Announcement on the Proposal for Profit Distribution and Capital Reserve Transfer to Share Capital in 2025

Securities Code: 002943 Securities Abbreviation: Yujing Shares Announcement No.: 2026-026 Hunan Yujing Machine Co., Ltd. Announcement on the Proposal for Profit Distribution and Capital Reserve Transfer to Share Capital in 2025 The Company and all members of the Board of Directors guarantee the content of the information disclosure is true, accurate, and complete, and that there are no false records, misleading statements, or major omissions. I. Deliberation Procedures (I) Deliberation by the Audit Committee of the Board of Directors On April 27, 2026, the Sixth Meeting of the Audit Committee of the Fifth Board of Directors was held. The proposal "Proposal on the Profit Distribution and Capital Reserve Transfer to Share Capital for 2025" was deliberated and approved by 3 votes in favor, 0 votes against, and 0 abstentions. It was agreed to submit this proposal to the Twelfth Meeting of the Fifth Board of Directors for deliberation. (II) Deliberation by the Board of Directors On April 27, 2026, the Twelfth Meeting of the Fifth Board of Directors was held. The proposal "Proposal on the Profit Distribution and Capital Reserve Transfer to Share Capital for 2025" was deliberated and approved by 7 votes in favor, 0 votes against, and 0 abstentions. It was agreed to submit this proposal to the 2025 Annual General Meeting of Shareholders for deliberation. II. Basic Information on the 2025 Profit Distribution and Capital Reserve Transfer to Share Capital Proposal Audited by CNSC Zhonghuan Certified Public Accountants (Special General Partnership), the net profit attributable to shareholders of the listed company in 2025 was RMB 13,153,075.57. As of December 31, 2025, the accumulated undistributed profits in the consolidated statements were -RMB 55,081,657.21; the accumulated undistributed profits in the parent company statements were RMB 113,913,724.00. According to the "Guiding Opinions of the China Securities Regulatory Commission on the Supervision of Listed Companies No. 3 - Cash Dividends of Listed Companies," the "Articles of Association," and the "Shareholder Return Plan for the Next Three Years (2024-2026)," and given that the accumulated undistributed profits in the consolidated statements are negative, in order to ensure the company's normal production and operation, and considering the company's development and the long-term interests of shareholders, the Board of Directors proposes the following profit dist