Report on the Performance of Supervisory Responsibilities by the Audit and Risk Control Committee for the Annual Auditor in 2023
According to the "Self-Regulatory Guidelines for Listed Companies No. 1 - Standard Operations for Main Board Listed Companies" and the "Notice on the Disclosure of Annual Reports for Main Board Listed Companies in 2023," the Audit and Risk Control Committee of the Board of Directors presents the following report on the performance of supervisory responsibilities by the annual auditor for 2023:
I. Basic Information of the Audit Firm for 2023
(1) Basic Information of the Audit Firm
- Firm Name: Hexin Certified Public Accountants (Special General Partnership) (hereinafter referred to as "Hexin CPA").
- Establishment Date: Established in December 1987 (converted to special general partnership on April 23, 2013).
- Organizational Form: Special General Partnership.
- Registered Address: 7th Floor, Salt Industry Building, No. 59 Cultural East Road, Jinan City.
- Chief Partner: Wang Hui.
- As of the end of 2023, Hexin CPA had 41 partners and 241 registered accountants, of which 141 had signed audit reports for securities services.
- The total audited revenue of Hexin CPA for 2023 was 31.828 million yuan, including audit service revenue of 22.770 million yuan and securities service revenue of 12.683 million yuan.
- In the previous year, Hexin CPA audited 54 listed company clients across various industries, including manufacturing, agriculture, information technology services, and finance, with total audit fees of 7.656 million yuan. Hexin CPA audited one listed company client in the same industry as our company.
(2) Investor Protection Capability
Hexin CPA has a cumulative compensation limit of 100 million yuan for professional liability insurance, which complies with relevant regulations. There have been no civil liabilities arising from professional conduct in the past three years.