Announcement on the Achievement of the First Vesting Condition for the First Tranche of the 2025 Restricted Stock Incentive Plan
On July 20, 2026, the Company convened the 14th meeting of the 6th Board of Directors and deliberated and approved the "Proposal on the Achievement of the Vesting Conditions for the First Tranche of the 2025 Restricted Stock Incentive Plan." According to the "Administrative Measures for Equity Incentives of Listed Companies," the "Shenzhen Stock Exchange GEM Stock Listing Rules," and the Company's "2025 Restricted Stock Incentive Plan (Draft)," as well as the authorization from the second extraordinary general meeting of shareholders in 2025, the Board of Directors believes that the vesting conditions for the first tranche of the 2025 Restricted Stock Incentive Plan have been met. The Company agreed to handle the vesting matters for 43 eligible employees, with a total of 69.32 million shares eligible for vesting in this tranche.
Voting results: 4 votes in favor, 0 votes against, 0 abstentions, 3 abstentions. Related directors Mr. Zhu Xi, Mr. Ding Shengjun, and Mr. Xie Guanghui abstained from voting.
Explanation of the First Tranche Vesting Conditions for the First Grant of the 2025 Restricted Stock Incentive Plan
According to the "2025 Restricted Stock Incentive Plan (Draft)," the first vesting period is "from the first trading day after 12 months from the date of the first grant to the last trading day within 24 months from the date of the first grant." The first grant date for this restricted stock was July 18, 2025. Therefore, the first vesting period for the incentive recipients is from July 20, 2026, to July 7, 2027.
According to the "2025 Restricted Stock Incentive Plan (Draft)," the vesting conditions for the first tranche of the first grant have been met. The achievement of the vesting conditions is explained as follows:
| Vesting Condition | Achievement Status |
|---|---|
| The Company has not encountered any of the following situations: <br> 1. The financial accounting report for the most recent fiscal year was issued with a negative opinion or disclaimer of opinion by the certified public accountant; <br> 2. The internal control of the financial report for the most recent fiscal year was issued with a negative opinion or disclaimer of opinion by the certified public accountant; <br> 3. The Company has experienced a situation of not making profit distribution in accordance with laws, the articles of association, and public commitments in the 36 months after listing; <br> 4. Equity incentives are prohibited by laws and regulations; <br> 5. Other situations identified by the China Securities Regulatory Commission. | The Company has not encountered any of the above situations, and the conditions are met. |
| The incentive recipients have not encountered any of the following situations: <br> 1. Identified as an unsuitable candidate by the stock exchange in the last 12 months; <br> 2. Identified as an unsuitable candidate by the China Securities Regulatory Commission and its dispatched agencies in the last 12 months; <br> 3. Subject to administrative penalties or market entry bans by the China Securities Regulatory Commission and its dispatched agencies due to major violations of laws and regulations in the last 12 months; <br> 4. Meets the conditions stipulated in the "Company Law" that prohibit serving as a director or senior manager; <br> 5. Prohibited from participating in listed company equity incentives by laws and regulations; <br> 6. Other situations identified by the China Securities Regulatory Commission. | The incentive recipients have not encountered any of the above situations, and the conditions are met. |
Company-Level Performance Assessment:
For the first vesting period of the first grant: Based on the net profit in 2024, the net profit growth rate in 2025 shall not be less than 10%.