WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

WEIFU HIGH-TECHNOLOGY GROUP CO. LTD.SEMI-ANNUAL REPORT 2026

August 2026

1WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Section I. Important Notice Contents and Interpretation

Board of Directors and all directors senior executives of Weifu High-Technology Group Co. Ltd.(hereinafter referred to as the Company) hereby confirm that there are no any fictitious statements

misleading statements or important omissions carried in this report and shall take all

responsibilities individual and/or joint for the reality accuracy and completion of the whole

contents.Rong Bin Principal of the Company and Feng Zhiming person in charge of accounting works and

Li Yanqing person in charge of accounting organ (accounting principal) hereby confirm that the

Financial Report of Semi-Annual Report 2026 is authentic accurate and complete.All directors have attended the BoD Meeting for the Report deliberation.The forward-looking statements with future plans involved in the Report do not constitute a

substantial commitment for investors. Investors and related parties should maintain sufficient risk

awareness and investors are advised to exercise caution of investment risks.Possible risks and countermeasures for the future operation of the Company are described in the

“Discussion and Analysis of the Management” in the Report and investors are advised to check

them out.The profit distribution plan that was deliberated and approved by the Board Meeting is: based on

total share capital of 966785693 distributed 3.00 yuan (tax included) bonus in cash for every 10-

share held by all shareholders 0 share bonus issued (tax included) and no transfer of capital reserve

into share capital. When the profit distribution plan is implemented if there is a change in the total

amount of shares entitled to profit distribution on the basis of the total amount of shares entitled to

profit distribution on the equity registration date at the time of implementation of the distribution

plan the distribution amount shall be adjusted according to the principle of unchanged distribution

proportion.The Report is prepared in Chinese and English respectively. In the event of any discrepancy

between the two versions the Chinese version shall prevail.

2WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Content

Section I. Important Notice Contents and Interpret... 2

Section II. Company Profile and Main Financial Ind... 6

Section III. Discussion and Analysis of the Manage... 9

Section IV Corporate Governance Environmental and .. 25

Section V. Important Events ........................ 27

Section VI. Changes in Shares and Particulars abou.. 32

Section VII. Corporate Bonds........................ 37

Section VIII. Financial Report ..................... 39

3WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Documents Available for Reference

I. Financial statement carrying the signatures and seals of person in charge of the Company principal of the

accounting works and person in charge of accounting organ (accounting Supervisor);

II. Original documents of the Company and manuscripts of public notices that disclosed in the website designated

by CSRC during the reporting period;

III. The Semi-Annual report summary is published on China Securities Journal and Securities Times during the

reporting period.IV. Place for preparation: Office of the BoD of the Company

4WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Interpretation

Items Refers to Contents

Company The Company WFHT Refers to WEIFU HIGH-TECHNOLOGY GROUP CO. LTD.Weifu Group Refers to Wuxi Weifu Group Co. Ltd.Wuxi Industry Group Refers to Wuxi Industry Development Group Co. Ltd.Bosch Refers to Robert Bosch Co. Ltd ROBERT BOSCH GMBH

RBCD Refers to Robert Bosch Powertrain Ltd.WFLD Refers to Wuxi Weifu Lida Catalytic Converter Co. Ltd.WFJN Refers to Nanjing Weifu Jinning Co. Ltd.WFTT Refers to Ningbo Weifu Tianli Turbocharging Technology Co. Ltd.WFCA Refers to Wuxi Weifu CHANG′AN Co. Ltd.WFMA Refers to Wuxi Weifu Mashan Fuel Injection Equipment Co. Ltd.WFTR Refers to Wuxi Weifu International Tarde Co. Ltd.WFSC Refers to Wuxi Weifu Schmitter Powertrain Components Co. Ltd.WFAM Refers to Wuxi Weifu Autocam Precision Machinery Co. Ltd.WFAS Refers to Wuxi Weifu Autosmart Seating System Co. Ltd.WFLH Refers to Weifu Lianhua Automotive Parts（Fuzhou）Co. Ltd

SPV Refers to Weifu Holding ApS

IRD Refers to IRD Fuel Cells A/S

Borit Refers to Borit NV

WFQL Refers to Wuxi Weifu Qinglong Power Technology Co. Ltd.VHIO Refers to VHIT S.p.A. Società Unipersonale

VHWX Refers to VHIT Automotive Systems(Wuxi) Co.Ltd

Lezhuo Bowei Refers to Lezhuo Bowei Hydraulic Technology (Shanghai) Co. Ltd

WuXi Zhuowei Refers to Wuxi Zhuowei TimesHigh-Tech Co. Ltd.WFSS Refers to Weifu Zhigan(Wuxi) Technology Co. Ltd

WFET Refers to Weifu ET Hydrogen Energy Technology (Wuxi) Co. Ltd.WFBL Refers to Weifu Baolong (Nanjing) Technology Co. Ltd.HySTech Refers to Voith HySTech GmbH

WFEC Refers to Wuxi WFEC Catalysts. Co. Ltd.WFPM Refers to Wuxi Weijing Technology Co. Ltd.Zhonglian Electronics Refers to Zhonglian Automobile Electronics Co. Ltd.Autolink Refers to Wuxi Chelian Tianxia Information Technology Co. Ltd.Changchun Xuyang Refers to Changchun Xuyang Weifu Automobile components Technology Co. Ltd.CSRC Refers to China Securities Regulatory Commission

SZSE Refers to Shenzhen Stock Exchange

The reporting period Refers to From January 1 2026 to June 30 2026

5WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Section II. Company Profile and Main Financial Indexes

I. Company information

Short form of the stock WFHT Su Weifu-B Stock code 000581200581

Previous Short form of the stock Su Weifu-A

Stock exchange for listing Shenzhen Stock Exchange

Name of the Company (in Chinese) 无锡威孚高科技集团股份有限公司

Short form of the Company (in Chinese) 威孚高科

Foreign name of the Company (if applicable) WEIFU HIGH-TECHNOLOGY GROUP CO.LTD.Short form of foreign name of the Company (if applicable) WFHT

Legal representative Yin Zhenyuan

II. Person/Way to contact

Secretary of the Board Rep. of security affairs

Name Liu Jinjun Xu Kan

Contact add. No.6 Huashan Road Xinwu District Wuxi No.6 Huashan Road Xinwu District Wuxi

Tel. 0510-80505999 0510-80505999

Fax. 0510-80505199 0510-80505199

E-mail Web@weifu.com.cn Web@weifu.com.cn

III. Other information

1. Company contact information

Whether the registered address office address postal code website email address etc. of the Company changed during the report

period or not

□ Applicable □Not applicable

The registered address office address postal code website and email address of the Company remained unchanged during the

report period. Please refer to the 2025 Annual Report for details.

2. Information disclosure and location

Has the information disclosure and location changed during the report period

□ Applicable □ Not applicable

The website and media name and website of the stock exchange where the Company disclosed its semi-annual report and the

place of placement of the Company’s semi-annual report remains unchanged during the report period. Please refer to the 2025

Annual Report for details.

3. Other relevant information

Whether there is any change in other relevant information during the report period or not

□ Applicable □Not applicable

6WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

IV. Main accounting data and financial indexes

Whether it has retroactive adjustment or re-statement on previous accounting data or not

□ Yes □ No

Amount in current Year-on-year increase period Amount in last period (+)/decrease (-)

Operation income (RMB) 6577060413.92 5760418633.11 14.18%

Net profit attributable to shareholders of

the listed Company (RMB) 836415872.45 701870308.75 19.17%

Net profit attributable to shareholders of

the listed Company after deducting non- 862738920.84 655342454.44 31.65%

recurring gains/losses (RMB)

Net cash flows arising from operating

activities (RMB) 935206251.36 492874278.74 89.75%

Basic earnings per share (RMB/Share) 0.87 0.72 20.83%

Diluted earnings per share (RMB/Share) 0.87 0.72 20.83%

Weighted average ROE 4.20% 3.49% 0.71%

Ending balance of Ending balance of last Year-on-year current period period increase(+)/decrease(-)

Total asset (RMB) 30882875115.73 29667727447.65 4.10%

Net asset attributable to shareholders of

listed Company (RMB) 20021339884.61 19917552613.16 0.52%

V. Difference of the accounting data under accounting rules in and out of China

1. Difference of the net profit and net asset disclosed in financial report under both IAS (International

Accounting Standards) and Chinese GAAP (Generally Accepted Accounting Principles)

□ Applicable □ Not applicable

The Company had no difference of the net profit or net asset disclosed in financial report under either IAS (International

Accounting Standards) or Chinese GAAP (Generally Accepted Accounting Principles) in report period.

2. Difference of the net profit and net asset disclosed in financial report under both foreign accounting

rules and Chinese GAAP (Generally Accepted Accounting Principles)

□ Applicable □Not applicable

The Company had no difference of the net profit or net asset disclosed in financial report under either foreign accounting rules or

Chinese GAAP (Generally Accepted Accounting Principles) in report period.VI. Items and amounts of non-recurring gains/losses

□Applicable □Not applicable

In RMB

Item Amount Note

Gains/losses from the disposal of non-current asset (including the write-off that accrued for

impairment of asset) 2797183.06

Governmental grants reckoned into current gain/loss (except for those with normal

operation business concerned and conform to the national policies & regulations and are

enjoyed at a fixed basis according to certain standards and continuously affect the gain/loss 9123350.61

of the Company)

Except for effective hedging business related to the normal operation of the Company the

fair value gain and loss arising from the holding of financial asset and financial liability by

non-financial enterprises as well as the gain and loss arising from the disposal of financial -45338513.37

asset and financial liability

Reversal of impairment provision for accounts receivable subject to separate impairment

testing 762876.44

Gains/losses from debt restructuring -509395.38

7WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Other non-operating income and expenditure except for the aforementioned items 1928124.84

Less: Impact on income tax -6806842.56

Impact on minority shareholders’ equity (post-tax) 1893517.15

Total -26323048.39

Other gains/losses that conform to the definition of non-recurring gains/losses:

□ Applicable □ Not applicable

The Company does not have other gains/losses that conform to the definition of non-recurring gains/losses.Information on the definition of non-recurring gains/losses listed in the Q&A Announcement No.1 on Information Disclosure for

Companies Offering Their Securities to the Public --- Non-recurring Gains/Losses as Recurring Gains/Losses

□Applicable □Not applicable

The Company does not have any non-recurring gains/losses listed in the Q&A Announcement No.1 on Information Disclosure for

Companies Offering Their Securities to the Public --- Non-recurring Gains/Losses as Recurring Gains/Losses.

8WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Section III. Discussion and Analysis of the Management

I. Major business of the company within reporting period

(I) Main business of the company

The company has been deeply engaged in the automotive core components industry for many years. Leveraging its extensive

technical expertise comprehensive production system and broad market presence it has established three core business segments:

energy and power automotive intelligence and new industrial applications and built a diversified product portfolio covering

traditional internal combustion vehicles new-energy vehicles off-road machinery industrial equipment and energy storage

providing integrated solutions for domestic and international OEMs vehicle manufacturers and related enterprises. During the

reporting period the company's core products have consistently maintained a leading position in the industry in terms of market

share technological advancement and production scale.

1. Energy and Power

This segment represents the Company's core competitive business focusing on fuel injection systems exhaust aftertreatment

systems intake systems electric drive systems and automotive thermal management. The Company actively promotes business

transformation and upgrading and continuously expands into emerging markets such as plug-in hybrid electric vehicles overseas

exports and electrification. The products fully comply with the latest national and industry emission standards including China VI

for on-road vehicles and Stage IV for off-road applications offering customers highly integrated high-efficiency key components

and comprehensive system solutions.

(1) Fuel Injection System Business: Focusing on products such as high-pressure fuel pumps high-pressure common rail systems

injectors and filters the Company's offerings are compatible with diesel engines with various power ratings and clean alternative

fuels. These products are widely used in diverse applications including trucks buses construction machinery agricultural

equipment marine engines and power generation units. The Company leads the industry in terms of product variety production

scale and market share. While maintaining a strong presence in domestic original equipment manufacturer (OEM) markets it is

actively expanding into overseas markets with certain products successfully exported to regions such as the Americas Southeast

Asia and the Middle East earning broad recognition from international customers.

(2) Exhaust Aftertreatment System Business: Focusing on diesel gasoline and natural gas purifiers mufflers catalysts and

related products the business caters to diverse applications including conventional and plug-in hybrid passenger vehicles

commercial vehicles construction machinery agricultural equipment power generation units motorcycles etc. The Company

ranks among the top in China in terms of technological capability market scale and production capacity. Leveraging advanced

catalytic technology and high purification efficiency it provides strong support for OEM product upgrades helping customers

meet the latest emission regulations and enhance their market competitiveness.

(3) Intake System Business: Focusing on products such as diesel gasoline and natural gas turbochargers serving a wide range of

applications including conventional and plug-in hybrid passenger vehicles commercial vehicles construction machinery

agricultural machinery power generation units motorcycles ATVs UAVs etc. it provides stable and efficient support services to

major domestic OEMs and vehicle manufacturers. The products offer core advantages in enhanced power output and energy

efficiency effectively optimizing engine performance while balancing power output with environmental requirements meeting

diverse power equipment needs in various application scenarios.

9WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(4) Electric Drive System Business: Focusing on products such as motor shafts end covers and water jackets these components

feature high precision strong reliability and broad adaptability. The Company primarily supplies domestic and international new-

energy passenger vehicle manufacturers and electric drive system producers helping to enhance the power performance and

driving range of new-energy vehicles.

(5) Automotive Thermal Management Business: Includes products such as electronic oil pumps and electronic water pumps.

Focusing on market demands in the thermal management field of new-energy vehicles these products effectively regulate vehicle

operating temperatures improving the stability and safety performance of new-energy vehicles. It primarily serves domestic and

international new-energy passenger and commercial vehicle manufacturers.

2. Automotive Intelligence

This segment is a key strategic growth area for the Company's business transformation focusing on intelligent chassis smart

cockpit autonomous driving and other component and system products. By pursuing both internal growth and external expansion

it aims to achieve rapid and substantial expansion creating the Company's second core business segment.

(1) Intelligent Chassis Business: Focusing on core components of fully active hydraulic suspensions and braking systems the

Company is continuously enhancing our in-house R&D and manufacturing capabilities while deepening external joint ventures. It

aims to develop key components such as suspension motor hydraulic pumps solenoid valves and brake actuation systems

securing a leading advantage in global motor and hydraulic pump technology for active hydraulic suspensions and establishing

industry leadership. Currently our suspension motor hydraulic pumps have secured production orders from multiple leading

customers while vacuum pumps are stably supplied to major domestic and international automakers. Meanwhile next-generation

wire-controlled chassis core components including WDC solenoid valves and EMB integrated brakes are under development

further strengthening our forward-looking technological footprint in the intelligent chassis field.

(2) Intelligent Cockpit Business: Focusing on core components such as automotive seat assemblies and electric long slide tracks

the Company adheres to a market strategy of serving both passenger and commercial vehicles. By emphasizing high performance

high quality and cost-effectiveness it has established a differentiated competitive advantage achieving large-scale mass

production for both passenger and commercial vehicle customers.

(3) Autonomous Driving Business: Focusing on products such as millimeter-wave corner radars front radars in-cabin radars and

gate control radars it can offer customized radar modules and intelligent perception solutions for diverse applications including

autonomous driving smart cockpits intelligent parking and vehicle-to-infrastructure coordination continuously expanding into

global markets.

3. New Industrial

This segment represents the Company's strategic growth initiative proactively positioned in response to industrial technological

advancements. It focuses on hydraulic systems and core components AIDC thermal management industrial embodied intelligence

and smart factory systems new-energy industry chain (including hydrogen) and commercial aerospace precision parts and other

fields. Hydraulic systems and core components serve as the segment’s core business leveraging joint venture platforms to expand

into mobile and industrial hydraulic markets and continuously building comprehensive competitive advantages in cost

performance and responsiveness. Meanwhile the Company is intensifying its investment in emerging businesses such as AIDC

thermal management components and systems core parts and systems for industrial embodied intelligence smart factory systems

and equipment. It is actively advancing R&D and industrial collaboration for key commercial aerospace components deepening

10WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

its layout and synergistic capabilities across the new-energy value chain thereby achieving breakthroughs and high-quality

development of this segment.(II) Business model

The Company adheres to the business philosophy of "producing high-quality products creating renowned brands and achieving

shared value growth" operating under a model of centralized management by the parent Company and decentralized production by

its subsidiaries. The parent Company is responsible for formulating strategic development plans and operational goals and centrally

manages guides and evaluates subsidiaries in areas such as finance key personnel management core raw materials quality control

and technology research and development. The subsidiaries organize production based on market orders ensuring consistent product

quality while enabling timely understanding of customer needs reducing logistics costs maintaining prompt supply and enhancing

overall profitability.(III) Industry development

The Company is engaged in the automotive parts manufacturing industry. In the first half of 2026 the Chinese automotive industry

operated steadily with cumulative production and sales declines month by month. However due to pressure on domestic demand the

production and sales decreased slightly year-on-year. Supported by unexpectedly strong export growth and driven by the ongoing

transformation between old and new drivers of industrial development the automobile production and sales reached 14.993 million

and 15.017 million units respectively with year-on-year decreases of 4% and 4.1%.

1. Commercial vehicle market overview

From January to June 2026 the commercial vehicle market showed a structural feature characterized by "slight domestic demand

decline and export-driven growth." Driven by rapidly increasing penetration of new-energy commercial vehicles and sustained

positive export performance China's commercial vehicle market achieved year-on-year growth in both production and sales. In the

first half of the year the production and sales were 2.272 million and 2.297 million units respectively with year-on-year increases of

8.2% and 8.3%. Among them the sales of natural gas-powered commercial vehicles was 140000 units with a year-on-year increase

of 17.9%. From January to June 2026 the production and sales of trucks were 1.995 million and 2.019 million units respectively

with year-on-year increases of 8.6% and 8.7%. Among them the sales of heavy-duty trucks was 661000 units with a year-on-year

increase of 22.6%; the sales of medium-duty trucks was 75000 units with a year-on-year increase of 25.3%; the sales of light-duty

trucks was 1.05 million units with a year-on-year increase of 1.3%; the sales of micro trucks was 234000 units with a year-on-year

increase of 5.3%. During the same period the production and sales of buses were 277000 and 278000 units respectively with year-

on-year increases of 6% and 5%. Among them the sales of large and medium-sized buses was 54000 units with a year-on-year

increase of 3.4% while the sales of light-duty buses was 225000 units with a year-on-year increase of 5.4%.From January to June 2026 the domestic sales of commercial vehicles was 1.633 million units with a year-on-year increase of 0.8%;

the exports of commercial vehicles was 664000 units with a year-on-year increase of 32.5%. The domestic sales of new-energy

commercial vehicles was 496000 units with a year-on-year increase of 40.2% accounting for 30.4% of total domestic sales of

commercial vehicles. Driven by the rapid growth of pure electric models the electrification process continuously accelerated in the

commercial vehicle market.

2. Passenger vehicle market overview

From January to June 2026 the passenger vehicle market performed poorly with a slight decline but Chinese brands showed strong

performance and exports continued to serve as the core growth driver. The production and sales of passenger vehicles were 12.721

million and 12.72 million units respectively with year-on-year decreases of 5.9% and 6%. The domestic sales of passenger vehicle

were 8.288 million units with a year-on-year decrease of 24.3% while the exports were 4.432 million units with a year-on-year

increase of 71.7%. From January to June 2026 total sales of Chinese brand passenger vehicles were 9.138 million units with a year-

on-year decrease of 1.4% accounting for 71.8% of total sales of passenger vehicle and the market share had a year-on-year increase

of 3.3%.

3. New-energy vehicle market overview

11WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

From January to June 2026 the new-energy vehicle market maintained steady growth with the penetration rate of new vehicle sales

continuing to increase. The cumulative production and sales of new-energy vehicles were 7.438 million and 7.446 million units

respectively with year-on-year increases of 6.7% and 7.3%. The sales of new-energy vehicles accounted for 49.6% of total sales of

new vehicles. Among them the sales of pure electric vehicles were 4.987 million units with a year-on-year increase of 13%; the

sales of plug-in hybrid electric vehicles were 2.457 million units with a year-on-year decrease of 2.5%; the sales of fuel cell vehicle

was 700 units with a year-on-year decrease of 50.1%. In terms of exports the export of new-energy vehicles was 2.355 million units

with a year-on-year increase of 1.2 times. Among them the export of pure electric vehicles was 1.433 million unit with a year-on-

year increase of 1.1 times; the export of plug-in hybrid electric vehicles was 922000 with a year-on-year increase of 1.4 times

indicating that export of plug-in hybrid electric vehicles grew faster than that of pure electric vehicles. In June alone the export of

new-energy vehicle was 523000 units with a year-on-year increase of 1.6 times setting a new record high for monthly exports. In

June the sales of new-energy vehicles were 1.643 million units with a year-on-year increase of 23.6% and a market penetration rate

of 58.5%.

4. Off-road vehicle market overview

In the first half of 2026 the domestic demand for construction machinery rebounded due to equipment renewal policies while strong

demand from overseas markets such as emerging economies and “Belt and Road” regions further boosted the sales. In the first half of

the year the sales of diesel internal combustion engines for construction machinery was 489000 units with a year-on-year increase

of 7.6%. The agricultural machinery benefited from expanded subsidies and robust export growth and the sales of diesel engines was

941000 units with a year-on-year increase of 14.9%.

(Note: The above industry data sources are the China Association of Automobile Manufacturers the First Commercial Vehicle

Network and the China Internal Combustion Engine Industry Association.)

(IV) Company` business during the reporting period

Since this year the Company has earnestly implemented its annual work objectives and plans and actively seized and responded to

industry opportunities and challenges. During the reporting period the operating revenue was RMB 6.577 billion with a year-on-

year increase of 14.18%; the net profit attributable to shareholders of the listed Company was RMB 836 million with a year-on-year

increase of 19.17%.

1. Focused on core business operations and strengthened the foundation for growth

Energy & Power Segment: In the fuel injection system business the Company grasped the growth opportunities in the commercial

vehicle export market the sales of common rail pumps was nearly 780000 units with a year-on-year increase of over 30%; the sales

of inline pumps increased by approximately 14%; in high-power fuel injection system products it continued to drive the

development of customer projects. In the exhaust aftertreatment system business the market share steadily increased the sales of

gasoline purifiers was about 1.8 million units the sales of diesel purifiers was about150000 units; the sales of natural gas purifiers

was significantly increased year-on-year. In the intake system the business showed strong performance with notable success in

expanding the market for gasoline turbochargers. The total sales of four-cylinder turbochargers was more than 800000 units among

which the sales of diesel turbochargers were 380000 units maintaining the leading domestic market share the sales of gasoline

turbochargers was more than 420000 units with a year-on-year increase of more than 100%. The sales of six-cylinder turbochargers

was approximately 75000 units with a year-on-year increase of about 27% while the sales of high-power turbochargers continued to

increase. Leveraging its leading advantages in core components such as high-power fuel injection systems turbocharging systems

and aftertreatment systems the Company is actively expanding into the diesel and gas generator markets. Automotive Intelligence

Segment: In the suspension motor hydraulic pump products it completed sample deliveries to customers and secured new project

approval from global premium automotive brands. The sales of automotive seat assemblies were 90000 units with a year-on-year

increase of 20%; the electric long slide rail products received new customer project approvals. The millimeter-wave radar products

entered mass production of multiple automaker projects and secured the project approval from a leading domestic L4 autonomous

logistics vehicle manufacturer. New Industrial Segment: The hydraulic system business continued to expand in scale the sales of key

products maintained strong growth and the joint venture collaboration with Bosch Rexroth was accelerated. The development and

market application of core embodied intelligence components including dexterous hands harmonic reducers and flexible pressure

12WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

sensors were actively advanced. The smart factory initiatives were proactively expanded. The non-automotive market expansion for

core components of hydrogen fuel cells was actively pursued focusing particularly on metal bipolar plates in SOFC (solid oxide fuel

cell) applications. PEM water electrolysis systems had cumulatively completed 1500 hours of demonstration operation and secured

multiple customer projects and orders for PEM hydrogen generation systems and electrolyzers.

2. Focused on technological breakthroughs and iterated the product portfolios

Energy & Power Segment: In the high-power fuel injection system products completed in-vehicle validation for leading customers'

2000bar high-pressure pumps and injectors initiated the road testing for natural gas direct injection products and completed

durability verification of methanol direct injection systems and high-low temperature cycling tests for hydrogen internal combustion

engine injectors. Achieved batch production of aftertreatment system products for multiple categories of China VI-compliant vehicles

successfully deployed methanol aftertreatment solutions in real-world applications and promoted development of new heavy-duty

commercial vehicle platforms. Realized mass production of intake system products for multiple new projects involving gasoline

natural gas and diesel turbochargers and carried out research and testing for electric-assisted turbochargers. In automotive thermal

management achieved volume delivery and order fulfillment of multi-specification electronic oil pumps and completed sample

deliveries and testing verification for various types of water pumps. Automotive Intelligence Segment: Completed prototype

development and accumulator design of suspension motor hydraulic pumps. In automotive seat systems completed structural

modeling and design of seat assembly frames and achieved functional validation for electric side-sliding turntable prototypes. In

millimeter-wave radar products completed design of multiple radar models and promoted market adaptation and expansion efforts

for 3D corner radars. New Industrial Segment: In hydraulic components completed the development and prototyping of multiple

new pumps solenoid valves and proportional valves. In core components for embodied intelligence achieved breakthroughs in 11-

degree-of-freedom dexterous hand control technology and completed process validation functional development and customer

samples delivery of various sensing and alarm products. In PEM hydrogen generation systems completed reliability demonstration

operations and sample development and certification of electrolyzers of multiple specifications and several hydrogen valves passed

qualification certifications and were delivered to customers. In low-iridium catalysts and membrane electrode assemblies completed

production line commissioning and product development and realized small-batch supply. Successfully implemented the metal

single-cell battery project and delivered it to customer applications.

3. Anchored the strategic blueprint and empowered industrial layout

The company steadily advanced the implementation and tiered decomposition of its "15th Five-Year" strategic plan focusing on

three core strategic sectors: energy and power intelligent automotive and new industrial. The company completed a step-by-step

breakdown and review of strategic objectives across all business units and functional lines developed dedicated action plans to

support strategy execution and conducted in-depth thematic strategic assessments on key business directions. In terms of investment

and financing it focused on orderly implementing industrial mergers and acquisitions in line with automotive electrification

continuously expanded the strategic partner ecosystem and deepened industrial collaboration project implementation and capital

investment coordination with key strategic partners. For priority industries under the "15th Five-Year" development plan it

systematically planned the capital operation pathways such as introducing strategic investors and advancing mixed-ownership reform.Simultaneously it established a routine post-investment evaluation mechanism to strengthen post-merger integration capabilities and

continuously refine a closed-loop management system for equity investments throughout their entire lifecycle.

4. Focused on intelligent manufacturing and quality improvement and strictly upheld safety standards

The company continued to systematically improve the value streams of its subsidiaries and business segments and regularly

conducted improvement activities at the workshop level. It promoted the group's intelligent manufacturing initiatives by formulating

mid and long-term strategic plans for AI technology applications and accelerating the implementation of "AI + manufacturing." It

also promoted and accelerated manufacturing informatization to enable equipment management system spare parts management

module and tooling management system to enter development and implementation phases. Carried out blueprint design for digital

projects including production logistics simulation in industrial parks and process mining for manufacturing informatization. The

company was steadily promoting the second phase of its quality management platform construction orderly implementing functional

modules related to incoming material management and customer quality management across business segments exploring the

13WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

application of AI technologies in quality control scenarios establishing a networked quality tools system to standardize and enable

collaborative use of various tools and methods. The Company was developing two knowledge bases - cleanliness technical standards

and customer quality release criteria to consolidate and share product cleanliness specifications and customer-specific release

requirements. The Company was steadily advancing the construction of its hydrogen energy industrial park strengthening process

management for key infrastructure projects such as smart manufacturing park and prototype center upgrades. The Company was

promoting the implementation of its energy strategy accelerating the development of an energy management platform to ensure the

sustainable operation of its energy management system and coordinate the execution of various energy-saving and carbon-reduction

transformation projects. The Company organized all functional departments business segments and subsidiaries to complete tiered

safety and environmental protection responsibility agreements continuously reinforcing the primary responsibilities of EHS

(Environment Health and Safety).

5. Fined operations and management control to safeguard compliance barriers

The Company was steadily advancing organizational optimization at headquarters streamlining management levels and clarifying

the boundaries of responsibilities among departments. It continued to refine its process authorization system and drive the

implementation of business unit plans under its segments. The Company developed a human resources strategic plan optimized

systems related to talent management and employee development and implemented the "1+5+N" incentive framework; established a

strategic talent map recruited high-end and critical talents and strengthened the talent pipeline for the "Three Aviation and One

Craftsman" initiative earned the recognition as a key enterprise in regional talent self-evaluation; advanced the integration of human

resource management systems across overseas subsidiaries and enabled unified online operation of goal management processes. In

terms of finance the Company continued to optimize its financial shared services and business processes conduct routine business

risk assessments fined cash flow management and maintained stable net cash inflows from operations; continuously refined

financing structure and steadily reduced overall financing costs. In procurement and operations closely monitored market trends and

dynamically adjusted procurement strategies to mitigate supply chain delivery risks and cost fluctuation. Conducted specialized

commercial negotiations for key raw materials expanded new supply channels and promoted applications of alternative materials

and introduction of new quality suppliers. Launched a dedicated inventory turnover improvement program for dynamic tracking of

capital tied up in inventory and efficiency of bill circulation. Continuously enhanced internal control and risk prevention systems

conducted annual internal control self-audits across all business units and implemented improvements accordingly; carried out

special audits in key areas to ensure effective resolution and closure of identified issues; strengthened internal audit oversight to

continuously monitor audit rectification outcomes and ensure compliant and stable operations.II. Analysis on core competitiveness

1. Industry and brand advantages. Founded in 1958 the Company has become a renowned domestic manufacturer of automotive

components after over 60 years of development establishing long-term stable and deeply trusted strategic partnerships with

leading domestic automakers and original equipment manufacturers. The Company's core products cover key areas including fuel

injection systems exhaust aftertreatment systems intake systems core components for electric drive systems core components for

thermal management systems core components for braking systems cabin core components intelligent sensing modules and core

components for hydrogen fuel cells offering a comprehensive product portfolio and strong competitive advantages in the market .Ranked 46th on the List of 2026 China Automotive Supply Chain Top 100 the Company is a leader in China’s internal

combustion engine industry and one of the top 500 mechanical enterprises in China. Its subsidiaries Weifu Lida and Weifu Tianli

have been recognized as the seventh and eighth batches of National Manufacturing Single Champions respectively while Weifu

Tianli Weifu Jinning and Weifu Aotekem have been designated as national "Little Giant" specialized refined distinctive and

innovative enterprises highlighting the company’s core competitiveness and prominent industry position in niche markets.

2. Technological and product advantages. The Company is a national high-tech enterprise equipped with advanced research

platforms including a National-level Enterprise Technology Center a National High-Tech Research and Development Program

14WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Industrialization Base a Postdoctoral Research Station and Jiangsu Province Graduate Student Workstation. It also operates

multiple provincial-level engineering technology research centers and engineering laboratories forming a multi-tiered systematic

innovation system. Focusing on business areas such as energy and power intelligent automotive systems and new industrial

applications the company conducts technological innovation and product development mastering numerous key core technologies

in the industry. The technical specifications of main products are leading in the industry. In recent years the company has

strengthened its strategic expansion into emerging businesses establishing robust capabilities in product development and

technological reserves across new fields including automotive seats millimeter-wave radars fully active suspension motor

hydraulic pumps electronic water pumps and core components for embodied intelligence continuously advancing the

industrialization of its technological achievements.

3. Management and manufacturing advantages. The company has a well-established organizational structure and a standardized

management system with a financial shared service platform enabling efficient integration and smooth operation among

organizational personnel business processes and accounting calculations. It has built an HR information system platform to

ensure timely accurate and standardized management of foundational data in organization personnel compensation and

attendance. The procurement shared system has been launched establishing seamless communication channels between the

enterprise and suppliers and enabling closed-loop control throughout the entire procurement process. The company has

implemented the Weifu Production System (WPS) centered on lean thinking and built a comprehensive quality management

system covering R&D procurement production and after-sales services demonstrating strong capabilities in manufacturing

quality assurance cost control and product delivery. Leveraging intelligent manufacturing the company is continuously

advancing the development of digital factories with distinct Weifu characteristics achieving real-time monitoring and continuous

optimization of production processes through big data analytics AI technology applications and upgrades in smart equipment.

4. Marketing and service advantages. The company has set up a professional and highly stable marketing and service team capable

of delivering refined service support to customers. By establishing a collaborative mechanism among customer managers across

all business lines it has effectively integrated resources from the market expansion department and various business units creating

a unified service system that jointly serves key strategic customers. Through regular executive exchanges and high-level

coordination mechanisms the company has continuously deepened customer relationships enhancing customer loyalty and

collaboration depth. The company has built an extensive and responsive after-sales service network supported by an intelligent

service platform and a nationwide authorized repair system enabling fast response professional efficiency and full lifecycle

technical support and after-sales services and providing dual assurance for both market expansion and customer services.

5. Talent team advantages. The company's management team has extensive experience in the automotive industry with deep

industry expertise rich operational and management experience and a strong market reputation providing solid decision-making

support and strategic guidance for the company’s steady growth. The company values employee development and emphasizes

building a core talent team. Over the years it has cultivated a group of professional high-quality management and technical

professionals establishing a well-structured talent pipeline that ensures robust human resources for long-term stable development.The company maintains a comprehensive human resources management system and continuously optimizes processes systems

and incentive mechanisms to create a fair transparent open and inclusive career development platform and value realization

pathway for all employees. It places great importance on employee service and care enhancing the employee experience through

self-service platforms and fostering a warm supportive and engaging work environment.

15WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

6. Global collaboration advantages. With years of deep involvement in the automotive industry the company has consistently

adhered to open collaboration and win-win cooperation establishing long-term stable and deeply trusted partnerships with high-

quality strategic partners domestically and internationally. In 1984 the company initiated a strategic alliance with Bosch a global

leader in the industry. Over the years through joint efforts the cooperation has expanded across multiple fields setting an

exemplary model in industry collaboration. Meanwhile the company has jointly established industrial platforms with renowned

enterprises such as U.S.-based Atekem and Baolong Technology. Leveraging long-term collaborations with leading global

companies the company has cultivated a high-quality team of management and technical professionals with international

perspectives and cross-cultural communication skills. It has mastered advanced international capabilities in research and design

manufacturing processes quality control and production operations providing solid support for its international business

expansion and global market strategy.

7. Capital operation and industrial investment advantages. Leveraging its listed company platform and extensive network of

industry partners and relying on solid financial fundamentals and adheres to the development philosophy of "industry as thefoundation capital as the enabler” the company always focuses on core strategic sectors such as energy and power intelligent

automotive and new industrialization to expand its industrial footprint. Through diversified approaches including equity

investments joint ventures and corporate bond issuances the company continuously strengthens and extends its industrial chain

nurturing emerging growth opportunities. The company has established a comprehensive and standardized investment decision-

making and post-investment management system emphasizing strategic alignment between portfolio companies and its core

business enabling synergistic development between internal growth and external expansion and providing strong support for the

implementation of its medium- to long-term strategy.

8. Excellent corporate culture. With the mission of "Quality and Intelligence Driving a Better Life" and the company envision of

"Becoming a World-leading Provider of Intelligent Automotive and New Industrial Systems the company always upholds core

values of “Dedication Innovation Responsibility and Integration” and promotes an entrepreneurial spirit characterized by

“Practical Action Bold Initiative Effective Collaboration and Striving for Excellence” forming a rich and clearly oriented

cultural foundation. The company is committed to building a distinctive cultural system driven by "Quality" and "Intelligence"

and further uniting development consensus and showcasing cultural confidence through branded initiatives such as the regular

“Quality & Intelligence Carnival” reflecting the company's commitment to its original aspirations and its forward-looking vision.This outstanding corporate culture provides strong spiritual guidance and cultural support for sustainable and steady operations

driving continuous pursuit of excellence and serving as a lasting force behind the realization of strategic goals and high-quality

growth.III. Analysis of main business

Overview

Refer to the relevant content of “1. Major business of the Company within report period”.Year on year changes in major financial data

In RMB

Amount in current Amount in last Year-on-year increase period period (+)/decrease (-) Reason

Operation income 6577060413.92 5760418633.11 14.18%

Operation cost 5407931484.30 4765222793.27 13.49%

Sales expense 71309292.67 83998662.78 -15.11%

16WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Administration

expenses 374153718.45 381273882.00 -1.87%

Mainly due to changes in foreign

exchange gains and losses caused by

exchange rate fluctuations (Exchange

Financial expenses 8855912.51 -35073044.09 125.25% loss for this reporting period was approximately 13.35 million yuan

compared to an exchange gain of about

19.70 million yuan in the same period

last year)

Income tax expense 59955818.95 42189606.93 42.11% Mainly due to the increase in taxable income

R&D expenses 338140590.10 350722149.70 -3.59%

Mainly due to an increase in cash

Net cash flows

arising from 935206251.36 492874278.74 89.75% received from sales of goods and

operating activities provision of services during the

reporting period.Net cash flows

arising from investing -906451406.79 719988801.17 -225.90% Mainly due to increased investment

activities scale

Net cash flows Mainly due to the adjustment in the

arising from -9331659.61 -800783034.85 98.83% implementation timing of the

financing activities Company’s 2025 year cash dividend.Net increase of cash

and cash equivalents -2257807.63 448858253.58 -100.50%

Mainly due to the decrease in net cash

flows arising from investing activities.Significant changes in the composition or source of profits of the Company during the report period

□ Applicable □Not applicable

There have been no significant changes in the composition or source of profits of the Company during the report period.Component of operation income

In RMB

Amount in current period Amount in last period

Ratio in operation Ratio in operation Year-on-year increase Amount income Amount income (+)/decrease (-)

Total operation

income 6577060413.92 100% 5760418633.11 100% 14.18%

By industry

Automotive

components 6441837362.16 97.94% 5664265047.26 98.33% 13.73%

Other 135223051.76 2.06% 96153585.85 1.67% 40.63%

By product

Energy and Power 5607181494.67 85.25% 4808603638.15 83.48% 16.61%

Automotive

Intelligence 757860795.16 11.52% 753668394.13 13.08% 0.56%

New Industrial

System + AI 76795072.33 1.17% 101993014.98 1.77% -24.71%

Other 135223051.76 2.06% 96153585.85 1.67% 40.63%

By region

Domestic 5846941562.11 88.90% 5032603685.85 87.37% 16.18%

Foreign 730118851.81 11.10% 727814947.26 12.63% 0.32%

Information on industries products or regions accounting for more than 10% of the Company's operating income or operating profit

□Applicable □Not Applicable

In RMB

Year-on-year Year-on-year Year-on-year

Gross increase increase increase

Operating income Operating Cost profit (+)/decrease (- (+)/decrease (-) (+)/decrease (-

rate ) of Operating of Operating ) of gross

income Cost profit rate

17WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

By industry

Automotive

components 6441837362.16 5348126771.42 16.98% 13.73% 13.12% 0.45%

By product

Energy and Power 5607181494.67 4620095327.27 17.60% 16.61% 15.92% 0.49%

Automotive Intelligence 757860795.16 642203265.49 15.26% 0.56% 0.73% -0.15%

By region

Domestic 5711718510.35 4710486867.82 17.53% 15.70% 14.90% 0.58%

Foreign 730118851.81 637639903.60 12.67% 0.32% 1.52% -1.03%

IV. Analysis of non-main business

□Applicable □Not applicable

In RMB

Ratio

Amount in total Cause description Whether be sustainable

profit

Investment earnings mainly form the Yes (The joint ventures RBCD Zhonglian

Investment joint ventures RBCD Zhonglian Electronics and WFEC maintain stable

earnings 668251528.12 73.75% Electronics and WFEC production and operation so the investment returns are sustained and

stable)

Gains/losses Mainly refers to the fair value changes

from changes -65717427.94 -7.25% of tradable financial asset

in fair value

Asset

impairment -75062255.15 -8.28%

Mainly refers to the provision of

inventory impairment

Non-operating

income 1296251.20 0.14%

Non-operating

expense 2075990.74 0.23%

V. Asset and liability analysis

1. Major changes of asset component

In RMB

End of current period End of last period Ratio

Ratio in Note of major Amount total asset Amount

Ratio in changes

total asset (+/-) changes

Monetary funds 2414890487.09 7.82% 2358850312.47 7.95% -0.13%

Accounts receivable 4122335543.56 13.35% 4341063178.47 14.63% -1.28%

Inventory 2629912239.61 8.52% 2458134988.90 8.29% 0.23%

Investment real estate 50250692.83 0.16% 52318319.87 0.18% -0.02%

Long-term equity

investment 5822527426.36 18.85% 7299370031.76 24.60% -5.75%

Fixed asset 4464761205.57 14.46% 4582924701.55 15.45% -0.99%

Mainly for

Construction in

progress 425065311.64 1.38% 280431452.37 0.95% 0.43%

increasing

long-term asset

investments

Right-of-use asset 89829218.94 0.29% 97945565.44 0.33% -0.04%

Short-term borrowings 626107426.19 2.03% 564763810.23 1.90% 0.13%

Mainly due to

increase

Contract liabilities 86839084.88 0.28% 63010303.58 0.21% 0.07% advance

customer

payments

Long-term borrowings 105843351.11 0.34% 87300000.00 0.29% 0.05%

Lease liabilities 68279058.96 0.22% 73373773.23 0.25% -0.03%

18WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Other receivables 2134238766.20 6.91% 82980848.24 0.28% 6.63%

Dividend

Including: dividends receivable 2055706449.33 6.66% 5357758.49 0.02% 6.64% receivable from participating

companies

2. Major foreign assets

□Applicable □Not applicable

The

Specific proportion Is there a

content Cause of Asset scale Location Operation Control measures to Revenue of overseas significant

of asset formation model ensure asset security asset to the impairment

Company’s risk

net asset

A wholly- The Company will

owned fully pay attention to

subsidiary changes in the

Business of the industry and market

combinations Company strengthen corporate

IRD not under RMB 341140700.00 Denmark engaged in

governance personnel

common R&D management

Nil 1.70% No

control production financial

and sales of management audit

fuel cell supervision and

components performance evaluation

A wholly- The Company will

owned fully pay attention to

subsidiary changes in the

Business of the industry and market

combinations Company strengthen corporate

Borit not under RMB247791700.00 Belgium engaged in governance personnel management Nil 1.24% No common R&D

control production financial

and sales of management audit

fuel cell supervision and

components performance evaluation

A wholly- The Company will

owned fully pay attention to

subsidiary changes in the

Business of the industry and market

combinations Company strengthen corporate

VHIO not under RMB621160900.00 Italy engaged in governance personnel RMB10862100.00 3.10% No

common R&D management

control production financial

and sales of management audit

Automotive supervision and

components performance evaluation

3. Assets and liabilities measured at fair value

□Applicable □ Not applicable

In RMB

Gains/losses Accumulated

from gains/losses Impairment from provision Amount of Amount

Items Opening changes in balance fair value in changes in accrued in purchase in the

of sale

in the Other changes Ending balance

current fair value current period booked into period period period equity

Financial asset

1.Tradable

financial

assets(excluding - -2784723352.05 4774156072.48 3418704306.74

derivative 89262091.65 4050913026.14

financial asset)

2.Other equity

instrument 1049138690.00 0.00 0.00 1049138690.00

investment

19WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

3.Receivable

financing 1861919025.73 69714831.94 1931633857.67

Subtotal of - -

financial assets 5695781067.78 4774156072.48 6399476854.41 89262091.65 3981198194.20

Above total - -5695781067.78 4774156072.48 6399476854.41

89262091.653981198194.20

Financial

liabilities 0.00 0.00

Other changes: Maturity redemption

Whether there were major changes in the measurement attributes for main assets of the Company in report period or not

□ Yes □No

4. The asset rights restricted till end of the report period

In RMB

Item Book value at period-end Restriction reason

Monetary funds 728665.13 Cash deposit paid for bank acceptance

Monetary funds 317328.83 Guarantee deposit

Monetary funds 144.17 Cash deposit for Mastercard

Monetary funds 7820760.93 Performance bond

Monetary funds 380066.34 Financial management guarantee deposit

Monetary funds 30308794.51 Loan margin

Funds frozen by the court due to litigation are deposits in a corporate

Trading financial assets 10150000.00 structured deposit account opened by the Company in a bank. The principal balance in such deposit account was RMB100.00 million of which RMB

10.15 million was frozen.

Receivables financing 370229131.46 Notes pledge for bank acceptance

Total 419934891.37 --

VI. Analysis on investment

1. Overall status

□Applicable □Not applicable

Investment amount during the report period (yuan) Investment amount for the same period last year (yuan) Change

413172349.04441930364.44-6.51%

2. Significant equity investments obtained during the report period

□Applicable ?Not applicable

3. Major non-equity investment in progress in report period

□ Applicable □ Not applicable

4. Financial asset investment

(1) Securities investment

□ Applicable □Not applicable

In RMB

Book Current Cumula

Variet Code Short Account value at gain/lo tive fair Current Profit Book

y of of form of Initial ing ss of Current and loss value at Account

Capi

securit securit securitie investment measure

the fair value purcha tal

cost ment beginnin value changes se

sales in the the end ing

ies ies s amount Reportin of the subject

sour

model g of the period change

in amount ce

s equity

g Period period

20WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Dome

stic Tradabl

and 60037 Hanma MeasureTechnol 1154757.5 d at fair 888391.5

--

foreig 5 5 6 395972

156072 395972. 648491. e Own

ogy value .37 .48 37 67 financia fund n l asset

stocks

--

Total 1154757.5 888391.5 1560725 -- 6 395972 0.00 .48 0.00 395972.

648491..373767

----

Disclosure date of securities investment

approval of the Board Not applicable Hanma Technology was formed through the conversion of accounts receivable into equity.

(2) Derivative investment

□ Applicable □ Not applicable

There are no derivative investments during the report period.

5. Application of raised proceeds

□ Applicable □ Not applicable

There is no application of raised proceeds during the report period.VII. Sales of major asset and equity

1. Sales of major asset

□ Applicable □ Not applicable

No major asset was sold during the report period.

2. Sales of major equity

□ Applicable □ Not applicable

VIII. Analysis of main controlling and participating companies

□ Applicable □ Not applicable

Main subsidiaries and participating enterprises with over 10% influence on net profit of the Company

In RMB

Company Main Operating

name Type business Register capital Total asset Net asset income Operating profit Net profit

Automotive

parts

Subsidiary 1 Subsidiary manufactur 502596300.00 7008524500.52 3321705499.84 2353201262.02 113670543.20 89677474.44

ing and

sales

Automotive

Participating parts RBCD enterprise manufactur

USD

18159830710.316720704315.865068471572.52914844891.75858569240.53

ing and 382500000.00

sales

Automotive

Zhonglian Participating parts manufactur 10062968071.0Electronics enterprise 600620000.00 11771254922.11 14214738.71 1343652608.66 1340597954.92 ing and 9

sales

Note: The operation profit and net profit presented in Subsidiary 1 do not include investment income from associated enterprises.Subsidiaries acquired and disposed in report period

?Applicable □Not applicable

Corporate name Ways of acquiring and disposing of subsidiaries during the report period Impact on overall production operation and performance

The establishment of this company is primarily aimed at expanding the

WEIFU post-processing system business in the Southeast Asian market while

LIDA(MALAYSIA) Investment establishment also creating a synergistic relationship with the domestic market. With

SDN.BHD planned investment of 40.00 million yuan it is expected to have a positive impact on the company's overall operations and future

performance.

21WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

The company primarily engaged in hub motor-related business. Due to

Wuxi Weifu Electric the industry's development falling short of expectations the strategic

Drive Technology Liquidation and cancellation adjustments by the company and other reasons it has been liquidated and

Co. Ltd dissolved. The assets involved in this liquidation are mainly cash-based and the process will not have a significant impact on the company's

overall operations or financial performance.The company served as Borit's U.S. business office. Due to the need for

strategic optimization and improved management efficiency it has been

Borit Inc. Liquidation and cancellation liquidated and dissolved. This liquidation and deregistration will not have

a material impact on the company's overall operations or financial

performance.Description of major participating enterprises:

Nil

IX. Structured subject controlled by the Company

□ Applicable □ Not applicable

X. Risks faced by the company and corresponding measures

1. Risks in macroeconomy and market

The current global macroeconomic environment remains complex and challenging with insufficient domestic economic demand.The automotive industry is facing structural divergence characterized by "pressure on domestic demand and export-driven growth"

intensifying competition and accelerating iteration in new-energy and intelligent technology pathways. If industry sentiment falls

short of expectations or the market landscape undergoes significant changes it could introduce certain uncertainties regarding the

company's operations market expansion and profitability.Countermeasures: The company will continuously monitor the macroeconomic environment and industry development trends

dynamically optimize its business strategies strengthen and solidify its competitive position in core markets and actively explore

new products customers and business areas. Keeping pace with the technological trends of electrification intelligence and

integration in the automotive industry the company will increase R&D investment and technology reserves to enhance product

competitiveness cost control capabilities and overall risk resilience ensuring sustainable and stable operations. At the same time it

will seize opportunities presented by the rapid growth of export markets and fully leverage its global collaboration advantages to

steadily expand its international business footprint.

2. Risks in business management and control

With the continuous promotion of the company's international strategic layout and the continuous expansion of strategic emerging

businesses especially in the fields of new energies and new industries the company's management range business complexity and

investment decision-making difficulty increase accordingly and there are certain management and investment risks in internal

control cross-cultural management project management and control and the realization of investment benefits.Countermeasures: The company will continue to improve the modern corporate management system optimize internal

management processes and operational mechanisms strengthen system implementation and process control comprehensively

improve the level of refined management strengthen the overall planning and risk control of international business speed up the

introduction of international talents and team building enhance the ability of overseas business operation strengthen the whole

life cycle management of new businesses and new projects to effectively prevent business and investment risks and ensure the

steady realization of the company's strategic objectives.

3. Risks in raw material price fluctuation

The main raw materials needed for the company's production include aluminum and precious metals and their prices are affected

by multiple factors such as global macro-economy supply and demand and commodity market fluctuations. If the prices of major

raw materials continue to rise sharply it will directly increase the company's production costs and adversely affect the company's

profitability and operating performance.

22WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Countermeasures: The company will continue to strengthen the research and judgment on the market trend of bulk commodities

scientifically plan production and inventory strategies reasonably control the inventory of raw materials continue to deepen the

collaborative management of supply chain and optimize the procurement mode strengthen the integration of industrial chain

resources and cost control absorb the cost pressure through technical upgrading process optimization product structure

adjustment etc. and transfer some risks through reasonable product price adjustment when necessary so as to minimize the

impact of raw material price fluctuations on the company's operation.

4. Risks related to financial instruments

In daily operation the company can use various financial instruments such as monetary funds structured deposits accounts

receivable equity instruments investment wealth management products bank loans and accounts payable which may result in

credit risk market risk and liquidity risk. If the relevant risk cannot be controlled completely it may adversely affect the

company's asset security cash flow and operating results.Countermeasures: The company will continuously identify evaluate and monitor all kinds of financial risks define risk

preferences and limits strictly implement customer credit management centralized fund management investment and financing

approval and other control processes strengthen the whole process management of credit risk market risk and liquidity risk to

ensure that all kinds of risks are controlled within a reasonable and tolerable range effectively guarantee the safe and stable

operation of the company's assets and safeguard the legal rights and interests of the company and all shareholders.

5. Risks in strategic business transformation and post-investment management

In recent years the company has accelerated its strategic transformation into new business areas actively expanding into full

active hydraulic suspension intelligent seats millimeter-wave radar hydrogen energy and comprehensive recycling of lithium

batteries. It continues to advance external investments mergers and acquisitions integration and industrial incubation. However

emerging industries are characterized by rapid technological iteration and long market development cycles posing risks such as

delayed technology implementation and slower-than-expected market expansion. Additionally with increasing numbers of

external investment projects if post-investment integration business synergy team alignment and operational management fail to

meet expectations the operating performance of invested companies may fall short negatively impacting the company’s overall

strategic progress and financial results.Countermeasures: The company will adhere to an industry-driven investment philosophy strictly follow procedures for project

initiation due diligence and decision-making carefully select investment objects with a strong focus on synergies between

projects and core businesses. It will continuously strengthen full-cycle post-investment management by establishing routine

monitoring and evaluation mechanisms enhancing oversight over the operations finances and major events of invested

enterprises. The company will promote resource integration across business technology and management dimensions proactively

identify and mitigate potential operational risks. For emerging businesses still in the development phase it will conduct forward-

looking risk assessments and manages resource allocation prudently to ensure the orderly advancement of the company’s strategic

transformation.XI. Formulation and implementation of market value management system and valuation

enhancement plan

Whether the company has formulated market value management system or not

□Yes □ No

To strengthen the Company's market value management further standardize its market value management practices protect the

legitimate rights and interests of the company's investors (especially medium and small investors) and other stakeholders enhance

the Company's investment value and improve investor returns the Company has formulated the Market Value Management

System in accordance with the relevant provisions of laws regulations and normative documents such as the Company Law of the

People's Republic of China the Securities Law of the People's Republic of China the Guidelines for Supervision of Listed

23WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Companies No. 10 – Market Value Management and the Rules Governing the Listing of Stocks on Shenzhen Stock Exchange as

well as the Articles of Association of the Company and in combination with the Company's actual situation. This system was

reviewed and approved at the 6th meeting of the 11th session of the Board of Directors on April 16 2025. Please refer to the full

text of the system disclosed by the Company on April 18 2025 on the website of Juchao Information for specific details.Whether the Company has disclosed valuation enhancement plan or not

□Yes □No

XII. Implementation of the action plan for “Double Improvement of Quality and Return”

Whether the Company discloses the Action Plan for “Double Improvement of Quality and Return” or not

□Yes □No

24WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Section IV Corporate Governance Environmental and Social

Responsibilities

I. Changes in directors supervisors and senior executives

?Applicable □ Not applicable

Name Duty Type Date Reason

Rong Bin General Manager Appointed 2026-06-26 Appointed by the BoD

Xue Liang Deputy General Manager Appointed 2026-06-26 Continued appointed by the BoD

Yin Zhenyuan Chairman Leave office 2026-07-26 Job adjustment

II. Profit distribution and capitalization of capital reserves during the report period

□Applicable □Not applicable

Share capital base for profit distribution proposal (shares) 3

The base number of shares for the distribution plan (shares) 966785693

Cash dividend amount (yuan) (including tax) 290035707.90

Cash dividend amount in other forms (such as share repurchase) (yuan) 0.00

Total cash dividend (including other forms) (yuan) 290035707.90

Distributable profits (yuan) 13104974780.35

The proportion of total cash dividends (including other forms) in the total profit distribution 100%

Cash dividend amount

Other

Detail explanation on profit distribution or capitalization from capital reserves

Based on the 966785693 shares a cash dividend of RMB 3.00 yuan per 10 shares (including tax) will be distributed no bonus

shares and no capitalization from capital reserves. The total proposed cash dividends for this time is 290035707.90 yuan

(including tax). If the total share capital of the Company changes before the implementation of the distribution plan the Company

will implement profit distribution according to the principle of unchanged distribution proportion and adjustment of the total

amount of distribution. The above distribution plan complies with the provisions of the Company's articles of association and

review procedures fully protecting the legitimate rights and interests of small and medium-sized investors.III. Implementation of the Company’s stock incentive plan employee stock ownership plan

or other employee incentives

□Applicable □Not applicable

The Company didn’t implement stock incentive plan employee stock ownership plan or other employee incentives.IV. Environment information disclosure

Whether the listed company and its major subsidiaries included in the list of enterprises are required to disclose environment

information in accordance with laws

□ Yes □ No

Number of enterprises included in the list of enterprises

required to disclose environmental information in 4

accordance with laws

SN Enterprise name Query index for the report on environmental information disclosure in

accordance with laws

1 WFHT (Mechanical Systems Business Division) Department of Ecology and Environment of Jiangsu Province -

2 WFJN Enterprise Environmental Information Disclosure System in Accordance

with the Law (Jiangsu) http://218.94.78.91:18181//spsarchive-

3 WFCA webapp/web/viewRunner.htmlviewId=http://218.94.78.91:18181/spsarc

4 WFAM hive-webapp/web/sps/views/yfpl/views/yfplHomeNew/index.js

25WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

V. Social responsibility

In 2026 the Company remained focused on its goal of high-quality development and fully integrated social responsibility into its

corporate strategy. Guided by its commitment to responsible action and long-term positive development the Company embraced a

service philosophy centered on care empowerment and community benefit. It coordinated initiatives in employee care community

service charitable assistance and environmental protection fulfilling its corporate social responsibilities through practical actions

and demonstrating both corporate responsibility and a strong human-centered approach.Employee care serves as a fundamental foundation for the Company's sustainable development. During the reporting period the

Company integrated resources from various channels including the Wuxi Federation of Trade Unions the Red Cross Society of

Wuxi and internal corporate mutual aid funds to establish a comprehensive and targeted employee assistance mechanism. The

Company continued to provide support for employees facing critical challenges including serious medical needs children's

education expenses and family financial difficulties helping employees overcome hardships and fostering a workplace culture where

employees feel that the Company is like a second home. Meanwhile the Company actively advanced the development of a "Healthy

Enterprise" by organizing a series of initiatives including on-site medical consultations in workshops first-aid skills training and

public health education sessions on chronic disease prevention. These activities promoted health awareness among employees

enhanced employees’ ability to respond to emergencies and provide mutual assistance. and provided comprehensive support for their

physical and mental well-being.In the area of philanthropy and community engagement the Company actively fulfilled its social responsibilities by donating

RMB75000 to Red Cross charitable programs. The Company has also received the "Red Cross Fundraising Organization Award" for

multiple consecutive years. With regard to community services the Company focuses on elderly care community welfare and

convenient public services. It carried out environmental protection volunteer activities at Hongfu Home-Based Elderly Care Service

Station and organized the "Making Moxa Hammers with Skillful Hands" handicraft event to bring warmth and care to senior citizens..Through the Hongfu Community Service Center the Company organized free medical consultation activities bringing accessible

healthcare services directly to local residents and strengthening connections between the Company and the surrounding community.In terms of educational assistance the Company remained committed to supporting education in remote areas by donating Children's

Day care packages to No. 4 Complete Primary School of Yushu Tibetan Autonomous Prefecture in Qinghai Province contributing to

the healthy growth and development of young students. The Company also firmly embraced the principles of green development and

launched the public welfare initiative "Strengthen Environmental Protection Share a Green Future." Employees participated in

volunteer hiking and environmental cleanup activities along the shores of Lake Taihu taking concrete actions to protect the

ecological environment and promote green low-carbon and environmentally responsible values.Looking ahead the Company will continue to uphold its commitment to public welfare and proactively fulfill its corporate social

responsibilities. It will further enhance its employee care and support system deepen its involvement in community services elderly

care education assistance and environmental protection initiatives develop innovative platforms for public welfare initiatives and

expand the reach of its social responsibility programs. Rooted in the local community and committed to giving back to society the

Company will continue to demonstrate corporate warmth through sustained social responsibility practices contribute to social

harmony and progress through concrete actions and strengthen its reputation as a responsible corporate citizen.

26WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Section V. Important Events

I. Commitments completed in Period and those completed till the end of the Period from

actual controller shareholders related parties purchaser and companies

□Applicable ? Not applicable

There are no commitments which are not completed in Period and those completed till the end of the Period from actual controller

shareholders related parties purchaser and companies.II. Non-operational fund occupation by controlling shareholders and their related parties

□ Applicable □ Not applicable

No non-operational fund occupation by controlling shareholders and their related parties in period.III. External guarantee out of regulations

□ Applicable □ Not applicable

No external guarantee out of the regulations occurred in the period.IV. Appointment and dismissal of CPA

Whether the semi-annual financial report has been audited or not

□ Yes ? No

The company's semi-annual report has not been audited.V. Explanation from the BOD the board of supervisors and independent directors (if

applicable) for “Qualified Audit Opinion” issued by CPA

□ Applicable □Not applicable

VI. Explanation from the BOD for “Qualified Audit Opinion” of last period

□ Applicable □Not applicable

VII. Bankruptcy reorganization

□ Applicable □Not applicable

No bankruptcy reorganization for the Company in report period

VIII. Lawsuits

Material litigation and arbitration matters

□ Applicable ? Not Applicable

During the report period the company has no material litigation or arbitration matters.Other litigation matters

? Applicable □ Not Applicable

27WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Amount Whether Execution Date Index

Basic information of litigation involved (in expected Progress of litigation Results and impacts of

(arbitration) ten thousand liability have (arbitration) litigation (arbitration)

of litigation of of

trial (arbitration) discl disclosyuan) been formed judgments osure ure

The Company or its

subsidiaries as plaintiffs have It has no significant

no lawsuits that meet the Related cases are impact on the Case not

disclosure threshold for material 14768.64 N currently under trial or execution company's production yet closed

litigation; summary of other and operation

lawsuits

The Company or its

subsidiaries as plaintiffs have Related cases are It has no significant no lawsuits that meet the 302.36 N currently under impact on the Case not disclosure threshold for material company's production yet closed

litigation; summary of other trial and operation

lawsuits

IX. Penalty and rectification

□ Applicable □Not applicable

No penalty and rectification for the Company in report period.X. Integrity of the Company its controlling shareholder and actual controller

□ Applicable □Not applicable

XI. Major related transaction

1. Related transaction with routine operation concerned

? Applicable □ Not applicable

Related Tradin Wheth

Type of Content party Proportio

g limit er over Clearing Availab

related of related Pricing

Related approv the

Related party Relationship party princip party

transactio n in ed (in approv form for le Date of Index of

transactio transactio le transacti

n amount similar

(in ten transactio ten ed

related similar

transacti market disclosure disclosure n n on price thousand ns thousa limited

yuan) nd or not

on price

yuan) (Y/N)

Procure Procure Fair Accord

WFPM Joint

ment of ment of marke Market ing to Marke

venture goods goods t 1042.23 0.15% 2600 N the and and pricin price contrac t price

services services g t

Procure Procure Fair Accord

Joint ment of ment of marke ing to

WFEC venture of goods goods t Market 50646.3 1200 Markeprice 7.24% N the WFLD and and pricin 5 00 contrac t price

services services g t Announce

Associated Procure Procure Fair Accord 2026/4/17 ment No.:

enterprise ment of ment of marke ing to 2026-008 17625.1 3600

RBCD controlling goods goods t Market 2.52% N the

Marke

subsidiary and and pricin price 2 0 contrac t price

of Bosch services services g t

Second Procure Procure Fair Accord

largest ment of ment of marke 12180.1 3800 ing to

Bosch shareholder goods goods t Market 1.74% N the

Marke

of the and and pricin price 2 0 contrac t price

Company services services g t

Procure Procure Fair Accord

Holding ment of ment of marke

FALCON company of goods goods t Market

ing to Marke

price 1.19 0.00% 0 Y the IDG and and pricin contrac t price

services services g t

Procure Procure Fair Accord

Joint ment of ment of marke ing to

Changchun

Xuyang venture of goods goods t

Market Marke

price 7.82 0.00% 0 Y the WFLD and and pricin contrac t price

services services g t

Procure Procure Fair Accord

Joint ment of ment of marke ing to Lezhuo Bowei venture goods goods t

Market Marke

price 1.97 0.00% 0 Y the and and pricin contrac t price

services services g t

28WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Procure Procure Fair Accord

Holding ment of ment of marke

Zhongcui food company of goods goods t Market

ing to Marke

21.93 0.00% 0 Y the

IDG and and pricin price contrac t price

services services g t

Sale of Sale of Fair Accord

Joint goods goods marke Market ing to WFPM t N the Markeventure and and price 72.58 0.01% 150 t price

services services pricin contracg t

Sale of Sale of Fair AccordJoint goods goods markeWFEC venture of t Market

ing to Marke

and and price 120.01 0.02% 750 N the WFLD services services pricin contrac

t price

g t

Associated

enterprise

controlling Sale of Sale of

Fair Accord

marke ing to

RBCD subsidiary goods goods Market 84795.6 1700 Marke

of Robert and and

t 12.89% N the

services services pricin

price 5 00 contrac t price

Bosch g t Announce

Company 2026/4/17 ment No.:

Second Sale of Sale of Fair Accord

largest goods goods markeshareholder t Market 104615. 2650

ing to

Bosch and and price 15.91% N the

Marke

of the pricin 46 00 contrac t price

Company services services g t

Joint Sale of Sale of

Fair Accord

Changchun venture of goods goods

marke Market ing to Marke

Xuyang and and t price 2319.02 0.35% 9500 N the WFLD pricin contrac t price services services g t

Sale of Sale of Fair Accordmarke ing to

Lezhuo Bowei Joint goods goods t Market Markeventure and and pricin price

509.99 0.08% 1800 N the

services services contrac

t price

g t

Largest Sale of Sale of Fair Accord

IDG shareholder goods goods

marke

t Market

ing to

Y the Markeof the and and price 22.58 0.00% 0 t price

Company services services pricin contracg t

Associated Payment of Fair Accordenterprise marke ing to

RBCD controlling Other technolo t Market Marke145.78 200 N the

subsidiary gy pricin price contrac t price

of Bosch royalty fees etc. g t

Associated Fair Accord

enterprise Lease marke ing to

RBCD controlling Other receivab t Market Marke

subsidiary les pricin price

26.52 100 N the

contrac t price

of Bosch g t

Second Payment Fair Accord

largest of technolo markeBosch shareholder Other t Market

ing to Marke

gy price 442.12 500 N the of the pricin contrac t price

Company royalty fees etc. g t

Second Procure Fair Accord Announcelargest marke ing to 2026/4/17 ment No.:

Bosch shareholder Other ment of Market Markefixed t price 74.88 4000 N the t price 2026-008 of the assets pricin contracCompany g t

Second Fair Accord

largest Provide marke ing to

Bosch shareholder Other technical Market services t 0 2500 N the

Marke

of the etc. pricin

price contrac t price

Company g t

Technic Fair Accord

Joint al marke

WFEC venture of Other services t Market

ing to Marke

WFLD etc. pricin price

0 100 N the

contrac t price

payable g t

Fair Accord

Joint Lease marke ing to

WFEC venture of Other receivab t Market Markeprice 100.45 300 N the WFLD le pricin contrac t price

g t

29WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Fair Accord

Joint Motion marke ing to

WFEC venture of Other Fee t Market Marke23.39 200 N the

WFLD payable pricin price contrac t price

g t

Fair Accord

Lease marke

Lezhuo Bowei Joint Other receivab t Market

ing to

venture price 158.54 400 N the

Marke

les pricin contrac t price

g t

Motion Fair Accord

Lezhuo Bowei Joint Fee

marke ing to

venture Other receivab t

Market Marke

price 91.04 0 Y the

le pricin contrac

t price

g t

Procure Fair Accord

WFPM Joint Other ment of

marke ing to

venture fixed t

Market Marke

price 19.2 0 Y the

assets pricin contrac

t price

g t

Procure Fair AccordHolding marke ing to

Eleventh company of Other ment of t Market Y the MarkeTechnology fixed price 15.09 0 IDG assets pricin contrac

t price

g t

Largest Provide Fair Accord

IDG shareholder technical

marke Market ing to

of the Other services t price 68.21 0 Y the

Marke

pricin contrac t price

Company etc. g t

Holding Provide

Fair Accord

marke ing to

Jiangsu Taiji company of Other technical Market Marke

IDG services

t price 2.36 0 Y the t price

etc. pricin contracg t

Procure

ment of Fair Accord

Holding canteen marke ing to

Zhongcui

Food company of Other ingredie t

Market Marke

92.99 0 Y the

IDG nts and pricin price contrac t price

related g t

supplies

Fair Accord

Holding Lease marke ing to

Junhai Xichan company of Other receivab t Market Y the Marke0.92 0

IDG les pricin price contrac t price

g t

Total 275243. 6521

----------------5100

Detail of sales return with major amount involved Not applicable

The Company expects the total amount of daily related transactions in 2026 to be 6521.00 million yuan and the actual total

amount of daily related transactions that occurred during the report period is 2752.4351 million yuan classified as follows: 1. It

Report the actual implementation of the daily related is expected that the purchase of goods and services from related parties in 2026 will not exceed 1966.00 million yuan and the

transactions which were projected about their total amount by actual amount incurred during the report period is 815.2673 million yuan; 2. It is expected that the sales of goods and services to

types during the report period (if applicable) related parties in 2026 will not exceed 4472.00 million yuan and the actual amount incurred during the report period is

1924.5529 million yuan; 3. It is expected that other related transactions with related parties in 2026 will not exceed 83.00 million

yuan and the actual amount incurred during the report period is 12.6149 million yuan.Reasons for major differences between trading price and

market reference price (if applicable) Not applicable

Note: WFPM’s full name is "Wuxi Weijing Technology Co. Ltd." it was previously named "Wuxi Weifu Precision Machinery

Manufacturing Co. Ltd.

2. Assets or equity acquisition and sales of assets and equity

□ Applicable □ Not applicable

3. Related transaction of joint external investment

□ Applicable □Not applicable

4. Related credits and liabilities

□ Applicable □ Not applicable

30WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

5. Contact with related finance companies

□ Applicable □Not applicable

6. Transactions between the finance companies controlled by the Company and related parties

□ Applicable □ Not applicable

7. Other major related transactions

? Applicable □Not applicable

The Company held the 16th meeting of the 11th board of directors on June 8 2026 deliberated and approved the proposal on the

formation of Related Party Transactions Caused by Public Tendering. For specific details please refer to the "Announcement on

Related Party Transactions Caused by Public Tendering" (Announcement No. 2026-015) disclosed by the Company on June 9

2026.

For more information on major related party transactions please refer to the temporary report disclosure website.Name of temporary announcement Disclosure date of Name of website disclosing temporary temporary announcement announcement

Announcement on Related Party Transactions Caused by

Public Tendering 2026-06-09 CNINFO (http://www.cninfo.com.cn)

XII. Significant contract and implementation

1. Trusteeship contract and leasing

1) Trusteeship

□ Applicable □Not applicable

No trusteeship for the Company in report period

2) Contract

□ Applicable □Not applicable

No contract for the Company in report period

3) Leasing

□ Applicable □Not applicable

No leasing in the Period

2. Major guarantee

□ Applicable □ Not applicable

In ten thousand yuan

The Company’ guarantee towards subsidiaries

Name of Disclosure date of announcement Guarante Actual Actual Guarantee Counter Guaranteed by guarantee related to the ed occurring guaranteed type Collateral Guarantee Guarantee period

Fulfilled related parties

d object or not guaranteed amount amount date amount or not

Joint Three years from the date on which the

VHIO 2023-04-28 55000 2023-07-13 7784 liability NA NA Italian Tax Authority receives the letter of N N

guarantee guarantee

Joint Six months from the maturity date of

VHIO 2023-04-28 55000 2023-11-16 5309 liability NA NA each guaranteed obligation but not later N N

guarantee than June 30 2028

Two years from the date of VHIO’s full

Joint performance of all supplier obligations

VHIO 2023-04-28 55000 2024-04-09 30706 liability NA NA or the date on which it itself meets the N N

guarantee indicator requirements specified in the

letter of guarantee

The deadline for the debtor of the main

contract to fulfill the debt shall be subject

to the provisions of the main contract.IRD 2025-04-18 5742 2025-09-18 2490 Pledged 3 million NA However if the main contract debt is due euros in advance according to the provisions of N N

laws regulations rules or the main

contract agreement or if both parties to

the main contract agree through

31WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

consultation the early due date of the

debt shall be the date on which the debt

performance period expires. If the main

contract stipulates that the debtor shall

repay the debt in installments the due

date of each debt shall be deemed as the

expiration date of the performance period

for that portion of the debt

Approved total guaranteed amount towards the Total actual amount occurred towards

subsidiaries within report period (B1) 6800 subsidiaries within report period (B2) 0

Approved total guaranteed amount towards the 53089 Total actual guarantee balance towards subsidiaries at the year end (B3) subsidiaries at the year end (B4) 46289

Total amount of the Company’s guarantee (total of the top three)

Approved total amount guaranteed within report 6800 Total actual guaranteed amount occurred period (A1+B1+C1) within report period (A2+B2+C2) 0

Approved total amount guaranteed at the year 53089 Actual total guarantee balance at the year end (A3+B3+C3) end (A4+B4+C4) 46289

Proportion of actual total guaranteed amount (A4+B4+C4) to net asset 2.31%

Including:

Explanation of situations where there is a guarantee liability or evidence indicating the possibility of assuming joint and several

liability for the unexpired guarantee contract during the report period (if any) Nil

Explanation of providing external guarantees in violation of prescribed procedures (if any) Nil

Specific description for using the guarantee by complex method: Nil

3. Trusted cash asset management

□ Applicable □ Not applicable

In ten thousand yuan

Balance of entrusted wealth Amount with impairment accrual

Type risk characteristics management during the for the overdue financial products

reporting period which has not been recovered

Financing products of banks R1 (Low risk) 253565 0

Trust financial products R2 (Medium-low risk) 4079 0

Others R3 (Medium risk)+R4 (Medium-high risk) 32728 0

Details of the single major amount or high-risk trust investment with low security poor fluidity

□ Applicable □ Not applicable

4. Other material contracts

□ Applicable □ Not applicable

XIII. Reception of investigation communication and interview during the reporting period

□ Applicable □ Not applicable

Reception Reception Reception Reception mode Reception object Main content talked about and Index of basic situation time place type Object materials provided of research

Interactive Answered 16 questions

2026.01.01- platform of Written inquiry Other Other Basic company information and online through the 2026.06.30 investor view of the market interactive platform for

relationship investor relations

2026.01.01- Company Telephoning Other Other Basic company information and

450 telephone

2026.06.30 tel. view of the market communications with the investors

XIV. Explanation on other significant events

□ Applicable ? Not applicable

There are no other significant events to be explained.XV. Significant events of subsidiaries of the Company

□ Applicable ? Not applicable

32WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Section VI. Changes in Shares and Particulars about Shareholders

I. Changes in share capital

1. Changes in share capital

In Share

Before the Change Change during the report period (+/-)) After the change

Public

New Bonus reserve Amount Proportion shares shares transfer Others Subtotal Amount Proportion issued into share

capital

I. Restricted

shares 500394 0.05% 14250 14250 514644 0.05%

1. State-owned

shares

2. State-owned

legal person’s

shares

3. Other domestic

shares 500394 0.05% 14250 14250 514644 0.05%

Including:

Domestic legal

person’s shares

Domestic natural

500394 0.05% 14250 14250 514644 0.05% person’s shares

4. Foreign shares

Including:

Foreign legal

person’s shares

Foreign natural

person’s shares

II. Unrestricted

shares 966285299 99.95% -14250 -14250 966271049 99.95%

1. RMB ordinary

shares 793905299 82.12% -14250 -14250 793891049 82.12%

2. Domestically

listed foreign 172380000 17.83% 172380000 17.83%

shares

3. Overseas listed

foreign shares

4. Others

III. Total shares 966785693 100.00% 0 0 966785693 100.00%

Reasons for share changed

□Applicable □Not applicable

During the report period changes in executive lock up of shares resulting in changes in restricted and unrestricted shares.Approval status of share changes

□Applicable □A Not applicable

Ownership transfer of share changed

□Applicable □Not applicable

Progress of the implementation of buyback share

□Applicable □Not applicable

Progress of the implementation of reducing buyback shares by means of centralized bidding

□Applicable □Not applicable

33WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Influence on the basic EPS and diluted EPS as well as other financial indexes of net asset per share attributable to common

shareholders of Company in latest year and period

□ Applicable □ Not applicable

Other information necessary to disclose or need to disclosed under requirement from security regulators

□ Applicable □ Not applicable

2. Changes of restricted stocks

□Applicable □Not applicable

In Share

Opening Restricted Shares Ending

Shareholders restricted shares increased released in restricted Restricted reasons Date for

shares in the Period Period shares released

Rong Bin 84000 0 0 84000 Lock-up shares held by senior executives Nil

Feng Zhiming 48894 0 0 48894 Lock-up shares held by senior executives Nil

Xu Sheng 84000 0 0 84000 Lock-up shares held by senior executives Nil

Liu Jinjun 84000 0 0 84000 Lock-up shares held by senior executives Nil

Li Gang 84000 0 0 84000 Lock-up shares held by senior executives Nil

Lock-up shares held

Former directors supervisors by former directors

and senior management 115500 0 14250 129750 supervisors and senior Nil

management

Total 500394 0 14250 514644 -- --

II. Securities issuance and listing

□ Applicable □ Not applicable

III. Number and shareholding situation of Company shareholders

In Share

Total common stock shareholders at end of the report period 62701 Total preference shareholders with voting rights recovered at end of last month before annual report disclosed (if applicable)(refer to Note 8) 0

Particulars about shares held above 5% by shareholders or top 10 shareholders(Excluding shares lent through refinancing)

Nature of Proportion Total of common Changes in Number of Amount of

Information of shares

Full name of Shareholders of shares shares held at the report restricted unrestricted pledged tagged or frozen shareholder held end of report period period shares held shares held State of share Amount

Wuxi Industry Development State-owned

Group Co. Ltd. corporate 22.05% 213202199 0 0 213202199 N/A 0

Robert Bosch Co. Ltd Foreign corporate 15.44% 149241339 0 0 149241339 N/A 0

SOOCHOW Securities State-owned corporate 1.62% 15679495 6037400 0 15679495 Pleged 3495800

NSSF-413 Other 0.95% 9180001 60000 0 9180001 N/A 0

FIDELITY INVMT TRT

FIDELITY INTL SMALL CAP Foreign corporate 0.93% 8972271 0 0 8972271 N/A 0 FUND

NSSF-107 Other 0.70% 6795000 1362100 0 6795000 N/A 0

Hong Kong Securities Clearing Foreign

Company corporate 0.63% 6081864 -5836975 0 6081864 N/A 0

Domestic

Xie Zuogang natural 0.58% 5562767 0 0 5562767 N/A 0

person

Domestic

Lin Chuan natural 0.57% 5500000 -91000 0 5500000 N/A 0

person

Guolian An Fund - China

Pacific Life Insurance Co. Ltd. Other 0.53% 5104900 624000 0 5104900 N/A 0

34WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

- Dividend Insurance - Guolian

An Fund - China Pacific Life

Equity Relative Yield

(Guaranteed Dividend) Single

Asset Management Plan

Strategy investor or general legal person

becoming the top 10 shareholders by placing Nil

new shares (if applicable)

Explanation on associated relationship Among the aforesaid shareholders there has no associated relationship between Wuxi Industry Development Croup

concerted action among the aforesaid Co. Ltd. the first largest shareholder of the Company and other shareholders; and they do not belong to the persons

shareholders acting in concert regulated by the Management Measure of Information Disclosure on Change of Shareholding for Listed Company.Description of the above shareholders in

relation to delegate/entrusted voting rights and Nil

abstention from voting rights.Special note on the repurchase account among

the top 10 shareholders (if applicable) Nil

Particular about top 10 shareholders with unrestricted shares held(Excluding shares lent through refinancing locked-up shares for senior executives)

Amount of unrestricted shares held at

Shares held

Shareholders’ name Period-end Type Amount

Wuxi Industry Development Group Co. Ltd. 213202199 RMB common shares 213202199

RMB common shares 115260600

Robert Bosch Co. Ltd 149241339

Domestically listed foreign shares 33980739

SOOCHOW Securities 15679495 RMB common shares 15679495

NSSF-413 9180001 RMB common shares 9180001

FIDELITY INVMT TRT FIDELITY INTL SMALL CAP FUND 8972271 Domestically listed foreign shares 8972271

NSSF-107 6795000 RMB common shares 6795000

Hong Kong Securities Clearing Company 6081864 RMB common shares 6081864

Xie Zuogang 5562767 Domestically listed foreign shares 5562767

Lin Chuan 5500000 RMB common shares 5500000

Guolian An Fund - China Pacific Life Insurance Co. Ltd. -

Dividend Insurance - Guolian An Fund - China Pacific Life

Equity Relative Yield (Guaranteed Dividend) Single Asset 5104900 RMB common shares 5104900

Management Plan

Explanation on associated relationship or consistent actors Among the aforesaid shareholders there has no associated relationship between Wuxi Industry

within the top 10 restricted shareholders and between top 10 Development Croup Co. Ltd. the first largest shareholder of the Company and other shareholders;

unrestricted shareholders and top 10 shareholders and they do not belong to the persons acting in concert regulated by the Management Measure of Information Disclosure on Change of Shareholding for Listed Company.Explanation on top 10 shareholders involving margin business

(if applicable) Nil

Shareholders holding more than 5% of the shares top 10 shareholders or top ten unrestricted shareholders participating in the

lending of shares through refinancing business

□Applicable □ Not applicable

Top 10 shareholders or top ten unrestricted shareholders participating in the lending/returning of shares through refinancing

business

□Applicable □ Not applicable

Whether the top ten common shareholders or top ten unrestricted shareholders have agreed repurchase dealing in report period or

not

□ Yes □ No

The top ten common shareholders or top ten unrestricted shareholders didn’t have agreed repurchase dealing in report period.IV. Changes in shareholding of directors supervisors and senior management

□Applicable ?Not applicable

The shareholdings of the company's directors supervisors and senior management did not change during the report period; for

details please refer to the 2025 Annual Report.

35WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

V. Changes of controlling shareholders or actual controller in report period

Changes of controlling shareholders in report period

□ Applicable □ Not applicable

The Company had no changes of controlling shareholders in report period

Changes of actual controller in report period

□ Applicable □ Not applicable

The Company had no changes of actual controller in report period

VI. Preferred stock

□ Applicable □ Not applicable

The Company had no preferred stock in report period.

36WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Section VII. Corporate Bonds

I. Enterprise bonds

□ Applicable □ Not applicable

II. Corporate bonds

□ Applicable □ Not applicable

1. Basic information of corporate bonds

Unit: Ten Thousand Yuan

Bond name Bond abbreviation Bond code

Issue Interest Maturit Bond Interest Principal and interest repayment Securities

date accrual date y date balance rate method Trading Venue

WFHT 2025 Sci- Interest is calculated at a simple

Tech Innovation annual rate without compound

Corporate Bond 2025- 2028- interest. Interest is paid annually Shenzhen Stock

(465 Modern 25WF K1 524579 12-05 2025-12-08 12-08 50000 1.9% principal is repaid in a lump sum

Industrial Cluster at maturity and the final interest

Exchange

Special) payment is made together with the principal redemption.Investor appropriateness arrangements (if any) The corporate bond is publicly issued to professional institutional investors

Applicable trading mechanism Matched transaction negotiated transaction click transaction inquiry transaction competitive bidding transaction

Risk of termination of listing and trading (if any)

and response measures None

Overdue unpaid bonds

? Applicable □ Not Applicable

2. Triggering and implementation of issuer or investor option clauses and investor protection clauses

? Applicable □ Not Applicable

3. Adjustment of credit rating results during the reporting period

? Applicable □ Not Applicable

4. The implementation and changes in the guarantee status repayment plan and other debt repayment

safeguards during the reporting period as well as their impact on the rights and interests of bond

investors

? Applicable □ Not Applicable

III. Non-financial corporate debt financing instruments

? Applicable □ Not Applicable

37WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

IV. Convertible bond

? Applicable □ Not Applicable

V. During the reporting period the consolidated financial statements incurred losses

exceeding 10% of the net assets at the end of the previous year

? Applicable □ Not Applicable

VI. Major accounting data and financial indicators of the Company in the recent two years

as of the end of the reporting period

Unit: Ten Thousand Yuan

Item End of the reporting period End of the previous year Year-on-year increase/decrease (+/-)

liquidity ratio 1.93 1.85 4.32%

asset-liability ratio 32.09% 29.69% 2.40%

quick ratio 1.64 1.54 6.49%

The reporting period Same period of last year Year-on-year increase/decrease (+/-)

Net profit after deducting non-

recurring gains and losses 87062.32 66518.45 30.88%

EBITDA to total debt ratio 33.33% 35.55% -2.22%

Interest coverage ratio 59.57 84.50 -29.50%

Cash interest coverage ratio 108.01 65.93 63.83%

EBITDA interest coverage ratio 83.94 125.62 -33.18%

Loan repayment rate 100.00% 100.00% 0.00%

Interest coverage 100.00% 100.00% 0.00%

38WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Section VIII. Financial Report

I. Audit report

Whether the Semi-Annual report is audited

□Yes □No

The Company's Semi-Annual financial report has not been audited

II. Financial statement

Statement in Financial Notes are carried in RMB/CNY

1. Consolidated Balance Sheet

Prepared by Weifu High-Technology Group Co. Ltd.June 30 2026

In RMB

Item Ending balance Beginning balance

Current assets:

Monetary funds 2414890487.09 2358850312.47

Settlement provisions

Capital lent

Tradable financial assets 2668446370.48 2334658155.36

Derivative financial assets

Notes receivable 219852886.48 93133355.40

Accounts receivable 4122335543.56 4341063178.47

Receivable financing 1931633857.67 1861919025.73

Accounts paid in advance 127281493.52 99492959.55

Insurance receivable

Reinsurance receivables

Contract reserve of reinsurance

receivable

Other accounts receivable 2134238766.20 82980848.24

Including: Interest receivable

Dividend receivable 2055706449.33 5357758.49

Buying back the sale of financial

assets

Inventories 2629912239.61 2458134988.90

Including: data resource

Contract assets

Assets held for sale

Non-current asset due within one

year 790255397.26 689033205.47

Other current assets 126873106.40 137849612.83

Total current assets 17165720148.27 14457115642.42

Non-current assets:

Loans and payments on behalf

39WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Creditors' investment

Other creditors' investment

Long-term accounts receivable

Long-term equity investment 5822527426.36 7299370031.76

Investment in other equity

instrument 1049138690.00 1049138690.00

Other non-current financial

assets 750257936.26 751258396.69

Investment real estate 50250692.83 52318319.87

Fixed assets 4464761205.57 4582924701.55

Construction in progress 425065311.64 280431452.37

Productive biological assets

Oil and gas assets

Right-of-use assets 89829218.94 97945565.44

Intangible assets 450562433.10 478905295.60

Including: Data resources

Development expenditure

Including: Data resources

Goodwill 1784086.79 1784086.79

Long-term expenses to be

apportioned 57697397.12 57396940.60

Deferred income tax assets 300875710.90 309899010.51

Other non-current assets 254404857.95 249239314.05

Total non-current assets 13717154967.46 15210611805.23

Total assets 30882875115.73 29667727447.65

Current liabilities:

Short-term loans 626107426.19 564763810.23

Loan from central bank

Capital borrowed

Tradable financial liabilities

Derivative financial liabilities

Note payable 2629903122.45 1913336503.36

Accounts payable 4237833475.69 4375877094.85

Accounts received in advance 4013931.36

Contract liabilities 86839084.88 63010303.58

Selling financial asset of

repurchase

Absorbing deposit and interbank

deposit

Security trading of agency

Security sales of agency

Wage payable 230734900.13 364256169.69

Taxes payable 62194402.89 71255035.47

Other accounts payable 741318575.43 65306720.22

Including: Interest payable

40WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Dividend payable 676749985.10 2937600.00

Handle fee and commission

payable

Reinsurance payable

Liabilities held for sale

Non-current liabilities due

within one year 28958678.66 130157223.15

Other current liabilities 236086884.45 245935469.10

Total current liabilities 8879976550.77 7797912261.01

Non-current liabilities:

Insurance contract reserve

Long-term loans 105843351.11 87300000.00

Bonds payable 505335616.44 500624657.53

Including: Preferred stock

Perpetual capital securities

Lease liabilities 68279058.96 73373773.23

Long-term accounts payable 7780000.00 7780000.00

Long-term wages payable 78406055.33 80454470.77

Accrual liability 113660642.29 105455503.64

Deferred income 127651476.51 128942021.14

Deferred income tax liabilities 22760530.12 27018658.45

Other non-current liabilities

Total non-current liabilities 1029716730.76 1010949084.76

Total liabilities 9909693281.53 8808861345.77

Owner’s equity:

Share capital 966785693.00 966785693.00

Other equity instrument

Including: Preferred stock

Perpetual capital

securities

Capital public reserve 2687763305.94 2686504136.26

Less: Inventory shares

Other comprehensive income 66340494.45 122398098.62

Reasonable reserve 7539452.76 8619634.17

Surplus public reserve 510100496.00 510100496.00

Provision of general risk

Retained profit 15782810442.46 15623144555.11

Total owner’ s equity attributable to

parent company 20021339884.61 19917552613.16

Minority interests 951841949.59 941313488.72

Total owner’ s equity 20973181834.20 20858866101.88

Total liabilities and owner’ s equity 30882875115.73 29667727447.65

Legal Representative: Rong Bin

Person in charge of accounting works: Feng Zhiming

Person in charge of accounting institute: Li Yanqing

41WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

2. Balance sheet of parent company

In RMB

Item Ending balance Beginning balance

Current assets:

Monetary funds 1272579711.13 641573048.70

Tradable financial assets 698009907.17 972513172.06

Derivative financial assets

Notes receivable 7800082.62 8526802.49

Accounts receivable 1713881244.37 1675175133.11

Receivable financing 353041542.80 339279089.10

Accounts paid in advance 81241611.02 54801020.36

Other accounts receivable 2354509084.01 489034511.33

Including: Interest receivable 385076.40 117347.22

Dividend receivable 1942779301.20 5357758.49

Inventories 530898534.27 502216446.23

Including: Data resources

Contract assets

Assets held for sale

Non-current assets maturing

within one year 637645342.46 429658356.15

Other current assets 277302.15 340501.80

Total current assets 7649884362.00 5113118081.33

Non-current assets:

Creditors' investment

Other creditors' investment

Long-term receivables

Long-term equity investments 8802817491.78 10263381015.17

Investment in other equity

instrument 973198690.00 973198690.00

Other non-current financial

assets 750257936.26 751258396.69

Investment real estate 31626370.41 32191785.94

Fixed assets 2692203559.20 2756810568.23

Construction in progress 86843738.58 81553060.91

Productive biological assets

Oil and natural gas assets

Right-of-use assets 2303346.14 2848428.84

Intangible assets 237545953.78 248718256.80

Including: Data resources

Development expenditure

Including: Data resources

Goodwill

Long-term deferred expenses 1058463.57 953697.60

Deferred income tax assets 152711207.93 150842007.83

Other non-current assets 82208577.84 59617807.63

Total non-current assets 13812775335.49 15321373715.64

Total assets 21462659697.49 20434491796.97

Current liabilities:

42WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Short-term borrowings 200294666.67 120077366.66

Tradable financial liabilities

Derivative financial liabilities

Notes payable 484027343.32 416966899.26

Accounts payable 1165854315.14 1102968435.44

Accounts received in advance

Contract liabilities 15543586.10 42488783.95

Wage payable 84201004.87 151440447.76

Taxes payable 18273128.13 12706911.51

Other accounts payable 1290356704.37 118495769.42

Including: Interest payable 1084230.31 402153.88

Dividend payable 676749985.10

Liabilities held for sale

Non-current liabilities due

within one year 1001029.47 101186502.70

Other current liabilities 43329722.53 41804577.18

Total current liabilities 3302881500.60 2108135693.88

Non-current liabilities:

Long-term loans 84600000.00 87300000.00

Bonds payable 505335616.44 500624657.53

Including: Preferred stock

Perpetual capital

securities

Lease liabilities 1451274.24 1641972.69

Long-term accounts payable

Long term employee

compensation payable 54819699.51 54819699.51

Accrued liabilities 28520013.04 22655337.99

Deferred income 87599549.27 98433860.70

Deferred income tax liabilities

Other non-current liabilities

Total non-current liabilities 762326152.50 765475528.42

Total liabilities 4065207653.10 2873611222.30

Owners’ equity:

Share capital 966785693.00 966785693.00

Other equity instrument

Including: Preferred stock

Perpetual capital

securities

Capital public reserve 2815591075.04 2815516424.65

Less: Inventory shares

Other comprehensive income

Special reserve

Surplus reserve 510100496.00 510100496.00

Retained profit 13104974780.35 13268477961.02

Total owner’s equity 17397452044.39 17560880574.67

Total liabilities and owner’s equity 21462659697.49 20434491796.97

3. Consolidated profit statement

In RMB

43WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Item 2026 semi-annual 2025 semi-annual

I. Total operating income 6577060413.92 5760418633.11

Including: Operating income 6577060413.92 5760418633.11

Interest income

Insurance gained

handle fee and commission income

II. Total operating cost 6238097591.51 5577970476.35

Including: Operating cost 5407931484.30 4765222793.27

Interest expense

Handle fee and commission expense

Cash surrender value

Net amount of expense of compensation

Net amount of withdrawal of insurance contract

reserve

Bonus expense of guarantee slip

Reinsurance expense

Taxes and surcharge 37706593.48 31826032.69

Sales expense 71309292.67 83998662.78

Administrative expense 374153718.45 381273882.00

R&D expense 338140590.10 350722149.70

Financial expense 8855912.51 -35073044.09

Including: Interest expenses 15471988.00 9045918.64

Interest income 21956678.73 26681031.13

Add: Other income 39765670.19 76133278.27

Investment income (Loss is listed with “-”) 668251528.12 545945486.83

Including: Investment income on affiliated company and

joint venture 650544226.48 537786063.13

The termination of income recognition for financial

assets measured by amortized cost

Exchange income (Loss is listed with “-”)

Net exposure hedging income (Loss is listed with “-”)

Income from change of fair value (Loss is listed with “-”) -65717427.94 27874369.01

Loss of credit impairment (Loss is listed with “-”) -4056163.68 -1953886.07

Losses of devaluation of asset (Loss is listed with “-”) -75062255.15 -72319585.77

Income from assets disposal (Loss is listed with “-”) 4785068.04 -2041543.96

III. Operating profit (Loss is listed with “-”) 906929241.99 756086275.07

Add: Non-operating income 1296251.20 2594469.11

Less: Non-operating expense 2075990.74 3344708.84

IV. Total profit (Loss is listed with “-”) 906149502.45 755336035.34

Less: Income tax expense 59955818.95 42189606.93

V. Net profit (Net loss is listed with “-”) 846193683.50 713146428.41

(i) Classify by business continuity

1.Continuous operating net profit (net loss listed with ‘-”) 846193683.50 713146428.41

2.Termination of net profit (net loss listed with ‘-”)

(ii) Classify by ownership

1.Net profit attributable to owners of parent company 836415872.45 701870308.75

2.Minority shareholders’ gains/losses 9777811.05 11276119.66

VI. Net after-tax of other comprehensive income -56057604.17 137032360.03

Net after-tax of other comprehensive income attributable to

owners of parent company -56057604.17 137032360.03

44WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(I) Other comprehensive income items which will not be

reclassified subsequently to profit of loss

1.Changes of the defined benefit plans re-measured

2.Other comprehensive income under equity method that

cannot be transferedr to gains/losses

3.Change of fair value of investment in other equity

instrument

4.Fair value change of enterprise's credit risk

5. Other

(ii) Other comprehensive income items which will be

reclassified subsequently to gains/losses -56057604.17 137032360.03

1.Other comprehensive income under equity method that

can transferedr to gains/losses

2.Change of fair value of other creditors' investment

3.Amount of financial assets re-classify to other

comprehensive income

4.Credit impairment provision for other creditors'

investment

5.Cash flow hedging reserve

6.Translation differences arising on translation of foreign

currency financial statements -56057604.17 137032360.03

7.Other

Net after-tax of other comprehensive income attributable to

minority shareholders

VII. Total comprehensive income 790136079.33 850178788.44

Total comprehensive income attributable to owners of parent

Company 780358268.28 838902668.78

Total comprehensive income attributable to minority

shareholders 9777811.05 11276119.66

VIII. Earnings per share:

(i) Basic earnings per share 0.87 0.72

(ii) Diluted earnings per share 0.87 0.72

Legal representative: Rong Bin

Person in charge of accounting works: Feng Zhiming

Person in charge of accounting institute: Li Yanqing

4. Profit statement of parent company

In RMB

Item 2026 semi-annual 2025 semi-annual

I. Operating income 2231259289.81 1820777791.61

Less: Operating cost 1862990153.27 1554249540.67

Taxes and surcharge 18322548.67 14109546.73

Sales expenses 10548632.15 8866486.16

Administration expenses 178693495.26 173457220.14

R&D expenses 95545583.34 104316954.06

Financial expenses 5558072.91 -15451453.61

Including: Interest expenses 11528904.71 9462599.47

Interest income 13714466.96 13414496.93

Add: Other income 18710217.95 27495662.20

Investment income (Loss is listed with “-”) 531598885.52 969874460.06

Including: Investment income on affiliated Company and

joint venture 530796189.16 488623036.82

The termination of income recognition for financial

assets measured by amortized cost (Loss is listed with “-”)

45WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Net exposure hedging income (Loss is listed with “-”)

Changing income of fair value (Loss is listed with “-”) -73299299.54 25814893.27

Loss of credit impairment (Loss is listed with “-”) -3836223.84 1440706.85

Losses of devaluation of asset (Loss is listed with “-”) -20491253.23 -30098319.74

Income on disposal of assets (Loss is listed with “-”) 24648.90 -227341.34

II. Operating profit (Loss is listed with “-”) 512307779.97 975529558.76

Add: Non-operating income 17520.14 1579331.86

Less: Non-operating expense 947695.78 294805.16

III. Total Profit (Loss is listed with “-”) 511377604.33 976814085.46

Less: Income tax -1869200.10 -9816241.31

IV. Net profit (Net loss is listed with “-”) 513246804.43 986630326.77(i) Continuous operating net profit (net loss listed with ‘-”) 513246804.43 986630326.77(ii) Termination of net profit (net loss listed with ‘-”)

V. Net after-tax of other comprehensive income

(i) Other comprehensive income items which will not be

reclassified subsequently to gains/losses

1.Changes of the defined benefit plans re-measured

2.Other comprehensive income under equity method

that cannot be transferred to gains/losses

3.Change of fair value of investment in other equity

instrument

4.Fair value change of enterprise's credit risk

5. Other

(ii) Other comprehensive income items which will be

reclassified subsequently to gains/losses

1.Other comprehensive income under equity method

that can transferred to gains/losses

2.Change of fair value of other creditors' investment

3.Amount of financial assets re-classify to other

comprehensive income

4.Credit impairment provision for other creditors'

investment

5.Cash flow hedging reserve

6.Translation differences arising on translation of

foreign currency financial statements

7.Other

VI. Total comprehensive income 513246804.43 986630326.77

VII. Earnings per share:

(i) Basic earnings per share

(ii) Diluted earnings per share

5. Consolidated cash flow statement

In RMB

Item 2026 semi-annual 2025 semi-annual

I. Cash flows arising from operating activities:

Cash received from selling commodities and providing labor

services 8383428091.12 6910136894.62

Net increase of customer deposit and interbank deposit

Net increase of loan from central bank

Net increase of capital borrowed from other financial

institution

Cash received from original insurance contract fee

Net cash received from reinsurance business

46WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Net increase of insured savings and investment

Cash received from interest handle fee and commission

Net increase of capital borrowed

Net increase of returned business capital

Net cash received by agents in sale and purchase of securities

Write-back of tax received 8141372.52 13710287.85

Other cash received concerning operating activities 34102719.80 25132854.67

Subtotal of cash inflow arising from operating activities 8425672183.44 6948980037.14

Cash paid for purchasing commodities and receiving labor

service 5982202374.24 5030455349.07

Net increase of customer loans and advances

Net increase of deposits in central bank and interbank

Cash paid for original insurance contract compensation

Net increase of capital lent

Cash paid for interest handle fee and commission

Cash paid for bonus of guarantee slip

Cash paid to/for staff and workers 996805907.38 960705389.63

Taxes paid 230233020.58 150801692.40

Other cash paid concerning operating activities 281224629.88 314143327.30

Subtotal of cash outflow arising from operating activities 7490465932.08 6456105758.40

Net cash flows arising from operating activities 935206251.36 492874278.74

II. Cash flows arising from investing activities:

Cash received from recovering investment 4427121253.95 2550074734.38

Cash received from investment income 130536670.05 118028357.68

Net cash received from disposal of fixed intangible and other

long-term assets 9084051.80 11942123.55

Net cash received from disposal of subsidiaries and other units

Other cash received concerning investing activities

Subtotal of cash inflow from investing activities 4566741975.80 2680045215.61

Cash paid for purchasing fixed intangible and other long-term

assets 413172349.04 413517083.30

Cash paid for investment 5060021033.55 1546539331.14

Net increase of mortgaged loans

Net cash received from subsidiaries and other units obtained

Other cash paid concerning investing activities

Subtotal of cash outflow from investing activities 5473193382.59 1960056414.44

Net cash flows arising from investing activities -906451406.79 719988801.17

III. Cash flows arising from financing activities:

Cash received from absorbing investment 10279000.00 90514148.08

Including: Cash received from absorbing minority 10279000.00 90514148.08

shareholders’ investment by subsidiaries

Cash received from loans 441679163.02 543409434.14

Other cash received concerning financing activities 30000000.00

Subtotal of cash inflow from financing activities 481958163.02 633923582.22

Cash paid for settling debts 453561541.81 431700433.57

Cash paid for dividend and profit distributing or interest

paying 11596136.93 879948893.33

Including: Dividend and profit of minority shareholder paid

by subsidiaries 2937600.00

Other cash paid concerning financing activities 26132143.89 123057290.17

Subtotal of cash outflow from financing activities 491289822.63 1434706617.07

47WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Net cash flows arising from financing activities -9331659.61 -800783034.85

IV. Influence on cash and cash equivalents due to fluctuation in

exchange rate -21680992.59 36778208.52

V. Net increase of cash and cash equivalents -2257807.63 448858253.58

Add: Balance of cash and cash equivalents at the period -

begin 2020913308.04 1756944672.22

VI. Balance of cash and cash equivalents at the period-end 2018655500.41 2205802925.80

6. Cash flow statement of parent company

In RMB

Item 2026 semi-annual 2025 semi-annual

I. Cash flows arising from operating activities:

Cash received from selling commodities and providing labor

services 1954624236.39 2298097029.77

Write-back of tax received

Other cash received concerning operating activities 10142487.95 7894895.93

Subtotal of cash inflow arising from operating activities 1964766724.34 2305991925.70

Cash paid for purchasing commodities and receiving labor

service 1229703011.21 1573028828.39

Cash paid to/for staff and workers 399888557.25 375031690.96

Taxes paid 71854683.92 33654293.69

Other cash paid concerning operating activities 86008317.06 93520007.41

Subtotal of cash outflow arising from operating activities 1787454569.44 2075234820.45

Net cash flows arising from operating activities 177312154.90 230757105.25

II. Cash flows arising from investing activities:

Cash received from recovering investment 1693913026.14 593074734.38

Cash received from investment income 32467618.16 492180593.60

Net cash received from disposal of fixed intangible and other

long-term assets 796127.82 744933.24

Net cash received from disposal of subsidiaries and other units 41898426.99

Other cash received concerning investing activities 72857900.00 195976116.67

Subtotal of cash inflow from investing activities 1841933099.11 1281976377.89

Cash paid for purchasing fixed intangible and other long-term

assets 132354282.10 218857584.71

Cash paid for investment 1709999999.99 508102019.20

Net cash received from subsidiaries and other units obtained

Other cash paid concerning investing activities 24040000.00

Subtotal of cash outflow from investing activities 1842354282.09 750999603.91

Net cash flows arising from investing activities -421182.98 530976773.98

III. Cash flows arising from financing activities:

Cash received from absorbing investment

Cash received from loans 200000000.00 310000000.00

Other cash received concerning financing activities 687509701.36 719967055.55

Subtotal of cash inflow from financing activities 887509701.36 1029967055.55

Cash paid for settling debts 222700000.00 199800000.00

Cash paid for dividend and profit distributing or interest

paying 5932592.06 882538702.56

Other cash paid concerning financing activities 167646393.36 598859506.76

Subtotal of cash outflow from financing activities 396278985.42 1681198209.32

Net cash flows arising from financing activities 491230715.94 -651231153.77

IV. Influence on cash and cash equivalents due to fluctuation in

exchange rate -7391283.55 5418447.73

V. Net increase of cash and cash equivalents 660730404.31 115921173.19

48WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Add: Beginning balance of cash and cash equivalents 581160445.96 466194368.01

VI. Ending balance of cash and cash equivalents 1241890850.27 582115541.20

7. Consolidated statement of change in owners’ equity

Current period

In RMB

2026 semi-annual

Owners’ equity attributable to the parent Company

Other Provisio

equity instrument n of

Item Perp geneLess: Other Reaso Total

etua ral

Minority

Share Pref Capital Invento compre nable Surplus risk Retained

Ot interests owners’

l

capital erre Ot reserve ry hensive reserv reserve profit

he Subtotal equity

capi shares income e r d tal hestoc

k secu

r

ritie

s

I. Balance 96678 26865 12239 51010 156231 199175

at the end 8619 9413134 2085886

of the last 5693.0 04136. 8098.6 0496.0 44555.1 52613.1634.17 88.72 6101.88

year 0 26 2 0 1 6

Add:

Changes of

accounting

policy

Error

correction

of the last

period

Other

II. Balance 96678 26865 12239 51010 156231 199175

at the 8619 9413134 2085886

beginning 5693.0 04136. 8098.6 0496.0 44555.1 52613.1634.17 88.72 6101.88

of this year 0 26 2 0 1 6

III.Increase/

Decrease in - -

report 12591 159665 103787 1052846 11431573

period 56057 1080 69.68 887.35 271.45 0.87 2.32

(Decrease 604.17 181.41

is listed

with “-”)

(i) Total -

comprehens 836415 780358 9777811. 7901360 56057

ive income 872.45 268.28 05 79.33 604.17

(ii)

Owners’

devoted and 1027900 1027900

decreased 0.00 0.00

capital

1.Common

shares

invested by 1027900 1027900

shareholder 0.00 0.00

s

2. Capital

invested by

holders of

other equity

instruments

3. Amount

reckoned

into owners

equity with

share-based

payment

4. Other

49WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

----

(III) Profit

distribution 676749 676749 9768483. 6865184

985.10985.105868.68

1.

Withdrawal

of surplus

reserves

2.

Withdrawal

of general

risk

provisions

3.

Distribution - - - -

for owners

(or 676749 676749 9768483. 6865184

shareholder 985.10 985.10 58 68.68

s)

4. Other

(IV)

Carrying

forward

internal

owners’

equity

1. Capital

reserves

converted

to capital

(share

capital)

2. Surplus

reserves

converted

to capital

(share

capital)

3.

Remedying

loss with

surplus

reserve

4．Carry-

over

retained

earnings

from the

defined

benefit

plans

5．Carry-

over

retained

earnings

from other

comprehens

ive income

6. Other

(V) - - -

Reasonable 240133.4 1080 108018 840048.0

reserve 0 181.41 1.41 1

1.16118

Withdrawal 161188 2562995. 1868183

in report 837.6 37.69 87 3.56

period 9

2. Usage in 17199

report 171990 2322862. 1952188 019.1

period 19.10 47 1.57 0

(VI)Others 12591 125916 1259169.

69.689.6868

IV. Balance

at the end 96678 26877 66340 7539 51010 157828 200213 9518419 2097318

of the 5693.0 63305. 494.45 452.76 0496.0 10442.4 39884.6 49.59 1834.20

50WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

report 0 94 0 6 1

period

Last period

In RMB

2025 semi-annual

Owners’ equity attributable to the parent Company

Other

equity instrument Other Pro

Item Per Less: compr Reaso visi Minority Total

Share Pref petu Capital Invent ehensi nable

Surplu on Retained Ot interests owners

erre al capital Ot reserve ory ve reserv

s of profit he Subtotal ’ equity

d capi shares incom e

reserve gen r

stoc tal

he

e eral

k secu

r risk

ritie

s

3263646972101325101015523119840520512

I. Balance at the 996986 6257 6720630

end of the last year 49101. 2092. 405.3 0496. 24882.7 28176.6 59122293.00 090.28 47.24

4424900743.88

Add: Changes of

accounting policy

Error correction of

the last period

Other

II. Balance at the 32636 46972 10132 51010 155231 198405 20512

beginning of this 996986 6257 6720630 49101. 2092. 405.3 0496. 24882.7 28176.6 59122

year 293.00 090.28 47.24 44 24 9 00 7 4 3.88

III. Increase/ -- - 13703 - - -

Decrease in report 36971 2031 1023298

period (Decrease is 25000 443253 2360. 170603 130075 277456764. 989.76 10.07

listed with “-”) 000.00 590.09 03 184.95 661.01 850.94

24

(i) Total 13703 85017

comprehensive 701870 838902 1127611 2360. 8788.4

income 308.75 668.78 9.66 03 4

-

(ii) Owners’ - - - -

devoted and 36971 905141425000 444726 100009 94950

decreased capital 6764. 8.08 000.00 001.26 237.02 88.94

24

1.Common shares

invested by 9051414 90514

shareholders 8.08 148.08

2. Capital invested

by holders of other

equity instruments

3. Amount

reckoned into

owners equity with

share-based

payment

--

---

4. Other 36971 1000025000 444726 100009

6764.9237.0

000.00001.26237.02

242

-

--

(III) Profit 87247

distribution 872473 872473 3493.7

493.70493.70

0

1. Withdrawal of

surplus reserves

2. Withdrawal of

general risk

provisions

3. Distribution for - - -

51WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

owners (or 872473 872473 87247

shareholders)

493.70493.703493.7

0

4. Other

(IV) Carrying

forward internal

owners’ equity

1. Capital reserves

converted to capital

(share capital)

2. Surplus reserves

converted to capital

(share capital)

3. Remedying loss

with surplus reserve

4．Carry-over

retained earnings

from the defined

benefit plans

5．Carry-over

retained earnings

from other

comprehensive

income

6. Other

(V) Reasonable 2031 203198 225919.7 22579

reserve 989.76 9.76 5 09.51

15315

1. Withdrawal in 153158 1796670. 17112

report period 886.4 86.41 76 557.17

1

13283

2. Usage in report 132838 1570751. 14854

period 896.6 96.65 01 647.66

5

(VI)Others 14724 147241 313622.5 17860

11.171.17833.75

IV. Balance at the 28203 10000 14716 51010 153525 197104 20484

end of the report 971986 8289 7743928 95511. 5328. 4765. 0496. 21697.8 52515.6 84537

period 293.00 080.04 57.31 35 00 42 00 2 3 2.94

8. Statement of changes in owners’ equity (parent company)

Current period

In RMB

2026 semi-annual

Other

Less: Other Item Share equity instrument Capital comprehe Reason Surplus Retained Ot Total owners’

capital Prefer Perpetual reserve Inventory Oth shares nsive

able

red capital income reserve

reserve profit her equity

stock securities er

I. Balance at

the end of the 9667856 2815516 5101004 13268477 1756088057

last year 93.00 424.65 96.00 961.02 4.67

Add: Changes

of accounting

policy

Error

correction of

the last period

Other

II. Balance at

the beginning 9667856 2815516 5101004 13268477 1756088057

of this year 93.00 424.65 96.00 961.02 4.67

III. Increase/

Decrease in - -

report period 74650.39 163503180 163428530.2

(Decrease is

- .67 8 listed with “ ”)

(i) Total 513246804 513246804.4

comprehensive

income .43 3

52WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(ii) Owners’

devoted and

decreased

capital

1.Common

shares invested

by

shareholders

2. Capital

invested by

holders of

other equity

instruments

3. Amount

reckoned into

owners equity

with share-

based payment

4. Other

--

(III) Profit

distribution 676749985 676749985.1.100

1. Withdrawal

of surplus

reserves

2. Distribution - -

for owners (or 676749985 676749985.1

shareholders) .10 0

3. Other

(IV) Carrying

forward

internal

owners’ equity

1. Capital

reserves

converted to

capital (share

capital)

2. Surplus

reserves

converted to

capital (share

capital)

3. Remedying

loss with

surplus reserve

4．Carry-over

retained

earnings from

the defined

benefit plans

5．Carry-over

retained

earnings from

other

comprehensive

income

6. Other

(V)

Reasonable

reserve

1. Withdrawal

in report 30981 3098156.73

period 56.73

2. Usage in 30981report period 56.73 3098156.73

(VI)Others 74650.39 74650.39

IV. Balance at

the end of the 9667856 2815591 5101004 13104974 1739745204

report period 93.00 075.04 96.00 780.35 4.39

53WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Last period

In RMB

2025 semi-annual

Other

Other

Item Share equity instrument Capital Less: Inventory comprehe

Reasona

ble Surplus Retained Oth Total owners’ capital Prefe Perpetual

rred capital Oth

reserve shares nsive reserve reserve profit er equity income

stock securities er

I. Balance at

the end of the 9969862 3394923 4697220 5101004 12572820 1700510851

last year 93.00 686.54 92.24 96.00 128.71 2.01

Add: Changes

of accounting

policy

Error

correction of

the last period

Other

II. Balance at

the beginning 9969862 3394923 4697220 5101004 12572820 1700510851

of this year 93.00 686.54 92.24 96.00 128.71 2.01

III. Increase/

Decrease in - - -

report period 1141568332500000 4445375 3697167 14336043.17

(Decrease is .07

listed with “-”) 0.00 54.14 64.24

(i) Total 98663032 986630326.7

comprehensive

income 6.77 7

(ii) Owners’ - - - -

devoted and

decreased 2500000 4447260 3697167 100009237.0

capital 0.00 01.26 64.24 2

1.Common

shares

invested by

shareholders

2. Capital

invested by

holders of

other equity

instruments

3. Amount

reckoned into

owners equity

with share-

based payment

----

4. Other 2500000 4447260 3697167 100009237.0

0.0001.2664.242

(III) Profit - -

distribution 87247349 872473493.73.70 0

1. Withdrawal

of surplus

reserves

2. Distribution - -

for owners (or 87247349 872473493.7

shareholders) 3.70 0

3. Other

(IV) Carrying

forward

internal

owners’ equity

1. Capital

reserves

converted to

capital (share

capital)

2. Surplus

reserves

converted to

capital (share

capital)

54WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

3. Remedying

loss with

surplus reserve

4．Carry-over

retained

earnings from

the defined

benefit plans

5．Carry-over

retained

earnings from

other

comprehensive

income

6. Other

(V)

Reasonable

reserve

1. Withdrawal

in report 30036 3003687.87

period 87.87

2. Usage in 30036

report period 3003687.87 87.87

(VI)Others 188447.1 188447.12

IV. Balance at

the end of the 9719862 2950386 1000053 5101004 12686976 1701944455

report period 93.00 132.40 28.00 96.00 961.78 5.18

55WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

III. Basic information of the Company

1. Historical origin of the Company

By the approval of STGS (1992) No. 130 issued by Jiangsu Economic Restructuring Committee Weifu High-Technology Group Co.Ltd. (hereinafter referred to “the Company” or “Company”) was established as a company of limited liability with funds raised from

targeted sources and registered at Wuxi Administration for Industry & Commerce in October 1992. The original share capital of the

Company totaled 115.4355 million yuan including state-owned share capital amounting to 92.4355 million yuan public corporate

share capital amounting to 8.00 million yuan and inner employee share capital amounting to 15.00 million yuan.Between year of 1994 and 1995 the Company was restructured and became a holding subsidiary of Wuxi Weifu Group Co. Ltd

(hereinafter referred to as “Weifu Group”).By the approval of Jiangsu ERC and Shenzhen Securities Administration Office in August 1995 the Company issued 68 million

special ordinary shares (B-share) with value of 1.00 yuan for each and the total value of those shares amounted to 68 million yuan.After the issuance the Company’s total share capital increased to 183.4355 million yuan.By the approval of CSRC in June 1998 the Company issued 120 million RMB ordinary shares (A-share) at Shenzhen Stock

Exchange through on-line pricing and issuing. After the issuance the total share capital of the Company amounted to 303.4355

million yuan.In the middle of 1999 deliberated and approved by the Board and Shareholders’ General Meeting the Company implemented the

plan of granting 3 bonus shares for each 10 shares. After that the total share capital of the Company amounted to 394.46615 million

yuan of which state-owned shares amounted to 120.16615 million yuan public corporate shares 10.4 million yuan foreign-funded

shares (B-share) 88.40 million yuan RMB ordinary shares (A-share) 156 million yuan and inner employee shares 19.5 million yuan.In the year 2000 by the approval of the CSRC and based upon the total share capital of 303.4355 million shares after the issuance of

A-share in June 1998 the Company allotted 3 shares for each 10 shares with a price of 10 yuan for each allotted share. Actually 41.9

million shares was allotted and the total share capital after the allotment increased to 436.36615 million yuan of which state-owned

corporate shares amounted to 121.56615 million yuan public corporate shares 10.4 million yuan foreign-funded shares (B-share)

88.4 million yuan and RMB ordinary shares (A-share) 216 million yuan.

In April 2005 the Board of Directors of the Company examined and approved 2004 Profit Pre-distribution Plan and examined and

approved by 2004 Shareholders’ General Meeting the Company distributed 3 shares for each 10 shares to the whole shareholders

totaling to 130909845 shares in 2005.According to the Share Merger Reform Scheme of the Company deliberated and approved by related shareholders’ meeting of Share

Merger Reform and SGZF [2006] No.61 Reply on Questions about State-owned Equity Management in Share Merger Reform of

Weifu High-Technology Co. Ltd. issued by the State-owned Assets Supervision & Administration Commission of Jiangsu Province

8 non-circulating shareholders including Weifu Group arranged pricing with granting 1.7 shares for each 10 shares to circulating A-

share shareholders (totally granted 47736000 shares) so as to realize the originally non-circulating shares can be traded on market

when certain conditions were satisfying the scheme was implemented on April 5 2006.On May 27 2009 Weifu Group satisfied the consideration arrangement by dispatching 0.5 shares for each 10 shares based on the

number of circulating A share as prior to Share Merger Reform according to the aforesaid Share Merger Reform with an aggregate

of 14039979 shares dispatched. Subsequent to implementation of dispatch of consideration shares Weifu Group then held

100021999 shares of the Company representing 17.63% of the total share capital of the Company.

Pursuant to the document (XGZQ (2009) No.46) about Approval for Merger of Wuxi Weifu Group Co. Ltd. by Wuxi Industry

Development Group Co. Ltd. issued by the State-owned Assets Supervision and Administration Commission of Wuxi City

Government Wuxi Industry Development Group Co. Ltd. (hereinafter referred to as Wuxi Industry Group) acquired Weifu Group.After the merger Weifu Group was then revoked and its assets and credits & debts were transferred to be under the name of Wuxi

Industry Group. Accordingly Wuxi Industry Group has became the first largest shareholder of the Company since then.In accordance with the resolutions of shareholders' meeting and provisions of amended constitution and approved by [2012] No. 109

document of China Securities Regulatory Commission in February 2012 the Company issued RMB ordinary shares (A-share) of

56WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

112858000 shares to Wuxi Industry Groups and overseas strategic investors privately Robert Bosch Co. Ltd. (ROBERT

BOSCHGMBH) (hereinafter referred to as Robert Bosch Company) face value was 1.00 yuan per share added registered capital of

112858000 yuan and the registered capital after change was 680133995 yuan. Wuxi Industry Group is the first majority

shareholder of the Company and Robert Bosch Company is the second majority shareholder of the Company.In March 2013 the profit distribution pre-plan for year of 2012 was deliberated and approved by the Board and also was approved

by the Annual General Meeting 2012 of the Company in May 2013. On basis of total share capital 680133995 shares distributed 5-

share for every 10 shares held by whole shareholders 340066997 shares in total are distributed. Total share capital of the Company

amounted to 1020200992 yuan up to December 31 2013.Deliberated and approved by the company’s first extraordinary general meeting in 2015 the company has repurchased 11250422

shares of A shares from August 26 2015 to September 8 2015 and finished the cancellation procedures for above repurchase shares

in China Securities Depository and Clearing Corporation Limited Shenzhen Branch on September 16 2015; after the cancellation of

repurchase shares the company’s paid-up capital (share capital) becomes 1008950570 yuan after the change.Deliberated and approved by the 5th meeting of 10th session of the BOD for year of 2021 the 291000 restricted shares were buy-back

and canceled by the Company initially granted under the 2020 Restricted Share Incentive Plan. The cancellation of the above-

mentioned buy-back shares are completed at the Shenzhen Branch of CSDC on December 20 2021; the paid-in capital (equity) of

the Company was 1008659570.00 yuan after the change.After deliberation and approved by the 8th meeting of 10th session of the BOD for year of 2022 the 56277 restricted shares were

bought back and canceled by the Company initially granted under the 2020 Restricted Share Incentive Plan. The cancellation of the

above-mentioned buy-back shares were completed at the Shenzhen Branch of CSDC on July 8 2022; the paid-in capital (equity) of

the Company was 1008603293.00 yuan after the change.After deliberation and approval by the the 14th 16th and 20th meetings of the 10th session of the BOD of the Company for the year of

2023 the 430000 5593500 and 417000 restricted shares were bought back and canceled by the Company initially granted under

under the 2020 Restricted Share Incentive Plan. The cancellation of the above-mentioned buy-back shares were completed at the

Shenzhen Branch of CSDC on February 16 2023 June 16 2023 and December 18 2023; the paid-in capital (equity) of the

Company was 1002162793 yuan after changed.On 16 April 2025 and 9 May 2025 the company held the 6th meeting of the 11th board of directors and the 2024 general

shareholders’ meeting respectively reviewed and approved Proposal on Changing the Use of Repurchased Shares and Cancellationagreed to change the use of 25000000 A-shares in the special securities account for repurchasing and changed from “used forimplementing employee shareholding plan or equity incentive plan” to “used for cancellation and reduction of registered capital”. As

of 26 June 2025 the company had completed the repurchased share cancellation procedures for the aforesaid 25000000 shares at the

Shenzhen branch of China Securities Depository and Clearing Co. Ltd. The company changed its total share capital from

996986293 shares to 971986293 shares. The Proposal on the Plan for Repurchasing Some A-Shares of the Company was reviewed

and approved at the meeting agreeing the company to repurchase some of A-shares used for reducing registered capital using its

own funds and the special loan for repurchasing through centralized bidding transactions. On 3 July 2025 the company disclosed the

Announcement on the Completion of Some A-share Repurchasing & Share Changes. The company repurchased a total of 5200600

A-shares by the special securities account for repurchasing through centralized bidding transactions. As of 8 July 2025 the company

had completed the repurchase and cancellation procedures for the above shares at the Shenzhen branch of China Securities

Depository and Clearing Co. Ltd. After this change as of 31 December 2025 company registered capital (total share capital)

changed to RMB 966785693.

2. Registered place organization structure and head office of the Company

Registered place and head office of the Company: No.5 Huashan Road Xinwu District Wuxi

Unified social credit code: 91320200250456967N

The Company sets up Shareholders’ Meeting and the Board of Directors (BOD).

57WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

The Company sets up Strategic Investment Department Market Development Department Organization and Human Resources

Department Compliance and Securities Affairs Department Administration Department Finance Department Disciplinary

Inspection Department Manufacturing and Safety Department Procurement Center Technology Center MS (Mechanical Systems)

Business Unit AC (Automotive Components) Business Unit DS (Automotive Diesel Systems) Business Unit as well as subsidiaries

including WFLD WFJN IRD Borit VHIO.

3. Business nature and major operation activities of the Company

Operation scope of parent company: Technical development and consulting services in the machinery industry; manufacturing of

internal combustion engine fuel system products fuel system testing instruments and equipment automotive electronic components

automotive electrical components non-standard equipment non-standard cutting tools and exhaust gas post-treatment systems; sales

of general machinery hardware electrical appliances chemical products and raw materials (excluding hazardous chemicals)

automotive parts and motor vehicles (excluding passenger vehicles with less than nine seats); maintenance of internal combustion

engines; leasing of self-owned properties; import and export of various goods and technologies on a self-operated and agency basis

(excluding goods and technologies restricted or prohibited from import and export by the state). Engineering and technical research

and experimental development; research and development of energy recovery systems; manufacturing of automotive parts and

accessories; manufacturing of general equipment (excluding special equipment manufacturing) (projects that require approval in

accordance with laws can only be carried out after being approved by relevant departments). Licensed projects: Manufacturing of

special equipment; installation renovation and repair of special equipment (projects that require approval in accordance with laws

can only be carried out after being approved by relevant departments and the specific business projects shall be subject to the

approval results); General projects: Investment activities with self-owned funds; software development; software sales; software

outsourcing services; mold manufacturing; mold sales; manufacturing of machine tool functional components and accessories; sales

of machine tool functional components and accessories; manufacturing of drawing computing and measuring instruments; sales of

drawing computing and measuring instruments; sales of industrial robots; installation and maintenance of industrial robots;

manufacturing of intelligent basic manufacturing equipment; sales of intelligent basic manufacturing equipment; manufacturing of

industrial automatic control system devices; sales of industrial automatic control system devices; manufacturing of material handling

equipment; sales of material handling equipment; manufacturing of gas and liquid separation and purification equipment; sales of gas

and liquid separation and purification equipment; technical services technical development technical consultation technical

exchanges technology transfer technology promotion; research and development of new energy technologies; import and export of

goods; import and export of technologies; manufacturing of ordinary valves and cocks (excluding special equipment manufacturing);

research and development of valves and cocks; sales of valves and cocks (except for projects that require approval in accordance with

laws independent business activities shall be carried out in accordance with laws with a business license).The main subsidiaries are respectively engaged in the production and sales of internal combustion engine parts automotive parts

mufflers purifiers fuel cell parts etc.

4. Authorized reporting parties and reporting dates for the financial report

Financial report of the Company was approved by the Board of Directors for reporting dated August 24 2026.

5. In the notes to these financial statements unless otherwise specified the following company names are

abbreviated as follows:

Name of subsidiary Short name of subsidiary

Nanjing WFJN Co. Ltd. WFJN

Wuxi Weifu Lida Catalytic Converter Co. Ltd. WFLD

Wuxi Weifu Nanshan Fuel Injection Equipment Co. Ltd. WFMA

58WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Name of subsidiary Short name of subsidiary

Wuxi Weifu Chang’an Co. Ltd. WFCA

Wuxi Weifu International Trade Co. Ltd. WFTR

Wuxi Weifu Schmitter Powertrain Components Co. Ltd. WFSC

Ningbo WFTT Turbocharging Technology Co. Ltd. WFTT

Wuxi WFAM Precision Machinery Co. Ltd. WFAM

Wuxi Weifu LIDA Catalytic Converter (Wuhan) Co. Ltd. WFLD (Wuhan)

Weifu Lida (Chongqing) Automotive Components Co. Ltd. WFLD (Chongqing)

Nanchang Weifu LIDA Automotive Components Co. Ltd. WFLD (Nanchang)

WEIFU LIDA(MALAYSIA)SDN.BHD WFLD (Malaysia)

Wuxi Weifu Autosmart Seating System Co. Ltd. WFAS

Weifu Lianhua Automotive Components (Fuzhou) Co. Ltd. WFLH

Wuxi Weifu Qinglong Power Technology Co. Ltd. WFQL

VHIT Automotive Systems (Wuxi) Co. Ltd VHCN

WEIFU Smart Sensing (Wuxi) Technology Co. Ltd. WFSS

Weifu ET Hydrogen Energy Technology (Wuxi) Co. Ltd. WFET

Weifu Baolong (Nanjing) Technology Co. Ltd WFBL

Weifu Holding ApS SPV

IRD Fuel Cells A/S IRD

IRD FUEL CELLS LLC IRD America

Borit NV Borit

VHIT S.p.A. Società Unipersonale VHIO

IV. Basis of preparation of financial statements

1．Preparation base

The financial statements are stated in compliance with Accounting Standard for Business Enterprises –Basic Norms issued by the

Ministry of Finance the specific accounting rules the Application Instruments of Accounting Standards and interpretation on

Accounting standards and other relevant regulations (together as “Accounting Standards for Business Enterprise”) as well as the

Compilation Rules for Information Disclosure by Companies Offering Securities to the Public No.15 – General Provision of

Financial Report (Revised in 2023) issued by CSRC in respect of the actual transactions and proceedings on a basis of ongoing

operation.In line with relevant regulations of Accounting Standards of Business Enterprise accounting of the Company is on Accrued basis.Except for certain financial instruments the financial statement measured on historical cost. Assets have impairment been found;

corresponding depreciation reserves shall Accrued according to relevant rules.

2．Going concern

The Company comprehensively assessed the available information and there are no obvious factors that impact sustainable operation

ability of the Company within 12 months since end of the report period.V. Major accounting policies and estimation

Specific accounting policies and estimation attention:

59WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Based on the actual production and operation characteristics the company and each of its subsidiaries have formulated a number of

specific accounting policies and accounting estimates for various transactions and events in accordance with the provisions of

relevant accounting standards for enterprises. The detailed descriptions are as follows.

1．Statement on observation of accounting standard for business enterprises

The financial statements prepared by the company comply with the requirements of accounting standards for enterprises truthfully

and completely reflecting the company's financial position operating results cash flows and other relevant information of in report

period.

2．Accounting periods

The accounting periods of the Company are divided into annual periods and interim periods. An interim accounting period refers to a

report period that is shorter than a full accounting year. The Company's accounting year adopts the calendar year that is from

January 1st to December 31st of each year.

3．Operating cycle

The Company takes 12 months as an operating cycle and uses it as the criterion for classifying the liquidity of assets and liabilities.

4．Functional currency

The currency used by the Company in preparing these financial statements is the Renminbi. The overseas subsidiaries of the

Company determine their functional currencies based on the currencies in the main economic environment where they operate such

as the Euro Danish Krone US Dollar etc.

5．Method for determining importance criteria and selection criteria

□Applicable □ Not applicable

Item Importance criteria

Important prepayments with an aging Prepayment with aging over 1 year accounting for more than 10% of the total prepaid amount

of over 1 year and with an amount greater than 15 million yuan

Important construction in progress The budget for a single project is greater than 80 million yuan

Important accounts payable with an Accounts payable with aging over 1 year accounting for more than 10% of the total accounts

aging of over 1 year payable and with an amount greater than 80 million yuan

Other important payables with aging Other payables with aging over 1 year accounting for more than 10% of the total other

of over 1 year payables and an amount greater than 15 million yuan

Important contract liabilities with Contract liabilities with aging over 1 year account for more than 10% of the total contract

aging of over 1 year liabilities and the amount greater than 15 million yuan

Important non-wholly-owned The net assets of subsidiaries account for more than 5% of the net assets in the consolidated

subsidiaries financial statements or the net profit of subsidiaries accounts for more than 10% of the net profit in the consolidated financial statements

The book value of long-term equity investments in an invested entity accounts for more than

5% of the net assets in the consolidated financial statements and the amount exceeds 1 billion

Important joint ventures or associates yuan or the investment gains/losses under the equity method account for more than 10% of the

net profits in the consolidated financial statements of the company and the amount exceeds 100

million yuan

6．Accounting treatment methods for business combinations under the same control and under non-Same

control

Business combination refers to a transaction or event that combines two or more separate enterprises to form a single reporting entity.Business combinations are classified into business combinations under the same control and business combinations under non-same

control.

(1) Business combinations under the same control

60WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

A business combination under the same control occurs when the enterprises involved in the combination are ultimately controlled by

the same party or the same group of parties both before and after the combination and such control is not temporary. In a business

combination under the same control the party that obtains control over the other enterprise involved in the combination on the

combination date is the combining party and the other enterprise involved in the combination are the combined parties. The

combination date refers to the date on which the combining party actually obtains control over the combined party.The assets and liabilities obtained by the company in a business combination are measured at their carrying amounts in the

consolidated financial statements of the ultimate controlling party on the combination date including the goodwill formed when the

ultimate controlling party acquired the combined party. If there is a difference between the carrying amount of the net assets obtained

and the carrying amount of the combination consideration paid (or the total par value of the issued shares) it shall be adjusted against

the share premium in capital reserve. If the share premium in capital reserve is insufficient to cover the difference the retained

earnings shall be adjusted.All direct expenses incurred by the combining party for the business combination shall be recognized as current profits and losses

when incurred.

(2) Business combinations under not the same control

A business combination under non-same control occurs when the enterprises involved in the combination are not ultimately

controlled by the same party or the same group of parties both before and after the combination. In a business combination under

non-same control the party that obtains control over the other enterprises involved in the combination on the acquisition date is the

acquirer and the other enterprise involved in the combination are the acquirees. The acquisition date refers to the date on which the

acquirer actually obtains control over the acquiree.For a business combination under non-same control the combination cost includes the fair values of the assets transferred the

liabilities incurred or assumed and the equity securities issued by the acquirer on the acquisition date in order to obtain control over

the acquiree. The intermediary expenses such as audit legal services and valuation consultation as well as other administrative

expenses incurred for the business combination shall be recognized as current profits and losses when incurred. The transaction costs

related to the equity securities or debt securities issued by the acquirer as consideration for the combination shall be included in the

initial recognition amount of the equity securities or debt securities. The contingent consideration involved shall be included in the

combination cost at its fair value on the acquisition date. If new or further evidence of the circumstances existing on the acquisition

date emerges within 12 months after the acquisition date which requires adjustment of the contingent consideration the goodwill of

the combination shall be adjusted accordingly. The combination cost incurred by the acquirer and the identifiable net assets obtained

in the combination shall be measured at their fair values on the acquisition date. If the combination cost is greater than the acquirer's

share of the fair value of the identifiable net assets of the acquiree on the acquisition date the difference shall be recognized as

goodwill. If the combination cost is less than the acquirer's share of the fair value of the identifiable net assets of the acquiree the fair

values of the identifiable assets liabilities and contingent liabilities of the acquiree obtained as well as the measurement of the

combination cost shall first be rechecked. If after the recheck the combination cost is still less than the acquirer's share of the fair

value of the identifiable net assets of the acquiree the difference shall be recognized as current profits and losses.If the acquirer obtains the deductible temporary differences of the acquiree but does not recognize them as deferred income tax assets

on the acquisition date because the recognition conditions for deferred income tax assets are not met and within 12 months after the

acquisition date new or further information indicates that the relevant circumstances on the acquisition date already existed and it is

expected that the economic benefits brought by the deductible temporary differences of the acquiree on the acquisition date can be

realized the relevant deferred income tax assets shall be recognized and at the same time the goodwill shall be reduced. If the

goodwill is insufficient to cover the reduction the remaining difference shall be recognized as current profits and losses. Except for

the above circumstances the recognition of deferred income tax assets related to the business combination shall be included in

current profits and losses.For a business combination under non-same control achieved in multiple transactions in stages if it is part of a “package oftransactions” the accounting treatment shall be carried out with reference to the descriptions in the preceding paragraphs of this

section and Note III.14 Long-Term Equity Investments these financial statements. If it is not part of a “package of transactions”

61WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

relevant accounting treatments shall be carried out separately for the individual financial statements and the consolidated financial

statements:

In the individual financial statements the initial investment cost of the investment shall be the sum of the carrying amount of the

equity investment in the acquiree held before the acquisition date and the additional investment cost on the acquisition date. If the

equity of the acquiree held before the acquisition date involves other comprehensive income when disposing of the investment the

relevant other comprehensive income shall be accounted for on the same basis as that used by the acquiree when directly disposing of

the relevant assets or liabilities (i.e. except for the corresponding share of the changes in the net liabilities or net assets of the defined

benefit plan remeasured by the acquiree accounted for under the equity method the rest shall be transferred to the current investment

income).In the consolidated financial statements for the equity of the acquiree held before the acquisition date it shall be re-measured at its

fair value on the acquisition date and the difference between the fair value and its carrying amount shall be included in the current

investment income. If the equity of the acquiree held before the acquisition date involves other comprehensive income the relevant

other comprehensive income shall be accounted for on the same basis as that used by the acquiree when directly disposing of the

relevant assets or liabilities (i.e. except for the corresponding share of the changes in the net liabilities or net assets of the defined

benefit plan remeasured by the acquiree accounted for under the equity method the rest shall be transferred to the investment income

of the current period to which the acquisition date belongs).

7．Criteria for judging control and preparation method for consolidated financial statements

(1) Criteria for judging control

The consolidation scope of the consolidated financial statements is determined on the basis of control. Control means that the

company has the power over the investee enjoys variable returns by participating in the relevant activities of the investee and has

the ability to use its power over the investee to influence the amount of those returns. Generally it includes the invested entities in

which the parent company holds more than half of the voting rights and the invested entities in which the company holds less than

half of the voting rights but through agreements with other investors of the invested entity holds more than half of the voting rights;

according to the articles of association or agreements it has the right to determine the financial and operational decisions of the

invested entity; it has the right to appoint and remove the majority of the members of the board of directors of the invested entity; and

it holds the majority of the voting rights on the board of directors of the invested entity.

(2) Methods for preparing consolidated financial statements

The company begins to include a subsidiary in the consolidation scope from the date when it obtains the actual control over the

subsidiary's net assets and production and operation decisions and stops including it in the consolidation scope from the date when it

loses the actual control. For a disposed subsidiary the operating results and cash flows before the disposal date have been

appropriately included in the consolidated income statement and the consolidated cash flow statement; for a subsidiary disposed of in

the current period the beginning figures of the consolidated balance sheet will not be adjusted. For a subsidiary added through a

business combination under non-same control its operating results and cash flows after the acquisition date have been appropriately

included in the consolidated income statement and the consolidated cash flow statement and the beginning figures and comparative

figures of the consolidated financial statements will not be adjusted. For a subsidiary added through a business combination under the

same control its operating results and cash flows from the beginning of the current consolidation period to the combination date have

been appropriately included in the consolidated income statement and the consolidated cash flow statement and the comparative

figures of the consolidated financial statements will be adjusted at the same time.When preparing the consolidated financial statements if the accounting policies or accounting periods adopted by a subsidiary are

inconsistent with those of the company necessary adjustments will be made to the subsidiary's financial statements in accordance

with the company's accounting policies and accounting periods. For a subsidiary obtained through a business combination under non-

same control its financial statements will be adjusted based on the fair value of the identifiable net assets at the acquisi tion date.All significant intercompany balances transactions and unrealized profits within the company will be eliminated when preparing the

consolidated financial statements.

62WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

The portion of the subsidiary's shareholders' equity and current net profit and loss that does not belong to the company will be

separately presented as the minority shareholders' equity and the minority shareholders' profit and loss under the shareholders' equity

and net profit items in the consolidated financial statements. The share of the subsidiary's current net profit and loss attributable to

the minority shareholders will be presented as the item "Minority Shareholders' Profit and Loss" under the net profit item in the

consolidated income statement. If the losses of the subsidiary borne by the minority shareholders exceed the share of the minority

shareholders in the subsidiary's beginning shareholders' equity the minority shareholders' equity will still be reduced. When the

control over a subsidiary is ceased due to disposal of a portion of an interest in a subsidiary the fair value of the remaining equity is

re-measured on the date when the control ceased. The difference between the sum of the consideration received from disposal of

equity and the fair value of the remaining equity less the net assets attributable to the company since the acquisition date is

recognized as the investment income from the loss of control. Other comprehensive income relating to original equity investment in

subsidiaries shall be treated on the same basis as if the relevant assets or liabilities were disposed of by the purchaser directly when

the control is lost namely be transferred to current investment income other than the relevant part of the movement arising from re-

measuring net liabilities or net assets under defined benefit scheme by the original subsidiary. Subsequent measurement of the

remaining equitys shall be in accordance with relevant accounting standards such as Accounting Standards for business Enterprises 2

– Long-term Equity Investments or Accounting Standards for business Enterprises 22 – Financial Instruments Recognition and

Measurement. Refer to Note V.18 Long-term Equity investment or Note V.11 Financial Instrument

The company shall determine whether loss of control arising from disposal in a series of transactions should be regarded as package

deal. When the economic effects and terms and conditions of the disposal transactions meet one or more of the following situations

the transactions shall normally be accounted for as package deal: * The transactions are entered into after considering the mutual

consequences of each individual transaction; * The transactions need to be considered as a whole in order to achieve a deal in

commercial sense;* The occurrence of an individual transaction depends on the occurrence of one or more individual transactions in

the series; * The result of an individual transaction is not economical but it would be economical after taking into account of other

transactions in the series. When the transactions are not regarded as package deal the individual transactions shall be accounted as

“disposal of a portion of an interest in a subsidiary which does not lead to loss of control” and “disposal of a portion of an interest ina subsidiary which led to loss of control”. When the transactions are regarded as package deal the transactions shall be accounted as

a single disposal transaction; however the difference between the consideration received from disposal and the share of net assets

disposed in each individual transactions before loss of control shall be recognized as other comprehensive income and reclassified as

profit or loss arising from the loss of control when control is lost.

8．Classification of joint arrangements and accounting treatment methods for joint operations

A joint arrangement refers to an arrangement jointly controlled by two or more participating parties. Based on the rights enjoyed and

obligations assumed by the company in the joint arrangement the joint arrangement is classified into joint operations and joint

ventures. A joint operation is a joint arrangement in which the company enjoys the relevant assets of the arrangement and assumes

the relevant liabilities of the arrangement. A joint venture is a joint arrangement in which the company has rights only to the net

assets of the arrangement.The company accounts for its investment in a joint venture using the equity method and deals with it in accordance with the

accounting policies described in Note V.18 (2) * "Long-Term Equity Investments Accounted for by the Equity Method" of these

notes.As a party to a joint operation the company recognizes the assets held solely by the company the liabilities borne solely b y the

company and also recognizes according to its share the jointly held assets and jointly borne liabilities; recognizes the revenue

generated from the sale of the company's share of the output of the joint operation; recognizes according to its share the revenue

generated by the joint operation from the sale of the output; recognizes the expenses incurred solely by the company and also

recognizes according to its share the expenses incurred by the joint operation.When the company as a party to a joint operation contributes or sells assets (such assets do not constitute a business the same

below) to the joint operation or purchases assets from the joint operation before such assets are sold to a third party the company

63WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

only recognizes the portion of the profit or loss arising from the transaction that is attributable to the other participating parties of the

joint operation. If the assets incur asset impairment losses in accordance with the provisions of Accounting Standards for Enterprises

No. 8 - Asset Impairment and other relevant regulations in the case of the company contributing or selling assets to the joint

operation the company fully recognizes the loss; in the case of the company purchasing assets from the joint operation the company

recognizes the loss according to its assumed share.

9．Recognition standards for cash and cash equivalents

Cash refers to stock cash savings available for paid at any time; cash and cash equivalent refers to the cash held by the Company

with short terms (expired within 3 months since purchased) and liquid and easy to transfer as known amount and investment with

minor variation in risks.

10．Foreign currency business and translation of foreign currency financial statements

(1) Translation method for foreign currency transactions

When a foreign currency transaction occurs in the company it is initially recognized and translated into the amount in the functional

currency at the spot exchange rate on the transaction date. However for foreign currency exchange transactions or transactions

involving foreign currency exchange conducted by the company they are translated into the amount in the functional currency at the

actual exchange rate applied.

(2) Translation methods for foreign currency monetary items and foreign currency non-monetary items

On the balance sheet date foreign currency monetary items are translated at the spot exchange rate on the balance sheet date . The

resulting exchange differences will be booked into current profits and losses except for the followings: * the exchange differences

arising from foreign currency special loans related to the acquisition and construction of assets qualified for capitalization which are

accounted for in accordance with the principles of capitalizing borrowing costs; * the exchange differences of hedging instruments

for effective hedging of net investments in overseas operations (such differences are booked into other comprehensive income and

will only be recognized as current profits and losses when the net investment is disposed of); * for available-for-sale foreign

currency monetary items the exchange differences arising from changes in other carrying amounts other than the amortized cos t are

included in other comprehensive income .When preparing consolidated financial statements involving overseas operations if there are foreign currency monetary items that

substantially constitute a net investment in overseas operations the exchange differences arising from exchange rate fluctuations are

included in other comprehensive income; when the overseas operation is disposed of they are transferred to the profit or loss of the

current period of disposal.For foreign currency non-monetary items measured at historical cost they are still measured at the amount in the functional currency

translated at the spot exchange rate on the date of the transaction. For foreign currency non-monetary items measured at fair value

they are translated at the spot exchange rate on the date when the fair value is determined. The difference between the trans lated

amount in the functional currency and the original amount in the functional currency is treated as changes in fair value (including

exchange rate changes) and is included in current profits and losses or recognized as other comprehensive income.

(3) Translation method for foreign currency financial statements

When preparing consolidated financial statements involving overseas operations if there are foreign currency monetary items that

substantially constitute a net investment in overseas operations the exchange differences arising from exchange rate fluctuations are

recognized as other comprehensive income as "translation differences of foreign currency financial statements"; when the overseas

operation is disposed of they are booked into the profit or loss of the current period of disposal.The foreign currency financial statements of overseas operations are translated into RMB financial statements according to the

following methods: The assets and liabilities items in the balance sheet are translated at the spot exchange rate on the balance sheet

date; for items in the shareholders' equity category except for the "undistributed profits" item other items are translated at the spot

exchange rate at the time of occurrence. The revenue and expense items in the income statement are translated at the spot exchange

rate on the date of the transaction. The undistributed profits at the end of the previous year are the undistributed profits at the end of

the previous year after translation in the previous year; the undistributed profits at the end of the period are calculated and presented

64WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

according to each item of the translated profit distribution; the difference between the total of the translated asset items and the total

of the liability items and shareholders' equity items is recognized as other comprehensive income as the translation differences of

foreign currency financial statements. When disposing of an overseas operation and losing control all or in proportion to the disposal

of the overseas operation the translation differences of foreign currency financial statements related to the overseas operation and

shown under the shareholders' equity items in the balance sheet are transferred to the profit or loss of the current period of disposal.The foreign currency cash flows and the cash flows of overseas subsidiaries are calculated at the spot exchange rate on the date when

the cash flows occur. The impact of exchange rate changes on cash is presented separately as a reconciliation item in the cash flow

statement.Balance at the end of the previous year and the actual amount of the previous year are presented according to the amounts after

translation of the previous year's financial statements.When disposing of all the owners' equity of the company's overseas operation or losing control of the overseas operation due to the

disposal of part of the equity investment or other reasons all the translation differences of foreign currency financial statements

related to the overseas operation and attributable to the owners' equity of the parent company shown under the shareholders' equity

items in the balance sheet are transferred to the profit or loss of the current period of disposal.When the proportion of equitys in an overseas operation held is reduced due to the disposal of part of the equity investment or other

reasons but control over the overseas operation is not lost the translation differences of foreign currency financial statements related

to the disposed part of the overseas operation are attributable to the minority shareholders' equity and are not transferred to the

current profits and losses. When disposing of part of the equity of an overseas operation that is an associated enterprise or a joint

venture the translation differences of foreign currency financial statements related to the overseas operation are transferred to the

profit or loss of the current period of disposal in proportion to the disposal of the overseas operation.

11．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 the business model for managing the financial assets and the contractual cash flow characteristics of the financial assets the

Company classifies financial assets into financial assets measured at amortized cost financial assets measured at fair value through

other comprehensive income and financial assets measured at fair value through profit or loss.Financial assets are measured at fair value upon initial recognition. For financial assets measured at fair value through profit or loss

the relevant transaction costs are directly recognized in current gains/losses; for other categories of financial assets the relevant

transaction costs are included in the initial recognition amount. For accounts receivable or notes receivable arising from the sale of

products or the provision of services that do not contain or do not consider a significant financing component the Company uses the

amount of consideration it expects to be entitled to receive as the initial recognition amount.* Financial assets measured at amortized cost

The Company's business model for managing financial assets measured at amortized cost is to collect contractual cash flows and the

contractual cash flow characteristics of such financial assets are consistent with basic lending arrangements that is the cash flows

generated on specific dates are only payments of principal and interest based on the outstanding principal amount. For such financial

assets the Company uses the effective interest rate method and measures them subsequently at amortized cost. The gains or losses

arising from amortization or impairment are recognized in current gains/losses.* Financial assets measured at fair value through other comprehensive income

The Company's business model for managing such financial assets is both to collect contractual cash flows and to sell and the

contractual cash flow characteristics of such financial assets are consistent with basic lending arrangements. The Company measures

such financial assets at fair value and recognizes the changes in fair value in other comprehensive income but impairment losses or

gains exchange differences and interest income calculated using the effective interest rate method are recognized in current

gains/losses.

65WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

In addition the Company designates some non-tradable equity instrument investments as financial assets measured at fair value

through other comprehensive income. The Company recognizes the relevant dividend income from such financial assets in current

gains/losses and recognizes the changes in fair value in other comprehensive income. When such financial assets are derecognized

the cumulative gains or losses previously recognized in other comprehensive income will be transferred from other comprehensive

income to retained earnings and will not be recognized in current gains/losses.* Financial assets measured at fair value through profit or loss

The Company classifies financial assets other than those measured at amortized cost and those measured at fair value through other

comprehensive income as financial assets measured at fair value through profit or loss. In addition upon initial recognition in order

to eliminate or significantly reduce accounting mismatches the Company designates some financial assets as financial assets

measured at fair value through profit or loss. For such financial assets the Company measures them subsequently at fair value and

the changes in fair value are recognized in current gains/losses.

(2) Classification recognition and measurement of financial liabilities

Financial liabilities are classified upon initial recognition as 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 the relevant transaction costs are directly

recognized in current gains/losses and the relevant transaction costs of other financial liabilities are included in their initial

recognition amount.* Financial liabilities measured at fair value through profit or loss

Financial liabilities measured at fair value through profit or loss include trading financial liabilities (including derivative instruments

that are financial liabilities) and financial liabilities designated upon initial recognition as measured at fair value through profit or loss.Trading financial liabilities (including derivative instruments that are financial liabilities) are measured subsequently at fair value.Except for those related to hedge accounting the changes in fair value are recognized in current gains/losses.For financial liabilities designated as measured at fair value through profit or loss the changes in fair value caused by the changes in

the Company's own credit risk are recognized in other comprehensive income and when the liability is derecognized the cumulative

changes in fair value caused by the changes in its own credit risk that have been recognized in other comprehensive income are

transferred to retained earnings. The remaining changes in fair value are recognized in current gains/losses. If accounting for the

impact of the changes in the own credit risk of such financial liabilities in the above manner would result in or exacerbate accounting

mismatches in profit or loss the Company will recognize all the gains or losses (including the impact amount of the changes in the

enterprise's own credit risk) of such financial liabilities in current gains/losses.* Other financial liabilities

Other financial liabilities except for financial liabilities arising from financial asset transfers that do not meet the derecognition

criteria or from continued involvement in the transferred financial assets and financial guarantee contracts are classified as financial

liabilities measured at amortized cost and are measured subsequently at amortized cost. The gains or losses arising from

derecognition or amortization are recognized in current gains/losses.

(3) Recognition criteria and measurement methods for financial asset transfers

A financial asset is derecognized if one of the following conditions is met: * The contractual right to receive the cash flows of the

financial asset expires; * The financial asset has been transferred and substantially all the risks and rewards of ownership of the

financial asset have been transferred to the transferee; * The financial asset has been transferred and although the enterprise has

neither transferred nor retained substantially all the risks and rewards of ownership of the financial asset it has relinquished control

of the financial asset.If the enterprise has neither transferred nor retained substantially all the risks and rewards of ownership of the financial asset and has

not relinquished control of the financial asset it shall recognize the relevant financial assets to the extent of its continuing

involvement in the transferred financial asset and recognize the relevant liabilities accordingly. The extent of continuing involvement

in the transferred financial asset refers to the level of risk to which the enterprise is exposed due to changes in the value of the

financial asset.

66WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

When the transfer of a financial asset in its entirety meets the derecognition criteria the difference between the carrying amount of

the transferred financial asset the consideration received as a result of the transfer and the cumulative amount of changes in fair

value originally recognized in other comprehensive income is recognized in current gains/losses.When a partial transfer of a financial asset meets the derecognition criteria the carrying amount of the transferred financial asset is

allocated between the derecognized and non-derecognized parts based on their relative fair values and the difference between the

consideration received as a result of the transfer the cumulative amount of changes in fair value originally recognized in other

comprehensive income that should be allocated to the derecognized part and the allocated carrying amount is recognized in current

gains/losses.When the Company sells a financial asset with recourse or endorses and transfers a held financial asset it needs to determine whether

substantially all the risks and rewards of ownership of the financial asset have been transferred. If substantially all the risks and

rewards of ownership of the financial asset have been transferred to the transferee the financial asset is derecognized; if substantially

all the risks and rewards of ownership of the financial asset have been retained the financial asset is not derecognized; if neither

substantially all the risks and rewards of ownership of the financial asset have been transferred nor retained the enterprise will

continue to determine whether it retains control over the asset and conduct accounting treatment in accordance with the principles

described in the preceding paragraphs.

(4) Derecognition of financial liabilities

When the current obligation of a financial liability (or a part thereof) has been discharged the Company derecognizes the financial

liability (or the part of the financial liability). When the Company (the borrower) enters into an agreement with the lender to replace

the original financial liability by assuming a new financial liability and the contractual terms of the new financial liability are

substantially different from those of the original financial liability the original financial liability is derecognized and a new financial

liability is recognized at the same time. When the Company makes a substantial modification to the contractual terms of the original

financial liability (or a part thereof) the original financial liability is derecognized and a new financial liability is recognized in

accordance with the modified terms at the same time.When a financial liability (or a part thereof) is derecognized the Company recognizes the difference between its carrying amount and

the consideration paid (including the transferred non-cash assets or the assumed liabilities) in current gains/losses.

(5) Balance-out between the financial assets and liabilities

As the company has the legal right to balance out the financial liabilities by the net or liquidation of the financial assets the balance-

out sum between the financial assets and liabilities is listed in the balance sheet. In addition the financial assets and liabilities are

listed in the balance sheet without being balanced out.

(6) Fair value determination method for financial assets and financial liabilities

Fair value refers to the price that market participants can receive from selling an asset or pay to transfer a liability in an orderly

transaction that occurs on the measurement date. If there is an active market for financial instruments the company determines their

fair value using quotes from the active market. The quotation in an active market refers to the price that is easily obtained regularly

from exchanges brokers industry associations pricing service agencies etc. and represents the actual market transaction price that

occurs in fair trade. If there is no active market for financial instruments the company uses valuation techniques to determine their

fair value. Valuation techniques include referencing prices used in recent market transactions by parties familiar with the situation

and willing to trade referencing the current fair value of other financial instruments that are substantially the same discounted cash

flow method and option pricing models.At the time of valuation the company adopts valuation techniques that are applicable in the

current situation and supported by sufficient available data and other information selects input values that are consistent with the

asset or liability characteristics considered by market participants in transactions related to the asset or liability and prioritizes the use

of relevant observable input values as much as possible. In situations where observable input values cannot be obtained or are not

feasible to obtain use non input values.Impairment of financial assets

The financial assets that the company needs to recognize impairment losses are financial assets measured at amortized cost and debt

instrument investments measured at fair value with changes in fair value recognized in other comprehensive income mainly

67WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

including notes receivable accounts receivable contract assets other receivables creditors' investments other creditors' investments

long-term receivables etc. In addition for some financial guarantee contracts impairment provision and credit impairment losses are

also recognized in accordance with the accounting policies described in this section.

(1) Recognition method for impairment provision

Based on expected credit loss the company has made impairment provision and recognized credit impairment losses for the above-

mentioned items with the applicable expected credit loss measurement methods (general or simplified methods).Credit loss refers to the difference between all contract cash flows receivable discounted at the original effective interest rate and all

expected cash flows received by the company that is to say the present value of all cash shortfall. Among them for financial assets

that have been purchased or generated and have experienced credit impairment the Company will discount them at the actual interest

rate adjusted for credit of the financial asset.The general method for measuring expected credit loss refers to the assessment of whether the credit risk of financial assets has

significantly increased since initial recognition by the Company on each balance sheet date. If the credit risk has significantly

increased since initial recognition the Company measures the impairment provision based on an amount equivalent to the expected

credit loss over the entire period of existence; If the credit risk does not significantly increase after initial recognition the company

measures the impairment provision based on an amount equivalent to the expected credit loss within the next 12 months. When

evaluating expected credit loss the company considers all reasonable and evidence-based information including forward-looking

information.For financial instruments with low credit risk on the balance sheet date the Company assumes that their credit risk has not

significantly increased since initial recognition and chooses to measure the impairment provision based on the expected credit loss in

the next 12 months/does not choose a simplified treatment method and measures the impairment provision based on whether their

credit risk has significantly increased since initial recognition using the expected credit loss amount in the next 12 months or the

entire duration as the basis.

(2) Criteria for determining whether credit risk has significantly increased since initial recognition

If the default probability of a financial asset during the expected duration determined on the balance sheet date is significantly higher

than the default probability during the expected duration determined at initial recognition it indicates a significant increase in credit

risk of the financial asset. Except in special circumstances the company uses the changes in default risk that will occur within the

next 12 months as a reasonable estimate of the changes in default risk that will occur throughout the entire existence period to

determine whether credit risk has significantly increased since initial recognition.Usually if the overdue period exceeds 30 days the company considers that the credit risk of the financial instrument has significantly

increased unless there is conclusive evidence to prove that the credit risk of the financial instrument has not significantly increased

since initial recognition.When evaluating whether credit risk has significantly increased the company will consider the following factors:

Whether there has been a significant change in the actual or expected operating results of the debtor;

Whether there have been significant adverse changes in the regulatory economic or technological environment in which the debtor

is located;

Whether there have been significant changes in the value of the collateral used as collateral for debt or the quality of the guarantee or

credit enhancement provided by a third party which is expected to reduce the debtor's economic motivation to repay within the

contractually stipulated period or affect the probability of default;

Whether there have been significant changes in the debtor's expected performance and repayment behavior;

Has there been any change in the company's credit management methods for financial instruments.On the balance sheet date if the Company determines that a financial instrument has only low credit risk the Company assumes that

the credit risk of the financial instrument has not significantly increased since initial recognition. If the default risk of a financial

instrument is low the borrower has a strong ability to fulfill its contractual cash flow obligations in the short term and even if there

are adverse changes in the economic situation and operating environment over a longer period of time it may not necessarily reduce

the borrower's ability to fulfill its contractual cash obligations then the financial instrument is considered to have low credit risk.

68WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(3) Portfolio-based approach for evaluating expected credit risk

The company evaluates the credit risk of financial assets with significantly different credit risks such as accounts receivable from

related parties accounts receivable that are in dispute with the other party or involve litigation or arbitration there are clear

indications that the debtor may not be able to fulfill their repayment obligations such as accounts receivable.In addition to financial assets assessed for credit risk individually the company divides financial assets into different groups based on

common risk characteristics. The common credit risk characteristics adopted by the company include financial instrument type credit

risk rating aging portfolio overdue aging portfolio contract settlement period debtor's industry etc. Credit risk is evaluated based

on portfolio.

(4) Accounting treatment methods for impairment of financial assets

At the end of the period the Company calculates the estimated credit losses of various financial assets. If the estimated credit loss is

greater than the carrying amount of its current impairment provision the difference is recognized as an impairment loss; If it is less

than the carrying amount of the current impairment provision the difference is recognized as an impairment gain.Methods for determining credit losses of financial assets

Except for separately evaluating credit risk accounts receivable the company divides accounts receivable into different port folios

based on common risk characteristics and evaluates credit risk on the basis of the portfolio. The specific basis for determining

different portfolios and methods for measuring expected credit loss are as follows:

Item Basis for determining the portfolio Specific methods for measuring expected credit loss

For accounts receivable within six months the company

does not provide for expected credit loss; In addition the

Accounts receivable financing - company believes that the credit risk of the bank acceptance

bank acceptance bill portfolio Bank acceptance bill bills it holds is relatively low and will not cause significant losses due to bank defaults. Therefore the expected credit

loss shall not be measured for the corresponding receivables

financing bank acceptance portfolio.For accounts receivable within six months the company

does not provide for expected credit loss; In addition the

credit risk of the commercial acceptance bills held by the

Accounts receivable - company is relatively low as these bills are mainly issued

commercial acceptance bill Commercial acceptance bill by reputable automobile manufacturers. Based on historical

portfolio experience there have been no significant defaults.Therefore the company doesn’t measure expected credit

loss for the portfolio of accounts receivable and commercial

acceptance bills

Accounts receivable other than

Accounts Receivable - accounts receivable from internal

Customer Portfolio related parties and those for which Measure expected credit loss based on aging credit impairment losses have been

individually provisioned

Other receivables except for Based on historical credit loss experience combined with

Other receivables - accounts accounts receivable from internal current conditions and predictions of future economic

receivable other portfolio related parties and accounts for conditions the expected credit loss is calculated by default which credit impairment losses risk exposure and the expected credit loss rate for the next

have been individually provisioned 12 months or the entire duration.For accounts receivable that are measured for expected credit loss based on their aging their aging is calculated continuously from

the initial recognition date of the debt. The corresponding provision ratio for expected credit loss at different aging stages is as

follows:

Aging Provision ratio (%)

Within 6 months --

6 months - 1 year 10.00

1 - 2 years 20.00

2 -3 years 40.00

Over three years 100.00

69WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

12．Notes receivable

Notes receivable 1: bank acceptance

Notes receivable 2: trade acceptance

The Company calculates expected credit loss by referring to historical credit loss experience taking into account current conditions

and forecasts of the future economic situation.

13．Accounts receivable

Accounts receivable 1: receivable from clients

Accounts receivable 2: receivable from internal related party

The Company calculates expected credit loss by referring to historical credit loss experience taking into account current conditions

and forecasts of the future economic situation.

14．Receivable financing

The note receivable and accounts receivable which are measured at fair value and whose changes are included in other

comprehensive income are classified as receivables financing within one year(inclusive) from the date of acquisition. Refer to more

relevant accounting policies in Note V.11 Financial Instrument.

15．Other accounts receivable

Determination method of expected credit loss and accounting treatment

Other accounts receivable 1: receivable from internal related party

Other accounts receivable 2: receivable from others

The Company calculates expected credit loss by referring to historical credit loss experience taking into account current conditions

and forecasts of the future economic situation.

16．Inventory

(1) Classification of inventory

Inventory mainly includes raw materials product in process finished products contract performance costs etc.

(2) The pricing method for outbound inventory

Valuation shall be based on the weighted average method for outbound inventory;

(3) The perpetual inventory system is applied.

(4) Amortization method for low value consumables and packaging materials

Low value consumables are amortized with one-time amortization method upon receipt; Packaging materials are amortized with one-

time amortization method upon receipt.

(5) Recognition criteria and provision method for impairment provision for inventory

The net realizable value of inventory refers to the estimated selling price of inventory in daily activities minus the estimated costs to

be incurred until completion estimated sales expenses and related taxes. When determining the net realizable value of inventory it is

based on conclusive evidence obtained while considering the purpose of holding inventory and the impact of events after the balance

sheet date.On the balance sheet date inventory is measured at the lower of cost or net realizable value. When its net realizable value is lower

than its cost the provision for inventory impairment is withdrawn. The provision for inventory impairment is usually withdrawn

based on the difference between the cost of a single inventory item and its net realizable value. For inventory with a large quantity

and low unit price the provision for inventory impairment shall be withdrawn according to the inventory category; For inventory

related to product lines produced and sold in the same region with the same or similar end use or purpose and difficult to measure

separately from other items the provision for inventory impairment can be made through consolidation.After the provision for inventory impairment has been made if the influencing factors that previously reduced the value of inventory

have disappeared resulting in the net realizable value of inventory higher than its book value it shall be reversed within the original

provision for inventory impairment and the reversed amount shall be included in the current gains/losses.

17．Assets held for sale

70WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

（1）Non-current assets held for sale and disposal group

If the Company mainly recovers the book value of a non-current asset through sale (including exchange of non-monetary assets with

commercial substance the same below) rather than continuing to use it or disposing of it it will be classified as held for sale. The

specific criteria are to meet the following conditions simultaneously: a non-current asset or disposal group can be immediately sold

under the current circumstances in accordance with the customary practice of selling such assets or disposal groups in similar

transactions; The company has made a resolution regarding the sale plan and obtained a confirmed purchase commitment; The sale is

expected to be completed within one year. Among them the disposal group refers to a group of assets that are disposed of as a whole

through sale or other means in a transaction as well as the liabilities directly related to these assets transferred in the transaction. If

the asset group or the portfolio of asset groups to which the disposal group belongs has been allocated the goodwill acquired in the

business combination in accordance with the Accounting Standards for Enterprises No. 8- Impairment of Assets the disposal group

shall include the goodwill allocated to the disposal group.When the Company initially measures or re-measures non-current assets held for sale and disposal groups on the balance sheet date

if their carrying value is higher than the net amount of fair value minus selling expenses the carrying value shall be reduced to the

net amount of fair value minus selling expenses and the reduced amount shall be recognized as asset impairment loss and included in

the current gains/losses. At the same time the impairment provision for held for sale assets shall be made. For the disposal group the

recognized impairment loss of assets is first offset against the carrying amount of goodwill in the disposal group and then

proportionally offset against the carrying amount of various non-current assets within the disposal group that are subject to the

measurement provisions of the Accounting Standards for Enterprises No. 42- Non-current Assets Held for Sale Disposal Groups and

Discontinued Operations (hereinafter referred to as the “Standards of Assets Held for Sale”).If the net amount after deducting the

selling expenses from the fair value of the disposal group held for sale on the subsequent balance sheet date increases the previously

written down amount should be restored and reversed within the asset impairment loss amount recognized for non-current assets

measured under the Standards of Assets Held for Sale after being classified as holding for sale. The reversed amount should be

included in the current gains/losses and the book value of each non-current asset measured under the Standards of Assets Held for

Sale in the disposal group except for goodwill should be increased proportionally based on the proportion of its book value; The

book value of goodwill that has been offset as well as the impairment losses recognized for non-current assets under the holding for

sale standard before being classified as held for sale shall not be reversed.The non-current assets held for sale or disposed of in

disposal groups are not subject to depreciation or amortization and interest and other expenses on liabilities held for sale in disposal

groups continue to be recognized.In case non-current assets or disposal groups no longer meet the criteria for being classified as held for sale the Company will no

longer continue to classify them as assets held for sale or remove non-current assets from the disposal group and measure them in

terms of the lower of the following two: (1) the book value of such assets before being classified as assets held for sale adjusted for

depreciation amortization impairment etc. that would have been recognized if not classified assets held for sale; (2) Recoverable

amount.

（2）Recognition criteria and reporting methods for termination of operations

Termination of operation refers to a component that meets one of the following conditions can be distinguished separately and has

been disposed of or classified as held for sale: 1) the component represents an independent main business or an independent main

operating region; 2) This component is part of a related plan to dispose of an independent major business or a separate major

operating area; 3) This component is a subsidiary acquired specifically for resale.The company reports the relevant gains/losses arising from termination of operation in the income statement and discloses the impact

of termination in the notes.

18．Long term equity investment

The long-term equity investment referred to in this section refers to the long-term equity investment in which the company has

control joint control or significant influence over the invested entity. The long-term equity investments that the Company does not

have control joint control or significant influence over the investee are accounted for as financial assets measured at fair value with

71WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

changes recognized in current gains/losses. If they are non trading the Company may designate them as financial assets measured at

fair value with changes recognized in other comprehensive income at initial recognition. The accounting policy is detailed in Note

V.11 Financial Instruments.Joint control refers to the shared control of a certain arrangement by the company in accordance with relevant agreements and the

related activities of the arrangement must be unanimously agreed upon by the parties sharing control rights before making decisions.Significant impact refers to the power of the company to participate in decision-making on the financial and operational policies of

the invested entity but the company fails to control or jointly control the formulation of these policies with other parties.

（1）Recognition of investment cost

For a long-term equity investment acquired through a business combination involving enterprises under common control the initial

investment cost of the long-term equity investment shall be the absorbing party’s share of the carrying amount of the owner’s equity

under the consolidated financial statements of the ultimate controlling party on the date of combination. The difference between the

initial cost of the long-term equity investment and the cash paid non-cash assets transferred as well as the book value of the debts

borne by the absorbing party shall offset against the capital reserve. If the capital reserve is insufficient to offset the retained earnings

shall be adjusted. If the consideration of the merger is satisfied by issue of equity securities the initial investment cost of the long-

term equity investment shall be the absorbing party’s share of the carrying amount of the owner’s equity under the consolidated

financial statements of the ultimate controlling party on the date of combination. With the total face value of the shares issued as

share capital the difference between the initial cost of the long-term equity investment and total face value of the shares issued shall

be used to offset against the capital reserve. If the capital reserve is insufficient to offset the retained earnings shall be adjusted. For

business combination resulting in an enterprise under common control by acquiring equity of the absorbing party under common

control through a stage-up approach with several transactions these transactions will be judged whether they shall be treated as

“package deal”. If they belong to “package deal” these transactions will be accounted for a transaction in obtaining control . If they

are not belonging to “package deal” the initial investment cost of the long-term equity investment shall be the absorbing party’s

share of the carrying amount of the owner’s equity under the consolidated financial statements of the ultimate controlling party on the

date of combination. The difference between the initial cost of the long-term equity investment and the aggregate of the carrying

amount of the long-term equity investment before merging and the carrying amount the additional consideration paid for further

share acquisition on the date of combination shall offset against the capital reserve. If the capital reserve is insufficient to offset the

retained earnings shall be adjusted. Other comprehensive income recognized as a result of the previously held equity investment

accounted for using equity method on the date of combination or recognized for available-for-sale financial assets will not be

accounted for.For business combination resulted in an enterprise not under common control by acquiring equity of the acquire under common

control through a stage-up approach with several transactions these transactions will be judged whether they shall be treat as

“package deal”. If they belong to “package deal” these transactions will be accounted for a transaction in obtaining control . If they

are not belonging to “package deal” the initial investment cost of the long-term equity investment accounted for using cost method

shall be the aggregate of the carrying amount of equity investment previously held by the acquire and the additional investment cost.For previously held equity accounted for using equity method relevant other comprehensive income will not be accounted for.The intermediary fees such as audit legal services evaluation consulting and other related management expenses incurred by the

merging or purchasing party for the enterprise merger shall be included in the current gains/losses at the time of occurrence.Except for long-term equity investments formed by corporate mergers other equity investments are initially measured at cost which

is determined on the basis of the actual cash purchase price paid by the company the fair value of equity securities issued by the

company the value agreed upon in investment contracts or agreements the fair value or original book value of assets exchanged in

non-monetary asset exchange transactions and the fair value of the long-term equity investment itself depending on the method of

acquisition. The expenses taxes and other necessary expenditures directly related to obtaining long-term equity investments are also

booked into investment cost. For long-term equity investments that can have a significant impact on the investee or exercise joint

control but do not constitute control due to additional investments the cost of long-term equity investments is the sum of the fair

value of the original held equity investment determined in accordance with the Accounting Standards for Enterprises No. 22-

72WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Recognition and Measurement of Financial Instruments and the cost of additional investments.

（2）Subsequent measurement and recognition methods of gains/losses

Long term equity investments that have joint control (excluding joint operators) or significant influence over the invested entity shall

be measured with the equity method. Besides in the company's financial statements long-term equity investments that can exercise

control over the investee is measured with cost method.* Long term equity investments measured with cost method

When measured with cost method long-term equity investments are valued at their initial investment costs and the cost of long-term

equity investment shall be adjusted in case of additional or recovered investments. Current investment income is recognized based on

the cash dividends or profits declared but not yet distributed by the investee except for the actual payment made at the time of

investment or the cash dividends or profits included in the consideration.* Long term equity investments measured with equity method

When measured with equity method where the initial investment cost of a long-term equity investment exceeds the investor’s

interest in the fair value of the invested party’s identifiable net assets at the acquisition date no adjustment shall be made to the initial

investment cost. Where the initial investment cost is less than the investor’s interest in the fair value of the invested party’s

identifiable net assets at the acquisition date the difference shall be charged to current gains/losses and the cost of the long-term

equity investment shall be adjusted accordingly.When measured with the equity method investment income and other comprehensive income shall be recognized on the basis of the

Group’s share of the net gains/losses and other comprehensive income made by the invested party respectively. Meanwhile the

carrying amount of long-term equity investment shall be adjusted. The carrying amount of long-term equity investment shall be

reduced in terms of the Group’s share of profit or cash dividend distributed by the invested party. In respect of changes in

shareholders’ equity other than net gains/losses other comprehensive income and profit distribution of invested party the carrying

value of long-term equity investment shall be adjusted and included in the capital reserves. Share in the invested party’s net

gains/losses shall be recognized after the net profit of the investee is adjusted on the basis of the fair values of the invested party’s

individual separately identifiable assets at the time of acquisition. In the event of in-conformity between the accounting policies and

accounting periods of the invested party and the Company the financial statements of the invested party shall be adjusted in

conformity with the accounting policies and accounting periods of the Company. Investment income and other comprehensive

income shall be recognized accordingly. In respect of the transactions between the Group and its associates and joint ventures in

which the assets disposed of or sold are not classified as operation the share of unrealized gains/losses arising from inter-group

transactions shall be offset by the portion attributable to the Company. Investment gain shall be recognized accordingly. However

any unrealized loss arising from inter-group transactions between the Group and an invested party will not be offset to the extent that

the loss is impairment loss of the transferred assets. In the event that the Group disposed of an asset classified as operation to its joint

ventures or associates which resulted in acquisition of long-term equity investment by the investor without obtaining control the

initial investment cost of additional long-term equity investment shall be the fair value of disposed operation. The difference between

initial investment cost and the carrying value of disposed operation will be fully booked into current gains/losses. In the event that

the Group sold an asset classified as operation to its associates or joint ventures the difference between the carrying value of

consideration received and operation shall be fully booked into current gains/losses. In the event that the Company acquired an asset

which formed an operation from its associates or joint ventures relevant transaction shall be accounted for in accordance with

“Accounting Standards for Business Enterprises No. 20 “Business combination”. Gains/losses related to the transaction shall be

measured in full.The Group’s share in the net losses of the invested party shall be recognized to the extent that the carrying amount of the long-term

equity investment together with any long-term interests that in substance form part of the investor’s net investment in the invested

party are reduced to zero. If the Group has to assume additional obligations the expected liabilities shall be recognized in terms of

the estimated obligation assumed and be booked into the investment loss for the period. Where the invested party makes profits in

subsequent periods the profits attributed to the company shall be firstly used to make up unrecognized losses.

73WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

* Acquisition of minority interest

At the time of preparing consolidated financial statements the difference between the increase in the long-term equity investment

raising from the purchase of minority interest and the net assets attributable to the subsidiary which are measured continuously since

the purchase date (or combination date) in terms of the proportion of newly acquired shares shall be used to adjust the capital surplus

or retained earnings in case capital surplus is insufficient.* Disposal of long-term equity investments

In consolidated financial statements in case the parent company disposes part of long-term equity investments in a subsidiary

without loss of control the difference between disposal price and the net asset of the subsidiary related to the disposal of the long-

term equity investments shall be booked into the owners’ equity. If disposal of a portion of the long-term equity investments in a

subsidiary by the parent company results in the loss of its control on the subsidiary the relevant accounting policies described in

Note 3.7(2). “Preparation method of consolidated financial statements” shall prevail.On disposal of a long-term equity investment otherwise the difference between the carrying amount of the investment and the actual

consideration paid is recognized through current gains/losses.In respect of the long-term equity investment measured with equity method in case the remaining equity after disposal is also

measured with equity method other comprehensive income previously under owners’ equity shall be accounted for in accordance

with the same accounting treatment for direct disposal of relevant asset or liability by invested party on pro rata basis at the time of

disposal. The owners’ equity recognized due to changes in other owners’ equity (excluding net gains/losses other comprehensive

income and profit distribution of invested party) shall be transferred to current gains/losses on pro rata basis.In respect of long-term equity investment measured with cost method in case the remaining equity is also measured with equity

method after disposal other comprehensive income recognized and measured with equity method or recognition and measurement

principle before control over the invested party shall be accounted for in terms of the same accounting treatment for direct disposal

of relevant asset or liability by invested party on pro rata basis at the time of disposal and shall be transferred to current gains/losses

on pro rata basis; among the net assets of invested party unit recognized with equity method (excluding net gains/losses other

comprehensive income and profit distribution of invested party) shall be transferred to current gains/losses on pro rata basis.In the event of loss of control over invested party due to partial disposal of equity investment by the group at the time of preparing

separate financial statements the remaining equity which can apply common control or impose significant influence over the

invested party after disposal shall be measured with equity method. Such remaining equity shall be treated as being measured with

equity method since it is obtained and adjustment shall be made accordingly. The remaining equity which cannot apply common

control or impose significant influence over the invested party after disposal shall be accounted for in accordance with the

recognition and measurement principles for financial instruments. The difference between its fair value and carrying amount as at the

date of losing control shall be booked into current gains/losses. In respect of other comprehensive income recognized with equity

method or the recognition and measurement principles of financial instruments before the company obtains control over the invested

party it shall be accounted for in accordance with the same accounting treatment for direct disposal of relevant asset or liabili ty by

invested party at the time when the control over invested party is lost. Changes in other owners’ equity than net gains/losses other

comprehensive income and profit distribution) under net asset of invested party recognized with equity method shall be transferred to

current gains/losses at the time when the control over invested party is lost. Of which for the remaining equity after disposal

measured with equity method other comprehensive income and other owners’ equity shall be carried forward on pro rata basis and

for the remaining equity after disposal measured with the recognition and measurement principles of financial instruments other

comprehensive income and other owners’ equity shall be fully transferred.In the event of loss of common control or significant influence over invested party due to partial disposal of equity investment by the

Group the remaining equity after disposal shall be accounted for using the recognition and measurement standard of financial

instruments. The difference between its fair value and carrying amount as at the date of losing common control or significant

influence shall be included in current gains/losses. In respect of other comprehensive income recognized under previous equity

investment using equity method it shall be accounted for in accordance with the same accounting treatment for direct disposal of

relevant asset or liability by invested party at the time when equity method was ceased to be used. Movement of other owners’ equity

74WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(excluding net profit or loss other comprehensive income and profit distribution under net asset of invested party accounted for and

recognized using equity method) shall be transferred to current gains/losses at the time when equity method was ceased to be used.The Group disposes its equity investment in subsidiary by a stage-up approach with several transactions until the control over the

subsidiary is lost. If the said transactions belong to “package deal” each transaction shall be accounted for as a single transaction of

disposing equity investment of subsidiary and loss of control. The difference between the disposal consideration for each transaction

and the carrying amount of the corresponding long-term equity investment of disposed equity before loss of control shall initially

recognized as other comprehensive income and subsequently transferred to profit or loss arising from loss of control for the current

period upon loss of control.

19．Investment properties

Measurement model of investment properties

Measured with cost method

Depreciation or amortization method

Investment properties refer to properties held for the purpose of earning rental income or capital appreciation or both. They include

leased land use rights land use rights held for the purpose of appreciation and subsequent transfer leased buildings etc.Investment properties are initially measured at cost. Subsequent expenditures related to investment properties are included in the cost

of investment properties if it is highly probable that the economic benefits related to the asset will flow into the enterprise and the

cost can be measured reliably. Other subsequent expenditures are recognized in current gains/losses when they occur.The company measures subsequent investment properties with the cost model and depreciates or amortizes them in accordance with

the same policies as those for buildings or land use rights.For the impairment test methods and the methods for provision of impairment losses of investment properties please refer to Note V.

24 Impairment of Long-term Assets.

When owner-occupied properties or inventories are converted into investment properties or investment properties are converted into

owner-occupied properties the carrying value before the conversion is used as the carrying value after the conversion.When the purpose of an investment property changes to owner-occupation as of the date of the change the investment property is

converted into fixed assets or intangible assets. When the purpose of an owner-occupied property changes to earning rental income or

capital appreciation as of the date of the change the fixed assets or intangible assets are converted into investment properties. Upon

conversion if the investment property is measured with the cost model after conversion the carrying value before the conversion is

used as the carrying value after the conversion; if the investment property is measured with the fair value model after conversion the

fair value on the conversion date is used as the carrying value after the conversion.When an investment property is disposed of or is permanently withdrawn from use and it is expected that no economic benefits can

be obtained from its disposal the investment property shall be derecognized. The disposal proceeds from the sale transfer scrapping

or damage of an investment property after deducting its carrying value and relevant taxes and fees are recognized in current

gains/losses.

20．Fixed assets

（1）Recognition criteria

Fixed assets refer to tangible assets held for the production of goods provision of services leasing or business management with a

useful life exceeding one accounting year. Fixed asset are recognized only when it is probable that the economic benefits associated

with it will flow to the Company and its cost can be measured reliably. Fixed assets are initially measured at cost taking into account

the expected impact of decommissioning costs.

（2）Depreciation method

Category Depreciation method Years of depreciation Scrap value rate Yearly depreciation rate

Permanent ownership land Straight-line depreciation Indefinite No depreciation

House and building Straight-line depreciation 20~35 5% 2.71%~4.75%

75WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Machinery equipment Straight-line depreciation 10 5% 9.50%

Transportation equipment Straight-line depreciation 4~5 5% 19.00% ~23.75%

Electronic and other

equipment Straight-line depreciation 3～10 5% 9.50%～31.67%

The expected residual value refers to the amount that the Company is currently expected to obtain from the disposal of the fixed asset

after deducting the expected disposal expenses assuming that the fixed asset has reached the end of its expected useful life and is in

the expected state at that time.

（3）Impairment test methods and methods for provision of impairment losses of fixed assets

For the impairment test methods and methods for provision of impairment losses of fixed assets please refer to Note V. 24

“Impairment of Long-term Assets”.

（4）Other explanations

Subsequent expenditures related to fixed assets are booked into the cost of the fixed assets if it is highly probable that the economic

benefits related to the fixed assets will flow into the Company and their costs can be measured reliably and the carrying value of the

replaced part shall be derecognized. Subsequent expenditures other than the above are recognized in current gains/losses when they

occur.A fixed asset shall be derecognized when it is in a state of disposal or when it is expected that no economic benefits can be generated

through its use or disposal. The difference between the disposal proceeds from the sale transfer scrapping or damage of a fixed asset

and its carrying value and relevant taxes and fees shall be recognized in current gains/losses.The Company reviews the useful life expected residual value and depreciation method of fixed assets at least at the end of each year.If any changes occur they will be accounted for as changes in accounting estimates.

21．Construction in progress

The Company's construction in progress is divided into two types built by the company or by the contracting-out method. When the

construction in progress is completed and reaches the intended usable state it is transferred to fixed assets. The criteria for

determining the intended usable state shall meet one of the following situations: The physical construction (including installation) of

the fixed asset has been completely finished or substantially completed; It has undergone trial production or trial operation and the

results indicate that the asset can operate normally or can stably produce qualified products or the trial operation results show that it

can operate or conduct business normally; The expenditure on the constructed fixed asset is very small or hardly occurs any more;

The constructed fixed asset has met the design or contractual requirements or is basically in line with the design or contractual

requirements.When the construction in progress reaches the intended usable state it is transferred to fixed assets at the actual project cost. For

those that have reached the intended usable state but for which the final accounts of the project have not been settled they are first

transferred to fixed assets at the estimated value and after the final accounts of the project are settled the original est imated value is

adjusted according to the actual cost but the originally accrued depreciation will not be adjusted.For the impairment test methods and methods for provision of impairment losses of construction in progress please refer to Note V.

24 “Impairment of Long-term Assets”.

22．Borrowing costs

Borrowing costs include borrowing interest amortization of discounts or premiums auxiliary expenses and exchange differences

arising from foreign currency borrowings etc. Borrowing costs that can be directly attributed to the acquisition construction or

production of assets that meet the capitalization criteria shall commence to be capitalized when the asset expenditures have been

made the borrowing costs have occurred and the necessary acquisition construction or production activities to bring the asset to the

intended usable or sellable state have started; the capitalization shall cease when the qualifying asset under construction or production

76WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

reaches the intended usable or sellable state. The remaining borrowing costs are recognized as expenses in the period in which they

occur.For specific borrowings the amount of interest expense actually incurred during the current period after deducting the interest

income obtained from depositing the unutilized borrowing funds in the bank or the investment income obtained from temporary

investments shall be capitalized; The capitalized amount of general borrowings shall be determined by multiplying the weighted

average of the asset expenditures exceeding the specific borrowings by the capitalization rate of the general borrowings used. The

capitalization rate is determined on the basis of weighted average interest rate of the general borrowings.During the capitalization period the exchange differences of specific foreign currency borrowings shall be capitalized in full; The

exchange differences of general foreign currency borrowings shall be booked into current gains/losses.Assets that meet the capitalization criteria refer to fixed assets investment properties inventories and other assets that require a

substantial period of acquisition construction or production activities to reach the intended usable or sellable state.If an abnormal interruption occurs during the acquisition construction or production of an asset that meets the capitalization criteria

and the interruption period continues for more than 3 months the capitalization of borrowing costs shall be suspended until the

acquisition construction or production activities of the asset resume.Assets that meet the capitalization criteria refer to fixed assets investment properties inventories and other assets that require a

substantial period of acquisition construction or production activities to reach the intended usable or sellable state.

23．Intangible assets

（1）Useful life and its determination basis estimation situation amortization method or review procedure

Intangible assets refer to identifiable non-monetary assets without physical substance that are owned or controlled by the Company.Intangible assets are initially measured at cost. Expenditures related to intangible assets are included in the cost of intangible assets if

it is highly probable that the relevant economic benefits will flow into the Company and the cost can be measured reliably.Expenditures for items other than the above are recognized in current gains/losses when they occur.The acquired land use rights are usually accounted for as intangible assets. When constructing factories and other buildings through

self-development the expenditures for the relevant land use rights and the construction costs of the buildings are accounted for as

intangible assets and fixed assets respectively. In the case of externally purchased houses and buildings the relevant purchase price is

allocated between the land use rights and the buildings. If it is difficult to make a reasonable allocation it shall all be treated as fixed

assets.For intangible assets with a finite useful life the original value minus the expected residual value and the cumulative amount of the

provision for impairment losses already accrued shall be amortized on a straight-line basis and evenly over its expected useful life

starting from the time they are available for use. Intangible assets with an indefinite useful life are not amortized.At the end of the period the useful life and amortization method of intangible assets with a finite useful life shall be reviewed.Changes if any will be accounted for as changes in accounting estimates. In addition the useful life of intangible assets with an

indefinite useful life is also reviewed. If there is evidence indicating that the period during which the intangible asset br ings

economic benefits to the enterprise is foreseeable its useful life shall be estimated and such intangible assets shall be amortized in

accordance with the amortization policy for intangible assets with a finite useful life.

（2）Scope of accumulation of R&D expenditures and relevant accounting treatment methods

The expenditures of the Company's internal research and development projects are divided into expenditures in the research stage

and expenditures in the development stage.Expenditures in the research stage are booked into current gains/losses when they occur.The Company's research and development expenditures includes materials used in research and development labor and service costs

amortization of research and development equipment amortization of other intangible assets and fixed assets used in the

development process and expenses such as water and electricity fees.

77WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

The specific criteria for the Company to divide the expenditures of internal research and development projects into those in the

research stage and those in the development stage are as follows:

The research stage refers to the stage of original and planned investigations and research activities carried out to acquire and

understand new scientific or technical knowledge; the development stage implies the stage of activities in which research results or

other knowledge are applied to a certain plan or design before commercial production or use in order to produce new or substantially

improved materials devices products etc.Expenditures in the development stage that meet the following conditions simultaneously are recognized as intangible assets and

expenditures in the development stage that do not meet the following conditions are recognized in current gains/losses:

* It is technically feasible to complete the intangible asset so that it can be used or sold;

* There is an intention to complete the intangible asset and use or sell it;

* The way in which the intangible asset generates economic benefits including being able to prove that there is a market for

products produced with such intangible asset or that there is a market for the intangible asset itself. If the intangible asset will be used

internally it can be proved to be useful;

* There are sufficient technical financial and other resources to support the completion of the development of the intangible asset

and capable of using or selling the intangible asset;

* Expenditures attributable to the development stage of the intangible asset can be measured reliably.The specific conditions for capitalizing the expenditures in the development stage of the Company:

If it is impossible to distinguish between expenditures in the research stage and expenditures in the development stage all the

research and development expenditures incurred will be recognized in current gains/losses.

（3）Impairment test methods and methods for provision of impairment losses of intangible assets

For the impairment test methods and methods for provision of impairment losses of intangible assets please refer to Note V. 24

Impairment of Long-term Assets.

24．Impairment of long-term assets

The Company will judge if there are any sings of impairment as at the balance sheet date in respect of non-current non-financial

assets such as fixed assets construction in progress intangible assets with a finite useful life investment properties measured at cost

and long-term equity investments in subsidiaries joint controlled entities and associates. If there is any evidence indicating that an

asset may be impaired recoverable amount shall be estimated for impairment test. Goodwill intangible assets with an indefinite

useful life and intangible assets beyond working conditions will be tested for impairment annually regardless of whether there is any

indication of impairment.If the impairment test result shows that the recoverable amount of an asset is less than its carrying amount the impairment provision

will be made in terms of the difference and recognized as an impairment loss. The recoverable amount of an asset is the higher of its

fair value less costs of disposal and the present value of the future cash flows expected to be derived from the asset. An asset’s fair

value is the price in a sale agreement in an arm’s length transaction. If there is no sale agreement but the asset is traded in an active

market fair value shall be determined on the basis of the bid price. If there is neither sale agreement nor active market for an asset

fair value shall be estimated on the basis of the best available information. Costs of disposal are expenses attributable to disposal of

the asset including legal fee relevant tax and surcharges transportation fee and direct expenses incurred to prepare the asset for its

intended sale. The present value of the future cash flows expected to be derived from the asset over the course of continued use and

final disposal is determined as the amount discounted at an appropriately selected discount rate. Provisions for assets impairment

shall be made and recognized for the individual asset. If it is not possible to estimate the recoverable amount of the individual asset

the recoverable amount of the asset group to which the asset belongs shall be defined. The asset group is the smallest group of assets

capable of generating cash flows independently.

78WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

For the purpose of impairment test the carrying amount of goodwill presented separately in the financial statements shall be

allocated to the asset groups or asset group portfolio benefiting from synergy of business combination. If the recoverable amount is

less than the carrying amount the impairment loss shall be recognized. The amount of impairment loss shall first reduce the carrying

amount of any goodwill allocated to the asset group or asset groups portfolio and then reduce the carrying amount of other assets

goodwill within the asset group or asset group portfolio on the basis of the carrying amount of each asset.An impairment loss recognized on the aforesaid assets shall not be reversed in a subsequent period in respect of the part whose value

can be recovered.

25．Long-term deferred expenses

long-term deferred expenses refer to various expenses that have been incurred but are to be amortized over a period of more than one

year and are borne by the current report period and subsequent periods. The long-term deferred expenses of the company mainly

include decoration and renovation costs. The long-term deferred expenses are amortized with the straight - line method over the

expected beneficial period.

26．Contract liabilities

Contract liabilities refer to the obligations of the company to transfer goods to customers in exchange for consideration received or

receivable from customers. If the customer has paid the contract consideration or the company has obtained the unconditional right to

receive payment before the company transfers the goods to the customer the company will record the received or receivable amount

as contract liability at the earlier of the actual payment date by the customer and the due payment date. Contract assets and contract

liabilities under the same contract are presented on a net basis and contract assets and contract liabilities under different contracts are

not offset.

27．Employee compensation

（1）Accounting treatment for short-term compensation

During the accounting period when the staff provides service to the Company the short-term remuneration actual occurred shall be

recognized as liability and be reckoned into current gains/losses. During the accounting period when staff provides service to the

Company the actual short-term compensation occurred shall be recognized as liabilities and be reckoned into current gains/losses

except for those in line with accounting standards or being allowed to be reckoned into capital costs; the welfare occurred shall be

reckoned into current gains/losses or relevant asses costs at the time of actual occurrence. The employee compensation shall be

recognized as liabilities and be reckoned into current gains/losses or relevant assets costs at the time of actual occurrence. The

employee benefits that belong to non-monetary benefits are measured at fair value; the social insurances including the medical

insurance work-injury insurance and maternity insurance and the housing fund that the enterprise pays for the employees as well as

the labor union expenditure and employee education funds withdrawn by relevant provisions should be calculated and determined as

the corresponding compensation amount and determined the corresponding liabilities in accordance with the specified withdrawing

basis and proportion and be reckoned in the current profits and losses or relevant asset costs in the accounting period that the

employees provide services.

（2）Accounting treatment for post-employment benefit

The post-employment benefit includes the defined contribution plans and defined benefit plans. Post-employment benefits plan refers

to the agreement about the post-employment benefits between the enterprise and employees or the regulations or measures the

enterprise established for providing post-employment benefits to employees. The defined contribution plan refers to the post-

employment benefits plan that the enterprise doesn’t undertake the obligation of payment after depositing the fixed charges to the

independent fund; the defined benefit plans refer to post-employment benefits plans except the defined contribution plan.

（3）Accounting treatment for retirement benefits

79WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

In case the Company terminates the employment relationship with employees before the end of the employment contracts or provides

compensation as an offer to encourage employees to accept voluntary redundancy the Company shall recognize employee

compensation liabilities arising from compensation for staff dismissal and included in current gains/losses when the Company

cannot revoke unilaterally compensation for dismissal due to the cancellation of labor relationship plans and employee redundant

proposals; and the Company recognize cost and expenses related to payment of compensation for dismissal and restructuring

whichever is earlier.The early retirement plan shall be accounted for in accordance with the accounting principles for compensation

for termination of employment. The salaries or wages and the social contributions to be paid for the employees who retire before

schedule from the date on which the employees stop rendering services to the scheduled retirement date shall be recognized (as

compensation for termination of employment) in the current profits and losses by the Group if the recognition principles for

provisions are satisfied.

（4）Accounting treatment for other long-term employee benefits

Except for the compulsory insurance the Company provides the supplementary retirement benefits to the employees satisfying

certain conditions the supplementary retirement benefits belong to the defined benefit plans and the defined benefit liability

confirmed on the balance sheet is the value by subtracting the fair value of plan assets from the present value of defined benefit

obligation. The defined benefit obligation is annually calculated with the expected accumulated welfare unit method by the

independent actuary on the basis of treasury bond rate with similar obligation term and currency. The service charges related to the

supplementary retirement benefits (including the service costs of the current period the previous service costs and the settlement

gains or losses) and the net interest are reckoned in the current profits and losses or other asset costs the changes generated by

recalculating the net liabilities of defined benefit plans or net assets should be reckoned in other consolidated income.

28．Anticipated liabilities

When the obligations arising from contingent events such as providing external guarantees litigation matters product quality

warranties and loss contracts become the present obligations of the company and it is highly probable that the fulfillment of these

obligations will lead to an outflow of economic benefits from the company and the amount of these obligations can be reliably

measured the company will recognize these obligations as anticipated liabilities.The company initially measures the anticipated liabilities based on the best estimate of the expenditures required to fulfill the

relevant present obligations and reviews the carrying amount of the anticipated liabilities on the balance sheet date.If all or part of the expenditures required to settle anticipated liabilities are expected to be compensated by a third party the

compensation amount will be recognized as asset separately when it is basically certain that the compensation can be received and

the recognized compensation amount will not exceed the carrying amount of the anticipated liabilities.

29．Share-based payments

（1）Accounting treatment methods for share-based payments

Share-based payments are transactions in which equity instruments are granted or liabilities determined on the basis of equity

instruments are assumed in order to obtain services provided by employees or other parties. Share-based payments are classified into

share-based payments settled with equity instruments and share-based payments settled in cash.* Share-based payments settled with equity instruments

For share-based payments settled by equity instruments in exchange for services provided by employees they are measured at the

fair value of the equity instruments granted to employees on the grant date. In the case where the fair value amount can only be

exercised after the completion of the services during the vesting period or the achievement of the specified performance conditions

based on the best estimate of the number of exercisable equity instruments during the vesting period it is calculated on a straight-line

basis and included in the relevant costs or expenses. When the equity instruments can be exercised immediately after the grant they

are included in the relevant costs or expenses on the grant date and the capital reserve is correspondingly increased. On each balance

sheet date during the vesting period the Company makes the best estimate based on the latest subsequent information such as

80WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

changes in the number of employees who are expected to be eligible to exercise the rights and revises the estimated number of

exercisable equity instruments. The impact of the above estimates is included in the relevant costs or expenses of the current period

and the capital reserve is adjusted accordingly.For share-based payments settled by equity instruments in exchange for services provided by other parties if the fair value of the

services provided by other parties can be reliably measured it is measured at the fair value of the services provided by other parties

on the date of acquisition. If the fair value of the services provided by other parties cannot be reliably measured but the fair value of

the equity instruments can be reliably measured it is measured at the fair value of the equity instruments on the date of acquisition of

the services included in the relevant costs or expenses and the shareholders' equity is correspondingly increased.* Cash-settled share-based payment and equity instruments

Cash-settled share-based payments are measured at the fair value of the liabilities calculated and determined on the basis of shares or

other equity instruments undertaken by the Company. If it’s vested immediately after the grant the fair value of the liabilities

assumed on the date of the grant is included in the cost or expense and the liability is increased accordingly. If the service within the

waiting period is completed or the specified performance conditions are met the service obtained in the current period shall be

included in the relevant costs or expenses based on the best estimate of the vesting situation within the waiting period and the fair

value of the liabilities assumed to increase the corresponding liabilities.On each balance sheet date and settlement date before the settlement of the relevant liabilities the fair value of the liabilities is

remeasured and the changes are included in the current gains/losses.

（2）Relevant accounting treatment for modification and termination of share-based payment plans

When the Company modifies a share-based payment plan if the modification increases the fair value of the equity instruments

granted the Company recognizes the increase in the services received accordingly based on the increase in the fair value of the

equity instruments. The increase in the fair value of the equity instruments refers to the difference between the fair values of the

equity instruments before and after the modification on the modification date. If the modification reduces the total fair value of the

share-based payment or adopts other methods unfavorable to employees the Company will still continue to account for the services

received as if the change had never occurred unless the Company cancels some or all of the granted equity instruments.During the waiting period if the granted equity instruments are cancelled the Company will treat the cancellation of the granted

equity instruments as an acceleration of vesting immediately recognize the amount that should be recognized in the remaining

waiting period in the current gains/losses and at the same time recognize the capital reserve. If employees or other parties are able to

choose to meet the non - vesting conditions but fail to do so during the waiting period the Company will treat it as the cancellation of

the granted equity instruments.

（3）Accounting treatment for share-based payment transactions involving the company and its shareholders or controlling

shareholders

For share-based payment transactions involving the Company and its shareholders or controlling shareholders if one of the

settlement enterprises and the service-receiving enterprise is within the Company's consolidation scope and the other is outside the

Company's consolidation scope the following accounting treatment will be carried out in the Company's consolidated financial

statements:

* If the settlement enterprise settles with its own equity instruments the share-based payment transaction will be treated as an

equity - settled share-based payment; otherwise it will be treated as a cash - settled share-based payment.If the settlement enterprise is an investor of the service-receiving enterprise it will recognize the long-term equity investment in the

service-receiving enterprise based on the fair value of the equity instruments on the grant date or the fair value of the liability to be

assumed and at the same time recognize the capital reserve (other capital reserve) or liability.* If the service-receiving enterprise has no settlement obligation or the equity instruments granted to its employees are its own

equity instruments the share-based payment transaction will be treated as an equity - settled share-based payment; if the service-

receiving enterprise has a settlement obligation and the equity instruments granted to its employees are not its own equity instruments

the share-based payment transaction will be treated as a cash - settled share-based payment.

81WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

For share-based payment transactions among enterprises within the Company's consolidation scope if the service-receiving

enterprise and the settlement enterprise are not the same enterprise the recognition and measurement of the share-based payment

transaction in the individual financial statements of the service-receiving enterprise and the settlement enterprise will be handled by

referring to the above principles.

30．Other financial instruments such as preferred stocks and perpetual bonds

(1) Distinction between perpetual bonds and preferred stocks

Financial instruments issued by the company such as perpetual bonds and preferred stocks that meet the following conditions are

considered equity instruments:

* This financial instrument does not include contractual obligations to deliver cash or other financial assets to other parties or to

exchange financial assets or financial liabilities with other parties under potential adverse conditions;

* In case the financial instrument needs to be settled or can be settled using the enterprise's own equity instruments in the future if

the financial instrument is a non-derivative instrument it does not include the contractual obligation to deliver a variable quantity of

its own equity instruments for settlement; If it is a derivative instrument the company can only settle the financial instrument by

exchanging a fixed amount of its own equity instruments for a fixed amount of cash or other financial assets.Except for financial instruments that can be classified as equity instruments according to the above conditions other financial

instruments issued by the Company should be classified as financial liabilities.If the financial instruments issued by the company are composite financial instruments they shall be recognized as a liabili ty based

on the fair value of the liability component and the amount received after deducting the fair value of the liability component is

recognized as “other equity instruments”. The transaction costs incurred in the issuance of composite financial instruments shall be

allocated between the liability component and the equity component in proportion to their respective proportions of the total issuance

price.

(2) Accounting treatment methods for perpetual bonds and preferred stocks

Financial instruments such as perpetual bonds and preferred stocks classified as financial liabilities including their related interest

dividends gains or losses as well as gains or losses arising from redemption or refinancing are booked into current gains/ losses

except for borrowing costs that meet capitalization criteria (see Note V.22 "Borrowing Costs").When financial instruments such as perpetual bonds and preferred stocks classified as equity instruments are issued (including

refinancing) repurchased sold or cancelled the Company treats them as changes in equity and deducts related transaction costs

from equity. The company treats the distribution of equity instrument holders as profit distribution.The company does not recognize changes in fair value of equity instruments.

31．Revenue

Disclose accounting policies used for revenue recognition and measurement based on business type

When the contract signed between the company and the customer meets the following conditions simultaneously revenue is

recognized when the customer obtains control of the relevant goods: the parties to the contract have approve the contract and promise

to fulfill their respective obligations; The contract specifies the rights and obligations of all parties involved in the transfer of goods

or provision of services; The contract has clear payment terms related to the transferred goods; The contract has commercial

substance that is the performance of the contract will change the risk time distribution or amount of the company's future cash

flows; The consideration that the company is entitled to receive from transferring goods to customers is likely to be recovered.On the commencement date of the contract the company identifies each individual performance obligation in the contract and

distributes the transaction price to each individual performance obligation based on the relative proportion of the individual selling

price of the promised goods for each individual performance obligation. When determining the transaction price factors such as

variable consideration significant financing components in the contract non-cash consideration and payable customer consideration

shall be taken into account.

82WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

For each individual performance obligation in the contract if one of the following conditions is met the company will recognize the

transaction price allocated to that individual performance obligation as revenue during the relevant performance period according to

the performance progress: the customer obtains and consumes the economic benefits brought by the company's performance at the

same time as the company's performance; Customers are able to control the goods under construction during the performance process

of the company; The goods produced by the company during the performance process have irreplaceable uses and the company has

the right to collect payments for the completed performance portion throughout the entire contract period. The performance progress

is determined using the input method based on the nature of the transferred goods. When the performance progress cannot be

reasonably determined if the costs already incurred by the company are expected to be compensated revenue is recognized on the

basis of the amount of costs already incurred until the performance progress can be reasonably determined.If any of the above conditions is not met the company will recognize the transaction price allocated to the single performance

obligation as revenue when the customer obtains control of the relevant goods. When determining whether the customer has obtained

control of the product the company considers the following indications: the enterprise has the right to receive payment for the

product at present that is the customer has a current payment obligation for the product; The enterprise has transferred the legal

ownership of the product to the customer that is the customer already owns the legal ownership of the product; The enterprise has

transferred the physical item to the customer meaning that the customer has already physically occupied the item; The enterprise has

transferred the main risks and rewards of ownership of the product to the customer that is the customer has obtained the main risks

and rewards of ownership of the product; The customer has accepted the product; Other signs indicating that the customer has gained

control of the product.The time point for recognizing domestic sales revenue of the company is as follows: the company delivers goods according to the

sales contract or order agreement. On the reconciliation date agreed with the buyer the goods received and inspected by the buyer

during the period from the previous reconciliation date to this reconciliation date are verified with the buyer. After verification by

both parties the risk and reward are transferred to the buyer. The company issues an invoice to the buyer based on the confirmed

variety quantity and amount and confirms the realization of sales revenue on the reconciliation date.The recognition time point for the company's foreign sales revenue: After the customs review is completed the company confirms

the realization of sales revenue based on the export date stated on the customs declaration form.The situation where similar businesses adopt different business models involving different revenue recognition and measurement

methods

Nil

32．Contract costs

Contract costs are divided into contract performance costs and contract acquisition costs.The costs incurred by the company for the performance of a contract that simultaneously meet the following conditions are

recognized as a contract performance cost asset:

（1）The cost is directly related to a current or expected contract including direct labor direct materials manufacturing expenses

(or similar expenses) costs explicitly borne by the customer and other costs incurred solely due to the contract;

（2）The cost increases the resources that the enterprise will use in the future to fulfill its performance obligations;

（3）The cost is expected to be recoverable.

The incremental costs incurred by the company for obtaining a contract that are expected to be recoverable are recognized as contract

acquisition cost asset; however if the amortization period of the asset does not exceed one year it can be recognized in current

gains/losses when it occurs.Assets related to contract costs are amortized on the same basis as the recognition of revenue from the related goods or services.If the carrying value of an asset related to contract costs is higher than the difference between the following two items the company

will make an impairment provision for the excess amount and recognize it as an asset impairment loss:

（1）The remaining consideration expected to be obtained from the transfer of the goods or services related to the asset;

83WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

（2）The estimated costs to be incurred for the transfer of the related goods or services.

If the above asset impairment provision is subsequently reversed the carrying value of the asset after the reversal shall not exceed the

carrying value of the asset on the reversal date assuming no impairment provision is made.

33．Government grants

Government grants refer to monetary and non-monetary assets obtained by the Company from the government free of charge

excluding the capital invested by the government as an investor with corresponding ownership rights. Government grants are

classified into asset-related government grants and income-related government grants. The Company defines government grants

obtained for the construction or other formation of long-term assets as asset-related government grants; the remaining government

grants are defined as income-related government grants. If the grantee is not clearly specified in the government document the

following methods are used to classify the grants into income-related government grants or asset-related government grants: (1) If

the specific project to which the grant relates is specified in the government document such grant shall be divided in terms of the

relative proportion of the expenditure amount that will form assets and the expenditure amount that will be included in expenses in

the budget of the specific project. This division proportion will be reviewed on each balance sheet date and changed if necessary; (2)

If the government document only makes a general description of the use and does not specify a specific project it will be regarded as

income-related government grant. Monetary government grants are measured at the amount received or receivable. Non-monetary

government grants are measured at fair value; if the fair value cannot be reliably obtained the government grants shall be measured

at nominal value. Government grants measured at nominal value are directly recognized in the current gains/losses.The Company usually recognizes and measures government grants at the actual amount received when they are actually received.However for those where there is conclusive evidence at the end of the period indicating that the relevant conditions specified in the

fiscal support policy are met and the fiscal support funds are expected to be received they are measured at the receivable amount.Government grants measured at the receivable amount shall meet the following conditions simultaneously:(1) The amount of the

receivable grant has been confirmed by the relevant government department in writing or can be reasonably estimated according to

the relevant provisions of the officially issued fiscal fund management measures and there is no significant uncertainty in the

estimated amount; (2) It is based on the officially released fiscal support projects and their fiscal fund management measures by the

local fiscal department and actively disclosed in accordance with the provisions of the Regulations on the Disclosure of Government

Information and the management measures shall be universal (any qualified enterprise can apply) rather than specifically formulated

for specific enterprises; (3) The relevant grant approval document has clearly promised the disbursement period and the

disbursement of the funds is guaranteed by the corresponding fiscal budget so it can be reasonably ensured that the funds can be

received within the specified period; (4) According to the specific circumstances of the Company and the grant matter other relevant

conditions (if any) shall be met.Government grants related to assets are recognized as deferred income and amortized into the current gains/losses in a reasonable and

systematic way over the useful life of the relevant assets. Government grants related to income if they are used to compensate for

relevant costs expenses or losses in the future are recognized as deferred income and included in the current gains/losses in the

period when the relevant costs expenses or losses are recognized; if they are used to compensate for relevant costs expenses or

losses that have already occurred they are directly included in the current gains/losses.Government grants that contain both parts related to assets and parts related to income are accounted for separately according to

different parts; if it is difficult to distinguish they are classified as a whole as income-related government grants.Government grants related to the Company's daily activities are included in other income or deducted from relevant costs and

expenses according to the essence of economic transactions; government grants not related to daily activities are included in non-

operating income and expenses.In case it is required to return the recognized government grants if there is a balance of relevant deferred income the book balance of

the relevant deferred income shall be written off and the excess part is adjusted to the current gains/losses and the book value of

assets; in other cases it is directly booked into current gains/losses.

84WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

34．Deferred income tax assets/Deferred income tax liabilities

Based on the difference between the carrying value of assets and liabilities and their tax bases (for items that are not recognized as

assets and liabilities but for which the tax base can be determined according to tax law provisions the difference between the tax

base and the book amount) deferred income tax assets or deferred income tax liabilities are calculated and recognized in terms of the

applicable tax rate during the period when the asset is expected to be recovered or the liability is expected to be settled.The recognition of deferred income tax assets is limited to the amount of taxable income that is likely to be available to offset the

deductible temporary differences. At the balance sheet date if there is conclusive evidence indicating that sufficient taxable income is

likely to be obtained in future periods to offset the deductible temporary differences the deferred income tax assets that were not

recognized in previous accounting periods are recognized.The carrying value of deferred income tax assets will be reviewed at the balance sheet date. If it is likely that sufficient taxable

income will not be available in future periods to offset the benefits of the deferred income tax assets the carrying value of the

deferred income tax assets shall be written down. When it is likely that sufficient taxable income will be obtained the written-down

amount is reversed.The current income tax and deferred income tax of the company are booked in the current gains/losses as income tax expenses or

gains except for the income tax arising from business combinations transactions or events directly recognized in owners' equity.When the Company has the legal right to settle on a net basis and intends to settle on a net basis or to acquire assets and settle

liabilities simultaneously the current income tax assets and current income tax liabilities of the Company are presented at the net

amount after offset.

35．Leasing

(1) Accounting treatment method of leasing as a lessee

The company as the lessee

The main category of leased assets of the company is buildings.On the commencement date of the lease term the Company recognizes right of use assets and lease liabilities for leases other than

short-term leases and low value asset leases and separately recognizes depreciation and interest expenses during the lease term.The company adopts the straight-line method during each period of the lease term to record the lease payments for short-term leases

and low value asset leases as current expenses.* Right of use assets

The right of use asset refers to the lessee’s right to use the leased asset during the lease term. On the commencement date of the lease

term. The right of use assets is initially measured at cost. The cost includes: * the initial measurement amount of the lease liability;

* If there is lease incentive for the lease payment made on or before the start date of the lease term the relevant amount of the lease

incentive already enjoyed shall be deducted; * The initial direct expenses incurred by the lessee; * The lessee is expected to incur

the cost of dismantling and removing the leased asset restoring the leased asset's location or restoring the leased asset to the state

specified in the lease terms.The depreciation of the company's right of use assets is classified and provisioned with the straight-line method. For those who can

reasonably determine that ownership of the leased asset will be acquired upon the expiration of the lease term depreciation shall be

accrued over the expected remaining useful life of the leased asset; For those whose ownership of the leased asset cannot be

reasonably determined upon expiration of the lease term depreciation shall be accrued during the shorter of the lease term or the

remaining useful life of the leased asset.The company determines whether the right of use assets have been impaired and performs accounting treatment in accordance with

the relevant provisions of Enterprise Accounting Standard No. 8- Asset Impairment.* Lease liabilities

85WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Lease liabilities are initially measured at the present value of lease payments that have not yet been paid on the lease term

commencement date. The lease payment amount includes: * fixed payment amount (including substantial fixed payment amount)

and if there is a lease incentive the relevant amount of the lease incentive shall be deducted; * Variable lease payments based on

indices or ratios; * The estimated amount to be paid based on the residual value of the guarantee provided by the lessee; * The

exercise price for purchasing the option provided that the lessee reasonably determines that the option will be exercised; * The

payment required to exercise the option to terminate the lease provided that the lease term reflects that the lessee will exercise the

option to terminate the lease;

The company adopts the implicit interest rate of leasing as the discount rate; If the implicit interest rate of the lease cannot be

reasonably determined the incremental borrowing rate of the company shall be applied as the discount rate. The company calculates

the interest expenses of lease liabilities during each period of the lease term based on a fixed periodic interest rate and includes them

in financial expenses. The cyclical interest rate refers to the discount rate or revised discount rate adopted by the company.Variable lease payments that are not included in the measurement of the lease liability are recognized in the current period's

gains/losses when they actually occur.When there are changes in the evaluation results of the option to renew terminate or purchase the lease the present value of the lease

liability shall be remeasured based on the changed lease payment amount and the revised discount rate and the book value of the

right of use asset shall be adjusted accordingly. When there are changes in the actual lease payment amount the expected payable

amount of the guarantee residual value or the variable lease payment amount depending on the index or ratio the lease liabi lity shall

be remeasured based on the present value calculated by the changed lease payment amount and the original discount rate and the

book value of the right of use asset shall be adjusted accordingly.* Short term leasing and low value asset leasing

For short-term leases (leases with a lease term of no more than 12 months on the lease commencement date) and leases of low value

assets (with a value less than 2000 yuan) the Company adopts a simplified approach by not recognizing right of use assets and lease

liabilities. Instead the lease payments are recorded in the relevant asset costs or current gains/losses with straight-line method or

other systematic and reasonable methods during each period of the lease term.

(2) Accounting treatment method of leasing as a lessor

The company as the lessor

Operating lease

The company uses the straight-line method to recognize the lease receipts from operating leases as rental income for each period

during the lease term. Variable lease payments related to operating leases that are not included in lease receipts are recognized in the

current period's gains/losses when they actually occur.Financial leasing

On the commencement date of the lease term the Company recognizes the receivable financing lease payments and terminates the

recognition of financing lease assets. The financing lease payments receivable are initially measured based on the net lease

investment (the sum of unsecured residual value and the present value of lease receipts not yet received on the lease commencement

date discounted at the lease implicit interest rate) and interest income is recognized during the lease term based on a fixed periodic

interest rate. The variable lease payments obtained by the company that are not included in the net measurement of lease investments

are recognized in the current gains/losses when they actually occur.

36．Other important accounting policies and estimates

In the process of applying accounting policies due to the inherent uncertainty of operating activities the company needs to make

judgments estimates and assumptions about the book value of financial statement items that cannot be accurately measured. These

judgments estimates and assumptions are based on the past historical experience of the company's management and have been made

taking into account other relevant factors. These judgments estimates and assumptions will affect the reported amounts of income

expenses assets and liabilities as well as the disclosure of contingent liabilities on the balance sheet date. However the actual

86WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

results resulting from the uncertainty of these estimates may differ from the current estimates of the company's management leading

to significant adjustments to the carrying amounts of future affected assets or liabilities.The company conducts regular reviews of the aforementioned judgments estimates and assumptions on a going concern basis. If

changes in accounting estimates only affect the current period of the change their impact is recognized in the current period of the

change; If it affects both the current and future periods of the change its impact shall be recognized in both the current and future

periods of the change.On the balance sheet date the Company needs to make judgments estimates and assumptions about the amounts of financial

statement items in the following important areas:

(1) Accrual of bad debts reserve

The company uses the expected credit loss model to evaluate the impairment of financial instruments. Applying the expected credit

loss model requires making significant judgments and estimates taking into account all reasonable and evidence-based information

including forward-looking information. When making such judgments and estimates the Company infers the expected changes in the

debtor's credit risk based on historical repayment data combined with economic policies macroeconomic indicators industry risks

and other factors.

(2) Impairment provision for inventory

According to inventory accounting policy the company measure inventory at the lower of cost and net realizable value and make

impairment provision for inventory for those with costs higher than net realizable value as well as for obsolete and unsold inventory.The impairment of inventory to net realizable value is based on evaluating the sellability and net realizable value of inventory. To

identify inventory impairment management shall make judgments and estimates based on obtaining conclusive evidence and

considering factors such as the purpose of holding inventory and the impact of events after the balance sheet date. The difference

between the actual result and the original estimate will affect the book value of inventory and the provision or reversal of impairment

provision for inventory s during the period when the estimate is changed.

(3) Impairment provision for non-financial and non-current assets

On the balance sheet date the company assesses whether there are signs of potential impairment of non-current assets other than

financial assets. For intangible assets with uncertain useful lives in addition to annual impairment tests impairment tests are also

conducted when there are signs of impairment. When there are indications that the carrying amount of non-current assets other than

financial assets cannot be recovered impairment test shall be conducted.When the book value of an asset or asset group is higher than the recoverable amount which is the higher of the net amount of fair

value minus disposal expenses and the present value of expected future cash flows it indicates impairment.The net amount after deducting disposal expenses from fair value is determined by referring to the sales agreement price or

observable market price of similar assets in fair transactions and subtracting the incremental costs directly attributable to the disposal

of the asset.When estimating the present value of future cash flows significant judgments need to be made regarding the production sale price

related operating costs and discount rate used in calculating the present value of the asset (or asset group). When estimating the

recoverable amount the company will use all available relevant information including forecasts of production selling prices and

related operating costs based on reasonable and supportable assumptions.The company tests at least once a year whether there is any impairment of goodwill. This requires estimating the present value of

future cash flows from asset groups or portfolio of asset groups that have been allocated goodwill. When estimating the present value

of future cash flows the company needs to estimate the cash flows generated by future asset groups or portfolio of asset groups and

select an appropriate discount rate to determine the present value of future cash flows.

(4) Depreciation and amortization

The company after considering the residual values of investment real estate fixed assets and intangible assets calculates and accrues

depreciation and amortization using the straight-line method over their useful lives. The company regularly reviews the service life

to determine the amount of depreciation and amortization expenses to be included in each report period. The service life is

87WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

determined by the company based on past experience with similar assets and expected technological updates. If there are significant

changes in previous estimates adjustments will be made to depreciation and amortization expenses in future periods.

(5) Fair value of financial instruments

For financial instruments for which there is no active trading market to provide quotes valuation techniques need to be adopted to

determine their fair values. Valuation techniques need to be used to determine fair value for financial instruments that cannot be

quoted in markets with no active trading for example the latest trading information in the market discounted cash flow method and

option pricing models. The company has established a set of workflow to ensure that qualified personnel are responsible for the

calculation verification and review of fair value. The valuation model used by the company incorporates market information as

much as possible and minimizes the use of unique information of the company. It should be pointed out that some of the information

used in the valuation model needs to be estimated by the management (such as discount rate and target exchange rate volatility). The

company regularly reviews the above estimates and assumptions and makes adjustments as necessary.

(6) Income tax

In the normal business operations of the company there is a certain degree of uncertainty in the final tax treatment and calculation of

some transactions. Whether some items can be deducted before tax requires the approval of the tax authorities in charge. If there is a

difference between the final determination result of these tax matters and the initially estimated amount such difference wi ll have an

impact on the current income tax and deferred income tax in the period of the final determination.

37．Changes of important accounting policies and estimation

(1) Changes of important accounting policies

□Applicable ? Not applicable

(2) Changes in important accounting estimations

□ Applicable □ Not applicable

(3) Related entries of the financial statements at the beginning of the first year of implementing the new

accounting standards since 2026

□ Applicable □ Not applicable

38．Others

Nil

VI. Taxation

1. Major taxes and tax rates

Tax Basis Tax rate

The output tax is calculated based on the taxable 25%(IRD，Denmark) 22%(VHIO，Italy)VAT income and VAT is calculated based on the difference after deducting the input tax available 21%(Borit，Belgium) 13%9%6% Collection ratefor deduction for the current period 5%

City maintaining

& construction tax Turnover tax payable 7% 5%

Corporation

income tax Taxable income 15% 20% 21% 22% 25% 24% + regional tax 3.9%

Educational surtax Turnover tax payable 5%

Sales tax Ad valorem sales amount of taxable goods at ex-factory or import stage 5%、10%

Disclose reasons for different taxpaying body

88WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Taxpaying body Income tax rate

The company WFJN WFLD WFTT WFMA WFAM WFSC WFLD(Chongqing) WFAS WFCA 15%

WFLD(Wuhan) 20%

WFLD(Malaysia) 24%

IRD America 21%

IRD(Denmark) 22%

WFTR WFQL VHCN WFLD(Nanchang) WFSS WFLH Borit(Belgium) WFET WFBL 25%

VHIO(Italy) 24% + regional tax 3.9%

2. Tax incentives

The company WFJN WFLD WFTT and WFMA passed high-tech enterprise accreditation in 2023 entitled to 15% preferential

income tax rate from 1 January 2023 to 31 December 2025. WFAS was accredited as a high-tech enterprise in 2024 and entitled to

15% preferential income tax rate from 1 January 2024 to 31 December 2026. WFAM was accredited as a high-tech enterprise in

2024 and entitled to 15% preferential income tax rate from 1 January 2024 to 31 December 2026. WFSC and WFCA were

accredited as high-tech enterprises in 2025 and entitled to 15% preferential income tax rate from 1 January 2025 to 31 December

2027.

According to Announcement on Continuation of Income Tax Policy for Western Development Enterprises 2020 No.23 of the

Ministry of Finance State Taxation Administration and National Development and Reform Commission from 1 January 2021 to 31

December 2030 for the enterprises located in the western region with industrial items specified in Catalogue of Encouraged

Industries in the Western Region as their main business and main business income accounting for more than 60% of the total

enterprise income enterprise income tax shall be levied at a reduced rate of 15%. WFLD (Chongqing) is subject to a preferential

income tax rate of 15% in 2025.According to Announcement on Relevant Tax Policy to Further Support the Development of Small-sized Micro-profit Enterprises

and Individual Industrial and Commercial Households (Ministry of Finance and State Taxation Administration Announcement 2023

No.12) the taxable income shall be calculated at a reduced rate of 25% for small-sized micro-profit enterprises with company

income tax policy subject to a tax rate of 20% which shall continue implementation until 31 December 2027. WFLD (Wuhan) met

the criteria for small-sized micro-profit enterprise in 2025 and was entitled to the above tax preference.

3. Other

Nil

VII. Notes to major items in consolidated financial statements

1. Monetary funds

In RMB

Item Ending balance Opening balance

Cash on hand 3021.82 8403.89

Cash in bank 2375331705.36 2269214635.09

Other monetary funds 39555759.91 89627273.49

Total 2414890487.09 2358850312.47

Including: total amount of funds deposited overseas 171045437.67 101759199.50

Other explanation

89WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

The ending balance of other monetary funds includes bank acceptance deposits of 728665.13 yuan Mastercard deposits of 144.17

yuan performance deposits of 7820760.93 yuan guarantee deposits of 317328.83 yuan loan deposits of 30308794.51 yuan and

wealth management deposits of 380066.34 yuan.

2. Tradable financial asset

In RMB

Item Ending balance Opening balance

Financial assets measured at fair value and whose changes are

included in current profits and losses 2668446370.48 2334658155.36

Including:

Listed company stocks 648491.67 888391.56

Bank wealth management products 2544942815.34 2017206116.57

Other wealth management products 122855063.47 316563647.23

Total 2668446370.48 2334658155.36

3. Notes receivable

(1) Classification of notes receivable

In RMB

Item Ending balance Opening balance

Trade acceptance bill 219852886.48 93133355.40

Total 219852886.48 93133355.40

(2) Accrued bad debts reserve

In RMB

Ending balance Opening balance

Category Book balance Bad debts reserve Book value Bad debts reserve Book

Accrue Book value Amoun Accrue

Amount Ratio Amount Amount Ratio value

d ratio t d ratio

Notes

receivable

with bad 21985288 931333

debts reserve 100.00% 219852886.48 93133355.40 100.00% 6.48 55.40

accrued on

portfolio

Including:

Portfolio 1:

bank

acceptance

bill

Portfolio 2:

commerce 21985288 931333

acceptance 100.00% 219852886.48 93133355.40 100.00% 6.48 55.40

bill

Total 21985288 931333100.00% 219852886.48 93133355.40 100.00%

6.4855.40

The bad debts reserve of note receivable is made in accordance with the general model of expected credit loss:

□Applicable □Not applicable

(3) Bad debts reserve accrued recovered or reversed

Major amount of bad debts reserve recovered or reversed:

□ Applicable □ Not applicable

90WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(4) Notes receivable already pledged by the Company at the end of the period

□ Applicable □ Not applicable

(5) Notes endorsement or discount and undue on balance sheet date

Nil

(6) Notes receivable charged off in the period

Nil

4. Accounts receivable

(1) By aging

In RMB

Aging Ending book balance Opening book balance

Within one year (One year included) 4104178857.36 4334268607.72

Including: within 6 months 4032038605.82 4253883964.14

6 months to one year 72140251.54 80384643.58

1-2 years 34701114.08 16753416.84

2-3 years 4624675.54 9069061.73

Over 3 years 27531926.72 26951657.03

3-4 years 11215334.71 6824860.07

4-5 years 1905574.06 18940431.30

> 5 years 14411017.95 1186365.66

Total 4171036573.70 4387042743.32

(2) Disclosure by classification based on the accrual method of bad debts reserve

In RMB

Ending balance Opening balance

Category Book balance Bad debts reserve Book Book balance Bad debts reserve Book value

Amount Ratio Amount Accrue value d ratio Amount Ratio Amount

Accrued

ratio

Accounts

receivable with

bad debts reserve 20258150. 100.00 22742112. 22231606.0.49% 20258150.41 0.52% 97.76% 510506.23

accrued on single 41 % 36 13

basis

Including:

Accounts

receivable with 41223

bad debts reserve 41507784 43643006 23747958. 4340552699.51% 28442879.73 0.69% 35543. 99.48% 0.54%

accrued on 23.29 30.96 72 72.24

portfolio 56

Including:

41223

Total 41710365 100.00 43870427 100.00 45979564. 4341063148701030.14 1.17% 35543. 1.05%

73.70%43.32%8578.47

56

Bad debts reserve accrued on single basis: 20258150.41 yuan

In RMB

Opening balance Ending balance

Name

Book balance Bad debts Book balance Bad debts Accrued Accrued reserve reserve ratio causes

Linyi Zotye Automobile

Components Manufacturing 6193466.77 6193466.77 6193466.77 6193466.77 100.00% Have difficulty

Co. Ltd. in collection

91WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Brilliance Automotive

Group Holdings Co. Ltd. 3337118.71 3337118.71 3002745.56 3002745.56 100.00%

Have difficulty

in collection

SAIC HONGYAN

Automotive Co. Ltd 1883372.36 1863738.32 1563100.51 1563100.51 100.00%

Have difficulty

in collection

Shaanxi Wanfang

Automotive Parts Co. Ltd 2198973.18 2198973.18 2198973.18 2198973.18 100.00%

Have difficulty

in collection

Dongfeng Chaoyang Diesel

Co. Ltd. 1823262.64 1823262.64 1823262.64 1823262.64 100.00%

Have difficulty

in collection

Nedstack Fuel Cell

Technology BV 1460456.57 1460456.57 100.00%

Have difficulty

in collection

Tianjin Levol Engine Co.Ltd. 1018054.89 1018054.89 100.00%

Have difficulty

in collection

Others 4827407.24 4336535.05 5476601.75 5476601.75 100.00% Have difficulty in collection

Total 22742112.36 22231606.13 20258150.41 20258150.41

Bad debts reserve accrued on portfolio: 28442879.73 yuan

In RMB

Ending balance

Name

Book balance Bad debts reserve Accrued ratio

Within 6 months 4032038605.82

6 months to one year 71188918.09 7118891.84 10.00%

1-2 years 30292638.85 6058527.78 20.00%

2-3 years 3321334.04 1328533.62 40.00%

Over 3 years 13936926.49 13936926.49 100.00%

Total 4150778423.29 28442879.73

Explanation on determining the basis of portfolio

Nil

Bad debts reserve accrued on general model of expected credit loss:

□ Applicable □ Not applicable

(3) Bad debts reserve accrued recovered or reversed

Bad debts reserve accrued in the period:

In RMB

Opening Amount changed in the period Category balance Accrued Recovered or

Ending balance

reversed Charged off Other

Accrued on

portfolio 22231606.13 3022.13 762876.44 947783.38 -265818.03 20258150.41

Accrued on

single basis 23747958.72 5813785.05 1083299.99 -35564.05 28442879.73

Total 45979564.85 5816807.18 1846176.43 947783.38 -301382.08 48701030.14

Major amount of bad debts reserve recovered or reversed: Nil

(4) Accounts receivable charged off in the Period

In RMB

Item Amount charged off

Accounts receivable charged off 947783.38

92WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(5) Top five accounts receivable and contract assets at ending balance by debtors

In RMB

Ending Ending balance of Ratio in total ending Ending balance of bad debts

Name Ending balance of balance of accounts balance of accounts accounts receivable contract receivable and receivable and reserve and impairment

assets contract assets contract assets provision for contract assets

RBCD 885142161.62 885142161.62 21.22% 5507839.36

Robert Bosch

Company 662807371.99 662807371.99 15.89% 2563858.56

Client 1 221429722.64 221429722.64 5.31% 20233.60

Client 2 97027498.01 97027498.01 2.33% 299680.83

Client 3 84519874.84 84519874.84 2.03%

Total 1950926629.10 1950926629.10 46.78% 8391612.35

5. Receivable financing

(1) By category

In RMB

Item Ending balance Opening balance

Bill receivable- bank acceptance bill 1931633857.67 1861919025.73

Total 1931633857.67 1861919025.73

(2) Disclosure by classification based on the accrual method of bad debts reserve

Basis for division of each stage and accrual ratio of bad deb reserve

Nil

Explanation of significant changes in the financing book balance of accounts receivable with changes in impairment provision in

the current period:

Nil

(3) Bad debt provision accrued recovered or reversed

Other explanation: Nil

(4) Receivable financing pledged by the Company at period-end

In RMB

Item Amount pledge at period-end

Bank acceptance bill 370229131.46

Total 370229131.46

(5) Receivable financing endorsed or discounted but undue on balance sheet date

In RMB

Item Amount derecognized at period-end Amount not derecognized at period-end

Bank acceptance bill 721965697.56

Commercial acceptance bill

Total 721965697.56

93WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(6) Receivable financing charged off in current period

Nil

(7) Increase/decrease of receivable financing and changes in fair value of receivable financing in current

period

Nil

(8) Other explanation

Nil

6. Other accounts receivable

In RMB

Item Ending balance Opening balance

Dividends receivable 2055706449.33 5357758.49

Other accounts receivable 78532316.87 77623089.75

Total 2134238766.20 82980848.24

(1) Interest receivable

1) Category of interest receivable

Nil

2) Significant overdue interest

Nil

3) Disclosure by classification based on the accrual method of bad debts reserve

□Applicable □Not applicable

4) Bad debts reserve accrued recovered or reversed

Nil

5) Interest receivable charged off in current period

Nil

(2) Dividends receivable

1) By category

In RMB

94WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Item (or invested enterprise) Ending balance Opening balance

WFEC 39200000.00

RBCD 1671148690.84

Zhonglian Electronics 340000000.00

WFPM 5357758.49 5357758.49

Total 2055706449.33 5357758.49

2) Major dividends receivable with aging over one year

Nil

3) Disclosure by classification based on the accrual method of bad debts reserve

□Applicable □Not applicable

4) Bad debts reserve accrued recovered or reversed in current period

Nil

5) Dividends receivable charged off in current period

Nil

(3) Other accounts receivable

1) By nature

In RMB

Nature Ending book balance Opening book balance

Intercourse funds from units 1149204.57 645071.02

Cash deposit 11468523.98 11950266.49

Staff loans and petty cash 1265418.63 240006.80

Social security and provident fund paid 13316035.12 13442906.73

WFTR “platform trade” business portfolio 2033692153.68 2038255787.68

Other 4488812.15 877.68

Total 2065380148.13 2064534916.40

2) By aging

In RMB

Aging Ending book balance Opening book balance

Within one year (One year included) 21470484.07 16389752.66

Including: Within 6 months 20371562.98 14219410.49

6 months to 1 year 1098921.09 2170342.17

1-2 years 2620417.09 2658174.54

2-3 years 906028.91 380706.22

Over 3 years 2040383218.06 2045106282.98

3-4 years 2004940537.20 2040870405.92

4-5 years 32601890.43 2651404.05

Over 5 years 2840790.43 1584473.01

Total 2065380148.13 2064534916.40

95WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

3) Accrued bad debts reserve

□Applicable □Not applicable

Bad debts reserve accrued on the general model of expected credit loss:

In RMB

Phase I Phase II Phase III

Expected credit loss for Expected credit loss for

Bad debts reserve Expected credit loss the entire duration the entire duration (with Total

over next 12 months (without credit credit impairment

impairment occurred) occurred)

Balance on Jan. 1

20267719720.151979192106.501986911826.65

Balance on Jan. 1

2026 in the period

Current accrued 197759.73 197759.73

Current reversal 80500.00 31726.80 112226.80

Other changes -149528.32 -149528.32

Balance on June. 30

20267687451.561979160379.701986847831.26

Changes in book balance of bad debts reserve whose amount has major changes in the period

□ Applicable □ Not applicable

4) Bad debts reserve accrued recovered or reversed

Bad debts reserve accrued in the period:

In RMB

Change in current period

Category Opening balance Ending balance

Accrued Recovered or reversed Charged-off Other

Bad debts

reserve 1986911826.65 197759.73 112226.80 -149528.32 1986847831.26

Total 1986911826.65 197759.73 112226.80 -149528.32 1986847831.26

5) Other accounts charged off during the report period

Nil

6) Top 5 other accounts receivable at ending balance by debtors

In RMB

Enterprise Nature Ending balance Aging Ratio in total ending balance Ending balance of of other accounts receivable bad debts reserveWFTR “platformSee “Othertrade” business 2033692153.68 Over 3 years 98.47% 1979160379.70 portfolio explanations”

Wuxi China

Resources Gas Co. Deposit margin 1353500.00 Over 3 years 0.07% 1353500.00

Ltd.Wuxi Xingzhou

Industrial Park Within 1 year

Development Co. Deposit margin 1146676.84 over 3 years 0.06% 718066.05

Ltd.Wuxi Xingzhou

Energy

Development Co. Deposit margin 1045373.12

1-2 years

over 3 years 0.05% 918856.80

Ltd.

96WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Wuxi Chenyang

Construction

Equipment Leasing Deposit margin 1000000.00 1- 2 years 0.05% 200000.00

Co. Ltd.Total 2038237703.64 98.70% 1982350802.55

7) Listed as other receivables due to centralized fund management

Nil.

7. Account paid in advance

(1) By aging

In RMB

Ending balance Opening balance

Aging

Amount Ratio Amount Ratio

Within one year 119364878.75 93.78% 98012846.59 98.51%

1-2 years 5537873.27 4.35% 1181857.84 1.19%

2-3 years 597120.40 0.47% 296620.00 0.30%

Over 3 years 1781621.10 1.40% 1635.12 0.00%

Total 127281493.52 100% 99492959.55 100%

Explanation on reasons why prepayments with an aging of over 1 year and significant amounts were not settled in a timely manner

Nil

(2) Top 5 accounts paid in advance at ending balance by prepayment object

In RMB

Name Ending balance Proportion in total ending balance of accounts paid in advance (%)

Daye Special Steel Co. Ltd. 8795198.48 6.91

Shenzhen Jinminjiang Intelligent Equipment Co. Ltd. 8400000.00 6.60

CITIC Taifu Steel Trading Co. Ltd 8265632.84 6.49

Robert Bosch Company 7106094.82 5.58

State Grid Jiangsu Electric Power Co. Ltd Wuxi Branch 6427331.39 5.05

Total 38994257.53 30.63

8. Inventory

Does the Company need to comply with disclosure requirements in the real estate industry

No

(1) Category of inventory

In RMB

Ending balance Opening balance

Impairment

Impairment provision provision for

Item for inventory or inventory or

Book balance impairment provision Book value Book balance impairment Book value

for contract provision for

performance costs contract performance

costs

97WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Raw material 590691574.70 101646009.80 489045564.90 583093953.74 100756472.59 482337481.15

Goods in

process 604760746.12 32828791.35 571931954.77 558452738.49 30798354.66 527654383.83

Finished goods 1698989315.86 130054595.92 1568934719.94 1579852880.89 131709756.97 1448143123.92

Total 2894441636.68 264529397.07 2629912239.61 2721399573.12 263264584.22 2458134988.90

(2) Data resource recognized as inventory

Nil

(3) Impairment provision for inventory and impairment provision for contract performance costs

In RMB

Item Opening balance Current increase Current decrease

Accrued Other Reversed or written off Other Ending balance

Raw material 100756472.59 20062907.93 -1061647.11 18111723.61 101646009.80

Goods in process 30798354.66 6761691.90 -798583.93 3932671.28 32828791.35

Finished goods 131709756.97 47828310.12 -322262.17 49161209.00 130054595.92

Total 263264584.22 74652909.95 -2182493.21 71205603.89 264529397.07

* The net realizable value of inventory refers to the amount obtained by deducting the estimated costs to be incurred until

completion estimated selling expenses and relevant taxes and fees from the estimated selling price of the inventory in the ordinary

course of business.* Accrual basis of impairment provision for inventory:

Item Accrual basis of impairment provision Specific basis for determining net realizable value for inventory

For materials used in producing finished It is determined on the basis of the amount obtained by deducting the

Stock materials goods for sale their net realizable value estimated costs to be incurred until completion estimated selling

is lower than their carrying value. expenses and relevant taxes and fees from the estimated selling price of the finished goods produced.Goods in For goods in process used in producing

It is determined on the basis of the amount obtained by deducting the

finished goods for sale its net realizable estimated costs to be incurred until completion estimated selling process

value is lower than its carrying value. expenses and relevant taxes and fees from the estimated selling price of the finished goods produced.Finished goods Its net realizable value is lower than its

It is determined on the basis of the amount obtained by deducting

carrying value. various taxes and fees to be borne in the sales process from the estimated selling price.* Reason for carrying forward impairment provision for inventory:

Item Reason for reversing impairment provision for inventory

Stock materials Used in production in the current period and the finished goods produced have been sold.Goods in After the goods in process was completed in the current period the corresponding finished goods were sold in the

process current period.Finished goods Have been sold in report period

(4) Explanation on capitalization of borrowing costs in ending balance of inventory

Nil

(5) Explanation on the current amortization amount of contract performance cost

Nil

98WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

9. Non-current assets maturing within one year

In RMB

Item Ending balance Opening balance

Other non-current assets due within one year 790255397.26 689033205.47

Total 790255397.26 689033205.47

Note: Principal of large-denomination certificates of deposit and accrued interest thereof that are due for redemption within one year.

(1) Credit investment maturing within one year

□Applicable □Not applicable

(2) Other credit investment maturing within one year

□Applicable □Not applicable

10. Other current assets

In RMB

Item Ending balance Opening balance

Receivable export tax rebates 6691938.55 7369802.15

VAT refund receivable 664690.82 2489909.34

Prepaid taxes and VAT retained 203311514.98 171745232.56

Input tax to be deducted and certification 2528483.82 14674947.65

Deferred and prepaid expenses 12692688.30 15244244.74

Small appliances and other physical goods 20994032.54 42786744.82

Other 2876781.00 6425755.18

Less: Impairment provision for other current assets 122887023.61 122887023.61

Total 126873106.40 137849612.83

11. Other equity instrument investment

In RMB

Accumulated Accumulated Reasons for

Gains Losses gains losses Dividends designating fair

recognized in recognized in recognized in recognized in income value measurement

Item Beginning other other other other recognized balance comprehensive comprehensive comprehensive comprehensive in this Ending balance with changes

income for the income for the income at the income at the period recognized in

current period current period end of this end of this other

period period comprehensive income

Wuxi

Xichan Non-tradable

Microchip 592742690.00 592742690.00 equity instrument

Co. Ltd. investment

Non-tradable

Autolink 371348000.00 371348000.00 equity instrument

investment

Non-tradable

Other 85048000.00 85048000.00 equity instrument

investment

Total 1049138690.00 1049138690.00

Whether there is other equity instrument investment derecognized in current period or not: Nil

Sub-item disclosure of non-tradable equity instrument investments in the current period

In RMB

Amount of other

Dividends comprehensive Reasons for designating fair Reasons for other

Item income Accumulated Accumulated value measurement with comprehensive income

recognized income loss

income carried

forward to retained changes recognized in other carried forward to

earnings comprehensive income retained earnings

99WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Wuxi Xichan Non-tradable equity

Microchip Co. Ltd. instrument investment NA

Autolink Non-tradable equity instrument investment NA

Other Non-tradable equity instrument investment NA

12. Long-term equity investment

In RMB

Current changes (+/ -)

Opening Opening

Other

Investe balance of Invest Invest Investment comprehe

Cash Impair Foreign Ending Ending

d entity balance (book impairment ment ment gains/losses nsive

Other dividends or ment

equity profit provisi currency balance (book

balance of

value) impairment provision increas decreas recognized income e under equity adjustmen change announced to on

statement value) provision

e t issued accrued

translation

I. Joint venture

II. Associated enterprise

1101591701053831901064965.112700000.109533986

WFEC

9.17.8691005.94

392463197289297271167114869254278055

RBCD

6.51.930.847.60

Zhongli

an 208588128 268119590 340000000. 201400088

Electro

nics 9.20 .98 00 0.18

44114831.91750639.245940121.5

WFPM 74650.39

447

Changc

hun 8482208.91 26634.56 8508843.47

Xuyang

-

Precors 8998648. 8486812.5

GmbH 511836. 57 4

03

-

Lezhuo 98874762.7 83403858.0

Bowei 15470904. 1 7

64

WuXi -35793253.3 119553.3 32553299.5

Zhuow 3359507.1

ei 2 8 3

7

-

HySTe 1388650 1309752

ch 788977 54.65 81.17

3.48

-

Subtota 72993700 1478637 6457469 125916 21238486 58225274 1394620

l 84016031.76 03.22 15.76 9.68 90.84 26.36 93.71

9.51

-

729937001478637645746912591621238486582252741394620

Total 840160

31.7603.2215.769.6890.8426.3693.71

9.51

The recoverable amount is determined on the basis of the net amount after deducting disposal expenses from fair value

□Applicable □Not applicable

The recoverable amount is determined on the basis of the present value of expected future cash flows

□Applicable □Not applicable

Reasons for significant discrepancies between the aforementioned information and the information or external information used in

previous years' impairment test

Nil

Reasons for significant discrepancies between the information used in the company's previous annual impairment tests and the

actual situation of the current year

Nil

Other explanation:

100WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Nil

13. Other non-current financial assets

In RMB

Item Ending balance Opening balance

Financial assets classified as those measured at fair value

with changes recognized in current profits and losses 750257936.26 751258396.69

Include: Investments in other debt instruments and

equity instruments held for more than one year 750257936.26 751258396.69

Total 750257936.26 751258396.69

14. Investment real estate

(1) Investment real estate measured at cost

□ Applicable □ Not applicable

In RMB

Item House and Building Land use right

Construction in

progress Total

I. Original book value

1.Opening balance 101743835.55 101743835.55

2.Current increased

(1) Outsourcing

(2) Inventory\fixed

assets\construction in process

transfer-in

(3) Increased by combination

3.Current decreased

(1) Disposal

(2) Other transfer-out

4.Ending balance 101743835.55 101743835.55

II. Accumulated depreciation and

accumulated amortization

1.Opening balance 49425515.68 49425515.68

2.Current increased 2067627.04 2067627.04

(1) Accrued or amortization 2067627.04 2067627.04

3.Current decreased

(1) Disposal

(2) Other transfer-out

4.Ending balance 51493142.72 51493142.72

III. Impairment provision

1.Opening balance

2.Current increased

(1) Accrued

3. Current decreased

(1) Disposal

(2) Other transfer-out

4.Ending balance

IV. Book value

1.Ending book value 50250692.83 50250692.83

2.Opening book value 52318319.87 52318319.87

101WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

The recoverable amount is determined on the basis of the net amount after deducting disposal expenses from fair value

□Applicable □Not applicable

The recoverable amount is determined on the basis of the present value of expected future cash flows

□Applicable □Not applicable

Reasons for significant discrepancies between the aforementioned information and the information or external information used in

previous years' impairment test

Nil

Reasons for significant discrepancies between the information used in the company's previous annual impairment tests and the

actual situation of the current year

Nil

Other explanation:

Nil

(2) Investment real estate measured at fair value

□ Applicable □ Not applicable

(3) Converted into investment real estate measured at fair value

Nil

(4) Investment real estate without property certification held

In RMB

Item Book value Reason for not obtaining the property rights certificate

WFJN’s property 52182.36 Still in process of relevant property procedures

15. Fixed assets

In RMB

Item Ending balance Opening balance

Fixed assets 4464761205.57 4582924701.55

Total 4464761205.57 4582924701.55

(1) Fixed assets

In RMB

Item House and Machinery Transportation Electronic and Building equipment equipment other equipment Land Total

I. Original book

value:

1.Opening 2518514049. 5952107653. 59872087.82 1544968861.56 33820602.68 10109283255balance 50 52 .08

2.Current

increased 7731687.41 147158299.25 810156.63 93345634.44 249045777.73

(1) Purchase 245298.05 2748036.23 2993334.28

(2)

Construction in

progress 7486389.36 137641376.34 810156.63 93345634.44 239283556.77

transfer-in

(3) Increased

by combination

(4) Other 6768886.68 6768886.68

102WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

3.Current

decreased 1828589.00 11161624.97 221977.84 30557552.46 43769744.27

(1) Disposal or

scrapping 1828589.00 11161624.97 221977.84 30557552.46 43769744.27

4.Conversion of

foreign currency

financial -8248883.91 -36705897.60 -13331.29 -26103890.00 -1923689.22 -72995692.02

statement

5. Ending balance 2516168264. 6051398430.

002060446935.321581653053.5431896913.46

10241563596.52

II. Accumulated

depreciation

1.Opening

balance 752117179.30

3424577874.

9827222884.401100796900.64

5304714839.

32

2.Current

increased 39378376.14 158439555.18 2208030.49 130795073.58 330821035.39

(1) Accrued 39378376.14 151670668.50 2208030.49 130795073.58 324052148.71

(2) Other 6768886.68 6768886.68

3.Current

decreased 1091349.05 6530627.18 63768.18 17660365.34 25346109.75

(1) Disposal or

scrapping 1091349.05 6530627.18 63768.18 17660365.34 25346109.75

4.Conversion of

foreign currency

financial -4031090.65 -21694326.62 -7540.48 -20421311.72 -46154269.47

statement

5.Ending balance 786373115.74 3554792476.36 29359606.23 1193510297.16

5564035495.

49

III. Impairment

provision

1.Opening

balance 16807531.78 166348223.10 149386.18 21524307.46 16814265.69 221643714.21

2.Current

increased

(1) Accrued

3.Current

decreased 1575827.41 201193.40 1777020.81

(1) Disposal or

scrapping 1575827.41 201193.40 1777020.81

4.Conversion of

foreign currency

financial -925655.32 -4461893.53 -2358.19 -753508.72 -956382.18 -7099797.94

statement

5.Ending balance 15881876.46 160310502.16 147027.99 20569605.34 15857883.51 212766895.46

IV. Book value

1.Ending book 1713913271. 2336295451.

value 80 68 30940301.10 367573151.04 16039029.95

4464761205.

57

2.Opening book 1749589338. 2361181555.

value 42 44 32499817.24 422647653.46 17006336.99

4582924701.

55

(2) Temporarily idle fixed assets

Nil

(3) Fixed assets acquired by operating lease

In RMB

Item Ending book value

Housing and building 14465956.72

103WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(4) Fixed assets without property certification held

In RMB

Item Book value Reasons for without the property certification

WFCA - Factory and office buildings 23881384.34 Still in process of relevant property procedures

WFJN - Factory and office buildings 140629.85 Still in process of relevant property procedures

(5) Impairment test of fixed assets

□Applicable □Not applicable

(6) Disposal of fixed assets

Other explanation: Nil

16. Construction in progress

In RMB

Item Ending balance Opening balance

Construction in progress 425065311.64 280431452.37

Total 425065311.64 280431452.37

(1) Construction in progress

In RMB

Ending balance Opening balance

Item

Book balance Impairment provision Book value Book balance

Impairment

provision Book value

Hydrogen Energy

Industrial Park 1969973.12 1969973.12 1044510.86 1044510.86

Construction Project

Weifu (Huishan)

Intelligent Manufacturing 29919390.82 29919390.82 7573068.22 7573068.22

Industrial Park Phase II

Production line and

equipment under 386388308.6 33842184.

057352546124.03

288205125.36422667.3251782458.

installation and debugging 59 0 29

Software and system

under installation and 8389483.76 8389483.76 8335003.57 8335003.57

debugging

Sporadic construction and

installation projects 32240339.91 32240339.91 11696411.43 11696411.43

Total 458907496.2 33842184.

157425065311.64

316854119.36422667.3280431452.

67037

(2) Changes of major construction in progress

In RMB

Fixed Accum

assets Other

Proport

ion of ulated Including:

Opening Current transfer decrea amount interest

Interest

Item Budget sed in Ending project capitalizati

Source

balance increased -in in the balance invest

Progress of capitalized of

the ment in interest amount of

on rate of funds

Period Period budget capitali the year

the year

zation

Hydrogen

Energy 55000

Industrial Park 0000.0 104451 925462. 1969973.1

Complete

0.86 26 2 0.36% the

Owned

Construction 0 design funds

Project

104WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Weifu

(Huishan)

Intelligent 27000 757306 223463 29919390. Pre- Owned

Manufacturing 0000.0 8.22 22.60 82 11.06% constructi funds

Industrial Park 0 on phase

Phase II

During the

installation and

commissioning 288205 336576 233734 4658 38638830 Owned of production 125.59 718.24 548.38 986.85 8.60 funds

lines and

equipment

During the

installation and

commissioning 833500 777380 77193 8389483.7 Owned

of the software 3.57 2.65 22.46

6 funds

and the system

82000

Total 0000.0 305157 367622 241453 4658 42666715

0708.24305.75870.84986.856.30

(3) Impairment provision of construction in progress

In RMB

Item Opening Current Conversion of foreign Current Ending Reason for withdrawal

balance increase currency financial statement decrease balance

Equipment

Equipment installation 36422667.30 -1107453.01 1473029.72 33842184.57 commissioning failed to

pass acceptance

Total 36422667.30 -1107453.01 1473029.72 33842184.57 --

(4) Impairment test of construction in progress

□Applicable □Not applicable

(5) Engineering material

Other explanation: Nil

17. Right-of-use assets

(1) Right-of-use assets

In RMB

Item Building Mechanical equipment Total

I. Original book value:

1.Opening balance 143807169.63 30686180.71 174493350.34

2.Current increased 8031829.00 2901327.15 10933156.15

(1) Increased lease 8031829.00 2901327.15 10933156.15

3.Current decreased 261689.68 7615131.61 7876821.29

(1) Disposal 261689.68 7615131.61 7876821.29

4. Conversion of foreign

currency financial statement -3223641.41 -1217229.09 -4440870.50

5.Ending balance 148353667.54 24755147.16 173108814.70

II. Accumulated depreciation

1.Opening balance 51274733.35 21603143.81 72877877.16

2.Current increased 13726894.23 2481302.75 16208196.98

(1) Accrued 13726894.23 2481302.75 16208196.98

3.Current decreased 7303834.84 7303834.84

(1) Disposal

105WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(2) Other 7303834.84 7303834.84

4. Conversion of foreign

currency financial statement -1093231.73 -870809.64 -1964041.37

5.Ending balance 63908395.85 15909802.08 79818197.93

III. Impairment provision

1.Opening balance 3669907.74 3669907.74

2.Current increased

(1) Accrued

3.Current decreased

(1) Disposal

4. Conversion of foreign

currency financial statement -208509.91 -208509.91

5.Ending balance 3461397.83 3461397.83

IV. Book value

1.Ending book value 80983873.86 8845345.08 89829218.94

2.Opening book value 88862528.54 9083036.90 97945565.44

(2) Impairment test of right-of-use assets

□Applicable □Not applicable

18. Intangible assets

(1) Intangible assets

In RMB

Item Land use right Patent Non-patent Computer

Trademark Patent and non-

technology software and trademark patent Total license technology

I. Original book value

1.Opening balance 432623934.75 280218155.13 41597126.47 272444060.21 1026883276.56

2.Current increased 870000.00 6272272.99 409345.27 7551618.26

(1) Purchase 495075.72 409345.27 904420.99

(2) Internal R&D

(3) Increased by

combination

(4) Transfer from

construction in progress 870000.00 5777197.27 6647197.27

3.Current decreased

(1) Disposal or scrapping

4.Conversion of foreign

currency financial statement -1254770.79 -13692089.00 -14946859.79

5.Ending balance 433493934.75 285235657.33 41597126.47 259161316.48 1019488035.03

II. Accumulated amortization

1.Opening balance 130143106.85 233456189.03 9709000.00 157532209.34 530840505.22

2.Current increased 4623058.79 13717866.48 11765270.33 30106195.60

(1) Accrued 4623058.79 13717866.48 11765270.33 30106195.60

3.Current decreased

(1) Disposal

4.Conversion of foreign

currency financial statement -1019838.77 -8515733.61 -9535572.38

5.Ending balance 134766165.64 246154216.74 9709000.00 160781746.06 551411128.44

III. Impairment provision

1.Opening balance 490575.74 16646900.00 17137475.74

2.Current increased -27903.55 404901.30 376997.75

106WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(1) Accrued 409345.20 409345.20

3.Current decreased -27903.55 -4443.90 -32347.45

(1) Disposal

4.Conversion of foreign

-27903.55-4443.90-32347.45

currency financial statement

5.Ending balance 462672.19 16646900.00 404901.30 17514473.49

IV. Book value

1.Ending book value 298727769.11 38618768.40 15241226.47 97974669.12 450562433.10

2.Opening book value 302480827.90 46271390.36 15241226.47 114911850.87 478905295.60

The proportion of intangible assets formed through internal R&D of the company to the balance of intangible assets at the end of

this period: Nil

(2) Data resource recognized as intangible assets

Nil

(3) Land use right without property certification held

Nil

(4) Impairment test of intangible assets

□Applicable □Not applicable

19. Goodwill

(1) Original book value of goodwill

In RMB

Name of invested Current increased Current decreased

entities or matters Opening balance Formed by business Translation of foreign Ending balance forming goodwill combination currency statements

Disposal

Merged with WFTT 1784086.79 1784086.79

Merged with Borit 260355338.82 -14792379.93 245562958.89

Total 262139425.61 -14792379.93 247347045.68

(2) Impairment provision for goodwill

In RMB

Current

Name of invested entities or Opening Current increased decreased

matters forming goodwill balance Translation of foreign Ending balance Accrued currency statements Disposal

Merged with WFTT

Merged with Borit 260355338.82 -14792379.93 245562958.89

Total 260355338.82 -14792379.93 245562958.89

(3) Related information of asset group or asset group portfolio of goodwill

Is consistent

Name Component and basis for asset group or asset group portfolio Operation branch and basis with previous

year (Y/N)

Long term assets related to the merger of WFTT’s goodwill; Automotive intake system

WFTT The management made it clear that this asset group will be product division; Category used and operated independently of other assets and will of asset group output Y

generate cash inflows independently products

107WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Long term assets related to the merger of Borit’s goodwill; The

Borit management made it clear that this asset group will be used and

Other automotive parts

operated independently of other assets and will generate cash divisions; Category of asset Y

inflows independently group output products

Changes in asset group or asset group portfolio: Nil

Other explanation: Nil

(4) Specific method of determining recoverable amount

For asset groups with indicators of impairment the Company estimates the recoverable amount of such asset groups as the higher of

the net amount of their fair value less disposal costs and the present value of the estimated future net cash flows; for asset groups

without indicators of impairment the Company determines the recoverable amount of such asset groups based on the present value

of the estimated future net cash flows of the asset groups.The recoverable amount is determined on the basis of the net amount after deducting disposal expenses from the fair value.□Applicable □Not applicable

The recoverable amount is determined on the basis of the present value of expected future cash flows

□Applicable □Not applicable

Reasons for significant discrepancies between the aforementioned information and the information or external information used in

previous years’ impairment test

Nil

Reasons for significant discrepancies between the information used in the company's previous annual impairment tests and the actual

situation of the current year

Nil

(5) Completion of performance commitments and corresponding impairment of goodwill

When goodwill is formed there is a performance commitment and the report period or the previous period is within the

performance commitment period

□Applicable □Not applicable

20. Long-term deferred expense

In RMB

Item Opening balance Current increase Amortized in the Period Other decrease Ending balance

Decoration expense etc. 57396940.60 7938283.26 4664118.47 2973708.27 57697397.12

Total 57396940.60 7938283.26 4664118.47 2973708.27 57697397.12

21. Deferred income tax assets/Deferred income tax liabilities

(1) Deferred income tax assets not offset

In RMB

Ending balance Opening balance

Item Deductible temporary Deferred income Deductible temporary Deferred income

difference tax assets difference tax assets

Unrealized profit from insider

transactions 68848993.78 12247294.13 71547412.32 13192513.91

Deductible loss 1144458268.67 175837020.82 1231507412.99 188106484.27

Bad debts reserve 47395067.54 7250044.62 44152193.79 6905968.05

Impairment provision for

inventory 219882663.35 34332731.26 213603028.75 33540830.32

108WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Impairment provision of fixed

assets 94293409.16 16161693.36 95191249.93 16607584.61

Impairment provision of

construction in progress 184615.38 27692.31 184615.38 27692.31

Impairment provision of

intangible assets 16646900.00 2497035.00 16646900.00 2497035.00

Deferred income 107679517.47 16151927.62 116439925.84 17563299.19

Payable salary accrued expenses

etc. 838326785.44 151399664.16 954373383.21 149574911.28

Depreciation assets amortization

difference 22494554.11 3377731.69 24717114.06 3711115.68

Impairment provision of other

non-current assets 146615749.63 21992362.44 146615749.63 21992362.44

Lease liabilities 64375465.15 13783681.24 77754490.02 16628519.52

Changes in fair value 10651202.41 1597680.36 40671644.15 6100746.63

Total 2781853192.09 456656559.01 3033405120.07 476449063.21

(2) Deferred income tax liabilities not offset

In RMB

Ending balance Opening balance

Item Taxable temporary Deferred income Taxable temporary Deferred income

differences tax liabilities differences tax liabilities

The difference between the fair value

and taxation basis of WFTT assets in a 8555091.55 1283263.71 8788973.20 1318345.98

merger not under the same control

The difference between the fair value

and taxation basis of IRD assets in a 28468548.65 6263080.70 35509947.59 7812188.47

merger not under the same control

The difference between the fair value

and taxation basis of Borit assets in a 11652242.25 2913060.51 13838768.77 3459692.13

merger not under the same control

The difference between the fair value

and taxation basis of VH business in a 39475310.05 9474074.40 44901017.14 10776244.06

merger not under the same control

Change in fair value of transaction

financial asset 45407855.56 6949119.09 44731787.81 7018986.57

Accelerated depreciation of fixed assets 919227177.68 143243793.81 870317608.44 135932828.36

Right-of-use assets 61652545.61 13334224.74 76082085.49 16266866.76

Others 52592465.76 7888869.87 64198291.94 10983558.81

Total 1167031237.11 191349486.83 1158368480.38 193568711.14

(3) Deferred income tax assets and deferred income tax liabilities listed after off-set

In RMB

Trade-off between the Ending balance of Trade-off between the Opening balance of

Item deferred income tax deferred income tax deferred income tax deferred income tax

assets and liabilities assets or liabilities after assets and liabilities at assets or liabilities after off-set period-begin off-set

Deferred income tax

assets 168588956.71 300875710.90 166550052.70 309899010.51

Deferred income tax

liabilities 168588956.71 22760530.12 166550052.70 27018658.45

(4) Details of unrecognized deferred income tax assets

In RMB

109WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Item Ending balance Opening balance

Bad debts reserve 1988153793.86 1988739197.71

Impairment provision for inventory 44646733.72 49661555.47

Loss from subsidiary 1368517645.33 1350265857.24

Impairment provision of long-term equity investment 139462093.71 147863703.22

Impairment provision of fixed assets 118473486.30 126452464.28

Impairment provision of construction in progress 33657569.19 36238051.92

Impairment provision of intangible assets 867573.49 490575.74

Other equity instrument investment 12600000.00 12600000.00

Impairment provision of other current assets 122887023.61 122887023.61

Wages payable withholding expense etc. 16914618.10 42545482.35

Total 3846180537.31 3877743911.54

(5) The deductible losses of unrecognized deferred income tax assets will expire in following years

In RMB

Maturity year Ending amount Opening amount Note

2026 33144849.80 The subsidiary incurred operating losses.

2027 34244302.94 54686831.09 The subsidiary incurred operating losses.

2028 75571841.34 78303845.07 The subsidiary incurred operating losses.

2029 121397893.26 99939854.63 The subsidiary incurred operating losses.

2030 189095860.34 218119741.45 The subsidiary incurred operating losses.

2031 and the following years 256826784.18 126809056.82 The subsidiary incurred operating losses.

No expiration date 691380963.27 739261678.38 The overseas subsidiary incurred operating losses.Total 1368517645.33 1350265857.24

22. Other non-current assets

In RMB

Ending balance Opening balance

Item Book balance Impairment provision Book value Book balance

Impairment

provision Book value

Contract acquisition

cost 3305297.98 3305297.98 3625624.88 3625624.88

Contract fulfillment

costs 42229225.47 42229225.47 40362622.75 40362622.75

Engineering

equipment paid in 196037318.39 8194161.97 187843156.42 192938074.50 8456323.15 184481751.35

advance

Large deposit

certificates with a

maturity of more 21027178.08 21027178.08 20769315.07 20769315.07

than one year

Financial products 146615749.63 146615749.63 146615749.63 146615749.63

Total 409214769.55 154809911.60 254404857.95 404311386.83 155072072.78 249239314.05

23. Assets with restricted ownership or use right

In RMB

Ending Opening

Item

Book balance Book value Restriction Restriction Restriction type Restriction reason Book balance Book value type reason

110WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Monetary 728665.13 728665.13 Cash Notes paid for funds deposit bank acceptance 20188696.29 20188696.29

Cash Notes paid for

deposit bank acceptance

Monetary

funds 7820760.93 7820760.93

Cash IRD performance

deposit bond 8291872.97 8291872.97

Cash IRD performance

deposit bond

Monetary

funds 317328.83 317328.83

Cash Letter of

deposit guarantee deposit 273032.92 273032.92

Cash Letter of

deposit guarantee deposit

Monetary

funds 380066.34 380066.34

Cash

deposit Financial deposit

Monetary 144.17 144.17 Cash Cash deposit for 152.85 152.85 Cash Cash deposit for funds deposit Mastercard deposit Mastercard

Secured financing Secured financing using

Monetary Cash using margin

funds 30308794.51 30308794.51 deposit deposits and 60412602.74 60412602.74

Cash margin deposits

interest from bank deposit and interest from

loans as collateral bank loans as collateral

Receivables

financing 370229131.46 370229131.46 Pledged

Notes pledge for

bank acceptance 408648804.25 408648804.25 Pledged

Notes pledge for

bank acceptance

Accounts Accounts Accounts

receivable Pledged Receivable Pledge 10000000.00 10000000.00 Pledged Receivable Financing Pledge Financing

Funds frozen by Funds frozen by

the court due to the court due to

litigation in a litigation in a

corporate corporate

structured deposit structured

account opened by deposit account

Trading the company at a opened by the

financial 10150000.00 10150000.00 Frozen bank with a 10150000.00 10150000.00 Frozen company at a

assets principal balance bank with a

of RMB 100 principal balance

million of which of RMB 100

RMB 10.15 million of which

million is RMB 10.15

restricted due to million is

the freeze. restricted due to the freeze.Total 419934891.37 419934891.37 517965162.02 517965162.02

24. Short-term borrowings

(1) Category of short-term borrowings

In RMB

Item Ending balance Opening balance

Mortgage loan 29530159.13 59426508.10

Credit loan 595716915.32 504667506.68

Accrued interest 860351.74 669795.45

Total 626107426.19 564763810.23

Explanation on short-term borrowings: Nil

(2) Overdue and unpaid short-term loans

Other explanation: Nil

25. Note payable

In RMB

Category Ending balance Opening balance

Bank acceptance bill 2629903122.45 1913336503.36

Total 2629903122.45 1913336503.36

At the end of the current period the total amount of matured but unpaid notes payable is 0.00 yuan.

111WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

26. Accounts payable

(1) Accounts payable

In RMB

Item Ending balance Opening balance

Operating funds payable for labor or goods 4053957202.25 4195992940.45

Accounts payable for engineering equipment 183876273.44 179884154.40

Total 4237833475.69 4375877094.85

(2) Important accounts payable with aging over 1 year or overdue

Other explanation: Nil

27. Other accounts payable

In RMB

Item Ending balance Opening balance

Dividends payable 676749985.10 2937600.00

Other accounts payable 64568590.33 62369120.22

Total 741318575.43 65306720.22

(1) Interest payable

Nil

(2) Dividends payable

Item Ending balance Opening balance

Common stock dividends 676749985.10

Dividends payable by subsidiary 2937600.00

Total 676749985.10 2937600.00

(3) Other accounts payable

1) By nature

In RMB

Item Ending balance Opening balance

Deposit and margin 33600307.40 31307210.21

Social insurance and reserves funds withholding 2096773.26 2707549.19

Intercourse funds of entities 25512145.98 23526000.00

Other 3359363.69 4828360.82

Total 64568590.33 62369120.22

2) Important other payables with aging over 1 year or overdue

In RMB

Item Ending balance Reasons for not repaying or carry-over

Ningbo Jiangbei High-tech Industrial Park

Development and Construction Co. Ltd 19026000.00 Not yet meeting the conditions for carry-over

Total 19026000.00

112WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

28. Accounts received in advance

(1) Accounts received in advance

In RMB

Item Ending balance Opening balance

Rent received in advance 4013931.36

Total 4013931.36

(2) Significant accounts receivable in advance with aging over 1 year or overdue

Other explanation: Nil

29. Contract liabilities

In RMB

Item Ending balance Opening balance

Advance payment for goods 86839084.88 63010303.58

Total 86839084.88 63010303.58

30. Wage payable

(1) Wage payable

In RMB

Item Opening balance Current increased Current decreased Ending balance

I. Short-term compensation 301650706.85 736986040.13 845840053.34 192796693.64

II. Post-employment welfare-

defined contribution plans 14651358.81 119180670.76 125343479.16 8488550.41

III. Dismissed welfare 9779785.27 1873600.46 9374135.07 2279250.66

IV. Other welfare within one year 20000000.00 9182178.34 10817821.66

V. Other short-term welfare-

Housing subsidies employee 18174318.76 1821735.00 16352583.76

benefits and welfare funds

Total 364256169.69 858040311.35 991561580.91 230734900.13

(2) Short-term compensation

In RMB

Item Opening balance Current increased Current decreased Ending balance

1. Wages bonuses allowances and

subsidies 286050671.79 583570744.38 689683254.51 179938161.66

2. Welfare for workers and staff 51693201.86 51693201.86

3. Social insurance 338239.76 38885723.68 38891205.01 332758.43

Including: Medical insurance 258035.24 31432317.90 31415521.99 274831.15

Work injury insurance 70001.92 4053929.97 4078052.28 45879.61

Maternity insurance 10202.60 3399475.81 3397630.74 12047.67

4. Housing accumulation fund 825856.00 47423253.00 47261089.00 988020.00

5. Labor union expenditure and

personnel education expense 9929301.27 9196555.76 8818611.23 10307245.80

6. Other short-term compensation -

social security 4506638.03 6216561.45 9492691.73 1230507.75

Total 301650706.85 736986040.13 845840053.34 192796693.64

113WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(3) Define contribution plans

In RMB

Item Opening balance Current increased Current decreased Ending balance

1. Basic endowment premium 8956949.42 94346407.95 100747771.91 2555585.46

2. Unemployment insurance 44603.15 2267200.74 2266892.27 44911.62

3. Enterprise annuity 5649806.24 22567062.07 22328814.98 5888053.33

Total 14651358.81 119180670.76 125343479.16 8488550.41

Other explanation:

Post-employment welfare - defined contribution plans:

The Company participates in the pension insurance and unemployment insurance plans established by government authorities by

laws a certain percentage of the social security fee regulated by the government will pay by the Company monthly for the plans.Other than the aforesaid monthly contribution the Company takes no further payment obligation. The corresponding expenditures

shall be recognized in the current period's profit or loss or the cost of relevant assets when incurred. For details of the enterprise

annuity plan please refer to Note XVIII.4 "Annuity Plan".

31. Tax payable

In RMB

Item Ending balance Opening balance

Value-added tax 18587561.42 23728130.97

Corporation income tax 29472124.42 26338033.58

Individual income tax 693939.34 6766820.73

City maintaining & construction tax 1276691.71 1556316.59

Educational surtax 917751.91 1146327.89

Property tax 6604729.20 7056699.71

Land use tax 1446844.05 1408216.46

Stamp tax 3044452.36 2887888.46

Others 150308.48 366601.08

Total 62194402.89 71255035.47

32. Non-current liabilities due within one year

In RMB

Item Ending balance Opening balance

Long-term borrowings due within one year 42300.00 100104542.78

Lease payments due within one year 28916378.66 30052680.37

Total 28958678.66 130157223.15

33. Other current liabilities

In RMB

Item Ending balance Opening balance

Rebate payable 229002878.46 231984909.31

Pending sales tax 7084005.99 7722417.64

Endorsed but unexpired commercial acceptance bills 6228142.15

Total 236086884.45 245935469.10

Changes in short-term bonds payable: Nil

114WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

34. Long-term borrowings

(1) By category

In RMB

Item Ending balance Opening balance

Credit loan 105885651.11 187404542.78

Less: long-term borrowings maturing within one year 42300.00 100104542.78

Total 105843351.11 87300000.00

35. Bonds payable

(1) Bonds payable

Item Ending balance Opening balance

Bonds payable 505335616.44 500624657.53

Total 505335616.44 500624657.53

(2) Changed in the bonds payable (excluding other financial instruments such as preferred shares and

perpetual debt classified as financial liabilities)

In RMB

Wheth

Bond Issue Openin Issue Premium

Repay er a

Bond Face Coupo Issue maturit amoun g in

Accrued discount ment in Ending breach

name value n rate date y t balanc current

interest at the

e period face value

amortizat

ion current

balance of

period contract

2550000

Weifu 0000. 1.90% 2025-

5000050062

12-08 3 years 0000. 4657.

4710958.9505335

K1 00 00 53 1

616.44 N

5000050062

Total 0000. 4657. 4710958.9 505335

00531

616.44

(3) Convertible Corporate Bond Description

Nil

(4) Description of other financial instruments classified as financial liabilities

Nil

36. Lease liabilities

In RMB

Item Ending balance Opening balance

Lease payments 108093017.78 110509867.86

Financing expense not recognized -10897580.16 -7083414.26

Minus: lease liabilities maturing within one year 28916378.66 30052680.37

Total 68279058.96 73373773.23

37. Long-term accounts payable

In RMB

115WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Item Ending balance Opening balance

Long-term accounts payable 7780000.00 7780000.00

Total 7780000.00 7780000.00

(1) By nature

In RMB

Item Ending balance Opening balance

Hi-tech Branch of Nanjing Finance Bureau (note * ) Financial support funds (2011) 5040000.00 5040000.00

Hi-tech Branch of Nanjing Finance Bureau (note * ) Financial support funds (2013) 2740000.00 2740000.00

Total 7780000.00 7780000.00

Other explanation:

Note * : To encourage WFJN to enter Nanjing High-tech Technology Industry Development Zone financial supporting capital is

allotted by High-tech branch of Finance Bureau of Nanjing for supporting use the term is from December 28 2011 to December 28

2026. Provided that the operation period in the zone is less than 15 years financial supporting capital will be reimbursed.

Note * : To encourage WFJN to enter Nanjing High-tech Technology Industry Development Zone financial supporting capital is

allotted by High-tech branch of Finance Bureau of Nanjing for supporting use the term is from December 18 2013 to December 18

2028. Provided that the operation period in the zone is less than 15 years financial supporting capital will be reimbursed.

(2) Special accounts payable

Nil

38. Long-term wages payable

(1) Long-term wages payable

In RMB

Item Ending balance Opening balance

I.Post-employment benefits - Defined benefit plan net liabilities 16906129.35 18028501.68

II. Dismiss welfare 6680226.47 7606269.58

III. Other long-term welfare - incentive fund balance 54819699.51 54819699.51

Total 78406055.33 80454470.77

(2) Changes in defined benefit plan

Present value of defined benefit plan

In RMB

Item Current period Last period

I. Opening balance 18028501.68 19879635.58

II. Cost of defined benefit plan booked into current profit and loss 292592.21 620384.67

1.Current service cost 292592.21 620384.67

III. Cost of defined benefit plan booked into other comprehensive income

1.Actuarial gains (losses are represented by “-”)

IV. Other changes -1414964.54 403391.12

1.Welfare paid 392555.38 -1840954.97

116WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

2.Translation difference of foreign currency statements -1807519.92 2244346.09

V. Ending balance 16906129.35 20903411.37

39. Anticipated liability

In RMB

Item Ending balance Opening balance Formation cause

Pending dispute and litigation 500554.28 530742.49

Product quality assurance 112862608.67 104609340.95

Environmental protection commitment 297479.34 315420.20

Total 113660642.29 105455503.64

Other explanations including important assumptions and estimation explanations related to significant provisions:

In accordance with the relevant provisions of "Interpretation No. 18 on Enterprise Accounting Standards" regarding "quality

assurance warranties that do not constitute a separate performance obligation" the company uniformly accounts for and discloses

estimated product warranty costs under the "Provisions" item.

40. Deferred income

In RMB

Item Opening Current Current Translation of foreign forming balance increased decreased currency statements Ending balance reason

Government grant 128942021.14 12993948.09 13373411.61 -911081.11 127651476.51

Total 128942021.14 12993948.09 13373411.61 -911081.11 127651476.51

41. Share

In RMB

Change during the year (+/-)

Opening balance New Shares Ending balance

shares Bonus

issued share

transferred from Other Subtotal

capital reserve

Total

shares 966785693.00 966785693.00

42. Capital reserve

In RMB

Item Opening balance Current increase Current decrease Ending balance

Capital premium (Share capital premium) 2619353129.48 2619353129.48

Other capital reserve 67151006.78 1259169.68 68410176.46

Total 2686504136.26 1259169.68 2687763305.94

Other explanation including changes in the period and reasons for changes;

The increase of 1259169.68 yuan in other capital reserves for this period represents the amount attributable to the company based

on its equity interest in changes in other comprehensive income of the associate enterprise.

43. Other comprehensive income

In RMB

Current period

Opening Account Less: written in Less: written in Less: Attributable to AttributItem Ending balance before other other inco parent able to balance

income tax comprehensive comprehensive me company after minority

in the year income in income in tax tax sharehol

117WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

previous period previous period expe ders

and carried and carried nse after tax

forward to forward to

current retained earnings

gains/losses in current period

I. Other comprehensive

income that cannot be -1024077.45 -reclassified to 1024077.45

gains/losses

Including: Remeasure

changes in defined -1040086.25 -

benefit plans 1040086.25

Other comprehensive

income that cannot be

transferred to 16008.80 16008.80

gains/losses under

equity method

II. Other comprehensive

income items which will - -

be reclassified 123422176.07 56057604. 56057604.1

67364571.9

subsequently to 17 7 0

gains/losses

Conversion difference - -

of foreign currency 123422176. 56057604. 56057604.1 67364571.9

financial statement 07 17 7 0

Total other - -

comprehensive income 122398098.

6256057604.56057604.1

66340494.4

1775

44. Reasonable reserve

In RMB

Item Opening balance Current increase Current decrease Ending balance

Work safety expense 8619634.17 16118837.69 17199019.10 7539452.76

Total 8619634.17 16118837.69 17199019.10 7539452.76

Other explanation including changes and reasons for changes:

(1) Explanation on the withdrawing of special reserves (work safety expense): According to the Administrative Measures on the

Withdrawing and Use of Enterprise Safety Production Expenses (CZ [2022] No.136) jointly issued by the Ministry of Finance and

the State Administration of Work Safety in the current period the Company adopted excess retreat method for quarterly withdrawal

by taking the actual operating income of the previous period as the withdrawing basis.

(2) Among the above work safety expense including the work safety expense accrued by the Company in line with regulations and

the parts attributed to shareholders of the Company in work safety expense accrued by subsidiary in line with regulations.

45. Surplus reserve

In RMB

Item Opening balance Current increased Current decreased Ending balance

Statutory surplus reserves 510100496.00 510100496.00

Total 510100496.00 510100496.00

Other explanation including changes and reasons for changes: Nil

46. Retained profit

In RMB

Item Current period Last period

Retained profits at the end of last year before adjustment 15623144555.11 15523124882.77

Retained profits at the beginning of the year after adjustment 15623144555.11 15523124882.77

Add: net profits attributable to owners of patent company of this period 836415872.45 1068167498.05

Other 1004237.29

Less: Common stock dividends payable 676749985.10 969152063.00

Retained profit at period-end 15782810442.46 15623144555.11

118WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Details about adjusting the retained profits at the beginning of the period:

1) The retroactive adjustments to Accounting Standards for Business Enterprises and its relevant new regulations affect the

retained profits at the beginning of the period amounting to 0 yuan.

2) The changes in accounting policies affect the retained profits at the beginning of the period amounting to 0 yuan.

3) The major accounting error correction affects the retained profits at the beginning of the period amounting to 0 yuan

4) Merge scope changes caused by the same control affect the retained profits at the beginning of the period amounting to 0 yuan.

5) Other adjustments affect the retained profits at the beginning of the period amounting to 0 yuan

47. Operating income and cost

In RMB

Current period Last period

Item Income Cost Income Cost

Main operating 6441837362.16 5348126771.42 5664265047.26 4727893633.72

Other business 135223051.76 59804712.88 96153585.85 37329159.55

Total 6577060413.92 5407931484.30 5760418633.11 4765222793.27

Breakdown information of operating income and operating cost:

In RMB

Energy and Power Automotive Intelligence Industrial Sysyem + AI Total

Type of contract Operating Operating Operating Operating Operating Operating Operating Operating

income cost income cost income cost income cost

Business type

Including:

Primary business

Including: recognize at a certain point in 5607181494. 4620095 7578607 6422032 7679507 8582817 6441837 5348126

time 67 327.27 95.16 65.49 2.33 8.66 362.16 771.42

Recognized within a certain period of

time

Other business

Including: recognize at a certain point in 120299268.6 5079995 238583.8 2709791 1205378 5350974

time 7 8.33 7 .29 52.54 9.62

Recognized within a certain period of

time

Lease income 14685199.22 6294963 1468519 6294963.26 9.22 .26

Total 5742165962. 4677190 7580993 6449130 7679507 8582817 6577060 540793156 248.86 79.03 56.78 2.33 8.66 413.92 484.30

48. Operating tax and extra

In RMB

Item Current period Last Period

City maintaining & construction tax 9347012.28 7020427.71

Educational surtax 6714620.05 5025514.39

Property tax 12500165.74 12450878.16

Land use tax 3260371.37 2664542.78

Vehicle use tax 11396.77 9789.10

Stamp duty 5302294.96 4264416.03

Other taxes 570732.31 390464.52

Total 37706593.48 31826032.69

49. Administration expenses

In RMB

Item Current period Last period

Salary and wage related expense 206477937.38 204152165.94

119WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Depreciation charger and long-term

assets amortization 71018393.50 71505562.18

Consumption of office materials and

business travel charge 12442118.51 13749617.83

Other 84215269.06 91866536.05

Total 374153718.45 381273882.00

50. Sales expenses

In RMB

Item Current period Last Period

Salary and wage related expense 37039872.41 44704795.75

Consumption of office materials and business travel charge 5408267.50 5640944.50

Warehouse charge 13512957.75 2221697.97

Business entertainment fee 6317746.54 3830951.97

Other 9030448.47 27600272.59

Total 71309292.67 83998662.78

51. R&D expenditure

In RMB

Item Current period Last period

Technology development expenditure 338140590.10 350722149.70

Total 338140590.10 350722149.70

52. Financial expenses

In RMB

Item Current period Last period

Interest expenses 15471988.00 9045918.64

Discounting interest expense

Less: Interest income from deposits 21956678.73 26681031.13

Gains/losses from exchange 13350417.42 -19703453.00

Handling charges 1990185.82 2265521.40

Total 8855912.51 -35073044.09

53. Other income

In RMB

Sources of income generated Current period Last period

Government grants with routine operation activity concerned 22496762.21 33077846.97

VAT instant refund 15574306.09 42098842.88

Tax credit for overseas subsidiaries 719979.40 277977.10

Refund of individual income tax handling fee 872261.35 678611.32

Bebt restructuring 102361.14

Total 39765670.19 76133278.27

54. Income from change of fair value

In RMB

Sources Current period Last period

Fair value changes of tradable financial assets -65717427.94 27874369.01

Total -65717427.94 27874369.01

120WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

55. Investment income

In RMB

Item Current period Last period

Income of long-term equity investment measured with equity method 650544226.48 537786063.13

Investment income from holding of tradable financial assets 20378914.57 8904917.47

Investment income from disposal of tradable financial assets 957401.23

Income from debt restructuring -611756.52 -90729.00

Gains/losses recognized when financing of accounts receivable is terminated for discounting -2059856.41 -1612166.00

Total 668251528.12 545945486.83

56. Credit impairment loss

In RMB

Item Current period Last period

Bad debt loss of accounts receivable -3970630.75 -491957.86

Bad debt loss of other accounts receivable -85532.93 -1461928.21

Total -4056163.68 -1953886.07

57. Asset impairment loss

In RMB

Item Current period Last period

1. Loss of inventory falling price and loss of contract performance cost impairment -74652909.95 -72319585.77

2. Impairment loss on intangible assets -409345.20

Total -75062255.15 -72319585.77

58. Income from assets disposal

In RMB

Sources Current period Last period

Income from disposal of non-current assets 5408425.62 636603.52

Losses from disposal of non-current assets -623357.58 -2678147.48

Total 4785068.04 -2041543.96

59. Non-operating income

In RMB

Item Current period Last period Amount reckoned into current non-recurring gains/losses

Payables that do not need to be paid 1027425.48 988957.32 1027425.48

Liquidated damages and compensation income 100700.50 1590079.15 100700.50

Other 168125.22 15432.64 168125.22

Total 1296251.20 2594469.11 1296251.20

60. Non-operating expense

In RMB

Item Current period Last period Amount reckoned into current non-recurring gains/losses

Donation 200000.00

Non-current assets disposal losses 1987884.98 3120421.81 1987884.98

Including: loss on scrapping of fixed assets 1987884.98 3120421.81 1987884.98

121WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Penalty and breach of contract compensation

expenses 28445.02 23172.01 28445.02

Other 59660.74 1115.02 59660.74

Total 2075990.74 3344708.84 2075990.74

61. Income tax expense

(1) Income tax expense

In RMB

Item Current period Last period

Payable tax in current period 53334122.20 33995641.69

Deferred tax in current period 6621696.75 8193965.24

Total 59955818.95 42189606.93

(2) Adjustment on accounting profit and income tax expenses

In RMB

Item Current period

Total profit 906149502.45

Income tax measured at statutory/applicable tax rate 135922425.37

Impact by different tax rate applied by subsidies -3188668.23

Impact from adjusting the previous income tax -852457.66

Impact by non-taxable revenue -95258998.71

Impact by the deductible losses of the un-recognized previous deferred income tax -7907005.07

The deductible temporary differences or deductible losses of the un-recognized

deferred income tax assets in the Period 39263290.15

Impact on additional deduction -8103654.45

Other 80887.55

Income tax expense 59955818.95

62. Other comprehensive income

See NotesVII 43 “Other comprehensive income”.

63. Items of cash flow statement

(1) Cash received in relation to operation activities

Other cash received in related to operation activities

In RMB

Item Current period Last period

Interest income 7681346.44 8107660.40

Government grants 18927298.71 12054487.84

WFTR "platform trade" business cash inflow 4563634.00

Other 2930440.65 4970706.43

Total 34102719.80 25132854.67

Explanation on other cash received in relation to operation activities: Nil

Other cash paid in relation to operation activities

In RMB

Item Current period Last period

Cash cost 271976817.24 309302243.69

122WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Other 9247812.64 4841083.61

Total 281224629.88 314143327.30

Explanation on other cash paid in relation to operation activities: Nil

(2) Cash in related to investment activities

Nil

(3) Cash in related to financing activities

Other cash received in related to financing activities

Item Current period Last period

Recovery of bank loan security deposit 30000000.00

Total 30000000.00

Explanation on other cash received in relation to financing activities: Nil

Other cash paid in related to financing activities

In RMB

Item Current period Last period

Lease payments 16363660.31 23042522.75

Repurchase of A shares 100005328.00

Payment of minority shareholders' investment to subsidiary 9768483.58

Other 9439.42

Total 26132143.89 123057290.17

Explanation on other cash paid in relation to financing activities: Nil

Changes in liabilities arising from financing activities

□Applicable ?Not applicable

(4) Explanation on cash flow listed at net amount

Nil

(5) Significant activities and financial impacts that do not involve current cash inflows and outflows but

affect the financial condition of the company or may affect the cash flow of the company in the future

Nil

64. Supplementary information to statement of cash flow

(1) Supplementary information to statement of cash flow

In RMB

Supplementary information Current period Last Period

1. Net profit adjusted to cash flow of operation activities:

Net profit 846193683.50 713146428.41

Add: Assets impairment provision 79118418.83 74273471.84

Depreciation of fixed assets consumption of oil assets and depreciation of productive biology assets 326119775.75 318198397.15

Depreciation of right-of-use assets 16208196.98 17921960.23

123WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Amortization of intangible assets 30106195.60 32244387.75

Amortization of long-term deferred expenses 4664118.47 3595375.61

Losses from disposal of fixed assets intangible assets and other long-term assets (gains shall be filled in

- -4785068.04 2041543.96 with the sign of “ ”)

Losses on scrapping of fixed assets (gains shall be filled in with the sign of “-”) 1987884.98 3120421.81

Gains/losses from changes in fair value(gains shall be filled in with the sign of “-”) 65717427.94 -27874369.01

Financial expenses (gains shall be filled in with the sign of “-”) 14807763.79 -25308408.52

Investment losses (gains shall be filled in with the sign of “-”) -670923141.05 -544242591.83

Decrease of deferred income tax asset (increase shall be filled in with the sign of “-”) 19792504.20 10158100.24

Increase of deferred income tax liability (decrease shall be filled in with the sign of “-”) -2219224.31 1365216.74

Decrease of inventory (increase shall be filled in with the sign of “-”) -179373413.52 226450506.94

Decrease of operating receivable accounts (increase shall be filled in with the sign of “-”) 129034219.44 -422168504.08

Increase of operating payable accounts (decrease shall be filled in with the sign of “-”) 259596956.81 107694431.99

Other -840048.01 2257909.51

Net cash flows arising from operating activities 935206251.36 492874278.74

2. Major investments and financing activities that do not involve cash receipts and payments

Debt-to-capital

Convertible bonds maturing within one year

Financing to lease fixed assets

3. Net change of cash and cash equivalents:

Balance of cash at period end 2018655500.41 2205802925.80

Less: Balance of cash equivalent at year-begin 2020913308.04 1756944672.22

Add: Balance at year-end of cash equivalents

Less: Balance at year-begin of cash equivalents

Net increase of cash and cash equivalents -2257807.63 448858253.58

(2) Net cash payment for the acquisition of subsidiaries in the period

Nil

(3) Net cash received from the disposal of subsidiaries

Nil

(4) Components of cash and cash equivalent

In RMB

Item Ending balance Opening balance

I. Cash 2018655500.41 2020913308.04

Including: Cash on hand 3021.82 8403.89

Bank deposit available for payment at any time 2018652478.59 2020443988.43

Other monetary funds available for payment at any time 460915.72

II. Balance of cash and cash equivalents at the period-end 2018655500.41 2020913308.04

(5) Items whose application scope is restricted but are still listed as cash and cash equivalents

Nil

124WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(6) Monetary items not belonging to cash and cash equivalents

In RMB

Item Current period Last period Reasons for not belonging to cash and cash equivalents

Bank deposit - principal of time deposits with a

maturity of more than three months 356679226.77 110920650.69

Do not meet the definition of cash

and cash equivalents.Other Monetary Funds - Margin deposits and interest Do not meet the definition of cash

paid for obtaining bank loans 30308794.51 and cash equivalents.Other Monetary funds - Margin paid for bank 728665.13 142735966.40 Do not meet the definition of cash acceptance bill and cash equivalents.Other Monetary funds - IRD performance bond 7820760.93 8470394.37 Do not meet the definition of cash and cash equivalents.Other Monetary funds - Mastercard margin 144.17 225875.75 Do not meet the definition of cash and cash equivalents.Other Monetary funds - Guarantee letter margin 317328.83 278566.46 Do not meet the definition of cash and cash equivalents.Other Monetary Funds - Wealth Management Margin 380066.34 Do not meet the definition of cash and cash equivalents.Total 396234986.68 262631453.67

(7) Notes to other significant activities

Nil

65. Notes to changes in entries of owners’ equity

Explain the items and amount at period-end adjusted for “Other” at end of the last year: Nil

66. Item of foreign currency

(1) Item of foreign currency

In RMB

Item Ending balance of foreign Rate of conversion Ending RMB balance currency converted

Monetary funds

Including: USD 40810892.21 6.8109 277958911.69

EUR 33356757.40 7.7671 259084961.82

HKD 2220184.52 0.86855 1928341.26

JPY 16498018.00 0.042045 693659.17

DKK 11327460.12 1.0392 11771496.55

Accounts receivable

Including: USD 2360789.67 6.8109 16079102.36

EUR 29839198.72 7.7671 231764040.38

HKD

JPY

DKK 13027124.58 1.0392 13537787.86

Long-term borrowings

Including: USD

EUR

HKD

Other accounts receivable

Including: USD

EUR 259450.58 7.7671 2015178.60

125WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

DKK 1995128.00 1.0392 2073337.02

Short-term borrowings

Including: USD

EUR 176299.20 7.7671 1369333.52

Accounts payable

Including: USD 547155.01 6.8109 3726618.06

EUR 23157337.07 7.7671 179865352.76

JPY 8969300.00 0.042045 377114.22

DKK 15185975.72 1.0392 15781265.97

CHF 27330.49 8.4228 230199.25

GBP

Other accounts payable

Including: USD 1087.90 6.8109 7409.58

EUR 411.30 7.7671 3194.61

DKK 895612.34 1.0392 930720.34

Non-current liabilities due

within one year

Including: USD

EUR 650379.84 7.7671 5051565.26

DKK 2865267.62 1.0392 2977586.11

Leasing liabilities

Including: USD

EUR 2302065.12 7.7671 17880369.99

DKK 14600293.41 1.0392 15172624.91

Other explanation:

(2) The nature of non-convertibility of currency and its financial implications the spot exchange rate

adopted and its estimation process and the risks faced by enterprises due to currency non-

convertibility

□Applicable □Not applicable

(3) Explanation on overseas operating entities. For important overseas operating entities it is necessary

to disclose their main overseas business locations the functional currency used for accounting and the

basis for the selection. In the event that there are changes in the functional currency used for

accounting the reasons for such changes should also be disclosed.□Applicable □Not applicable

(4) Situation where the functional currency of an overseas operation lacks convertibility with the

reporting currency of the enterprise

□Applicable □Not applicable

67. Lease

(1) The company as the lessee

□Applicable □Not applicable

Variable lease payments not included in the measurement of lease liabilities

□Applicable □Not applicable

Leasing costs of simplified handling of short-term leasing or leasing costs for low value assets

126WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

□Applicable □Not applicable

The lease expense for short-term leases or low-value assets accounted for under simplified treatment was 6726409.12 yuan; the total

cash outflows related to leases amounted to 16363660.31 yuan.Situation involving sale and leaseback transactions

Nil

(2) The company as the lessor

Operating lease with the company as the lessor

□Applicable □Not applicable

In RMB

Item Rental income Including: income related to variable lease payments not included in

rental income

Rental of houses and equipment 17467215.84

Total 17467215.84

Financing lease with the company as the lessor

□Applicable □Not applicable

Annual un-discounted rental income for the next five years

□Applicable □Not applicable

Adjustment table for un-discounted rental income and net lease investments: Nil

(3) Recognize gains/losses arising from financing lease sale with the company as producer or dealer

□Applicable □Not applicable

68. Data resource

Nil

69. Others

Nil

VIII. R&D expenditure

In RMB

Item Current period Last period

Employee compensation 170535003.96 153794341.30

Direct investment 77899830.88 105732400.86

Depreciation and amortization 74876640.33 50983948.92

Other 14829114.93 40211458.62

Total 338140590.10 350722149.70

Including: expensed R&D expenditure 338140590.10 350722149.70

1. R&D items that meet capitalization conditions

Nil

2. Important outsourced projects under research

127WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Nil

IX. Changes in consolidation scope

1. Enterprise combination not under the same control

(1) Enterprise combines not under the same control occurred in the period

Nil

(2) Consolidation cost and goodwill

Nil

(3) Book value of identifiable assets and liabilities of the merged party on the merger date

Nil

(4) Gains or losses arising from the remeasurement of equity held before the acquisition date at fair value

Whether it is a business combination realized by two or more transactions of exchange and a transaction of obtained control rights in

the Period or not

□Yes □No

(5) Explanation on the inability to reasonably determine the merger consideration or the fair value of

identifiable assets and liabilities of the acquired party on the purchase date or at the end of the merger

period

Nil

(6) Other explanation

Nil

2. Enterprise combination under the same control

(1) Enterprise combination under the same control that occurred in the current period

Nil

(2) Consolidation cost

Nil

128WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(3) Book value of assets and liabilities of the merged party on merger date

Nil

3. Reverse purchase

Nil

4. Disposal of subsidiaries

Whether there are transactions or events involving the loss of control over subsidiaries in the current period or not

□Yes □No

Whether there is a a situation where the investment in a subsidiary is disposed of step by step through multiple transactions and

control is lost in the current period or not

□Yes □No

5. Changes in the scope of consolidation due to other reasons

Explanation of changes in the scope of consolidation caused by other reasons (such as the establishment of new subsidiaries

liquidation of subsidiaries etc.) and their related situations:

Investment and establishment: WEIFU LIDA(MALAYSIA)SDN.BHD

Liquidation and Cancellation: Wuxi Weifu Electric Drive Technology Co. Ltd. Borit Inc.

6. Other

Nil

X. Equity in other entities

1. Equity in subsidiary

(1) Constitute of enterprise group

In ten thousand

Subsidiary Registered Main operation Registered

Shareholding ratio

capital place place Business nature Acquired way Directly Indirectly

WFJN 34628.68 Nanjing Nanjing Spare parts of internal- Enterprise combines under combustion engine 80.00% the same control

WFLD 50259.63 Wuxi Wuxi Automobile exhaust purifier muffler 100.00%

Enterprise combines under

the same control

WFMA 16500 Wuxi Wuxi Spare parts of internal-combustion engine 100.00% Investment

WFCA 21000 Wuxi Wuxi Spare parts of internal-combustion engine 100.00% Investment

WFTR 3000 Wuxi Wuxi Trading 100.00% Enterprise combines under the same control

WFSC 7600 Wuxi Wuxi Spare parts of internal-combustion engine 66.00% Investment

WFTT 11136 Ningbo Ningbo Spare parts of internal-combustion engine 98.83% 1.17%

Enterprise combines not

under the same control

WFAM USD3310 Wuxi Wuxi Spare parts of internal- 51.00% Enterprise combines not combustion engine under the same control

WFLD Automobile exhaust

(Wuhan) 300 Wuhan Wuhan purifier muffler 60.00% Investment

129WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

WFLD

(Chongqing) 5000 Chongqing Chongqing

Automobile exhaust

purifier muffler 100.00% Investment

WFLD

(Nanchang) 3000 Nanchang Nanchang

Automobile exhaust

purifier muffler 100.00% Investment

WFLD

(Malaysia) 4000 Malaysia Malaysia

Automobile exhaust

purifier muffler 100.00% Investment

WFAS 16500 Wuxi Wuxi Smart car equipment 66.00% Investment

WFLH 2000 Fuzhou Fuzhou Smart car equipment 40.00% Investment

WFQL 50000 Wuxi Wuxi Fuel cell components 45.00% 30.00% Investment

VHCN 13400 Wuxi Wuxi Vacuum and hydraulic Enterprise combines not pump 100.00% under the same control

WFSS 35000 Wuxi Wuxi Smart car equipment 61.43% Investment

WFET EUR1213.60 Wuxi Wuxi Hydrogen storage equipment 51.00% Investment

WFBL 40000 Nanjing Nanjing Spare parts of internal-combustion engine 55.00% Investment

SPV DKK13867.5 Denmark Denmark Investment 100.00% Investment

IRD DKK12732 Denmark Denmark Fuel cell components 100.00% Enterprise combines not under the same control

IRD America USD1543 America America Fuel cell components 100.00% Enterprise combines not under the same control

Borit EUR2183 Belgium Belgium Fuel cell components 100.00% Enterprise combines not under the same control

VHIO EUR500 Italy Italy Vacuum and hydraulic 100.00% Enterprise combines not pump under the same control

Explanation on shareholding ratio in subsidiary different from ratio of voting right: Nil

Basis for holding half or less of the voting rights but still controlling the investee and holding more than half of the voting rights but

not controlling the investee: Nil

Basis for inclusion in the scope of consolidation of significant structured entities control: Nil

Basis for determining whether a company is an agent or a principal: Nil

Other explanation: Nil

(2) Important non-wholly-owned subsidiary

In RMB

Subsidiary Shareholding ratio of Gains/losses attributable to Dividend announced to distribute Ending equity of minority minority in the Period for minority in the Period minority

WFJN 20.00% 4723622.67 419417716.52

Explanation on holding ratio different from the voting right ratio for minority shareholders: Nil

Other explanation: Nil

(3) Main financial information of the important non-wholly-owned subsidiary

In RMB

Ending balance Opening balance

Subsi

Current Non- Total Current

Non- Total Non- Current Non- Total

diary

assets current assets liabilitie

current

liabilitie liabilitie

Current current Total liabilitie current assets assets liabilitie liabilitieassets s s s assets s s s

WFJ 143039 405466 183585 352360 44679 397040 133891 441611 178052 354865 23106 377972

N 0114.93 973.56 7088.49 930.63 535.21 465.84 2784.54 115.66 3900.20 886.53 628.07 514.60

In RMB

Current period Last period

Subsidiar

Operation Total

Cash flow Total Cash flow

y

Income Net profit comprehensiv

from Operation

e income operation Income

Net profit comprehensiv from operation

activity e income activity

-

WFJN 344741249.0 35589217.3 35589217.3 3018547.4 312060940.1 30608460.4 30608460.4 20864345.09 8 8 3 5 0 0 7

(4) Significant restrictions on the use of enterprise group assets and pay off debts of enterprise group

130WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Nil

(5) Financial support or other support provided to structured entities included in the scope of

consolidated financial statements

Nil

2. Transactions where the share of owners’ equity in subsidiaries changes while the company still

maintains control over the subsidiary

(1) Description of situation where the share of owners’ equity in subsidiaries changes

Nil

(2) Impact of the transaction on the minority shareholders' equity and the owners' equity attributable to

the parent company

Other explanation: Nil

3. Equity in joint venture and associated enterprises

(1) Important joint venture and associated enterprises

Joint venture or Main operation Registered Shareholding ratio Business nature Accounting treatment on investment for associated enterprise place place Directly Indirect joint venture and associated enterprises

WFEC Wuxi Wuxi Catalyst 49.00% Equity method

RBCD Wuxi Wuxi Internal-combustion engine accessories 32.50% 1.50% Equity method

Zhonglian Electronics Shanghai Shanghai Internal-combustion engine accessories 20.00% Equity method

WFWJ Wuxi Wuxi Internal-combustion engine accessories 20.00% Equity method

Chuangchun Xuyang Changchun Changchun Automotive components 34.00% Equity method

Precors GmbH Germany Germany Fuel cell components 43.39% Equity method

Lezhuo Bowei Shanghai Shanghai Automotive components 50.00% Equity method

WuXi Zhuowei Wuxi Wuxi Professional technique service 39.00% Equity method

Hydrogen Storage System

Voith HySTech GmbH Germany Germany Technology Research and 40.00% Equity method

Development

Shareholding ratio different from the voting right ratio: Nil

Basis for holding less than 20% of the voting rights but having significant influence or holding 20% or more of the voting rights but

not having significant influence: Nil

(2) Main financial information of important joint ventures

Other explanation: Nil

(3) Main financial information of important associated enterprises

In RMB

Ending balance/Current period Opening balance/Last Period

WFEC RBCD Zhonglian Electronics WFEC RBCD

Zhonglian

Electronics

Current assets 3533492270.18 14718559091.71 1964886878.93 3492136152.91 13357799513.32 1442357420.24

Non -current assets 460376142.02 3441271618.60 9806368043.18 472000993.97 3641992480.33 8992710110.46

Total assets 3993868412.20 18159830710.31 11771254922.11 3964137146.88 16999791993.65 10435067530.70

Current liabilities 1562185376.44 11235664511.50 1699065451.34 1531666962.93 6019430062.79 3444430.21

131WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Non-current

liabilities 196295554.22 203461882.95 9221399.68 184323838.72 203083647.18 9252984.32

Total liabilities 1758480930.66 11439126394.45 1708286851.02 1715990801.65 6222513709.97 12697414.53

Minority interests

Equity attributable to

shareholders of the 2235387481.54 6720704315.86 10062968071.09 2248146345.23 10777278283.68 10422370116.17

parent company

Share of net assets

calculated based on

the shareholding 1095339865.94 2285039467.39 2012593614.22 1101591709.17 3664274616.45 2084474023.24

ratio

Adjustment matters

--Goodwill 267788761.35 1407265.96 267788761.35 1407265.96

--Unrealized profit

of internal trading -10047670.86 -7431401.01

--Other -0.28 -0.28

Book value of equity

investment in 1095339865.94 2542780557.60 2014000880.18 1101591709.17 3924631976.51 2085881289.20

associated enterprise

Fair value of equity

investment for

associated enterprise

with consideration

publicly

Operation income 2571382791.90 5068471572.52 14214738.71 1601080995.29 4370812361.63 13252075.68

Net profit 215067736.50 858569240.53 1340597954.92 172976401.62 760784253.17 1333377744.95

Net profit from

discontinued

operations

Other

comprehensive

income

Total comprehensive

income 215067736.50 858569240.53 1340597954.92 172976401.62 760784253.17 1333377744.95

Dividends received

from associated 340000000.00 1597421542.71 117600000.00

enterprise in the year

Other explanation

Adjustment item for other “-0.28”: the differential tail;

(4) Summary of financial information of insignificant joint ventures and associated enterprises

In RMB

Ending balance/Current period Opening balance/Last period

Joint venture:

Amount based on shareholding ratio

Associated enterprise:

Total book value of investment 170406122.64 187265056.88

Amount based on shareholding ratio

--Net profit -17053138.01 -74974261.24

--Total comprehensive income -17053138.01 -74974261.24

(5) Major limitation on capital transfer ability to the Company from joint venture or associated

enterprise

Nil

(6) Excess loss occurred in joint venture or associated enterprise

Nil

(7) Unconfirmed commitment with joint venture investment concerned

132WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Nil

(8) Contingent liability with joint venture or associated enterprise investment concerned

Nil

4. Major joint operation

Nil

5. Structured body excluding in consolidated financial statement

Relevant explanations for structured entities not included in the scope of the consolidated financial statements: Nil

6. Other

Nil

XI. Government grant

1. Government grant recognized at report ending in terms of amount receivable

□Applicable □Not applicable

Reasons for not receiving the expected amount of government grants at the expected time point

□Applicable □Not applicable

2. Liabilities involved with government grant

□Applicable □Not applicable

In RMB

Amount booked

Entities Opening

Current increase Amount carried Other changes

balance in government

into non- forward to other in current Ending balance Asset/income

grant business income in current period income period

related

Deferred

income 64822232.82 6692631.71 6540059.52 -708819.38 64265985.63 Asset related

Deferred Asset/income

income 1084154.51 25000.00 1059154.51 related

Deferred

income 63035633.81 6301316.38 6808352.09 -202261.73 62326336.37 Income related

Total 128942021.14 12993948.09 13373411.61 -911081.11 127651476.51

3. Government grant booked into current gains/losses

□Applicable □Not applicable

In RMB

Accounting title Current period Last period

Other revenue 22496762.21 33077846.97

XII. Risk related to financial instruments

1. Risks from financial instruments

Main financial instrument of the Company including monetary funds structured deposits accounts receivable equity instrument

investment financial products loans and account payable etc. more details of the financial instrument can be found in relevant

items of Note V. Risks concerned with the above-mentioned financial instrument and the risk management policy takes for lower the

risks are as follow:

Aims of engaging in the risk management is to achieve equilibrium between the risk and benefit lower the adverse impact on

133WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

performance of the Company to minimum standards and maximized the benefit for shareholders and other investors. Base on the

risk management targets the basic tactics of the risk management is to recognized and analyzed the vary risks that the Company

counted established an appropriate risk exposure baseline and caring risk management supervise the vary risks timely and reliably

in order to control the risk in a limited range.In business process the risks with financial instrument concerned happen in front of the Company mainly including credit exposure

market risk and liquidity risk. BOD of the Company takes full charge of the risk management target and policy-making and takes

ultimate responsibility for the target of risk management and policy. Compliance department and financial control department

manager and monitor those risk exposures to ensuring the risks are control in a limited range.Credit Risk

Credit risk refers to the risk that one party of a financial instrument fails to perform its obligations and resulting in the financial loss

of other party. The company's credit risk mainly comes from monetary funds structured deposits note receivable accounts

receivable other accounts receivable. The management has established an appropriate credit policy and continuously monitors the

exposure to these credit risks.The monetary funds and structured deposits held by the Company are mainly deposited in financial institutions such as commercial

banks the management believes that these commercial banks have higher credit and asset status and have lower credit risks. The

Company adopts quota policies to avoid credit risks to any financial institutions.For accounts receivable other receivables and bills receivable the Company sets relevant policies to control the credit risk exposure.To prevent the risks the company has formulated a new customer credit evaluation system and an existing customer credit sales

balance analysis system. The new customer credit evaluation system aims at new customers the company will investigate a

customer’s background according to the established process to determine whether to give the customer a credit line and the credit line

size and credit period. Accordingly the company has set a credit limit and a credit period for each customer which is the maximum

amount that does not require additional approval. The analysis system for credit sales balance of existing customers means that after

receiving a purchase order from an existing customer the company will check the order amount and the balance of the accounts

owed by the customer so far if the total of the two exceeds the credit limit of the customer the company can only sell to the customer

on the premise of additional approval otherwise the customer must be required to pay the corresponding amount in advance. In

addition for the credit sales that have occurred the company analyzes and audits the monthly statements for risk warning of accounts

receivable to ensure that the company’s overall credit risk is within a controllable range.The maximum credit risk exposure of the Company is the carrying amount of each financial asset on the balance sheet.Market risk

Market risk of the financial instrument refers to the fair value of financial instrument or future cash flow due to fluctuations in the

market price changes and produce mainly includes the IRR FX risk and other price risk.

1) Interest rate risk

IRR refers to the fluctuate risks on Company’s financial status and cash flow arising from rates changes in market. IRR of the

Company mainly related with the bank loans. In order to lower the fluctuate of IRR the Company in line with the anticipative

change orientation choose floating rate or fixed rate that is the rate in future period will goes up prospectively then choose fixed

rate; if the rate in future period will decline prospectively then choose the floating rate. In order to minor the bad impact from

difference between the expectation and real condition loans for liquid funds of the Company are choose the short-term period and

agreed the terms of prepayment in particular.

2) Foreign exchange risk

FX risks refer to the losses arising from exchange rate movement. The FX risk sustain by the Company mainly related with the USD

EUR SF JPY HKD DKK except for the USD EUR SF JPY HKD and DKK carried out for the equipment purchasing of parent

company and WFAS material purchasing of parent company technical service and trademark usage costs of parent company the

import and export of WFTR operation of IRD operation of Borit and operation of VHIO and other main business of the Company

134WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

are pricing and settle with RMB (yuan). As the foreign financial assets and liabilities takes minor ratio in total assets the Company

has small FX risk of the financial instrument considered by management of the Company.As of June 30 2026 except for the follow assets or liabilities listed with foreign currency assets and liabilities of the Company are

carried with RMB.* Foreign currency assets of the Company till end of June 30 2026:

Item Ending foreign Convert rate Ending RMB balance currency balance converted Ratio in assets (%)

Monetary funds

Including: USD 40810892.21 6.8109 277958911.69 0.90

EUR 33356757.40 7.7671 259084961.82 0.84

HKD 2220184.52 0.86855 1928341.26 0.01

JPY 16498018.00 0.042045 693659.17 -

DKK 11327460.12 1.0392 11771496.55 0.04

Accounts receivable

Including: USD 2360789.67 6.8109 16079102.36 0.05

EUR 29839198.72 7.7671 231764040.38 0.75

DKK 13027124.58 1.0392 13537787.86 0.04

Other accounts receivable

Including: EUR 259450.58 7.7671 2015178.60 0.01

DKK 1995128.00 1.0392 2073337.02 0.01

Total ratio in assets 2.65

* Foreign currency liability of the Company till end of June 30 2026:

Item Ending foreign Convert rate Ending RMB balance currency balance converted Ratio in assets(%)

Accounts payable

Including: USD 547155.01 6.8109 3726618.06 0.04

EUR 23157337.07 7.7671 179865352.76 1.82

JPY 8969300.00 0.0420 377114.22

CHF 27330.49 8.4228 230199.25

DKK 15185975.72 1.0392 15781265.97 0.16

GBP

Other accounts payable

Including: USD 1087.90 6.8109 7409.58

EUR

DKK

Non-current liabilities due within one year

Including: USD

EUR 650379.84 7.7671 5051565.26 0.05

DKK 2865267.62 1.0392 2977586.11 0.03

Leasing liabilities

Including USD

EUR 2302065.12 7.7671 17880369.99 0.18

DKK 14600293.41 1.0392 15172624.91 0.15

Total ratio in liabilities 2.43

* Other pricing risk

135WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

The equity instrument investment held by the Company with classification astradable financial assets and other non-current financial

assets are measured on fair value of the balance sheet date. The fluctuation of expected price for these investments will affect the

gains/losses from changes in fair valuefor the Company.Furthermore on the premise of deliberated and approved in 8th meeting of 10th session of the BOD the Company exercise entrust

financing with the self-owned idle capital; therefore the Company has the risks of collecting no principal due to entrust financial

products default. Aims at such risk the Company formulated the Management Mechanism of Capital Financing and well-defined

the authority to entrust financial management audit process reporting system Choice of trustee daily monitoring and verification

and investigation of responsibility etc. In order to lower the adverse impact from unpredictable factors the Company choose short-

term and medium period for investment and investment product’s term is up to 5 years in principle; The variety of investment

includes bank financial products trust plans of trust companies asset management plans of asset management companies various

products issued by securities companies fund companies and insurance companies etc.Liquidity risk

Liquidity risk refers to the capital shortage risk occurred during the clearing obligation implemented by the enterprise in way of cash

paid or other financial assets. The Company aims at guarantee the Company has rich capital to pay the due debts therefore a

financial control department is established for collectively controlling such risks. On the one hand the financial control department

monitoring the cash balance the marketable securities which can be converted into cash at any time and the rolling forecast on cash

flow in future 12 months ensuring the Company on condition of reasonable prediction owes rich capital to paid the debts; on the

other hand building a favorable relationship with the banks rationally design the line of credit credit products and credit terms

guarantee a sufficient limit for bank credits in order to satisfy vary short-term financing requirements.

2. Hedge

(1) Risk management for hedge business

□Applicable □Not applicable

(2) The company conducts eligible hedging business and applies hedging accounting

Other explanation: Nil

(3) The company conducts hedging business for risk management purposes and expects to achieve the

risk management objectives but has not applied hedging accounting.□Applicable □Not applicable

3. Financial assets

(1) By transfer manner

□Applicable □Not applicable

In RMB

Transfer method Nature of transferred financial assets Amount of transferred Derecognized Judgment basis for financial asset or not derecognition

Bill Bank acceptance bills in accounts

endorsement receivable financing that have not yet 278370524.13 Derecognized

Almost all of its risks and

matured rewards have been transferred

Bank acceptance bills in accounts

Bill discounting receivable financing that have not yet 443595173.43 Derecognized Almost all of its risks and

matured rewards have been transferred

Total 721965697.56

136WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(2) Financial assets derecognized due to assignment

□Applicable □Not applicable

In RMB

Item Methods of transferring Amount of derecognized Gains/losses related to de-financial assets financial assets recognition

Accounts receivable financing Bill endorsement 278370524.13

Accounts receivable financing Bill discounting 443595173.43 2059856.41

Total 721965697.56 2059856.41

(3) Financial assets which are assigned and involved continuously

□Applicable □Not applicable

Other explanation: Nil

XIII. Disclosure of fair value

1. Ending fair value of the assets and liabilities measured at fair value

In RMB

Item Ending fair value

First level Second level Third level Total

I. Sustaining measured at fair value -- -- -- --

(I) Tradable financial assets 648491.67 2667797878.81 2668446370.48

1. Financial assets measured at fair value and

whose changes are included in current profits 648491.67 2667797878.81 2668446370.48

and losses

(1) Investment in equity instrument 648491.67 648491.67

(2) Investment in other liability

instruments and equity instrument 2667797878.81 2667797878.81

(II) Other non-current financial assets 750257936.26 750257936.26

1. Financial assets designated to be measured

at fair value and whose changes are included 750257936.26 750257936.26

in current profits and losses

(1) Investment in equity instrument 750257936.26 750257936.26

(III)Receivable financing 1931633857.67 1931633857.67

1. Financial assets measured at fair value and

whose changes are included in other 1931633857.67 1931633857.67

comprehensive income

(IV) Other equity instrument investment 1049138690.00 1049138690.00

1. Financial assets measured at fair value and

whose changes are included in current 1049138690.00 1049138690.00

gains/losses

Total assets sustaining measured at fair value 648491.67 6398828362.74 6399476854.41

II. non-persistent measure of fair value -- -- -- --

2. Recognized basis for the market price sustaining and non-persistent measured at fair value on first

level

On June 30 2026 the tradable financial assets equity instrument investments held by the Company Hanma Technology (Stock

code: 600375). The fair value at the end of the period is determined at the closing price as of June 30 2026.

137WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

3. The qualitative and quantitative information for the valuation technique and critical parameter that

sustaining and non-persistent measured at fair value on second level

Nil

4. The qualitative and quantitative information for the valuation technique and critical parameter that

sustaining and non-persistent measured at fair value on third level

(1) Financing of receivable

For this portion of financial assets the company uses the discounted cash flow valuation technique to determine their fair value.Among them the important unobservable input values mainly include the discount rate the maturity period of the contractual cash

flows etc. For the cash flows with a contractual maturity period within 12 months (inclusive) no discounting is carried out and

the cost is taken as their fair value.

(2) Investments in other equity instruments

For this portion of financial assets due to the lack of market liquidity the company uses the replacement cost method to determine

their fair value. Among them the important unobservable input values mainly include the financial data of the invested company

etc.

(3) Investments in other debt instruments and equity instruments

For this portion of financial assets the company uses the valuation technique of discounted cash flows to determine them. Among

them the important unobservable input values mainly include the expected annualized rate of return the risk coefficient etc.

5. Continuous third-level fair value measurement items adjustment information between the opening

and closing book value and sensitivity analysis of unobservable parameters

Nil

6. Continuous fair value measurement items if there is a conversion between various levels in the

current period the reasons for the conversion and the policy for determining the timing of the

conversion

Nil

7. Changes in valuation technology during the current period and reasons for the changes

Nil

8. The fair value of financial assets and financial liabilities not measured at fair value

Nil

9. Other

Nil

XIV. Related party and related party transactions

1. Parent company of the company

Parent Registration place Business nature Registered capital shareholding ratio on the Voting right ratio on company （RMB） enterprise for parent company the enterprise

Wuxi Industry Wuxi Operation of state-Group owned assets 6008531000.00 22.05% 22.05%

Explanation on parent company of the company

138WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

As of June 30 2026 Wuxi Industry Group holds 22.05% equity of the company.Wuxi Industry Group is an enterprise controlled by the State-owned Assets Management Committee of Wuxi Municipal People’s

Government. Its business scope includes foreign investment by using its own assets house leasing services self-operating and acting

as an agent for the import and export business of various commodities and technologies (Except for goods and technologies that are

restricted by the state or prohibited for import and export) domestic trade (excluding national restricted and prohibited items).(Projects that are subject to approval in accordance with laws can be operated only after being approved by relevant departments).Ultimate controller of the Company is the State-owned Assets Supervision & Administration Commission of Wuxi Municipality of

Jiangsu Province.Other explanation: Nil

2. Subsidiary of the Company

For more details of the Company’s subsidiaries please refer to Note X.1(1) “Component of enterprise group”.

3. Joint venture and associated enterprise

For more details please refer to Note X.3. Equity in Joint Venture and Associated Enterprises.Other joint venture or associated enterprises which have related transaction with the Company in the current period or previous

periods: Nil

4. Other related party

Other related party Relationship with the Company

Robert Bosch Company Second largest shareholder of the Company

Jiangsu Taiji Industrial New Materials Co. Ltd. (hereinafter

Enterprise controlled by the parent company referred to as “Jiangsu Taiji”)

Wuxi Feierkang New Materials Technology Co. Ltd.(hereinafter referred to as "FALCON") Enterprise controlled by the parent company

Jiangsu Wuxi National Grain Reserve Depot Co. Ltd.Enterprise controlled by the parent company (hereinafter referred to as “Wuxi Grain Depot”)Wuxi Grain Group Co. Ltd. (hereinafter referred to as “WuxiEnterprise controlled by the parent company Grain Group”)

Wuxi Zhongcui Food Co. Ltd. (hereinafter referred to as Enterprise controlled by the parent company

“Zhongcui Food”)

Eleventh Design and Research Institute of Information

Industry Electronic Science and Technology Engineering Co. Enterprise indirectly controlled by parent company of the

Ltd. (hereinafter referred to as the “Eleventh Technology”) Company the Company’s related natural person serves as director

Wuxi Junhai Xichan Investment Management Co. Ltd.(hereinafter referred to as "Junhai Xichan") Enterprise controlled by the parent company

Shenzhen Dexi Consulting Co. Ltd. (hereinafter referred to as

"Shenzhen Dexi") Enterprises controlled by the Company’s related nature person

Key management Directors supervisors and senior executives of the company

5. Related transaction

(1) Goods purchasing labor service providing and receiving

Goods purchasing/labor service receiving

In RMB

Related party Content of related Current period Approved transaction Whether more than the transaction limit transaction limit (Y/N) Last Period

WFPM Goods and labor 10422343.59 26000000.00 N 8667024.62

RBCD Goods and labor 176251232.89 360000000.00 N 121775133.27

WFEC Goods and labor 506463467.88 1200000000.00 N 98795531.83

Robert Bosch Goods and labor 121801229.35 380000000.00 N 116055402.96

139WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Company

FALCON Goods and labor 11946.90 89960.17

Lezhuo Bowei Goods 19670.00

Changchun

Xuyang Goods and labor 78218.38

Zhongcui Food Goods and labor 219254.40

Goods sold/labor service providing

In RMB

Related party Content of related transaction Current period Last Period

WFPM Goods and labor 725808.01 697100.72

RBCD Goods and labor 847956455.12 613584470.39

WFEC Goods and labor 1200077.91 358670.32

Robert Bosch Company Goods and labor 1046154637.53 1049548207.99

Changchun Xuyang Goods and labor 23190224.73 9557770.46

Lezhuo Bowei Goods and labor 5099901.83 4994665.10

Wuxi Grain Depot Goods and labor 3967.02

Wuxi Industry Group Goods and labor 225848.64

Description of related transactions in the purchase and sale of goods provision and acceptance of labor services

Nil

(2) Related trusteeship management/contract & entrust management/ outsourcing

Nil

(3) Related lease

The company as lessor:

In RMB

Lessee Assets type Lease income recognized in Lease income recognized at the Period last Period

WFEC Workshop 1004452.20 1004452.20

RBCD Parking lot 265200.00 265200.00

Lezhuo Bowei Building and equipment 1585409.95 1600014.00

Junhai Xichan Workshop 9174.32 9174.32

Explanation on related lease

WFLD entered into a house leasing contract with WFEC. The plant locating at No.9 Linjiang Road Wuxi Xinwu District owed by

WFLD was rented out to WFEC. WFLD recognized that the rental income in the period from Jan. 1 2026 to June 30 2026 was

1004452.20 yuan.

WFJN signed a house leasing contract with Lezhuo Bowei. Lezhuo Bowei leased a portion of WFJN’s plant located at No. 12

Liuzhou North Road Pukou District Nanjing City. The lease term is from January 1 2026 to December 31 2026. WFJN has

confirmed the rental income of 1463214.00 yuan for the period from January 1 2026 to June 30 2026; Lezhuo Bowei also rented

some equipment from WFJN and WFJN confirmed equipment rental income of 122195.95 yuan in the period from January 1 2026

to June 30 2026.WFHT and Junhai Xichan signed a house lease contract reaching the following agreement on Junhai Xichan's rental of the office and

meeting room on the first floor of the annex building of the R&D building located at No. 17 Changjiang Road Wuxi: The rental

income for the period from January 1 2026 to June 30 2026 is 9174.32 yuan.

140WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(4) Connected guarantee

Nil

(5) Related party’s borrowed/lending funds

Nil

(6) Related party’s assets transfer and debt restructuring

Nil

(7) Remuneration of key management

In RMB

Item Current period Last period

Remuneration of key manager 1690000.00 1980000.00

(8) Other related transactions

In RMB

Related party Contents of item Current period Last period

WFPM Purchase of fixed assets 192000.00 4075.81

RBCD Technology royalties paid etc. 1457761.11

Robert Bosch Company Technology royalties paid etc. 4421239.51

Robert Bosch Company Purchase of fixed assets 748849.56 396460.18

Robert Bosch Company Providing of technical services etc. 3539.82

WFEC Utilities payable 233909.68 260287.40

WFEC Providing of technical services etc. 769622.64

WFEC Sale of fixed assets 1483185.84

Lezhuo Bowei Utilities receivable 910419.27 995901.03

Jiangsu Taiji Providing of technical services etc. 23584.91

Wuxi Industry Group Providing of technology service etc. 682075.47

Eleventh Technology Purchase of fixed assets 150943.40 100471.70

Zhongcui Food Purchase cafeteria ingredients 929861.75 2017973.30

Shenzhen Dexi Accepting consulting services 71287.13

6. Receivable/payable items of related parties

(1) Receivable item

In RMB

Ending balance Opening balance

Item Related party

Book balance Bad debts reserve Book balance

Bad debts

reserve

Accounts receivable WFPM 807138.76 131537.33 778983.46 131537.33

Accounts receivable RBCD 885142161.62 5507839.36 837818105.83 5540525.12

Accounts receivable Robert Bosch Company 662807371.99 2563858.56 719908284.79 1160786.70

Accounts receivable Lezhuo Bowei 6415255.15 2764.25 3333359.57 1382.13

Accounts receivable WFEC 5025650.66 34059.99 3484406.91 17030.00

Accounts receivable Changchun Xuyang 49011400.86 28140261.21

Accounts receivable Wuxi Grain Depot 15900.62 1590.06 290447.45 740.95

141WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Accounts receivable Wuxi Industry Group 117750.00

Dividends receivable WFPM 5357758.49 5357758.49

Prepayments Robert Bosch Company 7106094.82 13992553.66

Other non-current assets Robert Bosch Company 7728051.60 7713000.00

Other non-current assets Wuxi Industry Group 5452800.00 5452800.00

Total 1634987334.57 8241649.55 1626269961.37 6852002.23

(2) Payable item

In RMB

Item Related party Ending book balance Opening book balance

Accounts payable WFPM 7162102.34 11557314.95

Accounts payable WFEC 356595314.43 821788108.10

Accounts payable RBCD 83744390.38 106344798.47

Accounts payable Robert Bosch Company 7917527.49 49807318.10

Accounts payable Urban Public Distribution 159977.13

Accounts payable Wuxi Grain Group 70557.01

Accounts payable Lezhuo Bowei 4192.30 7751.80

Accounts payable Voith HySTech GmbH 1607709.29

Accounts payable Chuangchun Xuyang 162773.76

Accounts payable Zhongcui Food 15584.00

Accounts payable FALCON 13500.00

Other payable Junhai Xichan 1666.67 1666.67

Contract liabilities WFPM 730.10 195643.85

Contract liabilities RBCD 0.36 0.36

Contract liabilities Robert Bosch Company 46630.98 999124.21

Other current liabilities RBCD 0.05 0.05

Other current liabilities WFPM 94.91 25433.70

Other current liabilities Robert Bosch Company 2535.00

Total 455501734.01 992730712.45

7. Undertakings of related party

Nil

8. Other

Nil

XV. Share-based payment

1. Overall situation of share-based payment

□Applicable ?Not applicable

2. Share-based payment settled by equity

□Applicable ?Not applicable

3. Share-based payment settled by cash

□ Applicable □ Not applicable

142WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

4. Current share-based payment expenses

□Applicable ?Not applicable

5. Modification and termination of share-based payment

Nil

6. Other

Nil

XVI. Undertakings or contingency

1. Important undertakings

Important commitments existing as of the balance sheet date

Nil

2. Contingency

(1) Major contingency on balance sheet date

Nil

(2) Explain reasons for the important contingency unnecessary to disclosed by the Company

The Company has no important contingency that need to disclosed

3. Other

Nil

XVII. Events after the balance sheet date

1. Important non-adjusting events

Nil

2. Profit distribution

Cash dividends for every 10 shares proposed to be distributed (yuan) 3

Share bonus for every 10 shares proposed to be distributed (shares) 0

Transfer of capital reserve into share capital (per10 shares) proposed 0

Cash dividends for every 10 shares declared to be distributed(yuan) 3

Share bonus for every 10 shares declared to be distributed (shares) 0

Transfer of capital reserve into share capital (per 10 shares) approved 0

Based on the latest total share capital of the company (966785693 shares) a cash dividend of RMB3.00 (including tax)

will be distributed for every 10 shares without bonus shares or capital reserve conversion into share capital. The total

Profit planned cash dividend for this round is 290035707.90 yuan (including tax). If there is a change in the total share capital

distribution of the company before the implementation of the distribution plan the company will distribute according to the principle

plan of unchanged distribution ratio and adjusted total distribution amount. The above-mentioned distribution plan complies

with the provisions of the company's articles of association and the review procedures and fully protects the legitimate

rights and interests of small and medium-sized investors.

3. Return of sales

Nil

143WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

4. Other events after balance sheet date

On July 9 2026 the 18th meeting of the 11th Board of Directors of the Company approved the "Proposal on External Investment

and Related Party Transactions." The Company plans to subscribe for an additional registered capital of RMB 230635892 in

Shanghai Xien Technology Co. Ltd. (hereinafter referred to as "Shanghai Xien") using its own or self-raised funds amounting to

RMB 450 million. Upon completion of this capital increase the company will hold 33.83% equity in Shanghai Xien and Shanghai

Xien will be included in the company's consolidated financial statements. As of the date of this report disclosure the company has

completed the payment and settlement of the investment amount.XVIII. Other important events

1. Previous accounting errors correction

(1) Retrospective restatement

Nil

(2) Prospective application

Nil

2. Debt restructuring

Nil

3. Asset replacement

(1) Non-monetary asset replacement

Nil

(2) Other asset replacement

Nil

4. Pension plan

The Enterprise Annuity Plan under the name of WFHT has deliberated and approved by 8th meeting of 7th session of the BOD: in

order to mobilize the initiative and creativity of the employees established a talent long-term incentive mechanism enhance the

cohesive force and competitiveness in enterprise the Company carried out the above mentioned annuity plan since the date of reply

of plans reporting received from labor security administration department. Annuity plans are: the annuity fund are paid by the

enterprise and employees together; the enterprise’s contribution shall not exceed 8% of the gross salary of the employees of the

enterprise per year the combined contribution of the enterprise and the individual employee shall not exceed 12% of the tota l salary

of the employees of the enterprise. In accordance with the State’s annuity policy the Company will adjust the economic benefits in

due time in principle of responding to the economic strength of the enterprise the amount paid by the enterprise at current period

control in the 8% of the total salary of last year the maximum annual allocation to employees shall not exceed five times the average

allocation to employees and the excess shall not be counted towards the allocation. The individual contribution is limited to 1% of

one’s total salary for the previous year. Specific paying ratio later shall be adjusted correspondingly in line with the operation

condition of the Company.

144WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

In December 2012 the Company received the Reply on annuity plans reporting under the name of WFHT from the labor security

administration department and later the Company entered into the Entrusted Management Contract of the Annuity Plan of WFHT

with PICC.

5. Termination of operation

Not applicable

6. Segment

(1) Recognition basis and accounting policy for reportable segment

Determine the operating segments in line with the internal organization structure management requirement and internal report ing

system. Operating segment of the Company shall satisfy the following conditions at the same time:

* The component is able to generate revenues and expenses in routine activities;

* Management of the Company is able to assess the operation results regularly and determine resources allocation and performance

evaluation for the component;

* The Company can obtain relevant accounting information such as the financial position operating results and cash flows of this

component through analysis.If two or more operating segments have similar economic characteristics and meet certain conditions they can be merged into one

operating segment.In consideration of the principle of importance the company determines the reporting segments on the basis of operating segments.The reporting segment of the company is a business unit that provides different products or services or operates in different regions.Due to the need for different technologies and market strategies in various businesses or regions the company independently

manages the production and operation activities of each reporting segment evaluates their operating results individually and decides

to allocate resources to them and evaluate their performance. The company mainly produces products of automotive internal

combustion engine fuel systems fuel cell components automotive parts mufflers purifiers vacuum and hydraulic pumps etc. And

it determines the reporting segments on the basis of products or service contents. However due to the mixed operation of related

businesses the total assets total liabilities and period expenses have not been allocated.

(2) Financial information for reportable segment

In RMB

Item Energy and Power Automotive Intelligence Industrial AI + Offsetting between segments Total

Revenue 5742165962.56 758099379.03 76795072.33 6577060413.92

Cost 4677190248.86 644913056.78 85828178.66 5407931484.30

(3) The company shall state the reasons if it has no reportable segments or is unable to disclose the total

assets and liabilities of each reportable segment.The company mainly produces products of automotive internal combustion engine fuel systems fuel cell components automotive

parts mufflers purifiers vacuum and hydraulic pumps etc. And it determines the reporting segments on the basis of products or

service contents. However due to the mixed operation of related businesses the total assets total liabilities and period expenses

have not been allocated.

(4) Other explanations

Nil

145WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

7. Major transaction and events influencing investor’s decision

Nil

8. Other

Nil

XIX. Principal notes of financial statements of parent company

1. Accounts receivable

(1) By account age

In RMB

Aging Ending book balance Beginning book balance

Within one year(inclusive) 1696388396.70 1671151997.55

Including: within 6 months 1669746556.47 1645841412.82

6 months to 1 year 26641840.23 25310584.73

1-2 years 24078155.16 8116785.90

2-3 years 2369699.66 1181729.54

Over 3 years 5370343.42 5657755.38

3 - 4 years 5249238.32 5045754.81

4 - 5 years 16735.37 191742.18

Over 5 years 104369.73 420258.39

Total 1728206594.94 1686108268.37

(2) Disclosure by classification based on the accrual method of bad debts reserve

In RMB

Ending balance Opening balance

Category Book balance Bad debts reserve Book Book balance Bad debts reserve Book

Amount Ratio Amount Accrual ratio value Amount Ratio Amount

Accrual

ratio value

Accounts receivable

with bad debts reserve 657841.7 657841.7 1331421 13117860.04% 100.00% 0.08% 98.53% 19634.04

accrued on single basis 5 5 .03 .99

Including:

Accounts receivable

with bad debts reserve 1727548 1366750 1713881 1684776 9621348 167515599.96% 0.79% 99.92% 0.57%

accrued on portfolio 753.19 8.82 244.37 847.34 .27 499.07

Including:

Receivables from 1539068 1366750 1525400 1467954 9621348 1458333

customers 89.06% 0.89% 87.06% 0.66% 111.29 8.82 602.47 762.11 .27 413.84

Receivables from 1884806 1884806 2168220 2168220

internal related parties 10.92% 12.86% 41.90 41.90 85.23 85.23

Total 1728206 1432535 1713881 1686108 1093313 1675175100.00% 0.83% 100.00% 0.65%

594.940.57244.37268.375.26133.11

Bad debts reserve accrued on single basis: 657841.75 yuan

In RMB

Beginning balance Ending balance

Name Book Bad debts Book Bad debts Accrual

balance reserve balance reserve ratio Accrued causes

SAIC HONGYAN

Automotive Co. Ltd 827475.79 807841.75 657841.75 657841.75 100.00%

Have difficulty in

collection

146WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Tianjin Leiwo Engine Co.Ltd. 503945.24 503945.24 0.00 0.00 100.00%

Have difficulty in

collection

Total 1331421.03 1311786.99 657841.75 657841.75

Bad debts reserve accrued on portfolio: 13667508.82 yuan

In RMB

Ending balance

Name

Book balance Bad debts reserve Accrual ratio

Within 6 months 1481265914.57

6 months to one year 26631452.10 2663145.23 10.00%

1-2 years 23430701.54 4686140.31 20.00%

2-3 years 2369699.66 947879.86 40.00%

Over 3 years 5370343.42 5370343.42 100.00%

Total 1539068111.29 13667508.82

Explanation on determining the basis of this portfolio:

In the portfolio accounts receivable from internal related parties:

Name of related party Amount Ratio of bad debts reserve (%)

WFTR 86335553.72

WFSC 43623751.78

VHWX 21768813.95

WFSS 24226252.22

WFLD 6321278.33

WFAM 1847931.46

WFQL 134642.08

WFET 2863885.13

WFAS 645731.03

WFBL 712802.20

Total 188480641.90

Bad debts reserves accrued on general model of expected credit loss:

□Applicable □Not applicable

(3) Bad debts reserve accrued recovered or reversed

Bad debts reserve accrued in the period:

In RMB

Category Opening

Amount changed in the period

balance Accrued Recovered or

Ending balance

reversed Written-off Other

Accrued on single basis 1311786.99 154461.16 499484.08 657841.75

Accrued on portfolio 9621348.27 4046160.55 13667508.82

Total 10933135.26 4046160.55 154461.16 499484.08 0.00 14325350.57

Important bad debts reserve recovered or reversed in the period：Nil

(4) Accounts receivable written off in the Period

In RMB

Item Write-off amount

Actual written-off accounts receivable 499484.08

147WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

(5) Top 5 receivables and contract assets at ending balance by debtor

In RMB

Ending Ending balance of Ratio in total ending Ending balance of bad

Name Ending balance of balance of accounts receivable and balance of accounts debts reserve and accounts receivable contract contract assets receivable and impairment provision of assets contract assets contract assets

RBCD 885142161.62 885142161.62 51.22% 5507839.36

Client1 163777463.51 163777463.51 9.48% 20233.60

Robert

Bosch 155084985.72 155084985.72 8.97% 2282279.68

Company

WFTR 86335553.72 86335553.72 5.00%

Client 5 78929632.18 78929632.18 4.57%

Total 1369269796.75 1369269796.75 79.24% 7810352.64

2. Other accounts receivable

In RMB

Item Ending balance Opening balance

Interest receivable 385076.40 117347.22

Dividends receivable 1942779301.20 5357758.49

Other accounts receivable 411344706.41 483559405.62

Total 2354509084.01 489034511.33

(1) Interest receivable

1) Category of interest receivable

In RMB

Item Ending balance Opening balance

Interest receivable of subsidiaries 385076.40 117347.22

Total 385076.40 117347.22

2) Significant overdue interest

Other explanation: Nil

3) Accrued bad debts reserve

□Applicable □Not applicable

4) Bad debts reserve accrued recovered or reversed

Nil

5) Interest receivable charged off during the report period

Nil

(2) Dividends receivable

1) Category of dividends receivable

In RMB

148WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Investee Ending balance Opening balance

Zhonglian Electronics 340000000.00

RBCD 1597421542.71

WFPM 5357758.49 5357758.49

Total 1942779301.20 5357758.49

2) Important dividends receivable with aging over one year

Nil

3) Accrued bad debts reserve

□Applicable □Not applicable

4) Bad debts reserve accrued recovered or reversed

Nil

5) Dividends receivable charged off during the report period

Nil

(3) Other accounts receivable

1) By nature

In RMB

Nature Ending book balance Opening book balance

Staff loans and petty cash 254111.01 140080.00

Balance of related party in the consolidation scope 2379260000.00 2456258778.73

Margin 3186966.99 3046966.99

Social security and provident fund paid 6322284.56 6268831.03

Other 4453619.43 32500.00

Total 2393476981.99 2465747156.75

2) By aging

In RMB

Aging Ending book balance Beginning book balance

Within one year (One year included) 137177935.00 189367609.76

Including: within 6 months 137097935.00 189287609.76

6 months to one year 80000.00 80000.00

1-2 years 97.19 125219.45

2-3 years 125122.26

Over 3 years 2256173827.54 2276254327.54

3-4 years 933996232.43 2274661181.33

4-5 years 1320684948.90 50000.00

Over 5 years 1492646.21 1543146.21

Total 2393476981.99 2465747156.75

3) Disclosure by classification based on the accrual method of bad debts reserve

Provision for bad debts reserve based on the general model of expected credit loss:

In RMB

149WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Phase I Phase II Phase III

Expected credit Expected credit loss for Expected credit loss for Bad debts reserve

loss over next 12 the entire duration the entire duration (with

Total

months (without credit credit impairment impairment occurred) occurred)

Balance of Jan. 1 2026 3027371.43 1979160379.70 1982187751.13

Balance of Jan. 1 2026 in the

period

Current accrual 25024.45 25024.45

Current reversal 80500.00 80500.00

Balance on June 30 2026 2971895.88 1979160379.70 1982132275.58

Change of book balance of loss provision with amount has major changes in the period

□Applicable □Not applicable

4) Bad debts reserve accrued recovered or reversed

Bad debts reserve accrued in the period:

In RMB

Amount changed in the period

Category Opening balance Ending balance

Accrued Recovered or reversed Written-off Other

Bad debts

reserve 1982187751.13 25024.45 80500.00 1982132275.58

Total 1982187751.13 25024.45 80500.00 1982132275.58

Including the important bad debts reserve recovered or reversed in the period: Nil

5) Other receivables charged off during the report period

Nil

6) Top 5 other receivables at ending balance by debtor

In RMB

Ratio in total

Name Nature Ending balance Aging ending balance of Ending balance of

other receivables bad debts reserve

WFTR Balance of related party in the consolidation scope 2253260000.00 Over 3 years 94.14% 1979160379.70

WFCA Balance of related party in the consolidation scope 101000000.00 Within 1 year 4.22%

WFAS Balance of related party in the consolidation scope 25000000.00 Within 1 year 1.04%

Total 2379260000.00 99.40% 1979160379.70

7) Those booked into other accounts receivable due to centralized fund management

Other explanation: Nil

3. Long-term equity investments

In RMB

Ending balance Opening balance

Item

Book balance Impairment provision Book value Book balance

Impairment

provision Book value

Investment in

subsidiary 4220244282.40 4220244282.40 4274257102.63 4274257102.63

150WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Investment in

associated

enterprises and 4582573209.38 4582573209.38 5989123912.54 5989123912.54

joint venture

Total 8802817491.78 8802817491.78 10263381015.17 10263381015.17

(1) Investment in subsidiaries

In RMB

Opening Changes in current period Ending

Investee Opening balance balance of Impairment Ending balance balance of (book value) impairment Additional Negative

Investment Investment provision Other

(book value) impairment

provision accrued provision

WFJN 185704551.82 185704551.82

WFLD 658974651.80 658974651.80

WFMA 170986195.35 170986195.35

WFCA 352664737.01 352664737.01

WFTR 33726511.51 33726511.51

WFSC 51116685.47 51116685.47

WFTT 238063380.00 238063380.00

WFAM 82454467.99 82454467.99

WFDT 54012820.23 54012820.23

SPV 1838103170.66 1838103170.66

WFLD(Chongqing) 191160.00 191160.00

WFAS 631890.00 631890.00

WFQL 225000000.00 225000000.00

VHWX 143559879.99 143559879.99

WFSS 215005302.80 215005302.80

WFET 24061698.00 24061698.00

Total 4274257102.63 54012820.23 4220244282.40

(2) Investment in associated enterprises and joint venture

In RMB

Current changes (+/ -)

Opening Opening Ending Ending

Investee balance balance of Investment Cash balance balance of (book impairment Other (book provision

value) provision Additional Capital

gain/loss comprehensive Other dividend Impairment recognized value) impairment investment reduction under income

equity or profit provision Other

adjustment change announced accrued equity to issued

I. Joint venture

II. Associated enterprise

37602

RBCD 64140. 2763857 1597421

24392

52.09542.7128349.1856

Zhonglian 20858 20140

Electronics 81289.

268119593400000

200.98

00.0000880.18

WFPM 44103 1761750. 74650720.45 73 .39

45940

121.57

Lezhuo 98874 - 83403

Bowei 762.71 1547090 4.64 858.07

5989145825

Subtotal 23912. 0.00 0.00 0.00 5307961 74650 1937421

5489.16.39542.71

73209.

38

5989145825

Total 23912. 0.00 5307961 74650 193742189.16 .39 542.71 73209. 54 38

The recoverable amount is determined on the basis of the net amount after deducting disposal expenses from fair value

□Applicable □Not applicable

151WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

The recoverable amount is determined on the basis of the present value of expected future cash flows

□Applicable □Not applicable

Reasons for significant inconsistencies between the aforementioned information and the information used in impairment tests of

prior years or external information

Nil

Reasons for significant inconsistencies between the information used in the company’s impairment tests of prior years and the

actual situation of the current year

Nil

(3) Other explanations

Nil

4. Operating income and cost

In RMB

Current period Last period

Item

Income Cost Income Cost

Main business 2021778821.10 1690923766.96 1671101977.89 1426898652.14

Other business 209480468.71 172066386.31 149675813.72 127350888.53

Total 2231259289.81 1862990153.27 1820777791.61 1554249540.67

5. Investment income

In RMB

Item Current period Last period

Investment income generated from the disposal of long-term equity investments -12114393.24

Investment income of tradable financial assets during holding period 12946606.27 4729903.52

Investment income from disposing of tradable financial assets 957401.23

Investment income in subsidiaries 475645907.12

Investment income in joint ventures and associated enterprises 530796189.16 488623036.82

Revenue from debt restructuring -11250.00 -81788.63

Gain on derecognition of financial assets measured at amortized cost -18266.67

Total 531598885.52 969874460.06

6. Others

Nil

XX. Supplementary Information

1. Current non-recurring gains/losses

□Applicable □Not applicable

In RMB

Item Amount Note

Gains/losses from the disposal of non-current assets 2797183.06

Governmental grants reckoned into current gains/losses (except for those with normal operation business

concerned and conform to the national policies & regulations and are continuously enjoyed at a fixed or 9123350.61

quantitative basis according to certain standards)

Except for the effective hedging operations related to normal business operation of the Company the

gains/losses from changes in fair valuefrom holding the tradable financial assets and trading financial

liabilities and the investment earnings obtained from disposing the tradable financial asset trading -45338513.37

financial liability and financial assets available for sale

152WEIFU HIGH-TECHNOLOGY GROUP CO. LTD. SEMI-ANNUAL REPORT 2026

Reversal of impairment provision for receivables separately tested for impairment transfer back 762876.44

Gains/losses of debt restructuring -509395.38

Other non-operating income and expenditure except for the aforementioned items 1928124.84

Less: Impact on income tax -6806842.56

Impact on minority shareholders’ equity (After tax) 1893517.15

Total -26323048.39 --

Specific information on other items of gains/losses that qualified the definition of non-recurring gains/losses

□Applicable □Not applicable

The Company does not have other gains/losses that qualified the definition of non-recurring gains/losses

Information on the definition of non-recurring gains/losses that are listed in the Q&A Announcement No.1 on Information

Disclosure for Companies Offering Their Securities to the Public --- Extraordinary (non-recurring) Gain)/Loss as the recurring

gains/losses

□Applicable □Not applicable

2. ROE and earnings per share

Weighted Earnings per share Profits during report period average ROE Basic earnings per Diluted earnings per

share (RMB/Share) share (RMB/Share)

Net profits attributable to common stock stockholders of the Company 4.20% 0.87 0.87

Net profits attributable to common stock stockholders of the Company after

deducting non-recurring gains/losses 4.33% 0.89 0.89

3. Difference of the accounting data under accounting rules in and out of China

(1) Difference of the net profit and net assets disclosed in financial report under both IAS

(International Accounting Standards) and Chinese GAAP (Generally Accepted Accounting

Principles)

□ Applicable □ Not applicable

(2) Difference of the net profit and net assets disclosed in financial report under both foreign

accounting rules and Chinese GAAP (Generally Accepted Accounting Principles)

□ Applicable □ Not applicable

(3) Explanation on data differences under the accounting standards in and out of China; as for the

differences adjustment audited by foreign auditing institute listed name of the institute

Nil

4. Other

Nil

BOD of Weifu High-Technology Group Co. Ltd.August 26 2026

153