Reply to the Audit Inquiry Letter Regarding the Application for Issuance of Shares to Specific Targets by Yibin Tianyuan Group Co., Ltd. (Revised Version)
Sichuan Huaxin (Group) CPA (LLP)
Address: 28th Floor, South Tower, Jinmao Lidu, No. 18 Ximianqiao Street, Chengdu
Tel: (028) 85560449
Fax: (028) 85560449
Postal Code: 610041
Email: schxzhb@hxcpa.com.cn
To: Shenzhen Stock Exchange
Yibin Tianyuan Group Co., Ltd. (hereinafter referred to as the "Company," "Issuer," or "Tianyuan Shares") received the "Audit Inquiry Letter Regarding the Application for Issuance of Shares to Specific Targets by Yibin Tianyuan Group Co., Ltd." (Audit Letter [2026] No. 120029) (hereinafter referred to as the "Audit Inquiry Letter") issued by your exchange on May 12, 2026. As the accountant for Tianyuan Shares, this firm has carefully studied and implemented the financial issues raised in the Audit Inquiry Letter and has replied to the matters involved in accordance with the requirements of the Audit Inquiry Letter. We hereby submit this to your exchange for review. Unless the context otherwise requires, the abbreviations used in this reply have the same meanings as those in the "Prospectus for the 2026 Issuance of Shares to Specific Targets by Yibin Tianyuan Group Co., Ltd." (hereinafter referred to as the "Prospectus").
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Inquiry 1
During the reporting period, the Company's operating income was 18.367 billion yuan, 13.367 billion yuan, and 11.299 billion yuan, respectively; the net profit attributable to the parent company was 39.9647 million yuan, -459.5655 million yuan, and 87.7825 million yuan, respectively; and the net profit after deducting non-recurring gains and losses attributable to the parent company was -232.7435 million yuan, -428.7699 million yuan, and -95.929 million yuan, respectively. At the end of each period of the reporting period, the book value of the Company's accounts receivable was 221.7029 million yuan, 754.4006 million yuan, and 1.0573036 billion yuan, respectively; inventory was 1.056154 billion yuan, 1.2483053 billion yuan, and 1.4189559 billion yuan, respectively; the book value of the Company's construction in progress was 3.2931088 billion yuan, 3.6841184 billion yuan, and 2.4389019 billion yuan, respectively, mainly including the Yi'an Coal Mine project, the 50kt/year large-scale carbon electrode project, the Xujiayuan Coal Mine project, and the Tiancheng Lithium Battery 100,000-ton lithium iron phosphate cathode material project, etc.
During the reporting period, the Company's top five customers and suppliers involved related parties. In addition, the Company had related-party transactions with its controlling shareholder, Yibin Development, and enterprises controlled by it; and had related-party transactions with associates. The Company had situations where it both purchased goods from and sold goods to related parties.