ENVIRONMENTAL, SOCIAL AND

GOVERNANCE REPORTGuangdong Marubi Biotechnology Co., Ltd.

Table of ContentMessage from ChairmanAbout MarubiRecap of 2024ESG GovernanceTheme Spotlight: Scienti?cSkincare, Rejuvenating withCollagen "Core" Innovation

Appendix97Key Performance TableIndicators IndexAbout This Report

Enhancing Governance, SolidifyingDevelopment FoundationsEnforcing Baselines, Fortifying Risk BarrierOperating with Integrity, Adhering toBusiness EthicsProactive Measures, Protecting InformationSecurity

Steady Operation,ForgingSustainable"Beauty" Power

Leading with Technology, Decoding theBeauty of DiversitySafeguarding Innovation, ProtectingIntellectual PropertyIngenuity Embodies Quality, Guarding theEssence of BeautyPremium Service, Upholding the Promiseof BeautyUniting E?orts, Promoting theDevelopment of the Cosmetics IndustryCollaborating with Partners, Fostering aWin-Win Beauty Ecosystem

MeticulousCraftsmanship,Preserving theBeauty of Skin

Embracing Green Values, ImprovingEnvironmental ManagementLow-Carbon Transformation,Addressing Climate ChangeClean Production, ReducingEnvironmental FootprintEnvironmentally Friendly andResource ConservationCollaborative Green Initiative,Advocating Green O?ce

EnvironmentalProtection,Safeguarding theBeauty of Ecology

Equity and Diversity, Protecting EmployeeRights and InterestsEmpowering Employees, AchievingEmployees' DreamsConsiderate Care, Enriching WorkplaceExperienceWork Safety, Protecting Health and SafetyGratitude to Society, Contributing toCommunity Prosperity

People-Oriented,Composingthe Beauty ofHarmony

Message from Chairman

Twenty-three Years of Dedicated Craftsmanship, and Embarking on a New Chapter of "Core" Innovation in the 24thYear. As a pioneer and leader in the anti-aging eye care segment in China, 2024 not only marks the 23rd year of MarubiBiotechnology's deep cultivation in the eye care and skincare market, but also signi?es a milestone year of embarkingon a new high-tech journey and ushering in a new era of "core" innovation. In 2024, we achieved annual operatingrevenue of CNY 2.97 billion and net pro?t attributable to shareholders of CNY 342 million, with both revenue and pro?tposting YoY growth exceeding 30%. This marks the eighth consecutive quarter of robust revenue and pro?t expansion.Behind this stellar performance lies not only the self-developed and continuously re?ned online operational capabilities,but also Marubi's full-chain R&D ecosystem anchored in biotechnology innovation. This system has not only passedprofessional standard tests but also garnered empirical acclaim from over ten million consumers through its "visibleefficacy." We are leveraging our dedicated and in-depth biotechnology research and application as a pivot to drivethe transition from ingredient innovation to the entire industrial chain, enabling "Chinese Intelligent Manufacturing"products to gain a foothold on the global stage.

Sustainable Innovation

Technological innovation is ingrained in our DNA and serves as thecornerstone of our development. Three leading scientific researchinstitutions and the Marubi "Double Hundred" team have laid asolid foundation for the development of biotechnology. We havededicated ourselves to creating top-tier products, R&D investment,patent applications and authorizations have reached new heights.Marubi Recombinant Collagen 2.0, the establishment of the NationalRecombinant Functional Protein Technology Research Center atMarubi, the approval of the industry standard for Recombinant SolubleCollagen for project initiation, and Marubi being the ?rst drafter of thegroup standard for Quality Classi?cation and Evaluation Requirementsfor Front-runner Eye Cream. We have achieved one remarkable featafter another. The stock abbreviation has been officially changedto "Marubi Biotechnology", not only showcases the biotechnologyessence but also marks the beginning of a new journey on the dual-track integration path of "lifestyle beauty + medical aesthetics."Science CommunicationWe innovatively promoted science communication through thematiccampaigns including Seeking the Truth About Collagen and TheTruth in 7 Days, featuring CCTV-certified explanations of "CollagenInsider" and field investigations by renowned journalists into the"7-Day Wrinkle Reduction Truth." These efforts achieved over onebillion impressions, e?ectively popularizing science-based skincareconcepts and demonstrating Marubi's strength as a leading collagenexpert. We engaged with top industry experts to share new scienti?cachievements, published the Eye Anti-Aging Whitepaper, promotedingredient awareness and application, and collectively advanced thecosmetics industry's steady progress in scienti?c skincare, creating athriving ecosystem for shared industry prosperity.

Green and Low-CarbonWe are firmly committed to creating green products bysourcing green materials, establishing a green classi?cation andmanagement system for raw materials, eliminating controversialingredients and preferentially using priority raw materials informula development. We have optimized the energy structure,implemented comprehensive energy process management,upgraded energy-consuming equipment, and created greenoperation scenarios to gradually reduce carbon emissions. Duringthe reporting period, we completed carbon footprint accountingfor three star products, and our production site was selected as a"Guangdong Provincial Green Factory" in 2024.Looking ahead to 2025, we will continue to adhere to our originalaspirations and deepen our presence in the ?eld of technologicalcosmetics, and invest more in cutting-edge areas. With ourdetermined scienti?c and technological innovation capabilities,we will respond to changes. We believe that even in a challengingand uncertain environment, we can make steady progress. Inthe global process of sustainable development, we will leaveour solid footprints, aiming to add more "beauty" to society andjointly shape a beautiful future.

Digital Transformation

We comprehensively deepened digital transformation, empoweringthe full lifecycle product management with cutting-edge informationtechnologies such as big data and arti?cial intelligence to enhancequality and e?ciency. During the reporting period, we successfullylaunched the R&D knowledge question-answering large model"Marubi Researcher" and the Intelligent Manufacturing ExecutionSystem. We further advanced integrated supply chain dataconsolidation, strengthened supply chain collaboration, reducedoverall operating costs, and improved supply chain e?ciency.

Chairman of MarubiDr. Huaiqing Sun

On the path of sustainable development, we have deeply integratedthe ESG concept into our corporate DNA, establishing a full lifecyclemanagement system encompassing green R&D, low-carbonproduction, and responsible marketing. We have been honored withESG awards, such as the "ESG Golden Bull Award Top 100" and the"New-Quality Productivity Brand Enterprise," setting a benchmarkfor technology with a positive social impact in the industry.

0304Guangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance ReportMessage from Chairman

Equipped with strongproduction capabilities

and supply chainmanagement expertiseMarubi owns a 5C-certi?ed factory, with aconstruction area of 50,000 square metersand a second intelligent factory has beenput into operation. We have establishedan e?cient and collaborative supply chainmanagement system that supports rapid

and ?exible production and circulationthrough digital transformation.

About Marubi

CompetitiveAdvantages

CompanyOverview

Boasting a sales system thatcombines multi-channelcollaborative developmentwith ?ned management

The Industrial Ecological Layout of Beauty and Health

Marubi has built a multi-channel

sales network covering onlineplatform e-commerce, contente-commerce, o?ine daily chemicalspecialty stores, department storecounters and beauty salons.

Boasting robust R&Dcapabilities and systems

Possessing di?erentiatedbrand assets and precisepositioning in eye careMarubi, a skincare brand with over 20 years ofexperience, focuses on eye care and anti-wrinkle andwrinkle reduction. It has emerged as a leading domesticbrand with high-end and medium-end positioning anda considerable market share. Passional Lover, a cutting-edge makeup brand, excels in foundation products and

champions high quality with a minimalist approach.Chunji, adhering to the philosophy of food extracttechnology, and suitability for sensitive skin, positions

itself as a popular functional skincare brand.

Marubi achieves closed-loopresearch and transformationalutilization of core raw materialsalong with innovative

technological achievements.

20 Years of PioneeringAnti-Wrinkle and WrinkleReduction

Oriental Eye Care Expert

Extremely minimalist,

cutting-edge makeup

foundation

Food extract technology,suitable for sensitive skin

Passional Lover

Marubi

Chunji

Guangdong Marubi Biotechnology Co., Ltd. was established in 2002 and listed on the ShanghaiStock Exchange in 2019. The headquarters and factory are located in Guangzhou, China.Marubi is committed to the R&D, design, production and sales of cosmetics based onresearch in skin science and biological science. Its brands mainly cover the ?elds of anti-wrinkle and wrinkle reduction, functional skincare and makeup with di?erentiated brandpositioning, meeting the needs of consumers of di?erent ages and preferences. Followingthe principle of "using the best of the world to make the best of China", Marubi developshigh-quality products based on the world's leading technologies, takes the long-termismstrategy as the guiding direction, focuses on the mission of "technology-driven beauty andhealth", and adheres to the operation combining "technology + brand + digital intelligence",aiming to build a globally competitive cosmetics company.

0506About MarubiGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Corporate CultureCore Quali?cations and Honors

View of Career

View of Value

CulturalValues ofMarubiVi

ew

of

A

cti

on

View

o

f

Enterp

rise

View

of

Tale

n

t

View

of

Communication

View

of

Behavior

View

of

Team

View

of

Growth

View

of

Wealth

View

of

Life

View of DevelopmentCompete in innovation,service, and speed

Professional, attentiveand dedicated

View of ResponsibilityBe grateful to society

and act for love

View of IdealWe are far from perfect, but ourpursuit of perfection will never stop

View of LearningLearn throughout the lifetime,and apply what we have learned

Self-disciplined andcommitted to society

VisionTo become a world-classcompetitive enterprise in the?eld of beauty and health

MissionDiscover beauty, createbeauty, share beauty

PhilosophyDedicated to diminishing

every single wrinkle

Origin

The Chinese view of the universe:

Round sky, square earth.The Chinese view of dealing with theworld: Outwardly ?exible, inwardly

principled.The Chinese aesthetic view: Roundpearls, smooth jade.The Chinese people consider

roundness as perfection.

"Wan" means "roundness",and "Wan Mei" (Marubi) means"roundness embodies beauty"

National Demonstration List forIndustrial Internet Pilot Projectsby the Ministry of Industry andInformation TechnologyNational High-Tech Enterprise

National IntellectualProperty Demonstration

Enterprise

Guangdong Enterprise

Technology Center

Guangdong Provincial

Green Factory

Included in the List ofKey Intellectual PropertyEnterprises in Guangzhou

Guangdong Bio-SkincareEngineering Technology

Research CenterGuangdong Excellent

Specialized andInnovativeSmall andMedium-sized EnterpriseGuangzhouHeadquarters Enterprise

Guangdong IndustrialDesign CenterGuangdong ProvincialManufacturing Industry

Single ChampionGuangzhou Post-Doctoral Innovation

Practice BaseDigital Transformation Pilot

Leading Entity for SMEs in

Guangzhou City

Guangzhou CleanerProduction Enterprise

0708Guangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance ReportAbout Marubi

Key Milestones

The stock abbreviationwas o?cially changed to"Marubi Biotechnology"O?cial launch of theindustrial standardformulation forRecombinant SolubleCollagenand initiationof the "High-QualityStandards Initiative forRecombinant Collagen"

2024

Marubi's A-shareswere listed on theShanghai StockExchange main board,becoming China's?rst publicly tradedeye cream specialist

2019

Marubi achievedsigni?cant channeltransformationmilestones, transitioningfrom primarily o?inedistribution to onlinedirect sales

2023

As Marubi'sspokesperson, TonyLeung Chiu Wai starredin "Eye", a three-minute phenomenalcommercial that wonmultiple awardsMarubi established asubsidiary in Tokyo,launched a Sino-Japanese dual-coreR&D center, anddeployed a high-endproduct line

2015

Marubi completedits comprehensiveDigitization

1.0 initiative,

establishing a digitalmiddle platformand achievingfull lifecyclemanagement acrossR&D, procurement,production, supplychain, marketing,and sales

2022Marubi was awardedthe title of NationalHigh-Tech Enterprisefor the ?rst time,marking thebeginning of a ?veconsecutive years ofsuch distinctions

2011

Marubi's third-generation ElastinEssential Day & NightEye Essence wasreleased, markingthe ?rst proposal ofdi?erentiated day andnight skincare concepts

2012

The 50,000-square-meter 5C center inGuangzhou Science Cityo?cially replaced the oldfactory, featuring a R&Dcenter, manufacturingcenter, training center,information center andart center, along withworld-class workshopsand manufacturingprocesses equipped withsophisticated productionand R&D facilitiesimported from Japan,Germany, South Koreaand other countries

2014

Marubi was named "EyeCare Master"A fund managed by theglobal luxury group LVMHinvested in Marubi

2013

Marubi invested inPassional Lover (ultimatelyacquiring a 100%ownership in 2019)

2017

Marubi unveiled arecombinant humanizedcollagen, developedin collaboration withJinan University and theNational EngineeringResearch Center forGenetically EngineeredDrugs, later integrated intothe Marubi RecombinantCollagen series

2021

Marubi proposed theproduct concept oftwo-in-one skincareand device, andlaunched a two-in-oneskincare and devicewith black technology– Multiple Peptide Anti-wrinkle Eye Cream,marking the brand'sevolution towardsrejuvenation andscienti?c technology

2020

The Marubibrand wasborn upon theestablishmentof the Companyand thecommencementof factoryproduction

2002

The total salesof Marubi eyecare productsexceeded onemillion units

The Chunjibrand emerged,positionedas "skin careproductswith naturalingredients"

2005

2006

Marubi created aclassic with its ?rstgeneration ElastinEssential Eye Essencefeaturing the slogan"Bounce, bounce,bounce! Bounceo? the crow's feet",which was upgradedto the ?fth generationin 2018

2007

The "Very CaringFoundation" waso?cially established.Under this fund,for every bottle ofproduct sold, CNY

0.10 will be donated

to public welfarefrom the income, tosupport education inunderdeveloped areas

2008

0910About MarubiGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Recap of 2024

Key Performance

Revenue

CNY million2,970

YoY growth of revenue

33.44%

R&D investment

CNY million

73.54

Proportion of R&D personnel

7.83%

Total assets

CNY million5,063

Net assets attributable to shareholders

CNY million3,380

Newly authorized patents

Number

Cumulative dividend payout ratio to net

99.03%

Total tax paid

CNY million

Cash dividends distributed in 2024

CNY million

Energy intensity

Tons of standard

37.81

Water use intensity

Ton/ CNY 10,000

0.21

Total greenhouse gas emissions

tCO

e3,150.30Wastewater emission intensity

Ton/ CNY 10,000

0.03

Proportion of femaleemployees

68.19%

Satisfaction rate of onlinecustomer service(%)

92.27%

Total employeetraining hours

Hour(s)49,523

Net pro?t attributable to shareholders

CNY million

YoY growth of net pro?t attributable to

31.69%

shareholders of the Company

YoY improvement in logisticse?ciency for online store

4.49%

Economic PerformanceEnvironmental Performance

Social Performance

of the Company

of the Companyproceeds since listing

coal/CNY 100 million of revenue

1112Recap of 2024Guangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Honors and Awards in 2024

ESG Awards

Investor Relations

2023 Investor Relations Golden Award -

Outstanding IR Initiative Award2023 Listed Company Award - BestInvestor Relations Company

Panorama NetworkJudongmi

2024 Typical Case of "Digital ThreeProducts" Application Scenarios

The 18thChina Listed Companies'Annual ESG Pioneer FigureThe Third "Sustain 100 SustainableFashion Creative List" GreenTechnology - Digital Innovation

2023 ESG Sustainable Development

Innovative Pioneer Enterprise

2023 Industrial Internet PilotDemonstration Project

The 18thChina Listed Companies ESGTop 100Digital Transformation Pilot LeadingEntity for SMEs in Guangzhou City

The 2ndGreater Bay Area OutstandingSocial Responsibility (ESG) EnterpriseSelection - ESG Outstanding Contribution

Figure Award - Mr. Huaiqing Sun

The 3rd

"Zero - Carbon Future" ESGInnovative Practice List

Agile Supply Chain Oriented toMarket Demands

ndGuoxin Cup · ESG GoldenBull Award Top 100Ministry of Industry and InformationTechnology of the People's Republic of China

Securities Times

WWD CHINA

Southern Metropolis Daily

Ministry of Industry and InformationTechnology of the People's Republic of China

Securities Times

Guangzhou Municipal Bureau of Industryand Information Technology

Puzhuo Consulting Group, China EnterpriseNews, CEO Alliance of Guangdong - Hong Kong

- Macao Greater Bay AreaWallStreetCN

Ministry of Industry and InformationTechnology of the People's Republic of China

China Securities Journal2024 GuangdongProvincialGreen Factory

The 2nd

Greater Bay Area OutstandingSocial Responsibility (ESG) EnterpriseSelection - New Quality Productivity

Brand Enterprise Award

2024 CaifuCaixin ZhiyuanAward - Pioneer in Governance

Guangdong Provincial Department ofIndustry and Information Technology

Puzhuo Consulting Group, China EnterpriseNews, CEO Alliance of Guangdong - HongKong - Macao Greater Bay AreaCaifuCaixin Society

Core Quali?cations

Top 100 Innovative Enterprises in

Guangzhou

2024 China Cosmetics Blue Rose Award- Annual In?uential Listed Company

Top 40 Innovative Foreign-InvestedEnterprises in Guangzhou

Leading Enterprise in the Cosmetics Industryof the Fragrance and Cosmetics Sector

2024 Industry Benchmark Awardof the Cosmetics of Made in China

Top 400 Specialized and Innovative Enterprises inGuangdong Province (Guangzhou)

National Research Center for RecombinantFunctional Protein Technology

2024 Green Biotechnology InnovationAward - Model of Responsibility

Top 500 Innovative High-TechEnterprises in Guangzhou

Digital Research Institute ofGuangzhou Daily

China Cosmetics Congress

Digital Research Institute of Guangzhou Daily

China Flavor, Fragrance, andCosmetics Industry Association

Made-in-China.com

Digital Research Institute of Guangzhou Daily

China Biotechnology Fermentation

Industry Association

Synthetic Biology Network, CSR Global

Digital Research Institute of Guangzhou Daily

Company Honors and Innovation

Forbes China CosmeticsIndustry Brand Top 100Forbes ChinaGrand Prize in the Innovation Product

Category of the 2024 Golden SpikeAward - Marubi Multi-Peptide Firming

and Wrinkle Reduction Eye Cream

Guangdong Cosmetic Science and

Technology Research Association

thChina Cosmetics TrendConference - Leading Brand in

Technological Anti-AgingQingyan and Qingyan Intelligence

thChina Cosmetics Awards

- Annual Skin-Care BrandCosmetics Network

2023 China Cosmetics Industry Brand - Eye

Care Products CategoryChina Flavor, Fragrance, andCosmetics Industry Association

Second Prize of the Science andTechnology Progress Award of theGuangdong Cosmetics Society - MarubiElastic Protein Time - Defying Firmingand Anti-Wrinkle Ampoule EssenceGuangdong Cosmetics Association

2023-2024 Treasure New Product - ElasticProtein Time - Defying Firming and Anti-WrinkleAmpoule Essence (Bouncing Ampoule Essence)

C2CC Media, New Makeup Awards

2024 Global CosmeticsAwards - In?uential BrandCosmetics Headlines

2024 Guangdong ProvincialManufacturing Industry Single

ChampionGuangdong Provincial Department ofIndustry and Information Technology

2023-2024 Leading BrandC2CC Media, New Makeup Awards

2024 "Made in China" Beauty Award -Marubi Multi-Peptide Firming and WrinkleReduction Pu?ng Eye Cream, MarubiRecombinant Collagen Anti - WrinkleRepair Light Cream / Moisturizing Cream

Made-in-China.com

Certi?cation of the No. 1 Sales inChina of Eye Care Products for

Three Consecutive Years

Sullivan

Brand & Product Recognition

1314Recap of 2024Guangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

ESG Governance

ESG Governance Mechanism

Stakeholder Communication

With the mission of "becoming an excellent enterprise and, moreimportantly, an excellent corporate citizen", Marubi has establisheda systematic and comprehensive ESG governance system, forming agovernance structure with the Board of Directors as the ultimate responsibleentity. The Company deeply integrates ESG concept into all aspects of itsdaily operations, laying a solid foundation for sustainable developmentat the strategic level. Furthermore, we fully identify and address the coreneeds of various stakeholders, integrating them into the corporate strategicplanning, and are committed to continuously creating long-term value forstakeholders, customers, and employees.Marubi has established a three-tier governance system consisting of theBoard of Director Strategy Committee, the ESG Implementation Committeeand the ESG Implementation Team. This system systematically promotes theoptimization of management levels and performance improvement in thethree dimensions of the environment, society, and corporate governance.ESG Governance Structure

Stakeholder Communication of Marubi

The sustainable development of an enterprise is inseparable from the support of its stakeholders. Marubi has always attached greatimportance to communication and interaction with all parties. The Company identi?es key stakeholders and has established a regularcommunication mechanism to maintain two-way exchanges, gaining in-depth understanding of the opinions of various stakeholders andactively responding to their needs, committed to building long-term cooperative relationships based on mutual trust and mutual support.

Stakeholder GroupsTopicsCommunication and Actions

EnvironmentSocietyGovernance

Board of Directors

ESG Implementation Committee

EnvironmentalTeam,Social Team,Governance Team

Authorizes the strategic committee under the board of directors to be responsible forspeci?c ESG matters. Oversees for the Company's ESG strategy and implementation.

Develops the ESG vision, strategy, and goals, oversees their implementation, regularlyreviews the achievement of these goals, and reports to the Board of Directors withrecommendations.

Clarifies ESG goals, arranges and implements the coordination of ESG work, overseesthe specific implementation of ESG tasks, reports on the progress of work to the ESGImplementation Committee, and provides suggestions.

Allocates resources to support the implementation of ESG work, evaluates the e?ectivenessof ESG e?orts, and regularly reports to the strategy committee with suggestions.

Government and regulatoryauthorities

Business ethicsCorporate governanceRisk managementEmissions and waste managementWater resource managementEnergy managementGreen packaging

Institutional researchO?cial correspondencePolicy implementationInformation disclosure

Stockholders and investors

Corporate governanceSustainable development managementAddressing climate changeInformation disclosure and investormanagementRisk managementBusiness ethicsR&D and innovation

General Meeting of ShareholdersInformation disclosureInvestor hotlineRoadshows

Consumers

Product quality and safetyChemical safety and ingredient transparencyPremium customer serviceInformation security and privacy protectionResponsible marketing

Quality managementCustomer serviceSatisfaction survey

Employees

Compliance in employment and employee rightsprotectionOccupational health and safetyEmployee training and developmentCompetitive compensation and bene?tsEmployee care

Internal communication platformEmployee appraisal and promotionEmployee training

Suppliers/distributors

Sustainable supply chainBusiness ethicsIntellectual property protectionRisk management

Supplier managementGreen procurement

Cooperation organizations(Public welfare organizations andresearch institutions, and so on)

Product quality and safetyIntellectual property protectionR&D and innovationResponsible marketing

Investigation and visitTechnical exchangeRegular meeting

Industry associations

Promoting industry developmentR&D and innovationProduct quality and safetyAnimal welfare

Industry forumExchange and mutual visit

Public and community

Community contribution and charityEmission and waste managementAddressing climate changeGreen packagingBiodiversity conservation

Community activityVoluntary service

Strategy Committee

Board ofDirectors

StrategyCommittee

ESGImplementationCommittee

1516ESG GovernanceGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Care about the physical and mental health of employees and carries out comprehensive occupational hazards monitoring every year. Allemployees take physical examination and safety training.Establish the "Marubi · Yuexin'an Corporate Well-being Station" to provide employees with bene?ts such as 1v1 psychological counseling and lectures.

People-Oriented,Composingthe Beauty ofHarmonyCollaborate with CEIBS Global E-Learning to launch a new "Leadership Development Program," encompassing three training tiers: MINI-EMBA, MINI-MBA, and New Manager Course.

People-Oriented,Composingthe Beauty ofHarmonyAdvocate and adhere to gender equality, employment diversity and other concepts, and strives to create a fair, respectful and diverse workingenvironment. Female employees account for 68.19%, with female holding 42.86% of senior management positions.Prevent harassment and discrimination by regularly conducting 360-degree anonymous surveys of managers to collect relevant information.Initiate themed activities such as "Why Care About Others' Opinions - Tear O? the Labels, Stay True to Yourself" and "Stand Out, Be MoreNoticeable" to encourage female employees to break free from societal stereotypes.

People-Oriented,Composingthe Beauty ofHarmonyThe new factory's wastewater treatment station has been put into operation, with online water quality monitoring to ensure compliance withwastewater discharge standards. Actively carry out water-saving projects to enhance the comprehensive utilization e?ciency of water resource.

EnvironmentalProtection,Safeguarding theBeauty of EcologyA photovoltaic power station was erected atop the factory roof. During the reporting period, roof-mounted photovoltaics achieved an installedcapacity of 660.06 kW, generating a total of 609,157.6 kWh of electricity. 21,660 kWh was supplied to the power grid, whereas 587,497.6 kWh wasutilized internally. This signi?cant energy usage reduction translated into a self-imposed reduction of carbon dioxide emissions by 347.40 tons.The production process utilizes green methanol as fermentation feedstock, substituting conventional methanol during recombinantfunctional protein expression in Pichia pastoris fermentation.

EnvironmentalProtection,Safeguarding theBeauty of EcologyRespect the employees' rights and interests, establish a comprehensive salary and welfare system and provides a diverse growth platform,creating an inclusive and comfortable workplace environment.Forced labor and child labor are prohibited.

People-Oriented,Composingthe Beauty ofHarmonyMaintain a team of 94 full-time internal technical experts, with 36.17% possessing a master's degree or higher quali?cations. Collaboratewith over 100 external scientists, including Professor Ying Lin, the director of the Guangdong Provincial Key Laboratory of Fermentation andEnzyme Engineering and the former dean of the School of Biological Science and Engineering at South China University of Technology, whohas been appointed as the Co-Chief Scientist of Recombinant Collagen at Marubi and the Chief Scientist at Biost Pharmaceuticals.Develop a globally open partnership system encompassing over 42 domestic and international universities, renowned Grade-A tertiaryhospitals, and scienti?c research institutions to achieve joint research and innovation.

MeticulousCraftsmanship,Preserving theBeauty of SkinAdhere to the principle of open recruitment, fair competition and merit-based employment, Marubi insists on equal employment andopposes all forms of employment discrimination.As of the end of the reporting period, Marubi employed 147 ethnic minority employees, 4 disabled workers and 10 veterans.

People-Oriented,Composingthe Beauty ofHarmonyConduct scienti?c communication work through various forms and channels. The o?cial WeChat account "Wandian Chuangxin" focuses onMarubi's R&D information, releasing the latest developments, technological breakthroughs and scienti?c research achievements in the R&D ?eld.Create the topic "The Truth in 7 Days," inviting media professionals to directly challenge the "Little Golden Needle" cream, throughinvestigation, questioning whether the claim of "7-day wrinkle reduction" is exaggerated.Hold the 4th

Recombinant Collagen Science Forum, collaborating with CCTV Network "Seeking the Truth About Collagen" initiative to trace thesource and dispel doubts.Fully promote the use of all-green raw materials, establishing aRaw Material Elimination Management System. During the reporting period, weeliminated nearly 150 raw materials, including paraben preservatives, PMMA, and 4-methylbenzylidene camphor, which are no longer in use.Practice animal ethics, respect the value of animal life, create and introduce various alternative methods to animal testing.

Scienti?cSkincare,Rejuvenating withCollagen "Core"InnovationMeticulousCraftsmanship,Preserving theBeauty of SkinDevelop modern biotechnology and green manufacturing technologies, focusing on environmentally friendly technologies such as syntheticbiology and green chemistry for product development and research.Actively promote energy-saving technological transformations, reduce the emission of the "three wastes", and integrate environmentalprotection concepts into daily operations.Obtain "2024 Guangdong Provincial Green Factory".

EnvironmentalProtection,Safeguarding theBeauty of EcologyCarry out 1 corruption risk assessment, collecting 189 questionnaires, and 1 anti-fraud investigation, promptly improving businessmanagement and control loopholes.Organize all employees to sign theEmployee Integrity and Self-Discipline Commitment Letter, with integrity training programs conductedthrough both online and o?ine channels.

Steady Operation,ForgingSustainable"Beauty" Power

Analysis of Material Issues

Marubi conducts in-depth identification and analysis of materiality issues, drawing upon strategic planning, industry trends,stakeholder expectations, international standards, and best practices within the same industry. For key issues, Marubi formulatestailored management objectives and strategies, presents comprehensive responses in the annual report, and strives to continuallyadvance sustainable development.

Identify a list of ESGissues relevant to Marubiby considering the ESGbackground (geographicallocation, business activities,business relationships),standard policies, industrypractices, and expertopinions.

The ESG ImplementationCommittee reviews andacknowledges the highlyimportant issues, reportsthem to the Board ofDirectors, and providesprominent disclosure inthe annual ESG report.

Apply the dual materialityprinciple to design surveyquestionnaires and invitekey internal and externalstakeholders to completeonline or o?ine surveys,rating the importance ofthe ESG material issues.

Material Issue Matrix of Marubi

Analyze survey feedbackand scoring results, anddevelop a material issuematrix by consideringthe impact of issues onboth the sustainabledevelopment of Marubiand its stakeholders.

Establishment of amaterial issue database

Stakeholder research

Importance assessment

and prioritization

Con?rmation andreporting of material issues

Financial importanceExtremely importantNon-important

Economic, social, and environmental impacts importanceExtremely important

GovernanceEnvironmentSociety

Sustainable supply chain

Animal welfare

Environmental protection managementEmployee training anddevelopment

Product quality and safety

Emission and waste

managementWater resource management

Promoting industrydevelopment

Chemical safety andingredient transparency

Occupational health and safetyInformation security and

privacy protection

Addressing climate changeResponsible marketing

Employee care

Compensation and bene?ts

R&D and innovation

Green packagingCommunity contributionand charityBiodiversity conservation

Customer service

Employment compliance and employee rights protection

Corporate governance

Business ethics

Sustainable development management

Risk management

Intellectual property protection

Energy management

Contributing to the UN SDGs

Marubi aims to become a globally competitive brand, integrating ESG principles deeply into its business operations, activelyimplementing sustainable development strategies, and consistently aligning closely with the UN SDGs.

SDGs GoalsMarubi's Actions in 2024Chapter Reference

1718ESG GovernanceGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Digital Transformation

In the new stage where technological innovation is reshaping landscape of the cosmetics industry, Marubi has deeplyintegrated into the wave of technological innovation and promoted the comprehensive transformation of the enterprisethrough the formulation of a digital strategy. We focus on creating a full-link digital application scenario covering productR&D, manufacturing, and market operation, relying on the MES system to achieve the upgrade of intelligent manufacturingand integrating AI technology to enhance business collaboration efficiency. Simultaneously, we concentrate on the field oftechnological wrinkle reduction and anti-aging, delving into exploring cutting-edge technologies, and insisting on providingconsumers with superior products with "genuine and high-quality ingredients."

In recent years, Marubi has achieved remarkable results in its digitaltransformation. Under the comprehensive digitization strategic framework,we have constructed multiple key systems including SAP, ERP, DMS, PLM,R&D management, and traceability management, innovatively introducingthe "Four Verticals and Two Horizontals" model. This enables in-depthmining of front-end business data from the four dimensions of themarket, sales, members, and e-commerce dimensions, while horizontallyintegrating product digitization and supply chain. Through the seamlessconnection and sharing of data, we provide an accurate basis for decision-making and realize the leap from informatization to intelligence.

Tech-Empowered Beauty Evolution

In the strategic layout of AI-driven scienti?c research innovation, Marubi has o?ciallylaunched the "Wan Xiaoyan" project to enhance R&D efficiency and support moree?cient and convenient information retrieval and in-depth analysis. "Wan Xiaoyan"integrates multi-dimensional data resources such as patents, regulatory filings,and academic literature to construct a knowledge graph in the vertical field of thecosmetics industry, forming an intelligent analysis engine with industry-specificcapabilities. Relying on natural language processing and deep learning technologies,and through extensive integration and training of cosmetics industry information,it can quickly respond to various questions posed by R&D personnel, efficientlyretrieve, and accurately output relevant information, transforming vast data assetsinto insights. While significantly improving R&D efficiency, it also tracks the latesttrends and developments in the cosmetics industry, continuously providing preciseand reliable data support for the Company's strategic analysis and decision-making.

Wan Xiaoyan - A Large-Scale R&D Knowledge Q&A ModelCase Study

The Large-Scale R&D KnowledgeQ&A Model Interface

Marubi's medical testing center hasaccumulated a wealth of subjectinformation and experimental data, withdiverse data types. Originally, manualcompilation of local reports was time-consuming, difficult to integrate, andchallenging for subsequent data analysis.The Company has established a humanefficacy subject database and sampleefficacy analysis project, standardizingthe data accumulation process toenable real-time automatic updates andvisualization. This patented solution hasreceived o?cial certi?cation.

Human E?cacy Data Analysis 2.0Case Study

Schematic Diagram of

E?cacy Testing Site

Correlation Analysisof Parameters

Sample E?cacy

Analysis

MultidimensionalDiagram of Sample

E?cacy

Population Distribution of Skin

Parameters

第 1 页 (共 2 页)

Intelligent Manufacturing Execution SystemCase StudyBy leveraging automation and intelligent technologies, Marubi has achieved intelligent manufacturing control, transparentproduction processes, numerical control of production equipment, and integrated production information in workshops,

Visualization of Workshop Production Data

In 2024, Marubi continues tofirmly advance digitalizationpath, collaborating closely withbusiness departments to drivesignificant business iterationsand upgrades through 27 co-creation projects.

Scientific Skincare, Rejuvenating withCollagen "Core" Innovation

ThemeSpotlight

Large-Scale Model for Formulation StabilityCase Study

Multiple Light Data Analysis Project: Before sample production, stability testing is a necessary step. Traditionally, this has beenconducted through manual observation, which is relatively subjective. In contrast, multiple light detection is a relatively novel testingmethod. It measures the particle distribution of samples by analyzing the light intensity spectra generated when a laser penetratesthe sample cream. This instrumental detection approach is faster and more objective than manual observation. Currently, there isno well-established stability evaluation mechanism in the industry. In this project, executable ?les and data submission portals weredeveloped to enable the automatic uploading of multiple light detection data. This facilitates rapid index calculation, data cleansing,

第 1 页 (共 2 页)

analysis, accumulation, and BI visualization, thereby aiding in the judgment of sample stability.Formulation Stability Analysis Project: The medical testing center previously relied on manualobservation for sample stability testing, a process that consumed significant manpower andlacked objective evaluation criteria. By developing a feature dictionary and scoring rules relatedto stability, and through natural language processing, the project standardized the featuredescriptions of sample stability, quanti?ed the degree of change in these features, automaticallyprocessed text-based stability reports, and rapidly generated stability scores.This analysis method and application have been granted a patent certi?cate.

striving to build a "smart factory" and further promote intelligent manufacturing.As of the end of the reporting period, the MES system has been officially launched.It combines equipment data acquisition to achieve a comprehensive view of themanufacturing process, enabling data sharing between departments such as planning,quality, and production areas including emulsification, filling, packaging, andwarehousing. This fosters interaction among quality tracking, production monitoring,and warehouse management information ?ows, creating a uni?ed and standardizeddata-transparent factory that significantly improves production efficiency. It isestimated that nearly CNY600,000 in costs can be saved annually.

Theme Spotlight: Scienti?c Skincare, Rejuvenating with Collagen "Core" InnovationGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Renewal through Intelligent ResearchIn the era of flourishing development of the cosmetics and skincare industry, Marubi has remained steadfast in its commitment totechnological innovation. In recent years, we have continuously increased investment in scientific research, tirelessly exploring themysteries of youthful skin. We have successfully broken through multiple technological barriers and launched a series of groundbreakingingredients one after another, positioning itself as a benchmark brand in the cosmetics sector with formidable technological prowess.

Based on these innovations, Marubi has meticulously crafted a range of safe, reliable and highly-e?ective skincare products.Leveraging cutting-edge technologies, Marubi drives continuous product upgrades, comprehensively addressing consumers'diverse skincare needs while safeguarding skin health and beauty through scienti?c advancements.

Marubi obtains a β-glucan with a triple-helix structure through the fermentation ofSchizophyllum commune, which has the homology of medicine and food, primarilyfeaturing dual functions of hydration and repair. Due to the special triple-helix structure,this molecule will not be damaged within 30 minutes in a high-temperature environmentof 120°C, exhibiting excellent e?cacy in moisturizing, anti-wrinkle, anti-in?ammatory, andskin-repairing properties.

Hissein? SPG β-Glucan

Tibetan ke?r mushroom, a natural fermented fungus originating from Tibet, features a multi-layerednetwork structure composed primarily of polysaccharides and proteins. The fermentation broth ofTibetan ke?r mushroom possesses antioxidant and anti-in?ammatory activities, e?ectively scavengingfree radicals. Through bi-directional fermentation technology, Marubi makes full use of the enzymesystem of Tibetan kefir mushroom cells to extract the active ingredients from milk and Scutellariabaicalensis root powder. Simultaneously, we retain the active substances produced by the fermentationof Tibetan ke?r mushroom itself, achieving a synergistic e?ect among the ingredients. This not onlyexerts the skin care and repair e?ects but also enhances the overall health status of the skin.

Tibetan Ke?r Mushroom

Self-developed CollagenThrough the translation pause technology, Marubi optimizes the nucleotide sequence ofcollagen. Its core components are type I and type III collagen, which are 100% consistentwith the amino acid sequence of human native collagen. It can be e?ciently absorbed bythe skin, enhancing the skin elasticity and ?rmness, signi?cantly reducing various wrinklesuch as crow's feet, under-eye lines, and nasolabial folds, and repairing the skin.

Supermolecular Kapok is renowned as the top ?ower for dispelling dampness in Lingnan.It boasts excellent value in the homology of medicine, food and cosmetics. It is rich in?avonoids and possesses outstanding antioxidant and anti-aging e?ects.

Self-developed Supermolecular Kapok

Based on an understanding of natural sebum, this technology builds upon the interfacialcrystallization matrix by further incorporating lipids that constitute the skin as well asphytosphingosine, forming a bionic sebum with a multi-level structure. This allows for betterintegration with the skin and enhanced penetration.

Marubiome ? Bionic Superconducting Penetration Enhancement Technology

Marubi Chocolate

Four Anti-series

Based on the research into mixed waxes with functionalized di?erences, this technology focuses on theesteri?cation reaction between natural waxes (beeswax and jojoba wax) and polymers. The resultingcomposite emulsi?er enables the cream to adaptively regulate its texture and ?lm state in response tovarying climate conditions and skin states, achieving intelligent sensory adjustment.When applied with the intelligent sensation film technology, the cream exhibits enhanced fluidity ofthe emulsion at high temperatures and increased viscosity at low temperatures. In dry climates, theingredients e?ectively absorb moisture to enhance hydration e?ects, while in humid environments, theypromote a refreshing and hydrated skin feel, ultimately achieving adaptive intelligent sensory regulation.

Intelligent Sensation Film Technology

Marubi MultiplePeptide Anti-wrinkleEye Cream 3.0

Centered on a consortium of multiple probiotics, this technology realizes the full-chain digestion,absorption, and conversion by modulating the metabolic pathways of the probiotic consortium,supporting the personalized customization of raw materials with speci?c functions.Marubi leverages the enzyme system produced by the fermentation of Tibetan ke?r mushroom tofully extract the active ingredients from milk and Scutellaria baicalensis root powder, while e?ectivelyretaining the active ingredients from the fermentation of Tibetan ke?r mushroom. This integrationoptimizes the synergy between the two, maximizing the skincare bene?ts. It not only combats skinaging but also exerts excellent repairing e?ects.

Multilateral Parallel Compound Fermentation Technology

Marubi Butter?yBandage Eye Mask 2.0

Reverse micelle gel penetration enhancement technology is a technique that improves thetransmission and absorption of water-soluble components by forming reverse micelle poolswith phospholipids. Marubi encapsulates recombinant collagen in phospholipid reverse micellepools to create the exclusive lipid-soluble recombinant collagen (Micapermeate? Col).The encapsulated recombinant collagen can enhance penetration into the stratum corneumlipids without disrupting the skin barrier. It also increases the stability of the protein andpromotes its e?cient absorption on the skin. This innovation also enables the application ofrecombinant collagen, a water-soluble ingredient, in oil-based skincare products.

Lipid-Soluble Recombinant Collagen Technology

Marubi Double

Collagen Series

2122Theme Spotlight: Scienti?c Skincare, Rejuvenating with Collagen "Core" InnovationGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

At a time when the skincare concept of Chinese consumers is shifting towards precise skincare, the demand for refined andscientific skincare ingredients has become increasingly prominent. Marubi has keenly grasped this trend and carried outscienti?c communication work through various forms and channels during the reporting period, sparking a wave of enthusiasmfor scientific skincare. From in-depth analysis of raw ingredients to demonstration of product efficacy, from endorsement

Marubi demonstrates scientific R&D efforts and shares scientific knowledge through experimental showcases, technicalexplanations, and multi-format engagements including live streams, public demos, and influencer factory tours, so as toenhance consumers' trust in the scienti?c nature of the products.

WandianInnovationO?cial Account

Meiyu MedicalTesting O?cial

AccountMarubi R&D Center -

Xiaohongshu

Focusing on the R&D information of Marubi, Wandian Innovation O?cial Account centers onthe latest developments, technological breakthroughs, and scienti?c research achievementsin the the R&D ?eld. It has published 19 articles with over 12,000 total reads.

Wandian InnovationO?cial Account

Scienti?c Communication, Intelligent Skincare

Topic "The Truth in 7 Days"Case Study

CCTV.com "Seeking the Truth About Collagen" initiativeCase StudyIn today's complex consumer market environment filled with information, consumers have many confusionsand misunderstandings regarding the technical principles and actual effects of collagen, especially recombinantcollagen. During the reporting period, Marubi, in collaboration with CCTV.com and well-known bloggers, conducted

During the reporting period, Marubi invited media professionals to directly challenge the "Little Golden Needle" cream,through investigation, questioning whether the claim of "7-day wrinkle reduction" is exaggerated. By presentingauthoritative quali?cations, experimental demonstrations, and data, it visually and simply explained scienti?c researchknowledge, vividly and interestingly demonstrated the product's advantages, and triggered extensive discussions.

Scan the QRCode to Watchthe Video

the Company hostedvisitor groups, totaling nearlyparticipants nationwide, includingDuring the reporting period

2552,800

1,800+158

Key Performance Indicators

of professional research teams to precisecommunication with consumers, Marubi, withscientific and technological innovation as itscornerstone, has not only reshaped consumers'cognitive dimension of skincare efficacy butalso established an innovative pathway for thevalue transformation of laboratory researchachievements, promoting the in-depthdevelopment of the industry towards a morescienti?c and transparent direction.

partners, media, experts, and consumers, withvisitors attendingguided tours.

multi-dimensional on-site visits and detailedinterpretations, including production sources,scientific research laboratories, and clinical testingbases. In an intuitive, vivid, and professional manner,the campaign comprehensively educated consumerson the unique advantages and practical mechanismsof recombinant collagen in anti-aging, addressingconsumer doubts and strengthening the trust bondbetween the brand and its consumers.

2324Theme Spotlight: Scienti?c Skincare, Rejuvenating with Collagen "Core" InnovationGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Since 2021, Marubi has continuously held the "Recombinant Collagen Scientists Forum." The forum has invited well-knownauthoritative experts and scholars, university scientists, consumer representatives, and industry media to gather togetherto discuss the new development trends of collagen, share new scientific research achievements, and popularize scientificknowledge about collagen. During the reporting period, Marubi participated in more than ten industry conferences, activelysharing its experience, and promoting awareness and application of collagen ingredients.

The 4

th

Recombinant Collagen Science ForumCase Study

On April 27, 2024, the 4

th

Recombinant Collagen Science Forum was held in Guangzhou. This forum gatherednumerous top experts, scientific researchers, and enterprise representatives in the industry, all focusing on thedevelopment and innovation of the cutting-edge ?eld of recombinant collagen. Marubi launched new achievementsin recombinant collagen at this forum. Simultaneously, it initiated the formulation of the industry standard for

Recombinant Soluble Collagenand issued theInitiative for High-quality Standards of Recombinant Collagen. Thisstandard will comprehensively, rigorously and meticulously stipulate the quality control, technical requirements, andtesting rules of recombinant soluble collagen raw materials for cosmetics, e?ectively promoting the deeper, morestandardized, and widespread application of recombinant collagen in the cosmetics ?eld.

The 16

th

China Biotechnology Industry ConferenceCase Study

On September 19, 2024, the 16

thChina Biotechnology Industry Conference was held in Guangzhou. With the theme of"Creating a New Biotechnology Manufacturing Industry and Opening up a New Track in Life Sciences," this conferencereleased three high-quality development achievements to promote the innovative development of the bio-economy.As the only specially invited cosmetics enterprise, Marubi made a dazzling appearance. Professor Ying Lin, the Co-Chief Scientist of Marubi Recombinant Collagen, delivered a special speech titledConstruction of Yeast Cell Factoryand Synthesis of Functional Compounds, which explained in detail the in-depth exploration process, core technicalbreakthroughs, and innovative application achievements in the ?eld of synthetic biotechnology. During the exhibitiontour of the conference, Marubi's recombinant collagen series products made a grand appearance and were recognizedby the leaders and academicians present.

The 2024 (10

th) China Cosmetics Trend ConferenceCase Study

On October 22, 2024, the 10

thChina Cosmetics Trend Conference was held in Shanghai. Withits outstanding performance in scienti?c research and innovation, Marubi was honored withthe title of "Leading Brand in Scienti?c Anti-aging." Leveraging its extensive experience andadvantages in product development, clinical veri?cation, and consumer education, Marubi,in collaboration with multiple experts during the conference, formulated and released the2024 Expert Consensus on Scientific Anti-aging, contributing significantly to the scientific,comprehensive, and practical nature of the consensus.

2526Theme Spotlight: Scienti?c Skincare, Rejuvenating with Collagen "Core" InnovationGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Steady Operation, ForgingSustainable "Beauty" Power

Marubi continues to improve its corporate governance system, adhering tocompliance operating principles, ?rmly upholds business ethics standards,strengthens information security protection mechanisms. By integratingthese four aspects holistically, Marubi continuously consolidates thefoundation for high-quality development and injects strong impetus intothe sustainable growth.

Solidifying Corporate GovernanceIntensifying Risk ManagementMarubi's Actions

Highlights of Performance

Zero business ethics violations or corruption cases

The coverage rate of integrity training for board members is

100%

Contributing to the UN SDGs

Upholding Business EthicsProtecting Information Security

Total tax paid:

million

CNYTotal cash dividends distributed:

million

CNY

General Meeting of Shareholders

Senior Management

Nomination CommitteeAudit CommitteeAudit and SupervisionDepartment

Remuneration andAppraisal CommitteeStrategy CommitteeESG ImplementationCommittee

Supervisory Board

Board O?ceBoard of Directors

Enhancing Governance, SolidifyingDevelopment Foundations

Marubi remains dedicated to enhancing its corporate governance, bolstering information disclosure management, andconstructing robust investor protection mechanisms to achieve multi-stakeholder win-win outcomes.

In accordance with various laws and regulations such as theCompany Lawand theSecurities Law, as well as the requirements of regulatory authorities such as theShanghai Stock Exchange, Marubi continuously optimizes its corporate governancestructure and enhances the standardization of its operations. Marubi's governancestructure comprises the General Meeting of Shareholders, the Board of Directors, andthe Supervisory Board, all operating in strict compliance with regulations. The Boardof Directors has four specialized committees, namely the Strategy Committee, theAudit Committee, the Remuneration and Appraisal Committee, and the NominationCommittee, to ensure clarity in roles and responsibilities, scienti?c decision-making,mutual checks and balances, and coordinated e?orts. This structure provides robustsupport for daily operations, management, and decision-making on crucial matters.

Marubi adheres strictly to the corresponding selection and appointment procedures outlined intheCompany Lawand itsArticles of Associationwhen electing directors. Marubi actively promotesthe diversification of the board in terms of independence, gender, and professional background.Currently, the Board of Directors is composed of 9 directors with outstanding educationalquali?cations, enabling the board to make scienti?cally informed decisions e?ectively.

Board Structure and Governance

the attendance rate of Boardmeetings, Supervisory Boardmeetings, and specializedcommittee meetings all reached

During the reporting period

100%

Key Performance Indicators

Corporate Governance Structure

Key Performance of Corporate Governance Meetings in 2024

33%

11%56%

DoctorBachelorMaster

GenderStructure ofthe Board

89%

11%

ByEducationalBackground23%11%

11%22%22%

11%

MarketingFinanceDigitization

LawManagementBiotechnology

ProfessionalBackground

Independence

Structure ofthe Board33%67%

Independent directorNon independent directorsMale directorsFemale directors

Board Meetings

Diversity of the Board of Directors

Special Meetings of

Independent DirectorsNomination

Committee Meetings

Remuneration and Appraisal

Committee Meetings

General Meetings

of Shareholders

Strategy

Committee Meetings

Audit

Committee Meetings

Supervisory

Board Meetings

2930Steady Operation, Forging Sustainable "Beauty" PowerGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi attaches great importance to investor relations, actively implements relevant regulations of the China Securities RegulatoryCommission, and ful?lls the responsibilities of a listed company, and promptly and proactively conducts information communicationwork in accordance with theInvestor Relations Management System. We innovate investor engagement through diversi?ed channelsincluding text, video, live streaming, and infographics, strengthening investor communication while safeguarding rights andestablishing a positive market image.

Investors' Rights Protection

Marubi standardized the management of investor relations activity records, convened earning briefings after each?nancial results disclosure, organized six executive interviews, and response rate on the SSE e-Interaction platform wasDuring the reporting period

100%

Marubi adheres strictly to pertinent laws, regulations, as well as itsArticles of Associationand theInformation Disclosure ManagementSystem, ensuring e?ective compliance with its information disclosure obligations and all disclosed information is truthful, precise,comprehensive, timely, and equitable, thereby enhancing the quality and standard of the information disclosure practices.Furthermore, Marubi maintains strict compliance with insider trading regulations, implementing aRegistration and Management

Information Disclosure Management

Disclosed

announcements

During the reporting period

Key Performance Indicators

Key Performance Indicators

Communication ChannelsCommunication Initiatives

Investor Hotline and EmailDiligently responding to all incoming calls and 100% response rate to investor emails

SSE e-Interaction100% response rate to investors' inquiries

On-site or VirtualCommunication

Hosting on-site investor research visits and convening earning brie?ngs after each?nancial results disclosureGeneral Meetingof Shareholders

Holding 2 General Meeting of Shareholders, offering an online voting platform toensure small and medium-sized investors to exercise their rights and participateactively in the company's decision-making process

Diversi?ed Investor Engagement InitiativesCase Study

Securities Times ·Times Salon

GF Securities · Visit to

Listed Companies

2023 Annual & 2024 Q1 Earning Brie?ngs2024 Q3 Group Earning Brie?ngs for the Cosmetics Industry

Huatai Securities Investment Summit

Marubi places signi?cant emphasis on investor returns and sharing the dividends of its growth. We reward shareholders through cashdividends to enhance their sense of participation and gain.Investor Returns

During the reporting period

representing

of IPO net proceeds

99.03%

Key Performance Indicators

we distributed cash dividends twice,

million

totaling CNY

Since 2019 IPO, total dividends

million

reached CNY

Investor Relations Column

A dedicated "Investor Relations" column, where relevant Company information isupdated in real-time to keep investors informed

System for Insider Information Insidersto bolster the con?dentiality of insider information.This measure e?ectively prevents any illegal or unethical activities, such as insider trading,while safeguarding the principles of transparency, fairness, and impartiality in informationdisclosure. Additionally, to standardize the decision-making process for related-partytransactions, Marubi has formulated aRelated-Party Transaction Management System

that explicitly outlines the review, avoidance, and decision-making framework for suchtransactions. Through these regulations, the Company safeguards the legitimate rights andinterests of all shareholders. During the reporting period, Marubi has remained free fromany regulatory sanctions related to information disclosure violations.

3132Steady Operation, Forging Sustainable "Beauty" PowerGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Enforcing Baselines, Fortifying Risk Barrier

Marubi has set up an Audit and Supervision Department, which is under the management of the Board of Directors. Withthree functions in total, namely internal control, audit, and supervision, the Department provides an all-around supervisionmanagement system to the business at all levels. By establishing an e?ective risk and internal control management system,the Company continuously improves its internal control management level.

Marubi comprehensively reviews the internal control processes annually, conducts independent and objective supervision andevaluation of the e?ectiveness of the internal control system operation, and carries out specialized audits on key control points toinspect the e?ectiveness of the implementation, aiming to reduce organizational operational risks, improve operational e?ciency,and continuously promote the soundness and improvement of the internal control system. Through organizing reviews andrevisions of institutional frameworks, as well as optimizing OA processes, Marubi ensures that its institutional frameworks align withbusiness operations. We also undertake projects to streamline institutional frameworks, covering areas such as HR, administration,procurement, and legal a?airs, to enhance the readability and practicality of the frameworks. Simultaneously, we review and evaluateOA approval processes to uphold compliance in business approvals.

Adhering to the principles of objectivity, policy conformance, and a prevention-focused mindset, Marubi conducts rigorous andindependent audits and supervision on the business operations and internal controls of headquarters and its subsidiaries.

Continuously Optimizing the Internal Control System

Strict Audit Supervision

Marubi executed a comprehensive slate ofinternal audit projects, with a focus on

During the reporting period

During the reporting period

Optimized

OA process settings

Compiled

institutional frameworks

Conductedprocess audits

Key Performance Indicators

Key Performance Indicators

Marubi strengthens tax management to ensure legal operation and honest tax compliance. We have formulated theTax ManagementSystemand theTax Risk Listto clarify the responsibilities and authorities of various departments and personnel in tax management,standardize the handling procedures of relevant tax-related matters, and continuously improve the efficiency and quality of taxmanagement. Additionally, we conduct training for tax-related personnel and organize internal experience sharing activities toenhance the team's professional expertise.

Marubi establishes a compliance column to deeply dissect various business cases, meticulously analyze operational risks, and presentthe core elements of management systems accordingly. The Company hopes that all employees enhance their awareness of internalcontrol and compliance risks through case studies, improve their compliance literacy, develop a normalized understanding of riskprevention and control, and e?ectively prevent the occurrence of business risks.

Establishing a Compliance Column

Tax Management

diverse management modules encompassing assets, warehousing, procurement, expenses,information systems, and equipment management.

3334Steady Operation, Forging Sustainable "Beauty" PowerGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Operating with Integrity, Adhering toBusiness EthicsMarubi is committed to building an honest and clean business ecosystem and resolutely forbidding all forms of corruptionsand bribes. Marubi has established the Board of Directors as the highest supervisory body for business ethics governance,while the Audit and Supervision Department executes supervisory duties and oversees comprehensive e?orts in preventingcorruption and bribery, formulating systems such as theSupervision Management System, theIntegrity and Self-DisciplineManagement System, and theComplaint and Reporting Management System. By clearly defining "red line for integrity,"Marubi establishes boundaries for business ethics constraints, strengthens the integrity control mechanism for internalemployees, and extends anti-corruption management to partners such as suppliers and distributors. Additionally, Marubiactively enhances its communication and collaboration with industry organizations and regulatory bodies to continuouslybolster its anti-fraud capabilities. During the reporting period, no corruption-related litigation cases were recorded.

To ensure transparent and compliant business processes and effectively prevent and reduce the occurrence of corruption, Marubiconducts comprehensive assessments of corruption risks, identi?es key risk factors, formulates targeted control measures, and promptlyaddresses vulnerabilities in business management and control systems to mitigate the likelihood of bribery and corruption incidents.

To further bolster employees'professional ethics and cultivate aworkplace culture that veneratesintegrity and denounces corruption,Marubi proactively promoted anti-corruption management, organizedand required the staff to sign theEmployee Integrity and Self-DisciplineCommitment Letter. Additionally,Marubi promotes a robust integrityand compliance culture through bothonline and offline training sessions,while simultaneously enhancing thepromotion of whistleblowing channelsthrough diverse means.

Online (OA, Marubi Academy)Training & O?ine Training

Online: Courses related to the introduction ofMarubi's Audit and Supervision functions29 Integrity promotion and event articles

Corruption Risk Assessment

Employee IntegrityManagement

Integrity Management

During the reporting period

M

a

ru

bi

conducted

corruption

risk

assessment

co

ll

e

cting

questionnaires

ca

rr

i

ed

out

anti-fraud

investigation

Integrity Training MethodsIntegrity Training Content

Offline: 2024 anti-corruption and integritypromotion work trainingCompliance training of the 5C CenterIntegrity training for headquarters suppliersIntegrity training for Board membersEthical gift policy guidelines, integrityknowledge competitions, OApromotion, Audit and SupervisionOpen Day, etc.Integrity CultureConstructionNo falsi?cation/concealment forpersonal gainNo briberysolicitation

Noobstructionof auditsNounauthorizedseal usage

No disclosure

of tradesecrets

No power

abuseNo internal-

externalcollusion

Integrity Red Lines

"Jointly Building an Enterprise Integrity Culture" Symposium

Ethical Gift Policy Guidelines

Case Study

Case Study

To demonstrate the ?rm determination to safeguard integrity development,during the reporting period, Marubi held a "Jointly Building an EnterpriseIntegrity Culture" symposium, which was also the release of theGuidelines on the Rights and Responsibilities of Audit and SupervisionWork. By introducing the International Anti-Corruption Day and the workachievements of Audit and Supervision Department, publicizing theintegrity red line, and introducing the rights and responsibilities of audit andsupervision work, Marubi jointly built an enterprise integrity culture.

Adhere to the red line and celebrate ethicalgift policy guidelines. Marubi issuedintegrity reminders to urge employees toabide by the management red lines andprohibit any form of gifts, banquets, andother behaviors from partners. Fostera refreshing atmosphere, establish apositive ethos, maintain integrity and self-discipline, and jointly build a transparentand upright workplace.

Promotion Channels

3536Steady Operation, Forging Sustainable "Beauty" PowerGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

"Integrity Depicted in Art, Virtue Conveyed through Images" Calligraphy, Painting and Photography Competition

Annual Supplier Integrity Cooperation Training Conference

Audit and Supervision Open Day

Case Study

Case Study

Case Study

Marubi proactively promotes partners integrity management, organizes the suppliers and distributors to sign theIntegrity CooperationAgreement, and the bidders to sign theIntegrity and Self-discipline Commitment for Bidders, and publicizes the Integrity Statement onthe construction project site, to promote the business ethics.Partners Integrity Management

Marubi held an Annual Supplier Integrity Cooperation TrainingConference to strengthen cooperative relationship andensure sustainable development. During the conference,the importance of anti-corruption and advocating integritywas emphasized. The laws and regulations on anti-fraud aswell as theIntegrity Cooperation Agreement with Suppliers

were interpreted. Additionally, Marubi o?cially launched theIntegrity Cooperation Handbookon-site, clarifying the rightsand obligations, which helped suppliers to understand theintegrity requirements and jointly build a transparent andupright business environment.

To welcome the InternationalAnti-Corruption Day and furtherstrengthen the construction ofintegrity culture, Marubi helda calligraphy, painting andphotography competition with thetheme of integrity, aiming to showthe beauty of integrity in the form ofart and convey positive corporatevalues. Over 10 outstandingworks were selected, each vividlycapturing moments that epitomizeunwavering integrity and selflessdedication to public duty

Integrity' Mirrors the Heart, Ink RhymesUphold Righteousness

Chili Red Re?ects the Flag, Integrity

Shines Brightly

Marubi employs a comprehensive strategy of audit and supervision in its ongoing anti-corruption e?orts. Any fraud clues uncoveredthrough the auditing process are promptly forwarded to supervisory personnel for further investigation. Additionally, supervisorypersonnel diligently review and document reported leads in a timely manner. This dual approach reinforces the prevention andmitigation of integrity-related risks.Marubi has formulated theComplaint and Reporting Management Systemto standardize the process of report management. Weprovide diverse whistleblowing channels and publicize integrity through OA, WeChat O?cial Account, and corporate website, to inspirethe employees, clients, suppliers, and partners to report corruption under the real name or anonymously, safeguarding rights ofwhistleblowers, e.g., petitioning for recusal, result inquiry, request for protection, and receiving rewards.Whistleblowing channels are managed by speci?c personnel. Marubi keeps the information of the whistleblowers strictly con?dential,and protects their legitimate rights and interests according to law. The anti-corruption dedicated investigation team is specificallyresponsible for investigating corrupt behaviors.

Whistleblowing/ Handling Mechanism

Reporting hotline (Tel)+86-20-6637 8666 ext. 385

Reporting mobile phone

+86 18602010151

Reporting email

complaint@marubi.cn

Mailing address for reporting lettersAudit and Supervision Department, 7

th

Floor,South Tower, Poly Granville Building, No. 11,Xiancun Road, Tianhe District, Guangzhou

WeChat o?cial account

Integrity of Marubi

During the reporting period, Marubi successfullyheld the first Audit and Supervision Open Dayactivities. The event aimed to enhance employees'understanding of the work content of the Audit andSupervision Department, promote the integrityculture, and improve employees' integrity awarenessthrough a series of educational interactive games.

Reporting Channels

3738Steady Operation, Forging Sustainable "Beauty" PowerGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi serves as a governing member of the China Anti-Fraud Alliance, leveraging the alliance'sblacklist information sharing system, and strengthened due diligence in talent recruitment and newsupplier onboarding, to keep out dishonest persons and organizations and reduce risks of fraud.During the reporting period, Marubi participated in 6 training programs, including the EnterpriseAnti-Fraud Litigation Summit Forum organized by the China Enterprise Anti-Fraud Alliance, the 4thSupervision and Audit Forum, the Enterprise Risk Management and Anti-Fraud Strategy Seminar &Exchange Meeting, the Closed-Door Meeting of the Cosmetics and Personal Care Industry, as well asthe Enterprise Supervision Practical Drills and the Government-Enterprise Symposium on EnterpriseIntegrity Culture virtually organized by the Huangpu Enterprise Compliance Alliance.

Marubi strictly complies with the laws and regulations on anti-monopoly and anti-unfair competition, and ?rmly resists any unfaircompetition behaviors. Through the anti-counterfeiting traceabilitycode system, cooperation with professional third-party institutions,online and offline market inspections, the Company regularlyconducts monitoring and review of counterfeit and shoddyproducts to prevent the phenomena of channel conflict andcounterfeit products and maintain market order, while minimizingthe occurrence of fake products.

Marubi consolidates the information security management framework through multi-layered information security managementmeasures, continuously optimizes and enhances the overall security protection capability, providing a robust security assurance forthe sustained development of its business. During the reporting period, Marubi continued to deepen its cooperation with informationsecurity service providers. In accordance with the information security construction tasks, we respectively carried out securityvulnerability scanning and code security auditing, promptly discovered and repaired potential security risks in the system. Throughthe implementation of security education and training programs and emergency response drills for security incidents, we signi?cantlyimproved information security awareness and prevention ability, reducing the potential risks to information security caused by humanfactors. There were no information security incidents or events of customer privacy leakage.

Collaborating with Third Parties, Strengthening Anti-Corruption Capabilities

Anti-Unfair Competition

Strengthening Information Security Construction

Governing Unit of the EnterpriseAnti-Fraud Alliance CouncilTraceability Code Query

Proactive Measures, ProtectingInformation SecurityMarubi strictly adheres to the Cybersecurity Law, the Data Security Law, the Personal Information Protection Law, andother pertinent legal framework. Following the information security philosophy of "prevention orientation, comprehensivecoverage, and continuous improvement," the Company improves the information security management system, standardizesinformation security management, and continuously enhances the overall protection level of information security.

Activities of Participating in the Enterprise Anti-Fraud Alliance: During the reporting periodOrganized the ?lming of the micro-videoUnder the Sunand won theExcellence Award.Received the Integrity-Promoting SloganCreativity Award in the "Calling for IntegrityPromotion Slogans" campaign.

Organized employees to participate in theIntegrity Knowledge Competition and wonthe Excellent Organization Award.Won the Clean and Dynamic Award inthe "2024 Integrity Culture ConstructionAchievement Competition."

Collaborating with Public Security Brigade and Procuratorate to Conduct Anti-Fraud Compliance TrainingCase Study

During the reporting period, Marubi invited the Economic CrimeInvestigation Brigade of Huangpu District Sub-bureau, GuangzhouMunicipal Public Security Bureau to conduct the anti-fraud compliancetraining with the theme of "Preventing Job-Related Crimes andEscorting High-Quality Development." It deeply analyzed the harms andpreventive measures of job-related crimes, further enhanced the legaland regulatory awareness of employees, learned lessons from cases, and?rmly adhered to self-discipline and integrity in their occupations.During the reporting period, Marubi invited theHaizhu District Procuratorate to conduct theanti-fraud compliance training with the themeof "Risks and Prevention in the Operation ofPrivate Enterprises" to enhance employees'awareness of anti-corruption and promote theanti-corruption e?orts, and align with nationalgovernance requirements.

Marubi focused on promoting the classification protectionassessment for SCRM member management system andchannel digitalization system, ensuring compliance withnational standards and industry requirements when handlingsensitive data and conducting critical business operations. Asof the end of the reporting period, two key stages, namely theexpert review and rating ?ling with the public security bureau,have been successfully completed, laying a solid foundation forsubsequent security reinforcement.

3940Steady Operation, Forging Sustainable "Beauty" PowerGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

During the reporting period,Marubi completed several keytechnical upgrades, speci?callyincluding the deployment ofthe desktop cloud system forthe Finance Department, theexpansion of the local storageserver at headquarters, theexpansion of the public cloudhost server, and the deploymentof SAP redundant servers.These upgrades e?ectivelyimproved system stability andperformance, ensuring thee?cient operation and datasecurity of information systems.

During the reporting period,Marubi utilized an operationand maintenance servicerecord mini-program for faultstatistics and classi?cation,systematically recording theoperation and maintenanceevents of desktops and serverrooms, standardizing theoperation and maintenanceprocess, and enabledsmoother and more e?cientcollaboration among themaintenance team members.

During the reporting period, Marubi focused onthe construction of the server room in the self-use area of the new building, and carried outsecurity design and the deployment of securityequipment according to the requirements ofcybersecurity classi?cation protection. In thedesign of the network architecture of the newserver room, we strictly followed the standards ofcybersecurity classi?cation protection to ensurethe security of data circulation and storage. Avariety of security equipment such as ?rewalls,intrusion detection systems, comprehensivelog management systems, and database auditsystems were deployed to strengthen thephysical and cybersecurity protection of theserver room from the hardware level.

Marubi establishes a privacy protection system in accordance with laws, regulations, and supervisory requirements, continuouslyimproving and updating the dynamic updating mechanism to e?ectively protect the privacy and data security of third parties. Whencollecting and using users' personal information, Marubi adheres to the principles of "legality, legitimacy, necessity, and transparency,"fully safeguarding users' right to know and right to choose. We categorize di?erent types of data and implements tiered managementto ensure that only authorized and certified personnel can access data at corresponding levels. Users can report any instances ofpersonal information leakage or improper use to Marubi for handling.

Enhancing Information Security Measures

Protecting Consumer Privacy

Information SecurityManagement Measures

ContentAchievements

Cybersecurity

Classi?cation

ProtectionAssessment

Gap analysis and rectification forclassi?cation protectionCybersecurity classi?cation rating

Two systems have passed expert review and classi?cation ?ling:

Marubi SCRM member management systemMarubi channel digitalization system

InformationSecurity SystemConstruction andImplementation

Revise and improve the networksecurity system required by theclassi?cation protection standards

Security management systemSecurity management institution system

Penetration

Testing

Twice a year

Complete penetration testing for 5 business systemsImproved system risk level

Code AuditOnce a year

Complete code audit for 2 systems and output theCodeSecurity Audit ReportSecurity EducationTwice a year

Interpretation of Network Security VulnerabilitiestrainingCommon Web Security Vulnerabilities training

Security

Vulnerability

Management

Four times a year

Vulnerability scanning of main network assets such as theheadquarters, factory, and public cloudAsset assessmentOutput theVulnerability Scanning Report, and repair andreinforce the vulnerabilitiesAchieve 100% remediation rate for high-risk and criticalvulnerabilitiesContent of information security management during the reporting period

Technical UpgradesTool UpgradesEquipment Upgrades

Cybersecurity TrainingCase StudyThrough blended on-site meetings and online conferences, Marubi organized cybersecurity training for operations andmaintenance personnel, focusing on network security vulnerabilities and common web security vulnerabilities. The trainingsystematically covered topics such as the classification of security vulnerabilities, methods of hacker exploitation throughvulnerabilities, security vulnerability scanning technologies, and security vulnerability remediation. Additionally, it emphasizedthe standardized processes of vulnerability management, including vulnerability scanning, assessment, remediation, andveri?cation, to help the operations and maintenance team establish a scienti?c security management process.

4142Steady Operation, Forging Sustainable "Beauty" PowerGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Contributing to the UN SDGs

Meticulous Craftsmanship,Preserving the Beauty of SkinMarubi focuses on promoting technological innovation and quality upgrades,continuously improving the green R&D system, enhancing the consumershopping experiences, and constructing a healthy and safe industrialecosystem. By deeply integrating the concept of sustainable developmentinto every link of value chain management, Marubi creates a win-winindustrial ecosystem for multiple parties, generates long-term value, andultimately achieves symbiotic prosperity between the enterprise and society.

R&D and InnovationIntellectual Property ProtectionSuperior Quality Management

Marubi's Actions

Highlights of Performance

Newly authorized patents

million

Providing Premium ServicePromoting Industry DevelopmentWin-Win Cooperation with Partners

Self-developed ingredients

Over

R&D investment:

million

73.54

CNY

Leading with Technology, Decoding theBeauty of Diversity

Marubi prioritizes technological innovation, with sustained R&D investment building profound technical expertise. Marubiadheres to the R&D philosophy of "openness, innovation, science, truth-seeking, greenness, leadership, independence, high-techcore," and follows the principles of green chemistry and animal ethics, and continuously promotes the optimization of productformulas with natural raw materials and green technologies to improve the safety and friendliness of products. In this process, wealso develop more alternative animal testing solutions.

Marubi strictly complies with the cosmetics regulations, standards,and guidelines issued by relevant departments such as the NationalMedical Products Administration. By referencing documentsincluding theInventory of Existing Cosmetic Ingredients(2021Edition), theCosmetic Safety Technical Speci?cations(2015 Edition),and theTechnical Guidelines for Cosmetic Safety Assessment

(2021 Edition), Marubi has established stringent ingredient accessstandards. It conducts comprehensive safety risk assessments onall potential ingredients for use in products, eliminating the use ofprohibited ingredients and gradually phasing out controversial ones.In the product development process, Marubi formulates theDesignand Development Control Procedure 6.0in accordance with the ISO9001 Quality Management System Standard to ensure the products

Ingredient Safety

Monitoring Ingredient Risks

Key Performance Indicators

Key Performance Indicators

As of the end of thereporting period

ormulas had successfully passed

Case Study

During the reporting period, the full-version safety assessment policy wasimplemented as per theAnnouncement on the Release of Several Measures toOptimize the Management of Cosmetic Safety Assessment (No. 50, 2024)issuedby the National Medical Products Administration. Marubi actively responded tothe national policy on the full-version of cosmetic safety assessment, promptlyorganizing a safety assessment team, product managers, formulation engineers,and relevant department members to delve into the key points of the policy,ensuring a comprehensive and accurate understanding of the full-version safetyassessment policy. We developed a template for the full-version safety assessmentreport and verified the methodology, established a toxicological database, andachieved the ?rst successful registration of the star product, Marubi Peptide RedPen Eye Cream 3.0, under the full-version safety assessment policy.

Marubi adheres to the 3R principles of animal experiments, develops and implements various alternative animal testing methods. Marubiutilizes a range of extracorporeal testing models, biochemical experiment, cellular biological experiments, and molecular biologicalexperiments, chorioallantoic membrane (CAM) experiments and caenorhabditis elegans assay experiments. Di?erent models are aligned withdi?erent samples or testing purposes to provide safety and e?cacy support for the company's products and raw materials. During the reportingperiod, the overall evaluation strategy for alternative testing methods was further re?ned, and testing work using 3D skin models was launched.

Talent serves as the cornerstone of innovation. Embracing the spirit of open innovation, Marubi consistently attracts exceptional talentsfrom the industry through a blend of independent training programs and external collaborations. This approach has culminatedin the creation of a multidisciplinary talent pool encompassing expertise in over ten ?elds, including biology, genetic engineering,dermatology, pharmacology, phytochemistry, material chemistry, and testing. This diverse talent pool serves as a continuous sourceof innovative momentum, fueling the Company's growth and progress. During the reporting period, Marubi continued to optimizeR&D team and appointed Professor Ying Lin, the Director of the Guangdong Provincial Key Laboratory of Fermentation and EnzymeEngineering and the former dean of the School of Biological Science and Engineering at South China University of Technology, whonow serves as the Co-Chief Scientist of Recombinant Collagen at Marubi and concurrently as the Chief Scientist of raw materialfactory, Biost Pharmaceuticals.

Animal Welfare

R&D and Innovation

Audit the quali?cations of ingredient suppliers, includingproduction licenses, quality management systemcertifications. Require suppliers to provide the qualityspeci?cations, inspection reports, and safety data sheetsof ingredients, o?ering detailed information on ingredientcomponents, purity, and impurities.

Conduct risk assessments on ingredients, taking intoaccount factors such as the source, usage, and possibleharmful components of the ingredients.Supplier Management and AuditRisk Assessment System

Conduct inspections on each batch of ingredientsaccording to established standards, includingphysicochemical property testing and microbiallimit checks, to ensure that the ingredients meetquality requirements.

Record in detail the information related to the procurement,inspection, and use of ingredients, including supplierinformation, inspection report numbers. In the eventof issues, it is possible to trace the batch, source, andusage of ingredients through the records, so as to takecorresponding measures.

Ingredient Inspection and TestingDocumentation and Traceability

safety and reliability. We have also formulated theIngredientElimination Management Systemand sorting out the ingredientsevery year. During the reporting period, nearly 150 types of rawmaterials were eliminated, and ingredients such as parabens, PMMA,and 4-MBC (4-methylbenzylidene camphor) are no longer used.During the reporting period, Marubi further established a greenclassi?cation and categorization management system for ingredientsand formed the Ingredient Rating Operation Instruction Manual,classifying ingredients into priority, normal, restricted, and prohibitedcategories. Among them, priority ingredients must be of the fullgreen grade on Beauty Evolution without any risk warnings andhave corresponding green and low-carbon certifications. Marubiprioritizes the use of priority ingredients in formula development.

As of the end of the reporting period

The proportion of master's degree or above is

36.17%

Jointly Building a Safety Defense Line, Fully Embracing SafetyAssessment Policies

the full-version safety assessment.

Marubi maintains a team of

full-time internal

technical experts

Marubi has more than

external

cooperative scientists

4546Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi possesses seven ingredient research platforms, with a cumulative reserve of 80+ self-developed ingredients, and 20+ ingredients canbe mass-produced and applied. Furthermore, Marubi maintains a global network of collaborative partners, encompassing over 42 domesticand international universities, renowned tertiary hospitals, research institutions, and other scienti?c organizations.

Marubi operates R&D and innovation centers in Guangzhou, Shanghai, and Tokyo, forming a network of seven specialized researchcenters: the basic research center, life sciences center, pilot-scale experimentation center, applied development center, medicaltesting center, technical support center, and open innovation center. These centers collectively contain 48 functional laboratoriescovering diverse professional ?elds such as chemistry, biology, food science, medicine, pharmacology, and materials science. Thiscomprehensive infrastructure supports an integrated, seven-stage advanced scienti?c research system encompassing all critical stagesof entire R&D lifecycle: fundamental research - ingredient development - ingredient production - formula exploration - intelligentmanufacturing - quality inspection and testing - culminating in e?cacy evaluation. Leveraging biotechnology as its core driver, Marubipioneers eco-friendly "core" manufacturing in the cosmetics industry, cultivating profound technological expertise. Its commitment toinnovation has been consistently recognized, earning it the National High-Tech Enterprise Certi?cation for ?ve consecutive years.

During the reporting period

Marubi newly establishedthe Life Science Center andthe National Research Centerfor Recombinant FunctionalProtein Technology, andtook the lead in forming the"Dual Beauty Integration andInnovation Consortium" in theHengqin Guangdong-MacaoIn-Depth Cooperation Zone.

Marubi had more than

self-developed

and over

ingredients

Biost, a subsidiary of Marubi, increased theproduction and independent application supplyof self-developed ingredients by more than

tons.

Meiyu Testing, a subsidiary of Marubi, added

testing items.

Key Performance Indicators

IngredientProduction

QualityInspectionand Testing

FormulaExploration

Culminatingin E?cacyEvaluation

FundamentalResearch

IngredientDevelopment

SyntheticBiologyGenetic EngineeringBidirectional Bio-FermentationInnovative Extraction ofNatural Plant BioactivesPrecision-TargetedSustained-Release DeliverySuperconductive TransdermalEnhancement of Functional Actives

GreenChemistry

Pioneering Specialized Chip Innovation, Steered by a National-Level Science and Technology Innovation HubCase StudyThe National Research Center for Recombinant Functional Protein Technology is a research platform for scientific andtechnological innovation and achievement transformation o?cially approved by the China Biotechnology FermentationIndustry Association, with Marubi as the supporting institution. It is a national scientific and technological innovationplatform for achievement transformation in the field of recombinant functional proteins, focusing on collaborativeinnovation, academic exchanges, talent cultivation, achievement transformation, promotion, and application.Aiming to promote the innovation of the entire chain of"technology R&D - achievement transformation - industrialapplication" in the field of recombinant functional proteins inChina, and centering on the "Healthy China" strategy, the centerfocuses on the large health industries such as biomedicine,biological materials, cosmetics, and food. By integratingdomestic and international scientific research resources, itconducts research on cutting-edge technologies, and constructsan integrated collaborative innovation system covering basicresearch, industrial transformation, safety evaluation, scienti?cpopularization, and talent cultivation. It is committed to buildingan internationally competitive technology R&D and serviceplatform for recombinant functional proteins.

IntelligentManufacturing

have achieved massproduction.

ingredients

4748Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

During the reporting periodAccumulatedauthorized patents

including inventionpatents

Newly authorizedpatents

with inventionpatents

Publishedpapers

with a cumulative impactfactor exceeding

Newly publishedarticles

with a totalimpact factor

38.5

Key Performance IndicatorsTo incentivize R&D personnel to innovate proactively, continuously enhance their technical capabilities, and propel productdevelopment innovation to new heights, Marubi has established a competitive reward mechanism that evaluates creativity in productformulation design and skin feel. Monthly, we host the "Craftsmanship Monthly Challenge" competition for formulation engineers - acompetitive event that spotlights technical excellence and user-centric innovation.By systematically reinforcing the foundation for innovation and unleashing the full creative potential of R&D teams, Marubi providesholistic support for groundbreaking R&D achievements. This strategic focus has fueled breakthroughs across product pipelines, fromconceptualization to commercialization.

Novel Biomaterial Published in Top-Tier SCI JournalBiomaterials Advances

Case StudyDuring the reporting period, Marubi collaborated with Harbin Institute of Technology (Shenzhen) to publish a research paper titled"Transdermal delivery ofelastin peptide assisted by betaine-based deepeutectic solvent to ameliorate skin photoa-ging" in the top-tier biomaterials journalBiomaterials Advances. The study pioneered the application of succinic acid-betaine deep eutectic solvent(SAB) in encapsulating elastin peptides for transdermal delivery, forming supramolecular elastin to enhance transdermal absorption.The publication of this research paper demonstrates Marubi's leadership and continuous innovation in the field of biomaterialsresearch. It also marks a crucial step for Marubi in the development of anti-aging skincare products. Furthermore, it is an exemplaryof Marubi's innovative development model and the collaboration among universities, enterprises, and research institutions.

Marubi Eye Care White PaperCase Study

During the reporting period, Marubi compiled and released the EyeCare White Paper specifically customized for Chinese people. The whitepaper conducts a professional analysis of the Chinese people's eye skincharacteristics. According to the different causes of eye problems, itprovides corresponding solutions from various aspects such as daily life andprofessional skincare, o?ering consumers a professional eyecare guideline.

Key awards obtained during the reporting period

Guangzhou Municipal List ofCultivated Patent-Intensive

Enterprises

2024 Guangdong Association forScience and Technology TypicalEnterprise Innovation Case (A High-

Quality Chimeric RecombinantDual-Collagen (Type I/III) forAdvanced Biomedical Applications)

Second Prize in the GuangdongLight Industry Federation Scienceand Technology Award (SeriesInnovations in Bio-Fermented LysM

Raw Material Technology and Its

Industrial Applications)

Guangzhou 2024 Catalog of KeyNew Materials for First-BatchApplication Demonstration(Recombinant Collagen andRecombinant Elastin)First Prize in the 2024 LightIndustry Patent AchievementEvaluation (Application of Pichiapastoris Translation-RelatedFactor Bcy1 in HeterologousProtein Expression)

Two Products Recognized as"Guangdong High-QualityCosmetics"

Guangdong ProvincialExcellent Brand Enterprisein the Cosmetics Industry

First Prize in the GuangdongHigh-Tech Enterprise AssociationScience and Technology ProgressAward (R&D and Industrializationof Bio-Fermented Lysine-RichPolysaccharide (LysM) as anInnovative Cosmetic Ingredient)

Three Products Awarded the

Title of "Guangdong Famousand High-Tech QualityProducts

4950Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Safeguarding Innovation, ProtectingIntellectual PropertyMarubi considers technological innovation as its paramount priority. In alignment with standards and regulations, includingtheGuidelines for Corporate Intellectual Property Management(GB/T29490-2013), theTrademark Law, and thePatent Law,Marubi has established a robust intellectual property management system to safeguard its innovative development.Marubi protects its own intellectual property rights and trade secrets while respecting those of others. We regularly conductspecialized training to enhance the intellectual property protection awareness of relevant personnel. Additionally, we have establishedan intellectual property data platform to promptly access the latest domestic and international data, stay informed about industryintellectual property trends, and support R&D and innovation layout. During the reporting period, we established a practice base forintellectual property o?ce examiners, providing convenience for examiners to update and train their front-line professional technicalknowledge, and offering solid technical support for improving the quality of patent examination. Furthermore, we invited patentexaminers to conduct patent training for engineers, thereby enhancing the practical patent capabilities.

Ingenuity Embodies Quality, Guardingthe Essence of BeautyGuided by the policy of "quality-?rst, integrity-based, leading the market, and continuous improvement", Marubi strictlycomplies withQuality Management Standards for Cosmetics Productionand other relevant laws and regulations,formulating systems and procedures including theDesign and Development Control Procedure, Supplier SelectionManagement Regulations, and the Recall Management Control Procedure. Marubi has established a quality managementsystem through the full lifecycle of the product, covering product development, supplier selection, material acceptance,production, sales management, and product recall. As of the end of the reporting period, Marubi has passed thecertification of ISO22716:2007 Good Manufacturing Practices for Cosmetics (GMP), the ISO 9001 Quality ManagementSystem, and the Guidelines for Cosmetic Good Manufacturing Practice (2022) issued by the U.S. Food and DrugAdministration, maintaining e?cient and e?ective operations.

Marubi maintains vigilance in monitoring regulatory announcements and pertinent industry trends, promptly comprehending the nuancesof new regulations and updating the internal and external documents. In alignment with the implementation mandates of these regulations,Marubi conducts regular internal inspections every month and organizes training as needed to ensure operational compliance.As of the end of the reporting periodMarubi has successfully obtained certi?cation for the GB/T29490-2013intellectual property management system and has been honored asthe National Intellectual Property Demonstration Enterprise, NationalIntellectual Property Advantage Enterprise, Development ZoneIntellectual Property Advantage Enterprise, and Development ZoneIntellectual Property Demonstration Enterprise. The certi?cation of theISO 56005 innovation and intellectual property management capabilitysystem is currently in progress.

In addition, Marubi was granted thequalification as a key enterpriseintellectual property serviceworkstation of the sixth batch inGuangzhou Development District.

Digital Integrated Service Platform Empowers Intellectual Property WorkCase Study

Previously, Marubi maintained its patent ledgers locally, which led to ine?cient operations as the data volume grew. Following thelaunch of the Digital Integrated Service Platform, Marubi has not only been able to conduct self-service analysis of key indicatorsthrough BI dashboards, achieving comprehensive management ofpatent ledgers, but also supports multi-dimensional, customizedanalysis of patents. This capability enables identification of thetechnological strengths and weaknesses, providing data-driveninsights to inform R&D strategy formulation. Additionally, theplatform incorporates an intelligent literature analysis moduleand visualization components, integrating authoritative databasessuch as CNKI and PubMed. It can generate periodic data analysisreports, assisting us in understanding industry trends and its ownR&D performance.

5152Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi conducts stability and safety tests on all products to ensure quality. For newly launched products, we conduct di?erent e?cacy testssuch as "?rming", "soothing", "anti-wrinkle", "whitening", and "suitability for sensitive skin" to ensure product safety and e?ectiveness.During the reporting period, Biost enhanced raw material quality by standardizing procurement channels, establishing purchasing standardsfor botanical raw materials, and sourcing and inspecting these materials according to food or pharmaceutical standards and channels.Marubi has instituted theQuality and Safety Incident Disposal Control Procedure, clearly outlining the responsibilities of the legalrepresentative as the ?rst responsible person for quality and safety and the quality and safety supervisor designated as the direct executor.This procedure categorizes potential quality incidents and establishes corresponding emergency measures, which are periodically evaluatedto guarantee their effectiveness in addressing urgent situations. Marubi has established theRecall Management Control Proceduretooutline comprehensive handling plans for addressing quality issues in delivered products, tailored to the speci?c nature of each problem.A designated working group oversees this process, conducting regular recall drills annually to assess the e?ciency of the recall procedures.During the reporting period, Marubi conducted a simulated recall drill, and the recall procedure was veri?ed to be e?ective.

Environmental Indicators for Grade D Pharmaceutical Clean Room

Airborne Bacteria CFU/m

Settled Bacteria (ф90mm) CFU/4h100Surface Microbial Contact (ф55mm) CFU/disc50Temperature18℃ ~26℃Humidity45%~65%

IndicatorNumber

Leveraging daily quality meetings, periodic quality retrospectives, andcomprehensive quality management training, Marubi is committed toenhancing the quality consciousness and proficiency of its personnel andcultivating a robust quality culture. During the reporting period, with a focuson adhering to new regulatory standards and elevating internal qualitymanagement practices, Marubi conducted training sessions, including thoseon theRegulations on the Supervision and Administration of CosmeticsandtheKey Points and Principles for the Inspection of the Cosmetic ProductionQuality Management Speci?cations.

Quality Improvement

Administrative Measures for the Supervision andManagement of Cosmetic Production and Operation Training

In order to strictly control the quality standards of purchased goods, Marubi conducts inspections and assessments of suppliers'quality assurance systems, and provides feedback on quality information and reports on corrective and preventive measures forimprovement. We have formulated theIncoming Goods Quality Management System,and implemented goods inspection proceduresaccording to the requirements of incoming goods quality standards (including but not limited to inspection standards, specialrequirements, technical documents, etc.). Non-conforming products are handled in accordance with the processing procedures.Marubi maintains a regular schedule of quality review meetings and quality management training sessions speci?cally tailored forits suppliers. These sessions serve as platforms for sharing the experience in quality management, enabling suppliers to continuallyelevate their quality standards. During the reporting period, in response to frequently occurring issues with suppliers, Marubiconducted verification of process quality characteristics to identify the sources of problems and refined quality managementindicators. Marubi successfully conducted 7 quality review and training sessions, significantly strengthening the suppliers' qualitymanagement capabilities.

Quality Improvement of Schizophyllan Polysaccharide (SPG)Case Study

During the reporting period, Marubi successfully removed impurities from the raw material through a modi?ed renaturationprocess, signi?cantly increasing the content of SPG in the raw material. This not only improved the overall purity but alsoenhanced its appearance, resulting in higher transparency. Additionally, the stability of the raw material was strengthened.

To guarantee a superior user experience for consumers, Marubi adheres to more rigorous product quality standards than thoseprescribed by the industry. The production area includes the ?lling workshop, ingredient workshop, and emulsi?cation workshop, witha cleanliness degree up to grade D according to the Code for Design of Pharmaceutical Industry Clean Room (GB 50457-2019). Thisensures that the number of particles measuring ≥5.0μm under static conditions remains below 29,000/m?.

Quality Standards

Comparison of Marubi Standard and Chinese Industry Standard

Chinese Industry Standard Marubi Standard

Heat-resistant

40°C, with no abnormality after 24hours

45°C, with no abnormality after 24hoursCold-resistant

-8℃, with no abnormality after 24hours

-18℃, with no abnormality after24 hoursCentrifugation (emulsion)

2,000 r/min, with no strati?cation atroom temperature for 30 minutes

3,000 r/min, with no strati?cationat 38℃ for 30 minutesBacterial amount(CFU/g)

Cosmetics for children,lips, and eyes

≤ 500＜ 50Other skin cosmetics≤ 1000＜ 50Total mold and yeast CFU/g≤ 100＜ 10

During the reporting period, MARUBI Elastin Protein Day and Night EyeEssence and MARUBI Elastin Protein Time-Defying Firming Lotion werehonored with the "Guangdong Premium Cosmetic Selection" designation.Marubi has secured this prestigious recognition for three consecutiveyears, underscoring its robust product innovation capabilities and brandin?uence. Looking ahead, we remain committed to our original missionin product development: "Dedicated to fading every single wrinkle." Wewill continue delivering superior products and services to consumers,ensuring the delivery of high-quality beauty experiences.

Three-Time Recipient of "Guangdong Premium Cosmetic Selection" Award

5354Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Premium Service, Upholding thePromise of Beauty

Marubi adheres to the philosophy of "Service First, Sales Second," regarding customer satisfaction as a key driver ofcorporate development. On this foundation, we continuously optimize customer service system through meticulousmanagement and practical innovation, steadily enhancing the operational e?ciency of customer service management toachieve win-win development between customers and the company.

Marubi has long focused on digital transformation to improve service efficiency and optimize service effectiveness, continuouslypromoting the construction of intelligent and digitalized customer service. By introducing Leyan, Jingxiaozhi Intelligent Bot, theCompany achieves instant responses to customer inquiries and automated processing of high-frequency questions. At the same time,a team of robot trainers is equipped to iterate the system and database, further ensuring precise service responses and delivery.

Against the backdrop of booming e-commerce, and with the increasing proportion of online business and higher consumer demands forlogistics timeliness, Marubi signi?cantly enhances the consumer shopping experience by optimizing its warehousing and logistics system.

Intelligent Customer Service Driving Service Upgrades

Logistics Optimization Enhances Overall E?ciency

Warehousing and Logistics E?ciency Transformation

Redesign the layout of the on-site operation work?ow to improve work e?ciency and production capacity.Add express sorting diversion ports, integrating automated control systems and barcode recognitiontechnology to e?ectively reduce parcel transit time.Work?owOptimization

Automated data acquisition, synchronization, standardized accumulation, and daily data updates.The BI online page enables self-service data screening, analysis, export, and sharing, enhancing e?ciency.Timely identi?cation of logistics node bottlenecks.LogisticsTimelinessMonitoring

Through the cloud warehouse operation tracking and analysis module, all inventory, outbound, andinbound data are centrally managed and updated daily, signi?cantly improving data accuracy rate.Uni?ed data standards and the use of the same analysis template by all cloud warehouse specialistshave greatly improved information transparency and reduced information asymmetry.Provide multi-dimensional data analysis on turnover, inventory alerts, inbound/outbound e?ciencyto better improve turnover, formulate operational strategies, and promote sales.

CloudWarehouseOperationTracking

System Con?guration OptimizationOrders from di?erent regions are shipped from the nearestwarehouses in South China and East China to ensure thefastest delivery times and the most suitable courier service.Marubi also conducts logistics anomaly investigationsto comprehensively ensure efficient logistics operations,signi?cantly shortening logistics cycle time.

During the 2024 Tmall Double 11 shopping festival,the collection on-time rate reached

98.5%

Key Performance Indicators

Marubi is committed to building a comprehensive and re?ned customer feedback collection and analysis system, using professionaltools and scienti?c methods for in-depth analysis to assist in precise optimization of products and services.Collect consumer usage experiences and opinions through customerservice reception and product reviews, and other channels.

Categorize and sort the collected data based on the nature of the issues(such as allergic reactions, skin feel problems, and ineffectiveness).Analyze the frequency, severity, and impact scope of the issues, andidentify common problems as well as individual cases. In offlinetraining, Marubi relies on front-line store employees to accuratelycapture the common needs and personalized demands of customers,providing a real basis for product R&D and service optimization.During in-store activities and store inspections, conversations with on-site members are also conducted to understand their daily skincareroutines, product usage experiences, and improvement feedback.

Feedback Collection and Analysis Mechanism

Multi-Channel Feedback Collection

Classi?cation and Compilation ofFeedback Information

Feedback Channels

400-830-4000 National HotlineO?cial Self-media PlatformsO?cial Customer Service of the Online StoreFeedback from O?cial O?ine Stores

Product OptimizationCase Study

In response to customer feedback on issues encounteredduring the use of the product, Marubi optimized theproduct formula as part of its upgrade efforts andconducted safety evaluations through humantrials on sensitive skin, significantly enhancing theproduct's safety and applicability. Simultaneously, thecustomer's product usage experience was optimized,making the product more suitable for various skintypes and conditions.

Marubi Peptide RedPen Eye Cream 3.0Marubi Peptide RedPen Eye Cream 1.0

Marubi Peptide RedPen Eye Cream 2.0

Marubi provides a full-shade trial card along with thefull-sized product. If consumers find that the shadenumber is not suitable, they can replace the full-sizedproduct for a different shade free of charge, avoidingthe inconvenience of discovering that the productdoesn't match after opening the full-sized package andenabling a more worry-free purchasing journey.

Passional Lover Product Trial Card

Case Study

Experience Full-Shade with One Card,Improving Online Shopping Experience

5556Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

During the reporting period Online customer servicesatisfaction rate in 2024 was

Key Performance Indicators

To gain an in-depth understanding of customer needs and accuratelyassess service quality, Marubi conducted a comprehensive,meticulous, and multi-channel customer satisfaction survey. Duringthe reporting period, customer service satisfaction rates of theCompany's multiple platforms increased compared with the sameperiod last year, with a satisfaction rate exceeding 90%.

Customer Satisfaction Survey andEnhancement

92.27%

Marubi ?rmly believes that customer service training is a key measure to enhance service quality, boost customer satisfaction, andstrengthen competitiveness. During the reporting period, Marubi carried out multiple customer service training courses such as theOptimization of Customer Service Reception Process, the High-quality Customer Service, and theCommunication Course - ListeningAbility, covering 100% of the customer service sta?.

Customer Service Training

During the brand marketing process, Marubi adopts a people-oriented approach and promotes emotional and cultural communication in anorderly manner.During the reporting period, we initiated a series of topics such as "Why Bow to Others' Gazes" and "Stand Out and Shine," encouraging girlsbid farewell to conforming to others' expectations in the workplace, embrace their true selves, and voice the aspirations of females.

Marubi maintains a schedule of training sessions for its customer service personnel and marketing team, focusing on cosmeticsregulations, online platform guidelines, and cosmetics product expertise. This ensures that accurate product information is impartedto consumers in a manner that adheres to regulatory requirements, while safeguarding customers' legitimate rights and interests.Additionally, Marubi develops guidelines for live streaming conduct, tailored for internal anchors and collaborating partners, toguarantee that their live streaming activities adhere to the established standards.Furthermore, Marubi actively encourages its service personnel to participate in professional certi?cation training related to skincareand cosmetics, aiming to continually enhance their professional service capabilities.

Compliance Training

Social Advocacy

Marubi spares no effort to build a responsible marketing systemand has formulated regulations such as the Product Label andMarking Compliance Management System and the AdvertisingProduct Compliance Management System. The content of productlabels and promotional copy must undergo internal review andcon?rmation to ensure that market behaviors, including customerservice and marketing, comply with legal provisions and guaranteethat product promotion is compliant, transparent, and accurate.Marubi advocates positive values through regular compliancetraining, ongoing popularization of product ingredient knowledge(refer to the annual theme spotlight for details), and marketingactivities with characteristics.

Responsible Marketing

Detail Page Discloses Ingredients, Gaining Consumer Trust

through Ingredient Transparency

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Complaint TypesHandling Methods

General ComplaintsAuthorize front-line personnel to handle them quicklySevere issues and Complaints InvolvingLegal and Regulatory Issues

Professional departments conduct rapid and e?ective analysis and handling,conduct in-depth analysis of the causes to take preventive measuresComplaints with Material Impact

Promptly report to the company's leadership for proper handling, andconduct product recalls when necessary

Adhere to the principles of timely response, thorough investigation, and rapid resolution when addressing consumer complaints.Regularly analyze complaint data to uncover root causes, providing robust support for the continuous improvement of product andservice quality. During the reporting period, the consumer complaint resolution rate was 100%.Complaint Management

5758Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Through multidimensional and innovative cultural integration, Marubi has propelled ICH into the public eye, signi?cantly enhancing social visibility andoutreach while bolstering preservation e?orts. During the reporting period, we orchestrated a series of "Transforming Adversity into Beauty" heritagepromotion activities such as the intangible cultural heritage Cantonese embroidery cloud collars, organized a national style aesthetic salon for MarubiEye Cream Festival, launched cultural co-branded products such as "Marubi New Year Shopping Festival & Chinese Calligraphy Artist Jingyi Zhu" and"Marubi Eye Cream Festival & International Artist SaSha." These initiatives artfully have fused the aesthetic essence of ICH with contemporary art trends,creating a dynamic synergy that not only preserves cultural heritage but also pioneers new avenues for ICH's evolutionary development.

Intangible Cultural Heritage (ICH) Dissemination

The "Transforming Adversity into Beauty" Intangible Cultural Heritage Brand Marketing ActivityCase StudyCantonese Embroidery, one of the four renowned embroidery styles in China, boasts a long history and profound culturalheritage. Among its exquisite variations, Chaozhou Embroidery (Chao Xiu), originating from the Chaozhou region ofGuangdong Province, stands out for its meticulous craftsmanship, vibrant color palettes, and unique compositions. In 2024,Marubi drew inspiration from the cloud collars motifs found in Dunhuang murals from the Sui and Tang dynasties, taking thebutter?y as a design muse. We integrated the patterns and hues of Chaozhou Embroidery into our products, infusing themwith the essence of intangible cultural heritage and setting a new trend in skincare that celebrates Chinese aesthetics.

In addition to incorporating intangible cultural heritage elements into product design, Marubi further promotes heritagethrough online and o?ine activities. We have forged in-depth cooperation with many inheritors and artists of ChaozhouEmbroidery, inviting intangible cultural heritage experts to create works using different intangible cultural heritagetechniques, including cloud collars designs, Suzhou Embroidery, paper-cutting, kingfisher feather art, filigree inlay, andbatik. We have also organized intangible cultural heritage-themed exhibitions to showcase butterfly-themed works thatintegrate Chaozhou Embroidery elements. Through co-creative interactive activities, we have provided consumers with freshcultural experiences and encouraged more people to participate in the inheritance of intangible cultural heritage.

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Co-branded Gift Box

Uniting E?orts, Promoting the Developmentof the Cosmetics Industry

Drawing on the profound professional capabilities and extensive experience in the beauty industry, Marubi has been activelyinvolved in fostering the development and construction of the industry through various activities such as standard formulation,research projects, and industry exchanges, to promote the standardized and high-quality growth of the entire industry.Marubi actively utilizes its professional prowess and expertise to participate in the formulation of industry standards, therebycontributing signi?cantly to the standardization and high-quality advancement of the industry. As of the end of the reporting period,Marubi has led or participated in the compilation of a total of 76 standards. During the reporting period, 22 new standards were added,with Marubi leading the formulation of 6 group standards.

Participation in the Formulation of Industry Standards

Standard TypeStandard NameStandard NumberStatusRole of Marubi

Group Standard

Quality Classi?cation and Evaluation Requirements forFront-Runner Eye Cream

T/CIET 414-2024PublishedLeadGroup StandardCosmetic Ingredients - Recombinant Soluble CollagenT/GDCA 040—2024PublishedLeadGroup StandardGreen Factory Assessment Standard for Cosmetic IndustryT/CIET 544—2024PublishedLeadGroup StandardGuidelines for Carbon Footprint Assessment of Skincare ProductsT/CIET 543—2024PublishedLeadGroup Standard

Technical Standard for E?cacy Evaluation of CosmeticRepair Function

T/UNP 147—2024PublishedLeadGroup StandardExtract of Leontopodium alpinumT/SMX 0001-2024PublishedLeadGroup StandardMethod for Determining Bioavailability of Oral CollagenT/FDSA 0050—2024PublishedParticipateGroup Standard

Technical Speci?cation for Blow-Fill-Seal (BFS) AsepticProduct Manufacturing

T/CIET 357—2024PublishedParticipateGroup Standard

Quality Classi?cation and Evaluation Requirements forFront-Runner Hair Conditioner

T/CAS 805—2024PublishedParticipateGroup Standard

Laboratory Quality Control Speci?cation CosmeticE?ectiveness Evaluation

T/CITS 0005—2024PublishedParticipateGroup Standard

Laboratory Quality Control Speci?cation Cosmetic Physicaland Chemical Testing

T/CITS 0006—2024PublishedParticipateGroup StandardEvaluation Method for Cosmetic Packaging CompatibilityT/GDCA 039—2024PublishedParticipateGroup Standard

Functional Food Evaluation Method for Body Fat RegulationCaenorhabditis Elegans Assay

T/FJCA 003-2024PublishedParticipateGroup StandardHuman Evaluation Method for Soothing E?cacy of CosmeticsT/GDCA 038—2024PublishedParticipateGroup StandardEvaluation Method for Water Washability of Sunscreen ProductsT/GDCA 041—2024PublishedParticipateGroup StandardTechnical Safety Requirements for CosmeticsT/UNP 144—2024PublishedParticipateGroup Standard

Green and Low-Carbon Product Assessment Standard forCosmetics

T/UNP 145—2024PublishedParticipateGroup StandardTechnical Standard for Evaluation of Cosmetic Soothing E?cacyT/UNP 146—2024PublishedParticipateGroup StandardInhalation Toxicity Test Method for Sunscreen SpraysT/GDMPAS 001-2024PublishedParticipateGroup StandardGeneral Requirements for Transdermal Absorption CosmeticsT/ACCEM 024—2024PublishedParticipate

5960Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi actively participates in industry associations and industry exchanges, leveraging these platforms to share its professional andexperiential advantages to contribute wisdom and strength to the development of the industry.

Marubi partnered with South China University of Technology to jointly nurture postdoctoralresearchers, enhancing the postdoctoral innovation practice base's role in fostering industrytalents and strengthening industry-academia-research collaborations.Marubi partnered with Jinan University to establish a collaborative cultivation and talent-nurturing base for full-time professional degree graduate students on the basis of theexisting undergraduate internship base for specialized majors, and collaborated withGuangdong Pharmaceutical University in jointly nurturing master's degree students. Thesecollaborating graduate students can commence their scienti?c research practice at Marubi.

2024 Synthetic Biology and BiologicalManufacturing Application Conference

2024 Huicheng Medical Aesthetics Innovation Conference and CMATIChina Medical Aesthetics Technology Innovation Festival

Participating in Industry Exchanges

In the process of growth and expansion, Marubi actively engages in industry-academia-research collaborations, not only supportingthe nurturing of industry talents but also fueling sustainable development with a steady stream of innovative momentum. As of theend of the reporting period, the Company has forged collaborative partnerships with universities such as South China University ofTechnology, Jinan University, Guangdong Pharmaceutical University, and Guangdong Vocational College of Light Industry, aiming tojointly foster the development of talents in the cosmetics industry.

Supporting the Cultivation of Industry Talents

During the reporting period, Marubi embarked on university-enterprise cooperation withGuangdong Vocational College of Light Industry, aiming to jointly cultivate high-quality andapplied talents possessing excellent professional qualities and practical skills.

Joint Post-doctorateTraining

Joint Master's

DegreeTraining

Internship Base

Collaborative ProjectsProject Introduction

The O?cial Publication of the Only "Front-Runner" Group Standard for Eye Cream in ChinaCase Study

Marubi Led the Launch Meeting for the "Recombinant Soluble Collagen" Industry StandardCase StudyIn response to the lack of industry standards for recombinant collagen incosmetics, during the reporting period, Marubi took the lead in initiatingthe formulation of the industry standard for Recombinant SolubleCollagen together with many experts from industry-academia-researchinstitutions. The standard clearly targets soluble recombinant collagen,a cosmetic ingredient prepared by genetic engineering/syntheticbiotechnology, and outlines a comprehensive regulatory system coveringquality control, technical requirements, and testing rules, providing areliable reference model for industry production and consumer selection.

Against the backdrop of a continuously growing market in the industry,through over 20 years of in-depth research into eye care, Marubi has builthigher barriers in the industry with biotechnology. During the reportingperiod, as the ?rst drafting unit, it successfully formulated and released theQuality Classification and Evaluation Requirements for Front-Runner EyeCream Group Standard(T/CIET414-2024). The release of this group standardnot only represents an authoritative recognition of the quality of Marubi eyecreams but also affirms Marubi's leading position, technical prowess, andinnovative capabilities in the formulation of beauty and cosmetics industrystandards. It signifies that Marubi eye creams have reached the industry-leading levels in terms of safety, e?ectiveness, innovation, and other aspects.

6162Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Collaborating with Partners, Fostering aWin-Win Beauty Ecosystem

Marubi remains committed to collaborating with its upstream and downstream partners to foster mutual growth,prosperity, and beneficial outcomes. It generously shares its extensive experience and technological advancements,garnered from years of development, with its suppliers and distributor partners. This collaboration aims to jointly promotesustainable development and forge resilient, stable partnerships.

Marubi has formulated supplier management system documents such as theSupplierManagement Manual, specifying the full lifecycle from introducing suppliers, audit,procurement, cooperation, and evaluation management, to elimination. According to theopen, fair and just principles, Marubi utilizes a supplier management platform to systematicallyregulate supplier relationships, continually enhancing the stable and sustainable supply chain.To improve procurement e?ciency and control supply risks, Marubi has adopted a centralizedprocurement request submission channel, established a comprehensive procedureencompassing request submission, procurement, and acceptance inspection, and optimizedthe execution timing and rhythm of the supply chain backend, thereby ensuring sufficientprocurement cycle time.During the reporting period, Marubi continued to deepen the integration of supply chain data.At the front end, we strengthened the connection with sales data to improve the accuracy ofmarket demand forecasting, reduce inventory backlogs, and accelerate inventory turnover.At the back end, it achieved in-depth integration with key information such as cloud-basedwarehousing and logistics, enhancing the ?exibility and rapid market responsiveness, therebyimproving overall supply chain e?ciency.

Marubi has established a continuous empowerment system for distributor partners to promote collaborative development. Duringthe reporting period, we carried out diversi?ed trainings. For partners in the daily chemical ?eld, 853 medium-to-large-scale trainingsessions were held (covering 50,600 participants). Partners in the department store ?eld organized 464 training sessions (coveringnearly 10,000 participants), and cultivated over 450 department store trainers. For partners in the cosmetics ?eld, nearly 20 o?ine andonline training sessions were implemented (covering more than 4,000 participants), and by guiding distributors to independently carryout terminal activities such as private sessions and salons, comprehensively enhancing their market service capabilities.

Sustainable Supply Chain

Distributor and Store Management

reporting period, the proportion oflocal procurement reached100%

Key Performance Indicators

As of the end of the reporting period

the weight proportion of RSPO-certi?ed palm oil derivativespurchased accounted for

11.10%

Key Performance Indicators

At the procurement stage, Marubi prefers to select suppliers with green qualifications and a sound management system encompassingproduction management, environmental protection, safety, and business ethics. When signing contracts, Marubi included environmentaland occupational health and safety notices as attachments, requiring suppliers to comply with relevant regulations in these areas. For somekey suppliers, Marubi conducts regular ESG audits to enhance the sustainability level of the supply chain.Throughout the collaboration, Marubi adheres strictly to the principle of transparent procurement, annually signing theIntegrity CooperationAgreementwith suppliers and providing whistleblowing channels. Internally, Marubi conducts integrity training for procurement personnel,focusing on topics such as gift handling and con?ict of interest. We also incorporate integrity indicators into their performance appraisals andimplement a rotation policy every 2-3 years to ensure continued vigilance.

Supplier ESG Governance

Marubi follows the concept of green procurement, advocating preferential use of raw materials with less impact on the environmentand human body, gradually integrates the principle of sustainable development into supplier management and review, continues toimplement sustainable procurement procedures, and improves the sustainable attributes of the whole industrial chain.As required by Marubi, the suppliers' product should contain information about hazardous substances, recyclable materials, etc. Toensure the validity of green procurement, Marubi implements environmental audits and regular training. During the reporting period,we held a supplier conference and conveyed the ESG concept and expectations regarding sustainable development to suppliers,proposed an initiative to produce sustainable products, and strengthened sustainable management among suppliers.

Green Procurement

The raw materials complying with organic certi?cations such asCOSMOS is the ?rst choicePrioritize the procurement of the raw materials complying with theRoundtable Sustainable Palm Oil (RSPO)Prefer the suppliers who adhere to the Nagoya ProtocolEncourage packaging materials suppliers to use environmentallyfriendly inksFavor the procurement of packaging materials with FSC certi?cation

Conduct Beauty Classes/Salon, Providing Members with Seasonal Skincare Knowledge and Expert Guidance

As of the end of the reporting period

6364Meticulous Craftsmanship, Preserving the Beauty of SkinGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Contributing to the UN SDGs

EnvironmentalProtection, Safeguardingthe Beauty of EcologyMarubi stays committed to building a green enterprise featuring "cleanliness,high e?ciency, low carbon, and recycling" and aims to realize the sustainableand green growth. We actively align with the national strategic objectivesof achieving carbon peaking and carbon neutrality goals, and consistentlyinvest in environmental protection management, addressing climate change,conserving resources, managing emissions, and promoting green buildingpractices. We continuously optimize the environmental managementsystem, adopt lean production methods, and rigorously manage energy,resources and emissions, aiming to forge ahead towards a greener and moresustainable future.

Environmental Protection ManagementAddressing Climate ChangeEmissions Management

Marubi's Actions

Highlights of Performance

Greenhouse gas emissions per CNY million revenue decreased by

5.02%

Electricity consumption per unit of output decreased by

compared to last year

45.7%

Resource ConservationPromoting Green O?ce

Environmental protection investment:

2.92

millionCNY

Embracing Green Values, ImprovingEnvironmental Management

Low-Carbon Transformation,Addressing Climate Change

Marubi prioritizes environmental protection as a core responsibility, committing to protecting the environment. We adhere tothe four basic environmentally friendly principles, namely "low energy consumption for product use, low production resourcedemands, harmless raw materials, and low recycling cost." We strictly comply with environmental-related laws and regulations,established a comprehensive environmental management system, and ensuring the implementation and supervision through theSafety and Environmental Protection Department. Driven by innovative concepts, technologies, and processes, we continuouslypromote energy conservation, emission reduction, consumption reduction, and efficiency improvement in production andoperation to ensure compliance with the requirements of the ISO 14001 Environmental Management System Certi?cation.

Marubi actively responds to the national strategy of carbon peaking and carbon neutrality goals, enhancing the applicationof clean energy and striving to reduce energy consumption through technological innovation and equipment improvement.Marubi continuously improves energy management performance and enhances energy utilization e?ciency.

Marubi strictly implements the requirements of environmental impact assessment and the"three simultaneous" principle of environmental protection for new construction, reconstruction,and expansion projects. Marubi continuously identi?es, evaluates, and updates environmentalimpact factors to provide a scienti?c basis for formulating environmental protection objectives,indicators, and control measures. Environmental protection facilities are constructed andmaintained as required to ensure compliance with emission standards and e?ectively controlenvironmental risks and impacts. Furthermore, we also organize environmental protection-related training to enhance employees' environmental awareness and practical skills.In order to enhance the emergency response capability to sudden environmental incidents,control and handle accidents in a timely and accurate manner, e?ectively carry out emergencyresponse, and mitigate the harm caused by environmental pollution incidents, Marubi hasestablished an environmental emergency management system in accordance with therequirements of the National Emergency Plan for Sudden Environmental Incidents and otherrelevant laws and regulations. We have set up a management agency, adopted environmentalrisk prevention measures, established a risk early warning mechanism, formulated emergencyplans for sudden environmental incidents, and organized relevant emergency drills.

Guangdong Provincial

Green Factory

Environmental Management SystemCerti?cation Certi?cate

During the reporting period, the ISO 14001 EnvironmentalManagement System remained effective, and Marubi obtained2024 Guangdong Provincial Green Factory certi?cation.

Zeroenvironmentalaccidentsoccurred.

Environmental protection investment

million

During the reporting period

CNY

2.92

Key Performance Indicators

Marubi strictly complies with energy-related laws and regulations,continuously improves theEnergy Management Manual.We haveformed an Energy Management Leadership Team headed by the5C Center Plant Manager to continuously optimize the energymanagement system and ensure the e?ective operation of the ISO50001 energy management system. We focus on comprehensiveprocess management and optimizing energy structure, committingto continuously reducing energy consumption and improving energyutilization e?ciency to achieve re?ned energy management.

Marubi remains committed to its energy policy of optimizing energy structure and implementing comprehensive process management, andcontinuously optimizes management frameworks, such as theResource and Energy Conservation Management System and the ControlProcedure for Energy Objectives, Benchmarks, and Performance Parameters. During the reporting period, electricity consumption per unitof output decreased by 45.7% compared to last year. Marubi continues to set emission reduction targets and implementation plans, withrigorous tracking and enforcement to gradually reduce carbon emissions. During the reporting period, Marubi has currently conductedcarbon footprint accounting for three products such as the "Marubi Multiple Peptide Firming and Anti-wrinkle Eye Cream" and the "MarubiRecombinant Collagen Ampoule Essence." By purchasing carbon credits, we achieved full-year product carbon neutrality for 2023.

Energy Management System

Carbon Neutrality Action

Product Carbon Neutrality Certi?cationProduct Carbon Footprint Report

ISO50001 EnergyManagement SystemCerti?cation Certi?cate

6768Environmental Protection, Safeguarding the Beauty of EcologyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Risk TypeRisk DescriptionMeasures

Physical

Risks

Acute Risks

Production interruptions, depreciation of ?xedassets, labor losses, and increased facilitymaintenance costs caused by extreme weather(such as heavy rain, typhoons, ?oods, hightemperatures, etc.)

Formulate emergency plans for extreme weather and suddenenvironmental incidentsImplement regular inspections and early warningsChronicRisks

Climate warming, leading to increased operatingcosts

Formulate climate change emergency plansStrengthen equipment maintenance management

Transfor-mationRisks

Policy andLegal Risks

Government requirements for carbon-related information disclosure are becomingincreasingly strict, placing growing pressure oncompanies' compliance management

Improve the energy management system and the dual-carbonmanagement system, optimize the energy structure andimplement energy conservation and carbon reduction measures,and strengthen the R&D of green and low-carbon technologiesTrack relevant laws and regulations, and promptly conductresearch and analysis on relevant policies related to this riskTechno-logical Risks

Introduce energy-saving and consumption-reducing equipment or clean technologies topromote carbon emission reduction

Increase research investment in the direction of green andlow-carbon developmentCarry out energy-saving technical transformations toimprove equipment e?ciencyMarket Risks

A?ected by climate change, global energytransformation, the prices of energy, water, andraw materials rise, leading to an increase inproduction costs

Layout the R&D of green technologies and green supplychains to respond to market changesReputationRisks

If the Company does not actively engage inclimate change response actions, it may not beable to meet the expectations from consumersand other stakeholders, resulting in damage toits own image and reputation.

Ensure compliant information disclosure to meet legalrequirementsStrengthen the monitoring of negative public opinion, proactivelyfollow up on recti?cation, and reduce negative impactsRisk Identi?cation and Response Measures Related to Climate Change

Energy Conservation Projects During the Reporting PeriodEnergy Measurement and AnalysisAutomatic Meter Reading

To meet the demand for strengthening digital energy management, Marubi has carried out the renovation and installation of water,electricity, and steam meters, and achieved IoT communication for these meters. Simultaneously, we have planned and constructeda basic energy management platform to realize automatic data collection, storage, realize automatic meter reading, output energyconsumption management reports, and achieve digital energy management. A total of 66 smart electricity meters, 4 water meters, 3steam meters, and 1 natural gas meter have been replaced to enable real-time online data collection.

Marubi is committed to enhancing energy efficiency and minimizing energy consumption by continuously upgrading its energy-consuming equipment, with the ultimate goal of establishing a green and low-carbon enterprise.

Digital Energy Management

Technical Energy Conservation

Develop online monitoring interfaces for energymeasurement networks such as electricity and watermeters, and provide data analysis functions.

Realize the automatic meter reading function of on-site meters according to installation positions. Achieveintelligent meter reading in multiple dimensions suchas daily, monthly, yearly, and customized intervals,eliminating the workload of manual meter reading

Multi-Dimensional Query and Analysis"One-picture" Energy Management

Achieve multi-dimensional query and analysis of energyconsumption data for the entire factory, secondaryenergy-consuming units, and key equipment, assistingenterprises in achieving re?ned energy management

Customize and develop the energy dashboard moduleto realize "one-picture" energy management

By optimizing the production process and integratingequipment features, the intermittent production wasadjusted to continuous production, reducing the energyloss during the repeated startup, shutdown and waitingof the equipmentOptimizingampouleproductionequipment

Electricity savings amounted to

kWh17,850

Human infrared smart induction switches have beeninstalled to intelligently manage electricity usage,reducing energy waste caused by leaving switcheson for extended periods in unoccupied states due tomanual operationRenovatingcorridor energy-saving lamps

Energy-saving electricity consumptionreduction was

kWh38,223.36Introduced a new generation of air compressorunits with ?rst-class energy e?ciency, optimizedand shortened the pipeline layout to reduce thecompressed air loss caused by excessively longpipeline, thus reducing energy consumptionIntroducingVariableFrequency AirCompressor

Electricity savings were

kWh68,913

Strengthened the control of incoming packagingmaterials from suppliers, improved packagingcleanliness, optimized the packaging sterilizationprocess to reduce energy consumptionOptimizingpackagingmaterialsterilizationmethods

Electricity savingsreached

kWh79,794

and watersavings totaled

tons3,501

According to market trends and product characteristics,Marubi introduced BFS equipment, which uses moreenvironmentally friendly PP materials as productpackagingIntroducingBFSequipment

A total ofmillion units were produced,

82.01

reducing the use of less eco-friendly packagingmaterials such as conventional glass bottles

6970Environmental Protection, Safeguarding the Beauty of EcologyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi is actively promoting the utilization of clean energy by installing PV power stations on factory rooftops, successfullyimplemented the grid-connected PV system in 2018. During the reporting period, the installed capacity of rooftop PV stations reached

660.06 kW, generating a total of 609,157.6 kWh of electricity. 21,660 kWh were supplied to the power grid, while 587,497.6 kWh was

consumed internally, resulting in an equivalent carbon emissions reduction of 347.40 tons. In addition, the Company purchased greenelectricity methanol as a fermentation raw material and replaced traditional materials with green electricity methanol in the process offermentative recombinant functional proteins using Pichia pastoris.

Utilization of Clean Energy

Clean Production, ReducingEnvironmental FootprintMarubi strictly complies with the relevant laws and regulations such as theRegulations on Urban Drainage and SewageTreatment, theSolid Waste Pollution Environment Prevention and Control Law,theAir Pollution Prevention and ControlLaw,and theNoise Pollution Prevention and Control Law,continuously enhancing internal management regulations such astheControl Procedures for Wastewater, Exhaust Gas and Noise and the Waste Control Procedures,as well as the emissionsmanagement system. Marubi strengthens daily emissions monitoring and conducts regular third-party monitoring to ensurethe e?ective implementation of various environmental protection measures.

The primary sources of waste gas emissions stem from boilers and standby generators during operation, as well as dust generatedduring the mixing process of production line ingredients. To effectively prevent and control waste gas emissions, Marubi hasestablished a comprehensive and standardized mechanism, formulated a waste gas monitoring plan and maintained a monitoringledger. During the reporting period, Marubi successfully completed the renovation project of steam boiler combustion engines,signi?cantly reducing atmospheric pollutant emissions.

The wastewater primarily includesindustrial wastewater and domesticsewage. Marubi continuously promotesthe daily supervision mechanism forwastewater treatment, ensuring thatregular monitoring and inspection of alltreatment units. Additionally, Marubi hasnewly invested in the construction of asewage treatment station.

Enhancing the thermal e?ciency of boilers and utilizing environmentally friendly fuels.

Purifying the exhaust gas through a spray box and subsequently discharging itinto the atmosphere at a safe altitude.Ensuring e?ective ventilation and deploying a pulsed back-blowing industrialdust collection system, achieving a ?ltration e?ciency exceeding 99% for dustparticles larger than 0.3?m.

IndustrialWastewaterDomesticSewage

Industrial wastewater is centrally treated by the supporting sewagetreatment facilities and discharged into the municipal sewagepipeline network after meeting the standards. The resulting sludgeis compressed using a plate-and-frame ?lter press and subsequentlyrecycled and reused by a third-party organization, and then is madeinto the new wall material through sintering.Domestic wastewater must undergo three-stage septic tank andmeets the local standard for the second period of time beforedischarging into the municipal sewage pipeline network.

Waste Gas Management

WastewaterManagement

the installed capacity of rooftop PVstations reached

KW

660.06

while

kWhwas consumed internally587,497.6generating a total of

kWh of electricity609,157

resulting in an equivalent carbonemissions reduction of

tons

347.40

were supplied to the power grid

kWh21,660

Rooftop PV Site

Pollution Prevention and Control of Wastewater Discharge

Pollution Prevention and Control of Waste Gas EmissionsClassi?cation ofWastewater Emissions

Pollution Prevention and Control Measures

Waste gasemitted from

gas-?red

boilers

Waste gasgeneratedby standbygenerators inoperation

Dust producedduring themixing process ofproduction lineingredients

Classi?cation of Waste

Gas Emissions

Pollution Prevention and

Control Measures

New Sewage Treatment StationCase StudyDuring the reporting period, Marubi launched a new sewage treatmentstation to treat high-concentration wastewater from the cleaningof reaction kettles in the production workshop. Due to significant?uctuations in wastewater quality and the relatively high temperature(60-70 ), a comprehensive process of "coagulation sedimentation +IC reactor + contact oxidation method" was adopted. The treatmentprocess includes the wastewater cooling, adjustment, coagulationsedimentation, anaerobic hydrolysis and acidification, biochemicaldegradation, and final secondary sedimentation tank separation. Thetreated wastewater will meet the standards of theWater PollutantDischarge Limits of Guangdong Province, with COD concentrationreduced to below 500 mg/L, and online COD monitoring equipmentis installed for real-time monitoring. The entire system ensures thatthe treated wastewater can meet the discharge standards, effectivelyreducing the impact on the environment.Automatic COD Sewage Monitoring Equipment

℃

7172Environmental Protection, Safeguarding the Beauty of EcologyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

The solid waste generated during the production and operation is mainly divided into recyclable waste, non-recyclable waste,hazardous waste, and domestic waste, which are uniformly collected and then handed over to qualified suppliers for disposal.Hazardous wastes mainly include reagents and others generated during the R&D and production processes, non-hazardous wastescomprise general industrial waste and domestic waste.

Routine inspections are strengthened to minimizewater wastage.The cooling water volume is adjusted accordinglybased on seasonal changes and unit conditions,ensuring both safety and economic e?ciency.The operation and maintenance of the thermalsystem are enhanced to mitigate leaks and minimizewater replenishment.The reuse rate of wastewater increased, leading to areduction in external discharge.Regular equipment maintenance is conducted toeliminate leaks and spills, further minimizing water loss.

The noise pollution is mainly generated by the air conditioning units, cooling towers, and standby generators during operation. Marubicontinuously monitors and manages the environmental noise at the factory boundary and high-intensity noise sources within the productionarea according to the monitoring plan, and regularly lubricates and maintains the equipment generating high noise. When purchasing newequipment, Marubi selects equipment with high precision and low noise, aiming to e?ectively prevent the generation of noise pollution.

Marubi adopts measures such as strengthening water-saving management, optimizing equipment maintenance, and enhancing valveinternal leakage management to carry out water resource conservation management.Collection sites are establishedin public areas for the purpose ofgathering waste, which is subsequentlycollected and dispatched to a third-party entity possessing recyclingquali?cations for further processing.

Stored in designated, ?xed storageareas and then gathered to be sent to athird-party with disposal quali?cationsfor appropriate treatment.

After collection, it is sent to athird party with quali?cationsfor the treatment of hazardouswaste for standardized disposal.

Solid Waste Management

Noise Management

Water Resource Management

During the reporting period

Non-hazardous solidwaste recycled

tons

66.70

Non-hazardous solidwaste reused

tons

397.05

Sludge recycled

tons

47.08

Hazardous solidwaste disposed

tons

2.17

Key Performance Indicators

Environmentally Friendlyand Resource ConservationMarubi strictly complies with resource management regulations such as theWater Law and the Opinions of the NationalDevelopment and Reform Commission and Other Departments on Further Strengthening the Conservation and IntensiveUse of Water Resources, and continuously optimizes theResource and Energy Conservation Management Systemto controlwater, raw materials, packaging materials, and other resources to achieve e?ective utilization of resources.

Recyclable wasteNon-recyclable wasteHazardous waste

Water Conservation ManagementValve Internal Leakage Management

New technologies andprocesses are adopted indesign, installation, andprocurement to guaranteethe quality of valves.A regular valve leak detectionsystem is established,with detection pointsinstalled on critical drainagevalves, enabling real-timemonitoring and addressingof any abnormalities.

Hazardous Waste Intelligent Terminal Printing EquipmentCase StudyIn accordance with theTechnical Specifications for the Installation of IdentificationMarks for Hazardous Wasteand in response to the requirements of the EcologicalEnvironment Bureau, Marubi has purchased intelligent terminal equipment toconduct standardized management of hazardous waste labels. Each label is equippedwith a unique digital identification code and QR code, realizing the "one item, onecode" for hazardous waste. This system facilitates electronic full-process traceabilitymanagement of hazardous wastes generated during the production and operationprocess of the factory, achieving information-based management across all stages ofhazardous waste, and reducing environmental protection management risks.

Hazardous Waste Intelligent Terminal

Printing Equipment

Renovation of the Emulsi?cation Tank Circulating Cooling WaterCase StudyDuring the reporting period, Marubi renovated the cooling water circulation pipeline of the emulsi?cation tank. After use,the return ?ow of cooling water is ?rst directed into a make-up water tank and then ?ows through a return pipe into a heatexchanger for cooling before being recycled. This approach realizes the balanced distribution of the emulsi?cation coolingwater, thus shortening the cooling time of the emulsification tank, improving the efficiency of use, and increasing theproduction volume. The cooling time per pot has been reduced by 30-40 minutes compared with the original, with coolinge?ciency increased by 30%~50%, boosting overall production e?ciency.

7374Environmental Protection, Safeguarding the Beauty of EcologyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi has formulated the Raw Material Conservation Management System and the Packaging Material Reduction ImplementationPlan, systematically advancing efforts to minimize raw material consumption and packaging waste. Through measures such asoptimizing procurement processes, re?ning production work?ows, and strengthening inventory management, we are further curbingresource wastage. These initiatives drive sustainable development and underscore our commitment to environmental stewardship.

Raw Material and Packaging Materials Management

Marubi consistently optimizes the production processes to lower raw material consumption. During the reporting period, a series ofconservation measures were implemented, e?ectively reducing both waste generation and water consumption, while simultaneouslyenhancing production and minimizing losses.

Marubi remains committed to optimizing the utilization of packaging materials, aiming to minimize both consumption and waste. Duringthe reporting period, Marubi carried out a number of optimization tasks for packaging material use, recycled cartons, and optimized theproduct packaging material design to reduce material usage, e?ectively reducing the environmental impact of packaging material use.

Raw Material Conservation

Packaging Materials and Waste Management

By optimizing ?lling production scheduling,stabilizing ?lling standards, and continuouslyproducing the same products, avoidingthe losses caused by pot washing andminimizing the loss of defective products,thereby reduce the consumption of paste.

Optimizing Production Scheduling

By optimizing the production schedulingmethod, Marubi e?ectively manages inputlosses, volatilization losses, sticking lossesduring the production process, and theamount of paste sent for inspection. Thepaste output rate has reached 99.62%,representing a YoY increase of 0.16%.

Optimizing Production Processes

Passional Lover Cushion Replacement Re?ll

PE Turnover Boxes

恋火气垫替换芯Marubi Empty Bottle Recycling ProgramCase Study

During the reporting period, Marubi launched the EmptyBottle Recycling Program for Golden Needle products,encouraging consumers to collect used single-doseempty tubes and exchange them for new products,thereby contributing to environmental protection e?orts.

ProjectContent and E?ectiveness

ReducingAuxiliary MaterialConsumption inProduction Process

Optimize equipment disinfection process and reduce alcohol usage for disinfection. Control the use ofgloves during production process under the condition of ensuring quality standards to reduce materiallosses. Improve the skill level of equipment operators to decrease the consumption of consumables.By controlling auxiliary material waste in the production process, Marubi saved about 10.90 tons of alcohol,more than 200 boxes of latex gloves, and reduced 50L of the cleaning water for the inkjet printer (hazardouswaste) during the reporting period.

Introduction of PETurnover Boxes

After the introduction of PE turnover boxes, the use of turnover cardboard boxes decreased by 36,000compared with 2023, saving a total of 12.5 tons of cardboard boxes. Calculated based on the fact that

0.7 kilograms of CO2 equivalent are produced per kilogram of cardboard box manufactured, this has

indirectly reduced carbon emissions by approximately 8.8 tons.Optimization ofPackaging Box Use

By increasing the use of universal packaging boxes, the number of SKUs was streamlined from

more than 30 to 11.Cardboard BoxRecycling

Establish a cardboard box recycling system to screen intact boxes after unpacking, with 30% of them

being reused within the department, reducing the use of new cardboard boxes. For the remaining 70%

of non-recyclable discarded cardboard boxes are collaboratively handled with professional recycling

suppliers to ensure the environmentally friendly disposal and maximize recycling value.Optimizationof Express BoxPackaging Materials

From the outer express box to the inner product paper box, promote the coverage of the use

of zipper tear boxes, replacing the traditional packaging of plastic ?lm and paper box, thereby

reducing the use of shrink ?lm. Adopt minimalist designs instead of complex printing to reduce

the use of chemical inks and paper.Replacement Coresfor Sold Products

By selling replacement cores for products, the waste of full-sized packaging materials is reduced. During

the reporting period, nearly 600,000 full-sized packaging materials were saved in total.

7576Environmental Protection, Safeguarding the Beauty of EcologyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Collaborative Green Initiative,Advocating Green O?ce

Marubi actively promotes a resource-efficient and environmentally friendly green office. Leveraging internal energymanagement systems, Marubi actively disseminates the concept of green o?ce and encourages employees to adopt greenand low-carbon work and lifestyle habits.To enhance resource utilization e?ciency and reduce energy consumption and environmental pollution caused by o?ceoperations, Marubi adheres to the following green o?ce measures and promotes the concept of green, energy conservation,and environmental protection as well as o?ce energy conservation measures to employees by issuing energy conservationand low-carbon initiative letters and energy conservation publicity posters.

Green Environmental Protection Publicity

Drinking Water Management

Encourage employees to bring their ownwater cups and advocate the recycling ofbottled water containers.

O?ce Paper Management

Advocate saving o?ce paper and using double-sided paper for documents that do not requirepreservation.Lighting ManagementImplement a lighting management systemwhere lights are turned o? when leaving theroom. Maximize the use of natural daylightduring daytime hours to minimize the needfor lighting and conserve electricity.

Vehicle Usage Management

Optimize the utilization of company vehiclesand minimize redundant trips. Transitions toelectric commuting buses and gradually phaseout fuel-powered vehicles to reduce carbonemissions.Air Conditioning Usage Management

Maintain the air conditioning temperatureat a minimum of 26℃ in summer and amaximum of 20℃ in winter.

Low-carbon Equipment UsageInstall charging stations for electric vehicles andpurchase energy-saving o?ce equipment.Garbage Classi?cation

Continuously promote the garbageclassi?cation leadership team, optimize thegarbage classi?cation implementation plan andmanagement system to put domestic garbageclassi?cation in place.

Tree Planting ActivityCase Study

In order to encourage employees to care for trees and raise their awareness of the vital importance of trees to human and theEarth's ecological environment, during the reporting period, Marubi organized a tree planting activity titled "Planting for Greenery,Building a Sustainable Future Together", aiming to ignite employees' enthusiasm for forest conservation and protection.

7778Environmental Protection, Safeguarding the Beauty of EcologyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Contributing to the UN SDGs

People-Oriented, Composingthe Beauty of HarmonyMarubi upholds the core philosophy of people-oriented, embodying the virtues of loyalty, pragmatism, unity,innovation, and gratitude. Marubi has comprehensively enhanced its human resources system, encompassingrecruitment, hiring, training, retention, and management, to foster the growth, maturity, and success of itsemployees. We emphasize employee welfare, ensures their health, and foster a nurturing and supportiveworkplace environment. Furthermore, we actively ful?ll social responsibilities, pay attention to vulnerablegroups, and collaborate with various stakeholders in society to foster a harmonious community.

Protecting Employee Rights and InterestsDiversity and InclusionO?ering Competitive Compensation and Bene?tsSmooth Communication ChannelsEmpowering Employee DevelopmentCaring for Employees with ConsiderationSafeguarding Employee Health and SafetyContributing to Community Development

Marubi's Actions

Highlights of PerformanceProportion of female employees

Major work-related injury or fatality accidents

Coverage rate of work-related injury insuranceand work safety liability insurance

68.19%

100%

Key Performance Indicators

Equity and Diversity, ProtectingEmployee Rights and InterestsMarubi has always regarded the protection of employees' basic rights as an important responsibility and strictly adheresto national laws and regulations to ensure that employees enjoy legitimate rights such as wages, working hours, vacations,social insurance, and democratic communication.

Marubi strictly abides by the laws and regulations such as theLabor Law, theLabor Contract Law,and theSocial Insurance Law,

practices compliant employment, prohibits forced labor and child labor, and opposes all forms of employment discrimination andworkplace harassment. The Company adheres to equal employment, upholds the principles of open recruitment, fair competition,merit-driven hiring, and prioritizing internal candidates to standardize the recruitment process.

Equality and Diverse Integration

All new employees are mandated to provide verificationdocuments, including copies of their identification cardsand academic credentials, to authenticate their identity andsafeguard against any instance of hiring minors. During theiremployment tenure, Marubi strictly prohibits the withholding ofemployees' identity documents, forbids the assignment of anywork that violates their will, respects the right to freely choosethe work, and ensures the elimination of forced labor.

During the reporting period, Marubi organized multiple interviewer training courses to further improve the professional competencies,and enriched talent evaluation methods by incorporating work samples and case analysis into the assessment process, enabling a multi-dimensional evaluation of candidates' capabilities.Marubi always adheres to the concepts of gender equality and employment diversity, embraces young talent, and is committed to buildinga diverse, inclusive, and youthful talent team. Despite the challenging market economic environment, we still attract high-quality talents.During the reporting period, 99 new employees were added through campus recruitment and social recruitment, injecting more young andhighly educated talents into Marubi. As of the end of the reporting period, we had 1,185 employees, with the following employee structure.

Eliminating Child Labor andForced Labor

To address these issues, Marubi regularly conducts anonymous360-degree surveys among managers to gather pertinentinformation. In the event of discovering suspected incidents,Marubi conducts undercover investigations to authenticate theveracity of the incidents and o?ers psychological counseling tothe victims.

Preventing Harassment andDiscrimination

Enhancing Recruitment Professionalism

By Gender

68.19%

31.81%

FemaleMale

By EducationBackground

37.30%

44.47%

6.16%

Master's degree and aboveBachelor's degreeJunior college degree and below

By Age

54.18%

44.47%

1.35%

50 years old and above30 to 50 years oldUnder 30 years old

As of the end of the reporting periodFemale in senior management

42.86%

Ethnic minority employees

Employees with disabilities

Veterans

8182People-Oriented, Composing the Beauty of HarmonyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

edding giftBaby giftHealth giftBirthday party

Onboarding packageFull attendance bonusLunch subsidyTransportation subsidyFilial Piety salary

Commercial accidentinsuranceParking and parking space management

Afternoon teaHoliday bene?tsInternal purchase discounts

Training allowanceMobile phone bill subsidyLaptop subsidyBusiness trip subsidyHigh-temperature subsidy

Holiday Care

Learning and GrowthSubsidies

Health Protection

Convenient Services

Company Bene?ts

Marubi advocates the values of "learning by heart, concentrating on work, and living happily." In addition to providing basic statutorybenefits for all employees, we also provide unique benefits in aspects such as holiday care, medical health, service facilities,opportunities for learning and growth to improve the happiness of all employees. For part-time employees, commercial insurance ispurchased for them, they are regularly reminded to pay individual income taxes, and job skill training is provided for them to protectthe legitimate rights and interests of part-time employees.

"618" Shopping Festival Bene?ts Distribution

Mid-Autumn Festival Gifts

Employee Bene?ts

To build a good communication bridge with employees andfoster a working atmosphere of mutual trust and shared progress,Marubi has formulated theComments and Suggestions Collection,Handling and Feedback System.This system incorporates variousdemocratic communication channels to deeply understandemployees' mentalities and earnestly listen to their demands.The HR Department regularly classifies and summarizes thesesuggestions, assigning them to the appropriate departments forprocessing. Following the department heads' handling, the HRDepartment announces the outcomes at employee meetings,ensuring the timely and effective collection, processing, andfeedback. During the reporting period, the employee feedbackresolution rate was 100%.

Democratic Communication

Employee Communication Channels

Suggestion

Mailbox

OA "I MakeSuggestions forthe Company"

Column

Face-to-face

Feedback

Marubi ?rmly adheres to the principle of equal pay for equal work and upholds the basic rules of fairness, competitiveness, motivation, acceptability,adaptability, and legality. In addition to being compliant with local provisions and exceeding the local minimum wage, the Company benchmarksits compensation levels against those in the same industry and regional market. Compensation adjustments are made based on factors such asjob value, work experience, professional expertise, and individual performance, thus ensuring the ongoing competitiveness of the compensationstructure. It comprises a fixed base salary, variable incentives, and additional welfare subsidies. Bonuses are awarded based on employeeperformance, fostering a culture of shared interests and risks that encourages employee engagement and enthusiasm.During the reporting period, Marubi added a new specialized incentive program aimed at recognizing and rewarding proposals that align withstrategic objectives such as "innovation-driven growth" and "energy/cost reduction with e?ciency enhancement." Employees who submit feasibleplans that are successfully implemented and yield remarkable results are eligible for corresponding incentives. This incentive initiative spansmultiple areas, including business innovation, product R&D, product packaging design, supply chain management, and system construction,among others. By doing so, Marubi seeks to stimulate innovation-driven enthusiasm across all employees and bolster its sustainable development.

Compensation and Talent Motivation

Marubi has formulated relevant management regulations such as theCompensation Management Systemand theBenefitsManagement Systemto provide employees with legal and comprehensive compensation and bene?ts and shares the achievements ofenterprise development with employees.

Compensation and Bene?ts

Statutory paid leave, statutory annualleave, marriage leave, maternity leave,bereavement leave, prenatal examinationleave, paternity leave, lactation leave, etc.Endowment insurance, work-relatedinjury insurance, unemploymentinsurance, maternity insurance, medicalinsurance, housing provident fund

Statutory Bene?ts

Paid LeavesFive Social Insurancesand One Housing Fund

Annual physicalexamination

8384People-Oriented, Composing the Beauty of HarmonyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Empowering Employees,Achieving Employees' DreamsMarubi holds a ?rm belief that employees are the most valuable asset and prioritizes employee training and development,establishing a multi-tiered training system that empowers diverse talents to grow. Additionally, the Company creates diversecareer paths to assist employees in continuously enhancing their capabilities and potential, enabling them to achieve theirpersonal self-actualization.

Guided by the values of lifelong learning and practice, Marubi strives to establish a competitive learning environment and cultivateprofessional, dedicated, and focused talents. Leveraging the comprehensive online learning platform of Marubi Academy, we implementa three-level training system encompassing new employee orientation, professional skill enhancement, general management capabilitydevelopment, and leadership training. This comprehensive approach supports the execution of the corporate strategy, business expansion,and the enhancement of human capital value. According to the Training Management Measures, we clearly de?ne the training objectives,content, forms, and assessment standards to ensure the systematic and e?ective implementation of training initiatives. Additionally, weestablish learning ?les for employees, record their learning and growth tracks, and provide a basis for their career development. During thereporting period, we comprehensively upgraded the talent cultivation system, strengthened the internal training framework and the jobquali?cation system, added multiple cutting-edge technology and management courses, and optimized the content and forms of traditionalcourses to ensure the practicality and forward-looking nature of the training programs.

Employee Cultivation

Three-Level Training SystemCultivation LevelCultivation ObjectivesCultivation Methods

Cultivation ofsenior managers

Talents withcoordinatedmanagement skills

Through joint cultivation projects with well-known training/educationalinstitutions such as Sun Yat-Sen University and China Europe InternationalBusiness Online, such as the EMBA courses of Sun Yat-sen University and theLeadership Development Program, cultivate business partners who have astrategic perspective, the cultural genes of Marubi, comprehensive operationand management capabilities, and can take overall charge of the situation

Cultivation of

middle-levelmanagers

Management experts

Committed to cultivating the management elites of different specialtiesthrough educational promotion, improving the professional capacity of themiddle level sta?, and strengthening the backbone forceCultivation of junioremployees

Talents withexecution abilities

Dedicated to cultivating management trainees and high potential talents atjunior level, and strengthening backbones for the basic level

During the reporting period, Marubi Academy underwent a complete upgrade, ushering in the 2.0 era. Marubi Academy revamped itsknowledge classi?cation and content, providing clearer course guidelines and more practical skill-building and management courses.To empower employees and enhance their professional, technical, and leadership capabilities, Marubi Academy selects 10 high-qualitycourses quarterly and rewards outstanding departments and employees to stimulate enthusiasm for learning.In addition, Marubi attaches great importance to the development of the instructor team. By combining internal selection with externalrecruitment, it has formed a high-caliber and professional team of instructors. Marubi ensures the quality and e?ectiveness of trainingcourses by o?ering regular training and skill enhancement opportunities for instructors. An instructor incentive mechanism is alsoestablished to encourage active participation in course design and training innovation.

Training Platform and Instructor Team Development

During the reporting periodNew courses added to Marubi Academy

Total employee training hours49,523

Employee training coverage rate100%

Key Performance Indicators

Marubi YOUNG Program & 2024 Campus Recruit Training Camp Concluded SuccessfullyCase StudyDuring the reporting period, Marubi launched the MarubiYOUNG Program Training Camp for fresh campus recruits.The camp covered a diverse range of topics, from unravelingthe mysteries of product R&D and crafting personal careerblueprints, to gaining keen insights into market trends andengaging in collaborative discussions on corporate culture.This comprehensive program enabled new hires to gaina clearer understanding of the industry landscape andformulate more defined future career plans. In addition,Mr. Huaiqing Sun, the Chairman of Marubi, attended theceremony, participated in face-to-face interactive exchangeswith the new employees and engaged interactions ?lled thenewcomers with great motivation and inspiration.

Marubi has established a comprehensive leadership training system for employees, covering leadership assessment, training courses,practical exercises, and mentor coaching, standardizing cadre management in accordance with the Cadre Management Measures.During the reporting period, to promote the Company's high-quality development and cultivate future-oriented managers, wecollaborated with China-Europe Business Online to launch a new "Leadership Development Program." This program comprises threetiers of training initiatives, such as "MINI-EMBA, MINI-MBA, and New Manager Training." Through methods like business simulations,case studies, and team collaborations, the program aims to enhance employees' leadership capabilities and teamwork pro?ciency.

Leadership Training

8586People-Oriented, Composing the Beauty of HarmonyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi values the cultivation and improvement of employees'job skills. During the reporting period, a series of professionalskill training programs were introduced, such as supply chainteam leader training and e-commerce position training.Additionally, Marubi implemented data capability enhancementtraining to further improve employees' pro?ciency in leveragingdata to drive informed decision-making.

Professional Skill Training

Encourage participation in nationallyrecognized vocational qualification exams,and o?er ?nancial support to those pursuingcerti?cations pertinent to their positionsProvide support to engineers of all levels intheir pursuit of professional title assessments,fostering a culture of lifelong learningConduct annual training programs acrossmultiple dimensions, encompassing productexpertise, product experience, live streamingtechniques, and job-speci?c competencies,aiming at elevating the professionalcapabilities of employees

Marubi 2024 Leadership Development Program Inauguration CeremonyData Capability Enhancement Training to Promote Data-Driven Decision-MakingCase StudyCase Study

As data plays an increasingly important role in business decision-making, Marubi launched a dedicated data capability enhancementprogram to equip business teams with foundational data visualization tool pro?ciency and analytical methodologies. The initiativeaimed to accelerate the widespread adoption of data-driven decision-making across the organization. During the reporting period,a total of 77 cross-departmental employees participated in the systematic training. Approximately 40% of the trainees mastered theskills to independently create reports and analyze key performance indicators. The remaining participants demonstrated signi?cantlyenhanced data awareness, enabling them to clearly articulate data requirements and actively participated in data-driven discussions,laying a solid foundation for deepening cross-departmental collaboration and fostering a data culture.

During the reporting period, Marubi collaborated with China-Europe Business Online to organize a grand inaugurationceremony and the first offline class. Through an interactive workshop format, employees were guided to overcome the?ve major barriers to teamwork. More than 230 employees enrolled in this year's Leadership Development Program andwere divided into MINI-EMBA, MINI-MBA, or New Manager Training classes based on their management knowledge andexperience. Mr. Huaiqing Sun, the Chairman of Marubi, attended the ceremony in person and delivered an opening speech,encouraging employees to cherish the learning opportunities and further interpreting corporate culture.

During the reporting period

with a cumulative training duration of

hours

covering

individuals4,323

Key Performance Indicators

O?cial Launch of Marubi Supply Chain Team Leader Training CampCase Study

On June 25, 2024, Marubi held a grand opening ceremony for the supply chain team leader training camp to cultivatea more professional and efficient on-site junior management team. A total of 78 employees from six departmentsparticipated in the camp. Through systematic training courses, practical operations, and mentor guidance, the camp aimsto comprehensively improve the management and professional skills of team leaders. The mentor team, composed ofexperienced supply chain managers, provides all-round guidance and support to the trainees. The training covers variousaspects, including production management, logistics management, quality control, work safety and team building, strivingto equip each team leader with comprehensive knowledge and skills.

Public Opinion Guidance and Crisis Management Training in

New Media Environments

Marubi conducted

professional

skill training sessions

8788People-Oriented, Composing the Beauty of HarmonyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi offers employees diverse career development paths, aiming to empower them to fully realize their potential, enhanceperformance feedback and continuous improvement, and cultivate a talent pool with a balanced mix of knowledge, skills, and age.During the reporting period, Marubi comprehensively upgraded its talent cultivation system, strengthening both the internal trainingframework and the job qualification system. The qualification system spans multiple dimensions, including professional skills,management capabilities, and general skills, ensuring that employees' abilities align with the strategic goals. Simultaneously, byoptimizing the job quali?cation standards, clear career development paths and promotion criteria are provided for employees.

Career Development

Marubi provides employees with dual career channels, encompassing both management and professional sequences, to build a fair, just,objective, and quali?ed promotion system. Employees can progress horizontally and vertically to achieve their career aspirations. Furthermore,Marubi has established theInternal Recruitment Management Systemto standardize the internal hiring process, thereby expanding employees'career development opportunities. During the reporting period, based on market trends and strategy, Marubi redefined a diverse range ofcareer development paths, including technical experts, management elites, and cross-disciplinary composite talents. We revised thePromotionManagement System, shortening the promotion cycle, increasing the promotion ratio, adjusting promotion criteria and procedures. Thesemeasures aim to improve talent selection mechanism and further motivate employees to enhance their abilities and competencies.In accordance with the Performance Management System, Marubi implements a fair evaluationand promotion mechanism based on performance appraisals. The annual performanceappraisal scores of all employees are 100% aligned with performance indicators, and individualjob evaluation scores serve as the fundamental criterion for determining employee performancebonus distribution, promotions, evaluations, and training. To better implement performancemanagement, we formulated the Performance Interview Form and established a monthly andquarterly one-on-one performance interview mechanism. Evaluators and employees conductgap analysis based on performance indicator calculation rules and actual achievements. Theydelved into the root causes behind performance gaps or improvements. Employees were giventhe opportunity to provide feedback on whether they had any objections to the appraisal results,and both parties jointly con?rmed the ?nal performance outcomes.Marubi regularly performs talent inventories to assess the overall capabilities of its employees, and applies graded and categorizedmanagement approaches tailored to distinct talent pro?les, ultimately contributing to its talent reserve.

Marubi conducts annual talent inventory. During the reportingperiod, for junior employees, a multi-dimensional analysiswas conducted by leveraging job qualification standardsand performance data to accurately identify "Nine-Box Grid"talents and high-potential employees. For managementemployees, the inventories encompassed annual workreports, performance appraisals, and capability evaluations,as well as 360-degree feedback assessments. The outcomesof these inventories inform decisions on employee capabilityassessments, recruitment needs matching, personnelpromotions, annual training plan formulations, talent pipelinedevelopment, and other related endeavors.

Marubi builds talent reserve by optimizing recruitmentchannels and establishing talent pools. Internal talentinventories lead to the formation of internal talent poolsthrough capability identification and talent tagging.By cultivating talents through campus recruitmentmanagement trainee programs and mapping out mid-to-senior level industry professionals from competitorlandscapes, we have established a talent pipeline reserveand an external talent pool, thereby ensuring a robustinternal and external talent supply chain.

Career Development Paths

Performance Management

Talent Inventory and Reserve

During the reporting period

Coverage rate of employees receivingperformance appraisals or careerdevelopment evaluations was

100%

Key Performance Indicators

Talent InventoryTalent Reserve

Considerate Care, EnrichingWorkplace ExperienceAligned with the corporate philosophy of "enterprise is family, school, and military," Marubi strives to create a workspace thatembodies care and support, bolstering employees' feelings of happiness and sense of belonging. During the reporting period,various corporate cultural activities continued, the 5C Employee Care Center was o?cially opened, and amateur interest clubswere formally introduced, o?ering an excellent platform to expand their social circles, cultivate hobbies, and relieve work stress.

Marubi annually organizes diverse cultural activities aimed at fostering a deeper understanding and appreciation of the corporatevalues among employees. These activities not only enrich employees' leisure time but also contribute to the deep integration ofcorporate culture.Corporate Cultural Activities

President's New Year Speech at the 10

th Cultural Festival

The 22nd

Anniversary Celebration

The 1st

Sta? Table Tennis TournamentEmployee Birthday PartyQ4 Sprint Mobilization Meeting

Mid-Autumn Garden Party

Beach Sports Meeting at the 10th Cultural Festival

8990People-Oriented, Composing the Beauty of HarmonyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Party-Building Themed Activities of Marubi Party General BranchCase Study

During the reporting period, Marubi organized themed PartyDay activities for Party history learning and education. Partymembers and activists of the branch visited the MemorialHall of the First National Congress of the Communist YouthLeague of China and the Former Site Memorial Hall ofthe All-China Federation of Trade Unions. They reviewedthe century-long history of the Communist Youth Leagueof China and the development history of trade unions,deepened and popularized Party history knowledge, andfurther enhanced the team spirit and exemplary vanguardrole of Party members.

Visit to the Memorial Hall

Marubi attaches great importance to female care, annually celebrating International Women's Day on March 8th to send holidaygreetings to female employees. During the reporting period, the Company encouraged female employees to break free from socialstereotypes and showcase the diversity and strength of independent women in the new era. A themed activity titled "Why Judge byLabels - Tear O? the Labels, Stay True to Yourself" was specially held.

Female Care

Themed Activity "Why Judge by Labels - Tear O? the

Labels, Stay True to Yourself"

Baby Care Room

Marubi supports employees in spontaneously forming interest clubs centered around shared hobbies, passions, and aspirations, suchas badminton, yoga, swimming, and hiking. Each club has organized a variety of colorful activities.Interest Clubs

Badminton Club

Yoga ClubHiking Club

Swimming Club

9192People-Oriented, Composing the Beauty of HarmonyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Marubi conducts monthly EHS safety hazard inspection and comprehensive hygiene inspections across the entire facility,led by the factory director. These inspections aim to promptly identify deviations, non-conformities, and potential safetyrisks during production operations. Corrective actions are formulated and implemented without delay to address anyissues detected. Monthly work safety meetings are held to ensure work safety in the plant area.

Monthly EHS InspectionsMonthly Work Safety Meetings

Safety Inspections

Marubi attaches great importance to daily safety management, emphasizing the prevention of chemical leakage andexplosions, and has formulated theHazardous Chemicals Safety Management Proceduresthat detail stringent measuresfor the procurement, transportation, storage, utilization, and disposal of hazardous chemicals. During the reporting period,the management of toxic and explosive chemicals adhered to legal regulations, and no chemical safety accidents occurred.

Chemical Safety Management

Marubi has established comprehensive internal systems, including theHazardous Chemicals Safety ManagementProceduresand theEmergency Rescue Plan in Case of Accidents Caused by Precursor and Explosive Chemicals, e?ectivelypreventing and controlling potential incidents such as fires, explosions, and hazardous substance leaks. An emergencycommand department has been set up, with the factory director serving as the general commander and the deputy factorydirector as the deputy commander. This department oversees various emergency response teams, ensuring the e?cientexecution of emergency response measures. Furthermore, the Company regularly organizes targeted emergency drills, suchas special equipment elevators emergency drills, ?re safety evacuation drills, and chemical spill drills, e?ectively preventingsudden risk accidents and safeguarding the safety of employees.

Theft and Leakage of Hazardous Chemicals Emergency DrillSpecial Equipment Elevators Emergency Rescue Drill

Safety Emergency Response

Adhering to the principle of equal emphasis on prevention and emergency response, Marubi has formulated theHazard Identi?cationand Evaluation Control Procedures. We conduct annual safety risk assessments and implement e?ective control measures based onthe evaluation results.

Safety Risk Inspection

Marubi has established a Safety Department tasked with overseeing work safety management. This department formulates annualwork safety targets and promotes the smooth progress of various safety tasks. During the reporting period, Marubi achieved a 100%completion rate of work safety goals.Work Safety Management

Occupational Health and SafetyManagement System Certi?cation

During the reporting period

Major safety and ?re accidents

Workdays lost due to injuries

Occupational diseases incidence rate

Employee safety training coverage rate100%

Major work-related injury accidents

Key Performance Indicators

Work Safety, ProtectingHealth and SafetyMarubi has consistently prioritized the occupational health and safety of its employees, establishing a robust occupationalhealth and safety management system that ensures necessary safety measures and psychological support services areprovided to employees. Marubi has obtained and maintained the ISO 45001 Occupational Health and Safety ManagementSystem certi?cation, a testament to its commitment to e?ective and ongoing safety practices.

Marubi strictly complies with relevant laws and regulations and has formulated a series of safety management documents, includingthe Emergency Rescue Plan in Case of Accidents Caused by Precursor and Explosive Chemicals, theHazardous Chemicals SafetyManagement Procedures, theEmergency Preparedness and Response Control Procedures. The Company sets clear work safetyobjectives, regularly conducts safety risk inspections and drills, and makes every e?ort to ensure work safety.

Work Safety

9394People-Oriented, Composing the Beauty of HarmonyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

During the reporting period, Marubi launched a blood pressuremonitoring activity titled "Caring for Employees, PrioritizingBlood Pressure Risks" to strengthen employees' healthmanagement. Furthermore, Marubi pays attention to employees'mental well-being. Various departments work towardsenhancing the mental health of their staff through initiatives,such as mental health training and psychological counselingsupport. The 5C Center launched the "Marubi · Yuexin'anCorporate Well-being Station," providing 1V1 psychologicalcounseling services and free educational lectures.

Gratitude to Society, Contributing toCommunity Prosperity

Adhering to the corporate responsibility credo of "Gratitude to Society, Action for Love", Marubi has demonstrated itscommitment to society through tangible actions. Since the inception of the Marubi Very Caring Foundation in 2008, Marubihas prioritized education support, women's empowerment, community service, and other endeavors, aiming to establishitself as a compassionate and accountable enterprise that collaborates with society to share development successes andjointly build a brighter future. We have continuously carried out on the "Perfect Protection and Accompanying Love" anti-domestic violence empowerment initiative, helping a total of 53 women resolve domestic violence problems and supportingdomestic violence victims in safeguarding their legal rights and interests in accordance with law.During the reporting period, Marubi made a speci?c donation of CNY 10,000 to the Huangpu District Charity Association forthe "Bright Spark Initiative" public welfare project for supporting SMEs in Huangpu District.

On-Site Medical Examination Arranged by a Medical InstitutionRoom of the Peace Station

Marubi places signi?cant emphasis on employees' occupational health, striving to create a safe working environment, and regularlyengages a professional third-party organization to supervise all occupational health hazards. For employees in positions withoccupational disease hazards, earplugs, disposable medical masks, and gas masks are provided, and annual occupational diseasemedical examinations are arranged with a 100% coverage rate.

Occupational Health

Work Safety Month Publicity Activities

Practical Fire-?ghting Skills Competition

Post-Spring Festival Work Safety and Resumption of Production

Training Campaign

Special Training for Forklifts Operations (Special Equipment)

Marubi has prioritized safety training as an integral part of its daily operations. In addition to conducting publicity and training duringthe Work Safety Month, we also implemented daily work safety training, aiming to build a good safety culture and improve the safetyprotection awareness and skills of all employees. During the reporting period, we responded proactively to potential safety hazardsby organizing practical ?re-?ghting skills competitions, forklift driving skills competitions. Additionally, targeted safety training wasprovided to new employees and part-time safety o?cers.

Safety Culture Construction

During the reporting period

Occupational healthand safety trainingcoverage rate100%

Coverage rate of occupationaldisease medical examinationsfor employees in occupationaldisease risk positions100%

Key Performance Indicators

9596People-Oriented, Composing the Beauty of HarmonyGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

RevenueCNY million1,7322,2262,970Net pro?t attributable to shareholders of the listed companyCNY million174259342Total assetsCNY million4,0744,4545,063Number of R&D personnelPerson(s)939394Proportion of R&D personnel%8.77 8.457.83Total R&D investmentCNY '00052,925.70 62,287.60 73,544.83Tax paidCNY million263239257

RenewableEnergy

PV power generationkWh655,185602,098609,157.6

Energy Use

Purchased electricitykWh4,707,0004,456,1885,679,804Self-use of PV power generationkWh621,986581,188587,497.6Natural gasm?228,071246,041280,124.00GasolineL??5,453.69DieselL?3011,626.60Comprehensive energy consumptionTon of standard coal905.81915.541,123.00Among which: consumption ofrenewable energy

Ton of standard coal??72.20Energy intensity

tce/CNY100 millionrevenue

41.1337.81

Energy e?ciency

CNY 100 millionrevenue/tce

0.020.020.03

GreenhouseGas

Total emissionstCO

e2,566.132,485.673,150.30Scope 1tCO

e493.64523.61649.48Scope 2tCO

e2,072.491,962.062,500.82

Waste Gas

Total waste gas emissions 10,000 m???640.97Particulateskg??0Total non-methane hydrocarbonskg??0Nitrogen oxideskg??403Sulfur oxideskg??1VOC emissionskg??42.69

WasteWater

Total water dischargeton11,12510,0349,163Discharge intensityTon/ CNY 10,000000.03Chemical oxygen demand (COD)kg??125Biochemical oxygen demand/?ve-day(BOD5)

kg??1Ammonia nitrogenkg??1Total phosphoruskg??1

Waste

Total solid wasteton??629.76

Non-hazardouswaste

Total non-hazardoussolid waste

ton??627.59Non-hazardous wasteland?lled

ton??116.76Recycling volumeton?70.9466.70Circular utilizationvolume

ton?70.94397.05Circular utilizationvolume of sludge

ton5166.5847.08Hazardouswaste

Total hazardous wasteton1.520.06372.17

WaterResources

Total water usage ton57,19052,63062,510Water usage intensityTon/ CNY 10,0000.330.240.21Water resources e?ciencyCNY 10,000/Ton3.034.234.75

Appendix

Key Performance Table

Economy

Environment

IndicatorUnit202220232024

TopicIndicatorUnit202220232024

Note: For other ?nancial data of Marubi in 2024, please refer to theMarubi 2024 Annual Report.

Notes:

1.The reporting boundary for EHS data collection is de?ned by the 5C Center.

2.Key greenhouse gas (GHG) emission sources include natural gas, electricity, gasoline, and diesel. Starting from 2024, the disclosure scope for gasoline

and diesel consumption data has been expanded to cover the Company's logistics ?eet.

3.GHG emission data updates for 2022 and 2023. The data has been revised due to changes in calculation methodologies and updates to electricity

emission factors (adopting the 2022 Guangdong Province average power grid CO

emission factor of 0.4403 kgCO

/kWh, as jointly published by the Ministryof Ecology and Environment and the National Bureau of Statistics).

4.Non-hazardous waste encompasses all solid waste except hazardous waste, including general industrial solid waste, but excludes household waste.

TopicIndicatorUnit202220232024

9798AppendixGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Employment

Total Number of EmployeesNumber1,0601,1011,185By gender

MaleNumber358362377FemaleNumber702739808By educationbackground

College and below Number729705527BachelorNumber299338442Master and aboveNumber545873By age

Under 30Number43849552730 to 50Number597589642Over 50Number251716

Gender in seniormanagement

MaleNumber747478FemaleNumber133145146Female employeesin juniormanagement

%??66.67Female employeesin middlemanagement

%??69.01Female employeesin seniormanagement

%??42.86

Diversity

Ethnic minorityemployees

Number4317147Employees withdisabilities

Number444Military veteransNumber8910Female employeesin STEM-relatedpositions

%??58.8Female employeesin revenue-generatingpositions

%??73New hiresNumber??383By gender

MaleNumber??125FemaleNumber??258

Employment

By age

Under 30Number??28730 to 50Number??96Over 50Number??0Localized hiresNumber221201218Labor contract signing rate%100 100 100Social insurance coverage rate%100 100 100Trade union membership coverage rate%100 100 100Employee turnover rate%??21.94Voluntary employee resignation rate%??15.55By gender

Male employeeturnover rate

%??22.9Female employeeturnover rate

%??21.5

By age

Employee turnoverrate for under 30

%??20.4Employee turnoverrate for 30 to 50

%??17.5Employee turnoverrate for over 50

%??23.8TrainingTotal employee training hoursHour(s)28,52229,08149,523OccupationalHealth andSafety

Major work-related injury incidentsCase(s)000Major work-related injuriesNumber000Fatal work accidents (Incidents)Case(s)000Fatal work accidents (Fatalities)Number000

Supply Chain

Total suppliersNumber172227184By region

Suppliers inMainland China

Number167227181Suppliers in HK/Macau/TW &Overseas

Number503Community Charitable donationCNY '0002,5001,50020

SocialTopicIndicatorUnit202220232024TopicIndicatorUnit202220232024

Note: Employee turnover rate = (Number of employee separations during reporting period for the speci?ed category) / [(Ending headcount of the speci?edcategory + Number of separations during reporting period for the same category)] * 100

99100AppendixGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

GRI 2: GeneralDisclosures 2021

2-28Membership associations

Uniting E?orts, Promoting the Development of the CosmeticsIndustry2-29Approach to stakeholder engagementStakeholder Communication2-30Collective bargaining agreementsNone

GRI 3: MaterialTopics 2021

3-1Process to determine material topicsAnalysis of Material Issues3-2List of material topicsAnalysis of Material Issues3-3Management of material topics

Analysis of Material IssuesStakeholder CommunicationGRI 201:

EconomicPerformance 2016

201-1

Direct economic value generated anddistributed

Key Performance Table201-2

Financial implications and other risksand opportunities due to climate change

Low-Carbon Transformation, Addressing Climate Change201-3

Defined benefit plan obligations andother retirement plans

Equity and Diversity, Protecting Employee Rights and InterestsGRI 203: IndirectEconomic Impacts2016

203-1

Infrastructure investments and servicessupported

Gratitude to Society, Contributing to Community ProsperityGRI 205: Anti-corruption 2016

205-2

Communication and training about anti-corruption policies and procedures

Operating with Integrity, Adhering to Business Ethics205-3

Confirmed incidents of corruption andactions taken

Operating with Integrity, Adhering to Business EthicsGRI 302: Energy2016

302-1

Energy consumption within theorganization

Key Performance Table302-3Energy intensityKey Performance Table302-4Reduction of energy consumptionLow-Carbon Transformation, Addressing Climate ChangeGRI 303: Waterand E?uents2018

303-1

Interactions with water as a sharedresource

Environmentally Friendly and Resource Conservation303-2

Management of water discharge-relatedimpacts

Clean Production, Reducing Environmental Footprint303-4Water discharge

Clean Production, Reducing Environmental Footprint

Key Performance Table303-5Water consumptionEnvironmentally Friendly and Resource ConservationGRI 305:

Emissions 2016

305-1Direct (Scope 1) GHG emissionsKey Performance Table305-2Energy indirect (Scope 2) GHG emissionsKey Performance Table305-5Reduction of GHG emissionsLow-Carbon Transformation, Addressing Climate Change

GRI 306: Waste2020

306-1

Waste generation and signi?cant waste-related impacts

Clean Production, Reducing Environmental Footprint306-2

Management of signi?cant waste-relatedimpacts

Clean Production, Reducing Environmental Footprint306-3Waste generatedKey Performance Table306-4Waste diverted from disposal

Clean Production, Reducing Environmental Footprint

Key Performance Table306-5Waste directed to disposalClean Production, Reducing Environmental FootprintGRI 308: SupplierEnvironmentalAssessment 2016

308-1

New suppliers that were screened usingenvironmental criteria

Collaborating with Partners, Fostering a Win-Win Beauty

Ecosystem

GRI 2: GeneralDisclosures 2021

2-1Organizational detailsCompany Overview2-2

Entities included in the organization'ssustainability reporting

About This Report2-3

Reporting period, frequency and contactpoint

About This Report2-4Restatements of informationKey Performance Table2-6

Activities, value chain and otherbusiness relationships

Collaborating with Partners, Fostering a Win-Win Beauty

Ecosystem

Premium Service, Upholding the Promise of Beauty2-7Employees

Equity and Diversity, Protecting Employee Rights and Interests

Key Performance Table2-9Governance structure and compositionEnhancing Governance, Solidifying Development Foundations2-10

Nomination and selection of the highestgovernance body

Enhancing Governance, Solidifying Development Foundations2-11Chair of the highest governance bodyEnhancing Governance, Solidifying Development Foundations2-12

Role of the highest governance body inoverseeing the management of impacts

ESG Governance

Stakeholder Communication2-13

Delegation of responsibility formanaging impacts

ESG Governance

Enhancing Governance, Solidifying Development Foundations2-14

Role of the highest governance body insustainability reporting

ESG Governance2-15Con?icts of interestOperating with Integrity, Adhering to Business Ethics2-16Communication of critical concernsStakeholder Communication2-19Remuneration policiesEquity and Diversity, Protecting Employee Rights and Interests2-20Process to determine remunerationEquity and Diversity, Protecting Employee Rights and Interests2-22

Statement on sustainable developmentstrategy

Message from Chairman2-23Policy commitments

Operating with Integrity, Adhering to Business Ethics

Equity and Diversity, Protecting Employee Rights and Interests2-24Embedding policy commitments

Operating with Integrity, Adhering to Business Ethics

Equity and Diversity, Protecting Employee Rights and Interests2-25Processes to remediate negative impactsOperating with Integrity, Adhering to Business Ethics2-26

Mechanisms for seeking advice andraising concerns

About This Report2-27Compliance with laws and regulationsOperating with Integrity, Adhering to Business Ethics

Indicators Index

GRI Indicators IndexStatement of use

Marubi has reported the information cited in this GRI Content Index for the period January 1, 2024 toDecember 31, 2024 with reference to the GRI Standards.GRI 1 usedGRI 1: Foundation 2021GRI StandardDisclosureChapter Reference

GRI StandardDisclosureChapter Reference

101102AppendixGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Environment

Climate responseArticles 21-28

Low-Carbon Transformation, Addressing ClimateChangePollutant dischargeArticle 30Clean Production, Reducing Environmental FootprintWaste disposalArticle 31Clean Production, Reducing Environmental FootprintEcosystem and biodiversityprotection

Article 32Tech-Empowered Beauty EvolutionEnvironmental compliancemanagement

Article 33

Embracing Green Values, Improving EnvironmentalManagementEnergy utilizationArticle 35

Low-Carbon Transformation, Addressing ClimateChangeWater resources utilizationArticle 36Environmentally Friendly and Resource ConservationCircular economyArticle 37Environmentally Friendly and Resource Conservation

Community

Rural revitalizationArticle 39

Gratitude to Society, Contributing to CommunityProsperitySocial contributionsArticle 40

Gratitude to Society, Contributing to CommunityProsperityInnovationArticle 42

Leading with Technology, Decoding the Beauty ofDiversityEthics of science and technologyArticle 43Not InvolvedSupply chain securityArticle 45

Collaborating with Partners, Fostering a Win-WinBeauty EcosystemEqual treatment of SMEsArticle 46Not InvolvedProduct and service safety andquality

Article 47

Ingenuity Embodies Quality, Guarding the Essence ofBeautyPremium Service, Upholding the Promise of BeautyData security and customerprivacy

Article 48Proactive Measures, Protecting information SecurityEmployeesArticle 50People-Oriented, Composing the Beauty of Harmony

Sustainability-relatedgovernance

Due diligenceArticle 52

ESG GovernanceCollaborating with Partners, Fostering a Win-WinBeauty EcosystemStakeholder engagementArticle 53ESG GovernanceAnti-commercial bribery and anti-corruption

Article 55Operating with Integrity, Adhering to Business EthicsFair competitionArticle 56Operating with Integrity, Adhering to Business Ethics

ClauseChapter Reference

GRI 401:

Employment 2016

401-1New employee hires and employee turnover

Equity and Diversity, Protecting Employee Rights and InterestsKey Performance Table401-2

Bene?ts provided to full-time employeesthat are not provided to temporary orpart-time employees

Equity and Diversity, Protecting Employee Rights and Interests401-3Parental leaveEquity and Diversity, Protecting Employee Rights and Interests

GRI 403:

OccupationalHealth and Safety2018

403-1

Occupational health and safetymanagement system

Work Safety, Protecting Health and Safety403-2

Hazard identi?cation, risk assessment,and incident investigation

Work Safety, Protecting Health and Safety403-3Occupational health servicesWork Safety, Protecting Health and Safety403-5

Worker training on occupational healthand safety

Work Safety, Protecting Health and Safety403-6Promotion of worker healthWork Safety, Protecting Health and Safety403-7

Prevention and mitigation ofoccupational health and safety impactsdirectly linked by business relationships

Work Safety, Protecting Health and Safety403-8

Workers covered by an occupationalhealth and safety management system

Work Safety, Protecting Health and Safety403-9Work-related injuriesKey Performance Table403-10Work-related ill healthWork Safety, Protecting Health and SafetyGRI 404: Trainingand Education2016

404-1

Average hours of training per year peremployee

Empowering Employees, Achieving Employees' Dreams404-2

Programs for upgrading employee skillsand transition assistance programs

Empowering Employees, Achieving Employees' Dreams404-3

Empowering Employees, AchievingEmployees' Dreams

Empowering Employees, Achieving Employees' DreamsGRI 405: Diversityand EqualOpportunity 2016

405-1

Diversity of governance bodies andemployees

Enhancing Governance, Solidifying Development Foundations

Equity and Diversity, Protecting Employee Rights and Interests

GRI 406: Non-discrimination2016

406-1

Incidents of discrimination andcorrective actions taken

Equity and Diversity, Protecting Employee Rights and Interests

GRI 408: ChildLabor 2016

408-1

Operations and suppliers at signi?cantrisk for incidents of child labor

Equity and Diversity, Protecting Employee Rights and Interests

GRI 409: Forcedor CompulsoryLabor 2016

409-1

Operations and suppliers at signi?cant riskfor incidents of forced or compulsory labor

Equity and Diversity, Protecting Employee Rights and Interests

GRI 414:

Supplier SocialAssessment 2016

414-1

New suppliers that were screened usingsocial criteria

Collaborating with Partners, Fostering a Win-Win Beauty

Ecosystem

GRI 417:

Marketing andLabeling 2016

417-1

Requirements for product and serviceinformation and labeling

Ingenuity Embodies Quality, Guarding the Essence of Beauty

Premium Service, Upholding the Promise of Beauty417-2

Incidents of non-compliance concerningproduct and service information and labeling

Ingenuity Embodies Quality, Guarding the Essence of Beauty

Premium Service, Upholding the Promise of Beauty417-3

Incidents of non-compliance concerningmarketing communications

Premium Service, Upholding the Promise of BeautyGRI 418: CustomerPrivacy 2016

418-1

Substantiated complaints concerningbreaches of customer privacy and lossesof customer data

Proactive Measures, Protecting information Security

DimensionTopic

Self-Regulatory Guidelines No. 14 for Companies Listed on Shanghai

Stock Exchange—Sustainability Report (For Trial Implementation) Indices of Guidelines TopicsGRI StandardDisclosureChapter Reference

103104AppendixGuangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

About This Report

Introduction

This report is the 4th ESG Report issuedby Guangdong Marubi Biotechnology Co.,Ltd. (hereinafter referred to as "MarubiBiotechnology", "Marubi" or "the Company")to stakeholders. It aims to truly reflect theCompany's efforts, practices, and performancein governance, environmental and socialresponsibilities through objective, standardized,transparent and comprehensive informationdisclosure. This report mainly covers the periodfrom January 1, 2024 to December 31, 2024,while some contents may extend to previousyears or re?ect the policies and practices of 2025.Report scope and boundaries

This report covers Marubi as well as its branchesand subsidiaries. The "Marubi Biotechnology","Marubi", the "Company" and "We" hereinshall mean Guangdong Marubi BiotechnologyCo., Ltd. The "5C Center" in the report refersto Marubi's R&D center, manufacturing center,logistics center, information center, and trainingcenter. "Biost" refers to Biost Pharmaceutical(Guangzhou) Co., Ltd. and "Meiyu" refers toGuangzhou Meiyu Medical Testing Co., Ltd.Data source and description

The data used in this report comes from publicdata of government departments, internalstatistical data, administrative documents andreports, third-party evaluations and interviews,etc. Unless otherwise specified, the monetaryamounts shown in this report are denominatedin CNY. In case of any inconsistency with thedata in the ?nancial report, the ?nancial reportshall prevail. This report is released after beingreviewed by the Board of Directors. Marubiand all its directors guarantee that there are nofalse records, misleading statements or majoromissions herein, and jointly and severallyassume the liability for the authenticity, accuracyand completeness of the contents hereof.

Preparation basisChina National Standard Guidance on Social Responsibility Reporting (GB/T36001-2015)Chinese Academy of Social Sciences China CSR Report Preparation Guide(CASS-ESG 6.0)2030 United Nations Sustainable Development Goals (SDGs)Global Reporting Initiative (GRI) Sustainability Reporting Standards (GRIStandards)Self-Regulatory Guidelines No. 14 for Companies Listed on the Shanghai StockExchange—Sustainability Report (For Trial Implementation)International Organization for Standardization ISO 26000: Guidelines for SocialResponsibility (2010)Ten Principles of the United Nations Global CompactPreparation ProcessThis report is based on the ESG practices and follows the process of "projectapproval - collection of materials - preparation and revision - review by seniormanagement - review by the Board of Directors - disclosure to the public."Active communication was carried out with relevant stakeholders during theprocess of project approval, preparation and revision, and other phases todiscuss the structure and contents of the report.

Publication FormatThis report is released in electronic form in both Chinese and English, whichcan be accessed and downloaded from the Shanghai Stock Exchange or theCompany's website (www.marubi.cn). Marubi plans to release it annually. Inthe event of any discrepancy between the Chinese version and the Englishversions, the Chinese version shall prevail. Please do not hesitate to email us ifyou have any questions or suggestions about this report: securities@marubi.cn, or call us at (020) 66378685.Feedback and Suggestions

If you have any questions or suggestions about this report, please scan the QR codeon the right or contact us through the above channels. Your feedback is appreciated.

Guangdong Marubi Biotechnology Co., Ltd. 2024 Environmental, Social and Governance Report

Tel：020-66378685Email：securities@marubi.cnAddress: 6/F, South Tower, Poly Granville Building, No. 11, Xiancun Road, Tianhe District, GuangzhouPostal Code: 510000