002399SZSE

Impairment Test Report for Goodwill

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This report details the goodwill impairment test for Shenzhen Hyprey Pharmaceutical Group Co., Ltd. for the year 2025. The tests were conducted by KPMG LLP. Both the Raw Materials and CDMO asset groups showed no impairment, as their recoverable amounts exceeded their carrying amounts. No goodwill impairment loss was recognized for the year.

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Securities Code: 002399 Securities Abbreviation: Hyprey Shenzhen Hyprey Pharmaceutical Group Co., Ltd. 2025 Annual Goodwill Impairment Test Report

I. Whether to conduct an impairment test ☑ Yes

II. Whether an independent financial report was obtained in the impairment test ☑ Yes

Asset Group NameAppraisal InstitutionAppraiserAppraisal Report NumberValuation TypeAppraisal Result
Raw Materials Asset GroupKPMG LLPRecoverable AmountAs of the valuation date (December 31, 2025), the carrying amount of the Raw Materials asset group, excluding goodwill, was RMB 1.825 billion. The carrying amount of goodwill was RMB 1.491 billion, totaling RMB 3.316 billion for the asset group including goodwill. The recoverable amount was determined as the higher of the present value of future cash flows and the fair value less costs to sell. The recoverable amount for this asset group was assessed at RMB 4.174 billion. Since the recoverable amount exceeds the carrying amount of the asset group including goodwill, no impairment of goodwill is recognized.
CDMO Asset GroupKPMG LLPRecoverable AmountAs of the valuation date (December 31, 2025), the carrying amount of the CDMO asset group, excluding goodwill, was RMB 0.764 billion. The carrying amount of goodwill was RMB 0.814 billion, totaling RMB 1.578 billion for the asset group including goodwill. The recoverable amount was determined as the higher of the present value of future cash flows and the fair value less costs to sell. The recoverable amount for this asset group was assessed at RMB 2.007 billion. Since the recoverable amount exceeds the carrying amount of the asset group including goodwill, no impairment of goodwill is recognized.

III. Indications of impairment

Asset Group NameIndications of ImpairmentRemarksWhether Impairment Loss Was RecognizedRemarksImpairment Basis
Raw Materials Asset GroupNo indications of impairmentNoNot applicable for non-impairment
CDMO Asset GroupNo indications of impairmentNoNot applicable for non-impairment

IV. Goodwill Allocation

Unit: RMB

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