohua v. current or Litigation

80Nanjing Putian Telecommunications Co. Ltd.

Nanjing subsequent (Announcem

Putian profit ent No.:

Telecommun 2025-021)

ications Co.Ltd.Sales

contract

dispute case

of Beijing

Announceme

Branch of No material

nt on

China United impact on the

Accumulated

Network Judgment has Company's Enforcement

418.88 No May 6 2025 Litigation

Communicati taken effect current or completed

(Announcem

ons Co. Ltd. subsequent

ent No.:

v. Nanjing profit

2025-021)

Putian

Telecommun

ications Co.Ltd.Construction

contract

dispute case

of Nanjing

Announceme

Chengfeng No material

nt on

Architectural impact on the

Accumulated

Decoration Judgment has Company's Enforcement

42.43 No May 6 2025 Litigation

Engineering taken effect current or completed

(Announcem

Co. Ltd. v. subsequent

ent No.:

Nanjing profit

2025-021)

Putian

Telecommun

ications Co.Ltd.Items below

the

disclosure

threshold 652.13 No - - - -

during the

Reporting

Period

XII. Penalties and Rectification

□ Applicable? Not Applicable

There were no penalties and rectification matters for the Company during the Reporting Period.XIII. Integrity Status of the Company its Controlling Shareholder and Actual Controller

□ Applicable? Not Applicable

81Nanjing Putian Telecommunications Co. Ltd.

XIV. Material Related Party Transactions

1. Related Party Transactions in the Ordinary Course of Business

?Applicable □ Not Applicable

Pricin

Avail

g Trans Settle

Propo able

Type Conte Princi action Appro Whet ment

Relate Trans rtion Marke

of nt of ple Price ved her Metho

d action in t Price Disclo

Relate Relate Relate of Trans Excee d of Disclo

Party Amou Simila of sure

d d d of Relate action ding Relate sure

Relati nt r Simila Refer

Party Party Party Relate d Limit Appro d Date

onshi (104 Trans 4 r enceTrans Trans d Party (10 ved Party

p Yuan) action Trans

action action Party Trans Yuan) Limit Trans

s action

Trans action action

s

action

Annou

nceme

nt on

the

Under Estim

Purch

comm ate of

Nanji ase of

on Telec Routi

ng goods

contro ommu ne

NM and Bank April

l of nicati Marke 152.8 152.8 152.8 Relate

Electr accept 0.31% No Transf 12

the on t Price 2 2 2 d

ical ance er 2025

ultima produ Party

Co. of

te cts Trans

Ltd. servic

contro action

es

ller s for

2025

on

CNIN

FO

CETC

(Nanji

Under 6000

ng) Purch

comm

Electr ase of

on Telec

onic goods

contro ommu

Infor and Bank

l of nicati Marke

matio accept 36.00 36.00 0.07% No Transf 36.00 Ibid. Ibid.the on t Price

n ance er

ultima produ

Devel of

te cts

opme servic

contro

nt es

ller

Co.Ltd.North Under Purch

China comm ase of

Telec

Institu on goods

ommu

te of contro and Bank

nicati Marke

Comp l of accept 10.62 10.62 0.02% No Transf 10.62 Ibid. Ibid.on t Price

uting the ance er

produ

Techn ultima of

cts

ology te servic

(The contro es

82Nanjing Putian Telecommunications Co. Ltd.

15th ller

Resea

rch

Institu

te of

CETC

)

Nanji

Under

ng Purch

comm

Putian ase of

on Telec

Hong goods

contro ommu

yan and Bank

l of nicati Marke

Electr accept 0.17 0.17 0.00% No Transf 0.17 Ibid. Ibid.the on t Price

ical ance er

ultima produ

Techn of

te cts

ology servic

contro

Co. es

ller

Ltd.Beijin

g

Branc Under

Purch

h of comm

ase of

Hangz on Telec

goods

hou contro ommu

and Bank

Hikvi l of nicati Marke

accept 0.12 0.12 0.00% No Transf 0.12 Ibid. Ibid.sion the on t Price

ance er

Digita ultima produ

of

l te cts

servic

Techn contro

es

ology ller

Co.Ltd.Under

comm Sale

The

th on of Telec14

contro goods ommu

Resea Bank

l of and nicati Marke 1922. 1922. 1922.rch 3.11% No Transf Ibid. Ibid.the provis on t Price 79 79 79

Institu er

ultima ion of produ

te of

te servic cts

CETC

contro es

ller

Under

comm Sale

Taiji

on of Telec 1200

Comp

contro goods ommu 0

uter Bank

l of and nicati Marke 782.3 782.3 782.3

Corpo 1.27% No Transf Ibid. Ibid.the provis on t Price 9 9 9

ration er

ultima ion of produ

Limit

te servic cts

ed

contro es

ller

Under Sale Telec

Nanji

comm of ommu

ng Bank

on goods nicati Marke 690.6 690.6 690.6

Lopu 1.12% No Transf Ibid. Ibid.contro and on t Price 8 8 8

Co. er

l of provis produ

Ltd.the ion of cts

83Nanjing Putian Telecommunications Co. Ltd.

ultima servic

te es

contro

ller

Nanji Under

ng comm Sale

LES on of Telec

Infor contro goods ommu

Bank

matio l of and nicati Marke 521.3 521.3 521.3

0.84% No Transf Ibid. Ibid.

n the provis on t Price 7 7 7

er

Techn ultima ion of produ

ology te servic cts

Co. contro es

Ltd. ller

Under

comm Sale

The

th on of Telec28

contro goods ommu

Resea Bank

l of and nicati Marke 487.6 487.6 487.6

rch 0.79% No Transf Ibid. Ibid.the provis on t Price 5 5 5

Institu er

ultima ion of produ

te of

te servic cts

CETC

contro es

ller

Nanji Under

ng comm Sale

Glaru on of Telec

n contro goods ommu

Bank

Defen l of and nicati Marke 264.6 264.6 264.6

0.43% No Transf Ibid. Ibid.

se the provis on t Price 9 9 9

er

Syste ultima ion of produ

m te servic cts

Co. contro es

Ltd. ller

Under

CETC comm Sale

Cloud on of Telec

(Beiji contro goods ommu

Bank

ng) l of and nicati Marke 241.1 241.1 241.1

0.39% No Transf Ibid. Ibid.

Techn the provis on t Price 2 2 2

er

ology ultima ion of produ

Co. te servic cts

Ltd. contro es

ller

Tianb

Under

o

comm Sale

Electr

on of Telec

onic

contro goods ommu

Infor Bank

l of and nicati Marke

matio 83.94 83.94 0.14% No Transf 83.94 Ibid. Ibid.the provis on t Price

n er

ultima ion of produ

Techn

te servic cts

ology

contro es

Co.ller

Ltd.Beijin Under Sale Telec Bank

Marke

g comm of ommu 79.57 79.57 0.13% No Transf 79.57 Ibid. Ibid.t Price

ATV on goods nicati er

84Nanjing Putian Telecommunications Co. Ltd.

Techn contro and on

ology l of provis produ

Co. the ion of cts

Ltd. ultima servic

te es

contro

ller

Nanji

Under

ng

comm Sale

Rail

on of Telec

Transi

contro goods ommu

t Bank

l of and nicati Marke

Syste 69.03 69.03 0.11% No Transf 69.03 Ibid. Ibid.the provis on t Price

m er

ultima ion of produ

Engin

te servic cts

eering

contro es

Co.ller

Ltd.Hebei

Far Under

East comm Sale

Com on of Telec

munic contro goods ommu

Bank

ation l of and nicati Marke

65.48 65.48 0.11% No Transf 65.48 Ibid. Ibid.

Syste the provis on t Price

er

m ultima ion of produ

Engin te servic cts

eering contro es

Co. ller

Ltd.Putian Under

Rail comm Sale

Transi on of Telec

t contro goods ommu

Bank

Techn l of and nicati Marke

58.52 58.52 0.09% No Transf 58.52 Ibid. Ibid.

ology the provis on t Price

er

(Shan ultima ion of produ

ghai) te servic cts

Co. contro es

Ltd. ller

Under

comm Sale

CETC on of Telec

Putian contro goods ommu

Bank

Techn l of and nicati Marke

51.68 51.68 0.08% No Transf 51.68 Ibid. Ibid.

ology the provis on t Price

er

Co. ultima ion of produ

Ltd. te servic cts

contro es

ller

Under Sale

The

54th

comm of Telec

on goods ommu

Resea Bank

contro and nicati Marke

rch 44.19 44.19 0.07% No Transf 44.19 Ibid. Ibid.l of provis on t Price

Institu er

the ion of produ

te of

ultima servic cts

CETC

te es

85Nanjing Putian Telecommunications Co. Ltd.

contro

ller

Under

comm Sale

CETC

on of Telec

Digita

contro goods ommu

l Bank

l of and nicati Marke

Techn 27.26 27.26 0.04% No Transf 27.26 Ibid. Ibid.the provis on t Price

ology er

ultima ion of produ

Co.te servic cts

Ltd.contro es

ller

Under

comm Sale

Nanji

on of Telec

ng

contro goods ommu

NM Bank

l of and nicati Marke

Electr 21.89 21.89 0.04% No Transf 21.89 Ibid. Ibid.the provis on t Price

ical er

ultima ion of produ

Co.te servic cts

Ltd.contro es

ller

CETC

Metro Under

logy comm Sale

Inspec on of Telec

tion contro goods ommu

Bank

and l of and nicati Marke

21.62 21.62 0.03% No Transf 21.62 Ibid. Ibid.

Certifi the provis on t Price

er

cation ultima ion of produ

(Beiji te servic cts

ng) contro es

Co. ller

Ltd.Under

comm Sale

Nanji

on of Telec

ng

contro goods ommu

Lopu Bank

l of and nicati Marke

Techn 16.68 16.68 0.03% No Transf 16.68 Ibid. Ibid.the provis on t Price

ology er

ultima ion of produ

Co.te servic cts

Ltd.contro es

ller

Under

comm Sale

Glaru on of Telec

n contro goods ommu

Bank

Techn l of and nicati Marke

13.94 13.94 0.02% No Transf 13.94 Ibid. Ibid.

ology the provis on t Price

er

Co. ultima ion of produ

Ltd. te servic cts

contro es

ller

The Under Sale Telec

th Bank55 comm of ommu Marke

7.08 7.08 0.01% No Transf 7.08 Ibid. Ibid.

Resea on goods nicati t Price

er

rch contro and on

86Nanjing Putian Telecommunications Co. Ltd.

Institu l of provis produ

te of the ion of cts

CETC ultima servic

te es

contro

ller

Under

comm Sale

Sun on of Telec

Create contro goods ommu

Bank

Electr l of and nicati Marke

6.37 6.37 0.01% No Transf 6.37 Ibid. Ibid.

onics the provis on t Price

er

Co. ultima ion of produ

Ltd. te servic cts

contro es

ller

Under

comm Sale

Easter

on of Telec

n

contro goods ommu

Com Bank

l of and nicati Marke

munic 4.56 4.56 0.01% No Transf 4.56 Ibid. Ibid.the provis on t Price

ations er

ultima ion of produ

Co.te servic cts

Ltd.contro es

ller

Under

Nanji

comm Sale

ng

on of Telec

LES

contro goods ommu

Electr Bank

l of and nicati Marke

onic 2.25 2.25 0.00% No Transf 2.25 Ibid. Ibid.the provis on t Price

Equip er

ultima ion of produ

ment

te servic cts

Co.contro es

Ltd.ller

Unde

r Sale

Nanji com of

ng mon good Telec

Nriet contr s and ommunica Marke BankIndus ol of provi t Price 1.35 1.35 0.00% No Transf 1.35 Ibid. Ibid.trial the sion tion er

Co. ultim of prod

Ltd. ate servi ucts

contr ces

oller

Tianji Under

n comm Sale

Putian on of Telec

Innov contro goods ommu

Bank

ation l of and nicati Marke

1.06 1.06 0.00% No Transf 1.06 Ibid. Ibid.

and the provis on t Price

er

Entre ultima ion of produ

prene te servic cts

urship contro es

Techn ller

87Nanjing Putian Telecommunications Co. Ltd.

ology

Co.Ltd.CETC

(Nanji

Under

ng)

comm Sale

Electr

on of Telec

onic

contro goods ommu

Infor Bank

l of and nicati Marke

matio 0.27 0.27 0.00% No Transf 0.27 Ibid. Ibid.the provis on t Price

n er

ultima ion of produ

Devel

te servic cts

opme

contro es

nt

ller

Co.Ltd.Under

comm

The

th on14

contro Real

Resea Bank

l of estate Marke 175.4 175.4 175.4

rch Rent 32.75% No Transfthe leasin t Price 2 2 2

Institu er

ultima g

te of

te

CETC

contro

ller

Under

comm

on

Nanji

contro Real

ng Bank

l of estate Marke

Lopu Rent 39.52 39.52 7.38% No Transf 39.52 Ibid. Ibid.the leasin t Price

Co. 300 er Ibid. Ibid.ultima g

Ltd. Ibid. Ibid.te

contro

ller

CETC

Metro Under

logy comm

Inspec on

tion contro Real

Bank

and l of estate Marke

Rent 19.44 19.44 3.63% No Transf 19.44

Certifi the leasin t Price

er

cation ultima g

(Beiji te

ng) contro

Co. ller

Ltd.Under

comm

Rent

on

Beijin and

contro Real

g proper Bank

l of estate Marke

Capite ty 103.4 103.4 100% 10 Yes Transf 74.59 Ibid. Ibid.the leasin t Price

l Co. mana 4 4 er

ultima g

Ltd. geme

te

nt fee

contro

ller

88Nanjing Putian Telecommunications Co. Ltd.

Unde

r

China

Putian com

Infor mon Entrus

matio contr ted Loan Bank

n ol of loan intere Marke 350.5 350.5 40% Transf 350.5

Indust the intere st

t Price 6 6 6

er

ry ultim st

Co.Ltd. ate

contr

oller

Unde 430 Ibid. Ibid.r

com

CETC mon

Glaru Entruscontr

n ted Loan

Bank

Group ol of loan intere

Marke 3.36 3.36 0% Transf 3.36

Co. the intere st

t Price

er

Ltd. ultim st

ate

contr

oller

6378.1874

Total -- -- -- -- -- -- -- --

900

Details of Material Sales Returns N/A

The Company estimated that the total amount of routine related party transactions in 2025

would not exceed RMB 187.4 million. During the Reporting Period the actual total amount

Actual Performance during the

of routine related party transactions was RMB 63.789 million of which the amount of

Reporting Period of the Total

goods purchased and services accepted from related parties was RMB 1.9973 million the

Amount Estimate for Routine

amount of goods sold and services provided to related parties was RMB 54.8743 million

Related Party Transactions by

rental income was RMB 2.3438 million rent and property management fees paid were

Category (if any)

RMB 1.0344 million and entrusted loan interest paid was RMB 3.5392 million which did

not exceed the total estimated amount.Reasons for Significant

Differences between Transaction

N/A

Prices and Market Reference

Prices (if applicable)

2. Related Party Transactions Arising from the Acquisition or Sale of Assets or Equity

□ Applicable? Not Applicable

No related party transactions arising from the acquisition or sale of assets or equity occurred to the Company during the Reporting

Period.

3. Related Party Transactions of Joint External Investment

□ Applicable? Not Applicable

No related party transactions of joint external investment occurred to the Company during the Reporting Period.

4. Related Party Credits and Debts

?Applicable □ Not Applicable

Whether There Are Non-operational Related Party Credits and Debts

89Nanjing Putian Telecommunications Co. Ltd.

□ Yes? No

There were no non-operational related party credits and debts of the Company during the Reporting Period.

5. Transactions with Related Finance Companies

?Applicable □ Not Applicable

Deposit Business

Amount Incurred in the

Daily Current Period

Maximum Deposit Opening

Related Party Current Current

Closing

Related Party Deposit Interest Rate Balance

Relationship Period Total Period Total

Balance (104

Limit (104 Range (104 Yuan) Deposit Withdrawal Yuan)

Yuan) Amount (104 Amount (104

Yuan) Yuan)

China Other

Electronics enterprises

Technology controlled by 58661.66 0.05%-0.85% 28720.43 155491.23 166933.67 17277.99

Finance Co. the actual

Ltd. controller

Loan Business

Amount Incurred in the

Current Period

Opening

Related Party Loan Limit Loan Interest Current Current

Closing

Related Party 4 Balance (10

4 Period Total Period Total Balance (104Relationship (10 Yuan) Rate Range

Yuan) Loan Repayment Yuan)

Amount (104 Amount (104

Yuan) Yuan)

China Other

Electronics enterprises

Technology controlled by 5500 3.8% 5500 5500

Finance Co. the actual

Ltd. controller

China Other

Electronics enterprises

Technology controlled by 1500 3.75% 1500 1500

Finance Co. the actual

Ltd. controller

Credit Line or Other Financial Business

Related Party Total Amount (104 Actual Incurred

Related Party Business Type

Relationship Yuan) Amount (104 Yuan)

China Electronics Other enterprises

Technology Finance controlled by the actual Credit Line 7000 7000

Co. Ltd. controller

6. Transactions between the Company's Controlled Finance Company and Related Parties

□ Applicable? Not Applicable

There are no deposit loan credit line or other financial businesses between the Company's controlled finance company and related

parties.

90Nanjing Putian Telecommunications Co. Ltd.

7. Other Material Related Party Transactions

□ Applicable? Not Applicable

The Company had no other material related party transactions during the Reporting Period.XV. Material Contracts and Their Performance

1. Custody Contracting and Leasing Matters

(1) Custody Matters

□ Applicable? Not Applicable

There were no custody matters for the Company during the Reporting Period.

(2) Contracting Matters

□ Applicable? Not Applicable

There were no contracting matters for the Company during the Reporting Period.

(3) Leasing Matters

?Applicable □ Not Applicable

Explanation of Leasing Matters

During the Reporting Period the Company and its subsidiaries incurred leasing expenses of RMB 1.0344

million and realized leasing income of RMB 5.3561 million.Items with Profit and Loss Accounting for More than 10% of the Company's Total Profit in the Reporting Period

?Applicable □ Not Applicable

Amount Impact

Whether

Involved Basis for of

Lease Leasing It Is a Related

in Lease Determi Leasing

Lessor Lessee Leased Commen Income Related Party

Leased Terminat ning Income

Name Name Assets cement (104 Party Relation

Assets ion Date Leasing on the

4 Date Yuan) Transact ship(10 Income Compan

ion

Yuan) y

Nanjing

Putian Real

Telecom Individu estate

5.25 June 1 August Signed Increase19.06 No -

municati al leasing 2022 31 2027 contract profit

ons Co.Ltd.Nanjing

Nanjing

Dengfen

Putian

g Real

Telecom Decem Signed Increase

Cultural estate 0 January ber 31 24.76 No -

municati 1 2023 2027 contract profitCommu leasing

ons Co.nication

Ltd.Co. Ltd.Nanjing Real

Individu Novem January Signed Increase

Putian estate 10.09 ber 1 31 25.71 No -

al 2023 2029 contract profitTelecom leasing

91Nanjing Putian Telecommunications Co. Ltd.

municati

ons Co.Ltd.Under

Nanjing

th commonPutian The 14

Real control

Telecom Research March Decem

estate 238.42 01 ber 31 51.80 Signed Increase Yes of the

municati Institute 2023 2027 contract profitleasing actual

ons Co. of CETC

controlle

Ltd.r

Under

Nanjing

common

Putian The 14th

Real control

Telecom Research Decem Signed Increase

estate 516.04 May 1 ber 31 109.40 Yes of the

municati Institute 2023 2027 contract profitleasing actual

ons Co. of CETC

controlle

Ltd.r

Under

Nanjing

th commonPutian The 14

Real

Telecom Research Novem Novem control

estate 104.78 ber 10 ber 9 14.22 Signed Increase Yes of the

municati Institute 2024 2026 contract profitleasing actual

ons Co. of CETC

controlle

Ltd.r

Nanjing

Nanjing

Putian

Aideng

Datang

Electroni Real

Informat Novem November 18 ber 17 Signed Increasec estate 36.86 24.05 No -

ion contract profit

Technol leasing 2024 2025

Electroni

ogy Co.cs Co.Ltd.Ltd.Nanjing

Putian Nanjing

Datang Nanda

Real

Informat Digital March Signed Increase

estate 24.13 April 1 30 20.95 No -

ion Technol 2023 2028 contract profitleasing

Electroni ogy Co.cs Co. Ltd.Ltd.Nanjing

Nanjing

Putian

Yihe

Datang

Electroni Real

Informat

c estate 56.17 March

Februar

y 28 Signed Increase32.73 No -

ion 1 2021 2026 contract profitTechnol leasing

Electroni

ogy Co.cs Co.Ltd.Ltd.Nanjing

Putian Nanjing

Datang Yihe

Real

Informat Software March Februar

estate 56.17 01 y 28 Signed Increase32.73 No -

ion Technol 2021 2026 contract profitleasing

Electroni ogy Co.cs Co. Ltd.Ltd.Nanjing Nanjing Real 36.86 October October8 2019 7 2029 38.68 Signed Increase No -

92Nanjing Putian Telecommunications Co. Ltd.

Putian Qilong estate contract profit

Datang Instrume leasing

Informat nt

ion Technol

Electroni ogy Co.cs Co. Ltd.Ltd.CETC

Nanjing

Metrolo Under

Putian

gy common

Datang

Inspectio Real

Informat Novem Novem controlber 01 ber 01 Signed Increasen and estate 21.94 19.44 Yes of the

ion

Certifica leasing 2023 2026 contract profit actual

Electroni

tion controlle

cs Co.

(Beijing) r

Ltd.Co. Ltd.Under

common

Nanjing

Nanjing Real

Southern Decem controlSigned Increase

Lopu estate 501.91 January1 2024 ber 31 39.52 Yes of theTelecom 2026 contract profitCo. Ltd. leasing actual

Co. Ltd.controlle

r

Nanjing Nanjing

Putian Chuangli

Telege u Real

January January Signed IncreaseIntellige Industry estate 50.47 20 2025 19 2028 63.71 No -contract profit

nt and leasing

Building Trade

Ltd. Co. Ltd.Under

common

Nanjing

Beijing Real Decemb Novemb controlSouthern Signed Cost and

Capitel estate / er 1 er 30 103.44 Yes of the

Telecom 2024 2029 contract expenseCo. Ltd. leasing actual

Co. Ltd.controlle

r

2. Material Guarantees

□ Applicable? Not Applicable

There were no material guarantees for the Company during the Reporting Period.

3. Entrustment of Others to Conduct Cash Asset Management

(1) Entrusted Wealth Management

□ Applicable? Not Applicable

There was no entrusted wealth management for the Company during the Reporting Period.

(2) Entrusted Loans

□ Applicable? Not Applicable

There were no entrusted loans for the Company during the Reporting Period.

93Nanjing Putian Telecommunications Co. Ltd.

4. Other Material Contracts

□ Applicable? Not Applicable

There were no other material contracts for the Company during the Reporting Period.XVI. Use of Proceeds from Share Offerings

□ Applicable? Not Applicable

There was no use of proceeds from share offerings by the Company during the Reporting Period.XVII. Explanation of Other Material Matters

□ Applicable? Not Applicable

There were no other material matters that need to be disclosed by the Company during the Reporting Period.XVIII. Material Matters of the Company's Subsidiaries

□ Applicable? Not Applicable

94Nanjing Putian Telecommunications Co. Ltd.

Section VI Changes in Shares and Shareholder Information

I. Changes in Shares

1. Changes in Share Capital

Unit: Share

Before This Change Changes in This Period (+ -) After This Change

Capital

New Reserve

Proportio Bonus Proportio

Quantity Share Conversio Others Subtotal Quantity

n Shares n

Issuance n into

Shares

I. Non-

listed 1150000 1150000

53.49%53.49%

Tradable 00 00

Shares

1.

11500001150000

Promoter 53.49% 53.49%

0000

Shares

Of

which:

11500001150000

State- 53.49% 53.49%

0000

owned

Shares

Dom

estic

Legal

Person

Shares

Over

seas

Legal

Person

Shares

Othe

rs

2.

Corporate

Shares

from

Fund

Raising

3.

Employee

Shares

4.

Preferenc

e Shares

or Others

95Nanjing Putian Telecommunications Co. Ltd.

II. Listed

10000001000000

Tradable 46.51% 46.51%

0000

Shares

1.

Domestic

Listed

Ordinary

Shares

2.

Domestic

10000001000000

Listed 46.51% 46.51%

0000

Foreign

Shares

3.

Overseas

Listed

Foreign

Shares

4.

Others

III. Total

21500002150000

Share 100.00% 100.00%

0000

Capital

Reasons for Changes in Shares

□ Applicable? Not Applicable

Approval of Changes in Shares

□ Applicable? Not Applicable

Transfer of Changes in Shares

□ Applicable? Not Applicable

Impact of Changes in Share Capital on Financial Indicators including Basic Earnings Per Share Diluted Earnings Per Share and

Net Assets Per Share Attributable to the Company's Ordinary Shareholders for the Most Recent Fiscal Year and the Most Recent

Interim Period

□ Applicable? Not Applicable

Other Contents that the Company Deems Necessary to Disclose or as Required by the Securities Regulatory Authority

□ Applicable? Not Applicable

2. Changes in Restricted Shares

□ Applicable? Not Applicable

II. Securities Issuance and Listing

1. Securities Issuance (Excluding Preference Shares) during the Reporting Period

□ Applicable? Not Applicable

2. Explanation on Changes in Total Share Capital Shareholder Structure Asset and Liability Structure

□ Applicable? Not Applicable

96Nanjing Putian Telecommunications Co. Ltd.

3. Status of Existing Employee Shares

□ Applicable? Not Applicable

III. Information of Shareholders and Actual Controller

1. Number of Shareholders and Shareholding of the Company

Unit: Share

Total

number of

Total

preference

Total number of

shareholder

number of common Total number of

s with

ordinary shareholder preference shareholders

restored

shareholder s at the end with restored voting rights

7144 7087 voting 0 0

s at the end of the at the end of the month

rights at the

of the month prior prior to the disclosure date

end of the

reporting to the (if any) (see Note 8)

Reporting

period: disclosure

Period (if

date

any) (see

Note 8)

Shareholding of Shareholders Holding More Than 5% of Shares or the Top 10 Shareholders (excluding shares lent through

securities refinancing)

Number of Pledge Marking or

Number of Number of

Shares Changes Freezing Status

Name of Nature of Non-listed Listed

Shareholdi Held at the During the

Shareholde Shareholde Tradable Tradable

ng Ratio End of the Reporting

r r Shares Shares Share

Reporting Period Quantity

Held Held Status

Period

CETC State-

Glarun owned 11500000 11500000

53.49% 0 0 N/A 0

Group Co. Corporatio 0 0

Ltd. n

Domestic

4046800.04046800.0

He Wei Natural 1.88% 137500.00 0 N/A 0

00

Person

Shenwan

Hongyuan

Overseas

Securities 3319311.0 3319311.0

Corporatio 1.54% 292023.00 0 N/A 0

(Hong 0 0

n

Kong) Co.Ltd.Domestic

Zheng 2449739.0 2449739.0

Natural 1.14% 0 0 N/A 0

Enyue 0 0

Person

Domestic

1871371.01871371.0

Gu Jinhua Natural 0.87% 0 0 N/A 0

00

Person

China

Merchants Overseas

1780414.01780414.0

Securities Corporatio 0.83% 251500.00 0 N/A 0

00

(Hong n

Kong) Co.

97Nanjing Putian Telecommunications Co. Ltd.

Ltd.Domestic

Wu 1346800.0 1346800.0

Natural 0.63% 370000.00 0 N/A 0

Wenhui 0 0

Person

Domestic

1275737.01275737.0

Chen Rulei Natural 0.59% 409137.00 0 N/A 0

00

Person

Domestic

Li 1132400.0 1132400.0

Natural 0.53% -44020.00 0 N/A 0

Mingling 0 0

Person

Domestic

1092800.01092800.0

Peng Hexin Natural 0.51% 164000.00 0 N/A 0

00

Person

Status of Strategic

Investors or Ordinary

Legal Persons Becoming

the Top 10 Shareholders None

through New Share

Allotment (if any) (see

Note 3)

Description of Related

Among the top ten shareholders CETC Guorui Group Co. Ltd. has no related relationship with

Relationships or Acting-

other shareholders nor is it an acting-in-concert party with them. The Company has no knowledge

in-Concert Status among

of whether there are related relationships or acting-in-concert status among other shareholders.the Above Shareholders

Explanation on

Entrustment/Acceptance

of Voting Rights or

Waiver of Voting Rights None

Involving the

Aforementioned

Shareholders

Special Explanation on

the Repurchase Special As of the end of the Reporting Period the Special Securities Account for Share Repurchase of

Account among the Top Nanjing Putian Telecommunications Co. Ltd. held 2099752 tradable shares accounting for 0.98%

10 Shareholders (if any) of the Company's total share capital.

(see Note 10)

Shareholding of the Top 10 Tradable Shareholders (excluding shares lent through securities refinancing and locked shares of

senior management)

Type of Shares

Number of Listed Tradable Shares Held at the End of the Reporting

Name of Shareholder

Period Type of Quantity

Shares

Domestic

Listed 4046800.0

He Wei 4046800.00

Foreign 0

Shares

Domestic

Shenwan Hongyuan

Listed 3319311.0

Securities (Hong Kong) 3319311.00

Foreign 0

Co. Ltd.Shares

Domestic

Listed 2449739.0

Zheng Enyue 2449739.00

Foreign 0

Shares

Domestic 1871371.0

Gu Jinhua 1871371.00

Listed 0

98Nanjing Putian Telecommunications Co. Ltd.

Foreign

Shares

Domestic

China Merchants

Listed 1780414.0

Securities (Hong Kong) 1780414.00

Foreign 0

Co. Ltd.Shares

Domestic

Listed 1346800.0

Wu Wenhui 1346800.00

Foreign 0

Shares

Domestic

Listed 1275737.0

Chen Rulei 1275737.00

Foreign 0

Shares

Domestic

Listed 1132400.0

Li Mingling 1132400.00

Foreign 0

Shares

Domestic

Listed 1092800.0

Peng Hexin 1092800.00

Foreign 0

Shares

Domestic

Listed

Chen Ren 962000.00 962000.00

Foreign

Shares

Explanation on Related

Party Relationships or

Persons Acting in Concert

among the Top 10

Unrestricted Tradable The Company has no knowledge of whether there is any related party relationship or persons acting

Shareholders as well as in concert among the above shareholders.between the Top 10

Unrestricted Tradable

Shareholders and the Top

10 Shareholders

Explanation on the

Participation of the Top

10 Common Shareholders

in Margin Trading and None

Securities Lending

Business (if any) (see

Note 4)

Participation of Shareholders Holding More Than 5% of Shares the Top 10 Shareholders and the Top 10 Unrestricted Circulating

Shareholders in Lending Shares under the Securities Refinancing Business

□ Applicable? Not Applicable

Changes in the Shareholding of the Top 10 Shareholders and the Top 10 Unrestricted Circulating Shareholders from the Previous

Period due to Lending/Returning of Shares under the Securities Refinancing Business

□ Applicable? Not Applicable

Whether the Top 10 Common Shareholders and the Top 10 Unrestricted Common Shareholders of the Company Conducted

Collateralized Repurchase Transactions during the Reporting Period

□ Yes? No

The top 10 common shareholders and the top 10 unrestricted common shareholders of the Company did not conduct collateralized

repurchase transactions during the Reporting Period.

99Nanjing Putian Telecommunications Co. Ltd.

2. Information of the Company's Controlling Shareholder

Nature of the Controlling Shareholder: Central State-owned Holding

Type of the Controlling Shareholder: Legal Person

Name of the Legal

Principal Business

Controlling Representative/Princip Date of Establishment Organization Code

Activities

Shareholder al of the Entity

R&D of electronic

products

communication

equipment instruments

and meters; R&D of

special railway

equipment apparatus

and accessories; R&D

and technical services

of computer software

and hardware; self-

operation and agency

of import and export

business of various

commodities and

technologies; domestic

trade; design and

construction of

CETC Guorui Group

Wang Jianming December 17 2007 91320000670120685E intelligent building

Co. Ltd.system engineering

electronic system

engineering and

integrated system

engineering for

highway

communication

monitoring and toll

collection; aviation

system consulting

services; R&D and

technical services of

agricultural machinery

and spare parts;

construction and

maintenance of

agricultural production

information systems.Equity Holdings of the

Controlling

Shareholder in Other

Other listed companies at home and abroad in which the Controlling Shareholder holds equity interests

Listed Companies at

include: Glarun Technology Co. Ltd. and CETC Digital Technology Co. Ltd.Home and Abroad

during the Reporting

Period

Change of the Controlling Shareholder during the Reporting Period

□ Applicable? Not Applicable

There was no change in the Company's Controlling Shareholder during the Reporting Period.

100Nanjing Putian Telecommunications Co. Ltd.

3. The Company's Actual Controller and Persons Acting in Concert

Nature of the Actual Controller: Central State-owned Assets Supervision and Administration Institution

Type of the Actual Controller: Legal Person

Legal

Name of the Actual Principal Business

Representative/Princip Date of Establishment Organization Code

Controller Activities

al of the Entity

Mainly engaged in the

engineering

construction of large-

scale national

important military and

civil electronic

China Electronics Unified Social Credit

information systems as

Technology Group Wang Haibo February 25 2002 Code:

well as the R&D and

Corporation (CETC) 91110000710929498G

production of major

equipment

communication and

electronic equipment

software and key

components.Other listed companies at home and abroad controlled by the Actual Controller include: Hangzhou

Equity Holdings of Hikvision Digital Technology Co. Ltd. Taiji Computer Corporation Limited CETC Digital

Other Listed Technology Co. Ltd. CETC Cyber Security Technology Co. Ltd. Glarun Technology Co. Ltd.Companies at Home CETC Chip Technology Co. Ltd. Sun Create Electronics Co. Ltd. Chengdu Spaceon Electronics Co.and Abroad Controlled Ltd. CETC Putian Technology Co. Ltd. Phenix Optical Co. Ltd. HEBEI SINOPACK

by the Actual ELECTRONIC TECHNOLOGY CO. LTD. Eastern Communications Co. Ltd. Eastcom Peace

Controller during the Technology Co. Ltd. Nanjing Guobo Electronics Co. Ltd. Chengdu Siwei Technology Co. Ltd.Reporting Period Hangzhou Ezviz Network Co. Ltd. Nanjing LES Information Technology Co. Ltd. and Beijing E-

Hualu Information Technology Co. Ltd.Change of the Actual Controller during the Reporting Period

□ Applicable? Not Applicable

There was no change in the Company's Actual Controller during the Reporting Period.Block Diagram of Property Right and Control Relationship between the Company and the Actual Controller

State-owned Assets Supervision

and Administration Commission

of the State Council (SASAC)

China Electronics Technology

Group Corporation (CETC)

CETC Glarun Group Co. Ltd.Nanjing Putian

Telecommunications Co. Ltd.Control of the Company by the Actual Controller through Trust or Other Asset Management Methods

□ Applicable? Not Applicable

101Nanjing Putian Telecommunications Co. Ltd.

4. Cumulative Pledged Shares of the Company's Controlling Shareholder or the Largest Shareholder and

Their Persons Acting in Concert Accounting for More Than 80% of Their Shareholdings in the

Company

□ Applicable? Not Applicable

5. Other Legal Person Shareholders Holding More Than 10% of the Shares

□ Applicable? Not Applicable

6. Restrictions on Share Reduction by the Controlling Shareholder Actual Controller Reorganizing

Party and Other Promising Subjects

□ Applicable? Not Applicable

IV. Specific Implementation of Share Repurchase during the Reporting Period

Implementation Progress of Share Repurchase

□ Applicable? Not Applicable

Implementation Progress of Reduction of Repurchased Shares through Centralized Bidding Trading

□ Applicable? Not Applicable

V. Matters Relating to Preference Shares

□ Applicable? Not Applicable

There were no preference shares of the Company during the Reporting Period.

102Nanjing Putian Telecommunications Co. Ltd.

Section VII Matters Relating to Bonds

□ Applicable? Not Applicable

103Nanjing Putian Telecommunications Co. Ltd.

Section VIII Financial Report

I. Audit Report

Type of Audit Opinion Standard Unqualified Opinion

Date of Signing the Audit Report April 22 2026

Zhongxinghua Certified Public Accountants LLP (Special

Name of the Audit Institution

General Partnership)

Audit Report No. ZHONG XING HUA SHEN ZI (2026) No. 010146

Names of Certified Public Accountants Zhao Ming Zhao Yonghua

audit report

ZTE Huashen Document No. (2026) 010146

To all shareholders of Nanjing Putian Communication Co. Ltd.:

一、audit opinion

We have audited the financial statements of Nanjing Putian Communications Co. Ltd.(hereinafter referred to as "Nanjing Putian Company") including the consolidated and parent

company balance sheets as of December 312025; the consolidated and parent company income

statements consolidated and parent company cash flow statements consolidated and parent

company statement of changes in equity for the year ended 2025; and the accompanying notes to

the financial statements.We conclude that the accompanying financial statements have been prepared in all material

respects in accordance with the Enterprise Accounting Standards fairly presenting Nanjing Putian

Company's consolidated and parent company's financial position as of December 312025 as well

as their consolidated and parent company's operating results and cash flows for the year 2025.二、The basis for forming an audit opinion

We conducted the audit in accordance with the provisions of the China Certified Public

Accountant Auditing Standards. The section "Certified Public Accountant's Responsibility for

Auditing the Financial Statements" in the audit report further elaborates on our responsibilities

under these standards. In compliance with the China Certified Public Accountant Independence

Standards and the China Certified Public Accountant Code of Professional Ethics we maintained

independence from Nanjing Putian Company and fulfilled other professional ethical obligations. We

are confident that the audit evidence obtained was sufficient and appropriate providing a solid basis

for our audit opinion.三、Key Audit Matters

104Nanjing Putian Telecommunications Co. Ltd.

Key audit matters are those that based on professional judgment we consider most significant

for the current financial statements audit. The treatment of these matters is informed by our overall

audit of the financial statements and the resulting opinion; we do not issue separate opinions on

them. The following matters have been identified as key audit matters to be disclosed in the audit

report.(I) Revenue Recognition

1. Task Description

As detailed in Note 3 and Note 24 as well as Note 5 and Note 37 regarding operating revenue

and operating costs in the financial statements your company's sales revenue for the year 2025

amounted to RMB 617.6395 million.Operating revenue is one of your company's key performance indicators and a significant

component of profit generation. There is an inherent risk that management may manipulate revenue

recognition to achieve specific objectives; therefore we have identified revenue recognition as a

critical audit matter.

2. Audit Response

(1) Understand and evaluate the design and operational effectiveness of key internal controls

related to revenue recognition by management.

(2) Conduct a sampling inspection of your company's revenue-related documents—including

sales contracts sales invoices shipping records and customer receipt confirmations—to assess

whether the revenue recognition complies with your company's accounting policies for revenue

recognition.

(3) Conduct analytical review procedures on operating revenue and gross margin by customer

segments and other dimensions to assess the reasonableness of their fluctuations.

(4) Send confirmation letters regarding the accounts receivable balances from major customers

to verify the authenticity and accuracy of your company's revenue recognition.

(5) For operating revenue recognized before and after the balance sheet date verify shipping

records customer receipt documents and other relevant materials to ensure the revenue is properly

recognized within the appropriate period.(II) Provision for bad debts on accounts receivable

1. Task Description

As of December 312025 as detailed in Note 3.10 and Note 5.3 of the financial statements the

Company's accounts receivable balance stood at RMB 515.842 million with a bad debt provision of

RMB 192.2551 million and a carrying amount of RMB 323.5869 million representing 44.33% of

105Nanjing Putian Telecommunications Co. Ltd.

total assets.Based on the credit risk characteristics of each accounts receivable management measures the

loss provision for individual accounts receivable or collections portfolios at an amount equivalent to

the expected credit loss over the entire lifetime of the accounts receivable.Given the substantial amount of accounts receivable failure to collect them on time or the

occurrence of bad debts would have a significant impact on the company's financial statements.Moreover determining the amount of bad debt provisions involves critical management judgments

and estimates; therefore we have identified the recognition of accounts receivable bad debt

provisions as a key audit matter.

2. Audit Response

The primary audit procedures implemented regarding the provision for bad debts on accounts

receivable include:

(1) Understand and evaluate the design and operational effectiveness of key internal controls

related to accounts receivable bad debt provisions;

(2) For accounts receivable assessed individually for bad debt provisions we conducted a

sampling review of the management's basis for calculating recoverable amounts including their

assessment of credit risk based on the client's current credit standing repayment willingness and

repayment capacity.

(3) For accounts receivable for which bad debt provisions are calculated based on aging groups

we conducted sample reviews of key information such as aging periods and overdue days.

(4) We reviewed the management's calculation of the allowance for bad debts on accounts

receivable;

(5) Conduct confirmation letters for significant accounts receivable and evaluate the

reasonableness of management's provision for bad debts by combining post-period collection data

and analysis of reasons for prolonged outstanding balances.四、Other Information

The management of Nanjing Putian Company (hereinafter referred to as the "Management") is

responsible for other information. This other information includes the information contained in

Nanjing Putian Company's 2025 Annual Report excluding the financial statements and our audit

report.Our audit opinion on the financial statements does not cover other information nor do we

issue any form of attestation conclusion regarding such other information.In conjunction with our audit of the financial statements our responsibility is to review other

information and determine whether such information exhibits material inconsistencies with the

106Nanjing Putian Telecommunications Co. Ltd.

financial statements or with findings made during the audit or appears to contain material

misstatements.Based on the work we have already conducted if we identify material misstatements in other

information we should report such findings. In this regard there are no matters requiring reporting.五、The responsibilities of management and governance layers regarding financial

statements

The management is responsible for preparing financial statements in accordance with the

provisions of the Enterprise Accounting Standards to ensure their fair presentation and for

designing implementing and maintaining necessary internal controls to prevent material

misstatements in the financial statements resulting from fraud or error.When preparing the financial statements management is responsible for assessing Nanjing

Putian Company's ability to continue as a going concern disclosing events related to the going

concern (where applicable) and applying the going concern assumption unless management

plans to liquidate Nanjing Putian Company cease operations or has no other realistic alternatives.The management layer is responsible for overseeing the financial reporting process of

Nanjing Putian Company.六、The responsibilities of a Certified Public Accountant in auditing financial statements

Our objective is to obtain reasonable assurance as to whether the financial statements as a

whole are free from material misstatements resulting from fraud or error and to issue an audit

report containing an audit opinion. Reasonable assurance represents a high level of assurance;

however it does not guarantee that an audit conducted in accordance with audit standards will

always detect the presence of a material misstatement. A misstatement may arise from fraud or

error and it is generally considered material if there is a reasonable expectation that the

misstatement individually or in combination could affect the economic decisions made by users

of the financial statements based on those statements.During the audit conducted in accordance with auditing standards we exercised professional

judgment and maintained professional skepticism. Additionally we performed the following audit

tasks:

(1) Identify and assess the risk of material misstatements in financial statements arising from

fraud or error design and implement audit procedures to address these risks and obtain sufficient

and appropriate audit evidence as the basis for forming an audit opinion. Since fraud may involve

collusion forgery intentional omission false statements or overriding internal controls the risk

of failing to detect material misstatements due to fraud is higher than the risk of failing to detect

107Nanjing Putian Telecommunications Co. Ltd.

material misstatements due to error.

(2) Understand the internal controls relevant to the audit to design appropriate audit

procedures but the purpose is not to express an opinion on the effectiveness of the internal

controls.

(3) Evaluate the appropriateness of the accounting policies adopted by management and the

reasonableness of accounting estimates and related disclosures.

(4) Draw conclusions regarding the appropriateness of management's use of the going

concern assumption. Simultaneously based on the audit evidence obtained determine whether

there are material uncertainties concerning matters or circumstances that could raise significant

doubts about Nanjing Putian Company's ability to continue as a going concern. If we conclude

that material uncertainties exist audit standards require us to draw the attention of statement users

to the relevant disclosures in the financial statements; if the disclosures are inadequate we shall

issue a qualified opinion. Our conclusions are based on the information available as of the audit

report date. However future events or circumstances may result in Nanjing Putian Company

being unable to continue as a going concern.

(5) Evaluate the overall presentation structure and content of the financial statements and

determine whether they fairly present the relevant transactions and events.

(6) Obtain sufficient and appropriate audit evidence regarding the financial information of

the entities or business activities of Nanjing Putian Company to form an opinion on the financial

statements. We are responsible for guiding supervising and executing the group audit. We bear

full responsibility for the audit opinion.We communicated with the management regarding the planned audit scope timeline and

significant audit findings including the critical internal control deficiencies identified during the

audit.We have also provided the management with a statement regarding our compliance with the

professional ethical requirements related to independence and have communicated with the

management all relationships and other matters that could reasonably be considered to affect our

independence along with the relevant safeguards (where applicable).From the matters communicated with the management we identify those that are most

critical to the audit of the current financial statements thus constituting key audit matters. We

describe these matters in the audit report unless prohibited by law or regulation from public

disclosure; or in very rare circumstances if it is reasonably expected that disclosing a particular

matter would entail negative consequences outweighing the benefits to the public interest we

determine that the matter should not be disclosed in the audit report.

108Nanjing Putian Telecommunications Co. Ltd.

ZHONGXINGHUACERTIFIED PUBLIC ACCOUNTANTS LLP

China · Beijing

China Certified Public Accountants:

(Project Partner)

China Certified Public Accountant:

22 April 2026

consolidated balance sheet

Compiling unit: Nanjing Putian Communication Co. Ltd. Decemb Unit of

er 31 currency:

2025 RMByuan

Item Notes 2025/12/31 2024/12/31

current assets：

monetary capital V.1 182285495.92 292600989.80

Deposit Reservation for Balance

lending funds

tradable financial assets

derivative financial assets

bill receivable V.2 17228499.09 542048.95

accounts receivable V.3 323586922.02 293535326.34

Receivables financing V.4 27655375.14 34520299.04

advance payment V.5 3455153.02 2227763.86

receivable premium

reinsurance accounts receivable

provision of cession receivable

receivable other V.6 5239886.21 6859962.77

109Nanjing Putian Telecommunications Co. Ltd.

redemptory monetary capital for sale

stock V.7 61937412.34 87136190.30

Contract assets

Assets Held for Sale

Non-current assets due within one year

other current assets V.8 2196783.91 1226580.06

Total current assets 623585527.65 718649161.12

non-current assets：

Granting entrusted loans and advances

Debt investment

other investment on bonds

long-term receivables

long-term equity investment V.9 1041268

3.37

Other equity instrument investments V.10 741953.00 741953.00

Other non-current financial assets

investment real estate V.11 4977270.72 5547238.47

fixed assets V.12 84173058.11 85757024.11

construction in process

productive biological asset

oil and gas assets

right-of-use asset V.13 2187184.72 2447793.04

intangible assets V.14 11203970.58 11672324.70

development expenditure

business reputation

long-term unamortized expenses V.15 3054632.19 2076305.95

deferred income tax assets V.16

other non-current assets V.17 719280.0

0

summation of non-current assets 106338069.32 119374602.64

total assets 729923596.97 838023763.76

(The attached financial statement notes are an integral

part of this financial statement.)

Legal Representative: counting

Director: Accounting Manager:

110Nanjing Putian Telecommunications Co. Ltd.

consolidated balance sheet(Continued)

Compiling unit: Nanjing Putian Communication Co. Ltd. Decemb Unit of

er 31 currency:

2025 RMByuan

Item Notes 2025/12/31 2024/12/3

1

current liabilities：

short-term borrowing V.19 203925721.98 1281279

87.75

borrowings from central bank

loans from other banks and other financial institutions

trading financial liabilities

Derivative financial liability

notes payable V.20 6775234.17 1012222

5.75

accounts payable V.21 273382306.86 3493421

79.21

account collected in advance V.22 295001.06 236005.3

Repayment of financial assets through sale and repurchase

deposits from customers and interbank

acting trading securities

acting underwriting securities

Contract liabilities V.23 8426313.45 2479491

9.13

employee pay payable V.24 12622282.49 1706696

2.98

tax payable V.25 6042197.80 8459692.

52

other payables V.26 49032066.18 4191807

4.35

Covering handling fees and commissions

Cession insurance premiums payable

Liabilities Held for Sale

Non-current liabilities due within one year V.27 70899913.72 8806065

9.43

other current liability V.28 10920413.23 3125042.

32

total current liability 642321450.94 6712537

48.76

non-current liability：

reserve fund for insurance contracts

money borrowed for long term V.29 7000000

0.00

bonds payable

111Nanjing Putian Telecommunications Co. Ltd.

Among them: Preferred stock

perpetual bond

lease liability V.30 840373.9

6

long-term payable

Long-term employee compensation payable

anticipation liabilities

deferred income

deferred income tax liabilities

other non-current liabilities

total non-current liabilities 7084037

3.96

total liability 642321450.94 7420941

22.72

stockholders' equity：

capital stock V.31 215000000.00 2150000

00.00

other equity instruments

Among them: Preferred stock

perpetual bond

Capital Reserve V.32 201318128.61 1979558

67.58

Subtract: Treasury Stock V.33 2995076.96 2995076.

96

other comprehensive income V.34 -1854910.00 -

1854910.

00

reasonable reserve

Surplus Reserve V.35 589559.77 589559.7

7

General Risk Reserve

undistributed profit V.36 -403806789.70 -

3943444

27.37

Total shareholders' equity attributable to the parent company 8250911.72 1435101

3.02

minority stockholder's interest 79351234.31 8157862

8.02

Total Shareholders' Equity 87602146.03 9592964

1.04

Total liabilities and shareholders' equity 729923596.97 8380237

63.76

(The attached financial statement notes are an integral part

of this financial statement.)

Legal Representative: counting

Director: Accounting Manager:

112Nanjing Putian Telecommunications Co. Ltd.

balance sheet

Compiling unit: Nanjing Putian Communication Co. December Unit of currency:

Ltd. 31 2025 RMB yuan

Item Notes 2025/12/31 2024/12/31

current assets：

monetary capital 36959492.02 76313327.62

tradable financial assets

derivative financial assets

bill receivable 510041.40

accounts receivable XV.1 60911892.03 80557834.64

Receivables financing

advance payment 1077733.24 1238241.47

receivable other XV.2 30491285.66 22894075.34

stock 6084321.32 12704303.71

Contract assets

Assets Held for Sale

Non-current assets due within one year

other current assets 684787.04 141091.78

Total current assets 136719552.71 193848874.56

non-current assets：

Debt investment

other investment on bonds

long-term receivables

long-term equity investment XV.3 41931948.52 52344631.89

Other equity instrument investments 741953.00 741953.00

Other non-current financial assets

investment real estate

fixed assets 33285551.38 35919673.67

construction in process

productive biological asset

oil and gas assets

right-of-use asset 2187184.72 2447793.04

intangible assets 3898367.83 4023784.51

113Nanjing Putian Telecommunications Co. Ltd.

development expenditure

business reputation

long-term unamortized expenses 1020871.30 1640998.52

deferred income tax assets

other non-current assets

summation of non-current assets 83065876.75 97118834.63

total assets 219785429.46 290967709.19

(The attached financial statement notes are an integral

part of this financial statement.)

Legal Representative: counting

Director: Accounting Manager:

balance sheet (Continued)

Compiling unit: Nanjing Putian Communication Co. December Unit of currency:

Ltd. 31 2025 RMB yuan

Item Notes 2025/12/31 2024/12/31

current liabilities：

short-term borrowing 101610266.35 30031625.00

trading financial liabilities

Derivative financial liability

notes payable 446679.01 1809060.50

accounts payable 78170882.89 114611153.64

account collected in advance

Contract liabilities 6428573.95 6674105.73

employee pay payable 7257940.39 7646826.89

tax payable 250156.31 1195504.22

other payables 80527424.76 86160362.06

Liabilities Held for Sale

Non-current liabilities due within one year 70899913.72 88060659.43

other current liability 1351067.90 867633.75

total current liability 346942905.28 337056931.22

non-current liability：

money borrowed for long term 70000000.00

bonds payable

Among them: Preferred stock

114Nanjing Putian Telecommunications Co. Ltd.

perpetual bond

lease liability 840373.96

long-term payable

Long-term employee compensation payable

anticipation liabilities

deferred income

deferred income tax liabilities

other non-current liabilities

total non-current liabilities 70840373.96

total liability 346942905.28 407897305.18

stockholders' equity：

capital stock 215000000.00 215000000.00

other equity instruments

Among them: Preferred stock

perpetual bond

Capital Reserve 158864042.34 158864042.34

Subtract: Treasury Stock 2995076.96 2995076.96

other comprehensive income -1854910.00 -1854910.00

reasonable reserve

Surplus Reserve 589559.76 589559.76

undistributed profit -496761090.96 -486533211.13

Total Shareholders' Equity -127157475.82 -116929595.99

Total liabilities and shareholders' equity 219785429.46 290967709.19

(The attached financial statement notes are an integral

part of this financial statement.)

Legal Representative: counting

Director: Accounting Manager:

consolidated income statement

Compiling unit: Nanjing Putian Communication Co. The year Unit of currency:

Ltd. 2025 RMB yuan

Item Notes 2025/12/31 2024/12/31

I. Total Operating Revenue 617639484.96 811670527.41

Among them: Operating Revenue V.37 617639484.96 811670527.41

II. Total Operating Costs 628448399.42 820400148.89

Among them: Operating costs V.37 487520396.95 635224730.05

115Nanjing Putian Telecommunications Co. Ltd.

Taxes and surcharges V.38 3827452.67 6128112.45

selling expenses V.39 55636075.45 71756768.98

Administrative Expenses V.40 43658123.43 62275909.90

R&D expenses V.41 29208797.71 34850835.24

Financial Expenses V.42 8597553.21 10163792.27

Among them: Interest expense 8748305.48 10723524.38

interest income 452186.54 639938.05

Add: Other income V.43 4600883.38 2783558.31

Investment income (losses are indicated by a "-" V.44 8038145.41 52296543.73

sign)

Among them: Investment income from associated 7389042.29 -5.77

enterprises and joint ventures

Gain from the derecognition of financial assets

measured at amortized cost

Exchange gains (losses are indicated by a "-" sign)

Net exposure hedging gain (loss is filled with a "-"

sign)

Fair value change gain (loss filled with "-" sign for

losses)

Credit impairment loss (losses are filled in with a "-" V.45 -6979118.96 -7634385.51

sign)

Asset impairment loss (losses are filled in with a "-" V.46 -2237689.03 -14428752.85

sign)

Asset Disposal Gain/Loss (Losses are indicated by a V.47 5359026.59 1083098.78

"-" sign)

III. Operating Profit (Losses are indicated by a "-" -2027667.07 25370440.98

sign)

?Add: Non-operating Income V.48 3000746.99 3583432.03

Less: Non-operating expenses V.49 522903.55 3667282.29

IV. Total Profit (Losses are indicated by a "-" sign) 450176.37 25286590.72

Less: Income Tax Expense V.50 1358420.50 3180305.05

V. Net Profit (Net Loss is indicated by a "-" sign) -908244.13 22106285.67

(I) Classified by the duration of operation:

1、Continuing operations net profit (net loss is indicated -908244.13 22106285.67

by a "-" sign)

2、Net profit (net loss is indicated by a "-" sign) from

discontinued operations

(II) Classified by ownership:

1、Net profit attributable to shareholders of the parent -9462362.33 11376879.14

company (net loss is indicated by a "-" sign)

2、Minority Shareholders' Loss (Net Loss is indicated by 8554118.20 10729406.53

a "-" sign)

VI. Net amount of other comprehensive income after

tax

(I)The after-tax net amount of other comprehensive

income attributable to the parent company's owners

116Nanjing Putian Telecommunications Co. Ltd.

1.Other comprehensive income that cannot be reclassified

into profit or loss

（1）Re-measurement of the changes in defined benefit

plans

（2）Other comprehensive income that cannot be

transferred to profit or loss under the equity method

（3）Changes in the fair value of other equity instruments

investments

（4）Fair value changes of the enterprise's own credit risk

（5）else

2.Other comprehensive income that is reclassified into

profit or loss

（1）Other comprehensive income that can be converted

into profit or loss under the equity method

（2）Other changes in the fair value of debt investments

（3）The amount of financial assets reclassification that

is recorded in other comprehensive income

（4）Other credit impairment provisions for debt

investments

（5）Cash flow hedging reserve

（6）Foreign currency financial statement translation

differences

（7）else

(II)The after-tax net amount of other comprehensive

income attributable to minority shareholders

VII. Comprehensive Income Total -908244.13 22106285.67

(I)The total comprehensive income attributable to -9462362.33 11376879.14

shareholders of the parent company

(II)The total comprehensive income attributable to 8554118.20 10729406.53

minority shareholders

VIII. Earnings per Share:

(I)basic earnings per share -0.04 0.05

(II)diluted EPS(earnings per share) -0.04 0.05

(The attached financial statement notes are an integral

part of this financial statement.)

Legal Representative: counting

Director: Accounting Manager:

income statement

Compiling unit: Nanjing Putian Communication Co. The year Unit of currency:

Ltd. 2025 RMB yuan

Item Notes 2025/12/31 2024/12/31

I. Operating Revenue XV.4 31784452.16 55455987.78

Less: Operating costs XV.4 23070819.14 48831493.80

Taxes and surcharges 739212.49 1416565.94

117Nanjing Putian Telecommunications Co. Ltd.

selling expenses 3674575.83 5885830.63

Administrative Expenses 25515609.72 35234907.10

R&D expenses

Financial Expenses 6658472.07 7232295.87

Among them: Interest expense 6670688.91 7606119.33

interest income 220347.93 382125.01

Add: Other income 10310.52 59574.65

Investment income (losses are indicated by a "-" XV.5 17318129.12 60475665.77

sign)

Among them: Investment income from associated 7389042.29 -5.77

enterprises and joint ventures

Gain from the derecognition of financial assets

measured at amortized cost

Net exposure hedging gain (loss is filled with a "-"

sign)

Fair value change gain (loss filled with "-" sign for

losses)

Credit impairment loss (losses are filled in with a "-" -4992463.96 -6023378.69

sign)

Asset impairment loss (losses are filled in with a "-" -2131109.47 -13635478.79

sign)

Asset Disposal Gain/Loss (Losses are indicated by a 5372239.34 1090467.64

"-" sign)

II. Operating Profit (Losses are indicated by a "-" -12297131.54 -1178254.98

sign)

?Add: Non-operating Income 2543328.14 520587.01

Less: Non-operating expenses 474076.43 2989716.65

III. Total Profit (Losses are indicated by a "-" sign) -10227879.83 -3647384.62

Less: Income Tax Expense

IV. Net Profit (Net Loss is indicated by a "-" sign) -10227879.83 -3647384.62

（I）Continuing operations net profit (net loss is -10227879.83 -3647384.62

indicated by a "-" sign)（II）Net profit (net loss is indicated by a "-" sign) from

discontinued operations

V.Net amount of other comprehensive income after tax

（I）Other comprehensive income that cannot be

reclassified into profit or loss

1.Re-measurement of the changes in defined benefit

plans

2.Other comprehensive income that cannot be

transferred to profit or loss under the equity method

3.Changes in the fair value of other equity instruments

investments

4.Fair value changes of the enterprise's own credit risk

5.else（II）Other comprehensive income that is reclassified

into profit or loss

118Nanjing Putian Telecommunications Co. Ltd.

1.Other comprehensive income that can be converted

into profit or loss under the equity method

2.Other changes in the fair value of debt investments

3.The amount of financial assets reclassification that is

recorded in other comprehensive income

4.Other credit impairment provisions for debt

investments

5.Cash flow hedging reserve

6.Foreign currency financial statement translation

differences

7.else

VI.Comprehensive Income Total -10227879.83 -3647384.62

(The attached financial statement notes are an integral

part of this financial statement.)

Legal Representative: counting

Director: Accounting Manager:

consolidated statement of cash flow

Compiling unit: Nanjing Putian Communication Co. The year Unit of currency:

Ltd. 2025 RMB yuan

Item Notes 2025/12/31 2024/12/31

I. Cash flows from operating activities:

Cash received from the sale of goods and provision of 550533528.31 740417766.98

services

refund of tax and levies 1627090.07 2153825.75

Received other cash related to business operations 36952155.85 43058931.33

Total Cash Inflow from Operating Activities 589112774.23 785630524.06

Cash paid for the purchase of goods and the receipt of 459835547.91 537661634.35

services

Cash for paying out policy dividends

Cash paid to employees and for the benefit of 129621114.65 149323538.69

employees

All sort fees as follow 27311494.06 30399599.81

Cash paid for other activities related to business 59617888.20 85442093.61

operations

Total cash outflows from operating activities 676386044.82 802826866.46

Net cash flow from operating activities -87273270.59 -17196342.40

II. Cash flows from investing activities:

Cash received from the withdrawal of investment

Cash received from investment income

Net cash received from the disposal of fixed assets 5621791.00 40.00

intangible assets and other long-term assets

Net cash received from the disposal of subsidiaries and 108162342.81

other business units

Received other cash related to investment activities

Total Cash Inflow from Investment Activities 5621791.00 108162382.81

Cash paid for the purchase and construction of fixed 3193809.83 3002060.46

119Nanjing Putian Telecommunications Co. Ltd.

assets intangible assets and other long-term assets

Net increase in pledged loan amount

Net cash received from subsidiaries and other operating

units

Pay other cash related to investment activities 405500.00

Total cash outflows from investment activities 3193809.83 3407560.46

Net cash flow from investing activities 2427981.17 104754822.35

III. Cash Flows Generated from Financing Activities:

Cash received from absorbing investments

Among them: Cash received from subsidiaries upon

absorbing investments from minority shareholders

Cash received from borrowing funds 202614067.87 154800000.00

Cash received from borrowing funds

Total cash inflows from financing activities 202614067.87 154800000.00

Cash paid for repaying debts 214800000.00 87800000.00

Cash paid for distributing dividends profits or paying 9952937.68 26496552.22

interest

Among them: Dividends and profits paid by the 14846600.00

subsidiary to the minority shareholders

Cash paid for other activities related to financing 1287438.87 3914258.88

Total cash outflows from financing activities 226040376.55 118210811.10

Net cash flow from financing activities -23426308.68 36589188.90

IV. Impact of Exchange Rate Fluctuations on Cash -4867.97 2715.47

and Cash Equivalents

V. Net increase in cash and cash equivalents -108276466.07 124150384.32

Add: Initial balance of cash and cash equivalents 288328064.43 164177680.11

VI. Balance of Cash and Cash Equivalents at the End 180051598.36 288328064.43

of the Period

(The attached financial statement notes are an integral

part of this financial statement.)

Legal Representative: counting

Director: Accounting Manager:

statement of cash flow

Compiling unit: Nanjing Putian Communication Co. The year Unit of currency:

Ltd. 2025 RMB yuan

Item Notes 2025/12/31 2024/12/31

I. Cash flows from operating activities:

Cash received from the sale of goods and provision of 58815560.83 57362046.42

services

refund of tax and levies

Received other cash related to business operations 7723066.79 26712333.46

Total Cash Inflow from Operating Activities 66538627.62 84074379.88

Cash paid for the purchase of goods and the receipt of 40092496.37 87124609.23

services

Cash paid to employees and for the benefit of 33154872.88 35981718.30

employees

120Nanjing Putian Telecommunications Co. Ltd.

All sort fees as follow 4351257.54 3123122.39

Cash paid for other activities related to business 9263972.07 11943256.10

operations

Total cash outflows from operating activities 86862598.86 138172706.02

Net cash flow from operating activities -20323971.24 -54098326.14

II. Cash flows from investing activities:

Cash received from the withdrawal of investment 110884500.00

Cash received from investment income 9153400.00

Net cash received from the disposal of fixed assets 5553791.00

intangible assets and other long-term assets

Net cash received from the disposal of subsidiaries and

other business units

Received other cash related to investment activities

Total Cash Inflow from Investment Activities 5553791.00 120037900.00

Cash paid for the purchase and construction of fixed 349900.00 1288004.20

assets intangible assets and other long-term assets

Cash paid for investment

Pay other cash related to investment activities 405500.00

Total cash outflows from investment activities 349900.00 1693504.20

Net cash flow from investing activities 5203891.00 118344395.80

III. Cash Flows Generated from Financing Activities:

Cash received from absorbing investments

Cash received from borrowing funds 101564067.87 30000000.00

Cash received from borrowing funds

Total cash inflows from financing activities 101564067.87 30000000.00

Cash paid for repaying debts 116800000.00 19000000.00

Cash paid for distributing dividends profits or paying 7854627.18 8675468.55

interest

Cash paid for other activities related to financing 1287438.87 3914258.88

Total cash outflows from financing activities 125942066.05 31589727.43

Net cash flow from financing activities -24377998.18 -1589727.43

IV. Impact of Exchange Rate Fluctuations on Cash -4867.97 2715.47

and Cash Equivalents

V. Net increase in cash and cash equivalents -39502946.39 62659057.70

Add: Initial balance of cash and cash equivalents 76018337.62 13359279.92

VI. Balance of Cash and Cash Equivalents at the End 36515391.23 76018337.62

of the Period

(The attached financial statement notes are an integral

part of this financial statement.)

Legal Representative: counting

Director: Accounting Manager:

121Nanjing Putian Telecommunications Co. Ltd.

122Nanjing Putian Telecommunications Co. Ltd.

123Nanjing Putian Telecommunications Co. Ltd.

124Nanjing Putian Communication Co. Ltd.

Notes to the 2025 Financial Statements

(Unless otherwise specified the amount is in RMB yuan)

I. Company Overview

1、 Company registration address organizational structure and headquarters address

Nanjing Putian Communication Co. Ltd. (hereinafter referred to as the Company) originated from

the Nanjing Communication Equipment Factory under the Ministry of Posts and Telecommunications. On

March 211997 the State Economic System Reform Commission approved its establishment as a joint-

stock company through a public offering as documented in Document No.28 [1997]. The Company was

registered with the Nanjing Administration for Industry and Commerce on May 181997 with its

headquarters located in Nanjing Jiangsu Province. It holds a business license with the Unified Social

Credit Code 91320000134878054G a registered capital of RMB 215000000.00 and a total of

215000000 shares (each with a par value of RMB 1). This includes 115000000 state-owned legal person

shares and 100000000 B-shares. The Company's shares were listed for trading on the Shenzhen Stock

Exchange on May 221997.

2、 The main business activities actually engaged in by the company

Our company operates in the telecommunications equipment manufacturing sector. Our primary

business activities include: research development manufacturing processing and sales of data

communication wired and wireless communication products distribution and wiring communication

products electronic products multimedia computers digital television systems automotive electronics

and high/low-voltage electrical switchgear; development production and distribution of new energy

vehicle charging solutions and components (including EV chargers charging modules charging station

systems modular charging cabinets outdoor integrated charging stations AC/DC charging piles and

related accessories); design and provision of comprehensive new energy charging/discharging solutions;

operation and maintenance of EV charging infrastructure; development and sales of software and

intelligent software platforms; IT services for smart city and elderly care applications; R&D

manufacturing sales installation and technical support for video equipment and video conferencing

systems; agency sales of communication-modified vehicles (excluding wholesale) with corresponding

after-sales services; design system integration and consulting services for communication networks and

computer information systems; design construction installation and maintenance of intelligent building

systems; and leasing of owned assets such as properties and equipment.

3、 Approval and issuance of financial reports

This financial statement has been approved by the Company's Board of Directors on April 222026

for public release.II. Basis for Preparing Financial Statements

1. Preparation Basis

The financial statements of our company are prepared on a going concern basis based on actual

transactions and events in accordance with the Accounting Standards for Business Enterprises – Basic

Standards issued by the Ministry of Finance various specific accounting standards the Application

Guidelines for Accounting Standards for Business Enterprises the Interpretations of Accounting Standards

for Business Enterprises and other relevant regulations (collectively referred to as the "Accounting

Standards for Business Enterprises") as well as the provisions of the China Securities Regulatory

Commission's Rules for the Preparation and Reporting of Information Disclosure by Companies Issuing

Securities Publicly No.15 – General Provisions for Financial Reports (2023 Revision).In accordance with the relevant provisions of the Enterprise Accounting Standards the Company's

accounting practices are based on the accrual basis. With the exception of certain financial instruments all

financial statements are measured at historical cost. Where asset impairment occurs corresponding

impairment provisions are recognized in accordance with applicable regulations.

2. Continuing Operations

This financial statement is prepared on a going concern basis and the Company has maintained its

ability to continue as a going concern for at least 12 months from the end of the reporting period.III. Key Accounting Policies and Accounting Estimates

The Company and its subsidiaries operate in the telecommunications equipment manufacturing

industry. In accordance with the actual characteristics of their production and operations and the relevant

accounting standards the Company and its subsidiaries have established specific accounting policies and

estimates for various transactions and events as detailed below.

1. Statement of Compliance with Enterprise Accounting Standards

The financial statements prepared by the Company comply with the requirements of the Enterprise

Accounting Standards and provide an accurate and complete reflection of the Company's consolidated and

parent company financial position as of December 312025 as well as the consolidated and parent

company operating results and consolidated and parent company cash flows for the year 2025.

2. Accounting Period

The Company's accounting periods are divided into annual and interim periods with the interim

period referring to a reporting period shorter than a full fiscal year. The Company adopts the Gregorian

calendar year for its fiscal year which runs from January 1 to December 31 each year.

3. Business CycleThe company adopts a 12-month period as its operating cycle and uses it as the criterion for

classifying the liquidity of its assets and liabilities.

4. Bookkeeping Currency

The Renminbi (RMB) serves as the currency used in the primary economic environment in which the

Company and its domestic subsidiaries operate and both the Company and its domestic subsidiaries adopt

the RMB as their accounting currency. The currency employed by the Company in preparing these

financial statements is the Renminbi.

5. Accounting treatment methods for business combinations under common control and outside

common control

A business combination refers to a transaction or event in which two or more separate entities merge

to form a single reporting entity. Business combinations are classified into combinations under common

control and combinations not under common control.

(1) Business combinations under common control

Enterprises participating in a merger are both subject to the ultimate control of the same party or the

same multiple parties before and after the merger and such control is not temporary; thus it constitutes a

merger under common control. In a merger under common control the party that obtains control of the

other participating enterprises on the merger date is the merging party while the other participating

enterprises are the merged parties. The merger date refers to the actual date on which the merging party

obtains control of the merged parties.The assets and liabilities acquired by the enterprise in a business combination are measured at the

carrying values of the acquired entity's assets and liabilities (including goodwill formed by the ultimate

controlling party's acquisition of the acquired entity) as presented in the ultimate controlling party's

consolidated financial statements on the combination date. The difference between the carrying value of

the acquired net assets and the carrying value of the consideration paid for the combination (or the total

par value of the issued shares) shall be adjusted against the share capital premium in the capital reserve; if

the share capital premium in the capital reserve is insufficient to cover the reduction the retained earnings

shall be adjusted accordingly.The direct costs incurred by the merging party in carrying out the business combination shall be

recognized in profit or loss of the current period at the time of occurrence.

(2) Business combinations under different controls

A business combination is classified as a non-same-control combination if the participating

enterprises are not ultimately controlled by the same party or the same group of parties before and after the

combination. In a non-same-control combination the party that obtains control of the other participating

enterprises on the acquisition date is the acquirer while the other participating enterprises are theacquirees. The acquisition date refers to the date when the acquirer actually gains control over the

acquirees.For business combinations under different controls the combination cost includes: the fair value of

assets acquired by the acquirer on the acquisition date to obtain control over the acquiree; liabilities

incurred or assumed; equity securities issued; audit fees legal services valuation consulting fees and

other administrative expenses incurred during the combination which are recognized in profit or loss at

their occurrence; transaction costs of equity or debt securities issued by the acquirer as consideration for

the combination which are included in the initial recognition amount of such securities; contingent

consideration measured at its fair value on the acquisition date and included in the combination cost; and

any adjustments to contingent consideration required if new or additional evidence of conditions existing

at the acquisition date emerges within 12 months post-acquisition which are reflected in the corresponding

adjustment to goodwill. The combination cost incurred by the acquirer and the identifiable net assets

acquired in the combination are measured at their fair values on the acquisition date. The difference

between the combination cost and the acquirer's share of the fair value of the acquiree's identifiable net

assets on the acquisition date is recognized as goodwill. If the combination cost is less than the acquirer's

share of the fair value of the acquiree's identifiable net assets the fair values of all identifiable assets

liabilities and contingent liabilities of the acquiree along with the combination cost itself are re-examined.Should the re-examined combination cost remain lower than the acquirer's share of the fair value of the

acquiree's identifiable net assets the difference is recognized in profit or loss.When the purchasing party acquires the deductible temporary differences of the purchased party that

were not recognized on the acquisition date due to non-compliance with the recognition criteria for

deferred tax assets if new or additional information obtained within 12 months after the acquisition date

indicates that the relevant circumstances existed on the acquisition date and that the economic benefits

arising from the deductible temporary differences are expected to materialize the relevant deferred tax

assets shall be recognized while reducing goodwill. If goodwill is insufficient to cover the reduction the

difference shall be recognized in profit or loss for the period. In all other cases deferred tax assets related

to business combinations shall be recognized and recognized in profit or loss for the period.For business combinations under different controls that are implemented through multiple

transactions in stages and classified as "package transactions" accounting treatment shall be conducted in

accordance with the descriptions in the preceding paragraphs of this section and Note 3 Section 13

"Long-term Equity Investments." For combinations not classified as "package transactions" separate

accounting treatments shall be applied to the individual financial statements and the consolidated financial

statements.In specific financial statements the initial investment cost of an investment is determined by the sumof the carrying amount of the equity investment held in the acquiree prior to the acquisition date and the

additional investment cost incurred on that date. If the equity held in the acquiree prior to the acquisition

date involves other comprehensive income the related other comprehensive income shall be accounted for

upon disposal of the investment using the same basis as would be applied when the acquiree directly

disposes of its assets or liabilities (i.e. except for the corresponding share of changes resulting from the re-

measurement of the defined benefit plan's net liability or net asset under the equity method the remainder

is recognized in current period investment income).In the consolidated financial statements equity held in the acquiree prior to the acquisition date shall

be remeasured at its fair value on that date with the difference between the fair value and the carrying

amount recognized in current period investment income. Where such equity involves other comprehensive

income the corresponding other comprehensive income shall be accounted for using the same basis as

would apply to the acquiree's direct disposal of related assets or liabilities (i.e. except for the

corresponding share of changes in the net liability or net asset of the defined benefit plan resulting from its

remeasurement under the equity method the remainder shall be recognized in current period investment

income attributable to the acquisition date).

6. Criteria for Control Assessment and Methods for Preparing Consolidated Financial

Statements

(1) Criteria for Control Determination

The consolidation scope for financial statements is determined on a control basis. Control is defined

as the Company's possession of authority over the investee enjoyment of variable returns through

participation in the investee's relevant activities and the ability to influence the amount of such returns

through the exercise of such authority. This typically includes investee entities in which the parent

company holds more than half of the voting rights and cases where the Company although holding less

than half of the voting rights through agreements with other investors of the investee holds more than half

of the voting rights; the Company's authority under its articles of association or agreements to make

financial and operational decisions for the investee; its right to appoint or remove a majority of the

members of the investee's board of directors; and its control over the majority of voting rights in the

investee's board of directors.

(2) Methodology for preparing consolidated financial statements

From the date when the Company obtains actual control over the net assets and operational decision-

making rights of a subsidiary it begins to include the subsidiary within its consolidated financial

statements; the inclusion ceases upon loss of actual control. For subsidiaries disposed of the operating

results and cash flows prior to the disposal date have been appropriately reflected in the consolidated

income statement and consolidated cash flow statement; for subsidiaries disposed of during the currentperiod no adjustments are made to the opening balances of the consolidated balance sheet. For

subsidiaries acquired in business combinations under different controls their operating results and cash

flows after the acquisition date have been properly included in the consolidated income statement and

consolidated cash flow statement with no adjustments required to the opening balances or comparative

figures of the consolidated financial statements. For subsidiaries acquired in business combinations under

common control their operating results and cash flows from the beginning of the period prior to the

merger to the merger date have been appropriately reflected in the consolidated income statement and

consolidated cash flow statement with corresponding adjustments made to the comparative figures of the

consolidated financial statements.When preparing consolidated financial statements if the accounting policies or accounting periods

used by the subsidiary differ from those of the parent company the subsidiary's financial statements shall

be adjusted in accordance with the parent company's accounting policies and periods. For subsidiaries

acquired through business combinations under different controls their financial statements shall be

adjusted based on the fair value of the identifiable net assets on the acquisition date.All significant intercompany balances transactions and unrealized profits are offset when preparing

the consolidated financial statements.The portion of the subsidiary's shareholders' equity and current net profit/loss not attributable to the

parent company is separately presented as minority interest and minority interest income under

shareholders 'equity and net profit in the consolidated financial statements. The share of the subsidiary's

current net profit/loss attributable to minority interests is disclosed under the "minority interest income"

item within the net profit line item of the consolidated income statement. If the loss attributable to

minority interests exceeds their share of the subsidiary's beginning shareholders' equity this difference is

still recorded as a reduction in minority interest.When control over an original subsidiary is lost due to the disposal of partial equity investments or

other reasons the remaining equity interests shall be remeasured at their fair value on the date of loss of

control. The difference between the consideration received from the equity disposal and the fair value of

the remaining equity interests minus the share of the subsidiary's net assets accumulated continuously

from the acquisition date calculated based on the original equity ratio shall be recognized as investment

income for the period of loss of control. Other comprehensive income related to the original equity

investment shall be accounted for at the same basis as the direct disposal of the acquired party's assets or

liabilities (i.e. all amounts except those arising from changes in the net liability or net assets of the

original beneficial plan upon remeasurement) shall be transferred to current investment income.Subsequently the remaining equity interests shall be measured in accordance with applicable accounting

standards such as Accounting Standard for Business Enterprises No.2 – Long-term Equity Investments orAccounting Standard for Business Enterprises No.22 – Recognition and Measurement of Financial

Instruments as detailed in Note 3 Section 13 "Long-term Equity Investments" or Note 3 Section 10

"Financial Instruments."

When a company gradually disposes of its equity investments in subsidiaries through multiple

transactions until losing control it must determine whether each transaction constitutes a package

transaction. The terms conditions and economic impacts of these individual transactions typically meet

one or more of the following criteria indicating that they should be accounted for as a package transaction:

* The transactions were executed simultaneously or with mutual consideration; * The transactions

collectively achieve a complete commercial outcome; * The occurrence of one transaction depends on

the occurrence of at least one other transaction; * An individual transaction is uneconomical but becomes

economical when considered collectively with other transactions. For transactions not constituting a

package transaction each transaction shall be accounted for separately using the principles applicable to

"partial disposal of long-term equity investments in subsidiaries without loss of control" or "loss of control

over an original subsidiary due to partial equity disposal or other reasons." When the transactions

constitute a package transaction they shall be accounted for as a single transaction involving subsidiary

disposal and loss of control. However any difference between the transaction price at each disposal stage

prior to loss of control and the investor's share of the subsidiary's net assets shall be recognized as other

comprehensive income in the consolidated financial statements and transferred to the profit or loss at the

time of loss of control.

7. Classification of Joint Venture Arrangements and Accounting Treatment for Joint

Operations

A joint venture arrangement refers to an arrangement jointly controlled by two or more parties. Based

on the rights and obligations it enjoys within such an arrangement the Company classifies joint venture

arrangements into joint operation arrangements and joint venture enterprises. A joint operation

arrangement refers to one in which the Company holds the relevant assets and assumes the relevant

liabilities; a joint venture enterprise refers to one in which the Company holds only the rights to the net

assets of the arrangement.The Company accounts for its investment in the joint venture using the equity method in accordance

with the accounting policy specified in Note 3 Section 13(2)(ii) "Long-term Equity Investments

accounted for under the Equity Method."

As a joint venture partner in the joint operation the Company recognizes the assets and liabilities

solely held or borne by the Company as well as the jointly held assets and jointly borne liabilities based

on the Company's respective shares; recognizes the revenue generated from the sale of the Company's

share of the joint operation's output; recognizes the revenue arising from the sale of output under the jointoperation based on the Company's share; and recognizes the expenses incurred solely by the Company as

well as the expenses incurred under the joint operation based on the Company's respective shares.When the Company contributes or sells assets to the joint venture (such assets do not constitute

business operations the same applies hereinafter) or purchases assets from the joint venture prior to the

sale of such assets to a third party the Company recognizes only the portion of the gains or losses arising

from such transaction attributable to the other participating parties in the joint venture. If such assets incur

asset impairment losses in accordance with the provisions of Accounting Standard for Business

Enterprises No.8 – Asset Impairment the Company recognizes the full amount of such loss for

contributions or sales made by the Company to the joint venture and recognizes the loss proportionally

based on its share for purchases made from the joint venture.

8. Criteria for Determining Cash and Cash Equivalents

The Company's cash and cash equivalents consist of cash on hand deposits readily available for

payment and investments held by the Company that are short-term (typically maturing within three

months from the purchase date) highly liquid easily convertible into a known amount of cash and carry

minimal value fluctuation risk.

9. Foreign Currency Transactions

(1) Conversion method for foreign currency transactions

Foreign currency transactions conducted by the Company are converted into the local currency

amount at the spot exchange rate prevailing on the transaction date upon initial recognition. However

foreign currency exchange operations or transactions involving foreign currency exchange are converted

into the local currency amount using the actual exchange rate applied.

(2) Conversion methods for foreign currency monetary items and foreign currency non-monetary

items

On the balance sheet date foreign currency monetary items are converted using the spot exchange

rate prevailing at that date. The resulting exchange differences shall be recognized in profit or loss of the

current period except for: * exchange differences arising from foreign currency special borrowings

related to the acquisition or construction of assets meeting capitalization criteria which are treated in

accordance with the principle of capitalizing borrowing costs; * exchange differences arising from

changes in the carrying amounts of foreign currency monetary items available for sale (excluding the

amortized cost) which are recognized in other comprehensive income.Non-monetary foreign currency items measured at historical cost are measured in the accounting

currency amount converted using the spot exchange rate on the transaction date. Non-monetary foreign

currency items measured at fair value are converted using the spot exchange rate on the fair value

determination date; the difference between the converted accounting currency amount and the originalaccounting currency amount is recognized as fair value changes (including exchange rate fluctuations)

which are recorded in current period profit or loss or recognized as other comprehensive income.

10. Financial Instruments

A financial asset or financial liability is recognized when the company becomes a party to a financial

instrument contract.

(1) Classification Recognition and Measurement of Financial Assets

Based on its business model for managing financial assets and the contractual cash flow

characteristics of these assets the Company categorizes financial assets into: financial assets measured at

amortized cost; financial assets measured at fair value with changes recognized in other comprehensive

income; and financial assets measured at fair value with changes recognized in profit or loss.Financial assets are measured at fair value upon initial recognition. For financial assets measured at

fair value with their changes recognized in profit or loss related transaction costs are directly recognized

in profit or loss; for other categories of financial assets related transaction costs are included in the initial

recognition amount. For accounts receivable or notes receivable arising from the sale of products or

provision of services that do not contain or involve significant financing components the Company

recognizes the expected amount receivable as the initial recognition amount.* Financial assets measured at amortized cost

The Company's business model for measuring financial assets at amortized cost is aimed at

generating contractual cash flows. The cash flow characteristics of such financial assets align with

standard lending arrangements meaning that cash flows occurring on specific dates consist solely of

principal payments and interest calculated on the outstanding principal amount. For these financial assets

the Company applies the effective interest method and subsequently measures them at amortized cost. Any

gains or losses arising from amortization or impairment are recognized in profit or loss for the period.* Financial assets measured at fair value with changes recognized in other comprehensive income

The Company's business model for managing such financial assets combines both the objective of

collecting contractual cash flows and the objective of selling them with the contractual cash flow

characteristics of these financial assets aligning with those of the underlying loan arrangements. The

Company measures such financial assets at fair value with their changes recognized in other

comprehensive income; however impairment losses or gains exchange gains or losses and interest

income calculated using the effective interest method are recognized in profit or loss for the period.Furthermore the Company classifies certain non-trading equity instrument investments as financial

assets measured at fair value with their changes recognized in other comprehensive income. Dividend

income from such financial assets is recognized in current period profit or loss while fair value changes

are recognized in other comprehensive income. Upon derecognition of these financial assets anycumulative gains or losses previously recognized in other comprehensive income are transferred to

retained earnings and are no longer included in current period profit or loss.* Financial assets measured at fair value with changes recognized in profit or loss

The Company classifies the aforementioned financial assets measured at amortized cost and those

financial assets measured at fair value with their changes recognized in other comprehensive income as

financial assets measured at fair value with their changes recognized in current profit or loss. Furthermore

at initial recognition to eliminate or significantly reduce accounting mismatches the Company designates

certain financial assets as financial assets measured at fair value with their changes recognized in current

profit or loss. For such financial assets the Company subsequently measures them at fair value with fair

value changes recognized in current profit or loss.

(2) Classification Recognition and Measurement of Financial Liabilities

At initial recognition financial liabilities are classified into financial liabilities measured at fair value

through profit or loss and other financial liabilities. For financial liabilities measured at fair value through

profit or loss related transaction costs are directly recognized in profit or loss; for other financial liabilities

related transaction costs are included in their initial recognition amount.* Financial liabilities measured at fair value with changes recognized in profit or loss

Financial liabilities measured at fair value with changes recognized in profit or loss include trading

financial liabilities (including derivative instruments classified as financial liabilities) and those designated

at initial recognition to be measured at fair value with changes recognized in profit or loss.Subsequent measurement of transactional financial liabilities (including derivatives classified as

financial liabilities) adopts fair value; except for portions related to hedge accounting changes in fair

value are recognized in current profit or loss.Designated as financial liabilities measured at fair value with changes recognized in profit or loss the

fair value changes arising from the Company's own credit risk are recognized in other comprehensive

income. Upon derecognition of such liabilities the cumulative fair value changes attributable to the

Company's own credit risk are transferred to retained earnings while the remaining fair value changes are

recognized in profit or loss. If applying this treatment would create or exacerbate accounting mismatches

in the profit or loss the Company shall recognize all gains or losses on these financial liabilities (including

the impact of the Company's own credit risk changes) in profit or loss.* Other financial liabilities

Other financial liabilities—excluding those arising from financial asset transfers that do not meet the

criteria for derecognition or from continued involvement in the transferred financial assets as well as

financial guarantee contracts—are classified as financial liabilities measured at amortized cost. Such

liabilities are subsequently measured at amortized cost and any gains or losses resulting fromderecognition or amortization are recognized in profit or loss for the period.

(3) Basis for Recognition and Measurement Methods of Financial Asset Transfers

A financial asset shall be derecognized if any of the following conditions is met: * The contractual

right to receive cash flows from the financial asset has terminated; * The financial asset has been

transferred with nearly all risks and rewards associated with its ownership transferred to the transferee; *

The financial asset has been transferred and although the enterprise has neither transferred nor retained

nearly all risks and rewards associated with its ownership it has relinquished control over the financial

asset.If an enterprise neither transfers nor retains nearly all the risks and rewards associated with the

ownership of a financial asset nor relinquishes its control over that financial asset then the relevant

financial asset shall be recognized based on the extent of its continued involvement with the transferred

financial asset and the corresponding liability shall be recognized accordingly. The extent of continued

involvement refers to the level of risk faced by the enterprise due to fluctuations in the value of the

financial asset.When the overall transfer of financial assets meets the conditions for derecognition the difference

between the carrying amount of the transferred financial assets and the consideration received from the

transfer and the cumulative fair value change previously recognized in other comprehensive income shall

be recognized in profit or loss for the period.When partial transfer of financial assets meets the conditions for derecognition the carrying amount

of the transferred financial assets shall be allocated between the derecognized portion and the remaining

portion based on their respective fair values. The difference between the consideration received from the

transfer and the cumulative fair value changes originally recognized in other comprehensive income that

are allocated to the derecognized portion minus the allocated carrying amounts shall be recognized in

profit or loss for the period.For financial assets sold with recourse or transferred by endorsement the company must determine

whether nearly all risks and rewards associated with ownership of the financial asset have been transferred.If nearly all risks and rewards associated with ownership have been transferred to the transferee the

recognition of the financial asset shall be terminated; if nearly all risks and rewards remain retained the

recognition shall not be terminated; if neither transfer nor retention of nearly all risks and rewards has

occurred the company shall continue to assess whether it retains control over the asset and apply the

accounting treatment principles outlined in the preceding paragraphs.

(4) Termination of Recognition of Financial Liabilities

When the current obligation under a financial liability (or a portion thereof) has been discharged the

Company derecognizes that financial liability (or that portion thereof). If the Company (the borrower)enters into an agreement with the lender to replace the original financial liability with a new one and the

contractual terms of the new financial liability are substantially different from those of the original the

Company derecognizes the original financial liability and simultaneously recognizes a new financial

liability. If the Company makes substantial modifications to the contractual terms of the original financial

liability (or a portion thereof) the Company derecognizes the original financial liability and recognizes a

new financial liability under the modified terms.When financial liabilities (or a portion thereof) are derecognized the Company recognizes the

difference between their carrying amount and the consideration paid (including transferred non-cash assets

or assumed liabilities) in profit or loss for the period.

(5) Offsetting of financial assets and financial liabilities

When the Company has a statutory right to offset recognized amounts of financial assets and financial

liabilities and such statutory right is currently enforceable and the Company plans to settle the financial

assets and settle the financial liabilities simultaneously at net value the financial assets and financial

liabilities shall be presented on the balance sheet at their net amount after mutual offset. Otherwise

financial assets and financial liabilities shall be presented separately on the balance sheet without mutual

offset.

(6) Methods for determining the fair value of financial assets and financial liabilities

Fair value refers to the price that market participants would receive from selling an asset or pay to

transfer a liability in an orderly transaction on the measurement date. Where financial instruments have

active markets the Company determines their fair value using quotes from such markets. Active market

quotes are prices readily available periodically from exchanges brokers industry associations and pricing

service providers reflecting actual market transactions conducted in fair dealing. For financial instruments

without active markets the Company employs valuation techniques to determine fair value. These

techniques include referencing prices from recent market transactions conducted by knowledgeable and

voluntary parties referencing the current fair values of substantially similar financial instruments

applying the discounted cash flow method and using option pricing models. In conducting valuations the

Company selects valuation techniques applicable under current circumstances and supported by sufficient

available data and information choosing input values consistent with those considered by market

participants in transactions involving the relevant assets or liabilities with priority given to observable

inputs whenever possible. When observable inputs are unavailable or impractical to obtain non-

observable inputs are utilized.

11. Impairment of financial assets

1. Method for determining expected credit lossesThe Company applies impairment accounting treatment and recognizes loss provisions for financial

assets measured at amortized cost (including receivables) financial assets classified as measured at fair

value with changes recognized in other comprehensive income (including receivables financing) and lease

receivables based on expected credit losses.At each balance sheet date the Company assesses whether the credit risk of relevant financial

instruments has increased significantly since initial recognition. The process of credit impairment for

financial instruments is divided into three stages with distinct accounting treatment applied to

impairments at each stage: (1) Stage 1: If the credit risk of a financial instrument has not increased

significantly since initial recognition the Company measures the loss provision based on the expected

credit loss over the next 12 months and calculates interest income using its carrying amount (i.e. before

impairment provision) and the actual interest rate; (2) Stage 2: If the credit risk has increased significantly

since initial recognition but no credit impairment has occurred the Company measures the loss provision

based on the expected credit loss over the entire life of the financial instrument and calculates interest

income using its carrying amount and the actual interest rate; (3) Stage 3: If credit impairment occurs after

initial recognition the Company measures the loss provision based on the expected credit loss over the

entire life of the financial instrument and calculates interest income using its amortized cost (carrying

amount minus the accrued impairment provision) and the actual interest rate.

(1) Method for measuring loss provisions for financial instruments with lower credit risk

For financial instruments with low credit risk at the balance sheet date the Company may refrain

from comparing them with their credit risk at initial recognition and instead directly assume that the credit

risk of such instruments has not increased significantly since initial recognition.If a financial instrument carries low default risk the debtor demonstrates strong short-term capacity

to meet its contractual cash flow obligations and even adverse economic or operational conditions over an

extended period do not necessarily impair the borrower's ability to fulfill these obligations the instrument

is considered to have low credit risk.

(2) Method for measuring loss provisions for accounts receivable and lease receivables

* Receivables without significant financing components. For receivables arising from transactions

governed by Accounting Standard for Business Enterprises No.14 – Revenue that do not contain

significant financing components the Company adopts a simplified approach measuring loss provisions

consistently based on expected credit losses over the entire life cycle.Based on the nature of financial instruments the Company assesses whether credit risk has increased

significantly by evaluating individual financial assets or portfolios thereof. Receivable notes and accounts

receivable are categorized into specific portfolios according to their credit risk characteristics and

expected credit losses are calculated on a portfolio basis. The criteria for portfolio determination are as

follows:

accounts receivable portfolio 1: Portfolio of related parties within the consolidated scope

Accounts Receivable Portfolio 2: Age Group Portfolio

receivables bill portfolio 1: receivable bank acceptance bills

receivables bill portfolio 2: Commercial acceptance bills receivable

For accounts receivable classified as portfolios the Company refers to historical credit loss

experience combined with the current situation and forecasts for future economic conditions to prepare a

comparison table between the aging of accounts receivable and the expected credit loss rate over their

entire life cycle thereby calculating the expected credit loss. For accounts receivable notes classified as

portfolios the Company also utilizes historical credit loss experience along with the current situation and

forecasts for future economic conditions to calculate the expected credit loss based on default risk

exposure and the expected credit loss rate over their entire life cycle.Accounts Receivable – Comparison Table of Age Groups and the Expected Credit Loss Rate Over

Their Full Life Cycle

Account Age Expected credit loss rate of accounts receivable (%)

Within 1 year (inclusive same below) 1.00

1-2 years 5.00

2–3 years 10.00

3–4 years 30.00

4-5 years 50.00

More than 5 years 100.00

* Receivables and lease receivables containing significant financing components.For receivables involving significant financing components and lease receivables governed by

Accounting Standard for Business Enterprises No.21 – Leasing the Company measures loss provisions

using the general method namely the "three-stage" model.

(3) Methods for measuring loss provisions on other financial assetsFor financial assets other than those mentioned above—such as debt investments other debt

investments other receivables and long-term receivables excluding lease receivables—the Company

measures loss provisions using the general method namely the "three-stage" model.When measuring credit impairment on financial instruments our company considers the following

factors to determine whether credit risk has increased significantly:

The Company categorizes other receivables into several portfolios based on the nature of the amounts

and calculates expected credit losses on a portfolio basis. The criteria for portfolio determination are as

follows:

Other Receivables Portfolio 1: Portfolio of Related Parties within the Consolidated Scope

Other Receivables Portfolio 2: Financing Margin Portfolio

Other Receivables Portfolio 3: Export Tax Refund Receivables Portfolio

2. Accounting Treatment Method for Expected Credit Losses

To reflect changes in the credit risk of financial instruments after initial recognition the Company re-

measures expected credit losses at each balance sheet date. The resulting increases or reversals in loss

provisions shall be recognized as impairment losses or gains in the current period's profit or loss.Depending on the type of financial instrument these amounts shall either reduce the carrying amount of

the financial asset on the balance sheet or be recognized as estimated liabilities or as other comprehensive

income (for debt investments measured at fair value with changes recognized in other comprehensive

income).

12. Inventory

(1) Classification of Inventory

Inventories refer to the finished goods or commodities held by the Company for sale in its daily

operations work-in-progress items and materials consumed during production or service delivery. These

primarily include raw materials consumables (such as packaging materials and low-value consumables)

materials processed under contract work-in-progress self-manufactured semi-finished products and

finished goods (merchandise inventory).

(2) Pricing Method Used for Issuance

When inventory is issued the actual cost is determined using the weighted average method at the end

of the month.

(3) The inventory counting system adopts the perpetual inventory method.

(4) Amortization method for low-value consumables and packaging materials

Low-value consumables are amortized using the straight-line method upon requisition; packagingmaterials are also amortized using the straight-line method upon requisition.

(3) Criteria for Recognition and Provision Method for Inventory Impairment Losses

On the balance sheet date inventory is measured at the lower of cost and net realizable value with

impairment provisions calculated for each individual inventory item. For inventories that are numerous

and have low unit prices impairment provisions are calculated based on inventory category.On the balance sheet date inventory is measured at the lower of cost and net realizable value with

inventory impairment provisions recognized based on the difference between the cost and net realizable

value for each inventory category. For inventory directly intended for sale its net realizable value is

determined during normal operations as the estimated selling price minus estimated selling expenses and

relevant taxes. For inventory requiring processing its net realizable value is determined during normal

operations as the estimated selling price of the finished products minus estimated costs selling expenses

and relevant taxes incurred until completion. On the balance sheet date for each component of the same

inventory that has a contract price and those without a contract price their respective net realizable values

are determined and compared with their corresponding costs to calculate the amount of inventory

impairment provisions to be recognized or reversed.

13. Long-term equity investment

The term "long-term equity investments" referred to in this section denotes those in which the

Company holds controlling jointly controlling or significant influence over the investee entity. Long-term

equity investments in which the Company does not hold controlling jointly controlling or significant

influence are accounted for as financial assets measured at fair value with changes recognized in profit or

loss. For non-trading investments the Company may at initial recognition choose to classify them as

financial assets measured at fair value with changes recognized in other comprehensive income. The

accounting policy is detailed in Note 3 Section 10 "Financial Instruments."

Joint control refers to the Company's shared control over a specific arrangement under relevant

agreements where decisions regarding activities under such arrangement require unanimous consent from

all parties sharing control rights. Significant influence means the Company has the authority to participate

in decision-making regarding the financial and operational policies of the investee entity but lacks either

sole control or joint control with other parties over the formulation of these policies.

(1) Determination of Investment Costs

For long-term equity investments acquired through business combinations under common control the

initial investment cost shall be determined on the combination date based on the share of the acquirer's

equity book value in the ultimate controlling party's consolidated financial statements. The difference

between the initial investment cost and the sum of cash payments transferred non-cash assets and

assumed debt book values shall be allocated to capital reserves; if capital reserves are insufficient thedifference shall be adjusted against retained earnings. Where equity securities are issued as consideration

for the combination the initial investment cost shall be calculated based on the acquirer's equity share in

the ultimate controlling party's consolidated financial statements with the total par value of issued shares

recognized as share capital. The difference between the initial investment cost and the total par value of

issued shares shall be allocated to capital reserves; if capital reserves are insufficient the difference shall

be adjusted against retained earnings.For long-term equity investments acquired through business combinations under different controls

the acquisition cost shall be recognized as the initial investment cost on the acquisition date. The

consolidation cost comprises the sum of assets contributed by the acquirer liabilities incurred or assumed

and the fair value of issued equity securities.The intermediary fees incurred during business combinations—such as audit services legal services

valuation consulting and other related administrative expenses—along with those of the merging entity or

purchaser shall be recognized in profit or loss at the time of occurrence.For other equity investments other than those arising from business combinations the initial

measurement is made at cost. This cost is determined based on the method of acquisition of the long-term

equity investment using either the actual cash payment made by the Company the fair value of equity

securities issued by the Company the value specified in the investment contract or agreement the fair

value or original carrying amount of the assets exchanged in non-monetary asset transactions or the fair

value of the long-term equity investment itself. Expenses taxes and other necessary expenditures directly

related to the acquisition of the long-term equity investment are also included in the investment cost.

(2) Subsequent Measurement and Profit/Loss Recognition Method

Long-term equity investments in investee entities that are jointly controlled (excluding cases where

they constitute joint operators) or significantly influenced shall be accounted for using the equity method.Additionally long-term equity investments in which the company exercises control over the investee

entity may be accounted for using the cost method in its financial statements.* Long-term equity investments accounted for using the cost method

When using the cost method for accounting long-term equity investments are valued at their initial

investment cost with adjustments made to the cost upon additional investments or investment withdrawals.Excluding cash dividends or profits declared but not yet distributed included in the actual payment or

consideration received upon investment acquisition current investment income is recognized based on the

cash dividends or profits declared and distributed by the investee entity.* Long-term equity investments accounted for using the equity method

When using the equity method for accounting if the initial investment cost of a long-term equity

investment exceeds the investor's share of the fair value of the investee's identifiable net assets at the timeof investment the initial investment cost shall not be adjusted; if the initial investment cost is less than the

investor's share of the fair value of the investee's identifiable net assets at the time of investment the

difference shall be recognized in profit or loss for the period and the cost of the long-term equity

investment shall be adjusted accordingly.When applying the equity method of accounting investment income and other comprehensive

income are recognized separately based on the investor's share of the investee's net profit or loss and other

comprehensive income while simultaneously adjusting the carrying amount of long-term equity

investments. The investor's share of profits or cash dividends declared by the investee reduces the carrying

amount of long-term equity investments accordingly. For all other changes in the investee's owners 'equity

excluding net profit/loss other comprehensive income and profit distribution the carrying amount of

long-term equity investments is adjusted and recorded in capital reserves. The recognition of the investor's

share of the investee's net profit/loss is based on the fair value of identifiable assets at the time of

investment adjusted against the investee's net profit. Where the investee adopts accounting policies or

fiscal periods differing from those of the parent company the investee's financial statements are adjusted

in accordance with the parent company's policies and periods and investment income 及其他

comprehensive income are determined accordingly. For transactions between the parent company and

associates or joint ventures if the assets disposed of do not constitute business operations unrealized

internal transaction gains or losses are offset by the parent company's share calculated proportionally

upon which investment income and other comprehensive income are recognized. However unrealized

internal transaction losses between the parent company and the investee that constitute impairment losses

on transferred assets are not offset.When recognizing the shareable portion of the net loss incurred by the investee the recognition shall

be limited to the book value of the long-term equity investment and the reduction of other long-term

interests that substantially constitute a net investment in the investee to zero. Furthermore if the Company

has an obligation to bear additional losses for the investee an estimated liability shall be recognized and

recorded as an investment loss for the current period. If the investee generates net profit in subsequent

periods the Company shall resume recognizing the share of profit after offsetting the unconfirmed loss-

sharing amount against the share of profit.* Acquisition of minority equity

When preparing consolidated financial statements the difference between the newly added long-term

equity investment resulting from the acquisition of minority interests and the subsidiary's net asset share

calculated based on the new shareholding ratio which is continuously accrued from the acquisition date

(or consolidation date) shall be adjusted against the capital reserve. If the capital reserve is insufficient

the difference shall be offset against retained earnings.* Disposal of long-term equity investments

In consolidated financial statements when the parent company partially disposes of its long-term

equity investments in subsidiaries without losing control the difference between the disposal proceeds and

the subsidiary's net assets corresponding to the disposed long-term equity investment is recognized in

shareholders' equity. If the partial disposal results in the parent company losing control over the subsidiary

the transaction shall be accounted for in accordance with the relevant accounting policies specified in Note

3 Section 6 Subparagraph (2) of this document "Method of Preparation of Consolidated Financial

Statements."

For the disposal of long-term equity investments under other circumstances the difference between

the carrying value of the disposed equity and the actual consideration received shall be recognized in profit

or loss for the period.For long-term equity investments accounted for using the equity method if the remaining equity

interests after disposal continue to be accounted for using the equity method the portion of other

comprehensive income originally recorded in shareholders 'equity shall be accounted for at the

corresponding ratio using the same basis as that applied when the investee directly disposed of related

assets or liabilities at the time of disposal. All changes in owners' equity attributable to the investee's

owner's equity other than net profit or loss other comprehensive income and profit distribution shall be

transferred to the current period profit or loss in proportion.For long-term equity investments accounted for using the cost method if the remaining equity after

disposal continues to be accounted for using the cost method the other comprehensive income recognized

prior to obtaining control over the investee—whether from the equity method or from the financial

instruments recognition and measurement standards—shall be accounted for using the same basis as the

direct disposal of related assets or liabilities of the investee and transferred proportionally to current period

profit or loss; all other changes in owners 'equity within the investee's net assets recognized under the

equity method excluding net profit or loss other comprehensive income and profit distribution shall also

be transferred proportionally to current period profit or loss.When a company loses control over an investee due to the disposal of a portion of its equity

investments and the remaining equity after disposal can exercise joint control or significant influence over

the investee during the preparation of individual financial statements the equity method shall be applied

with the remaining equity adjusted as if it had been accounted for using the equity method from

acquisition. If the remaining equity after disposal cannot exercise joint control or significant influence over

the investee accounting treatment shall comply with the relevant provisions of the Financial Instruments

Recognition and Measurement Standards and the difference between the fair value and book value of the

equity at the date of loss of control shall be recognized in profit or loss for the period. For othercomprehensive income recognized prior to the company obtaining control over the investee under either

the equity method or the Financial Instruments Recognition and Measurement Standards the accounting

treatment shall follow the same basis as the direct disposal of related assets or liabilities by the investee

upon loss of control. All changes in owners 'equity attributable to the equity method—excluding net

profit/loss other comprehensive income and profit distribution—shall be transferred to profit or loss upon

loss of control. Specifically: if the remaining equity after disposal is accounted for using the equity method

other comprehensive income and other owners' equity are transferred proportionally; if the remaining

equity is accounted for under the Financial Instruments Recognition and Measurement Standards both

other comprehensive income and other owners' equity are fully transferred.When a company loses joint control or significant influence over an investee due to the disposal of a

portion of its equity investment the remaining equity interest after disposal shall be accounted for in

accordance with the Financial Instruments Recognition and Measurement Standards. The difference

between the fair value and the carrying value of the equity interest on the date of loss of joint control or

significant influence shall be recognized in profit or loss for the period. Other comprehensive income

recognized from the original equity investment under the equity method shall be accounted for under the

same basis as the direct disposal of related assets or liabilities by the investee upon termination of the

equity method. All changes in owners 'equity attributable to the investee's own equity other than net profit

or loss other comprehensive income and profit distribution shall be fully transferred to investment

income for the period upon termination of the equity method.

14. Investment property

Investment property refers to real estate held for the purpose of generating rental income capital

appreciation or both. This includes leased land use rights land use rights held with plans for appreciation

and subsequent transfer and leased buildings.Investment property is initially measured at cost. Subsequent expenditures related to investment

property shall be included in the cost of the asset if the economic benefits associated with the asset are

likely to flow and the cost can be reliably measured. Other subsequent expenditures shall be recognized in

profit or loss at the time they occur.When an investment property is disposed of permanently withdrawn from use and it is expected that

no economic benefits will be derived from its disposal the recognition of such investment property is

terminated. The proceeds from the disposal of an investment property—whether through sale transfer

scrapping or damage—after deducting its carrying amount and relevant taxes and fees shall be recognized

in the current period's profit or loss.

15. Fixed Assets

(1) Conditions for recognizing fixed assetsFixed assets refer to tangible assets held for the purpose of producing goods providing services

leasing or operating and managing with a useful life exceeding one accounting year. Fixed assets are

recognized only when it is probable that the economic benefits associated with them will flow to the

company and their costs can be reliably measured. Fixed assets are initially measured at cost taking into

account the impact of estimated disposal costs.

(2) Depreciation methods for various types of fixed assets

For fixed assets depreciation is calculated using the straight-line method over their service life

starting from the month following the achievement of the intended usable condition. The service life

estimated residual value and annual depreciation rate for various types of fixed assets are as follows:

ratio of yearly

method of Depreciation

class remaining depreciation

depreciation period (years)

value （%） （%）

Houses and Buildings Annual Average 15-35 3.00 2.77-6.47

Method

machinery equipment Annual Average 10-15 3.00 6.47-9.70

Method

conveyance Annual Average 6-8 3.00 12.13-16.17

Method

Electronic Equipment Annual Average 4-11 3.00 8.82-24.25

Method

other Annual Average 4-11 3.00 8.82-24.25

Method

The estimated residual value refers to the amount obtained by the Company from the disposal of an

asset after deducting estimated disposal costs assuming the fixed asset has reached the end of its estimated

useful life and is in its expected condition at that point.

(3) Methods for impairment testing of fixed assets and methods for making impairment provisions

For details on the impairment testing methods for fixed assets and the impairment provision

calculation methods refer to Note 3 Section 19 "Impairment of Long-term Assets".

(4) Other Notes

Subsequent expenditures related to fixed assets shall be recognized in the cost of the fixed asset if the

economic benefits associated with the asset are likely to flow and their costs can be reliably measured

thereby eliminating the carrying amount of the replaced portion. All other subsequent expenditures shall

be recognized in profit or loss at the time they occur.When a fixed asset is being disposed of or is expected to generate no economic benefits through useor disposal its recognition is terminated. The difference between the disposal proceeds from the sale

transfer scrapping or damage of the fixed asset and its carrying amount after deducting relevant taxes

and fees is recognized in profit or loss for the period.The Company shall review the service life estimated net residual value and depreciation method of

fixed assets at least once at the end of each fiscal year. Any changes made shall be treated as adjustments

to accounting estimates.

16. Projects under construction

The Company's construction-in-progress projects are categorized into two types: self-construction

and contracted construction. Upon completion of the projects and attainment of their intended usable

condition they are recognized as fixed assets. The determination of the intended usable condition shall

meet one of the following criteria: (1) The physical construction (including installation) of the fixed asset

has been fully completed or substantially completed; (2) The asset has undergone trial production or trial

operation with results demonstrating its ability to operate normally or produce qualified products stably;

or (3) The trial operation results indicate its capability for normal operation or business activities; (4)

Expenditures on the fixed asset under construction are minimal or virtually non-existent; or (5) The

acquired fixed asset meets the design or contractual requirements or is substantially consistent with such

requirements.When the construction-in-progress reaches its intended usable condition it is transferred to fixed

assets at the project's actual cost. For projects that have reached the intended usable condition but have not

yet completed final accounting they are initially recorded as fixed assets at estimated value; the original

provisional estimate is adjusted to reflect the actual cost after final accounting is completed while

previously accrued depreciation remains unchanged.For details on the impairment testing methodology and impairment provision calculation method for

construction in progress refer to Note 3 Section 19 "Impairment of Long-term Assets."

17. Loan costs

Loan costs comprise borrowing interest amortization of discounts or premiums ancillary expenses

and exchange differences arising from foreign currency borrowings. Loan costs directly attributable to the

acquisition construction or production of assets meeting capitalization criteria shall be capitalized when

asset expenditures have been incurred borrowing costs have been recognized and the necessary

acquisition construction or production activities to bring the asset to its intended usable or saleable state

have commenced; capitalization shall cease when such assets reach their intended usable or saleable state.Other borrowing costs are recognized as expenses in the period in which they are incurred.For special loans the actual interest expenses incurred during the period shall be capitalized after

deducting the interest income generated from depositing unused loan funds in banks or the investmentreturns obtained from temporary investments. For general loans the capitalizable amount is determined by

multiplying the weighted average of cumulative asset expenditures exceeding those of special loans by the

capitalization rate applicable to the utilized general loans. The capitalization rate is calculated based on the

weighted average interest rate of general loans.During the capitalization period all exchange differences on foreign currency special loans are

capitalized; exchange differences on foreign currency general loans are recognized in profit or loss for the

period.Assets meeting capitalization criteria refer to fixed assets investment properties and inventories that

require a considerable period of acquisition construction or operational activities to reach their intended

usable or saleable state.If an asset meeting capitalization criteria experiences an abnormal interruption during its acquisition

construction or production process and the interruption lasts continuously for more than three months the

capitalization of borrowing costs shall be suspended until the asset's acquisition construction or

production activities resume.Assets meeting capitalization criteria refer to fixed assets investment properties and inventories that

require a considerable period of acquisition construction or operational activities to reach their intended

usable or saleable state.

18. Intangible Assets

(1) Intangible Assets

Intangible assets refer to identifiable non-monetary assets owned or controlled by the Company that

lack physical form.Intangible assets are initially measured at cost. Expenditures related to intangible assets are

recognized in the cost of the intangible assets if the associated economic benefits are likely to flow to the

company and their costs can be reliably measured. Expenditures on other items are recognized in profit or

loss at the time they occur.The acquired land use rights are typically accounted for as intangible assets. When a company

independently develops and constructs buildings such as factory facilities the related land use right

expenditures and building construction costs are accounted for separately as intangible assets and fixed

assets respectively. For purchased buildings and structures the corresponding purchase price is allocated

between the land use rights and the buildings; if an equitable allocation is not feasible the entire amount is

treated as fixed assets.For intangible assets with a finite useful life the amortization base is calculated as the original cost

minus the estimated net residual value and the cumulative amount of impairment provisions accumulated

and amortization is performed on an average basis over the estimated useful life using the straight-linemethod from the point when the asset becomes available for use. Intangible assets with an indefinite useful

life are not amortized.The useful life determination basis and amortization method for intangible assets with finite useful

lives are as follows:

project life length Amortization Method

software 3-10 Linear method for stage averaging

land use right 40-50 Linear method for stage averaging

At the end of the period the useful life and amortization method of intangible assets with a finite

useful life are reviewed; any changes are treated as adjustments to accounting estimates. Additionally the

useful life of intangible assets with an indefinite useful life is reviewed. If evidence indicates that the

period during which the intangible asset generates economic benefits is foreseeable its useful life is

estimated and amortized using the amortization method applicable to intangible assets with a finite useful

life.

(2) Research and Development Expenses

The expenditures for our company's internal research and development projects are categorized into

research phase expenditures and development phase expenditures.Expenses incurred during the research phase are recognized in profit or loss for the period in which

they occur.The scope of R&D expenditure aggregation for our company includes materials consumed for R&D

intermediate trial costs travel expenses design fees depreciation and amortization employee

compensation and other items.The company's specific criteria for distinguishing between research phase expenditures and

development phase expenditures in internal R&D projects:

The research phase refers to the stage of conducting original planned investigations and research

activities aimed at acquiring and understanding new scientific or technological knowledge; the

development phase involves applying research findings or other knowledge to specific plans or designs

prior to commercial production or application resulting in the creation of new or substantially improved

materials devices or products.Expenses incurred during the development phase shall be recognized as intangible assets if all the

following conditions are met; otherwise such expenses shall be recognized in profit or loss for the current

period.* It is technically feasible to complete the intangible asset so that it can be used or sold;

* Intends to complete the acquisition of the intangible asset and use or sell it;

* The ways in which intangible assets generate economic benefits include: demonstrating thatproducts manufactured using such assets have a market or that the intangible assets themselves have a

market; or when the assets are used internally proving their utility.* Possess sufficient technical financial and other resources to complete the development of the

intangible asset and have the capability to utilize or sell it;

* The expenditures incurred during the development stage of this intangible asset can be reliably

measured.Where it is impossible to distinguish between expenditures incurred during the research phase and

those during the development phase all research and development expenditures shall be included in the

current period's profit or loss.

(3) Methods for testing impairment of intangible assets and for recognizing impairment losses

For details on the impairment testing methods for intangible assets and the impairment provision

calculation methods refer to Note 3 Section 19 "Impairment of Long-term Assets".

19. Impairment of long-term assets

For non-current non-financial assets—including fixed assets construction in progress intangible

assets with finite useful lives right-of-use assets investment properties measured at cost and long-term

equity investments in subsidiaries joint ventures and associates—the Company assesses for impairment

indications on the balance sheet date. Where impairment indications exist the recoverable amount is

estimated and an impairment test is conducted. Goodwill intangible assets with indefinite useful lives and

intangible assets that have not yet reached their usable state undergo annual impairment testing regardless

of the presence of impairment indications.The impairment assessment results indicate that when an asset's recoverable amount falls below its

carrying value an impairment loss is recognized based on the difference. The recoverable amount is

defined as the higher of: the net amount of the asset's fair value less disposal costs or the present value of

the asset's estimated future cash flows. The fair value of an asset is determined by the transaction price in a

fair market transaction; where no transaction agreement exists but the asset has an active market the fair

value is determined by the highest bid price; where neither a transaction agreement nor an active market

exists the fair value is estimated using the best available information. Disposal costs include legal fees

applicable taxes handling charges and direct expenses incurred to prepare the asset for sale. The present

value of future cash flows is calculated by discounting the projected cash flows generated during the

asset's useful life and upon final disposal using an appropriate discount rate. Impairment provisions are

calculated and recognized on an individual asset basis; when estimating the recoverable amount of an

individual asset is difficult the recoverable amount is determined for the asset group to which the asset

belongs—the smallest identifiable group of assets capable of generating independent cash flows.Goodwill separately presented in financial statements shall during impairment testing have itscarrying amount allocated to the asset groups or combinations of asset groups expected to benefit from the

synergies arising from the business combination. If the test results indicate that the recoverable amount of

the asset group or combination of asset groups containing the allocated goodwill is lower than its carrying

amount the corresponding impairment loss shall be recognized. The impairment loss amount shall first be

deducted from the carrying amount of the goodwill allocated to that asset group or combination and then

proportionally deducted from the carrying amounts of the other assets within the asset group or

combination based on their respective share of the total carrying amount excluding goodwill.Once the aforementioned asset impairment loss is recognized the portion of value recovered cannot

be reversed in subsequent periods.

20. Long-term prepaid expenses

Long-term prepaid expenses refer to various costs that have already been incurred but should be

allocated over the reporting period and subsequent periods with an amortization period exceeding one

year. The Company's long-term prepaid expenses primarily consist of renovation costs. These expenses

are amortized using the straight-line method over their estimated benefit period.

21. Contract Liabilities

Contract liabilities refer to the obligation of the Company to deliver goods to customers for which the

Company has received or is due to receive consideration from them. If the customer has paid the contract

consideration or the Company has acquired an unconditional right to receive payment prior to the delivery

of goods the Company recognizes such received or receivable amounts as contract liabilities at the earlier

of the customer's actual payment date or the due payment date. Contract assets and contract liabilities

under the same contract are presented on a net basis; those under different contracts are not offset against

each other.

22. Employee Compensation

The company's employee compensation primarily consists of short-term employee compensation

post-employment benefits termination benefits and other long-term employee benefits. Specifically:

Short-term compensation primarily includes wages bonuses allowances and subsidies employee

welfare expenses medical insurance premiums maternity insurance premiums work-related injury

insurance premiums housing provident fund contributions trade union funds employee education funds

and non-monetary benefits. During the accounting period in which employees provide services to the

company the actual short-term employee compensation incurred is recognized as a liability and recorded

in the current period's profit or loss or the cost of related assets. Non-monetary benefits are measured at

fair value.Post-employment benefits primarily include basic pension insurance unemployment insurance and

annuities. Post-employment benefit plans consist of defined contribution plans and defined benefit plans.For defined contribution plans the corresponding contribution amounts are recognized either as part of the

asset cost or recorded in the current period's profit or loss upon occurrence.When terminating the employment relationship with an employee before the expiration of the labor

contract or when proposing compensation to encourage voluntary workforce reduction the employee

compensation liability arising from such termination shall be recognized and recognized in profit or loss at

the earlier of: (1) the date on which the company cannot unilaterally withdraw the termination benefits

provided under the employment termination plan or reduction proposal; or (2) the date on which the

company confirms the costs associated with the restructuring involving the payment of such termination

benefits. However if the termination benefits are not expected to be fully paid within twelve months

following the end of the annual reporting period they shall be treated as other long-term employee

benefits.The internal employee retirement plan follows the same principles as the aforementioned severance

benefits. For employees who opt for early retirement the company will recognize the wages payable and

social insurance contributions accrued from the date of service termination until the normal retirement date

as current period expenses (severance benefits) when the conditions for recognizing estimated liabilities

are met.Other long-term employee benefits provided by the Company shall be accounted for under the

defined contribution plan where applicable and otherwise under the defined benefit plan.

23. Provision for Liabilities

When obligations arising from contingent matters such as external guarantees litigation matters

product quality guarantees or loss contracts become current obligations assumed by the Company and the

fulfillment of such obligations is likely to result in an outflow of economic benefits from the Company

with the amount of these obligations being reliably measurable the Company recognizes such obligations

as estimated liabilities.The Company initially measures its estimated liabilities based on the best estimate of expenditures

required to fulfill relevant current obligations and reviews the carrying amount of these liabilities at the

balance sheet date.If the entire or partial expenditure required to settle an estimated liability is expected to be

compensated by a third party the compensation amount shall be recognized separately as an asset when it

is essentially certain that it will be received provided that the recognized compensation amount does not

exceed the carrying amount of the estimated liability.

24. Income

The Company recognizes revenue when fulfilling its performance obligations under the contract—

that is upon the customer obtaining control of the relevant goods or services—in accordance with thetransaction price allocated to such performance obligation. Acquisition of control of the relevant goods

refers to the ability to dominate their use and derive nearly all economic benefits therefrom. A

performance obligation denotes the Company's commitment under the contract to transfer clearly

identifiable goods to the customer. The transaction price represents the amount of consideration the

Company expects to receive for transferring the goods to the customer excluding payments received on

behalf of a third party and amounts the Company expects to refund to the customer.Whether a performance obligation is fulfilled over a specific period or at a specific point in time

depends on the contract terms and relevant legal provisions. If the obligation is fulfilled over a period the

Company recognizes revenue based on the progress of performance. Otherwise the Company recognizes

revenue at the point when the customer obtains control of the relevant assets.For performance obligations stipulated in sales contracts for engineering construction and

maintenance services that meet the condition of "performance within a specified period" revenue is

recognized based on the progress of performance unless the progress cannot be reasonably determined.The Company uses the input method to determine the contract performance progress as the ratio of the

cumulative contract costs incurred to the contract target cost. If the progress cannot be reasonably

determined but the incurred costs are expected to be fully recovered the Company recognizes revenue

based on the amount of incurred costs until the progress can be reasonably determined.The sales of video conferencing products integrated wiring products intelligent electrical products

communication infrastructure products and other products constitute performance obligations fulfilled at a

specific point in time. Revenue recognition for these products requires the following conditions: the

company has delivered the products to the buyer as stipulated in the contract and obtained the buyer's

acceptance; the product sales revenue amount has been determined; payment has been received or

payment vouchers have been obtained; it is probable that the related economic benefits will materialize;

and the costs associated with the products can be reliably measured.

25. Contract Cost

Contract costs are divided into contract performance costs and contract acquisition costs.The costs incurred by the Company in fulfilling the contract shall be recognized as an asset for

contract performance costs only when the following conditions are simultaneously met:

(1) This cost is directly related to a current or expected contract including direct labor direct

materials manufacturing overhead (or similar expenses) costs explicitly borne by the client and other

costs incurred solely for that contract;(2) This cost increases the resources the enterprise will allocate in the future to fulfill its performance

obligations;

(3) This cost is expected to be recovered.

When the incremental costs incurred by the Company to obtain a contract are expected to be

recovered they shall be recognized as part of the contract acquisition cost and classified as an asset;

however if the amortization period of such asset does not exceed one year the cost may be recognized in

profit or loss at the time of occurrence.Assets related to contract costs are amortized using the same basis as the revenue recognition from

goods or services associated with those assets.For assets related to contract costs if their carrying value exceeds the sum of the following two

amounts the Company shall recognize an impairment loss on the excess amount and record it as an asset

impairment loss:

(1) The remaining consideration expected to be received from the transfer of goods or services related

to the asset;

(2) The estimated costs incurred for transferring the relevant goods or services.

Where the aforementioned asset impairment provision is subsequently reversed the revised book

value of the asset shall not exceed its book value on the reversal date under the assumption that no

impairment provision was recognized.

26. Government Subsidy

Government grants refer to monetary and non-monetary assets obtained by the Company from the

government without compensation excluding capital invested by the government as an investor with

corresponding owner's equity. Government grants are categorized into asset-related grants and revenue-

related grants. When government grants consist of monetary assets they are measured at the amount

received or receivable. For non-monetary assets they are measured at fair value; if fair value cannot be

reliably determined they are measured at nominal amount. Government grants measured at nominal

amount are directly recognized in profit or loss for the period.Government grants related to assets are recognized as deferred income and are allocated to current

period earnings over the useful life of the relevant assets using a reasonable and systematic method.Government grants related to income that are intended to compensate for future costs expenses or losses

are recognized as deferred income and are recognized in current period earnings when the corresponding

costs expenses or losses are recognized; those intended to compensate for incurred costs expenses or

losses are recognized directly in current period earnings.Government grants that encompass both asset-related components and revenue-related components

should be accounted for separately; where differentiation is difficult they should be collectively classified

as revenue-related government grants.Government grants related to the company's daily operations shall be recognized as other income or

deducted from relevant costs and expenses based on the substance of the economic transactions;

government grants unrelated to daily operations shall be recorded as non-operating income or expenses.When confirmed government grants need to be refunded if there is a relevant deferred income

balance the corresponding deferred income balance shall be offset; any excess amount shall be recognized

in current period profit or loss. In other cases the amount shall be directly recognized in current period

profit or loss.

27. Deferred income tax assets/deferred income tax liabilities

The deferred income tax asset or liability is recognized based on the difference between the carrying

amount of assets and liabilities and their tax basis (for items not recognized as assets or liabilities where

their tax basis can be determined in accordance with tax laws the difference between the tax basis and the

carrying amount) calculated using the applicable tax rate during the period when the asset is expected to

be recovered or the liability settled.Deferred tax assets shall be recognized only to the extent that it is probable that sufficient taxable

income will be available to offset deductible temporary differences. At the balance sheet date if there is

conclusive evidence that sufficient taxable income is likely to be available in future periods to offset such

differences deferred tax assets previously unrecognized in prior accounting periods shall be recognized.On the balance sheet date review the carrying amount of deferred tax assets. If it is probable that

sufficient taxable income will not be available in future periods to realize the benefits of these deferred tax

assets reduce their carrying amount. When sufficient taxable income is likely to be obtained reverse the

reduction amount.The Company's current income tax and deferred income tax are recognized as income tax expenses or

income in the current period's profit or loss excluding income tax arising from the following transactions:

business combinations; or transactions or events recognized directly in owners' equity.When the company holds statutory rights for net settlement and intends to conduct both net settlement

or acquisition of assets and settlement of liabilities simultaneously its current income tax assets and

liabilities shall be reported at the net amount after offsetting.

28. Lease

（1）Our company acts as the lessee.

The leased assets of our company are primarily mechanical equipment.On the lease commencement date the Company recognizes right-of-use assets and lease liabilities forleases other than short-term leases and low-value asset leases and recognizes depreciation expenses and

interest expenses separately over the lease term.During the lease term our company applies the straight-line method recognizing the lease payments

for short-term leases and low-value asset leases as current period expenses.* Right-to-use asset

Right-of-use assets refer to the rights granted to the lessee to use the leased asset during the lease

term. At the commencement date of the lease term right-of-use assets are initially measured at cost. This

cost includes: * the initial measurement amount of the lease liability; * lease payments made on or

before the lease commencement date; if lease incentives are applicable the amount of such incentives

already received shall be deducted; * the lessee's initial direct costs; * the costs expected to be incurred

by the lessee for dismantling and removing the leased asset restoring the premises where the asset is

located or returning the asset to the condition specified in the lease terms.The Company uses the straight-line method for the classification and calculation of depreciation on

its right-of-use assets. For leases where it is reasonably certain that ownership of the leased asset will be

acquired upon lease expiration depreciation is calculated over the asset's estimated remaining useful life;

for leases where this certainty is lacking depreciation is calculated over the shorter of the lease term and

the asset's remaining useful life.The Company determines whether right-of-use assets have experienced impairment and performs the

corresponding accounting treatment in accordance with the relevant provisions of Accounting Standard for

Business Enterprises No.8 – Asset Impairment.* lease obligation

Lease liabilities are initially measured at the present value of the outstanding lease payments as of the

lease commencement date. Lease payments include: * fixed payments (including substantially fixed

payments); where lease incentives exist the amount related to such incentives is deducted; * variable

lease payments dependent on indices or ratios; * amounts payable based on the residual value of

guarantees provided by the lessee; * the exercise price of a purchase option provided the lessee

reasonably determines to exercise such option; * amounts payable for exercising the lease terminationoption provided the lease term reflects the lessee's intention to exercise such option.The Company uses the lease embedded interest rate as the discount rate; if the lease embedded

interest rate cannot be reasonably determined the Company's incremental borrowing interest rate is used

as the discount rate. The Company calculates the interest expense on lease liabilities for each period of the

lease term using a fixed periodic interest rate and records it as financial expense. This periodic interest rate

refers to the discount rate or the revised discount rate adopted by the Company.Variable lease payments not included in the measurement of lease liabilities are recognized in profit

or loss at the actual occurrence.When the valuation results for the lease renewal option lease termination option or purchase option

change the lease liability shall be remeasured using the present value calculated based on the revised lease

payments and the updated discount rate with the carrying amount of the right-of-use asset adjusted

accordingly. If there are changes in material lease payments the estimated payable amount of the residual

value of the guarantee or variable lease payments dependent on indices or ratios the lease liability shall

be remeasured using the present value calculated based on the revised lease payments and the original

discount rate and the carrying amount of the right-of-use asset shall be adjusted accordingly.* Short-term leasing and leasing of low-value assets

For short-term leases (those with a lease term not exceeding 12 months on the lease commencement

date) and low-value assets (valued below RMB 2000) the Company adopts a simplified approach: it does

not recognize right-of-use assets or lease liabilities but instead allocates lease payments over each period

of the lease term using the straight-line method or another systematic and reasonable method to the cost of

the relevant assets or to the current period's profit or loss.

（2）Our company acts as the lessor.

1 operation lease

The Company uses the straight-line method to recognize lease receivables from operating leases as

rental income for each period of the lease term. Variable lease payments related to operating leases that

have not been included in the lease receivables are recognized in profit or loss when actually incurred.

2 finance lease

On the lease commencement date the Company recognizes the receivable from the financial lease

and derecognizes the financial lease asset. The receivable from the financial lease is initially measured at

the net lease investment amount (the sum of the unguaranteed residual value and the present value of leasereceivables not yet received at the lease commencement date discounted at the lease's effective rate) and

interest income for the lease term is recognized at a fixed periodic rate. Variable lease payments received

by the Company that are not included in the net lease investment amount are recognized in profit or loss

when actually incurred.

29. Methodology and Selection Criteria for Determining Importance Standards

Disclosures related to the criteria for Methods for Determining and Selection Criteria for

determining materiality Importance Standards

When the amount exceeds 5% of the corresponding

receivables for which significant

accounts receivable and surpasses RMB 4 million or

individual provisions for bad debts have

when the provision for bad debts in the current period

been made

affects profit and loss figures.The reversal of bad debt provisions affects more than

Recovery or reversal of provisions for

5% of the current period's bad debt provision reversal

doubtful accounts on important

amount with the amount exceeding RMB 1 million or

receivables

influences the current period's profit and loss.Significant accounts payable and other More than 5% of the accounts payable or other

payables with an aging period exceeding payables balance with an amount exceeding RMB 1

one year million

Minority shareholders hold more than 5% of the equity

Subsidiaries in which minority

and their total assets net assets operating revenue and

shareholders hold significant equity

net profit account for over 10% of the corresponding

interests

items in the consolidated financial statements.The book value accounts for more than 10% of the

long-term equity investment or the investment income

Important joint venture or cooperative

(losses calculated in absolute terms) derived from joint

enterprise

ventures or associated enterprises accounts for more

than 10% of the consolidated net profit.The total assets or total liabilities account for more than

10% of the consolidated financial statements with an

Important Debt Restructuring

absolute amount exceeding RMB 2 million or have an

impact on net profit exceeding 10%.

30. Changes to significant accounting policies and accounting estimates

(1) Change in Accounting PoliciesThe Company had no significant changes to accounting policies during the reporting period.

(2) Change in Accounting Estimates

The Company had no significant changes to accounting estimates during the reporting period.IV. Taxes

1. Main Tax Types and Rates

categories of taxes Specific tax rate details

The taxable income is subject to output VAT at rates of

13%6%5% and 3% respectively. Value-added tax is calculated

added-value tax

and paid based on the difference after deducting the input VAT

eligible for deduction in the current period.urban maintenance &

The tax is calculated at 7% of the actual value-added tax paid.construction tax

extra charges of education funds The tax is calculated at 3% of the actual value-added tax paid.Local Education Surcharge The tax is calculated at 2% of the actual value-added tax paid.For value-based taxation the tax is calculated at 1.2% of the residual

value after deducting 30% of the property's original value in a single

building taxes

deduction; for rental-based taxation the tax is calculated at 12% of

rental income.business income taxes See the table below for details.Name of the taxpaying entity rate of income tax

Nanjing Putian Tianji Building Intelligence Co. Ltd. 15%

Nanjing Putian Datang Information Electronics Co. Ltd. 15%

Other tax entities other than those mentioned above 25%

2. Tax incentives and approval documents

1. Nanjing Putiantianji Building Intelligence Co. Ltd. obtained the High-Tech Enterprise Certificate

in December 2024 valid for three years and will pay corporate income tax at a reduced rate of 15% for

the 2024–2026 fiscal year.

2. Nanjing Putian Datang Information Electronics Co. Ltd. obtained its High-Tech Enterprise

Certificate in November 2024 valid for three years and will pay corporate income tax at a reduced rate of

15% for the 2024–2026 fiscal year.

3. Nanjing Putian Datang Information Electronics Co. Ltd. has been recognized as a software

enterprise. Certain software products from Nanjing Putian Tianji Building Intelligence Co. Ltd. andNanjing Southern Telecommunications Co. Ltd. comply with the provisions of Document Cai Shui [2011]

No.100 and are eligible for the value-added tax refund policy upon collection.V. Notes to the Consolidated Financial Statements Items

Unless otherwise specified the following note items (including explanations for key items in the

company's financial statements) use the following dates: "end of period" refers to December 312025; "end

of prior year" refers to December 312024; "current period" refers to the fiscal year 2025; and "prior

period" refers to the fiscal year 2024.

1. Cash and cash equivalents

project ending balance Year-end balance

bank deposit 7271675.43 1123773.79

other monetary funds 2233897.56 4272925.37

Funds deposited with the finance company 172779922.93 287204290.64

amount to 182285495.92 292600989.80

Note: Other monetary funds (restricted monetary funds): Bank acceptance bill deposit of 63397.44

yuan performance bond of 1835074.50 yuan and special account fund of the Party Committee of

335425.62 yuan.

2.Notes Receivable

(1) Classification and presentation of notes receivable

project ending balance Year-end balance

trade acceptance draft 18006988.67 570577.84

subtotal 18006988.67 570577.84

Less: Bad debt provision 778489.58 28528.89

amount to 17228499.09 542048.95

(2) Receivable notes that have been endorsed or discounted at the end of the period and have not yet

matured as of the balance sheet date

Amount of termination Amount not terminated for

project recognition at the end of the recognition at the end of the

period period

Bank Acceptance Bill 25105495.20

trade acceptance draft 11175343.22

amount to 25105495.20 11175343.22

(3) Classified presentation according to the bad debt provisioning method

class ending balancebook balance bad debt provision

amount of Percentage amount of book value

Proportion (%)

money (%) money

receivable notes for which bad debt 18006988.67 100.00 778489.58 4.32 17228499.09

provisions are made on a combined

basis

Among these: Commercial 18006988.67 100.00 778489.58 4.32 17228499.09

acceptance bills

amount to 18006988.67 100.00 778489.58 4.32 17228499.09

* In the combination accounts receivable notes are provided for bad debts based on the aging group.ending balance

project

bill receivable bad debt provision Proportion (%)

Within 1 year 18006988.67 778489.58 4.32

(4) Status of bad debt provisions

Amount of Change for This Period

Year-end

class Accruishment Recover or Write-off or ending balance

balance

Roll Back cancellation

bad debt 28528.89 749960.69 778489.58

provision

3. Accounts Receivable

(1) Disclosure by aging of accounts

Account Age ending balance Year-end balance

Within 1 year 261135229.49 230462634.34

1 to 2 years 40471815.19 42697494.23

2 to 3 years 18712438.45 14252845.13

3 to 4 years 8798550.02 11479048.33

4 to 5 years 7292353.56 11906272.67

More than 5 years 179431638.23 171103837.44

subtotal 515842024.94 481902132.14

Less: Bad debt provision 192255102.92 188366805.80

amount to 323586922.02 293535326.34

(2) Classified presentation according to the bad debt provisioning method

class ending balancebook balance bad debt provision

amount of Percentage amount of book value

Proportion (%)

money (%) money

accounts receivable for which bad 76050649.46 76050649.46

debt provisions are made on a per- 14.74 100.00

item basis

Accounts receivable for which bad 439791375.48 116204453.46 323586922.02

debt provisions are made on a 85.26 26.42

combined basis

Among these: Age of Account 439791375.48 116204453.46 323586922.02

85.2626.42

Portfolio

amount to 515842024.94 100.00 192255102.92 —— 323586922.02（ continuous ）

Year-end balance

book balance bad debt provision

class

amount of Percentage amount of book value

Proportion (%)

money (%) money

accounts receivable for which bad 76139678.24

debt provisions are made on a per- 76139678.24 15.80 100.00

item basis

Accounts receivable for which bad 112227127.56 293535326.34

debt provisions are made on a 405762453.90 84.20 27.66

combined basis

Among these: Age of Account 112227127.56 293535326.34

405762453.9084.2027.66

Portfolio

amount to 481902132.14 100.00 188366805.80 —— 293535326.34

* Accounts receivable for which a separate bad debt provision is made at the end of the period

ending balance

Proportion

Accounts Receivable (by Unit) bad debt Calculation

book balance of

provision Basis

Deduction

Dongpo Xi Laos Co. Ltd. Not expected to

19708086.5419708086.54100.00

be recovered

Xu Mou 17591683.74 17591683.74 100.00 Not expected toending balance

Proportion

Accounts Receivable (by Unit) bad debt Calculation

book balance of

provision Basis

Deduction

be recovered

China Tower Co. Ltd. Not expected to

13819926.9213819926.92100.00

be recovered

Putian Information Technology Co. Ltd. Not expected to

5983345.585983345.58100.00

be recovered

China Railway Communication and Signal Not expected to

3527803.353527803.35100.00

Shanghai Engineering Group Co. Ltd. be recovered

other Not expected to

15419803.3315419803.33100.00

be recovered

amount to 76050649.46 76050649.46 —— ——

Continue the table above

Beginning balance

Proportion

Accounts Receivable (by Unit) bad debt

book balance of Calculation Basis

provision

Deduction

Dongpo Xi Laos Co. Ltd. Not expected to

19708086.5419708086.54100.00

be recovered

Xu Mou Not expected to

17591683.7417591683.74100.00

be recovered

China Tower Co. Ltd. Not expected to

13819926.9213819926.92100.00

be recovered

Putian Information Technology Co. Ltd. Not expected to

6065598.366065598.36100.00

be recovered

China Railway Communication and Signal Not expected to

3534579.353534579.35100.00

Shanghai Engineering Group Co. Ltd. be recovered

other Not expected to

15419803.3315419803.33100.00

be recovered

amount to 76139678.24 76139678.24 —— ——

* Accounts receivable for which bad debt provisions are calculated based on the aging group within

the combinationending balance

project

book balance bad debt provision Proportion (%)

Within 1 year 261135229.49 2611352.29 1.00

1 to 2 years 40471815.19 2023590.76 5.00

2 to 3 years 18712438.45 1871243.85 10.00

3 to 4 years 8778320.02 2633496.00 30.00

4 to 5 years 7257603.56 3628801.79 50.00

More than 5 years 103435968.77 103435968.77 100.00

amount to 439791375.48 116204453.46 ——

Continue the table above

Year-end balance

project

book balance bad debt provision Proportion (%)

Within 1 year 230462634.34 2304644.02 1.00

1 to 2 years 42697494.23 2134874.72 5.00

2 to 3 years 14232615.13 1423261.51 10.00

3 to 4 years 11444298.33 3433289.50 30.00

4 to 5 years 7988708.14 3994354.08 50.00

More than 5 years 98936703.73 98936703.73 100.00

amount to 405762453.90 112227127.56 ——

(3) Status of bad debt provisions

Amount of Change for This Period

Year-end

class Accruishment Recover or Write-off or ending balance

balance

Roll Back cancellation

Accounts

receivable for

which bad debt

112227127.563977325.90116204453.46

provisions are

made on a

combined basis

accounts

receivable for

76139678.2489028.7876050649.46

which bad debt

provisions areAmount of Change for This Period

Year-end

class Accruishment Recover or Write-off or ending balance

balance

Roll Back cancellation

made on a per-

item basis

amount to 188366805.80 3977325.90 89028.78 192255102.92

Among these: The amount of bad debt provisions recovered or reversed in this period is significant.Amount to be recovered or

name of organization Recovery Method

reversed

Putian Information Technology Co. Ltd. 82252.78 Recovered Amount

China Railway Communication and Signal 6776.00 Recovered Amount

Shanghai Engineering Group Co. Ltd.amount to 89028.78 ——

(5) Details of the top five accounts receivable by the debtor's end-of-period balances

End-of-period Proportion (%) of the End-of-period

Debtor's Name balance of accounts total ending balance of balance of bad debt

receivable accounts receivable provisions

Dongpo Xi Laos Co. Ltd. 19708086.54 3.82 19708086.54

Xu Mou 17591683.74 3.41 17591683.74

Shenzhen Huawang

Enterprise Management Co. 16906340.10 3.28 169063.40

Ltd.China United Network

Communications Co. Ltd. 16066062.47 3.11 13268771.99

The 28th Research Institute of

China Electronics Technology 15663961.54 3.04 399668.76

Group Corporation

amount to 85936134.39 16.66 51137274.43

4. Receivables Financing

project ending balance Year-end balance

Bank Acceptance Bill 27655375.14 34520299.04

5. Advance Payment

(1) Advance payments are presented by aging.

ending balance Year-end balance

Account Age

amount of money Percentage (%) amount of money Percentage (%)

Within 1 year 2295980.21 66.45 1065608.14 47.83ending balance Year-end balance

Account Age

amount of money Percentage (%) amount of money Percentage (%)

1 to 2 years 414362.15 11.99 372381.12 16.72

2 to 3 years 101166.16 2.93 298603.89 13.40

More than 3 years 643644.50 18.63 491170.71 22.05

amount to 3455153.02 100.00 2227763.86 100.00

(2) Prepayment details for the top five accounts by end-of-period balance categorized by prepayment

recipient

Proportion (%) of the total ending balance

name of organization ending balance

of prepaid accounts

ZTE Corporation Limited 1000000.00 28.94

Yangzhou Titan Information 342390.00 9.91

Technology Co. Ltd.Nanjing Changting Electronics 216200.00 6.26

Co. Ltd.Guangdong Fudong Electronics 150000.00 4.34

Co. Ltd.Huai'an Tianji Building 130692.09 3.78

Intelligence Co. Ltd.amount to 1839282.09 53.23

6. Other Receivables

project ending balance Year-end balance

accounts receivable-other 5239886.21 6859962.77

(1) Other Receivables

* Disclosure by aging of accounts

Account Age ending balance Year-end balance

Within 1 year 3789466.81 3841863.96

1 to 2 years 1296226.51 883895.77

2 to 3 years 451282.77 2516560.12

3 to 4 years 2398096.46 1374910.44

4 to 5 years 3465507.76 1293768.78

More than 5 years 40150177.39 40918974.04

subtotal 51550757.70 50829973.11Account Age ending balance Year-end balance

Less: Bad debt provision 46310871.49 43970010.34

amount to 5239886.21 6859962.77

* Classification by nature of funds

Book balance at the end

Nature of the Fund End-of-period book balance

of the previous year

Accounts Receivable and Payables 42706873.96 41004731.72

Deposit Guarantee Fund 7619798.27 8623995.84

Business travel petty cash fund 42135.51 75593.51

other 1181949.96 1125652.04

subtotal 51550757.70 50829973.11

Less: Bad debt provision 46310871.49 43970010.34

amount to 5239886.21 6859962.77

* Provision for bad debts

stage Ⅰ stage Ⅱ phase III

Expected credit

losses throughout Expected credit

bad debt provision Expected credit the entire

losses throughout

losses over the duration (where the entire duration

amount to

next 12 months no credit (incorporating

impairment has already occurred

occurred) credit impairment)

Year-end balance 12991915.44 30978094.90 43970010.34

This period's accrual 2340861.15 2340861.15

ending balance 15332776.59 30978094.90 46310871.49

* Status of bad debt provisions

Amount of Change for This Period

Year-end

class Accruishment Recover or Write-off or ending balance

balance

Roll Back cancellation

stage Ⅰ 12991915.44 2340861.15 15332776.59

stage Ⅱ 30978094.90 30978094.90

amount to 43970010.34 2340861.15 46310871.49

* Details of the top five other receivables by the debtor's accumulated ending balancesProportion

(%) of the bad debt

Nature of the total ending provision

name of organization ending balance Account Age

Fund balance of ending

other balance

receivables

Beijing Likang

Accounts

General

Receivable and 28912122.71 More than 5 years 56.08 28912122.71

Communication

Payables

Equipment Co. Ltd.

2–3 years:

Accounts 21306.39; 4–5

Nanjing Putian

Receivable and 1784619.72 years: 504197.5; 3.46 1784619.72

Technology Co. Ltd.Payables Over 5 years:

1259115.83

Nanjing Putian Accounts

Communication Receivable and 805545.63 More than 5 years 1.56 805545.63

Industrial Co. Ltd. Payables

CITIC International Deposit

558788.50 Within one year 1.08 27939.43

Tendering Co. Ltd. Guarantee Fund

Nanjing Municipal

Office for the

Management of Wage

Deposit

Guarantee Funds for 400000.00 More than 5 years 0.78 400000.00

Guarantee Fund

Migrant Workers in

Construction

Enterprises

amount to —— 32461076.56 —— 62.96 31930227.49

7. Inventory

(1) Inventory Classification

project ending balanceImpairment provision

for inventory value

decline/Impairment

book balance book value

provision for

contract

performance costs

raw and processed material 14141796.23 8238010.07 5903786.16

goods in process 3654045.14 2881380.17 772664.97

merchandise inventory 68332138.56 47303888.65 21028249.91

goods shipped in transit 80194291.90 49355227.23 30839064.67

Commissioned processing materials 4198338.62 804691.99 3393646.63

amount to 170520610.45 108583198.11 61937412.34（ continuous ）

Year-end balance

Impairment provision

for inventory value

project decline/Impairment

book balance book value

provision for

contract

performance costs

raw and processed material 17620673.90 10482980.51 7137693.39

goods in process 3406609.65 2881380.17 525229.48

merchandise inventory 79400394.27 48287969.61 31112424.66

goods shipped in transit 96893480.52 52614965.91 44278514.61

Commissioned processing materials 4887020.15 804691.99 4082328.16

amount to 202208178.49 115071988.19 87136190.30

(2) Inventory impairment provision/Contract performance cost impairment provision

Increase amount for this reduction amount for this

period period

project Year-end balance ending balance

Revert or write

Accruishment other other

off

raw and

processed 10482980.51 123487.57 2368458.01 8238010.07

materialIncrease amount for this reduction amount for this

period period

project Year-end balance ending balance

Revert or write

Accruishment other other

off

goods in process 2881380.17 2881380.17

merchandise 48287969.61 2088537.74 3072618.70 47303888.65

inventory

goods shipped in 52614965.91 25663.72 3285402.40 49355227.23

transit

Commissioned

processing 804691.99 804691.99

materials

amount to 115071988.19 2237689.03 8726479.11 108583198.11

8. Other current assets

project ending balance Year-end balance

Input tax amount to be deducted 2034749.70 1085488.28

advance payment of income tax 162034.21 141091.78

amount to 2196783.91 1226580.06

9. Long-term equity investment

Changes in this period

Other

Investment

additiona Comprehe

gains and losses Other

Invested entity Year-end balance l nsive

disinvestment recognized changes

investme Income

under the in equity

nt Adjustmen

equity method

ts

I. Joint Venture

Enterprise

Nanjing Puzhu

Guang Network Co. 10412683.37 10412571.93 -111.44

Ltd.amount to 10412683.37 10412571.93 -111.44（ continuous ）Changes in this period

End-of-period

Announcement

Make an balance of

Invested entity of cash dividend ending balance

impairment other impairment

or profit

provision provision

distribution

I. Joint Venture

Enterprise

Nanjing Puzhu

Guang Network Co.Ltd.amount to

10. Investments in Other Equity Instruments

(1) Investment in other equity instruments

project ending balance Year-end balance

Hangzhou Hongyan Electric Appliance 321038.00 321038.00

Co. Ltd.Nanjing Yuhua Electroplating Factory 420915.00 420915.00

Beijing Likang General Communication

Equipment Co. Ltd.amount to 741953.00 741953.00

The company's equity investments in Nanjing Yuhua Electroplating Factory Hangzhou Hongyan

Electric Appliance Co. Ltd. and Beijing Likang General Information Equipment Co. Ltd. constitute non-

trading equity instrument investments. Consequently the company classifies these investments as equity

instruments measured at fair value with changes recognized in other comprehensive income.

11. Investment property

(1) Investment property measured at cost

project Houses and buildings

I. Original Book Value

Year-end balance 20011121.96

Increase amount for this period

reduction amount for this period

ending balance 20011121.96

II. Cumulative Depreciation and Cumulative Amortization

Year-end balance 14463883.49project Houses and buildings

Increase amount for this period 569967.75

Of which: provision for or amortization 569967.75

reduction amount for this period

ending balance 15033851.24

III. Impairment Provision

IV. Book Value

End-of-period book value 4977270.72

Book value at the end of the previous year 5547238.47

12. Fixed Assets

project ending balance Year-end balance

fixed assets 84173058.11 85757024.11

(1) Fixed Assets

* Fixed Assets Status

Houses and machinery Electronic conveyer Other

project amount to

Buildings equipment Equipment devices

Original book value

Year-end balance 103626682.38 46373354.29 19268720.26 3091621.11 16511028.71 188871406.75

Increase amount

129158.733666276.452446951.3532037.176274423.70

for this period

Including:

129158.733666276.451203123.5132037.175030595.86

Purchase

other 1243827.84 1243827.84

570141.841413219.483262232.81292412.615538006.74

reduction amount for

this period

258017.84481515.643262232.81292412.614294178.90

Of which: disposal or

scrapping

312124.00931703.841243827.84

other

ending balance 103185699.27 48626411.26 18453438.80 3091621.11 16250653.27 189607823.71

accumulated

depreciation

39201918.0827206704.7017503996.982907256.1515568544.17

Year-end balance 102388420.08

3916994.341470385.631093280.2450634.18131642.996662937.38

Increase amountHouses and machinery Electronic conveyer Other

project amount to

Buildings equipment Equipment devices

for this period

3916994.341203788.381093280.2450634.18131642.996396340.13

Of which:

provision made

266597.25266597.25

other

reduction amount for

391060.76467752.783198912.94284827.944342554.42

this period

Of which: disposal or

124463.52467752.783198912.94284827.944075957.18

scrapping

other 266597.24 266597.24

ending balance 42727851.66 28209337.55 15398364.28 2957890.33 15415359.22 104708803.04

Impairment Provision

Year-end balance 539124.00 11550.65 175287.91 725962.56

Increase amount

for this period

reduction amount

for this period

ending balance 539124.00 11550.65 175287.91 725962.56

book value

End-of-period book 59918723.61 20405523.06 3055074.52 133730.78 660006.14

84173058.11

value

63885640.3019155098.941764723.28184364.96767196.63

Book value at the end

85757024.11

of the previous year

* Status of temporarily idle fixed assets

Original accumulated Impairment

project book value remarks

book value depreciation Provision

machinery equipment 212485.00 196288.30 11169.15 5027.55

conveyer 36000.00 34920.00 1080.00

other 342985.18 157407.73 175287.91 10289.54

amount to 591470.18 388616.03 191484.61 16397.09

* Fixed assets leased out through operating leases

project End-of-period book valueproject End-of-period book value

Houses and Buildings 18016866.08

* Status of fixed assets for which the property ownership certificate has not been obtained

Reasons for the failure to obtain the property

project book value

ownership certificate

Houses and Buildings 2394650.45 Still being processed

13. Right-to-Use Assets

project Houses and Buildings

Original book value

Year-end balance 2686684.00

This year's increase amount

This year's reduction amount

year end balance 2686684.00

accumulated depreciation

Year-end balance 238890.96

This year's increase amount 260608.32

Of which: provision made 260608.32

This year's reduction amount

year end balance 499499.28

Impairment Provision

Year-end balance

This year's increase amount

This year's reduction amount

year end balance

book value

Year-end book value 2187184.72

Book value at the end of the previous year 2447793.04

14. Intangible Assets

(1) Information on Intangible Assets

project land use right software amount toproject land use right software amount to

Original book value

Year-end balance 14116846.37 10452159.22 24569005.59

Increase amount for

this period

reduction amount

for this period

ending balance 14116846.37 10452159.22 24569005.59

accumulated

amortization

Year-end balance 3648432.30 9248248.59 12896680.89

Increase amount for 334875.36 133478.76

468354.12

this period

Of which: 334875.36 133478.76

468354.12

provision made

reduction amount

for this period

ending balance 3983307.66 9381727.35 13365035.01

Impairment Provision

book value

End-of-period book 10133538.71 1070431.87 11203970.58

value

Book value at the 10468414.07 1203910.63 11672324.70

end of the previous year

15. Long-term prepaid expenses

Increase Amortization

Year-end Other reduction

project amount for this amount for this ending balance

balance amount

period period

Expenditure on 2076305.95 1897965.96 919639.72

renovation and 3054632.19

modification

16. Deferred income tax assets/deferred income tax liabilities

(1) Details of unconfirmed deferred tax assets

project ending balance Year-end balanceproject ending balance Year-end balance

Deductible temporary differences 349948134.66 349457805.78

Deductible loss 178094465.64 160136771.28

amount to 528042600.30 509594577.06

(2) The deductible losses of unconfirmed deferred tax assets shall mature in the following years.

a particular year ending balance Year-end balance remarks

202658332948.8458332948.84

202746663704.8546663704.85

202834598495.2534598495.25

20291622476.495269870.68

203020701608.361188328.53

20319571047.649571047.64

20323128208.763128208.76

20331792957.221792957.22

20341683018.23

amount to 178094465.64 160545561.77

17. Other non-current assets

project ending balance Year-end balance

Prepayment for the acquisition of

long-term assets 719280.00

18. Assets with restricted ownership or usage rights

project End-of-period book value Limitation Reason

Bank acceptance bill margin

monetary resources 2233897.56 performance bond and special account

funds of the Party Committee

fixed assets 52986451.08 mortgage

immaterial assets 4901288.52 mortgage

amount to 60121637.16

Note: For details on the mortgage status of fixed assets and intangible assets refer to Note 19; for short-term loans see

the relevant section.

19. Short-term loan

(1) Classification of Short-Term Loans

project ending balance Year-end balance

mortgage loan 93874324.80 49299759.96project ending balance Year-end balance

Credit Loan 108861610.37 78828227.79

bill receivable 1189786.81

amount to 203925721.98 128127987.75

Note: 1. The Company obtained a loan of RMB 14.7641 million by mortgaging the property located at No.8 Fenghui

Avenue Yuhuatai District Nanjing and the land use rights within its premises; it also pledged the equity stake of 56.28% in

Nanjing Southern Telecommunications Co. Ltd. (corresponding to an investment amount of RMB 28.5340 million) to its

parent company China Electronics Guorui Group Co. Ltd. to secure a loan of RMB 66.8 million; 2. The subsidiary

Nanjing Putian Tianji Building Intelligence Co. Ltd. obtained a loan of RMB 10.5 million by mortgaging three properties

and the land use rights located at No.18 Songgang Street Moling Subdistrict Jiangning District; 3. The subsidiary Nanjing

Putian Datang Information Electronics Co. Ltd. obtained a loan of RMB 1.75 million by mortgaging the property at No.8

Fenghui Avenue Yuhuatai District Nanjing and the land use rights within its premises.

20. Payable Notes

kind ending balance Year-end balance

trade acceptance draft 446679.01 1809060.50

Bank Acceptance Bill 6328555.16 8313165.25

amount to 6775234.17 10122225.75

21. Accounts Payable

(1) Presentation of Accounts Payable

project ending balance Year-end balance

Within 1 year (inclusive) 206129313.63 268987560.21

More than 1 year 67252993.23 80354619.00

amount to 273382306.86 349342179.21

(2) Significant accounts payable with an aging period exceeding 1 year

Reasons for the outstanding or

project ending balance

untransferred amounts

China Putian Information Industry Co. 14918045.42 Not yet at the payment node

Ltd.

22. Advance Payments

(1) Presentation of advance receipts

project ending balance Year-end balance

Within 1 year (inclusive) 295001.06 236005.32

23. Contract Liabilities(1) Contractual Liabilities

project ending balance Year-end balance

Advanced Payment 9264082.89 27919961.45

Less: Deferred sales tax to be written off 837769.44 3125042.32

(Note 5 28)

amount to 8426313.45 24794919.13

24. Employee Compensation Payable

(1) Presentation of Employee Compensation Payables

Reduce in this

project Year-end balance Add to this issue ending balance

period

Short-term compensation 17066962.98 104395263.90 108839944.39 12622282.49

Post-employment Benefits – 16522208.41 16522208.41

Establish a Savings Plan

Resignation benefits 3742433.63 3742433.63

amount to 17066962.98 124659905.94 129104586.43 12622282.49

(2) Presentation of Short-Term Compensation

Reduce in this

project Year-end balance Add to this issue ending balance

period

Salaries bonuses allowances

and subsidies 3625349.25 79586108.37 83211457.50 0.12

employee services and benefits 2251999.49 2251999.49

Social Insurance Contributions 7018805.71 7018805.71

Of which: Medical insurance 6093993.95 6093993.95

premium

Work-related injury 493037.41 493037.41

insurance premium

Maternity insurance premium 431774.35 431774.35

housing fund 3216865.05 7824885.82 7824885.82 3216865.05

Trade union funds and employee

education funds 10209752.15 455385.87 1274717.23 9390420.79

Other short-term compensation 14996.53 7258078.64 7258078.64 14996.53

amount to 17066962.98 104395263.90 108839944.39 12622282.49

(3) Establishment of a Deposit Plan and Its Presentation

Reduce in this

project Year-end balance Add to this issue ending balance

periodReduce in this

project Year-end balance Add to this issue ending balance

period

basic retirement security 15484038.01 15484038.01

unemployment insurance expense 648619.80 648619.80

Corporate Annuity Contribution 389550.60 389550.60

amount to 16522208.41 16522208.41

25. Taxes and fees payable

project ending balance Year-end balance

added-value tax 4364752.36 5469015.04

business income taxes 449719.44 1426860.42

building taxes 313001.13 351313.55

Land Use Tax 81827.95 80701.94

income tax for individuals 123313.16 189374.87

urban maintenance & construction tax 386451.15 493348.10

extra charges of education funds 182799.53 210880.61

Local Education Surcharge 93237.01 140868.41

Other taxes and fees 47096.07 97329.58

amount to 6042197.80 8459692.52

26. Other Payables

project ending balance Year-end balance

dividends payable 11044600.00

accounts payable-others 37987466.18 41918074.35

amount to 49032066.18 41918074.35

(1) Dividends payable

project ending balance Year-end balance

common stock dividends 11044600.00

(2) Other Payables

* Listed by nature of the payment

project ending balance Year-end balance

accounts receivable payable 25867467.58 31279667.14

Unpaid installation costs 12937.00 87519.38

Deposit Guarantee Fund 3990787.59 3467780.26

Operating expenses 6833831.60 6279652.71project ending balance Year-end balance

other 1282442.41 803454.86

amount to 37987466.18 41918074.35

* Other significant payables with an aging period exceeding 1 year

Reasons for the outstanding

project ending balance

or untransferred amounts

China Putian Information Industry Group Co. 9591612.50 The settlement conditions

Ltd. have not been met.

27. Non-current liabilities maturing within one year

project ending balance Year-end balance

Long-term loans maturing within 1 year (Note 5 70060958.33 86988463.61

29)

Lease liabilities maturing within 1 year (Note 5 838955.39 1072195.82

30)

amount to 70899913.72 88060659.43

28. Other current liabilities

project ending balance Year-end balance

Tax payable for write-off 837769.44 3125042.32

Revert at the end of the period the endorsed and

transferred commercial acceptance bills and 9985556.41

drafts that have not yet matured.accrued expenses 97087.38

amount to 10920413.23 3125042.32

29. Long-term loan

Year-end balance Interest rate range

project

ending balance (%)

Pledge Loan 70000000.00 86907415.00 4.05%

guaranteed loan 70081048.61 3.75-3.80

Less: Long-term borrowings due

within one year (Note 5 27) 70000000.00 86988463.61

amount to 70000000.00

Note: The parent company China Electric Guorui Group Co. Ltd. provided a guarantee for the company's loan from

China Electronic Technology Finance Co. Ltd.

30. Leasing Liabilities

project Year-end Increased this year Reduced this year end

balance year balanceThis

New Lease year's other

interest

machinery equipment 1912569.78 1073614.39 838955.39

Less: Lease liabilities due

within one year (Note 5 —— —— ——

27)1072195.82

838955.39

amount to 840373.96 —— —— ——

31. Paid-in Capital

Add to this Reduce in this

Investor Name Year-end balance ending balance

issue period

Total Number of Shares 215000000.00 215000000.00

32. Capital Reserve

Year-end Add to this Reduce in this

project ending balance

balance issue period

capital stock premium 137786640.63 137786640.63

Other Capital Reserve 60169226.95 3362261.03 63531487.98

amount to 197955867.58 3362261.03 201318128.61

Note: This year the reversal of previously accrued housing purchase subsidies that were not payable resulted in an

increase in capital reserve by RMB 3362261.03.

33. Inventory shares

Increase amount reduction amount

project Beginning balance ending balance

for this period for this period

Share Repurchase 2995076.96 2995076.96

34. Other Comprehensive Income

Amount of Transactions in This Period

reduction:

originally

current recognized in

End of last period other

After-tax After-tax

year Amount comprehensive

Less: amount amount end of term

project

balance incurred income

Income attributable

before transferred to Tax to the

attributable balance

income profit or loss (or Expense parent

to minority

shareholders

tax retained company

earnings) in the

current period

Other

comprehensive

income

reclassified -1854910.00 -1854910.00

into profit or

loss

Of which: the

amount of -1854910.00 -1854910.00

financial assetAmount of Transactions in This Period

reduction:

originally

current recognized in

End of last period other

After-tax After-tax

year Amount comprehensive

Less: amount

Income attributable amount end of termproject

balance incurred incomebefore transferred to Tax to the

attributable balance

income profit or loss (or Expense parent

to minority

company shareholderstax retained

earnings) in the

current period

reclassification

recognized in

other

comprehensive

income

35. Surplus Reserve

Year-end Add to this Reduce in this

project ending balance

balance issue period

589559.

Legal surplus reserve 589559.77

77

36. Undistributed Profits

project current period prior period

Undistributed profits at the end of the previous year -405721306.51

-394344427.37

before adjustment

Adjusted undistributed profit at the end of the -405721306.51

-394344427.37

previous year

Total: Net profit attributable to the parent company's 11376879.14

-9462362.33

shareholders for this period

Subtract: Withdrawal of statutory surplus reserve

Extract the discretionary surplus reserve

Extract general risk provision

Dividend payable for common stock

Dividends in the form of ordinary shares converted

into equity capital

End-of-period undistributed profits -403806789.70 -394344427.37

37. Operating revenue and operating costs

(1) Operating Revenue and Operating Costs

Amount for this period Previous period amount

project

income prime cost income prime cost

main business 607507744.76 483796308.13 783845853.95 620010069.86Amount for this period Previous period amount

project

income prime cost income prime cost

Other Businesses 10131740.20 3724088.82 27824673.46 15214660.19

amount to 617639484.96 487520396.95 811670527.41 635224730.05(2) Table of Operating Revenue Deductions

project this year Specific deduction details previous year Specific deduction details

Operating Revenue Amount 617639484.96 811670527.41

Total amount of operating revenue minus all items 9547500.84 15106674.24

Proportion (%) of total itemized operating revenue to total

operating revenue 1.55 / 1.86 /

I. Business revenue unrelated to the core business

1. Income from non-core business activities. This includes The rental income from The rental income from property

revenue generated from leasing fixed assets intangible assets or property leasing and tenant leasing and tenant utilities

packaging materials; selling materials; exchanging materials for utilities amounted to RMB amounted to RMB 9902731.72;

non-monetary assets; providing entrusted management services; 9547500.84 5419449.16; material sales 15106674.24 material sales revenue was RMB

and other income that although recorded as part of core business revenue was RMB 4213608.92; and software

revenue falls outside the normal operations of the listed 3596017.60; and software services and other income totaled

company. services and other income RMB 990333.60.totaled RMB 532034.08.Subtotal of business revenue unrelated to the main business 9547500.84 15106674.24

II. Income without commercial substance

III. Other income that is unrelated to the main business or lacks

commercial substance

Net operating revenue after deductions 608091984.12 796563853.17(3) Income and Cost Breakdown Information

Amount for this period Previous period amount

Income Category

income prime cost income prime cost

Classified by business

type

communications

612283394.66486148821.14708949979.63561406842.78

industry

Electrical Industry 92817798.06 72832536.55

amount to 612283394.66 486148821.14 801767795.69 634239379.33

Classification by sales

channel

Direct Sale 402638086.88 320406125.53 511195634.82 404532326.74

distribution 209645307.78 165742695.61 290572160.87 229707052.59

amount to 612283394.66 486148821.14 801767795.69 634239379.33

(4) Description of Performance Obligations

The nature of the The amount

Fulfill goods for which Are you the expected to be

The type of quality

project performance Important payment the company primary refunded to

assurance provided

obligations terms undertakes to responsible the customer

by the company and

transfer party by the the corresponding

ownership company obligations

Make installment

Sell video Customer payments

conferencing acceptance according to the

Video Warranty period:

products project or time nodes

conferencing yes not have

product Warrantysigned goods specified in the

contract.Make installment

Comprehensive payments

Distribution Customerreceives the according to the Integrated yes not have Warranty period:Cable System goods time nodes Cabling Products WarrantyProducts specified in the

contract.Make installment

Sales of basic Customer payments

communication acceptance according to the Basic Warranty period:

and networking project or time nodes Communication yes not haveProducts Warrantyproducts signed goods specified in the

contract.Make installment

Provide According to payments

construction the progress according to the Integrated yes not have Warranty period:

services of contract time nodes Cabling Products Warrantyfulfillment specified in the

contract.Make installment

Provide According to payments

maintenance the progress according to the Maintenance and

services of contract time nodes Other Services

yes not have not have

fulfillment specified in the

contract.

1(5) Explanation of allocation to the remaining performance obligations

At the end of this reporting period the revenue corresponding to performance obligations that have been

signed but not yet performed or fully performed amounted to RMB 131.3714 million of which: RMB 96.1169

million is expected to be recognized as revenue in fiscal year 2026; and RMB 35.2545 million is expected to be

recognized as revenue in fiscal year 2027.

38. Taxes and Surcharges

project Amount for this period Previous period amount

building taxes 1113060.03 2013656.63

urban maintenance & construction 1034092.50 1572198.38

tax

extra charges of education funds 574825.93 831597.75

Local Education Surcharge 165874.37 291923.55

Land Use Tax 328434.78 497743.11

stamp duty 411523.84 531489.95

other 199641.22 389503.08

amount to 3827452.67 6128112.45

Note: The calculation standards for various taxes and surcharges are detailed in Note 4 "Taxes."

39. Selling Expenses

project Amount for this period Previous period amount

employee compensation 40148437.58 48581858.41

Business entertainment expenses 3423577.14 7730139.58

travel expense 4134554.60 4392780.47

administrative expenses 2970563.85 3573822.57

Sales Service Fee 978297.95 914243.41

Business Promotion Expenses 558817.56 121693.68

Meeting fee 301611.32 249286.74

Device Maintenance Fee 18130.65

other 3120215.45 6174813.47

amount to 55636075.45 71756768.98

40. Administrative Expenses

project Amount for this period Previous period amount

employee compensation 32254650.18 42541907.68

Depreciation and Amortization 3784927.63 5175912.59

Consultation and intermediary fees 2533652.05 5515617.75

1project Amount for this period Previous period amount

administrative expenses 1382829.17 3939247.88

Leasing and property fees 830762.18 2108251.75

Business entertainment expenses 292885.04 581870.76

travel expense 215024.33 568331.70

other 2363392.85 1844769.79

amount to 43658123.43 62275909.90

41. R&D expenses

project Amount for this period Previous period amount

employee compensation 23367004.89 28521143.99

Interim trial fee 1512348.46 1541213.73

travel expense 1070452.09 1211814.77

Material Request 775418.71 748668.74

Depreciation and Amortization 888456.28 942670.55

other 1595117.28 1885323.46

amount to 29208797.71 34850835.24

42. Financial Expenses

project Amount for this period Previous period amount

interest expense 8748305.48 10723524.38

Subtraction: Interest Income 452186.54 639938.05

exchange loss 4867.97 -1150.08

Less: Exchange gains

Service charge expenditure 296566.30 81356.02

amount to 8597553.21 10163792.27

43. Other Income

The amount included in

Amount for this Previous period the non-recurring gains

project

period amount and losses for the current

period

Government subsidies related to 2780647.16 911728.87

1951399.86

the daily operations of enterprises

Additional VAT deduction for

1772849.831862254.79

advanced manufacturing industries

1The amount included in

Amount for this Previous period the non-recurring gains

project

period amount and losses for the current

period

Refund of the personal income tax

47386.399574.65

withholding fee

amount to 4600883.38 2783558.31 1951399.86

The details of government subsidies are as follows:

Subsidy Project Amount for this period Previous period Asset-related/Income-amount related

Software Tax Refund 829247.30 546711.46 Related to income

Special Fund for Industrial

Transformation and Upgrading 500000.00 30000.00 Related to income

Jiangsu Province: Specialized

Advanced Unique and Innovative 500000.00 52000.00 Related to income

Tengfei Policy Incentive 450826.50 Related to income

Special Subsidy for Enterprise

Upgrade Services 350000.00 Related to income

Job Stability Subsidy 85584.00 109426.00 Related to income

High-tech enterprise subsidies 50000.00 Related to income

Development Economics

Department Expenses 50000.00 Related to income

奖励 for Digital Economy Military 50000.00 Related to income

Qualification Certification

other 14989.36 73591.41 Related to income

44. Investment Return

project Amount for this period Previous period amount

Gains from long-term equity investments -111.44 -5.77

accounted for using the equity method

Investment income generated from long-term 7389153.73 50832148.02

equity investments

收益 from debt restructuring 643686.83 1514624.88

other 5416.29 -50223.40

amount to 8038145.41 52296543.73

45. Credit impairment loss

project Amount for this period Previous period amount

Bad debt loss on notes receivable -749960.69 -2548249.56

Loss on bad debts of accounts -3888297.12 -4263347.36

receivable

Other receivables bad debt losses -2340861.15 -822788.59

1project Amount for this period Previous period amount

amount to -6979118.96 -7634385.51

46. Asset impairment loss

project Amount for this period Previous period amount

loss on inventory -2237689.03 -14428752.85

47. Income from asset disposal

The amount

included in the

Amount for this Previous period non-recurring

project

period amount gains and losses

for the current

period

Gains or losses from the disposal of

fixed assets 5359026.59 1083098.78 5359026.59

48. Non-operating income

The amount included

Amount for this in the non-recurring

project Previous period amount

period gains and losses for

the current period

Unpayable accounts payable 2219780.87 3498793.46 2219780.87

Fines Revenue 72147.00 79732.91 72147.00

other 708819.12 4905.66 708819.12

amount to 3000746.99 3583432.03 3000746.99

49. Non-operating expenses

The amount included

in the non-recurring

project Amount for this period Previous period amount

gains and losses for

the current period

Late payment penalty expenses 5635.24 3306.68 5635.24

Fines expenditure 25000.00

other 517268.31 3638975.61 517268.31

amount to 522903.55 3667282.29 522903.55

50. Income Tax Expense

(1) Income Tax expense statement

1project Amount for this period Previous period amount

Current income tax expense 1204086.83 2934143.89

Deferred income tax expense

other 154333.67 246161.16

amount to 1358420.50 3180305.05

(2) The adjustment process between accounting profit and income tax expense

project Amount for this period

total profit 450176.37

Income tax expense calculated based on the statutory/applicable tax rate 112544.09

The impact of applying different tax rates to subsidiaries -1687628.12

Adjustment for the impact of income tax from prior periods

The impact of non-taxable income

The impact of non-deductible costs expenses and losses 1066745.64

Assess the impact of unconfirmed deferred tax assets on deductible losses in

the initial period

This year no impact of deductible temporary differences or deductible 4926244.59

losses related to deferred tax assets was recognized.The impact of the additional deduction for research and development -3059485.70

expenses

Income Tax Fee 1358420.50

51. Items in the Cash Flow Statement

(1) Receipt of other cash related to operating activities

project Amount for this period Previous period amount

public subsidy 1951399.86 325259.82

interest revenue 452186.54 639938.05

Receiving and Paying Accounts 30462830.20 32939753.75

other 4085739.25 9153979.71

amount to 36952155.85 43058931.33

(2) Payment of other cash related to operating activities

project Amount for this period Previous period amount

out-of-pocket expenses 28400566.70 50687399.27

Receiving and Paying Accounts 28883722.23 30830777.55

other 2333599.27 3923916.79

1project Amount for this period Previous period amount

amount to 59617888.20 85442093.61

(3) Payment of other cash related to investment activities

project Amount for this period Previous period amount

Pay the expenses related to the payment and settlement

405500.00

subsidiary.

(4) Payment of other cash related to financing activities

project Amount for this period Previous period amount

Pay the rental fee 1287438.87 916760.88

Stock Repurchase 2997498.00

amount to 1287438.87 3914258.88

(5) Changes in various liabilities arising from financing activities

Beginning Add to this issue Reduce in this periodproject balance Non-cash Non-cash ending balanceCash Change changes Cash Change changes

money

borrowed for 128127987.75 202614067.87 3817197.35 130633530.99 203925721.98

short time

money

borrowed for 70000000.00 3674008.33 3613050.00 70060958.33

long term

Leasing

liabilities

(including

leasing 840373.96 1136020.30 1137438.87 838955.39

liabilities

maturing within

1 year)

notes payable 14954.96 14954.96

accounts

payable-others 1224880.89 150000.00 1374880.89

Non-current

liabilities

maturing within 88060659.43 72339015.56 89266520.84 1072195.82 70060958.33

one year

amount to 288253902.03 202614067.87 81131196.50 226040376.55 71133154.15 274825635.70

52. Supplementary Information to the Cash Flow Statement

(1) Supplementary Information to the Cash Flow Statement

Supplementary Information Amount for this Previous period