Dongfang Longke Technology Group Co., Ltd.
2025 Annual Internal Control Self-Evaluation Report
To all shareholders of Dongfang Longke Technology Group Co., Ltd.:
In accordance with the "Basic Norms for Enterprise Internal Control" and its supporting guidelines, as well as other internal control regulatory requirements (hereinafter referred to as the "Enterprise Internal Control Norms"), and based on the company's internal control system and evaluation methods, we have evaluated the effectiveness of the company's internal controls as of December 31, 2025 (the benchmark date for the internal control evaluation report), based on daily supervision and special supervision of internal controls.
I. Important Statement
In accordance with the Enterprise Internal Control Norms, it is the responsibility of the company's board of directors to establish, improve, and effectively implement internal controls, evaluate their effectiveness, and disclose the internal control evaluation report truthfully. The audit committee supervises the establishment and implementation of internal controls by the board of directors. The management is responsible for organizing and leading the daily operation of the company's internal controls. The company's board of directors, audit committee, directors, and senior management guarantee that the content of this report contains no false records, misleading statements, or major omissions, and they bear individual and joint legal responsibility for the authenticity, accuracy, and completeness of the report's content.
The objective of the company's internal control is to reasonably ensure that business management is legal and compliant, assets are safe, financial reports and related information are true and complete, operating efficiency and effectiveness are improved, and development strategies are achieved.
Due to the inherent limitations of internal control, it can only provide reasonable assurance for achieving these objectives. Furthermore, changes in circumstances may render internal controls inappropriate, or reduce the degree of compliance with control policies and procedures, and there is a certain risk in inferring the effectiveness of future internal controls based on the results of the internal control evaluation.
II. Internal Control Evaluation Conclusion
Based on the identification of material weaknesses in the company's financial reporting internal controls, as of the benchmark date of the internal control evaluation report, there are no material weaknesses in financial reporting internal controls. The board of directors believes that the company has maintained effective financial reporting internal controls in all material aspects in accordance with the requirements of the Enterprise Internal Control Norms and relevant regulations.
Based on the identification of material weaknesses in the company's non-financial reporting internal controls, as of the benchmark date of the internal control evaluation report, the company has not found any material weaknesses in non-financial reporting internal controls.
No factors have occurred between the benchmark date of the internal control evaluation report and the date of issuance of the internal control evaluation report that affect the conclusion of the internal control effectiveness evaluation.
Internal Control Evaluation Report Page 1
III. Internal Control Evaluation Work
The company's internal control evaluation work is led by the Audit Committee of the Board of Directors and implemented by the company's internal audit department. It comprehensively evaluates the design and operation of the company's internal controls by focusing on elements such as the internal environment, risk assessment, control activities, information and communication, and internal supervision.
(I) Scope of Internal Control Evaluation
Based on the requirements of the Basic Norms and relevant supporting guidelines, and considering the company's business scale and actual operating conditions, the company has identified the main units, businesses, and matters within the scope of evaluation, as well as high-risk areas, guided by risk.