Suzhou Victory Precision Manufacturing Technology Co., Ltd. 2025 Annual Internal Control Self-Evaluation Report
To all shareholders of Suzhou Victory Precision Manufacturing Technology Co., Ltd.:
In accordance with the requirements of the Company Law, Securities Law, Basic Norms for Enterprise Internal Control, Corporate Governance Guidelines, Shenzhen Stock Exchange Stock Listing Rules, and Shenzhen Stock Exchange Self-Regulatory Guidelines No. 1 - Main Board Listed Company Standardized Operation, and other relevant laws, regulations, and rules, based on daily supervision and special supervision of internal control, the Board of Directors of Suzhou Victory Precision Manufacturing Technology Co., Ltd. (hereinafter referred to as the "Company") has evaluated the effectiveness of the Company's internal control as of December 31, 2025 (the reporting date of the internal control evaluation report). The specific content is as follows:
I. Important Statement
The Board of Directors and all directors guarantee that the content of this report is true, accurate, and complete, and contains no false records, misleading statements, or major omissions.
The Board of Directors is responsible for establishing, improving, and effectively implementing internal control. The management is responsible for organizing and leading the daily operation of internal control. The objectives of the Company's internal control are: to reasonably ensure that operations are legal and compliant, assets are safe, financial reports and related information are true and complete, to improve operational efficiency and effectiveness, and to promote the achievement of development strategies.
II. Conclusion of Internal Control Evaluation
Based on the identification of major defects in the Company's financial reporting internal control, as of the reporting date of the internal control evaluation report, there are no major defects in financial reporting internal control. The Board of Directors believes that the Company has maintained effective financial reporting internal control in all material aspects in accordance with the requirements of the enterprise internal control standard system and relevant regulations.
Based on the identification of major defects in the Company's non-financial reporting internal control, as of the reporting date of the internal control evaluation report, no major defects in non-financial reporting internal control were found.
No factors have occurred between the reporting date of the internal control evaluation report and the date of issuance of the internal control evaluation report that affect the conclusion of the internal control effectiveness evaluation.
III. Internal Control Evaluation Work
(I) Scope of Internal Control Evaluation
The scope of this internal control evaluation covers all business operations and matters of the Company and its holding subsidiaries, focusing on major business matters and high-risk areas.
The businesses and matters included in the evaluation scope are:
- Organizational Structure
The Company has established 13 functional departments, including R&D Center, Business Department, Manufacturing Center, Logistics Department, Procurement Department, Information Technology Department, Quality Department, Securities Department, Human Resources Administration Department, Finance Department, Public Relations Department, Legal Department, and Audit Department. The Company has wholly-owned subsidiaries: Anhui Victory Precision Manufacturing Technology Co., Ltd., Victory Precision Technology (Poland) Co., Ltd., Victory Technology (Hong Kong) Co., Ltd., Suzhou Victory Gaorui Intelligent Automotive Manufacturing Co., Ltd., Suzhou Zhicheng Optical Technology Co., Ltd., Anhui Feiluo New Material Technology Co., Ltd., and Suzhou Zhongcheng Precision Manufacturing Co., Ltd. It has a holding subsidiary, Suzhou Victory Optical Glass Co., Ltd. The Company's various functional departments and branches operate in a standardized manner under the leadership of the Company's management, in accordance with the management system formulated by the Company. The Company has formed an effective operating model that is adapted to the actual situation, with a clear division of labor and a sound and clear organizational structure, ensuring the orderly progress of the Company's production and operation activities.
- Development Strategy