Stock Abbreviation: Jindao Technology
Stock Code: 301279
Zhejiang Jindao Technology Co., Ltd.
and
Guotai Haitong Securities Co., Ltd.
Regarding
Reply Report on the Audit Inquiry Letter for the Application of Zhejiang Jindao Technology Co., Ltd. to Issue Convertible Corporate Bonds to Unspecified Targets
Sponsor (Lead Underwriter)
618 Shangcheng Road, China (Shanghai) Pilot Free Trade Zone
June 2026
Shenzhen Stock Exchange:
We have received the "Audit Inquiry Letter Regarding the Application of Zhejiang Jindao Technology Co., Ltd. to Issue Convertible Corporate Bonds to Unspecified Targets" (Audit Letter [2026] No. 020050) (hereinafter referred to as the "Audit Inquiry Letter") issued by your exchange on June 11, 2026. Zhejiang Jindao Technology Co., Ltd. (hereinafter referred to as "Jindao Technology," the "Issuer," or the "Company"), together with Guotai Haitong Securities Co., Ltd. (hereinafter referred to as the "Sponsor" or "Sponsor Institution"), Beijing Junzejun Law Offices (hereinafter referred to as "Issuer's Counsel"), and Tianjian Certified Public Accountants (Special General Partnership) (hereinafter referred to as the "Accountant" or "Issuer's Accountant") and other relevant parties, have conducted a line-by-line verification of the questions listed in the Audit Inquiry Letter. The response is hereby submitted for your review.
Unless otherwise specified, the abbreviations used in this reply to the inquiry letter have the same meanings as those in the "Prospectus for the 2026 Issuance of Convertible Corporate Bonds to Unspecified Targets by Zhejiang Jindao Technology Co., Ltd." (hereinafter referred to as the "Prospectus").
The fonts used in this reply to the inquiry letter have the following meanings:
| Item | Font |
|---|---|
| Questions listed in the Audit Inquiry Letter | Bold |
| Responses to the questions | Songti |
| Revisions and supplementary disclosures to the Prospectus | KaiTi (Bold) |
Unless otherwise specified, all numerical values in this reply to the inquiry letter are rounded to two decimal places. Any discrepancies between the total and the sum of the individual items are due to rounding.
Table of Contents
Question 1: 1
Question 2: 42
Other Question 1: 81
Other Question 2: 82
Question 1
The Issuer's main business is the research, development, production, and sales of transmission devices for industrial vehicles. During the reporting period, the Issuer's main business revenue was 643.2204 million yuan, 614.0597 million yuan, 689.6000 million yuan, and 196.2465 million yuan, respectively. Among these, the revenue scale and proportion of hydraulic forklift transmissions were relatively stable, while the revenue and proportion of electric forklift transmissions showed an upward trend. During the reporting period, the proportion of revenue from the top five customers exceeded 70% of the operating revenue, with the revenue from the largest customer, Hangcha Group, exceeding 50% of the operating revenue, indicating a high level of customer concentration.
During the reporting period, direct materials accounted for more than 60% of the main business costs, with the main raw materials being castings, bearings, torque converters, and steel, which are significantly affected by fluctuations in steel prices.
During the reporting period, the net cash flow from operating activities was 136.5489 million yuan, 64.5451 million yuan, 72.4724 million yuan, and -32.9779 million yuan, respectively. The net cash flow from operating activities for the most recent period was negative.
As of March 31, 2026, the company's total transactional financial assets were 151.2371 million yuan, which are wealth management products purchased by the company to improve the efficiency and return of capital usage.