Securities Code: 002009 Securities Abbreviation: Tianqi Co. Announcement No.: 2026-034
Tianqi Automation Engineering Co., Ltd. Announcement on Carrying Out Foreign Exchange Hedging Business for 2026
The Company and the Board of Directors guarantee the authenticity, accuracy, and completeness of the information disclosed, and that there are no false records, misleading statements, or major omissions.
Key Information Highlights:
- Tianqi Automation Engineering Co., Ltd. (hereinafter referred to as "Tianqi Co." or "the Company") is experiencing rapid growth in its overseas business, leading to increased demand for foreign currency settlement. To mitigate the impact of exchange rate fluctuations on the Company's operations and actively respond to market uncertainties, based on a comprehensive consideration of the Company's operating conditions and foreign currency settlement needs, the Company and its subsidiaries plan to conduct foreign exchange hedging business with banks and other financial institutions using their own funds. The transaction limit will be a maximum contract value of USD 30 million or its equivalent in other foreign currencies at any given time. This limit will be valid for 12 months from the date of approval by the Board of Directors and will be used on a revolving basis.
- On April 24, 2026, the Company held its 14th meeting of the 9th Board of Directors, which approved the "Proposal on Carrying Out Foreign Exchange Hedging Business for 2026." This matter does not constitute a related party transaction and does not require submission to the Company's shareholders' meeting for approval.
- Risk Warning: The foreign exchange hedging business carried out by the Company and its subsidiaries is based on normal production and operation, with a prudent principle, aiming to reduce or hedge exchange rate risks and minimize exchange losses. It is not speculative trading and is beneficial to the liquidity and security of the Company's funds. The foreign exchange hedging business may involve risks such as exchange rate fluctuation risk, liquidity risk, performance risk, customer default risk, and operational risk. The Company will actively implement control systems and risk prevention measures, and prudently carry out foreign exchange hedging business. Investors are reminded to pay close attention to investment risks.
I. Purpose of Carrying Out Foreign Exchange Hedging Business In recent years, the Company's overseas business scale has continuously expanded, and the scale of foreign currency settlement has increased. To effectively hedge against risks in the foreign exchange market, prevent adverse impacts from significant exchange rate fluctuations, and improve the efficiency of foreign currency fund utilization and reasonably reduce financial expenses, the Company and its subsidiaries included in the consolidated financial statements plan to conduct foreign exchange hedging business with banks and other financial institutions to reduce the impact of exchange rate fluctuations on the Company's performance and enhance the Company's financial stability. This business will not affect the development of the Company's main business.