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or completeness of this announcement, and expressly expressly disclaims any liability arising out of or in reliance upon the whole or any part of the contents of this announcement. assumes no responsibility for any losses caused by relying on such content. Shanghai Haohai Biological Technology Co., Ltd.* Shanghai Haohai Biotechnology Co., Ltd. (a joint stock limited company incorporated in the People's Republic of China) (Stock code: 6826) Overseas regulatory announcement This announcement is made by Shanghai Haohai Biotechnology Co., Ltd. (the "Company") in accordance with the Hong Kong Stock Exchange is published in accordance with the provisions of Rule 13.10B of the Rules Governing the Listing of Securities of Limited Company. This is to set forth the company's "Shanghai Haohai Biotechnology Co., Ltd." published on the website of the Shanghai Stock Exchange. 2026 "Improving Quality, Increasing Efficiency and Focusing on Returns" Action Plan" "About Shanghai Haohai Biotechnology Co., Ltd. Announcement on Provision for Asset Impairment in 2025" is for reference only. By order of the board of directors Shanghai Haohai Biotechnology Co., Ltd. Chairman Hou Yongtai Shanghai, China, March 20, 2026 As at the date of this announcement, the executive directors of the Company are Dr. Hou Yongtai, Mr. Wu Jianying, Ms. Chen Yiyi and Mr. Tang Mingli; the non-executive directors of the Company are Ms. You Jie, Mr. Huang Ming and Mr. Wei Changzheng; and the Company The independent non-executive directors of the company are Mr. Shen Hongbo, Mr. Jiang Zhihong, Mr. Su Zhi and Mr. Yang Yushe. *For identification only Shanghai Haihaohao Haisheng Biotechnology Co., Ltd. Annual "Improving Quality, Increasing Efficiency and Paying Back" Action Plan 2026 In order to actively respond to the Shanghai Stock Exchange's "About launching a special project on 'improving quality, increasing efficiency and focusing on returns' for companies on the Science and Technology Innovation Board, "initiative of this action", Shanghai Haohai Biotechnology Co., Ltd. (hereinafter referred to as the "Company") has Starting from 2024, the company's 2024 and 2025 "Improving Quality, Efficiency and Returns" action plans have been prepared. And publish the semi-annual evaluation report on time. In order to continue the results of the 2024 and 2025 action plans, To continue to promote the improvement of company quality and investment value, the company has formulated the "Shanghai Haohai Biotechnology Co., Ltd. The company's 2026 "Improving Quality, Increasing Efficiency and Focusing on Returns" Action Plan" and returning to the 2025 annual "Improving Quality and Efficiency and Focusing on Returns" Action Plan" Report action plans for annual evaluation. The plan was approved by the company’s sixth board of directors on March 20, 2026 Reviewed and adopted at the seventh meeting. The details are as follows: 11. Under pressure, forge ahead and forge ahead, coordinate and integrate to improve efficiency. 2025 will be a year for the company to move forward under pressure amidst complex economic and industrial changes. The company closely focuses on medical The four core business sectors of beauty, ophthalmology, orthopedics, adhesion prevention and hemostasis actively respond to opportunities in the external environment. meet challenges and continue to deepen product innovation, market expansion and lean management. In 2025, the company’s operating income, Main business income was RMB 2,472.9981 million and RMB 2,458.8206 million respectively, representing a decrease from the previous year. 8.33%, 8.69%. In the fields of medical cosmetology and wound care, the company has developed products covering hyaluronic acid and epidermal repair genetic engineering. Business matrix of four major categories: preparations, radio frequency and laser equipment. In 2025, the company’s medical cosmetology and wound care The management products achieved a total operating income of 1,040.0776 million yuan, a decrease of 155.0372 million yuan compared with the previous year, with a decrease of 12.97%. Mainly due to the decline in sales revenue of hyaluronic acid products. Value-added tax rate changes and positioning The demand for the entry-level "Haiwei" and "Jiaolan" hyaluronic acid products has dropped significantly in stages, resulting in hyaluronic acid The operating income of the product in 2025 will decrease by 172.4411 million yuan compared with the previous year (a decrease of 23.26%). But with this At the same time, the company has stabilized its business through high-end "Haimei" series products such as "Haimei", "Haimeiyun" and "Haimeiyuebai". Consolidate its academic leading position in the industry and enhance customers' stickiness to the company's high-end hyaluronic acid products. The revenue from the product line has contributed considerable growth, ensuring that the company's hyaluronic acid product market share remains at the forefront. In December 2025, the painless cross-linked "Jiaolan" hyaluronic acid product was approved, further expanding the company's hyaluronic acid production quality line. The human epidermal growth factor product "Kanghesu" contributed a certain amount of sales increase and achieved operating income 204.2891 million yuan, an increase of 14.9849 million yuan or 7.92% over the previous year. RF and laser equipment production The overall sales revenue of the products was basically the same as that of the previous year. In the field of ophthalmology, the company’s ophthalmology business covers cataract treatment, myopia prevention and control, refractive correction and eye care services. In the field of surface treatment, it has deployed a number of products under development in the field of fundus disease treatment. The company is the largest company in the country Manufacturer of viscoelastic products. According to the research report of Benchmark Pharmaceuticals, the company’s ophthalmic viscoelastic products in 2024 The market share in 2023 will increase from 46.98% to 51.42%, ranking first in the Chinese market share for 18 consecutive years. First place. Affected by the centralized procurement policy and DRG/DIP policy, the company’s intraocular lens product sales have Sales revenue decreased by 89.5524 million yuan compared with the previous year, a decrease of 27.30%. The overall ophthalmic products achieved the main business The operating income was RMB 724.7345 million, a decrease of RMB 132.9152 million or 15.50% compared with the previous year. Company pass Actively optimize sales structure to make up for gross profit losses. Among them, mid-range pre-installed aspherical products are rapidly replacing The sales volume of ordinary spherical and aspherical products increased by 21.68% compared with the previous year, and sales revenue accounted for 1% of the intraocular lens production. The proportion of product line revenue increased from 18.37% in the previous year to 27.74% in this reporting period. In the field of myopia prevention and control, Faced with the dual pressures of a weak consumer market and intensified competition within the category, the company's independently developed "Children's Enjoyment", "Tongliang" brand orthokeratology lens products rely on higher oxygen permeability material properties and more advanced design concepts. Prescription tablet sales bucked the trend and increased by 61.06% compared with the previous year, which to a certain extent offset the company's agent for the orthokeratology lens industry. adverse effects of declining business. In the field of orthopedics, the company is the only company in China that has a full range of orthopedic sodium hyaluronate injection products and and companies that register joint cavity viscoelastic supplement products as Class III medical devices. The company is the largest domestic company Manufacturer of joint viscoelastic supplements. According to the research report of Benchmark Pharmaceuticals, in 2024, the company has continuously For eleven years, it has ranked first in the market share of bone-articular injection products in China, with its market share rising from 2023 to 2023. 41.61% increased to 44.43%. In 2025, the company's orthopedic products will achieve operating income of 427.7031 million yuan. A decrease of RMB 28.828 million, or 6.31%, from the previous year, mainly due to the company’s medical chitin (articular cavity In addition to the impact of the increase in the value-added tax rate, the change in sales model has resulted in average sales The unit price also dropped accordingly. Facing price pressure, the company will continue to optimize sales strategies, consolidate and expand the market share. In the field of anti-adhesion, the company has medical chitosan (for anti-adhesion) and medical sodium hyaluronate gel. products. According to a research report by Benchmark Medicine, in 2024, the company’s surgical anti-adhesion products will have The market share is 25.87%, ranking first in the market for 18 consecutive years. In the field of hemostasis, the company owns medical Collagen sponge, pig fibrin adhesive products. In 2025, the company’s anti-adhesion and hemostatic products will achieve The current main business income is 229.6251 million yuan, an increase of 83.9835 million yuan over the previous year, an increase of 57.66%. The pig fibrin adhesive product "Kangrui Gum", which is mainly developed independently by the company, has been included in the "Shanghai Biology Pharmaceutical "New and Excellent Drugs and Devices" Product Catalog" (the fourth batch), and quickly completed the sales of "Kangruijiao" products in Shanghai, Market access in some regions such as Henan has opened up a new marketing situation. In 2026, the company will continue to further promote internal resource scheduling and drive innovation through collaboration and innovation throughout the industry chain. We will continue to improve core competitiveness while striving to resolve risks: first, deepen the R&D innovation drive, Build a moat for high-end products. The company will focus on core technical barriers and accelerate the development of ophthalmology, medical aesthetics, and orthopedic surgery. Clinical and registration progress of major products under development. At the same time, relying on the newly established subsidiary to obtain biological amniotic membrane, desmosis Domestic agency rights for allogeneic dermal soft tissue patch and other allogeneic tissue material products, entering the field of regenerated materials material field. By arranging the application of the aforementioned materials in plastic surgery, orthopedic surgery, ophthalmology and other fields, we will enrich the public The product matrix of the company's four core segments; second, strengthen the coordination of the marketing system to enhance market penetration and brand potential energy. In the field of medical beauty, deepen the differentiated definition of the four generations of hyaluronic acid in "Haiwei-Jiaolan-Haimei-Haimeiyuebai" position, focusing on creating a high-end image of "Haimei" and strengthening market education on new indications of "Jiaolan Lip". Collaboration EndyMed, a wholly-owned subsidiary, promotes the "gold microneedle + hyaluronic acid" combination solution, through comprehensive empowerment Downstream institutions can achieve the channel effect of 1+1>2. In the field of ophthalmology, integrate the intraocular lens marketing team, Under the new normal of centralized procurement, we will leverage our full product line and cost advantages to optimize our supply chain and sales strategies. Digging deep into "childhood" Enjoy the potential of the "Tongliang" brand and accelerate penetration into the consumer market; third, dynamically track the national procurement of intraocular lenses and inter-provincial joint procurement trends of orthopedics and surgical products, respond flexibly, and proactively rely on the advantages of multiple brands and specifications In response to the bid, we will exchange price for volume, consolidate and expand market share. At the same time, make full use of "Kangrui Guo" to be selected into Shanghai The policy dividends of "new and high-quality drugs and devices" will accelerate the integration of market access and medical insurance nationwide, and enhance the market share. 22. Multi-dimensional and refined management, to promote the company's steady and healthy development. 1. Asset asset management In recent years, the company has actively strengthened asset management, focusing on strengthening the management of accounts receivable and inventory. In response In terms of accounts receivable, the company has increased its collection efforts, continuously tracked and monitored the progress of collection of overdue accounts receivable, and Measures were taken to reduce or stop credit sales to customers with credit risks, thereby effectively improving business activities. of cash inflow. At the end of the reporting period, the company's accounts receivable balance was RMB 271.004 million, a decrease from the end of the previous year. There was a decrease of RMB 45.1064 million, a year-on-year decrease of 14.27%. The accounts receivable turnover rate in 2025 increased from 2024 to 2024. 8.38 times improved to 8.42 times. In addition, the company continues to monitor the market sales and production of each product, In response to the periodic decline in market demand and other impacts, the company adjusted its production rhythm in a timely manner. At the end of the reporting period, the Company The inventory balance is 522.8751 million yuan, a year-on-year increase of 6.57%. The inventory turnover rate in 2025 will increase from 2024 The annual figure of 1.60 times is accordingly adjusted to 1.45 times. The overall inventory scale and structure are still reasonable and risks are controllable. level. The company has adopted a series of effective measures, and the total asset turnover rate has improved from 0.21 times at the end of 2020. It rose to 0.36 times by the end of 2025, and asset operating efficiency improved significantly and remained stable. Since its establishment, the company has continued to maintain a high level of profitability, with stable and positive operating cash flow. In order to prevent uncertain risks in business operations, the company continues to maintain sufficient cash reserves. As of report At the end of the period, the company's monetary fund balance was approximately RMB 2,446,769,200. In 2026, the company will continue to strengthen Cash management, further improve the efficiency of fund use, pay more attention to investor returns, and achieve fund security and balance of benefits. 2. Marketing and marketing management The company has focused on the construction of a professional academic promotion system for many years, attracting and cultivating a group of students with both clinical and practical skills. Professionals with bed experience and marketing experience. With advanced technical strength and strict product quality management, With professional marketing services and management teams, the company continues to optimize the diversified sales network of "direct sales + distribution". Head At present, the company has cooperated with thousands of Grade II-A and above public hospitals across the country, as well as major large-scale private medical hospitals across the country. The beauty hospital chain has established a long-term and stable business partnership. During the reporting period, the company’s sales to the top five customers were RMB 330.2022 million, a year-on-year increase 33.14%, accounting for 13.44% of total annual sales. The company's overall customer structure is healthy and dispersed, with no dependence. There are a few large customers, and none of the top five customers are related parties of the company. During the reporting period, the top five customers The significant increase in sales was mainly due to the company reaching and implementing a strategic cooperation agreement with its fourth customer. discussion, as well as the impact of the fifth customer’s increased business needs. These business developments reflect core customer The high recognition of the company's products has further enhanced customer stickiness. During the reporting period, the company achieved net profit attributable to the parent company of RMB 251.0086 million, a decrease from the previous year. 40.30%, mainly due to the superposition of multiple external objective factors. Our company's intraocular lens business operations The performance was not as good as expected. Based on the principle of prudence, the company has imposed restrictions on its subsidiaries engaged in importing Lenstec brand artificial intelligence products from the United States. Shenzhen New Industry, a subsidiary of the lens business, has made an impairment provision of approximately 141 million yuan for goodwill, as well as for its subordinates. Intangible assets held by Aaren, a U.S. subsidiary that produces and sells Aaren brand intraocular lens products This is due to the provision for impairment of the product-brand of approximately RMB 25 million. Despite the large amount of asset impairment provision mentioned above, Influenced by the impact of the epidemic, the company's net interest rate attributable to its parent company will remain at a stable level of 10.15% in 2025, fully demonstrating the company's The company's resilience and sustained profitability in a complex market environment. Looking forward to 2026, the company will continue to focus on nuclear focus on business, promote the continuous improvement of sales return efficiency, and create greater value for shareholders. 3. Leverage management As of March 19, 2026, according to the disclosed pharmaceutical manufacturing industry (new CSRC industry classification) According to the company's 2025 annual report, the median asset-liability ratio of the pharmaceutical manufacturing industry is 29.95%. In line with the principle of sound operation, the asset-liability ratio at the end of the reporting period was 16.60%, maintaining a low and healthy level. cut As of the end of this reporting period, the company had no overdue loans. Scientific leverage allocation not only effectively promotes company performance growth, laying a solid foundation for sustained and steady development in the future. 4. Fundraising and investment project construction During the reporting period, the company invested a total of 104.5237 million yuan in raised funds, and the accumulated raised funds have been invested The total amount is 1,380.4881 million yuan, and the investment progress reaches 90.25%. The company's fundraising project under construction is "Shanghai Hao" "Haishengke International Pharmaceutical R&D and Industrialization Project", the total investment and raised funds in 2025 is 10,452.37 Since the construction of the project, a total of 1,131,634,600 yuan of raised funds have been invested, with the investment progress reaching 88.12%. Due to the complexity of debugging and linking the pharmaceutical production workshop and the application cycle for the pharmaceutical production license Relatively long, after review and approval at the fifth meeting of the sixth board of directors held on November 7, 2025, it will be The implementation progress of some pharmaceutical workshops has been adjusted to reach the scheduled usable status in June 2027. At the end of the reporting period, the The project has completed all construction, engineering construction, and equipment procurement and installation, and is in the process of equipment verification and testing. Production and application for production license stage. In January 2026, the medical device production license has been obtained, and relevant production licenses have been The production workshop will gradually be put into production. The first phase of the "Jianhua Biological Fengxian Base" built with super-raised funds The "construction project" has been completed at the end of 2021 and will be put into use in 2022. The cumulative investment raised The amount of funds is 47.4956 million yuan. The commissioning of the project promoted the improvement of production capacity utilization. During the reporting period, Achieved benefits of RMB 110.6414 million (including income from all products produced by Jianhua Biotech in Fengxian factory). In order to improve the efficiency of the use of raised funds, while ensuring that the construction and use of raised funds projects and the Under the condition that the funds are safe and the purpose of the raised funds will not be changed in any way, the company shall, upon review and approval by the company’s board of directors, Use temporarily idle raised funds for cash management, purchase with high security, good liquidity, and guaranteed capital agreement The balance of large-denomination certificates of deposit at the end of the reporting period was RMB 260 million. Cash management through idle raised funds, It not only ensures the safety of raised funds, but also obtains considerable returns. As of the end of the reporting period, the amount of funds raised was The accumulated income is now RMB 178.7557 million. In 2026, the company will continue to actively promote the "Haohai Biotech International Pharmaceutical R&D and Industrialization Project". Especially the equipment debugging, production verification and drug production-related license applications in pharmaceutical production workshops, It will be fully operational by June 2027. 33. Adhere to the drive of R&D, innovation and innovation, and cultivate new and new quality production productivity. The company has always attached great importance to research and development and innovation. While adhering to internal independent research and development as the main body, it also Focus on cooperative research and technology development with well-known domestic universities, scientific research institutes and large tertiary hospitals. Currently, The company has a national-level enterprise technology center, a national-level postdoctoral research station, and two national-level R&D platforms. Taiwan, as well as four provincial and ministerial level technology and R&D transformation platforms and a Shanghai academician expert workstation, have been established in China, the United States, the United Kingdom, France, and Israel have established integrated R&D systems to form an interactive system at home and abroad. R&D layout. As of the end of the reporting period, the company's R&D team consisted of 386 R&D personnel, accounting for 18.29% of the total number of employees, including 25 with doctoral degrees and 111 with master's degrees. In 2025, the company promoted various research and development projects in an orderly manner and achieved relatively positive progress. Among them, many The product has obtained registration approval, hydrophobic molded astigmatism correction aspheric intraocular lens, pre-installed hydrophobic molded powder The photocorrective aspheric intraocular lens received Category III certification issued by the State Food and Drug Administration in January and February 2025 respectively. Medical device product certificate; the company’s first painless cross-linked cross-linked sodium hyaluronate gel product for injection, Collagen complex solution products for skin care will all be approved for marketing in December 2025. More hydrophilic aspheric surfaces Focus IOL, innovative hydrophobic molded aspheric trifocal IOL product, hydrophobic molded extension Depth of focus intraocular lens, hydrophilic continuous range intraocular lens, highly oxygen permeable scleral lens products, second generation intraocular lens Products such as water-permeable PRL and cross-linked sodium hyaluronate gel for correcting temporal depressions were completed this year. clinical trials and entered the registration application stage. Linear precision cross-linked water-optical injection, hydroxyapatite microinjection The world's first product, intelligent cross-linked collagen solution, long-lasting cross-linked sodium hyaluronate injection products and many other projects It aims to enter clinical trials in 2025 and advance in an orderly manner. LBM801 bone-articular injection will be released in 2025 Clinical approval for indications for articular cartilage damage and osteoarthritis will be obtained in October 2020 and December 2025. In addition, the company's internationally innovative biogel product for intraocular filling has been approved for marketing in March 2026. In terms of intellectual property rights, during the reporting period, the company obtained a total of 46 newly authorized intellectual property rights, among which It has 20 invention patents and 16 utility model patents. By the end of 2025, the company will have a total of authorized intellectual property 530 patents, including 169 invention patents, 241 utility model patents, 71 design patents, 49 software copyrights. As of the end of 2025, a total of 2 companies among the company and its holding subsidiaries have passed National-level specialized and new "Little Giant" enterprises were recognized, and 3 enterprises were rated as national-level or local-level "enterprises" Technology Center", one company was rated as "National Intellectual Property Demonstration Enterprise", and one company was rated as "National Intellectual Property Demonstration Enterprise" "Intellectual Property Advantage Enterprises", 5 enterprises passed the provincial "Specialized, Special and New Small and Medium-sized Enterprises" certification, 9 enterprises The industry was rated as "National High-tech Enterprise", 5 companies were rated as national "Technology-based Small and Medium-sized Enterprises", Four companies obtained corporate intellectual property management system certification. In 2026, the company will deepen the global coordination of R&D resources in China, the United States, the United Kingdom, France, and Israel. At the same time, through deep cultivation of cutting-edge technology and innovative product development, we will accelerate the transformation of scientific and technological achievements into "new quality production". Strength" and lead the company's high-quality development with innovation dividends. In the field of ophthalmology, accelerate the promotion of second-generation aqueous humor Translucent PRL products, continuous range intraocular lenses, new ultra-high oxygen permeability (DK180) orthokeratology lens products registration application and clinical trials of products; in the field of medical beauty, various series of painless cross-linked hyaluronic acid will be promoted as planned Products, hyaluronic acid products, collagen, water light injection products for many different indications such as correcting temporal depressions R&D projects such as products and injectable hydroxyapatite microsphere tissue filler products to further improve the product line; In the field of orthopedics and surgery, we will accelerate the development of LBM801 bone-articular injection and long-acting cross-linked sodium hyaluronate injection. Clinical trials of new products such as cumshots will reserve new momentum for mid- to long-term growth. 44. Stable cash distribution, dividends, and enhanced investment confidence. In order to further clarify the dividend returns to shareholders and enhance the transparency and operability of profit distribution decisions, The company formulated the "Shareholders of Shanghai Haohai Biotechnology Co., Ltd. in the next three years (2025-2027)" Dividend Return Plan" (hereinafter referred to as the "Plan") and was reviewed and approved at the 2024 Annual General Meeting of Shareholders Passed. According to the "Plan", the company's annual profits distributed in cash shall not be less than the distributable profits realized in that year. 20% of profit. The company completed the payment of cash dividends for 2024 before the end of July 2025, with a total of Dividends of RMB 137,239,800.00 (tax included), accounting for 32.64% of shareholders’ net profit; the 2025 semi-annual cash dividend will be completed before the end of October 2025 distributed a total of 91,493,200.00 yuan in cash dividends (tax included), accounting for the company’s half-year 2025 The consolidated statement accounts for 43.35% of the net profit attributable to shareholders of listed companies. The company also actively carries out share repurchases. In 2025, the company repurchased a total of 1,339,675 A shares. shares, accounting for 0.58% of the company’s total share capital of 230,561,595 shares as of the end of 2025, and the total transaction amount is approximately 73.3293 million yuan (excluding transaction taxes and fees); a total of 3,016,900 H shares have been repurchased, accounting for 1.31% of the total share capital at the end of 2025, with total funds used of approximately HK$80.9853 million (excluding transaction tax fee), as of the disclosure date of this plan, all H shares that have been repurchased have been cancelled. In 2026, the company will continue to adhere to value creation, implement the company's dividend policy, and actively return investment investors. Based on the 2025 operating performance, financial status and 2025 semi-annual dividend situation, it is planned to implement The profit distribution plan for 2025 is: deduct the company’s total share capital registered on the equity registration date for the implementation of equity distribution The shares in the special securities account for repurchase are the base number, and a cash dividend of RMB 6.00 will be distributed to all shareholders for every 10 shares. Calculated based on the share base on the date of review of the profit distribution plan, a total cash dividend of 135,679,680.00 is proposed. Yuan (including tax). At the same time, the company's board of directors will request the shareholders' meeting to authorize the formulation of an interim dividend plan for 2026. In order to meet the conditions for mid-term dividends, we can more flexibly formulate and implement policies based on the company and market conditions. Implement mid-term dividends. The company will also request the shareholders' meeting to grant the board of directors a general mandate to repurchase H shares. This enables the company to carry out H-share repurchases in a timely manner according to market conditions and needs. 55. Optimize the company's corporate governance and internal control to build a solid foundation for high-quality development. In recent years, with the in-depth implementation of the new Securities Law and the new Company Law, the China Securities Regulatory Commission has successively A series of supporting regulatory rules will be launched to vigorously promote the high-quality development of the capital market. The company will always complete Good corporate governance and standardized operations are regarded as the cornerstone of the company's steady development. We should keep up with regulatory developments and continue to optimize corporate governance. corporate governance system. In 2025, the company implemented regulatory requirements and adjusted its governance structure. The company cancels the supervisory board, The original governance structure of "Shareholders' Meeting, Board of Directors, Board of Supervisors, and Management" was adjusted to "Shareholders' Meeting, Board of Directors, and Management". The "new three committees and one layer" structure in which the board of directors and management "superimpose" the audit committee are borne by the audit committee. Take over the supervisory powers of the Board of Supervisors. At the same time, we will give full play to the professional supporting role and independent role of the special committees of the board of directors. Establish the supervisory checks and balances and professional consulting functions of directors. A scientific and efficient governance mechanism with clear powers and responsibilities is in order to maintain This provides a solid guarantee for the overall interests of the company and the legitimate rights and interests of small and medium-sized shareholders. In terms of system construction, the company based on changes in domestic and overseas regulatory rules and combined with the company's operating conditions, Revised the "Articles of Association" and its annexes, the working rules of the special committees of the board of directors, and the "Independent Directors' Work Rules". "Working Rules", "General Manager Working Rules", "Board Secretary Working Rules" and "Raised Funds Management System" "Information Disclosure Management System", "Internal Audit System", "Risk Assessment Management System" and other systems. In addition, the "Market Value Management System" and "Public Opinion Management System" were formulated, and the "Rules of Procedure of the Board of Supervisors" were abolished. In terms of internal control, the company focuses on the main line of "risk-oriented, full coverage, closed-loop management" and controls the mother and child The company's internal control effectiveness has been systematically evaluated and actively rectified. Assessment spans organizational governance, strategy and Risk management, research and development, procurement management, sales management and asset management and other business areas to investigate and promote Excellent, continue to optimize the internal control environment. The company continues to deepen the construction of the internal control system, comprehensively revise and complete Improve various internal control systems, including but not limited to the "Recruitment Management System" and "Service Procurement Management System" The "R&D Management System", "Training Management System", "Change Management System", etc. are the internal control processes and Provide strong support for implementation. In 2026, the company will continue to adhere to the bottom line of compliance, dynamically improve the governance and internal control system, and focus on promoting The following work: implement the newly revised "Code of Corporate Governance for Listed Companies", formulate and issue "Directors, Senior "Managerial Remuneration Management System", strengthen the linkage between executive compensation and the company's performance goals, and establish and improve Establish an incentive and restraint mechanism suitable for long-term sustainable development; organize directors, senior executives and other "key minorities" to actively Participate in training courses held by regulatory agencies and listed company associations to accurately grasp new regulations and regulatory trends in the capital market. Comprehensively implement the Securities Regulatory Commission’s requirements on improving regulatory enforcement effectiveness and investor protection levels; continue to optimize internal The department controls the environment and strengthens rectification follow-up to ensure the effective implementation of rectification measures. Based on production, purchasing and sales and other key business cycles, locate weak areas of management and control, standardize requirements, and break down barriers between departments/business lines. Focus on resource integration and improve management efficiency. 66. Consolidate the cornerstone of honesty and trustworthiness, and deepen communication with investors. Information disclosure is a bridge connecting companies and capital markets. It is also a way to convey corporate value and assist investors. The core cornerstone of decision-making. The company always attaches great importance to information disclosure and strictly abides by relevant laws, regulations and "Information Disclosure Management System" to solidly fulfill information disclosure obligations. In 2025, the company will release cumulative 4 periodic reports, 53 A-share temporary announcements, 41 online attachments, and 89 overseas regulatory announcements. Public The content of the report covers important topics such as share repurchase, profit distribution, raised funds management, resolutions of the Three Meetings and external investment. Big things. While making high-quality disclosures, the company also attaches great importance to two-way interaction with investors. Relying on new The media matrix and multi-dimensional channels that integrate online and offline continue to deepen healthy communication with investors. In 2025, the company held 4 performance briefings, including participating in the China Securities Regulatory Commission organized by the Shanghai Stock Exchange. The bilingual performance presentation meeting in English is aimed at global investors and focuses on the company's operating results, innovation highlights, and financial status. status, business planning and future development goals, etc. were fully communicated with investors. At the same time, the company continues to adopt Convene shareholders' meetings by combining on-site meetings and online voting to effectively ensure the convenient participation of investors. meetings and exercise shareholder rights in accordance with the law. Organized a total of 27 investor exchange activities and received visits from institutional investors 166 times. In daily communication, the company communicates through investor hotlines, public mailboxes and "SSE e-interaction", etc. platform to smoothen the consultation channels for individual investors and ensure that the concerns of small and medium-sized investors receive timely and professional responses. Should. In 2026, the company will continue to improve information disclosure and investor relations management based on compliance. Improve the quality and effectiveness of disclosures. In terms of interactive communication, the company plans to conduct no less than 4 investor interviews A day/performance briefing will be held, and depending on the actual situation, the chairman or general manager will personally lead the team to conduct interviews with investors. In-depth communication face to face. In addition, the company will promote the digital transformation of investor relations management and build interactive digital Based on the visual analysis system, we can respond to market concerns in a more accurate and efficient way and share the same results with investors. Build a healthy ecosystem of mutual trust and win-win results. 77. Other matters The company will continue to track and evaluate the implementation of the action plan of "Improving Quality, Increasing Efficiency and Focusing on Returns" and implement it in a timely manner Information disclosure obligations. The company will stick to its original aspiration, deepen its main business, and enhance its core competitiveness, profitability and resilience. Risk Capacity. The company will adhere to sound business management, standardized corporate governance, transparent information disclosure and Positive investor returns serve as the starting point to protect the legitimate rights and interests of investors. Listed companies are actively practicing While maintaining responsibility and establishing a good image of the capital market, in order to promote the stable and healthy development of the capital market Contribute. The company plans, development strategies, etc. involved in this report are forward-looking statements that are not fait accompli and do not constitute This constitutes the company's substantial commitment to investors, and investors are advised to pay attention to the relevant risks. Board of Directors of Shanghai Haohai Biotechnology Co., Ltd. March 20, 2026 Securities code: 688366 Securities abbreviation: Haohai Biotech Announcement number: 2026-011 Shanghai Haihaohao Haisheng Biotechnology Co., Ltd. Announcement on the annual provision for impairment of capital assets 2025 The board of directors and all directors of the company guarantee that the contents of this announcement do not contain any false records or misleading statements. statements or major omissions, and shall bear legal responsibility for the authenticity, accuracy and completeness of its contents in accordance with the law. Shanghai Haohai Biotechnology Co., Ltd. (hereinafter referred to as the "Company") on March 20, 2026 The seventh meeting of the sixth session of the Board of Directors was held on the Prepared Proposal". The relevant matters are now announced as follows: 11. Overview of the provision for impairment losses this time In accordance with the requirements of the Accounting Standards for Business Enterprises, in order to objectively and fairly reflect the Company and its subsidiaries (to (hereinafter collectively referred to as the "Group") as of December 31, 2025, the Company’s The relevant assets within the consolidation scope of the 2025 annual financial report have been comprehensively inspected, analyzed and evaluated, and it is believed that Some assets have certain signs of impairment. In line with the principle of prudence, the company has impaired relevant assets. We tested and accrued corresponding asset impairment provisions. The details are as follows: Unit: RMB 10,000 Item Item Amount of annual provision for the current year Goodwill impairment provision 15,109.28 Provision for impairment of intangible assets 2,498.07 Asset impairment loss Provision for inventory decline 2,206.03 Provision for impairment of projects under construction and other assets 38.41 Bad debt provisions for other non-current assets 276.19 Credit impairment loss Bad debt provision for other receivables 135.38 Bad debt provision for accounts receivable 50.41 total 20,313.77 22. Specific explanations of the preparation matters for this time's accrual and impairment of assets. (1) Asset impairment losses 1. Goodwill impairment provision 1.1 The business of Shenzhen New Industry Ophthalmology New Technology Co., Ltd. (hereinafter referred to as "Shenzhen New Industry") Impairment of reputation In order to truly reflect the company's financial status, asset values and operating conditions, based on the principle of prudence, According to the "Accounting Law", "Accounting Standards for Business Enterprises", "Accounting Supervision Risk Warning No. 8 - Impairment of Goodwill" and "Enterprise Industrial Accounting Standards No. 8 - Asset Impairment" and "Shanghai Stock Exchange Science and Technology Innovation Board Stock Listing Rules", etc. The Company shall comply with relevant provisions of laws, administrative regulations, departmental rules, normative documents, company accounting policies and other relevant provisions. Shanghai Haohai Pharmaceutical Technology Development Co., Ltd. (hereinafter referred to as "Haohai Development"), a wholly-owned subsidiary of the Company Goodwill formed from the acquisition of 60% equity of Shenzhen New Industries in November 2016 (as of December 31, 2025 The book balance was RMB 266.025 million) and was tested for impairment. The test results show that the relevant asset group can The amount recovered was less than its book value. Following the principle of prudence, the Company plans to conduct business operations as of December 31, 2025 The goodwill of Shenzhen New Industries, which showed signs of impairment as of that date, has been provided with impairment provisions of RMB 140.746 million. will now be relevant The situation report is as follows: (1) Formation of goodwill In November 2016, the Company held the fourth meeting of the third session of the Board of Directors to review and approve the "About the Company" Proposal to purchase 60% equity of Shenzhen New Industry Ophthalmology New Technology Co., Ltd.", and with the original shares of Shenzhen New Industry Dong signed the "Equity Transfer Agreement", stipulating that the company will acquire Shenzhen New Products for a consideration of 360 million yuan. 60% of the equity of the company was acquired and the equity delivery was completed in the same month. In December 2016, the sixth meeting of the third session of the Board of Directors of the Company The meeting reviewed and approved the "About the Company's Transfer of Shenzhen New Industry Ophthalmology New Technology Co., Ltd. held by the Company" Proposal on the 60% Equity Interest of Shenzhen New Industries, the Company will exchange its 60% equity interest in Shenzhen New Industries for RMB 360 million. Transferred to Haohai Development at a reasonable price. Due to the merger of Shenzhen New Industry among enterprises not under common control, the Group The difference between the merger cost and the fair value of the identifiable net assets acquired in Shenzhen New Industry is recognized as goodwill 24,999.51 Ten thousand yuan. In October 2020, due to business integration, Shenzhen New Industries absorbed and merged another subsidiary of Haohai Development Company Zhuhai Aige Medical Technology Development Co., Ltd. (hereinafter referred to as "Zhuhai Aige"), Shenzhen New Industry and Zhuhai Egger is managed as a business entity, and the goodwill formed when the original Haohai Development acquired Zhuhai Egger 16.0299 million yuan, and was merged into the Shenzhen New Industry Asset Group for goodwill impairment testing. After the completion of the above-mentioned merger The book value of goodwill of Shenzhen New Industry Asset Group is 266.025 million yuan. (2) Historical accrual of goodwill impairment provisions Since the completion of the acquisition of 60% equity of Shenzhen New Industries in 2016, the Company’s annual average Strictly follow the provisions of "Accounting Standards for Business Enterprises No. 8 - Impairment of Assets", regardless of whether there are signs of impairment, All goodwill formed due to business combinations is tested for impairment combined with its related asset groups. Less in previous years The value test results show that the recoverable amount of the above-mentioned asset groups containing Shenzhen New Industry’s goodwill is higher than that of the asset groups containing Shenzhen New Industry’s goodwill. The book value of the asset group does not need to be provided for impairment. (3) The main reason for the impairment of goodwill this time In 2025, as the national bulk procurement of intraocular lens products enters the second stage of the two-year agreement period, The competitive landscape of the superimposed industry has become increasingly fierce. Shenzhen New Industry operates Lenstec brand artificial crystals imported from the United States. The state business is facing significant operating pressure. On the one hand, the total number of domestic cataract surgeries in 2025 will be higher than that in 2024. has declined, the overall market demand has dropped; on the other hand, the number of competing products in the market has increased, especially domestic crystals Taking advantage of significant cost and price advantages, Lenstec product sales pose a greater challenge to imported brand products. Both unit price and sales volume will continue to decline in 2025, and the operating profit of Shenzhen New Industries in 2025 will not be Meet expectations. Based on the above operating performance, combined with the first half of 2026, the second round of intraocular lens products will be launched. Prices of products purchased in large quantities by the state are expected to drop, and the company's management believes that there are signs of impairment in the Shenzhen New Industry Asset Group. elephant. (4) The amount and calculation process of goodwill impairment provision this time When the company calculates the impairment of goodwill at the end of the year, it first determines the asset group and then selects the corresponding method to calculate the impairment. The recoverable amount of an asset group containing goodwill is calculated by comparing the recoverable amount of the asset group with the book value of the asset group. A comparison is made to determine whether the asset group is impaired, and then the asset group containing goodwill is tested for impairment. The recoverable amount of the asset group is compared with the book value of the asset group including the allocated goodwill to determine the business value. whether the reputation is impaired. The process of goodwill impairment testing of important asset groups is as follows: The Shenzhen New Industry Asset Group uses the present value of pre-tax cash flows expected to be generated in the future as the collectibles of the asset group. The expected future cash flow of the asset group is determined based on the cash flow forecast prepared by the management. Forecast period and stable period, the forecast period is 5 years, other key factors used in cash flow forecasts for asset groups Assumptions include estimated operating income, operating costs, growth rate and related expenses, etc. The above assumptions are based on Shenzhen The new industry’s operating performance, growth rate, industry level and management’s expectations for market development in previous years. The company’s management hired Zhoulan (Shanghai) Asset Appraisal Co., Ltd. to issue a Zhoulan Appraisal Report [2026] No. 015 "Goodwill for financial reporting purposes involved in Shenzhen New Industry Ophthalmology New Technology Co., Ltd." Impairment Test Project Asset Assessment Report", after testing, the recoverable amount of Shenzhen New Industry Asset Group is less than Ba The book value of the asset group including the allocated goodwill. There will be impairment of goodwill at the end of 2025. The specific measurement of impairment of goodwill is The test process is as follows: Item Item Business goodwill minus impairment value testing process The recoverable amount of the asset group is based on the estimated future cash flow of the asset group. The present value of the amount is determined. The expected source of future cash flows is the five-year financial period approved by management. The cash flow forecast data in the budget, the sustainable cash flow after five years is based on the detailed forecast level in the last year of the measurement period and combined with the long-term inflation rate. Calculate present value discount The present rate is 16%, which is a pre-tax discount rate that reflects the specific risks of the relevant asset group. Result of goodwill impairment test Taking December 31, 2025 as the base date of goodwill impairment test, under the above assumptions, Under the premise of establishment, the asset group related to Shenzhen New Industry and goodwill held by the Company can be collected The repayment amount is RMB 311,770,200. The Shenzhen New Industries and Commercial Properties held by the Company The book value of the asset group related to goodwill is RMB 107.8592 million, and the book value of all goodwill The face balance is RMB 432.6884 million, and it is necessary to accrue business interests attributable to shareholders of the listed company. The provision for impairment of reputation was RMB 140.746 million. The recoverable amount of Shenzhen New Industry Asset Group is determined based on the present value of expected future cash flows: Unit: 10,000 yuan, currency: RMB Item Book value Value of recoverable amount Less impairment amount Forecast forecast Forecast period period Stability key parameters ((Belong to the number of key parameters of each period) Listed company years limit Department of shareholders points)) Shenzhen 54,054.76 31,177.02 14,074.60 5-year cash flow According to Oxford Economics New products, discounted use, long-term results released by the institute The industry’s pre-tax discount inflation rate is 2% The current rate is determined 16% 1.2 Impairment of goodwill of Xiamen Nanpeng Optical Co., Ltd. (hereinafter referred to as "Xiamen Nanpeng") (1) Formation of goodwill In January 2022, Haohai Development acquired Xiamen Nanpeng Optical Co., Ltd. for a cash consideration of 70 million yuan. 51% of the equity of the company ("Xiamen Nanpeng") can be distinguished from the acquisition of Xiamen Nanpeng based on the merger cost based on the acquisition date The difference between the fair value of net assets and goodwill of RMB 13.6603 million was recognized. (2) Historical accrual of goodwill impairment provisions Since the completion of the acquisition of Xiamen Nanpeng, the Company has strictly followed the "Corporate Accounting" at the end of each fiscal year. According to the provisions of "Standard No. 8 - Impairment of Assets", regardless of whether there is any indication of impairment, all assets formed due to a business combination will be The goodwill is tested for impairment combined with its related asset groups. The impairment test results in the past years show that the above The recoverable amount of the above-mentioned asset group containing Xiamen Nanpeng's goodwill is higher than the book value of the asset group containing goodwill. No provision for impairment is required. (3) The main reason for the impairment of goodwill this time Xiamen Nanpeng is mainly engaged in the exclusive agency of Hengtai Optical Co., Ltd. (hereinafter referred to as "Hengtai Optical") Sales business of the first generation of orthokeratology lens products in mainland China. In August 2025, the Group and Heng Tai Optical's existing major shareholders and interested parties signed the "Termination of Cooperation Agreement", stipulating that Xiamen Nanpeng and Hengtai Optical's exclusive distribution agreement will also not be renewed after it expires in January 2026. The Group will receive the disposal The difference between the amount and the book value of the relevant asset group of RMB 10.3468 million was recognized as goodwill impairment loss. 2. Provision for impairment of intangible assets, projects under construction and other assets In 2025, affected by the above-mentioned changes in domestic intraocular lens industry policies and market environment, the Company Aaren Scientific Inc. (hereinafter referred to as The brand, an intangible asset with an indefinite useful life held by "Aaren", also showed signs of impairment. reduced According to the value test, the Group made an impairment provision of approximately RMB 24.9807 million for this intangible asset. According to Aaron's experience In order to improve the operating conditions, the Group also made impairment provisions of RMB 384,100 for its projects under construction and other assets. 3. Preparation for inventory price decline In accordance with the provisions of inventory accounting standards, the Group measures assets at the lower of cost and net realizable value. On the balance sheet date, inventory depreciation provisions are made for inventories whose cost is higher than their net realizable value and which are obsolete and unsaleable. Tested As a result, the Group's total net provision for inventory depreciation losses in 2025 was RMB 22.0603 million. (2) Credit impairment losses The Group’s accounting for accounts receivable, other receivables and other non-current assets is based on expected credit losses. Other receivables are subject to impairment treatment and bad debt provisions are recognized. After testing, the Group plans to The net bad debt provision for accounts receivable is RMB 504,100, and the net bad debt provision for other receivables is RMB 1.3538 million. The net amount of bad debt provisions for other non-current assets was 2.7619 million yuan, and the total net credit impairment loss was 4.6198 million yuan. Yuan. 33. The impact of this current accrual and impairment provision on assets and assets on the company This impairment provision is included in the asset impairment loss and credit impairment loss accounts, which will affect the company's 2025 The total net impact on the total annual consolidated profit is RMB 203.1377 million (excluding income tax impact). The provision for asset impairment is a reasonable judgment made by the company based on the principle of accounting prudence. The amount has been audited by Ernst & Young Hua Ming LLP (Special General Partnership). The financial statements after making provision for asset impairment can objectively and fairly reflect the Group's asset value, The financial status and operating results make the company's accounting information more reasonable, and there is no manipulation of profits or damage. Behaviors in the interests of the company and shareholders comply with the provisions of the "Accounting Standards for Business Enterprises" and the company's relevant accounting policies. 44. Comments and comments on special projects (1) Opinions of the Audit Committee of the Board of Directors The Audit Committee of the Company's Board of Directors believes that the provision for asset impairment is based on the principle of prudence. The basis is sufficient, consistent with the "Accounting Standards for Business Enterprises" and the company's accounting policies, and consistent with the actual situation of the company. It can reflect the company's asset value, financial status and operating results more fairly. Therefore, I agree that our company Provision for asset impairment was made this time. (2) Opinions of the board of directors The Board of Directors of the Company believes that the financial statements after accruing asset impairment provisions can objectively and fairly reflect Reflect the company's asset value, financial status and operating results, making the company's accounting information more reasonable and without Any behavior that manipulates profits and harms the interests of the company and shareholders is in compliance with the Accounting Standards for Business Enterprises and relevant company meetings. planning policies, etc. Therefore, it is agreed that the company will make provision for asset impairment this time. Announcement is hereby made. Board of Directors of Shanghai Haohai Biotechnology Co., Ltd. March 21, 2026