Stock code: 301330
2025
SUSTAINABILITY REPORT
Website: www.zkteco.com
Phone: 0769-82618868
Address: No. 32 Pingshan Industrial Road Tangxia Town Dongguan Guangdong ChinaCONTENTS
Standardizing Governance to Build a Empowering Collaboration to Co-create
01 Solid Foundation for Development 03 a Thriving EcosystemIntroduction to the Report Appendix 91Innovation-drivenStandardizingcorporategovernance 43 Index 9 1About the Report 01 21 Supply chain management 50
Protecting rights and interests of investors 25 Feedback 93
Address by General 03 Product and service safety and quality 55
Manager Commercial conduct 27 Data security and privacy protection 63
About ZKTeco 05
Sustainable 13
Development
Management Low-Carbon Transition Leading Green Joining Forces and Advancing
02 Development Together to Build a Better Society04 Occupational health and safety 71Responding to climate change 31 Protecting the legitimate rights and 76Environmental management 34 interests of employees
Resource management 37 Employee training and development 83
Public welfare and charity 87ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Introduction to the Report
Introduction to the Report
About the Report
Introduction Source
This report is the third SUSTAINABILITY REPORT (Environmental Social and Governance (ESG) Report) released
The data in this report is sourced from the original internal ledger company documents and audited statements of
by ZKTECO CO. LTD. This report based on the principles of objectivity standardization transparency and
comprehensiveness provides a detailed introduction to the practical measures and achievements of ZKTeco and its ZKTeco and some financial data is sourced from the Company's 2025 annual report. Unless otherwise specified the
branches and subsidiaries in environmental social and governance (ESG) in 2025. monetary amounts involved in this report are measured in RMB.Scope Names
Time frame: This report period is from January 1 to December 31 2025 (hereinafter referred to as the "reporting For ease of expression and reading "ZKTeco" "Company" and "We" all refer to ZKTECO CO. LTD. Branches
period"). In order to enhance the comparability of the report some content may be appropriately traced back to the
reports of previous years or contain forward-looking descriptions. subsidiaries and special nouns can be found in the definitions.Terms Definitio
Organizational scope: This report is based on "ZKTECO CO. LTD." including its branches and Xiamen ZKTeco
subsidiaries. Unless otherwise specified the scope of this report is consistent with the Company's annual report. Xiamen ZKTeco Co. Ltd.Guangdong Zkteco ZKTeco (Guangdong) Co. Ltd.Dalian ZKTeco Dalian ZKTeco Co. Ltd.Longzhiyuan Shenzhen Longzhiyuan Technology Co. Ltd.Basis BioCV Biometrics & Computer Vision
Shenzhen Stock Exchange Guideline No. 17 on Self Regulation of Listed Companies - Sustainable Development
Report (Trial)
Shenzhen Stock Exchange Guideline No. 3 on Self-Regulation of Listed Companies - Preparation of Acquisition
Sustainability Reports
Shenzhen Stock Exchange Guideline No. 2 on Self Regulation of Listed Companies - Normative
Operation of Listed Companies on the Growth Enterprise Board This report can be viewed and downloaded on the official website of the Company (www.zkteco.com) the website
China Enterprise Reform and Development Society's China Enterprise Sustainable Development of Shenzhen Stock Exchange (www.szse.cn) and CNINFO (www.cninfo.com.cn).Report Guidelines (CASS-ESG6.0)
GRI Standards
Task Force on Climate-related Financial Disclosures (TCFD) Framework
Sustainability Accounting Standards Board (SASB) Standards
UN Sustainable Development Goals (SDGs)
01 02ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Address by General Manager
Address by General Manager
In 2025 as generative AI rapidly integrates with industry scenarios the global digitalization process enters a new chapter Driving Technology for Good to Empower a New Smart Security Ecosystem. The Company always upholds the
of collaboration and symbiosis. ZKTeco as a leading enterprise in multimodal BioCV technology while continuously mission of "AI cognition makes spaces smarter and the world better" continuously promotes the integrated
driving technological breakthroughs and business empowerment integrates the concept of sustainable development more innovation of multimodal BioCV technology with AI IoT and big data and by deepening industry-academia-
deeply into corporate operations and strategic decision-making actively fulfills its responsibilities to shareholders research cooperation accelerates the tackling of key technical challenges in the industrialization of brain-
employees the environment and society committed to creating secure intelligent and green digital identity and smart computer interfaces bringing more cutting-edge achievements to the market; regards product quality and
scenario solutions and creating long-term shared and sustainable value. information security as the lifeline of its development builds a strict quality management system covering the entire
product lifecycle fortifies information security defense barriers improves data security management mechanisms
effectively safeguards customer privacy and data asset security and earns the long-term trust of customers and
Reinforcing Governance Foundations Leading to New Heights of Integrity and Compliance. The society with reliable technology and services.Company continuously promotes the modernization and upgrade of its corporate governance ensuring the
foresight and scientific rigor of strategic decisions; comprehensively strengthens the construction of its risk Gathering Talent to Jointly Build a Community of Happiness and Responsibility. The Company always adheres
management and internal control systems integrating compliance requirements into the entire chain to a people-oriented philosophy continuously improves talent development and rights protection mechanisms
of business operations; and always maintains open and transparent communication with investors improving the and creates equal development opportunities for employees. We establish clear career development
quality of information disclosure and firmly upholding ethical business principles ensuring that operating activities paths for employees and through systematic training programs job rotation mechanisms and mentorship systems
are open fair and honest and safeguarding the trust and rights of all stakeholders. we help employees enhance their capabilities and advance their careers. We offer competitive compensation
and benefits comprehensive care initiatives and transparent fair and democratic communication channels to
support employees in achieving work-life balance and a sense of accomplishment. Meanwhile we actively fulfill our
Deepening Green Operations to Jointly Create New Pathways for a Zero-Carbon Future. The Company actively corporate social responsibility by conducting philanthropic practices globally encouraging employees to participate in
responds to the national call for green and low-carbon development continuously optimizing its volunteer services and giving back to society through concrete actions. We continuously make charitable
resource management system comprehensively promoting energy conservation consumption reduction and donations contributing to community development and rural revitalization.circular utilization integrating green ecological design concepts into the entire lifecycle of product R&D and
collaborating with supply chain partners to jointly advance carbon reduction; strictly adheres to environmental Looking ahead ZKTeco will continue to uphold the concept of sustainable development with technological
laws and regulations in its operating locations establishes and improves a sound environmental risk innovation as the engine responsible governance as the cornerstone and the harmonious coexistence between humanity
prevention and emergency management system strictly controls pollutant emissions ensures compliant waste and nature as the vision joining hands with global employees partners and customers to jointly move towards a more
disposal is committed to minimizing the environmental impact of its operations practices corporate green resilient fairer and more sustainable future.responsibility and leads the industry in sustainable development.General Manager Jin Hairong
03 04熵基科技股份有限公司 2025 SUSTAINABILITY REPORT About ZKTeco
Business introduction
The smart space business segment leverages AI cognitive space computing technology and multi-
dimensional perception capabilities to transcend the limitations of traditional entrance and
exit management. This innovation enables comprehensive awareness and intelligent enhancement
of people vehicles objects and the environment. For applications in enterprise parks office
Smart space buildings educational institutions healthcare facilities and communities we provide solutions
for traffic optimization energy management data analytics and autonomous spatial decision-
making.In the smart office segment the Company is dedicated to enhancing work efficiency and
enjoyment. This business segment which focuses on multimodal BioCV technology and IoT
About ZKTeco perception encompasses various scenarios including attendance tracking visitor management meetings Smart office and consumption monitoring. It offers intelligent solutions for time management security oversight and operational optimization tailored for enterprise and institutional clients. This
segment integrates AI-driven intelligent agents with cloud technology to develop advanced
time management solutions and establish a comprehensive smart office ecosystem.About Us
The Company's digital identity authentication business seamlessly integrates multimodal
BioCV advanced large models and blockchain technology to establish a precise secure and user-
Company profile friendly identity authentication system laying a robust foundation of trust for the digital
world. By harnessing the distinctiveness of biometric features the advanced deep learning
Digital identity capabilities of large models and the decentralized and immutable nature of blockchain
authentication technology the Company's digital identity authentication services can ensure both precise
identity verification and robust data security.ZKTECO CO. LTD. (stock code: 301330) was established in 2007 and listed on the Shenzhen Stock Exchange in 2022. The
Company is headquartered in Dongguan City Guangdong Province.The Company's smart business segment propelled by multimodal models emphasizes the
The Company is a smart space evolution service provider with AI cognition as its core driver. The Company integration of "AI + digital signage" within the general retail and catering sectors. This segment
applies multimodal BioCV (computer vision and biometrics) and AI cognitive space computing technologies to build supports traditional businesses in their transition towards intelligent ecosystems. It offers IoT
a comprehensive perception system promoting the transformation of space from static management to autonomous infrastructure digital solutions and operational services thereby establishing a new type of Smart
decision-making and evolution and bringing comfortable intelligent safe and sustainable scene experiences to global borderless retail platform that is comprehensive scenario-inclusive and fully integrated business across the supply chain. The products and solutions of this business segment cover digital marketing
customers. The Company has deeply laid out in the four strategic fields of smart space smart office digital screens electronic price tags AI shelves smart shopping carts as well as creative content intelligent
identity authentication and smart business providing AI-empowered end-cloud integrated solutions to help customers customer service digital marketing and digital stores.achieve efficiency leaps and value reshaping in the digital era. ZKTeco relying on its profound accumulation in
algorithms hardware data and scenario-based applications has prospectively incorporated brain-computer interface into
the Company's long-term strategic blueprint. The Company conducts technology R&D and scenario verification around
areas such as work safety health management smart office and human-computer interaction with focus on the integration The Company expands its smart living business scope and provides diversified products
of brain-computer interface and multimodal AI technologies. including audio-visual equipment optical equipment and smart home products with focus on
smart outdoor and smart living scenarios committed to creating comfortable smart and secure
Smart living
During the reporting period the Company acquired 55% of the shares from the original shareholders of Longzhiyuan full-scenario smart living experiences. Meanwhile by combining its own brands with the ODM model it provides global customers with full-chain services from ID design to
and obtained controlling interest in Longzhiyuan. This acquisition expands the Company's smart living business into outdoor manufacturing.areas enriching the product array in smart outdoor business scenarios.
05 06ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT About ZKTeco
Corporate culture Honors and awards
The Company has been listed as one of the "Top 50 Global Security Companies" by asmag for six consecutive years from 2020 to 2025. In 2025 it
ranked 17th on the list and was awarded awards such as "Top 50 Innovation" and "Top 10 Brands in Smart Security" in 2025 Global Security
Industry Digital Innovation Ranking by asmag. It was recognized by the Department of Industry and Information Technology of Guangdong
Province as a "Guangdong Province 2025 Provincial Manufacturing Single Champion Enterprise" and a "Seventh Batch of Provincial Industrial
Mission and Vision Purpose Design Centers". Since 2016 the Company has been awarded the title of "Top 500 Manufacturing Enterprises in Guangdong Province" by
Our Mission Guangdong Manufacturers Association and other entities for 10 consecutive years (ranking 202nd in 2025). It was selected by the DC World Our Purpose Organizing Committee and relevant institutions as "2025 DC World · DC World Awards - Top 10 Brands (AI)" and "2025 DC World · DC World
AI cognition makes spaces Awards - Top 10 Brands (Security Inspection and Explosive Disposal)". It was awarded by the China Intelligent Transportation Systems Association
smarter and the world better. Everything is customer-oriented with and the China Top 30 Intelligent Transportation Organizing Committee the "2025 14th Top 30 Intelligent Transportation Enterprises in
quality as the standard and strivers as ITSMRS". It won the third place in the "2025 Top 10 Access Control Brands Award" by China Intelligent Building and other entities. At the
Our Vision
the foundation continuously creating 2025 China IoT Industry Conference and the 22nd Huicong Brand Festival it was awarded the 2025 "IoT Platform Excellent Service
A global leader in smart Award" and "Smart Passage Technology Innovation Award". It was awarded by the Brand Power Nation Pioneer Project Organizing Committee
value.space evolution services the "2025 National Brand Light Program Selected Brand (ZKTeco)".In terms of products and solutions the MG100 multimodal biometrics channel control module unattended scenario series solutions and
ZKTeco Interconnection Cloud Platform received the "20th China Public Security Expo (CPSE) Golden Tripod Award". The ZKTeco Longhu series
swing barrier and smart cloud access control terminal were awarded the "China Top 10 Digital Security New Product Award". New
Generation Smart Scenic Spot Self-Service Ticketing Solution and Smart Security Inspection Solution won the "2025 Ping An Shenzhen
Construction Excellent Project Award"; "ZKTeco Mars Wisdom Platform" received the "a&s TOP Digital Products & Solutions" award. The
product "Facial and Palm Access Control Terminal Xpalm602" was selected by the GUANGDONG HIGH-TECH ENTERPRISE
Core Values ASSOCIATION as the "2025 Guangdong Provincial Famous and Excellent High-tech Product" and the Visible Light Facial and Fingerprint
Access Control Terminal "nFace260" was selected by the Dongguan High-Tech Industry Association as the "Dongguan High-Tech Products of 2025".Responsibility: Responsibility is an important indicator for ZKTeco to measure the spiritual quality of During the reporting period Guangdong Zkteco passed the national high-tech enterprise re-certification and was recognized by
every individual and it will also run through our mutual commitments to society customers partners the Department of Industry and Information Technology of Guangdong Province as one of the seventh batch of SRDI "Little Giant" enterprises in
employees shareholders and other stakeholders in social relationships. Guangdong Province; Xiamen ZKTeco obtained renewed certification certificates for ISO 9001:2015 Quality Management System ISO/IEC
20000-1:2018 Information Technology Service Management System ISO/IEC 27001:2022 Information Security Management System ISO/IEC
Integrity: Integrity and honesty are the most important and common values guiding the self-discipline of 27017:2015 Cloud Service Security Management System ISO/IEC 27701:2019 Privacy Information Management System and GB/T29490-2023
enterprise civilization upheld by ZKTeco and are the cornerstone of all virtues. Integrity means Intellectual Property Compliance Management System.being able to adhere to the right path and have the courage to admit mistakes. Integrity also means we must
adhere to our beliefs.Seeking truth: The significance of seeking truth lies in being down-to-earth and pragmatic in one's career.The basic connotation of seeking truth is to respect science and pursue truth. Fundamentally speaking
seeking truth is to start from reality boldly adhere to truth and science and fearlessly correct errors.Excellence: ZKTeco thinks excellence as becoming a world-class enterprise innovating and serving as a
world-class enterprise. Continuously striving to become an outstanding enterprise is our
interpretation of the process of excellence. Perfection and detail are the best practices of excellence.
07 08ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT About ZKTeco
09 10ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT About ZKTeco
Performance Highlights for 2025
Social performance
Business Performance
R&D investment Proportion of R&D personnel Cumulative number of
authorized patents
Operating revenue Net profit attributable to Total cash dividend
shareholders of listed companies (including tax) RMB184.6081 27.57 % 1193 items
million
RMB2.133 billion RMB 214.7104 million RMB97.59 81 million
Product qualification rate Customer satisfaction via 400 Number of special training
hotline sessions on customer
complaint response
Governance performance 99.7% 99.51 % 86 times
Pass rate of assessments on Amount of investment in work Coverage rate of social
Proportion of Proportion of Punishments for violations of customer complaint response safety insurance
independent directors female directors information disclosure
42.86% 28.57% 0 times 96.08% RMB55.9 thousand 100%
Investor inquiry response
rate Employee training investment
Employee training Labor contract signing rate
sessions
100% RMB 188.6 thousand 1248sessions 100%
Number of work safety Number of participants in practice and training on data
accidents security and customer privacy protection
Environmental Performance
0 1929person-times
Environmental investment Illegal and irregular incidents in Compliance rate of wastewater
the environmental field disposal
RMB 226.8 thousand 0 items 100% Number of training sessions on data security and customer privacy protection
15 times
Annual environmental
objective achievement rate
100%
11 12ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Sustainable Development Management
Sustainable Development Management
SDGs Content of SDGs Action of ZKTeco
Sustainable development goals (SDGs) and vision
Affordable and
Clean Energy
ZKTeco actively responds to the UN SDGs adheres to and strives to achieve the mission of "AI cognition makes spaces smarter and the Ensure universal access to affordable reliable and Optimize energy structure
world better" creating greater value for customers and society. The Company has always placed green low-carbon and high- sustainable modern energy
quality development in an important position actively exploring the path of a new green circular economy continuously
improving the level of sustainable development management to fully fulfill their responsibilities and contributing to the
achievement of the UN SDGs.Decent Work and
Economic Growth
SDGs Content of SDGs Action of ZKTeco Promote sustained inclusive and sustainable economic growth Adhere to equal
achieve full and productive employment and ensure decent employment
work for all Protect employee
rights and interests
No Poverty Participate in social
Eradicate all forms of poverty throughout the world public welfare
Carry out volunteer
activities Industry Innovation
and Infrastructure Encourage R&D and
Build resilient infrastructure promote inclusive and sustainable innovation
industrialization and foster innovation Protect intellectual
property rights
Good Health and Well-
being Implement work
safety measures
Ensure a healthy lifestyle and enhance the well-being of people
of all ages Protect occupational
health Responsible Consumption
and Production Attach great importance to
Ensure sustainable consumption and product quality
production models management
Protect customer rights and
Quality Educatio Provide smooth career interests
Ensure inclusive and equitable quality education and promote lifelong development channels.learning opportunities for all Improve the employee
training mechanism Promote energy conservation and
carbon reduction
Take urgent actions to address climate change and its impacts Promote green office practices
Encourage low-carbon travel
Identify climate risks and
Gender Equality Oppose gender opportunities
Achieve gender equality and empower all women and girls discrimination.Care for female
employees Peace Justice and Strong Institutions Promote peaceful and inclusive societies conducive to sustainable Standardize corporate
development provide access to justice for all and build effective governanceAdhere to compliant
accountable and inclusive institutions at all levels operations
Clean Water and Adhere to business ethics
Sanitation
Persist in saving water
Ensure safe drinking water and sanitation facilities Achieve compliant
treatment of wastewater
Partnerships for the Build a sustainable
Goals
Strengthen implementation measures and revitalize the global supply chain
partnership for sustainable development Adhere to responsible
procurement
13 14ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Sustainable Development Management
Sustainable development governance system Stakeholder communication
The Company values the rights and interests of stakeholders such as investors customers employees and partners.Sustainable In the process of business development the Company actively establishes various effective communication
development concept channels with stakeholders understands and timely responds to their expectations and demands.ZKTeco adheres to the concept of sustainable development striving to achieve a comprehensive improvement in environmental protection social
responsibility and corporate governance while pursuing economic benefits. We continuously strive to achieve more significant results in Stakeholders Communication Channels Expectations and demands Our response
environmental social and corporate governance aspects thereby contributing to the sustainable development of society. Investor hotline
Shareholders' meeting
Continuous and stable operation
Information disclosure Continuous and stable returns Strengthen investor communication
Shareholders Easy to Interact Information transparency and disclosure Transparent information disclosure
Sustainable development and investors Investor on-site research
management mechanism Performance briefing
Operate in accordance with laws and Enhance corporate governance
ZKTeco committed to long-term development continuously improves its environmental social and corporate governance (ESG) system Information reporting regulations
constantly optimizes its governance structure and control mechanisms strengthens the Board of Directors' supervision and participation in the Support local development Accept regulatory reviewWork reporting
Company's sustainable development affairs solidifies management responsibilities at all levels and promotes cross-departmental collaboration in Government and Protect the environment Persist in protecting the
regulatory agencies
fulfilling duties. The Company integrates sustainable development management into its overall enterprise risk assessment and management system environment
continuously enhancing the operational level of sustainable development management. Simultaneously it actively shares its theoretical Hotline Product quality and safety Provide high-quality products
achievements and practical experience in the field of sustainable development with society. Company website and email
address Optimize customer service Provide high-quality services
Official WeChat platform
Customers Privacy and information security Respond to customer demands
Daily business communication
Company website and email
Sustainable development address Adhere to business ethics Build a responsible supply chain
risk management Official WeChat platformPartners Honest cooperation Adhere to business ethics
Daily business communication
Conduct internal training
ZKTeco fully considers sustainable development-related impacts risks and opportunities during strategy implementation risk management and Training and developmentLabor union and
major decision-making. It has established a comprehensive Risk and Opportunity Control Procedure which clarifies the identification and employee congress Basic rights and interests protection Ensure salary and benefits
Seminar
assessment methods of risks and opportunities in the production and operation process. It is applicable to the planning and implementation of Health and safety Carry out occupational health Employees Work assessment management
risk and opportunity response in activities products and services within the quality/HSF/environment/occupational health and safety management Humanistic concern Employee care measures
system. The Board of Directors is responsible for the overall coordination and promotion of the Company's risk and opportunity management system
construction. Public welfare and charity Public welfare and charity Carry out public welfare and
Volunteer services Publicity Community public welfare charity activities
The Company refers to domestic and international standard requirements to establish a systematic and effective risk assessment and identification Give back to communitiesCommunity and visits Promote regional development
system. Relevant functional departments extensively collect internal and external information and promptly conduct risk identification to
ensure risks are controllable. The risks faced by the Company mainly include operational risk technology and product innovation risks and Public media Correct information disclosure Carry out timely complete
internal control risks. On this basis the Company in accordance with procedural assessment criteria classifies the severity and frequency of and accurate information disclosure
Platform media Maintaining good cooperation Strengthen daily communication
identified risks and accordingly formulates corresponding risk response measures continuously monitoring risk changes and the effectiveness of Media
Meeting Special interview Organize joint activities
implemented measures.Daily communication Smooth communication channels Actively participate in industry
exchanges.Industry associations Industry association Promoting the development of the Participation in industry standard
activities industry development
15 16ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Sustainable Development Management
Importance Issue Matrix of ZKTeco
Importance issue management Environmental compliance
management
Protecting the legitimate rights Data security and customer privacy
and interests of employees protection
Energy utilization
Pollutant emissions Product and service safety and quality
Standardize corporate
Occupational health and With financial
With full reference to the "Shenzhen Stock Exchange Guideline No. 17 on Self Regulation of Listed Companies - Sustainable Waste disposal safety Innovation-driven importance and
Development Report (Trial)" (hereinafter referred to as the "Guideline") and closely integrating the characteristics of the Shareholders' equity Employee training and impact importanceprotection development
industry and the actual operation of the Company the Company comprehensively assesses its performance in various related issues to Water resource utilization Supply chain securityAnti-unfair competition
Risk management
determine whether they will have a significant impact on the economic social and environmental aspects (i.e. impact importance) With impact
and at the same time considers whether each issue will have a considerable influence on the Company's business model Social Responding to climate changeAnti-commercial importance without Stakeholder Communication
Contribution bribery and anti- financial importance
business operation development strategy financial position cash flow financing methods and costs value chain etc. (i.e. financial ESG governance corruption
Tax compliance Circular economy
importance). Through the consideration of this dual materiality and by referring to the relevant requirements of international
Ethics in science and technology
mainstream GRI Standards a materiality analysis is conducted on the topics within the Company's topic library. The specific Rural revitalization With financial
implementation steps are as follows: importance without
impact importance
Issue Assessment Process Analysis Method
Ecosystem and biodiversity conservation
Without financial
importance or
Step 1: Treating small and medium-sized enterprises (SMEs) equally impact importanceAnalyze based on the macro environment of global trends the
Understand the development trends of China's industries the industry the Company is in and its
company background Due diligence
business model to identify the Company's stakeholders the impacts risks
and opportunities.Financial Importance
Step 2:
Conduct preliminary By using the 21 issues set in the "Guideline" as the basis for the issue Importance Issue Matrix of ZKTeco
screening of issues list referring to the relevant requirements of international mainstream Issue
GRI Standards as well as the relevant issues in the same industry and Importance
aligning with the UN SDGs establish the Company's 2025 ESG issue Environment Society Governance
library containing a total of 28 issues. Innovation-driven
Product and service safety and
Issues with both financial importance quality
Responding to climate change /
and impact importance Supply chain security
Data security and customer
Step 3: privacy protection
Evaluate issue Impact importance assessment Issues with financial
importance Sort out the potential or actual positive or negative impacts of each issue on the importance but without / / /
impact importance
external environment society and economy conduct research and analysis
through questionnaires to stakeholders and combine expert judgment to
assess the issues with impact importance. Shareholders' equity protection
Environmental compliance Protecting the legitimate rights Standardize corporate
management governance
Issues with impact and interests of employees Anti-commercial bribery and
Financial importance assessment Energy utilization Employee training and importance but without anti-corruption
Through the analysis of impact dependence and other factors combined with Pollutant emissions development financial importance Anti-unfair competition Waste disposal
expert judgment and the risk identification and assessment list of each Occupational health and safety Tax complianceWater resource utilization
department of the Company identify and assess the risks and Social Contribution Risk management Circular economy Stakeholder communication
opportunities under relevant issues and assess the issues of financial ESG governance
importance.Issues without financial importance or Ecosystem and Treating small and medium-
Form the list of issues with impact importance and financial importance and impact importance biodiversity sized enterprises (SMEs)
Due diligence
Step 4: conservation equally
Confirm and approve ensure that the relevant issues are disclosed in a transparent balanced and Note 1: The Company's operating activities do not directly impact ecosystems and genetic resources and no rural revitalization projects were undertaken during the reporting
issues complete manner in the report. period. Therefore no disclosure was made in this report on ecosystem and biodiversity protection and rural revitalization topics;
Note 2: The Company has not conducted specific ESG due diligence but it continuously carries out risk management work to identify and assess potential negative impacts of
operations. For details please refer to the Compliance Building chapter.
1718
Significance of economic social and
environmental impacts01
Standardizing Governance to
Build a Solid Foundation for
Development
Excellent corporate governance is the fundamental guarantee for a
company's steady and long-term progress and also a solid foundation
for ZKTeco to achieve sustainable development. We actively build a
governance structure featuring scientific decision-making effective
supervision and clear powers and responsibilities promoting the
Company's standardized operation and integrity in business. We
continuously improve our risk control and internal control systems
fortify our compliance defense enhance operational transparency and
management efficiency earnestly fulfill our commitments to all
stakeholders and safeguard the Company's long-term value growth.Responsive SDGs
Peace Justice and
Strong Institutions
19 20ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Standardizing Governance to Build a Solid Foundation for Development
Standardizing corporate governance Operational
Mechanism
Shareholders' meeting
Governance structure
The Company strictly formulates and implements the "Rules of Procedure of the Shareholders' Meeting" in accordance with the "Company Law"
the "Rules for the Shareholders' Meetings of Listed Companies" and other relevant laws and regulations as well as the relevant provisions of its
Articles of Association to regulate the procedures for the convening holding voting and resolutions of its shareholders' meeting. The
The Company strictly adheres to the "Company Law of the People's Republic of China" (hereinafter referred to as the "Company Law") shareholders' meeting adopts a combination of on-site voting and online voting to facilitate shareholders' participation in the meetings. For
the "Securities Law of the People's Republic of China" (hereinafter referred to as the "Securities Law") the "Rules Governing the significant events affecting the interests of minority shareholders the Company strictly implements separate vote counting for minority
Listing of Shares on the ChiNext Market of Shenzhen Stock Exchange" and other relevant laws and regulations. It has formulated shareholders' resolutions promptly discloses the voting results and effectively safeguards the participation and voting rights of minority shareholders.the Articles of Association of ZKTECO CO. LTD. (hereinafter referred to as the "Articles of Association") and other internal
management systems establishing a governance structure with clear powers and responsibilities composed of the Board of
Shareholders the Board of Directors specialized committees of the Board of Directors and senior management. The
Company is committed to continuously improving its governance structure strengthening its internal control system and During the reporting period
constantly enhancing its level of standardized operation to ensure the Company's compliant and stable operation and safeguard the
legitimate rights and interests of all shareholders. the Company held a total of 3 general meetings including 1 annual general meeting and 2 extraordinary
Shareholders' meeting general meetings and a total of 22 proposals were deliberated and approved.Strategy and Development
Committee 1For the year 2025 the meetings convened by the Company continued to use the name "General Meetings"; starting from 2026 the name will be
uniformly changed to "shareholders' meeting".Salary and Assessment
Committee Board of Directors Board of Directors
The Board of Directors is the Company's operational decision-making and business leadership body implements the resolutions of the
Internal Audit Audit Committee
Department shareholders' meeting and is accountable to the Board of Shareholders. The Company strictly convenes its board meetings in accordance with the
Managing Director Management Team "Rules of Procedure of the Board of Directors" and makes scientific and prudent decisions on significant operational and management matters of
the Company. During the reporting period all directors diligently performed their duties and attended board meetings on time. The Company's
Nomination Committee Board of Directors has established the Strategy and Development Committee Audit Committee Nomination Committee and Salary and
Executive Committee for Management Service Team Assessment Committee. Each special committee performs its duties in accordance with its respective work rules further enhancing the
Business Management standardization and transparency of corporate governance through professional division of labor and effective supervision. The Company no longer
has a Board of Supervisors with the Audit Committee exercising the functions and powers of the Board of Supervisors as prescribed by the "Company
Law"
Office of the Board of
Directors Team
Global Marketing Office (GMO)
Diversification
The selection and appointment of the Company's board members follows the procedures prescribed in the Articles of Association and the
"Implementation Rules of the Nomination Committee". When selecting director candidates the Company comprehensively considers candidates'
Global R&D Center(GRDC)
professional knowledge industry experience management capabilities as well as multi-dimensional factors such as gender age and educational
background committed to building a diverse board structure to enhance the scientific nature and inclusiveness of decision-making. At the
end of the reporting period the Company's Board of Directors consisted of 7 directors including 1 employee representative director; 2 female
Board Memebers Office (BMO) directors accounting for 28.57%. Board members have diverse backgrounds in professional fields such as financial management legal
Global Manufacturing Center(GMC) compliance corporate strategy and industry technology providing multi-angle professional insights and decision-making support for the Company's
development.Global Operation and Management
Office(GOMO)
Independence
Global Financial Center (GFC) In accordance with the "Company Law" the "Measures for the Administration of Independent Directors of Listed Companies" the
Company's "Articles of Association" and other relevant regulations the Company has formulated the "Independent Director System"
"Annual Report Work System for Independent Directors" and "Special Meeting Work System for Independent Directors" to regulate the
Organizational Chart of ZKTeco selection performance of duties and safeguard mechanisms for independent directors. Independent directors play roles in decision-making
oversight and checks and balances and professional consultation within the Board of Directors to safeguard the overall interests of the
company and the legitimate rights and interests of minority shareholders. As of the end of the reporting period the Company's Board of
Directors had 3 independent directors accounting for 42.86% of the board members.
21 22ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Standardizing Governance to Build a Solid Foundation for Development
Compliance
During the reporting period Building
the Company held 10 board meetings deliberating and approving 40
proposals with a 100% attendance rate of members. 2 special Compliance management
meetings for independent directors were held deliberating and approving 3 To strictly comply with the laws and regulations concerning export controls and economic sanctions in the countries (regions) where its business operates and prevent
1 compliance risks the Company has formulated the "Trade Compliance Management Measures" which stipulates that the Company's business activities must not proposals; the Strategy and Development Committee held meeting
violate applicable export control or economic sanction policies and all business transactions must undergo strict trade compliance review and be recorded.deliberating and approving 1 proposal; the Nomination Committee held 1
1 The Company has established a trade compliance management framework. The Compliance Decision Committee serves as the primary leadership body responsible for meeting deliberating and approving proposal; the Audit Committee held organizing the formulation of compliance strategies defining compliance management processes and participating in major decisions. The Compliance Office as
6 meetings deliberating and approving 14 proposals; the Salary and the lead department is responsible for organizing coordinating and supervising trade compliance management work and providing compliance support to
other departments. Front-end departments involved in foreign-related transactions as executing departments are responsible for implementing specific compliance
Assessment Committee held 4 meetings deliberating and approving 10 management tasks.proposals
The Company's specific compliance management measures are integrated throughout the entire business process. Before a transaction the Company conducts
compliance reviews from at least six aspects including transaction items import/export countries transaction parties and end-use. At critical nodes such as supplier and
customer onboarding contract signing and before shipment business departments must screen all parties involved in each stage of the transaction against sensitive
lists and all screening records must be retained for no less than ten years. The Company clarifies the compliance obligations of all transaction parties through contractual
compliance clauses or separate compliance commitment letters. The Compliance Office is responsible for monitoring changes in external policies and lists and promptly
issuing risk warnings. The Company annually conducts comprehensive trade compliance risk screening and system operation effectiveness audits and improves control
measures based on the results. In response to sudden compliance incidents business departments must report within 48 hours and the Compliance Office will take corrective
Salary management
measures such as contract suspension.During the reporting period the remuneration management of the Company's directors and senior management strictly followed the "Salary and
The Company attaches importance to fostering a compliance culture. The Compliance Office is responsible for formulating and implementing annual training plans
Assessment Management System for Directors and Senior Managers". Salary determination follows the principles of distribution according to
work combining responsibility authority and benefits linking income levels with company performance and work goals and combining conducting trade compliance training for different departmental functions and maintaining relevant records.individual compensation with the company's long-term interests. The Salary and Assessment Committee is responsible for formulating
remuneration policies and plans and conducting assessments. Relevant plans are submitted according to procedures to the board meetings and
shareholders' meetings for deliberation and approval ensuring the remuneration decision-making mechanism is standardized prudent and transparent.Directors' Remuneration
Standards
Directors holding positions in the Company's operational management have their remuneration standards determined based on their positions and responsibilities
within the Company;
Non-independent directors who do not hold positions in the Company may receive a certain amount of allowances according to the resolutions of the shareholders'
meetings;
The Company's independent directors are subject to an allowance system. Independent directors receive fixed independent director allowances and the allowance
standards are disbursed in accordance with the resolutions of the shareholders' meetings.Trade Compliance Training - Dongguan Venue Trade Compliance Training - Xiamen Venue
Senior Management
Remuneration Standards Risk management
The remuneration of the Company's senior management (including the General Manager Deputy General Managers Board Secretary and Financial Administrator etc.)
consists of basic salary and year-end bonus; The Company's Board of Directors is responsible for planning and establishing the Company's risk management framework specifying the Company's risk
Basic Salary Standards: primarily determined based on factors such as position responsibility capability and market salary trends; management policies and relevant guidelines and supervising the implementation of risk management measures. The Company has formulated risk management policies to
identify and analyze the risks faced by the Company and specified specific risks covering many aspects such as market risk credit risk and liquidity risk
Year-end Bonus: determined comprehensively based on the Company's annual operating performance job performance appraisals etc. The assessment is annual
assessment and the final payment will be calculated based on the assessment results of the current year. management. The Company regularly evaluates changes in the market environment and the Company's operating activities to decide whether to update the risk
management policies and systems. The risk management of the Company is carried out in accordance with the policies approved by the Board of Directors. Our
internal audit department conducts regular audits on risk management controls and procedures and reports the audit results to the Audit Committee.
23 24ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Standardizing Governance to Build a Solid Foundation for Development
Internal control Investor relations
The Company continuously improves its internal control system in accordance with the "Basic Norms for the Internal Control of Enterprises" and management
other laws regulations and regulatory requirements. The Board of Directors is responsible for the establishment improvement and effective
implementation of the Company's internal control. The Board of Directors has established an Audit Committee which is responsible for
supervising and evaluating the Company's internal control and guiding internal audit work. The Company has established an independent To improve corporate governance and strengthen effective communication with investors the Company
internal audit department staffed with full-time auditors which is directly responsible to the Board of Directors and reports its work to the Audit has formulated the "Investor Relations Management System" aiming to foster a sound
Committee. The Internal Audit Department is responsible for inspecting and evaluating the completeness reasonableness and effectiveness of the relationship between the Company and its investors and enhance investors' further Investor Contact Channels
implementation of the internal control systems of the Company's various internal departments controlling subsidiaries and investee understanding and familiarity with the Company. The Company's Board Secretary serves as the head
companies with significant influence. It audits the legality compliance and authenticity of financial revenues and expenditures and related of investor relations management coordinating all investor relations affairs; the Securities Department
economic activities. as a functional department is responsible for the daily management of investor relations Website www.zkteco.com
including drafting policies organizing activities addressing investor appeals and maintaining Tel. 0769-82618868
In terms of its operating mechanism the Internal Audit Department is responsible for formulating the annual internal audit work plan and organizing communication platforms.its implementation after approval by the Audit Committee. The scope of audit covers financial reports the use of raised funds external Email ir@zkteco.com
investments external guarantees related party transactions and other significant matters. The Company conducts a comprehensive and in-depth The Company maintains communication with investors through diversified channels including
assessment of internal control effectiveness annually and truthfully discloses the "Internal Control Evaluation Report". Meanwhile the Company the Shenzhen Stock Exchange Easy to Interact platform the Company's official website corporate
annually engages an accounting firm to audit the effectiveness of its internal controls and issue an "Internal Control Audit Report". email and investor inquiry hotline. The Company always adheres to the principles of openness
and transparency maintaining long-term stable and harmonious interactive relationships with
investors thereby assisting them in making rational decisions.Management of related party transactions Tax management
To ensure that related party transactions between the Company and its The Company strictly abides by the provisions of national laws
related parties comply with the principles of fairness impartiality and regulations and policies such as the "Law of the People's
openness and to protect the legitimate rights and interests of investors Republic of China on the Administration of Tax Collection" the During the reporting period
especially small and medium-sized investors the Company has "Law of the People's Republic of China on Enterprise Income
formulated institutional documents such as the "Related Party Tax" and the "Provisional Regulations of the People's Republic of
Transaction Management System" and the "Standardized Management China on Value-Added Tax". It adheres to paying taxes in the Company received investors for on-site research 9 times totaling 113 investor visits; interacted with
System for Related Party Fund Transactions" in accordance with the accordance with the law ensuring timely and full payment of
"Company Law" and the Articles of Association. These documents clarify taxes. To strengthen the standardization and effectiveness of tax investors 105 times on Easy to Interact achieving a 100% response rate to investor questions; held 3
the specific matters of related party transactions and fund transactions with management the Company has formulated a series of financial and
related parties the scope of identification of related parties and stipulate tax-related systems such as the "Management Measures for the open investor communication meetings; and answered 529 investor calls.the review and disclosure procedures pricing principles etc. Issuance and Use of Value-Added Tax Invoices" the
for related party transactions. Meanwhile the Company strictly "Management System for Stamp Duty Declaration" and the
implements a related party avoidance mechanism. When related "Management Norms for Export Receipts and Foreign
party transactions are reviewed related directors and shareholders Exchange" strictly managing all tax-related work and
must avoid voting thereby effectively safeguarding the interests of the preventing tax risks such as failure to pay taxes on time and tax
Company and all its shareholders. evasion. Shareholders'
equity protection
Protecting rights and interests of investors
Information The Company's shareholder return policy adheres to the relevant provisions of the "Company Law" and the Articles of Association. To establish a
continuous and stable return mechanism the Company's Board of Directors has formulated the "Shareholder Dividend Return Plan for the
disclosure Next Three Years (2025-2027)". When formulating its profit distribution plan the Company comprehensively considers factors such as its
development stage operating conditions financial position future capital needs and financing environment balancing shareholders' short-term
The Company strictly abides by laws regulations and regulatory provisions such as returns with the Company's long-term development. The Company's profit distribution adheres to the principle of prioritizing cash dividends and
the "Measures for the Administration of Information Disclosure of Listed
In 2025 the Company disclosed a specifies the minimum cash dividend ratio for different development stages. During the decision-making process the Company focuses on fully Companies" and the "Rules Governing the Listing of Shares on the ChiNext Market soliciting shareholder opinions through methods such as online voting at shareholders' meetings and proactive communication with
of Shenzhen Stock Exchange". It has formulated internal rules and regulations including minority shareholders.the "Information Disclosure Management System" which clarify the content total of 200 announcements
standards procedures and management responsibilities for information 4 On June 4 2025 the Company completed its equity distribution in accordance with the "Proposal on the 2024 Profit Distribution Plan": a cash dividend disclosure. This ensures the truthfulness accuracy and completeness of information including regular reports. of RMB 0.5 per share for 2024 with a total cash payout (tax inclusive) of RMB 97598100; and converted capital reserve into share capital with 2
disclosure allowing investors to fully understand the Company's operating conditions shares transferred for every 10 shares totaling 39039225 shares of increased share capital. The Company's planned 2025 profit distribution plan is
financial position risk profile and development prospects. During the reporting period to distribute a total of RMB 112433000 in cash dividends with no bonus shares and no capitalization of share capital from capital reserve.the Company disclosed regular reports and temporary announcements in accordance
with the law and there were no instances of being penalized by securities
regulatory authorities due to violations of information disclosure.
25 26ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Standardizing Governance to Build a Solid Foundation for Development
Commercial conduct Reporting channels
The Company has opened reporting channels such as telephone and email encouraging
internal and external stakeholders to report improper conduct involving anti-corruption anti-
Anti-bribery and bribery or other violations of laws regulations or business ethics. After investigation and verification appropriate disciplinary measures will be taken against violators and the results Duty crime reporting channel of
anti-corruption will be communicated internally and to necessary external third parties as required. ZKTeco:
The Company highly values whistleblower protection. All reports are handled and recorded Reporting Hotline:
by dedicated personnel and strict confidentiality measures are taken for whistleblowers' 13538555484(long-term)
Integrity system personal information and reporting materials to prevent any form of disclosure or dissemination.The Company strictly prohibits any retaliatory actions against whistleblowers and such actions Reporting Email:
will be seriously investigated and dealt with. If necessary the Company will pursue legal
ZKTeco strictly abides by laws and regulations such as the "Criminal Law of the People's Republic of China" and the "Basic Norms for the Internal action to hold relevant parties accountable to effectively safeguard the legitimate zklaw@zkteco.com;
Control of Enterprises" and has formulated the "Anti-Commercial Bribery System" to regulate employees' ethical conduct in employment. At the rights and interests of whistleblowers. 1371146414@qq.com
same time the Company sets requirements for business partners with whom it has dealings in the "Anti-Commercial Bribery System" prohibiting
reverse bribery targeting the Company's internal personnel. The Company has established an anti-commercial bribery working group to
continuously supervise its anti-commercial bribery efforts. The Chairman serves as the leader of the working group responsible for guiding the
Company's anti-commercial bribery work. Members include the General Manager Board Secretary Financial Center Legal Department Internal Audit
Department etc. The Company's Legal Department is the standing body for anti-commercial bribery work responsible for the specific implementation
of anti-commercial bribery efforts for the Company and its subsidiaries.The Company advocates a corporate culture of honesty and integrity fostering an anti-bribery environment. It regularly conducts integrity training for Anti-monopoly and
employees to ensure they truly understand the requirements of anti-commercial bribery laws and regulations and internal company policies helping
them distinguish between legal compliance and illegal criminal acts and between ethical and unethical behavior thereby ensuring the Company's anti-unfair competition
continuous stable and healthy development.The Company always adheres to the principles of fair and free competition strictly abides by relevant laws and regulations on antitrust and anti-
unfair competition systematically regulates market competition behavior and is committed to maintaining an honest fair and free market order and
business environment. In 2025 the Company had no significant legal disputes related to unfair competition and antitrust.In 2025 the Company conducted 6 legal training sessions and 2 hours of anti-commercial bribery and In fulfilling its commitment to responsible marketing the Company strictly complies with the "Advertising Law of the People's Republic of
50 China" formulated the "Management Measures for External Publicity of China Region Business Division" and other regulations compiled a list anti-corruption training with employees participating. of prohibited and sensitive words for advertising and publicity clarified specifications for external publicity materials strictly prohibited all
forms of false advertising and continuously improved the Company's information management and publicity efforts. In addition to enhance our
employees' awareness of responsible marketing we provide annual training on responsible marketing to them.Integrity supervision
Indicators Unit 2023 2024 2025
The Company attaches great importance to commercial bribery risk management and control in all business operations continuously Person-time of responsible Person-time 609 521 436
improving various processes rules and systems. It assesses commercial bribery risks and establishes specific control procedures and mechanisms to marketing training
objectively reduce the likelihood of commercial bribery. To establish an internal environment of integrity and compliance for employees the Total duration of responsible Hour
marketing training 8 8 8
Company has established supervision and evaluation mechanisms to review and assess employees' integrity in their professional conduct. It signs Number of responsible
the "Integrity Agreement" with employees and regularly requires them to complete the "Honesty and Integrity Self-Inspection Form". For acts Timesmarketing training sessions 4 4 4
violating the provisions of the agreement the Company will handle them in accordance with relevant laws and regulations and company policies.In addition the Company actively supervises the integrity of suppliers' professional conduct. To ensure the transparency of the procurement
process the Company and its suppliers jointly signed the "Integrity Agreement" and the "Procurement Framework Agreement" clearly defining the
scope of "improper benefits" and comprehensively prohibiting any form of bribery illicit benefit transfer and acts that violate business integrity.The Company requires suppliers to provide integrity education to their employees and establish a responsibility mechanism for proactively
declaring conflicts of interest as well as refusing and reporting bribery attempts by Party A's personnel. For breaches of contract the
"Integrity Agreement" stipulates severe disciplinary measures including disqualification of suppliers blacklisting payment of high liquidated
damages and compensation for losses reflecting the Company's zero-tolerance stance on corruption thereby effectively preventing business ethics
risks and protecting the legitimate rights and interests of the Company and its partners. In 2025 the signing rate of the "Integrity
Agreement" among suppliers was 100%
272802
Low-Carbon
Transition Leading
Green Development
ZKTeco adheres to its original aspiration for green development strictly
implements various environmental protection requirements establishes and
improves an environmental management system and promotes pollution
prevention and control energy conservation and consumption reduction and
resource recycling thereby comprehensively solidifying the practical
foundation for corporate ecological environmental protection.Responsive SDGs
Clean Water and
Sanitation Affordable and Clean Energy Climate Action Life on Land
29 30ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Low-Carbon Transition Leading Green Development
Responding to climate change Risk/Opportunity Risk/ Opportunity 1 Impact Time
Type Description Likelihood Expected Financial Impact CountermeasuresRange2
Adopt clean energy and energy-saving Short and Promote green production and actively
technologies to reduce production High medium to Operating costs adopt energy-saving and carbon reduction
energy consumption and carbon long term are reduced. technologies.Governance emissions.Short and 1.Strengthen market research to understand
Develop low-carbon products and High medium to changes in customer needs and industry Operating revenue trends;
ZKTeco integrates climate change-related functions into its governance structure and continuously promotes the optimization and upgrading of services to meet customer needs and enhance market competitiveness. long term increased. 2.Accelerate R&D and innovation of green
its climate change governance system. The Company refines the core responsibilities of each department in climate change management designates and low-carbon products.the Integrated Service Center as the responsible management department for climate change response while strengthening coordination and 2 Likelihood refers to the frequency and probability of risks/opportunities occurring primarily determined by historical probabilities external scenarios progress in policy
seamless transition across all links continuously improving the completeness adaptability and implementation effectiveness of the governance implementation and expert judgments. Likelihood is assessed from "Low" to "High".system. 3 Impact time range refers to the different time periods over which climate-related risks and opportunities will affect the company. The Company categorizes the impact time
range into short-term (0-1 year) medium-term (1-5 years) and long-term (over 5 years).Strategy Impact risk and
opportunity management
The Company in accordance with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) analyzes
climate change-related risks identifying the risks and impacts brought by climate change to the Company from both physical risks and ZKTeco incorporates climate change risks into its corporate risk assessment and control system deeply explores technological innovation
transformation risks and actively takes countermeasures. opportunities and market development potential in the transition to a low-carbon economy continuously enhances the Company's resilience to climate
risks and effectively integrates SDGs with the Company's strategy.Risk/Opportunity Risk/ Opportunity 1 Impact Time Climate-related Risk Identification
Type Description Likelihood Expected Financial Impact CountermeasuresRange2 Assessment and Management Processes
1.Formulate relevant emergency plans
The frequency and intensity of extreme Facility repair and operation are Confirm management boundaries and identify the climate risk listand implement disaster response plans;
weather events such as typhoons suspended and costs of By comprehensively analyzing the current trends in the natural and social environment and identifying Short to 2.Strengthen flood control and windproof
floods heavy rain heat waves and cold High medium term alternative supply chains are facilities; Step 1 risks in different scenarios a preliminary list of potential climate risks for the Company is compiled using methods
snaps have increased. increased. 3.Build a diversified supply chain such as industry research reports policies issued by regulatory agencies benchmarking against peers and
system. stakeholder surveys.There is continuous rise in sea level 1.Strengthen flood control and emergency
average temperature increase and management to reduce the probability of Perform climate risk assessment and ranking
extreme changes in precipitation High Medium to Operating costs increased. business interruption.patterns and weather patterns etc. long term 2.Enhance temperature control in office Step 2 Based on the climate risk list each climate risk and opportunity is analyzed and evaluated and the importance
production and other processes. of the risks is ranked.There are changes in customer Short and Sudden and unexpected Actively promote the Company's energy Formulate countermeasures
behavior uncertain market signals and High medium to changes occur in energy conservation and carbon reduction According to the results of the climate risk assessment each department conducts targeted risk management
long term costs. efforts. Step 3rising energy costs. and response work and formulates risk handling plans and the relevant business departments are responsible
for implementation.There is impact on corporate reputation Short and Strengthen stakeholder communication
due to non-compliance or poor Low medium to Operating revenue declined. proactively publish sustainable
performance in climate risk long term development reports and disclose Monitor and manage
management. information related to climate change The relevant business departments regularly report the implementation of countermeasures to the management
response. Step 4 and adjust actions in a timely manner based on the actual situation. The management regularly supervises the key
risk indicators and annually reports significant climate-related risks to the Board of Directors.
3132
Resource Products and
efficiency services
Opportunity
Acute risk Chronic risk Market risk Reputation risk
Physical risk Transformation riskZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Low-Carbon Transition Leading Green Development
Indicators and
objectives Environmental management
ZKTeco has clarified core requirements for emission reduction based on national carbon peaking and carbon neutrality goals and formulated a series of
energy-saving and consumption-reducing measures. During the reporting period the Company updated its climate change response goals to Environmental compliance
"continuously explore innovative implementation paths for low-carbon scenarios promote energy saving and consumption reduction in management
operational processes and work with customers to move towards a low-carbon sustainable smart space future." In the future the Company
will continue to monitor the implementation and execution of greenhouse gas emission reduction measures steadily improve its climate
change management level and lay a more solid foundation for promoting green and low-carbon operations. Environmental management system
ZKTeco adheres to the environmental policy of "complying with regulatory requirements and implements pollution prevention; reasonably
utilizing resources and continuously improving the environment" strictly abides by the "Environmental Protection Law of the People's Republic of
Greenhouse gas China" and other laws and regulations and in conjunction with the Company's actual environmental management situation compiled the
emission management "Environmental Management Manual" continuously improves the environmental management system and clarifies the responsibilities and interrelationships of each department in environmental management. In 2025 the Company's total investment in environmental protection was RMB
226.8 thousand.
Organizational Structure of
ZKTeco's Environmental
ZKTeco actively responded to the national call for green and low-carbon development continuously optimized its energy consumption Management
structure comprehensively promoted green office practices encouraged employees to adopt low-carbon travel and reduced carbon emissions in an all- Position Responsibilities
round and multi-faceted manner. The Company is committed to achieving green production and low-carbon operations. In new production
Managing Director Responsible for overseeing the Company's environmental management affairs and making final decisions on
bases advanced environmental protection technologies and equipment are introduced and production processes are continuously optimized to major environmental issues.reduce pollutant emissions and improve resource utilization efficiency. Management Responsible for establishing implementing and maintaining the Company's environmental management system approving
representative environmental objectives and indicators and approving environmental management plans.In addition the Company leverages its accumulated digital intelligence technology to explore innovative implementation paths for low-carbon scenarios All Departments Responsible for implementing environmental management and achieving the Company's environmental objectives.and promote the steady realization of its "dual carbon" goals through practical green practices.Case During the reporting period the Company successfully passed the ISO 14001:2015 Environmental Zero-carbon kiosk
Management System certification and there were no environmental penalties or violations.Addressing the digital transformation needs of the traditional retail
industry ZKTeco has launched products and applications
designed for innovative businesses – smart retail scenarios including Environmental Management System Certificate
the unattended zero-carbon kiosk ZKDIGIMAX Smart Retail
AI Platform Level 3 (L3) and Content Management System
(CMS). Integrating technical and business capabilities in fields
To advance the Company's environmental management efforts we formulated an environmental management plan implementation schedule set control
such as computer vision big data and cloud computing it targets for pollutants and waste and continuously tracked the progress of target achievement to ensure the effective implementation of various
provides retailers with personalized recommendations and environmental management measures.customized services.Zero-Carbon Kiosk Target Content Achievement
The discharge compliance rate for domestic sewage and
industrial wastewater is 100%. Achieved
The compliance rate for kitchen fumes and smoke Achieved
emissions is 100%.The compliance rate for noise emissions at the factory Achieved
boundary is 100%.
100% collection and treatment of hazardous and Achieved
harmful solid waste
33 34ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Low-Carbon Transition Leading Green Development
Environmental risk control
Ultrasonic cleaning water treatment and reuse project Case
The Company has formulated and strictly implements internal control procedures such as the "Risk and Opportunity Management Control Procedure" The Company has an ultrasonic cleaning process in the production process of its products and the water to be treated includes wastewater
and the "Environmental Factor Identification and Evaluation Procedure". Starting from risk identification and assessment the Company generated after filtration by a water purifier and wastewater from ultrasonic backend cleaning. The Company engaged professional third-
systematically reviews its potential risks in environmental management and conducts comprehensive and accurate identification and evaluation of party organizations to use reclaimed water reuse filtration facilities to treat the aforementioned wastewater. The purified wastewater is
environmental factors in its activities products and services thereby minimizing the potential harm caused by environmental factors. then reused in the production process achieving closed-loop management of production water and effectively reducing wastewater
discharge.In addition the Company investigates environmental risks and hazards and improves risk prevention and control measures for sudden
environmental incidents. The Company has formulated the "Chemical Leakage Emergency Plan" to standardize the handling process for
sudden environmental incidents. At the same time the Company conducts emergency drills to test the feasibility and effectiveness of
emergency plans and continuously optimizes emergency mechanisms based on drill results thereby effectively enhancing overall emergency
response and risk control capabilities. Waste gas management
The Company strictly controls exhaust gas emissions during the production process commissioning professional third-party organizations to
Chemical leak prevention drill Case provide a "Technical Plan for VOCs Treatment" based on the Company's actual situation ensuring that exhaust gas emissions comply with relevant
national and local regulations. To ensure the stable operation and continuous compliance with emission standards of the exhaust gas treatment
system the Company has established a comprehensive facility maintenance mechanism regularly arranging employees to conduct thorough
On August 1 2025 the Company organized a hazardous chemical leakage drill to enhance the employees' response and rescue organization inspections and maintenance of the exhaust gas treatment facilities thereby ensuring the robust operation of equipment and facilities. The
capabilities in the event of a chemical leak and strengthen their environmental protection and safety awareness. Meanwhile through this Company has installed environmental protection exhaust fans to quickly draw smoke and dust to the rooftop where they are filtered and separated of
drill we improved the operability of the on-site disposal plan for leakage incidents within the emergency plan enhancing its practicality harmful substances through purification equipment ensuring that the air meets environmental protection emission standards. Concurrently by
and completeness. regularly cleaning the smoke and dust collection devices the dust collectors can operate efficiently strengthening systematic control over exhaust gas
emissions.Environmental protection training Waste
management
The Company regularly conducts environmental education and training. Each department identifies the environmental training needs of
employees based on actual work requirements determine different training themes such as environmental awareness education legal and ZKTeco strictly complies with the "Law of the People's Republic of China on the Prevention and Control of Environmental Pollution by
regulatory explanations environmental business knowledge and professional skills training and formulates corresponding employee training plans. Solid Waste" and other relevant laws regulations and standard documents. It has formulated the "Waste Management Specification"
established and continuously improves its waste management system carefully handles general industrial waste and hazardous waste and
effectively reduces the potential harm of waste to the environment.Pollutant
For general waste the Company has signed a "General Industrial (Solid) Waste Treatment Service Agreement" with third-party organizations and
emissions hired organizations to assist it in handling general waste such as waste packaging tin tin dross and defective glass prisms. For hazardous waste the
Company entrusts qualified third-party organizations for standardized hazardous waste treatment. Both parties sign the "Hazardous Waste
Disposal Service Contract" and simultaneously formulate detailed inter-provincial transfer plans and file them for record. Professional third-party
ZKTeco and its subsidiaries are not classified as key polluting entities announced by the environmental protection department and strictly comply companies are entrusted with the entire transportation of hazardous waste from its point of origin to the disposal site ensuring its safe and compliant
with the "Law of the People's Republic of China on Prevention and Control of Water Pollution" the "Law of the People's Republic of China on the disposal.Prevention and Control of Atmospheric Pollution" and other relevant laws and regulations in their daily production and operation. The Company
regularly monitors and dynamically assesses key environmental indicators by implementing the "Environmental Monitoring and Control Procedure"
to ensure that all environmental risks are under control. During the reporting period the Company commissioned qualified professional third-party
organizations to conduct environmental monitoring and issue testing reports ensuring the compliant discharge and disposal of pollutants. During the
reporting period the Company did not incur any penalties or violations related to pollutant discharge. Indicators Unit Unit
General waste generation volume Ton 2.5
Wastewater management General waste disposal volume Ton 2.5
Hazardous waste generation volume Ton 41.6
The Company's domestic wastewater is treated and then discharged into municipal pipelines and no industrial wastewater is generated. To Hazardous waste disposal volume Ton 45.787
ensure compliant wastewater discharge the Company commissioned a qualified professional third-party organization to develop a
"Wastewater Treatment Plan" based on the Company's actual situation ensuring proper wastewater treatment and that the treated wastewater can
be reused. During the reporting period the Company's wastewater discharge volume was 85 tons with a 100% compliant wastewater disposal rate
achieving zero industrial wastewater discharge.
35 36ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Low-Carbon Transition Leading Green Development
Resource management Target Content Achievement
Domestic water: ≤ 4m3 per person
Achieved
Production water: ≤2500m3
Energy
utilization The Company intensifies the daily inspection maintenance and management of water-using equipment promptly addressing any leakage or waste
and strictly preventing the waste of water resources. The total monthly water consumption is verified and statistically recorded by a designated
person. Violations of water conservation regulations and water waste are subject to penalties based on the severity of the offense. In addition the
Governance system Company vigorously promotes water conservation by posting water conservation slogans and other methods to enhance employees' awareness of water conservation
ZKTeco strictly adheres to the "Law of the People's Republic of China on Conserving Energy" and other national laws and regulations
formulates systems and regulations such as the "Energy and Resource Management System" and the "Energy Performance Management
System" introduces the ISO 50001 energy management system standard and continuously improves its energy management system. Circular
economy
In addition the Company formulates the "Energy Measurement and Statistics Position Work Guidelines" the "Energy Performance Management
System" and the "Energy Statistics Account System" and other systems to clarify the specific responsibilities and processes for energy
measurement statistics analysis and performance management ensuring the accuracy and traceability of energy data and providing a scientific
basis for the Company's energy management decisions. By establishing an energy performance management system it can continuously ZKTeco has formulated the "Raw Materials Warehouse Management Regulations" and other systems to rationalize warehouse operations ensure
monitor and optimize energy usage efficiency promoting the refinement and sustainable development of the Company's energy management. the safety and quality of materials guide and standardize the daily work of warehouse personnel and improve the efficiency of material turnover.The Company has established a complete material management organization with the material warehouse divided into an electronic
materials warehouse and a mechanical materials warehouse. The specific responsibilities of each position in the raw materials warehouse
management are clearly defined enabling efficient raw materials warehouse management. The Material Management Department regularly conducts
Energy conservation and consumption reduction measures material-related training. After the training the "Training Sign-in and Evaluation Form" is prepared to quantify training results and
continuously enhance employees' professional and practical skills in material management.The Company formulates internal management systems such as the "Energy Conservation Target Management System" the "Energy
Conservation Publicity System" and the "Energy Conservation and Emission Reduction Reward and Punishment System" sets energy and resource In addition the Company actively selects environmentally friendly materials optimizes process flows effectively disassembles classifies and
consumption management targets and integrates publicity and guidance target control and reward and punishment constraints into all aspects of reuses waste products and reduces waste generation. In daily office operations the Company promotes paperless office practices and explores the use of
daily operations empowering the enterprise's low-carbon transformation. The Company implements energy-saving technical upgrades e-paper smart devices and solutions to achieve efficient resource recycling and promote the development of the circular economy.eliminates outdated and inefficient equipment and strictly controls equipment no-load and standby losses; for major energy-consuming equipment
energy consumption quotas are set and regular assessments are conducted; the Company strengthens equipment maintenance ensuring efficient
and stable operation of equipment.In addition the Company promotes digitalized energy consumption management. During the reporting period the ZKTeco ZKBio V6600 intelligent
management platform was further expanded and upgraded adding energy consumption management and space management modules. Through
one-stop centralized management it enables intelligent analysis and decision-making for office scenes assisting enterprise parks and office buildings
in achieving energy-saving and low-carbon operations.Target Content Achievement
Domestic electricity: ≤ 30kWh per person
Achieved
Production electricity: ≤450000kWh
Water resource utilization
ZKTeco strictly adheres to relevant laws and regulations such as the "Water Law of the People's Republic of China" closely follows the
policies and requirements of the state and local governments regarding water usage and reuse sets water-saving targets optimizes water resource
management and improves the recycling rate of water resources. After tap water is purified through a water purifier 70% of the purified water is
used in ultrasonic cleaning machines. After professional treatment 60% of the reclaimed water meets the reuse standards and is then returned to the
water purifier for secondary purification achieving tiered and intensive utilization of water resources and effectively reducing water consumption
for production. The Company's water source is municipal water supply.Basic On-site Warehouse Management Training
37 38ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Low-Carbon Transition Leading Green Development
Full-process
material
management
Develop a Warehouse Management (WM) "Risk and Opportunity List" to comprehensively identify potential
risks across all operational stages and roles in material management. Following assessment and analysis
formulate safety control measures and recommended improvement actions.Implement classified identification management for material storage partitioning storage areas based on
characteristics such as electrostatic discharge (ESD) protection temperature and humidity.Smoking carrying ignition sources and storing flammable explosive or hazardous materials are strictly prohibited
Material in the warehouse. Regular safety inspections are conducted to prevent material damage and safety incidents.storage
Leverage the SAP system to achieve precise inventory record management implementing zone
segmentation line marking and fixed-location control for goods.Develop detailed transportation plans based on production order requirements adopting appropriate packaging and
protective measures.Utilize AGV machines for material transportation to reduce material loss.Material Real-time monitoring of the transportation process is conducted and emergency plans are prepared to address
transportation unforeseen circumstances.Deliver materials based on order requirements to ensure that the consumption of raw materials during production
complies with the material BOM and process requirements thereby preventing waste.Incoming raw materials are subject to quality inspection and reliability testing to ensure that their quality meets
Receiving and production requirements.usage
Green office
practices
ZKTeco adheres to a green office philosophy continuously reducing resource and energy consumption in its office scenes. The Company strictly
adheres to energy-saving standards and reminds employees to pay attention to saving resources and energy and avoid waste. The Company
actively promotes paperless office utilizing digital technology for document management and communication as much as possible. For inevitable
paper usage we also advocate the use of recycled paper to reduce paper consumption.In the office ensure lights are off on sunny days minimize lighting when fewer people are present and turn off lights
when leaving thereby eliminating the phenomenon of lights being left on unnecessarily or during daylight hours.Adjust the positions of desks in each department (office) to make use of natural light as much as possible.Energy-saving lamps are used and ordinary incandescent bulbs are not used.Reduce the power consumption of electronic office equipment and standby power consumption. Computers
printers copiers scanners fax machines and other electrical equipment should be turned on and used reasonably.Power should be turned off when personnel leave work to prevent standby power consumption.Set air conditioners to reasonable temperatures: the indoor cooling temperature in summer should not be lower than 26°
Saving C and the indoor heating temperature in winter should not be higher than 20°C). In special places they can be turned
electricity on according to work needs. It is prohibited to turn on the air conditioner when no one is around to avoid wasting
electricity.Strictly prohibit the use of high-power appliances such as electric stoves in the office. The configuration
and switch time of electric drinkers should be reasonably adjusted to reduce unnecessary power consumption.Conduct energy-saving campaigns to jointly build an energy-efficient society.
39440003
Empowering Collaboration to
Co-create a Thri ving
Ecosystem
ZKTeco deeply cultivates the core aspects of industrial
development with innovation as its driving force product safety as its
foundation and high-quality customer service as its bond. It establishes
a dual guarantee of supply chain security and information security
fostering multi-dimensional collaboration to build core industrial value
and inject continuous momentum into the high-quality development of the
industry.Responsive SDGs
Industry Innovation and Responsible
Infrastructure Consumption and Partnerships for the GoalsProduction
41 42ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Innovation-driven
Innovation
management system Indicators Unit 2023 2024 2025
Divided by educational background
Bachelor's degree Person 794 761 660
Governance Master's degree Person 76 64 62
Other Education Background Person 356 293 229
R&D and innovation system
ZKTeco adheres to the mission of "AI cognition makes spaces smarter and the world better" and has formulated and updated systems such as the
"Product Development Process" "Engineering Change Process" "Customization Demand Classification and Baseline Standards" and "Technical R&D and innovation certifications
Committee Management Charter" further improving the product R&D system and driving high-quality development through innovation. The
Deputy General Manager serves on the R&D Technology Committee responsible for the management and guidance of R&D and ZKTeco is deeply committed to the R&D and innovation field. In 2024 the
innovation. The CFO is responsible for approving the R&D and innovation budget. The Company established an R&D Center as the Company obtained High-tech Enterprise certification valid for three years. In
department responsible for R&D and innovation and is deploying a global R&D system. 2025 Xiamen ZKTeco and Guangdong Zkteco successfully passed the re-
evaluation and obtained High-tech Enterprise certificates. Dalian ZKTeco was
Version: V20241213 recognized as a technology-based SME and an innovative SME. The Company Organizational Chart of R&D Centers continuously optimizes the layout of its scientific and technological innovation
platforms has garnered numerous authoritative recognitions and honorary awards
and actively joins various industry and social organizations thereby solidifying
R&D Center the foundation for technological development through a diversified innovation
strategy.High-tech Enterprise Certificate
Regional
R&D Centers
Dongguan-Shenzhen
R&D Center Innovation Social
Organizations Participated
Xiamen R&D Center in by the Company
Xiamen Technology Innovation Association (director entity)
Dalian R&D Center
Xiamen High-tech Association
Indian R&D Center
Xiamen System Integration Association
Hangzhou R&D
Center Xiamen Software Association
China National Information Technology Standardization Network (NITS)
Organizational Chart of R&D Centers Chinese Information Technology Application Innovation Working Committee of China Electronics
Standardization Association
IIFAA (member entity)
R&D Teams
National Information Technology Standardization Technical Committee Technical Committee on Biometrics
ZKTeco always places its talent strategy at the core of its corporate development adhering to an engineer culture to build an innovation system.It actively cultivates a high-caliber R&D team laying a solid foundation and providing core assurance for continuous innovation. Intelligent Terminal Microelectronics Association (ITMA)
Indicators Unit 2023 2024 2025
Number of R&D personnel Person 1226 1118 951
Proportion of R&D personnel % 29.86 31.42 27.57
4344
Management and Operation Department
Software Platform Operations
Department
Hardware Platform Operations
Department
Smart Innovation Research Institute
ARMATURA Product Line
Smart Business Product Line
Smart Card and Consumer Terminal
Product Line
Smart Sensing Product Line
Electromechanical Products R&D and
Innovation Center
Smart Entrance and Exit Management
Product Line
Time Management Product LineZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Strategy
Assess the size and likelihood of risks mainly through subjective judgments and descriptions of their nature
In the process of strategic advancement the Company needs to balance the risks and opportunities in the field of R&D and innovation: scope of influence and potential consequences as well as through specific financial data and indicators such as the
growth rate of new product sales and the first-pass yield of new product delivery.on the one hand the uncertainty of technological R&D the risk of intellectual property leakage and talent supply gaps may bring cost Risk
assessment
pressure; on the other hand accurately grasping market demand and emerging technology trends is expected to drive revenue growth
and enhance competitiveness.Assess the impact of risks from four aspects: Financially examine whether there is direct economic loss and
Risk/
Opportunity Risk/Opportunity
Impact
Likelihood Time Expected Countermeasures measure it in terms of amount or financial indicators; strategically focus on whether it disrupts the
Type Description Range Financial Impact Company's strategy such as changes in R&D direction or market position; reputationally determine
whether the Company's reputation and brand image are damaged referring to media reports word-of-
1.When employees join the Company they sign a
Technological iteration in the industry is mouth and customer satisfaction; and socially pay attention to negative impacts on society and the environment confidentiality agreement to prevent the leakage of
rapid and the Company's R&D technology. Risk such as pollution or resource waste during R&D. To determine the likelihood of risk occurrence it is usually
achievements may be superseded by 2.Before a project is initiated a technical feasibility assessment necessary to refer to the frequency and probability of similar risks in the past for competitors and companies in the
new technologies before market launch. review is conducted with a focus on discussing the
The Company's internal R&D Medium Operating costs and ranking same industry as well as to invite experts for assessment and conduct scenario analysis under different feasibility and maturity of new technologies for key
achievements may be leaked due to Medium to long increased. standardsrequirements. circumstances to evaluate the possibility of risk occurrence.reasons such as employee departure term 3.Deepen technology R&D cooperation with
hacker attacks and violations by universities and research institutions to enhance
partners causing losses to the Company. technological capabilities and innovation capacity.Based on the annual key indicators for R&D such as the growth rate of new product sales the number of
1.Continuously track frontier technology trends and patent applications and the direct pass rate of new product delivery collect and analyze the data of these indicators on
Through market research explore increase R&D investment to enhance technological a quarterly basis to promptly identify changes and trends in risks. Use the JIRA project management tool to
market demands cooperate externally innovation capabilities.to integrate innovative resources and High Medium Operating 2.Build a technological innovation platform Risk conduct real-time monitoring of the key links and risk points of R&D innovation projects. For R&D innovation
identify and strategically position to long revenue integrate internal and external resources promote management projects with high risks and low returns avoid the risks by not undertaking such projects.emerging technologies. term increased. technological exchanges and cooperation and
accelerate the process of innovation.Impact risk and opportunity management Indicators and objectives
In the impact risk and opportunity management process the Company has established a full-process mechanism from Objectives
identification and assessment to control: R&D-related risks are accurately identified by combining internal and external
ZKTeco formulates annual innovation objectives and long-term innovation objectives regularly tracks objective achievement and
approaches the degree of risk impact is assessed from multiple dimensions effectively addressing various potential risks during the
R&D process. records it ensuring the continuous iteration of the Company's products to meet market demands.Internal assessment method: In combination with the "Product Development Process" analyze the
possible risks involved at each node from demand introduction project initiation and development Target Content Achievement
testing and verification to production handover. Organize internal cross-departmental meetings to
involve personnel from R&D marketing finance legal affairs and other relevant departments for risk Apply for no less than 50 patents within one year Achieved
assessment. At the same time refer to historical R&D and innovation projects to analyze and
summarize possible risk factors and analyze possible risk items based on financial data such as Continuously promote the deep integration of various products and software platforms
create a scenario data connectivity ecosystem and enhance the scenario customization In progress
project return on investment and fluctuations in R&D investment ratio. and delivery capabilities of software platforms
Risk
identification External reference method: By paying attention to national and local government laws Increase investment in core technologies of multimodal biometrics and deepen the
regulations policy documents and industry standards related to innovation and R&D as well as In progressintegration of computer vision and biometric technology
researching and analyzing risk events of competitors or industry-leading enterprises identify
possible risk items. Actively collect feedback from stakeholders such as shareholders
employees customers suppliers community organizations and non-governmental organizations. Accelerate the upgrading of product globalization engineering design capabilities
and agile production capabilities and enhance engineering integration capabilities In progress
4546
Technical risk Market
opportunity
Risk OpportunityZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
R&D investment Construction of R&D platform
The Company is always guided by market demand and driven by technological innovation taking leading core technology as the key support for
Indicators Unit 2023 2024 2025 product competitiveness. Adhering to the development philosophy of "global vision and deep cultivation of technological innovation" the
Company continuously explores cutting-edge technological directions and builds a global diversified and open collaborative R&D platform system.R&D investment RMB '0000 21361.34 21547.10 18460.81 Currently the Company has established five major R&D Centers in Dongguan-Shenzhen Xiamen Dalian Hangzhou and India. Each center
Ratio of R&D investment to focuses on specialized fields such as hardware R&D software development platform construction product innovation and algorithm
operating revenue % 10.84 10.82 8.66 optimization continuously improving its technological innovation capabilities with highly specialized R&D positioning. Additionally the Company
has established the Guangdong Province Doctoral Workstation and the Guangdong Biometrics and Security Technology Engineering Technology
Research Center providing a solid guarantee for the Company's core technology breakthroughs and product iteration and upgrades.R&D and innovation initiatives
and achievements
Encouraging R&D and innovation
ZKTeco continuously optimizes its technology innovation incentive system having introduced the "ZKTeco Patent Application and Reward Measures"
to promote the standardized operation of technology award management. Through diverse incentive measures employees are encouraged to actively
engage in R&D and innovation thereby strengthening the Company's core competitiveness expanding market share and supporting its long-term
development. Currently a policy matrix has been established covering project sprint incentives patent bonuses project assessment bonuses equity
incentives and more. On a monthly or annual basis innovative projects and outstanding talents are rewarded and recognized fully stimulating
employees' innovative enthusiasm; concurrently the Company aligns compensation with capabilities conducting annual job qualification
assessments. Based on the assessment results positions and salaries are determined achieving a precise link between capabilities
performance and compensation. Guangdong Province Doctoral Workstation Guangdong Biometrics and Security Technology
Engineering Technology Research Center
Industry standard development
Industry-university-research collaboration
The Company consistently upholds its industry responsibility actively participating in industry standardization efforts and deeply engaging in the
research formulation and revision of national industry and group standards. By leading or participating in the compilation of multiple core
standards the Company organically integrates its technological expertise and practical experience with industry development demands thereby The Company actively practices the industry-university-research collaborative
contributing to regulating market order and enhancing the overall technical level and quality control capabilities of the industry. innovation model engaging in in-depth cooperation with universities. It builds
cooperation platforms focusing on fields related to technology R&D and
achievement commercialization promoting specialized technical research through
complementary resources and synergistic advantages thereby assisting in core
technology breakthroughs and the implementation of innovative applications.As of the end of the reporting period During the reporting period ZKTeco reached a strategic cooperation with the Brain
Science and Brain-Inspired Intelligence Laboratory of the School of Biomedical
27 national standards 9 industry standards 3 Engineering Dalian University of Technology and officially signed a cooperation the Company has cumulatively participated in the formulation of local
agreement for a brain-computer interface horizontal project. This strategic
standards and 2 group standards. cooperation is not only a model of university-enterprise collaborative innovation
but will also inject strong impetus into the breakthrough and industrialization of
brain-computer interface technology. By building an "industry-university-research- ZKTeco and Dalian University of Technology
application" collaborative innovation ecosystem it will accelerate the tackling of Conduct Industry-University-Research
key technical challenges in the industrialization of brain-computer interfaces and Collaboration
promote more cutting-edge achievements to the market.
47 48ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Intellectual property Focus of Measures Specific Initiatives
protection
Exp ert Engage a standing legal counsel specializing in intellectual property law to serve as a member of the Company's Intellectual Property
assistance Management Leadership Group and assist in the Company's intellectual property protection.Management system
Training and Establish an Intellectual Property Promotion and Protection Fund to be used for annual intellectual property training promotion and other
ZKTeco strictly complies with laws and regulations such as the "Patent Law of the People's Republic of China" the "Copyright Law of the People's dissemination related activities. Develop training and awareness plans for employees to institutionalize intellectual property protection awareness initiatives.Republic of China" and the "Anti Unfair Competition Law of the People's Republic of China". It attaches great importance to its own intellectual
property protection strengthens the utilization of patent information and avoids infringing on the intellectual property rights of others. The Company has Accountability For actions that infringe upon the Company's intellectual property rights or cause losses relevant responsible persons will be held accountable
formulated systems such as the "Intellectual Property Management Measures" the "Patent Management Measures" the "Copyright Management and those suspected of committing a crime will be transferred to judicial authorities.Measures" the "Trade Secret Management System" and the "Trademark Management Measures" to strengthen the management of intellectual property
rights. The Company has established an Intellectual Property Department to manage intellectual property-related work and other relevant business
departments should designate part-time personnel for intellectual property management. During the reporting period Xiamen ZKTeco has passed the
certification of intellectual property management system. Ethics in science
and technology
Indicators Unit 2023 2024 2025
Cumulative number of authorized 858 963 1193 The Company places great emphasis on the governance of scientific and technological ethics. In the R&D and application processes of cutting-edge Item
patents technologies such as brain-computer interfaces it consistently upholds the ethics-first principle strictly adhering to relevant national laws regulations
Number of patent applications Item 142 204 225 and ethical guidelines. This ensures that all scientific and technological innovation activities are conducted within a legal compliant and responsible
Number of effective patents per
million yuan of revenue Item 0.44 0.48 0.56 framework.Divided by patent type
Cumulative number of authorized
invention patents Item 149 171 220 Supply chain management
Cumulative number of authorized
utility model patents Item 245 248 305
Cumulative number of authorized
design patents Item 464 544 668 Supply chain
Other intellectual property rights management system
Cumulative number of software
copyrights Item 675 739 829
Number of software copyrights per
million yuan of revenue Item 0.34 0.37 0.39 Governance
Cumulative number of trademarks Item 1181 1220 1297
To standardize supplier management improve the Company's supplier classification and grading management mechanism and formulate
differentiated supplier management strategies the Company has developed institutional documents such as the "Supplier Management Control
Procedure" and the "New Supplier Selection Certification Procedure" which clearly stipulate the management requirements and execution
procedures for various aspects including supplier admission and certification classification and grading performance appraisal daily
Protection measures management and elimination and exit. Furthermore the Company leverages digital systems like SAP and SRM to intelligently manage
suppliers thereby enhancing supply chain visibility collaboration efficiency operational efficiency and the scientific basis of decision-making.All departments and levels of leadership within the Company fully recognize the importance of intellectual property and are determined to prevent and
eliminate the loss of intellectual property caused by improper conduct. The Company has established a supply chain management organizational system with clear responsibilities and efficient collaboration to
ensure the effective implementation of supplier management strategies. The Resource Development Department is primarily responsible for early-stage
Focus of Measures Specific Initiatives supplier sourcing certification and introduction. The Executive Procurement Department is responsible for order execution and performance tracking.The Quality Department collaborates with the Executive Procurement Resource Development R&D Material Certification and Engineering
Designate confidential areas mark confidential documents with security classifications and restrict access. Employees Departments to jointly participate in supplier assessment and review.Confidentiality sign commitment letters and Confidentiality Agreements upon onboarding and return all relevant materials upon
management departure.For scenarios such as cooperation and commissioned development sign written contracts clearly defining intellectual Supplier access
Contractual property protection clauses. Technical contracts shall be signed by the legal representative or their authorized agent after The Company manages the access of suppliers by setting corresponding standards and approval processes in supplier sourcing supplier certification
standards review. and supplier selection ensuring that the selected qualified suppliers meet the Company's business needs in terms of quality delivery price
compliance and trade security. The Company has set minimum access standards for suppliers for both production and non-production procurement and
Risk Establish an intellectual property risk early warning mechanism and track domestic and international intellectual set minimum requirements for supplier enterprise size registered capital industry experience system certification product environmental protection
management property trends. Upon discovering infringement promptly address it through administrative or judicial channels. etc. for different materials.
49 50ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Supplier assessment
The Company has established a supplier performance management team which is organized and led by the Quality Department. It
mainly includes departm ents such as the Executive Procurement Department the Resource Development Department the Quality In 2025
Department the Material Certification Department and the R&D Department responsible for conducting monthly performance
assessments of suppliers. For suppliers who score last 5 in consecutive assessments the Company has conducted interviews or on-site ZKTeco had a total of 208 cooperative suppliers.coaching and output the "Minutes of Supplier Quality Problem Counseling Meeting". For suppliers who score last 5 in consecutive
assessments the Company has considered reducing orders and eliminating them.Supply chain management personnel training
Supplier classification The Company highly values the professional capabilities and quality improvement of its
Based on the "four-quadrant" method of material classification the Company classifies suppliers into four categories: core suppliers supply chain management personnel and is committed to building a professional and
leverage suppliers bottleneck suppliers and general suppliers. Differentiated management strategies are adopted for different categories compliant procurement team. The Company designs a systematic training program for all
of suppliers to enhance the efficiency and level of supplier management. members of the Procurement Center. The training content fully covers the foundational and
high-performance aspects of supplier management specifically including supplier relationship
management sourcing strategies cost and financial analysis negotiation skills social
responsibility logistics and inventory management quality control and product development
High among other key modules. Through training procurement personnel's professional judgment
capabilities risk identification capabilities and compliance operational awareness in full
lifecycle supply chain management are systematically enhanced enabling them to more
Leverage suppliers Core suppliers effectively execute the Company's supplier management system and promote continuous
optimization and value creation in the supply chain.Supply Chain Management Training
General suppliers Bottleneck suppliers
Strategy
Low
Low Supply risk High Risk/ Risk/Opportunity Impact Opportunity Likelihood Time Expected Financial Impact Countermeasures
Type/ Description Range
Supplier Classification Diagram
1.Strengthen the requirements for
Supplier review Domestic and international
environmental regulations (e.g. Environmental Protection
hazardous substance restrictions and Agreements and commitment letters
The Company has established a supplier review mechanism combining regular and irregular assessments to continuously monitor suppliers' carbon footprint requirements) are within the "Supplier Management
comprehensive capabilities and compliance status. The review content fully covers aspects such as quality delivery systems and social becoming increasingly stringent. If
Control Procedure";
responsibility. The Company also implements flexible review policies for some high-quality suppliers who have obtained authoritative certifications or suppliers fail to comply with new High Long term Operating costs increased
regulations in a timely manner this
hold a leading position in the industry choosing whether to conduct on-site reviews based on actual circumstances. and operating 2.Strengthen compliance audits could lead to the Company's products
being non-compliant resulting in fines revenue decreased. during supplier qualification and
recalls or market access restrictions. periodic reviews.Supplier Review Rating Table 3.Facilitate the green transition of
at Development Site suppliers.Category Level Score
Excellent Level A 90.1-100 points 1.Evaluate and progressively
Deepen data connectivity and
implement the supply chain
Good Level B 80.1-90 points collaboration with key suppliers through collaboration information system
digital tools to improve demand forecast
Medium Operating costs project.Qualified Level C 70.1-80 points accuracy inventory turnover efficiency Medium term are reduced. 2.Share key order and capacity data
and the speed of response to anomalies
Improved after with core suppliers.Level D 60.1-70 points thereby strengthening overall supply coaching 3.Establish a more agile supply and chain resilience.demand communication mechanism.Unqualified Level E Below 60 points (inclusive)
5152
Policy and legal risks Digital transformation of
the supply chain
Risk Opportunity
Procurement amountZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Impact risk and opportunity management Building a responsible
supply chain
In order to ensure effective production ensure the supply of purchased materials and prevent unexpected losses caused by
shortages or poor quality of purchased materials the Company has formulated the "Supplier Emergency Control Procedure". Through
process planning arrangements are made in advance to quickly respond to problems and ensure timely delivery of products to
customers. Supplier ESG management
The Company has established an emergency response team with the General Manager of the Supply Chain Committee The Company is committed to deeply integrating ESG requirements into supplier full lifecycle management. It has formulated the
serving as the team leader and the Resource Development Manager Executive Procurement Manager Material Certification "CSR Agreement" as a core normative document for cooperation with suppliers explicitly requiring all contracted suppliers to comply with high-standard
Department Manager Quality Manager and PMC Manager as team members to coordinate and handle various emergencies that codes of conduct in areas such as labor rights occupational health and safety environmental protection and business ethics.threaten normal supply during mass production. For different emergency events the Company has developed targeted emergency Regarding labor rights the Company requires suppliers to strictly prohibit the use of child labor forced labor and any form of discrimination and
plans and clearly defined various emergency measures. In the event of an emergency the emergency response team decides stipulates reasonable working hours compensation and benefits and freedom of association. In the health and safety domain the Company requires
whether to implement the emergency plan based on the current procurement situation of the Company's production plan and suppliers to establish comprehensive fire safety chemical management occupational safety and public health management systems. Environmental
unifies the command of emergency response. protection clauses cover pollution control energy conservation and emission reduction and product environmental compliance among other aspects.Additionally the Company has clear requirements for suppliers in the area of business ethics including integrity in business operations anti-corruption
information disclosure and privacy protection.To ensure the effective implementation of ESG requirements the Company not only considers the signing of the agreement as a prerequisite for
supplier access and cooperation but also explicitly defines in the agreement suppliers' ESG management responsibilities for their own
Leader: supply chains (tier-two suppliers requiring them to establish and promote the extension of CSR management downstream. For violations of
General Manager of the "CSR redline requirements" the Company has stipulated clear liabilities for breach of contract including liquidated damages and order termination
Supply Chain Committee thereby forming a binding management closed-loop. The Company strives to build a responsible sustainable and risk-controllable supply chain
ecosystem.Conflict mineral control
The Company is committed to ensuring that the raw materials used are compliant in origin transparent and non-hazardous through strict supply chain
Member: Resource Member: Executive Member: Material Member: Quality Member: PMC due diligence management. We require suppliers to sign a "Letter of Commitment for Not Using Conflict Minerals" in the new supplier
Development Manager Procurement Manager Certification Manager Manager identification and selection procedure document and strictly control the Company's raw material sources.Department Manager
We explicitly require suppliers to ensure that metals such as gold (Au) tantalum (Ta) tin (Su) and tungsten (W) contained in all products and
materials they provide (including raw materials components packaging etc.) do not involve extraction processing and trade from the Democratic
Emergency response team Republic of Congo and its surrounding conflict-affected countries and regions. Suppliers must commit to establishing and implementing an
effective supply chain traceability management system to identify and ensure the legality of raw material sources. Furthermore suppliers are
obligated to cooperate with the company in conducting relevant investigations and on-site audits and truthfully provide the required information.Should suppliers violate their commitment they shall bear the losses and risks caused to the Company and its customers. Through systematic
control measures the Company makes every effort within commercially reasonable limits to prevent potential human rights and environmental risks
in the supply chain and fulfill its commitment to conflict mineral control.Indicators and objectives
Target Content Achievement Treating small and medium-sized
No significant risks or impacts occurred in the supply Achieved enterprises (SMEs) equallychain links.In the process of supplier cooperation and procurement ZKTeco adheres to the principles of fairness and impartiality does not set limits on supplier
size and treats all partners equally ensuring they enjoy equal opportunities in qualification evaluation and transactions. During the reporting period
the Company had no overdue payments to SMEs.
53 54ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Product and service safety and quality Strategy
ZKTeco's Quality Management Department regularly reviews the quality and service risks the Company may face recording dimensions such
as risk description risk impact and risk level and forming the "Risk and Opportunity Assessment and Analysis Table".Quality assurance
system Risk/
Opportunity Risk/Opportunity
Impact
Description Likelihood Time Expected Financial Impact CountermeasuresType Range
Governance 1. Insufficient ability to detect 1. Implement material skills training
problems; optimize testing equipment and
ZKTeco prepared the "Quality Management Manual" as a guiding document for the Company to implement quality management and carry out quality 2. Untimely and unsystematic optimize sampling methods.planning quality control and quality improvement activities following the principle of customer satisfaction in accordance the "ISO 9001:2015 handling of material anomalies; Operating costs 2. SQE is responsible for handling all
Quality Management System Requirements" and the "QC080000:2017 Hazardous Substance Process Management (HSPM System Requirements" Short to increased and material non-conformities.3. Risk of incoming materials Medium medium 3. Conduct hazardous substance
standards and combined with the actual situation of the Company. The Manufacturing Center is the main responsible department for the exceeding hazardous substance term operating revenue testing for each batch of raw
Company's product quality management. The Company regularly assesses the Quality Manager's performance with assessment targets limits. decreased. materials and sign an Environmental
including the number of major quality issues customer quality losses and the number of quality issues at the factory exit. The Company's General Protection Agreement with suppliers.Manager is responsible for overseeing the operation of the quality management system and organizing the implementation of internal quality
management system audits. As of the end of the reporting period the Company ZKTeco Dongguan Branch Guangdong Zkteco and Xiamen ZKTeco
have all passed ISO 9001:2015 quality management system certification.
1.Contact customers promptly and
provide effective solutions such as
replacing machines or offering
Quality policies: upgrade packages.
1.Customer complaints are not
Operating costs 2.Conduct customer follow-ups effectively resolved. proactively understand issues and
Continuously innovate technology; continuously improve product quality; always pursue customer satisfaction. 2.Customer returns are not Short to increased and Low offer assistance.medium
Use environmentally friendly materials prevent pollution make continuous improvements and meet regulations and customer requirements! processed in a timely manner. operating revenue term 3.Through the management
3.High product rework rate. decreased. representative assign problems to
the quality service personnel of each
business unit.The continuous emergence of new Continuously pay attention to
technologies new materials and new
processes provides the cCompany market demands and the
with technical support to enhance the development trends of new
safety and quality level of its technologies promote technological
products. Through technological Medium Operating revenue exchanges and cooperation cultivate
innovation the Company can develop High to long increased. talents enhance the Company's
safer more efficient and more term technological level and develop
environmentally friendly products
thereby strengthening its market high-quality new products.competitiveness.Impact risk and opportunity management
ZKTeco ZKTeco Dongguan Branch Guangdong ZKTeco Xiamen ZKTeco
The Company places great emphasis on product and quality risk management having established a full-process control system
covering risk identification assessment monitoring and management. It clarifies the responsible entities and execution standards for
each stage. Through measures such as institutional norms audit supervision and process optimization combined with industry
characteristics and operational realities the Company systematically prevents product and service quality risks ensuring the safety and
stability of products and services.
5556
Quality control risk Customer service risk Technical opportunity
Risk OpportunityZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Product quality
management measures
In accordance with product and service safety risk management requirements a risk control system has been established and
Risk documents such as the "Risk and Opportunity Assessment and Analysis Table" have been formulated. It specifies that
identification professional departments are responsible for regularly collecting internal and external product quality risk information Full lifecycle management
and organizing special risk identification work in a timely manner based on the Company's operational realities to
comprehensively identify potential risk points. ZKTeco establishes a product full lifecycle management system in accordance with the "Quality Management Manual". This system ensures
supplier compliance review and 100% material inspection for incoming materials achieves process standardization and precise process monitoring
during production and implements finished product inspection and standardized protection during delivery thereby continuously meeting
Utilizing professional assessment and analysis tools identified product and service quality risks are systematically
Risk customer and legal/regulatory requirements.assessment assessed clarifying risk level classification standards. Graded management is implemented based on assessment results
providing a basis for the formulation of subsequent risk response measures. Product Lifecycle Stages Control Measures
Design and Define product quality and HSF requirements conduct feasibility reviews and design verification control
Development Stage design changes and verify the compliance of new materials and new suppliers.Risk Continuously track product and service quality indicators and monitor potential risk points in daily operations to ensure dynamic
monitoring and controllable risks.Procurement and Review supplier quality and HSF systems collect supplier HSF-related information establish a qualified
Supply Stage supplier list and implement monthly evaluations and annual audits.Establish product and service quality management processes clarify risk response responsibilities and disposal mechanisms and Production and Develop work instructions and control plans identify product HSF status implement first article and in-
formulate differentiated control measures for different levels of risk; combining industry policies regulatory requirements and the Manufacturing Stage process inspections and conduct equipment preventive maintenance.Risk
management market competitive environment optimize risk management methods and strengthen cross-departmental collaboration to ensure
product and service quality meets standards. Inspection and Execute incoming in-process and outgoing inspection specifications regularly calibrate testing
Release Stage equipment and release qualified products only after approval by authorized personnel.Indicators and objectives Delivery and After- Standardize product handling storage and protection track delivery performance collect customer sales Stage feedback and complaints and handle non-conforming products by taking corrective actions.Indicators
Indicators Unit 2023 2024 2025
Product qualification rate % 99.8 99.7 99.7
Number of annual quality internal audits Times 1 1 1
Number of spot checks by third-party Times
organizations 29 41 80
Objective
Target Content Achievement
Product qualification rate ≥99% Achieved
57 58ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Product recall ZKTeco's strategic deployment in Saudi Arabia Case
ZKTeco formulated the "After-sales Quality Exception Handling Specification" and established a product traceability management system. The In May 2025 ZKTeco and AICTEC a Saudi main board listed company signed a strategic
Quality Service Department leads the initiation of product recall efforts forming a special cross-departmental team with the Quality Engineering cooperation memorandum in Riyadh. The two parties will integrate ZKTeco's strengths
Department R&D Manufacturing Warehousing and Logistics etc. to complete the investigation of affected products formulation of recall plans and in biometrics IoT and video sensing technologies with AICTEC's localized operational
advantages to establish a smart manufacturing base in Saudi Arabia. The first phase of this base
execution through to after-sales delivery. will focus on the production of biometric access control systems smart security inspection
equipment and video sensing solutions. After the project is put into operation it is
expected to have an initial annual production capacity of 100000 high-end devices which
Recall Process Specific Measures
will not only improve the accessibility of the Company's products but also contribute to
promoting digital transformation in the Middle East.Signing Ceremony of the Strategic
Recall Initiation The Quality Service Department identifies severe/major quality issues requiring recall reports them Cooperation Memorandum
within 4 hours and forms a cross-departmental special recall team.The Quality Engineering Department leads the investigation of all affected products across the
Full-Scope entire supply chain including inventory at various plant sites products in transit shipped Customer service
Investigation
products and client-side product information. management
Plan Formulation The special team discusses and determines the recall method execution scope and responsible
parties while simultaneously formulating emergency response measures for the issue.Customer service system
All relevant departments carry out product recovery repair/replacement and other dispositions
Plan Execution
according to the plan ensuring the completion of emergency handling within 72 hours. Domestic market
Perform reliability verification on products after disposal and the Quality Service Department will For domestic customers ZKTeco has established systems such as the "After-sales Service Effectiveness
Verification Management Specification for China Business Group" the "After-sales Service Process for conduct special satisfaction follow-up visits with customers affected by recalls. China Business Group" the "After-sales Quality Exception Handling Specification" and the
"Product Warranty Policy of ZKTeco" to standardize product after-sales service management and
after-sales exception handling process and improve customer satisfaction. The Company has been
certified as a five-star service provider in accordance with the "Evaluation System for After-Sales
Service of Commodity" (GB/T 27922-2011). After-Sales Service Certification Certificate
Hazardous substance monitoring
Overseas market
ZKTeco has formulated the "Environmental Hazardous Substance Management Regulations" to strictly control the content of hazardous ZKTeco's overseas business revenue accounts for a relatively large proportion due to a large number of overseas customers. Therefore the
substances in its products and uses professional equipment to test the content of hazardous substances. The Company requires suppliers to cooperate Company has developed a customer service management system that is different from the domestic market. We have considered the
with the implementation of the "Environmental Hazardous Substance Management Regulations" sign the "Commitment Letter of Not Using characteristics of multilingualism multiculturalism and multi-time zones to fully improve customer satisfaction. Different overseas
Hazardous Substances" and strictly abide by relevant regulations during the supply of raw materials and production process not to use any subsidiaries have developed customer service systems that are adapted to local policies. For example the Mexican subsidiary has developed
systems such as "Politica-de-Garantias-2023" (after-sales maintenance policy) to better protect customer rights and interests.hazardous substances exceeding the limit standards to ensure that the supplied products comply with the EU RoHS Directive and other relevant laws
and regulations.Enhancing product accessibility Overseas market customer service system
The headquarters team provides services to global branches and customers;
ZKTeco upholds a global development philosophy continuously enhancing product accessibility in the international market through the
Local teams of branches provide localized pre-sales in-sales and after-sales services to local distribution customers and
ongoing improvement of its overseas R&D and business layout. Leveraging a globally collaborative R&D system and a market-oriented service their customers;
network we drive the localized adaptation of products and technologies optimize supply chain and delivery efficiency. This enables products to Local teams of branches and various distribution agent teams jointly provide various services to local customers
reach global target markets more efficiently providing convenient and timely product support and services to customers in different regions thereby including but not limited to online and offline training experiential interaction and after-sales service ensuring
comprehensive coverage and timely response to customer needs.substantially enhancing product coverage and availability in the international market.
59 60ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Customer satisfaction survey
Customer service measures
Customer feedback is an important source of information for ZKTeco Customer Satisfaction Year-on-Year Comparison
to continuously optimize its services and the Company attaches great Satisfaction = (Total Key Presses - Key Press 0) / Total Key Presses
Communication channel development importance to and continues to carry out customer satisfaction 99.7
management. We conduct customer satisfaction surveys on an annual 99.6699.6 99.62 99.6299.57 99.57 99.58 99.57
quarterly or monthly basis through telephone WeChat QQ 99.5 99.5 99.48 99.48 99.48 99.44
questionnaire and other survey methods. The survey targets core 99.41 99.41 999 99.4499.4 9..4414 99.44 99.39
Intelligent service 99.38agents in China large end customers overseas subsidiaries and 99.34 99.36 99.3 99.29
management
customers related to quality ticket customer complaints. During the 99.2
We have opened a national technical service hotline through cloud services and the service center has set up 80 agents to reporting period the Company collected customer satisfaction data for
99.199.11
intelligently record inbound calls outbound calls and business transactions. the 400 hotline and generated a satisfaction survey report. The 99
customer satisfaction via 400 hotline was 99.51% a slight increase 98.9
98.8
compared to last year. 1 月 2月 3月 4月 5月 6月 7月 8月 9月 10 月 11 月 12 月
We have created a WeChat official account of "ZKTeco Customer Service Center" where customers can consult online
Customer satisfaction in 2024 (%) Customer satisfaction in 2025 (%)
communicate and operate after-sales maintenance equipment password reset and other work online.Survey results of customer satisfaction via 400 hotline
We have established an after-sales service management system website where customers can operate product after-sales
management effectively reducing communication processes and improving work efficiency. Indicators Unit 2023 2024 2025
Number of customers Nos. 3511 3778 3842
Through the online customer service system common questions are classified and answers are edited covering multiple aspects participating in the survey
such as attendance access control video surveillance and security inspections. Automatic responses can be triggered by Customer satisfaction % 93 95 94.3
identifying key words.National technical service hotline: 4006900999 Customer service training
WeChat official account: ZKTeco Customer Service Center ZKTeco continuously conducts comprehensive multi-level customer service training initiatives. By empowering through systematic training it
After-sales service management system: https://cn.zkteco.com/cn/product Online constantly strengthens the professional competence and service awareness of its service team standardizes service processes and communication
protocols and improves the efficiency of responding to and handling various customer needs. The training consistently upholds the philosophy of
customer service system: https://www.sobot.com/console/login customer first focusing on the continuous optimization of service quality. It is dedicated to providing global customers with a superior efficient and
considerate service experience thereby contributing to the steady improvement of the Company's customer service level and the continuous
enhancement of its brand value.Customer complaint response mechanism
ZKTeco has formulated the "Customer Complaint Acceptance System for China Business Group" which clarifies the customer complaint
acceptance regulations related to product or service quality in the China Business Group. The Company adheres to the principle of "customer first
quality first high-quality service and timely response" in the after-sales service and technical support. When receiving customer complaint calls we
calm their emotions communicate complaint content with them and keep records. We promptly handle them within the Company and provide
feedback on the results to the complaining customers. We have set requirements for the deadline for handling customer complaints to ensure that
their demands can be met in a timely manner. After the complaint handling is completed we fill out the "Customer Complaint Handling Record
Form" and the "Quality and Service Communication Record" and archive and save the documents generated during the complaint process to Training Scene
continuously improve product quality and service level.During the reporting period
During the reporting period
the Company conducted 86 specialized training sessions on customer complaint response covering 729
the Company received a total of 107 complaints of which 97 were resolved and 10 were deemed participants with a total training duration of 223 hours. It also conducted 27 assessments on customer
unsubstantiated. complaint response achieving a pass rate of 96.08%.
61 62ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Data security and privacy protection
Top management of
the Company
Information Management
Committee
System construction Business Unit Manager
The Company has formulated multiple information security and privacy protection related systems and regulations in strict accordance with
Information Promotion Group/Information Group members
laws and regulations such as the "Cybersecurity Law of the People's Republic of China" and the "Data Security Law of the People's Republic of Technology Service Group
China" covering personnel security management access control management network and communication security operational security Management
information security continuity management information asset protection privacy related management etc. representative
Members of each
department
Information Security and Privacy Management Information Security Continuity Management
Manual Regulations
Information Security Information Technology Service and Privacy Security Management System
Personnel Security Management Regulations Personal Information Management Regulations Diagram for Xiamen ZKTeco
Access Control Management Regulations Software Development Security Management Regulations
The Company actively carries out information security and privacy protection related management system certifications. ZKTeco has passed ISO
Cybersecurity Management Regulations Equipment Security Management Regulations 27001:2022 information security management system certification and ISO 27701:2019 privacy information management system
certification. Xiamen ZKTeco has passed ISO 27001:2013 information security management system certification ISO 27701:2019 privacy
Operational Security Management Regulations Physical Environment Security Management
Procedures information management system certification ISO 27017:2015 cloud service information security management system certification and
ISO 20000-1:2018 information technology service management system certification all of which are valid during the reporting period.Information Security and Privacy Incident Information Asset Protection Management
Management Regulations Procedures
Management organizations
The Company has established an Information Security and Privacy Management Committee and an Information Security Management
Working Group. With the vision of protecting the Company's core assets and preventing information leakage the Company has established an
information security and privacy management system which has been comprehensively promoted and implemented within the Company. The
Information and Product Security Committee is a Promotion Group under the highest organization of the Company's information security responsible
Information Security Privacy Information Information Security Privacy Information Cloud Service Information
for the overall information security management of the Company and for promoting the implementation of information security and other departments Management System Management System Management System Management System Information Security Technology Service
cooperate to complete information security related work. Certificate of ZKTeco Certificate of ZKTeco Certificate of Xiamen Certificate of Xiamen Management System Management System ZKTeco ZKTeco Certificate of Xiamen Certificate of Xiamen
ZKTeco ZKTeco
63 64ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Information security training
Impact risk and opportunity management
ZKTeco regards information security training as a crucial component in building an enterprise information security management defense line.Through systematic regular company-wide training it continuously enhances employees' information security awareness and protection ZKTeco has formulated the "Information Security Risk Assessment Guidelines" the "Personal Privacy Risk Assessment Guidelines" and the
capabilities laying a solid foundation for safeguarding the digital assets of the Company customers employees and partners. "Information Confidentiality Classification Guidelines" to assess and manage information security risks and personal privacy risks.Xiamen ZKTeco has formulated the "Information Confidentiality Classification Guidelines" and the "Information Security Risk
Management Procedures" to identify and determine the confidentiality levels of various information in the Company's business
activities. The confidentiality levels from level I to level V are classified as top secret confidential internal restriction internal disclosure and
external disclosure.We summarize information assets of various departments and compile the "List of Information Assets" and classify and rate them based on their
characteristics (confidentiality integrity and availability. For information assets at level III or above we assess potential risks including risk
likelihood consequences and asset level form preliminary risk levels determine final risk levels after taking measures and record them in the
"Risk Assessment Form"; develop a risk management plan for level 3 and above risk assets and risk items and prepare a "Risk Assessment Report
& Management Plan".Emergency event management
The Company has established an information security emergency management system and formulates systems such as the "Business Impact
Analysis (Information Security" the "Information Security Continuity Management Regulations" and the "Information Security Continuity
Information Security Training of Xiamen ZKTeco Management Plan" clarifying information security assurance specifications. Concurrently the Company has developed and implemented
multiple emergency plans to standardize the emergency response procedures for network and information security incidents thereby fortifying its
security assurance system. The Company regularly conducts drills on data backup business continuity and network equipment emergency response
to effectively enhance its information security risk response capabilities.Strategy
Information security audit
Risk/ Risk/Opportunity Impact Opportunity Expected Description Likelihood Time CountermeasuresType Range Financial Impact The Company has formulated regulations such as the "Internal Audit Procedures for Information Security Management System"
"Information Security Risk Management Procedures" and "Information Asset Protection Management Procedures". It conducts regular
If the massive amounts of biometric 1.Strictly implement the ISO internal audits on information security and issues the "Internal Audit Report for Information Security and Privacy". At the same time the
data identity information and 27001/27701 certified information Company regularly hires external professional third-party organizations to conduct on-site audits of its information security management
commercial data handled by the security management system; system and privacy information management system summarizes the discovered problems and provides suggestions. The Company
Company were to suffer a large-scale 2.Comprehensively apply end-to-end has compiled the "Corrective Action Requirements" report for the Company's reference.breach it would lead to damage to core Short to Operating revenue encryption (AES-256) and irreversible
intellectual property a collapse of Medium medium decreased and operating hashing technology in data transmission
customer trust and could trigger class- term costs increased. and storage;
3. Regularly conduct penetration testing Indicators and objectivesaction lawsuits and substantial
regulatory fines. and security audits and establish and drill
emergency response plans. Indicators
High-sensitivity industries such as Indicators Unit 2023 2024 2025
finance government and healthcare Dongguan Xiamen Dongguan Xiamen Dongguan Xiamen
have extremely stringent requirements 1.Focusing on target industry scenarios we
for data security and privacy protection. develop benchmark integrated solutions for Number of training sessions on data
The Company's digital identity Medium data security and identity authentication. security and customer privacy Times 12 4 12 5 13 2
authentication system built upon Medium to long Operating revenue increased.term 2.Strengthen ecosystem collaboration with
protection
blockchain multimodal BioCV and
large model technologies can provide industry authorities and major integrators to Number of participants in practice and Person-time
higher levels of security and trusted jointly expand the market. training on data security and customer 1005 664 957 253 1734 195
verification helping to break through privacy protection
high-barrier high-value niche markets. Employee coverage of practice and
training on data security and customer % 34 71 50 74 76 68
privacy protection
6566
Data breach risk Market expansion opportunities
Risk OpportunityZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Empowering Collaboration to Co-create a Thriving Ecosystem
Objective Information security technology guarantee
Target Content Achievement
Target value of Level 4 incidents (security accidents): 0 times per year Relevant personnel sign Confidentiality Agreements.Achieved
Install ESMC port management software and antivirus software on terminals to prevent virus and
Number of Target value of Level 3 incidents (security incidents): no more than 3 Trojan attacks.Achieved
information times per year
security and Set up a firewall at the entrance of the external network to resist external virus and Trojan intrusion.privacy incidents Target value of Level 2 incidents (minor incidents): no more than 5 Achievedtimes per year Install AsiaInfo antivirus software on the server.Target value of Level 1 incidents (situations or weaknesses): no Achieved
more than 10 times per year Use internal network system. External network needs to be accessed through VPN.Number of infrastructure physical operation failures ≤ 5 occurrences Achieved
Achieve product data/sensitive information encryption.Major virus incidents ≤ 1 occurrence Achieved
Restrict some personnel's internet access.Anonymize product user data.Normalized security Access control (develop the "Access Control Management Regulations")
governance measures
Information security technology cooperation
Data security protection ZKTeco actively engages in data security technology cooperation with external organizations to comprehensively strengthen the Company's capabilities
in threat intelligence collection vulnerability scanning risk assessment and other aspects. In April 2025 the Company invited Grandall Law Firm to
The Company conducts comprehensive risk identification and analysis for supplier information customer and employee data and formulates targeted provide internal data compliance training. In August 2025 the Company participated in the Summary of the 2025 Dongguan Industrial Enterprise
protective measures to ensure data security and privacy rights. Cybersecurity (Data) Online Inspection Activity and the Special Training Session on Network Security in the Industrial Sector organized by the
Municipal Bureau of Industry and Information Technology. In September 2025 the Company participated in a public welfare special training session on
network security and reputation protection organized by the Office of Cyberspace Affairs of the CPC Dongguan Municipal Committee. In November
2025 the Company participated in the Summary of the 2025 Special Training Session on Dongguan Industrial Enterprise Cybersecurity (Data) and
Symposium organized by the Municipal Bureau of Industry and Information Technology.Supplier information The Company keeps confidential paper versions of supplier information while electronic
protection versions are stored in the NAS and access permissions are set. Xiamen ZKTeco
classifies suppliers sets different information security requirements for the
confidential information involved by different suppliers and takes targeted measures. Customer privacy
protection
Customer data For customer data related to R&D technical support the Company has formulated
protection the "Technical Support Service Customer Data Privacy Management Rules" to clarify the ZKTeco respects and protects customer privacy strictly adhering to principles such as accountability clear purpose choice and consent minimum
work requirements of technical support personnel. In addition we require customers
to sign a "Privacy Protection Statement for Technical Support Services" reminding necessity ensuring security data subject participation and openness and transparency. It is committed to safeguarding customer personal information
them to backup and clear device data before sending the product for repair; for special security throughout the entire lifecycle of products and services. The Company has formulated the "Product Privacy Policy". It will sign a "Confidentiality
circumstances where it cannot be cleared customers need to sign relevant statements and Agreement" before conducting business cooperation with customers requiring the confidentiality of information between both parties. Furthermore the
the Company's technical support personnel will clear the data and keep records Company has formulated the "After-Sales Service System Privacy Policy" and the "After-Sales Service System Management System" to implement
after processing. standardized full-process management for the collection use storage sharing and deletion of personal information. The Company only collects
information when providing necessary services such as after-sales maintenance to customers in accordance with the principle of minimum necessity and
ensures data security through dual technical and management measures. We fully respect and safeguard customer rights. Customers can conveniently
Employee data The Company stores paper versions of employee data in the document room sets access access correct or delete their personal information through the "ZKTeco Customer Service Center" mini-program. At the same time we clearly restrict
protection control and permissions and clears them upon expiration; electronic files are stored in the the scope of personal information use and sharing. Unless required by law or with explicit customer consent it is prohibited for purposes other than after-
NAS and only support internal network access. Access permissions are set and relevant
data is backed up weekly. sales service.Each overseas subsidiary has established relevant policies and systems to protect customer information. For example the Mexican subsidiary has
formulated the "Aviso-de-Privacidad-Integral (Comprehensive Privacy Statement)" the "Politica-de-Privacidad-ZKTeco-LATAM (Privacy Policy)" etc.Visitor data The Company uses the Shang'an Yuntong System for visitor invitations and visitors to standardize customer privacy protection.protection register and verify their information through this system. The Company will delete relevant
data within 90 days after visitors leave.
6768
ZKTeco's information security technology
guarantee measures04
Joining Forces and
Advancing Together to
Build a Better Society
ZKTeco adheres to a people-oriented approach and is committed to building a
safe healthy and inclusive work environment. By establishing and improving an
occupational health and safety management system facilitating open democratic
communication channels and creating diverse growth opportunities it
effectively safeguards employees' legitimate rights and interests continuously
empowers employees and promotes the simultaneous growth of individuals and
the Company. At the same time we actively fulfill our corporate social
responsibility sincerely giving back to society through practical actions
such as volunteer activities and charitable donations thereby achieving a
harmonious unity of employee well-being corporate progress and a beautiful
society.Responsive SDGs
No Poverty Good Health and Well-being Quality Education
Gender Equality Decent Work and Reduced Inequalities
Economic Growth
69 70ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
Occupational health and safety Work safety management
Safety and health Safety hazard investigation
management system The Company has established and improved a safety inspection management mechanism and set up a dedicated safety inspection team.By combining self-inspections with special inspections regular inspections with surprise inspections and inspections with rectifications it
continuously eliminates unsafe factors related to people machines and the environment in production. Each production department strictly
The Company has always adhered to the concept of "safety first prevention first and comprehensive governance" taking work safety as the implements the daily safety inspection system focusing on checking the operating conditions of electrical equipment the safety
primary work focus. In strict accordance with relevant laws and regulations such as the "Occupational Disease Prevention and Control Law performance of mechanical equipment the integrity of fire-fighting facilities the implementation of safety protection measures and the
of the People's Republic of China" the "Work Safety Law of the People's Republic of China" (hereinafter referred to as the "Work reserve of labor protection and epidemic prevention materials etc. This ensures that potential safety hazards are identified and rectified in a
Safety Law") and the "Workplace Occupational Health Management Regulations" it has formulated and implemented a series of other internal timely manner effectively building a solid line of defense for work safety.safety and health management systems such as the "Occupational Health and Safety Management Manual" and the "Occupational Disease
Management System" to ensure the life safety of employees and the stable development of the enterprise. The Company has established a
Work Safety Committee with the General Manager as the Safety Director and department heads as members to comprehensively coordinate and Emergency plans and drills
supervise the Company's safety management work. Meanwhile safety management is incorporated into the KPI assessments of managers at all levels
encouraging all employees to attach importance to work safety. During the reporting period ZKTeco and Guangdong Zkteco passed the ISO The Company adheres to the requirements of relevant regulations such as the "Work Safety Law" and the "Fire Prevention Law of the People's Republic
45001:2018 occupational health and safety management system certification. of China" formulates the "Emergency Rescue Plan for Work Safety Accidents" standardizes the Company's emergency management work and ensures
that emergency rescue can be implemented promptly effectively and orderly after an accident safeguarding the lives of company employees
production equipment and property safety. The Company implements the fire control policy of "prevention first combining prevention and
elimination" actively organizes and conducts fire emergency drills strengthens the fire safety awareness of all employees and tests the ability of
each emergency response team to handle emergencies.Occupational Health and Safety Management Occupational Health and Safety Management
System Certificate of ZKTeco System Certificate of Guangdong Zkteco
Safety responsibility system
The Company has established improved and organized the implementation of the Work Safety Responsibility System and signed a work safety
objective management responsibility letter in accordance with the principle of "whoever is in charge is responsible" to clarify the work safety
responsibilities of entities management personnel at all levels and employees in each position strengthen the safety awareness of all employees and
prevent the occurrence of accident hazards.Objectives and planning Fire Drills of Guangdong Zkteco
Occupational Health and Safety Objectives of 2025
Target Content Achievement Safety promotion and training
Zero occurrences of potential fire explosion and other safety accidents Completed
The Company attaches importance to building a safety culture vigorously carries out safety promotion and education publicizes work safety
Zero occurrences of electric shock accidents Completed regulations operating procedures etc. to create a strong safety atmosphere. The Company focuses on improving the safety literacy of all
Zero accidents causing occupational health injuries (mechanical injuries employees regularly conducts various safety training sessions including safety training for new employees pre-job safety training for Completed
object strikes burns etc.) employees changing positions or returning to work pre-job training for special operation personnel etc. to enhance employees' safety awareness and
operational skills and build a solid safety barrier for the Company's high-quality development.
71 72ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
Safety protection measures Occupational health protection
Management of Posting escape Occupational hazard monitoring
first-aid kit route maps
The Company has developed the "Occupational Hazard Monitoring and Evaluation Management System". Every year it hires qualified
occupational health testing institutions to conduct comprehensive occupational hazard factor testing in the workplace. During the reporting period
When each department of the Company needs a The Company regularly updates the escape the Company focused on monitoring positions exposed to occupational hazards including inspectors fully automatic laser cutting machine operators
first-aid kit it shall submit an application. After route maps of each manufacturer which are TIG welders grinding and polishing operators and nylon polishing operators. A total of 140 inspection points were checked with 138 qualified
approval the relevant department provides it attached to the entrances or exits or gates of points achieving a qualification rate of 98.57%.according to the "List of First Aid Medicine" and each department. The supervisors of each
checks it weekly to see if there is a need to Production Department are responsible for
supplement the types and quantities of drugs. At the supervising employees to understand the Occupational health examinations
same time it is recorded in the "First-aid Kit escape route maps.Inspection Form". To safeguard employees' health rights understand their health conditions and prevent occupational diseases the Company has established the
"Occupational Health Monitoring and Record Management System for Workers". For employees in positions with occupational hazard factors it
implements pre-employment on-the-job post-employment and emergency occupational health examinations and establishes occupational health
monitoring records to dynamically track employees' health conditions.Management of
emergency exit Hazardous chemical
lights and related management
lighting In 2025
Electrical workers are responsible for The Company strictly manages hazardous the Global Manufacturing Center organized occupational health examinations for 72 employees. All employees'
inspecting and repairing emergency exit lights chemicals according to national regulations indicators were within the normal range during this examination and no occupational diseases occurred.and related lighting equipment in various to ensure the safety of the entire process.departments actively carrying out circuit Dangerous goods containers must be sturdy
acceptance preparing for various disasters and tight and labeled with special signs. The
accidents and reducing the occurrence of instruction manual shall indicate the nature
safety accidents. of the dangerous goods and safety
precautions. In addition the Company
assigns professional personnel to manage Health education and training
dangerous goods.The Company has formulated the "Occupational Disease Prevention and Control Publicity Education and Training System". It regularly
conducts training on occupational health laws and regulations basic knowledge of occupational hazard prevention and control maintenance and
management of occupational hazard prevention facilities and correct use and maintenance of personal protective equipment comprehensively
enhancing employees' awareness of occupational health and safety and their protective capabilities. At the same time the Company promotes
Smart security occupational health through bulletin boards blackboard newspapers (wall newspapers) and occupational hazard warning signs creating a favorable
occupational health culture.Case
The Company installs high- Occupational health management and personal protective equipment training
altitude object detection cameras 案 例
During the reporting period the Integrated Services Department organized and conducted
flame detection cameras and training on occupational health management and personal protective equipment (PPE). This
other security equipment in the training enabled employees to gain a basic understanding of occupational diseases thoroughly
industrial park. informed them about the hazards associated with their job roles continuously supervised them
to ensure proper self-protection and arranged annual physical examinations on schedule.Furthermore employees unable to perform their duties were promptly reassigned to different
positions to mitigate the risk of occupational diseases.Lecture on Personal Protection
Against Occupational Diseases
73 74ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
Occupational disease prevention measures Protecting the legitimate rights and interests of
employees
Notification of
occupational Protection of employee
Inspection of hazards
protection rights and interests
facilities
The Company posts signs such as
The Company conducts a "Note Dust Prevention" and "Wear
quarterly inspection of Protective Masks" in places prone Human rights protection
occupational hazard protection to dust generation and signs such
facilities and fills out the as "Noise Harmful" and "Wear Ear
Protectors" in places prone to The Company has always adhered to the principles of "respect fairness and impartiality" and explicitly stipulates in "ZKTeco's Recruitment Behavior "Occupational Hazard
noise generation. Operation Standards" the prohibition of child labor and the use of any form of forced or compulsory labor the prohibition of disseminating Protection Facility Inspection
Form". The Company discriminatory ideas based on region race gender etc. and the respect and protection of employee rights. During the reporting period the Company
maintains warning signs alarm did not experience any illegal or non-compliant incidents such as employment discrimination child labor or forced labor and the labor contract signing
facilities eye washers and rate was 100%.first-aid kits every quarter and
fill out the "Maintenance
Record Form". Human Rights Protection Measures
Personal protective Anti-discrimination *
equipment During recruitment and employment the Company does not take the hepatitis B and diversity
management test and pregnancy test as employment conditions and does not take social class
nationality religion etc. as the criteria for judging employees.The Company has formulated the "Personal
Protective Equipment Management Prohibition of
System" to ensure employees wear child labor * The Company strictly implements the "Recruitment Background Check Operation
appropriate labor protective equipment Standards". Identity verification is conducted during background checks and new
while working in accordance with the employee onboarding to ensure that all new hires meet the legal age requirements and
standards for issuing labor protective prevent the accidental recruitment of child labor.equipment. It also regularly inspects and
tests labor protective equipment promptly * If child labor is found to have been accidentally recruited the Company will immediately
replacing and scrapping any that does not terminate their employment and properly arrange for their return to their parents or
meet safety requirements. guardians.Opposing * The Company clarifies its working hours and leave policies ensuring that the average
forced labor working time per person does not exceed 8 hours and reasonably arranges overtime
Indicators Unit with employees' voluntary consent safeguarding their legal right to rest.2025
Amount of investment in work safety RMB '0000 5.59 * The Company legally signs formal labor contracts with all employees re-employment agreements with rehired personnel and internship agreements with interns
Number of work safety accidents Case 0 safeguarding the rights and obligations of both parties and ensuring clear and compliant
Number of deaths due to work-related labor relations.causes Person 0
Total number of employees with work-
related injuries Person 0
Lost workdays due to work-related injuries Day 0
Coverage rate for work-related injury
insurance personnel % 100
75 76ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
Protection of female employees' rights and interests Talent recruitment
and retention
The Company strictly adheres to the requirements of laws and regulations such as the "Law of the People's Republic of China on the Guarantee of the
Rights and Interests of Women" actively implements exclusive paid leave for female employees such as prenatal check-up leave prenatal rest
leave maternity leave and breastfeeding leave and strengthens protection for female employees during pregnancy maternity and breastfeeding
periods. We respect and care for female employees strive to combat discrimination against special groups such as pregnant women and implement The Company has formulated multiple management systems including the "ZKTeco's Recruitment and Configuration Management Regulations" and
human rights protection effectively. In 2025 44 employees enjoyed maternity leave with a 100% return-to-work rate after maternity leave. the "ZKTeco's Recruitment Behavior Operation Standards" in strict accordance with relevant laws and regulations such as the "Labor Law of the
People's Republic of China" (hereinafter referred to as the "Labor Law") and the "Labor Contract Law of the People's Republic of China" (hereinafter
referred to as the "Labor Contract Law"). Adhering to the principles of "respect fairness and impartiality" and "efficient identification scientific
evaluation personnel position matching and selective recruitment" the Company standardizes the recruitment and entry process of employees and
International Women's Day Activities Case ensures that recruitment work is fair just and orderly. We adhere to the talent concept of "those who are capable come first and talents emerge in
large numbers" evaluate talents based on their abilities qualities and values and build ZKTeco's talent supply chain.On the important occasion of International Women's Day the Company organized a floral art salon event which enriched the
leisure life of female employees cultivated their sentiments and in a relaxed and pleasant atmosphere strengthened the Company's
respect and recognition for its female employees enhancing team cohesion and employee well-being.Employee recruitment channels
The Company closely follows its talent development strategy and actual business needs to build a dual recruitment channel both internally and
externally. Externally the Company widely recruits outstanding talents through social and campus recruitment and actively responds to national
policies by providing equal employment opportunities for special groups such as the disabled and veterans fulfilling its corporate social
responsibility. Internally the Company opens an internal talent market to employees providing them with more opportunities to expand their
career development fields. Through a coordinated internal and external recruitment strategy the Company not only continuously introduces new
talents from outside injecting new vitality into its development but also creates a broader development space for internal employees promoting
the common progress of talents and the enterprise.Given the high level of understanding and loyalty among internal employees towards the Company the Company adheres to the principle
of "internal first external later" in recruitment prioritizing internal recruitment to promote internal talent flow and optimize allocation
and enhance employee motivation. When internal recruitment cannot meet the Company's employment needs the Company considers
Floral Art Salon external recruitment to attract outstanding talents and revitalize the enterprise's talent pool. The Company conducts an annual effectiveness
evaluation of recruitment channels retains efficient recruitment channels and eliminates inefficient ones.Trade Union Lecture on Marriage Law Case
The Company specially invited professional legal experts from the trade union to hold specialized lectures on topics such as the
protection of marital and family rights and interests in the context of the Civil Code. The lectures focused on issues of concern to During the reporting period
women such as property rights and family relationships providing female employees with practical legal knowledge tools through
case analysis and interactive Q&A to help them safeguard their legitimate rights and interests. the Company hired 30 employees through campus recruitment and 118 employees through social
recruitment.Social recruitment Campus recruitment Internal recruitment
This includes online recruitment This includes both online and offline
campus recruitment presentations job
platforms on-site job fairs and third- This includes internal job transfers and fairs school-enterprise cooperation and
party human resource services etc. cooperation with third-party campus promotions.recruitment companies etc.Lecture on Marriage Law
77 78ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
Employee Composition National statutory welfare Independent company welfare
Total number of employees:3449 Persons Insurance and housing fund Bonus Accommodation Health
Pay social insurance and Special or temporary Provide dormitories Annual physical examination
Financial personnel housing provident fund in bonuses and year-end of employees
Master's degree Administrative 103Persons accordance with the law bonuses
122Persons personnel
221Persons
Vacation Catering Entertainment Others
Production Statutory leaves such as
personnel Provide cafeteria Hold annual meetings Nurseries gyms employee
Bachelor's 899Persons annual leave sick leave gatherings performance events interest free housing loans etc.degree maternity leave etc. and lucky draws every year
Divided by
1663Persons educational Divided by Sales personnel
background specialty 1275Persons
Other Technical
personnel
1664Persons 951Persons
Performance assessment
The Company continuously optimizes its performance management system and incentive and restraint mechanisms formulates the "Employee
Performance Management System" adheres to the principles of "fairness openness and scientificity" and conducts monthly quarterly and annual
Compensation and performance appraisals. The Company sets up various performance assessment models including but not limited to behavior and attitude assessment
methods key performance indicators (KPIs) personal business commitments (PBCs) etc. and flexibly selects appropriate performance assessment
benefits management methods based on the actual business needs of each department to ensure the effectiveness and fairness of performance management. The results
of performance appraisals will be used as important references for employee salary adjustments promotions and other work applications.Monthly/Quarterly performance results affect monthly performance bonuses while quarterly/annual performance results affect daily floating rewards.Compensation system The Company attaches great importance to the two-way communication between performance appraisers and those being evaluated improves
the performance communication and feedback mechanism and provides regular performance interviews and feedback for employees. After each
The Company has established a scientific and reasonable compensation system formulated and implemented the "Compensation Management System" to performance appraisal cycle managers proactively communicate with employees about their performance to help them understand their work
standardize compensation management enhance the incentive balance and fairness of compensation and ensure scientific and reasonable compensation performance and provide improvement suggestions. If employees have objections to the performance appraisal results they can submit
distribution. The Company determines salary standards based on the principles of remuneration for work fairness and justice and mutual benefit between written appeals to their superior leaders. If no consensus is reached employees can submit the "Performance Appraisal Appeal Form" to the Human
labor and capital according to the corresponding job level of the position fully leveraging the incentive and guiding role of compensation. Resources Department within 3 working days after receiving the performance appraisal results. The Human Resources Department will conduct research
together with the employee's department within 5 working days after receiving the complaint.Fixed salary (basic salary) Floated salary (position salary)
Performance bonus special bonus year-end bonus year-end
Basic salary and Floated salary (position
performance bonus annual evaluation bonus and medium and Equity incentives and employee stock ownership plans
salary)position salary
long-term bonus
The Company continuously provides long-term incentives to employees fully mobilizing the enthusiasm and initiative of the core team thereby
contributing to the stable development and performance growth of the enterprise. On January 23 2025 the Company launched the "Restricted
Company Share Incentive Plan 2025 (Draft)" which was approved by the 16th meeting of the Third Board Meeting held on March 28 2025 with March 28 as
Subsidies and allowances Compensation Welfare the grant date. The Company granted 2121170 restricted shares to 353 incentive objects who met the grant conditions accounting for 1.081% of
Age allowance attendance bonus and others Structure Insurance and housing fund and others the Company's total share capital on the grant date.On January 23 2025 the Company launched the "Employee Stock Ownership Plan 2025 (Draft)". The shares for this employee stock ownership
plan originated from ZKTeco's A shares held in the Company's dedicated securities account for share repurchases. The 1113800
Welfare system company shares held in the Company's dedicated securities account for share repurchases were transferred by way of non-trading transfer on May 22 2025 to the "ZKTECO CO. LTD. - 2025 Employee Stock Ownership Plan" securities account. The participants in the initial distribution of this
To protect the rights and interests of employees enhance the cohesion of the Company and attract and retain outstanding talents the Company employee stock ownership plan totaled 358 individuals with a subscribed share of 14757850 units at a subscription price of RMB 1 per unit and
provides employees with generous benefits. During the reporting period the Company's social insurance coverage rate was 100%. an actual total subscription amount of RMB 14757850.
79 80ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
Strengthening democratic Employee care
management
Democratic management mechanism Protection of employees' physical and mental health
The Company firmly believes that a transparent and fair democratic management mechanism is the cornerstone for building harmonious labor The Company adheres to a people-oriented management philosophy and is committed to creating a warm and harmonious working atmosphere
relations safeguarding employees' legitimate rights and interests and stimulating organizational vitality. We have established and continuously for employees. Through organizing a variety of cultural and recreational activities it helps employees relieve work pressure. The Company attaches
improved a democratic management system centered on the employee congress and trade union ensuring employees have important rights to great importance to the construction of employee mental health and has launched an online course titled "Mental Health and Self-Psychological
information participation expression and supervision in corporate governance and development. Adjustment" to help employees deeply understand the significance of mental health master scientific stress management methods and cultivate a
positive attitude towards life.Diversified communication channels
The Company has established equal and democratic diversified communication channels ensuring that
employees can obtain timely and clear information in different scenarios through face-to-face meetings
emails internal social networks (such as Colleague Bar and ZKTeco World) etc. At the same time the
Company has established a complete employee feedback channel and it encourages employees to raise
questions and suggestions at any time through setting up employee suggestion boxes employee proposal
centers etc. To further enhance information transparency the Company has set up a company affair
disclosure column issuing announcements internal communications etc. to help employees better
understand the development and objectives of the enterprise.ZKTeco Family Day Third Anniversary of Listing Event
Employee suggestion box poster
Club Activities
Company affair disclosure column WeCom Workbench - Employee Proposal Center
Employee assistance
Labor dispute resolution The Company has strictly implemented the "Management Regulations for Corporate Care of Sick Employees". The Company provides care and
assistance to sick employees and their families visits sick employees with gifts and money and reimburses the travel expenses for cross city visits. In
order to help employees with major illnesses solve practical difficulties and reduce the burden of medical expenses on employees the Business
The Company's trade union organization assumes the function of labor dispute mediation and collaborates with local community service
Group Management Department provides assistance and consolation money based on the actual situation of employees. At the end of 2022 the
organizations to handle labor disputes. The management of labor disputes within the Company is the responsibility of the Human Resources Department
of each business group. They handle abnormal labor relations through employee interviews and event verification and issue disciplinary notices in Company launched an interest-free housing loan for employees to meet their housing needs and assist those with housing difficulties. The terms were
accordance with company regulations. If employees have objections they can file complaints with the Human Resources Center. If the issue cannot updated and revised in 2025 expanding the scope of borrowing to include car purchases and loans for serious illnesses. During the reporting period a
be resolved the trade union leader and community leader will intervene for mediation. Currently there are few labor disputes in the Company and total of 65 employees received interest-free loans with a total loan amount of RMB 17.36 million.employee satisfaction is high.
81 82ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
Employee training and development Construction of teaching team
The Company implements the "mentor system" and "internal lecturer system" management methods formulates the "ZKTeco's Mentor System
The Company adheres to the concept of "developing the enterprise with technological innovation and talents" and is committed to building a multi- Management Measures" and "Lecturer Management Regulations" clarifying the selection benefits and teaching management of mentors and
level and multi-dimensional career development channel to provide a broad stage for employees to display their talents. We uphold the values of internal lecturers and is committed to building a high-quality team of mentors and internal lecturers to promote the extraction and inheritance of
"responsibility integrity pragmatism and excellence" and in talent cultivation we focus on the dual improvement of moral character and professional knowledge and experience within the Company. As of the end of the reporting period the Company had a total of 195 lecturers including 35
ability. We also establish a performance-oriented incentive mechanism to achieve the harmonious development of personal growth and enterprise
special invited lecturers 11 senior lecturers 36 intermediate lecturers and 113 junior lecturers. In 2025 the Company added 20 certified lecturers
development.including 1 senior lecturer 5 intermediate lecturers and 14 junior lecturers.Employee training
management
Construction of training platform
The Company has formulated the "Training Management System" to standardize the training management. In terms of talent cultivation we
create a rich and diverse online and offline learning environment and training opportunities for the growth and progress of employees. We
strive to create a corporate culture atmosphere of mutual trust respect and help providing sustainable development space and opportunities The Company has established an online learning platform - Yunxuetang providing employees with a rich and diverse online learning
for each employee and encouraging employees to work together and grow together in the Company. environment. Through online management of course resources real-time teaching online examinations and result analysis it helps to build an
enterprise knowledge base and promote the standardization and professionalization of the Company's training management. Yunxuetang includes five
Training System for Employees of ZKTeco application sections: Training Center Online Classroom Testing Center Research Center and Teacher Management. The course content covers
multiple areas such as human resource management sales management financial management middle and senior management and workplace
Training System of ZKTECO CO. LTD. ZKTeco Global skills. In 2025 the platform added 270 courses on company operation norms project management product and technology knowledge etc.Curriculum system Specialized project Key Learning
Initiatives Diversified training
Training for middle and senior-level cadres Middle-level cadre Hi-Po Manager Program The Company offers systematic training for employees in areas such as technical improvement and management innovation including induction training class
Cadre training professional training product training full-time training external training job rotation cross-professional practice academic advancement
training
Basic-level cadre and experience sharing.Middle-level cadre training training class Solution Sell Training
Professional competence enhancement training for Solution sales training New employee training
positions camp Overseas Sales Camp
Project management
Vocational Marketing Technical Managemen Professional Operational training camp
category (S) category (T) t category category (P) category CTO Program Case
training "Red Heart Class" trainingtraining training (M) training training (O) training In-house trainer
training camp 案 例
The Company organized and conducted "Red Heart Class"
General skills training for employees with 1-3 years Quality management Marco Polo Program
of service training camp new employee onboarding training to help participants
gradually become familiar with and adapt to the
OJT training for probationary position The "Red Heart Local Staff On-boarding organizational environment quickly adapt to their job New
employee Class" of new roles identify with and integrate into the company's
training recruits in campus
recruitment Foreign Language Center corporate culture clarify their work objectives and job Company-level onboarding training
responsibilities and cultivate talent needed for the
Company's development.Online learning platforms internal knowledge sharing platforms and online live streaming/conferencing platforms
"Red Heart Class" Training
A training course system based on job qualifications
83 84ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
Professional skills training
ZKTeco Smart Alliances Business Elite Boot Camp Case案例
AI hands-on training Case The Company held a 6-day ZKTeco Smart Alliances
案 例 Business Elite Boot Camp meticulously planning and
The Company organized and conducted AI hands-
launching 12 categories and a total of 31 sub-courses
on training with a total of 35 participants. The
attracting 19 Smart Alliances business elites to
course content covers fundamental theories of AI
participate. The boot camp was structured around a three-
industry application cases hands-on project
dimensional empowerment matrix of "Strategy Cognition -
operations etc. helping participants master
Tactical System - Readiness Resources" leveraging high-
practical AI skills and facilitate the Company's
intensity practical courses and drills to deeply empower
innovative development.partners.ZKTeco Smart Alliances Business Elite Boot Camp
AI Hands-on Training
Training evaluation and assessment
"Quality Green Belt" training Case案例
The Company organized "Quality Green Belt" The Company uses the Kirkpatrick model to comprehensively evaluate training results and provides feedback to the supervisory
training with a total of 164 participants. The course department as a basis for developing and revising training plans. Specifically response evaluation provides feedback on the
training results of trainees through survey questionnaires or interviews. Learning evaluation involves the knowledge and
content covered core concepts of quality
skills mastery of trainees through exams speeches and other methods. Behavioral and result level evaluation involves the
management common tools and more helping achievement of training objectives through tracking surveys and face-to-face interviews between training leaders and trainees.trainees build a systematic knowledge framework
improve the quality management level of all
employees and enhance their overall quality
literacy. Indicators Unit 2025
Employee training investment RMB '0000 18.86
"Quality Green Belt" Training
Employee training sessions Session 1248
Total number of trainees Person-time 31457
Professional skills training
ZKTeco's "Iron Triangle" training Case Employee
案 例 development channels
To build a high-caliber project engineering backbone
team the Company organized a five-day "Iron
Triangle" project engineering talent training with a
total of 17 participants. This training aims to Career development path
comprehensively enhance project engineering
delivery capabilities and further strengthen The Company formulates the career development path and promotion channels for employees based on actual conditions
collaborative capabilities and team cohesion across providing diversified career development directions and opportunities to maximize the vitality and potential of employees.sales product R&D and other departments. The Company divides employees into five categories namely management marketing technical professional and operational
categories. Except for the management category employees in other categories are evenly divided into six levels and are
ZKTeco's "Iron Triangle" Training promoted step by step based on work experience and performance. The career development path is clear.
85 86ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
ZKTeco's Position Pattern
Management Executive Operational Management decision-
category (M) management (M3) management (M4) makers (M5)
Rank New entrants Assistants Junior Intermediate High Senior Experts
Marketing
category (S) S0 S1 S2 S3 S4 S5 S6
Technical
category (T) T0 T1 T2 T3 T4 T5 T6
Colombia - Partnering with the Environmental Colombia - Assisting with product packaging at the Bogotáá
Professional P0 P1 P2 P3 P4 P5 P6 Protection Foundation to plant trees Food Bankcategory (P)
Operational
category (O) O0 O1 O2 O3 O4 O5 O6
Internal job transfer mechanism
The Company has established a complete internal job transfer mechanism mainly comprising two types: internal transfer within the business group
and cross-business group transfer. For internal job transfer the department with talent demand should first initiate the internal recruitment request.The Human Resources Center will then recommend resumes and select the transferred employees through interviews. After the transferred
employees pass the assessment in the probation period the internal job transfer will be completed achieving the optimal allocation and reasonable
flow of talent resources. Indonesia - Partnering with the Indonesian Red Cross to Colombia - Partnering with local associations to organize active
organize active employee participation in blood donation employee participation in blood donation
During the reporting period Public welfare
donations
the Company experienced a total of 2251 transfer incidents including 2082 transfers
within the business group and 169 transfers across business groups. The Company actively carries out various charitable donation activities focusing on areas such as education support livelihood assistance and social
care. By donating essential supplies and funds we contribute to educational equity and improve people's well-being. We are committed to delivering
warmth and hope through sincere commitment and sustainable charitable actions contributing solid strength to building a more harmonious and
beautiful society.Public welfare and charity Educational Donations
Volunteer
activities
The Company adheres to the spirit of voluntary service of "dedication friendship mutual assistance and progress" deeply embedding
social responsibility into its corporate culture. It actively encourages employees from all over the country to participate in volunteer
activities and contribute love and warmth to society. Over the years the Company has proactively fulfilled its social
responsibilities and actively carried out various volunteer activities such as environmental protection and blood donation drives and
other vulnerable groups spreading the Company's care to every corner of the world.Thailand - Donating funds to a Thailand - Donating funds to an autism school.Children's Fund.
87 88ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Joining Forces and Advancing Together to Build a Better Society
Daily Necessities Donations Social Donations
South Africa - Donating essential South Africa - Donating supplies
supplies to a charity organization. to an autism school. South Africa - Donating supplies to
Colombia - Donating Supplies to Rescue Stray
animal rescue centers Animals in Collaboration with the Charity
Organization "Tapitas x Patitas"
South Africa - Providing essential supplies to South Africa - Providing essential
children in shelters. supplies to the homeless.Mexico - Recycling plastic waste with all proceeds fully donated to children's medical institutions
Charitable
donations
The Company is enthusiastic about public welfare and actively participates in charitable activities conducting charitable donations to support
community development and rural revitalization. In 2025 Guangdong Zkteco has donated RMB 10000 to the Jinhe Community Residents'
Committee in Zhangmutou Town Dongguan City during the 20th Spring Festival Gathering for the God of Longevity in Jinhe Community; in 2025
it donated RMB 5000 to the Jinhe Zhupai Shareholding Economic Cooperative in Zhangmutou Town Dongguan City during the Spring
Festival Gathering for the God of Longevity in Zhupai Village Jinhe Community RMB 5000 to the Jinhe Shareholding Economic Joint
Colombia - Distributing aid vouchers to Philippines - Donating supplies to Cooperative in Zhangmutou Town Dongguan City during the "6.30" Rural Revitalization Support and Dongguan Charity Day event and RMB
single mothers and caregivers children's homes 10000 to the Zhangmutou Charity Foundation in Dongguan City. ZKTeco has donated RMB 3000 to the Tangxia Chamber of Commerce in
Dongguan City during the "6.30" Rural Revitalization Support and Dongguan Charity Day event.
89 90ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Appendix
Appendix China Enterprise Sustainable Shenzhen Stock Exchange Guideline No. Report Chapters GRI Standards Development Report 17 on Self Regulation of Listed Companies
Guidelines (CASS-ESG 6.0) - Sustainable Development Report (Trial)
Index
Responding E1.1.1/E1.1.2/E1.1.3/E1.1.4/
to climate Article 11/Article 20/Article 21/201-2 E1 .1.5/E1.1.6/E1.1.16/E1.1.19
change Article 22/Article 23/Article 27/Article 28
China Enterprise Sustainable Shenzhen Stock Exchange Guideline No.Report Chapters GRI Standards Low-Carbon Development Report 17 on Self Regulation of Listed Companies Transition
Guidelines (CASS-ESG 6.0) - Sustainable Development Report (Trial) Leading Green
Developmenat
303-4/306-1/306-2/306 E2.1.1/E2.1.2/E2.1.3/E2.1.6/E2.2.1/E2.2.3/E2.2.5/E2.2.6 /E2.4.1/E2.4.2/ Article 29/Article 30/Article
About the Report 2-2/2-3 P1.1/P1.2 Article 4/Article 6 Environmental -3/306-5management E2.4.3/E2.4. 4 31/Article 33
Address by General / P2.1 /
Manager
Resource 302-4 E3.1.5/E3.2.3/E3.2.4/E3.3.1 / Article 34/Article 35 /Article 36/
Company 2-1 P3.1 / management E3.3.2/E3.3.4 Article 37Profile
Business
Introduction / P3.3 / Innovation S2.1.1/S2.1.2/S2.1.3/S2.1.4/S 2.1.5//
-driven S2.1.6/S2.1.7/S2.1.8/S2. 1.10/S2.1.11/
Article 11/Article 42/
About Corporate S2.1.12/S2.1.13
Article 43
ZKTeco Culture P3.2 /
Empowering Supply
Collaboration Chain Manage 2-6/308-1/308-2/414-4-1/41 Article 45/Article 45 /Honors and / S3.1.1/S3.1.2/S3.1.3/S3.1.4/S3.2.1/ / to Co-create a ment 4-21/414-2 Article 46
Thriving
Ecosystem
Performance
Highlights 201-1 A2 / Product S3.3.1/S3.3.2/S3.3.4/S3.3.5 /
for 2025 and service 416-1
safety and S3.3.6 Article 11/Article 47
quality
SDGs and / / /
Vision
Data security
Sustainable and privacy 418-1 S3.4.1/S3.4.2/S3.4.3/S3.4.4 Article 11/Article 48
Development protection
Management Sustainable
development 2-14 G1.1.8/G1.2.4 Article 12
governance
system Occupational 403-1/403-2/403-3/
health and 403-4/403-5/403-6 /403 S4.2.1/S4.2.2/S4.2.3/S4.2.4/
safety -7/403-8/403-9/403-10 S4.2.5/S4.2.6 Article 49/Article 50
Stakeholder 2-16/2-29 G1.3.2 Article 9/Article 53
Communication Joining Forc
es and Protecting the
Advancing legitimate S4.1.1/S4.1.2/S4.1.3/S4.1.4/rights and 2- 7/201-3/401-2/40 Together to S4.1.5/S4.1.6/S4.1.8/S4.1.10/Importance interests of 5-1/406-1/408-1/40 9-1
Article 49/Article 50
Build a S4.1.11/S4.1.12Issue 3-1/3-2/3-3 G1.1.9 Article 5 employees
Management Better
Society
Employee S4.3.1/S4.3.2/S4.3.3/S4.3.4 /
training and 404-2 Article 49/Article 50
Standardize S4.3.5
corporate 2-9/2-10/2-11/2-12 /2-13/2-
development
/ Article 51
governance. 18 /2-19/2-20 /2-27/207-2
Standardizing
Governance to Public welfare
Build a Solid Protecting and charity
/ S1.1.3/S1.2.1 Article 38/Article 39/Article 40
Foundation for
Development Rights and 2-16 / Article 53Interests of
Investors
Index / A3 Article 57
Appendix
Commercial G2.1.1/G2.1.2/G2.1.3/G 2.1.4/ Article 54/Article 55/Article 56
conduct 2-25/2-27/205-2/206-1/417-1 G2.1.7/G2.2.1/G2. 2.2/G2.2.3 Feedback / A6 /
91 92ZKTECO CO. LTD. 2025 SUSTAINABILITY REPORT Appendix
Feedback For ZKTeco your identity is:
□ Shareholders and investors □ Employees □ Government and regulatory agencies □ Customers
Partners □ Employees Industry associations and organizations □ Community public and media
□ Others__________(please specify)
Thank you for taking the time to read the "ZKTECO CO. LTD. 2025 SUSTAINABILTY REPORT". We attach
great importance to and look forward to hearing your valuable opinions and suggestions on the Company's 1. Your overall evaluation of the 2025 SUSTAINABILITY REPORT:
sustainable development work and sustainable development management. Your opinions and suggestions are an
important basis for us to continue improving sustainable development work and enhancing sustainable □ Very good □ Good □ General □ Poor □ Very poor
development management. We sincerely invite you to assist us in completing the relevant issues in the reader's
feedback and provide feedback to us through the following methods. Thank you again for your strong support of 2. Do you think the information disclosed in this report is accurate clear and complete
our sustainable development work!
□ Very good □ Good □ General □ Poor □ Very poor
3. Do you think this report is readable
Phone: 0769-82618868
□ Very good □ Good □ General □ Poor □ Very poor
Fax: 0769-82618848 4. Do you think this report can comprehensively reflect the significant impact of the Company on the
economy society and environment
□ Very good □ Good □ General □ Poor □ Very poor
Email: ir@zkteco.com
5. What is your evaluation of the logical thinking structural arrangement and layout design of
this report
Address: No. 32 Pingshan Industrial Road Tangxia Town Dongguan Guangdong China □ Very good □ Good □ General □ Poor □ Very poor
6. What topics in the 2025 SUSTAINABILITY REPORT have attracted your most attention
___________________________________________________________________________________
7. What other information would you like to obtain from the report
___________________________________________________________________________________
8. What is your opinion on our SUSTAINABILITY REPORT or sustainable development
management
___________________________________________________________________________________
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