Table of Contents

About This Report 01 Compliant Green and Staying True

Operations for Stable and Low-Carbon Development to Our Mission and Long-Term Development for Building a Beautiful Joining Hands to Create About BioKangtai 03 Ecological Home Together a Better Future

Company Overview 03 Standardized Corporate Governance for Efficient

Corporate Culture 04 Operations 17 Environmental Compliance for Strengthening Collaborative Development for Promoting Acces-

Pollution Prevention and Control 54 sibility to Healthcare 77

Performance in 2024 05 Investor Relations Management for Safeguard-

ing Shareholder Interests 20 Low Carbon and Energy Conservation for Address- Giving Back to Society and Fulfilling Corpo-

Company Milestones 07 ing Climate Change 60 rate Responsibility 80

Risk Prevention and Control for Strengthening

Honors 1 1 the Compliance Foundation 22

Participation in Key Industry Associations 1 3 Integrity as the Foundation and Adhering to

Business Ethics 24

Sustainable Development Governance 13

Sustainable Development Philosophy 13 Innovation Leading Uniting Hearts

Communications with Stakeholders 14 and Creating Excellence and Efforts for Building

in Safe Vaccines a Warm and Inclusive

Material Issue Identification 15 Workplace

Innovation-Driven for Supporting Industry Devel-

opment 28 People-Oriented Approach for Protection of

Employees’ Rights and Interests 66

Future Outlook 81 Quality Control for Strengthening Product Safety

37 Safe Production for Safeguarding Employee

Health 72

Appendix 82 Win-Win Cooperation for a Sustainable Supply

Chain 47

ESG Performance Overview 82

Information Protection for Strengthening Data

Indexes 85 Security 482024 Environmental Social and Governance (ESG) Report

About This Report

This report is the Environmental Social and Governance (ESG) Report (hereinafter referred to as the “ESG Report”)

issued by Shenzhen Kangtai Biological Products Co. Ltd. Adhering to the principles of objectivity standardization

transparency and comprehensiveness this report provides a detailed disclosure of the Company’s practices and

performance in the areas of environmental protection social responsibility and corporate governance during the

year 2024.Reporting Scope Data Explanation

This report takes “BioKangtai” as the main reporting entity and includes its subsidiaries. Unless otherwise specified All information and data referenced in this report are sourced exclusively from official documents statistical reports

the scope of this report is consistent with that of the Company’s annual report. and financial statements of BioKangtai as well as information related to sustainable development practices gathered

consolidated and audited across various functional departments and business units within the Company.Reporting Period This report doesn’t contain any false records misleading statements or material omissions. Unless otherwise speci-

fied all amounts in this report are expressed in RMB.This report covers the period from January 1 2024 to December 31 2024 (hereinafter referred to as the “reportingperiod”). In order to enhance the comparability and completeness of the report some of the contents may appropri-

ately trace back to previous years or have forward-looking descriptions.Definition

Impact Duration

Term Interpretation

In this report the definitions of short-term medium-term and long-term impact durations are as follows: short-term The Company BioKangtai Shenzhen Kangtai Biological Products Co. Ltd.refers to within 1 year medium-term refers to 1–5 years and long-term refers to more than 5 years. BioMinhai Beijing Minhai Biotechnology Co. Ltd.Preparation Basis

Access to this Report

Shenzhen Stock Exchange Self-Regulatory Guidelines No. 17 for Companies Listed on Shenzhen Stock Exchange - Sustain-

ability Report (For Trial Implementation)

This report is available for review and download on the official websites of the Company (www.biokangtai.com) and

Shenzhen Stock Exchange Self-Regulatory Guidance No. 3 for Companies Listed on the ChiNext Market of Shenzhen Stock

the Shenzhen Stock Exchange website (http://www.szse.cn). This report is published in Chinese and English with the

Exchange—Preparation of Sustainability Report

English version derived from the Chinese version. For any discrepancy between the two versions the Chinese version

Sustainability Reporting Standards of the Global Reporting Initiative (GRI Standards)

shall prevail.Chinese Academy of Social Sciences (CASS) China Corporate Sustainable Development Report Guide (CASS-CSR 6.0)

Task Force on Climate-related Financial Disclosures (TCFD) Recommendations

Sustainable Development Goals (SDGs) of the United Nations

Sustainability Accounting Standards Board (SASB) Standards

01 022024 Environmental Social and Governance (ESG) Report

About BioKangtai

Company Overview

Headquartered in Shenzhen Shenzhen Kangtai Biological Products Co. Ltd. has been specialized in R&D production and sales of

vaccines for human use since its establishment in 1992. The Company was listed on the ChiNext market of the Shenzhen Stock Corporate Culture

Exchange in February 2017 (stock code: 300601). Since its inception the Company has placed a strong emphasis on innovative R&D

and has grown into an innovative biopharmaceutical enterprise with robust R&D capabilities a wide product portfolio leading industry The Company has always adhered to the corporate purpose of “produce the best vaccines to benefit mankind” and the core

scale and significant international progress. The Company has the capability to research and produce viral vaccines bacterial vaccines

value of “dedication to people’s health”. With a focus on long-term exploration in the biopharmaceutical sector the Company

genetically engineered protein vaccines conjugate vaccines and combination vaccines among others. It also possesses product devel-

opment capabilities in platform technologies such as viral vectors novel adjuvants and nucleic acid vaccines (mRNA). BioKangtai is one aims to become a leading and world-renowned biopharmaceutical multinational company to contribute to the development

of the companies with the most comprehensive vaccine R&D platforms in China. Meanwhile keeping abreast of international of public health sciences.cutting-edge technology the Company has been exploring the research on application of new vaccine technologies and the establish-

ment of new technology platforms and effectively applied the technology platforms through multi-product development so as to Purpose

continuously enhance the Company’s innovative R&D strength.Produce the best vaccines to benefit mankind

The Company has been engaged in the vaccine industry for over 30 years. Its product portfolio covers both vaccines for the national

immunization program vaccines and non-immunization program vaccines with products reaching 31 provinces municipalities and

autonomous regions. At present the Company has 11 listed and approved products for emergency use with nearly 30 products under

research covering key global vaccine varieties. Among these “60μg Recombinant Hepatitis B Vaccine (Saccharomyces cerevisiae)” and

“Dual-Carrier 13-Valent Pneumococcal Polysaccharide Conjugate Vaccine” independently researched and developed by itself are the

world’s first of their kind and used for the special group of people who do not have any response to Hepatitis B Vaccine; the self-devel-

oped Diphtheria Tetanus Acellular Pertussis and Haemophilus Influenzae Type b Combined Vaccine (DTaP-Hib Combined Vaccine)

(quadruple vaccine) is the domestic vaccine with the largest number of combined vaccines; and the Rabies vaccine (human diploid cell)

for human use Freeze-dried is the first “Four doses” of rabies vaccine (human diploid cell) approved in China. The Company has formed Vision Core Value

a diversified and innovative product pipeline layout with industry competitiveness. With the upcoming release of the products under

development the Company’s sustainable development will be greatly guaranteed and its competitiveness will be further enhanced. Become a leading and world-re- Company Dedication to people’s health

nowned biopharmaceutical multina- Culture

While enhancing the cultivation of domestic market and continuously optimizing the sales network layout the Company has adhered to tional company that pursues high

the “Bring In” and “Go Global” strategies to promote its products to the international market. Since its establishment the Company has

product quality high corporate

undertaken the technology transfer from international vaccine giants such as Merck(USA) Sanofi(France) Intravacc(Netherlands)

AstraZeneca (UK) etc. At the same time the Company utilizes the advantages of its own rich product reserves to continue to increase efficiency technological innovation

the expansion of overseas markets.Since 2022 the Company has signed cooperation agreements with partners from over ten countries resource conservation and harmoni-

including Indonesia Pakistan Bangladesh Nicaragua Colombia Egypt Nigeria Sri Lanka and India. These agreements cover the ous development

registration promotion commercialization and technology transfer of products such as the 13-Valent Pneumococcal Polysaccharide

Conjugate Vaccine 23-Valent Pneumococcal Polysaccharide Vaccine Inactivated Poliomyelitis Vaccine and DTaP-Hib Combined Vaccine

(quadruple vaccine) etc. in overseas markets. In March 2025 the Company the Beijing Economic-Technological Development Area Operation Principle Company Spirit

Administrative Committee and AstraZeneca signed the Economic Development Cooperation Agreement and Term Sheet with the intention

People orientation excellence honesty efficiency The backbone of our Company is the spirit of diligent

of establishing a deep strategic partnership focused on vaccine investment. The parties plan to set up a joint venture in the Beijing

Economic-Technological Development Area which will serve as a platform for developing innovative vaccines in China and supplying innovation and cohesion perseverant cohesive enterprising and self-empower-

vaccines to both the Chinese market and emerging markets. In the future the Company will continue to increase its efforts in interna- ing

tional market expansion actively explore international market cooperation strengthen the overseas registration of its products and

develop diversified sales channels for its products striving to become a leading and world-renowned biopharmaceutical multinational

company.

03 042024 Environmental Social and Governance (ESG) Report

Performance in 2024

Economic Performance Environmental Performance

Operating Income Net Profit Environmental Investment Direct Greenhouse Gas Emissions

2651.72million yuan 201.55million yuan 3.8388million yuan 19829.65tCO2e

Total Assets at Year-End Various Taxes and Fees Number of Penalties for Violations of Environmental Laws and Regulations Indirect Greenhouse Gas Emissions

14563.71million yuan 122.50million yuan 0 86228.19tCO2e

Shareholders’ Equity Basic Earnings per Share Environmental Training GHG Emission Intensity

9661.03million yuan RMB 0.18 22times 0.40tCO2e/10000 yuan of revenue

Industry Value Performance Social Performance

Investment in R&D Ratio of R&D Investment to Operating Revenue Number of R&D Personnel Total Number of Employees Female Employees Percentage of Female Employees

569.22million yuan 21.47% 362persons 1913persons 721persons 37.69%

Percentage of R&D Personnel Number of Authorized Invention Patents Number of Authorized Utility Model Patents Percentage of women in management Employee Turnover Rate Labor Contract Signing Rate

18.92%662229.41%7.52%100%

Product Recalls Quality Training Total hours of Quality Training Social Insurance Coverage Rate Investment in Employee Training Investment in Social Welfare

0case 7936times 11536hours 100% 1.0709million yuan 8.4973million yuan

05 062024 Environmental Social and Governance (ESG) Report

Company Milestones 2005

The Company replaced its 10 μg Hepatitis B Vaccine (1.0 mL per dose) with 10 μg Hepatitis B Vaccine (0.5 mL per

dose) for adults.

1992 The Company acquired its second GMP certificate for Hepatitis B vaccine.

Company founded 2008

After a strategic reorganization BioKangtai acquired BioMinhai as its wholly-owned subsidiary.

1994

The Company completed pilot production of 5 μg Hepatitis B Vaccine which was later approved by the Ministry of 2010

Health.The Company successfully developed the first 60 μg Hepatitis B Vaccine (1.0 mL per dose) for adults hepatitis B

vaccine non-responders in China;

1995 The Company acquired the third GMP certificate for its Hepatitis B Vaccine.

The Company’s 5 μg Hepatitis B Vaccine (0.5 mL per dose) met the quality standards of Merck & Co. INC and

the vaccine acquired approval number for pilot production from the Ministry of Health. 2011

The Company introduced its 20 μg Hepatitis B Vaccine (1.0 mL per dose) for adults.

2000 The Company introduced its 10 μg Hepatitis B Vaccine (0.5 mL per dose) for children.

The Company acquired the first GMP certificate for its Hepatitis B Vaccine.

2012

2002 The Company acquired a GMP certificate for its Hib Conjugate Vaccine;

The Company acquired a GMP certificate for its DTaP-Hib Combined Vaccine.The Company introduced its 10 μg Hepatitis B Vaccine (1.0 mL per dose) for adults.

20042013

The Company acquired GMP certificate for its Measles and Rubella Combined Vaccine Live;

The Company introduced Hepatitis B Vaccine with a shelf life of three years which is the first of its kind in China.BioMinhai established a postdoctoral R&D center in Beijing.

07 082024 Environmental Social and Governance (ESG) Report

20142021

The Company acquired a GMP certificate (2010 version) for its Hepatitis B Vaccine; The Company’s SARS-CoV-2 Vaccine Inactivated was approved for emergency use in China;

The Company acquired a GMP certificate for its Hib Conjugate Vaccine (prefilled); The Company’s Recombinant COVID-19 Vaccine (Y25 Adenovirus Vector) was authorized for emergency use by the

The Company collaborated with INTRAVACC (Netherlands) and WHO to import Inactivated Poliomyelitis Vaccine; National Agency of Drug and Food Control of Republic of Indonesia;

BioMinhai established the Beijing Novel Combination Vaccine R&D Center the Beijing Academician Workstation and The Company's 13-Valent Pneumococcal Polysaccharide Conjugate Vaccine received drug registration certificate.the Beijing International Sci-Tech Cooperation Base for Novel Vaccines.

2022

2015 The Company’s production site for Recombinant COVID-19 Vaccine (Y25 Adenovirus Vector) received a Declaration of Conformity issued by the EU’s qualified person;

BioMinhai established the National-Local Joint Engineering Laboratory for Novel Vaccine Technologies. The Company’s vaccine production site in Guangming District Shenzhen received a GMP Declaration of Conformity

issued by the Food and Drug Administration Philippines.

2017

The Company was listed on the ChiNext Market of Shenzhen Stock Exchange. 2023

The Rabies Vaccine (human diploid cell) for Human Use Freeze-dried received drug registration certificate.

2018

BioKangtai’s Guangming Base in Shenzhen was officially put into use. 2024

Inactivated Poliomyelitis Vaccine received drug registration certificate;

Minhai International Industrial Base for Novel Vaccines was officially put into operation

2019 Group Headquarters Building—Kangtai Innovation Square inaugurated positioning it as an important biopharmaceu-

The Company’s 23-Valent Pneumococcal Polysaccharide Vaccine received a GMP certificate and was launched. tical R&D and headquarters hub in Shenzhen.

09 102024 Environmental Social and Governance (ESG) Report

Honors Honors Awarded by

Beijing Municipal Science and Technology Commission

Beijing Municipal Finance Bureau

High-Tech Enterprise Certificate

Beijing Tax Service

Honors Awarded by

Beijing Science and Technology Beijing Municipal People’s Government

Shenzhen Municipal People’s Government Science and

First Prize of Shenzhen Science and Technology Awards Beijing Key Laboratory for Novel Conjugate Vaccine Technology Beijing Municipal Science and Technology Commission

Technology Awards Committee

Beijing Novel Vaccine Engineering Laboratory Beijing Municipal Development and Reform Commission

Guangdong Provincial Economic and Information Commission Ministry of Human Resources and Social Security

Leading Enterprise of Guangdong Pilot 100 Program Postdoctoral R&D Center

Guangdong Provincial Science and Technology Department etc. China Postdoctoral Management Committee

Science Technology and Innovation Commission of Shenzhen Beijing Novel Combination Vaccine R&D Center Beijing Municipal Science and Technology Commission

Municipality

National-Local Joint Engineering Laboratory for Novel Vaccine Technologies National Development and Reform Commission of China

High-Tech Enterprise Certificate Shenzhen Municipal Finance Committee

Beijing Enterprise Technology Center Beijing Municipal Bureau of Economy and Information Technology

Shenzhen Tax Service etc.Science and Technology Award of the Chinese Pharmaceutical Association Chinese Pharmaceutical Association

Academician (Expert) Workstation Shenzhen Association for Science and Technology Academician (Expert) Workstation Beijing Association for Science and Technology

Guangdong “Excellent Group Member” for Qualified Worker Pioneer All-China Federation of Trade Unions

Qualified Person Committee of Guangdong Pharmaceutical Association

Person in the Pharmaceutical Industry

Beijing Intellectual Property Demonstration Organization Beijing Municipal Intellectual Property Office

Pioneer of the Year in COVID-19 Relief 2021 Shenzhen Corporate Social Responsibility Conference Top 100 Beijing Private Enterprises in Science and Technology Innovation Beijing Municipal Federation of Industry and Commerce

Shenzhen Advanced Grassroots Party Organization CPC Shenzhen Municipal Committee Zhongguancun High-tech Enterprise Certificate Zhongguancun Science Park Management Committee

Beijing Model Worker’s Home Beijing Municipal Human Resources and Social Security Bureau

“Global Top 100 Pharmaceutical Enterprises” in COVID-19 Relief Torreya a global investment bank

Ministry of Human Resources and Social Security of the People’s

Model Collective in Love Donation for COVID-19 Pandemic Red Cross Society of China Jiangxi Branch Jiangxi Red Cross Foundation Demonstration Enterprise in Harmonious Labor Relations in China Republic of China

Prevention and Control in 2020 All-China Federation of Trade Unions etc.BioMinhai

Honorary Certificate of Recognition for the Fight Against the CPC Shenzhen Municipal Committee Shenzhen Municipal Government Practice Site of Examiner Practice (Beijing Zhongguancun) Base of China Zhongguancun Intellectual Property Promotion Center under the

COVID-19 Pandemic in Shenzhen

National Intellectual Property Administration supervision of Beijing Municipal Intellectual Property Office as

BioKangtai authorized by China National Intellectual Property Administration

Top of the 2021 Brand Communication Power list of Listed Shenxin Communication Think Tank of ShenZhen Press Group

Companies in the Pharmaceutical and Medical Industry in the Daxing District Green Credit Five Star Enterprise Joint Conference Office of Beijing Daxing District Green Credit System

Greater Bay Area Qingbo Intelligent Technology Co. Ltd. National Demonstration Enterprise in Intellectual Property Right Protection State Intellectual Property Office

“Top Ten Caring Enterprises” of the 19th Shenzhen Care Action Shenzhen Spiritual Civilization Construction Committee Beijing Municipal Human Resources and Social Security Bureau

Beijing Advanced Enterprises in Building Harmonious Labor Relations

Beijing Municipal Federation of Trade Unions etc.AA Rating of “2022 Wind ESG Rating” ranked in the top 10 in the

healthcare sector Wind Beijing Municipal Federation of Trade Unions Beijing Municipal Research and Development of New Vaccine - Liu Jiankai Innovation Studio Commission of Science and Technology

Xinhuanet

2022 Enterprise ESG Outstanding Social Responsibility Practice Case Manufacturing Enterprises Beijing Enterprise Confederation

China Enterprise Reform and Development Society Leader of Beijing Association for Science and Technology Next Generation Vaccine

Development Enterprise Innovation Consortium Beijing Association for Science and Technology

China’s Top 500 New Economy Enterprises China Enterprise Evaluation Association 2024 Beijing Top 100 Manufacturing Enterprises Beijing Enterprise Directors Association

National Enterprise Technology Center National Development and Reform Commission Grand Prize of Science and Technology Award of Guangdong Preventive

Medical Association - Guangdong Major Diseases Vaccine Innovation and Guangdong Preventive Medicine Association

2023 Guangdong Top 500 Enterprises Guangdong Provincial Association of Entrepreneurs Industrialization

Beijing “Two Industries Integration” Pilot Enterprise Beijing Municipal Development and Reform Commission

2024 Typical Board of Directors Practice Case of Listed Companies China Association for Public Companies

2024 Excellent EHS Management Case for Pharmaceutical Enterprises China Pharmaceutical Enterprises Association

2024 Listed Company ESG Value Delivery Award Shenzhen Value Online Co. Ltd. Beijing Municipal Health Commission

Beijing Health Enterprise

Top 300 Most Popular Listed Companies Tonghuashun Beijing Municipal Federation of Trade Unions

National Green Factory Ministry of Industry and Information Technology of the People’s Republic2024 Best Practice in Digital Transformation of Listed Companies China Association for Public Companies of China

Beijing Green Factory Beijing Municipal Bureau of Economy and Information Technology

11 122024 Environmental Social and Governance (ESG) Report

Participation in Key Industry Associations Communications with Stakeholders

BioKangtai has established diverse communication channels both online and offline actively engaging with stakeholders

Association Designation including shareholders and investors customers employees suppliers and partners government and regulatory bodies

China Association for Vaccines Vice President Unit industry associations communities and the public. The Company responds to the demands and expectations of each stake-

Guangdong Society of Biomedical Engineering holder group promoting mutually beneficial outcomes between the Company’s development and its stakeholders.Unit Member

Arrhythmia Branch

Stakeholders Communication Channels Expectations and Requirements

China Association for Public Companies Member Unit

Shenzhen Public Companies Association General Meeting of Shareholders Corporate Governance

Bio-pharmaceutical and Health Committee Vice Chairman irm.cninfo.com.cn Compliance and Risk Management

Economic Performance

Shareholders and Investor Communication Roadshows Conference

Shenzhen Life Sciences and Biotechnology Association Vice President Unit Innovation-driven

Investors Investor Hotline/Email Supply Chain Security

Shenzhen Biological Medicine Promotion Association Governing Unit

Guangdong Preventive Medicine Association Vice President Unit Data Security and Customer Privacy ProtectionCustomer Visits

Product Quality and Safety

Guangdong Bio-Pharmaceutical Innovation Association Governing Unit Industry Exchanges Protection of Customers’ Rights and Interests

Customers Customer Services and Customer Complaints

Shenzhen Bio-pharmaceutical Industry Alliance Governing Unit Innovation-driven

Guangdong Food & Drug Technology Association for Evaluation & Certification Member Regular Meetings

Employee Activities Labor Rights

Guangdong Bio-Pharmaceutical Innovation Technology Association Governing Unit

Labor Union Employee Training & Development

Jiangxi Preventive Medicine Association Member Employees Employees’ Congress Occupational Health and Safety

Guangdong Preventive Medicine Association Member Complaints and Feedback

Hunan Preventive Medicine Association Vice President Supplier Evaluation and Auditing Supply Chain Security

Supplier Training Product Quality and Safety

Nanchang Preventive Medicine Association President Suppliers and

Partners Industry Exchanges Innovation-driven

Pollutant Emissions

Sustainable Development Governance Waste Disposal

Regular Work Summary and Official Environmental Compliance Management

Government and Correspondence Anti-commercial Bribery and Anti-corruption

Sustainable Development Philosophy Regulatory Agencies Law Enforcement Supervision and Inspection Anti-unfair Competition

Communications with StakeholdersBioKangtai is committed to promoting sustainable development adhering to the corporate purpose of “produce the best Product Quality and Safetyvaccines to benefit mankind” and practicing the core value of “dedication to people’s health”. The Company insists on Industry Associations and Organizations

standardized operations and integrity in its business practices placing high importance on the protection of stakeholders’ Industry Exchanges Innovation-driven

rights including those of shareholders employees customers and suppliers. The Company aims to promote sustainable Industry Associations Project Cooperation

and coordinated development between itself society and the environment thereby achieving long-term value.Pollutant Emissions

Waste Disposal

To further strengthen ESG governance the Company has incorporated ESG responsibilities into the Strategy Committee’s Community Activities Environmental Compliance Management

functions and revised the Board of Directors’ Strategy Committee Work Rules. The Strategy Committee is responsible for Public Welfare Services Energy Utilization

researching and formulating the ESG strategy managing key topics reviewing ESG reports and monitoring the progress of Community and the Media Communication Water Resource Utilization

Public

goal implementation. This ensures that the sustainable development philosophy is deeply embedded in all aspects of the Popularization of Vaccine Knowledge Contribution to Society

Company’s operations. Response to Climate Change

13 142024 Environmental Social and Governance (ESG) Report

Material Issue Identification

Referring to the United Nations Susta利in益ab相le关 D方evelopment Goals (SDGs) domestic and international ESG reporting standards

and industry-specific concerns the Company undertook the identification of material issues based on its future development

strategy business model as well as expert opinions with full consideration of the demands and expectations of stakehold-

ers. A total of 19 issues were identified which were then prioritized based on their impact on environmental social and

economic aspects as well as their financial significance to the Company.Pollutant Emissions

Waste Disposal

Data Security and Customer Privacy Protection

Labor Rights

Innovation-driven

Employee Training & Development

Product Quality and Safety

Occupational Health and Safety

Anti-commercial Bribery and Anti-corruption

Anti-unfair Competition

Supply Chain Security

Environmental Compliance Management

Energy Utilization

Water Resource Utilization

Protection of Customers’ Rights and Interests Response to Climate Change Compliant Operations for

Contribution to Society

Due Diligence Stable and Long-Term Development

Communications with Stakeholders

Standardized Corporate Governance for Efficient Operations 17

Investor Relations Management for Safeguarding Shareholder Interests 20

General Materiality Highly Important Risk Prevention and Control for Strengthening the Compliance Foundation 22

Importance to BioKangtai’s Financial Performance Integrity as the Foundation and Adhering to Business Ethics 24

1516

Highly Important Importance of Impact on Society Economy and Environment2024 Environmental Social and Governance (ESG) Report

Standardized Corporate Governance for Efficient General Meeting of Shareholders

Operations The Company strictly follows the requirements of the Company Law Rules for the General Meeting of Shareholders of Listed

Companies and the Articles of Association to establish the Rules of Procedure for General Meetings of Shareholders. These rules

standardize the procedures for convening conducting and voting at the shareholders’ meeting ensuring that the rights andBioKangtai in accordance with the Company Law of the People’s Republic of China (hereinafter referred to as the “Company obligations of shareholders are fully protected. The Company holds General Meeting of Shareholders through a combinationLaw”) Securities Law of the People’s Republic of China (hereinafter referred to as the “Securities Law”) Guidelines for the of on-site and online voting ensuring that shareholders can fully exercise their rights. A lawyer is invited to attend and

Articles of Association of Listed Companies Rules Governing the Listing of Shares on the GEM of Shenzhen Stock Exchange and No. 2 provide legal opinions. When deliberating on major issues that may affect the interests of minority investors the votes of

Guidelines of the Shenzhen Stock Exchange for the Self-Regulation of Listed Companies - Standardized Operation of Companies Listed minority investors are counted separately effectively safeguarding the legal rights of shareholders especially small and

on ChiNext Market has formulated the Articles of Association of Shenzhen Kangtai Biological Products Co. Ltd. (hereinafter referred medium shareholders.to as the “Articles of Association”). The Company has established a governance structure comprising the General Meeting of

Shareholders Board of Directors Board of Supervisors Board Committees and management forming a system that is legal Key Performance Indicators

compliant and tailored to the Company’s operational needs. The system clearly defines the roles responsibilities and

During the reporting period the Company convened a total of 2 General Meetings of Shareholders during

procedural rules for each level of organization ensuring the separation of decision-making execution and supervision

establishing a system of checks and balances to safeguard the Company’s compliance and healthy development. which 14 proposals were deliberated and adopted.Board of Directors

General Meeting of Shareholders

The Company strictly adheres to the Governance Code for Listed Companies Articles of

Strategy Committee Association and other regulatory documents to establish the Rules of Procedure for the Board of Supervisors Board of Directors. These rules clearly define the procedures for convening holding and

Nomination Committee voting at meetings of Board of Directors ensuring the Board of Directors’ operations are

Board Secretary Board of Directors standardized and efficient and enhancing its core decision-making role in the Company’s

Compensation and Appraisal Committee strategic planning and major decisions. The meetings of Board of Directors are convened

and chaired by the Chairman and all procedures related to the convening holding and

Chairman Audit Committee voting of meetings comply with the relevant provisions of laws regulations Articles of

Association and the Rules of Procedure for the Board of Directors. The Board of Directors

consists of 7 directors including 3 independent directors. In 2024 the Company was

President Best Practice for Board of awarded the 2024 Best Practice Case for Board of Directors of Listed Companies by the Directors of Listed Companies

China Association for Public Companies.Key Performance Indicators

During the reporting period the Company convened a total of 9 meetings of the Board of Directors during

which 47 proposals were deliberated and adopted.Independence

Independent directors owe a duty of loyalty and diligence to the Company and all shareholders. In accordance with the

Independent Director System and the Independent Director Special Meeting Working System they leverage their profession-

al expertise to make independent objective and fair judgments on important matters. They provide professional opinions

oversee the Company’s compliance safeguard the overall interests of the Company and protect the legitimate rights of

Organizational Structure shareholders especially minority shareholders.

1718

Audit and Compliance Department

Supply Chain Department

Pharmacovigilance Department

International Business Department

Marketing Center

R&D Center

Biosafety Office

Production and Operation Center

Quality Management Center

Public Affairs Department

Corporate Development Department

General Manager’s Office

Human Resources Department

Finance Center

Securities Affairs Department2024 Environmental Social and Governance (ESG) Report

Board of Directors Composition and Diversity Board of Supervisors

Position

The Company’s supervisors acting in the best interests of all shareholders adhere to the relevant provisions of the Rules

Non-Independent Directors 4 persons of Procedure for the Board of Supervisors and diligently fulfill their supervisory duties. They oversee significant matters

Independent Directors 3 persons related-party transactions financial activities internal controls and the legality and compliance of the duties performed by

the Board of Directors and senior management. The Board of Supervisors is composed of 3 supervisors: 1 shareholder

Age

representative and 2 employee representatives.

50 to 55 years old (excluding 55 years old) 1 person

55 to 60 years old (excluding 60 years old) 1 person Key Performance Indicators

60 to 65 years old (excluding 65 years old) 2 persons During the reporting period the Company convened a total of 5 meetings of the Board of Supervisors during

65 to 70 years old (excluding 70 years old) 3 persons which 21 proposals were deliberated and adopted.

Education

Bachelor’s Degree 1 person

Master’s Degree 3 persons Management of Remuneration for Directors Supervisors and

Doctoral Degree 3 persons other Officers

Diversity The Compensation and Appraisal Committee of the Board of Directors is responsible for researching and formulating the

Compensation Management System for Directors Supervisors and Senior Management which is reviewed and approved

When selecting members for the Board of Directors the Company takes into account a range of factors including age by the Board of Directors and the General Meeting of Shareholders. This system stipulates that the compensation for

cultural and educational background professional experience and skills ensuring the scientific and efficient decision-mak- internal directors supervisors and senior management consists of basic salary performance-based compensation insur-

ing of the Board of Directors. ance and benefits. Compensation is assessed and awarded based on factors such as the Company’s overall size operating

Board Committees income and profitability regional salary levels job responsibilities professional capabilities and performance evaluations. At

the same time the Company enforces a compensation policy that combines job positions and individual capabilities. It

employs various forms such as monthly salary annual salary performance bonuses and annual performance evaluations.The Board of Directors has established four special committees: the Strategy Committee Audit Committee Nomination

Committee and Compensation and Appraisal Committee. These committees provide strong support for decision-making by This policy aligns the interests of shareholders the Company and individuals thereby improving the cohesion and motiva-

offering diverse professional perspectives and scientific analysis ensuring that decisions are both scientific and rational. tion of senior executives and key team members which in turn enhances the Company’s overall operational efficiency and

quality.Key Performance Indicators Investor Relations Management for

During the reporting period the Company convened 5 meetings of the Audit Committee during which 22

Safeguarding Shareholder Interests

proposals were deliberated and adopted;

convened1 meeting of the Strategy Committee during which 1 proposal was deliberated and adopted; The Company strictly adheres to relevant laws and regulations including the Investor Relations Management Guidelines for Listed

3 5 Companies Measures for the Administration of Information Disclosure by Listed Companies Rules Governing the Listing of Shares on convened meetings of the Compensation and Appraisal Committee during which proposals were the ChiNext Market of Shenzhen Stock Exchange and No. 2 Guidelines of the Shenzhen Stock Exchange for the Self-Regulation of Listed

Companies - Standardized Operation of Companies Listed on ChiNext Market as well as the provisions of its own Articles of Associ-

deliberated and adopted;

ation. The Company has established a sound investor relations management and information disclosure system standard-

convened1 meeting of the Nomination Committee during which 2 proposals were deliberated and adopted. ized the interaction and information disclosure processes between the Company and investors strengthened information

exchange with investors and maintained a strong trust relationship between the Company and its investors.

19 202024 Environmental Social and Governance (ESG) Report

Information Disclosure Risk Prevention and Control for Strengthening

The Company continuously improves its information disclosure process in accordance with the Information Disclosure the Compliance Foundation

Affairs Management System enhancing the quality of information disclosure. The Company discloses its business opera-

tions and management status as well as significant events affecting the Company in a truthful accurate timely fair and The Company always adheres to compliant operations and has strictly developed the Internal Control Guidelines in accor-

complete manner. The Company has designated Securities Times China Securities Journal Shanghai Securities Journal dance with relevant laws and regulations. The Company continuously improves and optimizes its internal control system

Securities Daily and the CNINFO website as its official channels for information disclosure ensuring that all investors have enhancing its risk management capabilities to safeguard the compliance operating baseline. The Company updates and

fair access to the Company’s information. During the reporting period there were no false statements misleading represen- adjusts the internal control system in a timely manner based on development conditions and changes in the external

tations material omissions or other improper disclosures in the Company’s information releases. environment ensuring the effective operation of the system. This effectively prevents compliance risks and provides solid

Key Performance Indicators support for the Company’s sustainable and stable development.During the reporting period the Company disclosed 4 regular reports and 140 interim reports.Compliant Operations

Investor Relations ManagementThe Company upholds the compliance philosophy of “compliance starts from top management with active compliance fromThe Company adheres to the principles of compliance equality proactivity and integrity. In accordance with the Investor all employees and compliance creates value”. It has established the Compliance Management System to build a compliance

Relations Management System the Company fully showcases its cultural development and business achievements to inves- management framework raise compliance awareness among all employees and establish an effective long-term mecha-

tors. Through channels such as the official website new media platforms telephone email and the irm.cninfo.com.cn the nism to mitigate compliance risks. This ensures that the Company operates in accordance with the law and complies with

Company engages in open and transparent communication with investors via methods such as general meeting of share- regulations promoting sustainable development. Each department within the Company serves as the compliance execution

holders performance briefings analyst meetings roadshows visitor receptions and forums. This approach effectively department and assumes primary responsibility for the effectiveness of its own compliance management. Departments are

protects the legitimate rights and interests of investors and fosters the establishment of long-term stable mutually responsible for daily compliance management tasks improving business management systems and processes in line with

trustworthy and win-win cooperative relationships between the Company and its investors. compliance requirements proactively identifying compliance risks and potential issues issuing compliance alerts organizing

compliance reviews reporting risks in a timely manner and appropriately responding to compliance risk events. The Compa-

Key Performance Indicators ny has set up a compliance management team responsible for organizing coordinating and overseeing compliance

1 53 management work as well as providing compliance support to other departments. Additionally the Company has estab-During the reporting period the Company held performance briefing and interacted with investors times

lished a compliance performance evaluation system incorporating the effectiveness of compliance management into the

on the irm.cninfo.com.cn. performance assessments of senior management department heads and employees.Building on the comprehensive promotion of compliance management the Company focuses on key areas critical process-

Returns to Shareholders es and key personnel to effectively prevent compliance risks. During the reporting period the Company’s Audit and Compli-

ance Department conducted 8 special audits in accordance with the Internal Audit Assessment Management Rules and theThe Company values providing reasonable returns to its shareholders and has implemented the “Dual Improvement of Quality and Follow-up Audit Tracking Management Rules. The department tracked the Company’s corrective actions for special audits andReturn” action plan. It has also developed the Shareholder Return Plan for the Next Three Years (2024–2026) continuously improving a issued the 2024 Annual Follow-up Audit Report on Special Audit Corrective Actions.scientific sustainable and stable shareholder return mechanism. The Company takes into account various factors including devel-

opment strategy profitability cash flow project investment funding requirements and the external financing environment. Based The Company actively cultivates a compliance culture by distributing compliance handbooks signing compliance commit-

on a balance between providing reasonable returns to shareholders and supporting the Company’s long-term development the ment letters and other measures. It strengthens the awareness of integrity and honesty among all employees and fosters a

Company has made institutional arrangements for profit distribution adopting a combination of cash stock or both. The Company values system based on legal compliance honesty and trustworthiness thereby solidifying the ideological foundation for

actively shares its development achievements with shareholders. compliant operations.Key Performance Indicators

Since its listing in 2017 the Company has distributed over RMB 1.885 billion in cash dividends(including the amount

for share repurchase and cancellation and the proposed dividend amount for 2024) with the total cash dividend amount

account ing for 45.06% of the cumulative net profit attributable to the shareholders of the listed company.

21 222024 Environmental Social and Governance (ESG) Report

Risk Management Tax Management

In accordance with the Basic Standard for Enterprise Internal Control and its supporting guidelines as well as other internal The Company strictly adheres to the Law of the People’s Republic of China on the Administration of Tax Collection the Rules for the

control regulatory requirements the Company has developed the Risk Management and Internal Control System Manual. This Implementation of the Law of the People’s Republic of China on the Administration of Tax Collection and other relevant regulations.manual clarifies the internal control and management processes at each business level identifies both internal and external It exercises strict control over tax-related matters standardizes the management of tax affairs invoice management tax risk

risks in business activities and conducts systematic analysis to create a risk register. The Company periodically updates and management and tax documentation management to minimize tax risks. During the reporting period the Company paid a

optimizes the internal control system and revises and improves the internal control systems in accordance with the latest total of RMB 122.50 million in various taxes and fees.relevant laws and regulations adapting to the constantly changing external environment and the evolving requirements of

internal control management. The Company’s Board of Supervisors the Audit Committee of the Board of Directors and the

Audit and Compliance Department together form the Company’s internal supervision mechanism. They oversee and evalu-

ate the improvement and implementation of the internal control system as well as the Company’s business operations and Integrity as the Foundation and Adhering to

financial status. Business Ethics

During the reporting period the units businesses and matters included in the evaluation as well as the high-risk areas

The Company strictly complies with relevant laws and regulations including the Anti-Unfair Competition Law of the People’s

covered the main aspects of the Company’s business operations and management with no significant omissions. Based on

Republic of China the Anti-Money Laundering Law of the People’s Republic of China the Law of the People’s Republic of China on the

the Company’s identification of material internal control deficiencies as of the benchmark date of the internal control evalu-

Protection of Consumers’ Rights and interests as well as the ISO 37001 Anti-Bribery Management System - Requirements with

ation report the Company did not have any material internal control deficiencies related to financial or non-financial report-

Guidance for Use. It has established systems such as the Code of Professional Ethics the Implementation Rules for Clean Office

ing. Through the operation analysis and evaluation of the internal control system the Company effectively prevented risks

Practices and the Whistleblowing Management System. The Company operates its business activities in accordance with

in business operations and promoted the achievement of internal control objectives.high standards of business ethics opposing all forms of corruption bribery and unfair competition. During the reporting

Risk Early period the Company did not face any significant litigation cases related to corruption bribery or unfair competition.Risk Assessment Warning Risk Decision Risk Treatment

Anti-Bribery and Anti-Corruptiona

The Company continues to advance the construction of its compliance and business ethics management system based on

the Anti-Commercial Bribery Compliance Manual. It establishes regulatory requirements for all employees and partners regarding

integrity in business practices and adopts a zero-tolerance policy towards unethical business conduct. During the reporting

period the signing rate of the Integrity Commitment Letter among key employees reached 100%.Business Ethics Standards and Requirements

Risk Management Process

Target Requirements

Do not use power to accept bribes;

Internal Control Management Training All Employees Prohibit the use of improper means to obtain trade secrets;

Prohibit false advertising that harms competitors.In May 2024 the Company invited ShineWing Certified Public Accountants to conduct a training session for the

Middle and Senior Comply with laws and regulations maintain integrity in office and sign the Integrity Commitment Company’s directors supervisors senior executives and relevant business personnel. The training was delivered

through a combination of on-site and online meetings focusing on the key points and practices of building an Management Key Positions Letter;Strictly prohibit the unauthorized dissemination of confidential information.internal control system for listed companies. The training covered topics such as the regulatory trends for Contracts with suppliers/partners must include clauses on signing integrity agreements or related

internal control of listed companies in the new era strategies and methods for building an internal control Departments terms and supervise the implementation of these agreements.system and common risks and control measures in key business processes. This training helped the Company

strengthen internal control awareness improve the internal control system enhance business management Strictly comply with laws and regulations include compliance clauses in agreements and conduct External Partners and

capabilities and ensure the Company’s continued healthy development. market activities in accordance with the law. Prohibit bribery of relevant departments or company Promoters employees in any form to gain improper benefits.

2324

Evaluate Risk

Management Performance

Implement Risk

Management Plans

Selection of Risk

Management Techniques

Risk Early Warning

Risk Evaluation

Risk Measurement

Risk Identification

Establish Risk

Management Objectives2024 Environmenta2l0 S2o4c年ia度l a环n境d、 G社ov会e和rn公an司c治e 理(E（SGES) GR）ep报o告rt

The Company has established a series of policies including the Market Activity Management Policy and the Promoter Manage- Anti-unfair Competition

ment Regulations to strengthen the management of key aspects in business operations and reinforce the defense against

unethical business conduct.The Company is committed to maintaining a fair and just market competition environment. It firmly opposes imposing any

unreasonable restrictions on partners and ensures that all business activities comply with the requirements for fair competi-

Commercial Bribery Risk Control Points tion promoting the healthy development of the industry’s competitive ecosystem.Control Point System Specific Actions

Marketing Marketing Center Personnel Code of Conduct In the vaccine industry the Company strictly controls the behavior of market-

Personnel Marketing Center Expense Reimbursement ing personnel by implementing a series of behavioral standards and supervi- Whistleblowing Channels and Protection of Whistleblowers

Behavior Management Measures sion mechanisms aiming to prevent improper actions.The Company has established a Whistleblowing Management System which outlines the reporting organization scope and

The Company has established a series of supervisory and manage- channels for reporting reporting acceptance procedures and handling measures. The Audit and Compliance Department

ment mechanisms requiring promoters to sign the Promoter Compli-

Promoter Market Activity Management Policy is responsible for managing and implementing the whistleblowing process. The Company encourages employees and

ance Commitment Letter and Promoter Employee Compliance Commitment

Behavior Promoter Management Regulations partners to actively report any suspected illegal or unethical behavior rewarding whistleblowers who provide truthful

Letter. This ensures that promoters comply with regulations during

market activities and eliminates improper business dealings. information. The Company guarantees strict confidentiality of the whistleblower’s personal information and report details

and will severely punish any retaliatory actions. If retaliation is verified the Company will hold individuals accountable accord-

To ensure compliance the Company assesses the authenticity and ing to relevant regulations.Marketing reasonableness of various marketing expenses including business

Expenses promotion fees and storage and transportation fees. Clear reimburse-

ment conditions and standards are set for each type of expense to

prevent industry violations at the expense expenditure level.Marketing Expense Reimbursement

Management Measures When reviewing external promotion fees such as business promotion

External costs storage and transportation fees and conference expenses the

Promotion Fees Company requires supporting documents like valid invoices contracts Hotline: 0755-26988630

meeting evidence and travel reports. This ensures the authenticity and

compliance of the expenses. Email: shenjibu@biokangtai.com

25 262024 Environmental Social and Governance (ESG) Report

Innovation-Driven for Supporting Industry

Development

Governance

BioKangtai has established systems such as the R&D Center Project Management Regulations to standardize the management of R&D projects

and enhance the conversion capability of R&D outcomes. The Company has set up a product development management structure respon-

sible for the demonstration and approval decision-making of research projects. The executive committee is responsible for approving

project initiation project implementation documents and registration application materials. The advisory committee is tasked with review-

ing and evaluating the initiation of R&D projects.R&D Team The Company has accumulated a wealth of core technologies required for vaccine R&D and production

Development through the development of various vaccine products. It has built a team with an international perspec-

tive rich experience in vaccine product development management and practical experience in industri-

alization.Key Performance Indicators

As of the end of the reporting period the Company and its subsidiaries had a total of 362 R&D personnel accounting for

18.92% of the total workforce.

2024 R&D Team Overview

Composition of R&D Personnel by Educational Background

Below Bachelor’s Degree 53 Persons 14.64%

Innovation Leading and Creating Bachelor’s Degree 199 Persons 54.97%Master’s Degree 102 Persons 28.18%

Excellence in Safe Vaccines Doctoral Degree 8 Persons 2.21%

Composition of R&D Personnel by Gender

Male 213 Persons 58.84%

Innovation-Driven for Supporting Industry Development 28 Female 149 Persons 41.16%

Quality Control for Strengthening Product Safety 37

Win-Win Cooperation for a Sustainable Supply Chain 47

Information Protection for Strengthening Data Security 48

27 282024 Environmental Social and Governance (ESG) Report

R&D Platforms The Company has been deeply engaged in the human vaccine field for over 30 years and has Strategy

and Research grown into an innovative biopharmaceutical enterprise with robust R&D capabilities a wide product

Carriers portfolio leading industry scale and significant international progress. It is one of the companies

with the most comprehensive vaccine R&D platforms in China possessing robust vaccine R&D Impact Value Chain Financial

capabilities. The Company has the capability to research and produce viral vaccines bacterial Risk Type Risk Description Duration Impact Response MeasuresLinks of Impact

vaccines genetically engineered protein vaccines conjugate vaccines and combination vaccines

Vaccine R&D is characterized by

among others. It also possesses product development capabilities in platform technologies such as

high knowledge intensity

viral vectors novel adjuvants and nucleic acid vaccines (mRNA). The Company holds over 80 Strengthen basic and applied

technical complexity complex

patents with 11 listed and approved products for emergency use and nearly 30 products under Difficulty in Increased vaccine research promote vaccine processes long development

research covering key global vaccine varieties. Meanwhile keeping abreast of international New Product Long- Downstream operating development and innovation focus

cycles large financial invest- term

cutting-edge technology the Company has been exploring the research on application of new Development costs on R&D investment and techno-

ments and significant uncer-

vaccine technologies and the establishment of new technology platforms and effectively applied logical innovation.tainty in the successful industri-

the technology platforms through multi-product development so as to continuously enhance the

alization of research outcomes.Company’s innovative R&D strength.Nine Diversified R&D

Platforms Opportunity Impact Value Chain Financial

Type Opportunity Description Duration Links of Impact Impact Response Measures

Platform for virus Platform for inactivated Platform for genetically The Company will closely monitor

attenuated vaccines virus vaccines engineered protein vaccines industry development trends and

cutting-edge innovative technolo-

By continuously increasing R&D gies explore the application of

Platform for new adjuvant Platform for bacterial Platform for mRNA vaccines investment building a new vaccine technology paths technology polysaccharide vaccines Technological high-quality R&D team and establish new technology

Breakthrough overcoming key core technolo- IncreasedLong- Operations platforms. The focus will be on

Platform for bacterial and Market gies and mastering intellectual

operating improving the R&D innovation

Platform for virus vector term downstream income

polysaccharide conjugate Platform for combined vaccines vaccines Leadership property the Company can system accelerating new product vaccines take a leading position in R&D and industrialization progress

market competition. and constructing a diversified and

Well-developed R&D differentiated product matrix to

Bases enhance the market competitive-

ness of the Company’s products.Guangdong Therapeutic Beijing Key Laboratory for

Shenzhen Novel Vaccine Hepatitis Novel Conjugate Vaccine

Engineering Laboratory B Vaccine Laboratory Technology

Beijing Novel Vaccine State-Local Joint Engineering

Engineering Laboratory Postdoctoral R&D Center Laboratory for Novel Vaccine Development

Beijing Novel Combination Academician (Expert)

Vaccine R&D Center Workstation

29 302024 Environmental Social and Governance (ESG) Report

Impact Risk and Opportunity Management Project Name Registration Stage Current Process

Application for producing registration accepted;

Inactivated Poliomyelitis Vaccine Sabin Strains (Vero Cell) NDA registration approval

on-site GMP inspection completed

The Company has established the R&D Center Project Management Regulations to standardize R&D project management

processes and enhance the commercialization of research outcomes. Influenza Vaccine (Split Virion) Quadrivalent (3+ Years Age Group)NDA registration approval Production registration application accepted

Adsorbed Tetanus Vaccine Clinical research completed Phase I/III clinical trial summary report obtained

Group ACYW135 Meningococcal Polysaccharide Vaccine In the summary stage of clinical phase Completed the on-site job of Phase III clinical Aligned with corporate strategy and market demand potential R&D projects undergo research

Project Initiation topic selection feasibility analysis report drafting and formal project applications.Review and Inactivated Hepatitis A Vaccine In the summary stage of clinical phase Completed the on-site job of Phase III clinical

Decision-Making Projects are evaluated through technical economic and legal risk assessments research

followed by an evaluation report. Upon approval the project is officially initiated. Diphtheria Tetanus and Acellular Pertussis Combined Completed Phase I clinical trial Phase III clinical

IND obtained clinical phase in progress

Vaccine (Component) Adsorbed trial under preparation

Recombinant Hepatitis B Vaccine (Hansenula) IND obtained clinical phase in progress Completed Phase I clinical trial

Project leaders oversee progress and quality control ensuring strict compliance with Reassortant Rotavirus Vaccine Live Oral Pentavalent IND obtained clinical phase in progress In Phase I Phase II and Phase III clinical trial stages

the latest Chinese Pharmacopoeia standards and policies issued by the National Medi- (Vero Cell)

cal Products Administration (NMPA). 20-Valent Pneumococcal Polysaccharide Conjugate

Implementation IND obtained clinical phase in progress Phase I and II clinical trials in progressThe Scientific Research Management Department coordinates material reviews with Vaccine

and Control

advisory committees and regulatory affairs teams. Diphtheria Tetanus Pertussis (Acellular Component)

After obtaining clinical trial approval cross-functional teams assess whether to proceed Poliomyelitis (Inactivated) Vaccine and Haemophilus IND obtained clinical phase in progress Phase I clinical trial in progress

with trials and conduct subsequent analytical research. Influenza Type b Conjugate Vaccine Adsorbed

Diphtheria Tetanus Acellular Pertussis (Acellular

Component) and Poliomyelitis (Inactivated) Combined IND obtained clinical phase in progress Phase I clinical trial in progress

Vaccine Adsorbed

At each milestone project leaders submit stage acceptance applications. The R&D Center

Acceptance MMR Combined Attenuated Live Vaccine IND obtained clinical phase in progress Phase I clinical trial in progress

Director organizes systematic reviews to validate completion per phase requirements.Inactivated Tetravalent Enterovirus Vaccine (Vero Cell) IND obtained clinical phase in progress Phase I clinical trial in progress

Influenza Vaccine (Split Virion) Quadrivalent Obtained notification of clinical trial Obtained notification of clinical trial approval

(6-35 Months Age Group) approval

Metrics and Targets Influenza Vaccine (Split Virion) Quadrivalent (MDCK Cells) Obtained notification of clinical trial

Obtained notification of clinical trial approval

(3+ Years Age Group) approval

To drive high-quality innovation in R&D the Company has established clear objectives defined key performance indicators

Inactivated Bivalent Enterovirus Vaccine (Vero Cell) Obtained notification of clinical trial Obtained notification of clinical trial approval

(KPIs) and implemented a monitoring and evaluation mechanism. During the reporting period the Company’s R&D expendi- approval

ture reached RMB 569.22 million accounting for 21.47% of total revenue. Has withdrawn the application for

60 μg Recombinant Hepatitis B Vaccine (Saccharomyces vaccine registration approval currently

Clinical data self-examination in progress

Cerevisiae) (Immunomodulator) in the clinical data self-examination

phase

R&D Results

Projects Under Research Industry-university-research Cooperation

The Company adheres to the R&D policy of focusing on independent research and development supplemented by collabo- The Company emphasizes industry-university-research cooperation focusing on vaccine innovation research and develop-

rative development and is committed to enhancing technological innovation and the development of new products. The ment and industrialization. The Company strengthens its collaboration with universities attracting top talents and technolog-

Company is steadily advancing the R&D progress and industrialization of its ongoing projects. Currently the Company has ical resources. This collaboration promotes the joint development of new vaccine technologies providing solid support for

nearly 30 ongoing projects with those entering the registration process described below: the development and industrialization of new products.

31 322024 Environmental Social and Governance (ESG) Report

Protection of Intellectual Property Rights Intellectual Property Protection Measures

Intellectual Property Management While protecting its own intellectual property the Company also fully respects the intellectual property rights of others.During the product development process intellectual property managers are deeply involved in all key stages including

patent technology research patent infringement analysis and the development of design schemes to avoid infringement.The Company strictly adheres to the laws and regulations such as the Trademark Law of the People’s Republic of China and the For different types of products the Company formulates patent layout plans tailored to specific conditions. Throughout the

Patent Law of the People’s Republic of China. It has established systems like the Intellectual Property Management Measures and the entire research and development process the Company closely monitors the output dynamics of innovative results and

Measures for the Management of Patent to strengthen intellectual property management clarify related management responsi- evaluates their patentability in a timely manner. Based on a precise understanding of the rules of various intellectual property

bilities encourage inventions and innovations enhance the Company’s market competitiveness and promote sustainable application systems the Company fully utilizes these rules to achieve the best patent portfolio thereby enhancing the

development. During the reporting period the Company did not encounter any incidents related to the infringement of commercial value of its R&D products.others’ intellectual property rights nor were there any intellectual property-related lawsuits.Key Performance Indicators

As of the end of the reporting period the Company has been granted a total of 66 invention patents 22

Conduct intellectual Develop intellectual Provide intellectual Supervise intellectual

property surveys property plans property consultation property acquisition utility model patents and 1 design patent.Intellectual Property Full-Process Management Mechanism Before launching each R&D project the Company organizes professionals to conduct

comprehensive intellectual property search and analysis using commercial patent

Intellectual Property databases. Through systematic data mining and claims comparison the Company identi-

The Company attaches great importance to intellectual property protection and management. BioMinhai has been awarded Search and Analysis

fies technological gaps and infringement risks providing legal and compliance support for

the titles of “National Demonstration Enterprise in Intellectual Property Right Protection” and “Beijing Intellectual PropertyR&D path planning.Demonstration Organization”. BioMinhai’s “Dual-Carrier” 13-Valent Pneumococcal Polysaccharide Conjugate Vaccine “WeiminFeibao” has been recognized as a nationally patent-intensive product. This vaccine holds several invention patents and is a

research outcome of the National Ministry of Science and Technology’s major new drug creation project. The Company continuously monitors intellectual property trends in relevant technological

fields. Upon detecting any changes in trends or potential risks the Company promptly

Dynamic Tracking

Mechanism adjusts its R&D strategy to further reduce infringement risks ensuring that R&D work

remains legal compliant and forward-looking.Building For key R&D projects the Company has specifically built patent-focused databases. These

Patent-Specific databases integrate patent information from specific fields providing centralized and

Databases precise technical references for R&D personnel which strongly promotes R&D innovation.During external cooperation the Company conducts intellectual property ownership

Practice Site of Examiner Practice checks infringement risk assessments and technical value analyses based on actual External Cooperation

National Demonstration Enterprise in (Beijing Zhongguancun) Base of China Beijing Intellectual Property needs either through internal professional teams or by outsourcing to external agencies.Intellectual Property Right Protection National Intellectual Property Demonstration Organization This due diligence supports commercial decision-making and ensures compliance.Administration

To strengthen intellectual property awareness among all employees the Company

integrates intellectual property training deeply into R&D practices. The training content is

Intellectual Property

Training made more targeted and practical effectively improving training outcomes and embed-

ding the concepts of respecting and protecting intellectual property into the Company’s

R&D culture.

33 342024 Environmental Social and Governance (ESG) Report

R&D Ethics

Invited to Attend the 23rd China Biologics Conference: Discussing AdvancedThe Company strictly follows R&D ethics in research and innovation and implements the ethical principles of “regulatory Vaccine Technology R&D and Internationalizationcompliance human and animal subject protection integrity data reliability intellectual property protection and openness“in its R&D practices.In May 2024 the 23rd China Biologics Conference

(CBioPC2024) was held in Guangzhou. The Company was

The whole process of R&D should refer to and follow the relevant laws andregula-

Regulatory Compliance invited to attend the conference where the Chief Scientist

tions.of BioKangtai and General Manager of BioMinhai Zheng

Haifa participated in the “Vaccine Quality and R&D” session

Clinical trials of drugs follow the principles of the Declaration of Helsinki of the World and delivered a keynote speech on RSV Pre-F Antigen Design.Human and Animal Subjects Medical Association and related ethical requirements and the rights and safety of

Protection subjects are the primary consideration; The 23rd China Biologics Conference

Follow the 3R principles (reduce replace and refine) in the use of laboratory animals

and research concern for the welfare of laboratory animals and treat them well.Integrity in Scientific Research Follow the scientific standards and the principle of honesty and trustworthiness.Reliable Data The whole process of R&D should be recorded and the records must be timely Invited to Attend the “First China Pharmaceutical Valley Future Biopharmaceuticaltrue standardized and complete. Innovation Conference”

On November 16 the first “China Pharmaceutical Valley Future Biopharmaceutical Innovation Conference” was

Openness and Sharing Share research results and scientific resources openly within the permitted range.successfully held in Beijing. The Chief Scientist of BioKangtai and General Manager of BioMinhai Zheng Haifa

was invited to attend the conference where he delivered a speech on the Development Trends of Next-Genera-tion Vaccines. He also joined other corporate representatives in unveiling the establishment of the “ChinaIndustry Exchanges Pharmaceutical Valley Biopharmaceutical Industry Alliance”.The Company actively participates in various industry activities sharing practical experiences and development achieve-

ments and promoting the continuous development of the industry. In the future the Company will continue to serve as

a “leader” in technological innovation within the biopharmaceutical industry strengthening the industry cluster effect

and making greater contributions to the overall high-quality development of the pharmaceutical and health sector in

China.The First China Pharmaceutical Valley Future Biopharmaceutical Innovation Conference

35 362024 Environmental Social and Governance (ESG) Report

Quality Control for Strengthening Product Safety

2024 International Pharmaceutical Regulatory Training Series

Product Quality Management In response to the evolving landscape of international regulatory requirements and to narrow the compliance gap between domestic practices and those of registration countries and international organizations (such as

ICH WHO and PIC/S) the Company launched a training program aimed at enhancing its quality management

Governance system. Beginning in February 2024 the Company provided training on international GMP regulations and ICH

guidelines to personnel from production and quality systems. Subject Matter Experts (SMEs) from internal

trainers QA and the Quality Compliance Department were selected to lead the sessions. The training involved

The Company complies with relevant laws and regulations such as the Pharmaceutical comprehensive comparisons of WHO PIC/S and Chinese GMP chapters paired with gap analyses based on

Administration Law of the People’s Republic of China and the Vaccine Administration Law of the the Company’s actual practices. A total of 18 training sessions were held with 2160 participants in attendance.People’s Republic of China and has developed a Quality Manual. A quality management system This series of training sessions further promoted the standardization scientific rigor and forward-thinking

covering the entire product lifecycle has been established. Strict quality control standards development of the Company’s quality management practices.are set for key stages of product development production storage and distribution.Targeted quality management procedures have been formulated to ensure that all require-

ments related to safety efficacy and quality control in pharmaceutical regulations and

Impact Value Chain Financial

registration standards are systematically implemented throughout the drug R&D produc- Risk Type Risk Description Duration Impact Response MeasuresLinks of Impact

tion quality control product release storage and transportation processes. This ensures

that all stages including raw material testing product R&D production and distribution The vaccine industry is subject

meet the intended use and registration standards guaranteeing product quality according ISO 9001 Quality Manage- to stringent administrative

ment System Certification The Company upholds the philosophy

to strict standards. supervision with strict regula- of high standards and strict require-

tions governing all aspects

ments to ensure vaccine product

including R&D production

quality. It stays abreast of policy devel-

The Company has established a Quality Management Committee consisting of core management personnel and specially sales and distribution. In recent DecreasedRisk of opments and actively implements

invited experts and scholars to coordinate communicate consult and evaluate quality management matters. This further years regulatory oversight in operating

Changes in relevant measures to proactively

strengthens quality management in production and operations and promotes continuous improvement of quality manage- the industry has been increas- Long- Entire value income;

Industry term chain increased address potential regulatory changes.ment. As of the end of the reporting period BioMinhai has passed ISO 9001 Quality Management System certification. No ingly tightened placing higher

major quality or safety incidents have occurred. Policies

operating In parallel it continuously enhances its

demands on vaccine compa- costs monitoring systems across R&D

nies. Under such a regulatory

production and sales to mitigate

The Company places great importance on product quality and safety organizing training courses that include corrective and environment the Company

operational risks arising from industry

preventive action management procedures personnel hygiene management procedures and more. In 2024 BioMinhai must adapt in a timely manner

policy shifts.conducted compliance training on product quality and safety through the TMS online training system. The training matrix to policy changes and regulato-

covers topics such as laws and regulations biosafety personnel control equipment management material control sterility ry requirements.assurance quality assurance data reliability pharmacovigilance and job-specific skills. The pass rate for personnel assess-

The Company strictly complies with

ments was 100%.the Vaccine Administration Law and

Vaccine products are directly

the Measures for the Reporting and

Key Performance Indicators Adverse

related to public health and Decreased Monitoring of Adverse Drug Reactions

the R&D production sales and

Events operating among other laws and regulations. It

During the reporting period the Company conducted 7936 quality training sessions with a total of distribution of vaccines are all Following Short- income; Downstream strengthens quality control of its

subject to strict regulatory term increased

150382 Immunization operating vaccine products improves its trainees and a total training duration of 11536 hours. oversight. There is a possibility (AEFI) Risk pharmacovigilance system and that adverse events may occur costs

ensures timely and lawful handling

following vaccination.of adverse reactions following vacci-

nation to mitigate related risks.

37 382024 Environmental Social and Governance (ESG) Report

Opportunity Opportunity Description Impact Value Chain Financial Response Measures Identify potential hazard events or risks that may arise; perform qualitative or quantitative Type Duration Links of Impact Impact

Risk Assessment analysis of the identified risks to evaluate their severity and provide support for risk

The Company will closely monitor prevention and control.industry development trends and

cutting-edge innovative technologies

Based on the risk assessment results and predefined risk acceptance criteria if the risk

explore the application of new vaccine

Risk Control exceeds an acceptable level appropriate measures should be taken to reduce or elimi-

technology paths and establish new

nate the risk.technology platforms. The focus will be

With economic develop-

on improving the R&D innovation

ment and rising living

system accelerating new product R&D Throughout each stage of the risk management process QA and relevant departments

standards consumers

and industrialization progress and (including drug regulatory authorities the industry patients and internal company stake-

are placing greater Risk Communication

constructing a diversified and differenti- holders) should exchange and share information regarding the degree of risk and

emphasis on product

ated product matrix to enhance the management practices ensuring effective risk communication.and service quality as

market competitiveness of the Compa-

well as safety and

ny’s products.Market environmental sustain- Increased Long- Upon completing the risk assessment report any identified countermeasures should be

Downstream operating Align with market trends and adopt Output of Quality

Opportunities ability. This demand term Risk Management followed up through a dedicated CAPA process. Implementation of the response income flexible pricing strategies. In response

trend provides the measures must comply with the Corrective and Preventive Actions Management Procedure.to the growing market demand for

Company with opportu-

high-quality products the Company

nities to upgrade Conduct risk monitoring. If residual risks remain unacceptable after implementing

conducts in-depth market research and

product safety and response measures the response measures should be revised or replaced. The effective-

precise analysis to optimize its product

quality and enhance Risk Audit ness of the new response measures must be assessed until the residual risk is within an

pricing system scientifically. While

brand image and market acceptable range.maintaining strict quality standards and

share.ensuring reasonable corporate profits

the Company adopts more competitive

pricing strategies to enhance product Metrics and Targets

attractiveness and competitiveness in

the market thereby further expanding

“Quality is life” is the core philosophy that underpins the Company’s operations and development. Adhering strictly to the

its market share.quality policy of “strict adherence to procedures zero tolerance for falsified raw data thorough investigation of every issuezero release of defective products and unwavering commitment to GMP management” the Company continues to foster a

deep-rooted culture of quality and implements a “zero-defect” strategy to secure competitive advantage through excellence.Impact Risk and Opportunity Management

Product Quality Assurance Measures

BioKangtai has established the Quality Risk Management Procedure which applies scientific knowledge and experience to

assess quality risks throughout the entire product lifecycle to ensure product quality. The Company conducts comprehensive Whole-Life-Cycle Management

evaluation control communication and review of quality risks to keep the consequences of various uncertainties within an

anticipated and acceptable range thereby ensuring product quality compliance. By leveraging sufficient knowledge facts BioKangtai always regards product quality as a lifeline. On the basis of full compliance with China’s vaccine regulatory frame-

and data the Company proactively forecasts potential future events and implements risk control measures to prevent work BioKangtai actively draws upon and incorporates international guidelines such as WHO ICH PIC/S and EU GMP. A

hazards from occurring. comprehensive pharmaceutical quality management system covering the entire product life cycle—spanning product R&D

technology transfer commercial production and post-marketing management—has been established. Strict management

processes and requirements are implemented across all stages including raw material control product manufacturing

vaccine storage and transportation and vaccine administration.

39 402024 Environmental Social and Governance (ESG) Report

Corrective and Preventive Action Management

Raw Material Control Product Manufacturing Vaccine Storage and Vaccine Administration The Company has developed procedures such as the Deviation Management Procedure Change Control Management Procedure

Transportation and Corrective and Preventive Action Management Procedure in accordance with GMP management requirements. These proce-

dures cover the entire production process including deviation change management and risk control management ensuring

The Company has Product-specific manufac- Vaccines are subject to Safeguarding patient that products meet the intended use and pharmaceutical registration requirements.established procedures turing procedures and stringent storage and health is our core mission

such as the Material process operation guide- transportation require- and responsibility. The

Management Procedure and lines are in place to guide ments. Cold chain facilities Company has established

Supplier Management production activities and and vehicles undergo accessible customer

Procedure to ensure quality monitoring. periodic validation and an feedback channels and

standardized control. Raw Ongoing quality monitor- advanced online monitor- handling mechanisms. A Deviation Deviation

materials are managed in ing system is employed Deviation Closureing and stability studies dedicated pharmacovigi- Deviation Handling Reporting Investigation

accordance with an are conducted to ensure for real-time cold chain lance department is in Process

approved material list and consistent production of temperature tracking place to carry out signal

applicable quality products that meet ensuring the safety and detection evaluation and

standards with access intended use and registra- reliability of vaccine response related to AEFI.control applied across key tion requirements. storage and transporta-

stages including procure- tion.ment acceptance testing

storage release and use. “Mistakes Shouldn’t Hinder Progress” TrainingFrom March to April 2024 BioKangtai conducted a series of thematic training sessions titled “Mistakes Shouldn’tHinder Progress Become a Better Version of Yourself”. This training jointly organized by the Quality Assurance

Digital Management Department and the Production Operations Center consisted of 5 sessions. A total of 369 employees from various

departments participated. During the training employees proactively shared actual issues and lessons learned

The Company continues to enhance product quality control and improve the scientific management level of vaccine product from their work and discussed how to actively respond to risks that may cause mistakes. This helped promote both

industrialization. By continuously improving and perfecting the production quality management system the Company has team and individual progress and fostered greater collective strength.implemented a manufacturing execution system (MES) and laboratory information management system (LIMS). These

systems enable the digitalization of the entire production and testing process ensuring strict quality control. This approach

guarantees the quality of products ensuring the delivery of high-quality safe and effective vaccine products to society.This system integrates production instructions electronic batch records batch analysis formulations

material and equipment management functions enabling automatic data collection and electronic

Manufacturing

record-keeping for the entire production process. It ensures traceability throughout the process. In

Execution

combination with other information systems it establishes a “lifecycle” management system for

System (MES)

vaccine production enhances quality management levels guarantees high-quality vaccine production

and promotes paperless production reducing the use of paper records.This system covers key aspects such as batch management stability management instrument Laboratory

management reference material management reagent management and laboratory investigation Information

management. It enables efficient integration and optimization of laboratory resources ensuring the Management

accuracy and reliability of laboratory data management. System (LIMS) “Mistakes Shouldn’t Hinder Progress” Training

41 422024 Environmental Social and Governance (ESG) Report

Product Recall Pharmacovigilance

The Company has developed the Finished Product Recall Procedure which specifies the scope responsibilities and Pharmacovigilance Management

content of the recall process to ensure that the recall of finished products can be initiated at any time and carried out quick-

ly and effectively. Depending on the situation the recall is classified into voluntary recall and mandatory recall. Based on The Company has established and continuously improves its pharmacovigilance system in accordance with the Pharmaceuti-

the severity of the quality issue or other safety risks recalls are further categorized into Level 1 Level 2 and Level 3 recalls. cal Administration Law of the People’s Republic of China the Vaccine Administration Law of the People’s Republic of China and the

The Company regularly simulates recall scenarios to evaluate and ensure the effectiveness of the product recall system. Pharmacovigilance Quality Management Standards and other relevant laws and regulations. The Company has formulated and

During the reporting period the Company did not experience any product recalls due to health and safety concerns. continuously refined pharmacovigilance system documents to guide and regulate the smooth implementation of pharma-

covigilance work. A Pharmaceutical Safety Committee has been established to handle major risk assessments urgent or

Quality Incident significant drug events risk control decisions and other major matters related to pharmacovigilance. A dedicated Pharma-

covigilance Department is responsible for managing and improving the Company’s pharmacovigilance activities.Report to the Committee on Safety of Medicines Ensure that personnel involved in pharmacovigilance activities fulfill their

responsibilities and actively participate in the pharmacovigilance processes;

Initiate Investigation and Assessment of Pharmaceutical Safety Risks

Mandatory Recall Ensure that pharmacovigilance activities meet regulatory requirements;

Develop and Implement

Mandatory Recall by NMPA Decide Whether to Recall No

Corrective and Preventive Measures

Relevant Departments Pharmacovigilance Ensure the efficient use of drug safety information to maintain a favorable risk-benefit

Management Policy balance for pharmaceutical products ensuring public medication safety;

Yes Not Meet the

Requirements Prevent harm to patients resulting from adverse reactions after vaccine use;

Recall Track the Effect

Contribute to protecting patient and public health.Develop and Implement Corrective

and Preventive Measures Pharmacovigilance Training

Not Meet the Requirements

Track the Effect Meet the Requirements The Company has formulated the Pharmacovigilance Management Training Procedure and incorporated pharmacovigilance

training into its Annual Training Plan. Training in pharmacovigilance knowledge is generally provided to two groups: dedicat-

ed pharmacovigilance personnel (members of the Pharmacovigilance Department) and non-dedicated personnel (employ-

Meet the Requirements ees outside the Pharmacovigilance Department). For non-dedicated personnel the training includes company-wide

sessions onboarding training for new employees and training for Marketing Center staff. With “protecting patient safety” as

the core objective the Company promotes continuous awareness and training to help all employees internalize and imple-

Close the Recall Action ment this fundamental requirement. In accordance with the Annual Training Plan the Company provides systematic training

for dedicated pharmacovigilance personnel to comprehensively enhance their professional capabilities. These trainings help

personnel expand their knowledge base improve technical skills master risk identification and assessment methods and

Documentation strengthen their ability to respond to drug safety risks—ultimately improving both the efficiency and quality of pharmacovigi-

lance work and ensuring the stable operation of the pharmacovigilance system. In line with compliance and risk prevention

requirements the Company conducts at least one annual training for Marketing Center staff on the collection and handling

Recall Flowchart of suspected Adverse Events Following Immunization (AEFI). These sessions aim to deepen employees’ understanding of

AEFI monitoring and reporting and to strengthen their awareness and ability to report safety information.

43 442024 Environmental Social and Governance (ESG) Report

Protection of Customers’ Rights and Interests

Study Session on the Operational Guidelines for Pharmacovigilance Quality

Management Standards for MAHs in Beijing-Tianjin-Hebei Region (Trial)

Customer Service Management

On March 13 2024 the Pharmacovigilance Department organized a study session on the Operational Guidelines

for Pharmacovigilance Quality Management Standards for MAHs in Beijing-Tianjin-Hebei Region (Trial). Through

this training the department enhanced its professional knowledge and revised the Company’s pharmacovigi- The Company has established comprehensive customer communication channels and complaint management procedures.lance system documentation in accordance with the guidelines. This ensures that pharmacovigilance activities By utilizing various means such as the 400 customer service hotline and feedback collection mechanisms the Company

remain compliant with current regulatory requirements. promptly gathers customer feedback to ensure smooth communication. The Company has formulated the Standard Operat-

ing Procedure for Medical Consultation and Complaint Handling and the User Complaint Management Procedure which respectively

define the handling processes for medical inquiries and quality-related complaints. Upon receiving an inquiry the Company

responds in accordance with the Standard Operating Procedure for Medical Consultation and Complaint Handling. Upon receiving

Pharmacovigilance Management Measures a quality complaint the Company follows the User Complaint Management Procedure to promptly initiate internal communi-

cation and investigation coordinate with relevant departments to formulate corrective and preventive actions and ensure

The Company conducts monitoring identification assessment and control of risks associated with its products during that issues are resolved in a timely and appropriate manner.clinical trials and post-marketing use and formulates corresponding response measures for different risk stages.The Quality Assurance

The Pharmacovigilance Department of the Company has established the The Marketing Center Department organizes The Marketing Center

management procedures of clinical pharmacovigilance in accordance with the collects customer feedback relevant departments to assists in the investigation

Pharmacovigilance in requirements of the relevant regulations and standardized the management of

and receives complaint conduct an investigation and responds to the customer

Clinical Trials pharmacovigilance for the clinical research of oral pentavalent reconstituted live information formulate corrective and and closes the complaint.attenuated rotavirus vaccine (Vero cell) and tetravalent influenza virus lysate preventive action

vaccine which ensured the smooth progress of the clinical research work.Customer Quality Complaint Handling Process

Post-Marketing Risk The Company has developed a Pharmacovigilance Plan to monitor the occur-

Identification Evaluation Responsible Marketing

and Control rence of AEFI in real time and conduct vaccine safety risk assessments.The Company strictly complies with the Advertising Law of the People’s Republic of China the Trademark Law of the

The Company actively expands information collection channels by means such People’s Republic of China and other relevant laws and regulations and adheres to the principles of accuracy clarity and

as telephone communication and on-site visits to collect AEFI data related to the transparency in marketing and promotion. False advertising is strictly prohibited in all marketing activities. The Company has

use of its vaccines. All data are monitored and managed according to established established the Regulations on the Production Distribution and Management of Promotional Materials and Items which

procedures. define the production process and approval procedures for promotional materials and standardize the compliance review

Post-Marketing AEFI of marketing materials. Product promotional materials are prepared by the product team with content reviewed by the

Monitoring and Reporting A pharmacovigilance data management system has been introduced to collect Medical Affairs Department jointly reviewed by the Marketing and Medical Directors and finally approved by the Head of

and manage AEFI reports during both the clinical trial and post-marketing the Marketing Center ensuring the accuracy clarity and transparency of marketing communications.phases.The Company’s product The medical department is The final draft is jointly reviewed

division drafts promotional responsible for reviewing the by the product division and the

materials for products content of the materials medical department

Approval by the head of Approval by marketing and

Printing for use

marketing center medical director

45 462024 Environmental Social and Governance (ESG) Report

Win-Win Cooperation for a Sustainable Supply Chain Information Protection for Strengthening Data

Security

The Company has formulated the Supplier Management Measures Procurement Management Regulations and other relevant

policies to standardize procurement processes improve supervision mechanisms optimize supplier management and

enhance the stability of the supply chain. Suppliers are classified into four categories: key suppliers strategic suppliers Information Security Management

general suppliers and temporary suppliers with distinct selection criteria established for each category.BioKangtai strictly complies with the Cybersecurity Law of the People’s Republic of China the Data Security Law of the

People’s Republic of China the Personal Information Protection Law of the People’s Republic of China and the Data Security

Strict control over supplier qualification with general qualification requirements set and Management Measures in the Industrial Sector among other laws and regulations. Following the ISO 27001 Information

category-specific qualification criteria established based on the type of goods supplied.Admission of Suppliers Security Management System certification standards the Company has established a comprehensive information security

Suppliers’ business qualifications and material quality standards are thoroughly reviewed management system in five areas: organization management technology training and supervision. The Company has

to ensure compliance with product quality and technical standards. clearly defined its cybersecurity and privacy protection policies ensuring their integration into all stages of production

inspection and operations. The Information Center is responsible for organizing and coordinating the Company’s informa-

tion security efforts and has set up dedicated positions to ensure the implementation of information security protection

The Company establishes a supplier audit and evaluation team that uses a quantitative strategies and procedures. During the reporting period the Company did not experience any major information security

scoring system to assess suppliers. Evaluation criteria include quality control delivery breaches.timeliness cost management service levels and other factors;

Supplier Evaluation When evaluating suppliers evaluators should complete the Supplier Evaluation Form The Company actively conducts information security training. Every year in June and November phased information secu-

and Assessment and take appropriate actions based on the results; rity training is provided to all employees covering topics such as updates to information security policies and procedures.After the evaluation the purchasing staff should promptly notify the supplier in writing In response to Information Security Week the Company emphasizes the importance of information security through various

of the evaluation standards and results and take corresponding actions based on the channels including departmental annual training new employee onboarding training and company bulletin boards. During

evaluation outcomes offering suggestions to the supplier; the reporting period the Company held a total of 10 information security training sessions.When a supplier informs the Company of any changes the purchasi ng staff s hould

Supplier Information identify and confirm whether the change will affect the subsequent material supply or

Changes services. For changes in suppliers of production materials the change should also

comply with the change control management documents of the GMP system.Suppliers that do not meet the standards should be eliminated promptly;

Elimination of Suppliers The elimination of suppliers for production materials should strictly follow the Compa-

ny’s GMP system supplier management procedures.Suppliers are important partners in the Company’s commitment to its purpose of “produce the best vaccines to benefitmankind” and advancing sustainable development. To promote a sustainable supply chain the Company has developed and

implemented the Supplier Code of Conduct which sets clear requirements for suppliers in areas such as legal compliance

human rights and labor environmental protection and business ethics. The Company is dedicated to working with its

partners to build a compliant trustworthy and sustainable supply chain system. Additionally the Company utilizes a digital

procurement system making the procurement inquiry and price comparison process more convenient and intuitive reduc- Information Security Training

ing the error rate in the contract approval to material warehousing process and improving overall work efficiency.

47 482024 Environmental Social and Governance (ESG) Report

Information Security Management Measures Data Protection Measures

The Company adopts multi-layered end-to-end protection measures to safeguard data security.The Company places high importance on information security protection. Through four key measures—strengthening

network risk prevention and control strictly managing account passwords and permissions ensuring the security and stabil- Data Encryption and Masking

ity of information systems and improving emergency response mechanisms for unforeseen situations—the Company has Sensitive data is encrypted using high-strength encryption algorithms and encryption software

built a robust information security barrier ensuring the safe operation of information systems. ensures that data remains encrypted during storage transmission and backup.Encryption technology is used to ensure files are usable in designated environments while showing

as garbled text outside the environment.Network Security Risk Prevention Account Password and Permission Management Hidden file watermarks and screen watermarks are applied to prevent data leakage due to software

screenshots or phone photos which cannot be traced.By deploying advanced security technologies and tools Strictly enforces the Computerized System Account Access Control and Permission Management

(such as firewalls situational awareness systems WAF Management Regulations to ensure that user permissions

Data access permissions are assigned based on the “least privilege principle” with access levels

intrusion prevention systems (IPS) database auditing and password controls are properly allocated and

Technical divided according to employee roles to prevent unauthorized personnel from accessing sensitive

systems log auditing systems vulnerability scanning effectively managed.Level information.baseline checks etc.) the Company ensures network

Multi-factor authentication (MFA) is deployed combining passwords biometrics and other verifica-

security.tion methods to enhance account security.Security Audits and Real-Time Monitoring

Intrusion Detection Systems (IDS) tools are used for real-time monitoring to identify abnormal

Information System Security and Stability Emergency Response for Unexpected Situations

access behaviors and trigger alerts.Operational logs are recorded to track file creation modification and transmission activities facilitat-

Strictly follows the Computerized System Security Manage- The Company has developed a detailed Network and Informa- ing traceability and risk analysis.ment Regulations and the Operation and Maintenance tion System Emergency Response Plan and conducts emergen- Internet behavior management is employed to effectively control the internal network and monitor

Auditing & Risk Control System Operating Procedures to cy drills annually to enhance the ability to respond to unfore- abnormal traffic.ensure the stable operation and security of systems seen incidents.with IT personnel’s permissions classified tiered and Policy and Process Development

minimized. Develop data classification and grading standards clearly defining lifecycle management regulations

for storage transmission destruction and other processes.Establish emergency response plans and conduct regular data recovery drills to ensure the availabili-

Management ty of backup data.Information Center Power Outage Emergency Drill Level Employee Training and Awareness Enhancement

Conduct regular security training covering topics such as phishing email identification and secure

On July 26 2024 the Information Center organized the 2024 Information Center Data Center Power Outage Emergency operating procedures reinforcing risk awareness among all employees.Drill with coordinated participation from the Equipment Department Quality Assurance Department and various Conduct simulated attack tests (such as phishing drills) to assess employees’ response capabilities

business departments. This drill which simulated a real power outage scenario comprehensively tested the data and improve training programs based on the results.center’s business continuity protection mechanisms and the effectiveness of the emergency response plan. It

validated the efficacy of the emergency procedures in the event of a power interruption and enhanced the team’s

ability to collaborate and respond to emergencies. Based on the potential risks exposed during the drill the Deploy enterprise-level firewalls to block external attack paths and implement segmented manage-

Information Center will further revise and improve the emergency response plan clarifying responsibility assign-

Physical and ment of the internal network for effective network isolation.ments and response time requirements. External Control the use of external devices such as USB drives on the production network restricting unau-

Protection thorized devices from copying files.Lock data on the production network to limit modifications and deletions.

49 502024 Environmental Social and Governance (ESG) Report

Customer Privacy Protection

Embeds production recipe design and process

The Company places high importance on customer privacy protection and strictly enforces confidentiality agreements. Managers can promptly and accurately grasp the production requirements into system workflows

Exclusive access permissions are set for customer information to ensure compliance with information access policies. The quality status of each process through the MES system

Information Center regularly reviews permission configurations and promptly corrects any misassignments to prevent

Provides full-process management and

information leakage. At the same time the Company strengthens network security defenses by adding application server monitoring of workshop production

isolation and bastion host protection measures to fully safeguard customer information security. Pharmaceutical Production

Business Management Layer

Production Manufacturing

System (MES) Ensures error-proofing and traceability of

Digital Transformation Pharmaceutical Production materials and Workshop数 O字pe化ra转tio型ns技 L术ay框er架 production data throughout the entire process

BioKangtai’s digital transformation focuses on production covering an

integrated business model from procurement and warehousing to Real-time automatic collection

monitoring processing storage utilization

production inspection and sales. The importance of this transformation and weighing of equipment parameters

is the Manufacturing Execution System (MES) project which connects seamlessly integrating with weighing equipment

personnel equipment materials and environments that are dispersed operational containers surrounding systems and devices

across different locations regions and departments. By integrating

these systems across regions through the MES the Company achieves

efficient division of labor and rapid response capabilities. The use of an

Digitalized Production

advanced industrial internet system enhances production and execution

efficiency thereby improving the overall utilization of resources at 2024 Best Practice in Digital Transformation

BioKangtai. of Listed Companies

Storage

In warehousing the WMS system is imple-

Purchasing mented to enable traceability of raw and

The Company has introduced the SRM system auxiliary materials as well as product tracking

for procurement source management through “one product one code”

Production

Sales For production the MES system is used to

The group’s ERP system is used for unified Digital Transformation comprehensively manage electronic batch

management of sales orders and shipping Business Model records ensuring full control of the production

enabling real-time tracking of product sales flow processes

Inspect

The Company employs the LIMS system for laboratory management

ensuring that the inspection process is controllable and that

inspection reports are automatically generated

Digital Transformation Business Model

51 522024 Environmental Social and Governance (ESG) Report

Environmental Compliance for Strengthening

Pollution Prevention and Control

Governance

The Company strictly complies with the Environmental Protection Law of the People’s Republic of China and other relevant

regulations. It has established the Environmental Protection Management Procedures Environmental Factors and Hazard

Source Identification and Control Procedures and other systems. These procedures regulate environmental monitoring

environmental information reporting and emergency response for environmental incidents standardizing the Company’s

environmental practices in production and operations. The goal is to reduce pollutant emissions and promote the Compa-

ny’s sustainable development.The Company takes “strict pollution control scientific management energy conservation and emission reduction andcontinuous improvement of energy efficiency” as its management principles and has established an environmental manage-

ment structure with well-defined responsibilities. The Environmental Health & Safety (EHS) committee is the Company’s

environmental management body and the Office of Safety Health and Environmental Management is responsible for the

regular environmental management. We require all employees to sign a letter of responsibility for EHS targets and associate

environmental management performance with the quarterly performance appraisal of middle and senior management.During the reporting period the Company invested 3.8388 million yuan in environmental protection and there were no

instances of administrative penalties due to violations of environmental protection laws and regulations.Responsible Person Responsibilities

Responsible for the approval of the Company’s annual environmental targets and

Director of EHS Committee

related policies

Responsible for the approval of environmental protection issues within the scope of

Deputy Director of EHS responsibility

Committee

Responsible for the approval of environmental protection evaluation results

Responsible for organizing and supervising the implementation of environmental

Green and Low-Carbon Development protection efforts in all teams and departments of the CompanyHeads of Departments Responsible for the evaluation of the environmental protection efforts by teams and

departments

for Building a Beautiful Ecological Responsible for the implementation of the departmental environmental protection

efforts and break down the department’s annual environmental protection goals to

Home Together Office of Safety Health and Environmental each team

Management Responsible for supervising the implementation of environmental management in the

department and organizing self-assessment

Responsible for the implementation of the annual environmental protection efforts of

Environmental Compliance for Strengthening Pollution Prevention and Control 54 the team

Heads of Teams

Low Carbon and Energy Conservation for Addressing Climate Change 60 Responsible for the self-assessment of the completion of the team’s annual environ-

mental protection goals

53 542024 Environmental Social and Governance (ESG) Report

As of the end of the reporting period BioKangtai and Impact Risk and Opportunity Management

BioMinhai had obtained ISO 14001 Environmental

Management System certification and passed clean

The Company has formulated the Environmental Factors and Hazard Source Identification and Control Procedure to identify

production audits. BioKangtai was awarded the

and assess environmental aspects in its operations and to develop and implement targeted plans and measures.“Green Enterprise” title by Shenzhen City. In 2024BioMinhai received both the national-level “GreenFactory” title and the “Green Factory” title from In accordance with the List of Significant Environmental Aspects the Company identifies

Beijing City. environmental factors involved in operational activities. Four major categories have been

Risk Identification

BioKangtai BioMinhai identified: solid waste exhaust gas wastewater and noise. The results are recorded in the

Environmental Aspect Identification and Evaluation Form.The Company continuously enhances employees’ environmental management awareness and professional capabilities

through environmental protection training. During the reporting period the Company conducted training sessions such as

Solid Waste Management Training General Industrial Solid Waste Training and monthly EHS training. The Company also The EHS Office organizes departments to conduct risk evaluations of hazards assessing

organized environmental protection engineers to participate in the Shenzhen Environmental Protection Director Capability the likelihood of safety incidents employee capabilities and monitoring data. These evalu-Risk Evaluation

Enhancement Assessment held by the Shenzhen Municipal Bureau of Ecology and Environment and they obtained certifica- ations consider the frequency of exposure to risks and the severity of potential conse-

tion. BioMinhai organized environmental protection engineers to attend the Automatic Monitoring Compliance Training quences. Risk levels of each environmental factor are determined based on the results.organized by the Ministry of Ecology and Environment where they also obtained certification. During the reporting period

the Company conducted a total of 22 environmental protection training sessions. The Company monitors changes and additions to relevant laws and other requirements

Risk Monitoring conducts annual reviews and sets environmental targets for the following year accord-

ingly.Strategy

Risk Type Risk Description Impact Impact on Financial

Duration Value Chain Impact

Response Measures

Environmental Management Measures

Negative environmen-

tal incidents reported

Actively disclose environmental

Risk of Damage by the media may lead Short to Decreased protection measures respond Environmental Impact Assessment

to Reputation to reduced consumer

Operations

medium operating

trust and cause downstream

promptly to incidents and strength-

term income en brand public relations.partners to reassess The Company strictly complies with the Environmental Impact Assessment Law of the People’s Republic of China and other

business relationships. relevant laws and regulations fully implementing the “Three Simultaneities” principle for construction projects. During the

reporting period BioMinhai completed the self-inspection and acceptance of the newly constructed boiler project and the

new international vaccine industrial base project. It also obtained the approval of the environmental impact report for the

Opportunity

Type Opportunity Description

Impact Impact on Financial Response Measures

Duration Value Chain Impact nucleic acid vaccine R&D and pilot-scale production project. In January 2025 BioKangtai submitted the environmental

impact report for the technical development project of the Reassortant Rotavirus Vaccine Live Oral Pentavalent (Vero Cell)

Increase investment in to the Ecology and Environment Bureau and received official approval.green and environmen-

tally friendly production

technologies promote In accordance with the Implementation Measures for Mandatory Environmental Pollution Liability Insurance in Shenzhen BioKangtai

the use of renewable engaged a third-party assessment agency and purchased mandatory environmental pollution liability insurance. By integrat-

Green Techno- Medium to Increased Optimize production processes energy implement Operations ing third-party insurance risk management with environmental management the Company aims to prevent environmental logy Innovation energy-saving controls long term

operating reduce pollutant emissions and

income improve resource utilization. pollution incidents.and upgrades reduce

carbon emissions and

improve resource

efficiency ultimately

reducing costs.

55 562024 Environmental Social and Governance (ESG) Report

Environmental Monitoring and Management Pollution Prevention and Control

The Company strictly monitors pollutant indicators and complies with the provisions of the Pollutant Discharge Permit utilizing Wastewater Management

both manual and automated methods to record and monitor pollutants. During the reporting period the Company conduct-

ed comprehensive monitoring of wastewater exhaust gas and noise within the plant in accordance with the permit require-

ments. A total of 1031 monitoring data points were collected with 100% compliance. The Company’s wastewater primarily originates from production processes and domestic sewage. Key monitoring indicators

include COD ammonia nitrogen total nitrogen and pH. The Company strictly adheres to the Law of the People’s Republic of

Emergency Response Plan for Environmental Incidents China on the Prevention and Control of Water Pollution Emission Standards for Water Pollutants from Pharmaceutical Industry of

Biotechnology Integrated Wastewater Discharge Standard and other relevant laws regulations and normative documents. It

has established internal policies such as the Standard Operating Procedures for Sewage Treatment System Wastewater Treat-

The Company has established the Emergency Response Plan for Environmental Emergencies and other related systems to ment Station Water Quality Monitoring and Management Regulations Drainage Standard Operating Procedures and Workshop

improve emergency handling mechanisms for unexpected environmental events. These efforts aim to enhance the Com- Drainage Management System to standardize the processes monitoring and operational requirements for wastewater

pany’s emergency response capabilities and ensure that such incidents are managed in a timely orderly efficient and treatment ensuring that all generated wastewater is properly treated.appropriate manner. During the reporting period the Company carried out emergency drills simulating scenarios such as

organic solvent leakage in the hazardous waste warehouse and pipeline rupture/effluent discharge exceeding limits at the

wastewater station. These exercises strengthened the Company’s overall emergency response capabilities and improved Wastewater Treatment Measures and Operational Performance

its environmental risk management.The Company has a dedicated wastewater treatment station. Industrial wastewater is directed to the station

for treatment before being discharged into the municipal sewage network.Emergency Drill for Non-Compliant Wastewater Quality/Pipeline Rupture An online wastewater monitoring system is installed to monitor parameters such as COD and ammonia

nitrogen daily. In addition the Company engages third-party agencies to conduct regular sampling and testing

On October 24 2024 BioKangtai conducted an emergency drill for a scenario involving a rupture of the waste- to ensure compliance with discharge standards.water pipeline or excessive discharge. The drill simulated an emergency in which the effluent exceeded

discharge standards or the wastewater pipeline ruptured. Focusing on operational standards emergency The wastewater treatment station operates in strict accordance with national environmental protection regula-

response and risk awareness the drill improved employees’ understanding of the risks associated with exces- tions. All facilities signs and labels are in good condition and records are complete and updated in real time.sive wastewater discharge enhanced the Company’s emergency handling capabilities and raised environmen- A professional environmental engineering company is commissioned to manage the operation of the waste-

tal awareness among staff. water treatment station perform routine safety inspections of wastewater facilities within the plant and

promptly address any malfunctions.Indicators Unit 2024

Chemical Oxygen Demand (COD) ton 27.24

Ammonia Nitrogen ton 3.05

Total Nitrogen ton 0.19

Total Phosphorus ton 0.04

Total Industrial Wastewater Discharge m3 1075107.08

57 582024 Environmental Social and Governance (ESG) Report

Waste Gas Management Low Carbon and Energy Conservation for

The primary air pollutant generated by the Company is total volatile organic compounds (TVOCs). The Company strictly Addressing Climate Change

complies with the Law of the People’s Republic of China on the Prevention and Control of Atmospheric Pollution Emission

Standard for Odor Pollutants Emission Standard of Air Pollutants for Pharmaceutical Industry Emission Control Standard

for Volatile Organic Compounds (VOCs) from Industrial Enterprises and other relevant laws regulations and normative BioKangtai actively responds to the national “dual carbon” strategy giving high priority to the challenges posed by

documents. The Exhaust Gas Emission Management System has been established to standardize exhaust gas emissions climate change. The Company practices the concept of green development through concrete actions contributing to

and daily emission practices ensuring stable operation of all exhaust gas treatment facilities and proper treatment of all the protection of the Earth’s ecology and alleviating the climate crisis.types of industrial emissions. During the reporting period the Company discharged a total of 251816447 cubic meters of

exhaust gas.Governance

Exhaust Gas Treatment Measures and Operational Performance

The Company combines management-driven energy conservation with technology-driven energy-saving measures. It

Exhaust gases are treated using high-efficiency filters and activated carbon adsorption before discharge. continuously improves its energy management structure energy management system energy measurement system and

Kitchen fume emissions are treated by dedicated fume purification devices before being released. energy-saving performance assessment and training programs. By strengthening energy control the Company formulates

The Company engages qualified third-party organizations to conduct regular exhaust gas testing in accordance annual energy control implementation plans and sets specific energy-saving and emission reduction targets.with regulatory requirements to ensure all emissions comply with relevant standards. The Company adheres to the Energy Conservation Law of the People’s Republic of China Energy Management System

Requirements and Guidelines and other relevant laws and regulations. It has established the Energy Management System

to standardize energy management practices improve overall energy utilization efficiency and respond to national energy

Waste Management conservation and emission reduction policies. The Company has set up an energy management team led by the production

head with department staff as team members. The team is responsible for energy consumption quota control and daily

statistics and analysis. As of the end of the reporting period BioMinhai has passed ISO 50001 Energy Management System

The Company classifies solid waste into general industrial solid waste general domestic waste hazardous waste and medi- certification.cal waste based on their sources and characteristics. The Company has established the Solid Waste Management System

to standardize the waste disposal process and ensure that all types of solid waste generated by the Company are properly The Company engages a third-party agency to conduct energy audits providing a comprehensive assessment of the Com-

treated. pany’s energy management level and energy usage identifying problems and weaknesses in energy utilization uncovering

energy-saving potential exploring energy-saving directions reducing energy consumption and production costs and

The Company follows the principles of “reduction harmlessness and resource utilization” in solid waste management. The improving overall economic performance.departments generating waste are responsible for managing the entire process from waste generation to transfer. This

includes recording the initial waste generation packaging and barreling labeling and internal transportation. For hazardous The Company has established the Energy Reward and Penalty Regulations integrating energy management and energy-sav-

and medical waste the Company entrusts qualified third parties for disposal. For general industrial solid waste qualified ing efforts into the performance appraisal system. These are treated as key indicators for year-end evaluations with a

third parties are also commissioned for treatment while general domestic waste is handed over to the sanitation department standardized reward and penalty system to promote continuous improvement in energy management. Additionally the

for processing. Company places great emphasis on cultivating employees’ energy-saving awareness and provides training on warehouse

energy-saving measures and energy control implementation plans.Indicator Unit 2024

General Industrial Solid Waste ton 142.79

General Waste Generation per Unit Revenue kg/10000 yuan 0.54

Hazardous Waste ton 231.63

Hazardous Waste Generation per Unit Revenue kg/10000 yuan 0.87

59 602024 Environmental Social and Governance (ESG) Report

Strategy Metrics and Targets

Risk Type Risk Description Reporting Value Chain Financial Response Measures The Company primarily consumes electricity steam natural gas and small amounts of gasoline diesel and liquefied petro-

Period Stage Impact leum gas during production. Electricity is sourced from the municipal power grid and is mainly used for production equip-

Frequent typhoons and floods in Decreased Reinforce disaster-resilient plant ment. Steam is primarily used for process equipment and air conditioning. Natural gas is mainly consumed in boiler opera-

Acute South China may damage produc- Operations operating design (e.g. flood protection Short-term tions and the cafeteria. Gasoline is used for company vehicles while diesel is used for emergency power generation and Risks tion facilities and disrupt cold chain downstream income facilities); purchase property and

logistics. liability insurance. routine generator maintenance.Phy-

sical

Risks Rising average annual tempera-

tures in South and North China Increased Indicator Unit 2024Chronic lead to increased energy consump- Long-term Operations Upgrade high-energy-consuming

Risks operatingtion for cleanroom cooling driving cooling equipment.costs Natural Gas 10000 ｍ3 889.86

up production costs.Tran- Gasoline ton 37.54

sfor- Policy Stricter domestic “dual carbon” Increased Participate in the carbon trading

ma- policies lead to increased carbon Mid-term Operations operating market to offset part of the Diesel ton 124.42

tion Risks emission costs. costs emissions.Risks Total Purchased Electricity kWh 96606866

Opportunity

Type Opportunity Description

Impact Impact on Financial

Impact Response Measures

Total Purchased Heat GJ 227379.62

Duration Value Chain

By adopting advanced energy

Improved management and conservation Decreased Improve energy efficiency GHG Emission

technologies energy efficiency Long-term Source Usage PhaseEnergy Downstream operating through energy audits Scope

Efficiency can be enhanced reducing costs equipment upgrades and

energy consumption and costs. employee training. Natural Gas Boilers and cafeteria

Scope 1 Diesel Mainly used for diesel generators and transport vehicles

Impact Risk and Opportunity Management Gasoline Passenger vehicles

The Company places great importance on the risks and opportunities brought about by climate change continuously moni- Purchased Electricity Production departments auxiliary departments and non-pro-

Scope 2 duction departments

toring changes in the external environment and adjusting internal business planning accordingly. It dynamically optimizes its Steam Process equipment and air conditioning

climate risk response strategies.At the beginning of each year the Safety and Environmental Protection Office formu-

Preparation lates the Annual Audit Plan establishes an internal audit team and prepares an internal Indicator Unit 2024

audit implementation plan.Direct GreenhouseGas Emissions tCO2e 19829.65

Implementation Internal audits are carried out through both document review and on-site inspections.Indirect GreenhouseGas Emissions tCO2e 86228.19

In accordance with the Hazard Identification and Inspection System non-conformities are Total GHG Emissions(Scope 1 & Scope 2) tCO2e 106057.84

Evaluation and identified and classified as general major or observations. After the audit relevant depart-

Reporting ments and personnel prepare an internal audit report.Greenhouse Gas Emission per Unit Revenue tCO2e/10000 yuan of revenue 0.40

Based on the corrective action records and audit report departments develop corrective

Correction measures. When implementing these measures departments must complete records of

non-conformities corrective actions taken and supporting evidence. The audit team

leader reviews the materials before further corrective actions are taken and all supporting

documentation is collected.

61 622024 Environmental Social and Governance (ESG) Report

Climate Action Using Clean Energy

Technological Upgrades BioKangtai and its subsidiary BioMinhai have actively addressed climate change through carbon trading and the purchase of

green electricity laying a solid foundation for sustainable development and green transformation. In 2024 BioKangtai fulfilled

The Company actively implements targeted and effective energy-saving measures to reduce energy consumption achieving its compliance obligations by purchasing 328 tonnes of carbon emission quotas and procuring 7580 MWh of green electricity

both economic and environmental benefits. thereby reducing 2932.70 tonnes of CO? emissions. BioMinhai purchased 12364.8 MWh of green electricity through electrici-

ty market transactions achieving a CO? emissions reduction of 8378.39 tonnes effectively contributing to energy structure

Entity Project Name Operation Status and Results optimization and emission reduction goals. Moreover BioMinhai has signed a multi-year interprovincial bilateral agreement

for green electricity trading for 2025–2027 which will secure a stable supply of electricity with green attributes at fixed prices

The air conditioning hot water system operates at different temperatures

in summer and winter. In summer the supply temperature is lowered to throughout the contract period—further advancing the Company’s sustainable development objectives.Hot Water System Temperat- reduce the temperature difference with the environment minimizing

ure Adjustment Project unnecessary heat loss and reducing operating costs. This saves approxi-

mately 18.26 tce/year generating RMB 150000 in economic benefits Note: CO? emission reduction data are calculated based on the regional average power grid CO? emission factor

annually. published in the Ministry of Ecology and Environment’s 2022 Carbon Emission Factors for Electricity.BioMinhai

Two air compressors at 2B Power Station were replaced to improve equip-

Air Compressor Replacement ment efficiency and reduce operational costs. This saves approximately

Project 9.73 tce/year generating RMB 80000 in economic benefits annually. Water Resource Management

The air conditioning hot water units were modified to include a conden-

Waste Heat Utilization Project sate recovery device indoors instead of direct discharge thereby enhanc- The Company’s water supply is sourced from the municipal water system. Water is not a primary resource consumed during

ing waste heat utilization.production processes and the risk of water scarcity remains low. In addition the facility is equipped with production water

tanks and greywater storage tanks to mitigate short-term water shortage emergencies. BioMinhai implements multiple

Digital Management water-saving initiatives including the establishment of rainwater reuse systems greywater recycling systems and advanced

purified water preparation systems. It also utilizes water-saving sanitary fixtures and recovers boiler steam condensate to

BioKangtai has established a regular reporting mechanism for energy usage with monthly reports on natural gas and electric- reduce water consumption. As of the end of the reporting period BioMinhai had been recognized as a Water-Saving Enter-

ity consumption. Departments are required to develop and implement energy control plans to strengthen energy manage- prise of Beijing.ment. BioMinhai has implemented a Smart Building Energy Management System enabling automatic generation of energy

reports and statistical analysis. This system supports functions such as energy diagnostics and monitoring enhancing both

energy efficiency and the Company’s capacity for refined energy management. Indicator Unit 2024

Water Consumption (Municipal) m3 1297970

Water Consumption per Unit Revenue m3/10000 yuan 4.89

Smart Management System

63 642024 Environmental Social and Governance (ESG) Report

People-Oriented Approach for Protection of

Employees’ Rights and Interests

The Company upholds the core value of “dedication to people’s health” and strictly complies with relevant laws and regula-

tions such as the Labor Law and the Labor Contract Law. A comprehensive suite of human resource management systems

has been established covering recruitment development promotion benefits and employee rights protection aiming to

foster a harmonious and stable labor relationship. The Company firmly prohibits all forms of child labor and forced labor

and is committed to creating a workplace environment that is equal inclusive democratic and harmonious thereby cultivat-

ing a positive and healthy corporate culture for all employees.Labor Management

The Company has established a series of internal regulations including the Labor Contract Management Measures and

Recruitment Management Measures to continuously optimize the employee hiring and management system ensuring

compliance in recruitment and employment practices while fully protecting employee rights.Adopting a talent attraction strategy based on “career appeal compensation appeal development appeal and culturalappeal” the Company places great emphasis on cooperation with research institutions and universities. It recruits outstand-

ing talent through multiple channels including online recruitment headhunting services campus recruitment internal

recommendations and on-site recruitment events. The Company also offers positions for veterans and disabled individuals.[Key Performance Indicators]

During the reporting period the Company hired 169 new employees including52female employ-

ees and117male employees; 200employees left with an employee turnover rate of7.52%.As of the end of the reporting period the Company employed a total of 1913employees including

18 disabled employees and 73employees from minority ethnic groups; 100% of labor contracts

Uniting Hearts and Efforts for Building were signed.a Warm and Inclusive Workplace

People-Oriented Approach for Protection of Employees’ Rights and Interests 66

Safe Production for Safeguarding Employee Health 72

65 662024 Environmental Social and Governance (ESG) Report

1192 1160 Performance Appeals and Feedback637 12

721 Number of The Company has established systems such as the Compensation Management Measures Performance Management Number of Number of

90 Employees(by

204

Employees Employees System and Compensation Calculation Guidelines to standardize the compensation assessment and feedback processes. Academic

(by Gender) (by Age) Qualification) These systems follow the PDCA (Plan-Do-Check-Act) cycle with a primary focus on quantitative performance evaluation and 663 1060 supplementary qualitative assessments. The Company continuously improves the compensation and performance system

based on job value and individual capabilities strengthening the connection between employee income levels and the Com-

Female <30years old > 50 years old Doctoral Degree Bachelor’s Degree pany’s business performance. Upholding the principle of two-way communication the Company addresses issues employ-

Male 30 to 50 years old Master’s Degree Below Bachelor’s ees may encounter in achieving performance targets and provides necessary assistance continually enhancing employee

Degree work performance and job satisfaction. Department supervisors evaluate employee performance through performance

The company advocates the values of labor governance featuring diversity equality and inclusion. Upholding the principle appraisal forms. If employees have any doubts about the results they can contact their supervisors to provide feedback or

of equal pay for equal work it adheres to the orientation of job requirements ensuring that there is no discrimination of any file an appeal.form in terms of gender age cultural and educational background race religious belief etc. It fully respects and accepts

individual differences. To further clarify this commitment the company has issued the "Public Statement on Employee Diver-

sity Initiatives" firmly believing that the diversity of employees is a key force driving continuous innovation and achieving

high-quality development. In order to create a more inclusive work environment the company actively promotes respect for

diverse cultures and values and facilitates understanding and trust among employees. At the same time the company has

established a dedicated reporting channel to effectively prevent and address inappropriate behaviors such as discrimination PerformancePerformance Plan Performance

Performance

Implementation Improvement

harassment and bullying and earnestly safeguard the legitimate rights and interests of employees. Evaluation

Democratic Governance Performance Management

The Company fully respects employees’ right to freely associate and actively safeguards their rights to information supervi-

sion and participation. The Company has established a labor union responsible for organizing the employee congress. It Employee Benefits

supports employees in exercising their democratic rights in accordance with the law represents employees in seeking legiti-

mate and lawful rights and interests with a focus on protecting the rights of female employees disabled employees and The Company has established systems such as the Compensation and Benefits Management System Benefits Manage-

other groups. This promotes the continuous optimization of internal information flow and democratic management. The ment Measures and Five Social Insurances and One Housing Fund Management Measures to continuously improve its

proportion of union members among active employees is 87.5%. During the reporting period BioKangtai conducted an benefits system.employee satisfaction survey with a result of 80.95%.Compensation and Benefits Statutory Subsidized Festive Health Vacation

Benefits Benefits Benefits Welfare Benefits

Employee Compensation

Pension insurance Seniority subsidy International Annual Health Paid leave sick

The Company formulates the Compensation Management Measures in alignment with its business strategy implementing medical insurance educational subsidy Women’s Day Check-up leave worka compensation policy that combines position and individual capabilities. Adhering to the principle of “efficiency first work-related injury housing subsidy gifts birthday injury leavefairness considered and distribution based on labor” the Company continuously improves its compensation system to insurance unem- overtime pay meal gifts holiday maternity

enhance the core competitiveness of its human resources. The structure of employee compensation consists of basic salary ployment insurance subsidy high-tem- allowances

position salary confidentiality allowance performance bonus subsidies (allowances) welfare expenses and special wages. maternity insurance perature/heating leave etc.Employee compensation is closely linked to daily work performance. Based on individual performance assessments and and housing provi- subsidy night shift

annual reviews employees are evaluated for their job levels and salary adjustments resulting in a reasonable salary ladder dent fund allowance etc.distribution that motivates employees’ enthusiasm and creativity providing high-quality human capital for the Company’s

sustainable development.

67 682024 Environmental Social and Governance (ESG) Report

Training and Development Employee Development

Employee Training The Company attaches great importance to employees’ career development and has formulated the Promotion Manage-

ment Guidelines. It adopts a graded management strategy combining trials evaluations and appointments and has

established three career development paths: the “Management Sequence” “Professional Sequence” and “ResearchThe Company attaches great importance to talent cultivation and development. Based on the Company’s strategy and Sequence”. These paths provide employees with diversified growth opportunities allowing them to define their career

the needs of its talent pipeline the Company has formulated the Training and Development System and annual training development based on their strengths and characteristics and facilitating the efficient alignment of talent with positions.plans. It has established a talent development platform and training system to continuously enhance employees’ vision During the reporting period 387 employees were internally transferred accounting for 18.42% of the total workforce.professional competence and to reinforce professional ethics ensuring the talent support necessary for the Company’s

strategic goals and sustainable development. During the reporting period the Company invested 1.0709 million yuan in

Department Channel

employee training. Career Development Pathways

Classification Classification

Training Categories Content

Suitable for positions involving management work with

New Employee Training New employees must undergo orientation training after their probation period. Only Management personnel management authority (excluding mentor-

those who pass the training are allowed to begin working. Sequence ing relationships and business coaching roles) leading

Functional teams to operate designated business areas.Based on the knowledge/skills required for each position and career development

Professional Technical Training Departmentcharacteristics various departments focus on developing and enhancing professional

skills. Promotion

Professional Suitable for positions in administration finance quali-

Technical ty equipment engineering procurement auditing

Management Training According to the Company’s human resources development needs the HR department

Sequence human resources information technology etc.(Succession Planning) manages the management pipeline in a tiered and classified manner developing and

implementing personalized development plans.In accordance with the External Training and Assignment Management Measures the Suitable for positions involving management work

HR department plans and arranges for management and technical personnel to partici- ManagementSequence with personnel management authority leading External Training andAssignments

pate in external training academic exchanges site visits or invites senior experts and teams to operate designated business areas.professional trainers to conduct specialized training at the Company.Professional

R&D Center Suitable for positions in R&D including quality regis-Technical

Promotion Sequence

tration clinical pilot scale-up and process optimiza-

tion roles.Research Suitable for positions in R&D including quality

Sequence research process researchclinical and non-clinical

protocol design etc.BioKangtai encourages employees to pursue continuing education and self-improvement in accordance with the Benefits

Management Measures. Employees who obtain professional certificates relevant to their positions through self-study exams

online education professional qualification exams title examinations or various training programs organized by external

organizations will receive various types of support measures from the Company depending on the situation.

69 702024 Environmental Social and Governance (ESG) Report

Employee Care Safe Production for Safeguarding

Support for Employees in Difficulty Employee Health

The Company shows care for employees who are hospitalized due to illness offers condolences to the families of deceased

colleagues and proactively applies for hardship subsidies for employees suffering from serious illnesses. BioKangtai has The Company adheres to the principle of “safety first with a focus on prevention” and strictly complies with relevant laws

established the Kangxin Fund specifically to support employees in need. and regulations such as the Law of the People’s Republic of China on Work Safety and the Law of the People’s Republic of

China on Prevention and Control of Occupational Diseases. A comprehensive occupational health and safety management

system has been established to create a healthy and safe working environment for employees. During the reporting period

Caring for Female Employees the Company did not experience any major safety incidents.The Company is committed to supporting the development of female employ-

ees by providing equal employment opportunities. On International Women’s

Day the Company organizes themed activities to show appreciation and Safety Production Management

enhance the sense of belonging among female employees. During the report-

ing period women accounted for 29.41% of the Company’s management; 50 Safety Production Management System

employees took maternity leave with a 100% return-to-work rate; and 130

employees took parental leave also with a 100% return-to-work rate.The Company has established an internal safety production management system in accordance with policies such as the

Women's Day Flower Arranging Activity

Employee Activities Industrial Safety Management Procedures EHS System Policy Objectives and Management Plan EHS Job Responsibilities

and Hazardous Chemical Management System. The Company designates the principal executive as the first person

The Company actively organizes a variety of employee activities to foster a vibrant corporate culture. Activities are planned responsible for work safety who provides overall leadership for safety management. The Safety Director assists in oversee-

around traditional festivals to create a festive atmosphere. Basketball games and parent-child events are held to enhance ing safety operations while all departments collaborate to minimize or control risks in the production process prevent

team cohesion and unity. Departmental team-building activities are promoted to strengthen collaboration and science accidents and reinforce the safety defense line. As of the end of the reporting period BioKangtai and BioMinhai had

knowledge quizzes are organized to improve overall literacy. obtained ISO 45001 Occupational Health and Safety Management System certification.The Company strictly enforces the work safety accountability

system by organizing all employees to sign safety responsibili-

ty agreements annually ensuring that every employee clearly

understands their respective safety duties. Each year the

Company formulates an annual safety management plan

setting clear safety goals and indicators for each department.Departmental audits are conducted through management

reviews to reinforce safety management at all levels. In

addition the Company actively promotes a culture of safety

Team Building Activities Mid-Autumn Festival Events

by organizing safety knowledge competitions Safety Consul-

tation Day events and safety education and training sessions

to continuously enhance employees’ awareness of work

safety. ISO 45001 Occupational Health and Safety

Management System Certification

Team-Building Activities Basketball Matches

71 722024 Environmental Social and Governance (ESG) Report

Classification: Physical hazards chemical hazards biological hazards psychological or

Organizing the “Ankang Cup” Knowledge Competition physiological hazards behavioral hazards etc.Identification of Methods: Basic Analysis Method Job Safety Analysis (JSA) Preliminary Hazard Analysis

During the 23rd National “Work Safety Month” the Company hosted the 2024 “Ankang Cup” Safety Knowledge Hazard Sources (PHA) Event Tree Analysis (ETA)and Skills Competition to foster a strong atmosphere aligned with the theme “Everyone Talks Safety Everyone Make a Comprehensive Hazard ListKnows Emergency Response — Ensuring Unobstructed Life Channels”. The competition comprised both a

theoretical quiz and hands-on practical challenges featuring rich content with a strong focus on assessing

safety skills. Multiple teams competed intensely and various awards were presented. After the event safety The Company applies the LEC method to assess risks: L (Likelihood): the probability of an

manuals were distributed to safety officers. This competition injected new vitality into the Company’s safety accident occurring; E (Exposure): the frequency of exposure to the hazardous environment;

culture strengthened the foundation of its safety management efforts and further promoted the ongoing Risk Evaluation C (Consequence): the severity of potential consequences

development of a robust safety culture to support the Company’s sustainable and healthy growth. Hazardous sources are classified into five risk levels with Level 1 identified as a major

hazard source

Hazards are classified into major hazards and general hazards

Risk Classification Based on the classification level different control measures are implemented including

and Control targeted management programs operational controls emergency response plans moni-

toring and surveillance and training programs. These measures ensure that operational

processes and risk control capabilities are aligned with the level of risk.EHS-2-KT-9-F-01 Hazard Identification and Risk Assessment Form

Record Management

EHS-2-KT-9-F-02 Major Hazard Source Inventory

Hazard Identification and Risk Assessment Management Procedure

Hazard Identification

“Ankang Cup” Knowledge Competition

The Company has established a regular safety hazard identification mechanism based on the EHS-3-KT-S-02 EHS

Hazard Identification and Rectification System organizing personnel to conduct comprehensive hazard inspections

periodically. Safety hazards and issues identified are registered and a rectification tracking system is established.Safety Production Risk Management [Key Performance Indicators]

Risk Identification and Assessment During the reporting period the Company organized 36special safety inspections with additional inspections

The Company has established standardized procedures for hazard identification control and hidden danger investiga- including construction inspections holiday inspections departmental self-inspections fire safety inspections and

tion based on the Hazard Identification and Risk Assessment Management Procedure and the Industrial Safety Manage-

ment Procedure. A dedicated Hazard Identification and Risk Assessment Team has been established to identify evaluate routine inspections.and implement tiered control of risks. For each identified hazard the team assesses the likelihood of occurrence

frequency of exposure and severity of potential consequences and formulates corresponding risk control measures

according to the classification level. The Company relies on its safety production management system and in combination with its main risks implements

control measures for special equipment biosafety and other areas effectively reducing the occurrence of safety

accidents caused by critical hazard points.

73 742024 Environmental Social and Governance (ESG) Report

Key Stage Specific Actions

The Company implements full-process management of special equipment

through measures such as equipment declaration and certification information

Special Equipment verification establishing records training operators to prevent unlicensed opera-

Management tions conducting regular inspections and performing routine maintenance

checks and handling of abnormalities.Identifying the characteristics of pathogenic microorganisms risks associated

with production processes and product inspections.Biosafety Management Considering legal and regulatory requirements implementation costs and

expected outcomes and selecting individual or combined measures while

balancing stakeholder interests and preferences for measures.Emergency Plans and Drills

The Company has developed the Safety Production Emergency Preparedness and Response Control Procedure and has

prepared corresponding comprehensive plans special plans and on-site disposal plans based on the severity of produc-

tion accidents to effectively respond to potential emergencies. The Company conducts comprehensive plan drills and

special plan drills annually and each department performs an on-site disposal plan drill once a year to enhance employ-

ees’ emergency response and self-rescue capabilities thereby effectively reducing accident losses and casualties during

incidents. Additionally the Company continuously improves the plans based on drill outcomes to ensure their practicality

and relevance. During the reporting period the Company carried out 58 emergency drills.Occupational Health Management

In accordance with the requirements of the ISO 45001

Occupational Health and Safety Management System

the Company has established a comprehensive occupa-

tional health and safety management system by devel-

oping policies such as the Occupational Health Manage- Staying True to Our Mission and

ment Procedure and the Labor Protection Equipment

Management System. The EHS Committee is responsi- Joining Hands to Create a Better Future

ble for approving the goals of occupational health and

occupational disease prevention work and the plans to

achieve these goals as well as regularly supervising and Collaborative Development for Promoting Accessibility to Healthcare /77

inspecting the implementation of these plans. The EHS

Office is tasked with carrying out specific activities and Giving Back to Society and Fulfilling Corporate Responsibility /80is equipped with personnel responsible for occupational Visit to the “National Professional Technical Talenthealth management. Training Base for Occupational Disease Preventionand Control”

75 762024 Environmental Social and Governance (ESG) Report

Collaborative Development for Promot- Enhancing Public Health Capacity

ing Accessibility to Healthcare BioKangtai continues to promote vaccine awareness and donation programs. Through various forms of health education

activities the Company aims to educate the public on vaccine knowledge and the importance of vaccination thereby raising

public health awareness. At the same time the Company actively donates vaccines to regions in need contributing to the

Expanding Product Coverage and Geographic Reach balanced development of healthcare resources.While deepening its presence in the domestic market the Company actively broadens its international perspective expand-

ing its overseas operations to enhance global health and well-being. The Company signed a licensing and technology trans- Conducting Health Education

fer agreement for the Dual-Carrier 13-Valent Pneumococcal Polysaccharide Conjugate Vaccine with its partner in Indonesia

and has already begun the technical transfer work including the vaccine’s verification and repackaging. This represents a BioKangtai in collaboration with the Chinese Preventive Medicine Association has established a leading domestic vaccine

key aspect of the Company’s internationalization strategy highlighting the important steps it has taken in the global health science popularization base with a clear theme and authoritative expertise. This initiative integrates vaccine education

sector. resources leverages professional advantages promotes academic exchanges and disseminates vaccine technology and

knowledge to deepen the public’s scientific understanding of vaccines ensuring the healthy development of China’s immu-

Currently the Company has reached cooperation agreements with partners in countries such as Indonesia Pakistan Bangla- nization program. In addition on global health days such as World Immunization Week World Pneumonia Day and World

desh Colombia Egypt and India for the registration promotion commercialization and technology transfer of products Cancer Day the Company actively undertakes the responsibility of spreading health knowledge. Utilizing the advantages of

including the 13-Valent Pneumococcal Polysaccharide Conjugate Vaccine 23-Valent Pneumococcal Polysaccharide Vaccine new media platforms the Company publishes educational articles on public platforms presenting complex health knowl-

Inactivated Poliomyelitis Vaccine acellular DTaP-Hib Combined Vaccine (quadruple vaccine) and other products in overseas edge in a simple easy-to-understand way through engaging text and images. Furthermore the Company produces a series

markets. Together we are building a health barrier. of animated videos Kangkang’s Adventure which cleverly incorporate health knowledge into entertaining stories using a

fun and educational approach to contribute to the protection of public health.Signing of Technology Transfer Agreement for 13-Valent Pneumococcal Vaccine Donation

Polysaccharide Conjugate Vaccine and DTaP-Hib-sIPV Pentavalent Vaccine

with Egyptian Vaccine Manufacturer Vaccination is the most economical and effective measure for the prevention and control of infectious diseases. Upholding

the corporate purpose of “produce the best vaccines to benefit mankind” the Company remains dedicated to the research

In November 2024 the launch meeting of the Egyptian Vaccine development and production of high-quality vaccines contributing to global immunization efforts. To date the Company

Manufacturers Alliance (EVMA) was successfully held in Cairo. has received marketing approval or emergency use authorization for 11 products. Among them more than 1 billion doses

During the meeting BioKangtai in collaboration with Egypt’s of the hepatitis B vaccine alone have been produced and sold protecting over 400 million people from hepatitis B virus

Gennvax company signed a technology transfer agreement for infection. While ensuring steady growth in its core business the Company also leverages its industrial strengths to donate

the 13-Valent Pneumococcal Polysaccharide Conjugate Vaccine vaccines and support the development of public health. During the reporting period the Company donated hepatitis B

and the DTaP-Hib-sIPV pentavalent vaccine. This collaboration vaccines (Saccharomyces cerevisiae) to Guangdong Hainan Anhui Shandong and Guizhou provinces; 13-Valent Pneumo-

aims to promote the technology transfer of the “dual-vector” coccal Polysaccharide Conjugate Vaccines to Guangdong Hunan Hainan and Jiangxi provinces; 23-Valent Pneumococcal

13-valent pneumococcal vaccine and pentavalent vaccine Polysaccharide Vaccines to Jiangxi and Sichuan provinces; and DTaP-Hib Combined Vaccines to Hainan Province support-

independently developed by BioMinhai to Egypt. The initiative ing the immunization of relevant populations.will contribute to Egypt’s local vaccine production capacity and

further empower the construction of the African vaccine industry Signing of Agreement with the

chain fostering regional collaborative development and benefit- Egyptian Vaccine Manufacturer

ing the health of more people.

77 782024 Environmental Social and Governance (ESG) Report

Enhancing Product Affordability Giving Back to Society and Fulfilling

BioKangtai remains committed to its purpose of “produce the best vaccines to benefit mankind” and strictly adheres to Corporate Responsibility

the relevant provisions of the Vaccine Administration Law of the People’s Republic of China. While fully considering

production costs—including raw and auxiliary materials labor logistics and R&D—alongside current market conditions

the Company sets vaccine prices in a scientific and reasonable manner. Through these efforts BioKangtai strives to The Company actively participates in public welfare initiatives and has established the External Donation Management

provide the public with reasonably priced vaccines ensuring broad access to safe effective and high-quality products Policy to standardize its donation practices strengthen oversight of donation-related activities and better fulfill its corpo-

at affordable prices. rate social responsibilities. This framework also supports comprehensive and effective promotion of the Company’s

brand and corporate image. Since 2022 BioKangtai has donated more than RMB 100 million in cash and goods to

The Company’s product portfolio includes both National Immunization Program (NIP) vaccines and non-NIP vaccines. various sectors of society including underprivileged regions Red Cross organizations at all levels and research institu-

NIP vaccines are centrally procured through public bidding or unified negotiation organized by the National Health Com- tions. These contributions have played a significant role in strengthening public immunization efforts supporting health-

mission in conjunction with the Ministry of Finance and other relevant departments. The resulting bid-winning or negoti- care development and advancing rural revitalization initiatives.ated prices are publicly announced and provinces autonomous regions and municipalities directly under the central

government implement unified procurement based on these prices. For other local immunization program vaccines that

fall outside the national scope procurement is carried out through local centralized bidding or negotiation with bid

prices similarly published and procurement organized at the local level. For non-NIP vaccines procurement is conduct- Supporting Education

ed by provincial-level public resource trading platforms. After a vaccine is granted provincial-level market access The Company contributes to the development of education by establishing scholarships at universities. In November

through bidding individual districts and counties place orders via the respective provincial platforms. The Company then 2021 BioKangtai donated RMB 500000 to Huizhou University (to be distributed over five years) to support the establish-

signs contracts with each district or county and delivers the vaccine products to local disease prevention and control ment of the “BioKangtai” Student Aid and Teaching Excellence Fund. During the reporting period the Company donated

agencies or similar institutions. RMB 100000 to Huizhou University under this initiative.In developing countries the Company formulates regionally appropriate pricing strategies based on local policies and

actual conditions. In certain areas where vaccines are included in national immunization schedules the Company takes

international procurement prices into account when setting local prices. This approach helps ensure the accessibility Contributing to Rural Revitalization

and affordability of vaccines contributing to improved population immunity and better meeting the public health needs

In response to the national call for rural revitalization the Company supports poverty alleviation and rural development

of local communities.through charitable donations and related initiatives aiming to improve living conditions in underdeveloped regions.During the reporting period the Company donated RMB 1 million to the Ji’an Red Cross Foundation designated for

supporting the red tourism and cultural initiatives of Jinggangshan through Ji’an Xinrong Culture and Film Co. Ltd. Addi-

tionally the Company donated RMB 900000 to Shenzhen Guangming District People’s Hospital to support its medical

assistance programs which aim to improve the health conditions of impoverished patients and alleviate the burden on

their families.Supporting the Healthcare Sector

While pursuing its own development BioKangtai actively supports medical research and the cultivation of talent in public

health and health sciences. The Company collaborates with foundations universities and research institutes to create

shared value for the industry and society.In 2024 BioKangtai plans to donate RMB 10.366 million (to be distributed over three years) to the China Foundation for

Hepatitis Prevention and Control to support its “Protection Program for Family Members of Hepatitis B Carriers” contrib-

uting to hepatitis B prevention and control efforts.

79 802024 Environmental Social and Governance (ESG) Report

Future Outlook Appendix

Driving Sustainable Development through Technological Innovation and Building a High-Quality Vaccine Portfolio

The Company will continue to increase R&D investment and enhance its independent innovation capabilities. Focusing on ESG Performance Overview

research and development in novel vaccines multivalent combination vaccines and innovative vaccines the Company

aims to promote the sustainable innovation of its vaccine products. By establishing a product pipeline that spans the Economic Performance

entire lifecycle the Company is committed to addressing global public health needs improving vaccine accessibility and

contributing to the well-being of people worldwide. Indicator Unit 2024

Accelerating Internationalization and Promoting Global Health Equity Operating Income Million Yuan 2651.72

The Company is actively advancing its internationalization strategy. Leveraging its robust portfolio of commercialized and Net Profit Million Yuan 201.55

pipeline products along with world-class expertise in R&D quality control systems and industrialization manufacture it

Total Assets Million Yuan 14563.71

is expediting access to overseas markets and progressing toward WHO prequalification (PQ). The Company is focused on

expanding its presence in Southeast Asia South Asia Africa the Middle East Latin America and other Belt and Road Shareholders’ Equity Million Yuan 9661.03

regions to promote equitable access to vaccines globally. Additionally the Company is strengthening partnerships with Various Taxes and Fees Million Yuan 122.50

leading global vaccine enterprises to foster the high-quality development of the global vaccine industry and contribute Basic Earnings per Share RMB 0.18

to international health security.Deepening Market Presence and Enhancing Brand Social Influence Social Performance

Guided by public health needs the Company will further optimize its market and sales network to improve the market

coverage and penetration of its core products. Through brand building science communication and digital promotion

Indicato Unit 2024

the Company aims to raise public awareness of vaccines increase vaccination rates and support disease prevention

efforts thereby continuously enhancing the social value of its brand. Protection of Employees’ Rights and Interests

Percentage of Contract Workers % 100

Building an Intelligent Operations System to Improve Resource Utilization Efficiency

The Company will continue to advance its intelligent R&D system accelerating the development of novel vaccines and Social Insurance Coverage Rate % 100

leveraging technological innovation to shorten R&D cycles and reduce resource consumption. Smart manufacturing will Per Capita Paid Annual Vacation Days Days 6

be employed to optimize production processes enhance efficiency and improve quality management. Supported by a

Employee Diversity and Equal Opportunity

digital management system the Company will utilize big data to analyze market demand enabling data-driven decisions

Person 1913

for precise supply chain management optimized inventory allocation and reduced resource waste and operational risks. Total Number of Employees

By implementing end-to-end intelligent operations the Company will boost overall efficiency and promote sustainable Number of Employees with Disabilities Person 18

green development in the industry. Number of Employees of Minority Nationalities Person 73

Upholding Compliance and Practicing ESG for Sustainable Development Number of Employees (by Gender)

The Company remains committed to the core principle of “quality first compliant operations” strictly adhering to domes- Female Person 721

tic and international Good Manufacturing Practices (GMP) for vaccines and reinforcing a comprehensive quality manage-

Male Person 1192

ment system. Actively fulfilling its social responsibilities the Company strengthens ESG management by promoting green

manufacturing energy conservation emissions reduction and optimized supply chain management to reduce its carbon Number of Employees (by Age)

footprint and support the development of a low-carbon economy. Dedicated to building a sustainable business model > 50 years old Person 90

the Company strives to safeguard global public health while creating long-term social value and achieving balanced 30 to 50 years old Person 1160

development across economic environmental and social dimensions.< 30 years old Person 663

81 822024 Environmental Social and Governance (ESG) Report

Indicato Unit 2024 Environmental Performance

Number of Employees (by Academic Qualification)

Doctoral Degree Person 12 Indicato Unit 2024

Master’s Degree Person 204 Environmental Compliance Management

Bachelor’s Degree Person 1060 Environmental Investment Million Yuan 3.8388

College Degree or Below Person 637 Number of Environmental Training Sessions Conducted Times 22

Protection of the Rights and Interests of Female Employees Number of Penalties for Violations of Environmental Laws Case

and Regulations 0

Proportion of Female Managers % 29.41

Number of Employees on Maternity Leave Person 50 Energy Utilization

Return Rate from Maternity Leave % 100 Total Purchased Electricity kWh 96606866

Number of Employees Who Took Parental Leave Person 130 Total Natural Gas Consumption 10000 m3 889.86

Return Rate from Parental Leave % 100 Total Heat Consumption GJ 227379.62

Employee Training Diesel Consumption ton 124.42

Investment in Employee Training Million Yuan 1.0709 Gasoline Consumption ton 37.54

Employee Development % Greenhouse Gas (GHG) Emissions

Number of Employees Having Successfully Total GHG Emissions tCO2e 106057.84Person

Transitioned or Applied Internally 387 Scope 1 Greenhouse Gas Emissions tCO2e 19829.65

Proportion of Internal Transfers or Applications by Employees % 18.42 Scope 2 Greenhouse Gas Emissions tCO2e 86228.19

R&D and Innovation

Greenhouse Gas Emissions per Unit Revenue tCO2e /10000 yuan 0.40

Investment in R&D Million Yuan 569.22

Water Resource Utilization

Percentage of R&D Investment in Operating Income % 21.47

Water Consumption (Municipal) m3 1297970

Total R&D Team Members Person 362

Water Consumption per Unit Revenue Cubic meters/10000 Yuan 4.89

Proportion of R&D Personnel to Total Employees % 18.92

Emission Managements

Product Responsibility

Total Waste Gas Emissions m3 251816447

Number of Quality Trainings Conducted Times 7936

Total Volatile Organic Compounds ton 0.52

Number of Quality Training Person 150382

Waste Gas Emissions per Unit Revenue Cubic meters/10000 Yuan 949.63

Total Hours of Quality Training Hours 11.536

Total Industrial Wastewater Discharge m3 1075107.08

Product Recall case 0

Ammonia Nitrogen Emissions

Community Investment ton 3.05

Chemical Oxygen Demand (COD)

Community Public Welfare Investment Million Yuan 8.4973 ton 27.24

Including: Medical and Health Field Million Yuan 4.3973 Total Nitrogen ton 0.19

Including: Education Assistance Million Yuan 2.20 Total Phosphorus ton 0.04

Including: Charitable Donations Million Yuan 1.90 Industrial Wastewater Discharge per Unit Revenue Cubic meters/10000 Yuan 4.05

83 842024 Environmental Social and Governance (ESG) Report

Indicato Unit 2024 Sustainability Reporting Self-Regulatory Guidelines Guide to Corporate

Chapters and Standards of Global for Listed Companies No. 17

Sections Sustainability Standards Sustainability Reporting in Emission Management - Sustainability Report (for

Board (GRI Standards) China (CASS-ESG6.0) Trial Implementation)

Total Hazardous Waste Generated ton 231.63

Environmental

Hazardous Waste Generation per Unit Revenue kg/10000 yuan 0.87 Green and Compliance for 303-1/303-4/306-1/ Article 29

Low-Car- Strengthening E2.1.1/E2.1.6/E2.2.1/E2.2.3

Total General Waste Generated ton 142.79 Pollution 306-2/306-3 /

Article 30

bon /E2.2.5/E2.2.6

Develop- Prevention and 306-4/306-5 Article 31

General Waste Generation per Unit Revenue kg/10000 yuan 0.54 ment for Contro

Building a

Indexes Beautiful Low Carbon and Ecological Energy E1.1.1/E1.1.2/E1.1.3/E1.1.4 Article 21 Article 22 Article

Home Conservation for 201-2/302-1/303-1 /E1.1.6/E1.1.7/E1.1.8/E3.1. 23 Article 24 Article 35

Sustainability Reporting Self-Regulatory Guidelines Together Addressing Guide to Corporate 4/E3.2/E3.3.2 Article 36 Article 37

Chapters and Standards of Global for Listed Companies No. 17 Climate Change

Sections Sustainability Standards Sustainability Reporting in - Sustainability Report (for

Board (GRI Standards) China (CASS-ESG6.0) Trial Implementation) People-Oriented

Article 4 Approach for 201-1/401-1/401-2/About this Report 2-1/2-2/2-3 P1 Uniting Protection of 401-3/405-1/406-1/ S4.1.1/S4.1.3/S4.1.4/ Article 49Article 6 Hearts and Employees’

408-1/409-1 S4.1.11/S4.1.12 Article 50Efforts for

About BioKangtai 2-1/2-6 P3.1/P3.3/P3.4 / Rights and Building a Interests

Sustainable Development G1.1.1/G1.1.2/G1.1.6/G1.1.8 Article 5 Article 9 Article 11 Warm and

Governance 2-14/2-16/2-29/3-1/3-2/3-3 /G1.1.11/G1.3.1/G1.3.2 Article 12 Article 53 Inclusive Safe Production

Workplace for Safeguard- 403-1/403-2/403-3/ S4.2.1/S4.2.2/S4.2.3/

Standardized ing Employee Article 50

Corporate 2-9/2-10/2-11/2-12/2-13/2-1 403-5/403-6/403-7 S4.2.4/S4.2.6Health

Governance 8/2-19/2-20/2-27/ / /

for Efficient

Operations 201-1/405-1 Staying

Collaborative

True to Development

Investor Relations Our for Promoting

Management for Accessibility to

Compliant Mission Safeguarding 2-16/2-27 / / Healthcare

Operations and Shareholder

for Stable Joining Interests Giving Back to

and Long- Hands to

Term Dev- Risk Prevention

Society and

Create a

and Control for Fulfilling 413-1/413-2/415-1 S1.2.1/S1.2.2 Article 40elopment Better

Strengthening 207-2 / / Corporate Future

the Compliance Responsibility

Foundation

Integrity as the Future Outlook 2-22 A1 /

Foundation and G2.1.1/G2.1.2/G2.1.3/G2.1.4/G2.2 Article 55

Adhering to 2-23/2-24/2-27/205-1 .1/G2.2.2 Article 56

Business Ethics ESG Perfor-

mance

Innovation-Driven S2.1.1/S2.1.2/S2.1.3/S2.1.4/S2.1.5 / A2 Article 6

for Supporting Overview

Industry / /S2.1.6/S2.1.7/S2.1.8/S2.1.10/S2.1 Article 42 Appendix

Development .11/S2.1.12/S2.1.13

Innovation Quality Control for S3.3.1/S3.3.2/S3.3.3/S3.3.4/S3.Leading Strengthening 416-1/416-2 Article 47 Indexes / A3 Article 57

and Product Safety 3.5/S3.3.6

Creating

Excellence Win-Win Coopera-

in Safe tion for a Sustain- / S3.1.1/S3.1.2/S3.1.3 Article 45

Vaccines able Supply Chain

Information

Protection for

Strengthening 2-27 S3.4.1/S3.4.2/S3.4.3 Article 48

Data Security

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