Shanghai Alys Pharmaceutical Technology Co., Ltd. 2025 Sustainability Report

Ellis 2025 Sustainability Report About this Report

This report is the first sustainable development report issued by Shanghai Ailes Medical Technology Co., Ltd. The report discloses in detail the key work and achievements of Shanghai Ailes Medical Technology Co., Ltd. in 2025 in terms of sustainable development such as environment, social responsibility and corporate governance. It aims to cooperate with

Communicate effectively with all stakeholders and respond systematically to their expectations and requirements.

Organization-Wide Reporting Disclosures

It is consistent with the "2025 Annual Report of Shanghai Allis Medical Technology Co., Ltd." and covers Shanghai Allis Medical Technology Co., Ltd. and the scope of consolidation. This report is disclosed at the same time as the "2025 Annual Report of Shanghai Allis Medical Technology Co., Ltd.", and the financial data involved are the same as those of the subsidiaries in the company's 2025 annual report. consistent. Unless otherwise stated, the amounts mentioned in this report are in RMB. Other data and cases mainly come from company statistical reports and related documents.

pieces. The company's board of directors promises that this report does not contain any false records or misleading statements, and is responsible for the authenticity, accuracy and completeness of its content.

Time range

Report acquisition

The time span of this report is from January 1, 2025 to December 31, 2025. In order to enhance the comparability and completeness of the report, some information is appropriately traced forward and backward.

extension. The electronic version of this report can be viewed and downloaded on the Allist official website (www.allist.com.cn) and the Shanghai Stock Exchange website (www.sse.com.cn).

Contact information

Title description

We attach great importance to the opinions of stakeholders and welcome all stakeholders to contact us through the following methods. Your opinions will help us further improve the information disclosure. In this report, "Shanghai Ailes Pharmaceutical Technology Co., Ltd." is also represented by "Ailes", "Company" or "We".

expose and improve our sustainability management performance.

Contact Person: Ellis Securities Affairs Department Tel: 021-80423292

Compilation basis

Contact address: No. 268, Lingxiaohua Road, Zhoupu Town, Pudong New District, Shanghai Fax: 021-80423291 This report is prepared in accordance with the "Shanghai Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 14 - Sustainable Development" of the Shanghai Stock Exchange (hereinafter referred to as "Shanghai Stock Exchange")

Email [email protected]

Report (Trial Implementation)" is prepared based on the company's current development level and the actual situation of environment, social responsibility and corporate governance.

02 03 Catalog

Contents

About this report 02

Governance as the basis, innovation and long-term development, quality first, concentration and environmental responsibility

Chairman's speech 06

Responsibility first, benefiting the common people, patients first, sharing value, developing symbiosis

01 02 03 04 05

Enter Alice 08

Appendix 100 1.1 Corporate governance 16 2.1 Innovation-driven development 32 3.1 Product quality and safety 56 4.1 Gathering a harmonious team 70 5.1 Addressing climate change 88 1.2 Sustainable development governance 18 2.2 Technology cares for life 48 3.2 Pharmacovigilance 66 4.2 Joining hands with the value chain 82 5.2 Energy management 92 1.3 Compliance management 22 2.3 Industry co-construction and development 50 4.3 Co-building a better society 84 5.3 Environmental management 94

5.4 Resource Usage 98 Ellis 2025 Sustainability Report Chairman’s Message

Chairman's speech

2025 is the key for Ellis to move towards high-quality development

Governance is the foundation, responsibility comes first, quality comes first, and patients come first

In 2017, we officially released our first Sustainable Development Report

Report". This is a systematic review of the past development process. Good governance is the core pillar for enterprises to go through cycles and achieve long-lasting business. . Past, past - one by one Drug quality is the lifeline of an enterprise, and it is also the life trust of patients. We have implemented the concept of "patient first" throughout every year from laboratory research and development to clinical application. We strictly abide by the listing rules of the Keke Innovation Board, continue to optimize the governance structure, and confirm the link. While actively investing in the research and development of new drugs, we promote the research and development and innovation of quality testing technology, define excellence with strict scientific standards and advanced testing methods, and are future-oriented and deliver it to all stakeholders.

Ensure that the decision-making mechanism is scientific, transparent and efficient. . We attach great importance to the quality of investor relations. In 2025, with the new production line of 150 million tablets officially put into use, we have greatly improved our production capacity guarantee capabilities to ensure that every drug delivered carries a firm determination.

Management, strictly perform information disclosure obligations, and always put the interests of shareholders first, carrying the promise of safety and reliability. Good medicines must not only be effective, but also be safe and accessible to patients. We actively respond to the "Healthy China" strategy, fully promote our heart, and are committed to sharing the success of corporate development with every investor who trusts Elixir. We will include core commercial products in the national medical insurance catalog, reduce patients' medication burden, effectively improve the accessibility of innovative drugs, and let the care of science and technology truly benefit Guangdong. Looking back, since the founding of Elixir, we have been born with

Guoguo. . At the same time, we continue to strengthen the construction of internal control and compliance systems, and strictly abide by the business needs of large patient groups.

The entrepreneurial spirit of entrepreneurs and the innovative spirit of scientists have always been the bottom line of industry ethics, building a solid firewall for the company's stable and healthy operations. .

Support us through the wind and rain and stick to our original aspirations; in the most difficult times

Concentrate efforts and share values

In difficult times, we tried our best to successfully reverse the situation.

Innovation leads to far-reaching goals, bringing blessings to the common people.

Attack. From the unprofitable amount when listed according to the fifth set of standards of the Science and Technology Innovation Board

The longevity of an enterprise depends not only on outstanding talents, but also on a win-win ecosystem. We uphold the core values of "CARE" and regard talents as the basis for the development of enterprises. From "picking U" to quickly achieving profitability, and then to innovation and innovation are the cornerstones of CARE's strategic strategy, and also our response to the "unsatisfied" clinical practice. Base: On the research and development end, we promote the spirit of scientists and provide a soil for free exploration for innovation; on the commercialization end, we have established a team of more than a thousand people, with excellent professionalism and excellent reputation, and have been selected into the "Science and Technology Innovation 50" index until 2025, when they are included in "The only answer to demand". . We focus on the field of oncology treatment to develop an innovative marketing team to efficiently deliver medical value. We continue to improve the training system so that strivers can share the results of development. In the future, we will combine sustainable development of Lichuang innovative pharmaceutical drugs ((FFiirrsstt--iinn--ccllaassss,, FFIICC)) and best-in-class pharmaceutical drugs ((BBeesstt--iinn--ccllaassss,, The idea extends to the company's value chain, and we work with suppliers and partners to build a green, sunny, and responsible industrial ecology, promote a virtuous cycle of the entire link and long-term MSCI China Index. Ellis not only maintains a stable performance in revenue

BBIICC) as its goal, is committed to the development of innovative new drugs that benefit the public and the public. Drug 2 Materials 02. 02, 52 years, 5 issues, win-win.

In order to achieve rapid growth, it has also deeply integrated the concept of sustainable development into

In this year, we are honored for our industry-leading products and our reputation, proving our source of innovation and strength. Relying on strength - Fu Pingmei

The company's strategy and daily operations, and actively implement the environmental and social aspects

and governance responsibilities, with an unswerving commitment to benefit all stakeholders. Gold award. This is not only a national-level certification for our technical strength, but also a national-level certification for our products, industry, environment, and development of symbiosis.

The commercialization process has been strengthened with strong momentum. Be angry at the bottom. For the sake of the country's original research, original research, and independent intellectual property rights

Create long-term value.

2 2

The third generation of FRE-TGKFIR, the third generation of FRE-TGKFIR, is using rigorous data to demonstrate its strength. We know that human health is closely related to the health of the earth. Faced with the severe challenge of global climate change, Ellis actively responds to the national "double carbon" strategy and strives to achieve leaps and bounds. When the formula is the same, it comes first. At the same time, we use our forward-looking approach to lay out an open and model-based approach, and start to integrate green concepts into all aspects of operations. We have built and put into operation a fully functional, intelligent and advanced Shanghai headquarters R&D base and a well-managed, environmentally friendly Jiangjian-based small product sub-pipeline, which has formed an innovative internal and external platform to drive innovation in R&D and drug discovery. By introducing smart manufacturing and green processes, we have greatly improved energy efficiency and reduced emissions from the source. We firmly believe that protecting green water and green water

3 3

Research and development. We took turns exploring the driving and running system. For our foreign model cooperation and exploration, working with New partners is to protect our common future.

We are accelerating the global clinical development and registration of innovative new drugs with global drug partners at an accelerated pace, striving to compete for clinical clinical structures and building capabilities.

Standing at a new starting point, Ellis will continue to uphold the mission of "technology cares for life", live up to the opportunities given by this era, insist on innovation from the source, and continue to launch treatment coverage.

Innovative drugs that are effective and benefit the public. We will unswervingly pursue the vision of "enterprise success, employee prosperity, and return to society", and "realize China and the country" in the global pharmaceutical field.

Continue to write a new chapter for China’s innovative drugs.

2_EGFR-TKI: epidermal growth factor receptor tyrosine kinase inhibitor, Epidermal

2_EGFR-TKI: epidermal growth factor receptor tyrosine kinase inhibitor, Epidermal

Growth Factor Receptor Tyrosine Kinase Inhibitor.

Growth Factor Receptor Tyrosine Kinase Inhibitor.

3_NewCo model refers to the situation in which innovative drugs are exported overseas or assets are spun off. Domestic pharmaceutical companies

3. With _overseas New wC capital model (such as U.S. dollars in the form of innovative funds, cross-border pharmaceuticals or corporate assets) assets are established in the same overseas market and are established by an domestic new pharmaceutical company.

1_"U" refers to the "U" logo in the stock abbreviation of a company listed on the Science and Technology Innovation Board that is jointly owned with (N overseas e wC o capital) (such as domestic pharmaceutical companies in the United States, special Chinese pharmaceutical companies) overseas overseas rights and interests (the same as the establishment of a research and development company, a new product company, a company)

Cancel. This symbol indicates that the issuer is not yet profitable (Unprofitable). (Ye N of e right wC) o as). To inject medicine into a company with NetwC, you can obtain overseas financial rights, interests (Cheng Rubei R&D and development rights), and equity rights in exchange for overseas investment; overseas property, overseas business

When the company achieves profits for the first time after being listed and meets the corresponding information disclosure requirements, the capitalization rights of the company will be provided) to support capital outflows and capital operation infusions. New, Co., Ltd. will be exchanged to promote cash management, online financing, and stock development rights in overseas markets; development and overseas business

When Chairman Du Jinhao was elected, the logo could be cancelled, which was regarded as an important capitalization factor to improve its profitability. will provide financial and operational support to jointly promote the development and commercialization of pipelines in overseas markets.

signal. Industrialization. April 2026

06 07 Ellis 2025 Sustainability Report About Ellis

» Events in 2025

Enter Alice

» Company Profile Ellis was included in the Science and Technology Innovation 50 Index

The State Food and Drug Administration conditionally approved the listing of Alike® (glaresed citrate), becoming the third domestic product of Alix. Alix was founded in March 2004 and is headquartered in Zhoupu Medical Park, Zhangjiang Science City, Shanghai. It is owned by entrepreneur Mr. Du Jinhao and the United States. Alix is an innovative company integrating R&D, production and marketing.

Class 1 new drugs

Co-founded by Dr. Jianhui Guo, who has the honor of Life Scientist of the National Institutes of Health (NIH). Pharmaceutical companies, with the development concept of China’s innovation and caring for patients around the world,

Oriented by the unmet clinical needs of the global pharmaceutical market, focusing on tumours

in the field of tumor treatment to develop first-in-class drugs (FIC) and best-in-class drugs. Ellis was included in the MSCI index

Drugs (BIC) as the goal, committed to research, development and production with independent knowledge

Innovative drugs that are intellectual property rights, safe, effective and benefit the public. With its core patented technology of fumetinib, Ellis Pharmaceuticals won the joint patent of the State Intellectual Property Office and the World Intellectual Property Organization. On December 2, 2020, Ellis Pharmaceuticals officially listed on the Shanghai Stock Exchange.

The 25th "China Patent Gold Award" issued by

Listed on the GEM (stock code: 688578.SH).

Ellis's preparation line with an annual output of 150 million tablets passed GMP inspection and was approved to go into production

Eversa® was recommended by the "Expert Consensus on Diagnosis and Treatment of EGFR PACC Mutated Advanced NSCLC"

The contract of Aifusa® was renewed and Alike® was included in the national medical insurance directory for the first time.

Eversa® is intended to be included in the breakthrough therapy category for the first-line treatment of EGFR PACC mutated NSCLC

4_MSCI: Morgan Stanley Capital International, referred to as MSCI, and its Chinese name is "Mingsheng".

08 09 Ellis 2025 Sustainability Report About Ellis

» Highlights

In 2025, Ellis will deepen its business with focus, persist in innovation with perseverance, optimize operations with ingenuity, make solid steps on the road to sustainable development, and achieve results in multiple dimensions.

Fruitful. environment

Environmental System Certification Clean Energy Emission Management Products

Clean energy usage: 100% of waste water, waste gas, and waste are obtained from production and operation sites

ISO 14001 environmental management system certification 496,337 kWh 100% compliant emissions

R&D innovation

R&D investment accounts for 10.40% of operating income

Over 50% of the R&D team has master’s degrees and Ph.D.

society

Fumetinib’s core compound patented innovation technology won the 25th China Patent Gold Award

Employee Diversity Employee Development Accessibility of Social Welfare Products

The indications for second-line and first-line treatment of fumetinib through public donation investment will continue to be included in the national medical insurance directory (2025)

Female employees account for 48.1% and the average number of training hours per employee is 35.39 hours

3,567.04

The indications for second-line treatment of Golarece are included in the national medical insurance catalog for the first time (2025). Ethnic minority employees account for 4.1%. Training coverage is 100%.

There are 4 disabled employees worth RMB 10,000, with a training investment of RMB 1.9181 million.

product quality

There have been no product recalls due to product quality and safety issues, and no major safety and quality liabilities related to products and services have occurred.

No accident

corporate governance

Quality training

The total quality training time is 4,985 person-hours, and the GMP system employee coverage reaches 100% Business ethics Responsible marketing

For content related to brand and product promotion, business ethics employee training coverage reaches 100%

Pharmacovigilance We have established a pre-release review mechanism for materials and conduct business ethics audits, covering the headquarters and all subsidiaries.

The timeliness of regulatory reporting and the completeness of collection through various channels are maintained at above 99%, with a coverage rate of 100%. 100% review of pharmacovigilance training employee coverage has been achieved. No litigation cases related to commercial bribery or corruption have occurred.

10 11 Ellis 2025 Sustainability Report About Ellis

» Corporate Honor » Responsibility for the United Nations Sustainable Development Goals (UN SDGs)

UN SDGs response

・ Remaining among the “Top 100 Chinese Pharmaceutical Innovation Enterprises” ・ Both Aifusa® (vometinib mesylate tablets) and Alike® (glaresed citrate tablets) have been included in the national medical insurance directory, which helps

Reduce patients’ medication burden and improve drug accessibility.

・ Awarded the license as "Shanghai Innovative Enterprise Headquarters"

・Continue to explore the potential of fumetinib and continue to make important progress in combination therapy and rare mutation treatment expansion, aiming to provide patients with a lack of effective

Therapeutic modalities provide new treatment options for patient groups.

・ Establish a full life cycle quality management system covering drugs from research and development, production to post-market pharmacovigilance, and fundamentally ensure the safety of drugs.

safety, effectiveness and quality reliability, thereby ensuring patient medication safety and promoting public health.

2023

・Actively create and continue to maintain a diverse, equal and inclusive working environment, and provide sufficient development space for women, young people and employees with disabilities

and growth support.

・Establish a complete training system and clear career development channels to provide all employees with a dignified, growing and competitive career platform.

・Won the title of “Top 15 Value Leaders of China’s Innovative Drug Listed Companies in 2023”

・ Won the Pudong New Area’s “2023 Outstanding Contribution Award for Scientific and Technological Innovation” ・ Put an end to any discrimination based on age, gender, disability, race, belief or economic status, and protect various identity rights protected by law. ・ Strictly adhere to the principles of fairness and impartiality in recruitment and promotion, build a competition mechanism with equal opportunities, and ensure openness and transparency throughout the entire process.

・ Accredited as “Municipal Enterprise Technology Center” in Shanghai

・ Implement the systematic strategy of “source reduction, process control, and terminal treatment”, continue to promote cleaner production and pollutant prevention and control, and ensure that wastewater,

2024

Exhaust gas and solid waste are 100% discharged in compliance with regulations.

・Incorporate the concept of circular economy into operation management, implement resource recycling measures in packaging, warehousing and other links, and systematically reduce disposable resources

consumption and waste generation, and improve material utilization efficiency.

・ Integrate climate change issues into the existing sustainable development governance structure, identify and assess climate risks and opportunities based on the TCFD framework, and formulate specific response measures.

・Set energy-saving goals around comprehensive energy consumption intensity, and effectively promote the "China Patent Gold Award" through a series of measures such as infrastructure upgrades, process optimization, and daily management.

Carry out energy conservation and emission reduction work.

・ Won the "2024 Pudong New Area Advanced Manufacturing Outstanding Contribution Award" ・ Actively responded to the dual-carbon policy and increased the proportion of clean energy use by building photovoltaic power generation systems on the roof of the factory.

・ Obtained re-certification as a high-tech enterprise in Shanghai

・Establish an anti-corruption governance system covering all employees and all business processes to effectively prevent and reduce integrity risks.

・ Regularly conduct business ethics audits and internal control assessments of the business ethics system, covering the company headquarters and all subsidiaries, with a coverage rate of 100%.

2025

・ Regularly conduct business ethics-related training for all employees (including full-time, part-time and labor dispatch).

12 13 Ellis 2025 Sustainability Report Governance is the foundation, responsibility comes first, innovation goes far, benefiting the people, quality comes first, patients come first, work together, share values, be responsible for the environment, develop symbiotically

As of the end of the reporting period, there were 9 members on the Ellis Board of Directors, including:

Governance is the foundation and responsibility comes first

2 female directors 3 independent directors 1 employee director

1.1 Corporate Governance

In accordance with the requirements of relevant laws and regulations such as the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China, and the Code of Governance for Listed Companies, Ai

Through the shareholders' meeting, board of directors, special committees of the board of directors and company management, Lisi continues to improve the corporate governance system and protect investors and other interests. Information disclosure and investor relations

protect the rights and interests of all parties and ensure the company’s standardized and efficient operations.

Ellis attaches great importance to information disclosure and strictly abides by the requirements of the "Company Law of the People's Republic of China", "Shanghai Stock Exchange Science and Technology Innovation Board Stock Listing Rules" and other relevant laws and regulations, discloses periodic reports and temporary announcements and other relevant information truthfully, accurately, completely, timely and fairly, and conducts investor relations work in accordance with the working principles of compliance disclosure, equal treatment, honesty and trustworthiness, ensuring that investors understand the company's situation in a timely and accurate manner.

During the reporting period, we updated and released the "Investor Relations Management System", "Information Disclosure Management System" and other management systems to further clarify the information disclosure requirements of the board of directors, standardize the working principles and work objectives of the company's investor relations management, ensure the timely transmission of information, and continuously improve the transparency of the company's information disclosure. At the same time, the company attaches great importance to two-way communication with investors and actively establishes long-term and stable positive interactive relationships with investors. We use the investor relations hotline and email to respond to investor inquiries in a timely manner, maintain good communication with investors through SSE e-interaction, and actively organize investor research activities. During the reporting period, we held a total of 3 performance briefings to promptly convey the company's operating conditions, financial status, R&D strategy and ESG Committee, Remuneration and Assessment Committee, Nomination Committee, and Audit Committee.

progress information.

Management

Ellis corporate governance structure

Diversity building of the board of directors

The company continues to improve the operational efficiency and scientific decision-making level of the board of directors. The board of directors implements a three-year term system and is composed of the nomination committee evaluation team, which comprehensively evaluates the talent selection process.

Taking into account key factors such as the candidate’s management experience, professional fields and educational background, we strive to build a board of directors team with forward-looking vision and professional capabilities to serve the company’s needs.

Meta-leadership and sustainable development provide solid organizational guarantee.

The board of directors of Ellis has four special committees: Strategy and ESG, Audit, Compensation and Appraisal, and Nomination to provide professional support for scientific decision-making. Within this governance framework,

The Audit Committee is responsible for overseeing the company's financial reporting and risk management systems. In order to effectively protect the committee's ability and independence to perform its duties, a person with financial risk management skills has been specially appointed.

Independent directors with governance expertise joined the audit committee to continue to strengthen corporate governance effectiveness.

1166 1177 Ellis 2025 Sustainability Report Governance is the foundation, responsibility comes first, innovation leads to the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

1.2 Sustainable Development Governance

Management

company management

In order to meet the needs of business development, Ellis has established a sustainable development governance structure, with the Board of Directors and its Strategy and ESG Committee as the highest level

Function

Responsibility and decision-making bodies. The company has fully integrated the concept of sustainable development into the corporate operation and management system, laying a solid governance foundation for sustainable development.

・Responsible for making suggestions on the formulation and update of relevant strategies, visions and goals ・Supervise the formulation, implementation and information disclosure of the company's sustainable development policies, and systematically promote the implementation of sustainable development matters Ellis's sustainable development governance structure ・Communicate with stakeholders, identify and assess sustainable development risks, and formulate response measures

Reporting method

Decision-making level ・ Make irregular reports to the board of directors, strategy and ESG committee

Board of Directors

Execution layer

Function

・As the highest responsible and decision-making body for sustainable development matters, it is responsible for major matters such as sustainable development-related strategies, visions, goals, and risk assessments.

Various functional departments

Review and approve

Function

・Incorporate sustainable development-related impacts, risks and opportunities into decision-making considerations during strategy implementation, major operational decisions, and risk management processes

・ Responsible for the implementation of specific sustainable development work reporting methods ・ Conduct statistics, tracking and analysis of sustainable development indicators and goals to provide a basis for management decision-making and information disclosure ・ Make regular and irregular reports to the shareholders’ meeting

Reporting method

・ Make irregular reports to company management

Strategy and ESG Committee (composed of three directors, including at least one independent director)

Function

・Review and discuss the company's sustainable development strategy and goal formulation, submit it to the board of directors for review and approval, and provide the board of directors with information on sustainable development work

Suggestions

・ Conduct research on the company’s plans, strategies and methods for sustainable development-related work, guide the implementation of the company’s related work, and review relevant action processes. Many members of the board of directors of Ellis have professional backgrounds in the pharmaceutical industry or professional experience in risk management, providing profound industry insights for the company’s long-term sustainable development.

and ensure the achievement and direction of the target plan, and manage potential risks and opportunities. During the reporting period, members of the board of directors and the company's management participated in one sustainability training to maintain communication with professional institutions, learn and master the latest regulatory requirements in a timely manner, understand the concerns of stakeholders, and ensure that they have the ability to effectively perform sustainable development governance responsibilities and review the company's sustainability report and other related documents.

Reporting method

・ Make regular and irregular reports to the board of directors

1188 1199 Ellis 2025 Sustainability Report Governance is the foundation, responsibility comes first, innovation leads to the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

Stakeholder Communication Dual Importance Analysis

In order to establish long-term trustful cooperative relationships with stakeholders, we have identified sustainable development issues of concern to all parties and established a good stakeholder communication mechanism. Using the 21 topics set in the "Shanghai Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 14 - Sustainability Report (Trial)" as the basis for the list of topics. Through timely communication, we fully collect and understand the expectations and demands of stakeholders on the company's sustainable development strategy, work and performance, and use them as the basis for our continued. Combining industry characteristics and stakeholder concerns, Ellis carries out dual importance assessments through internal and external stakeholder surveys and industry analysis. An important reference for evaluating improvements and developments. Including impact importance (i.e., whether Ellis's performance on the corresponding issue will have actual or potential significant impact on the economy, society and environment) and financial importance (i.e., whether the issue is expected to have a significant impact on the company's business model, business operations, development strategy, financial status, operating results, etc. in the short, medium and long term).

Stakeholders Main sustainable development issues of concern Communication methods

Identify substantive issues, conduct dual importance assessment, and formulate analysis results

Corporate Governance ・ Shareholders Meeting ・ Investor Communication Meeting

Refer to the "Shanghai Stock Exchange Listed Companies" Impact Importance (considering relevant issues) After the analysis is completed, the company reviews and confirms the protection of intellectual property rights. The company's regular reports and temporary announcements. New media platforms (SSE e-interactive,

Company Self-Regulation Guidelines No. 14 - Possible analysis results of positive or negative impacts, and guide sustainable innovation drive accordingly ・Performance briefing, official public account, etc.)

Sustainability Report (Trial)", nature, scale and scope of impact, degree of impact Development disclosure and responsible marketing practice ・Investor hotline, email address ・Performance briefing meeting

stakeholder concerns, industry characteristics, severity and irremediability) and financial materiality

Investors/Shareholders Business Ethics

ESG rating-related requirements, regarding materiality (considering the likelihood that risks and opportunities will occur)

Identification of issues: functionality, continuity of resource use, and

Inclusive medical care ・Daily reporting and communication ・Work inspections and meetings Relationship dependence of continued production and operation

Product quality and safety, information disclosure, industry exchange meetings, etc.) carry out questionnaire surveys and

Innovation-driven ・Policy directives Comprehensive analysis

Government and Regulatory Agencies Supply Chain Management

Supply chain management · Daily communication · Supplier conferences or industry meetings Through the above analysis process, a total of 15 important issues related to Ellis were identified. Among them, innovation drive and product quality and safety have dual important intellectual property protection · Supplier auditability. This report will be presented and disclosed from four aspects: "Governance", "Strategy", "Impact, Risk and Opportunity Management" and "Indicators and Targets". responsible marketing

Supplier Business Ethics

Intellectual property protection ・ Daily communication with employees ・ Employee training and meetings

Product quality and safety ・Performance evaluation communication ・Employee representative conference

employees employees

Product quality and safety ・ Daily communication ・ Media interviews

Innovation drive ・Information disclosure ・Industry exchange

responsible marketing

business ethics

media

clinical ethics

20 21

Sexuality has a major impact

Intellectual property protection

Product quality and safety inclusive medical care

Innovation drives employees Responsible marketing Business ethics Corporate governance

clinical ethics

supply chain management

Data security and customer privacy protection

environmental management

energy management

Resource usage

Tackling climate change

financial importance

20 21 Ellis 2025 Annual Sustainability Report Governance is the foundation, responsibility comes first, innovation goes far, benefiting the people, quality comes first, patients come first, focus on sharing values, environmental responsibility, development symbiosis

No. Topic No. Topic No. Topic Anti-commercial bribery and anti-corruption

▪ Ellis is committed to building and maintaining a fair, transparent and trustworthy business environment. To this end, the company has established an anti-corruption system covering all employees and all business processes. E1 Environmental Management S2 Supply Chain Management S7 Employees

Corruption management system, through sound institutional constraints, strict risk management and continuous cultural cultivation, to prevent and reduce integrity risks. The company has established a business ethics governance structure consisting of the board of directors, audit committee, audit department and various compliance management teams to continuously maintain and improve the company's business ethics management system to ensure that the company's operations and decision-making are in line with corporate social responsibilities. Each department proactively conducts business ethics risk management, promptly identifies, evaluates, controls and eliminates hidden dangers, and regularly reports relevant situations to the audit committee through the audit department to provide suggestions for the formulation and improvement of the company's overall business ethics management strategy. E2 Coping with climate change S3 Product quality and safety S8 Intellectual property protection

Provide basis to promote the construction of corporate ethics and compliance culture throughout the company.

▪ Ellis strictly abides by the laws and regulations of the places where it operates, such as the Civil Code of the People's Republic of China, the Criminal Law of the People's Republic of China, and the Company Law of the People's Republic of China, and formulates internal system standards such as the "Employee Handbook", "Discipline and Violation Management System", and "Procurement Integrity Management System", and prohibits bribery and corruption. E3 Energy Management S4 Data Security and Customer Privacy Protection S9 Responsible Marketing We will prevent corruption, leakage of confidential information, unfair competition, conflicts of interest and other violations of business ethics, clarify the red lines of employee behavior, implement the "Procurement Integrity Management System" and require suppliers to sign an "Integrity Agreement" to standardize honest interactions in business cooperation.

▪ In terms of business compliance, Ellis has formulated and implemented documents such as the "Academic Activities Management Policy", "Sponsored Activities Management Policy", "Donation Management Policy", "Medical Professionals Service Remuneration Management Policy", etc., and made clear provisions on the compliance, transparency and management processes of various academic activities. Company requirements E4 resource usage S5 innovation drive G1 corporate governance

All academic activities follow the principles of legal compliance, fairness and justice, openness and transparency, and any form of commercial bribery or improper transfer of benefits is strictly prohibited to prevent the risk of improper influence of academic activities on medical prescriptions, purchasing decisions, product pricing, etc.

During the reporting period

S1 inclusive medical care S6 clinical ethics G2 business ethics

Ellis has not been involved in any litigation related to commercial bribery or corruption.

Financial materiality Impact materiality

Anti-corruption Initiatives and Reporting Procedures

1.3 Compliance management

Ellis has established an open channel for reporting violations of disciplines and violations and a report handling process, encouraging employees to promptly report and provide clues and materials on discovered violations of disciplines, violations, and improper behaviors, and requires that all reported information be fully recorded and processed. For confirmed violations, the company will take necessary corrective and punitive measures.

As an innovative pharmaceutical company, Ellis regards business ethics and compliance management as the lifeline of stable operation and sustainable development of the company, and integrates them into the company.

Whistleblowers can make real-name or anonymous reports through public email addresses or other legal and compliant forms.

in daily operations and decision-making. The company improves relevant systems and supervision mechanisms, strengthens employee education and cultural construction, and prevents commercial bribery and illegal activities.

Fair competition and other compliance risks, and actively create a corporate atmosphere that promotes integrity and good governance. Report email: [email protected]

We follow internal systems such as the "Discipline and Violation Management System" and have formulated whistleblower protection clauses, promising to protect the safety of whistleblowers and strictly prohibiting anyone from retaliating against whistleblowers in any form. We solemnly promise that for reports of disciplinary violations made in good faith, the company will protect the legitimate rights and interests of the whistleblower in accordance with the law and strictly prohibit any retaliation against employees who report in good faith or participate in investigations. The company adheres to the principle of "zero tolerance" for retaliation. Once confirmed, it will be dealt with strictly in accordance with the company's system. For serious cases, it will directly terminate the labor contract or transfer it to judicial authorities.

22 23 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

Business Ethics and Anti-Corruption Training

business ethics audit

As of the end of the reporting period, the company had conducted a number of online training courses focusing on topics such as commercial bribery, unfair competition and monopoly risks: Against the background of continued tightening of supervision in the pharmaceutical industry, Ellis has incorporated business ethics risks into the normalized internal control and supervision system, and based on business development trends, continues to 1. carry out "Commercial Bribery and Legal Regulation in the Pharmaceutical Field" and "Improper Update and Improvement of the Risk Control Matrix in the Pharmaceutical Field" for all employees (including full-time, part-time and labor dispatch), and conduct risk identification and prevention through systematic audit evaluations. In accordance with the risk-oriented principle, the company's audit department conducts internal control evaluation and business ethics-related audits every year, covering the headquarters and all subsidiaries, with a coverage rate of 100%. topic training;

・Business ethics audit content includes the review of potential corruption, bribery and money laundering risks, and sample audits of large capital transactions and fund transactions between key entities such as directors, senior managers, 2. For the marketing department, public relations department, procurement department and other departments, "Sharing Cases of Penalties for Monopolistic Behavior in the Pharmaceutical Field", donations (funding) and sponsoring controlling shareholders. Based on the potential risks identified in daily monitoring and sampling audits, necessary special audits will be carried out in a timely manner to ensure that the internal control system can effectively respond to and resolve various risks. Business ethics theme training such as "Preventing Commercial Bribery Risks";

・In terms of internal control system construction, we regularly conduct internal control effectiveness evaluations every year. The evaluation covers the business ethics supervision system, compliance

3. Carry out compliance training for dealers, focusing on the interpretation of laws and regulations such as the Anti-Unfair Competition Law, as well as key aspects such as the legal review mechanism and emergency response to violations that may arise from violations, and continuously promote the optimization and upgrading of the internal control system.

Consequences etc. Through the analysis of typical cases, we systematically explain common violations of laws and regulations in the industry, and improve dealers' awareness of compliance operations and risk prevention capabilities.

During the reporting period

In addition, the company conducts mandatory anti-corruption and business ethics training for new employees at the headquarters to build their compliance awareness at the beginning of their employment.

In accordance with the national compliance guidelines and the "Basic Standards for Corporate Internal Control", Ellis has carried out internal control audits in all operating locations, covering sales

Key areas such as sales, procurement, research and development, selling expenses, production and inventory, fixed assets, human resources and financial activities are easy to generate business channels.

A focused review was conducted on the aspects of moral risks, and no major problems were found.

Supplier anti-corruption

Ellis has deeply integrated integrity and integrity into the supply chain management system, continued to strengthen anti-corruption risk management and control, and is committed to creating a fair, transparent and healthy business environment.

industry environment. We continue to pay attention to the anti-corruption related work of all suppliers and clarify the standards for honest business operations. The company takes measures against corruption such as offering, accepting, and soliciting bribes.

We adopt a zero-tolerance attitude and will terminate cooperation if found. At the same time, we actively collaborate with our suppliers to build a clean and win-win supply chain ecosystem, and through various business ethics and anti-corruption training courseware screenshots

Regularly communicate with suppliers and other forms to continuously enhance suppliers’ awareness of integrity and self-discipline and compliance management capabilities, and jointly improve the overall prevention and control of supply chain risks.

level.

During the reporting period

The company has no supplier-related commercial bribery or corruption cases. Fair competition and responsible marketing

fair competition

Anti-corruption training

Ellis strictly abides by laws, regulations and regulatory requirements such as the Anti-Unfair Competition Law in its business activities, and integrates the principles of fair competition into the company based on the characteristics of the pharmaceutical industry. In order to improve employees' awareness of business ethics and compliance risks, we focus on the regulatory requirements and typical risk scenarios of the pharmaceutical industry, and combine it with key business departments

In internal management systems and business processes, we regulate market behavior and prevent unfair competition risks.

Based on the job characteristics of the department, business ethics-related training is regularly conducted for all employees (including full-time, part-time and labor dispatch).

Through the "Employee Handbook", "Discipline and Violation Management System", "Sponsored Activities Management Policy" and other systems, we clearly prohibit the transfer of improper benefits, false propaganda and other possible disturbances.

conduct that disrupts market order, and standardize the identification, investigation and handling procedures for violations.

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During the reporting period

responsible marketing

There has been no litigation or administrative penalty incident caused by unfair competition in Ellis.

In order to practice the principles of responsible marketing and maintain the values of "Integrity, Achievement, Cooperation, and Innovation" of Ellis, we have included in the "Employee Handbook" and "Discipline and Violation Management System"

The "Sponsored Activities Management Policy", "Academic Activities Management Policy", "Donation Management Policy", "Medical Professionals Service Remuneration Management Policy" and other systems have clarified that in daily operations, Ellis will embed anti-unfair competition requirements into internal control and audit work. During the reporting period, the company strengthened the concept and code of conduct of cost-regulated marketing and honest management during the internal control evaluation. At the same time, we carry out responsible marketing audits and responsible marketing training, requiring companies to review the authenticity, rationality and compliance of all marketing and publicity to prevent unfair competition. Practice professionalism, prudence and compliance in activities.

At the same time, the company strengthens employees' awareness of fair competition and compliance operations through training. During the reporting period, the company focused on the legal regulation of unfair competition in the pharmaceutical industry. We followed the responsible marketing principles of compliance and integrity, and complied with the relevant compliance supervision requirements of publicity media. We carried out responsible marketing activities and avoided the use of exaggerated and misleading typical risk scenarios and penalty cases. We conducted multiple online theme trainings for all employees (including full-time, part-time and labor dispatch), covering marketing, procurement, and public relations marketing terms to avoid misleading risks that may be caused by inaccurate information. For content related to brand and product promotion, we have established key departments such as the review department before material release to comprehensively enhance employees' awareness of anti-unfair competition. Mechanism to achieve 100% audit.

Ellis regularly conducts employee compliance training to implement the concept of responsible marketing and conveys the concept of compliance through actual responsible marketing. All new marketers must be in 3

Training on "Unfair Competition and Legal Regulation in the Pharmaceutical Field"

Complete the compliance training and pass the assessment within three months to achieve 100% compliance policy training coverage. In addition, through community learning and online training platforms, we regularly communicate the compliance code of conduct to all employees of the company.

Responsible Marketing Training

During the reporting period, we carried out comprehensive responsible marketing training for all employees (including full-time, part-time and labor dispatch). The training content covers core topics such as "Commercial Bribery and Legal Regulation in the Pharmaceutical Field", "Unfair Competition and Legal Regulation in the Pharmaceutical Field" and "Sharing Cases of Non-compliance Punishment in the Pharmaceutical Field". By systematically explaining relevant laws and regulations in the pharmaceutical field, covering hot topics such as anti-commercial bribery, anti-unfair competition, and consumer rights protection, and supplemented by real case analysis, the training effectively improved the compliance awareness of all personnel and provided a strong guarantee for the standardized development of marketing activities.

Screenshot of the training courseware "Unfair Competition and Legal Regulation in the Pharmaceutical Field"

Responsible marketing training courseware screenshots

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Risk Management Product Quality and Safety

▪ Ellis follows the "Company Law of the People's Republic of China", "Securities Law of the People's Republic of China" and other relevant laws and regulations, and establishes a comprehensive, systematic and efficient risk quality system, quality culture, quality inspection risk management and internal control system, covering the entire process of risk identification, assessment, response and monitoring. By integrating risk management into all business processes, we continue to

Establish a quality control system that covers the entire process, continue to carry out quality training for employees, and establish a risk management system that covers the entry of materials to commercial production to ensure that the company maintains stable operations in response to external environmental changes and uncertainties, and promotes sustainable development of the company.

system; implement quality assurance (QA) and full-process quality testing covering relevant laws and regulations, internal and external product release; establish

▪ During the reporting period, we followed the risk-oriented principle and carried out comprehensive and extensive internal control audit work. The audit business matters covered sales, procurement, research and development, quality control (QC) double release and technical standards; we strengthened the SOP for the entire process of production and quality inspection, and promoted the fields of research and development, sales expenses, production and inventory, fixed assets, human resources, financial activities, etc., ensuring the breadth and depth of the audit. Audit tuberculosis; strengthen internal quality audits and on-site supervision of external contractors, standardize the electronic filing of process records, and ensure that the test data truly shows that the company's internal control system is operating well and has maintained effective internal inspection responses in all major aspects in accordance with the requirements of the "Basic Standards for Enterprise Internal Control". Execution of processes and circulation links. Real, complete and traceable. control.

Climate risks and opportunities

Sustainable development risk and opportunity identification and response. Physical risk response. Transformation risk and opportunity response.

Strengthen meteorological monitoring and formulate special emergency plans for extreme weather; set energy conservation and emission reduction targets, apply energy conservation and consumption reduction technologies, and gradually incorporate the identification of risks and opportunities related to sustainable development into the company's risk management process during the reporting period. Through stakeholder communication and dual importance analysis,

Carry out comprehensive risk assessment, implement relevant transformation projects, optimize, explore and increase the proportion of renewable energy use; continue to analyze and daily risk identification and management mechanisms to identify and respond to sustainable development risks and opportunities, especially for key risks with significant financial impact

Hardware facilities. Improve sustainable development information disclosure and improve data quality. areas and implement key management. Based on dual materiality analysis, we identified two financially important issues: innovation drive and product quality and safety. Specific identification results

and countermeasures, please refer to the subsections [1.2 Sustainable Development Governance-Dual Importance Analysis] [2.1 Innovation-driven Development] [3.1 Product Quality and Safety].

At the same time, we systematically manage and respond to the risks and opportunities brought about by climate change in accordance with the recommended framework of the Task Force on Climate-related Financial Disclosures (TCFD). Sustainable Development Risk Response Measures

Information security and customer privacy protection

Innovation driven

▪ Alex strictly abides by the requirements of laws and regulations related to information security such as the "Cyber Security Law of the People's Republic of China" and the "Personal Information Protection Law of the People's Republic of China", compiles and implements internal normative documents such as the "Alice IT Network Security Management System", "Alice Personal Information Security System", and innovates R&D strategies around business operations, R&D project management, R&D capacity building, and intellectual property management.

Management regulations are clearly defined in every aspect of the camp to comprehensively manage and control information security risks. At the same time, we have established a complete information security management structure to clarify management responsibilities at all levels to ensure the steady development of information security work.

Strategically focus on tumor targets, build a comprehensive coverage of new drugs, and establish an intellectual property department with rich experience and multi-field coverage.

Focusing on the research and development of innovative drugs, we focus on life cycle R&D management and standardize intellectual property management through training. ▪ We have built a multi-dimensional network by deploying security facilities such as next-generation firewalls, intrusion prevention systems (IPS) and advanced threat detection (APT) systems, and established and improved training to continuously improve their professional capabilities; systems and procedures documents, and network security protection boundaries around the tumor-related target system. For core R&D data assets, we implement a strict physical isolation strategy to ensure complete separation of R&D networks and office networks to build R&D pipelines. We strive to establish diversified innovation incentives and implement various intellectual property rights throughout the entire R&D process. We also use professional terminal management systems to strengthen the security control of laboratory equipment and key data.

Yucheng has standardized processes and quality control in tumor treatment to ensure the enthusiasm of talents; proactive management measures have been adopted to ensure patents.

The industry-leading innovative pharmaceutical manufacturing mechanism ensures that each research center introduces international advanced instruments to support applications and scientific and technological achievements.

・In terms of data security management, we use encryption algorithms that comply with international standards for data transmission, and implement multiple backup mechanisms to reduce the leakage of business data and enterprises. Development projects are promoted efficiently. R&D personnel create precise and efficient transformation to provide all-round

Risk of loss. At the same time, we have established a systematic security assessment system, including regular penetration testing and vulnerability scanning, to continuously identify and eliminate potential risks and experimental conditions. support.

Provide a solid information security foundation for core business activities such as R&D innovation, production operations, and marketing.

・In terms of information security culture construction, the company actively carries out information security awareness promotion for all employees, such as phishing email fraud prevention promotion, case sharing and risk warnings, etc., and continues to

Continue to improve employees’ information security identification and risk prevention capabilities, effectively build information security protection barriers, and effectively prevent the risk of user information leakage.

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R&D management structure innovates and goes far, benefiting the common people

decision-making level

With innovation as its core driving force, Ellis continues to deepen the construction of the R&D system, continuously consolidates the foundation of R&D technology, and through a complete intellectual property management mechanism

system to effectively protect core technological achievements and provide guarantee for long-term innovative development. At the same time, Ellis has always adhered to the development philosophy of "technology cares for life" Board of Directors

concept, strictly protect the legitimate rights and interests of clinical trial subjects, and integrate ethical care throughout the entire research and development process. In addition, the company always aims to promote industry progress

Function

It is our responsibility to promote the sustainable development of China’s pharmaceutical industry through collaborative innovation and open cooperation. ・ As the highest responsible body for the company’s R&D and innovation governance, the Board of Directors formulates the company’s innovation strategy ・ Conducts in-depth research and judgment on risks and opportunities related to innovation and R&D ・ Makes decisions on resource allocation

Reporting method

2.1 Innovation-driven development

・ Make regular and irregular reports to the shareholders’ meeting

As an innovation-driven pharmaceutical company, Ellis has always been committed to improving the quality of life and health of all mankind, with the global pharmaceutical market being unsatisfied.

Management

Oriented by clinical needs, focusing on the field of tumor treatment, with the goal of developing first-in-class drugs (FIC) and best-in-class drugs (BIC), we are committed to

Develop and produce innovative drugs with independent intellectual property rights that are safe, effective and benefit the public. The Scientific Advisory Board is composed of external experts to assist the company's board of directors in formulating the company's innovation strategy and provide strategic guidance.

company management

governance functions

・ Develop relevant work plans and systematically promote the implementation of the company's innovation strategy

▪ In order to continue to promote the innovative R&D process, the company has established a top-down R&D management structure to ensure the efficient and orderly development of R&D activities from the organizational level. ・ Reasonably allocate resources according to project priorities. The main board members and senior managers in this structure all have rich experience in the pharmaceutical industry and practical management experience, and can accurately grasp technological developments. ・ Pay attention to the dynamic needs of the industry, make suggestions to the board of directors on cutting-edge trends, effectively identify key risks in the research and development process, and formulate practical response strategies. In addition, the company has a scientific advisory board,

Reporting method

Provide scientific guidance for the company's pipeline strategic layout, internal project establishment, project management, company cooperation, product introduction, clinical development, team building, etc.

・ Make regular and irregular reports to the board of directors

▪ In order to ensure the efficient advancement of innovative R&D projects, the company has established a dynamic tracking and system feedback mechanism. Key data and phased results of each R&D project

After summary analysis, it is reported to the company's decision-making level step by step, taking into account factors such as the scientific value, clinical needs, commercial potential, and return on investment of the innovative project.

Execution layer

Conduct an in-depth study and judgment of relevant risks and development opportunities, and make scientific and prudent decisions based on a reasonable balance between input and output.

R&D department

Function

・As the core executor of R&D work, form a R&D talent team, implement and manage innovation projects, ensure the effective implementation of the company's innovative R&D strategies and work plans, and continuously improve independent innovation capabilities

Reporting method

・ Make regular and irregular reports to management

32 33 Ellis 2025 Sustainability Report Governance as the basis, responsibility first, innovation to go forward, benefiting the people, quality first, patients first, cohesion, sharing value, environmental responsibility, development symbiosis

Strategy Identification and evaluation of potential opportunities

Opportunity Opportunity Description Time Frame Business Impact Financial Impact

▪ As a R&D-driven innovative drug company, the product advantages of innovative drugs are the source of its core competitiveness. In order to continue to consolidate R&D management capabilities,

To ensure the orderly advancement of R&D projects, the company systematically carries out the identification and assessment of innovation risks. By analyzing policies and regulations, market trends, and technological developments

A comprehensive assessment of development and internal R&D capabilities to form a list of R&D-related risks and opportunities. On this basis, further clarify the impact of various risks on business development and finance.

potential impact on the financial situation, and formulate corresponding management strategies to anchor decision-making directions, optimize resource allocation, and ensure that various R&D risks can be addressed in a targeted manner. The product pipeline and indications will continue to be sustained.

National medical insurance’s support for innovative drugs, short-term, medium-term and

risks and opportunities. Expansion, the company's market share continues to increase, operating income increases, clinical demand for oncology drugs continues to grow, long-term

growth

Market growth opportunities

▪ Ellis defines the impact of risks and opportunities within 1 year as short-term, the impact in 2-3 years as mid-term, and the impact that will be faced in more than 3 years.

for the long term.

Risk and opportunity identification results

Innovative R&D strategy

Potential risk identification and assessment

Ellis strategically focuses on the research and development of innovative tumor-targeted drugs, mainly building a research and development pipeline around tumor-related targets, and is committed to becoming a global leader in

Risk Risk Description Time Frame Business Impact Financial Impact

A leading innovative drug company in the field of cancer treatment.

The company continues to deepen the clinical application of its core product fumetinib and expand new indications, including promoting clinical research on combination drugs and supporting R&D technology route judgment deviations or external competition.

The decline in market competitiveness may affect the clinical research initiated by researchers, etc., to further expand its application scenarios around the NSCLC field to consolidate and expand its use in this treatment field, resulting in the market price of core products in the medium and long term.

Impact on the company's valuation and market share, leading to reduced cash inflows. At the same time, the company continues to explore new targets, new technologies, new treatment modalities (New Modality) and new molecular values, and misses strategic development opportunities.

structure, actively carry out new drug research and development, and ensure the sustainability and innovation of the company's research and development pipeline, thereby maintaining the core competitiveness of the product pipeline and providing strong support for the expansion of subsequent product lines. While attaching great importance to the construction of independent research and development capabilities, the company closely tracks industry research and development trends, and based on market development trends, flexibly uses various methods such as authorization introduction, joint development, and commercial cooperation to build more innovative research and development risks.

Add a diversified and rich product pipeline.

R&D efficiency is insufficient and R&D progress has not been reached

In the short and medium term, the R&D cycle is lengthened and delayed, and R&D expenses increase. The company is guided by a robust and aggressive innovative R&D strategy, and by building a complete R&D management system and a high-level R&D team, unexpectedly, the construction of new product pipelines lags behind.

Continuously improve the efficiency and quality of new drug discovery and clinical transformation, and while providing patients with innovative drugs with accurate, safe and reliable efficacy, continue to enhance the company's innovative vitality and development potential.

Failure to effectively protect the company’s own knowledge and suffering from infringement or trapping by competitors

Mid- to long-term increase in administrative expenses

Property rights Involved in intellectual property disputes

Intellectual property risks

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clinical development

Drug Target Indications Preclinical Research IND Application Clinical Phase I Clinical Phase II Clinical Phase III NDA Application Partner Remarks

area

Treatment of T790M mutated non-small cell lung cancer (second line) China Commercialized treatment of EGFR sensitive mutated non-small cell lung cancer (first line) China Commercialized treatment of NSCLC with EGFR exon 20 insertion mutations (second line) China Commercialized treatment of NSCLC with EGFR exon 20 insertion mutations (first line) Global adjuvant treatment of stage III EGFR sensitive mutated non-small cell lung cancer China Phase III fumetinib EGFR

EGFR sensitive mutation-positive non-squamous NSCLC with brain metastases China Stage III EGFR PACC mutation or EGFR L861Q mutation NSCLC (first-line) treatment China Stage III EGFR PACC mutation NSCLC (first-line) treatment Global Stage III adjuvant treatment of non-classical EGFR mutation non-small cell lung cancer China Stage III EGFR or HER2 activating mutation non-small cell lung cancer Global Stage Ib second-line NSCLC China Commercialization of glairezin

KRAS G12C Multiple tumor types (including pancreatic cancer) China Phase II (registered clinical trial) glairese combination

SHP2 inhibitor combined with AST24082 for first-line NSCLC with KRAS G12C mutation China Phase III

R&D pipeline map

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Exploring the clinical application of independently developed products

Indications expansion (part)

PACC mutations:

・ Data from the global Phase Ib study (FURTHER) show that fumetinib has shown encouraging results in the long-term treatment of first-line patients with this mutated subtype.

The progression-free survival (PFS) and durable systemic response, and the overall safety are consistent with previous clinical data, have successfully provided a solid foundation for the launch of registered clinical research. The company's core product fumetinib, as a third-generation EGFR-TKI originally developed in China and with independent intellectual property rights;

Approved for second-line (March 2021) and first-line treatment of adult patients with EGFR-mutated locally advanced or metastatic NSCLC. In September 2025, the "Expert Consensus on the Diagnosis and Treatment of EGFR PACC-mutated Advanced NSCLC" released at the 28th CSCO Academic Annual Meeting recommended the treatment indications of Fumei (June 2022), and both were included in the National Medical Insurance Directory. On this basis, the company continues to explore tinib as a first-line treatment option;

To explore its clinical application potential, the second-line treatment indication of fumetinib EGFR Exon20Ins has recently been completed on the NMPA.

・In December 2025, the CDE official website announced that fumetinib for the first-line treatment of EGFR PACC mutated NSCLC is planned to be included in the breakthrough therapy category; approval (February 2026) has achieved a series of important results in combination therapy, expansion of new mutation subtypes, and standardization of diagnosis and treatment.

・The progress of fumetinib in the treatment of EGFR PACC mutations was announced at the 2025 World Conference on Lung cancer (WCLC), further consolidating and expanding its leading edge in the field of targeted therapy for NSCLC.

Latest clinical research results on first-line treatment of NSCLC.

EGFR Exon20Ins mutation:

・FURMO-003 study data show positive efficacy of fumetinib in patients with previously treated EGFR Exon20Ins mutated advanced NSCLC: confirmed customer

The observational response rate (ORR) reached 44.3%; the PFS was 8.3 months, the median overall survival (OS) was 22.9 months, and the safety profile was good; ・ In February 2026, fumetinib EGFR Exon20Ins completed NMPA marketing approval for second-line treatment indications;

・The global Phase III clinical study (FURVENT) of fumetinib in the first-line treatment of EGFR Exon20Ins NSCLC has been completed in the first quarter of 2025

All patients have been enrolled and have now entered the follow-up phase.

Research on other expanded indications is progressing smoothly.

Combination treatment exploration

・ Fumetinib is used in combination with the PD-L1 inhibitor ABSK043 to treat advanced non-small cell lung cancer, and the first case will be completed in December 2024

patient administration;

・ Combination of fumetinib and JSKN016 for the treatment of advanced non-small cell lung cancer.

International clinical development

The company collaborates with ArriVent to advance the global development of fumetinib:

・ The global Phase III study (FURVENT) for the first-line treatment of EGFR Exon20Ins mutations has completed patient enrollment in the first quarter of 2025; ・ The global Phase III study (ALPACCA) for the first-line treatment of PACC mutations has completed the administration of the first patient, fumetinib, in the second half of 2025

Achieved the second overseas phase III clinical development.

Eversa® (vometinib mesylate tablets)

The 5_FURMO-003 study is a phase II, multi-center, open-label study designed to evaluate the efficacy and safety of fumetinib in patients with locally advanced or metastatic NSCLC with EGFR Exon20Ins mutations.

38 39 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

Combining in-depth understanding of disease targets with cutting-edge methods such as computer-aided drug design, we efficiently complete the design and optimization of candidate molecules, and finally screen out candidates with high activity

Case: Ellis won the 25th "China Patent Gold Award"

Candidate compounds with properties and excellent drug-like properties can greatly improve the efficiency and quality of drug discovery. In the early stage of research and development, the absorption, distribution, metabolism and excretion properties of the drug are comprehensively considered to optimize the pharmacokinetic properties, effectively improve the drugability, and reduce the risk of failure in the later stages of research and development. The organic combination and continuous application of these two core technologies is the key factor for the company. In October 2025, at the opening ceremony of the 14th China International Patented Technology and Products Fair, Ellis won the national Class 1 new anti-lung cancer product with its blockbuster product.

A solid foundation that can produce first-in-class (FIC) or best-in-class (BIC) drugs with good clinical therapeutic effects.

Drug - Fumetinib's core compound patented innovative technology (pyridine aminopyrimidine derivatives, their preparation methods and applications), won the National Intellectual Property

The 25th "China Patent Gold Award" jointly issued by the State Intellectual Property Office and the World Intellectual Property Organization (WIPO). This award is the highest political award in the field of patents in my country.

The Government Award aims to recognize patentees and inventors who have made significant contributions to technological innovation, economic development and social progress. This award is a tribute to Ellis

Small molecule drug development

Authoritative affirmation of adhering to original innovation and building a high-value intellectual property system.

As the third generation EGFR-TKI independently developed in my country, fumetinib relies on its unique molecular structure of pyridine amino pyrimidine derivatives to inhibit brain metastasis and 6

While deepening the expansion of indications for inhibitors such as EGFR and KRAS, we are also actively expanding into related targets such as DDR and epigenetics. It has demonstrated clinical advantages in terms of efficacy, safety and treatment window. Since its launch in 2021, it has rapidly grown into the field of targeted treatment for non-small cell lung cancer.

For traditionally difficult-to-drug targets such as protein-protein interactions, the company is developing covalent inhibitors, cyclic peptide inhibitors, degraders and other important forces in a variety of new forms to profoundly benefit the majority of patients. The success of fumetinib is the result of Alismed’s transformation of the innovative concept of “from laboratory to ward” into

Drugs continue to expand technological boundaries.

It is a model of practical value that fully reflects the key role of high-value patents in driving enterprise development and enhancing core competitiveness.

Mr. Du Jinhao, Chairman and General Manager of Ellis Pharmaceuticals, said: “Winning the China Patent Gold Award is a testament to Ellis Pharmaceuticals’ adherence to the ‘innovation-driven’ strategy.

The highest compliment. We are deeply honored and feel a great responsibility. This honor belongs to all the scientific researchers who have devoted their efforts to the research and development of fumetinib. It belongs to a large molecule drug research and development

to support our patients, physicians and partners. In the future, Ellis will continue to increase investment in original research and build more complete intellectual property

The company has deeply cultivated the ADC track in the field of macromolecule research and development, established a strategic layout of "clinical demand orientation" and "cutting-edge technology innovation", and a rights protection system to develop more world-leading innovative drugs, fulfill the corporate mission of "technology cares for life", and contribute to the construction of "Healthy China"

It not only takes into account mature clinical needs, but also integrates innovative target combination design. The pipeline covers lung cancer, breast cancer, digestive tract tumors and other unmet areas. "

To meet the major clinical needs, we have built a research and development matrix that combines excellent safety and source innovation. In the product pipeline, the company not only covers dual-antibody ADCs and monoclonal antibody ADCs, but also proactively deploys new payload technologies (such as dual-load mechanisms) to continue to improve the platform's technical barriers and iteration capabilities.

At present, macromolecule R&D is carried out in an efficient and orderly manner, and it is expected that key products will enter the IND (New Drug Clinical Trial Application) stage in 2026, marking that the innovative R&D platform has officially entered the clinical transformation acceleration period.

6_DDR: DNA damage repair, DNA Damage Response.

7_Payload is the core functional unit in the ADC structure that is responsible for directly killing tumor cells or exerting therapeutic effects. It is usually a small molecule cytotoxin or a biologically active therapeutic molecule.

Ellis won the "China Patent Gold Award"

Expansion of other R&D product pipelines

The company adheres to innovation-driven development, and through the dual drive of "independent innovation" and "strategic cooperation", it has built a diversified product pipeline covering the field of tumor treatment, providing

The company's sustainable development injects innovative power.

The company has always adhered to the concept of independent innovation. After more than 20 years of R&D accumulation, it has established a complete and mature new drug R&D system and formed a rational drug molecular system.

Design and discovery technology, metabolism-based drug design and optimization technology as the core differentiated technical barriers provide solid support for innovative drug research and development. we pass

40 41 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

In terms of strategic cooperation, the company has rapidly enriched its product portfolio by introducing innovative drugs with development potential at different stages of research and development, effectively covering different targets and cancers.

Case: Alike® opens a new chapter in the clinical treatment of KRAS G12C mutant NSCLC

species. The company has obtained the exclusive development and commercialization rights of the KRAS G12C inhibitor glairese in Greater China, and the RET inhibitor platinib in mainland China.

Exclusive regional promotion rights. The two drugs strongly complement the company's independent research and development pipeline, significantly enhancing the overall pipeline width and market competitiveness.

In May 2025, Alike® (glaresed citrate tablets) was approved by the NMPA for use in adult patients with KRAS G12C mutant advanced NSCLC who have received at least one systemic therapy. As the only domestically approved KRAS G12C inhibitor that can be administered in a single daily dose, Alike® not only provides a more efficient and convenient treatment plan, but also reshapes the treatment landscape for patients with KRAS G12C mutations. In June and November 2025, the results of the phase I/IIa clinical study of glairese combined with SHP2 inhibitors in the first-line treatment of KRAS G12C mutated advanced non-small cell lung cancer

Alike® (glaresed citrate tablets) was successfully prescribed for the first time in many hospitals in Beijing and Shanghai, marking the rapid implementation of this innovative drug into clinical practice and prompting its publication in the top international medical journal "The Lancet Respiratory Medicine (IF 32.8)", showing remarkable efficacy.

Improve drug accessibility. In December of the same year, Alike® was included in the national medical insurance directory (second-line treatment indications) for the first time.

It is expected to establish a new treatment paradigm of "dual oral combination regimen" in KRAS G12C mutated advanced NSCLC.

In December 2025, the combined analysis results of the phase I/II clinical studies of glialese in the treatment of KRAS G12C mutated advanced colorectal cancer were published in top international medical journals

"The Lancet Gastroenterology & Hepatology IF 38.6" was published, showing the new potential of drugs

Potential in multiple indications.

Launching ceremony of the first batch of commercial preparations of Alike® (Geleresed Citrate Tablets)

Through the above product pipeline development strategy, the company has successfully built a multi-product R&D pipeline with both depth and breadth, fully demonstrating the vitality of continuous innovation and strategic foresight in response to market changes.

42 43 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

Through a series of measures, we implement intellectual property protection into daily operations and innovation activities.

R&D project management

Ellis has established a research and development management system covering the entire life cycle of new drugs, covering from the discovery and optimization of lead drugs, the evaluation and determination of candidate drugs, preclinical and

Awareness raising and capacity building Innovation incentives and achievement transformation Cooperation with third-party professional institutions

Key closed loops include clinical research, drug registration and application, industrialization and commercialization. In order to ensure the efficient operation of the system, the company continues to deepen system construction and project management, and build

Establish and improve standardized processes and quality control mechanisms covering the entire R&D process, and ensure coordinated and seamless advancement of each R&D stage through strict node management and risk control.

・ Hierarchical training: for decision-makers and ・ Incentive mechanisms to support innovation: based on research ・ Sign long-term connections with professional patent agencies to maximize R&D efficiency and success rate.

Management personnel, focusing on the relevant systems of intellectual property war development management, entrust them with the responsibility for organizing special trainings for internal scientific research and periodic cooperation agreements; organizing and motivating research staff, and continuously stimulating patent applications and rights protection matters. Drug discovery and development stage Preclinical research stage IND application Participation in national and local intellectual property offices, innovation vitality.

・Professional training conducted by former industry associations that continue to strengthen intellectual property work;

・ R&D-oriented innovation activities: Focus on forward-looking layout, combined with business development needs, new employee induction training includes intellectual property

R&D projects and technical directions are organized as important, and external consultants are hired to provide professional content.

Insights such as invention innovation communication and brainstorming to assist companies in more accurate NDA applications

・Continuous publicity and awareness strengthening: around activities, promote R&D personnel to understand technology, grasp industry trends, and optimize resources (chemical pharmaceuticals)

In-depth discussion of intellectual property policy requirements and management priorities to support innovation distribution. Post-marketing studies Clinical studies

Focus on carrying out publicity activities for all employees; through the formation and transformation of results.

BLA application

By inviting industry experts to share intellectual property

(biological products)

human rights policy dynamics and hot issues, and raise

Improve employee compliance and protection of intellectual property rights

Ellis has full-process R&D management capabilities from new drug discovery to post-marketing research.

understanding of the importance of protection.

Alice Intellectual Property Protection Measures

Intellectual property protection

Intellectual property rights are the core assets and lifeline of innovative pharmaceutical companies. Ellis deeply realizes that a sound intellectual property protection system is the foundation for ensuring continuous innovation, and will

It is integrated into the R&D management system and builds solid barriers for innovative results by improving management mechanisms and awareness building. During the reporting period, Ellis applied for: As of the end of the reporting period, Ellis owned: Ellis strictly abides by domestic laws and regulations such as the Patent Law of the People's Republic of China, the Trademark Law of the People's Republic of China, as well as the Patent Cooperation Treaty (PCT)

International treaties such as the World Intellectual Property Organization Copyright Treaty and the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) fully fulfill our intellectual property protection obligations. me

We have established a professional intellectual property department with full-time staff to ensure that intellectual property work has institutions, personnel and institutional guarantees. On this basis, the company has incorporated 31 3 89 patent management into all aspects of technological innovation, production, and operation, fully mobilizing the enthusiasm and creativity of R&D personnel and promoting corporate scientific and technological progress.

invention patents, invention patents authorized, valid invention patents authorized, Ellis has formulated intellectual property management systems and procedural documents such as the "Patent Management System" and "Trademark Management System", covering key management such as patents, trademarks, and trade secrets.

management dimension, clarify the responsibilities and work processes of each department in intellectual property management, provide an institutional basis for the declaration, maintenance and protection of intellectual property, and provide a basis for patent application and

Provide comprehensive support for the transformation of scientific and technological achievements.

In order to comprehensively ensure the effectiveness and compliance of intellectual property management, we implement full-process, multi-dimensional risk management and control at each key stage of R&D projects to ensure that each research

Development and innovation are steadily promoted on the premise of strictly avoiding other people's existing intellectual property rights, effectively protecting the company's independent innovation results and safeguarding the entire life cycle of the product.

During the reporting period, the company organized R&D personnel to carry out training related to intellectual property protection in the field of biomedicine, covering patents, trade secrets, trademarks, copyrights, etc. The scope of training covers new drug research and development and other departments, effectively enhancing R&D personnel’s awareness of the full chain protection of intellectual property rights, and providing a foundation for subsequent innovation work in pharmacy, production and

Research before product project approval, formal project approval, clinical trials, and drug commercialization have laid the foundation for standardized development.

Control (CMC) Development

Intellectual Property Full Process Management and Control

44 45 Ellis 2025 Sustainability Report Governance is the foundation, responsibility comes first, innovation goes far, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

R&D Capacity Building

Impact, risk and opportunity management

Ellis attaches great importance to the construction of the R&D team and the improvement of professional capabilities. Through systematic talent introduction and training, it has established a team with international vision and profound academic knowledge.

The professional team with rich background and rich drug research and development experience provides a solid talent guarantee for the implementation of the company's innovative development strategy. Ellis attaches great importance to the impact of risks and opportunities related to innovative research and development on the company's operations and development, and incorporates them into the company's overall risk management process. By reviewing changes in the internal and external environments, we systematically identify and evaluate relevant risks and opportunities, and formulate corresponding response strategies and work plans for high-risk areas to ensure the smooth advancement of innovative R&D activities and provide strong support for the sustainable development of the enterprise. For details on the risk management system of Ellis, please see As of the end of the reporting period, the company's R&D team had a total of 280 people, including:

Section [1.3.3 Risk Management].

112 masters, 29 doctoral students, accounting for more than 50%

Metrics and Goals

The company's core R&D personnel have profound academic accumulation. They have led or participated in a number of national scientific research funds and major new drug creation projects, and have a number of invention patents. R&D Team Ailes regularly tracks the implementation progress of the R&D innovation strategy, and promptly communicates R&D progress, phased results, and goal achievement trends to internal and external stakeholders. The team's technical knowledge structure is reasonable, and its professional fields cover all aspects of new drug R&D, including new drug R&D and management teams, clinical trials and management teams, industrialization pilot phase reviews, and dynamic optimization of R&D strategies.

And production management team, quality research and management team, strategic development and patent management team, domestic and foreign new drug registration management team, etc. In addition, the company actively introduces domestic

Internationally advanced instruments, including protein analysis instruments, cell sorting instruments, analysis and purification instruments including high-performance liquid phase systems, AKTA protein chromatography purification instruments, and high resolution

High-resolution mass spectrometry, high-resolution nuclear magnetic resonance, etc., to create precise and efficient experimental conditions for researchers. The teams collaborate efficiently to form an organically linked R&D system.

This effectively ensures the efficient advancement of research and development work.

Goals and completion status

In order to ensure the stability and enthusiasm of R&D talents and create a good R&D environment, the company has established a diversified innovation incentive mechanism, such as providing incentives for management and core employees.

Implement equity incentives to effectively stimulate the innovation vitality of the team. In terms of improving professional capabilities, the company adopts a training model that combines online and offline to support the R&D team to maintain continuous

Continue to follow up on cutting-edge progress, strengthen professional quality, and continuously consolidate overall R&D strength.

Continue to increase investment in research and development, and further during the reporting period:

The company actively responds to industry and local talent development strategies, accurately studies and actively seeks policy support from government talent plans and scientific research projects. We work with multiple government departments to further improve the core technology platform and actively strive to

・The company invested RMB 539.7308 million in R&D, and R&D investment accounted for 10.40% of operating income. Establish a regular communication mechanism to ensure a smooth application path for talent plan projects. In 2025, the company has applied for a number of key talent projects, covering overseas talents, high-level exploration of existing products in indications

Hi-level talents, young talents, urgently needed talents, etc., it has successively assisted many core R&D talents to participate in the application, and obtained multiple talent subsidies and incentives from the government, effectively mobilizing the potential of human development and constantly enriching ・During the reporting period, the company submitted to CDE the enthusiasm for the second-line treatment of NSCLC with fumetinib EGFR exon 20 insertion mutation. Rich pipeline reserves under development. NDA application for therapeutic indications and was approved in February 2026.

In 2025, the company will help innovative talents obtain multiple government talent subsidies and incentives.

Strengthen forward-looking research and development capabilities and maintain

Continue to develop world-first (FIC) drugs. The company has enriched its product pipeline and built coverage through independent research and development and external cooperation. It has gradually expanded into multiple treatment areas such as KRAS G12C inhibitors, SHP2 inhibitors, EGFR C797S resistance mutation inhibitors and other diseases, forming a differentiated reserve matrix of candidate drugs.

product matrix.

Through international layout, the company further actively promotes the internationalization process of fumetinib and cooperates with ArriVent in the United States to expand its sales in the United States and

Opening up room for growth of fumetinib. A number of clinical studies have been carried out in Japan, Europe and other places to promote the approval of fumetinib overseas.

46 47 Ellis 2025 Sustainability Report Governance as the basis, responsibility first, innovation to go forward, benefiting the people, quality first, patients first, cohesion, sharing value, environmental responsibility, development symbiosis

2.2 Technology cares for life and smoothes ethical supervision

Establish a normalized ethical communication channel. Subjects can feedback their appeals and questions to the ethics committee at any time to protect their rights of expression and supervision and ensure the entire trial process.

Be ethical.

Ellis is committed to creating a scientific and safe clinical trial environment. By constructing standard operating procedures (SOP) in the field of clinical trials, it has clarified the coverage of clinical trials.

・Ensure transparent feedback

System standards for the entire process of clinical trials to ensure that all links are compliant and controllable, the process is unified, and the responsibility to protect the rights and interests of subjects is actively fulfilled.

It is clear that subjects can consult the research team about their health status and trial progress at any time during the trial; it also stipulates that the research team must regularly feedback necessary health information

(such as inspection results) to achieve timely and transparent two-way communication.

Protection of subjects’ rights and interests

Through a complete rights protection system, Ellis has implemented measures to protect the rights and interests of subjects, including clinical risk control, data and privacy protection, and protection of the right to know.

Subject medication safety

facilities to ensure that every subject is fully respected, protected and cared for during the trial process.

Ellis attaches great importance to the drug safety of clinical trial subjects. The company strictly abides by the "Drug Administration Law of the People's Republic of China", "Drug Registration Management Measures" and other regulatory requirements, and formulates internal policies, standard operating procedures and work guidance to ensure compliance throughout the entire medication process. In the protocol for the management and use of experimental drugs, the company

Clinical trial risk control

The storage conditions, distribution process, usage, dosage adjustment principles, and handling of missed or multiple doses of the tested drugs are all clearly defined to ensure that the medication process is safe and controllable, information is traceable, and medical intervention can be quickly taken when drug-related risks arise.

・Strengthen the allocation of medical resources

We formulate and strictly implement a medical resource and safety plan, clarifying the responsible doctors, necessary examination items, and emergency medical treatment that must be provided during the trial.

Equipment and first aid resources that can be quickly called to ensure that various medical needs of subjects are met.

Clinical safety culture construction

・Standardize the handling of adverse events

For adverse reactions that may occur during the trial, we explain the types in detail in advance and formulate a hierarchical treatment plan, clarifying the processing path, division of responsibilities and regulations. To ensure the compliance and standardization of clinical trials, Ellis strictly stipulates a response time limit for all internal employees and external partners (such as medical researchers) involved in clinical trials. Once a special health risk occurs, medical staff will initiate clinical first aid and intervention measures as soon as possible to ensure that subjects complete 100% of the special training on Good Clinical Practice (GCP) for drug clinical trials under any circumstances and pass the assessment. At the same time, we have established a training file management system to collect and provide timely and standardized medical support. Archive relevant training certificates to ensure that personnel qualifications are traceable and verifiable.

We regularly organize and carry out clinical trial-related training covering a wide range and in various forms, and continue to strengthen the ethical awareness and professional skills of the clinical execution team. The scope of the training covers all employees in the clinical operations department, as well as more than a thousand external researchers from hundreds of cooperative research centers across the country. During the reporting period, Ellis organized more than 100 special trainings of various types, with a total training time of more than 120 hours. The training content focuses on the standardized operation process of clinical trials, clinical safety management, responsibility awareness and ethics, and the construction of a full-process information management mechanism to improve literacy, aiming to build a solid professional philosophy of "compliance first, responsibility first" through systematic and normalized education and training.

From test file design, data collection to storage, private information encryption and hierarchical access rights control are strictly implemented to prevent unauthorized access or leakage.

Ensure the confidentiality of subjects’ personal information and medical data. All subject data are recorded, saved and backed up in accordance with security regulations to achieve data transformation

The entire process is traceable.

Protection of the right to know

・ Implement informed consent

During the informed consent stage, professional medical staff used the "layered explanation + one-on-one Q&A" model to clearly explain the trial plan, potential risks, and rights protection.

measures and participation procedures to ensure that subjects fully understand and make independent decisions. At the same time, the benefits, risks and related rights and interests of the trial are fully disclosed through the "Information Notice".

If the experimental drug information or risk-benefit characteristics change, the company will promptly revise the document and organize all subjects to re-sign to ensure information synchronization and selection.

The right remains valid.

Clinical Operations Department Staff Training

48 49 Ellis 2025 Sustainability Report Governance is the foundation, responsibility comes first, innovation goes far, benefiting the people, quality comes first, patients come first, work together, share values, be responsible for the environment, develop symbiotically

2.3 Industry co-construction and development Case 2: Ailisi teamed up with Sina Aiwen Doctor to carry out the “AiRebirth” science popularization lecture

On November 17, 2025, on the occasion of International Lung Cancer Day, Ellis launched the "iRebirth" science popularization lecture event, specially inviting Shanghai Ellis affiliated to Tongji University to adhere to the concept of open collaboration and maintain close communication with upstream and downstream partners, scientific research institutions and regulatory authorities to promote the prosperity of the pharmaceutical industry. Professor Zhang Jie from the Oncology Department of the Municipal Pulmonary Hospital and Professor Zhang Yong from the Lung Cancer and Interventional Subspecialty of the Respiratory Department of Zhongshan Hospital, Fudan University jointly faced patients and the public.

Conduct online popular science lectures. The two experts focused on the latest progress in lung cancer treatment, especially hot topics such as KRAS targeted therapy, combined with clinical practice and development, actively participated in industry discussions, shared practical experience, and actively joined industry associations, forums and academic exchanges to promote technological interaction and accelerate innovation.

Provide in-depth explanations on the cutting-edge of scientific research, and provide professional answers to issues of public concern to help the public improve their understanding of standardized treatment and scientific prevention of lung cancer and share and transform new results. We firmly believe that rational competition, complementary advantages and shared responsibilities can build a vigorous industry ecosystem, and we look forward to joining hands with more partners in the future.

Knowledge level. As of the end of the reporting period, we had carried out a total of 6 “iResearch New Life” science lectures. Seize opportunities in openness, create a future through collaboration, and write a new chapter in the development of the industry together.

Case 1: Ellis holds the “AI YOUNG Forum”

In the context of the deep integration of innovation in the pharmaceutical industry and clinical research capacity building, Ellis launched the "AI YOUNG Forum" for young and middle-aged doctors.

It aims to systematically solve the common dilemma of "rich clinical experience but insufficient scientific research output". The forum established a tripartite “industry-publishing-clinical”

A unique empowerment platform, through full-process methodological training covering clinical research design, data integration, paper writing and publication, and combined with lung cancer and other important

In-depth interpretation of the latest progress and treatment strategies in the field of major diseases, and effectively strengthen the connection between scientific research and clinical practice. Each event invites experts in the field to attend

Clinical experts participate in the guidance to ensure the scientificity and practicality of the content, and promote cross-institutional and cross-regional academic exchanges. The forum takes the form of a nationwide tour

The continuous development has effectively improved the scientific research literacy and achievement transformation capabilities of the target group of doctors, and has prepared a future with both clinical and scientific research potential for the industry.

Talent; at the same time, it promotes an efficient cycle between clinical experience, cutting-edge results and academic standards, and accelerates the dissemination and application of valuable clinical discoveries. pass

Through the diverse participation of enterprises, publishing institutions, clinical experts and medical units, the forum has built an open, collaborative and win-win academic development ecosystem.

Promote academic progress and sustainable development in the pharmaceutical industry. As of the end of the reporting period, we had carried out a total of 60 "AI YOUNG Forum" activities.

"iResearch New Life" popular science lecture

"AI YOUNG" forum

50 51 Ellis 2025 Annual Sustainability Report Governance as the basis, responsibility first, innovation for the long-term, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

Case 3: Ellis participated in the discussion of the 12th Jiaotong University Global Alumni Innovation and Development Forum "Thinking from the Origin, Creating the Future Together" Case 4: Ellis participated in the 2nd Clinical Research and Drug Innovation and Development Conference

On October 31, 2025, at the 2nd Clinical Research and Drug Innovation and Development with the theme of "Collaborative Innovation, Leading the High-Quality Development of Clinical Research", Mr. Huang Chen, the deputy general manager of Shanghai Alys Pharmaceutical Technology Co., Ltd., participated in the core theme discussion as an invited guest. At this Shanghai Jiao Tong Conference, Mr. Hu Jie, Vice Chairman of Ellis Pharmaceuticals, delivered an important sharing as a representative of business leaders. He deeply participated in this high-level forum supported by DIA China and co-sponsored by the Tong University Biomedicine Alumni Association and the School of Life Science and Technology. It brought together elite schools from academia, industry and investment circles to host a high-level industry dialogue hosted by Shanghai Chest Hospital.

Friends, we will conduct in-depth exchanges focusing on key issues such as policy, technology, market and overseas expansion in the field of biomedicine.

This conference brought together top experts in the fields of clinical research and pharmaceutical innovation, focusing on core issues such as the globalization of China's innovative drugs and high-quality clinical development. During the discussion, the guests at the conference deeply analyzed practical challenges such as medical insurance access and market strategies, and jointly emphasized the theme of "true innovation" and "clinical value." Based on the innovative practices of Alex Pharmaceuticals, Vice Chairman Hu Jie systematically shared the exploration and thinking of domestic innovative pharmaceutical companies on their growth paths, which plays a key role in the long-term development of the company. Mr. Huang's attendance and sharing of views not only reflected Ellis's close attention to the cutting-edge trends in the industry and its in-depth interpretation of the company's practical experience in the macro perspective of industry development, but also contributed to the conference valuable insights that combine the characteristics of Ellis and the universality of the industry. He also proactively placed himself in the core circle of industrial dialogue and discussed development paths with representatives from all walks of life, demonstrating Ellis's active integration into the industry ecology and promotion of experience.

A strong willingness to deeply integrate chattel, academia and research and a high degree of industry participation.

This in-depth participation further strengthens the influence of Ellis in the industry and academia, echoing the conference's goal of building an open and collaborative innovation ecosystem. As a concentrated display of the influence of Jiaotong University alumni, this forum also builds a high-value dialogue platform for policy, scientific research, industry and capital. The purpose demonstrates the company's high sense of participation and leadership in the new stage of China's pharmaceutical innovation.

Through active participation in such high-end forums, Alex Pharmaceuticals continues to strengthen its ability to connect innovative resources and gain insights into industry trends, demonstrating the company's help

It strives to achieve high-quality development of the industry and a corporate image that aims to make a difference in the global innovation landscape.

"Opportunities and Challenges of Innovative Drugs in the Chinese Market under the New Situation" roundtable discussion shared by Mr. Hu Jie, Vice Chairman of Alex

5522 5533 Ellis 2025 Sustainability Report Governance is the foundation, responsibility comes first, innovation leads to the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

strategy

Quality first, patients first

Ellis has always regarded ensuring product quality and safety as the foundation for protecting patients' lives and health and promoting the steady development of the enterprise. In order to continuously strengthen quality management capabilities and ensure the comprehensive implementation of various management measures, the company has carried out systematic product quality and safety risk identification and assessment work. By clarifying the potential impact of relevant risks on business operations and financial performance, the company formulated and implemented differentiated management strategies to ensure that risks were controllable. in the risk assessment system

3.1 Product quality and safety

, the company defines the impact faced within 1 year as short-term, 2 to 3 years as medium-term, and more than 3 years as long-term.

governance

Potential risk identification and assessment

▪ As a pharmaceutical company integrating R&D, production and sales, Ailes always adheres to the principle of quality first and strictly abides by the Drug Control Regulations of the People's Republic of China.

Risk Risk Description Time Frame Business Impact Financial Impact

"Good Manufacturing Practice for Drugs", "Good Manufacturing Practice for Drugs", "Good Manufacturing Practice for Non-clinical Drug Research", "Good Clinical Practice for Drugs" and "Good Manufacturing Practice for Drugs"

"Good Quality Management Practices" and relevant regulatory requirements of the International Council for Harmonization of Technical Requirements for Pharmaceuticals for Human Use (ICH). In order to ensure compliance operations, the company has established a complete

As production capacity expands, supply chains become complex

We have a sound regulatory dynamic monitoring mechanism, regularly carry out the identification and update of laws and regulations related to product quality and safety, and timely organize relevant departments to carry out special topics.

The degree of production deviation, quality control training and gap analysis are increasing day by day. At the same time, the company continues to promote the revision of internal quality management systems and procedural documents, promote the effective implementation of various regulatory requirements, and reduce operating income. Errors in quality management and supply of production suppliers may cause the supply chain to standardize the R&D, production and sales processes to ensure the reliability of drug R&D data. Cash inflow reduces supply-side quality management, supply capacity, safety and environmental protection requirements are gradually interrupted, and revenue declines

and drug safety challenges are increasing

Focusing on the five major risk factors of "people, machines, materials, laws and environment", the company has built a full life cycle quality management covering drugs from research and development, production to post-market pharmacovigilance.

system. Within this framework, the company has developed and implemented policies covering pharmaceutical research, supplier management, warehousing, transportation, production, quality assurance, quality control and drug launch.

Management documents (SMP), operating documents (SOP) and technical documents (STP) for post-risk management and other aspects. In 2025, the company will continue to improve system construction and add new

With the continuous expansion of indications and production, if production deviations occur, quality control and revision of multiple management documents including the "Quality Manual" and "Quality Risk Management Procedures" will further enhance the scientificity and enforceability of the quality management system.

The expansion of the scale of reduction in operating income and errors in quality control and pharmaceutical manufacturing may lead to product recalls.

Cash inflow reduces the pressure on quality control and product safety at the production end, and revenue may decline.

and drug safety challenges

big risk factors

people ring

Identification and evaluation of potential opportunities

machine method

Opportunity Opportunity description Time frame Business impact Financial impact data

With a complete quality management system and on this basis, Ellis has built a quality governance structure with clear rights and responsibilities, collaboration and efficiency, and formed a quality management committee led by senior managers to coordinate decision-making and

and good reputation in the industry, Zailin's excellent product quality will continue to strengthen short, medium and

A governance system in which quality and production departments run in parallel and functional departments are deeply empowered. The company has established a decision-making mechanism under the direct leadership of the person in charge of the company, and the deputy general manager in charge

Bed guide recommendations, doctors' prescription opinions, business income increase managers, quality managers, and production managers jointly implement the main responsibility for quality and safety. Excellent quality management level, corporate reputation and product reputation, long-term

Willingness and patient selection can become a differentiated competitive advantage

Many advantages

56 57 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

Quality system management

On the supply side, the company has established a supplier management system that is compatible with product risks and incorporates supply chain quality risks into a systematic management system.

Graded supplier access and double release review system

According to the degree of impact of materials on product quality, the company implements hierarchical management and access to suppliers, and establishes a qualified supplier database to ensure that the company purchases materials. It has established a dual QA and QC review mechanism for holders, and implements QA and QC dual release review at both the factory release and market release stages. The quality of the company's capital and services meets the company's requirements. The release data, maps and original records of raw materials and preparations provided by the trustee will be reviewed batch by batch. Only after confirming that the process is compliant and the results meet the standards can the release data, maps and original records be reviewed batch by batch.

Release notices can be issued and put on the market.

Core supplier management

Internal and external audit

Sign long-term cooperation agreements and quality agreements with the trustee and key material suppliers to clarify the responsibilities of both parties in production, inspection, deviation handling, etc.

Ensure that key materials such as active pharmaceutical ingredients (APIs) are sourced in compliance and quality controlled. Ellis has established a multi-dimensional quality audit and monitoring mechanism to ensure the integrity and effectiveness of the quality management system through external regulatory inspections, internal system self-audits and in-depth audits of partners.

Supplier audit Internal quality system audit

For trustees and key material suppliers, the company usually conducts comprehensive audits at least once a year; if major quality problems occur in suppliers or production processes, in order to comprehensively evaluate the effectiveness of the quality management system, the company regularly organizes internal audits covering the entire process. In 2025, if the company implements a cumulative change in drug production quality, it will initiate a temporary or special audit in a timely manner. The scope of the audit covers key links such as material procurement, inbound and outbound management, and quality inspection. A comprehensive internal review of the management system was carried out, and two special quality audits were conducted focusing on the performance of the quality manager's duties and the operation of the new product launch system.

The scope of this internal audit covers key aspects such as organization and personnel management, quality document system, training and health management, computerized system verification (CSV), as well as on-site supervision, process verification, stability research, deviation and change control in entrusted production activities, achieving a systematic verification of the entire process of production quality management. The audit did not find that on the production side, for the holder (MAH) model, the company implements full-process and in-depth closed-loop supervision of the entrusted production units to ensure that production activities continue to meet quality standards.

For major defects, the company has formulated rectification measures one by one for relevant issues and implemented them all, effectively improving the operation level of the quality system.

Quantity standard.

At the same time, the company simultaneously carried out internal audits of the pharmaceutical operation quality management system, focusing on inspections of operational links such as allocation management, market access, after-sales management and third-party logistics quality management. No major deficiencies were found in the audit, and the company has completed the closed-loop rectification work.

Quality control of entrusted production process

The entrusted production unit must organize production after passing process verification to ensure that all materials used and intermediate products produced by each process step are in compliance with regulations. Entrusted manufacturers and suppliers to audit

Set standards to ensure that the finished product test results meet the specified quality standards.

For the entrusted production model, the company implements strict quality access management and continuous auditing of partners in all aspects of the supply chain. In 2025, for key suppliers of production materials, the company completed quality audits on 28 suppliers, covering 3 entrusted preparation manufacturing companies, 13 API and excipient suppliers, and 12 starting material suppliers and related service institutions.

Collaborative investigation of quality deviations

This audit focused on supplier quality system certification qualifications, operating status of factory facilities and public systems, key equipment confirmation and maintenance management, material incoming and outgoing, and investigation of deviations and handling of out-of-expected results (OOX) caused by the company's in-depth participation in the entrusted production process. It ensured that all quality events were scientifically evaluated and systematically verified in core aspects such as inspection records, production process execution, and batch production record management. The audit results showed that none of the audited suppliers was found to be major and closed down, preventing the flow of substandard products from the source to the market. defect.

In response to the general issues identified during the audit process, each supplier has submitted rectification reports as required. After review and confirmation by the company, the relevant rectification measures are in compliance with the requirements of quality management standards, and the overall supply chain is in a safe and controlled state.

58 59 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

External supervision inspection and response quality control process

The company actively cooperates with regulatory authorities to carry out various supervision and inspections and uses them as an important basis for external verification of the compliance of the quality management system. The company continues to accept the establishment of a quality control system covering the entire life cycle of drugs after the launch of the drug, focusing on the material entry inspection of the entrusted production enterprise, commercial product release inspection, regular external audits and irregular quality unannounced inspections organized by administrative departments at all levels in the place of reference materials. The audit covers major major products such as fumetinib mesylate tablets and glialexet citrate tablets. In key aspects such as continuous calibration and stability studies, systematic and standardized quality control management is implemented to ensure that marketed products continue to comply with registration standards and pharmacopoeia regulations for marketed varieties. During the reporting period, we accepted supervision and random inspections by the Shanghai Inspection Bureau, rectified the discovered problems one by one and formed a rectification report to promote quality management work to meet the requirements.

Continue to improve.

The company has established a strict material acceptance and testing mechanism. All raw materials, auxiliary materials, and packaging materials must be inspected according to the requirements before being put into storage.

Material entry inspection and review

Quality culture construction

Registration standards and internal control standards are tested in batches to ensure source quality is controllable. The test results are double-checked by the QA and QC of the entrusted production company and the QA and QC of Ailes. Only after they are qualified can the warehousing procedures be processed. Ailes is committed to creating a perfect quality management culture and integrating the quality concept into every link. The company has established a systematic job training matrix to continuously enhance the quality of all employees.

production use.

Quality awareness, training covers all product and quality-related functional employees.

In 2025, according to the relevant requirements of GMP, Ellis carried out quality training for relevant personnel involved in the production management and quality management of clinical drugs and commercial drugs.

A total of 330 training sessions were held throughout the year, with a total training time of 4,985 person-hours. Each batch of commercial products must complete all required quality inspections before leaving the factory. Test data and original records are provided by

Commercial product release testing

It is completed by the QC personnel of the entrusted production enterprise, reviewed by the QA personnel, and double-checked by Ellis QA and QC. Only 109 employees are covered. The quality training GMP system employee coverage rate reaches 100%. Only on the premise that the deviation is closed, the results are qualified, and the records are complete, Ellis QA can issue a release notice and allow the product to be put on the market.

The pharmaceutical business conducts 3 pre-job trainings and 15 continuing trainings throughout the year. The training targets include positions related to the company’s circulation stage and pharmaceutical business quality management, including quality

Involved personnel from the Assurance Department, Finance Department, Market Access Department, Information Systems Department, Human Resources Department and other departments.

In order to ensure the accuracy and traceability of test results, the company has established a reference substance management system to control all materials used for quality control.

Continuous calibration and management of reference materials

The training content includes: Strict calibration, re-standardization and periodic verification of working reference materials for quantitative testing. For reference substances that are used for the first time, comprehensive calibration such as purity, content, and structure confirmation will be carried out; for reference substances that have been used, re-standardization will be carried out according to the annual plan to ensure that they continue to meet the use requirements during the validity period.

Publicity and interpretation of internal and external systems, on-the-job operating procedure training, and pre-job training on pharmaceutical operations

Strengthen employees' compliance with the company's applicable laws and regulations, including on-site supervision regulations of trustees, including laws and regulations related to pharmaceutical operations.

Regulations, quality management system related systems, analytical method transfer and verification, analytical regulations, professional knowledge and skills, quality

The company conducts long-term and accelerated stability research on all marketed products in accordance with regulatory requirements, and regularly obtains and analyzes relevant job operating specifications according to the annual plan, including management systems, job responsibilities and operational standards, stability research and quality trend analysis

Sample testing is carried out to continuously track the quality change trend of products under storage conditions. In response to abnormal fluctuations or trend deviations, ensure that processes and product quality standards, procedures, etc. are implemented at work to ensure the circulation and management of medicines.

separation, initiate deviation investigation and risk assessment in a timely manner, and adopt process optimization or post-market change control measures when necessary. The requirements are highly consistent. Strengthen operational standardization and consistency. Employees in the operation process are familiar with and strictly follow

Implement measures to ensure that product quality remains stable and controllable.

quality requirements.

60 61 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, symbiotic development

Quality Analysis R&D Platform

Quality control and testing platform construction

Quality analysis research and development is the company's technological outpost to ensure product quality consistency and advancement. In the stages of new drug research and development, process optimization, and technology transfer, the company is guided by quality

Ellis has always regarded quality as the lifeline of corporate development, and continues to invest in the construction of high-standard quality control infrastructure. Through iterative upgrades of hardware facilities and in-depth intervention of the computerized department analysis team, it ensures scientific analysis methods, reliable data, and advanced standards.

System in-depth verification forms a two-way drive. Relying on sophisticated testing methods and rigorous data management processes, we ensure the scientificity, accuracy and reliability of drug testing results from the source, and build a solid technical defense line for patient drug safety. The Quality Control Department (QC) is the core execution unit of the company's post-market product quality testing and data management. Development and verification of departmental analysis methods: Continuously improve testing capabilities and operational efficiency around personnel capacity building, instrument and equipment management, testing process specifications, and data integrity assurance.

During the new drug research and development stage, the quality analysis team simultaneously carries out analytical method development and optimization work to ensure that the methods have good specificity, sensitivity, and accuracy.

Laboratory construction and instrument management

performance and durability. Before technology is transferred to the QC laboratory, complete method verification or transfer confirmation to ensure that the method has good performance among different laboratories.

reproducibility and applicability.

In 2025, the company will build a new quality control laboratory of approximately 1,100 square meters, equipped with advanced instruments and equipment such as HPLC, GC, XRPD, PSD, automatic sampling dissolution apparatus, and stability test chambers. All key instruments have completed computerized system verification (CSV), and a strict maintenance and period verification mechanism has been established. Crystal form and impurity control research ensures that the equipment is always under control.

For small molecule drugs, the company has established a quality analysis and research and development system with crystal form and impurities as the core.

Personnel training and competency certification

Technology transfer and knowledge transfer

All members of the QC team have completed annual theoretical and practical training, covering analysis method operation, instrument use and maintenance, data integrity management, interpretation of regulatory updates, etc. New employees must pass the pre-job assessment before they can take up their posts independently. Key position personnel regularly participate in competency comparisons and external training to ensure that testing operation specifications and data are transformed from R&D results to production. The quality analysis team works closely with QC, production, process and other departments to carry out method transfer, process verification, cleaning, etc.

Accurate.

Technical activities such as cleaning verification are carried out to ensure that quality standards and testing capabilities are implemented simultaneously. During the transfer process, all original data, maps, method parameters, etc. are realized

Complete archiving and traceability management.

Testing process and data management

Case: Polymorph control improves drug quality controllability The department has established a full-process SOP system covering sample receipt, test execution, data review, and report issuance. All test records and maps are archived electronically or on paper to ensure that the data is authentic, complete and traceable.

In the quality standards of Glecirasib Citrate, polymorph control is listed as a critical quality attribute for 6 free base crystal forms.

(Form 2, 4, 7, 10, 11, 16) Conduct strict qualitative testing and set clear detection limits and limit requirements. This innovative crystal form control standard

The accuracy reflects the high requirements for the consistency of raw materials and is advanced and exemplary in the quality standards of small molecule drugs. External testing cooperation and management

Ellis analyzes the characteristic peaks of each crystal form through X-ray powder diffraction (XRPD), and combines high sensitivity and high resolution instruments to achieve reliable identification of low-content crystal forms

Rely on identification to ensure the physical stability of drugs during production and storage. This method not only improves the controllability of drug quality, but also provides a better solution for the preparation process. For some testing items or phased testing needs, the company entrusts qualified third-party testing institutions to provide testing services. The QC department is responsible for ensuring the consistency of the crystal form under inspection to avoid the impact of crystal form changes on product performance. At the same time, it provides technical templates for crystal form control of domestic small molecule drugs and promotes the qualification review, method confirmation, data review and on-site audit of testing institutions to ensure that external testing results are accurate and reliable, and the testing process is compliant and controllable.

The quality control level of the industry has been improved.

62 63 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

For the entrusted production model, the Quality Control Department implements full-process supervision and management of the QC laboratory of the entrusted production enterprise to ensure that its testing activities comply with the holder's quality standards and

Impact, risk and opportunity management

GMP requirements:

Inspection data and record review Ellis has deeply integrated quality management into the company's overall risk control system, and continues to strengthen the strategic impact of quality risks and opportunities on operational development. By optimizing the quality management mechanism, the company systematically identifies and evaluates quality risks, and formulates special management measures and action plans for high-risk areas to ensure product safety and compliance operations and consolidate the company's quality foundation. For details on the relevant content of the Ellis risk management system, please refer to the section [1.3.3 Risk Management]. The QC department independently reviews the excipients, APIs and preparation release data, test patterns, and original records provided by the trustee batch by batch to confirm that the testing process is in compliance with the requirements.

regulations and accurate results.

Trustee QC laboratory audit

Metrics and Goals

Regularly conduct on-site audits of QC laboratories of entrusted production companies, focusing on verification and maintenance of instruments and equipment, standard product management, implementation of testing methods, and data

Ellis incorporates quality and safety goals into the performance management of all employees, coordinated by the Quality Assurance Department, and formulated at the beginning of each year based on the company's strategy to cover product compliance, production integrity control, etc.

Annual goals in terms of product quality monitoring, process processing efficiency, and core product production capacity assurance. These indicators are broken down into various positions, covering management and all employees, ensuring that all employees share quality responsibility.

Test method transfer and validation

The performance appraisal is divided into two times, mid-year and year-end, accounting for 40% and 60% respectively. It is divided into four levels according to overfulfillment, 100% completion, meeting expectations, and not meeting expectations. In the new product technology transfer stage, the QC team leads the transfer and confirmation of analytical methods to the trustee laboratory, and is linked to comparative tests, method verification, and party salary incentives to promote the implementation of quality goals.

Method validation and other methods are used to ensure that the test results of the method between different laboratories are consistent and reliable.

Key Performance Indicators 2025 Target Achievement Status

Stability research collaborative management

The number of recalls due to product quality issues is 0. Achieved. For entrusted products, the QC department reviews and approves the stability research plan, and the entrusted QC laboratory conducts sample testing as planned. The company regularly receives

Collect testing data and conduct trend analysis to ensure stable and controllable product quality within the validity period.

Product qualification rate 100% achieved

Changes, deviations, corrective and preventive actions during the reporting period

≥ 90% achieved (CAPA) and timely complaint handling rate

The company continues to strengthen the quality management of entrusted production enterprises, and has established and implemented a multi-dimensional and normalized quality supervision system. For the trustee, by embedding

Comprehensive QC inspections including production audits and high-frequency quarterly on-site supervision realize continuous closed-loop management of quality control (QC) activities. This year, at least 3 million boxes of Vometinib Mesylate Tablets were released. Relevant inspections and supervision were completed and no major quality defects were found, effectively ensuring the stable operation of the product quality system.

Number of major deficiencies in external audit Major deficiencies ≤ 3 Achieved

64 65 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

3.2 Pharmacovigilance

Pharmacovigilance training

Ellis is well aware that drug safety is the red line for creating new drugs, and it is also the key to protecting patients' lives and health. The company formulates and implements the "Products Due to Adverse Reactions"

In 2025, Ellis will launch pharmacovigilance training, covering internal employees, outsourced personnel, wiring and sales positions. The training includes annual regular training, internal systems such as the "Standard Procedure for Recalls" and "Drug Recall Management Procedures" to ensure that relevant work is carried out in compliance.

Special training for onboarding and new project launches, and differentiated training based on the characteristics of different job responsibilities, to ensure that all types of personnel fully understand and master pharmacovigilance-related regulatory requirements and job specifications.

▪ For the back-end assurance team: focus on checking the accuracy of received information and ensuring smooth channels to ensure that adverse reaction information enters the drug as soon as possible

Pharmacovigilance management process

Alert management system.

▪ For sales teams: deeply embed pharmacovigilance knowledge into their on-the-job training so that they can effectively collect and provide feedback on patients’ actual medication use. The company has established a safety management system covering the entire life cycle of drugs. The safety committee reviews and is responsible for post-marketing safety monitoring and adverse reaction management.

The clinical research and development department strictly controls the risk assessment and quality control of pre-market clinical trials. By building a hotline covering pharmaceutical packaging, WeChat public accounts, and public

We have diversified information collection channels including feedback from the company's front desk and the National Adverse Reaction Center. The company has established a system covering the reception, evaluation and supervision of adverse reaction information.

Pharmacovigilance management process for reporting. Case: Pharmacovigilance annual all-staff training

Alex conducts pharmacovigilance training for all employees every year, covering key process points such as identification and reporting of adverse reaction events, effectively standardizing related work.

During the reporting period

The operation is carried out in compliance with regulations, and the training coverage rate reaches 100%.

The timeliness of the company's regulatory reporting and the completeness of collection through various channels remain above 99%.

product recall

In order to ensure drug quality and medication safety, Ailes conducts pharmaceutical inspections on drugs that need to be recalled due to quality or adverse reactions in accordance with the "Product Recall Management Procedures".

Medicinal period

The whole process of medication management. In order to ensure that recall actions can be initiated promptly when necessary, the company regularly conducts simulated recall drills and evaluates the recall system to ensure product safety.

things wind

ADR monitoring is the most comprehensive way to ensure its effective operation.

police danger

city small sex

quit

Later changes

relationship benefit

new research measures

unified supervision

Study and report

test

Clinical Information Report Case: Drug Recall Simulation Exercise

In 2025, the company carried out a product recall simulation exercise for the newly launched variety Glyracet Citrate Tablets. The scope of the exercise covered a total of 19 customers, including entrusted production companies, storage and transportation units, and simulated dealers. Through the drill, partners further assisted relevant parties to familiarize themselves with the product recall workflow and verify the pharmacovigilance management process.

Improve the company's emergency response and collaborative handling capabilities in emergencies.

During the reporting period

There have been no product recalls due to product quality and safety issues, nor have there been any major safety and quality liability incidents related to products and services.

66 67

Female employees account for ≥40%

Ellis's 2025 Sustainability Report Governance is the foundation, responsibility comes first, innovation leads to the future, benefiting the common people, quality first, patients first, working together, sharing value, environmental responsibility, development symbiosis

Female employees account for ≥40%

Concentrate on sharing value

Diversified development goals

Ellis adheres to the core values of "CARE", regards talents as the foundation of development, continues to improve talent training and organizational management systems, and strives to inspire

to unleash the potential of our employees; at the same time, we integrate integrity, compliance and responsibility throughout our supply chain cooperation, build a stable and sustainable supply chain system with our suppliers, and adhere to

Diversified employee development

We will continue to fulfill our social responsibilities and promote the sustainable development of enterprises and society. The company's employees under 30 years old account for 26.35%, and employees between 30 and 40 years old account for 48.1% of all employees.

58.73%, employees aged 40-50 account for 13.15%, employees aged 50-60

Employees account for 1.67%, and employees over 60 years old account for 0.10%.

4.1 Gather a harmonious team

Under 30 years old 26.35% 30-40 years old 58.73%

Female 48.1%

Ellis insists on compliant employment and diversity and inclusion, continues to improve the training system and career development channels, establishes a performance-oriented incentive mechanism, and pays attention to employees 40-50 years old 13.15%

Male 51.9%

Care, health and safety, we are committed to creating an equal, growing and harmonious working environment and promoting the common development of employees and the company. 50-60 years old 1.67% Over 60 years old 0.10%

Employment Compliance and Diversity

Ethnic minority employees account for 4.1%

Compliant employment

Ellis strictly abides by the "Labor Law of the People's Republic of China", "Labor Contract Law of the People's Republic of China" and other national and local labor and employment laws and regulations, and formulates employee

Minorities 4.1%

It provides 4 job recruitment and other internal systems for people with disabilities, and systematically builds a full-process employment management system covering employee recruitment, onboarding, contract signing, salary and benefits, performance appraisal, promotion and development, and training management.

management system to ensure that all employment practices are legal, fair, equal and transparent. We sign written labor contracts with all employees to clarify the rights and obligations of both parties and resolutely put an end to

Any form of forced labor and child labor shall effectively protect the legitimate rights and interests of workers.

Talent introduction is the key to the company's sustainable development. We adhere to the principles of openness, fairness and impartiality throughout the selection process, and eliminate any form of fraud and favoritism.

Fraud, ensuring the attraction and selection of high-quality talents who meet job requirements and company values. The company widely attracts talents through diversified recruitment channels and introduces them accurately

High-level scientific research talents with international vision and profound R&D background continue to optimize the R&D team structure, enhance the team's professional depth and technological leadership, and provide enterprises with

Long-term high-quality development lays a solid talent foundation.

Equality and Diversity

Ellis is committed to creating a career platform that allows employees to feel at ease, assured and dedicated, making equality and dignity the self-evident foundation of corporate culture. We uphold

Adhering to the principles of equality and inclusion and equal pay for equal work, we protect employees from race, color, gender, religion, nationality, disability, marriage, etc. in terms of job application, salary, promotion, etc.

marital status, veteran status, sexual orientation, gender identity or other legally protected status, and is committed to achieving harmonious coexistence among employees of diverse backgrounds, talents and experiences.

Glory. During the reporting period, the company revised the "Employee Handbook" to further promote the diversified and equal development of employees.

70 71 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation to go forward, benefiting the people, quality first, patients first, cohesion, sharing value, environmental responsibility, development symbiosis

Production operation sequence (example)

training and development

By providing comprehensive training resources, Ellis continues to improve employees' professional capabilities to enhance the company's core competitiveness. At the same time, the company has established a fair and effective performance appraisal system for front-line operators, inspectors, engineers, senior operators, inspectors, engineers, production technicians, quality control, and equipment supervisors, optimized the talent incentive and promotion mechanism, and is committed to attracting and retaining core talents.

Multi-channel career development paths

Employee promotion

performance management

Ellis takes the dynamic needs of job capabilities and the inherent needs of talent growth as dual-dimensional drivers to continuously optimize the employee promotion system and formulate and implement the "Promotion Management Office"

Ellis always adheres to the principles of fairness, justice, openness and scientificity in performance management, continuously optimizes and improves the core method of "setting goals, focusing on processes, and testing results", systematically regulates the entire employee promotion process, and establishes a fair, transparent, and scientific career development mechanism. Through clear qualification standards and multi-dimensional performance evaluation

The three-in-one management system ensures that performance management is highly coordinated with the company's strategic goals, thereby effectively driving business development and helping employees achieve high-quality growth. With each system and fair review process, the company ensures that every employee has equal development opportunities.

In 2017, based on the company's strategy and departmental key goals, all employees set clear and measurable performance goals, and continued to track employees through annual performance appraisals and feedback. On this basis, Ellis continued to improve the multi-channel career development system and established three promotion paths of "management, professionalism, and production operations" to allow employees to evaluate their performance and development potential based on their professional performance. On this basis, direct leaders conduct one-to-one in-depth communication with employees on the evaluation results, provide targeted feedback and improvement suggestions, and choose appropriate directions for further development based on shared strengths and interests. The company provides personalized development planning guidance, capability improvement resources and practice platforms to fully support employees in improving their careers and formulate personalized development plans to effectively support employees' career development. If employees have objections to the assessment results, they can submit an appeal according to the procedures and have their abilities reinstated by the relevant departments. Review and respond to further ensure the fairness and transparency of performance evaluation.

management sequence

Frontline employees, lower management, middle management, senior management

Year-end evaluation goal setting

(December to February of the following year) (January to March)

Professional sequence (example)

Comprehensive evaluation of annual goals, establishment of business goals and value achievement, values and behavioral goals, junior researcher, intermediate researcher, senior researcher, senior researcher

Product (Market) Specialist Product (Market) Manager Product (Market) Senior Manager

Continuous review and feedback

(all year round)

Medical Communication Consultant Senior Medical Communication Consultant Medical Communication Specialist Through quarterly communication and mid-year review

(July-August) Ensure goal execution

performance management system

72 7733 Ellis 2025 Sustainability Report Governance is the foundation, responsibility comes first, innovation leads to the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

Training system

New employee training, professional skills special training, leadership training, Ellis regards employees as the core capital of enterprise development, and always puts talent cultivation at a strategic level. The company has built a systematic and multi-dimensional training system, relying on all employees

Covering special training and personalized development paths, we continue to improve employees' professionalism, professional skills and leadership capabilities. We focus on training content and business needs. New employee training adopts "online self-study. Professional skills training is aimed at different sequences. Leadership development projects are designed to be systematically connected and aimed at stimulating employees' potential through scientific learning mechanisms and providing solid talent support for the company's sustainable growth. + community learning + offline training". The core competency needs of employees, through the improvement of the leadership model of managers at all levels, help new employees quickly understand the practical-oriented learning model, and improve provide leadership capabilities, ensure leadership development and company culture and systems, and help increase their professional contribution. Organizational strategic synergy. Quickly integrate into the team.

With strategy as the guide and culture as the soil,

Build a talent growth ecosystem that supports R&D and innovation

Exclusive learning community for new employees

Leadership development General competency development Professional competency development

We have established an exclusive learning community for new employees, which is operated by the HR organizational development team throughout the entire process. It organizes sharing of useful information, key points exchanges, Q&A interactions, and ice-breaking activities to activate management effectiveness, cultivate a team of leaders, consolidate the professional foundation, and create a base for efficient collaboration. Deepen the depth of expertise and build core competitiveness in R&D.

Activities, etc., help everyone get to know each other across departments, answer questions, and gradually integrate into the workplace through communication.

Professional qualities of middle and senior managers Business professional skills

New drug discovery, CMC, clinical and other serial specialties. Based on the hierarchical and classified training system, Ellis continues to promote talent learning and development. Since 2025, the company has focused on "high performance methodology" and "professional literacy" "Management Golf" and "Reliable": popularized by all employees

Skills are designed and implemented by each department. Special training has been organized and carried out in two key directions, aiming to deeply integrate systemic tools and work habits to effectively improve team execution and output. "Creating a Culture of Responsibility - Advanced" "Review": Teaching on demand

Compliance required courses

"Reliable" demonstration class

Junior and middle managers

Courses required by regulations such as GMP, PV, and EHS,

"Excellent Managers Set Sail" to ensure the bottom line of compliance. During the reporting period, the company held training on the theme of "Reliable - Professional Working Methods in the Workplace" for new employees. This course aims to systematically cultivate employees' "producer" thinking and closed-loop work capabilities. It helps employees work at work by strengthening the closed-loop thinking of goal setting, process execution, result inspection and continuous improvement. * Professional ability training is led by the business department

Make solid progress and timely calibration in each link, and finally deliver complete and reliable work results.

From the second day of employment and throughout the entire probation period,

Covered group: manager-level contributors, key personnel

Covers online self-study, centralized training camps, and offline training

workers, high potential employees

core

New employee training has three progressive stages, taking into account knowledge transfer,

Talent Current plan: Implement "7 Habits" and strengthen

Cultural integration and establishment of management consensus to help

Thinking styles and personal effectiveness

New employees integrate quickly and find they belong.

One-stop digital learning platform

Connect with the company’s talent strategy and serve all employees in research, production and sales

Digital + AI data-driven ・ resource sharing ・ agile response

"Reliable" demonstration class

Ellis talent development system

74 75 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the long-term, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

"Review" special training employee compensation

Ellis's compensation strategy closely focuses on the company's sustainable development goals and systematically integrates salary costs, job values, market benchmarks, personal performance and abilities, and incentives. On March 25, 2025, in response to the company's internal requirements for improving organizational effectiveness and talent echelon construction, we invited external experts to target core managers.

Incentive mechanism and other elements are designed to provide employees with market-competitive remuneration packages. On this basis, the company organized a special training on "Reviewing Technology to Create High-Performance Results" by matching transportation, communications and lunch personnel according to their job characteristics. A total of 25 key members of the clinical operation team participated in this training.

We provide subsidies and diversified salary packages to empower employees’ career growth and effectively enhance their sense of gain and belonging.

Learn the methodology of review technology and implement it into practice. This activity organized a clear improvement process for the team's follow-up work and improved its ability to solve practical problems.

This will lay a solid foundation for the subsequent promotion of review technology throughout the company and the empowerment of all employees. In order to deeply conform to the innovation-driven development strategy of the pharmaceutical industry, the company has always regarded the introduction, encouragement and retention of senior R&D talents as its core priorities. By building a multi-level talent project application and incentive system at the national, municipal and district levels, we will create a support platform covering the entire growth cycle for senior R&D talents, fully stimulate their innovation vitality, drive the company to move forward in the journey of pharmaceutical innovation, and enhance the core competitiveness of the company.

Employee Benefits

Ellis has established a complete employee welfare system with the purpose of improving work happiness, and enhances employees' sense of belonging and gain through multi-level and all-round welfare support.

The company strictly abides by national and local labor laws and regulations and provides statutory benefits to all employees, including basic pension insurance, medical insurance, work-related injury insurance, unemployment insurance, maternity insurance and housing provident fund.

"Review" special training In terms of maternity-related leave, the company strictly implements various national and local regulations on labor protection for male and female employees, fully implements the legal leave system, and also guarantees the various benefits that male and female employees enjoy according to law during the leave: We provide paid maternity leave for female employees and no less than 14 weeks of paid maternity leave; provide male employees with no less than 10 days of paid paternity leave; provide flexible forms of paid breastfeeding leave for lactating female employees; provide a specified number of days of paid parental leave for male and female employees with children under 3 years old at home. This system covers 100% of the company's regular employees, reflecting the company's special care and support for employees during their childbearing period.

In order to support professional capacity building, Ellis has established an external training and professional certificate acquisition support mechanism covering all regular employees. Relevant studies of company-specified skills and certificates

Study and examination fees will be fully reimbursed. Among them, the related fees for the sales team and medical affairs team to participate in Good Clinical Practice (GCP) certification

It is also within the scope of reimbursement. This policy aims to systematically improve the professional capabilities of the core team and ensure that its knowledge system complies with industry standards, thereby providing better support for business operations.

Compliance and professionalism are guaranteed. Provide health examination benefits to all regular employees for early detection and prevention of potential health problems.

During the reporting period

Alex organized a total of trainings. Total training hours. Training hours per capita. Training coverage rate. Training investment. The headquarters has set up a gym equipped with advanced equipment to encourage employees to develop healthy routines and relieve work stress.

Enhance employees' physical fitness, improve work efficiency and team cohesion.

237 times 69,963.42 hours 35.39 hours 100% 1.9181 million yuan

The headquarters restaurant provides nutritious and balanced working meals and overtime meals to reduce employees’ living expenses and ensure that employees

Introduce balanced nutrition, improve eating habits, and enhance body immunity.

Inspiration and care

During important traditional festivals such as the Spring Festival, Mid-Autumn Festival and Dragon Boat Festival, employees will be given annual welfare points to support their own redemption on the platform.

Ellis adopts diversified incentive measures to fully stimulate the potential of talents, and enhances employee satisfaction through an industry-competitive salary system and multiple welfare care.

Exchange rights.

The sense of identity and satisfaction provide solid support for the company to achieve long-term, stable and high-quality development.

employee welfare initiatives

76 77 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

Humanistic Care Traditional Festival Care

The company focuses on creating a warm and dynamic organizational atmosphere in daily work, and conveys sincere gratitude and blessings to employees through carefully planned activities. The company pays attention to the humanistic warmth in the workplace and prepares double surprises for employees on every traditional festival. A beautiful holiday greeting card conveyed through the power of words

Express the company’s sincere gratitude to every partner; the flexible holiday points program supports employees to redeem their rights on the platform independently according to their personal needs. In addition, the company distributed holiday gift boxes for Women's Day activities to help all employees enjoy the holiday atmosphere. Based on the combination of greeting cards and gifts, the company continues to enhance employees’ sense of gain and ensure

Ensure that holiday care measures are implemented.

During the International Women's Day, the company organized holiday care activities and sent holiday greeting cards to each female employee to express their hard work and dedication.

Thanks and blessings for professional contributions. At the same time, the company specially planned flower art experience activities, invited professional flower art teachers to provide on-site guidance, and organized all female employees to participate

Make floral arrangements and feel the beauty of nature and art in a relaxed and pleasant atmosphere. Through this activity, the company further created a warm and caring corporate culture

The atmosphere enhances employees' sense of belonging and happiness, and also reflects the company's continued attention and support for the growth and development of female employees.

Holiday cards and employee gift distribution

Employee communication

Ellis regards employee satisfaction as an important indicator to measure the health of the organization and promote the sustainable development of the enterprise. The company continues to listen to employees’ voices through diversified channels and improves the employee communication and feedback mechanism for Women’s Day employee activities. The company regularly conducts employee satisfaction surveys for all employees to systematically understand employees' overall feelings and feedback on working environment, fair treatment, job matching, salary and benefits, work-life balance and career development. In response to the survey results, the company organized relevant departments to sort out and analyze employee feedback, identify key areas for improvement, and continue to promote the implementation of optimization measures to continuously improve employee work experience and organizational cohesion.

Employee Gym At the same time, the company continues to expand democratic communication channels and holds regular employee representative conferences to fully listen to the opinions and suggestions of employee representatives on corporate development, employee rights protection and management optimization. It also strengthens communication between management and employees through various channels such as suggestion boxes and internal communication platforms, promotes the two-way transmission of information, and creates an open, transparent, and actively interactive organizational atmosphere.

In order to fulfill its commitment to employee well-being, the company established

The gym provides free and convenient fitness facilities.

Promote a healthy lifestyle and create a positive and heart-warming

The working atmosphere ensures the physical and mental health of employees.

In-company gym

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Contractor Safety Management

health and safety

Ellis has incorporated the safety management of construction workers into the company's safety management and control system, always adheres to the principle of "safety first, prevention first", and is committed to creating a unified safety. Ellis strictly abides by the "Production Safety Law of the People's Republic of China", the Law of the People's Republic of China on the Prevention and Control of Occupational Diseases and other national laws and regulations, and always manages the safety environment. We clearly require all contractors and subcontracting units to implement systematic and standardized safety production education and training for their construction personnel, and eliminate labor production as an important guarantee for enterprise development. Relevant safety goals have been set and successfully achieved. The company establishes an occupational health and safety system and implements safety management loopholes that may be caused by differences in occupational health forms to ensure that the safety production responsibility system has no blind spots and is fully connected, thus laying a solid foundation for the company's safe development. health protection measures and in-depth promotion of safety culture promotion, continuously improve the safety awareness and risk prevention and control capabilities of all employees, and build a solid foundation for the high-quality development of the company.

During the reporting period

barrier.

The safety training coverage rate for construction personnel of Ellis Construction Project reaches 100%.

occupational health

Safety training

Annual Occupational Health Check-up

Ellis actively promotes the construction of occupational health and safety culture and continues to improve employees' safety awareness and emergency response capabilities by building a diversified training and activity system. The company regularly organizes fire evacuation and fire-fighting drills to enhance employees' fire response capabilities; it invites safety experts to conduct special trainings to popularize risk prevention and control knowledge; it cooperates with the Red Cross, welfare physical examinations, and annual inspections

Carry out first aid training to improve self-rescue and mutual rescue skills in emergencies; organize employees to visit fire stations for on-the-spot learning to strengthen their awareness of safety responsibilities. In addition, the company also combines occupational health examinations and exit examinations

"Safety Production Month" carries out safety knowledge competitions and conducts special training on the use of occupational health protective equipment to create a good safety culture atmosphere.

Occupational health management measures

Ellis strictly abides by laws and regulations such as the Law of the People's Republic of China on the Prevention and Control of Occupational Diseases, regularly arranges physical examinations for employees at risk of occupational diseases, and provides professional

Vocational training strengthens relevant personnel’s ability to identify occupational hazard risks and prevents potential occupational disease risks.

During the reporting period

The coverage rate of occupational disease physical examination for Ailes employees is 100%, and no cases of occupational diseases have been found.

Red Cross First Aid Training Fire Station Training

During the reporting period

In addition, we hold regular production meetings to discuss safety incidents and safety hazards that occur in the production process.

Conduct risk review to eliminate potential safety risks, effectively prevent risks and eliminate hidden risks.

The company has held 4 production meetings in total.

risk, and build a solid and reliable safety barrier for the sustainable and healthy development of the enterprise.

Hazardous chemicals management

In order to prevent the occurrence of hazardous chemical accidents, the company strictly abides by the "Regulations on the Safety Management of Hazardous Chemicals", "Measures for the Administration of Toxic Drugs for Medical Use" and other relevant national and industry regulations.

Establish and continuously improve the internal chemical safety management system in accordance with relevant laws and regulations. The company has formulated "Chemicals and Gas Cylinder Management Procedures" and "Highly Toxic Chemicals Management Rules" etc.

A series of rules and regulations clarify the responsibilities of each department in chemicals management, covering the entire life cycle management from procurement, storage, use to compliance disposal of waste. Safety Knowledge Contest Fire Evacuation and Fire Fighting Drills

80 81 Ellis 2025 Sustainability Report Governance is the foundation, responsibility comes first, innovation goes far, benefiting the people, quality comes first, patients come first, work together, share values, be responsible for the environment, develop symbiotically

4.2 Join hands with the value chain

Ellis regards a stable supply chain as the core support for promoting sustainable development of enterprises. The company is committed to building an environment of mutual trust, mutual benefit and strategic synergy with its suppliers. During the reporting period,

Long-term partnership, by continuously optimizing the supplier management system, strengthening the quality, efficiency and responsibility awareness of the entire chain, and working together to promote the supply chain

Resilience construction and green transformation jointly achieve high-quality and sustainable value creation.

Ellis has completed quality audits on 28 material suppliers, including quality systems, qualifications, quality inspections, etc., to ensure that suppliers meet the quality standards of Ellis.

Supplier management: The audit covers pharmaceutical preparation entrusted manufacturers, API and excipient suppliers, starting material suppliers and other service providers. No major defects were found in 3 13 12 companies.

Ellis strictly abides by the "Tendering and Bidding Law of the People's Republic of China" and other laws and regulations where it operates, and formulates the "Non-production Procurement and Supplier Management System"

"Material Procurement Management Regulations", "Supplier Management Regulations", "Procurement Integrity Management System" and other internal management systems provide supply chain management with

Normative guidance and basis. All audit findings have been recorded and closed-loop management has been implemented through the tracking mechanism to effectively ensure the quality and safety of the supply chain.

Supplier access

sustainable supply chain

We have established a complete supplier access system. In accordance with the supplier due diligence form, we comprehensively consider supplier qualifications and quality control systems during the access stage.

relationships, cost control and technical capabilities, and consider incorporating ESG performance into the supplier access assessment mechanism to strictly control the comprehensive capabilities of suppliers.

Ellis attaches great importance to the stability of the supply chain and ensures the efficient operation and continuous supply capacity of the supply chain through risk identification, mitigation and emergency mechanisms, and

Continue to improve supplier resilience and optimize procurement costs.

Supplier Management

In order to optimize supply chain management and improve procurement quality and efficiency, Ellis conducts regular evaluation and audit of key suppliers every year. The company has established a team covering R&D,

An evaluation system for all categories of suppliers including CMC, clinical, marketing, production and management, etc., and an evaluation committee composed of professionals from multiple departments. Assessment adopts multi-dimensional index to improve supply resilience

Standard system, including supplier qualification certification, business department satisfaction, price competitiveness, payment terms and other key dimensions. Based on the quantitative scoring results, the company will evaluate the scores

For key products newly approved for marketing, we will regularly evaluate the supplier's supply capacity for 3 to 5 years. If necessary, start a second supply with lower suppliers to make improvement suggestions. Suppliers that refuse improvements or have unqualified continuous evaluation results will be eliminated.

supplier development and transfer work to quickly build diversified supply guarantees.

Supplier quality management

Optimize procurement costs

In order to continuously optimize the supply chain quality management system, Ellis has established a systematic supplier quality audit mechanism. Among them, for production entrusters and key material suppliers

Suppliers must conduct on-site quality audits at least once a year. In response to potential process changes or major quality abnormalities, the company has established a rapid response mechanism that can immediately initiate special supplier audit procedures for materials (especially starting materials) that already have two or more suppliers, including irregular inquiry, bidding or development of high-quality suppliers. For second-tier suppliers, the company continues to strengthen management. If necessary, the company will itself or entrust a third party to promote the continuous optimization of the starting material procurement costs of key products for second-tier suppliers.

audit.

82 83 Ellis 2025 Sustainability Report Governance as the basis, responsibility first, innovation to go forward, benefiting the people, quality first, patients first, cohesion, sharing value, environmental responsibility, development symbiosis

4.3 Build a better society together

Lung cancer public welfare science popularization

Ellis fully supports local development and community construction, focuses on public welfare investment in the medical and health field, and improves diagnosis and treatment knowledge by building an authoritative doctor-patient platform.

In June 2025, in response to the "Healthy China 2030" strategy and to fulfill corporate social responsibilities, Ellis Pharmaceuticals joined hands with Shanghai Xinxin Medical Science and Technology Development Foundation,

Partners such as Ruiyida and Shanghai Pharma Cloud Health jointly held a public welfare science popularization project on lung cancer and the launch event of the "iRebirth Protection Plan" in Shanghai. It’s time to work hard.

The plan is to provide substantial medication benefits and health management support to eligible lung cancer patients through the commercial insurance group insurance model, and explore a new path for high-quality treatment that is sustainable and affordable within the reporting period. The event specially invited authoritative experts from Shanghai Pulmonary Hospital and Shanghai Chest Hospital to carry out science popularization and systematically transfer cutting-edge knowledge on precision treatment of lung cancer and medication management skills. The on-site interaction was lively, which effectively improved the awareness and confidence of patients and their families in standardized treatment. This activity is not only

We have invested a total of RMB 35.6704 million in social welfare fields. The epitome of Alex's fulfillment of social responsibilities also demonstrates the company's belief that in addition to focusing on innovative research and development, it continues to deepen its efforts in patient services and contribute to the construction of a healthy China.

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strategy

Environmental Responsibility and Development Symbiosis

▪ Ellis fully recognizes the systemic risks and transformation opportunities brought about by climate change, and incorporates climate issues into the core considerations of the company's strategy and operational management. The company continues to pay attention to meteorological information, policy guidance and industry development trends, evaluates the potential impact that climate change may have on enterprises, and is committed to using scientific methods to manage related risks and seize emerging opportunities.

5.1 Addressing climate change

▪ In order to systematically advance relevant work, we refer to the framework recommended by the Task Force on Climate-related Financial Disclosures (TCFD) to identify, evaluate and analyze climate-related risks and opportunities, and conduct qualitative and quantitative assessments of their financial and operational impacts. In terms of assessment time dimension, we regard the impact cycle of climate change as a global challenge, which profoundly affects the health, well-being and long-term development of human society, and also brings new challenges to the sustainable operations of enterprises.

One year is considered short-term, 2 to 3 years is considered mid-term, and more than 3 years is considered long-term, thereby establishing a staged and differentiated management response strategy.

challenges. Ellis fully recognizes the importance of addressing climate change, incorporates addressing climate change into the company’s development strategy, and actively responds to the national “Double Plan”

Carbon" goal and continue to promote greenhouse gas control and emission reduction. Greenhouse gas emissions from Ellis are mainly generated in R&D laboratories, product manufacturing,

Daily office electricity heating and waste disposal. We continue to pay attention to carbon footprint management during our operations and target links involving carbon emissions.

Risks, opportunities and impact analysis results

A series of emission reduction measures have been implemented.

Risk Risk Description Time Frame Business Impact

governance

Physical risk-

Floods caused by typhoons and heavy rains caused short-term disruptions to corporate production and operations, causing asset damage. Ellis has established a three-tier governance structure consisting of the board of directors, the board's strategy and ESG committee, management and various functional departments, responsible for supervising and managing acute risks.

For work related to climate change issues, please refer to Chapter [1.2 Sustainable Development Governance] for specific details of the governance structure.

Physical risk-

The average temperature in the area where the operation is located has increased in the long term, and the number of extremely hot days has increased, affecting human health and work efficiency. Chronic risks

Transformation risk - Carbon emission compliance requirements and disclosures are gradually increasing, exceeding

In the medium and long term, it is necessary to invest in energy conservation, emission reduction and greenhouse gas inventory policies, legal risks, and possible penalties for emissions.

Under the requirements of the "double carbon goals", proactively carrying out green operations will require investment in technical transformation funds in the short term, but in the long term, opportunities - technological process upgrades and low-carbon manufacturing transformation, optimizing production into medium and long-term operating costs will continue to be optimized, unit product production costs will be reduced, energy consumption and resource consumption per unit output will be reduced, and market competitiveness will be enhanced with the same innovation quality.

Stakeholders are paying more and more attention to enterprises’ low-carbon development,

Respond to actions in the "dual carbon" strategy, strengthen gas, enhance regulatory agencies' recognition of enterprises, and expand green opportunities - Reputation Medium and long term

Climate management and disclosure can help enterprises obtain interest-aligned financing channels and strengthen their responsible brand image, which is recognized by relevant parties.

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Coping strategies: Establish long-term management mechanism

Ellis has established a systematic management mechanism in response to climate change and adopted differentiated measures for different types of risks: Develop and implement emergency response procedures based on meteorological warnings, organize regular flood prevention drills, continue to consolidate the results of transformation, and achieve normalization and institutionalization of flood prevention management.

In terms of physical risks

Through the implementation of the above-mentioned "assessment-renovation-management" closed-loop measures, we not only upgraded hardware facilities but also improved soft management mechanisms, providing systematic and sustainable solutions for the factory to deal with extreme weather.

・Strengthened early warning and response capabilities for extreme weather, including strengthening meteorological monitoring, tracking weather dynamics, and planning

Special emergency plans for flood prevention and typhoon prevention have been formulated, and emergency drills for flood prevention and typhoon prevention have been carried out regularly;

・Relying on the nationwide dealer network to establish a safety inventory mechanism to ensure that when extreme weather causes logistics interruptions, drugs can still maintain a stable supply;

・ Implement digital temperature monitoring throughout the entire transportation and storage process of pharmaceuticals to prevent the risk of pharmaceutical deterioration due to extreme high temperatures; Risk and opportunity management

・We provide high temperature subsidies to employees during the high temperature season from July to September every year to effectively protect the health of employees.

Ellis has initially established a full-process climate risk management process covering identification, assessment, response and monitoring. Based on the characteristics of its own business layout and operating locations in terms of transformation risks and opportunities, the company continues to track domestic and foreign climate policy trends, industry development trends and other external dynamics, and combines mainstream climate information disclosure frameworks to systematically carry out identification and analysis of climate-related risks and opportunities. Through cross-departmental joint comprehensive assessment of various climate risks and opportunities, clarify their importance ranking and action priority, gradually explore and increase the proportion of renewable energy use through setting energy conservation and emission reduction targets and applying energy conservation and consumption reduction technologies (specific measures)

level, formulate corresponding response measures, monitor their implementation progress, and optimize response strategies in a timely manner based on policies and market trends. The company will use this as a basis (see Chapter [5.2 Energy Management]) and continue to improve the sustainable development information disclosure system to enhance data transparency and management effectiveness.

We will continue to promote the integration of climate risk management processes with existing corporate risk management systems, and further incorporate the assessment of climate-related risks and opportunities into normal management, thereby continuing to enhance the company's climate adaptability and long-term resilience. For details on the relevant content of the Ellis risk management system, please refer to the section [1.3.3 Risk Management].

In order to systematically respond to the risk of flooding that may be caused by heavy rainfall, the company conducted a comprehensive risk assessment of the production plant and surrounding areas. Through data collection, on-site investigation, high-level

Using process measurement and comprehensive demonstration, combined with historical meteorological data analysis, we identified risks such as low-lying terrain, aging drainage pipes, and high river water levels during heavy rainfall in some areas.

point. Based on the assessment results, we defined a flood control upgrade plan with the core goals of building flood control stations and implementing drainage pipeline renovation. As of the end of the reporting period, we had completed

Metrics and Goals

A series of related renovation projects have been carried out:

In order to better guide the company's energy conservation and consumption reduction work, we have set up medium and long-term management goals and divided them into each responsible unit to establish departments for annual energy conservation and emission reduction.

New flood prevention station to improve emergency drainage capacity

Goal:

Two flood control stations were built, and three new drainage pumps were added, with a total drainage capacity of 750m³/h. They were also equipped with an automatic control system to achieve linkage with rain monitoring, significantly increasing the

Strongly improve emergency drainage capacity during heavy rainfall. Actively respond to China's "double carbon" strategic call, continue to promote systematic work in energy conservation and consumption reduction, greenhouse gas emission control and climate resilience building, and steadily reduce the company's overall carbon footprint.

Comprehensive optimization of drainage system

Conduct a comprehensive inspection and replacement of the original rainwater pipes and rainwater inlets, and adopt new siphon rainwater buckets and pressure-resistant rainwater pipes to effectively solve the problem of poor drainage and pipeline problems.

Structural aging issues.

Significantly improve flood control standards

Through systematic transformation, the flood control capacity of the factory area has been improved to withstand a heavy rain that occurs once in 50 years, and the duration of water accumulation has been significantly shortened. In recent years, no disasters caused by floods have occurred.

safety incident.

90 91 Ellis 2025 Sustainability Report Governance as the foundation, responsibility first, innovation for the future, benefiting the people, quality first, patients first, cohesion, shared value, environmental responsibility, development symbiosis

During the reporting period, Ellis’ greenhouse gas emissions were as follows:

Indicator name unit 2025

Scope 1 greenhouse gas emissions tons of carbon dioxide equivalent 59.12

Scope 2 greenhouse gas emissions tons of carbon dioxide equivalent 5,230.55

greenhouse gases

Total greenhouse gas emissions from photovoltaic equipment in production plants (Scope 1 + Scope 2) tons of carbon dioxide equivalent 5,289.67

We have set energy-saving goals for comprehensive energy consumption intensity and formulated a full-year electricity consumption plan. In order to achieve energy-saving goals, the company has implemented a series of measures from infrastructure upgrading, process optimization and daily management of carbon dioxide equivalent per day/million yuan to reduce overall facility energy consumption. Greenhouse gas emission density 1.02

operating income

Energy-saving renovation case - water supply system equipment upgrade

In response to the "big horse and small cart" phenomenon in the water supply system of the R&D base, that is, the rated power of the water pump equipment is much higher than the actual load demand, we 5.2 Energy Management implemented energy-saving equipment upgrades. By replacing them with high-efficiency water pumps that match real-time water consumption and optimizing the control system, we effectively improved the inefficient operation of the equipment. After the transformation, the energy consumption of the system was significantly reduced and the operational stability was simultaneously improved. The project paid for itself within one year through energy cost savings

All renovation costs were covered and good economic and environmental benefits were achieved. Alex strictly abides by the "Energy Conservation Law of the People's Republic of China" and relevant local regulations and standards, ensuring that all operating activities comply with national energy conservation requirements and environmental protection policies.

policy orientation. We deeply understand the importance of energy management for low-carbon operations, cost reduction and efficiency improvement, and are committed to improving energy efficiency through systematic measures and steadily

Reduce carbon footprint and energy consumption during operations.

Ellis's energy consumption is mainly concentrated in product research and development, preparation production and related auxiliary facility operations. The type of energy used in daily operations is mainly electricity.

At the same time, some production links use steam centrally supplied by the park. We are committed to continuously reducing energy consumption per unit of output value, taking energy conservation and emission reduction and increasing the use of clean energy as our

Our mid- and long-term energy management goals are to optimize the energy structure and reduce carbon emission intensity.

In order to increase the proportion of clean energy use, we cooperated with third-party partners to deploy photovoltaic power generation systems on the roof of the factory through the energy management contract (EMC) model.

system. As of the end of the reporting period, the cumulative installed capacity reached 400 kilowatts. During the reporting period, we purchased 496,337 kilowatt-hours of photovoltaic power through this agreement. since

Since the system was connected to the grid in October 2022, we have purchased a total of approximately 1.47 million kilowatt-hours of clean electricity, thus effectively reducing scope 2 indirect greenhouse gases.

Emissions.

Variable frequency water pump 8_The statistical disclosure scope of greenhouse gases covers the Shanghai Ellis headquarters and Jiangsu factory.

9_Scope 1 carbon emission factor reference standards: mining, land transportation enterprises, and other industrial enterprises (Greenhouse Gas Emission Accounting Methods and Reporting Guidelines (Trial))

In terms of daily operations and green offices, Ellis continues to strengthen the inspection and maintenance of energy-consuming equipment, and actively promotes energy-saving measures in the office area, including the use of high-efficiency photos. Scope 2 carbon emissions adopt the 2023 national power grid average emission factor from the "Announcement on the Release of Electricity Carbon Dioxide Emission Factors in 2023" issued by the Ministry of Ecology and Environment.

0.5306 tCO2/MWh calculation. Integrate energy-saving concepts into daily work culture, such as lighting up equipment, advocating turning off lights when people are walking, and setting air-conditioning temperatures appropriately.

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Under a complete institutional system, Ellis has established an environmental governance structure with clear rights and responsibilities and hierarchical implementation. It implements systematic management of environmental protection issues in the R&D and production processes, ensures the independence and professionalism of the management system of each operating base, and uses a clear reporting mechanism to achieve overall supervision and strategic coordination at the company level.

decision-making level

The board of directors assumes the ultimate supervision responsibility for the company's environmental protection strategy and performance, and has established a reporting mechanism for major environmental events to ensure that relevant matters can be communicated to the highest decision-making level in a timely and effective manner.

Management

The general manager of the production unit is fully responsible for the overall environmental management and coordination work, and regularly reports the progress of environmental goals, management effectiveness and compliance performance to the leaders in charge of Ellis to ensure the effective implementation of the company's environmental strategy.

Execution layer

The local EHS team implements the environment, health and safety (EHS) management system, and its operation status is regularly reported to the unit general manager.

Alex Energy Saving and Emission Reduction Tips

Ellis is committed to establishing and improving prior environmental impact assessment and risk prevention

In the future, Ellis will continue to explore and implement more feasible energy-saving technologies and management solutions, continuously improve the level of energy management, and promote enterprises to move toward a green and low-carbon development model.

mechanism to regularly conduct internal and external environmental impact audits covering all operating locations.

Continuous transformation.

Plan to ensure that the entire production and operation process meets environmental protection standards. In addition, every one of our

Conduct internal audits based on ISO environmental management system requirements and accept

External audit by a professional body.

5.3 Environmental Management During the Reporting Period

All Ailes production and operation sites have successfully passed the

ISO 14001 Environmental Management System Annual Supervision

Environmental compliance management audit, coverage rate is 100%.

Ellis strictly abides by the "Environmental Protection Law of the People's Republic of China", "Water Law of the People's Republic of China", "Law of the People's Republic of China on the Prevention and Control of Environmental Pollution by Solid Waste", etc.

Environmentally related laws and regulations and industry standards, formulating the "Environmental Protection Management System", "Environmental Laws and Regulations Control Management System", "Environmental Protection Training Management System" and "Highly Toxic

Internal systems such as "Chemical Safety Management Detailed Rules" cover environmental management work in R&D, construction and production links. The company strengthens the whole process before, during and after the event

Strengthen supervision to ensure efficient and compliant operation of environmental management work.

ISO 14001 Environmental Management System Certificate

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All new construction, technical transformation or expansion projects must complete environmental impact assessment reports and acceptance checks in accordance with regulations, and carry out environmental impact assessment reports and inspections every quarter in accordance with the "Technical Guidelines for Self-Monitoring of Pollutant Discharge Units". In terms of environmental management, Alys implements the systematic strategy of "source reduction, process control, and terminal treatment", continues to promote cleaner production and pollutant prevention and control to achieve environmental monitoring, and prepares and files the "Emergency Plan for Environmental Accidents" in accordance with relevant national regulations. coordinated development of industry, operations and environmental protection.

Environmental Impact Assessment of New Projects

source reduction

Ellis strictly complies with the requirements of national environmental protection regulations and has carried out a comprehensive environmental impact assessment for the "annual production of 20 million tablets of glialexed citrate tablets project" to reduce environmental load from the production layout and resource input links:

price work. We hired a qualified third-party professional organization to prepare an environmental impact report, and completed the environmental impact assessment approval and approval public notice process on December 31.

・ By entrusting the production of APIs to professional partners, the business structure reduces direct emissions from highly polluting processes; sequence. During the implementation of the project, the company established a complete environmental risk management system for the project, and adopted early environmental risk identification, assessment and prevention and control measures.

・ Actively utilize the centralized supply of steam in the park to avoid waste gas and waste water generated by self-built boilers, and achieve pollution prevention from the source of energy supply. The formulation of policies fully reflects the great importance that Ellis attaches to environmental protection in the process of business development, and helps to reduce environmental impact during business development.

influence.

process control

During the reporting period, the production of pollutants was reduced through the application of advanced processes and equipment:

・Adopt technologies such as vacuum loading and sealed material transfer in production to reduce unorganized dust emissions;

Ellis has not experienced any environmental pollution incidents caused by production and operation activities, and has not been subject to any administrative penalties due to environmental problems. ・ By improving operating procedures and equipment operating parameters, improve material utilization and control waste generation from the process.

End-of-pipe management

Configure corresponding treatment measures for pollutants that cannot be completely eliminated:

Emissions management

・The dust collected during the production process is filtered through bag dust collectors and other equipment;

・ Before being discharged into the park pipe network, production wastewater undergoes internal pretreatment to meet the management standards;

Airis's environmental emissions mainly include wastewater, waste gas and solid waste generated in R&D and production activities, including experimental wastewater, scrap testing and

・ Hazardous waste such as waste packaging materials, etc., are handed over to qualified third-party units for standardized disposal to ensure that all pollutants are treated with effective agents and other liquid waste before final discharge; solid waste such as waste reagent bottles and discarded medicines; dust and exhaust gas generated during the production process, as well as general solid waste and hazardous waste (such as waste medicine

Control and comply with national environmental protection requirements.

products, waste packaging bags and waste materials). We strictly abide by relevant laws and regulations, formulate a series of internal systems, and regulate each unit to carry out emission management according to strict standards.

management, and regularly conduct internal or external emission testing to ensure compliance with emissions throughout the year.

Ellis emission reduction measures

During the reporting period

With the commissioning of a new high-efficiency production line, the amount of hazardous waste generated per unit output of Vometinib Mesylate Tablets will be significantly reduced. Through process optimization and process improvement, this production line reduces material waste from the source, thereby reducing dust and exhaust gas emissions. At the same time, its integrated closed production system and advanced waste recycling design also effectively reduce the amount of waste associated with the production of each unit of product, marking that Ellis has made substantial progress on the green development path of "increasing production without increasing pollution".

During the reporting period

Ellis has not been subject to any major administrative penalties or criminal liability due to pollutant emissions.

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5.4 Resource usage

Water Utilization

▪ Water is the source of life and a key element for pharmaceutical manufacturing companies to maintain stable production and ensure product quality. Ellis is deeply aware of the importance of water resources management and is committed to fulfilling its responsibilities of saving and protecting water throughout the entire operation process and promoting sustainable use of water resources.

circular economy

▪ Daily water use at Ellis's R&D and production sites mainly relies on the local municipal water supply network, and does not involve direct use of natural water bodies. Based on the operations

▪ Ellis has incorporated the concept of circular economy into operation management, and systematically reduced disposable resource consumption by implementing resource recycling measures in packaging, warehousing and other links. Based on continuous attention and assessment of local water resources conditions, we have identified that the current main production bases are not in high-risk areas for water shortages, but Ellis consumes resources to improve material utilization efficiency. We are still committed to promoting sustainable practices of refined metering and systematic water conservation.

▪ We focus on promoting the use of recyclable materials in the logistics system, giving priority to standardized and durable packaging carriers, and establishing recyclable parts. ▪ In order to effectively reduce water consumption, we integrate the concept of water conservation into all aspects of design and operation, and are committed to maximizing water efficiency.

Standardized processing procedures.

Case: Constructing a pallet circulation system and reducing more than a thousand disposable consumables annually. Accurate measurement and transparent management and control.

We have installed water meters at the entrances of each major water supply system and key water units to achieve accurate monitoring of water consumption in the company as a whole and in key links.

During the reporting period

and data collection. This provides a scientific data basis for identifying water use anomalies, evaluating water-saving effects, and setting management goals, and is the core of refined management.

The company continues to promote the construction of a green supply chain, focusing on optimizing the warehousing and logistics system for fumetinib mesylate tablets, its excipients, and packaging materials.

By introducing a 1,000mm×1,200mm standardized plastic pallet recycling scheme, the company has established a complete pallet life cycle management system with technology to prevent overflow and reduce waste.

degree, including unified specifications, regular cleaning and maintenance and intelligent scheduling systems. It is estimated that this measure can reduce the annual consumption of disposable pallets by nearly

1,500 pallets, and a recycling pool for 400 pallets has been built at the same time, significantly reducing the need for raw material procurement and the amount of solid waste generated. For water storage facilities (such as pools and water tanks) in the water supply system, we not only set up overflow water level alarm devices, but also installed automatic shutdown systems for over-water levels. This double protection mechanism can effectively prevent "invisible" water waste caused by equipment failure or human negligence.

The consumption of disposable pallets was reduced by nearly 1,500 that year.

Promote water-saving appliances and advocate green behaviors

In the construction and renovation of facilities, we strictly implement water-saving standards, and all sanitary ware and water supply and drainage hardware accessories are made of high-efficiency water-saving products. In addition, the company maintains cooperation with qualified recyclers to professionally recycle and recycle waste paper, waste packaging and other materials generated during operations, promote material production and ensure that they meet the technical parameter requirements of the national "Water-saving Domestic Water Appliances", and significantly reduce the consumption of auxiliary water for daily use from the end-use level. extension of the life cycle. In the future, the company will continue to optimize the resource recycling model, explore the application of circular economy principles in more business links, and gradually improve sustainable resource management.

management system.

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Appendix

» Sustainability Performance Indicators

Issue Disclosure Indicator Unit Total Issue Disclosure Indicator Unit Total Environmental Performance

Total amount of non-hazardous waste tons 39.05 Greenhouse gas scope 1 emissions tons carbon dioxide equivalent 59.12

Domestic waste tons 28.75Waste disposal

Addressing climate change Scope 2 emissions of greenhouse gases tons of carbon dioxide equivalent 5,230.55

General industrial solid waste tons 10.30Greenhouse gas emission density tons carbon dioxide equivalent/million yuan 1.02

Density of non-hazardous waste tons/million yuan 0.01 Volatile organic compound (VOC) emissions tons 1.42

Direct energy consumption tons of standard coal 33.33 Total wastewater discharge tons 28,798.00

Natural gas 10,000 cubic meters Pollutant emissions Chemical oxygen demand (COD) emissions tons 1.17

Gasoline tons of standard coal 14.72 Biological oxygen demand (BOD) emissions tons 0.40

Indirect energy consumption tons of standard coal 1,283.63 Ammonia nitrogen (NH3-N) emissions tons 0.59

Energy utilization Purchased heat tons of standard coal 43.87 Total amount of hazardous waste tons 77.05

Purchased electricity kWh 10,087,585.00Medical waste tons 5.54

Purchased traditional electricity kWh 9,591,248.00Waste disposal

Other hazardous waste tons 71.51 Purchased clean energy kWh 496,337.00 Hazardous waste density tons/million yuan 0.01 Energy usage intensity tons of standard coal/million yuan 0.25

100 101 Ellis 2025 Sustainability Report Appendix

Issue Disclosure Indicator Unit Total Issue Disclosure Indicator Unit Total

ecosystem and life

Number of operating sites within the ecological protection red line 0 Number of suppliers

biodiversity protection

Environmental compliance management Environmental protection-related expenditures during the reporting period Ten thousand yuan 96.15 Supply chain China 1,750 Total water consumption tons 40,695.00 Other countries or regions 6

Municipal tap water usage tons 29,053.00 Total number of employees Person 1,989 Water resources utilization

Rainwater recycling usage tons 11,642.00 Regular employees 1,977Water resource usage intensity tons/million yuan 7.85 Male people 1,026Social performance Female people 951

employee hiring

Customer complaints from 1 labor dispatch employee 12 Customer complaint handling completion rate % 100 Number of ethnic minority employees 82 Product recalls due to product quality and safety issues

Starting from 0 disabled employees 4 items

R&D and innovation Cumulative number of patents granted 89 Social security payment coverage ratio % 100

Number of regular employees by age

New invention patent application item 31

Number of employees under the age of 30 Person 521 New invention patent authorization items 3

Number of employees aged 30 to 40 years old (inclusive) Person 1,161 Number of inspections by external regulatory agencies Times 2

102 103 Ellis 2025 Sustainability Report Appendix

Issue Disclosure Indicator Unit Total Issue Disclosure Indicator Unit Total

Number of employees aged 40 to 50 (inclusive) Person 260 Business ethics training coverage - employees % 100

Number of employees aged 50 to 60 years old (inclusive) Person 33

Employee Training Business Ethics Training Coverage-Senior Management % 100

Number of employees over 60 years old Person 2

Business ethics training coverage - Board of Directors % 56 Employee employment Loss of regular employees

Number of employees who died on the job Person 0 Male employee turnover rate % 10.28

Fatality rate per million working hours Times/million working hours 0 Female employee turnover rate % 10.10

Employees-Occupational Health

Number of working days lost Days 0 Health & Safety

Total employee turnover rate % 10.19

Amount invested in work-related injury insurance and production safety liability insurance RMB 10,000 199.55 Total hours of employee training Hours 69,963.42

Personnel coverage rate of work-related injury insurance and production safety liability insurance % Average hours of training per 100 employees Hours/person 35.39

staff training

Community charity Charity donation investment amount Ten thousand yuan 3,567.04Employee training coverage rate % 100

Investment in training RMB 10,000 191.81

12_The number of calendar days (including weekends and statutory holidays) that the employee was unable to perform normal work in the original position due to work-related injuries or occupational diseases.

104 105 Ellis 2025 Sustainability Report Appendix

» Shanghai Stock Exchange Guidelines Index

Dimension Serial Number Issue Corresponding Chapter Dimension Serial Number Issue Corresponding Chapter

1 Coping with climate change 5.1 Coping with climate change 12 Ethics of science and technology 2.2 Technology cares for life

2 Pollutant emissions 5.3 Environmental management 13 Supply chain security 4.2 Joining hands with the value chain

As of the end of the reporting period, the Group’s accounts payable (including notes payable) 3 Waste treatment 5.3 Environmental management

The balance does not exceed RMB 30 billion, and the proportion of total assets does not exceed 14. Treat small and medium-sized enterprises equally

More than 50%, and the company is in the National Enterprise Credit Information Publicity System 4 Ecosystem and Biodiversity Protection Not applicable There is no information on overdue payments to small and medium-sized enterprises. society

environment

15 Product and Service Safety and Quality 3.1 Product Quality and Safety5 Environmental Compliance Management 5.3 Environmental Management

16 Data Security and Customer Privacy Protection 1.3 Compliance Management

6 Energy Utilization 5.2 Energy Management

17 Employees 4.1 Building a harmonious team 7 Water Utilization 5.4 Resource Usage

18 Due Diligence 4.2 Joining the Value Chain 8 Circular Economy 5.4 Resource Usage

19 Stakeholder Communication 1.2 Sustainable Development Governance 9 Rural Revitalization 4.3 Building a Better Society Sustainable Development

Related governance

20 Anti-Commercial Bribery and Anti-Corruption 1.3 Compliance Management

Society 10 Social Contribution 4.3 Build a Better Society Together

21 Anti-unfair competition 1.3 Compliance management

11 Innovation-driven 2.1 Innovation-driven development

13_ELLIS's production and business operations are located in compliant industrial parks, and its business activities do not have a significant impact on the ecosystem and biodiversity. The company will continue to pay attention to environmental protection regulations

If there are changes in business or layout in the future that lead to an increase in relevant risks, we will promptly assess and fulfill corresponding disclosure responsibilities.

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