Zhejiang Supor Co., Ltd.

2024 Annual Report

[March 2025]

SECTION I IMPORTANT NOTES, TABLE OF CONTENTS AND

DEFINITIONSThe Board of Directors and the Board of Supervisors of Zhejiang SuporCo., Ltd (hereinafter referred to as the "Company") and all its directors,supervisors and senior executives warrant that this annual report is true,accurate and complete, and does not contain any fictitious statements,misleading information or significant omissions; all directors, supervisors andsenior executives of the Company undertake, separately and jointly, allresponsibilities in relation to the truth, accuracy and completeness hereof.

Mr. Thierry de LA TOUR D'ARTAISE, person in charge of the Company,and Mr. Xu Bo, person in charge of accounting and person in charge ofaccounting department (accountant in charge), hereby confirm that thefinancial statement enclosed in this Annual Report is true, accurate andcomplete.

All directors have attended the Board Meeting in person.It is of great uncertainty, for whether it can be realized or not depends onmultiple factors, including market change and effort of management team.Please be careful of investment risks.

As for the risk factors confronted by the Company, see Part 11"Prospects for Future Development" of Section III "DISCUSSION ANDANALYSIS OF THE MANAGEMENT" for details.

The profit distribution plan adopted at this Board Meeting specifies that:

based on the 796,692,233 shares at the end of 2024 (total capital stock of801,538,407 shares at the end of 2024 deducted by 4,667,500 shares ofrepurchased shares in the Company’s special stock repurchase account and178,674 shares of Restricted Stock repurchased and canceled on January 17,2025), the Company distributes cash dividend of RMB 28.10 per 10 shares(tax-inclusive) to all shareholders, and total amount of cash dividends is RMB2,238,705,174.73, issues 0 bonus shares (tax-inclusive) and will not convertcapital reserves to capital..

Table of Contents

SECTION I IMPORTANT NOTES, TABLE OF CONTENTS AND DEFINITIONS ...... 2

SECTION II COMPANY FILE AND MAJOR FINANCIAL INDICATORS ...... 6

SECTION III DISCUSSION AND ANALYSIS OF THE MANAGEMENT ...... 10

SECTION IV CORPORATION GOVERNANCE ...... 29

SECTION V SOCIAL AND ENVIRONMENTAL RESPONSIBILITIES ...... 57

SECTION VI SIGNIFICANT EVENTS ...... 62

SECTION VII CHANGES IN SHARE CAPITAL AND PARTICULARS ABOUT SHAREHOLDERS ...... 73

SECTION VIII INFORMATION ON PREFERRED SHARE ...... 83

SECTION IX BONDS ...... 84

SECTION X FINANCIAL STATEMENT ...... 85

CATALOG OF REFERENCE DOCUMENTSI. 2024 Annual Report of the Company and Abstract with signature of legal representative;II. Financial statements with signature of legal representative, person in charge of accounting and person in charge ofaccounting department and seal of the Company;

III. Original of audit report with seal of accounting firm and signature of certified public accountants (CPA);IV. Original of all documents and announcements published in newspapers designated by CSRC during the reporting period.Reference documents above archived at the Securities Department of the Company: Securities Department of the Company

Definitions

SECTION II COMPANY FILE AND MAJOR FINANCIAL

INDICATORS

I. Company Information

II. Contact Person and Contact Information

III. Place for Information Disclosure and Archiving

IV. Changes of Registration

V. Other Relevant InformationCertified Public Accountants engaged by the Company

Sponsor institution engaged by the Company for performing continuous supervision duties during the reporting period

□ Applicable ? Not applicable

Financial consultant engaged by the Company for performing continuous supervision duties during the reporting period

□ Applicable ? Not applicable

VI. Major Accounting Data and Financial Indicators

Does the Company need to retroactively adjust or restate previous year's accounting data?

□Yes ? No

Retrospective adjustment or restatement reasonCumulative changes of accounting policies

The Company's net profit before or after non-recurring profit and loss are deducted for the last three fiscal years, whichever islower, is negative, and the audit report for the latest year indicates uncertainty about its continuing operation ability

□ Yes ? No

Net profit before or after non-recurring profit and loss are deducted, whichever is lower, is negative

□ Yes ? No

VII. Financial Data Difference on Principle of Domestic and Oversea Accounting

1. Net profit and net assets discrepancies in financial statements disclosed separately under InternationalAccounting Standards and Chinese Accounting Standards

□ Applicable ? Not applicable

No net profit and net assets discrepancies in financial statements disclosed separately under International Accounting Standardsand Chinese Accounting Standards existed during the reporting period.

2. Net profit and net assets discrepancies in financial statements disclosed separately under OverseasAccounting Standards and Chinese Accounting Standards

□ Applicable ? Not applicable

No net profit and net assets discrepancies in financial statements disclosed separately under Overseas Accounting Standards andChinese Accounting Standards existed during the reporting period.

VIII. Quarter-based Major Financial Indicators

Unit: RMB

Any difference between financial indicators or the total and relevant financial indicators disclosed in quarter-based report orsemiannual report

□ Yes ? No

IX. Non-recurring Profit or Loss Items and Amount? Applicable □ Not applicable

Unit: RMB

Other specific circumstances of other items of profits and losses complying with the definition of non-recurring profits or losses:

□ Applicable ? Not applicable

The Company does not have other specific circumstances of other items of profits and losses complying with the definition of non-recurring profits or losses.Description of defining non-recurring profits or losses items listed in the Explanatory Announcement No.1 on Disclosure of theInformation of Companies Offering Their Securities to the Public -- Non-recurring Profit or Loss as recurring profits and losses

□ Applicable ? Not applicable

The Company does not have the description of defining non-recurring profits or losses items listed in the ExplanatoryAnnouncement No.1 on Disclosure of the Information of Companies Offering Their Securities to the Public -- Non-recurringProfit or Loss as recurring profits and losses.

SECTION III DISCUSSION AND ANALYSIS OF THE

MANAGEMENTI. Industrial Situation of the Company in the Reporting PeriodIn 2024, the domestic consumer market exhibited a polarizing trend of rational consumption and premiumization. On onehand, consumer demand for high-quality, high-value products continued to rise. On the other hand, more consumers favored good-value-for-money products offering. Facing this complex market environment and the growing rationality of consumer demand, theCompany gained the market shares of core categories on both online and offline with continuous innovation and strong channelcompetitive advantage.In the open fire cookware segment, live-streaming e-commerce and social e-commerce platforms maintained rapid growth,while traditional e-commerce experienced a slight decline. Overall, the online retail market saw modest growth, while offlinechannels continued to face pressure. As a leading brand in the industry, Supor actively addressed the differentiated consumerdemands and outperformed the industry in both online and offline by leveraging exceptional omni-channel operational capabilities.According to monitoring data of AVC, the online cookware market share of Supor continued to grow in 2024 and for offline,Supor firmly solidified its position as the market leader. By category, products associated with health concepts, such as pressurecookers and steamers, achieved stable growth. Materials emphasizing health benefits, such as titanium and cast iron, also gainedincreasing consumer preference.The small domestic appliance market faced intensified competition in 2024. Supor has achieved a good result that thecomprehensive market share of traditional e-commerce and the Tiktok channel ranks the first. According to the overall monitoringdata of AVC in 2024, the sales performance of Supor's small domestic appliances (including the following categories: rice cookers,induction hobs, electric pressure cookers, soymilk makers, high-speed blenders, blenders, juicers, kettles, steamers, health pot,baking pan, small desktop single function ovens, and air fryers) is outperforming the industry average, and their shares in theonline and offline markets have improved, ranking first in the industry. From the perspective of category performance, the rigid-demand categories such as electric rice cookers have a stable market, and the categories related to health concepts such as electricsteamers, slow cookers, health kettle and soymilk makers continue with the growth momentum.II. Main Business during the Reporting PeriodAs China's famous cookware and small domestic appliance R&D and manufacturing company and leading brand, theCompany is also the first listed company in China's cookware industry. Established in 1994, the headquarters of the Company islocated in Hangzhou and it owns seven R&D and manufacture bases located in Yuhuan City, Hangzhou City, Shaoxing City(Binhai New Area and Keqiao District) in Zhejiang Province, Wuhan City in Hubei Province and Ho Chi Minh City, Vietnam.Supor's main businesses include open fire cookware and kitchen tools, small domestic appliances, large kitchen appliancesand H&PC appliances.

(1) Open fire cookware and kitchen tools mainly include wok, pressure cooker, frying pan, sauce pan, steamer, ceramic slowcooker, kettle, knife, spatula, thermal pot, thermos & flask, kitchen gadgets, crisper, etc.;

(2) The small domestic appliances mainly include rice cooker, electric pressure cooker, induction hob, soymilk maker, kettle,juicer, slow cooker, steamer, electric hotpot, food processor, baking pan, air fryer, desktop electric oven, desktop water purifier,etc.;

(3) The large kitchen appliances mainly include range hood, gas stove, disinfection cabinet, water purifier, embeddedsteaming oven, integrated stove, water heater, etc.;

(4) The H&PC appliances mainly include air purifier, garment steamers, vacuum cleaner, floor washer and electric iron,electric heater, air-circulating fans, etc.;

The Company's cookware and electrical products have been exported to more than 50 countries and regions such as Japan,European and American countries mainly through SEB Group.

III. Core Competitiveness Analysis

(I) Superior product innovation capacity

Supor has been upholding the design philosophy of "People Orientation, Design Driven Product Innovation" over the years,with the adherence on technological leading, design innovation drive and internal-external innovation synergy. The Companycontinuously introduces healthier, smarter, and more diversified products to meet the needs of diverse consumer groups and usagescenarios.

The Company’s headquarters innovation center, through strategic planning and collaboration with R&D teams acrossbusiness units and manufacturing bases, has established a unique innovation system and mechanism. This ensures a focus ondisruptive innovation in core product categories while consistently delivering application-driven innovation and product upgradesto swiftly respond to market competition. By fully leveraging internal and external innovation resources, Supor has built an openinnovation platform to stay abreast of emerging technologies and product categories both within and outside the industry. TheCompany continuously integrates new processes and materials to drive business growth. Additionally, Supor has strengthened itsinnovation synergy with the SEB Group, introducing new product categories and technologies to further enrich its productportfolio.

In terms of the design modules for unfinished products, the Company integrates industrial design, user experience, andconsumption trend into product innovation to further enhance the visual aesthetic feeling, form, and experience of products,address user pain points, and bring consumers a better product experience. In 2024, several Supor products received iF DesignAwards, including the Visible Air Fryer KJ50DQ821, Large-capacity Anytime Sharing Thermos Bottles, Dual-drinking ThermalCoffee Cup & Plastic Infuser Cup, and the Ultra-Slim Extractor Hood AI60 Series.

(II) Steady distribution network

Supor has a reliable distribution team and maintains long-term and sound cooperative relationships with distributors andoperators. In terms of online channels, the Company continuously promotes the direct sales, distrobution and “one-basket” model,collaborating with distributors and operators to build a comprehensive e-commerce store matrix that provides consumers with anexceptional online shopping experience. In terms of offline channels, the Company has established a great number of point-of-saleterminals and service outlets, and has entered large-scale mainstream supermarkets and stores in the primary and secondarymarkets; in addition to a high coverage rate in the O2O channels in the third and fourth markets, ensuring that consumers canpurchase the Company's products more conveniently.

(III) Strong R&D and manufacturing capacity

Supor has built up seven R&D production bases, respectively in Yuhuan City, Hangzhou City, Shaoxing City (Binhai NewArea and Keqiao) in Zhejiang Province, Wuhan City in Hubei Province and Ho Chi Minh City, Vietnam. In particular, the annualproduction scale of Wuhan Base and Shaoxing Base ranked the top in the industry. Over the years, the Company has beencontinuously improving industrial efficiency, and the strong R&D and manufacturing capabilities in the base and the superiorR&D team of the Company have robustly supported the product competitiveness of Supor.

Guided by its distinctive innovation system, Supor continuously refines its innovation tools and methodologies. By startingfrom consumer needs, the Company maps out technological development pathways and defines innovation directions, ensuring asolid technical foundation to meet intense market competition.

(IV) Synergistic effect of integration with SEBThe SEB Group, a global leader in cookware and small appliances with over 160 years of history, has been a strategic partnerof Supor since 2006. The powerful cooperation between Supor and SEB Group has brought stable export orders to the Company,and increased its overall businesss ize and manufacturing capacity. Meanwhile, the Company strengthens cooperation with SEBGroup in varied fields such as production, R&D, IT, and management, and providing comprehensive support for the Company'sdevelopment continuously.(V) Advantage of multiple brands and categoriesIn terms of the multi-brand operation, in addition to Supor brand, the Company also introduced a lot of high-end brands underSEB Group, such as WMF, LAGOSTINA, KRUPS, and TEFAL so as to fully cover the high-end brands in small domesticappliances and kitchen cookware fields. In terms of the category expansion, the Company actively explores new productcategories for kitchen appliances, H&PC appliances, personal care appliances, and others on the basis of the existing advantageouscategories such as open fire cookware and small domestic appliances. Supor’s multi-brand, multi-category strategy has establisheda strong competitive advantage in the domestic market, positioning the company to evolve into a comprehensive home lifestylebrand.IV. Main Business AnalysisDuring the reporting period, the Company achieved an operating income of CNY22,427,337,986.38, a year-on-year increaseof 5.27%. The domestic sales declined slightly compared with that last year among the complex market environment and morerational consumer demands. However, the Company gained the market shares of core categories on both online and offlinechannels with continuous innovation and strong channel competitive advantage. The export sales achieved good growth duringreporting period compared with that last year benefited from the sales to the Company's key export customer which increasedquickly. The net profit attributable to shareholders of listed company was CNY2,244,444,529.35, a year-on-year increase of 2.97%;and the earnings per share were CNY2.820, a year-on-year increase of 3.71%. Among them, the realized revenue from the mainbusiness of cookware was CNY6,836,158,028.21, a year-on-year increase of 12.88%; the realized revenue from the main businessof electric appliances was CNY15,300,420,337.16, a year-on-year increase of 2.25%; the realized revenue from the main businessof domestic sales was CNY14,757,349,421.40, a year-on-year decrease of 1.20%; and the realized revenue from the main businessof export business was CNY7,410,670,975.50, a year-on-year increase of 21.28%.

1. Overview

(I) Domestic sales during the reporting period

(1) Product strategy

During the reporting period, Supor continued the "consumer-centric" strategy guiding its innovation and development of newproducts, and deeply explored the needs of segmented consumers under different scenarios by means of internet data, so as toconstant provide smart and ingenious product solutions that meet diversified consumer needs and offer intimate, comprehensiveconsumer experiences.

In the business of open fire cookware, Supor actively responds to the needs of online and offline target consumers throughcontinuous product innovation, with a focus on making breakthroughs in the key categories. For example, in 2024, Supor launchedthe ‘Titanium No Coating Non-stick Iron Wok’ with patented technology after breaking through the non-stick technology for ironwoks; Supor has also launched the highly-designed and user-friendly Clipso FAST pressure cooker, leading the industry in theupgrade and replacement of pressure cooker categories. In the business of drinkware, Supor continues to refine its hero productstrategy, driving category growth with multi-functional differentiated hero products. The anytime sharing series thermos bottleshave been a best-seller since its launch.

In the business of small domestic appliances, Supor adheres to the differentiated product innovation strategy at all times, andcontinuously rolls out innovative and intelligent products which provide creative functions for healthy and nutritious cooking. TheCompany's leading position in core rigid-demand categories such as electric rice cookers, and electric pressure cookers has beenfurther solidified during the reporting period. In 2024, the Company launched the FIR steam IH rice cooker, which integrates fourcutting-edge technologies: far-spin flame conduction technology, steam-assisted cooking technology, far infrared heatingtechnology, and fresh cooking technology. These multiple innovative technologies aim to deliver the perfect bowl of rice toconsumers. Meanwhile, the Company actively expanded into new sub-categories, such as desktop water purifiers, ice makers, andtea bar machines.In the business of H&PC appliances, Supor persistently promotes the development of the H&PC appliance category andcontinues to strengthen the cleaning appliance category, with the market share of vacuum cleaners reached to the second placeamong all domestic brands and to the third place in the industry. In terms of the garment steamer category, Supor continues tokeep the leading position in the industry. According to the monitoring data of AVC, the online market share of Supor's garmentsteamer category ranks second in the industry. Meanwhile, the Company's channel competitiveness in the H&PC appliancecategory continues to improve by optimizing online channels and store structures, operational efficiency has been significantlyenhanced, especially with the retail scale of the TikTok channel growing nearly 50% YoY. During the reporting period, Suporactively expanded its personal care business, injecting new vitality into the development of the H&PC appliance category.In the business of large kitchen appliances, Supor insists on focusing on its key categories, rapidly develops and cultivatesdistinct categories, solidifies foothold in the existing renovation market, and constantly seeks breakthroughs. During the reportingperiod, the Company's shatter-proof stove, with safe and shatter-proof as the core differentiated technology, leads the industrythrough safety technologies such as " shatter-proof panel, energy-focusing insulation, and gas leakage alarm", meeting consumers'cooking needs for safe and reliable cooking solutions. According to the monitoring data of AVC, the overall online market shareof Supor's gas stove category achieved leading position in the industry in 2024.

(2) Channel strategy

With the accelerating integration of online and offline markets, Supor remained "consumer-centric" and kept optimizing itschannels management based on the changes in consumers' purchase path, thereby meeting the needs of various consumers througha multi-channel and multi-mode layout. The Company insisted on winning consumers' trust with high-quality products, andwinning distributors' and retailers' support with excellent services.

In 2024, the overall competition in online retail has intensified. As a leading brand in the industry, Supor's online sales stillmaintain a favorable momentum. In terms of traditional e-commerce, the Company continuously expands the mix of medium andhigh-end products through the combination and optimization of product and store matrix, which has further improved the shares inthe medium and high-priced markets. Meanwhile, on social e-commerce like TikTok, Supor improved marketing efficiency andsales contributions through a combination of in-store and influencer live streaming. On Pinduoduo, the Company enhanced storematrix, expanded product categories, and introduced high-value-for-money exclusive products. In the operation of private domain,Supor continuously enhances user engagement and repeat purchase rate by building WeChat mini-program malls and loyaltyprogram.

In terms of first and second-tier markets, the Company's cooperation with platforms such as Meituan Flash Sale, JD.comHome and Ele.me has been further enhanced, which injects new vitality into the offline ecosystem, further narrows the gapbetween products and consumers, achieves the integration of consumption scenes with household scenes, and drives rapid salesgrowth. In terms of third and fourth-tier markets, the Company continues to improve refined operations with the continued growthof the O2O business, further improves store operation capabilities and average output per store, and optimizes the sales structure.In terms of B2B business, the Company has expanded the loyalty program business with large-scale banks, airlines, and otherlarge- and medium-sized enterprises, further expanding the sales channels. Meanwhile, Supor continues to strengthen thecooperation with regional property developers and renovation companies, expanding the engineering-based kitchen appliancebusiness.

(3) Brand building

In 2024, Supor continued to strengthen its brand awareness, with the first-mention rate of the brand increasing by more than30%. The thermos bottle category also significantly boosted the brand’s recognition among younger demographics. In 2024marking the Company’s 30

th

anniversary, the Company launched a series of consumers engagement initiatives, such as the "MyFirst Supor Product" story campaign and the manufacturing tour, which brought the brand closer to its consumers. It alsointegrated marketing campaigns such as “30-Year Life Recipes” and “30 Years, A New Journey” were executed both online andoffline, reinforcing brand communication and solidifying brand image. In addition, the Company organized a 360-kilometeremployee relay run from its birthplace in Yuhuan to Hangzhou and donated children's thermos bottles and other materials toremote areas. While enhancing brand cohesion, it also fulfilled its social responsibilities.

The Company also intensified its user-centric brand strategy by establishing a comprehensive consumer asset managementsystem. The Company strengthened the integration between public and private domains, leveraging multiple channels to reachconsumers and improve engagement and loyalty. Supor fully utilized its Voice of Customer System (VOC) and implemented arobust NPS (Net Promoter Score) framework to gain deeper insights into consumer feedback and suggestions. These effortsenabled continuous improvements in products and services, fostering consumer loyalty and empowering the brand’s long-termhealthy development.(II) Export sales during the reporting periodDuring the reporting period, the Company’s export business experienced rapid growth, driven by increased demand from theSEB Group and other overseas customers.

2. Revenues and costs

(1) Structure of operating incomes

Unit: RMB

Remarks: "Others" by industry, "Other domestic electric appliances" by product, and region-based and sales-based modesexceptionally include other business incomes, the same below.

(2) Industry, product, area or sales mode that accounts for more than 10% of the Company's operating income oroperating profit? Applicable □ Not applicable

Unit: RMB

If the statistical caliber of the Company's operation business data is adjusted during the reporting period, the main business data forthe latest year after the statistical caliber is adjusted.

□ Applicable ? Not applicable

(3) Practical sales revenue greater than labor income

? Yes □ No

Descriptions of cause with above 30% change of relevant data on a YoY basis

□ Applicable ? Not applicable

(4) Performance of important sales contracts and purchase contracts signed till this reporting period

□ Applicable ? Not applicable

(5) Structure of operating costs

Category of industry and product

Unit: RMB

Unit: RMB

(6) Change of merger scope during the reporting period

□ Yes ? No

(7) Important change or adjustment for the Company's businesses, products or services during the reporting period

□ Applicable ? Not applicable

(8) Main sales customers and suppliers

Main sales customers

Information on the Company's top 5 major customers

Instruction for main customers' other cases

□ Applicable ? Not applicable

The Company's main supplier

Information on the Company's top 5 suppliers

Instruction for main suppliers' other cases

□ Applicable ? Not applicable

3. Costs

Unit: RMB

4. R&D input

? Applicable □ Not applicable

Oriented by consumers' demand, the Company engages in R&D of the differential products that meet kitchen demand and localeating and life habits. The Company lays emphasis on R&D investment, boosts technical innovation actively, further exploresproduct category and adds product additional value; respects customer's experience and focuses on all details of consumer use inorder to realize safe, environmentally friendly, convenient and fashionable products. R&D expenditure in this year accounts for 7.31%and 2.09% of net assets and operating income audited in the recent period.R&D personnel of the Company

R&D investment of the Company

Cause and influence of major changes of the Company's R&D personnel composition

□ Applicable ? Not applicable

Reason for large change for proportion of total R&D input in operating income compared with that of last year

□ Applicable ? Not applicable

Reason and rational introduction for large capitalization change of R&D input

□ Applicable ? Not applicable

5. Cash flow

Unit: RMB

Instruction for main influence factors of relevant data with YoY (%) changed seriously? Applicable □ Not applicable

1. The net cash flows from investing activities increased by 97.89% year-on-year, mainly due to the cash inflow increase ininvesting activities during the reporting period in term deposits and financial products settlement for a period of more than 3months.

2. The net increase in cash and cash equivalents increased by 116.50% year-on-year, mainly due to the cash inflow increase inoperating activities during the reporting period.Reason for great change between net cash flow caused by operating activities and annual net profits during the reporting period

□ Applicable ? Not applicable

V. Analysis on Non-main Business

□ Applicable ? Not applicable

VI. Analysis on Assets and Liabilities

1. Significant changes in assets

Unit: RMB

High proportion of overseas assets

□ Applicable ? Not applicable

2. Assets and liabilities measured at the fair value

? Applicable □ Not applicable

Unit: RMB

Content of other changesReceivables financing: As the demand of daily fund management, the Company will discount or transfer an endorsed bill, thebusiness mode of related bank acceptance bill including not only collect contractual cash flow but sales as the target, so reclass thebank acceptance bill as financial assets at fair value through other comprehensive incomes.Other debt investment: Supor's business model of managing negotiable large deposit certificates is both to collect the contractualcash flow and to sell the negotiable certificates of deposit, which are classified as financial assets at fair value through othercomprehensive incomes. Interest revenue is accrued according to the effective interest rate method during the expected duration.Are there any major changes about the valuation attribute of Company's main assets during the reporting period?

□ Yes ? No

3. Restrictions of assets and rights by the end of reporting period

See 18. "Assets with title or use right restrictions", VII "Notes to items of consolidated financial statements", SECTION X"FINANCIAL REPORT" for details.VII. Investment Situation Analysis

1. General condition

□ Applicable ? Not applicable

2. Significant equity investment to be acquired during the reporting period

□ Applicable ? Not applicable

3. Significant non-equity investment to be handled during the reporting period

□ Applicable ? Not applicable

4. Investments in financial assets

(1) Conditions of the securities investment

□ Applicable ? Not applicable

The Company involves no securities investment during the reporting period.

(2) Derivative investment

? Applicable □ Not applicable

1) Hedging derivative investment during the reporting period

? Applicable □ Not applicable

Unit: RMB 10,000

2) Speculation derivative investment during the reporting period

□ Applicable ? Not applicable

During the reporting period, there was no speculative investment on derivatives.

5. Application of capital raised

□ Applicable ? Not applicable

No capital raised was used in reporting period

VIII. Sales for major assets and equity

1. Sales for major assets

□ Applicable ? Not applicable

The Company did not sell major assets till the end of the reporting period.

2. Sales for major equities

□ Applicable ? Not applicable

IX. Analysis for Main Holding Companies and Joint Stock Companies? Applicable □ Not applicableStatus of main subsidiaries and joint stock companies with influence on the Company's net profit exceeding 10%

Unit: RMB

Subsidiary obtaining and disposal details during the reporting period

□ Applicable ? Not applicable

Main controlling and shareholding companies

X. Structural Subject under the Company's Control

□ Applicable ? Not applicable

XI. Prospects for Future Development

1. Future development strategy and operation plan of the Company

With the construction of a new development pattern with the domestic cycle as the main body and the domestic andinternational double cycle promoting each other, the policy of expanding domestic demand and promoting consumption willcontinue to take effect, and the strong magnetic attraction of China's large domestic demand market remains unchanged, and themiddle class and young people continue to promote the growth of consumption. At the same time, the continuation of the ‘trade-in’policy for consumer goods in the field of home appliances and support for the renovation of old houses, partial renovation ofkitchens and bathrooms, and ageing of homes and other favorable policies will stimulate the consumption demand of the domestickitchen appliance market to a certain extent. The Company will unswervingly implement the established strategic routes, takeconsumer demand as the guide, continuously promote the product innovation strategy and high-quality product strategy, furthergive full play to the Company's competitive advantages of multi-brands and multi-categories in the field of small domesticappliances and kitchens, cultivate new businesses and new categories, promote the development of sub-categories, and satisfy thediversified consumer demand.

In terms of channels, the Company will strengthen the refined management of online business and continuously improve theprecise operation with the help of digitalization. In terms of traditional e-commerce platforms, the Company will activelycooperate with the development strategy of each platform, manage the category and price system among the platforms, andcontinue to increase the market share and sales scale of traditional e-commerce. In terms of social and live-streaming e-commerce,the Company will focus on short videos and high-quality content output to create core category hits, gain more trafficopportunities, continue to increase the conversion rate and repeat purchase rate, and enhance marketing efficiency. In terms ofoffline business, on the basis of the original tens of thousands of sales terminals across the country, the Company continues toimprove and optimize its sales network, and continues to plough into channels such as Internet sinking, traditional distribution,home decoration market and instant retail. Through the distribution platforms of JD, Alibaba and Suning, the Company hasaccelerated its penetration in the third- and fourth-tier and even township markets. In addition, the Company makes full use of itsgood distributor network coverage capacity to seize business opportunities such as instant retail and community; furtherstrengthening its cooperation with major outlets to consolidate the dominant position of SUPOR brand in major retail channels.

In terms of brand building, the Company will further strengthen its brand building and consolidate its brand equity. On theproduct side, the Company continues to focus on innovation and quality to enhance the product's ‘appearance value influence’. Onthe brand side, the Company uses the consumer scene and lifestyle as an entry point and are taken on by core categories, theCompany creates emotional value for consumers and continues to renew the brand impression, consolidating the user's mind. TheCompany will continue to deepen user insights and enhance the conversion effect of the insights on the ground; optimize the userexperience and provide quality products, content and services around the user's whole life cycle journey with the private domain asthe main position; deepen the mining of user assets and further enhance the marketing efficiency by relying on the efficientconversion of the private domain to the public domain.

In terms of export business, although there are certain uncertainties in the international situation, the Company relies on theadvantages of Groupe SEB's export orders, and continues to promote cooperation with Groupe SEB in research and development,design, manufacturing and other aspects, to expand the scale of the order, to obtain the scale of the cost competitive advantage,and to enhance the core competitiveness of the export business.

In terms of industrial development, the Company will further carry out cost optimization and lean saving projects, strengthenR&D base management, promote the market rapid response capability of the industrial system, and continue to enhance costcompetitiveness. On the other hand, under the guidance of the national ‘dual-carbon’ strategy, the Company practices greenproduction, green procurement, green products and green services. The Company further promotes energy saving and emissionreduction through photovoltaic power generation, DSM (Digital Energy Management System), process and procedureimprovement, etc. For example, the rooftop photovoltaic of the Yuhuan WMF site and Vietnam site have reduced carbonemissions by more than 4,000 tons per annum, and the Wuhan site has launched the DSM digital energy management system in2024, which had reduced carbon emissions by 836 tons.

In terms of talent cultivation, the Company will continue to strengthen the construction of talent pipeline, continue to promoteand improve the long-term incentive mechanism to stimulate the vitality of talents; build an efficient talent managementmechanism to create a positive and efficient working atmosphere for employees, and further promote the high degree ofcompatibility between talent strategy and corporate strategy.

2. Possible risks and countermeasures

(1) Risk from macroeconomic fluctuation

In 2025, the domestic cookware and small domestic appliance industry coexist with both opportunities and risks. Thedomestic appliance market has evolved with polarizing of demands. Supor will continuously adhere to established strategies. Onone hand, it will stimulate demand for renewing traditional products and to look for new growth point through exploration of newcategories and new scenes on the other hand. In addition, the state's continued implementation of the "trade-in" policy is expectedto stimulate new demand for home appliances.

In terms of exports, in 2025, the export business is expected to keep growing steadily. The Company will work with foreigntrade customers to R&D products, enhance efficiency, cut costs, and boost the competitiveness of its foreign-trade business.

(2) Risk from production element price change

The prices of major bulk raw materials for cooking utensils and small domestic appliance may fluctuate due to geopoliticaland economic factors. Supor will continue to implement cost-reduction lean projects to improve the internal labor productivity, sothat the cost competitiveness of the Company's internal and external sales business can be enhanced. Besides the Company isactively boosting the automation of production line, improving the per capita labor output, and reduce the impact caused by rise inlabor cost.

(3) Risk of intensifying market competitiveness

With the grading of consumption in the cookware and domestic appliance market, on the one hand, high-end brands continueto sink their channels and adjust their product and price strategies in order to take up more market share, and on the other hand, thesales impact brought by competitions between platforms and is expected to intensify the cost performance battle in the comingyear.

The Company will continue to adhere to the strategy of product innovation as its core, and launch more high value-added andhigh margin products through continuous improvement of innovation capacity, in order to gain a leading sales position and aleading market share in the mid to high price range. Meanwhile, the Company will also increase the product marketing throughonline terminal traffic appropriately, take advantage of its comprehensive competitive advantage in terms of multiple brands andcategories, and continuously input marketing resources to obtain incremental sales and improve market shares. In addition, theCompany will actively invest in the markets in lower-tier cities in order to reach more consumer groups. The Company willcontinue to strengthen and expand its core categories, expedite the product layout in emerging categories and segment markets,and to maintain a steady and sustainable growth for the Company in the future.

(4) Product export and exchange loss caused by exchange rate fluctuation

The Company has adopted RMB settlement for main export customer SEB Group with low exchange rate risk.

XII. Investigation & Research, Communication and Interview Activities During theReporting Period

? Applicable □ Not applicable

XIII . Implementation of the Formulation of the Market Value Management System and theValuation Improvement PlanHas the Company formulated a market value management system?

□ Yes ? No

Has the Company disclosed a plan for improving its valuation?

□ Yes ? No

XIV. Implementation of the Action Plan for "Double Improvement of Quality and Return"

Has the Company disclosed an action plan for "Dual Improvement of Quality and Return"?

□ Yes ? No

SECTION IV CORPORATION GOVERNANCE

I. Basic SituationDuring the reporting period, the Company further standardized the operation of the Company and improved the governanceby continuously building up and strengthening the corporate governance system, improving the internal control and managementsystem, and deepening the governing process strictly in accordance with the Company Law, the Securities Law and the Rules onthe Corporate Governance of Listed Companies, Rules Governing the Listing of Stocks on Shenzhen Stock Exchange and theShenzhen Stock Exchange Regulatory Guidelines for Listed Companies No. 1-Standardized Operation of Listed Companies as wellas other regulations of CSRC. By the end of the reporting period, the actual governance of the Company was basically incompliance with the relevant regulations of corporate governance of listed companies issued by the CSRC and Shenzhen StockExchange, and with the rules of established systems of the Company. No administrative regulation measures were taken byregulatory department upon the Company.

(I) Relating to Shareholders and the General Meeting of ShareholdersDuring the reporting period, the Company has convened and held the general meetings of shareholders strictly according tothe Rules for the General Meetings of Shareholders of Listed Companies, Rules and Procedures for the Shareholders' Meeting, andother rules and requirements, and ensured the legality and validity of the convening. According to the Implementing Rules for theOnline Voting at the Shareholders' Assembly of Listed Companies of Shenzhen Stock Exchange, the Company clearly defined thespecific process of online voting and completely implemented online voting of general meeting of shareholders, in order to involvemedium and small investors in the online voting more effectively, and guarantee the legitimate rights and interests of allshareholders, especially of the minority shareholders.During the reporting period, six General Meetings of Shareholders were held. The convening and holding procedures,qualifications of attended persons, voting procedures, voting results and resolution contents of the meeting conformed to laws andregulations and Articles of Association.(II) Relating to the Company and the Controlling ShareholderDuring the reporting period, the Company was autonomous in business and operation, and kept independent of its controllingshareholder in terms of assets, business, personnel, organization and finance. The Board of Directors, the Board of Supervisors andother internal organizations operate independently. The Controlling Shareholder of the Company exercised its rights through theGeneral Meeting of Shareholders, and did not directly or indirectly intervene with the Company's decision-making or operatingactivities. The related transaction between the Company and its Controlling Shareholder was fair and reasonable; the decision-making rules were in compliance with the relevant provisions; no fund occupation by the Controlling Shareholder existed.

(III) Relating to Directors and the Board of DirectorsThe Company elected directors strictly according to the procedures stipulated in the Company Law and the Articles ofAssociation, and ensured the open, fair, equitable and independent appointment and election of directors, and the number andcomposition of the Board of Directors follow relevant laws and regulations. All directors have actively participated in theCompany's operation and decision-making activities, performed their duties, attended the relevant training sessions organized bysupervisory departments, pursuant to the Company Law, the Shenzhen Stock Exchange Regulatory Guidelines for ListedCompanies No. 1-Standardized Operation of Listed Companies, the Articles of Association and the Rules and Procedures for theBoard of Directors. The Board of Directors consists of Strategy Committee, Audit Committee, Compensation and AppraisalCommittee with independent directors fully exerting their specialties, which further improves the working efficiency and decision-making level of the Board of Directors and plays significant roles in the Company's normative operation.

During the reporting period, seven Board of Directors meetings were held. The convening and holding procedures,qualifications of attended persons, voting procedures, voting results and resolution contents of the meeting conformed to laws andregulations and Articles of Association.

(IV) Regarding Independent Directors and Their Special Meetings

The Company currently has three independent directors, representing 1/3 of its directors. All independent directors of theCompany strictly abide by relevant laws and regulations, such as the Company Law, the Corporate Governance of ListedCompanies, and the Measures for the Administration of Independent Directors of Listed Companies, as well as the provisions ofthe Company's Articles of Association. They are loyal to their duties, give full play to the role of independent directors, andsafeguard the legitimate rights and interests of the Company and all shareholders, especially the rights and interests of minorityshareholders.

During the reporting period, the Company convened four Special Meetings of Independent Directors, focusing on anddeliberating key matters such as connected transaction to disclosed, periodic reports, continuing engagement of the accountingfirm, and the equity incentive plan. During on-site attendance at the Company's board of directors, independent directors visitedHangzhou and Shaoxing bases, communicated with management and business heads to gain a deeper understanding of operatingcondition. Aside from attending the Board of Directors, Shareholders' Meetings, and Special Meetings of Independent Directors,independent directors also closely connect with other directors, executives, and staff via calls, emails, and WeChat groups. Theystay updated on the Company's operations and market trends by reading materials from the Securities Department of the Company,including legal updates, violation cases, internal rule changes, analyst reports, and compliance training content. This approachenhances their legal and regulatory awareness and improves their ability to perform their duties.

(V) Relating to Supervisors and the Board of Supervisors

The Company elected supervisors strictly according to the provisions under the Company Law and the Articles ofAssociation. The number of supervisors and composition of the Board of Supervisors met the requirement of relevant laws andregulations. All supervisors have performed their duties as required by the Regulations of Procedure of the Board of Supervisors,effectively supervised the legality and regulatory compliance of important matters, related transactions, financial conditions, andduty fulfillment of directors and senior executives of the Company, and maintained the legitimate rights and interests of theCompany and its shareholders.

During the reporting period, seven Board of Supervisors meetings were held. The convening and holding procedures,qualifications of attended persons, voting procedures, voting results and resolution contents of the meeting conformed to laws andregulations and Articles of Association.

(VI) Relating to Performance Appraisal and the Incentive and Restraining Mechanism

The Company established and constantly improved the performance appraisal system and the incentive restrainingmechanism for supervisors, directors and senior executives who work in the Company and receive remuneration. The appointmentand remuneration for directors, supervisors and senior executives of the Company are open, clear and in line with relevant lawsand regulations. During the reporting period, the Company successfully completed several key tasks. First, it facilitated the listingand circulation of unrestricted shares for the first releasing period of both the 2021 Restricted Stock Incentive Plan (Draft) and the2022 Restricted Stock Incentive Plan (Draft). Second, it finished the registration of stock options granted under the 2024 StockOption Incentive Plan (Draft). Furthermore, the Company reviewed and approved the Administration Measures for the SecondPerformance Incentive Fund, which is aimed at effectively incentivizing senior executive management.

(VII) Relating to Information Disclosure and Transparency

The Securities Department of the Company is responsible for information disclosure. Abiding by requirements of the CSRCand Shenzhen Stock Exchange and provisions on compilation of periodic reports in good faith, the department, in association withthe Financial Department of the Company, has timely and accurately compiled and submitted the 2023 Annual Report, 2024 FirstQuarterly Report, 2024 Semiannual Report and 2024 Third Quarterly Report, based on the strict compliance with the non-disclosure rules before the disclosure of the reports.

In accordance with the Rules Governing the Listing of Stocks on Shenzhen Stock Exchange, the Securities Department of theCompany disclosed, after review and adoption by the Board of Directors or the General Meeting of Shareholders, the routineinformation (board meetings and meetings of Board of Supervisors), fatal information (external investments, related transactions),and significant events truly, accurately, completely, timely and fairly. During the reporting period, the Company disclosed 130announcements and documents and fulfilled the filing management of information disclosure documents and compliance with thenon-disclosure rules before the disclosure of the reports. In particular, the Company prepared process memorandums of importantmatter and management files of insider personnel before planned and implemented important matters, which made the informationdisclosure timely, true, accurate, complete and fair. There was no irregular or untimely information disclosure, and the Companyhas not been penalized by regulatory authorities.

(VIII) Relating to investor relationship management

The Securities Department of the Company carries out investor relations management as required by the Investor RelationsManagement System. It standardizes the reception process for investors and maintains a transparent, two-way communicationmechanism. And it also offers investors diverse communication channels, such as a hotline and email. In investor relationsactivities, the Company is dedicated to enhancing communication efficiency and quality with both domestic and foreign investors,and interacting through more diverse channels and means. In the reporting period, the Company hosted 20 periodic reportconference calls and on-site performance presentations, with over 1,500 participants in investor activities throughout the year.Additionally, a total of 11 Investor Relations Activity Records of Zhejiang Supor Co., Ltd. were disclosed on the Interactiveplatform. In 2024, the Company organized a variety of investor relation activities, including periodic report conference calls,annual performance presentations, site visits, channel research, broker strategy meetings, one-on-one investor meetings, and largerscaled investor meeting, ensuring ongoing interaction with investors and timely information updates. On April 3 and November 15,2024, the Company organized investor meetings at its Shaoxing and Yuhuan bases. The management team participated in bothevents, engaging in thorough communication with investors and bolstering trust with them. The Company remains dedicated toimproving communication efficiency with investors and continuously providing them with opportunities to gain deeper insightsinto its operations and strategic direction.

In 2024, the Company was honored with the “26

th

Listed Company Golden Bull Award - Most Valuable Investment Award”and the “18

thChina Listed Company Value Evaluation – Top 100 Main Board Listed Companies by Value.”(IX) Relating to the progress of revisions to the Company's internal control systemIn August 2023, the CSRC issued the Measures for the Administration of Independent Directors of Listed Companies and, inDecember 2023, revised and issued the Guidelines for Articles of Association of Listed Companies. In order to further enhance theCompany's internal governance, the Company, upon approval at the 7

thSession of the Eighth Board of Directors and the AnnualGeneral Meeting of Shareholders for 2023 Fiscal Year, revised the Articles of Association, the Rules and Procedures for the Boardof Directors of Zhejiang Supor Co., Ltd. and the Working System for Independent Directors of Zhejiang Supor Co., Ltd., andredrafted both the Working Rules for the Audit Committee of the Board of Directors of Zhejiang Supor Co., Ltd. and the WorkingRules for the Compensation and Appraisal Committee of the Board of Directors of Zhejiang Supor Co., Ltd. Furthermore, tofurther improve the Company's governance structure, standardize the procedures for selecting accounting firms, and enhance thequality of financial information, the Company, in accordance with the Company Law, the Administration Measures for theSelection and Engagement of Accounting Firms by State-owned Enterprises and Listed Companies, and other regulatorydocuments, formulated the Selection and Engagement System of Accounting Firm of Zhejiang Supor Co., Ltd. based on its actualcircumstances.

Subsequently, the Company will sort out and update the internal control systems issued by the Company in a timely mannerin accordance with the current laws and regulations, and will continuously establish and improve the internal control systems, tomake them work more efficiently.Is there any major variation between the actual situation of the Company's corporate governance, and laws, administrativeregulations, and stipulations issued by the CSRC concerning the governance of listed companies?

□ Yes ? No

There is no major variation between the actual situation of the Company's corporate governance, and laws, administrativeregulations, and stipulations issued by the CSRC concerning the governance of listed companies.II. Independence of the Company Relative to the Controlling Shareholders and the ActualControllers in Ensuring the Company's Assets, Personnel, Finance, Organization, Business,etc.(I) Independent and complete assets structureThe Company had its production and business operation place independent from that of the controlling shareholder, and hadindependent and complete assets structure, independent production system, auxiliary production system and supporting facilities,land use right, housing ownership, as well as independent purchasing and selling systems.(II) Independence of personnelIn terms of personnel, labor, personnel and remuneration management, the Company was completely independent. Suchsenior executives as the General Manager, Vice General Manager, Board Secretary of Directors and Chief Financial Officer didnot hold any position concurrently in controlling shareholder or other subsidiaries excepting director and supervisors, nor receiveany remuneration from the controlling shareholder or other subsidiaries.(III) Independence of financeThe Company has an independent financial department, has established independent accounting system and financialmanagement system, and makes financial decisions independently. It has opened independent bank accounts and pays taxesindependently.(IV) Independence of organizationsThe Company has set up the organization independent from the controlling shareholder completely, and there exists no mixedoperation or management. It adopts a BU management system, and has departments directly under the Head Office and three BUs(cookware, small domestic appliances and large kitchen appliances) and high-end business modules. Neither controllingshareholder nor any other company or individual has intervened with the organization structuring of the Company. No "superiorand subordinate relationship" exists between the controlling shareholder and its functional departments on the one hand, and theCompany and its functional departments on the other hand.(V) Independence of business operation from shareholders or other related partiesThe Company is mainly engaged in designing, producing and selling cookware, small domestic appliances, large kitchenappliances and H&PC products, which are not produced by the controlling shareholder or any of its subsidiaries for the Chinesemarket. The Company has an independent "procurement, production and sales" system. It operates business independently fromshareholders or any other related party.

III. Horizontal Competition

□ Applicable ? Not applicable

IV. General Meetings of Shareholders and Interim General Meeting of Shareholders Heldduring the Reporting Period

1. General meetings of shareholders during the reporting period

2. Interim General Meeting of Shareholders held at the request of preferred shareholders with restoredvoting right

□ Applicable ? Not applicable

V. Directors, supervisors and senior executives

1. Basic information

If there is any separation of directors and supervisors and dismissal of senior executives during the reporting period

□ Yes ? No

Change of Directors, Supervisors and Senior Executives? Applicable □ Not applicable

2. Position information

Professional backgrounds, main working experiences, and main responsibilities in the Company of present directors, supervisorsand senior executives

1. Directors

Mr. Thierry de LA TOUR D ARTAISE: Chairman, Master of Management of Paris ESCP; Chartered Accountant; Chairmanof SEB Group; former CEO and Vice President of SEB Group, Chairman of CALOR, CFO and CEO of CROISIERES PAQUET,audit manager of Coopers & Lybrand.Mr. Stanislas de GRAMONT: Director, graduated from ESSEC Business School (Paris); CEO of SEB Group, and formerChief Operating Officer of SEB Group, executive management positions at Danone and CEO of Suntory Beverage & Food Europe.Mr. Olivier CASANOVA: Director, graduated from HEC Paris. Chief Financial Officer of SEB S.A.. He formerly served asDeputy CFO of CMA CGM, CEO of CMA CGM Air Cargo and CFO of CEVA Logistics, CFO of Tereos, Head of Financing &Treasury and Corporate Finance for PSA Peugeot Citro?n, and Head of Group Strategy, Marketing and M&A for Thomson, etc..Ms. Delphine SEGURA VAYLET (resigned on February 28, 2025): Director, holds Master degree in International LaborLaw of University Paris 1 Panthéon Sorbonne; Senior Executive Vice President of Human Resources of SEB Group, and heldvarious executive management positions at TOTAL Group as Vice-President of Group Human Resources and Zodiac Aerospaceas Group Human Resources Director and COMEX member and STMicroelectronics as Group Human Resources Director atDigital Consumer Division.

Mr. Su Xianze: Director, CEIBS EMBA, Senior Economist; Chairman and General Manager of Supor Group Co., Ltd.,Chairman of Taizhou Supor Real Estate Development Co., Ltd. and Chairman of Zhejiang Supor Water Heater Co., Ltd.. He hassevered as Chairman of the Company from 2001 to April 2014, and General Manager from 2001 to March 2010.

Mr. Tai Wai Chung: Director, graduated from the Industrial Engineering Major of University of Hong Kong; President ofAsian Division of SEB S.A., had served as Executive Vice-President of Asian Division of SEB S.A., the director and generalmanager of Apple (Great China) Company, marketing director of Electrolux Appliances Company, director and general managerof Shanghai SEB Electric Appliances Co., Ltd and general manager of the Company before.

Mr. Hervé MACHENAUD: independent director, graduated from ?cole Polytechnique; President of Hong Ma ConsultingServices (Beijing) Co., Ltd.. He formerly served as Leader of EDF Group Delegation to China, Senior Executive Vice President ofEDF Group, Director in charge of EDF Generation and Engineering (DPI) and Asia-Pacific Director.

Mr. Jean-Michel PIVETEAU: independent director, doctor of business administration and master of political science. He isSenior Consultant of CFI Financial Consultant, Chairman of the Board of Supervisors of MicroCred China, Vice-Chairman of theBoard of Supervisors of BAOBAB, and member of the Board of Directors of French Foreign Trade Advisors. He formerly servedas Adviser for China to BNP Paribas Chairman, Senior Adviser to BNP Paribas for China, Country Head of Paribas Bank innumerous Asian countries and Middle East countries.

Mr. Chen Jun: independent director, doctor of accounting of Xiamen University, post-doctor of business administration(accounting) of Zhejiang University. He is now the Chairman, Professor, Doctoral Tutor of the Department of Finance and

Accounting of Zhejiang University. He is the Director of the Institute of Finance and Accounting of Zhejiang University, DeputyDirector of the Global Entrepreneurship Research Center of Zhejiang University, Director of the Research Center of ListedCompanies of Zhejiang Business Research Institute of Zhejiang University. He also serves as Vice President of ZhejiangAssociation of Chief Accountants and independent director of the listing company.

2. Supervisors

Mr. Philippe SUMEIRE: Supervisor, graduated from Aix-en-Provence Law School with PHD's degree of Private Law andComparative Law; Vice President Legal Affairs of Groupe SEB and Board Secretary. He has worked first for PEUGEOT S.A andATOCHEM (chemical industry) and then held the position of General Counsel and Company Secretary for CLUB MED, GIATINDUSTRIES and MOULINEX S.A.Mr. Zhang Junfa: Supervisor, graduated from Northwestern Polytechnical University; Chairman of the Trade Union of theCompany and deputy director of Administration Department of Yuhuan Site, he was working for Security Department and thenworked in Legal Affairs Department and office.Ms. Lu Lanhua: Supervisor, graduated from Shanghai University of Finance and Economics and MBA of University ofManchester, member of ACCA. Currently the financial director of Cookware Business Unit of the Company; she previouslyworked as the Company’s Financial planning & analysis manager, worked for Greif Flexible Products& Service (China) asaccounting manager, UNSA (Hangzhou) Packaging Manufacturing Ltd. as financial manager.

3. Senior executives

Mr. Cheung Kwok Wah: General Manager of the Company (resigned on January 23, 2025), Bachelor of Economics, ChineseUniversity of Hong Kong, MBA of Kelly School of Business, Indiana University, former Chairman and President of theInternational Business Department of China Feihe Co., Ltd., and former Chairman and CEO of Nestlé Greater China.

Mr. Xu Bo: Chief Financial Officer, graduated from Central University of Finance and Economics; member of CICPA andACCA; former Senior Auditing Manager of Shenzhen Zhonghua Certified Public Accountants, Chief Financial Officer of Yue SaiKan Cosmetics Limited, Chief Financial Officer of Molex Interconnect (Shanghai) Co., Ltd., Chief Financial Officer of MicrosoftChina.

Mr. Ye Jide: Board Secretary, Vice General Manager, and Director of Securities Department, CEIBS EMBA. He isIndependent Director of Beijing DeepZero Intelligent Technology Co., Ltd., has worked successively as the chief of equipmentsector, office head and assistant to the general manager of the Company.Position information in shareholders' companies? Applicable □ Not applicable

Position information in other companies? Applicable □ Not applicable

Penalties imposed by securities regulatory authorities on the Company’s current and former directors, supervisors, and seniorexecutives in the past three years

□ Applicable ? Not applicable

3. Remuneration of directors, supervisors and senior executives

Decision-making procedures, determination basis of remuneration and actual payment for directors, supervisors and seniorexecutives

Remuneration basis fordirectors, supervisors andsenior executives

Remuneration for Directors, Supervisors and Senior Executives during the reporting period

Unit: RMB 10,000

Description of other situations

□ Applicable ? Not applicable

VI. Duty Performance of Directors during the Reporting Period

1. Board of Directors during the reporting period

2. Attendance of board meeting and general meeting of shareholders by directors

Explanation on absence for twice continuouslyNone

3. Objections by directors to company issue

Were there any objections raised by directors to company issues?

□ Yes ? No

There was no objection raised by any director to company issues during the reporting period.

4. Other explanations of duty performance of directors

Was there any advice raised by directors to company issues adopted by the Company?? Yes □ No

Explanation on adoption or non-adoption of the advice from directorsDuring the reporting period, all directors of the Company were responsible and diligent. They paid close attention to thereports about Company news by press and on the Internet and understood progress of the Company's important matters timely.They reviewed the information reports provided by the Company periodically, and gave relevant comments and advices. Theyexerted their specialties fully, performed the duties as directors actively and maintained the legitimate rights and interests of theCompany and minority shareholders.VII. Situation of Special Committees under the Board of Directors during the ReportingPeriod

VIII. Work of the Board of Supervisors

During the reporting period, did the Board of Supervisors find any risk about the Company?

□ Yes ? No

The Board of Supervisors held no objection to the issues supervised during the reporting period.

IX. Employees of the Company

1. Number of Employees, professional and education conditions

2. Remuneration policy

The Company adopts floating salary system for all employees. Salary that we provide to employees includes pre-tax basicsalary, performance salary and various incentive bonuses in the form of currency; we also offer various non-monetary welfaressuch as commercial insurance, internal and external training, internal development and comfortable working environment.We provide employees with competitive salary and welfare to keep a certain degree of competitiveness and absorb talents;while in the Company, to stabilize those key employees, embody the Company's value orientation, motivate self-improvement ofemployee and create high performance.

3. Training plan

1) Training system:

Guided by strategic planning and business development needs, Supor is committed to expanding employees' career path andprofessional ability. The Company actively organizes diverse training on professional and technical sequences and managementsequences, aiming to comprehensively improve employee skills. According to the Company's planning of talent developmentstrategy and coordinating with talent echelon construction, the Supor designs learning projects systematically and at differentlevels to ensure the continuity and effectiveness of talent cultivation.

The detailed offline training data in 2024 are as follows:

2) Various forms

Supor lays emphasis on the innovation of employee training adopts a diverse range of training models; including onlinelearning platforms, live streaming courses, offline learning, project workshops, internal and external thematic exchange sessions,and benchmark visits. These innovative learning approaches not only enhance engagement and the overall training experience butalso significantly improve the efficiency of knowledge transfer and skill application.

3) Internal inheritance

According to the planning of talent development strategy and coordinating with talent echelon construction, the Companyirregularly organizes professional personnel in relevant fields to extract knowledge, develop courses and impart theirorganizational and personal experience. We also provide instructor and tutor resources which are mainly from internal managers toemployees to improve the competence and speed up the growth of employees and practice our talent building and developmentpolicies.

4. Labor outsourcing

? Applicable □ Not applicable

X. Profit distribution and conversion from capital reserves to share capitalFormulation, implementation or adjustment of profit distribution policies, especially cash dividend policies during the reportingperiod? Applicable □ Not applicableDuring the reporting period, the Company implemented the profit distribution plan in strict accordance with the Articles ofAssociation and other relevant provisions, where the dividend distribution standard and proportion were clear and definite and therelevant decision-making procedures and mechanisms were complete. The Company held the 7

thSession of the Eighth Board ofDirectors and the 7

thSession of the Eighth Board of Supervisors on March 29, 2024, and held the Annual General Meeting ofShareholders for 2023 Fiscal Year on April 25, 2024, which reviewed and approved the Proposal on Profit Distribution Plan 2023.The Company's Profit Distribution Plan 2023 is: based on 796,891,157 shares at the end of 2023 (total capital stock of806,708,657 shares at the end of 2023 deducted by 9,817,500 shares of repurchased shares in the Company’s special stockrepurchase account), the Company will distribute all shareholders cash dividends of CNY27.30 per 10 shares (tax included), andtotal amount of cash dividends is CNY2,175,512,858.61. No bonus share will be distributed or conversion from capital reserves toshare capital is made this year. On May 28, 2024, the profit distribution plan of the Company for 2023 Fiscal Year was completed.

Information on profit-making during the reporting period and positive undistributed profit of parent company for shareholders butwithout cash dividend distribution plan

□ Applicable ? Not applicable

Profit distribution and conversion from capital reserves to share capital during the reporting period? Applicable □ Not applicable

XI. Implementation of Company's Equity Incentive Plan, Employee Equity Holding Plan orOther Employee Incentive Measures? Applicable □ Not applicable

1. Equity incentive

(I) 2021 Equity Incentive Plan

1. On January 26, 2024, the 6

th Session of the Eighth Board of Directors and 6

thSession of the Eighth Board of Supervisorsreviewed and adopted the Proposal on Unlocking of Restricted Stock within the First Unlock Period of 2021 Restricted StockIncentive Plan, agreeing to unlock the Restricted Stock for 270 qualified Incentive Employees in the first unlock period. Thenumber of Restricted Stock unlocked is 555,750 shares. The date of circulation of the Restricted Stock unlockable during the firstunlock period is February 2, 2024.For detailed contents, see Announcement of Unlocking of Restricted Stock within the First Unlock Period of 2021 RestrictedStock Incentive Plan and the Suggestive Announcement on Listing of Restricted Stock Unlockable during the First Unlock Periodof 2021 Restricted Stock Incentive Plan disclosed on Securities Times, China Securities Journal, Securities Daily, andhttp://www.cninfo.com.cn.on January 27 and 31, 2024 (Announcement No.: 2024-005, 2024-007).

2. On August 30, 2023, the 2

nd Session of the Eighth Board of Directors and the 2

ndSession of the Eighth Board ofSupervisors reviewed and adopted Proposal on Repurchasing and Canceling a Part of Restricted Stock. For disqualification of 2incentive employees due to their resignation, the Company decided to repurchase and cancel 2,000 shares of restricted stock. Inaddition, on March 29, 2024, the 7

th Session of the Eighth Board of Directors and the 7

th

Session of the Eighth Board ofSupervisors reviewed and adopted Proposal on Repurchasing and Canceling a Part of Restricted Stock. For the disqualification of2 incentive employees due to their resignation, the Company decided to repurchase and cancel 5,500 shares of restricted stock. TheProposal on Repurchasing and Canceling a Part of Restricted Stock has been adopted by the Annual General Meeting ofShareholders for 2023 Fiscal Year held on April 25, 2024. The Company repurchased and canceled 7,500 shares of restricted stockof 2021 Equity Incentive Plan at the price of RMB 1 per share and paid totally RMB 7,500 to the above resigned incentiveemployees. After confirmed by Shenzhen Branch of China Securities Depository and Clearing Corporation Limited, the Companycompleted repurchase and cancellation on August 7, 2024.For detailed contents, see Announcement of Repurchasing and Canceling a Part of Restricted Stock and Announcement ofCompletion of Repurchase and Cancellation of Restricted Stock disclosed on Securities Times, China Securities Journal,Securities Daily, and http://www.cninfo.com.cn on August 31, 2023, March 30, 2024 and August 8, 2024 (Announcement No.:

2023-063, 2024-021 and 2024-039).

3. On January 10, 2025, the 13

th

Session of the Eighth Board of Directors and the 13

th

Session of the Eighth Board ofSupervisors reviewed and adopted Proposal on Unlocking of Restricted Stock within the Second Unlock Period of 2021 RestrictedStock Incentive Plan, agreeing to unlock the Restricted Stock for 266 qualified Incentive Employees in the second unlock period.The number of Restricted Stock unlocked is 548,250 shares. The date of circulation of the Restricted Stock unlockable during thefirst unlock period is February 11, 2025.Please refer to the Announcement of Unlocking of Restricted Stock within the Second Unlock Period of 2021 Restricted StockIncentive Plan and the Suggestive Announcement on Listing of Restricted Stock Unlockable during the Second Unlock Period of2021 Restricted Stock Incentive Plan disclosed on Securities Times, China Securities Journal, Securities Daily, andhttp://www.cninfo.com.cn on January 11, 2025 and February 10, 2025 (Announcement No.: 2025-004, 2025-010).(II) 2022 Equity Incentive Plan

1. On August 30, 2023, the 2

nd Session of the Eighth Board of Directors and the 2

nd

Session of the Eighth Board ofSupervisors reviewed and adopted Proposal on Repurchasing and Canceling a Part of Restricted Stock. For disqualification of 3incentive employees due to their resignation, the Company decided to repurchase and cancel 3,250 shares of restricted stock. In

addition, on March 29, 2024, the 7

th Session of the Eighth Board of Directors and the 7

th

Session of the Eighth Board ofSupervisors reviewed and adopted Proposal on Repurchasing and Canceling a Part of Restricted Stock. For the disqualification of4 incentive employees due to their resignation, the Company decided to repurchase and cancel 9,500 shares of restricted stock. TheProposal on Repurchasing and Canceling a Part of Restricted Stock has been adopted by the Annual General Meeting ofShareholders for 2023 Fiscal Year held on April 25, 2024. The Company repurchased and canceled 12,750 shares of restrictedstock of 2022 Equity Incentive Plan at the price of RMB 1 per share and paid totally RMB 12,750 to the above resigned incentiveemployees. After confirmed by Shenzhen Branch of China Securities Depository and Clearing Corporation Limited, the Companycompleted repurchase and cancellation on August 7, 2024.For detailed contents, see Announcement of Repurchasing and Canceling a Part of Restricted Stock and Announcement ofCompletion of Repurchase and Cancellation of Restricted Stock disclosed on Securities Times, China Securities Journal,Securities Daily, and http://www.cninfo.com.cn on August 31, 2023, March 30, 2024 and August 8, 2024 (Announcement No.:

2023-063, 2024-021 and 2024-039).

2. On October 24, 2024, the 11

th

Session of the Eighth Board of Directors and the 11

th

Session of the Eighth Board ofSupervisors reviewed and adopted Proposal on Unlocking of Restricted Stock within the First Unlock Period of 2022 RestrictedStock Incentive Plan and Proposal on Repurchasing and Canceling a Part of Restricted Stock, agreeing to unlock the RestrictedStock for 286 qualified Incentive Employees in the first unlock period. The number of Restricted Stock unlocked is 456,201 shares.The date of circulation of the Restricted Stock unlockable during the first unlock period is November 19, 2024. Since theperformance assessment of business units that incentive employees serve did not achieve the 100% unlocking target under the firstunlock period, the Company decided to repurchase and cancel Restricted Stock amounting to 178,674 shares in accordance withthe 2022 Restricted Stock Incentive Plan at the price of RMB 1 per share. The Proposal on Repurchasing and Canceling a Part ofRestricted Stock has been adopted by the Fourth Interim General Meeting of Shareholders 2024 held on November 11, 2024. TheCompany repurchased and canceled 178,674 shares of restricted stock of 2022 Equity Incentive Plan at the price of RMB 1 pershare and paid totally RMB 178,674 to the above incentive employees. After confirmed by Shenzhen Branch of China SecuritiesDepository and Clearing Corporation Limited, the Company completed repurchase and cancellation on January 17, 2025.For detailed contents, see Announcement of Unlocking of Restricted Stock within the First Unlock Period of 2022 RestrictedStock Incentive Plan, Announcement of Repurchasing and Canceling a Part of Restricted Stock, Suggestive Announcement onListing of Restricted Stock Unlockable during the First Unlock Period of 2022 Restricted Stock Incentive Plan and Announcementof Completion of Repurchase and Cancellation of Restricted Stock disclosed on Securities Times, China Securities Journal,Securities Daily, and http://www.cninfo.com.cn on October 25, 2024, November 14, 2024 and January 21, 2025 (AnnouncementNo.: 2024-057, 2024-058, 2024-062 and 2025-006).

3. On January 10, 2025, the 13

th Session of the Eighth Board of Directors and the 13

th

Session of the Eighth Board ofSupervisors reviewed and adopted Proposal on Unlocking of Postponed Portion of Restricted Stock within the First Unlock Periodof 2022 Restricted Stock Incentive Plan, agreeing to unlock the postponed portion of Restricted Stock for 2 qualified IncentiveEmployees in the first unlock period. The number of Restricted Stock unlocked is 29,625 shares. The date of circulation of thepostponed portion of Restricted Stock unlockable during the first unlock period is March 3, 2025 (since the 2 incentive employeesin the postponed portion are top management of the Company, those unlocked shares have been locked as locked stocks of topmanagement).

For detailed contents, see Announcement of Unlocking of Postponded Portion of Restricted Stock within the First UnlockPeriod of 2022 Restricted Stock Incentive Plan and Suggestive Announcement on Listing of Postponed Portion of Restricted StockUnlockable during the First Unlock Period of 2022 Restricted Stock Incentive Plan disclosed on Securities Times, ChinaSecurities Journal, Securities Daily, and http://www.cninfo.com.cn on January 11, 2025 and February 28, 2025 (AnnouncementNo.: 2025-005 and 2025-012).

(III) 2023 Equity Incentive Plan

During the reporting period, there were no updates regarding the implementation of the Company’s 2023 Equity IncentivePlan.

(IV) 2024 Equity Incentive Plan

1. On August 29, 2024, the 9

th Session of the Eighth Board of Directors and the 9

thSession of the Eighth Board ofSupervisors reviewed and adopted the Proposal on 2024 Stock Option Incentive Plan (Draft) and its Abstract. The Board ofSupervisors have conducted preliminary verifications on the List of Incentive Employees.

For detailed contents, see 2024 Stock Option Incentive Plan (Draft) and its Abstract of Zhejiang Supor Co., Ltd. disclosed onCninfo (http://www.cninfo.com.cn) on August 30, 2024.

2. On September 14, 2024, the Company disclosed Verification Opinions on List of Incentive Employees for 2024 StockOption Incentive Plan. The Board of Supervisors has verified the Incentive Employees of 2024 Stock Option Incentive Plan andconcluded that the subjective qualifications of the Incentive Employees involved in this plan are legal and valid.

For detailed contents, see Verification Opinions on List of Incentive Employees for 2024 Stock Option Incentive Plandisclosed on Securities Times, China Securities Journal, Securities Daily, and http://www.cninfo.com.cn on September 14, 2024(Announcement No.: 2024-045).

3. On September 20, 2024, the Third Interim General Meeting of Shareholders 2024 reviewed and adopted the Proposal on2024 Stock Option Incentive Plan (Draft) and its Abstract, Proposal on Assessment Measures for the Implementation of the 2024Stock Option Incentive Plan and Proposal on Requesting the General Meeting of Shareholders to Authorize the Board of Directorsto Deal with Issues Related to the Company's 2024 Stock Option Incentive Plan.

For detailed contents, see Announcement on Resolutions of the Third Interim General Meeting of Shareholders 2024disclosed on Securities Times, China Securities Journal, Securities Daily, and http://www.cninfo.com.cn on September 21, 2024(Announcement No.: 2024-046).

4. On September 21, 2024, the Company disclosed Self-verification on Buying or Selling the Company's Shares by Insidersand Incentive Employees of 2024 Stock Option Incentive Plan. The Company’s insiders did not trade the Company’s shares orinvolved in insider trading during the process of planning. In addition, the Company’s insiders and Incentive Employees did nottrade the Company’s shares or involved in insider trading within six months before the publication of the Incentive Plan.

For detailed contents, see Self-verification on Buying or Selling the Company's Shares by Insiders and Incentive Employees of2024 Stock Option Incentive Plan disclosed on Securities Times, China Securities Journal, Securities Daily, andhttp://www.cninfo.com.cn on September 21, 2024 (Announcement No.: 2024-047).

5. On September 27, 2024, the 10

th Session of the Eighth Board of Directors and the 10

th

Session of the Eighth Board ofSupervisors reviewed and adopted the Proposal on Grant of Stock Options to Incentive Employees. The Company planned to grant1,131,000 Stock Options to totally 57 Incentive Employees. The Company completed the registration of stock option on October14, 2024.

For detailed contents, see Announcement of Grant of Stock Option to Incentive Employees and the Announcement ofCompletion of Registration for Grant of Restricted Stock of 2024 disclosed on Securities Times, China Securities Journal,Securities Daily, and http://www.cninfo.com.cn on September 28, 2024 and October 15, 2024 (Announcement No.: 2024-050,2024-052).Equity incentives received by the Company's directors and senior executives? Applicable □ Not applicable

Unit: share

Evaluation mechanism and incentive of senior executivesThe Company has established a perfect performance appraisal system and salary system for senior executives, which directlyconnects the work performance of senior executives with their salary. Based on the indicators of the KPI system established at thebeginning of 2024, the Company has conducted the year-end appraisal in January 2025 of senior executives of their workingabilities, duty performance and target fulfillment, meanwhile, distributed annual performance salary. During the reporting period,the Company implemented the 2024 Stock Option Incentive Plan (Draft), and reviewed and approved the AdministrationMeasures for the Second Performance Incentive Fund, with a view to achieving effective motivation of the senior executives. TheCompany held the 11

thSession of the Eighth Board of Directors on October 24, 2024, and agreed to unlock the restricted stocksgranted to the senior executives in the first unlock period of the 2022 Restricted Stock Incentive Plan (Draft). The 13

thSession ofthe Eighth Board of Directors of the Company was held on January 10, 2025, the Company agreed to unlock the restricted stocksgranted to the senior executives in the second unlock period of the 2021 Restricted Stock Incentive Plan (Draft) and the postponedportion of restricted stocks granted to the senior executives in the first unlock period of the 2022 Restricted Stock Incentive Plan(Draft) The Compensation and Appraisal Committee of the Board of Directors reviewed the appraisal result.

2. Implementation of the employee stock ownership plan

□ Applicable ? Not applicable

3. Other employee incentive measures

? Applicable □ Not applicable

(I) Administration Measures for the Performance Incentive FundOn March 29, 2024, the 7

th

Session of the Eighth Board of Directors and the 7

thSession of the Eighth Board of Supervisorsreviewed and adopted the Proposal on Accrual and Allocation Scheme of Performance Incentive Fund in 2023. According to theAdministration Measures for the Performance Incentive Fund, the accrual condition of the Performance Incentive Fund in 2023 issatisfied, the Company plans to accrue RMB22,903,379 incentive funds and distribute to 285 eligible reward employees.

For detailed contents, see Announcement of Accrual and Allocation Scheme of Performance Incentive Fund in 2023 disclosedon Securities Times, China Securities Journal, Securities Daily, and http://www.cninfo.com.cn on March 30, 2024 (AnnouncementNo.:2024-020).(II) Administration Measures for the Second Performance Incentive FundOn August 29, 2024, the 9

th Session of the Eighth Board of Directors and the 9

th

Session of the Eighth Board of Supervisorsreviewed and adopted Proposal on the Administration Measures for the Second Performance Incentive Fund.

For detailed contents, see the Administration Measures for the Second Performance Incentive Fund disclosed on Cninfo(http://www.cninfo.com.cn) on August 30, 2024.XII. Development and implementation of internal control systems during the reportingperiod

1. Development and implementation of internal controls

In accordance with the requirements of the Basic Standards for Internal Control of Enterprises, its supporting guidelines, aswell as other requirements for internal control supervision and based on the principles of comprehensiveness, significance, balance,adaptability and cost-effectiveness, the Company establishes and improves the internal control system implemented by the Boardof Directors, Board of Supervisors, managers and all employees to achieve the Company's strategic development goals, with aview to reasonably ensuring the legal compliance of the Company's operation and management, asset security, and authenticityand integrity of financial statements and related information, and to improving business efficiency and effectiveness.

1. Control environment

(1) Governance structure

In accordance with the provisions of national laws and regulations, resolutions of the General Meeting of Shareholders, andthe Articles of Association, the Company defines the duties and authorities, rules of procedure, and working procedures of theGeneral Meeting of Shareholders, Board of Directors, Board of Supervisors and managers, so as to form a governance mechanismfor the separation of decision-making, implementation, and supervision. The Board of Directors is accountable for the GeneralMeeting of Shareholders, and exercises the business decision-making power of the Company according to law, and shall beaccountable for the establishment, improvement and effective implementation of internal control. The special committeespertaining to strategy, audit and remuneration set up under the Board of Directors provide support for scientific decision-making,in which the Audit Committee is responsible for reviewing and supervising the effective implementation of internal controls andthe self-evaluation on internal controls. The Board of Supervisors is accountable for the General Meeting of Shareholders andsupervises the Board of Directors and senior executives of the Company to perform their duties according to law. The senior

management composed of the President and the Chief Financial Officer are accountable for the Board of Directors, and takecharge of the daily operation and management activities of the Company.

(2) Organizational structure and division of authorities and responsibilities

In view of the business characteristics and internal control requirements, the Company reasonably sets up internalorganizations at all levels, such as the functional departments of the headquarters, business departments, production bases,marketing centers and other internal institutions, and defines the division of authorities and responsibilities in the organizationstructure chart, job descriptions, business flow charts, authorization system documents and other internal management documents,so as to form a working mechanism that allows performance of corresponding duties with mutual restriction and coordination.

(3) Internal audit

The Company has set up an audit department, which reports to the Audit Committee of the Board of Directors. The auditdepartment evaluates the level of internal control and the efficiency of process control and organization by means of internal audit,internal control consultation and organizational risk assessment, and timely reports to the management and the Audit Committeefor the internal control defects and potential risks detected in the process of supervision and inspection, and promotes relevantdepartments to formulate action plans and follow up the corresponding rectification performance to ensure the effectiveimplementation of internal controls.

(4) Human resource policies

In accordance with the development strategy, current situation of human resources, and future demand forecast, the Companyformulates and implements human resources policies conducive to the sustainable development of the Company. The PersonnelManagement System, Recruitment Management System, Remuneration Management System, Training Management System,Attendance Management System, and Employee Manual formulated by the Company clearly define the principles and processesfor the employees in aspects of selection and appointment, dimission and transfer, remuneration assessment, training, rewards andpunishments, labor disciplines, information confidentiality, etc.

(5) Enterprise culture

The Company adheres to the enterprise spirit of "With Pressure, Face Pressure, Overcome pressure", sets up the enterprisestyle of "Patriotism, Integrity, Modesty, Pragmatism, Innovation and Transcendence, and devotes to improving the living qualityof thousands upon thousands of families in their kitchens and homes, so that "Where there is a home, there is Supor" can becomethe consensus of more and more consumers. Through the establishment of a series of internal norms such as the Basic Law ofSupor, the Code of Professional Ethics of Employees and the Rules for Anti-spam the Company integrates the efficient andpragmatic corporate culture into all aspects of daily production and operating activities, and enhances the employees' sense ofresponsibility and sense of mission, normalizes employee behaviors, enhances corporate cohesion and coagulation, and constantlyimproves the overall image of the Company.

2. Risk assessment

According to the established control objectives and the characteristics of business development in different stages, theCompany introduces different forms of measures, such as risk self-assessment, risk mapping, and tax risk matrix, to carry outcomprehensive, systematic and continuous collection of relevant information, with the method combining both quantitative andqualitative measures, in order to timely identify and systematically analyze the internal risks in the production and operatingprocesses in terms of human resources, management, innovation, finance, assets, health, safety, environmental protection, dataconfidentiality, business loss, and continuing operation, and the external risks in the production and operating processes in termsof politics, economy, law, taxation, science and technology, natural environment, social environment, etc., and to determine therisk response strategy that matches the Company's risk bearing capacity and take appropriate control measures to achieve effectiverisk control, on the basis of weighing the principle of cost-benefit.

3. Control activity

In the course of daily operation, the Company continuously establishes and improves various management systems, coveringfinancial accounting, internal control, human resources, material procurement, inventory management, asset management,

technological R&D, production process, quality control, product sales and after-sales service, health, safety and environment,information system management and security comprehensive management, etc., to ensure the compliance of all work aspects.Under the various institutional frameworks, the Company reasonably ensures the realization of business objectives through theimplementation of key control measures and procedures.Key controls must include: separated control for incompatible posts, approval control for authorization, accounting systemcontrol, property protection and control, budget control, operational analysis control, performance assessment control and othercontrols.

(1) Approval control for authorization: the Company defines the scope, authority, procedure, responsibility and other relevantaspects of authorization and approval, and the management staff at all levels of the Company must exercise the correspondingfunctions and powers within the scope of authorization, and the handling personnel must also handle economic transactions withinthe scope of authorization and bear corresponding liabilities.

(2) Separated control for incompatible posts: the Company sets up a reasonable division of labor, scientifically dividesresponsibilities and powers, and formulates the System of Separation of Responsibilities and Powers in accordance with theprinciple of separation of incompatible duties, so as to form a mechanism of mutual checks and balances. Incompatible dutiesmainly include: feasibility study and decision approval, decision approval and implementation, implementation and supervision &inspection.

(3) Accounting system control: in strict accordance with the provisions of the Accounting Standards for Business Enterprises,the Company formulates the financial policies and processes such as the Accounting Preconditions and Basic Principles,Accounting System of Accounting Subjects, Revenue Recognition System, Consolidated Statement System, and AccountSettlement Process, clearly defines the handling procedures for accounting vouchers, accounting books and financial statements,so as to ensure the authenticity and integrity of accounting data.

(4) Property protection and control: the Company strictly restricts unauthorized personnel from accessing and disposingassets, and adopts measures such as regular stock-taking, asset records, account verification, and property insurance, to ensure thesafety of all kinds of assets in accordance with the requirements of the Inventory Taking and Regulation System, and Fixed AssetsManagement System formulated by the Company.

(5) Budget control: the Company implements comprehensive budget management in accordance with the Budget System, andthe responsible departments at all levels prepare their budgets in accordance with their responsibilities and powers, and regularlyfollow up the implementation of their budgets after being reviewed and approved by the management.

(6) Operational analysis control: the Company has established a regular operation analysis mechanism, with which themanagement can utilize the data and information acquired in the production, procurement, sales, finance and other systems tocomprehensively analyze and evaluate the Company's operating risks and market situations, timely detect any problems, identifythe causes and formulate effective rectification plans for improvement.

(7) Performance assessment control: according to the requirements of the Company's Remuneration Management System, theCompany's organizations at all levels have established and implemented a comprehensive and systematic performance assessmentsystem, to scientifically set up performance assessment indicators of various individuals/groups, regularly organize assessment andobjective evaluation, and take the assessment results as the basis for employee remuneration adjustment, job promotion, rewardand punishment, post transfer, dismissal, etc.

4. Information and communication

According to the requirements of development strategy, risk control and performance assessment, the Company hasestablished different levels of internal reporting indicator systems, in order to enable the management at all levels to timely andcomprehensively access all kinds of internal and external information pertaining to production and management and promptlyformulate business principles and policies adaptive to business and environmental changes. The internal reporting systems makefull use of information technology to build a scientific internal reporting network based on reliable information systems such asSAP, BI, CRM, SRM, consolidated statements, and management statements.

The Company has established a special anti-fraud mechanism, clearly defined the key areas and key links of anti-fraud effortsand the anti-fraud responsibilities and powers of relevant departments, and set up the solely-designated supervision channel tostandardize the whistleblowing, investigation, handling, reporting and follow-up processes of fraud cases. Besides, through e-mail,official website, WeChat official account, contracts, training, meetings and other forms of measures, the Company publicizes theanti-fraud policies and supervision channels to employees, suppliers, distributors and other stakeholders from time to time, so as toform an anti-fraud atmosphere which emphasizes on prevention and combines both punishment and prevention.

5. Supervision on control

The Company has established an internal control and supervision mechanism, with which the independent directors and theBoard of Supervisors can fully and independently perform supervisory duties for the management of the Company, and carry outindependent evaluation and provide independent suggestions. The Company has formulated the Internal Audit System, and thespecial internal audit department under the leadership of the Audit Committee of the Board of Directors can independently carryout internal audit, implement effective supervision over the management and promote the effective implementation of internalcontrols. In the light of the situation of internal supervision, the Company regularly carries out self-evaluation on the effectivenessof internal controls and issues Self-Evaluation Report on Internal Control System.

2. Significant internal control defects of internal control found during the reporting period

□ Yes ? No

XIII. Company's Management and Control of Subsidiaries during the Reporting Period

The headquarters of listed companies effectively monitors the subsidiaries through the following measures:

(1) Delegate and appoint senior executives of subordinate subsidiaries at the beginning of each year, and clearly define theirterms of reference and report objects.

(2) Supervise subordinate subsidiaries to formulate detailed management processes and risk control procedures for variousbusiness sectors and functional areas under the principle frameworks of management systems of the headquarters and businessdivisions.

(3) Convene a monthly operating and financial meeting to review and follow up the implementation of the subsidiaries'business plans and the completion of various performance evaluation indicators in a timely manner, in accordance with theCompany's development and business objectives specified in the annual budget planning meeting. Besides, various functionalcommittees, such as product committee, and procurement committee, also carry out effective monitoring over the daily operationand operating activities of the subsidiaries.

(4) The main financial and business information systems, including SAP, CRM, SRM, BI, OMS and BPM, are centrallymanaged in the headquarters of listed companies, which is convenient for the headquarters to access and manage the production,sales and procurement of the subsidiaries through system reports in real time. In addition, all subsidiaries are also required tosubmit management reports in respect of operation, finance, industry, human resources, etc., to the headquarters on a monthlybasis.

(5) The receipts and payments of major subsidiaries are subject to centralized allocation and disbursement of the FinancialSharing Center of the headquarters of the listed companies, and the Financial Sharing Center is responsible for the preparationand reporting of the monthly balance sheets, profit statements and cash flow statements of the subordinate subsidiaries, andconvening regular meetings with subordinate subsidiaries to analyze and follow up the changes of various financial data.

(6) In accordance with the requirements of the Company's Management System for Information Disclosure Affairs, eachsubsidiary shall promptly report to the headquarters of the listed companies relevant information pertaining to majorbusiness/financial and other matters, and provide timely feedback on the progress or changes of major matters, and if necessary,go through the review and approval procedures of the Board of Directors and General Meeting of Shareholders.

(7) Timely identify the potential risks and major issues inside and outside the subsidiaries by means of internal audit, risk self-assessment, anti-corruption questionnaire, management statement and anti-fraud investigation, etc., draw the management'sattention to key areas and vulnerable links, and promptly take measures to reduce relevant risks.XIV. Evaluation Report of Internal Control or Internal Control Audit Report

1. Evaluation Report of Internal Control

2. Audit report of internal control

? Applicable □ Not applicable

Did the accounting firm issue the audit report of internal control with non-standard opinions?

□ Yes ? No

Is the audit report of internal control issued by the accounting firm consistent with the opinions in self-evaluation report of the

Board of Directors?? Yes □ NoXV. Rectification of Self-inspected Problems in the Special Action on Governance of ListedCompanies

Not applicable

SECTION V SOCIAL AND ENVIRONMENTAL

RESPONSIBILITIESI. Major Environmental IssuesDo the listed company and its subsidiary belong to key pollutant discharging unit posted by the environmental protectiondepartment?? Yes □ NoPolicies and industrial standards related to environmental protectionThe Company strictly adheres to relevant laws, administrative regulations, and normative documents, including theEnvironmental Protection Law of the People's Republic of China, the Law of the People's Republic of China on the Prevention andControl of Water Pollution, the Law of the People's Republic of China on the Prevention and Control of Atmospheric Pollution,the Law of the People's Republic of China on the Prevention and Control of Noise Pollution, the Law of the People's Republic ofChina on the Prevention and Control of Environmental Pollution by Solid Waste, the Environmental Impact Assessment Law ofthe People's Republic of China. It systematically establishes an environmental management system, comprehensively implementspollution prevention measures, improves environmental risk control mechanisms, prioritizes public health, and fulfills corporateresponsibilities in ecological and environmental protection.The Company adheres to the following laws, regulations, and standards in implementing pollution control measures:

Wastewater treatment: Comply with the following standards for pollutant treatment: Emission Limitation of Nitrogen andPhosphorus for Indirect Discharge of Industrial Wastewater (DB 33/887-2013), Emission Standard of Water Pollutants forElectroplating (DB 33/2260-2020), Integrated Wastewater Discharge Standard (GB 8978-1996), and Emission Standard ofPollutants for Electroplating (GB 21900-2008).Exhaust gas treatment: Standards of Emission Standard of Air Pollutants for Industrial Surface Coating (DB 33/ 2146-2018),Integrated Emission Standard of Air Pollutants (GB 16297-1996), Emission Standard of Pollutants for Electroplating (GB 21900-2008), Emission Standard for Odor Pollutants (GB 14554-93), Standard for Fugitive Emission of Volatile Organic Compounds(GB 37822-2019), Emission Standard of Air Pollutants for Industrial Kiln and Furnace (GB 9078-1996), and Emission Standardof Air Pollutants for Boiler (GB 13271-2014), etc. shall be adhered to in implementation.

Solid waste treatment: strict adherence to the relevant stipulations of the Law of the People's Republic of China on Preventionand Control of Environment Pollution Caused by Solid Wastes is required.

Noise control: subject to Emission Standard for Industrial Enterprises Noise at Boundary GB 12348-2008.Administrative permissions for environmental protection

The Company and its subsidiaries have obtained the following administrative permits for environmental protection:

Industrial emission standard and pollutant discharge in production and operating activities

Sewers (GB/T 31962-2015)

Treatment of pollutantsUpholding the concept of sustainable development, the Company has established and continuously improved itsenvironmental protection system, fully committed to establishing a green factory, and actively adopted advanced processes forpollution prevention and control to achieve whole process management and resource utilization of pollutants.In the field of water pollution prevention and control, the Company is equipped with specialized wastewater treatmentfacilities. Industrial wastewater is treated through processes such as chemical precipitation and contact oxidation, ensuring it meetsquality standards before being discharged into the municipal pipe network. Meanwhile, the Company has established the reclaimedwater system, implementing a tiered utilization scheme based on water quality characteristics to ensure that treated wastewater iseffectively reused.In terms of atmospheric pollution prevention and control, the Company has implemented a differentiated treatment processbased on waste gas characteristics. The Company has adhered to the cleaner production, and fully implemented a water-basedcoating substitution project, significantly improving the status of air pollutant control.

In terms of solid waste management, the Company has strictly adhered to the principles of "reduction, resource utilization,and harmless disposal", establishing a full-process management system for classified collection, regulated storage, and compliantdisposal. The non-cyclable waste shall be entrusted to qualified third-party organizations for harmless disposal.During the reporting period, if the Company does not exceed the standard discharge, it will meet the relevant requirements ofthe competent department for ecological environment.Environmental monitoring scheme

The Company has formulated an environmental monitoring scheme in accordance with relevant national laws and regulations,and entrusted a qualified third party to carry out environmental monitoring.Environmental emergency plan

The Company has completed the emergency plan for environmental emergencies and conducted regular emergency drills.Environmental governance and protection input and payment of environmental protection tax

During the reporting period, the Company's total investment in environmental governance and protection was RMB 31.44million, including RMB 0.078 million of environmental protection tax.Measures and effects taken to reduce carbon emissions during the reporting period? Applicable □ Not applicable

Supor actively responds to China's "carbon peaking and carbon neutrality" goals by consistently implementing the newdevelopment philosophy, striving to deploy distributed photovoltaic projects across its production bases, and accelerating theadoption of clean energy and smart energy management systems in production activities. By fully supporting market-orientedreforms in environmental resource elements such as carbon trading and leveraging green finance initiatives, the Company hasembraced a low-carbon economy and empowered green development.

The Company adheres to the corporate value of sustainable operations, closely monitors climate and environmental changes,and continuously promotes carbon reduction across all business areas, including green design, regenerative procurement, cleanerproduction, paperless office operations, eco-friendly packaging, and trade-in recycling programs. To reduce carbon emissionsthroughout the value chain of primary mineral resource exploration, mining, transportation, and smelting, Supor advocates andencourages its customers to use recycled raw materials such as recycled aluminium and recycled stainless steel, achieving carbon

footprint reduction at the source. In the future, the Company will recommend the use of recycled materials and otherenvironmentally friendly products to more customers and consumers.

Additionally, following the photovoltaic power generation project at Longshan plant in the Yuhuan Base, the Company'ssecond distributed photovoltaic power station at the Vietnam Base achieved grid connection and power generation during thereporting period. Currently, the Company's projects, including recycled raw material initiative, clean energy self-generation project,and smart energy management systems, have all entered normalized operation.During the reporting period, the Company implemented 82 technological upgrade and carbon reduction projects, withproduction bases actively promoting the replacement of high-efficiency motors and the renovation of high-energy-consumingequipment. Projects including the transformation of high-efficiency variable-frequency air compressors, the renovation of internaland external single coating equipment, and the upgrade of pure electric energy-saving injection molding machines resulted in atotal carbon reduction of 8,250 tons.Administrative penalties for environmental problems during the reporting periodNoneOther environmental information that shall be made publicNoneOther environmental protection related informationNoneII. Social ResponsibilitiesFor details, please refer to the Environmental, Social and Governance Report 2024 released by the Company.III. Consolidate and expand the achievement of poverty alleviation and the implementationof rural revitalization

During the reporting period, the Company actively supported the national policy of rural revitalization and commonprosperity, adhered to the vision and mission of the enterprise, supporting community services around enterprises and ruralrevitalization work in remote areas in central and western China, and donating funds to improve the conditions of basic educationin the mountainous areas of central and western China, to support the urban and rural schools to promote the education of lifeliteracy and to cultivate future-oriented, life-loving and healthy children and teenagers of the new era.

By the end of the reporting period, the Company has donated for the construction of 29 Supor Primary Schools in remotemountainous areas of central and western China as well as in the Company’s birthplace, with cumulative donations close to RMB40 million. Following the completion of poverty alleviation and the development of urban and rural societies, the Companyadjusted its project strategy to focus on enhancing the living and educational functions of town boarding schools, while continuingto deepen its support for rural education. In 2024, in collaboration with its public welfare partners, Supor continued to provideonline livestreaming courses in art, foreign languages, and science to 16 Supor Primary Schools. It also supplied volunteerteachers to 4 rural schools facing faculty shortages, ensuring that children in remote villages have access to quality educationalresources. The Company has long been committed to broadening the educational horizons of teachers in mountainous areasthrough training and incentive programs. In 2024, with Supor's support, 25 teachers from rural areas participated in study tours andtraining programs in cities such as Wuhan and Shanghai, enhancing their educational perspectives.

In the first half of 2024, Supor signed a strategic cooperation agreement with the Zhejiang Youth Development Foundation,pledging to donate no less than RMB 3 million in funds and materials from 2024 to 2027. Together, they implemented the "HopeProject - Little Artists of Life ", supporting urban and rural schools in building living and educational spaces, conducting life skillclasses, and enhancing life literacy education, enabling children to grow through practical experiences. By the end of the reporting

period, totally 50 urban and rural schools, including schools in cities such as Hangzhou, Shaoxing, Huzhou, Lishui, Wuhan,Changsha, Enshi, Xingyi, Zunyi, Ji'an, and Qinhuangdao have received support. In 2024, the Company donated funds andmaterials worth over RMB 1.6 million to the project. On the occasion of its 30

thanniversary, Supor, through the Zhejiang YouthDevelopment Foundation, donated 10,000 thermo bottles for children (valued at RMB 1.29 million). These bottles were distributedto children in over 60 rural schools across more than 10 provinces at the start of the new term in September 2024. In addition, theCompany also actively donated useful supplies for rural revitalization and earthquake rescue, bringing warmth to rural childrenand victims. In January 2025, the Company urgently coordinated 1,300 electric heaters (valued more than RMB 500,000), whichwere donated to earthquake-affected residents in Xiqin Township, Lazi County, Xigaze, Xizang Autonomous Region, through theXizang rescue team formed by the Zhejiang Youth Development Foundation and Hangzhou Dishui Charity.While fulfilling its social responsibilities, Supor employees enthusiastically participated in the Company's public welfareprojects through volunteer services, contributing a total of over 800 volunteer hours. Product engineers from Supor's ShaoxingBase leveraged their professional expertise to visit surrounding community schools, educating children on the scientific principlesand proper usage of small domestic appliances. During Public Welfare Week, Supor employee volunteers visited rural schools inHonghe, Yunnan, bringing companionship and innovative knowledge to the children.In the future, the Company will continue to actively respond to the national policy of rural revitalization and commonprosperity, give full play to the advantages of Supor's business capabilities and resources, actively promote various charityprograms and activities in terms of literacy education for children in rural villages and broadening their horizons, and work withmore like-minded charity partners to contribute to a better life and better society in rural areas.

Rural revitalization and common prosperity

Number of benefited rural students

Ranked 39

th

in the Zhejiang Province Listed Companies ESGStrategic Charitable Impact List in 2024

SECTION VI SIGNIFICANT EVENTS

I. Fulfillment of Commitments

1. Commitments that were fulfilled during the reporting period and had not been fulfilled till the end ofreporting period by actual controller, shareholder, related party, acquirer and other commitment partiesof the Company

□ Applicable ? Not applicable

There were no commitments that were fulfilled during the reporting period and had not been fulfilled till the end of reportingperiod by actual controller, shareholder, related party, acquirer and other commitment parties of the Company.

2. Where assets or projects of the Company are expected to make profit, and the expected profitingperiod is during the reporting period, the Company hereby explains.

□ Applicable ? Not applicable

II. Occupied Non-business Capital of Listed Company for Controlling Shareholders andRelated Parties

□ Applicable ? Not applicable

There was no non-operating occupation of capital of listed companies by controlling shareholders and their related parties of theCompany during the reporting period.III. Illegal External Guarantee

□ Applicable ? Not applicable

There was no illegal external guarantee of the Company during the reporting period.IV. Explanation on the Board of Directors on the Latest "Non-standard Audit Report"

□ Applicable ? Not applicable

V. Explanation on the Board of Directors, the Board of Supervisors and IndependentDirectors (If Any) on the "Non-standard Audit Report" during the Reporting Period

□ Applicable ? Not applicable

VI. Representation of Changes in Accounting Policies and Accounting Estimates orCorrection of Important Accounting Errors, Compared with the Financial Statements of thePrevious Year

□ Applicable ? Not applicable

During the reporting period, there was no change in accounting policies, accounting estimates or correction of importantaccounting errors.

VII. Information on Change of the Scope of Consolidated Statement Compared with thePrevious Year's Financial Statements

□ Applicable ? Not applicable

There was no change in the scope of consolidated statements during the reporting period.VIII. Employment and Disengagement of Certified Public Accountants

Certified public accountants engaged at the moment

Intension of changing certified public accountants

□ Yes ? No

Employment of internal control counting firm, financial consultant or sponsor? Applicable □ Not applicableSame accounting firm for internal control auditIX. Delisting after Disclosure of Annual Report

□ Applicable ? Not applicable

X. Bankruptcy or Reorganization

□ Applicable ? Not applicable

There was no bankruptcy, reorganization or related matters in the Company during the reporting period.

XI. Important Matters of Lawsuit and Arbitration

□ Applicable ? Not applicable

There was no significant litigation and arbitration occurred during the reporting period.XII. Punishment and Rectification

□ Applicable ? Not applicable

There was no punishment and rectification during the reporting period.XIII. Integrity of the Company, Its Controlling Shareholders and Actual Controllers

□ Applicable ? Not applicable

XIV. Major Related Transactions

1. Related transaction related to daily business

? Applicable □ Not applicable

2. Related transactions from purchase and sales for assets or equity

□ Applicable ? Not applicable

There were no related transactions from purchase and sales for assets or equity during the reporting period.

3. Related transaction for co-investment abroad

□ Applicable ? Not applicable

There was no related transaction involving joint external investment during the reporting period.

4. Connected creditor's rights and debts

□ Applicable ? Not applicable

There were no related creditor's rights and debts during the reporting period

5. Dealings with associated financial companies

□ Applicable ? Not applicable

There was no deposit, loan, credit or other financial business between the Company and associated financial companies and theirrelated parties.

6. Dealings between the financial companies controlled by the Company and their related parties

□ Applicable ? Not applicable

There was no deposit, loan, credit or other financial business between the Company and holding financial companies and theirrelated parties.

7. Other important related transactions

□ Applicable ? Not applicable

There were no significant related transactions during the reporting period.

XV. Significant Contracts and Performance

1. Custody, contracting, and leasing

(1) Custody

□ Applicable ? Not applicable

No custody was made during the reporting period.

(2) Contracting

□ Applicable ? Not applicable

No contracting was made during the reporting period.

(3) Leasing

? Applicable □ Not applicableCircumstances of leasingPlease refer to 15 "Right-of-use assets" and 28 "lease obligation" in Section X "Financial Statement" - VII. "Notes to items ofconsolidated financial statements".The profit and loss brought to the Company reaches more than 10% of the total profit of the Company during the reporting period.

□ Applicable ? Not applicable

During the reporting period, there are no leasing items that bring profits and losses of the Company to more than 10% of the totalprofits of the Company during the reporting period.

2. Major guarantee

? Applicable □ Not applicable

Unit: RMB 10,000

Note: The 7

thSession of the Eighth Board of Directors and the Annual General Meeting of Shareholders for 2023 Fiscal Year ofthe Company reviewed and approved the Guarantee for Wholly-owned Subsidiaries and Mutual Guarantee among Wholly-ownedSubsidiaries, and agreed that the Company and its wholly-owned subsidiaries would provide guarantees up to RMB 4 billion forthe wholly-owned subsidiaries in the year of 2024. Among them, the guaranteed amount for companies with 70% (inclusive) asset-liability ratio or over is RMB2.65 billion, and RMB 1.35 billion for companies with a asset-liability ratio below 70%.Specific description for using the composite guarantee situationNone

3. Entrusting others for cash asset management

(1) Entrustment for financial management

? Applicable □ Not applicableOverview of entrusted financing during the reporting period

Unit: RMB 10,000

Note: Details about the short-term financial products newly-purchased within first half year of 2024 can be found in theAnnouncement of Short-term Investment Using Excessive Cash (Announcement No.: 2024-016) and Announcement of Progress ofUsing Excessive Cash to Purchase Financial Products (Announcement No.: 2024-036) disclosed on the http://www.cninfo.com.cn.Specific situation of high-risk entrusted finance with significant single amount, low security and poor liquidity

□ Applicable ? Not applicable

Circumstances in which principal of entrusted financing may not be recovered or which may result in decrease in value:

□ Applicable ? Not applicable

(2) Entrustment for loan

□ Applicable ? Not applicable

No entrustment for loan was made during the reporting period.

4. Other significant contracts

□ Applicable ? Not applicable

There were no other significant contracts involved in the Company during the reporting period.

XVI. Instructions for Other Important Matters

□ Applicable ? Not applicable

The Company has no other important matters to be explained during the reporting period.

XVII. Important Matters of Subsidiaries

□ Applicable ? Not applicable

SECTION VII CHANGES IN SHARE CAPITAL AND

PARTICULARS ABOUT SHAREHOLDERSI. Changes of Shares

1. Changes of shares

Unit: share

Reasons for the change of shares? Applicable □ Not applicable

1. Top management of the Company unlocked 25% of the shares registered under their names based on holding shares at lasttransaction date of the last year.

2. On February 2, 2024, totally 555,750 shares of Restricted Stock in the first unlock period under the 2021 Restricted StockIncentive Plan were unlocked and circulated on the market.

3. On April 30, 2024, totally 5,150,000 shares of repurchased shares held in the Company’s special stock repurchase account werecanceled. Following the completion of cancellation, the Company's total capital stock was reduced from 806,708,657 shares to801,558,657 shares.

4. On August 7, 2024, totally 20,250 shares of restricted stock granted to the resigned incentive employees under Restricted StockIncentive Plan 2021 and 2022 were repurchased and canceled by the Company. Following the completion of repurchase andcancellation, the Company's total capital stock was reduced from 801,558,657 shares to 801,538,407 shares.

5. On November 19, 2024, totally 456,201 shares of Restricted Stock in the first unlock period under the 2022 Restricted StockIncentive Plan were unlocked and circulated on the market. Since the performance assessment of business units that incentiveemployees serve did not achieve the 100% unlocking target under the first unlock period, the Company repurchased and canceleda total of 178,674 shares of restricted stock that did not satisfy the unlocking conditions on January 17, 2025. Following thecompletion of repurchase and cancellation, the Company's total capital stock was reduced from 801,538,407 shares to 801,359,733shares.Approval of change in share? Applicable □ Not applicable

1. The Proposal on Unlocking of Restricted Stock within the First Unlock Period of 2021 Restricted Stock Incentive Plan wasreviewed and adopted by the 6

th

Session of the Eighth Board of Directors and 6

thSession of the Eighth Board of Supervisors heldon January 26, 2024, agreeing to unlock the Restricted Stock for 270 qualified Incentive Employees in the first unlock period. Thenumber of Restricted Stock unlocked is 555,750 shares. The date of circulation of the Restricted Stock unlockable during the firstunlock period is February 2. 2024.

2. The Proposal on Public Shares Repurchase Plan was reviewed and adopted by the 19

th

Session of the Seventh Board ofDirectors held on March 29, 2023 and the Annual General Meeting of Shareholders for 2022 Fiscal Year held on April 25, 2023.The above share repurchase plan was completed on April 24, 2024 and then the Company canceled 5,150,000 shares held in theCompany’s special stock repurchase account to reduce registered capital as authorized by the Annual General Meeting ofShareholders for 2022 Fiscal Year. The Company completed the cancellation of repurchased stock on April 30, 2024, after it wasreviewed and confirmed by Shenzhen Branch of China Securities Depository and Clearing Corporation Limited.

3. The Proposal on Repurchasing and Canceling a Part of Restricted Stock was reviewed and adopted by the 2

ndSession of theEighth Board of Directors and the 2

nd Session of the Eighth Board of Supervisors held on August 30, 2023, and the 7

thSession ofthe Eighth Board of Directors and the 7

thSession of the Eighth Board of Supervisors held on March 29, 2024, totally sevenincentive employees did not meet the incentive requirements due to resignation. The Company plans to repurchase and cancel20,250 shares of Restricted Stock not meeting the unlocking condition at the price of RMB1.00 per share. The above proposal wasreviewed and adopted by the Annual General Meeting of Shareholders for 2023 Fiscal Year on April 25, 2024. The Companycompleted repurchase and cancellation on August 7, 2024.

4. The Proposal on Unlocking of Restricted Stock within the First Unlock Period of 2022 Restricted Stock Incentive Plan andProposal on Repurchasing and Canceling a Part of Restricted Stock was reviewed and adopted by the 11

thSession of the EighthBoard of Directors and the 11

th

Session of the Eighth Board of Supervisors, the Company agreed to unlock the Restricted Stockgranted to 286 qualified Incentive Employees in the first unlock period. The number of Restricted Stock unlocked is 456,201shares. The date of circulation of the Restricted Stock unlockable during the first unlock period is November 19, 2024. Since theperformance assessment of business units that incentive employees serve did not achieve the 100% unlocking target under the firstunlock period, the Company decided to repurchase and cancel Restricted Stock amounting to 178,674 shares in accordance withthe 2022 Restricted Stock Incentive Plan at the price of RMB 1 per share. The Proposal on Repurchasing and Canceling a Part ofRestricted Stock has been adopted by the Fourth Interim General Meeting of Shareholders 2024 held on November 11, 2024. TheCompany completed the cancellation of repurchased stock on April 30, 2024, after it was reviewed and confirmed by ShenzhenBranch of China Securities Depository and Clearing Corporation Limited.

Transfer of shares changed

□ Applicable ? Not applicable

Influence of shares change on basic earnings per share and diluted earnings per share in latest year and period, net assets per shareowned by the Company's ordinary shareholder and other financial indexes.? Applicable □ Not applicableThere are 5,150,000 public shares repurchased and cancelled and 20,250 restricted stocks repurchased and cancelled in the periodin total, which creates a minor impact on the earnings per share and dilution of earnings per share, and creates no impact on otherfinancial indicators such as the net asset per share attributable to common share shareholders of the Company.The other contents the Company thinks fit to disclose or the securities regulatory authority requires to disclose

□ Applicable ? Not applicable

2. Changes of restricted shares

? Applicable □ Not applicable

Unit: share

II. Security Offering and Listing Information

1. Security offering (excluding preferred share) during the reporting period

□ Applicable ? Not applicable

2. Total shares of the Company, change of shareholder structure, and changes of the Company's assetsand liabilities structure? Applicable □ Not applicable

During the reporting period, the Company cancelled 5,150,000 public shares repurchased, and 20,250 restricted stocksgranted to resigned incentive employees under the 2021 Restricted Stock Incentive Plan and 2022 Restricted Stock Incentive Planbut not unlocked, which in combination are 5,170,250 shares in total. Upon the cancellation, the Company's total share capitaldecreased from 806,708,657 shares to 801,538,407 shares.

3. Staff shares

□ Applicable ? Not applicable

III. Shareholders and the Actual Controllers

1. Number of shareholders of the Company and share-holding conditions

Unit: share

Shareholders holding more than 5% of shares, the top 10 shareholders and the top 10 shareholders with unrestricted sharesparticipating in the refinancing business to lend shares

□ Applicable ? Not applicable

Top 10 shareholders and the top 10 shareholders with non-restricted shares changed from the previous period due tolending/returning of refinancing

□ Applicable ? Not applicable

Did the top 10 common shareholders and the top 10 common shareholders holding non-restricted shares conduct the agreedrepurchase transaction during the reporting period?

□ Yes ? No

The top 10 common shareholders and the top 10 common shareholders holding non-restricted shares did not conduct the agreedrepurchase transaction during the reporting period.

2. Controlling shareholders

Property of controlling shareholder: foreign-controlled shareholdingType of controlling shareholder: legal entity

Change of controlling shareholder during the reporting period

□ Applicable ? Not applicable

No change of controlling shareholder occurred during the reporting period.

3. Actual controller and persons acting in concert

Nature of actual controller: other foreign organizationType of actual controller: legal entity

Change of actual controller during the reporting period

□ Applicable ? Not applicable

No change of actual controller occurred during the reporting period.Property right and controlling relationship diagram between the Company and the actual controller

Actual controller controlling the Company by trust or other assets management types

□ Applicable ? Not applicable

4. The number of shares accumulatively pledged by the controlling shareholder or first majorityshareholder of the Company and its persons acting in concert account for 80% of the total number ofshares held by it or them.

□ Applicable ? Not applicable

5. Other corporate shareholders holding more than 10% shares

□ Applicable ? Not applicable

6. Share restriction reduction of commitment subjects such as controlling shareholder, actual controllerand the restructuring party

□ Applicable ? Not applicable

IV. Specific Implementation of Share Repurchase during the Reporting Period

Progress in the implementation of share repurchase? Applicable □ Not applicable(I) Repurchase scheme of some public shares in 2023

The 19th

Session of the Seventh Board of Directors held on March 29, 2023 and the Annual General Meeting of Shareholdersfor 2022 Fiscal Year held on April 25, 2023 reviewed and adopted the Proposal on Public Shares Repurchase Plan, according towhich the Company shall repurchase its own shares from the secondary market through concentrated bidding at the maximumprice of no more than RMB 60.93 per share, and the top limitation of shares to be repurchased shall not exceed 16,134,174 sharesand the bottom limitation of shares shall not lower than 8,067,087 shares. The time limit for shares repurchase shall not be morethan 12 months from the date of the adoption of the plan by the general meeting of shareholders. The Company first implementedthis shares repurchase plan on June 2, 2023, and completed it on April 24, 2024. The number of shares actually repurchased by theCompany was 8,150,000 shares, accounting for 1.01% of the total shares of the Company (total capital stock before thecancellation). In specific, the highest price is RMB 53.14 yuan per share and the lowest price is RMB 44.37 yuan per share withtotal payment of RMB 400,080,700 (excluding the transaction fee). The Company canceled 5,150,000 shares held in theCompany’s special stock repurchase account to reduce registered capital as authorized by the Annual General Meeting ofShareholders for 2022 Fiscal Year on April 30, 2024. Following the completion of cancellation, the Company's total capital stockwas reduced from 806,708,657 shares to 801,558,657 shares. There are 4,667,500 shares remaining in the Company’s special

stock repurchase account upon completion of the repurchased shares cancellation, which include the 3,000,000 repurchased sharesremained from the above-mentioned Public Shares Repurchase Plan and the 1,667,500 repurchased shares remained from previousPublic Shares Repurchase Plan, and these remaining repurchased shares will be used for implementing future equity incentiveplans, and if the Company fails to do so within three years after the completion of the Public Shares Repurchase Plan, thoserepurchased shares will be canceled accordingly. Before completion of cancellations and implementation of equity incentive plans,the repurchased shares are deposited in the Company’s special stock repurchase account. Above repurchased shares are notentitled to profit distribution, capitalization of provident fund, issuance of new shares and allotment of shares, pledge, voting rightsat shareholders' meetings and other related rights.For detailed contents, see Announcement on Completion of Cancellation of Repurchased Shares from Public SharesRepurchase Plan disclosed on Securities Times, China Securities Journal, Securities Daily, and http://www.cninfo.com.cn on May7, 2024 (Announcement No.: 2024-031).Progress in the reduction of shareholding of repurchased shares through auction

□ Applicable ? Not applicable

SECTION VIII INFORMATION ON PREFERRED SHARE

□ Applicable ? Not applicable

No preferred share existed during the reporting period.

SECTION IX BONDS

□ Applicable ? Not applicable

SECTION X FINANCIAL STATEMENTI. Audit Report

Main Text of Audit ReportAll shareholders of Zhejiang Supor Co., Ltd.,

I. OpinionsWe audited the attached financial statements of Zhejiang Supor Co., Ltd (hereinafter referred to as "Supor"), including theconsolidated and parent company balance sheet as of December 31, 2024, and the consolidated and parent company profitstatement, consolidated and parent company cash flow statement, consolidated and parent company statement of changes inshareholders' equities and notes to relevant financial statements in 2024.We think that the attached financial statements have been prepared in accordance with the provisions of the AccountingStandards for Business Enterprises issued by the Ministry of Finance of the People's Republic of China (hereinafter referred to as"Accounting Standards for Business Enterprises") in all major aspects, and fairly reflect Supor's consolidated and parent companyfinancial condition as of December 31, 2024, as well as the consolidated and parent company operating results and cash flows in2024.II. Basis of Forming Audit OpinionsWe implemented our audit work strictly according to the stipulations of Auditing Standard for Chinese Certified PublicAccountants (hereinafter referred to as "Auditing Standard"). The content of "Responsibility of CPA for financial statement audit"in the Audit Report further describes our responsibility under these standards. According to the Codes of Professional Ethics forCertified Public Accountants in China, we are independent of Supor, and we have fulfilled the other responsibilities on the aspectsof professional ethics. We believe the audit evidences acquired by us are sufficient and appropriate, and provide a basis forexpressing our audit opinions.III. Key Audit Matters

The key audit items are from our professional judgment; from our perspective, the key audit items are most important to thefinancial statement audit in the current period. The key audit items will be audited under the background that the financialstatement will be wholly audited to form audit opinions; we do not express independent opinions on these items.Revenue recognition

IV. Other InformationThe management of Supor is responsible for other information. Other information includes the information covered by the2024 Supor Annual Report, but excludes the financial statement and our audit report.Our audit opinions on financial statement do not cover other information, and we do not express any authenticationconclusions on other information.

Integrated with our audit on financial statement, our responsibility is to read other information. In this process, we considerwhether the other information is significantly different from the information we will acquire from our audit or whether the otherinformation has significant error.Based on the work we have already executed, if we confirm the other information has significant error, we should report thefact. On this aspect, we do not need to report any items.V. Responsibilities of Management and Governance on Financial StatementThe management of Supor (hereinafter referred to as the "management") is responsible for preparing financial statementaccording to the stipulations of Accounting Standards for Business Enterprises to enable fair presentation, and designing,executing and maintaining the required internal control to keep the financial statement free of material misstatement caused byfraudulent practice or error.When preparing the financial statement, the management is responsible for evaluating the continuing operation ability ofSupor, disclosing the items related to continuing operation (if any), and using going-concern assumption. Unless otherwise thatSupor plans to liquidate, terminates its operation or has no other realistic choice.The governance is responsible for supervising the financial statement process of Supor.VI. Responsibility of CPA for Financial Statement AuditOur objective is to acquire rational guarantee for keeping the financial statement free of material misstatement caused byfraudulent practice or error and providing the audit report containing audit opinions. The rational guarantee is a high-levelguarantee, but it cannot guarantee that a materials misstatement can be found if it exists when we audit according to the auditingstandard. The misstatement may be caused by fraudulent practice or error. If a single or summarized rational expectation onmisstatement may cause certain influence when financial statement user makes economic decision in accordance with the financialstatement, the misstatement will be deemed as "significant".

In the process of our audit according to the auditing standards, we used our professional judgment and retained ourprofessional skepticism. Meanwhile, we executed the following work:

(1) Identify and evaluate material misstatement risk of financial statement caused by fraudulent practice or error, design andimplement audit procedures to cope with these risks, and obtain sufficient and appropriate audit evidence as the basis for issuingaudit opinions. A fraudulent practice may involve in collusion, counterfeit, deliberate omission, false statement or may be abovethe internal control, so the risk that material misstatement caused by fraudulent practice may not be found is higher than the riskthat material misstatement caused by error may not be found.

(2) Learn internal control related to the audit for the purpose of designing proper audit procedures.

(3) Evaluate the appropriateness of the accounting policy selected by management and the rationality of the accountingestimate and related disclosure made by the management.

(4) Make conclusion for the appropriateness of the continuing operation assumption used by management. Meanwhile, makeconclusions for the one whether there is significant uncertainty in the issue or item which may result in substantive doubt on thecontinuing operation ability of Supor in accordance with the acquired audit evidences. If our conclusion thinks that there issignificant uncertainty, the auditing standard requires us to remind financial statement user in our audit report of paying attentionto the related disclosure in the financial statement. If the disclosure is not sufficient, we should present modified audit report. Ourconclusion is based on the information that is available by the audit report date. However future issue or circumstance may resultin discontinuing operation to Supor.

(5) Evaluate the overall presentation (including disclosure), structure and contents of financial statement, and evaluatewhether financial statement presents related transactions and items fairly.

(6) Acquire sufficient and appropriate audit evidences for financial information of entity activity or business activity ofSupor, and express opinions on audit financial statement. We are responsible for guiding, supervising and executing the audit ofthe Group, and bear full responsibility for audit opinions.

We communicated audit scope, time schedule and significant audit finding and other issues with governance, including theinternal control defect that is worthy of noting in the audit process.We have provided a declaration to the governance that we have abided by the professional ethics requirements related toindependency, and have communicated with the governance all relationships and other issues those are thought to affect ourindependency, as well as the related precautionary measures (if applicable).In the issue we communicated with the governance, we determined which issues are most important to the financialstatement audit in the current period, so which constitutes the key audit items. We described these items in our audit report, unlessotherwise these items are prohibited to openly disclose by law and regulation, or under few circumstances, if according to anrational expectation, when negative consequence of communicating an issue in the audit report may exceed its benefit on theaspect of public benefit, we confirm that we will not communicate the issue in our audit report.

KPMG Huazhen LLP (Special General Partnership) Chinese CPA:

(Project partner): ________________

Huang Feng

Beijing, China Chinese CPA: ________________

Jin Yang

Date: March 27, 2025

II. Financial StatementsUnit of statement in notes to financial statement: RMB

1. Consolidated balance sheet

Compiled by: Zhejiang Supor Co., Ltd.

December 31, 2024

Unit: RMB

Legal representative: Thierry de LA TOUR D’ARTAISE Person in charge of accounting: Xu Bo Person in charge of accountingdepartment: Xu Bo

2. Balance sheet of parent company

Unit: RMB

3. Consolidated profit statement

Unit: RMB

If the enterprise under the same control is merged, the net profit realized by the merged party before merger was RMB 0, and thenet profit realized by the merged party during the prior period was RMB 0.Legal representative: Thierry de LA TOUR D’ARTAISE Person in charge of accounting: Xu Bo Person in charge of accountingdepartment: Xu Bo

4. Profit statement of the parent company

Unit: RMB

5. Consolidated cash flow statement

Unit: RMB

6. Cash flow statement of parent company

Unit: RMB

7. Statement of changes in consolidated owners' equities

Amount of this period

Unit: RMB

Amount of the prior period

Unit: RMB

8. Statement of changes in owners' equities of the parent company

Amount of this period

Unit: RMB