Announcement of Chenxin Pharmaceutical Co., Ltd. on the Re-appointment of the Accounting Firm
Securities code: 603367 Securities abbreviation: Chenxin Pharmaceutical Announcement number: 2026-009
Chenxin Pharmaceutical Co., Ltd.
Announcement on Re-appointment of Accounting Firm
The company's board of directors and all directors guarantee that the contents of this announcement do not contain any false records, misleading statements or major omissions, and assume legal responsibility for the authenticity, accuracy and completeness of its contents.
Important content reminder:
The name of the accounting firm that Chenxin Pharmaceutical Co., Ltd. (hereinafter referred to as the "Company" or "Chenxin Pharmaceutical") intends to re-engage: Daxin Accounting Firm (Special General Partnership) (hereinafter referred to as "Daxin Firm" or "Daxin Accounting Firm" or "Daxin")
1. Basic information about the accounting firm to be appointed
(1) Institutional information
- Institutional information
Daxin Accounting Firm (Special General Partnership) was established in 1985 and converted into a special general partnership in March 2012. It is headquartered in Beijing and its registered address is Room 2206, Floor 22, No. 1 Zhichun Road, Haidian District, Beijing. Dasin has 33 branches across the country and a branch in Hong Kong. In 2017, Dasin launched the Dasin International Accounting Network, which currently has 48 network member firms in the United States, Canada, Australia, Germany, France, the United Kingdom, and Singapore. Dasin is one of the earliest accounting firms engaged in securities services in my country. It was among the first to obtain the audit qualification for H-share companies and has more than 30 years of experience in the securities business. 2.Personnel information
The chief partner is Mr. Xie Zemin. As of December 31, 2025, Dasin had a total of 39 14 employees, including 182 partners and 1,053 certified public accountants. Among CPAs, more than 500 have signed securities service business audit reports.
3.Business information
Business revenue in 2024 is 1.575 billion yuan, providing services to more than 10,000 companies. Among the business income, the audit business income was 1.378 billion yuan and the securities business income was 405 million yuan. There are 221 audit clients for the annual reports of listed companies in 2024 (including H shares), with average assets of 19.544 billion yuan and total fees of 282 million yuan. Mainly distributed in the manufacturing industry, information transmission, software and information technology service industry, electricity, heat, gas and water production and supply industry, scientific research and technical service industry, water conservancy, environment and public facilities management industry. The company has 146 audit clients of listed companies in the same industry.
- Investor protection capabilities
The sum of the cumulative compensation limit of occupational insurance and the accrued occupational risk fund exceeds 200 million yuan. The accrual of the occupational risk fund and the purchase of occupational insurance comply with relevant regulations.
In the past three years, Daxin has borne civil liability due to its professional activities, including Changxin Agricultural Loan and other four auditing businesses. The investor litigation amount totaled 5.8151 million yuan, all of which have been fulfilled. Civil compensation liabilities can be covered by professional insurance.
- Integrity record
In the past three years, he received 0 criminal penalties, 10 administrative penalties, 16 administrative supervision measures, and 18 self-regulatory supervision measures and disciplinary sanctions due to his professional conduct. In the past three years, 67 employees received 0 criminal penalties, 25 administrative penalties, 34 administrative supervision measures, and 46 self-regulatory measures and disciplinary sanctions due to their professional behavior in the past three years.
(2) Project information
- Basic information
Project partner to be signed: Zhong Benqing
Possess CPA qualification. He became a certified public accountant in 2009, started auditing listed companies in 2008, started practicing at the firm in 2007, and has provided audit services to the company since 2023. The audit reports of listed companies signed in the past three years include reports from Zhongdaan Co., Ltd., Luyin Investment Group Co., Ltd., and Zhongji United (Beijing) Technology Co., Ltd. Not working part-time in other units.
Signing CPA: Yang Lizhen
Possess CPA qualification. He became a certified public accountant in 2015 and began to engage in the audit of listed companies in 2015. He has practiced in Dasin from 2015 to 2021 and from October 2025 to the present. The audit reports of listed companies signed in the past three years include Haike Xinyuan. Not working part-time in other units.
Arrange project quality review personnel: Gong Yan
Possess the qualifications of certified public accountant and asset appraiser. He became a certified public accountant in 1997, started auditing listed companies in 2001, and started practicing at Daxin Accounting Firm in 2019. He has signed 3 audit reports on listed companies in the past three years. Not working part-time in other units.
(3) Independence and integrity
Daxin and its project partners, signing certified public accountants, project quality review personnel and other employees have not violated the independence requirements of the "Chinese Code of Professional Ethics for Certified Public Accountants", have not held or traded company stocks, and have no other economic interests that affect independence. Regular rotation is in compliance with regulations. In the past three years, the project partners to be signed and the signing certified public accountants have not been subject to criminal penalties, administrative penalties, administrative supervision measures or self-disciplinary sanctions.
(4) Audit fees
The audit fee for the company's 2025 financial report is RMB 900,000 (tax included), of which the annual audit fee is RMB 700,000 (tax included) and the internal control audit fee is RMB 200,000 (tax included). In order to maintain the continuity of the company's audit work, the company has re-appointed Daxin Accounting Firm (Special General Partnership) as the company's audit agency for 2026. The appointment period is one year. The audit fees for 2026 total 900,000 yuan, of which the annual report audit fee is 700,000 yuan and the internal control audit fee is 200,000 yuan. The actual amount shall be based on the signed business agreement. The fees for the 2026 financial statement audit and internal control audit will be negotiated and determined by both parties in accordance with the market's fair and reasonable pricing principles. The audit fees in 2026 will remain the same as in 2025.
2. Procedures to be followed by an accounting firm planning to re-appoint
(1) Deliberation opinions of the Audit Committee
The Audit Committee of the company's board of directors fully understood and reviewed Daxin Accounting Firm's professional competence, investor protection capabilities, independence and integrity, and believed that Daxin Accounting Firm will be responsible for the company's 2025 During the annual audit of the institution, we strictly followed the "Independent Auditing Standards for Chinese Certified Public Accountants" and other laws, regulations and related policies related to financial auditing, worked diligently and complied with the independent, objective and impartial practice standards, and issued independent audit opinions fairly and reasonably. The audit opinions issued for the company can objectively, fairly and truly reflect the company's financial status and operating results. The Audit Committee of the company's board of directors unanimously agreed to submit the renewal of Daxin Accounting Firm to the board of directors for review.
(2) Review and voting of the board of directors
The company held the twelfth meeting of the fifth board of directors on April 2, 2026. The board of directors reviewed and approved the "Proposal on the Company's Re-appointment of the Accounting Firm" with 9 votes in favor, 0 votes against, and 0 abstentions, and agreed that the company will continue to hire Daxin Accounting Firm as the company's financial and internal control audit agency for 2026 for a period of one year. This proposal still needs to be submitted to the company's shareholders' meeting for review and will take effect from the date of review and approval by the shareholders' meeting.
(3) Effective date
The renewal of the accounting firm still needs to be submitted to the company's shareholders' meeting for review and will take effect from the date of review and approval by the shareholders' meeting.
3. Reporting documents
- Resolution of the 12th meeting of the fifth board of directors of Chenxin Pharmaceutical Co., Ltd.;
Announcement is hereby made.
Board of Directors of Chenxin Pharmaceutical Co., Ltd.
April 2, 2026