Announcement on Progress of Patent Licensing Agreement

Stock Code: 000017, 200017 Stock Abbreviation: SZ Zhonghua A, SZ Zhonghua B Announcement Number: 2026-004 Shenzhen Zhonghua Bicycle (Group) Co., Ltd. Announcement on Progress of Patent Licensing Agreement The Company and the Board of Directors guarantee the authenticity, accuracy, and completeness of the announcement, and that there are no false records, misleading statements, or material omissions. On December 30, 2024, Shenzhen Xinsen Precision Manufacturing Co., Ltd. (hereinafter referred to as "Xinsen Precision"), a wholly-owned subsidiary of Shenzhen Zhonghua Bicycle (Group) Co., Ltd. (hereinafter referred to as "the Company"), signed a "Patent Licensing Agreement" with Shenzhen Zhou Liu Fu Investment Co., Ltd. (hereinafter referred to as "Shenzhen Zhou Liu Fu"). Xinsen Precision granted Shenzhen Zhou Liu Fu the exclusive right to sell and sublicense its granted utility model patents (Certificate Numbers: 17165569, 17645124, 18632060, 19511377, 20788110, 21771571, 21772343) as a non-exclusive product sales right from October 23, 2024, to May 30, 2025, for a fee. The licensed sales region is mainland China, and the licensed sales field is the sale of gold ring products. The license period is from the effective date of the agreement until May 30, 2025, with a license fee of RMB 5 million. For specific details, please refer to the "Announcement on Signing the Patent Licensing Agreement" disclosed on the Juchao Information Network on January 2, 2025 (Announcement Number: 2024-035). After the signing of the agreement, Xinsen Precision and Shenzhen Zhou Liu Fu actively invested human, material, and financial resources in market promotion, commercial promotion, product design and development, and other related work for the aforementioned utility model patents and related innovative technologies. Due to the insufficient production and supply capacity of the patentee's factory, and as of the end of 2025, Xinsen Precision and the patentee have not reached a new extension cooperation agreement, making it impossible to accept new orders. After equal negotiation between both parties, the subsequent procurement orders for related patented products were canceled, and Xinsen Precision will refund RMB 4.5 million in licensing fees to Shenzhen Zhou Liu Fu. On April 14, 2026, the Company held the twenty-third (extraordinary) meeting of the eleventh Board of Directors, which deliberated and approved the "Proposal on Signing the Agreement for the Return of Part of the Patent Licensing Fee with Zhou Liu Fu." Hereby announced. Shenzhen Zhonghua Bicycle (Group) Co., Ltd. Board of Directors April 15, 2025