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海目星:2024年环境、社会及公司治理报告(英文版) 下载公告
公告日期:2025-04-30
010203040506

Contents

About This ReportMessage from theChairmanAbout Hymson

Index of IndicatorsReader Feedback

Integrity ·Foundation ofGovernance

Innovation ·Leading throughIntelligence

Collaboration·Win-WinProduction

Sustainability ·Protecting OurPlanet

Responsibility ·Growing with OurPeople

Commitment ·Giving Back toSocietyCorporate GovernanceInvestor RelationsManagementInternal ControlBusiness EthicsInformation SecurityParty Building Leadership

Environmental Protectionand Climate ActionEnergy Management andResource ConservationWastewater, Waste Gas, andSolid Waste Managementand Chemical SafetyBiodiversity Conservation

Innovation-DrivenDevelopmentIntellectual PropertyProtectionProduct Quality

Employment andCompensationEmployee Developmentand TrainingEmployee Health andSafetyEmployee Care andActivities

Customer Rights andInterestsResponsible SourcingIndustrial Synergy

Contributing to RuralRevitalizationPracticing Public Welfareand Philanthropy

About This ReportThis report provides a comprehensive disclosure of Hymson's practices and performance in economic,environmental, social, and corporate governance areas in 2024, with the objective of facilitating effectivecommunication with stakeholders and systematically responding to their expectations and requirements.

This report covers the period from January 1, 2024 to December 31, 2024, and constitutes the annual reporting cycle.Reporting Cycle

This report discloses information on Hymson's ful?llment of responsibilities in economic, social, environmental, andcorporate governance aspects, with typical cases sourced from its a?liated companies.Reporting Scope

This report covers the period from January 1, 2024 to December 31, 2024. To enhance the comparability andforward-looking nature of the report, certain content may be extended to prior or subsequent periods wheredeemed appropriate.

Reporting Period

The data used in this report comes from our o?cial documents, statistical reports, and public information.

Data Sources

For ease of expression and reading, "Hymson Laser Technology Group Co., Ltd." is sometimes referred to as"Hymson", "the Company", or "we" in this report.Abbreviations

This report is available in electronic format. You maylog into our website (www.hymson.com) or the websiteof the Shanghai Stock Exchange (www.sse.com.cn) todownload the electronic version. You may also contact usby sending an email to ir@hymson.com or calling us at0755-23325470 to obtain a copy.

Report Accessibility

We guarantee that the content of this report is true, accurate, and complete, with no false record, misleadingstatements, or material omission.

Reliability Assurance

Guidelines No. 14 of the Shanghai Stock Exchange for Self-Regulation of Listed Companies—SustainabilityReport (Trial)GRI Sustainability Reporting Standards(GRI Standards) issued by the Global Sustainability Standards Board(GSSB)Guidelines on Sustainability Reporting for Chinese Enterprises(CASS-ESG 6.0) issued by the Chinese Academy ofSocial Sciences (CASS)Sustainable Development Goals (SDGs) of the United Nations in 2030ISO 26000: Guidance on Social Responsibility (2010)issued by the International Organization for Standardization(ISO)The Ten Principles of the UN Global Compact (UNGC)

Basis of Preparation

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices02IntegrityFoundation of GovernanceOverview01

InnovationLeading through Intelligence

CollaborationWin-Win Production

Message from the Chairman

2024 marks a pivotal year for Hymson as we accelerate our global footprint, continuously enhance ourindependent R&D capabilities, and drive innovation across diversi?ed business segments.Over the past year, we deepened our focus on core businesses, strengthened market expansion, and venturedinto emerging sectors. By continuously iterating our core business solutions for lithium batteries, photovoltaics,and 3C products, we solidi?ed our position in traditional competitive industries. At the same time, we proactivelyadvanced our globalization strategy and established a second growth curve overseas, with a record-high scaleof overseas orders. In addition, we successfully developed the world's first high-power tunable mid-infraredfemtosecond laser, opening up a new avenue for medical lasers and empowering innovative development in thehealthcare industry with technology.In this era full of challenges and opportunities, we remain committed to our mission of 'reshaping the globalequipment landscape and advancing intelligent manufacturing for humanity". With a focus on the integratedinnovation of "laser + automation" technologies, we have built resilient core competitiveness that weatherseconomic cycles by continuously enhancing organizational e?ectiveness, strengthening technological barriers,and optimizing our global operations system.

Hymson Laser Technology Group Co., Ltd.Chairman

Environmental ResponsibilityWe place a great emphasis on green and sustainable development. We have built a comprehensive environmentalmanagement system and lean resource mechanisms to promote lean energy management and full-process controlover wastewater, waste gas, and solid waste. Moreover, we have continuously optimized processes in key emissionsteps, adopted energy-saving equipment, and applied low-carbon technologies. We have also conducted carboninventories and evaluated decarbonization pathways to actively support China's carbon peaking and carbonneutrality goals. On the product side, we have accelerated the industrialization of eco-friendly laser technologiessuch as laser doping and laser removal to help our customers in the photovoltaic and battery industries achievegreener transitions. Meanwhile, we have promoted green office practices and improved resource efficiency bycontinuously optimizing the ways we use energy, striving to build a resource-e?cient and environmentally friendlysustainability system.

Social ResponsibilityWe ?rmly believe that "quality and reliability are fundamental to our survival". To this end, we have continued todrive innovation in both products and technologies by focusing on breakthroughs in key processes such as laserablation and automated assembly, helping our customers reduce costs and increase e?ciency. We have also beencommitted to the growth and development of our people. With over 30% of our workforce in R&D roles, we haveestablished a multi-tiered training system to strengthen our technical talent pipeline. At the same time, we havecontinued to improve employee compensation and bene?ts and organized various activities such as holiday careand health check-ups, constantly enhancing employees’ sense of ful?llment and belonging. At the societal level,we have actively engaged in philanthropic contributions and rural revitalization efforts, fulfilling our corporateresponsibilities through concrete actions.

Governance ResponsibilityWe have continued to refine our modern corporate governance system by establishing a well-structuredframework—led by the Board of Directors and encompassing the Shareholders' Meeting, the Board of Supervisors,and the management team—while standardizing governance policies and strengthening our ESG managementsystem. In 2024, we revised and released several key policies to reinforce risk identification and compliantoperations. On information disclosure, we have leveraged digital systems such as the Business Intelligence System(BI) and Financial Shared Service Center (FSSC) to improve the transparency of our operations and investorcommunication e?ciency. We have also hosted multiple investor brie?ngs to protect their rights to information andparticipation. Moreover, we have introduced a company-wide integrity commitment mechanism and established asupervisory system that balances whistleblowing and protection, thereby fostering sound business ethics, a levelplaying ?eld, and a clean, well-regulated, and e?cient governance ecosystem.

Zhao Shengyu

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

About HymsonCompany Overview

Company Pro?le

Corporate Culture

Founded in 2008 and headquartered in Shenzhen, Hymson specializes in the research, development, design,production, and sales of high-end, non-standard intelligent equipment and is committed to becoming a globalleader in laser and automation technology innovation. Since its establishment, Hymson has consistently focusedon the cutting-edge needs of laser technology and automation applications. Over the past 16 years, we havesuccessively developed laser and automation equipment for various sectors, including consumer electronics, powerand energy storage batteries, photovoltaic cells, sheet metal processing, and medical applications, while providingintegrated intelligent manufacturing equipment solutions to leading customers and research institutions in these?elds.Core Competitiveness

Mission

Vision

Values

Philosophy

Spirit

To reshape the global equipment landscape and advanceintelligent manufacturing for humanityTo become a world-leading brandin industrial laser and intelligentautomation manufacturing

Better: Customer orientation,commitment to excellenceHigher: Solidarity andmutual trust, courage to takeresponsibilitiesStauncher: Never say no andmission-driven

Provide tailor-made services for win-win partnershipsThe ultimate goal is to solve problemsQuality and reliability arefundamental to our survivalWilling to take on challenges andlearn from honest mistakesApply an inclusive and ability-basedtalent policy Uphold integrity and gratefulnessPerseverance and commitment

Cutting-edge integrated technologyWe have significant technological advantages in optics, machinery, electronics, andsoftware, which are covered by laser, automation, and intelligent manufacturing solutions.Our laser research and development capabilities are among the best in the domesticmarket. Years of R&D efforts have solidified our intelligent laser equipment's superiorperformance and stability. Our deep integration of laser and automation technologiesenable to tap into multiple emerging markets. Throughout our years of research anddevelopment, we have secured a multitude of core technologies in laser optics andautomation.

Foresighted strategic management

We seize market opportunities by managing our strategies. With our core technologiesand quali?ed talent team, we have become a reliable supplier to leading companies in theindustry. We maintain close communication with industry leaders to stay abreast of globalR&D trends and the latest market dynamics. This allows us to seize opportunities, formulatetargeted market strategies, integrate resources, make early moves, and secure a first-mover advantage. Additionally, we have established an advanced strategic managementand internal control system. We actively foster an environment that brings together skilledindividuals who share our values and contribute to an inclusive culture. Moreover, we haveimplemented a matrix operational structure combining business divisions and projectswith research, development, and quality control as the center. To enhance our ability toimplement effective strategies, we have established systems for scientific development,standardization, quality control, and ?nancial management.

Tailored and personalized services

Leveraging our core technological advantages to accurately grasp market demands, weprovide one-stop solutions including core laser components, intelligent laser-basedautomation equipment, and complete intelligent and automatic production lines. Wealso offer customized services tailored to meet our client's unique needs and respondswiftly to their requests during research and development, production, and sales stages.We have established a three-tier professional service system and an e?cient collaborativemechanism to provide on-site support, troubleshooting, technical training, and qualitytesting and assessment services. We maintain regular communication with our clients tobeef up our competitive advantages through comprehensive services.

We highly value talent and recruit specialized professionals for specific purposes basedon market development dynamics. Our team consists of talented individuals from aroundthe world, including senior executives with years of experience in developing laser andmechanical automation equipment. We collaborate with universities and scientificresearch institutions to jointly cultivate professional talent as a key strategy to drive ourbusiness development.

Professional research and development team

We can o?er a diverse range of products and solutions for various industries and clients.With strong capabilities in research, development, and technological innovation, we haveestablished solid partnerships with leading and well-known enterprises in consumerelectronics, new energy, and other sectors.

A large pool of clients

Company

Culture

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Services and SolutionsBuilding on our expertise in laser light sources, optical paths, mechanical design, and laser control technologies, wecontinuously expand our reach across industries and strive to apply laser technology to new sectors. Our productsare categorized into ?ve main segments based on their applications and are widely used across industries such aslithium batteries, consumer electronics, photovoltaics, new display technologies, and sheet metal. We offer ourclients e?cient and reliable solutions for "laser + intelligent manufacturing".

Powerbatteriesindustry

Coating, calendering, and slitting solutionHigh-speed laser cutting solutionHigh-speed laser Surface treatment solutionHigh-speed winding solutionHigh-speed stacking solutionPrismatic cell assembly solutionHigh-speed turret solution for large cylindricalbatteriesFully automated vacuum drying solutionModule/PACK assembly solution

We continuously upgrade and maintainour full portfolio of lithium batteries,covering the core production processes ofelectrodes, battery cells, and module packs.During the reporting period, we developeda range of innovative products, includingthe 1,600 double-deck & multi-lane high-speed coating machine, prismatic cell andcylindrical notching & winding integratedmachines with high e?ciency and precision,as well as the cross-cutting & stackingintegrated machine at 0.167 s/pcs. Theseproducts have positioned us as a leadingplayer in the industry’s development.

Consumerelectronicindustry

Fully automated PCB laser marking machineFully automated PCB laser cutting machineDual-station glass cutting & forming machineLaser welding machine for battery modulesIntegrated laser cutting & welding machine formaterial stripsAutomatic test equipment (ATE)Battery PACK airtightness test equipmentBattery module PACK end-of-line comprehensivetest equipmentFully automated assembly line for steel shell batterycells and PACKSMA OIS automatic assembly line of motorSquare aluminum case battery module PACK lineFully automated assembly line for top covers ofprismatic batteryAutomatic assembly line for transformersBattery micrometer

We continuously re?ne our laser welding,cutting, and surface treatment technologies.Our product range includes the fullyautomated PCB laser marking machine, thefully automated PCB laser cutting machine,the dual-station glass cutting & formingmachine, the integrated laser cutting &welding machine for material strips, thefully automated assembly line for steelshell battery cells and PACK, the squarealuminum case battery module PACK line,and the fully automated assembly linefor prismatic battery top covers. Our goalis to assist our clients in reducing costsand increasing e?ciency through theseadvanced solutions.

Business SectorPrimary ProductsDevelopment Situations

Photovoltaics

industry

Fully automated TOPCon primary doping machineof laserLarge spot laser scribing machineFully automated laser welding machine

Our solutions encompass all key processesin the production of photovoltaic cells andcomponents. From pioneering TOPConprimary boron doping technology of laser tobeing the ?rst to mass-produce equipmentwith laser-welded photovoltaic modules andlaunching laser sintering related equipment,Hymson has increased the photovoltaicconversion e?ciency of cells by more than

0.3%. We are actively seeking cooperation

opportunities and working with industrialpartners to expand the global market forgreen energy.

New displaytechnologiesindustry

Micro LED mass transfer machineMicro LED mass soldering equipmentMini LED mass soldering equipmentMicro LED fully automated removal equipmentMini LED fully automated laser removal equipmentComposite ?lm laser cutting equipmentFragile material cutting equipment

We are continuously overcoming keychallenges in chips, display modules, anddisplay integration. At present, the chip sizeof Hymson's Micro LED/Mini LED laser masstransfer machine is reduced from 50 μm to15 μm and is expected to go below 10 μm.Furthermore, we can provide a solutionfor mass bonding and rework of Mini LEDdisplay modules with a yield rate of 99.999%.Moving forward, we will continue to makekey technological breakthroughs, driving themass production and commercialization ofMini/Micro LED chips.

Sheet metal

industry

HF-G high-speed laser cutting machineHF-B ultra-high-power laser cutting machineHF-C medium-low-power laser cutting machineHF-A single-station laser cutting machineTP triple/quad heavy-duty laser pipe cuttingmachineG-series high-speed laser pipe cutting machineS-series standard laser pipe cutting machineMP fully automatic laser pipe cutting machineHP H-beam laser cutting machineAutomation systems and production lines

Our meticulously developed high-speedlaser cutting machine, featuring high/low-pass ?ltering, high acceleration, and long-term stable high-dynamic cutting, ensuressigni?cant improvements in users' overallproduction e?ciency and bene?ts. Afterseveral years of internal R&D and reliabilityvalidation, this series, thanks to its multipleadvantages, quickly gained the favor ofnumerous industry clients upon its marketlaunch, with sales increasing by over 200%year-on-year. Despite the downturn in thelaser cutting industry, we de?ed the trend,taking the lead in achieving breakthroughsin product quality and e?ciency. Throughsuccessful partnerships with both upstreamand downstream players, we have set abenchmark for developing new qualityproductive forces.

Business SectorPrimary ProductsDevelopment Situations

IntegrityFoundation of Governance

Overview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Our Milestones

Hymson was established.The ?rst portable laser marking machinewas launched.

2008

Hymson was listed on the Sci-Tech InnovationBoard of the Shanghai Stock Exchange.Equipment for large cylindrical batteries wasmass-manufactured.

2020

Hymson became the ?rst in China to mass-produce laser tab cutting equipment andsuccessfully veri?ed it through a leadingcustomer in the lithium battery industry.Hymson's ?rst batch of automatedproduction line of power transformerassembly and testing received a bulk orderfrom a major customer in the 3C industry.

2015

Hymson launched the majortechnological breakthroughprogram of Shenzhen.Hymson developed the sub-nanosecond laser and the i-seriescustomized picosecond integratedmachine.Newly designed 30 ppm powerbattery assembly lines wereproduced and delivered.Hymson accelerated itsglobalization process byestablishing new subsidiaries inthe Netherlands, South Korea,Singapore, and Hong Kong, China.

2023

Hymson fully entered the automation ?eld.

2011

Hymson expanded its business into thephotovoltaic and new display industries.High-power ultraviolet and green light picosecond/nanosecond lasers were developed.The fully automated assembly line for batterypacks was delivered to a major customer in the 3Cindustry in batches.Hymson was rated as the Guangdong ProvincialIndustrial Design Center and the MunicipalPostdoctoral Innovation Practice Base.

2021

Hymson Jiangmen and Hymson Jiangsuwere established.Laser tab cutting machines weredelivered in batches with a cutting speedexceeding 30 m/min.

2017

The ?rst phase of the Chengdu basewas successfully topped out.The preliminary layout in Europetook shape, with subsidiariesestablished in Germany andSwitzerland.

2024

Hymson assembled a team of researchersto develop the ?rst 5W air-cooledultraviolet nanosecond laser.Hymson was awarded the second prize inthe China Innovation and EntrepreneurshipCompetition (?rst place in Shenzhen).

2012

Low-power femtosecond lasers were developed.The contract for the Chengdu base project was signed.Hymson pioneered the TOPCon primary laser borondoping process in the photovoltaic industry.Micro LED 50 μm chip mass transfer machines weredelivered.The cutting speed of laser tab cutting machinesexceeded 120 m/min.The 3C battery laser ablation equipment receivedorders from a leading South Korean customer in thebattery industry.Hymson was honored as a leader in hardcoretechnologies on the 2022 Sci-Tech Innovation Board.Hymson won the Excellent Chinese Patent Award.Hymson published two group standards.

2022

Infrared picosecond lasers weredeveloped and produced.

2018

Hymson was recognized as a nationalhigh-tech enterprise.Green laser products were sold on amassive scale.

2013

Hymson Italy and Hymson USA wereestablished.Ultraviolet and green light picosecondlasers were developed and produced.Our self-developed ultravioletpicosecond lasers were delivered to amajor customer in the 3C industry inbatches.The Jiangmen and Jiangsu bases wereo?cially launched into production.

2019

Hymson officially became a qualifiedsupplier for Client A.Hymson's PCB laser marking equipmentwas delivered to a major customer in the3C industry in batches.

2014

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices10IntegrityFoundation of GovernanceOverview09

InnovationLeading through Intelligence

CollaborationWin-Win Production

Highlights of 2024

The ?rst 60 ppm linear cylindricalbattery assembly line was deliveredand successfully put into massproduction.

The ?rst phase of the Chengdu base wassuccessfully topped out.

anuary

A high-speed, online CT inspectionsystem was launched.arch

With our ?agship product, the laser die-cuttingmachine, Hymson was listed among the eighthbatch of national single-product championenterprises in the manufacturing industry.

priluly

ay

Our laser scribing machines were delivered to aleading customer in the consumer electronicsbattery industry in batches.

Our scienti?c and technological achievement inmedical laser was recognized as "internationallyadvanced" by an authoritative expert panel.

Our Medical Laser Global Launch Event wassuccessfully held.

Hymson signed strategic cooperationagreements with Fuzhou University, FujianScience & Technology Innovation Laboratoryfor Optoelectronic Information of China, andJiaxin Chuanghui.

The ?rst Micro LED pilot line, coveringmass transfer, mass welding, and repairequipment, was successfully delivered.

Hymson signed a strategic cooperationagreement with INX.

The Shenhai Building (HeadquartersBuilding) project o?cially commenced.

ugust

Hymson successfully won the bidfor a project from a leading overseasautomotive manufacturer, supplyinglaser and automation equipment forpower batteries.

Hymson signed an RMB 400 millionsolid-state battery equipmentprocurement agreement with INX.

Hymson successfully issued A-shares tospeci?c investors.

JAJA

M

M

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Awards and Honors

Issuing DateTitle of HonorIssuing OrganizationJanuary 2024Excellent Project AwardFuding Contemporary Amperex Technology LimitedJanuary 2024Gold SupplierRuipu Saike Power Battery Co., Ltd.March 2024Glorious Laser AwardOrganizing Committee of Glorious Laser AwardMarch 2024

2024 Glorious Laser Award – SilverAward

Laser Processing Committee of Chinese OpticalSociety (COS)March 2024

Single-Product ChampionEnterprise in the ManufacturingIndustry in Guangdong Province

Department of Industry and InformationTechnology of Guangdong ProvinceApril 2024

National Single-Product ChampionEnterprise in the ManufacturingIndustry

Ministry of Industry and Information TechnologyApril 2024

Top 100 Industrial Enterprises ofLonghua District in 2022

Longhua District, ShenzhenApril 2024Top 100 Industrial Enterprises

The People's Government of Longhua District,

ShenzhenJune 2024

Innovation Award in LaserIndustrial Equipment (Secret LightAwards/SLA)

Organizing Committee of Laser Industry Innovation

Awards (Secret Light Awards/SLA)

Guangdong Laser Industry Association

Shenzhen Intelligent Manufacturing Laser

Technology Research Institute

Guangdong XZQ Laser Technology Co., Ltd.July 2024

Shenzhen Municipal EmploymentSupport Base

Human Resources and Social Security Bureau of

Shenzhen MunicipalitySeptember 2024

Top 500 Enterprises in GuangdongProvince

Guangdong Provincial Federation of EnterprisesSeptember 2024Top 500 Enterprises in Shenzhen

Shenzhen Enterprise Confederation and Shenzhen

Entrepreneur AssociationNovember 2024

Helios Award – 2024 ExcellentEquipment Enterprise

Organizing Committee of the China International

PV and Energy Storage Industry ConferenceNovember 2024

2024 Pioneer in Solid-State BatteryEquipment Innovation

Gaogong ConsultingDecember 2024Advanced Equipment EnterpriseGuangdong Battery Industry AssociationDecember 2024AAAAA Credit EnterpriseGuangdong Battery Industry AssociationDecember 2024

Advanced ManufacturingInnovation Achievement Award+ Application of Optical PathShaping Technology in SMT LaserEquipment

SMT Committee of the Guangdong Institute of

Electronics

Hymson achieved a technologicalbreakthrough in laser ablation inmotion.

Hymson ranked among the Top500 Enterprises in both GuangdongProvince and Shenzhen in 2024.

Hymson secured new module PACKorders from a leading North Americancustomer in the energy storage sector.

eptember

The high-speed laser cutting machinewas rolled out.ctober

Hymson signed a strategic cooperationagreement with Bochu Electronic.

The fully automated PCB laser markingmachine passed the ?rst batch of electronicmanufacturing informatization productveri?cation by the China Academy of Informationand Communications Technology (CAICT).

The 120 ppm high-speed turret assembly linewas delivered and successfully put into massproduction.The laser processing equipment wassuccessfully delivered to a leading SouthKorean customer in batches.ecember

The cumulative delivery of SMT laser markingequipment exceeded 1,500 units.

SovemberN

O

D

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

Commitment

Giving Back to Society

Appendices

ESG Governance

ESG Principles and Management FrameworkWe have established an ESG management framework that encompasses governance, management, and execution.The Board of Directors is responsible for developing ESG strategic goals as well as reviewing and making decisionson signi?cant ESG-related matters. The Chairman serves as the chair of the ESG Committee, composed of headsfrom key business units and departments integral to ESG e?orts. The ESG Committee is responsible for researching,analyzing, and evaluating the implementation of ESG initiatives, and proposing recommendations for ESGdevelopment.The Committee regularly updates the Board of Directors on our ESG endeavors and assesses annual ESG reportsbefore their submission for the board's review. The ESG Working Group, operating under the Committee, managesthe day-to-day ESG matters and executes the Committee's decisions. Responsibilities include but are not limited toorganizing committee meetings, executing speci?c ESG initiatives in the Company, and preparing ESG reports.

reports to

reports to andcommunicates with

supervisesmanagesESG Management Framework

At Hymson, we consistently prioritize the management of responsibilitiesrelated to Environmental, Social and Governance (ESG) matters and integrateESG principles deeply into the daily operations of all departments. In 2024, weconducted a materiality assessment of ESG topics and proactively promotedthe optimization and enhancement of our responsibility management practices.These efforts aim to ensure sustainable development across environmentalprotection, social responsibility ful?llment, and corporate governance. Movingforward, Hymson will continue to refine its ESG management system andimprove ESG performance, laying a solid foundation for the Company's long-term sustainable growth.

Materiality Assessment

We identify and analyze material topics based on strategic planning, industry trends, stakeholder demands,international standards, and best practices among peers. Through stakeholder research, we identify and finalizethe annual list of material topics, and develop our management objectives and strategies for these key areas. Thesee?orts are detailed in the annual report, underscoring our commitment to sustainable development.

We identify a list of ESG topics relevant to the Company by consideringour ESG background (geographical location, business activities, businessrelationships), standard policies, industry practices, and expert opinions.These topics are categorized into environmental, social, and corporategovernance areas.

We pinpoint key stakeholder groups and determine the most e?ective waysand channels for communication.By applying the double-materiality principle, we design both online andoffline questionnaires. We invite key stakeholders from both inside andoutside the Company to rate the materiality of the listed topics.

We review the feedback and scores from the questionnaires and assignstakeholder weights based on expert opinions.We create a materiality matrix based on the impact of material topics on oursustainable development and stakeholders.

We con?rm the material topics by considering expert opinions.The ESG Committee reviews these significant topics, submits them to theBoard of Directors, and prioritizes their disclosure in the annual ESG report.

Establishmentof a materialtopic database

Stakeholderresearch

Assessmentandprioritizationof materiality

Con?rmationand reportingof key topics

Materiality Assessment Process and Speci?c Steps

ESGWorkingGroupBoard ofDirectors

ESGCommittee

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

IntegrityFoundation of GovernanceOverview15

InnovationLeading through Intelligence

CollaborationWin-Win Production

Stakeholder Identi?cation and Engagement

Hymson places a strong emphasis on continuous engagement with its stakeholders and has established diversecommunication channels to gather input and feedback from key stakeholder groups, including shareholders,clients, employees, government and regulatory bodies, suppliers, local communities, and business partners. Weare committed to actively responding to stakeholder expectations and concerns, striving to promote sustainabledevelopment in collaboration with all parties.

High

Very high

Level of importance to stakeholders

Extremely high

Very highLevel of importance to the Company

Extremely high

Stakeholder-Related Topics and Engagement

Key StakeholdersTopics of ConcernPartial Communication and Response Methods

Shareholders

Improvement of ESG GovernanceFrameworkInvestor Rights ProtectionInternal Control and RiskManagementDiversity in Board of Directors

Convene shareholders' meetings and performance brie?ngsessionsRegularly disclose operational and ?nancial informationRegularly and routinely communicate with investorsStrengthen the risk control systemPromote gender and background diversity in the board

Clients

Product Quality and SafetyInformation Security and PrivacyProtectionExcellent Customer ServiceResearch, Development, andInnovationIndustry Development Promotion

Improve the quality management system and safetymanagement systemEnhance information security and privacy protectionmeasuresRespond to clients' demands quickly and improve actionplansProvide training and technical support for clientsEstablish a long-term partnershipContinuously conduct R&D innovation and digitalconstructionDrive the ecological design of products in the entire lifecycle

Employees

Intellectual Property ProtectionA Comfortable WorkingEnvironmentEmployee Rights ProtectionEmployee CareEmployee Training andDevelopmentOccupational Health and SafetyCompetitive Compensation andBene?ts

Re?ne intellectual property managementEstablish a mechanism for talent developmentStrengthen the construction of an occupational health andsafety management systemProvide holiday care and cultural activitiesImprove the salary system and strengthen performancemanagement

Governmentsandregulatoryorgans

Business EthicsInternal Control and RiskManagementEnergy and Resource ConsumptionManagement

Strictly abide by the laws and regulations of each operatinglocationStrengthen anti-corruption management and improve thereporting mechanismOperate with integrity and pay taxes according to the lawApply lean energy management for sustainabledevelopmentSuppliersSustainable Supply Chain

Establish fair and transparent procurement principles andproceduresSign commitments to responsibility with suppliersConduct regular communication and training with suppliersCommunities

Community Engagement andInvolvement

Carry out charitable donationsOrganize charity eventsPartnersIndustry Development Promotion

Participate in industry summits and forumsBecome members of related industry associations

1318

0406

Employee TrainingandDevelopmentA ComfortableWorkingEnvironmentOccupationalHealth andSafetyCompetitiveCompensationandBene?tsCommunityEngagementandInvolvement

Improve the environmentalmanagement systemAddress climate changeEnergy and resourceconsumption managementManagement of wastesGreen o?ceNoise control

172015

Improvement of ESGGovernance FrameworkESG Risk andOpportunityManagementCommunicationwithstakeholdersInternal Control andRiskManagementBusiness ethicsDiversity in BoardofDirectorsInvestor RightsProtectionIntellectualPropertyProtection

EnvironmentSocietyCorporate GovernanceProduct Quality and SafetyResearch, Development,and InnovationInformation Security andPrivacy ProtectionSustainable Supply ChainExcellent Customer ServiceIndustry DevelopmentPromotionEmployee Rights ProtectionEmployee Care

IntegrityFoundation of Governance

Overview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Integrity ·Foundation ofGovernance

At Hymson, we are committed to embedding ESG principlesinto our daily operations and strategy formulation,leveraging governance innovation to drive high-qualitygrowth. At the strategic level, we have established a robustgovernance framework and continued to foster a newgovernance model characterized by scientific decision-making, standardized operations, and transparent oversightthrough systematic innovations in governance mechanisms.In terms of investor relations management, we have builta professional and international value communicationsystem that reshapes capital market perception throughhigh-quality information disclosure and deep engagement.Additionally, we draw strength from our Party-buildingefforts and transform this unique advantage intogovernance efficiency, fueling Hymson's steady and long-term development with the "red engine".Corporate GovernanceInvestor Relations ManagementInternal ControlBusiness EthicsInformation SecurityParty Building Leadership

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Corporate Governance

Functioning of the Shareholders' Meeting, theBoard of Directors, and the Board of Supervisors

Hymson has established a modern, standardized corporate governance system, grounded ina well-de?ned corporate governance structure and a scienti?c decision-making mechanism,to continuously enhance governance effectiveness. In strict accordance with regulatoryrequirements for listed companies, we have established a clearly defined and effectivelybalanced governance mechanism comprising the Shareholders' Meeting, the Board ofDirectors, the Board of Supervisors, and the management team. Each body performs itsrespective duties and operates in a coordinated manner. The composition of the Board ofDirectors emphasizes diversity in professional backgrounds and industry experience, resultingin a leadership team with complementary expertise and well-rounded decision-makingperspectives. Additionally, we have put in place a dynamically optimized system for policymanagement, with regular reviews and updates to ensure that our policies stay alignedwith business development and regulatory requirements, thereby laying a solid governancefoundation for our sustainable growth and long-term value creation.

We have established a sound corporate governance structure, with the Shareholders'Meeting, the Board of Directors, and the Board of Supervisors functioning in strictcompliance with Chinese laws and regulations, including theCompany Law and theMeasures for the Administration of Independent Directors of Listed Companies, as well asour Articles of Association.In the selection and appointment of directors and supervisors,we rigorously follow a standardized process involving evaluation by the NominationCommittee, deliberation by the Board of Directors, and voting at the Shareholders'Meeting. A separate vote-counting mechanism is applied for minority investors atthe Shareholders' Meeting to fully safeguard their participation rights. Throughinstitutionalized selection procedures and a diverse governance structure, we ensure theindependence of the Board and the effectiveness of corporate governance, paving theway for our sustainable development. Additionally, our independent directors activelyperform their duties, playing a critical role in optimizing the governance structure andprotecting the rights and interests of minority shareholders.

we convenedthe Board of Directors held

and the Board of Supervisors held

Shareholders' Meetings

meetings

meetings

Under the Board of Directors, there are four specialized committees: the Audit Committee, the NominationCommittee, the Remuneration and Appraisal Committee, and the Strategy Committee. Each committeeoperates with clear mandates and professional focus, providing expert support on strategic decision-making, risk control, executive selection, and performance evaluations. This effectively enhances thescienti?c nature of decision-making and promotes standardized management.

Composition and Meeting Frequency of Specialized Committees

Composed of four directors.One Chair acts as the convener of the committee, held by the Chairman of theCompany, who is responsible for presiding over and convening the committee.Holds one meeting annually.

Strategy Committee

Composed of two independent directors and one director.One Chair acts as the convener of the committee, held by an independentdirector, who is responsible for convening and presiding over the committee.Holds ?ve meetings annually.

Remuneration and Appraisal Committee

Composed of three directors, including two independent directors (one ofwhom is an accounting professional).One Chair acts as the convener of the committee, held by the independentdirector with accounting expertise, who is responsible for convening andpresiding over the committee.Holds eight meetings annually.

Audit Committee

Composed of three directors, including two independent directors.One Chair acts as the convener of the committee, held by an independentdirector, who is responsible for convening and presiding over the committee.Holds two meetings annually.

Nomination Committee

During the reporting period

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices22

Responsibilities of Specialized Committees

Background of Board Members

Board Diversity

We attach great importance to board diversity, with continuous attention tokey elements during the selection process such as professional skills, industryexperience, educational background, gender ratio, age composition, andindependence. Current board members possess exceptional expertise anda broad range of academic backgrounds spanning key areas such as lasertechnology, mechanical engineering, ?nancial management, legal compliance,and business administration. This ensures a high-performance team withcomplementary expertise and well-rounded decision-making perspectives,providing robust professional support for the Company's strategic decisions.

Legal and RiskControl

Electronic Information

FinancialManagement

Finance and Capital

MarketsMechanical andLaser Engineering

During thereporting period

the Board of Directorsconsisted ofmembers

includingindependent directors

and

female director

Strategy CommitteeStudies the Company's medium-to-long-termdevelopment strategy, major investment andfinancing projects, and capital operations,provides suggestions, and oversights theirimplementation.

Remuneration and Appraisal Committee

Formulates remuneration policies andappraisal standards for directors and seniorexecutives, supervises their implementation,and proposes equity incentive plans and otheradvice.

Background

of BoardMembers

Institutional Updates

Audit CommitteeOversees the Company's financial reporting,internal controls, and audit work, manages theengagement of accounting firms, and ensurescompliant operations.

Nomination Committee

Selects candidates for directors and seniorexecutives, reviews their qualifications, andmakes recommendations on appointment andremoval to the Board of Directors.

Document TitleDate of ApprovalApproved byNew/RevisedManagement System for Voluntary

Information Disclosure

March 22, 2024

th

Meeting of the 3

rd

Board ofDirectors

New

Articles of AssociationOctober 31, 2024

2024 Second ExtraordinaryShareholders' Meeting

RevisedWorking Rules for the General ManagerDecember 13, 2024

th

Meeting of the 3

rd

Board ofDirectors

RevisedManagement System for Raised FundsDecember 13, 2024

th Meeting of the 3

rdBoard ofDirectors

RevisedPublic Opinion Management SystemDecember 13, 2024

th Meeting of the 3

rdBoard ofDirectors

NewManagement System for ForeignExchange Hedging Business

December 13, 2024

th Meeting of the 3

rdBoard ofDirectors

NewGovernance-Related Policies Updated in 2024

To continuously improve our governance system, we revised several core policies and introduced new ones.Systematic revisions were made to the Articles of Association, theWorking Rules for the General Manager, and theManagement System for Raised Funds. Three new key policies were also introduced, including theManagementSystem for Voluntary Information Disclosure, thePublic Opinion Management System, and theManagementSystem for Foreign Exchange Hedging Business. These e?orts have further strengthened our corporate governanceframework and risk control mechanisms. We adhere to our information disclosure responsibilities, ensuring that alldisclosures are made based on the principles of authenticity, accuracy, completeness, timeliness, and fairness. Thisguarantees the investors' rights to information and participation while providing strong protection for the interestsof our investors. We strictly comply with the information disclosure regulations of the China Securities RegulatoryCommission (CSRC) and the Shanghai Stock Exchange (SSE) and issue various regular and interim announcements.Relevant announcements can be found on the SSE website (www.sse.com.cn).In addition to complying with mandatory information disclosure regulations, we proactively engage in voluntarydisclosure, maintaining positive interaction with the capital market. We promptly disclose any information that maysubstantially impact decisions made by shareholders and other stakeholders, ensuring that all shareholders haveequal access to information.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Investor Relations ManagementTo improve the corporate governance structure and standardize investor relations practices, we, in light of our actualoperations, have formulated the Investor Relations Management Systemin compliance with relevant national laws andregulations such as theCompany Law, theSecurities Law, and theWork Guidelines for the Investor Relations Managementof Listed Companies, as well as our Articles of Association. The policy is designed to strengthen communication andengagement with investors and foster long-term and stable relationships by providing timely updates on our keyinformation such as development strategies and management principles. Through a standardized investor relationssystem, we continue to enhance the quality of information disclosure and strengthen investor understanding andcon?dence in Hymson.Investor Communication ChannelsWe have established a comprehensive, multi-layered investor communication system that blends online and offlinechannels to continuously enhance our investor relations management. In addition to traditional communication channelssuch as dedicated investor hotlines and email, we actively engage with investors via digital platforms including the SSEe-interaction platform (https://sns.sseinfo.com/) and the Investor Relations section on our o?cial website (http://www.hymson.com). We also host regular performance briefings and investor meetings to safeguard the rights of small-and-medium-sized investors to participate in the Company's decision-making processes. Furthermore, we closely monitoronline investor communities such as Xueqiu (xueqiu.com) and Guba (guba.eastmoney.com) to respond promptly toinvestor concerns. This multi-dimensional communication network enables our efficient, real-time interactions andengagement with a wide range of investors, helping safeguard their rights to information and participation.

Information Disclosure ManagementIn accordance with relevant national laws and regulations such as theCompany Law, theSecurities Law, theMeasures for theAdministration of Information Disclosure by Listed Companies, as well as regulatory documents such as theRules Governingthe Listing of Stocks on the STAR Market of the Shanghai Stock Exchange, we have formulated theInformation DisclosureManagement System aligned with our Articles of Association. This policy aims to standardize the Company's informationdisclosure practices, ensure that all disclosures are truthful, accurate, complete, and timely, and effectively safeguard thelegitimate rights and interests of shareholders, creditors, and other stakeholders. By establishing a comprehensive informationdisclosure mechanism that clearly de?nes our disclosure standards and requirements, we provide institutional support forour standardized operations and drive continuous improvement in our corporate governance.

Ensure that information disclosuresare truthful, accurate, and complete,and report signi?cant information ina timely manner.

Directors, supervisors,

and executives

Ensure that their teams strictlycomply with informationdisclosure policies and reportsigni?cant information in atimely manner.

Department andsubsidiary heads

Roles and Responsibilities in Information Disclosure

Takes charge of informationdisclosure a?airs andorganizes the preparationand publication ofannouncements.

Board Secretary

Investor Communication Channels

InvestorCommunicationChannels

Company website: An InvestorRelations section has beenestablished on the Company'swebsite to receive investor inquiriesvia email or the online forum and toprovide timely responses.Information disclosureplatforms: The o?cial websiteof SSE and designated mediaoutlets are the main channels ofinformation disclosure.Hotline and fax: Dedicatedphone lines are available withsta? on duty during businesshours.

Shareholders' Meeting: E?orts are madeto facilitate the participation of minorityshareholders.

Analyst meetings, performancebrie?ngs, and roadshows: Theseevents are held regularly or whennecessary in an open manner.

On-site visits and discussions:

An appointment system isadopted, with designatedpersonnel accompanyingvisitors and documenting thecommunication.

One-on-one meetings:

Communication is made withinvestors, analysts, and others ina manner that avoids selectivedisclosure. Relevant records areavailable for public access.

Monthly reports on these research meetings werepromptly disclosed to ensure investors' timely access tokey information about the Company, such as operatingconditions.

we hosted

We received and organized targeted research meetings. During the reporting period, we hosted researchMonthly reports on these research meetings were promptly disclosed to ensure investors' timely access to keyinformation about the Company, such as operating conditions.The Board O?ce handled overinvestor hotline calls throughout the year. Meanwhile, our team

institutional investors and securities analysis agencies.

13047%

99%

During the reporting period

annual performance and cash dividend brie?ng,

performance brie?ng on the ?rst three quarters,

semi-annual group performancebrie?ng for the STAR Market's new energy sector,

online collective reception day for investors of listed companies. These events facilitated our andcommunication with investors regarding their concerns about company performance, corporate governance,development strategies, operating conditions, equity incentives, and sustainability.

meetings with nearly

responded to more thanincrease compared with the previous year, with a response rate exceeding

inquiries from investors via the SSE e-interaction platform,

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Internal Control

To strengthen internal management and establish a sound audit mechanism, Hymson has formulated theInternal AuditSystem, which standardizes audit procedures, enhances audit quality, and reinforces risk prevention and control, therebysafeguarding investors' rights and interests. The policy stipulates that the Audit Committee is responsible for overallsupervision and guidance and reports regularly to the Board of Directors. The Internal Audit Department is tasked with coreresponsibilities including conducting internal control reviews and ?nancial audits, developing the anti-fraud mechanism,and preparing audit reports. The department is also required to develop an annual audit plan covering externalinvestments, guarantees, related-party transactions, and asset acquisitions/disposals, and to report regularly to the AuditCommittee to ensure systematic and e?ective audit execution.

Guide and supervisethe establishment andimplementation of theinternal audit system

based on theInternalAudit System.

Assess the designrationality andimplementatione?ectiveness of

internal controls over

?nancial reporting.

Build and maintainthe internal control

system.

Audit accounting andother economic data ofinternal departments,subsidiaries, andassociates withsigni?cant in?uence.

Review and evaluatethe execution ofbusiness processesand internal controlmechanisms, andestablish key controlpoints to minimizesystemic risks.

Support themanagement teamand business unitsin making informeddecisions related tocompliance and riskcontrol.

Conduct exitaudits for keypersonnel.

Regularly report theaudit and internalcontrol status of listedcompanies to the AuditCommittee of theBoard of Directors.

Responsibilities of the Internal Audit Department

Purpose

The Internal AuditDepartment evaluatesthe e?ectiveness of the

Company's internalcontrols, with a focus on

areas such as external

investments, assettransactions, externalguarantees, and related-

party transactions.

If internal controlde?ciencies orsigni?cant risksare identi?ed,timely reporting

and correctivemeasures are

required.

The Companyregularly engagesan accounting?rm to provideassurance of thee?ectiveness of itsinternal controls.

The Internal AuditDepartment issues anannual internal controlselfassessment reportbased on the internalcontrol evaluation,while the Board ofDirectors deliberates onthe report and reaches aresolution accordingly.Internal Audit Implementation Process

Key Components of the Tax Management System

Internal Audit

Tax Management

To further improve our audit management system, we have established the Internal Audit System, which standardizes auditprocedures while innovatively introducing a dual incentive mechanism that "rewards the good and penalizes the poorperformers". Auditors who demonstrate outstanding performance and adhere strictly to professional standards are grantedboth material rewards and public commendation. Conversely, any breach of policy is subject to tiered penalties dependingon the severity of the violation, thereby ensuring the independence and authority of the audit function.

We have formulated theTax Management Systemto further enhance our tax management efficiency, provide strongsupport for the decision-making process, and maintain our good tax credit and business reputation. The policy providescomprehensive guidelines for tax management across the Group and its subsidiaries. By clarifying tax managementresponsibilities, streamlining tax business processes, and enhancing the risk control mechanism, it aims to effectivelycontrol tax risks, prevent tax violations, and ensure full compliance with tax regulations.

Standardize taxmanagement,

reasonablycontrol tax risks,and prevent taxviolations.

Designated positions fortax accounting and taxmanagement shall be set upin the Finance Department.The ?nancial director typicallyserves as the primaryperson responsible for taxmanagement and oversees theoverall tax management and

planning.

Applicable to HymsonLaser Technology GroupCo., Ltd., its subsidiariesat all levels, and otherentities included in theconsolidated ?nancialstatements.

It refers to overallplanning oncorporate taxa?airs as a wholeusing professionalknowledge whilecomplying withnational tax lawsand regulations.

To implement regulatory requirements for internal controls of listed companies and comprehensively assess theoperating effectiveness of its internal control system, Hymson's Internal Audit Department conducted an annualinternal control self-assessment audit in December 2024, covering the Company and its subsidiaries. Following the"by subject and by module" principle, specialized audit teams were assigned to ensure a methodical working processof "assessment tests–report preparation–remediation and follow-up". The audit work was carried out as planned.Identi?ed de?ciencies in internal control were recorded in a corrective action log for further recti?cation to ensureclosed-loop problem management.

Case

Strengthening Internal Controls for Solid Foundation and StandardizingGovernance for Development

ResponsibilitiesApplicable Scope

De?nition of Tax

Management

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

Responsibility

Growing with Our People

CommitmentGiving Back to Society

Appendices

Tax Management Procedures

Enhanced Awarenessamong Employees

Code of Conduct

Improved Oversight

MechanismsEmployees gain a deeper

understanding of thesigni?cance of anti-corruption

and anti-bribery principlesafter training, with signi?cantly

enhanced compliance

awareness.

The training clari?es standardsfor hospitality and managementrequirements for third-partypartnerships, enabling employeesto better comply with theCompany's policies and legal andregulatory requirements at work.

High attention from theleadership and ongoingimprovements provide asolid foundation for a clean,compliant overseas business

environment.

Business EthicsHymson has established a comprehensive business ethics management system. In our efforts to foster integrity, we haveestablished the Anti-Corruption and Anti-Bribery Integrity Management Systemand introduced a company-wide integritycommitment mechanism. Through regular training and a robust whistleblower protection system, we have built a strongdefense against misconduct. In strict compliance with national laws and regulations such as theAnti-Monopoly Law andthe Anti-Unfair Competition Law, we explicitly prohibit employees from exchanging sensitive information with competitorsor participating in any form of bid-rigging, price alliance, or other unfair competition practices. Furthermore, we uphold theprinciple of equitable cooperation and pay particular attention to the protection of small-and-medium-sized enterprises (SMEs)in our supply chain. To this end, we have established a standardized payment management system to ensure that paymentsto SMEs are made in full and on time, thereby earnestly ful?lling our corporate social responsibility and contributing to a fairand healthy market environment.Fostering IntegrityIntegrity management serves as a cornerstone of modern corporategovernance and plays a strategic role in optimizing business operationmodels and achieving sustainable growth. We have built a systematic integritymanagement system through the development of theAnti-Corruption andAnti-Bribery Integrity Management System. All employees are required tosign aLetter of Commitment to Integrityto reinforce integrity awareness.We also regularly organize targeted training and publicity campaigns tofoster a culture of integrity. In parallel, we have put in place a well-structuredwhistleblowing and protection mechanism that encourages internal oversightand strictly enforces a con?ict-of-interest avoidance policy, ensuring justiceand fairness in all business decisions. Through a multi-faceted approach, wecontinue to strengthen our anti-corruption safeguards, cultivate a responsiblecorporate image, and ensure the healthy development of our business.

The Signi?cance of Anti-Corruption Training

To strengthen the anti-corruption, anti-bribery, and compliance management of our overseas business, we invitedan external third-party legal team in December 2023 to deliver anti-corruption training to all domestic and overseasemployees. The training covered case studies and regulatory insights, underscoring the importance of anti-corruptione?orts while clarifying standards for hospitality and requirements for third-party partner management. The trainingnot only heightened employees' compliance awareness but also created a clean and compliant overseas businessenvironment through the attention of the leadership, optimized processes, and improved oversight mechanisms,laying a solid foundation for our sustainable development.

Case

Strengthening Anti-Corruption Training to Create a Clean and CompliantBusiness Environment

Promoting Integrity to Suppliers/Employees

Tax RegistrationDe?ne procedures for tax registration, including handling time, alterations, cancellation,and re-issuance of lost certi?cates.

Tax Accounting

Require that accounting records align with invoice information, maintain books inaccordance with the law, and ful?ll tax obligations.

Tax Filing

Prepare tax returns on time, pay taxes, submit supporting documents, and conduct taxplanning in compliance with applicable tax policies.

Tax Risk Identi?cation and Assessment

Comprehensively collect data to identify tax risks, conduct regular risk assessments, andmaintain communication with tax authorities.

Risk Response Strategy and Internal ControlDevelop response strategies based on risk assessment outcomes and establish internalcontrol mechanisms to manage tax risks.

Tax Planning

Tax personnel shall possess relevant expertise, actively pursue tax policies, and conducttax planning activities.

Tax Management in Business ContractsSpecify contract reviews, inclusion of tax-related clauses, tax impact assessments, andtracking of tax issues during contract execution.

Invoice Management

Strictly comply with invoice management regulations, which clearly de?ne managementrequirements for the purchase, safekeeping, issuance, and collection of invoices.

Tax File Management

Establish a tax file management register to standardize procedures for organizing,binding, storing, and disposing of tax ?les.

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

IntegrityFoundation of GovernanceOverview29

InnovationLeading through Intelligence

CollaborationWin-Win Production

Ways of Reporting

We have established a robust anti-corruption reporting mechanism by adhering to the principles of "truth-based, objective,and fair" reporting. We encourage whistleblowers to report violations in their real name while respecting and protectinganonymous whistleblowers. Whistleblowers are also encouraged to provide as much detail as possible regarding theincident, including supporting evidence. All reports are centrally handled by the Discipline Inspection Section, whichcommits to providing feedback on the receipt of the report within ?ve working days and completing the investigation witha formal response within three months. This e?cient and transparent process demonstrates our ?rm commitment to a"zero-tolerance" approach to corruption and strengthens our integrity safeguards for sustainable corporate development.

Adhere to a truth-based approach and strictly prohibit maliciousreporting or false accusations.Encourage real-name reporting while respecting anonymous orpseudonymous reports.Reporting hotline: 0755-28197985-8118Reporting email: jubao@hymson.com

De?nition of Violations

ReportingPrinciples

ReportingChannels

Violations by procurement personnelViolations by suppliers and other partners

These include accepting or soliciting bribes,collusion with suppliers to rig bids, acceptanceviolations, irregularities in price inquiry andcomparison procedures, misappropriationof corporate assets, falsification in quality-related operations, unauthorized investmentsin or employment at supplier-related entities,unreported business transactions, failure toproactively disclose benefits received, andleakage of con?dential information.

These include violations of theCode of BusinessConduct, engaging in unreasonable entertainingor entertainment, providing loans or kickbacks,offering cash or gifts, among other improperconduct.

Whistleblower Protection and RewardsWe have formulated the Regulations on Rewarding Whistleblowers Reporting Violations in Procurement, aiming to establishan open, transparent oversight mechanism that encourages all employees and stakeholders to actively participate inpromoting integrity. We solemnly promise that the identity of whistleblowers is protected with strict confidentialitymeasures and a well-rounded protection mechanism has been established to put an end to retaliation, while ensuring thatwhistleblowers are provided with appropriate rewards for useful information. Veri?ed reporting cases of wrongdoing willbe handled with strict legal and regulatory consequences, while malicious false accusations will be subject to legal action.By establishing a long-term mechanism that emphasizes both incentives and protections, we e?ectively motivate all partiesto engage in oversight, thereby fostering a fair and just business environment while continuously advancing our culture ofintegrity and enhancing our compliance management standards.

Whistleblower Protection and RewardsFair Competition

Equal Treatment of SMEs

To ensure fair competition in the market and commercial integrity, we strictly comply with national laws and regulationssuch as theCompetition Law and the Anti-Monopoly Law, explicitly prohibiting employees from exchanging sensitiveinformation with competitors or engaging in improper acts that disrupt market order such as bid-rigging, pricemanipulation, market division, or production limitations. In addition, we have formulated theCode of Business Conduct,which provides clear guidelines for procurement transactions, requiring supply and requisitioning parties to cooperatebased on principles of fairness, justice, integrity, and honesty. We ?rmly oppose commercial bribery and unfair competitionand work to protect legitimate rights and interests, thereby contributing to fostering a healthy and orderly marketenvironment.

We always adhere to the principles of fairness and justice in business and treat all partners equally in our supply chainmanagement, particularly emphasizing cooperation with small-and-medium-sized enterprises (SMEs). We have establisheda standardized payment management system and strictly followed contractually agreed payment schedules. Throughvarious measures such as optimizing procurement processes and shortening approval timelines, we guarantee that SMEsuppliers receive payments in a timely manner, thereby protecting the legitimate rights and interests of our partners whilejointly promoting the healthy development of the entire supply chain.

Special protective measures are implemented for real-name whistleblowers, including priorityconsideration for salary increases and awards.All whistleblower information is kept strictly con?dential to prevent disclosure or loss.Retaliation against whistleblowers is strictly prohibited, and violators will be dismissed and heldlegally accountable.

Whistleblower Protection

Cash rewards will be given based on the e?ectiveness of the provided information, case nature, andseverity, ranging from RMB 500 to no less than RMB 10,000.The Discipline Inspection Section is responsible for communicating with the whistleblower regardingthe rewards and the Human Resources Department determines the method of disbursement.Rewards will not be duplicated for the same case. In principle, the first whistleblower or the mostsigni?cant contributor will receive the reward.Malicious reporting and false accusations are strictly prohibited, and violators will be dealt with seriously.

Whistleblower Rewards

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Information SecurityHymson places great importance on building a robust information security management system and has implementedcomprehensive, multi-dimensional measures to safeguard corporate data and information systems. We have established awell-de?ned set of information security policies, strictly enforce data classi?cation and hierarchical protection mechanisms,and conduct regular cybersecurity risk assessments to ensure that our core technologies and business secrets aree?ectively protected. In parallel, we are committed to cultivating a strong culture of safety. Through company-wide trainingon information security, promotion of typical cases, and safety awareness assessments, we have continuously enhancedour employees' awareness and capabilities in information security protection, enabling us to respond more e?ectively toincreasingly complex cybersecurity challenges.

Information Security Management PolicyWe uphold the information security management policy of "implementing risk control to ensure information security andcomplying with regulations to guarantee business growth", aiming for "zero disclosure of classi?ed information throughoutthe year". Our comprehensive protection system is designed to e?ectively prevent various information security risks andensure the safety of our trade secrets and customer data.

In line with the characteristicsof our business information andrelevant legal and regulatoryrequirements, we have establisheda risk assessment procedure andde?ned clear risk acceptancecriteria. Risk assessments aremade on a regular basis toidentify any changes in our risk

landscape. When signi?cantchanges occur in our operations

or external environment, wepromptly reassess risks and takecorresponding control measuresbased on the assessment results to

mitigate them.

We treat information securityas a critical componentof our daily productionand management. Allinformation assets arecomprehensively identi?edand analyzed, with attentiongiven to our informationsystem vulnerabilitiesand potential threats. Bybalancing costs, bene?ts,and risks, we categorizeand protect assets tomeet system protectionrequirements in a cost-e?ective manner.

Our supervisory and assurance framework forinformation security has been continuouslyre?ned. Clear responsibilities for informationsecurity are assigned at all levels and roles,re?ecting our people-centered, company-wide, all-round, and full-process approach toinformation security management. Throughongoing measurement, monitoring, andimprovement, we ensure the e?ective operationof our information security managementsystem. We maintain detailed, traceable recordsfor policy execution, ultimately guaranteeingthe continuous and secure operation of ourproduction, business management, and serviceswhile achieving our development goals.

Information Security Management System Certi?cations of the Company and Its Subsidiaries

Implement risk control to ensureinformation securityComply with regulations toguarantee business growth

In 2024,zero

Interpretation of the Information Security Policy

Information

SecurityPolicy

InformationSecurityTarget

Information Security Management

We have established a comprehensive information security management system supported by a series of standardizedprocedures that collectively safeguard data and network security. These procedures are interconnected, forming a securityprotection framework that covers the entire data lifecycle and all critical network nodes. This holistic approach enable toe?ectively control information security risks and provide a reliable guarantee for business growth.

Network Security Management ProcedureStandardizes the security management of the Company's computer networks, ensuring the safe and stableoperation of the information system network.Administrative Regulations on Accounts, Passwords, and PermissionsStrengthens the management of the Company's information system accounts and passwords, ensurescontrolled allocation of access permissions through the control over user passwords and permissions, andprevents unauthorized access to internal networks.Data Center Management RegulationsEnsures the secure and e?cient operation of the Company's computer network system (internal informationplatform) and maintains all equipment in optimal condition, with proper equipment use and maintenanceprocedures, well-de?ned management regulations, and clear responsibilities in place.

Selected Information Security Management Policies of the Company

Privacy and Data Security

Cybersecurity

Control Procedure for Information Security Risk AssessmentStandardizes methods for identifying information assets and assessing risks, aiming to select appropriatecontrol objectives and measures that balance control costs and risks, and to keep information security riskswithin acceptable limits.Data Backup Management ProcedureStandardizes the management of data backups related to the Company's information systems, theformulation of backup strategies, execution and recovery of backups, and the control of other processes.Information Security Incident Management ProcedureStandardizes the procedures for managing information security incidents, including classification ofincidents, vulnerabilities and fault classification, reporting channels, methods and deadlines, responsestrategies, investigation and handling of incidents, and measures to prevent recurrence.Guidelines for Information Classi?cation and ProcessingStandardizes classi?cation methods for the Company's information (data) and requirements for informationprocessing.Regulations on Safety and Protection of Employee Personal InformationEnsures the security of all employees' personal information and guarantees its lawful, secure, andcon?dential processing and use.incident ofclassi?ed information disclosure wasrecorded.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Fostering a Culture of SafetyWe place great importance on fostering a culture of information security by actively building a safety cultureframework involving all employees. By combining institutional standards with regular training initiatives, wehave continued to strengthen employees' security awareness and embed safety principles into daily operations.Moreover, a variety of awareness campaigns have been organized to establish a safety management mechanismthat "focuses on prevention and all-sta? governance" and a safety management pattern where "everyone is involvedand everyone contributes". This provides a solid foundation for the steady development of our business.

Online training: Employees cantake information security coursesindependently via the internal e-learningplatform, including video lectures,case studies, and online quizzes, tosystematically acquire informationsecurity knowledge.O?ine training: Periodic in-persontraining sessions and workshopsare organized, where informationsecurity experts are invited to provideinterpretation and interactions. Thetraining features lectures, groupdiscussions, and simulation exercises tostrengthen employees' hands-on skillsand problem-solving abilities.

Annual training plan: The Human Resources Center conducts anannual training needs survey and develops a tailored informationsecurity training plan aligned with the Company's strategicdevelopment needs and employees' growth demands.Training records management: The Human ResourcesDepartment is responsible for collecting, organizing, andsafeguarding training materials for all personnel, ensuring thatthey are archived in a timely, complete, and accurate manner.Training records include information such as training date, content,participants, and evaluation of training e?ectiveness.

Basic knowledge of informationsecurity: Include the de?nition ofinformation security, its importance,common threats, and preventivemeasures.Management system standards:

Introduce the GB/T 22080-2016/ISO/IEC 27001:2022 management systemstandards, as well as the Company'sinternal information security managementsystem documents.Information security policies andobjectives: Convey the Company'sinformation security policies, clarifyinformation security objectives, andde?ne the role and responsibilities ofemployees in achieving these objectives.Laws, regulations, and internal policies:

Explain the relevant laws and regulationsrelated to information security, as well asinternal information security managementrules and procedures.Hands-on skills: Include password

management, email and mobile devicesecurity protection, data backup andrecovery, etc.

Information Security Training Management

With the rapid expansion of our business and deeper digital transformation, information security has beenelevated to a strategic priority at Hymson. We have specially formulated theHuman Resources SecurityManagement Procedureto continuously strengthen employees' information security awareness andprotective capabilities. Key initiatives include establishing an information security training system for allstaff, implementing a dynamic evaluation and optimization mechanism, and encouraging employees topropose improvement suggestions. Regular training sessions on information security have been conductedfor employees at all levels, with content adapted to business development and changes in security situations.Feedback channels have also been in place to collect suggestions for improvement from employees, creating avirtuous cycle of "training – assessment – optimization". These initiatives have signi?cantly prevented human-related information security risks, laying a solid security foundation for our digital transition journey.

Case

Comprehensively Enhancing the Information Security Training System forEmployees to Build a Strong Line of Defense

Training Methods

Training Implementation

Training Content

Hymson's Privacy and Data Security Culture Awareness Screensavers

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Upgrading Digital Systems

We continue to advance our digital transformation. Building on the optimization and upgrading of existinginformation systems, we focused on deploying ?ve core systems this year. The launch of these systems marks a newphase in our digitalization journey, providing stronger system support for business growth.

In addition, we are committed to building a comprehensive safety culture system by organizing various targeted andcontent-rich safety awareness campaigns to enhance employees' safety consciousness and skills. To date, we haveconducted multiple promotional activities covering themes such as AI application and promotion, data security,and telecommunications network fraud prevention. These activities extend beyond information technology securityto include physical and personal safety, enabling employees to better understand and master safety knowledge,paying more attention to safety in their daily work, and collectively safeguarding the Company's information securityand business stability.

Five Core Systems for Hymson's Digital Transformation

System NameFunctional ModulesScope of Implementation

WarehouseManagementSystem (WMS)

Achieves full-process intelligent warehousemanagement in the automation industryWarehouse resource management, inboundmanagement, outbound management, and in-warehouse management

The Automation Industry Center

Business

Intelligence

System (BI)

Provides data-driven decision support forthe Lithium Battery Industry Center, thePhotovoltaic Industry Center, and the 3CIndustry CenterData collection and modeling, data integration,data display, and intelligent dashboard

The Lithium Battery IndustryCenter, the Photovoltaic IndustryCenter, and the 3C Industry Center

Financial SharedService Center(FSSC)

Achieves standardized and intelligent ?nancialprocesses in the GroupInvoice management, accountingmanagement, travel reimbursement, fundclaims, voucher management, and electronicarchives

The whole Group

TreasuryManagementSystem (TMS)

Signi?cantly improves the Group's fundoperation e?ciencyBank accounts, bank-enterprise directconnection, bill management, bill directconnection, fund planning, and investmentand ?nancing management

The whole Group

Product LifecycleManagement(PLM) system

Project management, process management,document management, materialmanagement, BOM management, changemanagement,issues management

Products from the Lithium BatteryIndustry Center, the 3C IndustryCenter, the Sheet Metal IndustryCenter, the New Display IndustryCenter, the Photovoltaic IndustryCenter, as well as products fromthe Research Institute and their

delivery

Party Building Leadership

In terms of Party building, Hymson remains steadfast in earnestly ful?lling the duties of Party organization secretariesand actively explores new methods and approaches in Party a?airs under new circumstances, with tangible resultsachieved. Various themed Party Day activities have been carried out, such as elevator emergency drills and fireemergency training and drills under the theme of "Everyone Values Safety and Knows Emergency Responses". Theseactivities have e?ectively reinforced the Party branch's role as a stronghold and the core of leadership. Meanwhile,we have intensi?ed e?orts to explore and establish a comprehensive mechanism for excelling in our work, wherebyintra-Party initiatives drive similar e?orts in people's organizations. Our Labor Union has received multiple accoladesfrom Guanlan Subdistrict, including the "Outstanding Enterprise for Employee Care" and the "Excellent Labor UnionCommittee". Several Party branch secretaries and members have also been recognized with honorary titles andmedals.Focusing on team building, we pay high attention to building robust leadership and Party member teams, withthe Party organization demonstrating strong cohesion and combat effectiveness. Currently, there are 33 activeParty members in our Party branch, all of whom actively participate in Party-building activities. In alignment withhigher-level Party directives, our Party Committee has ensured sufficient budgeting for Party-building work andset up various activity platforms for Party members, such as the "demonstration and commitment platform forParty members" and the "corporate culture pioneer platform". Positively answering the call, Party members haveidenti?ed themselves openly and actively participated in various care initiatives led by the Labor Union, therebyserving the people and maintaining close ties with the people.Regarding organizational life, we strictly adhere to the "Three Meetings and One Lecture" system, implement rulesof procedure for the Party branch, and organize meetings for criticism and self-criticism of Party members. In 2024,6 general Party meetings were convened, 4 Party lectures hosted, 13 Party branch committee meetings held, and13 themed Party Day activities organized. The construction of intra-Party work archives has also been effectivelyimplemented.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Innovation ·Leading throughIntelligence

Hymson has always regarded innovation as the core enginedriving the Company's development. Through a well-established R&D management system, we continuouslyenhance our independent innovation capabilities andpromote breakthroughs in key technologies and thetransformation of results into practical applications.In terms of strengthening the protection of innovativeoutcomes, we have built a comprehensive intellectualproperty management system that ensures the securityof core technological assets and compliant operations.Additionally, we place high importance on quality controland have established a full lifecycle quality managementsystem to ensure product reliability and consistency.

Innovation-Driven DevelopmentIntellectual Property ProtectionProduct Quality

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Innovation-Driven Development

Hymson presses ahead with key technological innovations in critical links ofthe industry, with consistent breakthroughs made in areas such as performanceenhancement, process optimization, and the raised level of intelligence. With a focuson industry demands, we continuously accelerate the transformation of innovativeresults into product advantages and market value, gradually establishing competitiveedges in core technological ?elds and continuously enhancing our capability to leadindustry development.Innovative R&D Management

Innovation Achievements and Recognition

Upholding the philosophy of "being willing to take on challenges and learning fromhonest mistakes", we continuously promote technological and product innovations byfollowing the strategic direction of "laser + intelligent manufacturing" and centeringon customer needs and pain points of the industry, thereby driving the intelligenttransformation and upgrading of the industry. Through ongoing improvements intheR&D Project Management System, we, with full lifecycle management of projectsas the core, standardize the R&D process and strengthen budget and cost controlmechanisms, with an e?ort to improve the systematic nature and e?ciency of scienti?cresearch work. Each business unit strictly implements system requirements in linewith their actual operating scenarios, pushing forward standardized and efficienttechnological management and creating a positive and professional R&D environment.

With a focus on technological innovation in high-end intelligent equipment andlaser precision processing, we have formed a series of core achievements withindependent intellectual property rights. By continuously optimizing technologicalpathways and product architectures, we have made signi?cant breakthroughs in keymanufacturing ?elds such as laser cutting, automated assembly, and new displays.This has effectively improved our overall process and equipment performance,not only empowering customers' industrial upgrades but also injecting strongmomentum into the development of intelligent manufacturing toward higher quality.

During the reporting period, our total R&D investment reachedRMBaccounting forof the operating revenue48,292.88

We had R&D personnel1,978

10.67%

representingof the total workforce

33.81%

Main Products and Services

Hymson's Innovation Achievements

Intelligent Manufacturing Solutions of Medical Laser

We successfully developed a groundbreaking new product—high-power tunable mid-infrared femtosecond laser.We achieved technical breakthroughs in mid-infrared femtosecond laser technology, with three key technicalfeatures: tunable between 5-11 μm, watt-level average power, and femtosecond pulse width.Our products have wide application potential in mainstream healthcare, elective healthcare, and cutting-edgescienti?c research ?elds.

We offer complete lithium battery intelligent manufacturing line solutions, covering various battery types,including prismatic cells, cylindrical cells, and solid-state batteries.The core product series in the lithium battery business includes front-end equipment such as coating machines,roller presses, and high-speed laser cutting machines; mid-end equipment like high-speed winding machines/stacking machines, cell assembly lines, and cell drying systems; as well as back-end module/Pack assembly lines.We are also actively developing cylindrical assembly lines and expanding into new business sectors such as solid-state battery assembly lines.

Lithium Battery Business

The main business in photovoltaics is providing precision laser processing equipment and process solutions forthe photovoltaic industry. Currently, the photovoltaic industry sees a market landscape with multiple technologyroutes, including TOPCon, xBC, HJT, and perovskite.We have research and development reserves for each of these routes. For TOPCon batteries, we have developedTOPCon laser doping equipment, back laser thinning equipment, and laser non-destructive scribing equipment.For photovoltaic modules, we have developed junction box laser welding equipment and automatic junction boxinstallation equipment, all of which are industry-leading.Additionally, we have launched BC large spot laser scribing equipment for BC batteries, which can signi?cantlyimprove the e?ciency and performance of photovoltaic cells.

Photovoltaic Business

Our consumer electronics business focuses on developing intelligent manufacturing equipment for variousconsumer electronic products, including mobile phones, watches, tablets, headphones, batteries, and amongothers.Products include laser standard marking equipment, precision laser cutting equipment, PCB laser processingequipment, laser welding equipment, PCBA processing equipment for the waterproof industry, 3C batteryassembly and Pack automation production lines, transformer production lines, and precision waterproofautomation production lines.We also provide supporting solutions and services to leading clients in the industry. Moreover, we are also activelyexpanding the application of laser and automation technologies in industries such as energy storage, automotiveelectronics, and communications, providing customers with advanced laser and automation solutions for variousmaterials including metals, plastics, and soldering.

Consumer Electronics Business

Our Sheet Metal Industry Center focuses on the research, development, and production of ?at and pro?le lasercutting equipment and its automation. Key high-end equipment includes high-power ultra-wide laser cuttingmachines, heavy-duty pipe cutting machines, and 3D ?ve-axis cutting machines for H-beams. Our ultra-heavy-duty laser pipe cutting machine offers highly customized solutions for heavy pipe production across variousindustries.In the warehouse and logistics sector, we have successfully built an efficient and collaborative system byincorporating advanced digital and automation technologies, offering customized, end-to-end integratedsolutions for our clients.In the new display sector, we focus on the research, development, and production of critical equipment forthe Micro LED and Mini LED new display industries. Key high-end equipment for Micro LED display productionincludes mass transfer machines, mass welding machines, and laser rework equipment.

Other Businesses

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Innovation Award in Industrial

Equipment of Laser (Secret

Light Awards/SLA)

2024 Glorious LaserAward – Silver Award

Advanced EquipmentEnterprise

Helios Award – 2024Excellent Equipment

Enterprise

In 2024, the ?rst Micro LED pilot line was successfully delivered, coveringkey equipment in mass transfer, welding, and repair. The production lineachieved an e?ciency of 25-100 kk/h, with a yield rate exceeding 99.99%,meeting the technical requirements of ≤50 μm chip applications. Throughthe self-developed high-precision motion platform, AI algorithms, andlaser processes, we solved key challenges in the mass production of MicroLED, including transfer, welding precision, and repair. This achievementhas supported applications in automotive displays, VR/AR, and other?elds, propelling China's new display technologies into a new stage.

Case

Breakthrough in Key Technologies on the Micro LED Pilot Line, Ushering in aNew Era of Display Technology

Micro LED Pilot Line Delivery

R&D Awards

20252025

2025

2025

20252025

2025

2025

Intellectual PropertyProtectionHymson has always regarded intellectual property (IP) protection as acrucial support for driving its innovative development. We continuouslyimprove our intellectual property management system and strengthen full-process control over core assets such as patents, trademarks, and softwarecopyrights. Through institutional development, process optimization,and clear accountability, we ensure that every step—from achievementidenti?cation and rights application to rights protection—is well-foundedand methodically proceeded. Additionally, we incorporate intellectualproperty training into our routine management, offering professionaltraining on patent search, compliant operations, and risk preventionand control to improve practical capabilities and compliance awarenessof relevant personnel, thereby ensuring a solid foundation for our IPprotection system.Intellectual Property ManagementGuided by the core philosophy of "prioritizing innovation and safeguardingintellectual property rights", we continue to deepen our intellectualproperty management system, ensuring that all innovative achievementsare strongly supported and well-protected. Following the GB/T 29490-2013standard and national existing laws on patents, trademarks, and relatedmatters, we have established a full-process management mechanism thatcovers idea generation, achievement rights con?rmation, rights operation,dispute resolution, and early warning of risks. With each managementinitiative gradually taking e?ect, our operations have become increasinglyinstitutionalized and standardized. During the reporting period, ourheadquarters and Shenzhen base successfully obtained the managementsystem certification, further raising our professional level and increasingmanagement depth in intellectual property.Moreover, we have established a multi-level intellectual propertyincentive mechanism to encourage employees to actively participate intechnological innovation and the commercialization of achievements.By clarifying reward standards for patents, software copyrights, andother achievements, we tightly link innovation value with individualcontributions, covering multiple stages such as project initiation,declaration, granting, and commercialization. Incentives, such as cashrewards, authorship recognition, and performance-based rewards, havesparked the team's enthusiasm for innovation in R&D, creating a workplaceculture that values knowledge and encourages innovation.

As of the end of thereporting period

During thereporting period

we held

granted patents1,075including

invention patents

as well as

software copyrights

and

registered trademarks

new patents were granted,

2023

Gaogong LED DisplayIndustry Top 50 Award

2023

SID China DisplayIndustry Award

2025National Single-ProductChampion Enterprise in the

Manufacturing Industry

2022Ringier TechnologyInnovation Award

2023Gaogong Golden

Ball Award

2024 Pioneer in Solid-StateBattery Equipment Innovation

Advanced Manufacturing InnovationAchievement Award + Application ofOptical Path Shaping Technology in

SMT Laser Equipment

Single-Product ChampionEnterprise in the ManufacturingIndustry in Guangdong Province

Glorious Laser Award

with

patents

pending review

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Intellectual Property ManagementSystem Certi?cation

2016 Intellectual Property AdvantageEnterprise of Longhua District, Shenzhen

2017 Intellectual Property Advantage

Enterprise in Shenzhen

Intellectual Property Management Responsibilities

Intellectual Property Management Responsibilities

Building the Group's intellectual propertymanagement system and continuously improving

our IP management system and processes.

Organizing and developing the Group's annual,medium-and-long-term patent layout plans,and creating core technological patent barriers.Assisting our R&D team in patent searches andanalyses, patent mining and innovative design,and patent application layout throughout the

product development process.

Supporting the Group's R&D departments inmanaging the entire patent lifecycle, includingpatent intelligence management, patentnavigation analysis, patent infringement analysisand early warning management, as well aspatent mining and innovative design around.

Monitoring patent application and granting

status, evaluating patent value, maintaining

patent rights, managing patent registers andmaterials, and developing and managing patent

agencies.

Collecting and analyzing international patentlaws and regulations, conducting internationalpatent applications and layout, collecting patent

intelligence for overseas products, carrying outrisk inspections, infringement analysis, and earlywarning management, as well as participating ininternational intellectual property lawsuits.

Managing intellectual property honors, platform

planning, and construction.

Assisting the Company in patent licensing and

transfer management.

Organizing professional knowledge training of

intellectual property.Handling software copyright registration.

Measures for Lifecycle Management of Intellectual Property

We developed theControl Procedure for Intellectual Property Acquisitioninaccordance with the intellectual property development strategy. Annually, wedevise work plans for intellectual property creation and acquisition, specifyingthe methods and channels for securing intellectual property.

Acquisition of intellectual property

We developed theControl Procedure for Intellectual Property Maintenance, acategorized ledger for the intellectual property rights we hold, as well as a regularevaluation system and a supervision and maintenance system for intellectualproperty.

Maintenance of intellectual property

We developed theControl Procedure for the Implementation, Licensing, andTransfer of Intellectual Property. This ensures that our intellectual propertyis utilized prudently in production, operations, and market transactions, incompliance with relevant laws and regulations.

Implementation, licensing, and transfer of intellectual property

We developed theControl Procedure for Intellectual Property Risk Management.As per laws and regulations, each product center regularly monitors any possibleinfringements on others' intellectual property rights, identifies and assessesintellectual property risks, and implements corresponding risk control measuresto prevent infringement on others' intellectual property rights.

Management of intellectual property risks

We developed theIntellectual Property Dispute Handling Proceduretopromptly identify and monitor intellectual property infringements, and utilizeadministrative and judicial means in real time to protect our intellectual propertyrights.

Handling of intellectual property disputes

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices46

Intellectual Property TrainingWe have incorporated the development of patent search capabilities into our training system as a key focus toenhance the professional depth of intellectual property management. Through systematic training, we aim toimprove our employees' ability to acquire, analyze, and utilize patent information resources. By continuouslyemphasizing the strategic value of patent searches, we integrate them deeply into key processes such as innovationplanning, technology forecasting, and risk management, further supporting the improvement of our technologicalpositioning and core competitiveness.

In October and November 2024, we organizedthree sessions of specialized training onpatent search techniques, aimed at improvingthe practical skills of intellectual propertymanagement personnel in technical informationretrieval and patent analysis. The training focusedon search strategy development, database usingmethods, patent document interpretation, andcomparison of similar technologies, while usingactual cases for on-site practice. This trainingeffectively improved management personnel'sprofessional abilities in patent layout, riskforecasting, and innovation support.

CaseStrengthening Technical Support to Empower Layout Decisions

Intellectual Property Training

Product QualityFocusing on meeting customer needs, Hymson has been committed to creating high-quality products while providingexcellent after-sales service for customers. We have built a quality management system based on the productrealization process to manage product quality throughout its lifecycle. We have established processes, standards, andsystems to ensure product quality control across all stages from identifying and uncovering customer needs, designand development quality management, material quality management, and process quality management, to deliveryquality management. By reviewing and analyzing quality data, we implement continuous improvement activities,aiming to create greater value and product competitiveness for both the Company and our customers.Product Quality Management

Full Lifecycle Quality Management

Firmly upholding the principle that "quality and reliability are fundamentalto our survival", we have established a comprehensive qualitymanagement system to continuously enhance product consistency andreliability. Centering on full-process quality control, we have developedand implemented core systems such as theControl Procedure for ProductInspection, theControl Procedure for Non-Conforming Products, andtheControl Procedure for Corrective and Preventive Actions, ensuringthat each stage, from incoming materials to production and delivery, iseffectively controlled. With a solid quality management foundation, wehave passed the ISO 9001 quality management system certification andcontinue to promote quality improvement and customer satisfaction,ensuring stable operations and long-term customer trust.

We implement systematic quality management throughout the product lifecycle, establishing clear inspectionstandards and control processes for each stage, from raw material intake to ?nished product shipment. Throughincoming material inspections, process control, and finished product inspections, we ensure that quality iscontrollable and traceable at each stage. By combining inspection systems, operational standards, and abnormalmanagement measures, we have built a comprehensive quality management system that spans design,manufacturing, and delivery processes, continuously improving product consistency and customer satisfaction.

ISO 9001 Quality ManagementSystem Certi?cation

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Quality Complaints and Improvement Management

We have established a well-rounded quality complaint and improvement management mechanism. Relying on systemssuch as theControl Procedure for Continuous Improvementand theManagement Regulations on Corrective andPreventive Measures, we systematically implement closed-loop problem handling and quality improvement work. Forcustomer quality complaints and internal issues, we trace problems and assign responsibilities through theQuality ControlManagement Standardsat various stages, including incoming materials, production, and ?nished products, with promptlyformulated corrective and preventive measures. Meanwhile, combining audit results, data analysis, and managementreviews, we continue to track the e?ectiveness of improvement actions, with a view to addressing quality problems at theirroot and preventing them from recurring.

Improvement plansand measuresGoal settingImplementationof improvementmeasures

Data veri?cationResult con?rmation

Continuous Quality Improvement Process

In April 2024, we initiated a dedicated improvement initiative focused on "reducing assembly errors and omissionsin the manufacturing procedure". By conducting strati?ed problem analysis, identifying root causes, and formulatingtargeted solutions, we concentrated on key issues such as loose fasteners and poor assembly consistency.Responsibilities were clearly assigned to relevant departments, and improvement actions were implemented inphases. Over the course of ?ve months, we introduced 19 corrective measures, revised several operational standardsand quality control forms, and promoted the adoption of standardized work practices. As a result, the sub-assemblypass rate improved from 93.2% to consistently above 99%, and the ?nal product pass rate increased from 94.81% toover 98.8%, signi?cantly enhancing our quality control capabilities and process reliability in the production stage.

Case

Enhancing Process Quality to Drive Systematic Improvements inAssembly Defects

Gap analysisDemand proposal

Review of plansStandardization of e?ectivemeasures

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Inspection

Stage

Product Quality TrainingWe continue to strengthen our quality management training system by offering targeted sessions for internal staff onquality policies, process specifications, and system standards. At the same time, we conduct regular quality trainingsessions for suppliers, covering our quality requirements, general quality knowledge, and best practices in advancedquality management. Through institutionalized training and ongoing coaching, we aim to enhance quality awareness andmanagement capabilities across the supply chain, working together with our partners to raise the level of quality assuranceand contributing to the development of a stable, reliable high-quality supply system.

In November 2024, we organized quality management training fornew suppliers. The training focused on key topics such as cooperationprocesses, inspection standards, non-conforming product handling, anddocumentation management, helping new suppliers quickly understandand align with our quality system requirements. The training effectivelyimproved their quality awareness and execution capabilities, laying astandardized, e?cient foundation for future collaboration and helping builda stable and reliable supply chain system.

Case

Strengthening Supply Chain Collaboration through Quality Training forNew Suppliers

Training for New Suppliers

In October 2024, we held a quality review meeting to address raw materialquality issues. A corrective action plan was developed targeting key controlpoints such as tool inspections, inspection frequency, incoming materialinspection standards, drawing communication, and labeling management.Responsibilities and timelines were clearly defined. By reviewing existingproblems and reinforcing institutional requirements, we further improvedwork instructions and operator speci?cations. Through concerted e?orts inquality awareness training and frontline quality control, we ensured a stableand controllable production process and e?ectively prevented quality risks.

Case

Focusing on Closed-Loop Problem-Solving to Promote Quality Trainingand Corrective Actions

Quality Coaching

In 2024, we launched an online training program on quality management toenhance employees' quality awareness and professional skills. The trainingcovered essential topics such as operation standards, quality inspectionprocedures, and non-conforming product handling speci?cations. Deliveredthrough a hybrid model of "live-streamed lectures and real-time Q&A", thetraining reached cross-functional teams including R&D, production, andquality inspection. This initiative ensured clear and e?ective communicationof key content, reinforced employees' understanding of qualityrequirements, and promoted standardized operations, further consolidatingour quality management foundation.

Case

Strengthening Standard Knowledge through Online QualityManagement Training

Online Quality Training

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Collaboration ·Win-WinProductionAt Hymson, we view collaborative development as a keydriver in building a stable external partnership networkbased on mutual trust. By deepening value co-creation, wefoster positive interactions across customers, the supplychain, and the industry chain. We continue to refine ourcollaboration mechanisms and improve our collaborativeefficiency and professional service capabilities. Whilesteadily improving our own operational performance, wealso actively contribute to the stability and advancement ofthe entire ecosystem, fostering an intrinsic momentum forjoint development.

Customer Rights and InterestsResponsible SourcingIndustrial Synergy

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

During the reporting period

Customer Rights and Interests

Hymson attaches great importance to safeguarding customer rights and interests by establishing a comprehensivecustomer service system that offers timely responses and efficient, professional full-process support. Throughregular customer satisfaction surveys, we continuously optimize our service quality and the overall customerexperience. Additionally, we provide training services covering the entire product lifecycle, helping customersbetter understand how to operate and maintain the equipment and building long-term, trustworthy, and win-winpartnerships.Customer Service SystemWe have developed a service system based on our philosophy of "providingtailor-made services for win-win partnerships" and also formulated theControl Procedure for Customer Service and other relevant procedures.Adhering to a service approach that is e?cient, professional, and foresight-driven, we are committed to providing customers with support throughoutthe full lifecycle. By continuously improving our service mechanism andresponsiveness, we continue to enhance the customer experience andstrengthen customer relations, o?ering strong support for building a stableand sustainable external cooperation environment.

we received customer complaint.

Customer-orientedPrevention FirstProfessional and E?cientWe place the needs of ourcustomers at the forefront,ensuring a quick and proactiveresponse to equipment repairs,technical inquiries, and usageguidance. We guarantee thatany issues encountered by ourcustomer during the use of sheetmetal equipment are addressedpromptly, ensuring minimaldisruption to their productionand operations.

We focus not only on repairingequipment after issues arisebut also on identifying potentialrisks in advance throughregular follow-ups, equipmentinspections, and other proactivemeasures. We also assistcustomers in maintaining andservicing their equipment,thereby reducing the likelihood

of failures.

Our after-sales team memberspossess solid professionalknowledge and extensivepractical experience, enablingthem to accurately diagnoseequipment issues and providethe fastest repairs. The technicaladvice and solutions we o?er arebased on professional judgment,thereby saving customers both

time and cost.

We communicate with clients throughphone, online, or in-person meetings togather information about their productrequirements. Our goal is to fullyunderstand and accurately meet ourclients' needs;We clarify contract and order handling,including requirements for changes, toensure that client requests are accuratelycommunicated to relevant internaldepartments, thereby meeting their needsand expectations in a timely manner andenhancing customer satisfaction.

When equipment malfunctions cannot be resolved via phone guidance, our after-sales team willvisit the customer site within the stipulated time, based on proximity. Technicians arrive with allnecessary repair tools and common spare parts to quickly diagnose and ?x the issue, ensuringnormal equipment operation.On-SiteRepair

Using video calls and remote control software, we o?er customers real-time technical support.Our technicians can monitor equipment status remotely and guide customers through operationsand basic troubleshooting, improving service e?ciency.RemoteSupport

We provide training for new customers on equipment operation and maintenance, helpingoperators familiarize themselves with equipment performance and operation techniques toprevent operational faults. We also organize advanced training for long-term customers to sharenew technologies, features, and more e?cient operational methods.TrainingServices

We have established a comprehensive spare parts inventory management system to ensure asteady supply of commonly used parts. For urgent spare parts needs, we activate a rapid deliverymechanism, working with reliable logistics partners to ensure the fastest delivery to customers.SparePartsSupply

Customer Service Lifecycle Management

Customer Service Modes

We have set up a dedicated after-sales hotline to handle customer calls promptly. Our professionalcustomer service staff records customer issues in detail and promptly escalates them to therelevant technical personnel for rapid response.After-SalesHotline

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Our engineers support clients throughoutthe manufacturing to acceptance andinstallation process, swiftly addressingtheir needs;We regularly update clients on projectprogress during the productionpreparation and commissioning phase,enhancing their con?dence;The Factory Acceptance Testing (FAT)is strengthened to meet the "ready-to-power and ready-to-produce" qualitygoal, boosting client satisfaction with theequipment.O?ering 24/7 after-sales service, clients can contact our consultants or after-sales specialists for technical supportand troubleshooting. A well-stocked inventory of spare parts ensures rapid problem resolution;A dedicated after-sales service group provides e?cient remote support, addressing any issues promptly;We provide clients with training on digital simulation and professional after-sales maintenance tutorials to helpproduction personnel quickly adapt themselves to new production modes;Regular customer satisfaction surveys are conducted to collect feedback on products and services, allowing us tomake timely improvements;We make irregular visits to customers to understand their evolving needs and trends, aiming to enhance satisfactionand strengthen our relationship with them.

Customer Service Philosophy

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Customer Satisfaction Survey

Hymson always considers customer satisfaction as the core goal of its service efforts. We have established asatisfaction management mechanism covering the entire order execution and service process. By regularlydistributing customer feedback surveys, we systematically collect customer opinions on product quality, deliverye?ciency, technical support, service response, etc. This ensures that customer feedback is promptly captured andaddressed. Based on the survey results, we compile customer satisfaction analysis reports, continuously optimizeservice processes and product performance, and constantly raise customer experience and satisfaction to a higherlevel. This drives the establishment of long-term, stable, and trust-based cooperative relationships between theCompany and our customers.

During the use of our laser-assisted sintering equipment, a customer raised higher demands for equipmentefficiency and automation speed. In response to the low efficiency issue, we conducted on-site researchand internal validation and adjusted the existing line scanning method to area scanning, which signi?cantlyimproved and stabilized the equipment's e?ciency. To meet the customer's need for faster automation cycletime (CT), we coordinated e?orts among our R&D, process, and project teams to optimize the laser parametersand automation processes, reducing the CT value from 0.75 to 0.68, exceeding the customer's expectations.This improvement reinforced the customer's trust in our products and services, laying a solid foundation for ourfuture collaboration.

CaseImproving Automation E?ciency Beyond Customer Expectations

While using our laser-assisted sintering equipment, oneof our customers noticed that some machines werenot delivering the expected efficiency improvementsfor their battery cells, impacting overall production lineperformance. In view of this problem, we quickly organizeda technical and R&D team to visit the site, identifiedthe issue as a result of laser line-width deviationsand improper parameter matching, and made timelyadjustments to optimize the equipment. As a result, theequipment's optimal performance was quickly restored.Additionally, we provided the customer with operationaltraining to enhance their pro?ciency. Our e?cient servicewas highly recognized by the customer, enabling us to beawarded the "Excellent Supplier of the Year".

CaseOptimizing Sintering Performance to Enhance Customer Satisfaction

Thank-You Letter from the Customer

Customer Service Training

We place a great emphasis on building customer service capabilities by continuously improving our internalpersonnel training mechanism to enhance the professional expertise and responsiveness of our service teams.Through systematic training, we help our service personnel better understand and address customer needs,providing more efficient, standardized, and professional service support, thereby strengthening the stability andexecution power of our service system.

After-Sales Manager Training Program

In April 2024, we held the first course review meeting for the photovoltaicafter-sales site manager training program, discussing and optimizing coremodules such as process management, customer response, and problemanalysis. The meeting focused on the practicality and systematization of thetraining content, defining updates regarding various courses and assigningresponsibilities to guide the development of a standardized and systematictraining system for after-sales managers. This initiative aims to raise our on-site management and service levels, ensuring that we provide more e?cientand professional service support to customers.

CaseAfter-Sales Manager Training to Strengthen Service Management Capabilities

Faced with a customer's strict requirements for high-end power batterymanufacturing efficiency and quality, we focused on core technologies andresponsive services, collaboratively building China's first high-speed short-blade stacking intelligent production line. During the project implementation,we formed a dedicated team that successfully overcame key technologicalbottlenecks through process innovations, quality control upgrades, and anagile service mechanism. We achieved an equipment utilization rate of 98.5%and a yield rate of 99.93%, completing the ramp-up to mass production in45 days. The project reached full production 28 days ahead of schedule andreceived zero customer complaint for 90 consecutive days, earning us the"Excellence in Quality of the Year" award from the customer.

Case

Empowering High-Speed Stacking Lines to Enhance CustomerDelivery Experience

Thank-You Letter from the Customer

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Responsible Sourcing

At Hymson, we adhere to a responsible sourcing philosophy, building a comprehensive supplier managementsystem to rigorously ensure supply chain compliance and sustainability. Through a well-structured admissionmechanism, performance evaluations, and training support, we encourage our suppliers to continuously improvein areas such as quality, environmental, and social responsibility. We also emphasize transparent procurementmanagement, implement anti-corruption policies, and actively promote green procurement and con?ict mineralcontrol, collaborating with our partners to create an open, transparent, cooperative, and mutually bene?cial supplyecosystem.

Supplier AdmissionWe place great importance on supply chain management and have established a thorough supplier managementand admission mechanism to ensure compliant and sustainable procurement activities. We strictly follow theSupplier Management Procedures when onboarding new suppliers, requiring potential suppliers to submitquali?cation documents, undergo background checks, and be thoroughly audited either on-site or via video. Theaudit covers areas such as environmental management, social responsibility, and business compliance. Onceapproved through internal processes, qualified suppliers are officially integrated into our supply chain and arerequired to sign letters of commitment such as the Letter of Commitment to Non-Use of Conflict Minerals andcooperation agreements. This mechanism allows us to continuously optimize our supplier structure and promotetransparency and compliance in the supply chain.Additionally, we strictly enforce the Management Regulations on Integrity for Transparent Procurement and theRegulations on Rewards and Penalties for Transparent Procurement and have built a transparent procurementresponsibility system led by the General Manager. In raw material and production material sourcing, we have fullyintroduced an environmentally friendly and compliance control mechanism, ensuring that suppliers sign the lettersof commitment to environmental protection and anti-corruption, and that materials supplied are free from harmfulsubstances and conflict minerals. Through audits, evaluations, filing, and third-party testing, we fully implementgreen and responsible sourcing, continually building a fair and impartial transparent procurement environment.

We issued a notice to promote the requirements on Rewards andPenalties for Transparent Procurement to all suppliers, emphasizingjust, fair, and open procurement practices. We made it clear that allpartners must adhere strictly to our regulations on anti-corruption andself-discipline, preventing any form of commercial bribery or impropertransfer of bene?ts during transactions. This initiative has strengthenedthe transparent cooperation mechanism in the supply chain, promotingthe establishment of a clean, efficient, and transparent procurementenvironment.

Case

Collaborating with Suppliers to Build an Anti-Corruption CooperationEcosystem

Transparent Procurement Awareness Campaign

Supplier EvaluationWe have established a systematic supplier performance evaluation mechanism based on the Supplier ManagementProcedures and relevant evaluation standards. Suppliers are assessed regularly on key indicators such as delivery,quality, service, and business performance. Based on the evaluation results, we assign ratings and developimprovement plans to drive performance enhancement. Suppliers with poor performance may face warnings,corrective actions, or order freezes to ensure continuous optimization of supply chain quality and e?ciency.

Supplier Training

We conduct regular training for our suppliers to help them efficiently use our online business platform, therebyenhancing collaboration efficiency and information transparency. The training covers platform registration andlogin, order receipt, delivery feedback, reconciliation management, and other functions, ensuring that suppliersfollow standardized and smooth online operations at each stage of procurement, delivery, and reconciliation.Through this platform training, we have strengthened our digital integration with suppliers, driving the intelligentand e?cient development of our supply chain management.

To improve the digitalization of our supply chain, weorganized the first round of online platform training forsuppliers. The training focused on providing systematicguidance on how to use our platform, including accountregistration, order processing, delivery note creation,reconciliation, and invoice registration. After the training,suppliers could master online collaborative operationsthroughout the entire order-to-invoice process, signi?cantlyimproving their business processing efficiency and datatransparency while fostering high-efficiency collaborationand data exchange between the Company and suppliers.

CaseSupplier Training to Optimize Collaborative Foundations

Online Platform Training for Suppliers

Supplier Rating and Rewards/Penalties

Evaluation ScoreRatingDeterminationRewards and Penalties

90≤I≤100AExcellent Supplier

Priority orders, priority payment, andincreased order volume75≤I <90BGood SupplierNormal procurement60≤I <75CAverage Supplier

Reduced order volume and assistedprocurementI < 60DDisquali?ed Supplier

Restricted orders, deadline forimprovement, and last-place elimination

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Industrial Synergy

At Hymson, we actively participate in industrial collaboration, establishing close partnerships with upstream anddownstream enterprises to drive resource integration and value co-creation. We also join industry associations toengage in industry governance and policy discussions, enhancing our influence in the industry. Additionally, weregularly attend various professional exhibitions to showcase our latest technologies and products, expand marketchannels, and strengthen our brand's in?uence. Moreover, we actively participate in the development of industrystandards, contributing to raising the standardized level of the industry and solidifying our professional standing inthe sector.Participation in Industry AssociationsWe actively participate in industry associations to stay informed about the latest industry trends and policydirections, strengthening communication and cooperation with peer companies. By engaging in various activitiesorganized by these associations, we continuously improve our professional expertise, broaden our businesshorizons, and contribute to the healthy and orderly development of the industry.Title of AssociationRoleShenzhen Battery Industry AssociationVice PresidentChina Industrial Association of Power Sources (Power Batteries)MemberGuangdong Battery Industry AssociationExecutive Vice PresidentChina Battery Industry AssociationGroup MemberShenzhen Intelligent Equipment Industry Association/Shenzhen ElectronicEquipment Industry

Vice PresidentChina Society of New Energy Entrepreneurs and PECA PV ESS ChargingAlliance

Vice ChairmanSociety for Information Display (SID)MemberGuangdong Laser Industry AssociationVice PresidentFederation of Shenzhen IndustriesMemberShenzhen Enterprise ConfederationMemberShenzhen Arti?cial Intelligence Industry AssociationVice PresidentGuangdong Enterprise Brand Construction Promotion AssociationMemberJiangsu Province Laser Industry Innovation AllianceVice ChairmanChina Advanced Semiconductor Industry Innovation AllianceMemberGuangdong New Energy Storage Industry Innovation AllianceMember

Title of AssociationRole

Jiangsu Energy Storage AssociationVice ChairmanAdvanced Battery Materials Industry ClusterVice ChairmanChina Video Industry AssociationMemberShenzhen Future Industry Promotion AssociationMemberShenzhen Advanced Manufacturing Industry Promotion AssociationVice PresidentShenzhen New Energy Storage Industry AssociationMemberGuangdong Industrial Quality Management AssociationMemberWelding Division of Guangdong Provincial Mechanical Engineering SocietyVice ChairmanLaser Processing Special Committee of Chinese Optical SocietyMemberThe 4th Technical Sub-committee on Laser Material Processing and LaserEquipment under the National Standardization Technical Committee forOptical Radiation Safety and Laser Equipment

Committee MemberGuangdong Machinery Industry Quality Management AssociationMemberChina Industrial Association of Power Sources (CIAPS)MemberGuangdong Institute of Electronics/Shenzhen Terminal ElectronicsManufacturing Industry Association

MemberChina Society of Automotive EngineersMemberShenzhen Sheet Metal Industry AssociationMemberSpecial Machine Tool Branch of China Machine Tool & Tool Builders'Association

MemberGuicheng Federation of Industry and CommerceMemberNational Center of Technology Innovation for DisplayLead Entity for Sub-PlatformThe Society for Information Display (SID) Beijing ChapterMemberSpecial Processing Branch of Guangdong Mechanical Engineering SocietyMemberGuangdong Machinery Industry Quality Management AssociationMemberPhotovoltaic Equipment Technology Innovation AllianceMember

Industry Associations & Our Roles

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Participation in Industry ExhibitionsWe attach great importance to open communication and continuous learning in the industry by actively participating indomestic and international professional exhibitions and summit forums. Through regular appearances at key industryevents, we showcase our latest achievements in technological innovation and product development. This not onlyenhances the market's recognition and trust in our brand but also allows us to stay up-to-date on the latest industry trends,facilitating extensive exchanges with upstream and downstream players, academic institutions, and industry media.

In March 2024, we showcased our advanced laser light sources and cutting-edge intelligent manufacturingtechnologies at the 18th Laser World of Photonics China. By presenting our core achievements and innovativeapplications in laser technology, we attracted signi?cant industry attention. By leveraging product displays, keynotespeeches, and interactive sessions, we not only boosted our brand influence but also strengthened customerrecognition of our product technology. This effort successfully expanded our market channels and generated awealth of potential customer leads, further cementing our professional standing and ongoing innovation in the laserapplication ?eld.

In April 2024, Hymson presented its independently developed high-end new energy battery manufacturingequipment and cutting-edge manufacturing technologies at the 16th China International Battery Fair (CIBF)2024. Focusing on the core pain points in lithium battery manufacturing, we conducted six technical exchangeroadshows, o?ering new intelligent manufacturing solutions to help the lithium battery industry navigate throughthe structural adjustment cycle. These solutions were based on three main directions: technological iteration,application innovation, and the generation of high-quality production capacity. With our leading technologicalinnovation capabilities, we have continued to drive the high-quality development of the new energy industry, furtherstrengthening our core competitive advantage and industry leadership in the lithium battery equipment sector.

Case

Case

Participating in the Laser World of Photonics China to Lead the Future ofIntelligent Manufacturing with Laser Technology Innovation

Participation in CIBF 2024 to Expand New Opportunities in the LithiumBattery Market

Hymson at the Laser World of Photonics China

Exhibition Site Interview by Gaogong Lithium Battery

In June 2024, we attended SNEC 2024 with our latest photovoltaic intelligent manufacturing solutions and multipletechnological innovations, leading the development of the industry with innovative technologies. Among the exhibitswere the BR-PS series picosecond lasers and BR-FS series industrial femtosecond lasers, which cover a wide rangeof wavelengths, including infrared, green, and ultraviolet, with ultra-short pulse durations and high peak power.These lasers are highly adaptable to various innovative applications and technological routes in the photovoltaicindustry. Through the exhibition, we not only demonstrated our technological strength in photovoltaic intelligentmanufacturing but also further consolidated our leadership position in the industry, contributing innovative power tothe global upgrade of the photovoltaic industry.

Case

Hymson's Presence at SNEC 2024, Leading the Upgrade of PhotovoltaicIntelligent Manufacturing with Innovative Technologies

Self-Developed BR-FS Series Industrial Femtosecond Laser

In March 2024, we attended InterBattery 2024 in SouthKorea to present our latest laser products and innovativetechnologies. Among these products, our high-speedlaser die-cutting machine achieved a mass productionspeed of over 120 m/min, effectively solving challengesrelated to electrode tab cutting precision and dustcontrol. Our high-speed laser ablation machine, featuringa customized dust removal system and precise controltechnology, enhanced energy density in power batteriesand addressed issues like lithium precipitation. Withdigital and intelligent laser technologies as our core, wecontinue to drive e?cient development in lithium batterymanufacturing, showcasing our innovative strengthunder the principle of "customer ?rst".

Case

Participating in InterBattery 2024 in South Korea to Showcase Our LaserManufacturing Innovations

Our Presentation at InterBattery 2024

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

In June 2024, we participated in the Battery Show Europe2024 in Germany, where we unveiled our core lithiumbattery equipment models, demonstrating our full industrychain capabilities from electrode manufacturing to module/PACK technology. Our electrode cutting solutions achievedindustry-leading precision, effectively controlling the heat-affected zone. Additionally, our innovative laser weldingtechnology met the need for reliable connections betweendifferent materials, showcasing its unique advantagesin the cell assembly stage. The laser blue film cleaningsolution, specially presented at the event, demonstratedhigh-e?ciency ?lm removal while ensuring zero damage tosubstrates. Through 3D presentations of our laser technologysamples, we showcased our professional strength in laserprecision processing to global clients, offering innovativeprocess solutions for lithium battery manufacturing.

Case

Showcasing Innovative Solutions in Intelligent Manufacturing of LithiumBattery at the Battery Show Europe 2024 in Germany

The Battery Show Europe 2024 Exhibition Site

In October 2024, we presented our intelligent manufacturingsolutions of innovative lithium battery at the Battery ShowNorth America, focusing on the three core demands of"high safety, high quality, and high energy efficiency". Inthe field of laser precision processing, we showcased ouradvanced electrode tab cutting technology, achievinghigh-speed, high-precision processing. Our prismatic cellassembly solution, utilizing innovative welding techniques,signi?cantly improved product reliability. We also presentedour intelligent drying system and flexible module/PACKproduction lines, tailored to address industry pain points,demonstrating our deep expertise in process innovationand intelligent manufacturing. Through the physicaldemonstration of over ten key process samples, we fullyshowcased our technological leadership in precision laserprocessing to international clients, providing innovativepower for the global lithium battery industry's high-qualitydevelopment.

Case

Participating in the Battery Show North America to Diversify into the NorthAmerican Lithium Battery Market

The Battery Show North America Exhibition Site

Industry Exhibitions

we attended the "OFweek 2024 Power BatteryIndustry Annual Conference", where our SeniorR&D Director delivered a keynote speech, sharinginnovative lithium battery manufacturing solutionsand contributing to the high-quality developmentof the industry.

we participated in the Gaogong Energy StorageIndustry Summit, where we discussed energystorage technology development trends andindustry innovation directions with experts, furtherpromoting high-quality development in the energystorage sector.

we took part in the 3rd Biomedical PhotonicsCross-Disciplinary (BPC 2024) Academic Forum,showcasing our latest technological achievementsand application cases in biomedical photonics.

we participated in the 2024 InternationalConference on Display Technology (ICDT2024), where we demonstrated cutting-edgetechnology achievements in the display ?eldthrough professional display and communication,showcasing our technical strength in high-endmanufacturing.

Our R&D Director Sharing Experience at the OFweek

Annual Conference

Summit SiteOur Participation at BPC 2024

ICDT 2024 in Hefei

In March 2024

In June 2024In June 2024

In April 2024

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

we attended the 17th Gaogong Lithium BatteryIndustry Summit & the 3rd New Energy IntelligentManufacturing Summit, where we engaged withindustry experts to discuss technological trendsin the lithium battery industry and innovativeapplications of intelligent manufacturing.

we participated in the 2024 Shenzhen InternationalMLED Direct Display Industry Summit Forum, wherewe showcased several patented technologicalachievements and innovative solutions in the Mini/Micro LED ?eld.

we attended the 7th ChinaInternational PV and Energy StorageIndustry Conference, where wepresented multiple innovativephotovoltaic intelligent manufacturingtechnologies and core products,contributing to the technologicalupgrade of the photovoltaic industry.

as the title sponsor, we successfully hosted the2024 Gaogong Lithium Battery Annual Conferenceand the Gaogong Golden Ball Awards Ceremony.Our breakthrough in intelligent manufacturingtechnology of solid-state battery earned us twoprestigious awards.

Wu Jin, Head of Cutting-Edge Technology of the Photovoltaic

Industry Center, Delivering a Speech

Roundtable Dialogue at the Annual Conference

In July 2024In October 2024

In November 2024

In November 2024

Summit SiteOur Participation in the Summit Forum

we participated in the 2024 Annual General MeetingConference of the Guangdong Battery IndustryAssociation and Awards Ceremony, where wediscussed the future prospects of the batteryindustry with our industry partners.

We Delivering a Speech as the Dinner Sponsor Representative

In December 2024

Participation in the Development of Industry StandardsWe fully leverage our technical accumulation and practical experience toactively participate in the development and revision of relevant industrystandards, covering product performance, quality control, and otherkey areas. By participating in the formulation of these standards, wehave aligned our internal management systems with industry standards,ensuring dynamic and synergistic optimization. While improving ouroperational efficiency, we also contribute to the iterative upgrading ofindustry standards, injecting momentum into the creation of a sustainableindustry ecosystem.

During the reporting period

we contributed to thedevelopment of

industry standard.

We have been actively involved in the formulation of the standard DigitalSimulation in Manufacturing Industry. Leveraging our strong foundationin intelligent manufacturing and digital transformation, we have deeplyengaged in the framework construction and technical discussions of thesestandards. Through these efforts, we not only contribute our expertiseto the standardized application of digital simulation technologiesin manufacturing but also drive the overall enhancement of digitalcapabilities and standard systems of the industry. This initiative fullyshowcases our professional commitment to promoting high-qualityindustry development and highlights our governance value.

Case

Contributing to the Development of a Simulation Standard in the ManufacturingIndustry to Demonstrate Our Leadership in Professional Technology

National Standard Digital Simulation inManufacturing Industry—Classi?cation

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Environmental Protection and Climate ActionEnergy Management and Resource ConservationWastewater, Waste Gas, and Solid WasteManagement and Chemical SafetyBiodiversity Conservation

Sustainability ·Protecting OurPlanet

At Hymson, we actively respond to the national carbonpeaking and carbon neutrality ("dual carbon") strategyand embrace the ecological civilization concept that"lucid waters and lush mountains are invaluable assets".We view green development as one of our core strategiesby establishing environmental protection mechanisms.Through efforts in various areas such as stringentenvironmental protection measures, technologicalinnovation, social responsibility fulfillment, and thetransition to green energy, we are committed to reducingemissions and pollution across the board. Moreover, weactively promote the construction of green factories andthe research and development of low-carbon technologies.Looking ahead, we will continue to enhance ourenvironmental management, explore more green solutions,and demonstrate our proactive efforts in protectingthe ecosystem, preventing pollution, and fulfilling ourenvironmental responsibilities.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Environmental Protection and Climate ActionTo adapt to the trend of global economic integration and increasingly intense market competition, we fullyimplement the GB/T 24001-2016/ISO 14001:2015 environmental management system standards. We havedeveloped numerous procedural documents to meet customer demands and compliance requirements whilefocusing on building a scientific and efficient environmental protection system. By refining our environmentalmanagement system, optimizing resource recycling, and strengthening pollution prevention measures, we aim tominimize resource consumption and environmental impact during production and operations. In alignment withthe national "dual carbon" policy, we have formulated a climate change response plan to reduce the impact of ouroperations on the climate, enhance our capacity to manage climate risks, comprehensively practice the concept ofgreen development, and improve both our economic and ecological bene?ts.Environmental Protection

To continuously improve our environmentalprotection management, we have established acomprehensive environmental management system,including relevant policies such as theManagementRegulations

on General Industrial Solid Waste, theManagement Measures for Wastes, theManagementMeasures for Chemicals, and theManagementMeasures for Water, Electricity, and Paper. Witha well-structured environmental managementorganization, we systematically identify and e?ectivelycontrol environmental risk sources, conduct regularenvironmental training, and continually raiseemployees' environmental awareness. This ensuresthat all of our production and operations consistentlymeet environmental standards, achieving continuousimprovement in our environmental performance.

ISO 14001 Environmental Management System

Certi?cation

Hymson Jiangsu was awarded the Honor of "2024

Jiangsu Green Factory"

During the reporting period

we invested

During the reporting period, the wastewater,exhaust gas, and noise emissions from ouroperations all met regulatory discharge standards,and no environmental pollution issue wasreported during our production and operations.Furthermore, we did not incur any administrativepenalties during the reporting period.

million inmillion inRMBRMB

2.25

1.9559

Environmental Management SystemTo enhance our environmental management performance, we uphold the core management philosophy of"environmental health and prevention first". By developing policies such as theManagement Measures for ESHStakeholders and the Environmental Health and Safety Manual, we have established a standardized managementprocess and continuously improved our environmental management system. These efforts help controlenvironmental pollution and minimize the impact of our production and operations on the environment.

Focus on prevention inenvironmental protectionRegard safety as the top priority andimplement people-oriented measuresObey the law and promote sustainable

development

Zero ?re and explosion accident

100% law-abiding disposal of

hazardous waste

Zero environmental pollution incident

100% law-abiding emissions of exhaust gases,

wastewater, and noise

An annual 0.2% decrease in per capita usage

of water, electricity, and paper

Identify and assess environmental factors pertinent to their speci?c areas;Achieve EHS objectives and meet indicators according to plan speci?cations.Various CentralDepartments

Organizational Structure of Environmental Management

Collects and monitors the progress of the Company's objectives, indicators,and plans.Administrative

Department

Regularly forms a team for identifying environmental factors to coordinate andadvance the identification and evaluation of environmental aspects across allactivities, products, and services of the Company, and crafts EHS objectives,indicators, and plans following policy requirements.

EHS SystemPromotionCommittee

Formulates and issues EHS policies to ensure their implementation.General Manager

Review and approve identi?ed environmental factors;

Endorse EHS objectives in line with policy demands.ManagementRepresentatives

EHSPolicies

Environmental

ProtectionTargets

environmental protection and Hymson Jiangmeninvestedthe same area.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Environmental Risk Management

We place a high priority on managing environmental risks and controlling hazards. To improve ourability to identify environmental factors and respond to emergencies, we have established a systematicenvironmental safety management mechanism. Core institutional documents have been formulatedand implemented, including the Procedure for Environmental Factors Identification and Evaluation,theProcedure for Hazard Identification and Evaluation, theContingency Plan for EnvironmentalEmergencies, and theAdministrative Measures for New, Renovated, and Expanded Facilities, andtheTarget Control Procedures. We have built a comprehensive risk control system, under whichenvironmental factors and hazards associated with production and business activities are regularly andsystematically identi?ed and subject to graded assessment, control standards are established, and tieredmanagement is implemented. For important environmental factors and unacceptable risks that havebeen identi?ed, we develop targeted management plans, set clear control objectives, and implementoperational measures. Through regular EHS inspections and the hazard rectification mechanism, weensure that emergencies are e?ectively handled and environmental and occupational health risks arecontinuously reduced.

Process of Identifying and Assessing EHS Environmental Factors

The EHS System Promotion Committee establishes an environmental factor identi?cation team;Organization Setup

Taking the central department as the unit and considering the scope of identi?cation, classi?cation ofenvironmental impacts, and status and timing of environmental factors, several methods including thematerial balance method are used to identify environmental factors and carry out impact assessments,and theEnvironmental Factor Identi?cation Evaluation Sheet and the List of Important EnvironmentalFactors are ?lled out;

Identi?cation Process

Management representatives review and approve the identi?ed environmental factors;

Approval by the Management

Departments responsible for key environmental factors are required to devise objectives, indicators,and plans following theProcedure for Management of Objectives, Indicators, and Plansand controltheir implementation;Environmental Factor Control

For new, expanded, or renovated environmental treatment facilities, the Administrative Department istasked with securing completion acceptance from the relevant governmental authority. Facilities canonly be utilized after passing this acceptance check.Measures for new, renovated, and expanded

Environmental Protection Training

To raise environmental awareness among our employees, we have provided extensive environmental training at all levels.Through methods such as on-site lectures and self-study video courses, we educate employees on our environmentalmanagement policies and general environmental knowledge. This training helps to prevent and reduce variousenvironmental incidents and non-compliance, providing a strong foundation for the standardization of our environmentalmanagement e?orts.

Hymson Jiangmen organized training on the ISO 14001 Environmental Management System for new employees. Thetraining focused on key topics such as environmental policies, goal setting, operational control, and performanceevaluation. We explained the significance of environmental management and its specific requirements, using practicalcases to help new employees quickly understand the key elements of our environmental management system. The trainingalso emphasized the importance of energy-saving, emission-reduction, and resource-recycling behaviors, guiding newemployees to incorporate these principles into their daily tasks. An interactive Q&A session was included to address anyquestions, ensuring that every employee could understand the core environmental management concepts and contributeto our sustainable development e?orts.

CaseHymson Jiangmen Conducting Environmental Management System Training

Environmental Management System Training for New Employees at Hymson Jiangmen

Hymson Jiangsu invited the Jintan District New Era CivilizationPractice Volunteer Service Team and the Jintan District Ecologyand Environment Bureau in Changzhou to provide seminars onenvironmental laws and regulations for our employees. The seminarfocused on Xi Jinping's thought on ecological civilization andintroduced China's legal framework for environmental protection,covering topics such as environmental impact assessments, pollutionprevention, and ecological protection. Through case studies ofviolations from companies like a mechanical and electrical technologycompany in Jiangsu and a construction material company inChangzhou, the training underscored the importance of complyingwith environmental laws and avoiding environmental pollutioncaused by negligence. This training signi?cantly enhanced employees'legal awareness regarding environmental protection and strengthenedour environmental compliance capabilities, providing a solidfoundation for ful?lling our environmental protection responsibilities.

CaseHymson Jiangsu Organizing Seminars on Environmental Laws and Regulations

Employees Participating in the Seminaron Environmental Laws and Regulations

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

IntegrityFoundation of GovernanceOverview71

InnovationLeading through Intelligence

CollaborationWin-Win Production

Actively Responding to Climate Change

Climate Governance Framework

Identifying and Responding to Climate Risks and Opportunities

In active response to the global challenge of climate change, we are committedto implementing national strategic directives and integrating climate changeissues into our corporate management system. Through theControl Procedurefor Enterprise Risk and Opportunity Identification, we have systematicallyidenti?ed and assessed climate-related risks and opportunities and built a climategovernance framework encompassing governance, strategies, risk management,and indicators & targets. To address climate risks, we have adopted various carbon-neutral measures such as photovoltaic (PV) power generation and others, therebyenhancing our ability to resist risks related to climate change and capitalizing onthe development opportunities arising from the low-carbon transition.

We place a great emphasis on climate change management and have established a robust climate governance structurethat addresses climate change from the top down. The Board of Directors holds ultimate responsibility for climategovernance, overseeing the formulation of related strategies while supervising and reviewing the e?ective implementationof climate action plans. By doing so, we ensure that the response actions are e?ectively implemented and that our climateresilience and low-carbon transition capabilities continue to improve.To build climate resilience, we are accelerating our green transformation. We have established a systematic climate riskmanagement mechanism to identify and assess climate risks in our operations. Potential risks, opportunities, and impactsare mapped out, and corresponding response plans are developed based on the assessment results. Furthermore, we areactively engaged in building infrastructure, managing energy and resources, investing in and transitioning to clean energy,collaborating and participating in policy development, and providing green products and services, all around our climatestrategy. Our goal is to continue to manage climate risks and seize climate opportunities.

Hymson Shenzhen obtainedits greenhouse gas veri?cationreport in December 2024.

Types ofRisks

Description of Risks

Impact of RisksDurationof Impact

A?ected Part

Financial

ImpactPhysical RisksAcute risk

Extreme weather conditions such as typhoons and ?oodspose increasing severity, which may cause depreciationof ?xed assets, loss of labor, or disruptions in the supplychain.

Short tomedium-term

InboundlogisticsProductionand operation

Increased

costsDecreased

revenueTransition RisksReputationrisk

Stakeholders such as clients and consumers are payingincreasing attention to our performance in addressingclimate change. Failure to take proactive actions toaddress climate change may result in our failure to meetstakeholder expectations, which could damage ourimage and reputation.

Short tomedium-term

Marketing and

sales

Decreasedrevenue

Policy andlegal risks

Current climate-related regulations are becomingincreasingly stringent, and new laws and regulations willcontinue to emerge, putting pressure on complianceand management. We need to meet current regulatoryrequirements for compliance in production, operations,and sales processes, and proactively respond topotential or forthcoming new regulations.

Medium tolong-term

Productionand operationMarketing andsales

IncreasedcostsIdenti?cation of Climate Risks

Type ofOpportunity

Description of Opportunity

Impact of OpportunityDuration ofImpact

A?ected Part

FinancialImpactLow-carbonproducts andservices

In the context of the transition to a low-carboneconomy, there is a potential increase in thedemand for green, low-carbon products andservices. By developing and delivering low-carbon products, services and solutions, wecan better position ourselves in the market tomeet customer demand and create additionalgrowth opportunities.

Long-term

Marketing andsales services

Increasedrevenue

Transition torenewableenergy

With the development and innovation of greentechnologies and the introduction ofsupportive policies, renewable energy isbecoming increasingly accessible and pricesare falling. The use of renewable energy inproduction and operational processes canreduce direct energy costs and help us meetthe regulatory pressures and low carbontargets we face in the end market.

Medium to long-term

Production andoperation

Decreasedcosts

E?cientresourcemanagement

Measures such as energy management inproduction and operations, recycling of waterresources and materials, and promotion ofgreen production and logistics can enhanceresource efficiency and contribute to globalcarbon reduction e?orts. An e?cient resourcemanagement system can effectively preventwaste, reduce our operating costs, and alsoimprove production efficiency and supplycapacity.

Medium to long-term

Production andoperation

Decreased

costs

Increasedclimateresilience

Continually improving our ability to respondand adapt to climate change gives us morescope to take advantage of climate-relatedopportunities. Building climate resilience intoinfrastructure and supply chains can improvethe stability of our assets and operations.By introducing adaptive projects such asrenewable energy and developing top-notchlaser and automation products and services,we can bring new opportunities to theCompany.

Long-term

Production and

operationInbound/outbound logistics

Marketing andsales services

Increased

revenue

Climate Opportunities and Impacts

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

MeasuresMeasuresTypes of Risks and

Opportunities

Types of Risks andOpportunities

Acute risk

Reputation risk

Policy and legalrisks

Physical Risks

Transition Risks

Establish a dedicated institution: We establish an emergency response team forsudden disasters and extreme weather conditions to assume typhoon prevention work,and form a sophisticated emergency management mechanism for climate events;Develop an emergency plan: We develop emergency plans for extreme weatherconditions and conduct regular drills and reviews to ensure full implementation ofthose plans. Also, we have developed theManagement Procedure for EmergencyPreparedness and Response and the Emergency Plan, specifically for typhoons andother extreme weather conditions;Emergency drill for extreme weather conditions: We conduct regular extreme weatheremergency drills to ensure the e?ectiveness of the emergency response mechanism.During the reporting period, the Shenzhen Headquarters and the Hymson Jiangmenconducted one emergency drill for typhoon and heavy rain conditions respectively;Impact of new factory: Consideration of climate disasters and their impacts areincluded in the environmental impact assessment of new factories.

EHS management: We have established an EHS management mechanism for timelydisclosure of strategic plans, targets, actions, and performance in addressing climatechange;Image promotion: We abide by relevant policies and regulations, consciously promoteour low-carbon image, enhance our green credibility and social reputation, and carryout frequent environmental protection campaigns in communities, so as to build agreen image for the Company;Customer expectations: In response to customers' demands for environmentalprotection, we take carbon reduction measures to meet their expectations andincorporate their environmental preferences into our product development;Green supply chain: We conduct due diligence on the environmental performance ofour suppliers, sign strategic agreements with them, and jointly strengthen our e?ortsin energy conservation and emission reduction. We incorporate green, environmental,and low-carbon requirements into the procurement process for energy equipment,o?ce supplies, and production materials.Transition to renewable energy: We gradually increase the proportion of renewableenergy such as hydropower, solar power, and wind power in our production andoperation process, and take an active part in green power trading;Compliant operations: We ensure that the Company operates in a compliant manner,exceeding regulatory requirements as much as possible;Compliant disclosure: We ensure that information is disclosed in a legal and compliantmanner;Policy tracking: We keep abreast of the latest national and international environmentaland low-carbon policies, study and analyze them in a timely manner, developcorresponding internal policies and plans, and align our business strategies.

Climate-Related OpportunitiesWe gain insight into market demand and accelerate product innovation;We embrace the trend of intelligent manufacturing upgrades, stay focused onthe "laser + intelligent manufacturing" strategy, and provide greener and moree?cient intelligent manufacturing solutions for industries such as new energy,consumer electronics, transportation, and advanced construction;We are continuously improving the energy e?ciency of our in-house developedlasers;We establish strategic partnerships with suppliers of low-carbon electricalcomponents to improve the energy e?ciency of products.We electrify all facilities and equipment powered by fossil fuels;We install rooftop solar panels, solar water heaters, and solar street lights toincrease the use of renewable energy.

We start to formulate a carbon neutrality plan;We promote the development and adoption of renewable energy;We facilitate the construction of a green supply chain.

We have established an energy management system and an intelligent energymanagement platform to optimize energy management and reduce energyconsumption;We implement lean production to create a circular and resource-efficientatmosphere.

Response Measures for Climate Risks and Opportunities

Low-carbonproducts andservices

Transition torenewable energy

E?cient resource

management

Increased climateresilience

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InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Carbon Neutrality Actions

Key Performance IndicatorsWe actively respond to national carbon neutralitygoals with a focus on the research, development,and application of clean energy technologies. Wehave established a comprehensive green energysolution system covering PV, energy storage, andother ?elds. Through continuous breakthroughsin key technologies, we have successfullydeveloped a range of high-efficiency energy-saving products, significantly improving cleanenergy utilization e?ciency and reducing carbonemissions. These e?orts play an essential role insupporting regional green development.

We installed photovoltaic panels on the roof of ourworkshop for power generation and grid connection.During the reporting period, we generated

using

kWh of electricity

kWh

1,973,741

1,355,919

Hymson actively implements a global carbon-neutral strategy, effectively driving coordinated developmentin the clean energy industry worldwide through the dual engines of technological innovation and marketexpansion. With our technological edge in the photovoltaic field, we have seen significant growth inoverseas orders. Our self-developed high-efficiency photovoltaic equipment has been successfully appliedin multiple large-scale overseas power plant projects, significantly improving energy generation efficiency.The international business model featuring "technology export + clean energy solutions" not only drivessustained growth in our green business segment but also provides key technological support for host countriesin achieving their emission reduction goals. To date, we have established strategic partnerships with energycompanies in several countries, playing an active role in global energy transformation.

CasePromoting Clean Energy Use through Global Expansion

Photovoltaic Power Generation Site

Energy Management and ResourceConservation

Hymson prioritizes energy management as a key component of our sustainable development. By establishing asystematic energy management system and implementing comprehensive energy-saving measures, we ensure thee?ective operation of our energy management system. Each of our production bases has been actively advancingenergy-saving transformations, including upgrading lighting systems, optimizing air compressors, and applyingintelligent control devices, all of which e?ectively reduce energy consumption. At the same time, we increase ourinvestment in clean energy development to continuously improve the e?ciency of energy use.Energy Utilization

Energy Management System

To enhance energy resource utilization, we have developed a series of energy management policies. Through arange of energy-saving and emission-reduction measures, as well as technological innovations, we promote the useof clean energy and reduce carbon emissions. Moving forward, we will continue to invest in the new energy sectorand expand into overseas markets to further optimize energy resource consumption.

We strictly manage the operation and maintenance of key energy systems in accordance with theControl Procedures forEnergy Training, the Control Procedures for Energy Management Monitoring,Measurement, and Analysis, and theControlProcedures for Energy Management Review. These systems ensure that energy performance targets are achieved throughregular monitoring, measurement, and analysis of critical energy factors. Additionally, we regularly conduct effectivereviews on the energy management system to continually improve the system, thereby constantly enhancing our energyperformance in operations and ensuring the adequacy, suitability, and e?ectiveness of the system.

Responsible for the operation, inspection, maintenance, and management of production systems (e.g.,production systems, air compressor systems, lighting systems, power transformation and distributionsystems, etc.).Responsible for the con?guration and control of related energy-consuming equipment and facilities, andestablishing operating guidelines and evaluation methods for corresponding equipment and systems.Responsible for organizing emergency energy drills.Responsible for managing water and electricity usage for areas like o?ces, canteens, and dormitories.Responsible for communicating with suppliers and managing the procurement of energy-saving equipment.Responsible for purchasing energy services.Responsible for the daily energy operation, inspection, maintenance, and management of equipment.

Outsourced ElectricitySolar PowerUnitMWhMWhHymson Shenzhen2,271.490Hymson Jiangmen8,475.001,355.92Hymson Chengdu440.810Hymson Jiangsu10,712.11,899.40

Energy Use of the Company

Organizational Structure of Energy Management

Administrative Department

Production & Manufacturing Department

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InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Energy-Saving and Consumption-Reduction PracticesWe emphasize energy conservation and emission reduction in daily operations. To reduce energy consumptionand carbon emissions, we have implemented a series of energy-saving and emission reduction measures, such asoptimizing air conditioning usage, prohibiting the use of high-energy-consuming equipment, fully switching to LEDenergy-saving lights, and strictly enforcing waste sorting. With these measures, we aim to minimize greenhousegas emissions. In the production stage, we focus on the innovative application of advanced technologies suchas TopCon and BC while optimizing process ?ows and improving equipment energy e?ciency to achieve energyconservation and emission reduction.

Energy-saving lights: Replaced 200 lights with energy-e?cient ones, saving 7,000kWh of electricity per month.Equipment renovation: Upgraded air compressor cooling systems to extendequipment life.Reducing paper waste: Departments are required to apply for and use o?cepaper according to theManagement Measures for Water, Electricity, and Paper,and use print preview and other methods to reduce paper waste.Air conditioning and fan cabinet control: Adjusts the usage conditions andquantities of air conditioning and fan cabinets in warehouses and o?ces toreduce energy consumption.Intelligent switches and timers: Precisely controls the usage time of equipmentin ?xed areas to reduce unnecessary energy consumption.Exterior landscape lighting adjustments: Modi?es the operational hours oflandscape lighting.Promoting energy-saving awareness: Conducts awareness campaigns on water,electricity, and paper conservation, including reminders and usage controls.Air compressor energy saving: Uses variable frequency drives in workshops,optimizing pressure control to meet usage requirements.Equipment maintenance: Regularly maintains air compressors, forklifts, andother equipment to reduce energy consumption caused by aging equipment.Continuous improvement: Tracks electricity, water, and paper consumptionmonthly, analyzes excessive usage and takes corrective and preventive actionsto ensure continuous improvement.

Energy-Saving and Emission-Reduction MeasuresHymson Jiangsu Energy-Saving Initiatives

Posting Energy-Saving SignsHanging Energy-Saving BannersCheck Electricity Consumption of

Air Conditioners, Equipment, etc.

HymsonShenzhen

HymsonJiangmen

江苏海目星

Total Water ConsumptionEntityTonsHymson Shenzhen18,703Hymson Jiangmen99,274Hymson Chengdu6,689

Skills and Knowledge TrainingReporting Inspection ResultsMonthly Electricity Consumption

Analysis Report

Water Resource Use

Water Resource Management System

We have long placed great importance on the sustainable management of water resources. Through theestablishment of a scienti?c water resource management system, we have systematically improved water e?ciency.Based on setting the target for an annual reduction of per capita water consumption, we have implemented water-saving renovations and raised employee awareness about water conservation. We have created a long-term water-saving mechanism to continuously optimize water resource utilization e?ciency.

We put a high value on water resource management. By establishing a scientific, well-organized water resourcemanagement system according to internal policies such as the Management Measures for Water, Electricity, andPaper, we have made regulatory requirements for the use of water resources. We have set a water-saving target ofreducing per capita water consumption by 0.2% annually. Moreover, we have implemented management measuresto continuously improve the water resource utilization efficiency while ensuring our normal production andoperations.

Water Consumption Statistics of the Company

Water Resource Management Measures

Water Equipment Inspections

Raising Water Conservation

Awareness

Daily Water ManagementRegularly inspect waterequipment to ensure properoperation and prevent wastecaused by leakage, dripping,or over?ow.

Turn o? faucets immediatelywhen they are not in use tosave water;Toilet water usage: Ensurethe correct use of ?ushtoilets.

The Administrative Departmentis responsible for the installation,maintenance, and repair ofwater supply systems.During construction orlandscaping activities, wemonitor and control water usageto avoid unnecessary waste.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Water Conservation Renovations

Circular Economy

We have comprehensively advanced the renovation of water-saving equipment and optimized management toestablish a sustainable water conservation management model. By introducing new types of equipment such asintelligent sensor faucets and water-saving toilets, we have improved water-saving e?ects in o?ce areas. We havealso established a smart water monitoring system, raised employee awareness about water conservation, andcreated a long-term water-saving mechanism, e?ectively reducing water consumption.

Hymson actively embraces the concept of a circular economy by integrating e?cient resource use into the entireproduct lifecycle management. Through various measures such as optimizing production processes and improvingmaterial utilization, we have notably reduced resource consumption in manufacturing. In the ?eld of photovoltaicequipment manufacturing, we have innovatively developed recyclable component designs and established a robustsystem for recycling waste and used equipment, promoting green circular development in the industry chain.Additionally, we have improved our resource utilization e?ciency through in-house eco-friendly measures, such asrecycling of packaging materials and waste classi?cation, demonstrating our role as a model for circular economydevelopment and o?ering valuable experience for the industry's green transformation.

Currently, our waterconsumption mainly coversdaily living and o?ceactivities. The primarywater use in o?ce areasincludes bathroom ?ushing,drinking water in tea rooms,water usage in employeedormitories, etc. Although thewater usage per instance issmall, the frequency is high.

We are gradually replacing outdatedfaucets with intelligent water-savingmodels, which precisely sensewater ?ow requirements and reduceunnecessary long-?owing water;The restroom is equipped with a newtype of water-saving toilet, featuringtwo buttons, one of which is blockedand unused, while the other is used for?ushing. This design has signi?cantlyreduced water usage per ?ush.

We will continue to promote water-savinge?orts in the future. This includes exploringmore advanced water-saving technologiesand equipment, such as intelligent watermeters that provide real-time water usagemonitoring and promptly detect leaks;We will further enhance employee water-saving awareness training, improve internalincentive mechanisms for water conservation,and foster a positive atmosphere forwater conservation among all employees,thereby further reducing our overall waterconsumption of the Company and ultimatelyachieving e?cient water resource utilization.Our Water Conservation Renovations and Current Water Usage Status

Hymson Jiangmen strictly adheres to the concept of a circular economy in production and packaging. Aprofessional recycling system has been established for renewable materials, with meticulous classificationmanagement of materials, ensuring e?ective recycling, signi?cantly enhancing resource utilization e?ciency,and reducing raw material consumption. This practice fully reflects our successful application of circulareconomy principles in production.

CaseReusing Production Materials to Support the Circular Economy

Hymson Jiangmen recycled

In 2024

tons of waste in total

162.77

of which renewable materials amounted to

tons per cubic meter

12.89

The total amount of materials used forproduction and packaging was

tons per cubic meter

representing

of the total amount

17.9%

Water Usage StatusAnalysis

Future Water-Saving Plans

Wastewater, Waste Gas, and Solid WasteManagement and Chemical Safety

Chemical Management

Hymson places a high priority on pollutant management and has built acomprehensive pollution management system covering all stages of productionand operations in light of actual conditions. We regulate the management ofchemicals, waste gas, noise, and waste in production and conduct regular testsof waste emissions to ensure that waste emissions meet national standards andreduce the environmental impact of production and operations. Our e?orts aimto provide a useful reference for green development in the industry.

To prevent environmental impacts and health hazards associatedwith the transportation, handling, storage, and use of chemicals,we have established the Management Measures for Chemicals anda strict hazardous substance management system. We also havetargeted emergency plans in place for safety incidents involvinghazardous chemicals to enhance our response capabilities forleaks of hazardous chemicals. Moreover, we conduct monthlychemical safety inspections to eliminate potential chemical safetyhazards in a timely manner, ensuring that our products are healthy,safe, and environmentally friendly.

the Companydid notincurany penalties for pollutantemissions

Responsible for receiving, dispatching, and registering hazardouschemicals.

Warehouse

Required to register chemicals upon use and ensure safety duringon-site usage and other processes.Entities Using Chemicals

Responsible for chemical procurement, ensuring that contractsclearly specify that materials are quali?ed and meet environmentaland safety standards.Procurement Department

Responsible for overseeing the usage of hazardous chemicalsacross other departments and the disposal of chemical waste.Administrative Department

Chemical Management Measures

During the reporting periodWater-Saving EquipmentRenovation

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SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Suppliers are required toprovide Material SafetyData Sheets (MSDS) andrelevant certi?cates. Ifthese documents cannotbe provided, chemicalcomposition, hazards, andother details must be clearlyoutlined in the productmanual.

Strict storage measures areimplemented, with a completeset of safety measures set forventilation, explosion prevention,pressure resistance, ?re prevention,rain protection, early warning, and?re extinguishing according to thetypes and properties of chemicals.If chemical labels are damaged,they must be promptly replaced.Chemical storage areas aremanaged by dedicated personnel,and a chemical inventory list ismaintained with daily checks andrecords.

Transporting manufacturersare required to provide theCompany with certi?cationfor the transport of hazardous

chemicals and ensurethat the transport processcomplies with national lawsand regulations to preventchemical leaks. Handlingprocesses must prioritizesafety protection, withnecessary protective gear

worn to avoid accidents.

Chemicals are collected andused by designated personnel.Warehouse sta? must distributeaccording to the system-generatedmaterial release order, ensuring thatthe repackaging process avoids anyleakage. The entire usage processis managed according to theprecautions stipulated in the MSDS,and necessary protective measuresare in place. Exhaust systems areinstalled for waste gases generatedby chemicals, and waste gases aretreated by quali?ed recyclers toprevent secondary pollution.

Chemical Procurement

Chemical Storage

Chemical Transportation

Chemical Usage

Chemical Management Measures

We conduct multiple emergency drills for chemical leaks each year, simulating di?erent scenarios. In February2025, Hymson Jiangsu carried out an emergency drill for a hazardous chemical leak in a scenario without anemergency containment pool. The drill simulated a 200L hydrochloric acid tank leak, with drainage channels setup to prevent over?ow risks. During the drill, the central control room triggered sound and light alarms, and theemergency command center activated a secondary response. The on-site team quickly blocked the leak usingsandbags and absorbent cotton, while an emergency pump was deployed to vacuum up the leaked liquid. Thesubmerged pumping points successfully intercepted 100% of the leak. The drill con?rmed the e?ectiveness ofequipment coordination while highlighting issues such as blind spots in the signal of walkie-talkies. Followingthe drill, we took immediate corrective actions to address the problems identi?ed, providing useful referencesand insights for similar companies in emergency management scenarios without containment pools.

CaseEmergency Drill for Hazardous Chemical Leak at Hymson Jiangsu

Simulation of Chemical Spill

Using Absorbent Materials to Prevent Spread

The Central Control Room Identifying Leak, Notifying,

and Activating Alarm

Activating Emergency Power to Collect Waste Liquid

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

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ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Wastewater Discharge Management

To regulate our wastewater discharge management and ensure that both production and domestic wastewatertreatment comply with national and local environmental protection standards, we have established acomprehensive wastewater management system. We have formulated theManagement Measures for Wastewaterand Drinking Water, which clearly define wastewater discharge standards and treatment requirements. Througha variety of management measures, we standardize wastewater management and continuously optimize thewastewater treatment process. This ensures that all wastewater discharged fully meets the standards, ful?lling ourcorporate responsibility for environmental protection.

Wastewater Discharge Management Measures

Regulated drainage and prohibited disposal: Domestic wastewater from office and living areas isdischarged through sewage pipes. Industrial wastewater, waste oil, and other residues shall not bedisposed of through domestic wastewater/rainwater pipe network outlets. Chemical products, oilproducts, or other solid waste shall not be stored near the outlets.Maintaining unblocked drainage and waste sorting: The Company shall ensure that the domesticwastewater/rainwater pipe network is unblocked and regularly check outlets for any storage or blockages.Household waste should be stored in designated areas and containers to prevent contamination of watersources by rain.Wastewater treatment and standardized discharge: Kitchen wastewater must be treated by specifiedfacilities to meet standards before being discharged. Wastewater from air compressors and machineprocessing shall be collected centrally and disposed of by quali?ed units.Cleaning supplies management: Waste oil and liquids should be stored securely to prevent leaks and bekept away from drainage outlets. Environmentally friendly cleaning supplies with low water pollution,such as phosphate-free laundry detergents, should be used as much as possible.

Wastewater Management Requirements

Samples are taken from the Company's wastewater discharge outlets from time to time by nationallyrecognized environmental monitoring organizations for testing. The monitoring reports are provided bythe monitoring agencies.

Wastewater Monitoring

Regular inspections: The Administrative Department inspects discharge outlets monthly. Any blockageidenti?ed is promptly cleared.Investigations on exceeding standards: If wastewater monitoring indicators exceed standards, the headof the Administrative Department will conduct an investigation, technically guided by an environmentalmonitoring institution, and relevant departments are responsible for implementing corrective actions.Leak handling: In case of wastewater leakage, operators should promptly report the situation. The head ofthe Administrative Department will assign related personnel to stop the leak in a timely manner, and theresult will be reported to leadership.Abnormal situation reporting: The operating departments shall diligently follow the operating proceduresand relevant requirements in dealing with each of the above-mentioned abnormal situations. Once anabnormal situation is found, it shall be reported immediately, and corrective measures should be takenbased on the Administrative Department's instructions in a timely manner. If the abnormal situationcannot be handled, it should be reported to the Environmental, Health, and Safety (EHS) managementrepresentative for further analysis and corrective actions.

Abnormal Situation Handling

Waste Gas Emission ManagementTo e?ectively control the emissions of exhaust gases generated during production activities and ensure air quality,we have formulated the Management Measures for Waste Gas (Air) in accordance with theLaw of the People'sRepublic of China on the Prevention and Control of Atmospheric Pollutionand theAir Pollution Prevention andControl Action Plan, among other air pollution control regulations. The measures ensure the scienti?c managementof exhaust gases and indoor air generated during activities, products, and services. They outline speci?c methodsfor handling various types of exhaust gases, reducing the emissions of pollutants, ensuring that exhaust gasemissions comply with national standards, and maintaining air quality in the workplace to meet occupational healthrequirements, ultimately achieving the goal of air pollution control.

Waste Gas Emission Management Measures

We prioritize equipment, raw and subsidiary materials, and fuels that produce minimalwaste gas or have low concentrations of pollutants, provided that they meet production,safety, and environmental protection requirements.

Waste Gas Source Control

Kitchen fumes must be collected via ventilation ducts and treated by the fume waste gaspuri?cation and treatment device to ensure organized and compliant emissions.Kitchen sta? should strictly follow equipment operational procedures to prevent the releaseof large amounts of harmful gases due to improper handling.Kitchen gas valves must be closed after use, with regular inspections. Any abnormal odorshould prompt immediate investigation and control of the leak source.If any waste gas treatment equipment malfunctions, emissions must be paused until theequipment is repaired and functioning.Equipment should be regularly maintained and serviced and a spot check of the facilities isconducted once a month to ensure that they are in good working condition.

Waste Gas Emission Source Control

Workshop areas should maintain good ventilation to ensure air circulation.In work areas with significant dust or harmful gas emissions, strict dust control measuresshould be implemented. Physical or chemical methods should be used to eliminate harmfulgases or dust, with appropriate ventilation equipment installed to ensure environmentalcompliance at the construction site.Ventilation equipment in the workshop should be regularly serviced, cleaned, andmaintained to ensure normal operation.The design, installation, maintenance, and use of ventilation systems shall meet nationalregulations to ensure employee health and safety.

Workplace Air Quality Control

The Administrative Department commissions an external agency to monitor waste gasemissions, including regular air quality checks. Non-compliant situations will be handledaccording to the established procedures.Each department is responsible for routine inspections of waste gas pollution control, withthe Administrative Department conducting a patrol inspection for the facility once a month.If abnormal flue gas emissions are detected, theManagement Procedure for EmergencyPreparedness and Response should be executed.

Waste Gas Pollutant Monitoring and Supervision

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Appendices

Solid Waste Emissions Management

We have established a comprehensive wastemanagement system and strictly implement the

Management Measures for Wastesto classify andrecycle industrial and household waste. We havedesignated storage areas for hazardous waste andenforced the waste transfer sheet system to reduceenvironmental pollution and prevent toxic or harmfulwaste from contaminating the environment or posinghealth risks. Additionally, we continue to promotethe waste sorting system, with domestic waste beinghandled by professional environmental sanitationdepartments to ensure that all types of waste aredisposed of in compliance with regulations.

Classi?cation, Management, and Disposal Methods of Waste

we achieved theinternal transfer ofand externaltransfer ofwith all transfer and disposal processescomplying with environmental protectionregulations.

tonstons of hazardouswaste

0.22

0.26

Classi?cation

Hazardous waste materials that are toxic,?ammable, explosive, corrosive, andchemically reactive, and can pose direct orpotential threats to human health and theenvironment. Examples include waste oil,waste cutting ?uids, oily rags, waste batteries,waste ?uorescent tubes, empty oil barrels,chemical containers, etc.

Waste suitable for recycling or resource recovery,i.e., garbage that can be recycled and reused byitself or its materials, such as packaging paper,plastics, paper, and waste and used electricalappliances.

Waste generated from daily activities and canteencatering, such as leftovers.

Materials that are of relatively low harm and have nofurther use, such as construction debris, householdwaste, etc. Examples include waste wooden boards,non-oily rags, switches and plugs, construction dregs,napkins, etc.

Management

Measures

Distinguish between general waste and toxic,hazardous waste, and prohibit the mixing ofhazardous waste with ordinary industrial waste;Clarify the environmental impact of waste basedon the MSDS, and provide appropriate protectiveequipment in designated areas;Establish dedicated storage areas for toxic,hazardous waste;The Administrative Department conductsmonthly inspections of departmental wastemanagement practices;Hazardous waste storage areas should clearlyspecify the details of hazardous waste stored andkeep detailed records in the Hazardous WasteStorage Record Sheet. If transfer is needed, theInternal Transfer Record for Waste (HazardousWaste) should be completed.

For recyclable and non-recyclable waste,the Administrative Department designatesspeci?c storage locations and coordinates withquali?ed waste disposal units for handling.The Production Department is responsible forpurchasing, storing, and rationally managingpackaging materials, ensuring their proper ande?ective recycling.

Kitchen waste should be collected at the designatedlocation in the Company’s canteen, and the canteenshould arrange a quali?ed unit to handle the disposalon a daily basis.The Administrative Department supervises andmanages the canteen’s waste handling processes.

Household waste should be placed in thedesignated bins by the Company.The Administrative Department coordinates withthe environmental sanitation department for theperiodic removal of household waste.Non-recyclable waste generated during productionshould be placed in the designated waste storagearea, and the Administrative Department shouldapply for scrap disposal based on the requiredmaintenance quantity.Construction waste and earthwork excavatedfrom project sites should be cleared and removedto designated locations for proper handling inaccordance with regulations.DisposalMethods

Signing a Hazardous Waste Disposal CooperationAgreement. Safely recycled by quali?ed third-party organizations

Safely recycled by quali?ed third-party organizationsSafely recycled by quali?ed third-party organizationsSafely recycled by quali?ed third-party organizations

TypeHarmful WasteRecyclable Waste

Hazardous WasteEntityTonsHymson Shenzhen0.099Hymson Jiangmen0.99

Statistics of the Company's Waste Emissions

Kitchen WasteOther Waste

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InnovationLeading through Intelligence

CollaborationWin-Win Production

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ResponsibilityGrowing with Our People

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Appendices

To control and reduce noise pollution and its impact on the surrounding environment and employees' health, wehave developed theManagement Measures for Noiseand established a sound noise control system to monitor,prevent, and manage noise in our areas, ensuring that noise emissions at the plant boundary meet nationalstandards.

Noise Control Measures

We ensure that workplace noise is within acceptable limits by improving processes, replacingequipment, and implementing soundproo?ng and noise reduction measures.The Production Department implements measures to reduce noise pollution from machineryand equipment and has established a maintenance and servicing system for equipment, withproper documentation.Vehicle honking is prohibited in the plant area, and when there are construction projects in theplant area, the Administrative Department is responsible for supervising construction-relatednoise to ensure that noise at the plant boundary complies with standards.Regular inspections are carried out on air compressor rooms according to their mileagerequirements to prevent new sources of noise.

Noise Source Control and Equipment Management

Noise pollution control should ensure compliance with national requirements for noisepollution at the plant boundary.The Administrative Department conducts regular inspections of the Company's noiseemissions and the use of labor protective equipment. Any non-compliance will be addressedaccording to theControl Procedure for Non-Conformance, Corrective Actions, and ContinuousImprovement.The Administrative Department contacts the monitoring agency once a year to conduct noisepollution monitoring and maintains monitoring records.In the event of a noise pollution incident, we will handle it according to theManagementProcedure for Emergency Preparedness and Response. The head of responsible departmentswill analyze the cause of the incident based on theControl Procedure for Non-Conformance,Corrective Actions, and Continuous Improvementand take corrective and preventive actionsto prevent recurrence.

Compliance Monitoring and Incident Handling

Warning signs must be posted at the entrances and around the perimeter of noise-prone areasin each department, clearly indicating the presence of noise and the requirement to wearhearing protection.Employees working in noisy environments in each department are required to undergotraining to understand the hazards of noise and the proper usage of protective gear andequipment.

Employee Protection and Training

At Hymson, we actively ful?ll our corporate social responsibility in biodiversity conservation andintegrate the concept of green manufacturing into the entire product lifecycle management. As aprovider of laser and automated intelligent manufacturing solutions, we e?ectively minimize theenvironmental impact of our production and operations through optimized production processes,improved resource efficiency, and reduced waste emissions. Our technological innovations inthe new energy equipment manufacturing sector, such as efficient photovoltaic equipment andsolid-state battery production lines, not only promote clean energy development but also helpindirectly reduce the damage to the natural ecology caused by traditional energy extraction. Instrict compliance with environmental protection regulations, we have established a robust wasterecycling system to ensure that our production activities do not negatively affect surroundingecosystems. Moving forward, we will continue to advance the R&D of green technologiesand explore more low-carbon, sustainable intelligent manufacturing solutions, contributingtechnological support to global biodiversity conservation.

Noise Emissions Management

Biodiversity Conservation

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InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Employment and CompensationEmployee Development and TrainingEmployee Health and SafetyEmployee Care and Activities

Responsibility ·Growing withOur PeopleEmployees are a vital cornerstone for the continuousprogress of a company. Hymson has established acomprehensive talent system led by strategies, focusingon talent selection, cultivation, and incentives. Each stepis closely aligned with clear performance standards andprofessional ethics, aiming to unlock the potential andcreativity of our employees. At the same time, we emphasizecreating a healthy and dynamic working atmosphere byo?ering a diverse range of bene?ts and activities that allowemployees to experience personal growth while also feelingwarmth and care from the Company.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Employment and CompensationHymson adheres to the core values of equality and inclusion, committed to building arespectful and trustworthy organizational environment and creating a fair developmentspace for every employee. We have established a compensation distribution system withvalue creation as its core and market competitiveness as a basis. Through di?erentiatedincentive designs, the system ensures the shared growth of both talent value and theCompany's development achievements. This approach promotes mutual success betweenemployee development and our progress, forming a virtuous cycle of sustainable growth.

Employee Hiring

Upholding the employment philosophy of "Pursuing Dreams, Shouldering Responsibilities,Showing a Passion for Learning, and Striving for Long-Term Success", we strive to createan open, inclusive, and diverse talent development environment. In terms of hiringmanagement, we strictly follow the principles of equal employment, resolutely prevent anyform of employment discrimination, and ensure that recruitment and career developmentare fully compliant with legal standards. Through a standardized hiring process, we protectemployee rights and interests, support sustainable development through talent, andultimately achieve the joint growth of the Company and employees.

"Hymson Youth" Talent Philosophy of "Pursuing Dreams, Shouldering Responsibilities,

Showing a Passion for Learning, and Striving for Long-Term Success"

we hademployees

5,850

and through campus recruitment;

Our employment contract signing rate was

100%

through social recruitmen

We hirednew employees,

includingveterans;

During the reporting period

Willing to assume responsibilitiesChallenge-readyIn the face of problems and di?culties,not avoiding or shifting responsibility andproactively taking on responsibilities.

Not intimidated by tough tasks, stayingcalm and rational under pressure, andcontinually striving to overcome personallimits.

Shouldering Responsibilities

Learning capacityCritical thinkingMaintaining a high level of curiosity andeagerness to explore new knowledge,technologies, and ?elds. Enjoying sharingresearch outcomes.

Thinking about the internal logic of a?airsin a structured way, understanding theunderlying principles and mechanisms,turning them into their knowledge, andapplying knowledge to work throughinductive reasoning.

Showing a Passion for Learning

Persistent and steadyTeam collaboration

Completing tasks on time and withhigh quality, without procrastination orsuper?cial e?ort. Demonstrating strongresilience and never giving up easily inthe face of setbacks and failure.

Proactively sharing, soliciting, andconsidering others' opinions, seekingcommon ground for mutual bene?t, andadopting strategies to in?uence otherstoward a win-win outcome.

Striving for Long-Term Success

Achievement-orientedSelf-motivated

Having aspirations for career success,desiring to achieve signi?cantaccomplishments, setting clear andchallenging career goals, and beingwilling to work tirelessly to achieve them.

Proactively seeking and creatingopportunities, being eager to embracechallenges, and taking action to achievepersonal goals.

Pursuing Dreams

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

94AppendicesCommitmentGiving Back to SocietyResponsibilityGrowing with Our PeopleSustainabilityProtecting Our Planet

Equal Employment

In strict compliance with theLabor Law of the People's Republic of Chinaand the Labor Contract Law of the People's Republic of China, we haveestablished a systematic equal employment system centered around the

Administrative Regulations on Employee Recruitment, theAdministrativeRegulations on Anti-Discrimination,andthe Code of Conduct for EmployeeCompliance, incorporating the principle of "equal employment" into therecruitment, assessment, and career development processes. During theestablishment and existence of labor relations, we explicitly prohibit factorssuch as race, gender, age, religious beliefs, nationality, disability, or maritalstatus from affecting career opportunities. Any form of discrimination orharassment in the workplace is strictly prohibited. Additionally, for veterans,we ensure equal employment opportunities through an open recruitmentmechanism and provide job skills training to support their career transitions,thereby ful?lling our corporate social responsibility.

we employedDuring the reporting period

veterans.

GenderDistribution of

Employees

Male employees4,975

Female employees

Employees with a doctoral degree20

2,6612,898Employees with a Master's degreeEmployees with a Bachelor's degreeEmployees below the undergraduate level

Under 30 years old2,239

3,541

30-50 years old50 years old and above

Senior management123

1,4223,671Middle managementJunior managementGeneral employees

Educational

Level ofEmployees

Job Level ofEmployees

Compliant Employment

We have built a compliant employment system based on theLabor Law of the People's Republic of China, theProvisions on the Prohibition of Using Child Labor, and other relevant laws and regulations. By introducing targetedsystems such as theManagement Measures for Protection of Employees' Human Rights and the ManagementRegulations on Prohibition of Forced Labor, we systematically prevent risks related to underage workers, forcedlabor, and other issues. At the recruitment stage, we have established a compliance review mechanism to eliminatechild labor and employment fraud at the source. As for talent selection, we ensure fair competition by adopting bothinternal competitive selection and market-oriented recruitment. Additionally, we require our partners to complywith labor rights protection standards through our Supplier Code of Conduct, ensuring a collaborative effort tomaintain a compliant workforce environment.

Compliant Employment Measures

Merit-based selection principle: Candidates are hired based on the results of their interview assessments.Principle of process traceability: All documents and materials of the candidates, such as resumes,quali?cations and certi?cates, and background checks, are retained for future reference. Arbitrary interviewcomments or information changes are prohibited.Principle of objectivity and scienti?c nature: We focus on the quality of recruitment interviews, ensuring thatassessment content and evaluation criteria are aligned with the Company's business needs and the speci?crequirements of the position. Unrelated assessment items not connected to job skills and experience should notbe included.Avoidance principle: When interviewers encounter relatives, classmates, or friends applying for the position,they must actively adhere to the avoidance principle. They should not interfere with or in?uence the interviewprocess, and no con?ict of interest should exist after the hiring decision.

Interview and Recruitment Compliance

Applicants must be at least 18 years old and have no labor relationship with any other employer.Our Human Resources Center is responsible for establishing and maintaining policies and procedures thatprohibit the use of child labor, protect underage workers, and provide support for child labor. The center hasalso established and maintained complete records of employees, including their date of admission, date ofbirth, educational background, work experience, home address, emergency contact information, and otherrelevant details to con?rm their age. This is to ensure that all employees hired are 16 years of age or older.If child labor is discovered, their work will be immediately ceased and the case will be reported to the locallabor department. Also, we will cooperate with the department to take necessary remedial measures.

Prohibition of Child Labor

Our Human Resources Center is responsible for developing and implementing policies and procedures toprohibit forced labor of any form, including prisoned labor, bonded labor, and debt labor.We respect employees' rights to freedom, including the freedom to be hired, leave a job, work overtime, andmove freely. If overtime work is required for production, it must be agreed upon through negotiation withemployee representatives and must not exceed the statutory time limit.Employment contracts must be negotiated and approved by employee representatives and ?led with the locallabor department.

Prohibition of Forced Labor

AgeDistribution of

Employees

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

RecruitmentChannels

Internal Referrals

Recruitment Channels

Annual Compensation Structure

Compensation Management

We have established a comprehensive and scientific compensation system and designed a reasonable salarystructure and distribution mechanism to achieve an organic unity of internal equity and external competitiveness.Through performance assessments, we e?ectively measure the value contribution of employees, closely aligningindividual performance with organizational goals. We emphasize building a long-term incentive mechanism andutilize diversi?ed incentive methods to provide talent support for sustainable development.

Salary and CompensationWe have developed a fair, transparent, and competitive compensation management system. By formulating theManagement Regulations on Compensation, we ensure that salary levels align with industry standards whileconducting differentiated distribution based on the post value, individual contributions, and performance ofemployees. According to job categories and characteristics, our compensation system is divided into two models:

the performance-oriented model and the commission-oriented model. These models apply to functional positionsand business positions, respectively, with a scienti?c structure of "?xed salary + variable pay + overtime pay" for all-around motivation.

Social Recruitment

Campus Recruitment

Internal Transfers

Headhunters and RPO Channels

Compensation StructureFixed Salary

Standard SalaryPerformance Bonus BaseJob Position SalaryCommissionCon?dentiality FeeOthers

Variable PayOvertime Pay

Compensation Types

Performance Management Process

Performance Assessment Levels

Performance Management

In 2024, we introduced the Management Measures for Performance and established a performance managementsystem in alignment with our strategies. By breaking down strategic objectives into a hierarchical KPI indicatorlibrary, we incorporate key annual tasks into performance assessments. The assessment is conducted semi-annually, with results confirmed by direct supervisors and leaders at various levels, ultimately forming a five-tiered (A-D) differentiated evaluation. The assessment results are directly applied to salary distribution, positionpromotions, and other incentive measures, focusing on nurturing a high-performance talent pool while creatingdevelopment plans for employees who need improvement. Therefore, we have formed a virtuous cycle mechanismof "goal setting – process control – performance assessment – result application".

Performance

Level

De?nitionDescriptionA

Exceptional

Contributor

Performance signi?cantly exceeds expectations, with extremelyoutstanding results in all aspects.B+

Excellent

Contributor

Performance meets or exceeds expectations, with relativelyoutstanding achievements in key areas.B

Solid

Contributor

Performance basically meets expectations, with no outstandingperformance or obvious error.C

Needs

Improvement

Performance falls short of expectations, with signi?cantde?ciencies or errors in some areas.

DUnsatisfactory

Performance far below expectations, with signi?cant de?ciencies inmany areas or key aspects. Unable to ful?ll the job responsibilitiesof the position level. Obviously lacks the necessary knowledge,skills, and work e?ectiveness and enthusiasm.

Compensation TypeTarget RecipientCompensation Structure

Performance-oriented modelNon-sales personnelFixed salary + performance bonusCommission-oriented modelSalespersonFixed salary + commission

Goal Setting

Performance

Coaching

Performance

InterviewPerformanceAssessment

Performance Results& Application

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Additionally, we have established a performance grievance mechanism. Employees who disagree with the assessmentresults can submit a grievance in writing within the speci?ed time frame. The Human Resources Department will investigateand communicate with the relevant personnel, and the management team will make a final decision on the result toensure fairness and transparency in the grievance process.

If an employee disagrees with the assessment results, they must promptlycommunicate with the assessor. If no consensus is reached, the employee isrequired to complete the Performance Management Grievance Form within5 working days from the effective date of the performance results, sign theform, and submit a written performance grievance to the HRBP or the groupperformance management department.Upon receiving the performance grievance, the Human Resources Centerwill respond within 5 working days regarding whether it will be accepted.Grievances based on subjective assumptions without objective evidence willnot be accepted.

The Human Resources Center reviews if the performance rating meets theproportion requirements and the HRBP arranges communication regardingthe grievance result.

Employee ?les aperformance grievance

The Human Resources Centerreviews the grievance

The business departmentinvestigates and handles the

grievance

RejectedAccepted

Report to Human Resources

CenterThe grievance process ends

PerformanceGrievance ProcessDescription

Long-Term Incentive Mechanism

Long-Term Incentive Mechanism

We have established a sound long-term incentive mechanism and a "salary + equity + honor" three-dimensional incentivesystem. In addition, through annual excellence selection, educational support for further studies, professional certi?cationsubsidies, mentor/trainer allowances, and other systems, we o?er employees diversi?ed development resources.

Provide resources for learning anddevelopment, such as educational supportfor further studies, PMP certi?cationsubsidies, and mentor/trainer allowances.

For accepted grievances, the HRBP/business department shall completeinvestigation, communication, and result approval within 15 calendar days.First, the HRBP conducts an investigation, then communicates with theassessed employee's department leader and the employee themselves, andrecords the investigation and communication details in the PerformanceManagement Grievance Form.The indirect superior of the employee, in coordination with the directbusiness supervisor and based on the Performance Management GrievanceForm, reviews the grievance and con?rms the performance results.The VP or President in charge approves the performance grievance resultsfor employees at the Director level and above, while the ?rst-tier departmenthead approves grievance results for employees below the Director level.

Build a "salary + equity + honor" three-dimensional incentive system and establishan annual excellence selection mechanism.

Employee Development and Training

At Hymson, we always consider talent to be the coredriver of our sustainable development. Adhering to thetalent philosophy of "people-oriented, empoweringgrowth", we have developed a systematic talent strategysystem to build a high-quality, diverse, and innovativetalent pool, thereby providing continuous momentumfor the Company's high-quality development. Drivenby dual engines of "internal development and externalrecruitment", we focus on key talent reserves to ensurethe dynamic alignment of talent structure and businessdevelopment. In 2024, we set the target of achieving atalent reserve rate for key positions of 90% and increasingthe retention rate of high-potential talent to 85%.During the reporting period

we conductedtraining sessions

with employees receiving a total of

hours of training.82,704

The number of participants was

26,756

with a coverage rate of

93%

and an average ofhours of training per employee.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Employee Training Mechanism

We have revised relevant policies such as theTraining Management System,theManagement Measures for InternalTrainers,theManagement Measures for Mentorship,and theManagement Regulations on Continuing EducationSubsidy of Employees,aligning them closely with the Company's strategic positioning to ensure continuous updatesand improvements to the training system. At the same time, we have clearly set related training goals to ensure therelevance and e?ectiveness of training activities.

Regular safety and compliance training (such as work safety and information securitycourses) are provided.We ensure that employee behaviors are in line with standards to reduce risks.Raise employees' awareness of safety and compliance

We provide onboarding training (such asIntroduction to Hymson) to strengthenemployee' recognition of the Company's mission and vision.We increase employees' sense of belonging, helping them become our brandambassadors.

Facilitate the spread of corporate culture and values

We provide training sessions on market trends and customer demands (e.g., industryenvironment overview courses).We help employees quickly adapt to changes and improve service quality.Improve employees' understanding of markets and clients

Objectives of Employee Training Management

Through training, employees learn new technologies, industry practices, and innovativemethods to improve work e?ciency.We develop targeted training plans based on annual surveys, giving priority to enhancingkey skills.

Improve employee performance and skills

Leadership training and team-building programs are designed to enhance collaborationskills and the recognition of corporate culture.We provide tiered training (e.g., middle and lower management programs) to nurturefuture leaders.

Develop leadership and foster teamwork

We optimize our training programs to help employees plan their career paths byconducting satisfaction surveys and turnover rate analysis.We improve the retention rate of employees and their willingness to make long-termcontributions.

Promote employee career development and satisfaction

Building a Training Platform

We actively advance the development of a digital learning platform. Through the "Star Academy" online learningplatform, we have established a digital training ecosystem that covers all employees and positions. The platformintegrates high-quality learning resources and supports functions such as online course learning and trainingmanagement, providing e?cient technical support for various training programs. This enables employees to learnand enhance their skills independently, anytime and anywhere, o?ering strong talent development support to drivethe Company's rapid growth.

A total of

live-streaming

with a total duration of

hours.

average satisfaction score

(out of 10);

8.52

The platform o?ers overcourses in total2,600+

includingexternal courses900+

andinternal courses;1,700+

the "Star Academy" learningplatform provided

projects in total,

covering

people;

5,850

average learning hours

hours

70.3

Platform login rate

95.4%

During the reporting period

星学堂学习平台建设规划

Strengthening Digitalization andBuilding a Learning Organization

Event Operations System

Upgrade

Project OperationsSystem Upgrade

Platform OperationsSystem UpgradeUpgrades

Objective

Leverage platforms to improve the training system and support the

Company's business development.

PersonalizedCustomization

Interactive

LearningHoliday Events

Points Mall

UpgradeTrainer IncentiveSystemCourse IncentiveSystem

PremiumCoursesCase LibraryMind Maps

EmpoweringDepartmentalProjectOperationsAI FunctionApplication

Plans

IncreasedActivity Rates

Hymson Lectures

Learning TopicsPlatform Feature

Showcase

Points System

UpgradeEventOperations

LearningResourceAccumulation

Deep Utilizationof the Platform

sessions were held on the platform

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Building a Training SystemWe have established a systematic and tiered employee training system, covering onboarding training, pre-job training,on-the-job training, and paid training. Based on the employee's stage and business development needs, we adopt ablended learning approach that combines theoretical learning with practical application. By leveraging an intelligentlearning management platform, we ensure precise matching of training resources and dynamic evaluation of developmentoutcomes to ensure the coordinated advancement of talent development with business strategies. By continuouslyoptimizing training content and formats, we aim to enhance employees' professional capabilities and organizationale?ectiveness, ensuring that talent development aligns with and supports business growth.

Training Types

Onboarding trainingPre-job training

On-the-job trainingPaid training

Training content:

Online training: Financial reimbursement, attendanceand leave management, IT operations, and other basicknowledgeIntensive training: Corporate culture, the Company andbusiness knowledge, cultural expansion, face-to-facewith senior executives, and other content related tointegrationTraining mode: Blended learning, both online and o?ine

Training content::

Need-to-know: Common knowledge at the departmentallevel, including departmental business, structure,product knowledge, and work environmentNeed-to-understand: Work?ow, practical experience, andbusiness knowledge related to positions and business inthe departmentTraining mode:

E?ectively manage the entire process of pre-job trainingvia the "Star Academy" online learning platform

Training purposeTo help employees quickly adapt to the workenvironment, integrate into the team, quickly ?t withthe work role, shorten the job adaptation period, andimprove departmental e?ciency

Training Result Evaluation

Mentorship Mechanism

We have established a systematic evaluation process covering reactions, learning, behaviors, and results. Aftertraining, we conduct evaluations using questionnaires, knowledge tests, and behavioral observations to track andassess the effectiveness of training. Training program teams, following the principle that "the organizing entityis responsible for conducting the evaluation", flexibly select the approach to evaluation based on actual needs.The evaluation results serve as an important basis for optimizing training content and improving program design,ensuring continuous enhancement of training quality and e?ectiveness.

We implement a mentorship system, whereby mentors are selected from management personnel and senioremployees who have been with the Company for at least one year and obtain a performance assessment ratingof B or higher. These mentors establish a mentoring relationship with their mentees through mutual matching.Mentors are required to provide regular business guidance and participate in periodic two-way evaluations. We o?erpromotion priority, specialized training, and recognition rewards for excellent mentors. Furthermore, mentoringexperience is a prerequisite for promotion to management and senior technical positions, thus fostering the transferof experience and the development of a talent pipeline.

MethodKey PointsForm

Reaction evaluationMeasures trainee satisfaction with the trainingQuestionnaire surveyLearning evaluation

Assesses the knowledge orskills gained by trainees

ExamBehavior evaluation

Assess how well trainees canuse what they learned

Post-class practice, behavior

change assessment, observationResult evaluation

Determines the economicbene?ts derived from the training

Indicators for job outcomesTraining Evaluation

Mentorship Classi?cation

Mentor CategoryMentor CategoryMentoring PeriodMentoring Approach

Mentoringfor newemployees

Whole probationaryperiod of newemployees

One-on-many mentoring(ideally no more than 3mentees)

6 to 12 months

One-on-one or one-on-many mentoringNewly promoted managersHigh-potential employees

Mentoringfor existingemployees

New employees for productionpositions admitted throughsocial recruitmentNew employees for non-production positions admittedthrough social recruitmentNew employees admittedthrough campus recruitment

To help employees gain a comprehensive understandingof the Company and integrate into it promptlyTraining purpose

Training purposeTo improve leadership skills, cultivate key talent,enhance general competencies, and enhance job-speci?c skills

Training content::

Group level: Leadership development programs (suchas primary-level, mid-level, and senior-level leadershiptraining), key talent cultivation programs (such astraining for system engineers, product managers, andcommissioning engineers), and general competencydevelopment programs (such as Hymson Lectures andgeneral courses) organized by the GroupDepartment level: Training programs of job-speci?c skillsorganized by each department according to the actualneeds of the department or any of its positions andemployees, as well as training programs implementedand assessed by the Learning Development Departmentof the Human Resources Center and transferred to thedepartmentE?ectively manage the entire process of pre-job trainingvia the "Star Academy" online learning platformTraining mode:

Training purpose

To supplement the Company's learning resourcesNew technologies, skills, certification training, andeducational advancement required by managers, keypersonnel, or high-potential individualsTraining content::

Invite external trainers to give lecturesOrganize employees to participate in external trainingProcure external online coursesTraining mode:

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Internal Trainer Mechanism

We have also established an internal trainer development mechanism, encouraging key employees to participatein knowledge transfer through tiered certi?cations and incentive policies. Trainers are categorized into four levels:

junior, intermediate, senior, and distinguished. Promotion reviews are conducted based on key indicators suchas teaching quality and course development. To enhance trainer's motivation, we provide them with substantialincentives including teaching allowances and priority access to training resources, and integrate trainer rolesinto our performance assessment system. Through systematic course development support and teaching skillenhancement, we aim to continuously raise the professional level of organizational knowledge management andpromote knowledge sharing and the development of innovation capabilities.

Onboarding Training for New EmployeesWe place great importance on the integration of new employees into the organization and their role transition andhave developed a systematic onboarding program to help them quickly gain a comprehensive understanding of theCompany. Through diverse and targeted courses, new employees can acquire the professional knowledge and basicskills required for their roles in a short time and rapidly adapt to job requirements.

Promotion Requirements for Internal Trainers

We have developed a tiered talent development system, which is designed to meet the development needsof employees at different career stages. During the training process, we emphasize the organic integration oftheoretical knowledge and practical application, and continuously optimize training content and formats througha scientific evaluation feedback mechanism. This ensures that skill improvements are precisely aligned with ourbusiness needs, fostering the Company's long-term competitiveness.

Employee Training Practices

Trainer LevelJunior TrainerIntermediate TrainerSenior TrainerDistinguished Trainer

Requirementsfor Position

Teach at least 10hours within 1 year;Training satisfactionscore of 8.5 or higher

Teach at least 15 hoursor develop 1 coursewithin 1 year;Training satisfactionscore of 8.5 or higher

Minimum of 1 year as anintermediate trainer;Teach at least 20 hours ordevelop 2 courses within1 year;Training satisfaction scoreof 8.5 or higher

Teach at least 8 hourswithin 1 year

Requirementsfor Promotion

After 15 hours ofteaching within 1year, a junior trainercan be promotedto an intermediatetrainer.

After 20 hours of teaching or development of 2 ormore courses within 1 year, an intermediate trainercan be promoted to a senior trainer.

/

On-the-Job Training

For in-service employees, we continuously strengthen the learning and training of professional theoreticalknowledge and job skills to comprehensively enhance the comprehensive quality of employees. We also focus onfostering professional ethics and compliance awareness, enhancing both business capabilities and professionalqualities through a combined online and o?ine training model.

In 2024, we held five onboarding training sessions for new hires from both campus and social recruitment.These sessions combined online and o?ine methods and were promoted through posters and emails amongall employees. The training covered corporate culture, office safety, workplace etiquette, and other basiccourses, as well as professional knowledge such as market and industry analysis, quality management systems,lithium battery products, and processes. After training, assessments were conducted to ensure that newemployees mastered the training content, providing a solid foundation for them to quickly integrate into theteam and become competent at their jobs.

To comprehensively improve the business capabilities and professional qualities of in-service staff, we havemeticulously designed a more diversi?ed on-the-job training system. Courses cover professional skills such asproduct knowledge and sales techniques, risk control such as commercial secret protection and compliancemanagement, as well as practical topics like ?re safety drills and basic ?nancial knowledge. Training adopts a?exible "online + o?ine" model, with replay options for live-streamed classes to ensure learning e?ectivenesswhile accommodating work schedules, thereby e?ectively promoting the concurrent growth of employees andthe Company.

Case

Case

Onboarding Training for New Employees to Support Their QuickIntegration and Job Competence

Diverse Training for In-Service Employees to Promote Business Growthand Talent Retention

Training Email Noti?cationOn-Site Training

On-Site TrainingOnline Live-Streaming Platform

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Leadership TrainingWe have tailored leadership training programs for middle and grassroots management and general managers to ensure thatleaders at di?erent levels acquire the necessary skills. Training for middle and grassroots management focuses on integratingmanagement theory and practice, optimizing knowledge structure, enhancing execution and innovation capabilities, andcultivating management talent with an entrepreneurial spirit. Training for general managers places greater emphasis onstrategic thinking and leadership development, with the aim of supporting e?cient company growth.

To cultivate entrepreneurial-minded middle and grassroots management, we have launched 12 consecutivemiddle and grassroots management training programs focused on three key dimensions: people management,task management, and self-management. Through a blended online-merge-o?ine (OMO) model that combinesonline theoretical learning, offline workshops and co-creation sessions, and post-training on-the-job practice,complemented by mentorship support, we have helped trainees integrate theory into practice and acceleratetheir management capacity building. This system has effectively strengthened the execution ability and teammanagement skills of our middle and grassroots managers, ensuring a steady stream of high-quality, high-potential management talent for the Company.

Case

Leadership Training for Middle and Grassroots Management to CultivateEntrepreneurial Management Personnel

Leadership Training for Middle and Grassroots Management

To meet future leadership development needs, we have carefully conducted 2 sessions of the systematictraining program for on-duty general managers, product line leaders, and high-potential backup talent.The curriculum focuses on three core modules: empowerment for capital operations, corporate culturedevelopment, and operational management enhancement. The training program combined case studies withpractical workshops to reinforce learning. After training, we continued to follow up on individual developmentplans (IDPs) and bi-weekly practical tasks, ensuring participants translate their learning into actual managementcapabilities. With these e?orts, we aim to develop a core management team with both strategic thinking andoutstanding leadership skills.

Case

Leadership Enhancement Program for General Managers to SystematicallyCultivate Future Business Leaders

GM Leadership Training

Employee Development

Employee Promotion

Employee Development and Promotion

To foster continuous skill improvement of our employees, we have established a robust, dynamic talentdevelopment mechanism. Multi-faceted measures, including practical experience, mentoring, and course training,have been taken to ensure precise employee cultivation and support their all-round development. Meanwhile,we have established the Management Regulations on Continuing Education Subsidy of Employeesto encourageemployees to update their professional knowledge and deepen their skills. Corresponding subsidy policies havebeen provided to support employees in continuously advancing in their careers.

We have established the Management Measures for Position and Promotion to regulate the position managementsystem as well as the promotion and demotion mechanism. To meet the diverse development needs of employees,we have built a dual-track system for career development based on competency models, o?ering parallel promotionpaths on both "management and professional tracks". Employees can start from the beginner stage and, accordingto their preferences, choose to either deepen their expertise vertically or develop horizontally across di?erent roles.In addition, we have implemented a tiered development program to systematically support talent growth at alllevels, ensuring that talent development aligns e?ectively with the Company's needs.

Experienced &Beginners

We provide employees with multi-dimensional development paths, breaking traditional promotion barriers through adual-track system that includes both management and professional tracks. Within a standardized position managementsystem, employees can choose either a management or professional track based on their strengths and achievepromotion through annual talent evaluations. Our dynamic human resource strategy respects individual di?erences whilemeeting organizational needs, ensuring that employee growth is in sync with the Company's strategy.

Dynamic Talent Development Mechanism

Management TrackProfessional/Technical Track

Dynamic Talent Development Mechanism

Dual-Track System for Career Development

Implement the "721 Competency

Development Model" (70%practical experience + 20%mentoring + 10% course training).

Create talent pro?lesand conduct quarterlytalent reviews for targeteddevelopment.

Promote job rotationand internships to o?er

employees all-rounddevelopment opportunities.

LeadersExpertsManagers

Seasoned ProfessionalsSupervisorsKey Personnel

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

School-Enterprise CooperationWe actively promote in-depth collaboration between schoolsand enterprises by establishing a new mechanism for talentcultivation through concerted e?orts of enterprises, universities,and research institutions. Through various cooperation modelssuch as building practical training bases, jointly conductingtechnological R&D, and participating in talent developmentprogram design, we facilitate the alignment of the educationchain with the industry chain. This collaboration not onlyprovides students with a platform for practical innovation butalso opens new channels for the Company's technologicalinnovation and talent reserve, achieving resource sharing andcomplementary advantages between schools and enterprises.

During the reporting period

In June 2024, Hymson was invited to participate in the ?rst School-Enterprise Collaboration Day at Shenzhen University. Together withthe university and several enterprise representatives, we engagedin in-depth discussions on talent cultivation and recruitmentprograms, exploring innovative models for collaborative education.During the event, we shared our experience in building a talentpipeline and actively learned from the advanced concepts of theuniversity and other companies. After the event, our team visitedvarious departments to understand their specialized programs,course structures, and student development achievements,uncovering potential collaboration opportunities. This event notonly deepened interaction between schools and enterprises butalso laid a solid foundation for future talent supply and industry-university-research cooperation.

CaseDeepening School-Enterprise Exchanges to Cultivate Innovative Talents

School-Enterprise Exchanges atShenzhen University

In October 2024, we launched the "Hymson Classroom"public welfare teaching program at Guilin University ofTechnology (GUT). Based on years of industry experience andinsights into talent development, we tailored practical careerempowerment courses for university students, covering coretopics such as resume optimization, interview skills, andcareer planning. This initiative helps students enhance theircompetitiveness in the job market and e?ectively builds a bridgefrom campus to the workplace.

Case

School-Enterprise Joint Teaching Program Delivering Public WelfareCourses to Support Students' Career Growth

Strategic Partnership with CSU

we partnered with theMinistry of Education and

universities

collaboration projectsto carry out

In May 2024, we signed a strategic cooperation agreement on industry-education integration with the School ofMaterials Science and Engineering at Central South University (CSU) to deepen collaboration in technology R&D,talent development, and achievement transformation. As a leader in the laser industry, Hymson will leverageCSU's research and discipline strengths to promote industry-university-research collaborative innovation andaccelerate the commercialization of technological achievements. This partnership aims to cultivate high-caliberapplication-oriented talent, create a new paradigm for collaborative development between universities andenterprises, and provide technological support and talent security for industry upgrading.

Case

Strategic Partnership with Central South University to DeepenIndustry-Education Integration

Strategic Partnership with CSU

Other School-Enterprise Collaboration Project

Signing of Framework Agreement withNanchang University

Serving as Judge for a Competition at theSouth China University of Technology

Reception of the Delegation from SouthernUniversity of Science and Technology

A Delegation from the Southern University of Science

and Technology Visiting the Shenhai Base

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Employee Health and SafetyHymson rigorously complies with relevantlaws and regulations such as theLaw of thePeople's Republic of China on Work Safetyand the Law of the People's Republic of Chinaon Prevention and Control of OccupationalDiseasesto continuously improve our healthand safety management system. We haveset clear Environmental, Health, and Safety(EHS) management policies and safety goals,ensuring that these goals are implementedthrough a systematic monitoring mechanism.Each production base, in accordance with localregulations and production characteristics,refines and breaks down the responsibilitiesfor work safety, effectively fulfilling theCompany's primary responsibilities.

Environmental protection

Full participation

Prevention ?rst

People-oriented

Safety foremost

Compliance with lawsand regulationsSustainable development

Occupational Health and Safety Policy

Occupational Health and Safety Objectives

Occupational Health and Safety ObjectivesZero safetyaccident

Rate of hazardrecti?cation identi?edin monthly EHSinspections: 100%

Zero case ofoccupational diseases

Work injury incidents throughoutthe year≤16 (Shenhaibase≤4, Jianghai base≤8,Suhai base≤4)

During the reporting period

Strengthening Work Safety

Occupational Health and Safety Management System

We have established an occupational health and safety management system in strict accordance with the ISO45001:2018 standard. Our headquarters coordinates EHS management based on theEnvironmental Safety Manual,while each production base tailors its implementation according to local requirements. At the Jiangmen base,an Occupational Health and Safety Leadership Team has been established, with the head of the AdministrativeDepartment serving as the team leader and overseeing all activities. Safety management personnel serve assupervisors, focusing on managing occupational health records, conducting regular health checkups, and providingtraining and education. Department heads in each production unit are responsible for local management,emphasizing the prevention of occupational diseases, improvement of work environments, and hazardidentification. Through hierarchical management, we ensure the full-process control of health and safety risks,safeguarding employee well-being and supporting sustainable development.

We attach great importance to work safety management by continuously embedding the concept of safedevelopment throughout all production and operational processes. Through regular work safety activities, safetyinspections, enhanced safety training, and the improvement of emergency plans and drills, we continually raiseemployees' safety awareness and emergency response capabilities, e?ectively reinforcing the work safety defensesto provide solid support for the Company's high-quality development.

Organizational Structure for Occupational Health and Safety Management at Jiangmen Base

Work Safety ActivitiesTo raise employees' awareness of work safety, we conduct Work Safety Month and Fire Safety Month activities everyyear, centered around speci?c themes. In 2024, the Jiangsu base successively organized the "Safety Month" and "FireSafety Month" activities, including educational training and emergency drills, thereby strengthening employees'safety prevention capabilities and further solidifying the foundation of work safety management.

Team LeaderSupervisor

at the Shenhai base was RMB

2,771,700and at the Jiangsu base was RMB

180,000

the total investment in work safety at the

377,900Jiangmen base was RMB

Quality Department

ManufacturingDepartment

Warehouse ManagementDepartment

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

To thoroughly implement theFire Protection Law of the People's Republic of Chinaand the related requirements fromthe Longhua District Work Safety Committee on ?re management of key enterprises, we have taken concrete actions tofurther enhance our ?re safety awareness and emergency response abilities. In March 2025, we actively responded toa call from the Longhua District Fire Rescue Bureau, sending employees to participate in a district-wide ?re drill for keyenterprises. Through this ?re drill, we have further strengthened our safety culture, working towards a safe enterprisethat reassures employees, earns the trust of the government, and satis?es the public.

CaseStrengthening Safety Defenses and Jointly Building a Safe Factory

Participation in the Fire Drill for Key Enterprises Organized by Longhua District Fire Rescue Bureau

In November 2024, the Jiangsu base organized a "Fire Safety Month" activity themed "Fire Safety for All, Life AboveAll". Activities included ?re safety awareness campaigns, ?re safety inspections, ?re safety skills training, evacuationdrills, and fire safety knowledge quizzes. The aim was to integrate fire safety knowledge into daily work and life,enhancing employees' awareness of ?re safety and their ability to respond to emergencies while ensuring that theycan e?ectively handle emergencies such as ?res.

Case

Jiangsu Base Organizing the "Fire Safety Month" Activity to Fostera Safety Culture

Fire Safety Awareness Campaign Fire Safety Knowledge Quiz

In June 2024, the Jiangsu base launched a series of "Work Safety Month" activities under the theme "Everyone ValuesSafety and Knows Emergency Responses to Ensure Unimpeded Channels for Saving Lives". Activities included hangingsafety awareness slogans and posters, organizing safety knowledge lectures, conducting emergency drills, andcreating a platform for employees to provide suggestions. These e?orts comprehensively enhanced employees' safetyawareness and emergency response skills and fostered a sense of responsibility, mission, and security regarding worksafety among employees, thereby laying the foundation for company-wide work safety.

The Jiangsu base places great importance on work safety management and conducts regular hazard investigationsand management every month. Through systematic inspections and summaries, the base scienti?cally categorizesthe identi?ed hazards and develops targeted corrective measures to ensure timely closed-loop management of issues.For example, in response to the damaged emergency exit signs, the base promptly arranged for their replacementto ensure clear identification of emergency routes. For improperly stored chemicals, the base standardized theirstorage in dedicated explosion-proof cabinets, eliminating ?ammable and explosive risks. During the reporting period,all identified hazards were rectified, effectively raising the on-site safety management level and providing a solidguarantee for employee safety and stable production.

Case

Case

Jiangsu Base Conducting the "Safety Month" Activity to EnhanceSafety Awareness

Monthly Hazard Summary at Jiangsu Base Ensuring Work Safety

Hanging Safety Awareness Slogans

Hazard Inspection SummaryOn-Site Safety Inspection

Safety Knowledge LectureSafety InspectionsTo fully implement the responsibility system for work safety, we have established a regular safety inspection mechanism.The Jiangsu base strictly follows a monthly safety inspection system that covers all areas of production workshops,focusing on key aspects such as the operating status of facilities and equipment, standardized chemical management,warehouse and logistics safety, the effectiveness of fire systems, and adherence to labor discipline. By followingstandardized inspection processes, we have systematically identified potential risks, formed a hazard rectification log,and implemented closed-loop management, ensuring that all corrective actions are fully implemented. Additionally, weencourage all employees to participate in safety hazard identification and put forward rationalization proposals to theemployees, with the aim of fostering a safety culture ecosystem featuring "full participation, co-governance, and sharing".

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InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Safety TrainingWe place high importance on safety education and training. The Jiangmen base has implemented a systematizedapproach to safety capacity building based on theManagement System of Safety Education and Training. Each year,we make a scientific, proper annual training plan based on the survey for the training needs of all employees. Amultidimensional training system that covers all positions and processes has also been established, which includesthree-tier safety education (factory level, workshop level, and team level) for new employees, risk preventiontraining before and after holidays, practical ?re safety drills, special training of special equipment operating skills,and other specialized courses. At the same time, we provide customized EHS training for suppliers, outsourcedunits, and business partners and require them to sign theNotice of EHS Policies for Stakeholders, so as to clarifysafety responsibilities, ensure that the entire process of outsourcing work fully complies with our EHS standards,and create an integrated safety management barrier throughout the supply chain.During the reporting periodThe Jiangmen base conducted

safety training sessions

The Jiangsu base conducted

safety training sessions

The Shenhai base conducted

safety training sessions

with a total training duration of

hours

with a total training duration of

hours

with a total training duration of

hours

and

participants2,712and

participants2,100and

participants2,600

In February 2025, the Longhua District Emergency Management Bureau, in collaboration with the Hanyu IndustrialPark and key enterprises in the park, organized safety training on work and production resumption. The trainingaimed to strengthen work safety awareness across the enterprises, raise their safety management levels, andensure that enterprises can resume work and production in a safe and orderly manner. Through this training,we not only improved our understanding of work safety but also learned how to utilize intelligent methods tostrengthen safety management, thus laying a solid foundation for the Company's healthy development.

Case

Participation in Safety Training on Work and Production ResumptionOrganized by Longhua District Emergency Management Burea

Safety Training on Work and Production Resumption

Three-Tier Safety Education Training for New Employees

First Aid Training for Common Accidents

Electrical Safety TrainingSpecial Equipment Safety Training

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Emergency Drills

We always consider employee safety as our top priorityand strictly comply with national work safety regulations.At each of our production bases, we have establisheda comprehensive emergency management system,including systematic emergency plans, clear organizationalstructures, and defined roles and responsibilities. Toensure that these systems can work properly, we regularlyorganize emergency drills for various scenarios, such as ?reemergency evacuation and escape, hazardous chemicalleakage handling, and food poisoning emergencies.Through these drills, we continuously test and optimize ouremergency plans, strengthen control over risk sources, andnip hazards in the bud.

During the reporting period

Responsible Department

Accident-involved

departmentAccident-involveddepartmentSafety ManagementDepartmentAdministrativeDepartmentSafety ManagementDepartmentAccident-involveddepartmentOther departmentsSafety ManagementDepartmentHuman Resources

Department

ActionsThe Accident Department shall report the incident tothe superior within 10 minutes and notify the SafetyManagement Department.

Emergency Response Process for Accidents

Emergency Response Process for Accidents

Process

Accident Occurs /Report

On-SiteHandlingSafety ManagementInvestigation / Disposal

Archiving

SeekingMedicalTreatment

If there are injuries, send the injured person to thehospital.Contact the Administrative Department to provide avehicle or arrange for the department's vehicle.Assign an employee from the department toaccompany the injured person to the hospital.The Safety Management Department enters theaccident scene.The Safety Management Department organizes anaccident investigation team to investigate the scene.The Safety Management Department evaluatesthe accident investigation report submitted by theaccident-involved department.Relevant departments implement corrective actions forimprovement.Conduct performance management, make anoti?cation, and provide training for relevant personnel.The leader and the executive leader of the SafetyCommittee approve the accident investigation report.The Human Resources Department archives the reportand incorporates it into performance assessments.

In June 2024, we conducted a mechanical injury emergency drill in accordance with relevant regulations andemergency response plans to improve employees' emergency response abilities. The drill simulated a scenarioin which an employee was injured while operating machinery. Emergency teams responded swiftly andcompleted the rescue task. The drill achieved its expected goals, enhancing employees' safety awareness andemergency skills. However, it also highlighted some issues, further testing the operability of the emergency planand accumulating valuable experience in safeguarding employees' lives and the Company's property.

In June and December 2024, the Jiangmen base organized food poisoning emergency drills. The drill simulateda scenario where several employees displayed symptoms of food poisoning in the canteen. This exercise notonly tested the Company's emergency management system but also trained employees to improve theiremergency response skills. Through the drill, we further strengthened our supervision and guidance of cateringmanagement and e?ectively ful?lled our primary responsibilities for food safety, providing a strong guaranteefor preventing and reducing such incidents and minimizing accident losses.

Case

Case

Jiangmen Base Conducting Mechanical Injury Emergency Drill to EnhanceSafety Awareness and Emergency Ability

Jiangmen Base Organizing Food Poisoning Emergency Drill to SafeguardEmployee Health

Mechanical Injury Emergency Drill Organized by Jiangmen Base

Food Poisoning Emergency Drill

the Jiangmen base conducted

emergency drills

the Jiangsu base conducted

emergency drills

and the Shenhai base conducted

emergency drills

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Ensuring the Physical and Mental Health of Employees

Occupational Disease Monitoring

Occupational Disease Prevention and Treatment

We place a high priority on the occupational health of our employees and provide professional protective equipment toemployees exposed to occupational hazards. We also regularly improve our working environment to reduce risks. TheJiangmen base issues theNotice of Occupational Disease Hazard Factors for Positionsto clearly inform employees abouthazards and protective requirements in different positions, ensuring that they are aware and take proper preventativemeasures. Moreover, we provide employees with occupational health checks before they take up their posts, duringemployment, and when they leave the post. Health records are also in place to continuously monitor employees' physicalconditions. Additionally, we provide health knowledge training and psychological counseling to comprehensivelysafeguard employees' physical and mental well-being.

To effectively prevent occupational disease risks, we commissionqualified third-party testing organizations to monitor occupationaldisease hazard factors in our workplaces every year. Key indicatorssuch as laser radiation and noise levels are closely monitoredand regular water quality testing and analysis are conducted foremployees' drinking water. Based on testing data, we dynamicallyassess occupational health risks and take timely interventions, suchas engineering controls and personal protective measures, ensuringthat all indicators meet national standards while providing a safeworking environment for employees.

Our occupational disease prevention and treatment e?orts focus on hazards such as noise in the machining workshop,power frequency electric fields in the distribution room, and lighting levels in the workshops. Priority is given toimplementing engineering control measures, such as noise reduction and shielding isolation, to mitigate risks. Meanwhile,we provide employees with protective earplugs, dust masks, and other personal protective equipment while placingwarning signs in relevant areas. By combining technological improvements, protective equipment, and standardizedmanagement, we e?ectively control occupational hazards and ensure employee health and safety.

Testing and EvaluationReport for OccupationalDisease Hazard Factors

Occupational Hazard Prevention and Treatment Measures

Water QualityTesting

Air compressorroom

Noise

Asset Management

Department andProduction Department

Strengthen on-site ventilation;Wear personal protective equipment;Conduct regular occupational hazardtesting;Organize employees to undergo regularoccupational health checkups.Powerdistribution room

Powerfrequencyelectric ?eld

Asset ManagementDepartment

Wear personal protective equipment;Reduce exposure time;Conduct regular occupational hazardtesting;Organize employees to undergo regularoccupational health checkups.

Working Position

OccupationalHazard Factors

DepartmentsControl Measures

Additionally, for better emergency preparedness, each production base is equipped with a standard ?rst-aid kit containingessential medical supplies, including thermometers, alcohol, burn ointment, and Fengyoujing (medicated oil), ensuringtimely treatment in case of emergencies.Medicine NameStandard QuantityUnitFunctionReferenceBand-aids1BoxWound treatmentEssentialThermometer1Set

Body temperaturemeasurement

EssentialMedical Alcohol1Bottle

Hemostasis andwound care

EssentialYunnan BaiyaoPowder

1BottleHemostasisEssentialBurn Ointment1BottleScald treatmentEssentialQingliangyou(Cooling Oil)

2BottlesHeat prevention

Essential insummerFengyoujing(Medicated Oil)

2BoxesHeat prevention

Essential insummer

Hydrogen Peroxide1BottleWound treatmentEssential

Iodine Tincture1BottleWound treatmentEssential

Medical CottonSwabs

2Packs

Hemostasis,wound care, etc.

Essential

Posting Reminder Signs for AreasRequiring Personal Protective

Equipment

A First-Aid Kitat Jiangmen

Base

A First-Aid Kit

at Jiangsu

Base

First-Aid Kit Details

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Democratic Management

Freedom of Association and CollectiveBargaining

Employee Care and Activities

At Hymson, we have established a comprehensive employee care system, creating a positiveworking environment for employees through democratic communication mechanisms anda variety of corporate cultural activities. We place a great emphasis on striking a balancebetween work and life for our employees by regularly organizing various cultural and sportsactivities, aiming to enrich their leisure time, enhance employee satisfaction and sense ofbelonging, and foster a harmonious and amicable corporate atmosphere.

Taking democratic communication as a key aspect of ourmanagement, we have established institutional systems such as theManagement Measures for Protection of Employees' Human Rights,the Code of Conduct for Overseas Employee Compliance, and theManagement Procedure for Employee Grievances and Complaints,ensuring that employees are provided with adequate channelsfor expressing opinions and providing feedback on companyaffairs. By implementing diverse communication mechanisms, wesafeguard employees' basic rights during our operations, enhancetheir engagement and trust in the decision-making process, andcontinuously promote positive internal interaction and collaborationin the Company

We respect our employees' right to freely associate, join labor unions,and engage in collective bargaining. We assist employees in forminglabor unions, support the election of employee representatives, andprovide places and facilitating conditions for the activities of thelabor union and employee representatives.

Health CheckupsWe organize annual occupational health checkups foremployees exposed to occupational disease hazardsbefore they take up their posts, during employment,and when they leave the post and maintainoccupational health records for them. The Jiangmenbase, in accordance with theManagement Measuresfor Employee Occupational Health, has standardizedthe checkup process and implemented protectivemeasures such as providing personal protectiveequipment, safety training, and regular testing ofoccupational hazards in workplaces to ensure thephysical and mental health of employees.

we achieved an occupationaldisease checkup rate of100%

From December 2024 to January 2025, the Jiangsu base organized employees to undergooccupational health checkups, aiming to identify potential occupational hazards exposed tothe employees during employment and ensure their physical health. The checkups includedspeci?ed examination items, providing comprehensive assessments for employees exposedto noise and other occupational risks. The results not only helped the Company understandemployees' health conditions but also provided scienti?c data for future occupational healthmanagement, further reinforcing prevention and treatment measures for occupationaldiseases.Moreover, the Shenhai and Jiangmen bases also actively invited medical institutions toprovide on-site occupational health checkups for employees, ensuring convenient ande?cient access to occupational health services. By o?ering on-site services, we ensure thatmore employees can participate in health checkups, thus fully meeting the occupationalhealth monitoring needs.

Case

Organizing Occupational Health Checkups to StrengthenOccupational Disease Prevention and Treatment

Occupational HealthCheckup SummaryReport at Jiangsu Base

On-Site Occupational Health Checkup at Jiangmen Base

During the reporting period

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Grievance Mechanism

Colleague Bar

If our employees encounter issues during their work, they have the right to submit a grievance. We ensure that employees'grievance rights are fully protected and provide convenient channels for them. According to theManagement Procedure forEmployee Grievances and Complaints, we have clearly de?ned seven categories of grievances and complaints. Employeescan ?le complaints via phone, letter, face-to-face discussions, or email, either anonymously or with their real name.Serving as the department responsible for accepting complaints, our Human Resources Center receives and providesfeedback on all categories of complaints. When dealing with ?nancial matters, the Human Resources Center works togetherwith the Financial Center to handle the complaints jointly. Upon receiving a complaint, the receiver must decide whether toaccept or initiate a case within 15 working days. If a case is accepted, an investigation must be conducted within 15 workingdays, and the result, after approval, should be communicated to the complainant and monitored for execution within 15working days. By standardizing the grievance mechanism, we ensure that employee grievances are handled fairly ande?ciently, thereby safeguarding their legal rights and interests.

We have innovatively built the "Colleague Bar" platform on Enterprise WeChat, providing employees with a convenientchannel for real-name posting and interactive communication. The platform is operated by the Employee ServiceDepartment of the Human Resources Center, which categorizes employee feedback, forwards it to relevant departmentsfor handling, tracks the progress of the resolution, and publicly shares the results on the platform. To continuously improvemanagement e?ectiveness, the platform compiles a monthly public opinion analysis report, which provides data insightsto help optimize our management and broadens expression channels for employees, thereby facilitating informationsharing and problem-solving in the organization.

Email:hr-er@hymson.comMailing address:Employee ServiceDepartment, Human ResourcesCenter, 3rd Floor, Building B, KemronTechnology Park, No. 5 Guansheng 5thRoad, Guanhu Sub-District, LonghuaDistrict, Shenzhen, Guangdong Province

Tel.: 0755-28197975, extension for theEmployee Service Department, HumanResources Center

Category 1:Complaints about actions thatviolate the Company's current administrativeregulationsCategory 2:Complaints concerning actionsdetrimental to the Company's interestsCategory 3:Grievances and complaintsrelated to situations impacting employees'personal rights and interestsCategory 4: Grievances and complaints aboutemployee relationsCategory 5: Grievances and complaints aboutdecisions made by superiorsCategory 6: Grievances and complaints aboutactions causing signi?cant impact or harm tothe CompanyCategory 7:Other types of grievances andcomplaints

Categories of Grievances andComplaints (Scope)

Grievance and Complaint Channels

Employee Symposium

Employee Engagement and Satisfaction Survey

To promote internal communication and collaboration, we have established a regular employee symposium mechanism.Employees from various positions are randomly selected to participate. Prior to each symposium, the organizingdepartment will collect all kinds of issues that employees care about. During the symposium, department heads will

To continuously improve organizational management e?ectiveness,we conducted an employee engagement and satisfaction surveyduring the reporting period.Regarding employee engagement, we conducted our second GallupQ12 survey across all employees in 2024. The questionnaire wasdistributed via the OA system, accompanied by warm-up promotionand explanations of the survey questions to ensure the qualityof the survey. After the survey, an analysis report was generatedto provide guidance for manager evaluation and to enablemanagement teams to optimize daily management practices.For employee satisfaction, Hymson Jiangsu conducted twoanonymous all-dimensional surveys, focusing on key areas suchas corporate culture, management mechanisms, and logisticsservices. Based on the survey results, we have developed targetedimprovement plans for weak links identi?ed by employees, trackedthe e?ectiveness of these improvements, and successfully identi?edmanagement shortcomings, leading to substantive improvementsin employee experience.

During the reporting period

In 2024

we held

our overall employee engagementscore was

employee symposiums.

points

85.2

an increase offrom 83.8 points in 2023, indicatinga steady upward trend.

1.4

Departmental Employee Symposium in 2024

address and discuss these concerns in depth. After the symposium,we will systematically sort out the issues and develop correctiveactions, Meanwhile, regular feedback is provided to employees onthe progress of improvements, thus forming an e?ective closed-loopmanagement process and continuously optimizing our operations.

points

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Work-Life Balance for Employees

We remain committed to our employees' work-life balance. Our labor union regularly organizes various cultural andsports activities, such as sports competitions and holiday celebrations, and carries out employee care activities.These efforts have enriched employees' leisure time, helped alleviate their work-related stress, and effectivelyimproved their job satisfaction and quality of life, thereby creating a harmonious and positive workplace.

Holiday ActivitiesWe continue to enhance employees' sense of belonging and well-being through various holiday activities. Duringtraditional holidays such as the Dragon Boat Festival, we prepare holiday gifts for all employees and organizethemed celebrations. We also arrange designated personnel to show care for employees on business trips, ensuringthat every employee feels the care and warmth of the holiday. Additionally, we hold collective birthday partiesfor employees with different themes. Through thoughtfully designed interactive activities and warm celebratoryceremonies, we aim to make sure that employees feel the warmth of the group.

Activities for theDragon Boat Festival

Care Initiative duringthe Mid-AutumnFestival

EmployeeBirthday Party

Care for Female Employees

Networking Events

Other Activities

We continuously strengthen our care forfemale employees. Every year during"International Women's Day" (March 8), wecarefully orchestrate special celebrations forall female employees, along with holidaygifts. In addition, we collaborate with hospitalexperts to provide health knowledge sessionson women's health, organize maternaland child health lectures, and offer healthconsulting services, fully caring for femaleemployees' physical and mental well-being.

We value our employees' personal happiness index and organizethemed social networking events for single employees, fostering arelaxed and enjoyable social atmosphere for them. These events helpemployees expand their social circles and create opportunities for like-minded single employees of the appropriate age to meet and connect,fostering friendships in a warm and cheerful atmosphere.

Our Labor Union also regularly organizes a variety of sports activities, including tug-of-war, table tennis, andball games, encouraging employees to improve their physical fitness and foster communication through sports.Additionally, we take the initiative to ful?ll our social responsibility by organizing charitable activities such as blooddonation to provide employees with opportunities to contribute to society, thereby promoting their physical andmental well-being while spreading positive social energy.

Flower ArrangementActivity for Women's Day

Carnation Maternal andChild Health Lecture

A Networking Event Organized at

the base of Hymson Jiangsu

The Fourth

"LaborUnion Cup"VocationalSkillsCompetitionat HymsonShenzhen

A Tug-of-WarCompetitionat HymsonJiangmen

HymsonJiangmenparticipated inthe basketballcompetitionheld by thepark.

VoluntaryBloodDonationOrganizedby HymsonJiangmen

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Contributing to Rural RevitalizationPracticing Public Welfare and Philanthropy

Commitment ·Giving Back toSociety

At Hymson, we remain committed to rural revitalizationand charitable causes, striving to promote the coordinatedprogress of the economy and society. We adhere to theprinciples of responsibility, dedication, and win-wincooperation, paying close attention to rural developmentand social care, and working to create a warm andharmonious social atmosphere.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Practicing PublicWelfare andPhilanthropyTo actively ful?ll our corporate social responsibility, weregularly engage in charitable donations and organizeemployees to participate in community volunteerservices. These actions help give back to society andpromote the common development of the community.During the reporting period, we actively respondedto the community's call and organized more than10 employee volunteers to participate in the "Learnfrom Lei Feng Day" environment cleaning activity atJunzibu Community. The team cleaned public areasin the community such as main roads and greenbelts,effectively improving the community's environmentalhygiene. In the future, we will continue to organizesuch public welfare activities, contributing to building aharmonious community.

Contributing to Rural Revitalization

Hymson actively responds to the national ruralrevitalization strategy, always considering supportingrural development as a crucial part of our corporate socialresponsibility. Upholding a sustainable developmentphilosophy, we fully leverage our advantages intechnology, resources, and industry to empower therural economy and promote urban-rural coordinateddevelopment. Additionally, we focus on co-buildingand sharing with rural communities, driving ruralindustrial upgrades, talent development, and ecologicalimprovement through diversi?ed support methods. Withthese concrete efforts, we actively fulfill our corporatemission and contribute to rural revitalization.

During the reporting period, we donatedRMBto the "6·30"20,000

"Learn from Lei Feng Day" Environment Cleaning Activity

we donated a total ofmillion to the

2.2078

During the reporting period

During the reporting period

Rural Revitalization Program in DonglanCounty, for the construction of BaqunSenior High School.

Central South University Education Foundation, SouthernUniversity of Science and Technology Education Foundation,Maternal and Child Fund, Employee Welfare Fund, and tree-planting activities.

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Index of Indicators

Primary TopicsSecondary TopicsCorresponding Chapter

Climate ChangeResponse

Management of climate-related risks andopportunities

Environmental Protection and Climate ActionAssessment of the adaptability ofcorporate strategies and business modelsto climate change

Environmental Protection and Climate ActionTransition plans, measures, and progressin response to climate-related risks andopportunities

Environmental Protection and Climate ActionDisclosure of greenhouse gas emissions bycategory and scope

Environmental Protection and Climate ActionDisclosure of greenhouse gas emissions bycategory

Environmental Protection and Climate ActionMethodologies for calculating greenhousegas emissions

Environmental Protection and Climate ActionGreenhouse gas reduction practicesEnergy Management and Resource ConservationNew technologies, products, and servicescontributing to carbon emission reductionand carbon neutrality

Energy Management and Resource Conservation

Pollutant Emissions

Pollutant discharge information

Wastewater, Waste Gas, and Solid Waste

Management and Chemical SafetyPollutant treatment measures

Wastewater, Waste Gas, and Solid Waste

Management and Chemical SafetyEmission reduction targets

Wastewater, Waste Gas, and Solid Waste

Management and Chemical SafetyImpacts on a?ected communities

Wastewater, Waste Gas, and Solid Waste

Management and Chemical SafetyAdministrative penaltiesNot applicableWaste Disposal

Volume of waste generated

Wastewater, Waste Gas, and Solid Waste

Management and Chemical SafetyWaste disposal practices

Wastewater, Waste Gas, and Solid Waste

Management and Chemical SafetyEcosystem andBiodiversityProtection

Regional conservation measuresBiodiversity ConservationProtection and restoration measuresBiodiversity Conservation

EnvironmentalComplianceManagement

Risk managementEnvironmental Protection and Climate ActionEnvironmental emergenciesEnvironmental Protection and Climate ActionAdministrative penaltiesNot applicable

Energy Use

Energy consumptionEnergy Management and Resource ConservationUse of clean energyEnergy Management and Resource Conservation

Water ResourceUtilization

Water consumptionEnergy Management and Resource ConservationWater conservation targetsEnergy Management and Resource ConservationCircular Economy

Speci?c measuresEnergy Management and Resource ConservationProgress and outcomesEnergy Management and Resource Conservation

Primary TopicsSecondary TopicsCorresponding Chapter

Rural Revitalization

Speci?c measuresContributing to Rural RevitalizationAchievements and outcomesContributing to Rural RevitalizationSocial ContributionsOverview of contributionsPracticing Public Welfare and PhilanthropyInnovation-DrivenDevelopment

Strategic objectivesInnovation-Driven DevelopmentImplementation detailsInnovation-Driven DevelopmentR&D achievementsInnovation-Driven DevelopmentInnovation-DrivenDevelopment

Impacts of innovationInnovation-Driven DevelopmentTechnology Ethics

Business areasNot applicable

Internal managementNot applicable

ViolationsNot applicable

Training and promotionNot applicableSupply ChainSecurity

Risk managementResponsible Sourcing

Safeguard measuresResponsible Sourcing

Improvement actionsResponsible SourcingEqual Treatment ofSMEs

Outstanding paymentsBusiness Ethics

Speci?c casesBusiness EthicsProduct and ServiceSafety and Quality

Management systemProduct Quality

Quality certi?cationProduct Quality

Major accidentsNot applicable

After-sales serviceProduct Quality

AccessibilityCustomer Rights and InterestsData Security andCustomer PrivacyProtection

Management systemInformation Security

Security incidentsInformation Security

Customer privacy protectionInformation Security

Data breach incidentsInformation SecurityEmployees

EmploymentEmployment and Compensation

Occupational health and safetyEmployee Health and Safety

Career development and trainingEmployee Development and TrainingDue DiligenceDue diligence practicesESG GovernanceStakeholderEngagement

Communication mechanismsInvestor Relations Management

Suggestion channelsInvestor Relations ManagementAnti-CommercialBribery and Anti-Corruption

Management systemBusiness Ethics

Risk assessmentBusiness Ethics

Training performanceBusiness Ethics

Reported incidentsNot applicableAnti-UnfairCompetition

Management systemBusiness Ethics

Administrative penaltiesNot applicable

IntegrityFoundation of GovernanceOverview

InnovationLeading through Intelligence

CollaborationWin-Win Production

SustainabilityProtecting Our Planet

ResponsibilityGrowing with Our People

CommitmentGiving Back to Society

Appendices

Reader Feedback

Dear Reader,Thank you for reading theHymson 2024 Environmental, Social and Governance (ESG) Report. In order toprovide you and other stakeholders with more professional and valuable ESG information, we kindly askfor your assistance in completing the feedback form. Your input will help us continuously improve our ESGe?orts in the future.

1.What is your relationship with Hymson?

□ Employee □ Customer □ Supplier □ Regulator □ Media □ Others (Please specify)

2. How would you rate the overall quality of this report?

□ Excellent □ Good □ Average □ Poor □ Very Poor

3. How would you rate the structure of the report?

□ Very reasonable □ Reasonable □ Average □ Poor □ Very Poor

4. How would you rate the design and presentation of the report?

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5. How would you rate Hymson's overall performance on environmental topics?

□ Excellent □ Good □ Average □ Poor □ Very Poor

6. How would you rate Hymson's overall performance on social topics?

□ Excellent □ Good □ Average □ Poor □ Very Poor

7.How would you rate Hymson's overall performance on governance topics?

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8. Open-Ended Question:

What other suggestions or comments do you have regarding Hymson's ESG e?orts?

Multiple Choice Questions (Please tick the relevant box)

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