Report on the performance of supervisory responsibilities by the accounting firm in 2025 by the Audit Committee of the Board of Directors of Changchun Baike Biotechnology Co., Ltd.
Changchun Baike Biotechnology Co., Ltd.
Audit Committee of the Board of Directors on the Accounting Firm
2025 Annual Performance Report on Supervision Responsibilities
In accordance with the "Company Law of the People's Republic of China", "Securities Law of the People's Republic of China", "Code of Governance of Listed Companies" and "Measures for the Management of Selection of Accounting Firms by State-owned Enterprises and Listed Companies" (Finance and Accounting [2023] 4 No. 1) and the "Articles of Association" and "Rules of Procedure of the Audit Committee of the Board of Directors" of Changchun Baike Biotechnology Co., Ltd. (hereinafter referred to as the "Company"). The Audit Committee of the Board of Directors, based on the principle of diligence and responsibility, fulfilled its duties conscientiously and performed its duties conscientiously. It performed its supervisory responsibilities for the 2025 audit work of Dahua Accounting Firm (Special General Partnership) (hereinafter referred to as "Dahua Firm"). The specific situation report is as follows:
1. Basic situation of accounting firms in 2025 annual audit
(1) Basic information of accounting firms
Organization name: Dahua Accounting Firm (Special General Partnership)
Date of establishment: Established on February 9, 2012 (transformed from Dahua Accounting Firm Co., Ltd. into a special general partnership)
Organizational form: special general partnership
Registered address: Room 1101, Building 7, No. 16, West Fourth Ring Middle Road, Haidian District, Beijing
Chief Partner: Yang Chenhui
Number of partners as of December 31, 2025: 134
As of December 31, 2025, the number of certified public accountants: 815, including: the number of certified public accountants who have signed securities service business audit reports: 448.
Total business income in 2024: 2,107.3412 million yuan, auditing business income: 1.8988076 million yuan, securities business income: 804.7237 million yuan. The number of audit clients of listed companies in 2024: 112. The main industries include manufacturing, information transmission software and information technology services, wholesale and retail, electricity, heat, gas and water production and supply, construction, etc. Total audit fees for listed companies’ annual reports in 2024: 124.7547 million yuan. The number of audit clients of the company's listed companies in the same industry: 11.
(2) Procedures for appointing an accounting firm
The company held the second meeting of the Audit Committee of the sixth board of directors, the fifth meeting of the sixth board of directors, and the second meeting of the sixth board of supervisors on April 17, 2025. The 2024 annual shareholders' meeting was held on May 13, 2025, and the "Proposal on Renewing the Company's Financial Audit Agency and Internal Control Audit Agency for 2025" was reviewed and approved respectively, and it was agreed to renew the appointment of Dahua Law Firm as the company's 2025 financial statement audit and internal control audit agency.
2. Duty performance of accounting firms in 2025 annual audit
In accordance with the "Audit Engagement Letter" and in conjunction with the company's 2025 annual report work arrangements, Dahua Law Firm audited the company's 2025 financial report and the effectiveness of internal controls, and issued a standard unqualified audit report. At the same time, it verified the storage and use of funds raised in 2025, the occupation of funds by controlling shareholders and other related parties, and the deduction of operating income, and issued a special report or special explanation.
In the process of performing audit work, Dahua Law Firm communicated with the company's management and governance layers on the independence of the firm and relevant auditors, the composition of the audit team, audit plans, risk judgments, risk and fraud testing and evaluation methods, annual audit priorities, audit adjustment matters, preliminary audit opinions, etc. The members of the audit team of Dahua Firm are fully equipped with the professional knowledge and professional qualifications to carry out this audit work, and are competent for this audit work.
After auditing, Dahua Firm believes that the company's financial statements have been prepared in accordance with the Accounting Standards for Business Enterprises in all material aspects and fairly reflect the company's operating conditions in 2025. The company has maintained effective internal control over financial reporting in all aspects in accordance with the "Basic Standards for Enterprise Internal Control" and relevant regulations. Dahua Law Firm issued a standard unqualified audit report.
3. The audit committee’s performance of supervisory responsibilities over the accounting firm
The audit committee’s performance of supervisory responsibilities over the accounting firm is as follows:
(1) The Audit Committee has fully understood and reviewed Dahua Firm’s professional competence, investor protection capabilities, independence and integrity, and believes that it has the qualifications to engage in securities business and the experience and ability to provide audit services to listed companies. On April 17, 2025, the second meeting of the Audit Committee of the Sixth Board of Directors reviewed and approved the "Proposal on Renewing the Company's Financial Audit Institution and Internal Control Audit Institution for 2025", agreed to appoint Dahua Law Firm as the company's audit institution for 2025, and agreed to submit it to the company's board of directors for review.
(2) On January 21, 2026, the Audit Committee conducted pre-trial communication with the certified public accountants and project managers responsible for the company's audit work, and clarified the audit scope, important time nodes, personnel arrangements, audit focus and other related matters of the 2025 annual audit work.
(3) On April 15, 2026, the Audit Committee conducted post-audit communication with the certified public accountants and project managers responsible for the company's audit work on the basic situation of the 2025 audit, basic data after approval, preliminary key audit matters, overall audit conclusions and other related matters.
(4) On April 17, 2026, the sixth meeting of the Audit Committee of the sixth session of the board of directors of the company was held, at which the company reviewed and approved the company’s 2025 annual report, internal control evaluation report and other proposals and agreed to submit them to the board of directors for review.
4. Overall evaluation
The company's audit committee strictly abides by relevant laws, regulations, normative documents and relevant provisions of the company's system, gives full play to the role of the professional committee, reviews the relevant qualifications and professional capabilities of the accounting firm, conducts full discussions and communication with the accounting firm during the annual report audit, urges the accounting firm to issue audit reports in a timely, accurate, objective and fair manner, and effectively performs the audit committee's supervision responsibilities over the accounting firm. The company's audit committee believes that Dahua strictly abides by the provisions of the "Audit Standards for Chinese Certified Public Accountants" in its financial and internal control related audit work, adheres to independent audit standards, and diligently and responsibly fulfills the responsibilities and obligations stipulated by both parties. During the preparation of the audit report, we fully communicated with Dahua Firm on the audit scope, audit plan, audit methods and other matters, and no major problems were found in the company's financial statements. The company's 2025 annual financial statements can truly, accurately, objectively and completely reflect the company's operating performance and financial status in 2025.
This is reported.
Audit Committee of the Board of Directors of Changchun Baike Biotechnology Co., Ltd.
April 20, 2026