Securities Code: 002431 Securities Abbreviation: Palm Co. Announcement No.: 2026-049
Palm Ecological Urban Development Co., Ltd. Announcement on Changes to Accounting Policies
The Company and all members of the Board of Directors guarantee the truthfulness, accuracy, and completeness of the information disclosed, and are free from false records, misleading statements, or significant omissions.
Palm Ecological Urban Development Co., Ltd. (hereinafter referred to as the "Company") held the sixth meeting of the seventh Board of Directors on April 23, 2026, and reviewed and approved the "Proposal on Changes to Accounting Policies," the details of which are as follows:
I. Overview of the Changes to Accounting Policies
(I) Reason and Time of Change in Accounting Policies
On December 5, 2025, the Ministry of Finance of the People's Republic of China (hereinafter referred to as the "Ministry of Finance") issued "Enterprise Accounting Standards Interpretation No. 19" (Cai Kuai [2025] No. 32) (hereinafter referred to as "Interpretation No. 19"). It stipulates that the accounting treatment of compensatory assets in business combinations under common control, the accounting treatment of capital reserves related to the disposal of subsidiaries acquired through business combinations under common control, the derecognition of financial liabilities settled by electronic payment systems, the assessment of cash flow characteristics of financial assets and related disclosures, and the disclosure of equity instruments designated at fair value through other comprehensive income will be implemented from January 1, 2026.