Guangdong Haida Group Co., Ltd. 2025 Internal Control Self-Evaluation Report
To All Shareholders of Guangdong Haida Group Co., Ltd.:
In accordance with the "Basic Norms for Enterprise Internal Control" and its supporting guidelines, as well as other internal control regulatory requirements (hereinafter referred to as the "Enterprise Internal Control Norms System"), and combined with Guangdong Haida Group Co., Ltd.'s (hereinafter referred to as the "Company") internal control system and evaluation methods, based on daily supervision and special supervision of internal controls, we have evaluated the effectiveness of the Company's internal controls as of December 31, 2025 (the "Internal Control Self-Evaluation Report Base Date").
I. Important Statement
In accordance with the requirements of the Enterprise Internal Control Norms System, establishing and effectively implementing internal controls, evaluating their effectiveness, and truthfully disclosing the internal control self-evaluation report are the responsibilities of the Company's Board of Directors. The management is responsible for organizing and leading the daily operations of the Company's internal controls. The Company's Board of Directors, its directors, and senior management guarantee that this report contains no false records, misleading statements, or significant omissions, and they bear individual and joint legal responsibility for the truthfulness, accuracy, and completeness of the report's content.
The objective of the Company's internal control is to reasonably ensure that business operations are legal and compliant, assets are safe, financial reports and related information are true and complete, operating efficiency and effectiveness are improved, and development strategies are achieved. Due to the inherent limitations of internal control, it can only provide reasonable assurance for achieving these objectives. Furthermore, changes in circumstances may render internal controls inappropriate, or reduce the degree of compliance with control policies and procedures. Therefore, there is a certain risk in inferring the future effectiveness of internal controls based on the results of the internal control evaluation.
II. Internal Control Evaluation Conclusion
Based on the identification of material weaknesses in the Company's financial reporting internal controls, as of the Internal Control Self-Evaluation Report Base Date, there are no material weaknesses in financial reporting internal controls. The Board of Directors believes that the Company has maintained effective financial reporting internal controls in all material aspects in accordance with the requirements of the Enterprise Internal Control Norms System and relevant regulations.
Based on the identification of material weaknesses in the Company's non-financial reporting internal controls, as of the Internal Control Self-Evaluation Report Base Date, the Company has not found any material weaknesses in non-financial reporting internal controls.
No factors have occurred between the Internal Control Self-Evaluation Report Base Date and the date of issuance of this Internal Control Self-Evaluation Report that affect the conclusion on the effectiveness of internal control evaluation.
III. Scope of Internal Control Evaluation
The Company determines the main entities, businesses, and matters included in the evaluation scope, as well as high-risk areas, based on a risk-oriented approach.