Sustainability ReportAwinic Technology Co., Ltd.
Stock Code：688798
2024
01020304
050607
ABOUT THIS REPORTLETTER FROM THE CHAIRMAN
ABOUT AWINIC
Company Profile 051ESG Management5
SCIENTIFICGOVERNANCE
Corporate Governance 19Risk Management 23Ethics and Anti-Corruption 24
R&D Investment and Management 25R&D Innovation Achievements 33Industry Collaboration and Academia-Industry Partnerships 36
QUALITYASSURANCEComprehensive Management of-Product Quality 39Customer Rights Protection 45Information Security and Privacy-Protection 47
Diversity and Inclusion 49Employee Compensation and Incentives 51Employee Rights and Services 52Employee Training and Development 54Employee Occupational Health and Safety 57Philanthropy and Rural Revitalization 58
GREENOPERATION
Climate Change Mitigation 61Green Operations 63Energy Conservation and Clean-Technology Opportunities 64Waste and Hazardous Substance-Management 65
APPENDIX
Appendix I. Key Performance 67Appendix II. GRI Content Index 69Appendix III. Standards Glossary Index 71Appendix IV. Report Feedback 75
PEOPLEORIENTED
R&DINNOVATION
0102
ABOUT THIS REPORT
REPORT OVERVIEWThis report is the first Sustainability Report published by Awinic Technology Co., Ltd. (hereinafter referred to as"Awinic," "the Company," or "we"). It is compiled based on the Company's specific actions in the areas ofcorporate governance, social responsibility, and environmental protection during the year 2024. The purpose ofthis report is to present the Company's commitment to ESG principles and to demonstrate its performance infulfilling corporate social responsibility to all stakeholders.
REPORTING PERIOD
The reporting period covers January 1, 2024, to December 31, 2024. To enhance the comparability and forward-lookingnature of the report, some content and data may refer to previous years or be extended to future periods as appropriate.
REPORTING BOUNDARY
The report presents information and exemplary cases demonstrating the Company's and its subsidiaries' fulfillment ofeconomic, environmental, social, and corporate governance responsibilities.
DATA SOURCESThe data used in this report come from the company's actual operation data, public data from government departments,annual financial data, and internal statistical reports, etc. Financial data in this report are presented in RMB. In the event ofany discrepancies with the financial statements, the financial reports shall prevail.
ACCESS TO THE REPORTThe electronic version of this report is available on the company's official website (https://www.Awinic.com) or theShanghai Stock Exchange website (www.sse.com.cn). Readers are welcome to provide feedback regarding thissustainability report. Should you have any questions or comments, please send an email to [securities@Awinic.com].
REFERENCE STANDARDS[1].The United Nations2030 Sustainable Development Goals(SDGs)[2].Global Reporting Initiative(GRI Standards)[3].GB/T 36001-2015:
Guidelines for the Preparation of Social Responsibility Reports. Chinese National Standard[4].Guidelines for the Preparation of Chinese Corporate Social Responsibility Reports(CASS-ESG 6.0). Chinese Academyof Social Sciences[5].Self-Regulatory Guidelines No. 4 on the Preparation of Sustainability Reports for Listed Companies.Shanghai StockExchange[6].Self-Regulatory Guidelines No. 13 on the Preparation of Sustainability Reports for STAR Market Listed Companies.
Shanghai Stock Exchange
LETTER FROM THE CHAIRMAN
On behalf of Awinic, I am honored to present our 2024 Sustainability Report – areflection of our steadfast dedication to the "long-termism" philosophy andsustainable development.The semiconductor industry is dynamic and full of challenges. Awinic hasconsistently adhered to the principle of " Meeting customer needs is Awinic's onlyreason to exist." Despite challenges such as the slowdown in global economicgrowth and the downturn in the semiconductor cycle, Awinic remains committed toits long-term development philosophy, maintaining a comprehensive and strategicapproach to investment. We continue to prioritize high-performance mixed-signal,power management, and signal chain—focusing on long-term value product. Byintegrating design, algorithms, applications, and process development, we providecustomers with holistic and innovative solutions. In 2024, our performance onceagain reached a new high record. We recognize that technology drives productinnovation and industry progress while contributing to environmental protection,social development, and corporate governance. Guided by our commitment to high-quality and sustainable growth, we continue to advance green transformation
through technological innovation, empower social co-benefits through industrycollaboration, and safeguard long-term value through transparent governance.
"Relentlessly striving for excellence in the smallest details to become a world-classenterprise." The company is driven by its mission to "leverage the power oftechnology to create a better future and generate value for customers, employees,partners, and shareholders." Our unwavering commitment to long-termism enablesus to confidently navigate industry cycles. We firmly believe that only by upholding"long-termism" can we build corporate resilience and achieve greatness. In 2024, werationalized the layout of highquality R&D investment, improved efficiency, andachieved breakthroughs in key products and technologies. It has obtained a total of649 domestic and foreign patents, including 412 invention patents; 42 productsubcategories, more than 1,400 product models, with shipments exceeding 6 billionunits, and business covering consumer electronics, industrial Internet, automobilesand other fields. Experience has shown that short-term gains cannot build greatcompanies. Only through meticulous refinement and balancing technology withmarket needs can we realize Awinic’s vision: "Dancing on the tip of a needle, shapingthe world with Awinic’s core."Our long-term value goal is guided by the principle of "Technology for Good,Sustainability for All ", leading our path toward sustainability, aligning with global
climate initiatives, inclusive social development, and a healthy industrial ecosystem.Our long-term vision is to create a "Zero-Carbon Chip Ecosystem". In 2024, we haveenhanced chip performance while lowering energy consumption, helping customersbuild more efficient smart devices. Lingang Awinic Automotive-Grade ReliabilityTesting Center completed structural capping. Experimental Testing Center passedthe national 'Smart Factory' assessment, marking a key step toward intelligentproduction. Looking ahead, we will collaborate with industry leaders to strengthensustainable supply chains and support the green transition of the new energy vehiclesector.High-quality teams are Awinic's greatest asset. We remains committed to its talentphilosophy of being "simple, resilient, intelligent, and reliable", providing employeeswith high-quality training and sustainable career development opportunities. In 2024,we conducted 385 in-person training sessions to empower new employees,technical professionals, and management leaders. We have strengthenedcollaboration with universities and industry associations, leveraging our R&Dcapabilities to drive industry advancement. At the same time, we actively fulfill oursocial responsibilities by supporting vulnerable groups through public welfareinitiatives, striving to make technology accessible to all.
Governance Innovation: We embed ESG into strategy, integrate key metrics into
executive evaluations, promote the integration of digital transformation and AItechnology, improve R&D standardization and management data visualization,dynamically monitor compliance risks, and safeguard the company's development.
Long-term value creation is driven by the dual engines of "Technology +
Responsibility", Awinic adheres to the concept of long-term development and
always insists on comprehensive and three-dimensional investment, and continuesto focus on the layout of high-performance mixed-signal, power management, signalchain research and development to ensure the launch of more high-performance,low-power chips in the future to promote green and sustainable development. As asingle champion enterprise in the manufacturing industry recognized by the Ministryof Industry and Information Technology, we integrate into the construction of theintegrated circuit industry cluster to accelerate upstream and downstreamcollaborative innovation. At the same time, we are working closely with our valuechain partners to incorporate ESG criteria into supplier due diligence, promotinggreen supply chains in alignment with international sustainability standards.We act with a global vision while upholding our local responsibilities. We activelypromote the construction of an ESG ecosystem with Chinese characteristics. Thecompleting of our Lingang Awinic Automotive-Grade Reliability Testing Center andthe revenue-generating launch of our CNAS laboratory have strengthened ourcompetitiveness in high-end manufacturing and reliability testing. While reinforcingour market position, we are also diving into emerging sectors, expanding our AIoTand automobile product portfolio, and deepening our global market presence toestablish a diversified growth framework.Looking ahead, 2025 will be a pivotal year for global sustainable development. Withthe principles of "Technological Inclusion" and "Responsibility Symbiosis", we willimprove ESG performance to meet expectations, strengthen partnerships, believein the power of continuous learning and progress, and explore new frontiers ofsustainable growth. We extend my deepest gratitude to our partners, employees,and investors and the public. Together, let us set sail on the journey of sustainability,with "Long-term Vision" as our vessel and "Innovative Responsibility" as our oars.
Respectfully,Chairman of Awinic
April, 2025
0304
0807
ABOUT AWINIC
COMPANY PROFILEAwinic, established in June 2008 and headquartered in Shanghai, is a nationally recognized high-tech enterprisespecializing in the design of high-performance mixed-signal, power management, and signal chain integrated circuits. Thecompany was listed on the SSE STAR Market in August 2021 (Stock Code: 688798).Awinic operates under the guiding principle that "Meeting customer needs is Awinic's only reason to exist. High-qualityteams are Awinic's greatest asset." The company has consistently demonstrated excellence in operations and innovation,earning multiple accolades, including recognition as a "Manufacturing Single Champion Enterprise" by the Ministry ofIndustry and Information Technology (MIIT), designation as a "National Intellectual Property Advantage Enterprise", andinclusion in both the "Shanghai Hardcore Technology Top 100" and the "National High-Tech Zone Listed CompaniesInnovation Top 100."Awinic's products are widely adopted in consumer electronics, industrial IoT, and automotive applications, meeting industry-leading standards for performance and quality.
ManufacturingSingle Champion
Enterprise
NationalIntellectualPropertyAdvantageEnterprise
ShanghaiHardcoreTechnologyTop 100
NationalHigh -Tech ZoneListed CompaniesInnovation
Top 100.
KEY ECONOMIC PERFORMANCE
As of 2024, the total number of product models has reached over 1,400.
The comprehensive gross profit margin was approximately30.43%, increased by over 5
percentage points year-on-year. The company's operating performance achieved a new high.
From 2022 to 2024, the cumulative cash dividends paid to shareholders amounted to RMB 144million.
Net profit attributable to shareholders was RMB 255 million, up 399.68% year-on-year.
In 2024, Awinic shipped over 6 billion units, bringing its total historical shipments to over 30 billion units.
In 2024, Awinic reported annual operating revenue of RMB 2.933 billion, up 15.88% year-on-year.
0506
0708
02 SCIENTIFICMANAGEMENT
03 R&D INNOVATION
04 QUALITYASSURANCE
05 PEOPLE-ORIENTED
06 GREENOPERATIONS
01 ECONOMICPERFORMANCEAnnual operating revenue
RMB 2.933 billionincreased by
15.88% year-on-year
Shipments in 2024 are over 6 billionunits;Cumulative shipments are over
30 billion units3 product categories；40+ product subcategories；The total number of productmodels has reached over1,400+ units
Net profit attributable to shareholders
RMB 255 million
increased by
399.68% year-on-year
Comprehensive gross profit margin
30.43%
increased by over 5 percentage
points year-on-year
Evaluation results ofinformation disclosureA
Number/person-time ofdiversified communication withinstitutional/individual investors110+
During 2022-2024, the totalcash dividends paid toshareholders amounted toRMB 144 millionNumber of revised regulatorydocuments
100% signing of IntegrityAgreements by management,employees and suppliers
Major internal control deficienciesin management and operation
Number of disclosureannouncements
Organized performance briefings4 times
Cumulative,649 global patents;125 software copyrights;595 lntegrated circuit layoutdesigns
In 2024 added,117 domestic and internationalpatents;14 software copyrights;37 integrated circuit layout designsR&D investment 509 million,representing approximately 17%of revenueleading and participating in theformulation of 3 internationalstandards and 2 industry groupstandards
R&D personnel accounted for64% of total staff;Technicist accounted for 74%of total staff;53% holding master's degreesor higher
Proportion of wafer andpackaging key suppliers thathave passed ISO14001 systemcertification and productenvironmental certification100%Proportion of suppliers signingthe " Commitment Not to UseHazardous Substances "100%
Proportion of suppliers that have
passed third-party RoHS testing
reports on hazardous substances
100%The localization rate ofmass-produced testequipment exceeds
95%
Achieving high-precision signal
measurement and improving testing
efficiency by 25%+;
Standardized test solutions and
modularized mass-production test
hardware improving testing
efficiency by 35%+
Waste water, waste gas, noisedetection are
Qualified
EPS 1.10 yuan per shareFrom 2022 to 2024, thecumulative cash dividends paidto shareholders amounted to
RMB 144 million
Total Energy Consumption
9,540,000 kWh
Total Energy Savings(Photovoltaic power generation)
46,377 kWh
Total Water Consumption
33,362 tons
Electronic Waste ScrapWeight 1.954 tonsChemical Waste ScrapWeight 0.99 tonsTotal Patents Related to CleanTechnology
39 pieces
Environmental complaintsfrom customers or thegovernment
0 pieces
KEY PERFORMANCE
AboutAwinic
Proportion of suppliers signingintegrity clauses
100%
Employee Stock Ownership Planinvolved 977,600 shares in2024
Employee response rate 100%
Coverage rate of employee year-end performance evaluation
100%
Total investment in employeetraining RMB 2.4 millionTotal employee training
20,832 hours
Training coverage rate 100%Social insurance coverage rate
100%
Coverage rate of occupationalaccident insurance 100%Employee health check-upcoverage rate 100%Production safety relatedaccidents in 2024
0 cases
Total number of employees 869Overall male-to-female ratio 2.1:1Contract signing rate 100%
AboutAwinic
COMPANY LAYOUT
GEOGRAPHIC NETWORKAwinic has established a multi-tiered, cross-regional strategic network, effectively strengthening global technologycollaboration and market responsiveness.Centred in Shanghai, Awinic has built an extensive business network covering major economic and technology hubs such asShenzhen, Beijing, and Xi’an, and overseas branches in South Korea. This strategic footprint optimizes resource allocation,reduces environmental impacts through localized operations, and fosters resilient supply chains and semiconductorecosystems.
PRODUCT PROFILE
Three Core Domain
Awinicoffersover40productsubcategories,1,400productmodels,formingacompleteproductportfolioandmakingitaleadingplatform-basedcompanyinChina.
sAwinic specializes in R&D and design of high-performance mixed-signal, power management, andsignal chain chips, which are widely used in ConsumerElectronics, industrial internet and automobiles,continuously expand the application scope based oncustomer demands.Awinic continuously invests in high-quality R&D, standardizing and cataloguing its productofferings to better understand and meet end-client needs while driving market innovation.
010203Hight-performanceMixed-signal
PowerManagement
Signal Chain
Mixed-signal Chip Design Leading Company
As the leading domestic Analog and Mixed-Signal IC design enterprise, Awinic continues to develop a platform-basedstrategy based on its deep technical accumulation and complete product series in the field of IC design.The company meets the product needs of the segmented market through a diverse and collaborative product portfolioand provides customers with comprehensive three-dimensional solutions for the entire chain of design, algorithm,application, and process.
AboutAwinic
0910
+productsubcategories
+
product models
1400
2008
2010
Certified as a NationalHigh-Tech EnterpriseSelected as one of the "Top TenChinese IC Design Companies"
2015Successfully listed on the NationalEquities Exchange and Quotations(NEEQ)(Stock Code: 833221)
2025The inaugural year of the company'ssustainability report disclosure
2022Certified with GB/T 29490:2013 IntellectualProperty Management SystemAccredited by the China NationalAccreditation Service for ConformityAssessment (CNAS)Won the 2022 Shanghai Core TechnologyTOP100 list of enterprisesShanghai Quality Gold Award (the onlyintegrated circuit enterprise among theaward-winning enterprises)
2023Certified with CMMI Level 3Obtained IATF 16949:2016 SystemCompliance CertificateMore than 20 billion units shipped
2018Shanghai headquarters moved to anew locationChairman Sun Hongjun was selectedas the national "Ten thousand PeoplePlan" leading talent for science andtechnology entrepreneurship
2014Complete the shareholdingsystem reform2009Certified with ISO 9001:2008 QualityManagement System by SGSCertified as an integrated circuit designenterprise by the Ministry of Industry andInformation Technology
2021Successfully listed on the STAR Marketof the Shanghai StockExchange(Awinic;688798)Passed ESD S20.20-2014 certification
MILESTONESSince its founding in 2008, Awinic has centred its growth on technological innovation, continuously refining its qualitymanagement system. In 2021, the company successfully listed on the STAR Market, marking a significant milestone in itsdevelopment. Since then, Awinic has evolved from a startup to an industry leader through technological iteration, qualityenhancements, and strategic capital investment, driving high-quality growth in the semiconductor sector.
2024Awarded the title of "Manufacturing Single ChampionEnterprise" by MIITISO56005 "Innovation and Intellectual PropertyManagement Ability" Level 3 (the first in Shanghai, thefirst integrated circuit)Shipments exceeded 30 billion units
Awinic was founded
AboutAwinic
AboutAwinic
CULTUREHONORS
Government Recognition
Governmentcommendationcertificate
As a national innovation leader, Awinic actively aligns with national strategies, driving digital transformation across theindustrial chain while fostering sustainable industry growth.In the past three years, Awinic has been awarded as thesingle champion enterprise of the manufacturing industry of the Ministry of Industry and Information Technology, theNational intellectual property advantage Enterprise, selected as the "Top 100 Innovation List of Listed Companies inNational High-tech Zone", and won the honorary titles of Shanghai Innovative Enterprise Headquarters, Shanghai QualityGold Award, Shanghai Municipal Design Innovation Center, Shanghai Enterprise Technology Center, and ShanghaiHardcore Technology Enterprise TOP100 list.
Shanghai patent work pilot unit2023-2026 National Intellectual Property
Advantage Enterprise Certificate
2024 Shanghai Hardcore Technology
Enterprise TOP100
The Ministry of Industry and Information Technology recognizedthe manufacturing industry as a single champion enterprise
0101
AboutAwinic
ESG STRATEGIC GOALS
1516
ESG MANAGEMENTTo systematically implement its sustainability strategy, Awinic has established a three-tier ESG governance structurecomprising the board, management, and implementation levels. Through clearly defined responsibilities and cross-levelcoordination, Awinic ensures ESG principles are integrated from strategic planning to operational execution.
The Strategy Committee, integrated with ESGgovernance functions, exercises board-level supervisionand strategic integration of ESG matters. Keyresponsibilities include formulating ESG strategy andaction plans, establishing ESG policy frameworks andperformance targets,reviewing and approving annualESG disclosures.
Management Level
TheSecuritiesOfficeisresponsibleforESGmanagement,ensuringeffectiveimplementationandresourceallocationfromdecision-makingtoimplementation,andisresponsibleforESGissuemanagement,ESGriskmanagement,formulatingresponsemeasures,trackingandreportingimplementationresults.
董事会
战略委员会
各职能部门
证券办公室
……
……
GOVERNANCE FRAMEWORK
Awinic actively responds to the United Nations Sustainable Development Goals (SDGs) in its business operations,integrating ESG principles into corporate governance to achieve a seamless alignment between its ESG goals andoverall business strategy.
Scientific Governance
Drive an Efficient andCompliant SystemR&D InnovationStrengthen CoreCompetitivenessQuality AssuranceFully SafeguardingCustomer Interests
People-OrientedEnhancing HumanisticCare and Protection
Green Operation
Build a Resilient ChipIndustry
?Build a sound and efficient governance system to strengthen the sustainability framework.?Establish a transparent communication platform for stakeholders and enhance ESG collaboration
across the value chain.?Implement diverse disclosure mechanisms to demonstrate corporate responsibility.?Develop a comprehensive talent cultivation system that promotes workplace diversity and inclusivity.?Leverage technological strengths to drive industry progress and enhance customer products through
intellectual property advancements.?Participate in the formulation of technical standards to elevate Awinic’s industry influence.?Focus on energy-efficient technology innovation and establish a low-carbon management system
for the value chain.?Expand clean technology applications and develop a quantifiable environmental performance
assessment system.?Integrate circular economy principles into product R&D and build a climate-resilient system.
Sustainable Governance & Corporate Responsibility
Talent Development & Inclusive Growth
Green Innovation & Energy ConservationBoard LevelBoard of Directors
StrategyCommittee
FunctionalDepartments
SecuritiesOffice
……
……
Awinic ESG Governance Framework
Implementation LevelThe Functional department is responsible forperforming specific ESG work functions, implementingmeasures, recording relevant indicators and providingregular feedback.
AboutAwinic
AboutAwinic
STAKEHOLDER ENGAGEMENTESG MATERIALITY ANALYSIS
1718
Awinic places high importance on the identification and management of ESG topics. The Securities Office leads theidentification and evaluation of material sustainability topics for Awinic in 2024.Awinic places great importance on communication with stakeholders. Through a variety of channels and methods,we actively listen to their perspectives, ensuring transparency and smooth information flow. In 2024, Awinicconducted 4 shareholder meetings, engaging in direct face-to-face discussions with shareholders to understandtheir needs and expectations. Besides, we conduct client satisfaction surveys to gather feedback and continuouslyenhance our products and services. Additionally, we organize employee and management forums to foster internalcommunication and strengthen team cohesion. At the same time, we fully utilize our official website, WeChat publicaccount, and other platforms to promptly share company updates and key information, maintaining closeengagement with various stakeholders. Through these initiatives, Awinic continuously improving sustainabilityperformance and striving for mutually beneficial relationships with stakeholders.
Awinic ESG Material Topics
Process of Developing the Topic Library and Materiality Matrix
Establishing Awinic’s Topic Library
By aligning with the Shanghai StockExchange disclosure standards andindustry-recognized ESG topics,combined with Awinic’s businesscontext, we identified the company’ssustainability topic library.
Assessing Topic MaterialityThrough the "2024 Awinic ESG andSustainability Material Topics Survey"and interviews, we engaged directors,management, employees, suppliers, andclients. The data collected fromstakeholders about the importance ofvarious topics was used to inform thecreation of the topic matrix.
Generating Materiality Matrix
Based on the results, weclassified Awinic’s topicsaccording to two dimensions:
"Importance to Awinic" and"Social and EnvironmentalSignificance".
AboutAwinic
StakeholdersIssues Most ConcernedCommunication & Responses
Shareholdersand Investors
?Information Disclosure?Investor Rights?Corporate Governance?Compliance Management
?Convene general meetings and
earnings briefings?Publish disclosure reports and
investor relations activity recordsEmployees
?Employee Rights & Welfare?Employee Training & Development?Occupational Health & Safety
?Training programs?Performance evaluations?Employee forumsSuppliers
?Sustainable Supply Chain?Green Procurement?Climate Change Mitigation
?Supplier qualification audits?Integrity agreements?Supplier communication & feedbackCustomers
?Customer Rights Protection?Product Quality Management?R&D Innovation
?Customer satisfaction surveys?Pre-/post-sales support?Customer visits and research?Product & Technology PresentationsMedia
?Data Security & Privacy?Business Ethics?Information Disclosure
?Disclosure report releases?Corporate milestone announcements?Media interviewsGovernmentAgencies
?Risk Management?Business Ethics
?Government project applications?Policy implementation?Information DisclosureIndustryAssociations
?Industry Development Promotion?Clean Technology Opportunities
?Strategic partnerships?Industry standard development?Technology communicationNon-ProfitOrganizations
?Philanthropy & Rural Revitalization?Diversity & Inclusion?Waste & Hazardous Substance
Management?Climate Change Mitigation
?Social responsibility initiatives?Collaborative charitable donations
AboutAwinic
0807
SCIENTIFIC GOVERNANCE
1920
Awinic adheres to the principle of "scientific governance" to transform governance effectiveness into internal drivers forinnovation and growth. We are committed to establishing a high-efficiency compliance system while continuouslyelevating governance standards to maintain competitiveness and advance sustainability in dynamic markets.
CORPORATE GOVERNANCE
Organizational Structure
OVERVIE
Awinicplacesgreatemphasisoninformationdisclosureandthestandardgovernanceframework.In2024,thecompanyheldfourshareholders'meetings,eightboardmeetings,andsevensupervisoryboardmeetings.Thecompanyoperatesstrictlyinaccordancewiththegovernancestructure,improvesinformationtransparency,andprotectstherightsandinterestsofshareholders.Awinicprioritizesrobustorganizationaldesigntooptimizeresourceallocationandenhancemanagementcapabilities,whichformsasolidfoundationforthecompany'sstableoperationandcontinuedgrowth.
W
The governance structure of Awinic consists of the Shareholders' Meeting, the Board of Directors and its specializedcommittees, the Supervisory Board, and the management team.
Institutional Development
Awinic places high importance on institutional development. In strict accordance with “the Company Law”, the companyhas established its“Articles of Association”, formulated “the Shareholders' Meeting Rules”, “Board of Directors' Rules ofProcedure”, working regulations for various special committees, and various corporate management systems. Throughcontinuous improvement in governance practices, the company has refined its institutional framework, providingstandardized guidance for stable operations.By persistently enhancing institutional development, Awinic has progressively standardized various managementprocesses, which has not only strengthened risk prevention and control capabilities but also demonstrated to externalstakeholders the robust institutional safeguards supporting the company's stable operations.
Shareholders’Meeting
Board ofDirectorsDeputyDirector
Board ofSupervisorsNominationCommitteeAuditCommittee
CompensationAssessment
Committee
StrategicDevelopment
Committee
FunctionalDepartment 3
……
FunctionalDepartment 2
FunctionalDepartment 1
INFORMATION DISCLOSURE
Awinic recognizes that information disclosure is a key aspect of corporate governance.To safeguard investor interests and enhance market trust, the company adheres to legal requirements and has established aseries of information disclosure management systems, ensuring the proper handling of disclosure responsibilities.The company designates media outlets such as“China Securities Journal”,“Shanghai Securities News”, and the ShanghaiStock Exchange website as channels for publishing company announcements and other disclosures, fulfilling its informationdisclosure obligations.The quality of Awinic's information disclosure work in 2023-2024 was highly recognized by the exchange and won the A-levelrating for information disclosure by the Shanghai Stock Exchange.
INVESTOR RELATIONSAwinic adheres to the principle of "transparent, timely, accurate" principles, communicating with investors throughvarious channels, and actively addressing investor concerns.The company's other investor relations management and protection measures were as follows:
SSE e-Interactive Q&AThe company treatedevery investor's questionwith seriousness, ensuringthe disclosed informationwas true and accurate.
Investor Hotline and EmailAwinic kept investor hotline/emailoperational, promptly addressingSME inquiries to improvecommunication. It incorporatedinvestor feedback to foster long-term relationships.
Earnings Briefing SessionsThe company presentsoperational achievementsthrough earnings briefings toestablish long-term, stablerelationships with investors.Investor ResearchThe company engaged in offlineexchanges with investors and,organized and released the"InvestorRelations Activity Record".
In 2024, our Securities Office engaged in face-to-face/telephone communication with more than 110 investmentinstitutions/individuals through visits, company tours, participation in investment strategy meetings, and organized 4performance briefings, publishing 19 investor relations activity reports to convey Awinic’s value to the externalmarket.To enhance market confidence and reward investors, the company has distributed dividends to shareholders inaccordance with the profit distribution policy stipulated in its “Articles of Association”.During 2022-2024, the totalcash dividends paid to shareholders amounted to RMB 144 million.
SCIENTIFICGOVERNANCE TODRIVE AN EFFICIENTAND COMPLIANTSYSTEM
2122
ASSESSMENT AND RESPONSE
2324
RISK MANAGEMENTAwinic implements a comprehensive risk management strategy to identify, assess, and monitor various risks. Awinichas established a risk early-warning system to proactively address challenges across the supply chain, market, R&D,compliance, and other areas, ensuring stable operations. This is supported by a multi-tiered institutional frameworkspanning from overall strategy to corporate management systems, and from processes to detailed operationalmanuals and forms.
Internal Control System Development: The company has established its“Internal Control Management System”incompliance with national regulations including the“Basic Standards for Enterprise Internal Control ”and 18supporting guidelines. The system undergoes annual updates and now comprehensively covers all businessoperations.
Internal Control Implementation: The internal audit department identifies and assesses control risks while monitoringthe internal control system's operation. Guided by the COSO framework and aligned with corporate strategy, itexecutes internal control audits.
Evaluation of Internal Control Effectiveness: The company's Board of Directors conducts a comprehensive evaluationof the effectiveness of internal controls.Awinic's internal control management system features comprehensive design, covering the entire process from"policy design - execution monitoring - evaluation."In 2024, the company revised 43 regulatory documents.This robust internal control framework ensured the company maintained zero material control deficienciesthroughout the year.
BUSINESS CONTINUITYAwinic has established a Business Continuity Management (BCM) System in line with ISO 22301 standards, deeplyintegrated with the company’s actual operations. The system covers risk assessments, business process analysis, criticalprocess identification, and contingency planning, enhancing both risk management and internal control effectiveness.This framework ensures operational continuity across sales and customer service, R&D, supply chain management, andcustomer service functions through alternative resource allocation and emergency response protocols, providing strongsupport for the company's steady development and the fulfillment of customer needs.
Clear risk response strategies to ensure sustainable development
Ensure core business processes:：
Risk emergency preparedness plan covers：
Emergency Response Planfor Sudden Incidents
ComprehensiveR&D System
Supply Chain
Manageme
ClientServiceSales and
ServiceSystemClientRequirement
Natural DisasterRisk
Supply ChainRisks
InformationSecurity Risks
Financial RiskTrade Policy Risk
In 2024, the company organized an annual BCM emergency drill to ensure the effective implementation of contingencyplans for key areas such as supply chain, IT, and administration.
Awinic upholds integrity as a core business principle, committed to maintaining customer trust and fostering faircompetition. The Company maintains zero tolerance for fraudulent conduct and rigorously enforces compliance withethical standards among employees and partners. Institutional frameworks such as the"Anti-Corruption ManagementSystem"have been established to standardize ethical business practices and anti-corruption operations.
Anti-Corruption Measures：
Awinic conducts regular anti-corruption awareness campaigns throughinternal communications platforms, supplemented by mandatory ethicstraining programs for all personnel;A dedicated whistleblowing channel (complaint@Awinic.com) ensuressystematic handling of reported violations, including case registrationand thorough investigations to;A 100% signing rate of“Integrity Agreements”has been achievedacross management, employees, and supply chain partners.
ETHICS AND ANTI-CORRUPTION
These measures standardize employee behavior, protect the interests of the company and its shareholders, enhancecorporate reputation, and contribute to a fair and competitive market environment while promoting the healthydevelopment of the industry.
ScientificGovernance
0807
R&D INNOVATION
Awinic recognizes that R&D innovation is the key to maintaining leadership in the semiconductor industry. Awiniccontinuously works to overcome process technology bottlenecks, address diverse client demands, and fostersynergistic collaboration across the industry value chain.
R&D MANAGEMENT
Awinic remains consistently focused on R&D in high-performance mixed-signal, power management, and signal chain ICdesign. To meet the diverse needs of various market segments including consumer electronics, industrial AIoT, andautomotive, the company has comprehensively developed R&D innovation through the construction of experimental testingcenter, investment in R&D talent, development of patents and industry standards, and implementation of digital systems,committed to providing customers with optimal product services and effective solutions.Construction ofExperimentalTesting Center
Investment inR&D and Talent
Development of Patentsand Industry Standards
Digital SystemImplementation
Through internationally certified laboratories and intelligent testing center, Awinic has established a closed-loop qualitymanagement system spanning reliability verification to mass production. Standardized workflows improve product iterationspeed and market responsiveness significantly, ensuring rapid response to business expansion and customer demands.In 2024, the company invested RMB 509 million in high-quality R&D, representing approximately 17% of revenue. R&Dpersonnel accounted for 64% of total staff, with 53% holding master's degrees or higher.
2526
LABORATORY AND TESTING CENTERCONSTRUCTION
CNAS-Certified Laboratory
Awinic is the first IC design company in China to obtainCNAS accreditation and the first to establish acomprehensive failure analysis and reliability testinglaboratory.
LaboratoryInformationManagementSystem(LIMS)
Self-developedlaboratorytesting system
Localization ofLaboratoryEquipment
Self-developed laboratory testing systemCollects and analyzes test results, enhances data management and traceabilitycapabilities, and strategically drives product development and improvement.
Localization of Laboratory EquipmentBy collaborating with suppliers to develop localized equipment solutions, we aim to
reduce dependence on external suppliers in the technical domain, enhance the
company's R&D independence, and accelerate the development process.
Laboratory Information Management System(LIMS)
Integrated management of the entire experimental process, test data results, andmaterials/equipment to enhance R&D and management efficiency.
With continuous investment in its testing center, Awinic has significantly enhanced its annual testingcapacity. The facility now not only supports in-house R&D quality control but also providescomprehensive reliability testing and failure analysis services for Consumer Electronics, Automotive,Industrial and AIoT. In 2024, Awinic’s CNAS-accredited laboratory successfully generated its firstexternal revenue.
Automotive-Grade Testing Center
The testing center includes advanced failureanalysis and reliability laboratories, supported bya team of professional technical experts. It hasbeen accredited by CNAS and certified underISO9001, ANSI/ESD S20.20, and has obtainedthe IATF16949 automotive quality managementsystem compliance statement.
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The under-construction Lingang Awinic Automotive-Grade Reliability Testing Center achieved structural completion in2024. Its architectural design integrates the philosophical concept of "round sky and square earth" with the company'schip and wafer elements, embodying the vision of "creating a better future through technological power."
The facility has passed national assessments for "Smart Factory Evaluation and Diagnostics","Smart Factory Capability Enhancement, "and "National Outstanding Smart ManufacturingScenarios".Future developments will integrate big data platforms and smart scheduling systems whileincorporating industrial robotics to enhance R&D efficiency. Once operational, the testing center willprovide comprehensive and precise testing services for chips, components, and related products,further strengthening Awinic’s technological capabilities.
R&DInnovation
Awinic firmly upholds the belief that “High-quality teams are Awinic's greatest asset”. The company has builta full-cycle talent cultivation system encompassing recruitment, training, career development, and retention.In recruitment, Awinic actively attracts experienced technical experts and senior engineers to strengthen itsR&D capabilities while bringing in fresh graduates to inject new energy into the company.For talent development, Awinic has implemented a dual career path system that allows employees toadvance in both technical and managerial roles, creating a multidimensional growth platform.The company fosters a culture of cross-disciplinary collaboration, encouraging key R&D personnel to engagein academia-industry partnerships, forming a positive cycle of "technological breakthroughs -commercialization - industry leadership." Our stable and dynamic talent structure provides strong momentumfor continued breakthroughs in high-end semiconductor technologies.
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Awinic places great emphasis on strengthening patent early-warning mechanisms, trademarksearches, and other IP-related inquiries to uphold fair competition. To mitigate infringement risks, thecompany has established robust internal procedures, including the"Intellectual Property RiskManagement Control Procedure"and the"Intellectual Property Dispute Handling ControlProcedure”. Additionally, IP review checkpoints have been integrated into the R&D process, wherecompliance analysis and risk control are conducted by specialized personnel.
Awinic regards intellectual property as a cornerstone of its corporate development. The companyhas implemented systems such as the "Intellectual Property Maintenance Control Procedure"anddeveloped a comprehensive IP strategy that spans the entire lifecycle of IP assets—from creationand application to protection and management.
In the event of IP-related litigation, Awinic promptly activates its response mechanisms. Throughoutthe litigation process, the company adheres to factual evidence and vigorously defends its legitimaterights and interests.
TALENT DEVELOPMENTINTELLECTUAL PROPERTY PROTECTION
Awinic has consistently demonstrated a high level of strategic awareness in the field of intellectual property (IP)protection and has actively established a comprehensive IP management system. By strategically planning the breadthand depth of its patent portfolio, the company ensures comprehensive coverage of core technologies and key businessareas, thereby building a robust IP protection framework.
Respect for Intellectual Property and Commitment to Fair Competition
Emphasis on Intangible Asset Management to Strengthen InnovationProtection
Effective Litigation Response to Safeguard Rights
Awinic has established a holistic IP management system that encompasses patent portfolio planning, risk early-warningmechanisms, and a closed-loop rights protection process. Leveraging a "Law + AI" approach, the company hasdeveloped an IP management platform to enhance operational efficiency, enable intelligent management of contracttemplates, improve patent search efficiency, and align patent strategies with business processes, thereby creating arobust foundation for the commercialization of technological innovations and market competitiveness.
R&DInnovation
Awinic's business systems achieve end-to-end collaboration through efficient data flows. Centered on the ERPsystem, the company has integrated market, supply chain, production, and warehouse data, enabling full-chaindata connectivity and operational synergy to provide real-time, unified decision-making support for R&D andproduction.The digital transformation focuses on ERP integration, connecting all business subsystems to establish a datamiddleware platform while actively exploring AI integration. Departments including R&D, legal, and marketinghave implemented AI-assisted tools and patent risk early-warning systems, driving intelligent processautomation.
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Digital Architecture
DIGITAL TRANSFORMATIONFor Awinic, digitalization is more than just an upgrade in tools—it is a strategic driver of innovation. By leveraginga data-driven platform and AI integration, we have established end-to-end data connectivity across R&D,production, and customer service ecosystems.
By 2025, AI will be embedded in ≥30% of standard operating procedures (SOP) to automate routine tasks andenhance operational efficiency.
Awinic's digital transformation integrates data middleware and AI, with implemented applications including AIassistance and patent risk early-warning systems across R&D, legal, and marketing departments to advance processintelligence.
In 2024, the inaugural year of AI exploration:
Business Module 8 individuals
AI Assistant 15 individuals
AI Features 25 items
AI assistant used in DingTalk16,240 Times/year
?The first phase of Awinic's digital R&D platform has launched,
enabling visual management of the entire project lifecycle.?The official website's new AI assistant provides comprehensive
support from product inquiries to recommendations and industry
knowledge, winning the 2024 Semiconductor AI Innovation Award.?The company's e-commerce platform achieved its first online
transaction milestone.Moving forward, Awinic will continue advancing AI automation capabilities to enhance R&D innovation anddesign efficiency. The company plans to implement AI-assisted functionalities across all business areas,supporting strategic decision-making and data-driven growth. This commitment to technological innovationaims to achieve high-quality corporate development and comprehensively strengthen core competitiveness.
DIGITAL APPLICATION RESULTS
R&DInnovation
AI CUSTOMERSERVICE
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R&D AND INNOVATIONACHIEVEMENTSACADEMIA-INDUSTRY PARTNERSHIPS
PRODUCT R&D ACHIEVEMENTS
Awinic’s product portfolio spans three core product domains: high performance mixed-signal
analog chips, power management chips, and signal chain chips. Through years of dedicatedR&D, the company has developed a series of industry-leading core technologies, intellectualproperty, and products that enhance power efficiency and optimize energy consumption.
Case: SAR sensor ChipsDesigned for mobile phones, laptops, and other wireless devices, SAR (SpecificAbsorption Rate) sensor chips detect proximity to the human body, reducingelectromagnetic radiation exposure from WWAN to ensure compliance with SARregulations.Awinic launched its first domestically developed SAR sensor chips (AW96103/5) in 2020and has since advanced to the fourth-generation. These chips feature high-resolutionsensing, an advanced SoC architecture with online upgrade support, and the patentedSmart ATC (adaptive temperature compensation) algorithm. The latest models improvepackaging efficiency while enhancing chip performance.
Case: Camera Motor Drivers
These chips provide precise control for autofocus, zoom, and optical stabilization incamera modules. Awinic’s camera motor driver portfolio includes Open Loop AF, CloseLoop AF, and OIS (Optical Image Stabilization) solutions, offering high-precision controland dynamic voltage regulation. These features improve data transmission efficiencywhile reducing power consumption.
Case: Awinic SKTune?
Awinic’s SKTune? audio algorithm suite enhances sound quality, reduces noise, andoptimizes power efficiency.Awinic’s advanced SKTune? algorithm features a bass enhancement module thatenriches low-frequency performance while automatically optimizing sound clarity.Additionally, it integrates low-battery protection, temperature protection, and low-pressure protection algorithms to safeguard devices under various conditions.
Awinic has been recognized as a NationalIntellectual Property Advantage Enterprise and aShanghai Patent Demonstration Enterprise andobtained the ISO56005"Innovation andIntellectual Property Management Capability"Level 3 certification. Through integratinginnovation and intellectual property managementsystems, Awinic has enhanced company’s R&Defficiency,with intellectual property quality, andcommercialization.
Accumulated:
Domestic andInternationalPatents
SoftwareCopyrights
In 2024, added:
Domestic andInternationalPatents
Integrated CircuitLayout Designs
The first in Shanghai and theintegrated circuit industry toobtain ISO 56005 "Innovationand Intellectual PropertyManagement Capability"Level 3 certification.
Passed the GB/T29490 "EnterpriseIntellectual PropertyComplianceManagementSystem" surveillance
audit.
Recognized as aNational IntellectualProperty AdvantageEnterprise andShanghai PatentDemonstrationEnterprise.
R&DInnovation
SoftwareCopyrights
Integrated CircuitLayout Designs
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GREEN R&D
Industry-academia-research collaboration has become a crucial strategy for enterprises to enhance corecompetitiveness and achieve sustainable development. Awinic places high importance on in-depth cooperationwith universities, having established strong partnerships with leading institutions such as Southeast University,Shanghai Jiao Tong University, and Harbin Institute of Technology in recent years. These collaborations haveyielded multiple research projects, including the joint development of high-performance charging chips for AIplatform devices under specific requirements for high precision, efficiency, cost-effectiveness, and miniaturization,injecting robust momentum into the company's high-quality development.Through these initiatives, Awinic actively promoted practical talent cultivation, contributing to industry talentdevelopment. In 2024, the company launched a joint training program with Harbin Institute of Technology forundergraduate and graduate students. Awinic's experts and senior technical executives participated in curriculumdevelopment and delivered on-site lectures, effectively integrating frontline R&D practices with theoreticalknowledge. This knowledge-sharing approach helps students bridge academic learning with industrial applications,enhancing their comprehensive capabilities and professional competencies.
Awinic integrates energy-efficient design principles into its chip development process, embedding power optimizationtechnologies and testability circuits from the design stage to enhance efficiency and proactively detect potentialissues for both manufacturers and end customers. These measures not only improve production efficiency but alsoenhance customer experience in later product stages.Awinic continues to drive green R&D with advanced technology and strong laboratory capabilities. By focusing on theproducts from its three core domains, the company has built a full-chain R&D system covering design, development,and testing.Awinic’s CNAS-certified failure analysis and reliability laboratories enable full-cycle quality control, supportinginnovation in domestic alternatives in high-precision SAR sensors and camera motor driver chips. Lingang AwinicAutomotive-Grade Reliability Testing Center integrates intelligent facilities and ultra-low-energy designs to enhancetesting efficiency, while speeding up collective innovation across the value chain.
INDUSTRY COLLABORATION ANDACADEMIA-INDUSTRYPARTNERSHIPS
ACADEMIA-INDUSTRY PARTNERSHIPS
INDUSTRY DEVELOPMENT PROMOTION
Industry Association Memberships
Awinic is a member of 12 industry associations, including 2 international and 10 domestic organizations,strengthening its influence in the semiconductor industry.?Institute of Electrical and Electronics Engineers?World Ultra HD Video Industry Alliance?Components Committee, China Power Supply
Society
?China Young Entrepreneurs Association?Shanghai Integrated Circuit Industry Association?Shanghai Industrial Technology Innovation
Promotion Association
?Haptics Industry Forum?Artificial Intelligence Industry Committee, China
Computer Industry Association
?Talent Reserve Base, Integrated Circuit Branch,
China Semiconductor Industry Association
?Shanghai Young Entrepreneurs Association?Chengdu Integrated Circuit Industry Association?Integrated Circuit Professional Committee,
Shanghai Industry-Education CooperationAssociation
R&DInnovation
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Categories
Name of Standard
CollaboratingOrganizations
Awinic’s Levelof Participation
Organizations
"Functional Requirements for IntelligentDiagnostic Integrated Circuits in AudioApplications"T/SICA 005—2023
Shanghai Integrated Circuit
Association
LeadingOrganization
"Signal Transmission and Control InterfaceRequirements for Audio Integrated Circuits"T/SICA 004—2023
Shanghai Institute of Quality
and Standardisation
International
"Standard for Haptic Interface Enhancementfor Mobile Gaming"IEEE P2861.3
Tencent, IEEE, etc.
ParticipatingOrganizations
International
"Standard for Mobile Gaming PerformanceEvaluation and Optimization"IEEE Standard 2861TM-2021
Tencent, IEEE, etc.
ParticipatingOrganizations
Organizations
"Near-ear open audio devices—Measuringmethods for acoustic performance"T/CECA 87—2023
Goertek, China Electronic
Components Industry
Association
ParticipatingOrganizations
International
"Standard for Game Voice Enhancement forMobile Gaming" IEEE P2861.4
Tencent, IEEE, etc.
ParticipatingOrganizations
With the support of the Shanghai Quality & Standardization Research Institute, Awinic, as the lead drafting organization,collaborated with the Shanghai IC Association to secure approval from the Shanghai Science and TechnologyCommission for the ‘Technology Innovation Action Plan‘, resulting in the formulation of two integrated circuit standards:
"T/SICA 005-2023: FUNCTIONAL REQUIREMENTS FOR SMART AUDIO DIAGNOSTIC ICS":
Standardized diagnostic mechanisms for internal circuit failures in audio ICs, improving testing reliability."T/SICA 004-2023: SIGNAL TRANSMISSION AND CONTROL INTERFACE REQUIREMENTS FOR AUDIO ICS":
Addressed the lack of standardized audio interfaces by introducing DDR-based signal transmission, optimizing ICcost and enhancing real-time interaction with platforms.
Awinic actively contributes to the integrated circuit industry's development through talent cultivation, culturalpromotion, and technical exchange programs. These efforts drive sustained industry advancement and prosperity.
[Case 1] National University IC Innovation & Entrepreneurship Competition
Organized by the Talent Exchange Center of MIIT(Ministry of Industry and Information Technology), theNational University IC Innovation & EntrepreneurshipCompetition influential event attracts hundreds of teamsannually from Tsinghua University, Xidian University,Shanghai Jiao Tong University, Southeast University, andother leading institutions. Awinic has been a corporatesponsor and challenge setter for three consecutive years,enriching contest content and providing real-worldsemiconductor challenges for students. As of 2023, thecompetition has successfully hosted 8 editions.
[Case 2] "Building China's Chip Future" Campaign
Awinic has made significant achievements in standard establishment, leading and participating in the formulation of 3international standards and 2 industry group standards.
As an official youth education base in Minhang District, Awinic collaborates with Shanghai Minhang EducationBureau to create semiconductor-themed study programs. The third "My Chinese Chip ? Building China's ChipFuture" campaign engaged students across regions, schools, and age groups, receiving submissions in fourcategories: calligraphy/painting, design, essays, and videos. Future plans include expanded "China Chip" scienceoutreach and themed contests to mobilize younger generations in advancing domestic semiconductor innovation.
R&DInnovation
Standards Development Contributions Industry Advancement Initiatives
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Awinic firmly believes that outstanding product quality is the cornerstone of customer trust and corporate success. As aleading supplier of high-performance integrated circuit solutions, the company adheres to the quality policy of "Excellence inQuality, Innovation in Technology, and Customer Satisfaction" and is committed to exceeding customer expectationsthrough cutting-edge design and rigorous production standards.
As systemic risks such as geopolitical tensions, environmental governance, and technology supply disruptions continueto intensify, the stability and sustainability of the supply chain are critical to customer delivery commitments and long-term brand value.Awinic has built a standardized supply chainmanagement system driven by demand planning topromote the coordinated operation of procurement,production, logistics, sales, and other departments.The system deeply undertakes the company'sstrategic goals, and ensures that the supply chainstrategy is consistent with the company's overalldevelopment direction through annual planning,resource allocation and execution oversight. Thesupply chain department leads the whole processmanagement, quickly responds to market fluctuationsthrough cross-departmental linkage cooperationmechanism, we can quickly respond to marketfluctuations and ensure the efficient and stableoperation of the supply chain.
To safeguard business continuity and enhancesupply chain resilience, the company has developedand regularly updates its Supply Chain ContingencyPlan, establishing rapid response mechanisms forpotential disruptions in critical resources. Byexpanding its supplier base and developing adiversified supplier network, Awinic has strategicallyengaged both domestic and international suppliers,progressively increasing the localization ratio of itssupply chain. The company also strengthenscompliance management within its overseas supplychain to mitigate disruption risks and ensure thestable supply of key components.
COMPREHENSIVE MANAGEMENTOF PRODUCT QUALITY
SUSTAINABLE SUPPLY CHAIN
QUALITY ASSURANCE
Supplier ManagementAwinic places great emphasis on supplier management and hasestablished policies such as the "Production Supplier ManagementProcedure", which defines management standards across all stages.The company has developed a comprehensive supplier managementframework covering selection, evaluation, auditing, onboarding, andperformance assessment, ensuring supply chain stability, efficiency,and sustainable growth while maintaining high collaboration qualityacross the value chain.
Awinic 2024 Annual Partners ConferenceSupplier Admission Mechanism: All suppliers are required to complete the "Supplier Questionnaire" and undergo arigorous multi-dimensional qualification assessment. Key suppliers involved in wafer fabrication, packaging, andtesting must obtain ISO 14001 Environmental Management System Certification and relevant product environmentalcertifications while signing an integrity and compliance agreement.Supplier Assessment and Evaluation: Awinic has established a robust assessment framework that evaluates suppliersbased on multiple dimensions, including quality and cost. The company implements incentive programs and correctivemeasures based on evaluation outcomes.Supplier Classification Management: Suppliers are categorized into three levels—strategic, preferred, and generalsuppliers—based on their strategic importance to the supply chain, with differentiated management approachesapplied accordingly.
QUALITYASSURANCE
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Conflict Minerals ManagementAwinic has formulated a conflict minerals policy, management framework, and due diligence process in alignment withinternationally recognized guidelines to ensure that neither the company nor its supply chain is associated with conflict minerals.Awinic publicly commits to ensuring that its products are free fromconflict minerals.Awinic requires suppliers to fully and accurately complete the"Commitment to Non-Use of Conflict Minerals" declaration.Suppliers must establish comprehensive policies, managementframeworks, and due diligence mechanisms for conflict minerals.Awinic conducts regular audits to evaluate the effectiveness ofsuppliers’ conflict minerals management systems.
Supplier Hazardous Substance Management
The company upholds green and environmentally friendly principles in supplier selection:
Green Raw Materials Procurement
The company actively integrates environmental protection principles into its supply chain, fully implementing anenvironment-first strategy to achieve green procurement goals through a series of initiatives.In packaging material selection, the company strictly follows standardized procedures to enforce green packagingpractices. All product packaging is made from recyclable cartons and biodegradable materials and complies with theRoHS hazardous substance restriction standard. The company ensures that all packaging materials undergohazardous substance testing and certification, effectively controlling environmental impact at the source.Additionally, the company has implemented a closed-loop recycling system for CP wafer boxes and cartons. Thesematerials are cleaned and refurbished for reuse in the production process. This system has delivered significant results,with the unit cost of reused materials being only 16% of the original procurement cost. This approach not only reducesresource consumption and minimizes packaging waste but also fosters both circular resource utilization andenvironmental sustainability.
Proportion of wafer and packaging key suppliers thathave passed ISO14001 system certification and productenvironmental certification 100%
Proportion of suppliers signingintegrity clauses
100%
Key wafer, packaging, and testing suppliers must obtain ISO 14001 Environmental Management SystemCertification and sign the "Commitment to Non-Use of Hazardous Substances", "VOC Compliance Statement",and "REACH Environmental Compliance Statement".Suppliers are required to provide third-party hazardous substance testing reports (such as RoHS) on a regularbasis and ensure their validity.
Proportion of suppliers signing the "Commitment Not to Use HazardousSubstances "100%
Proportion of suppliers that have passedthird-party RoHS testing reports onhazardous substances100%
Green Procurement
PRODUCT QUALITY MANAGEMENTDuring the reporting period, the company strictly complied with the "Product Quality Law of the People's Republic ofChina"and relevant regulations and standards. Internally, it formulated the "Quality Target Control Procedure"and othermanagement policies, and established a comprehensive quality assurance system aligned with industry best practices.The company is committed to ensuring that every customer experiences the outstanding performance and long-termreliability of Awinic’s products.
Quality Management System Certification
Product Quality Management Objectives
：
Product Quality Management Process
Awinic adheres to the quality management philosophy that "Quality originates from design and extends throughout theentire product lifecycle". The company has established a comprehensive quality management process, implementingdefect management, risk management, change management, quality review, FANOUT analysis, and knowledgerepository management at key stages to ensure quality control at every critical juncture.
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Product Quality Management ResultsHighlight 1: Awinic Experiment Center
Highlight 2: Enhanced Testing Efficiency & Domestic Substitution
Currently, the domestic test equipment market is characterized by a high proportion of analog test machines, while digitalmodules remain relatively underdeveloped. In response to this industry landscape, Awinic independently designed adedicated digital test module in 2024, actively advancing the domestic substitution process. By seamlessly integrating itsself-developed test machines with the digital test module, the company can comprehensively meet diverse testingrequirements while significantly enhancing testing efficiency and accuracy.
The localization rate of mass-produced test equipment exceeds 95%,with continuous expansion of domestic substitution solutions.Independently developed over 5 categories of test modules, achievinghigh-precision signal measurement and improving testing efficiency bymore than 25%.Standardized test solutions and modularized mass-production testhardware enable shared test hardware and solutions for productswithin same series, increasing development efficiency by over 35%.
Automotive Grade Test Equipments
Awinic Product Quality Management System
IS0 9001
ANSI/ESD S20.20
ISO/IEC 17025
GB/T 29490IATF 16949
CMMI（Level 3）
IS026262(Road Vehicle Functional Safety)
IS056005 Innovation and Intellectual PropertyManagement Capability certification (Level 3)
QUALITYASSURANCE
Personalized/Value-AddedServices
SupportingCustomerNeeds
CustomerComplaint
Handling
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Awinic recognizes that effective and reliable protection of customer rights is a critical measure of a company’score competitiveness. Centered on agile responsiveness and precise service, the company has established amulti-tiered customer support system. By implementing a dual-track approach of "full-cycle serviceintegration + information security strategy," Awinic enhances customer service standards and strengthensinformation security protection, thereby comprehensively safeguarding customer rights and interests.
SUPERIOR QUALITY SERVICE ANDCUSTOMER SATISFACTION TRACKING
Guided by the principle that "customer needs are the sole reason for Awinic's existence," the company placescustomer requirements at the heart of its operations. Through comprehensive, full-cycle high-quality services,Awinic builds strong and enduring partnerships with its customers, driving sustainable development andprogress within the industry. During the reporting period, the company ensured the timely delivery of high-quality services and improved customer satisfaction.
Customer Satisfaction and FeedbackRegular Satisfaction Surveys
"Customer Frontline Feedback" Review MeetingsAwinic conducts an annual customer satisfaction survey in November, consolidates the results byyear-end, and issues a report to analyze the results.Since 2024, the company has been organizing monthly cross-departmental "Customer Voice" review meetings withparticipation from marketing, application engineering, quality and other relevant departments. These meetings focuson two key objectives: resolving existing product issues, and enhancing team expertise and service standards tocontinuously improve customer experience.
After-SalesSupport
Customer Service
The company strengthens customer collaboration through technical exchangesessions and industry seminars. Sales and FAE teams jointly conduct productdemonstrations and technical training to help customers fully understandproduct advantages. Meanwhile, the company utilizes seminar opportunities toshowcase innovation achievements, distribute new product samples,continuously enhance customer relationships, and drive business development.
The company records all complaints and assigns them to the responsibledepartment for resolution. After determining the validity of the complaint, ahandling plan is formulated and submitted to the management representative forapproval. Once approved, the responsible department implements the plan underthe supervision of the management representative. The marketing departmentcommunicates the resolution to the customer and collects feedback. Finally, themanagement representative evaluates the complaint handling process, extractsvaluable insights, and applies these lessons to drive continuous improvement.
Awinic strives to fully address customer needs and expectations. For keycustomers and critical sectors, the company conducts face-to-face promotionalexchanges. Additionally, it leverages a distributor network for indirect promotionand technical support, complemented by AI-powered customer service for onlineassistance.
The company's official website hosts the AAA? Technology Forum, whereengineers share expertise, address design challenges, and facilitate technicalexchanges while gathering customer feedback. Additionally, the companyprovides 24/7 management tools to enable rapid response to customer needs,precise product solution recommendations, and efficient issue resolution.
The company provides tailored services by categorizing customers and theirissues. The customer service team is divided into a dedicated key account teamand a general support team. Customer issues are classified and tracked in thesystem based on severity, ensuring timely and effective resolution.
Pre-Sales
Support
CUSTOMER RIGHTS PROTECTION
QUALITYASSURANCE
INFORMATION SECURITY TRAINING
CUSTOMER PRIVACY PROTECTION
In terms of customer privacy protection, Awinic has implemented the following measures to protect customer privacy:
Accounts with permissions to access or download sensitive company information (e.g., employee phone numbers,partner pricing data) are restricted to company terminals, ensuring all operations are conducted within thecorporate environment.The company’s client relationship management system is cloud-based. To ensure data security, Awinic partnerswith cloud service providers that have undergone rigorous SOC (Service Organization Control) report audits,guaranteeing secure data storage and providing a reliable foundation for system security.Internal permission isolation and data control mechanisms are in place to prevent unauthorized data forwarding.Any implementation of fallback strategies requires whitelist approval, ensuring comprehensive protection ofcustomer privacy.
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Emergency Response Drills
The company conducts annual informationsecurity drills:
2022: Ransomware Incident - EmergencyResponse Drill;2023: Simulated Attack - EmergencyResponse Drill;2024: Phishing Software - EmergencyResponse Drill.
Daily TrainingInformation Security Training:
Frequency: Twice a yearScope: Full staff participation
Assessment Method:
Participation in examsInformation Security AssessmentsInformation Security Goals:
No major security incidents;No financial losses to the company dueto security factors.
Management Tools
External Tools: Antivirus software, EDR (Endpoint Detection and Response), and situational awareness systems.Internal Security Platforms: Tianwen: Responsible for digital security；Diting: Responsible for network security.
Awinic places information security and privacy protection at the forefront of its strategic priorities. Through robustmanagement systems and advanced technological measures, the company ensures comprehensive protection of itsinformation assets. Awinic complies with national information security laws and formulates internal policies and systemssuch as the "Information Security Compliance Management Regulation" to ensure information security.
SECURITY MANAGEMENT GOALS
Training and Education: Annual training coverage: 100%；Annual test pass rate: 95%；Training frequency: no lessthan twice per year. No major information security incidents throughout the year.
EMERGENY RESPONSE
Daily Management
The company has implemented a multi-layered protection strategy encompassing data control, device management, andsystem security. Measures such as early warning systems, boundary controls, device management, and micro-segmentation are employed to mitigate information security risks comprehensively.To prevent data breaches, Awinic enforces strict internet behavior management and desktop management controls foremployee mobile devices and desktop systems. These measures are integrated with the Tianwen system to enable real-time alerts and centralized management, ensuring robust information security. Additionally, the company employs micro-segmentation to isolate servers by business function, enhancing its ability to respond to security incidents andmaintaining the stability of its information systems.
Emergency Response
Awinic has established a rigorous emergency response framework for managing security incidents. In the event of a high-severity or wide-impact incident, the company follows a structured process: Reporting the IT incident and initiatingemergency notifications; Escalating the issue to the emergency leadership team; Activating and executing theemergency response plan.
INFORAMTION SECURITYAND PRIVACY PROTECTION
QUALITYASSURANCE
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PEOPLE-ORIENTEDAwinic recognizes the critical importance of talent development. Guided by the corporate value that "a high-caliberteam is Awinic's greatest asset," the company actively recruits top talent, expands its talent pool, and establishes amulti-dimensional talent development system to provide employees with diverse career growth opportunities. Awinicis committed to a people-first approach, prioritizing employee rights, well-being, and health, and strives to foster aninclusive, equitable, and secure workplace environment.DIVERSITY AND INCLUSION
RECRUITMENT DIVERSITYAwinic is committed to fostering a diverse and inclusive workplace by embedding fairness into its recruitmentprocesses, ensuring equal treatment for all employees, and prioritizing the protection of female employees' rights.In its diversity and inclusion efforts, Awinic guarantees fair treatment for all candidates, adhering to anti-discriminationprinciples and the concept of mutual selection. We strictly avoid any form of discrimination based on non-work-relatedfactors such as race, gender, or age. By implementing transparent and equitable recruitment practices, Awinicensures that every candidate has an equal opportunity to succeed.Furthermore, Awinic places a strong emphasis on the well-being of its female employees. Beyond offering Women'sDay holidays, we organize regular activities to enhance employees' sense of belonging and job satisfaction, fostering amore inclusive and supportive work environment.
Case：Every festival is celebrated
At Awinic, every festival is celebrated withenthusiasm! The company regularly holds traditionalfestival activities such as Lantern Festival, DragonBoat Festival, Mid-Autumn Festival, Thanksgiving,etc. to enhance employees' understanding ofregional and generational cultural differences,thereby promoting team diversity and allowingemployees from different backgrounds to feel theinclusive corporate atmosphere.
DIVERSITY IN BOARD
Awinic has also made significant progress in gender diversity within its Board of Directors. Currently, female directorsaccount for 60% of the board, which is a leading figure within the industry, reflecting the company's commitment togender balance and social responsibility. The board also shows significant diversity in terms of age, educationalbackground, and professional expertise, ensuring comprehensive and broad decision-making while promoting innovation.
Major in finance &management 40%
Female 60% Male 40%
Industrialbackground 40%
Industrialbackground 20%
41-50 years lod
40%
>50 years old 60%Dr. 1 person
80% with a master's degree
or below
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EMPLOYEE COMPENSATION ANDINCENTIVES
Compensation and incentives serve as key drivers for attracting top talent and retaining core teams. The companyadopts a competitive and equitable compensation system, a diversified incentive mechanism, and a robust performancemanagement framework to foster employee motivation and creativity, ensuring the effective implementation oforganizational strategy.
COMPETITIVE & FAIR COMPENSATIONSYSTEMThe company has established a comprehensive compensation system encompassing fixed salaries, allowances,variable pay, and holistic benefits, ensuring transparency, fairness, and strong competitiveness within the industry.
DIVERSIFIED INCENTIVE MECHANISM
To fully enhance employee motivation and support long-term growth, the company has developed a multi-tiered,differentiated incentive program:
Performance Management SystemThrough a structured performance management mechanism, the companydecomposes annual strategic objectives both horizontally and vertically,ensuring alignment at all levels. Utilizing the PBC (Personal BusinessCommitment) model, the company ensures that individual employee goalsare closely aligned with overall corporate strategy. Regular performancereviews and adjustments are conducted to drive continuous performanceenhancement, with an annual assessment cycle in place.
Coverage rate of employee year-endperformance evaluation 100 %
EMPLOYEE RIGHTS AND SERVICES
CARING FOR EMPLOYEES
Team-building activities
Awinic remains committed to its "people-oriented" philosophy, placing great emphasis on employee rights and well-being. The company strives to provide comprehensive support and care, fostering a positive, inclusive, andcollaborative work environment.。
?Fundamental Benefits: Social insurance and provident fund, health and accident coverage, annual leave, etc.?Specialized Employee Care: Support for female employees, staff apartments, parent-child-friendly office spaces, etc.
The "Awinic Home" talent apartment provides newemployees with a welcoming living space that fostersintegration into the corporate culture, embodying theconcept of "Work, Life, and Happiness at Aiwei."Equipped with a shared kitchen, KTV, basketball court,and various leisure facilities, the apartment meetsemployees' needs for exercise, entertainment, andpersonal development, enriching their off-duty life andenhancing their overall well-being and quality of life..
Case | "Awinic Home" Staff Apartment
Beyond addressing accommodation needs, the staff apartment underscores Awinic’s commitment toemployees’holistic well-being and professional growth, strengthening their sense of belonging and loyalty, andlaying a solid talent foundation for the company’s sustainable development.
On June 22, 2024, Awinic celebrated its 16thanniversary with a fun sports festival. Employeesgathered at Shanghai Minhang Stadium, whilecolleagues from Shenzhen, Beijing, Xi’an, and otherlocations joined remotely through activities like hikingand cycling. The event featured a diverse range ofactivities, including a torch relay, Awinic formationshowcase, and Ba Duan Jin, fostering team cohesionand a strong sense of unity.
Case | Sports Meeting
Employee Benefits
Equity Incentive Program：Launched in three phases, includingrestricted stock incentive plans in 2021 and 2022and the employee stock ownership plan released in 2024. In 2021, 4.4 million restricted stocks were initially granted
under the Restricted Stock Incentive Plan. In 2022, 4.78 million restricted stocks were initially granted under theRestricted Stock Incentive Plan. In 2024, an Employee Stock Ownership Plan was implemented, involving 977,637shares.Tiered Incentives：Tailored multi-tiered incentive packages based on employee levels and job characteristics toensure reasonable incentives for each tier.Special Incentives：Establish a special reward mechanism for key projects such as patent innovation andtechnological breakthroughs.
People-Oriented
5152
Talent Acquisition
The company actively attracts top-tier industry talent through multiple channels, including campus recruitment, socialrecruitment, and targeted talent acquisition, to meet evolving workforce demands at different development stages andbuild a robust talent pipeline. For non-R&D positions, the recruitment process emphasizes candidates' industryexperience and alignment with corporate culture and values. Simultaneously, the company prioritizes the developmentof an expert system, leveraging industry leaders to enhance organizational capabilities and optimize the hierarchicalstructure of technical resources.
Cadre Development & Succession PlanningTo ensure a structured and fair leadership selection and development process, the company has established the
“Leadership Management Framework”. Leadership candidates are evaluated based on four key criteria: performance,integrity, competence, and experience. The company adheres to a strategy of prioritizing internal promotions whilesupplementing leadership needs with external hires, ensuring that selected leaders possess both exceptional managerialskills and technical expertise.To support new leaders in transitioning smoothly into their roles, the company implements a structured on boardingprogram. Additionally, a long-term leadership development framework has been designed to identify and nurture high-potential employees. Tailored development programs, including rotational assignments, hands-on project experiences,and leadership training, foster a dynamic talent pipeline aligned with the company’s strategic growth.
In 2024, the company engaged external experts to conduct the Leadership Empowerment training series, offering morethan 40 hours of specialized courses covering team development, effective communication, and leadership strategies.
Awinic prioritizes open and transparent communication, establishing a structured feedback mechanism to fostermeaningful dialogue among employees. The company regularly organizes interactive sessions, including "ExecutiveFace-to-Face Meetings" and "Tea Talks," covering both the Shanghai headquarters and regional branches.These discussions span a wide array of topics, including industry trends, product development roadmaps, regionalbusiness strategies, incentive programs, and personalized feedback. They serve as a platform for knowledge-sharing,ensuring that employees are well-informed and engaged.
EMPLOYEE ENGAGEMENT ANDCOMMUNICATION
In the design of the company building, the company deeplyunderstands the real needs of the employees throughquestionnaires and wish labels, and actively adopts andimplements the innovative ideas proposed by theemployees. For example, in the office design stage, theidea of “slide” proposed by the staff was adopted, whichfully reflects the company's respect and support for thecreativity of the staff, and creates a more interesting andstaff-friendly office environment.
Case | Staff Office Environment
100 employee suggestions and concernsReceived and addressed over
100 %Employee response rate
10 Session
Successfully held a thematicexchange meeting over
60 %Employees participating
Awinic remains committed to employee development by establishing a comprehensive talent cultivation system,leveraging diverse training methodologies, and implementing a well-structured promotion mechanism. Theseinitiatives provide employees with broad career development opportunities while driving technological innovationand corporate sustainability.
EMPLOYEE TRAINING ANDDEVELOPMENT
Awinic has always been adhering to the “people-oriented” concept, attaches great importance to the rights andinterests of employees and services, and is committed to providing employees with a full range of support andcare, to create a positive, harmonious and cordial working atmosphere.
EMPLOYEE PROMOTION
The company has established multi-dimensional career development paths for employees, encouraging them to strivefor excellence in various fields. It has set up flexible cross-functional career development channels, breaking down thebarriers between technical and management positions and supporting employees' cross-field development and cross-departmental communication.
5354
People-Oriented
To facilitate career development, Awinic has established a structured training framework encompassing new employeeonboarding, leadership training, and professional skill enhancement:
EMPLOYEE TRAINING
Diversified Training ProgramsOnline Learning Platform
During the reporting period, the online training platform:
14,582.40 hours
New EmployeeOrientation Courses
Targeted at R&D teams,featuring courses such asFundamentals of AwinicProduct Development andserial of A ComprehensiveGuide to Awinic's ProductDevelopment Lifecycle in 60Minutes.
General AbilitiesGeneral education, Generalability courses. These includetraining on hazardous materialshandling, information protection,public opinion management,quality management, patentsearch, and technical workshop.Integrated ProductDevelopment (IPD)
Compulsory CoursesAwinic's Behavioral Code,information security andconfidentiality awareness, andbussiness secret protection .
Occupational Health & Safety
Cadre Empowerment
Systematic Training CoursesCourses on role identification,project management, financialacumen, quality assurance,and HR management.
Business data analytics,
leadership development, and
general management.
Ba Duan Jin training.
It consists of general basictraining, professional trainingfor positions, andmentor_x0002_led teaching,helping new employees tobecome familiar with and adaptto the culture, system,behavioral norms, and positionrequirements as quickly aspossible.
Specialized training programscovering job-related knowledge,technical skills, and professionalethics. Different departmentsalso conduct domain-specifictraining in areas such as qualitymanagement and intellectualproperty protection lessons tostrengthen industry expertise.
Awinic has designed a programwith various managementcapability enhancementcourses for managers at alllevels, aiming to improve theirorganizational developmentand team management skills.
New Employee
Training
Leadership Training
ProfessionalDevelopment Training
Awinic during the reporting period：
Total employee training 20,832 hours Among them, Management channel 18,012 hours
Professional channel 2,820 hours
Total investment in employee training
RMB 2.4 million
Training coverage100%
5556
People-Oriented
Awinic supports socially vulnerable groups through diverse public welfare activities and remains committed to expandinginitiatives related to ecological conservation. Since 2019, the company has organized the "Red Nose" public welfareseries annually, covering themes such as charitable fundraising and environmental protection. Additionally, as arecognized Youth Research and Practice Education Base in Minhang District, Awinic actively promotes STEM educationby organizing semiconductor knowledge-sharing programs to nurture future talents and drive technological innovation.
The company has formulated the “EHS Risk Assessment Procedure”to systematically identify risks, conduct quantitativeassessments, and manage potential hazards, thereby ensuring a safe working environment for employees. A dedicatedrisk assessment team, composed of EHS personnel and department heads, regularly inspects physical, chemical,biological, and behavioral hazards to ensure that all potential risks remain within a manageable range.
EMERGENCY RESPONSE AND ON-SITESAFETY MANAGEMENTTo address emergencies, the company has established a comprehensive and effective emergency response system. Inthe event of an incident, the incident commander and the emergency response team will swiftly activate contingencyplans to ensure timely and effective handling. For high-risk areas (e.g., laboratories and production facilities), the companyhas developed a series of standardized safety operation guidance documents to ensure the safety of all laboratoryoperations. Additionally, the company enforces strict management of personal protective equipment (PPE) to safeguardemployees and maintain operational safety and compliance.
Employee Physical Examination Coverage
100%
Occupational accident insurance input coverage
100%
On-site safety management
?"Loveheart Charity Sale”
Awinic organized a charity sale of cultural and creative products, allowing employees to actively contribute tophilanthropic efforts. This initiative not only reflects the company’s collective compassion and socialengagement but also amplifies the impact of public welfare.?"Old Clothes with Love”In collaboration with the Minhang District MentalHealth Center, this initiative raises awareness andencourages societal support for mental healthpatients and the elderly. By promoting communityengagement and volunteerism, the project fosters aculture of social responsibility and inclusivity, inspiringbroader participation in public welfare initiatives.
?Past charity activities from 2019 to 2023: "Keep the smile of the Yangtze River - protect the Yangtze Riverdolphins", "Alashan's 'One Hundred Million Haloxylon Ammodendron'", "Protect the Ocean, You and I WalkTogether", etc.
Awinic during the reporting period：
EMPLOYEE OCCUPATIONALHEALTH AND SAFETYAwinic is committed to establishing a comprehensive and systematic occupational health and safety (EHS)management system to ensure that all employees work in a safe and well-controlled environment while continuouslyassessing and mitigating potential risks.
Awinic fosters active participation in social initiatives across all levels, from management to employees. Looking ahead,the company will remain committed to its philosophy of "caring for society and promoting public welfare," spreadingwarmth and positive impact while contributing to the advancement of the national integrated circuit industry..
PHILANTHROPY AND RURALREVITALIZATION
PHILANTHROPY AND SOCIAL CARE ROBUST EHS MANAGEMENT SYSTEM
Under the guarantee of strict safety management system and system, no production safety related accidentsoccurred in the Company during the year.
Case 1: "Red Nose" series of public welfare activities
In 2024, Awinic launched “Love Charity Sale” and “Old Clothes with Love” charity initiatives to supportelderly and widowed individuals, earning widespread public recognition.
5758
People-Oriented
Donation Certificate
Awinic actively participated in the BDO Shanghai Charity Foundation’s initiative by donating computerequipment and customized chip-embedded notebooks. This effort helped improve educational conditions inremote areas and promoted the digitalization of rural education. In recognition of its outstandingcontributions to the "BDO Warmth·Rural Computer Classroom" initiative, Awinic, along with its foursubsidiaries, received a donation certificate, underscoring the company’s strong commitment to socialresponsibility.
Donation certificate for the public welfare activity of"BDO Warmth·Rural Computer Classroom”
In 2024, Chairman Sun Hongjun donated RMB 200,000 to the Red Cross Society of Daguan County,designating the funds for the procurement of medical equipment at Daguan County People's Hospital inZhaotong City. The donation specifically supported the acquisition of critical medical devices, including ahigh-frequency electrosurgical unit for endoscopic procedures. This initiative significantly improved thequality and efficiency of local healthcare services, delivering tangible benefits to patients in the region.
The chairman supports education and donates RMB500,000 to Shanghai Wenlai Junior High SchoolEducation Development Foundation
Case 3：President supports education
Case 2: "Minhang District Youth Research and Practice Education Base"
Case 2: Chairman’s Philanthropic Contribution to Enhance Healthcare in Remote Areas
Case 1: "BDO Warmth · Rural Computer Classroom" charity event
Rural revitalization is a key national strategy. Awinic actively supports the government’s initiatives to boost ruralconsumption and aligns with policies promoting the adoption of new energy vehicles and green smart home appliances inrural areas. Leveraging its R&D expertise, the company contributes to rural revitalization through the application of AIoT,smart gas meters, water and electricity meters, and new energy vehicles. Looking ahead, Awinic plans to expand its publicwelfare and philanthropic efforts to further enhance rural living standards and foster the sustainable development of ruralscience and technology.
RURAL REVITALIZATION ANDEDUCATIONAL SUPPORT
The on - site communication between the school and the enterprise
Since earning the title of "Minhang District Youth Research and Practice Education Base" in 2020, Awinichas actively promoted youth STEM education. Through science lectures, semiconductor demonstrations,and DIY chip-making workshops, the company fosters awareness and enthusiasm for chip technologyamong young learners.On December 1, 2024, Awinic hosted a delegation of over ten teachers from Minhang Wenlai Middle Schoolto explore integrating semiconductor knowledge into the curriculum and developing innovative STEMeducation models.
The company attaches great importance to the communication and interaction between employees, establishes aregular mechanism for collecting opinions, and regularly organizes various kinds of exchange meetings such as “face-to-face meeting with experts” and “tea party”, which cover the headquarters in Shanghai and branches all over the world.The activities cover a wide range of topics, including industry trend sharing, product line development planning, localbusiness development strategies, incentive mechanism analysis, personalized problem feedback, etc., providing acommunication platform for employees and promoting information sharing.
5960
People-Oriented
0807
GREEN OPERATIONS
To strengthen the company's climate resilience, align with national carbon reduction goals, and mitigate environmentalimpact, Awinic proactively implements green operations, enhances the environmental sustainability of its R&D andproduction processes, and advances the sustainable development of the chip industry.CLIMATE CHANGE MITIGATIONClimate change is a global trend that cannot be ignored. In order to enhance the company 's climate resilience andadaptability and reduce carbon emissions across the entire value chain, Awinic has demonstrated its commitment andresponsibility in addressing climate change through emission reductions in logistics and transportation , as well as theapplication of its products in the new energy vehicle sector.
Optimization in transportation and logistics, reducing carbon emissionsIn the transportation and logistics processes, Awinic has reduced carbon emissions byoptimizing routes and minimizing transportation frequency, thereby mitigating potentialrisks associated with climate change.
Coordinating with suppliers and adjusting the delivery frequency：not only
improves transportation efficiency but also reduces greenhouse gas emissions inthe transportation process.Logistics providers use GPS to optimize logistics route：further improving
transportation efficiency, reducing fuel consumption and carbon emissions, andreducing impact on the environment.
Gradually adopting new energy electric trucks：actively promote green
transportation methods, reduce carbon emissions from the source, furtherpromote the use of renewable energy, reduce the overall carbon footprint, andpromote global climate change response.
Awinic incorporates green principles into product design and applies them to the new energy vehicle market. Whileimproving the overall energy efficiency of vehicles, it promotes low-carbon transformation in the transportation sector：
For example, the use of low quiescent current LDO can reduce the energy consumption of the vehicle's power system
and extend the service life of core components; tactile feedback and dynamic light control technology are integrated intothe vehicle system to reduce the use of traditional mechanical components and lighting energy consumption.
Awinic developed its own low static power consumption product LDO
The product has a stable output voltage and a certain noise resistance. It has been widely used in vehicle-mountedMCUs of many brands of vehicles, providing high-quality power supply, effectively filtering high-frequency noise andripple from switching power supply, extending the service life of the vehicle-mounted MCU, and improving driving safety.
Application of LDO in new energy vehicles
6162
GREEN OPERATIONSENERGY CONSERVATION & CLEAN
TECHNOLOGY OPPORTUNITIES
Awinic continues to advance green design and develop innovative technologies in alignment with its commitmentto sustainable development and climate change mitigation. Currently, the company has taken the lead in installingphotovoltaic panels at its Integrated Circuit Technology Laboratory Center, while the Automotive-Grade TestCenter under construction is also dedicated to driving the green transition in energy utilization.
Case | Energy-saving Design of Test Center
As a key initiative in Awinic’s future development strategy, the Automotive-Grade Test Center, scheduledfor official operation in 2026, will further enhance the company’s energy efficiency performance. Thecenter will integrate a large number of industrial robots and adopt a "dark factory" model, significantlyreducing artificial lighting needs and overall energy consumption. The building will be designed with anultra-low energy consumption structure, utilizing environmentally friendly materials to minimizeenvironmental impact, while the installation of photovoltaic panels will drive the transition toward cleanenergy utilization. This project will establish a strong foundation for improving production efficiency,reducing the company’s carbon footprint, and advancing green manufacturing, marking anothermilestone in Awinic’s journey toward sustainable development.In 2024，The current photovoltaic panel power generation capacity of the experimental center has reached46,377 kW/h
Saving electricity about 16,400 yuan
Office area reminder slogans
Awinic actively promotes green office practices, which not only help reduce corporate operating costs andenhance resource utilization efficiency but also minimize environmental impact and strengthen corporatereputation.The company has implemented a comprehensive range of energy-saving and eco-friendly initiatives, includingenergy efficiency measures, green space development, waste classification, advocacy for water and electricityconservation, as well as paper-saving and recycling programs. These efforts effectively instill environmentalawareness among employees in daily operations, enhance the sustainability of the office environment, and drivelong-term sustainable development.
GreenOperations
6364
WASTE AND HAZARDOUS SUBSTANCE MANAGEMENTAwinic has demonstrated a high level of compliance and management expertise in waste and hazardous materialsmanagement.
HAZARDOUS WASTE MANAGEMENT
Traking
The Quality Department hasestablished a hazardous materialsmanagement ledger in order tosystematically track and managerelevant data, ensuring full-processcontrol over hazardous waste fromprocurement and usage to disposaland scrapping.
Random inspectionThe company conducts annualrandom inspections of supplierslisted in its internal qualified vendordatabase, comparing them againstthe compliant supplier list publishedofficially by the EnvironmentalProtection Bureau. And as of thereporting period, no non-compliantsuppliers have been identified.
Audit
Principle
Awinichasformulatedthe"AwinicHazardousWasteList"basedontheNationalHazardousWasteList,alongsideadetailedHazardousWasteManagementProcedure,whichclearlydefineswastecategoriesandcorrespondingdisposalmethods.
sThe Internal Audit Departmentperiodically conducts specializedaudits on hazardous wastemanagement process to assesscompliance with hazardous chemicalregulations and continuously enhanceits effectiveness.
Case | Compliant Waste Treatment SuppliersThe company selects compliant waste treatment suppliers from the"List of Hazardous Waste BusinessLicenses"and the "List of Qualified Enterprises for the Treatment of Waste Electrical and Electronic Products”,which are published annually by the Ecological Environment Bureau.Case | Hazardous waste storage labeling
HAZARDOUS SUBSTANCES MANAGEMENTAwinic adheres to international regulations such as RoHS and REACH, ensuring full-process managementthat encompasses the supply chain, product design, and production stages.The company conducts annual training sessions for employees and suppliers to enhance awareness andexecution capabilities in hazardous substances management.
Case | Environmental Declaration
Case | Regular "Three Wastes" Testing
During the reporting period, the company engaged a professional testing agency to conduct environmentalmonitoring of wastewater, industrial waste gas, and factory boundary noise near the experimental center.All test results met regulatory standards.During the reporting period, Awinic Testing Center did not receive any environmental complaints fromcustomers or regulatory authorities, demonstrating its strong environmental management capabilities.
GreenOperations
6566
APPENDIX I. KEY PERFORMANCE
6768
TopicsIndicatorUnit2024
Economics
Annual Operating Revenue 2932.9MillionRMB3Net Profit Attributable to Shareholders 254.8MillionRMB8Dividends Paid to Shareholders (Including Tax) 11.5MillionRMB8Basic Earnings Per Share (EPS)Yuan per Share1.10Cumulative Number of Product ModelsUnits1400+Cumulative Shipment VolumePieces6 billion+
Governance
Number of Board MembersPerson5Number of Male DirectorsPerson2Number of Female DirectorsPerson3Number of Board Meetings ConvenedTimes8Number of supervisory board meetingsTimes7Number of General Meetings of ShareholdersTimes4Proportion of Employees Signing the Integrityand Professional Conduct Commitment
%100Proportion of Suppliers Signing the IntegrityAgreement
%100Coverage Rate of Employees ReceivingProfessional Ethics and Anti-CorruptionTraining
%100Coverage Rate of Suppliers and ContractorsReceiving Communication of ProfessionalEthics and Anti-Corruption Policies
%100Evaluation Results of Information DisclosureWork by Shanghai Stock Exchange
LevelANumber of Disclosure AnnouncementsPieces136Number of Reports Disclosed by the CompanyDuring the Reporting Period
Pieces4Number of Earnings Briefings Held for Smalland Medium Investors
Events4Number of Investors/Companies Participatingin Investor Exchange Meetings
Person/Institutions
110+Number of Investor Relations Activity RecordsPublished
Pieces19
TopicsIndicatorUnit2024
Social
Total Number of EmployeesPerson869Contract Signing Rate%100Overall Male-to-Female Ratio\2.1：1Number of Employees with DisabilitiesPerson8Proportion of R&D Personnel%64R&D Investment 50MillionRMB9Average Training Hours per EmployeeHours24Training Coverage Rate%100Social Insurance Coverage Rate%100Employee Health Check-up CoverageRate
%100Investment in Occupational AccidentInsurance
Thousand RMB14Coverage Rate of Occupational AccidentInsurance
%100Cumulative Number of PatentsPieces649Number of New Patents Granted in theYear
Pieces117
Environmental
Total Energy Consumption
Kilowatt-hours(kWh)
9,540,000Total Energy Savings (CumulativeElectricity Savings)
Kilowatt-hours
46,37(kWh)
Tons of Coal
5.7
Equivalent(TCE)
Energy Cost Savings (CumulativeElectricity Bill Savings)
Thousand RMB16.4Total Water ConsumptionTons (t)33,362 Office Operations Water ConsumptionTons (t)17,000 Testing Center Water ConsumptionTons (t)16,362Electronic Waste Scrap WeightTons (t)1.954Chemical Waste Scrap WeightTons (t)0.99Total Patents Related to CleanTechnology
Pieces39Patents for Reducing EnergyConsumption (Related to RenewableEnergy and Energy Efficiency)
Pieces34Effective Patents for Extending ProductLifespan
Pieces5
Appendix
APPENDIX II. GRI CONTENT INDEX
6970
Appendix
Note: This table reports the information cited in this GRI content index by Awinic from January 1, 2024to December 31, 2024 with reference to GRI standards.Using GRI 1: Basic 2021
GRI StandardDisclosure Issues
GRI2：
GeneralDisclosure
Index
s
2-1Organizational detailsAbout Awinic2-2
Entities included in theorganization’s sustainabilityreporting
About Awinic2-3
Reporting period, frequency andcontact point
About Awinic2-6
Activities, value chain and otherbusiness relationships
Quality as the Foundation, FullySafeguarding Customer Interests2-7Employees
People-Oriented: Enhancing
Humanistic Care and Protection2-9
Governance structure andcomposition
Corporate Governance2-12
Role of the highest governancebody in overseeing themanagement of impacts
Corporate Governance2-14
Role of the highest governancebody in sustainability reporting
ESG Management2-15Conflicts of interestESG Management2-19Remuneration policies
Employee Compensation and
Incentives2-20
Process to determineremuneration
Employee Compensation and
Incentives2-22
Statement on sustainabledevelopment strategy
ESG Management2-25
Processes to remediate negativeimpacts
Risk Management2-26
Mechanisms for seeking adviceand raising concerns
Employee Rights and Services2-29
Approach to stakeholderengagement
ESG Management
GRI StandardDisclosure Issues
GRI3：
Material Topics
Index
??
3-1
Process to determine materialtopics
ESG Management3-2List of material topicsESG Management3-3Management of material topicsESG Management
GRI 201:
EconomicPerformance?
201-1
Direct economic value generatedand distributed
Key Performance
201-2
Financial implications and otherrisks and opportunities due toclimate change
About Awinic
GRI 203:
Indirect Economic
Impacts
203-1
Infrastructure investments andservices supported
Philanthropy and Rural Revitalization
GRI 205：
Anti-corruption
205-2
Communication and training aboutanti-corruption policies andprocedures
Business Ethics and Anti-CorruptionGRI 207：Tax207-2
Tax governance, control, and riskmanagement
Risk Management
GRI 301:
Materials?
?
301-1Materials used by weight or volumeKey Performance
301-2Recycled input materials usedGreen Procurement301-3
Reclaimed products and theirpackaging materials
Green Procurement
APPENDIX II. GRI CONTENT INDEX
7172
Appendix
GRI StandardDisclosure Issues
GRI 302:
Energ
Index
y
302-3Energy intensityKey Performance302-4Reduction of energy consumption
Energy Conservation, Environmental
Protection, and Clean Technology
OpportunitiesGRI 303:
Water andEffluents
303-2
Management of water discharge-related impacts
Waste and Hazardous Substance
Management303-5Water consumptionKey PerformanceGRI 306:
Waste
306-2
Management of significant waste-related impacts
Waste and Hazardous Substance
ManagementGRI 308:
SupplierEnvironmental
Assessment
308-1
New suppliers that were screenedusing environmental criteria
Comprehensive Product QualityManagement/Sustainable Supply
Chain
GRI 401:
Employment
401-1
New employee hires and employeeturnover
Employee Compensation and
Incentives
401-2
Benefits provided to full-timeemployees that are not provided totemporary or part-time employees
Employee Rights and Services
401-3Parental leaveEmployee Rights and Services
GRI 403:
OccupationalHealth and Safety
403-1
Occupational health and safetymanagement system
Occupational Health and Safety403-2
Hazard identification, riskassessment, and incidentinvestigation
Occupational Health and Safety403-3Occupational health servicesOccupational Health and Safety
GRI StandardDisclosure Issues
GRI 403:
OccupationalHealth and Safet
Index
y
403-4
Worker participation, consultation,
and communication onoccupational health and safety
Occupational Health and Safety
403-5
Worker training on occupational
health and safety
Occupational Health and Safety403-6Promotion of worker healthOccupational Health and Safety
403-7
Prevention and mitigation ofoccupational health and safetyimpacts directly linked by business
relationships
Occupational Health and Safety
403-8
Workers covered by anoccupational health and safety
management system
Occupational Health and Safety403-9Work-related injuriesOccupational Health and Safety403-10Work-related ill healthOccupational Health and SafetyGRI 404:
Training and
Education
404-1
Average hours of training per year
per employee
Employee Training and Development404-2
Programs for upgrading employee
skills and transition assistance
programs
Employee Training and DevelopmentGRI 405:
Diversity andEqual Opportunity
405-1
Diversity of governance bodies and
employees
Diversity and InclusionGRI 414:
Supplier Social
Assessment
414-1
New suppliers that were screened
using social criteria
Comprehensive Product QualityManagement/Sustainable Supply
ChainGRI 417:
Marketing and
Labeling
417-1
Requirements for product andservice information and labeling
Intellectual Property Protection
APPENDIX III. STANDARDS GLOSSARY INDEX
7374
Abbreviation
Definition
Awinic, the Company, We
Awinic Technology Co., Ltd.?
IC
Integrated Circuit
AIoT
Artificial Intelligence of Things
AF
Auto Focus
OIS
Optical Image Stabilization
SAR
Specific Absorption Rate
COSO
Committee of Sponsoring Organizations of the Treadway Commission
ATC
Automatic Temperature Control
IEEE
Institute of Electrical and Electronics Engineers
Demo
Demonstration
ERP
Enterprise Resource Planning
SOP
Standard Operating Procedure
VOC
Volatile Organic Compounds
REACH
Registration, Evaluation, Authorisation and Restriction of Chemicals，
RoHS
Restriction of Hazardous Substances
CP
Chip Probing
Abbreviation
Definition
ISO 9001
Quality management systems
ANSI/ESD 20.20
Protection of Electrical and Electronic Parts
GBIT 29490
Enterprise intellectual property compliance management system
ISO/IEC 17025
International standard for testing and calibration laboratories
IATF 16949
International Automotive Task Force 16949
CMMI
Capability Maturity Model Integration
ISO 26262
Functional Safety
ASIL
Automotive Safety Integration Level
ISO 56005
Innovation and Intellectual Property Management
IPD
Integrated Product Development
FANOUT
Fan-Out Wafer-Level Package
EDR
Endpoint Detection and Response
SOC report
System and Organization Controls Report
PBC
Personal Business Commitment
EHS
Environment, Health & Safety
PPE
Personal Protective Equipment
Appendix
APPENDIX IV. REPORT FEEDBACK
7576
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