2025 Annual Report Summary

Jiangxi Tianxin Pharmaceutical Co., Ltd. 2025 Annual Report Summary Company Code: 603235 Company Abbreviation: Tianxin Pharmaceutical

Jiangxi Tianxin Pharmaceutical Co., Ltd.

Jiangxi Tianxin Pharmaceutical Co., Ltd. 2025 Annual Report Summary

Section 1 Important Tips

1. The summary of this annual report comes from the full text of the annual report, in order to fully understand the company’s operating results, financial status and future development plans.

According to the plan, investors should go to http://www.sse.com.cn/ website to read the full text of the annual report carefully.

2. The company’s board of directors, directors and senior managers guarantee the authenticity, accuracy and completeness of the contents of the annual report.

We shall bear individual and joint legal liability for false records, misleading statements or major omissions.

3. All directors of the company attend the board meeting.

4. Zhonghui Accounting Firm (Special General Partnership) issued a standard unqualified audit report for the company.

5. The profit distribution plan for the reporting period or the plan for converting public reserve funds into share capital approved by the board of directors

As audited by Zhonghui Accounting Firm (Special General Partnership), as of December 31, 2025, the final undistributed profit in the company's parent company's statement was RMB 2,442,787,127.97. According to the resolution of the 14th meeting of the company's third board of directors, the company plans to distribute profits in 2025 based on the total share capital registered on the equity registration date for equity distribution minus the shares in the company's special securities account for repurchase. The profit distribution plan is as follows:

The company plans to distribute a cash dividend of 0.55 yuan per share (tax included) to all shareholders. As of December 31, 2025, the company's total share capital was 437,780,000 shares, based on the share capital of 435,170,280 after deducting the number of 2,609,720 shares in the special account for share repurchase. Based on this calculation, a total cash dividend of 239,343,654.00 yuan (tax included) was planned to be distributed. The company's total cash dividends this year were 239,343,654.00 yuan, accounting for 40.46% of the year's net profit attributable to shareholders of listed companies. No bonus shares will be distributed during this distribution, nor will capital reserves be converted into share capital.

If the company's total share capital changes before the equity registration date for equity distribution, the company plans to maintain the amount of cash dividends per share unchanged, adjust the total distribution accordingly, and will separately announce the specific adjustments.

This profit distribution plan still needs to be submitted to the company's 2025 annual shareholders' meeting for review.

As of the end of the reporting period, the parent company had unrecovered losses and its impact on the company’s dividends and other matters

□Applicable √Not applicable

Jiangxi Tianxin Pharmaceutical Co., Ltd. 2025 Annual Report Summary

Section 2 Basic Information of the Company

1. Company profile

Company Stock Profile

Stock type Stock listing exchange Stock abbreviation Stock code Stock abbreviation before change A shares Shanghai Stock Exchange Tianxin Pharmaceutical 603235 -

Contact and Contact Information Board Secretary Securities Affairs Representative

Name Dong Yi Lin Li

Contact address: Leping Industrial Park, Jingdezhen City, Jiangxi Province Leping Industrial Park, Jingdezhen City, Jiangxi Province Tel: 0798-6709288 0798-6709288

Fax 0798-6702388 0798-6702388

Email [email protected] [email protected]

2. Introduction to the company’s main business during the reporting period

Vitamins, as life nutrients, are trace organic substances that humans and animals must ingest during growth, metabolism, and development. They are widely used in downstream fields such as feed, medicine, and food. The demand in the vitamin industry has rigid characteristics and is affected by economic cycle fluctuations in the short term. In the medium and long term, it benefits from the growth of the global population and the improvement of residents' health awareness. The overall market consumption scale shows a steady increase. The overall supply of the vitamin industry is relatively dispersed, but the supply concentration of individual vitamin categories is relatively high. The entry or exit of large-scale production capacity in the industry may lead to fluctuations in vitamin prices. After many major integrations and industrial chain shifts in the vitamin industry, China has become a major producer and exporter of vitamins. Chinese companies have mastered the production capacity of all monomeric vitamins and have become globally competitive in most monomeric vitamin varieties by virtue of their technology, cost and scale advantages.

The vitamin industry has cyclical characteristics, and changes in industry production capacity have an important impact on product prices. Since 2020, the production capacity of the domestic vitamin industry has continued to expand, showing a pattern of periodic oversupply and intensified homogeneous competition. Product prices have continued to be depressed, industry profitability has declined, and some manufacturers have suffered losses. In 2024, the prosperity of the vitamin industry will rebound, and leading manufacturers will

Jiangxi Tianxin Pharmaceutical Co., Ltd. 2025 Annual Report Summary

In order to reorganize the business model and organize production activities according to market demand, some uncompetitive manufacturers have chosen to reduce production, suspend production or exit. The competitive landscape of oversupply has improved, and industry profitability has been restored.

In 2025, China's vitamin industry will face a more complex and changeable international trade environment on the one hand, and on the other hand it will still face the pressure of continuous entry of production capacity. New manufacturers are driven by capital to enter the vitamin market, and original manufacturers will consolidate their market position by expanding production capacity, extending the industrial chain or horizontally expanding new varieties. Competition in the industry will become fierce. According to Boya Hexun's report, China's vitamin production is expected to be 491,000 tons in 2025, a year-on-year increase of 5.2%, accounting for 89.0% of global production; China's vitamin market is expected to be worth approximately US$4.73 billion in 2025, a year-on-year increase of 2.9%. At the same time, affected by differences in the competitive landscape of product segments, the price trends of different vitamin products have diverged. Taking the company's products as an example, during 2025, the prices of vitamin B1, folic acid and other products have increased year-on-year, the prices of vitamin B6 products have shown a trend of rising from high to low, and the prices of biotin, vitamin B5 and other products are still fluctuating at low levels. In the long term, competition and integration in the vitamin industry will continue to deepen. Manufacturers that have built competitive advantages in product layout, value chain extension, technology reserves, management capabilities, safety and environmental protection systems, etc. are expected to stand out in the industry integration and achieve further development.

The company is committed to the research and development, production and sales of monomeric vitamins, and has strong core competitiveness in the field of vitamins. It has currently established a multi-product matrix such as vitamin B6, vitamin B1, biotin, folic acid, vitamin B5, vitamin D3, ascorbyl palmitate, vitamin E powder, vitamin A, etc., and provides supporting services to customers in global feed, pharmaceutical, food and other industries. At the same time, the company extends to the upstream raw material link of the vitamin industry chain and expands intermediate products such as ABL, sodium methoxide, cholesterol, L-alanine, etc. On the basis of ensuring the supply of raw materials for its own vitamin products, the remaining part is sold externally. Relying on years of technological accumulation in the vitamin field, continuous aggressive market development, and excellent product quality, the company's products are widely recognized by customers and have a high market reputation and brand influence.

The company is one of the important suppliers in the global B vitamin market and occupies a high market share in multiple B vitamin product fields. According to Boya Hexun statistics, the company's vitamin B6 and vitamin B1 products lead the world in market share, and the market share of biotin and folic acid products ranks first in the industry.

(1) Main business

The company is a high-tech enterprise specializing in the research, development, production and sales of monomeric vitamins. With the purpose of "strengthening the enterprise, achieving employee success, serving the society, and healthy mankind", the company is committed to providing solutions to global customers in the fields of human health and animal nutrition. Thanks to its leading market position in the vitamin industry and vitamin expertise accumulated over many years, the company has established stable cooperative relationships with thousands of customers. In terms of domestic sales, the company sells in all provinces in China; in terms of export sales, it mainly focuses on countries and regions such as Europe, America, and Asia.

At present, the company's business is divided into three major sectors: B vitamins, other vitamins, and fine chemicals.

1. B vitamins: B vitamins are water-soluble vitamins, most of which participate in enzyme system activities in the form of coenzymes or prosthetic groups. At present, the company has established strong global competitiveness in this product field, and its products include vitamin B6, vitamin B1, biotin, folic acid, vitamin B5, etc.

2. Other vitamins: Other vitamin products produced and operated by the company include vitamin D3, ascorbyl palmitate, vitamin E powder, vitamin A, etc. The company provides solutions to downstream customers to meet their procurement needs by building a diversified vitamin product portfolio.

3. Fine chemicals: The fine chemicals produced and operated by the company mainly include ABL, cholesterol, sodium methoxide, L-alanine, etc. The company extends the vitamin industry chain to some upstream raw material links. On the basis of supporting its own vitamin production, the relevant intermediate products are sold to external parties.

(2) Business model

1. Procurement model

In terms of raw material procurement, the company formulates procurement plans based on production plans and sales orders to ensure that materials are purchased on time, quality and quantity, taking into account price on the basis of ensuring daily production supply, and establishing a certain safety inventory. In terms of procurement strategy, the company dynamically grasps market trends through supply and demand analysis and market research, and promptly adjusts the pace of raw material procurement. In terms of supplier selection, the company has formulated a standardized supplier evaluation system and established long-term cooperative relationships with major suppliers. The above measures have effectively guaranteed the company's stable supply of raw materials and price advantages.

Jiangxi Tianxin Pharmaceutical Co., Ltd. 2025 Annual Report Summary

In terms of energy procurement, the energy required in the company's production process is mainly coal, electricity and steam, and the market supply is sufficient. Tianxin Thermal Power, a wholly-owned subsidiary of the company, supplies steam and some electricity to the company. Some companies that are short of Tianxin thermal power supply purchase from the State Grid.

2. Production mode

The company's products are mainly used for various purposes such as feed additives, food additives, APIs, etc. The sales volume of different products changes every year. The company develops production plans based on the sales plans of various products and orders on hand. The sales department formulates sales plans on an annual and monthly basis and transmits production instructions to the production department. The production department organizes production activities according to the production instructions, controls the production progress, ensures production efficiency, and is responsible for environmental protection management and safety management during the production process. The Quality Control Department is responsible for supervising and managing all quality-related activities to ensure the effective operation of the company's quality system.

3. Sales model

According to different sales areas, the company has established a domestic trade department and an international trade department, which are respectively responsible for market planning and product sales of domestic and overseas sales. According to different customer types, the company has established a sales model with direct sales as the mainstay and distribution as the supplement. The direct sales model refers to direct sales customers purchasing the company's products for their own use. Such direct sales customers are mainly downstream manufacturers or their group purchasing centers; the distribution model refers to distribution customers purchasing the company's products for wholesale or retail. Such dealers are mainly importers and exporters, wholesalers, and retailers.

(3) Performance-driven model

In 2025, the company's vitamin business (B vitamins, other vitamins) revenue will account for 91.17% of the main business revenue. It is the company's core business segment, and its operating performance is a key factor affecting the company's overall performance.

During the reporting period, the vitamin industry continued its competitive consolidation trend, and the price trends of subdivided products showed differentiation. The company's operating performance and the development status of the vitamin industry show strong consistency. The market prices of vitamin B1, folic acid, vitamin D3 and other products have increased compared with 2024, providing important support for the smooth operation of the company's overall performance; the production and sales of vitamin products have generally remained stable, and the company's market position in the field of B vitamins has been further consolidated. At the same time, benefiting from the continued growth in production and sales of ABL, sodium methoxide, cholesterol, L-alanine and other products, the company's fine chemicals business revenue increased by 70.24% year-on-year, becoming an important driver of the company's revenue growth.

3. The company’s main accounting data and financial indicators

3.1 Main accounting data and financial indicators in the past three years

Unit: Yuan Currency: RMB This year compared with the previous year

2025 2024 2023

Increase or decrease(%)

Total assets 6,189,720,256.37 5,603,291,129.63 10.47 5,090,159,178.34 Attributable to listed companies

4,916,517,109.39 4,615,885,977.14 6.51 4,232,947,161.44Shareholders’ net assets

Operating income 2,345,041,106.85 2,208,570,173.44 6.18 1,881,993,019.35

Total profit 704,421,981.46 771,772,379.23 -8.73 565,169,529.97 Attributable to listed companies

591,578,911.11 651,223,139.61 -9.16 475,853,298.64 Shareholders’ net profit

Belong to listed companies

Shareholders’ deductions are not

551,073,118.63 614,419,922.59 -10.31 431,102,199.79 Net profit from ordinary gains and losses

Run

arising from business activities

629,362,497.67 499,655,854.47 25.96 729,212,499.59 Net cash flow

Jiangxi Tianxin Pharmaceutical Co., Ltd. 2025 Annual Report Summary

weighted average net worth

12.41 14.80 decreased by 2.39 percentage points 11.55 yield (%)

Basic earnings per share (yuan

1.35 1.49 -9.40 1.09/share)

Diluted earnings per share (yuan

1.35 1.49 -9.40 1.09/share)

3.2 Main accounting data by quarter during the reporting period

Unit: Yuan Currency: RMB First quarter Second quarter Third quarter Fourth quarter

(January to March) (April to June) (July to September) (October to December) Operating income 618,910,665.47 503,439,633.06 508,595,002.96 714,095,805.36 Attributable to shares of listed companies

218,567,101.74 137,446,447.56 104,290,326.83 131,275,034.98 Dong’s net profit

Attributable to listed company shares

Net profit after deducting non-recurring gains and losses 208,976,403.83 127,301,860.22 94,675,521.79 120,119,332.79

Cash generated from business activities

181,260,939.22 160,736,760.13 148,552,479.74 138,812,318.58 Net cash flow

Explanation of differences between quarterly data and disclosed periodic report data

□Applicable √Not applicable

4. Shareholder situation

4.1 The total number of common shareholders, the total number of preferred shareholders with restored voting rights, the total number of shareholders holding shares with special voting rights and the top 10 shareholders at the end of the reporting period and the end of the month before the annual report is disclosed

Unit: Total number of ordinary shareholders (households) as of the end of the reporting period 12,941 Total number of common shareholders (households) as of the end of the previous month before the date of disclosure of the annual report 12,253 Total number of preference shareholders (households) with voting rights restored as of the end of the reporting period 0 Total number of preference shareholders (households) with restored voting rights as of the end of the previous month before the date of disclosure of the annual report 0 Shareholding status of the top ten shareholders (excluding shares lent through refinancing)

Pledge, mark or

hold limited sale

Name of shareholder Reporting period Number of shares held at the end of the period Ratio Frozen status Shareholder conditions

(Full name) Internal increase or decrease (%) Share Nature Quantity Quantity

Status

Domestic since Xu Jiangnan 0 203,603,970 46.51 203,603,970 None 0

Ranren Xu Jing 0 59,110,830 13.50 59,110,830 None 0 Domestic from Jiangxi Tianxin Pharmaceutical Co., Ltd. 2025 Annual Report Summary

Ranren

Within the territory from Wang Guangtian 0 56,803,200 12.98 0 None 0

Random person within the territory of Qiu Qinyong 0 35,502,000 8.11 0 None 0

Ranren Tiantai County Houding Investment Management

0 24,000,000 5.48 24,000,000 None 0 Other partnerships (limited partnerships)

Domestic self-reporting for the people 0 10,980,000 2.51 0 None 0

Zhang Qimei within the territory of a natural person 0 2,886,491 0.66 0 None 0

Ranren Tiantai County Housheng Investment Management

0 2,000,000 0.46 2,000,000 None 0 Other partnerships (limited partnerships)

Tiantai County Houtai Investment Management

0 2,000,000 0.46 2,000,000 None 0 Other partnerships (limited partnerships)

Domestic self-owned Cheng Wenhua 1,642,600 0.38 0 None 0

Ranren

1. Xu Jiangnan is the controlling shareholder and actual controller of the company, and Xu Jing is his daughter. Houding Investment, Housheng Investment, and Houtai Investment are all company employee stockholding platforms controlled by Xu Jiangnan. Xu Jiangnan, Xu Jing and the above three shareholding platforms are persons acting in concert. 2. Related relationships or concerted actions among the above-mentioned shareholders

Zhang Qimei is the spouse of Qiu Qinyong, and the two constitute persons acting in concert. 3. Xu Jiangnan’s explanation

Xu Jing, Wang Guangtian, Qiu Qinyong, and Chen Weimin all indirectly hold partnership shares in Houding Investment, Housheng Investment, and Houtai Investment through Huihong Investment. 4. The company is not aware of any related relationship or concerted action among the other shareholders mentioned above.

Preference shareholders and shareholders whose voting rights have been restored

Not applicable

Description of number of shares

4.2 Block diagram of the property rights and control relationship between the company and its controlling shareholder

√Applicable □Not applicable

Jiangxi Tianxin Pharmaceutical Co., Ltd. 2025 Annual Report Summary 4.3 Block diagram of the property rights and control relationship between the company and the actual controller √ Applicable □ Not applicable

4.4 The total number of preferred shareholders of the company and the top 10 shareholders at the end of the reporting period □Applicable √Not applicable

5. Corporate bonds

□Applicable √Not applicable

Jiangxi Tianxin Pharmaceutical Co., Ltd. 2025 Annual Report Summary

Section 3 Important Matters

1. The company shall, in accordance with the principle of materiality, disclose major changes in the company's operating conditions during the reporting period, as well as events that occurred during the reporting period that have a significant impact on the company's operating conditions and are expected to have a significant impact in the future.

During the reporting period, the company achieved operating income of RMB 2,345,041,100, an increase of 6.18% over the same period last year; net profit attributable to shareholders of the listed company was RMB 591,578,900, a decrease of 9.16% over the same period last year.

At the end of the reporting period, the company's total assets were 6.1897203 million yuan, an increase of 10.47% over the same period last year; the net assets attributable to shareholders of listed companies totaled 4.9165171 million yuan, an increase of 6.51% over the same period last year; basic earnings per share were 1.35 yuan per share, a decrease of 9.40% over the same period last year.

2. If there is a delisting risk warning or listing termination after the company's annual report is disclosed, the reasons that led to the delisting risk warning or listing termination should be disclosed.

□Applicable √Not applicable