Guosen Securities Co., Ltd.
Regarding Zhejiang Zhucheng Technology Co., Ltd.'s 2025 Internal Control Evaluation Report Verification Opinion
Guosen Securities Co., Ltd. (hereinafter referred to as "Guosen Securities" or "Sponsor") is the continuing sponsor for Zhejiang Zhucheng Technology Co., Ltd. (hereinafter referred to as "Zhucheng Technology" or "the Company") for its initial public offering of shares and listing on the ChiNext market. In accordance with the "Administrative Measures for Securities Issuance and Listing Sponsorship Business," "Shenzhen Stock Exchange Listed Companies Self-Regulatory Supervision Guidelines No. 2 - Normative Operation of ChiNext Listed Companies," "Shenzhen Stock Exchange ChiNext Stock Listing Rules," and "Shenzhen Stock Exchange Listed Companies Self-Regulatory Supervision Guidelines No. 13 - Sponsorship Business," among other relevant regulations, Guosen Securities has verified the establishment and improvement of Zhucheng Technology's internal control system for 2025. The verification results are as follows:
I. Verification Work Conducted by the Sponsor
The sponsor representatives of Guosen Securities reviewed various business and management rules and regulations, minutes of board meetings, the annual internal control evaluation report, and communicated with the Company's directors, supervisors, senior management, internal audit personnel, and auditing accountants. A comprehensive and diligent review was conducted on the completeness, reasonableness, and effectiveness of the Company's internal controls.
II. Internal Control Evaluation Work of Zhucheng Technology
(I) Scope of Internal Control Evaluation
The Company determined the main entities, businesses, and matters, as well as high-risk areas, included in the scope of evaluation based on a risk-oriented approach. The main entities included in the scope of evaluation are the Company and its subsidiaries. The total assets of the entities included in the scope of evaluation account for 100% of the Company's consolidated financial statement total assets, and the total operating revenue accounts for 100% of the Company's consolidated financial statement total operating revenue. Key high-risk areas focused on include: sales and collection controls, procurement controls, asset controls, financing and investment controls, related party transaction controls, proceeds utilization controls, and financial reporting management internal controls. The scope of evaluation covers all internal economic activities and relevant positions of the Company. Key control points in the business processing are identified and implemented across decision-making, execution, supervision, and management.
The entities, businesses, matters, and high-risk areas included in the scope of evaluation cover the main aspects of the Company's business operations and management, and there are no material omissions.
- Asset Completeness
The Company possesses independent and complete production systems, auxiliary production systems, and supporting facilities related to its production and operation. It legally owns or has the right to use land, factories, machinery, equipment, trademarks, patents, and non-patented technologies related to its production and operation. It has independent raw material procurement and product sales systems. The property rights between the Company and its shareholders are clearly defined, and its production and operation sites are independent, without relying on the production and operation sites of its shareholders.
- Organizational Structure
In accordance with the "Basic Norms for Enterprise Internal Control" and the "Company Law," "Securities Law," and other relevant laws and regulations, the Company has established a shareholders' meeting, a board of directors, and a management layer under the leadership of the board of directors, forming the basic framework of the Company's corporate governance structure. The responsibilities and authorities for decision-making, execution, and supervision are clarified. Each institution has clear responsibilities, reasonable division of labor, and effective checks and balances, ensuring the coordinated operation of the power organ, the operating decision-making organ, the supervisory organ, and the management layer.