Hualan Biotechnology: Announcement on the confirmation of the 2025 remuneration of the company’s directors and senior managers and the 2026 remuneration plan

Securities code: 002007 Securities abbreviation: Hualan Biotechnology Announcement number: 2026-017

Announcement of Hualan Bioengineering Co., Ltd. on the confirmation of the 2025 remuneration of the company’s directors and senior managers and the 2026 remuneration plan

The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete, and there are no false records, misleading statements or major omissions.

Hualan Bioengineering Co., Ltd. (hereinafter referred to as the "Company") held the fourth meeting of the ninth board of directors and the first meeting of 2026 of the remuneration and assessment committee of the ninth board of directors on March 27, 2026, and reviewed and approved the "Proposal on the Confirmation of the Remuneration of the Company's Directors and Senior Management in 2025 and the Remuneration Plan for 2026". This proposal still needs to be submitted to the company's shareholders' meeting for review. The relevant information is hereby announced as follows:

1. Remuneration situation of the company’s directors and senior managers in 2025

In 2025, the remuneration of the non-independent directors and senior managers serving in the company will be calculated in accordance with the company's remuneration and incentive assessment system based on the specific management positions they hold in the company and subsidiaries; the remuneration of the company's independent directors will be paid monthly in the form of allowances. In 2025, the total remuneration paid by the company to directors and senior managers was 7.5311 million yuan. For the specific remuneration of the company's directors and senior managers in 2025, please refer to "IV.3. Remuneration of directors and senior managers" in "Section 4 Corporate Governance" of the company's "2025 Annual Report".

2. Remuneration plan for the company’s directors and senior managers in 2026

In order to further standardize the performance appraisal and salary management of the company's directors and senior managers, strengthen the incentive and restraint mechanism, and promote the company's sustainable and healthy development, in accordance with the "Company Law of the People's Republic of China", "Listed Company Governance Code" and other relevant laws and regulations, and the provisions of the "Articles of Association", comprehensively considering the company's actual situation and factors such as industry and regional salary levels and job contributions, and taking into account the company's actual situation, the 2026 annual remuneration plan for directors and senior managers was formulated.

(1) Applicable objects and period of application

1. This remuneration plan is applicable to directors and senior managers who receive remuneration from the company, including the general manager, executive deputy general manager, deputy general manager, financial director, board secretary and other senior managers as stipulated in the Articles of Association.

2. The applicable period of this remuneration plan is from January 1, 2026 to December 31, 2026.

(2) Salary plan

1. Directors who hold operating and management positions in the company (including subsidiaries), as well as employee representative directors, shall have their remuneration standards determined based on their positions and job responsibilities in the company, and shall be implemented in accordance with the relevant provisions of the "Remuneration Management System for Directors and Senior Management Personnel", and shall not receive additional director remuneration and allowances.

2. The remuneration of the company's non-independent directors and senior managers consists of basic salary, performance salary and medium- and long-term incentive income, among which performance salary accounts for no less than 50% of the total basic salary and performance salary.

The basic salary is determined with reference to the salary level in the same industry, combined with the position held, work ability and market salary market, and is paid on a monthly basis; the performance salary is linked to the company's operating performance and personal performance, and is calculated and paid based on the annual assessment results.

(1) The Remuneration and Assessment Committee is responsible for formulating assessment standards and remuneration policies and plans for directors and senior managers, and organizing and implementing assessments.

(2) The determination and payment of performance remuneration to the company’s non-independent directors and senior managers should be based on performance evaluation. A certain proportion of performance-based remuneration for directors and senior managers is paid after the disclosure of the annual report and performance evaluation. The performance evaluation should be based on audited financial data and the completion of annual goals.

3. The standard allowance for independent directors is RMB 100,000 per year (before tax), which is paid on an average monthly basis.

(3) Others

1. The above-mentioned salaries are all pre-tax amounts, and the personal income tax payable will be withheld and paid by the company in accordance with tax laws and regulations. If the company's directors and senior managers leave office due to reasons such as change of term, re-election, resignation during the term, etc., their remuneration will be calculated and paid based on their actual term of office.

2. In addition to the above-mentioned remuneration plans, the company may adopt medium and long-term incentive measures for directors and senior managers based on operating conditions and market conditions, including equity incentives, employee stock ownership plans, etc. The specific plan will be determined separately based on the company's operating conditions in accordance with relevant laws and regulations.

3. The company shall bear the reasonable expenses incurred by the company's directors and senior managers to attend the company's board of directors and shareholders' meetings and perform their duties in accordance with relevant provisions of the "Company Law of the People's Republic of China" and the "Articles of Association".

4. If any of the following circumstances occurs to the company's directors and senior managers during their tenure, the unpaid performance remuneration or allowances for the current year will not be paid from the date of the relevant circumstances:

(1) Being publicly condemned or deemed unsuitable by the stock exchange;

(2) Administrative penalties or market ban measures taken by the China Securities Regulatory Commission and its dispatched agencies due to major violations of laws and regulations;

(3) There are circumstances stipulated in the "Company Law of the People's Republic of China" that prevent you from serving as a director of a company;

(4) The company's board of directors determines that there has been a serious violation of the company's relevant regulations.

5. When a company retrospectively restates its financial report due to financial fraud or other misstatements, it shall promptly reassess the performance remuneration of directors and senior managers and accordingly recover the excess payment and make up for the underpayment.

If a company's directors or senior managers violate their obligations and cause losses to the company, or are at fault for financial fraud, misappropriation of funds, illegal guarantees and other illegal activities, the company shall reduce or stop paying unpaid performance remuneration based on the severity of the case, and recover all or part of the performance remuneration paid during the period when the relevant behavior occurred.

3. Document directory for reference

Resolution of the fourth meeting of the company's ninth board of directors.

Announcement is hereby made.

Board of Directors of Hualan Bioengineering Co., Ltd.

March 28, 2026