I. Purpose of the Plan
The purpose of this plan is to enhance Nanjing Hanrui Cobalt Industry Co., Ltd.'s (hereinafter referred to as "the Company") awareness of returning profits to shareholders, fully safeguarding shareholders' rights to asset income, maintaining continuity and stability in profit distribution policies, protecting investors' legitimate rights, increasing transparency and operability in dividend distribution decisions, and improving the decision-making and supervision mechanisms for dividends. Based on the actual situation of the Company and in accordance with the "Guidelines for the Regulation of Listed Companies No. 3 - Cash Dividends of Listed Companies" issued by the China Securities Regulatory Commission and the provisions of the Company's Articles of Association (hereinafter referred to as "the Articles"), the Board of Directors has formulated the "Shareholder Return Plan for the Next Three Years (2026-2028)" (hereinafter referred to as "this Plan"). The specific contents are as follows:
II. Principles and Considerations for Formulation
The formulation of this Plan shall comply with relevant laws and regulations and the provisions of the Articles. It will fully consider the opinions of investors (especially small and medium-sized shareholders) and independent directors. This Plan is based on a comprehensive analysis of the Company's operational situation, business objectives, cost of funds, financing environment, and shareholder demands and willingness. It takes into account the Company's current and future profitability, cash flow status, stage of development, and project investment funding needs, balancing reasonable investment returns for shareholders with the Company's long-term development, and institutionalizing the profit distribution system to ensure continuity and stability in profit distribution policies.