2025 Annual Audit Report

Audit Opinion

We have audited the financial statements of Guangdong Lingxi Industry Co., Ltd. (hereinafter referred to as "the Company") for the year ended December 31, 2025. The financial statements include the balance sheet, income statement, and cash flow statement of the Company. In our opinion, the financial statements present a true and fair view of the Company's financial position as of December 31, 2025, and its financial performance and cash flows for the year then ended in accordance with the applicable financial reporting framework.

Basis for Audit Opinion

We conducted our audit in accordance with the auditing standards set by the Chinese Institute of Certified Public Accountants. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in China, and we have fulfilled our other ethical responsibilities in accordance with these requirements.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Revenue Recognition

1. Description of the matter The Company is primarily engaged in the production and sale of products. As noted in the financial statements, revenue for the year ended December 31, 2025, amounted to 1,722,182,844.97 RMB. Revenue recognition is a key area of focus in our audit due to the complexity of the revenue recognition process.

2. Audit response We performed substantive testing on revenue transactions and assessed the appropriateness of the revenue recognition policies applied by the Company.

Other Information

The Company’s management is responsible for the other information. The other information comprises the information included in the Company’s annual report but does not include the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

Responsibilities of Management and Those Charged with Governance for the Financial Statements

Management is responsible for the preparation of the financial statements that give a true and fair view in accordance with the applicable financial reporting framework, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with auditing standards will always detect a material misstatement when it exists.

Confirmation of Receivables

1. Description of the matter The Company’s accounts receivable as of December 31, 2025, amounted to 1,169,856,599.27 RMB. The collection of accounts receivable is a key area of focus in our audit due to the risk of non-collection.

2. Audit response We obtained confirmations from a sample of customers and assessed the adequacy of the allowance for doubtful accounts.