Securities Code: 002438 Securities Abbreviation: Jiangsu Shentong Announcement No.: 2026-007 Jiangsu Shentong Valve Co., Ltd. Announcement on Seeking Shareholder Authorization for the Board of Directors to Formulate the 2026 Interim Profit Distribution Plan The Company and all members of the Board of Directors guarantee the truthfulness, accuracy, and completeness of the information disclosed, and that there are no false records, misleading statements, or material omissions. Jiangsu Shentong Valve Co., Ltd. (hereinafter referred to as "Jiangsu Shentong" or the "Company"), in accordance with the "Supervision Guidelines for Listed Companies No. 3 - Cash Dividends of Listed Companies" issued by the China Securities Regulatory Commission, the "Self-Regulatory Guidelines for Main Board Listed Companies No. 1 - Standardized Operation of Main Board Listed Companies" issued by the Shenzhen Stock Exchange, and the "Shareholder Return Plan for the Next Three Years (2024-2026)" of the Company, and in order to further increase the frequency of dividends and improve investor returns, combined with the Company's actual situation, the Board of Directors hereby proposes to the Shareholders' Meeting to authorize the Board of Directors to formulate and implement the 2026 interim profit distribution plan. The specific arrangements are as follows: I. 2026 Interim Profit Distribution Arrangements (I) Conditions for Interim Dividends If the Company distributes interim dividends in 2026, the following conditions must be met simultaneously:
- The net profit attributable to shareholders of the listed company in the current period is positive, and the accumulated undistributed profits are positive;
- The Company's cash flow can meet the capital needs of normal operations and sustainable development;
- Compliance with laws and regulations such as the "Supervision Guidelines for Listed Companies No. 3 - Cash Dividends of Listed Companies" and the "Articles of Association" of the Company. (II) Upper Limit of Interim Dividend Amount The interim dividend amount for 2026 shall not exceed the net profit attributable to shareholders of the listed company in the current period. (III) Authorization for Interim Dividends To simplify the interim dividend process, the Company's Board of Directors hereby proposes to the Shareholders' Meeting to approve the authorization, under the premise of simultaneously meeting the above dividend conditions and the upper limit of the amount, to formulate and implement the 2026 interim profit distribution plan. The authorization period shall be from the date of deliberation and approval by the 2025 Annual Shareholders' Meeting until the completion of the aforementioned authorized matters. II. Relevant Approval Procedures On April 11, 2026, the Fourth Meeting of the Seventh Board of Directors of the Company deliberated and approved the "Proposal on Seeking Shareholder Authorization for the Board of Directors to Formulate the 2026 Interim Profit Distribution Plan," and agreed to submit this proposal to the 2025 Annual Shareholders' Meeting for deliberation. III. Risk Warning
- This proposal to seek authorization from the Shareholders' Meeting for the Board of Directors to decide on the 2026 interim profit distribution plan is subject to deliberation and approval by the Company's 2025 Annual Shareholders' Meeting before it can be implemented, which carries uncertainty. Investors are advised to invest rationally and be aware of investment risks.
- Any forward-looking statements and expectations regarding the 2026 interim profit distribution plan are arrangements made by the Company based on the current situation. These statements and expectations do not constitute any commitment from the Company to investors. Investors are advised to be aware of investment risks. IV. Documents for Reference
- "Resolution of the Fourth Meeting of the Seventh Board of Directors of Jiangsu Shentong Valve Co., Ltd."; Hereby announced. Board of Directors of Jiangsu Shentong Valve Co., Ltd. April 14, 2026