Internal Control Audit Report
Suzhou Hengguang Technology Co., Ltd. is a wholly-owned subsidiary:
According to the "Enterprise Internal Control Audit Guidelines" and the relevant requirements of the Chinese Registered Accountants, we audited Suzhou Hengguang Technology Co., Ltd. (hereinafter referred to as Hengguang Technology) for the effectiveness of its internal control as of December 31, 2025.
1. Responsibilities of the Enterprise for Internal Control
According to the "Basic Norms for Enterprise Internal Control," "Guidelines for the Application of Enterprise Internal Control," and "Regulations on Enterprise Internal Control," establish and implement effective internal controls, and clarify that effective internal controls are the responsibility of the enterprise.
2. Limitations of Internal Control
Internal control has inherent limitations, which cannot prevent or detect all errors and fraud. Additionally, changes in the environment may lead to ineffective internal controls or misapplication of policies and procedures. Based on the internal control audit results, the effectiveness of internal controls has certain risks.
3. Matters Not Requiring Legal Opinions
Forecast of Suzhou Hengguang Technology Co., Ltd.'s 20 million yuan core purchasing matters
In 2025, Hengguang Technology Co., Ltd. plans to engage in core purchasing with Suzhou Hengde Technology Co., Ltd. (hereinafter referred to as Hengde Technology) for a total of 20 million yuan. The company intends to sign a procurement agreement, and the procurement should return 20 million yuan before December 31, 2025.