Announcement Regarding the Dilution of Immediate Returns, Remedial Measures, and Undertakings by Relevant Parties for the 2026 Issuance of A-Shares to Specific Targets

Stock Code: 002902 Stock Abbreviation: Mingpu Magnetic Announcement No.: 2026-046

Dongguan Mingpu Magnetic Co., Ltd.

Announcement Regarding the Dilution of Immediate Returns, Remedial Measures, and Undertakings by Relevant Parties for the 2026 Issuance of A-Shares to Specific Targets

Special Reminder:

The following analysis and description of the company's key financial indicators following the 2026 issuance of A-shares to specific targets (hereinafter "the Issuance") do not constitute profit forecasts or commitments. The formulation of remedial measures does not equate to a guarantee of future profits. Investors should not rely solely on this analysis for investment decisions; the company assumes no liability for losses resulting from such decisions.

In accordance with the "Opinions of the General Office of the State Council on Further Strengthening the Protection of the Legitimate Rights and Interests of Small and Medium Investors in the Capital Market," the "Several Opinions of the State Council on Further Promoting the Healthy Development of the Capital Market," and the "Guiding Opinions on Matters Concerning the Dilution of Immediate Returns in Initial Public Offerings, Refinancing, and Major Asset Restructurings," the company has analyzed the impact of this issuance on immediate returns and formulated specific remedial measures. Relevant parties have made commitments to ensure these measures are effectively implemented.

I. Impact of the Issuance on Key Financial Indicators

Upon completion of the issuance, the company's total share capital will increase. As the investment projects require time to generate returns, there is a risk that immediate returns will be diluted in the short term.

(I) Key Assumptions

1. Assume no major adverse changes in the macroeconomic environment, industry policies, or market conditions.

2. Exclude the impact of the proceeds on production, operations, and financial status (e.g., financial expenses, investment income).

3. Assume the issuance is completed before December 2026 (this date is for calculation purposes only).

4. Assume an issuance volume of 70,502,718 shares. Total share capital after issuance is assumed to be 305.5118 million shares.

5. Based on the 2025 Annual Report, the net profit attributable to shareholders of the parent company was -247.7925 million RMB, and the net profit after deducting non-recurring gains and losses was -253.8319 million RMB. Three scenarios for 2026 are assumed: flat, 20% growth, and 20% decline compared to 2025.

6. Assume total proceeds of 1,282.9064 million RMB, excluding issuance expenses.

7. Only consider the impact of this issuance on total share capital and basic earnings per share.

8. Only consider the impact of proceeds and net profit on net assets.

9. Assume no share repurchases, capitalization of capital reserves, dividend distributions, or equity incentives in 2026.

(II) Impact on Key Financial Indicators

The comparison of the impact on key financial indicators is as follows: