Gansu Jinguang Photovoltaic Co., Ltd. Announcement on the Reply to the Inquiry Letter Regarding the 2025 Annual Report from the Shenzhen Stock Exchange Shenzhen Stock Exchange ChiNext Market Supervision Department: Gansu Jinguang Photovoltaic Co., Ltd. (hereinafter referred to as "the Company" or "Jinguang Photovoltaic") received the "Inquiry Letter Regarding the 2025 Annual Report of Gansu Jinguang Photovoltaic Co., Ltd." (ChiNext Annual Report Inquiry Letter [2026] No. 19) issued by your department on April 15, 2026. In accordance with the requirements of the inquiry letter and the Company's actual situation, the reply is as follows:
- The annual report shows that the Company's operating revenue for the current period was RMB 30,103.17 million, a year-on-year increase of 143.41%. The revenue from the top five customers accounted for 92.18%. By industry, the photovoltaic industry revenue was RMB 28,122.34 million, with a gross profit margin of -58.91%. The main revenue sources were South Asia, China, Germany, and Southeast Asia, with sales prices ranging from RMB 0.34/W to RMB 0.96/W. The computing power industry, newly laid out during the reporting period, generated RMB 662.09 million in revenue. By region, overseas revenue was RMB 26,405.63 million, accounting for 87.72%, a year-on-year increase of 4,333.08%; domestic revenue was RMB 3,697.54 million, a year-on-year decrease of 68.59%. The Company's sales to cash ratio for the current period was 0.79, and 1.17 in 2024. Please: (1) Based on industry characteristics, comparable companies, existing orders, and changes in the sales-to-cash ratio, explain the reasons for and reasonableness of high customer concentration, whether there are situations where credit policies are relaxed to promote sales, the stability of cooperation with the top five customers, whether there is dependence on major customers, and relevant response measures. Company Reply: (I) Reasons and Reasonableness for High Customer Concentration The downstream industry structure of the Company is characterized by head concentration and oligopolistic development. Large domestic and foreign downstream enterprises have high entry barriers for procurement, long supply chain certification cycles, and bulk procurement, with characteristics of long-term stable supply. This has led to high customer concentration among industry enterprises, which is an inherent operating characteristic of the industry.
- Situation of Comparable Companies in the Same Industry During the reporting period, the revenue from the Company's top five customers accounted for approximately 92.18% of the total operating revenue. The proportion of revenue from the top five customers of listed companies in the same industry generally falls within the range of 13.41%-61.53%. The Company's customer concentration is significantly higher than the industry average. The main reasons are as follows: The photovoltaic business is primarily carried out in a project-based model. Business undertaking and implementation are based on individual projects as independent operating units. Furthermore, the Company's overall production capacity is relatively small at this stage, and production capacity resources are limited. After undertaking major core customer projects, the remaining capacity is insufficient to meet the order demands of other small and medium-sized customers simultaneously. In addition, in 2025, the Company's overall business expansion and market reception rhythm were somewhat constrained due to the impact of the restructuring, and the pace of new customer acquisition and new project development slowed down. This led to a relatively concentrated revenue source during the reporting period, resulting in a high proportion of revenue from single and top five customers, which has an objective business background and is reasonable. | Company | Production Capacity/GW | Revenue from Top 5 Customers in 2025 Annual Report (RMB Million) | Revenue Proportion from Top 5 Customers in 2025 Annual Report (%) | |---|---|---|---| | LianSheng Technology | 2.8 | 23,893.54 | 61.53% | | QuanFor Technology | 4 | 2,827.37 | 58.80% | | Sungrow Power Supply | 35 | 168,722.89 | 13.41% | | Jinguang Photovoltaic | 2.8 | 27,751.13 | 92.18% | Note: The Company produces HJT solar cells and modules. Companies producing HJT solar cells and modules in the same industry are selected as comparable companies.
- Authenticity of Order Support for Business As of the date of this