Chinese Health: 2025 Annual Report

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Full text of 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd. 2025 annual report

Section 1 Important Tips, Table of Contents and Definitions

The company's board of directors, directors and senior managers guarantee that the contents of the annual report are true, accurate and complete, and that there are no false records, misleading statements or major omissions, and bear individual and joint legal liability.

He Jiale, the person in charge of the company, Li Mei, the person in charge of accounting work, and Li Mei, the person in charge of the accounting department (accounting supervisor), declare that they guarantee the authenticity, accuracy and completeness of the financial report in this annual report.

All directors have attended the board meeting where this report was considered.

Any content in this report involving future plans, performance forecasts, etc. does not constitute the company's commitment to any investors and related persons. Investors and related persons should maintain adequate risk awareness and understand the differences between plans, forecasts and commitments.

The company invites investors to read the full text of this report carefully and pay special attention to the risk factors faced by the company. For details, please refer to "11. Outlook for the company's future development" in Section 3 of this report, "Management Discussion and Analysis".

The company's profit distribution plan reviewed and approved by the board of directors this time is: based on RMB 400,010,000, a cash dividend of 1 yuan (tax included) will be distributed to all shareholders for every 10 shares, 0 bonus shares (tax included) will be issued, and capital reserve funds will be used to convert 0 shares to all shareholders for every 10 shares.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Directory

Section 1 Important Tips, Table of Contents and Definitions......................................2

Section 2 Company Profile and Main Financial Indicators........................................ 7

Section 3 Management Discussion and Analysis................................................................ 11

Section 4 Corporate Governance, Environment and Society......................................................43

Section 5 Important Matters......................................................................62

Section 6 Changes in Shares and Shareholders ........................................92

Section 7 Bond-related situations................................................................97

Section 8 Financial Report......................................................................98

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Document directory for reference

1. Financial statements signed and stamped by the legal representative, the person in charge of accounting work, and the person in charge of the accounting department.

2. The original audit report containing the seal of the accounting firm and the signature and seal of the certified public accountant.

3. The text of all company documents and original drafts of announcements publicly disclosed in newspapers designated by the China Securities Regulatory Commission during the reporting period.

4. Other relevant information.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Definition

Interpretation item refers to the interpretation content

Chinese Health/company/joint-stock company refers to Anhui Chinese Health Pharmaceutical Co., Ltd.

Reporting period refers to January 1, 2025 to December 31, 2025

Yuan, RMB 10,000, and RMB 100 million refer to RMB yuan, RMB 10,000, and RMB 100 million

"Company Law" means "Company Law of the People's Republic of China"

“Securities Law” refers to the “Securities Law of the People’s Republic of China”

Group refers to the parent company and holding subsidiaries of Chinese Health

Guosheng Pharmacy refers to the collective name of the company’s retail business entities

Jiangsu Shenhua, Shenhua Pharmaceutical refers to Jiangsu Shenhua Pharmaceutical Co., Ltd.

Formerly "Anhui Huida Pharmaceutical Co., Ltd.", Quanfang Pharmaceutical refers to

Changed its name to Anhui Quanfang Pharmaceutical Co., Ltd.

Zhengyao Technology refers to Anhui Zhengyao Pharmaceutical Technology Co., Ltd.

Jieshu Technology refers to Hefei Jieshu Pharmaceutical Technology Co., Ltd.

The original Tonglu Yishengtang Pharmacy Chain Co., Ltd. (referred to as Hangzhou Guosheng, referring to "Tonglu Yishengtang") was renamed Hangzhou Guosheng Pharmacy Chain Co., Ltd. during the reporting period.

Anji Baixingyuan refers to Anji County Baixingyuan Pharmacy Chain Co., Ltd.

Yangzu Huimin, Fujian Yangzu refers to Fujian Yangzu Huimin Pharmaceutical Chain Co., Ltd.

Haihua Pharmaceutical, Fujian Haihua refers to Fujian Haihua Pharmaceutical Chain Co., Ltd.

Minzhehui refers to the abbreviation of Ningbo Minzhehui Investment Partnership (Limited Partnership) Business to Business, which refers to business-to-business B2B.

home e-commerce model

The abbreviation of Artificial Intelligence (artificial intelligence) is the research and development of AI indicators for simulation, extension and expansion.

A new technology science that develops theories, methods, technologies and application systems of human intelligence

The abbreviation of Application refers to the third APP of smartphones.

party application

Warehouse management system, the abbreviation of Warehouse Management System, can control information, resources, behavior, and inventory WMS instructions according to operating business rules and algorithms.

and distribution operations to be more perfectly managed to maximize the requirements for effective output and accuracy, including: receipt, shelving, replenishment, picking, packaging, and shipping. Enterprise Resource Planning is the abbreviation of Enterprise Resource Planning. It is based on the ERP index of information technology. With systematic management ideas, it provides corporate decision-makers and employees with a management platform for decision-making and operation methods to achieve effective management of the entire supply chain.

The abbreviation of Business-to-Consumer refers to a model of e-commerce B2C business, and it is also a retail model of selling products and services directly to consumers.

The abbreviation of Online-to-Offline, that is, online offline/O2O refers to online to offline, which refers to combining offline business opportunities with the Internet and making the Internet a platform for offline transactions. Point-of-sales information system refers to directly reading the merchant POS system when selling goods through automatic reading equipment (such as cash registers). Refers to product sales information (such as product name, unit price, sales quantity, sales time, sales store, purchasing customer)

etc.), and transmit the full text of the 2025 Annual Report of Anhui Chinese Health Pharmaceutical Co., Ltd. through communication networks and computer systems.

A system that conducts analysis and processing to relevant departments to improve operational efficiency.

DTP refers to providing more valuable professional services directly to patients.

pharmacy

The pharmaceutical contract sales organization is a pharmaceutical company's pharmaceutical CSO outsourcing. Together with CRO and CMO/CDMO, it is part of the pharmaceutical contract outsourcing service (CXO) industry chain. The order management system is mainly used to manage and process customer OMS orders to ensure that the entire process from order receipt, processing to delivery goes smoothly.

Good Supply Practice (GSP) is the basic guideline for drug business management and quality control. It applies to all aspects of drug procurement, storage, sales, and transportation. It is a mandatory management requirement to ensure drug quality and standardize business behavior. Good Supply Practice (Good Supply Practice)

Manufacturing Practice of Medical

Products, referred to as GMP), refers to pharmaceutical production and quality GMP

Basic principles of management, applicable to the entire process of pharmaceutical preparation production and key processes that affect the quality of finished products in the production of raw materials.

Business Intelligence (BI), also known as business intelligence or business intelligence, refers to the use of modern data warehouse technology, online analysis and processing technology, data mining and data presentation technology to conduct data analysis to achieve business value

The year-round three-dimensional marketing-driven model created by Chinese Health for pharmacies focuses on the business pain points of the new cycle and uses the three major methods of "category selection - monthly sand table - year-end sprint" to formulate the "Z3 integration" strategy.

Systematically solve the problems of category imbalance, marketing fragmentation and performance growth, and achieve comprehensive improvements in marketing efficiency and profitability.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Section 2 Company Profile and Main Financial Indicators

1. Company information

Stock abbreviation: Chinese Health Stock code: 301408 Chinese name of the company: Anhui Chinese Health Pharmaceutical Co., Ltd.

The company’s Chinese abbreviation: Chinese Health

Company’s foreign name (if any) Anhui Huaren Health Pharmaceutical Co., Ltd.

The abbreviation of the company’s foreign name (such as

None

Yes)

The legal representative of the company He Jiale

Registered address: No. 123, Hebei Road, Baohe District, Hefei City, Anhui Province

Postal code of registered address 230051

From June 2001 to January 2003, the company’s registered address was: No. 253, Tunxi Road, Hefei City; from January 2003 to 2003

The company's registered address in October 2008 is: No. 152, Hefei Hehua North Road; historical changes in the company's registered address from October 2003 to October 2008 The registered address is: No. 161 Dongliu Road, Hefei City; from October 2008 to January 2014, the company's registered address is: No. 71 Jinzhai Road, Hefei City; from January 2014 to August 2025, the company's registered address is: Shanghai Road, Baohe Industrial Zone, Hefei City

No. 18. From August 2025 to present, the company’s registered address is: No. 123, Hebei Road, Baohe District, Hefei City, Anhui Province. Office address Building A1, No. 123, Hebei Road, Baohe District, Hefei City, Anhui Province

Postal code for office address 230051

Company website http://www.hrjkjt.com

Email [email protected]

2. Contact person and contact information

Secretary of the Board of Directors Name of Securities Affairs Representative Li Mei Huang Lianlian

Contact address Building A1, No. 123 Hebei Road, Baohe District, Hefei City, Anhui Province Building A1, No. 123 Hebei Road, Baohe District, Hefei City, Anhui Province Telephone 0551-62862668 0551-62862668 Fax 0551-63677610 0551-63677610 Email [email protected] [email protected]

3. Information disclosure and preparation location

The website of the stock exchange where the company discloses its annual report: Shenzhen Stock Exchange http://www.szse.cn

"Securities Times", "China Securities News", "Shanghai Securities News", "Securities Daily", media names and websites of Juchao Company's annual report disclosure

Information Network (www.cninfo.com.cn)

The company's annual report is prepared at the company's securities department

4. Other relevant information

Accounting firm hired by the company

Name of accounting firm Gongzheng Tianye Accounting Firm (Special General Partnership)

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Office address of the accounting firm: Room 5-1001, Jiaye Fortune Center, Taihu New Town, Wuxi City

Name of the signing accountant: Cheng Xiaoman, Tian Daqing

The sponsor institution hired by the company to perform continuous supervision responsibilities during the reporting period

Applicable □Not applicable

Name of the sponsoring institution Office address of the sponsoring institution Name of the sponsoring representative Period of continuous supervision

Nanshan, Qianhai Shenzhen-Hong Kong Cooperation Zone, Shenzhen

Huatai United Securities Co., Ltd. No. 128, Guiwan 5th Road, Qianhaishen Fan Jie, Zhang Chenxi 2023.3.1-2026.12.31

Room 401, Building B7, Hong Kong Fund Town

Financial consultant hired by the company to perform continuous supervision duties during the reporting period

Applicable □Not applicable

Name of financial consultant Office address of financial consultant Name of sponsor of financial consultant Period of continuous supervision

Nanshan, Qianhai Shenzhen-Hong Kong Cooperation Zone, Shenzhen

Huatai United Securities Co., Ltd. No. 128, Guiwan 5th Road, Qianhaishen Fan Jie, Chen Rui 2024.01.09-2025.12.31

Room 401, Building B7, Hong Kong Fund Town

5. Main accounting data and financial indicators

Whether the company needs to retroactively adjust or restate previous years’ accounting data

□Yes No

2025 2024 Increase or decrease this year compared with the previous year Operating income in 2023 (yuan) 5,486,683,545.91 4,531,692,295.23 21.07% 3,797,160,297.68 Attributable to shareholders of the listed company

191,352,661.67 137,699,528.81 38.96% Net profit of 114,667,584.92 (yuan)

Attributable to shareholders of listed companies

Net profit after deducting non-recurring gains and losses 185,407,173.90 129,048,863.19 43.67% 105,941,242.03 (yuan)

Cash generated from operating activities

837,181,168.49 571,758,266.40 46.42% 131,373,207.72 Net flow (yuan)

Basic earnings per share (yuan/

0.48 0.34 41.18% 0.29 shares)

Diluted earnings per share (yuan/

0.48 0.34 41.18% 0.29 shares)

weighted average net asset income

9.25% 6.96% 2.29% 6.59% rate

End of 2025 End of 2024 Increase or decrease at the end of this year compared with the end of the previous year Total assets at the end of 2023 (yuan) 5,488,333,141.47 4,828,108,351.67 13.67% 4,611,697,919.65 Attributable to shareholders of listed companies

2,096,977,526.88 2,005,289,910.33 4.57% Net assets of 1,943,533,127.04 (yuan)

The company's net profit before and after deducting non-recurring gains and losses in the past three fiscal years, whichever is lower, is negative, and the audit report for the most recent year shows that there is uncertainty in the company's ability to continue operating.

□Yes No

The lower of the company's total audited profit, net profit, and net profit after deducting non-recurring gains and losses during the reporting period is negative.

□Yes No

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

6. Main financial indicators by quarter

Unit: Yuan

First quarter Second quarter Third quarter Fourth quarter operating income 1,266,847,107.00 1,237,057,348.17 1,388,559,655.82 1,594,219,434.92 Attributable to shareholders of listed companies

Net profit of 61,222,277.52 42,520,811.20 52,983,487.04 34,626,085.91

Attributable to shareholders of listed companies

Net profit after deducting non-recurring gains and losses 59,702,002.89 41,108,064.15 50,517,383.09 34,079,723.77

Cash generated from operating activities

363,317,692.33 168,349,426.81 58,310,023.84 247,204,025.51 Net flow

Are there any significant differences between the above financial indicators or their totals and the relevant financial indicators disclosed by the company in quarterly reports and semi-annual reports?

□Yes No

7. Differences in accounting data under domestic and foreign accounting standards

1. Differences in net profit and net assets in financial reports disclosed in accordance with both international accounting standards and Chinese accounting standards

□Applicable Not applicable

During the reporting period, there was no difference between the net profit and net assets in the financial reports disclosed in accordance with international accounting standards and Chinese accounting standards.

2. Differences in net profit and net assets in financial reports disclosed in accordance with both foreign accounting standards and Chinese accounting standards

□Applicable Not applicable

During the reporting period, there was no difference between the net profit and net assets in the financial reports disclosed in accordance with foreign accounting standards and Chinese accounting standards.

8. Non-recurring profit and loss items and amounts

Applicable □Not applicable

Unit: Yuan

Item Amount in 2025 Amount in 2024 Amount in 2023 Description of profits and losses from disposal of non-current assets (including fixed assets,

3,580,407.58 2,711,827.73 1,046,386.08

The write-off portion of the provision for asset impairment) The income from the disposal of the right-use assets is included in the current profit and loss.

5,748,128.30 8,230,367.99 11,003,201.87 are closely related to the company's normal operating business and comply with the Ministry's enterprise rewards, green workers' enjoyment, factory rewards that have a sustained impact on the company's profits and losses, etc.

(Except for government subsidies)

In addition to those related to the company’s normal business operations,

In addition to effective hedging business, non-financial enterprises

Mainly caused by the financial assets and financial liabilities held by the purchased banks 3,181,980.90 1,085,383.94 646,028.66

Property income, gains and losses from changes in fair value, and disposal finance

Gains and losses on assets and financial liabilities

Receivables that are individually tested for impairment are reduced by

256,153.65 144,964.11 9,767.51

Value ready to be transferred back

Other operating income other than the above items -5,747,961.86 -2,447,199.46 -1,217,083.76 Mainly due to the termination of the lease contract

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Incomes and expenses Margin losses and other losses that meet the definition of non-recurring gains and losses

169,129.15 683,398.17 82,767.04 benefit projects

Less: Impact on income tax 1,368,919.49 1,391,902.20 2,843,994.32 Impact on minority shareholders’ equity (tax

-126,569.54 366,174.66 after 730.19)

Total 5,945,487.77 8,650,665.62 8,726,342.89 --Details of other profit and loss items that meet the definition of non-recurring profits and losses:

Applicable □Not applicable

The amount of other profit and loss items that meet the definition of non-recurring profit and loss, 169,129.15 yuan, is the refund of personal tax fees.

Explanation on defining the non-recurring profit and loss items listed in the "Explanatory Announcement No. 1 on Information Disclosure of Companies that Offer Securities to the Public - Non-recurring Profit and Loss" as recurring profit and loss items

□Applicable Not applicable

The company does not define the non-recurring profit and loss items listed in the "Explanatory Announcement No. 1 on Information Disclosure of Companies that Offer Securities to the Public - Non-recurring Profit and Loss" as recurring profit and loss items.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Section 3 Management Discussion and Analysis

1. The main business of the company during the reporting period

The company needs to comply with the disclosure requirements of the "retail industry" in the "Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 3 - Industry Information Disclosure"

(1) Overview of the company’s main business

Chinese Health was founded in 2001 and is headquartered in Hefei City, Anhui Province. It was acquired by the existing team in 2008. It is an ecological pharmaceutical company with the entire industry chain as the core anchor of the pharmaceutical industry. Relying on core business carriers such as Guosheng Pharmacy, Quanfang Pharmaceutical, Shenhua Pharmaceutical and Zhengyao Technology, the company has in-depth layout in the four core areas of pharmaceutical retail, pharmaceutical marketing, terminal centralized procurement, R&D and production, and has built a unique "four-in-one" pharmaceutical and health ecological pattern. At the same time, the company uses the Pharmacy Business School, the Digital Intelligence Research Institute, and the New Drug Research Institute as its three core enabling engines. The Pharmacy Business School outputs standardized operation systems, professional talents, and business technology support for all-channel terminals, the Digital Intelligence Research Institute builds a digital and intelligent technology platform for the entire industry chain, and the New Drug Research Institute continues to deliver technological achievements and product pipelines to the industrial ecology, comprehensively consolidating the vertical integration capabilities of upstream intelligent manufacturing and downstream terminal health services, and ultimately forming an industrial synergy of two-way development and full-chain symbiosis.

The company's main business platform has clear goals, clear positioning, and business synergy: Guosheng Pharmacy, as the core channel network facing consumers directly, adopts the regional strategy of "deeply cultivating Anhui, focusing on East China, and radiating surrounding areas". Its number of stores and membership scale rank first in Anhui Province, and it is the company's solid fortress in the retail terminal market. The Chinese Health Platform is the first to create a one-stop supply chain service model with front-end stores and back-end factories and resource sharing. Relying on the CSO brand direct supply model, it has become a professional service bridge connecting industry and terminals. It not only provides upstream pharmaceutical companies with precise channel access, but also provides high-quality product mix and operational services to downstream terminals, playing an irreplaceable hub value in the field of pharmaceutical marketing. Quanfang Pharmaceutical is committed to providing comprehensive empowerment of all categories for small and medium-sized pharmacies, and has become a key engine for the company's transformation into a national terminal empowerment platform. As a well-known fungal drug R&D and production base in China, Shenhua Pharmaceutical has deep technical reserves in the fields of synthetic biology and fungal drug fermentation. Its product line covers APIs, chemical drugs, Chinese patent medicines, health products, etc., and is an important support for the company's R&D and manufacturing sector. At the same time, Zhengyao Technology focuses on the research and development of innovative drugs, biological drugs and high-end generic drugs. It is a key innovation platform for the company to layout future growth and tackle cutting-edge technologies. Together with Shenhua Pharmaceutical, it will consolidate the company's extension to upstream manufacturing.

The depth of technology continues to inject innovative vitality into the industrial ecology. This ecological pattern of strategic synergy and full-chain symbiosis has enabled the company to not only establish an unshakable leading position in Anhui Province, but also demonstrate excellent strategic flexibility and growth potential in cross-regional expansion and response to industry changes.

During the reporting period, the company firmly promoted the "1234" full ecological strategy, which takes the pharmaceutical industry as the core anchor, focuses on the coordinated development of the product matrix and terminal network, relies on the continuous empowerment of the three major engines of the Pharmacy Business School, Digital Intelligence Research Institute, and New Drug Research Institute to comprehensively deepen resource sharing and business collaboration among the four major business platforms of pharmaceutical retail, pharmaceutical marketing, terminal procurement, and R&D and production. In 2025, the company's all-ecological strategy has achieved remarkable results, with each business segment synergizing and achieving substantial growth in revenue and profits.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(2) The company’s main business model: four major platforms collaborate and symbiosis, and the entire chain ecology releases multiplier effects

1. Pharmaceutical retail sector (Guosheng Pharmacy): Pay equal attention to network development and professional services

As the core terminal network facing consumers directly, Guosheng Pharmacy takes "professional quality, affordable price and convenience" as its business philosophy and is committed to providing consumers with one-stop health services such as professional pharmaceutical consultation, medication guidance, chronic disease management and health stations. Adopting the multi-wheel drive model of "direct operation + franchising + mergers and acquisitions", adhering to the strategic development policy of "deeply cultivating Anhui, focusing on East China, and radiating to surrounding areas", we continue to promote network layout. As of the end of the reporting period, the number of stores and sales scale ranked first in Anhui Province. The dense store network, complete membership system and strong localized professional service capabilities have enabled it to form strong brand influence and consumer awareness in the regional market.

2. Pharmaceutical marketing sector (Chinese Health Platform): two-wheel drive of product empowerment and service empowerment

As a leading national pharmaceutical brand service provider in China, the company is deeply involved in OTC marketing and chain omni-channel services. On the one hand, with general distribution, OEM customization and private brands (such as Ke Anshu) as the core, we build a product matrix covering eight core tracks to provide high-differentiation and high value-added high-quality product supply for cooperative terminals; on the other hand, relying on its Chinese Health Business School, we provide full-cycle business solutions covering standardized store operations, full-case marketing planning, and professional talent echelon construction to cooperative customers, binding long-term and stable customer cooperation relationships with deep empowerment. Relying on the company's ecological layout of the entire industry chain, the company relies on its national mature channel network, flexible and diversified cooperation models and full-link service empowerment to build differentiated competition barriers with a deep integration of "products + services" in the field of pharmaceutical marketing.

3. Terminal centralized procurement sector (Quanfang Pharmaceutical): platform empowerment and alliance-style symbiosis

Quanfang Pharmaceutical focuses on serving the vast number of small and medium-sized chains, independent pharmacies and primary medical terminals. Through the innovative provincial Ruimeng co-construction platform model, it provides a one-stop supply chain full category solution of "commodity centralized procurement + operational guidance + system linkage". In terms of business model, it has built a two-wheel drive structure with a member store system and a national sales control network in parallel, and realized direct supply of goods and digital services through its self-built B2B platform. The company has established a solid base market in Anhui Province and has shown strong development momentum in the expansion of the national sinking market. It is transforming from a regional centralized procurement service provider to a national terminal empowerment platform. The company achieves efficient connections through its own B2B platform. Under the alliance mechanism of win-win cooperation, rapid and low-cost in-depth coverage of sinking markets has been achieved.

4. R&D and production sector (Shenhua Pharmaceutical & Zhengyao Technology): Specialized manufacturing and forward-looking R&D simultaneously

The company has built complete industrial capabilities from R&D to production through a combination of self-construction (Zhengyao Technology) and mergers and acquisitions (Shenhua Pharmaceutical). Shenhua Pharmaceutical is a leading company in the field of fungal drugs in China, focusing on the research, development and application of fungal fermentation technology. Its main products include Yunzhi mushroom capsules, cordyceps fungus powder and other special traditional Chinese medicine preparations, as well as medicinal excipients such as xanthan gum, which are the manufacturing cornerstone of the company's differentiated products. Zhengyao Technology focuses on the research and development of innovative drugs, biological drugs and high-end generic drugs in the treatment fields of cardiovascular, digestive system, respiratory system and other fields, and has built a rich product pipeline under development, which is an innovation engine for the future. The two adopt an open innovation model of "independent research and development + cooperative development + approval introduction" and maintain in-depth cooperation with multiple R&D institutions to ensure the company's current product competitiveness and the promotion gradient of new products, and provide a sustainable source of product innovation and production and manufacturing support for the entire business ecosystem.

Through resource interoperability, data sharing, and complementary capabilities, the four major business segments have built a benign ecological closed loop with full-link linkage and two-way empowerment. The retail terminal provides real business data and market insights for the R&D side, and builds a solid scale chassis and channel foundation for the centralized procurement and marketing business; the centralized procurement business relies on the advantages of large-scale procurement to reduce procurement costs and optimize the product structure for the retail and marketing sectors; the pharmaceutical marketing sector links upstream and downstream funds Source, it broadens the category supply for retail terminals, enriches the product matrix for centralized purchasing platforms, and at the same time delivers industry trends and industrial cooperation opportunities to the R&D and manufacturing end; the R&D and manufacturing sector delivers differentiated, high value-added core products to retail, marketing, centralized procurement and other sectors, and builds source product barriers. At the same time, the three major empowerment engines of Pharmacy Business School, Digital Intelligence Research Institute, and New Drug Research Institute continue to inject professional talents, digital intelligence technology, innovative products and core R&D momentum into the entire ecosystem, forming a two-wheel drive pattern of "business closed loop + professional empowerment". This unique ecological model of "one body, two wings, three pillars and four pillars" allows the company to demonstrate strong strategic resilience and endogenous growth during the period of profound changes and adjustments in the pharmaceutical industry. It not only continues to consolidate its leading position in Anhui Province, but also builds a core competitive advantage that is difficult to replicate in its national layout and cross-regional expansion.

(3) Main performance drivers: Following the policy trend and promoting ecological strengths

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

In the face of changes in pharmaceutical industry policies, environment, and market, the company has unswervingly followed the path of high-quality development, continuously optimized its business structure, adhered to marketing innovation, insisted on network construction, and continuously increased investment in research and development. Through organizational changes, refined management, category marketing, digital intelligence upgrades and other measures, it achieved substantial progress in each business segment during the reporting period.

1. Adapt to changes and forward-looking layout: Under the trend of pharmaceutical division and prescription outflow, the company continues to strengthen the professional service capabilities of Guosheng Pharmacy, and continuously improves the layout of hospital-side stores, DTP pharmacies, coordinated stores and dual-channel qualifications; in the context of increasing chain concentration rates and compressed living space of small and medium-sized pharmacies, the company provides supply chain and operational support through Chinese Health and Holistic Medicine to help small and medium-sized pharmacies optimize Commodity structure, improve the level of operation and management, and achieve steady growth; facing the wave of digital and intelligent transformation in the industry, the company has deployed digital intelligence research institutes in advance, deeply applying AI and big data to the operation links of each sector; focusing on trends in cutting-edge fields, it has laid out long-term R&D pipelines through the Zhengya technology platform; it has seized the opportunities of the silver economy and healthy consumption upgrades to enrich the supply of health products, medical devices and health services. This forward-looking and diversified layout that follows the trend provides strong momentum for the company's continued growth.

2. Network expansion and quality and efficiency improvement: Guosheng Pharmacy has completed full coverage of 16 prefecture-level cities in Anhui Province, and completed strategic layout through mergers and acquisitions in economically developed Jiangsu, Zhejiang and Fujian provinces, opening up room for growth, with the total number of stores reaching 2,296. By deepening the "three reductions and three improvements" business strategy, procurement costs and rental costs have been effectively optimized, member stickiness has continued to increase, and the number of members has increased by 3 million. Through omni-channel marketing and online and offline coordinated development, new retail business sales reached 768 million yuan, with strong growth momentum.

3. Model innovation and alliance collaboration: The Chinese Health Platform uses the CSO brand direct supply model to link thousands of upstream pharmaceutical companies and nearly 3,000 chain pharmacies, forming a large-scale marketing network. Its pharmacy business school exports standardized operation systems and professional training to the pharmaceutical retail industry, empowering terminal capabilities to continuously upgrade. Quanfang Pharmaceutical focuses on serving the vast number of small and medium-sized chains, independent pharmacies and primary medical terminals. Through the innovative provincial Ruimeng co-construction platform model, it provides a one-stop supply chain full category solution of "commodity centralized procurement + operational guidance + system linkage". This model has been successfully verified in Hebei, Shandong and other places. In June 2025, it was renamed from "Huida Pharmaceutical" to "Quanfang Pharmaceutical", marking the strategic transformation from a regional service provider to a national platform enterprise. At present, Quanfang Pharmaceutical has established a solid base in Anhui and occupies a unique ecological niche in the country's lower-tier markets, showing strong late-mover advantages and growth potential.

4. Digital intelligence empowerment and efficiency improvement: The company’s holding subsidiary Hefei Jiezhu Pharmaceutical Technology Co., Ltd. (i.e. Digital Intelligence Research Institute) is a national high-tech enterprise and a big data enterprise in Hefei. Through the Digital Intelligence Research Institute, the company has successfully completed the development of its own large model (Resi AI large model), terminal intelligent assistant and multiple agents, significantly improving management and decision-making efficiency. The intelligent replenishment system has helped reduce the out-of-stock rate and improve logistics and distribution timeliness. More than 95% of stores across the country have implemented digital tool applications, building an industry-leading technological advantage.

5. Ecological integration and barrier construction: As the pharmaceutical and health industry enters a cycle of profound changes and adjustments, the company has gone through several years of careful layout and industry development, and has successfully transformed into a four-in-one pharmaceutical industry ecological enterprise with "pharmaceutical retail, pharmaceutical marketing, terminal procurement, R&D and production", a highly collaborative and scientific layout. Through the ecological model of "one body, two wings, three pillars and four pillars", the company has achieved efficient linkage across the entire chain, allowing the company to demonstrate stronger adaptability and growth potential in industry competition. This model not only reflects the company's deep insight into industry trends, but also demonstrates its unique advantages in resource integration, complementary capabilities and innovative breakthroughs.

2. Industry conditions of the company during the reporting period

The company needs to comply with the disclosure requirements of the "retail industry" in the "Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 3 - Industry Information Disclosure"

(1) Industry definition

According to the "National Economic Industry Classification" (GB/T4754-2017), the company's industry belongs to Category F "Wholesale and Retail Industry". Among them, the pharmaceutical marketing and terminal centralized procurement business sector belongs to the 515th category "Pharmaceutical and Medical Equipment Wholesale" under the 51st category "Wholesale Industry"; the pharmaceutical retail business segment belongs to the 525th Category "Pharmaceutical and Medical Equipment Specialized Retail" under the 52nd Category "Retail Industry"; the pharmaceutical industrial production segment belongs to the C Category 27 "Pharmaceutical Manufacturing Industry".

Huaren Health is a technology-based and ecological enterprise with deep integration of the entire industry chain integrating pharmaceutical retail, pharmaceutical marketing, R&D, production and terminal procurement. It has the ability to vertically integrate the upstream pharmaceutical manufacturing industry and downstream terminal health services, forming an industrial synergy of two-way development and full-chain symbiosis.

(2) Industry development

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

2025 is the final year of the country’s “14th Five-Year Plan” and a key node for the in-depth advancement of the “Healthy China 2030” strategy. With the in-depth evolution of population aging, the unprecedented increase in national health awareness and the continued release of chronic disease management needs, the pharmaceutical and health industry, as a national strategic industry, is undergoing profound changes in its development momentum and structure. The national level continues to deepen the reform of the medical and health system, and has issued a series of guiding policies in optimizing the centralized procurement mechanism, encouraging drug research and development and innovation, promoting the inheritance of traditional Chinese medicine, and developing the silver economy, pointing out the direction for the high-quality and sustainable development of the industry.

Against this grand background, the pharmaceutical industry as a whole has entered a new cycle of total volume pressure, structural differentiation, innovation drive, and ecological competition. According to Minai.com data, the retail scale of China's physical drugstores (drugs and non-drugs combined) in 2025 will be 616.5 billion yuan, a year-on-year decrease of 0.57%; Zhongkang CMH data shows that China's pharmaceutical terminal market size will be 2,003.3 billion yuan in 2025, a year-on-year decrease of 1.4%. Driven by the triple drive of policy guidance, market demand and technological change, the pharmaceutical industry in which the company is located as a whole shows the characteristics of accelerating concentration, optimization of centralized procurement rules, release of lower market potential, diversification of service models, and deep integration of digital intelligence.

1. The concentration situation intensifies and the advantages of leading companies are highlighted.

In 2025, the trend of concentration in the pharmaceutical retail industry will further strengthen. According to data from the Zhongkang Industry Research Institute, the total sales of the top 100 pharmaceutical retail companies have accounted for more than 60.9% of the national pharmaceutical retail market share, and the chain rate of the industry continues to increase. Relying on capital, supply chain and brand advantages, leading companies continue to expand their network layout through the "new opening + mergers and acquisitions + franchise" combination strategy, and their market share is steadily expanding. The trend of industry resources gathering towards leading companies has become more obvious, and the Matthew Effect has become increasingly significant.

2. The industry is undergoing deep adjustment, industry mergers and acquisitions are slowing down, and franchising is gradually speeding up.

In 2025, the pace of industry expansion will slow down. The latest data from the Zhongkang Pharmacy Platform shows that as of the end of the fourth quarter of 2025, the total number of drugstore stores nationwide was 680,500, a year-on-year decrease of 3.1% and a month-on-month decrease of 0.9%. Since the turning point in the fourth quarter of 2024, the number of pharmacies nationwide has decreased by nearly 26,000 stores. The cruel background of the industry’s stock game is clearly visible in the data. Against this background, the industry adopts a cautious wait-and-see attitude towards mergers and acquisitions. Leading companies have collectively slowed down the pace of mergers and acquisitions and paid more attention to regional reinforcement mergers and acquisitions. With the advantages of light assets and rapid expansion, the franchise model has become a new weapon for companies to expand their market share.

3. Improve the supervision system and increase the value of compliance operations

In 2025, the medical insurance supervision system will be further improved, showing full-chain and penetrating management characteristics. The comprehensive application of tools such as medical insurance unannounced inspections, intelligent monitoring systems and "four price comparisons" has enabled normalized and refined supervision of the operating behavior of designated pharmacies. At the same time, the dynamic adjustment of the medical insurance catalog and the deepening of the reform of payment methods have put forward higher requirements for the product structure and prescription drug management of pharmacies. Compliance is no longer a bottom-line requirement, but a core prerequisite for companies to achieve sustainable development, obtain outpatient coordination qualifications, and take on opportunities for prescription outflow.

4. The scope of centralized procurement is expanded and the profit structure is deeply adjusted.

Bulk procurement is being carried out on a regular basis, and the scope of national centralized procurement has been further expanded to categories such as Chinese patent medicines and biosimilar drugs. Traditional high-margin generic drugs are under pressure. The tenth batch of centralized procurement has been implemented in April 2025, with the number of purchased varieties reaching 62 and the amount involved exceeding 40 billion yuan. According to data from Zhongkang CMH Hospital, the unit prices of the tenth batch of winning bids for centralized procurement dropped by 67% year-on-year, and sales dropped by 68% year-on-year. The normalization of centralized purchasing forces enterprises to transform into high-margin businesses such as private brands (PB), agent brands (CB), health products, and medical devices, and move from the drug price difference model to the comprehensive value creation model of "products + services."

5. Two-wheel drive of innovation, R&D capabilities build barriers

2025 is the year of intensive implementation of pharmaceutical innovation policies. From the macro-strategy to the specific implementation level, the country has built a full-chain support system around innovative drug research and development, review, access, and payment. In January 2025, the General Office of the State Council issued the "Opinions on Comprehensively Deepening the Reform of Drug and Medical Device Supervision and Promoting the High-Quality Development of the Pharmaceutical Industry" to improve the review mechanism, strengthen intellectual property protection, and accelerate the launch of innovative drugs in terms of system design. In March 2025, the "Government Work Report" of the National Two Sessions clearly stated that future industries such as biomanufacturing should be cultivated, drug price formation mechanisms should be improved, and a catalog of innovative drugs should be formulated. In July 2025, the National Medical Insurance Administration and the National Health Commission jointly issued "Several Measures to Support the High-Quality Development of Innovative Drugs" to improve support measures from multiple dimensions such as R&D support, medical insurance access, commercial insurance expansion, and clinical application. In October 2025, the "Recommendations of the Central Committee of the Communist Party of China on Formulating the Fifteenth Five-Year Plan for National Economic and Social Development" clarified the strategic direction of innovation-driven and high-quality development of the pharmaceutical industry, and proposed a forward-looking layout of future industries, focusing on cultivating areas such as biomanufacturing as new economic growth points... Under the guidance of a series of policies, innovative research and development in the pharmaceutical industry remains active, and cutting-edge fields such as biopharmaceuticals, macromolecular antibody drugs, and nucleic acid drugs have attracted much attention. Data from Yaozhi shows that there are 103 new drug registration applications classified as Category 1 in 2025, a year-on-year increase of 25.61%; 86 varieties were approved for marketing during the same period, a significant year-on-year increase of 68.63%. Enthusiasm for innovative drug research and development is high. At the same time, the research and development and consistency evaluation of high-quality generic drugs continue to advance, providing a strong guarantee for market supply under the background of centralized procurement. Cutting-edge technologies such as artificial intelligence (AI) are increasingly used in drug discovery and clinical research, accelerating the research and development process. This trend has had a direct impact on the business sector: in order to take on more innovative drugs and biological agents, retail terminals continue to strengthen the professional service capabilities and cold chain logistics systems of their DTP pharmacies and dual-channel pharmacies. In 2025, the sales scale of innovative drugs in DTP pharmacies will maintain a strong growth trend, achieving sales of 23.3 billion yuan in the first quarter alone, a year-on-year increase of 15.0%. Integrated enterprises that enter the R&D and production field through their own R&D or strategic cooperation will build deeper barriers in cost control and product supply.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

6. The rise of the sinking market and strong growth momentum in counties

As the pharmaceutical retail market in first- and second-tier cities becomes increasingly saturated, the grassroots pharmaceutical market in counties and towns has shown strong momentum for development and is becoming an important strategic aspect for industry growth. Zhongkang Information Research shows that the growth rate of the county pharmaceutical market has been ahead of the urban market for many years. The industry's development of sinking markets has upgraded from simple channel coverage to comprehensive means such as terminal centralized procurement, B2B platforms, supply chain empowerment and customized products, deeply serving small and medium-sized chain pharmacies, independent stores and consumers, effectively solving the "last mile" problem of drug accessibility and service specialization in the grassroots market.

7. The silver economy unleashes potential and drives industrial upgrading

As the elderly population continues to grow and their consumption power increases, the market space brought about by the elderly's urgent needs for health and quality of life is fully opening up. As of the end of 2025, the country's population aged 60 and over reached 323.38 million, accounting for 23% of the total population, and the population aged 80 and over reached 35.8 million, creating a rigid demand for medical care, nursing, and rehabilitation. The scale of China's silver economy industry will reach 9 trillion yuan in 2025, and is expected to exceed 30 trillion yuan by 2035. Data from the State Administration of Taxation show that in the first half of the year, sales revenue from elderly care services, rehabilitation aids, nutritional supplements for the elderly, etc. all achieved significant growth. Population aging is not only an important trend in social development, but also a strategic opportunity for the transformation and upgrading of the medical and health industry. The country vigorously develops the silver economy and continuously improves the policy mechanism for the development of senior care and senior care industry. Under this guidance, the pharmaceutical retail industry has accelerated its transformation from single drug sales to comprehensive health service solutions that integrate "medicine, medicine, maintenance and nursing". With product structure optimization and service model innovation, it has deeply integrated into the country's active response to the aging of the population, and achieved a leap in industrial capabilities while serving people's livelihood.

8. Diversified development is accelerating and the value of professional services is highlighted.

In 2025, pharmaceutical retail companies will continue to deepen diversified operations and professional services. Leading companies have expanded their business boundaries around "medicine + medicine + health + health". Professional pharmacy forms such as DTP pharmacies, chronic disease management centers, and smart pharmacies have developed rapidly, and the sales proportion of health consumer goods has steadily increased. Professional pharmaceutical service capabilities are becoming a key component of an enterprise's core competitiveness, and the value of licensed pharmacists in chronic disease management, medication guidance, and health monitoring continues to be highlighted. The industry empowerment platform represented by the Chinese Health Business School promotes the overall improvement of professional service levels in the entire industry through systematic training and standard output. In the field of chronic disease management, the industry is accelerating the construction of a closed-loop service path of "blood sugar monitoring-complication prevention and control-nutritional support", promoting the transformation of pharmacies from traditional drug sales terminals to active health management platforms, and deeply embedding residents' full life cycle health management chain with professional capabilities.

9. Digital and intelligent transformation, moving from tool application to ecological reconstruction

Under the strategic guidance of new quality productivity, the digital and intelligent transformation of the pharmaceutical industry is moving from partial exploration to system reconstruction. In April 2025, seven departments including the Ministry of Industry and Information Technology jointly issued the "Implementation Plan for Digital and Intelligent Transformation of the Pharmaceutical Industry (2025-2030)", which clearly stated that by 2030, pharmaceutical industry enterprises will basically achieve full coverage of digital and intelligent transformation. Technologies such as artificial intelligence and big data are penetrating deeply from front-end marketing to core links such as supply chain management, inventory optimization, membership operations, and compliance risk control. Cutting-edge technologies such as AI large models, Internet of Things, and blockchain have begun to be explored and implemented in scenarios such as precision medicine, drug traceability, and intelligent decision-making. By building a data middle platform and a business middle platform, enterprises can achieve full-chain data-driven decision-making and operational efficiency improvement. The coordinated development of O2O, B2C and private domain traffic builds an omni-channel service ecosystem with deep online and offline integration, providing consumers with a more convenient and accurate healthy consumption experience.

Faced with multiple challenges such as the continued strengthening of national medical insurance supervision, the pharmaceutical retail market entering an era of weak growth, and the intensifying industry differentiation, the industry is shifting from scale expansion to a new development path that prioritizes quality and efficiency. Under the dual role of policy guidance and market drive, enterprises with ecological synergy capabilities, professional service capabilities and digital intelligence operation capabilities will continue to build and consolidate core competitiveness, lead the industry to a new stage of high-quality development, and contribute more to the construction of a healthy China.

3. Core competitiveness analysis

In the cycle of profound changes and adjustments in the pharmaceutical and health industry, Huaren Health has gone through several years of careful layout and industry development, and has successfully transformed into a four-in-one pharmaceutical industry ecological enterprise with "pharmaceutical retail, pharmaceutical marketing, terminal procurement, R&D and production", highly coordinated, and scientifically laid out. This unique ecological model constitutes the company’s deepest and most difficult-to-imitate core competitiveness and moat, which is specifically reflected in the following four dimensions:

(1) A comprehensive, three-dimensional and deeply integrated industrial ecology

The company has built a three-dimensional channel network covering different market levels and different customer types, and has formed a strong brand cluster effect.

The retail network has both depth and breadth: its subsidiary Guosheng Pharmacy has achieved deep cellular coverage in Anhui Province, forming a solid brand moat and scale advantages. At the same time, it has successfully deployed across provinces in Jiangsu, Zhejiang and Fujian markets, proving the replicability of its mature model. As of the end of the reporting period, the total number of stores reached 2,296, and the "Guosheng" brand has become the first choice of regional consumers' trust. At the same time, new retail business (B2C + O2O) sales reached 768 million yuan, which not only contributed considerable revenue, but also effectively complemented offline stores, jointly building omni-channel service capabilities and significantly improving brand influence.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Marketing innovation and expansion at the same time: The Chinese Health Platform takes professional pharmaceutical marketing capabilities as its core, deeply integrates upstream variety resources, and has established long-term and stable marketing cooperation with hundreds of well-known pharmaceutical companies. Its services cover downstream pharmaceutical businesses and terminal chain pharmacies, forming a marketing network with rich varieties and wide channels. Its subsidiary Quanfang Pharmaceutical focuses on terminal centralized procurement services, forming stable cooperation with thousands of member stores and controlled sales customers, and building a business structure that combines base areas and radiation networks. At the same time, Quanfang Pharmaceutical has innovated the provincial-level Ruimeng co-construction platform model, and achieved rapid penetration and intensive cultivation of the regional market through a deep alliance of co-construction and sharing. The "Quanfang" brand has become a distinctive banner for terminal empowerment in the sinking market.

(2) Terminal empowerment and value creativity constructed by “product matrix + private brand + professional empowerment”

In the user era, the company goes beyond simple commodity buying and selling relationships and forms a deep bond with end customers through the combination of "products + services".

Unique product matrix: Relying on the in-depth collaboration between Shenhua Pharmaceutical and Zhengyao Technology, the company has built a unique product matrix, covering multiple therapeutic areas such as cardiovascular and cerebrovascular, anti-infection, digestive system, and nervous system. As a comprehensive R&D and production platform, Shenhua Pharmaceutical has diversified product qualifications such as specialty raw materials, chemical drugs, Chinese patent medicines, and health care products. Among them, products such as Naoxinshu Oral Liquid and Yunzhi Capsules maintain a leading position in market segments. Zhengyao Technology focuses on the research and development of innovative drugs and high-end generic drugs. Shenhua Pharmaceutical's mature production system and Zhengyao Technology's forward-looking R&D pipeline work together to provide Chinese health business channels with a rich and advantageous product supply, directly improving terminal gross profit margin and market competitiveness.

The private brand matrix is increasingly improving: With the support of a strong product R&D and production system, the company continues to cultivate and strengthen its own brand camp, forming a health consumption brand matrix covering all categories and multiple scenarios: "Zhengyuan" chemical medicine series, "Fuman Medical" chronic disease management series, "Yikeqing" external skin series, "Gunengjian" orthopedic mineral maintenance series, "Guojin" traditional Chinese medicine nourishing series, "Beimeirui" nutritional health series, "Ke'anshu" non-medicinal equipment series and other fast-growing private brands, all ranking at the forefront of the industry in subdivided categories. In addition, the company also owns the "Tonghetang" brand, which is deeply involved in traditional Chinese medicine and general health products. The multi-brand, full-category self-owned product system not only effectively reduces dependence on external procurement, but also significantly improves the gross profit margin and differentiated competitiveness of terminal stores, becoming an indispensable value growth pole in the synergy of Chinese health ecology.

Industry-leading empowerment system: As the company's soft power output platform, the Pharmacy Business School provides terminal pharmacies with comprehensive solutions from talent training, store operations to marketing planning, and deeply implants the company's management standards and service concepts into cooperative terminals, greatly improving customer stickiness and single-store output.

(3) Forward-looking “combination of imitation and innovation” R&D innovation capabilities and solid achievement transformation capabilities

The company uses R&D innovation to store energy for the future and has built a clear and sustainable product pipeline.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

"Shenhua + genuine medicine" two-wheel-driven R&D and production system: Shenhua Pharmaceutical is based on special technologies such as the fermentation production of fungal drugs. It has the advantages of special raw materials such as Cordyceps fermentation powder, Armillaria elata, and Ganoderma spores. It is the backbone of the company's technology transformation and quality control. Zhengyao Technology focuses on innovative drugs, biological drugs and high-end generic drugs to build the vanguard of future growth. The two work together to form a R&D and production pattern that places equal emphasis on innovation leadership and feature enhancement.

Solid intellectual property rights and achievement transformation capabilities: During the reporting period, the company added 1 new authorized patent and 4 invention patent applications, reflecting its continuous innovation output; Glucosamine Sulfate Capsules have been successfully approved, and more than 30 projects have entered the application preparation, process verification and pilot stages, and 45 ongoing research projects have been continuously promoted, demonstrating high R&D efficiency.

(4) The integration of AI digital intelligence and smart supply chain effectively improves operational efficiency

The company has completed the advancement from digitalization to digital intelligence, built a full-link digital intelligence system that runs through R&D, production, supply chain and terminal services, and gradually entered the deep-water area of intelligent application, further achieving cost reduction and efficiency improvement in the entire chain.

Full-link digital and intelligent operation system: The company has created a "data + business" dual-middle platform architecture to realize the integration of data resources and intelligent analysis applications of full-service links. The digital tool matrix covering more than 10,000 stores across the country (including its own stores and cooperative stores empowered by business schools and centralized purchasing platforms) has enabled the company to complete the transformation from experience-driven to data-driven. The standardization rate of business processes has been greatly improved, and the efficiency of cross-department collaboration has been significantly improved, providing a solid guarantee for the large-scale expansion of the company.

In-depth application of AI large models: The company independently develops Ruisi AI large models, terminal intelligent assistants and multiple agents to effectively improve management and decision-making efficiency. The full application of large model technology in core scenarios such as precision marketing, intelligent replenishment, health consulting, and supply chain risk prediction can achieve accurate demand forecasting and inventory optimization, improve user experience, and promote member repurchase rates.

Intelligent warehousing and logistics system: An intelligent logistics system that integrates advanced technologies such as AS/RS automated warehouses, WMS systems, and TMS systems, realizing full-process digital control of ERP automatic goods requesting, intelligent sorting, and precise distribution in stores across the country, significantly improving logistics and distribution timeliness.

4. Main business analysis

1. Overview

(1) Pharmaceutical retail business operations

As the core terminal network of the company's ecosystem, Guosheng Pharmacy, established in August 2010, is a comprehensive pharmaceutical retail chain enterprise integrating online and offline operations. The company adheres to the business philosophy of "professional quality, affordable price and convenience" and the quality policy of "health first, quality first", and takes careful care of and "five-star service" for every customer. In more than ten years, Guosheng Pharmacy has developed rapidly on the fertile soil of Jianghuai and successfully expanded the Jiangsu, Zhejiang and Fujian markets through mergers and acquisitions, becoming one of the influential brands in East China.

In 2025, Guosheng Pharmacy adheres to the strategic development policy of "deeply cultivating Anhui, focusing on East China, and radiating to surrounding areas", and continues to implement the expansion strategy of "mergers and acquisitions, self-construction, and franchising" to achieve effective coverage of target blank markets in Anhui Province. At the same time, it further expands its presence in the East China regional market, with the number of stores increasing from 1,774 at the end of 2024 to 2,296.

1. Store expansion has shown results, and network coverage has been upgraded.

As a leading enterprise in the pharmaceutical retail industry in Anhui Province, Guosheng Pharmacy continues to deepen the construction of its channel network, and has successfully achieved full penetration into 16 prefecture-level cities in the province through various forms such as self-construction, franchising and equity participation. It has also achieved cross-provincial development after Nanjing, Jiangsu, and achieved strategic distribution in Zhejiang and Fujian provinces. As the number of terminal outlets continues to grow and coverage continues to expand, scale effects are gradually released, and brand awareness and market influence are increasingly enhanced. Relying on the resources and mature model of the headquarters, the company carries out management empowerment and resource introduction to target disadvantaged areas inside and outside the province in a planned and rhythmic manner, effectively improving operational efficiency and market competitiveness, and achieving new breakthroughs in regional integrated development and cross-regional management.

As of the end of the reporting period, the regional distribution of directly operated stores is as follows:

Unit: Region Number of self-built stores Number of acquired stores Number of closed stores Number of stores at the end of the period

Anhui Province 88 1 30 1,642

Henan Province 0 0 2 2

Jiangsu Province 7 0 1 31

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Zhejiang Province 0 58 17 203Fujian Province 2 420 4 418Total 97 479 54 2,296

Top ten stores by operating income

In 2025, the cumulative sales of the company's top ten stores will account for 5.16% of the company's retail business sales. The details are as follows:

actual operating area

Name Address Opening date Business format Business model Property ownership

(㎡)

Ma'anshan Guosheng Mandi New

Pharmaceutical chain

Pharmacy Chain Co., Ltd. Ma'anshan City February 2014 1,089 Directly operated leased property stores

Si Hubei Road Store

Anhui Guosheng Pharmacy Company

Pharmaceutical chain

Lock Co., Ltd. Lujiang Road Hefei City March 2012 264.42 Direct-operated rental property store

shop

Ma'anshan Guosheng Mandi New

Pharmaceutical chain

Pharmacy Chain Co., Ltd. Ma'anshan City February 2014 930 Directly operated rental property stores

Sitaoyuan Road Store

People in Anji County are fond of great medicine

Pharmaceutical chain

Delivered by Housing Chain Co., Ltd. Huzhou City May 2007 650 direct-operated rental property stores

Shop

Wuhu Guosheng Pharmacy

Pharmaceutical chain

Lock Co., Ltd. Huangshanxi Wuhu City May 2014 1,120 Direct-operated rental property stores

road store

Anhui Guosheng Pharmacy Company

Pharmaceutical chain

Lock Co., Ltd. Lujiang General Hefei City February 2014 300 Direct-operated rental property stores

shop

Anhui Guosheng Pharmacy Company

Pharmaceutical chain

Lock Co., Ltd. Huo Qiuwu Lu'an City March 2018 203 Direct-operated rental property stores

Yue Road Store

Anhui Guosheng Pharmacy Company

Pharmaceutical chain

Lock Co., Ltd. Yonghejia Hefei City July 2016 125 Direct-operated rental property stores

Yuandian

Anhui Guosheng Pharmacy Company

Pharmaceutical chain

Lock Co., Ltd. Sanli'an Hefei City March 2011 250 Direct-operated rental property stores

shop

Lu'an Guosheng Ping An Medicine

Pharmaceutical chain

Housing Chain Co., Ltd. Huo Lu'an City December 2012 110 Directly operated rental property stores

Shansandian

Store operating efficiency

As of the end of the reporting period, the company had a total of 2,296 directly operated stores, and its operating efficiency was as follows:

Project Physical store offline (including B2C) in 2025 340,954.77 Store revenue (10,000 yuan) Physical store O2O 44,716.48 Sales (A) 385,671.25 Beginning area 231,146.86 area (㎡) Ending area 255,421.13

Average area (B) 243,283.99

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Number of people at the beginning of the period 6,097

Number of store employees (person) Number of employees at the end of the period 7,392

Average number of people (C) 6,744.50

Floor efficiency (A/B, yuan/m2/day) 43.43

Personnel efficiency (A/C, yuan/person/day) 1,566.66

Note: Yangzu Huimin, Haihua Pharmaceutical, and Hangzhou Guosheng will be included in the scope of consolidated statements in June 2025.

2. Refined membership management and significantly enhanced customer stickiness

In the increasingly competitive retail pharmacy industry, member management has become the core competitiveness for companies to build moats and achieve sustainable growth. In 2025, Guosheng Pharmacy will upgrade its membership system to the company's strategic level, and realize the transformation from traffic operation to value digging through systematic reconstruction and all-round upgrades. The company strengthens organizational guarantee and technical support, actively introduces membership management professionals, and comprehensively upgrades the membership management system; at the operational level, it promotes the in-depth integration of online and offline professional services, creates store member service areas based on scenarios, and improves service experience and user interaction frequency. At the same time, relying on the advantages of the supply chain, it provides product empowerment and precise marketing support for terminal sales, efficiently activates new members, refines operations for old members, and continues to increase technology research and development and investment in intelligent systems. A series of systematic measures have significantly improved the professional service capabilities and operational efficiency of store members, enhanced member stickiness through precise operations, and further consolidated the long-term connection between consumers and the brand. As of the end of the reporting period, the number of members exceeded 13 million, and the membership management strategy has achieved remarkable results.

3. The quality and efficiency of new retail business have improved, and the omni-channel layout has been advanced in depth.

Faced with the contradiction between traffic expansion and profit guarantee that offline pharmacies commonly face in the process of new retail transformation, the company has successfully explored a unique development path with forward-looking layout and systematic innovation, and achieved breakthroughs through three major strategic measures: First, deepening the optimization of the supply chain system, relying on the group's centralized procurement advantages and complete logistics network to provide Improve commodity circulation efficiency and achieve lean cost control; second, innovate online commodity operation strategies, and significantly improve product satisfaction rate and sales level through data-driven product selection and precision marketing; third, comprehensively improve terminal service experience, effectively enhance user stickiness and repurchase intention through professional pharmaceutical services and refined membership management. In 2025, the company will continue to strengthen the integrated development of online and offline businesses, with a cumulative revenue of 768 million yuan from new retail business, and operating efficiency will be further improved.

4. The potential energy of the supply chain is fully released, and the results of cost reduction and efficiency increase are highlighted.

Relying on the system of various sectors of Chinese Health, the company deepens its advantages in centralized procurement. In terms of channel expansion and strategic cooperation, it actively connects with more centralized procurement platforms and upstream industries, establishes direct procurement and in-depth cooperation, and obtains more competitive procurement costs from the source. At the same time, we closely follow national and local centralized procurement policies, expand the variety of winning drugs, continuously optimize the product structure based on sales data in various regions, accurately introduce similar advantageous drugs and related sales products, and increase unit price per customer and overall profits through professional services such as joint medication guidance. By strengthening the construction of digital intelligent systems, such as intelligent replenishment systems, intelligent inventory adjustment systems, etc., we can implement precise procurement and inventory control of goods, reduce capital occupation and inventory costs, and then integrate the group's warehousing and distribution resources to shorten the distribution cycle, reduce distribution costs, and comprehensively improve the efficiency of the supply chain.

5. Digital intelligence construction is comprehensively deepened, and operation and management efficiency is greatly improved.

With business digitization and data intelligence as the core, the company comprehensively promotes digital intelligence construction, builds a data-driven intelligent operation system, and achieves a fundamental transformation from experience-based decision-making to intelligent decision-making.

At the technical foundation level, the company has built a cloud data warehouse to fully integrate multiple core systems such as ERP, POS, and Guosheng Daojia to achieve comprehensive data aggregation and standardization. At the system construction level, the company's total number of new system projects will reach 26 in 2025, a significant increase from 2024. Among them, there are nearly 20 system construction projects for Guosheng Pharmacy, and the construction of key systems such as procurement middle platform, CRM, chronic disease management, and medical insurance has achieved remarkable results.

In the field of supply chain, full-link management from headquarters to stores is opened up. The headquarters' intelligent procurement system and the intelligent inventory management system work together efficiently to track and control the product life cycle and help optimize procurement decisions. The store's intelligent replenishment system realizes automatic and accurate replenishment based on real-time sales, inventory and forecast data, significantly reducing inventory turnover days and out-of-stock rates. In terms of customer service, we build a complete intelligent service system that is member-centered, integrates front-end services and back-end management resources, deeply connects the chronic disease management system with the member management system, and provides personalized and periodic health management plans for chronic disease members and core members. in management

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

At the tool level, both the headquarters and stores are standardized and intelligent. The digital intelligent system has become an efficient bridge between headquarters management and store execution. Through data reverse-driven management, it provides scientific basis for precise store operation, marketing strategy formulation and performance appraisal.

6. The human resources organization system continues to be optimized and the foundation of the talent echelon is consolidated.

In 2025, the company strives to build an agile organization that drives sustained performance growth. It has strategically upgraded core departments such as procurement, operations, merchandise and human resources, focusing on optimizing functional configuration and collaboration mechanisms, breaking down departmental barriers, strengthening the collaborative effectiveness of front-end business, and achieving a leap in organizational capabilities from segmentation to integrated operations.

In terms of talent development, the company has established a systematic and multi-level talent training system. For middle and senior managers, create a growth path that transforms professional depth into management breadth, and accelerate the spiral growth of compound management talents through cross-company and cross-regional rotation experience and project practice. At the same time, we will continue to expand the scale of management trainees, systematically improve the company's middle-level reserves, and build a solid talent supply chain for the standardized output of cross-regional operations and chain models.

(2) Pharmaceutical marketing business operations

Pharmaceutical marketing is the company's core hub linking the upstream pharmaceutical industry and downstream retail terminals. It is positioned as the country's leading big health brand agent operator, deeply engaged in OTC marketing and chain omni-channel services, pioneering the direct supply model of pharmaceutical big health brands, and opening up a two-way channel for the implementation of industrial products and the improvement of terminal value. In 2025, the company will complete the strategic upgrade from traditional medicine agency to full-link pharmaceutical marketing, formally establish the core development model of "product marketing + service marketing" two-wheel drive, adhere to the business strategy of high quality, strong brand, and emphasis on service, and have reached in-depth strategic cooperation with a number of leading brand industries, and its business covers the whole country. , OEM customization, and full-category layout of private brand operations; at the same time, relying on the professional empowerment system of the Chinese Health Business School, we provide national cooperative customers with an integrated solution of "high-quality product supply + full-cycle operation empowerment", and build a new ecosystem of symbiotic and win-win pharmaceutical marketing industry through the deep integration of products and services.

1. Product marketing: Build a full-category brand matrix and build a solid competitive advantage of source products

The company's product marketing business is centered on OEM customization and private brand operation, with e-commerce brand operation represented by "Ke'an Shu" as the growth engine. Through branding system operation, omni-channel network layout, and digital precision marketing, it continues to strengthen the core competitiveness and brand influence of products, and at the same time provides differentiated product supply for the company's retail and centralized procurement sectors to achieve synergy across the entire industry chain.

In the field of OEM and private brand construction, the company relies on its profound accumulation of pharmaceutical industry resources, nationwide terminal channel network and synergy advantages of the entire industry chain to build a complete product matrix covering eight core categories including respiratory system, cardiovascular and cerebrovascular, antibiotics, and nutritional supplements. By implementing the two-wheel drive strategy of "category expansion and deepening + brand system construction", we will continue to optimize the product structure, focus on introducing high value-added and highly differentiated product specifications, deepen strategic cooperation and collaborative research and development with upstream high-quality industrial enterprises, and comprehensively improve supply chain efficiency and cost control capabilities. During the reporting period, the company achieved breakthrough progress in the construction of its own brand system. The collaborative development pattern of core private brands such as "Zhengyuan", "Ke'anshu" and "Forman Medical" was fully formed. Product differentiation advantages, terminal premium capabilities and channel penetration rates were significantly improved.

In the field of e-commerce brand operation, the "Ke'an Shu" household medical device brand that the company focuses on has become the core growth pole of the sector. With the core concept of "understanding what you need and protecting what you love", the brand focuses on the two core tracks of medical professional women's health and family health protection, and has successfully launched nearly 60 women's personal care and medical beauty repair products. With its excellent product quality and precise market positioning, its core products have been widely recognized by the market and continue to rank among the top three in terms of sales in sub-categories on mainstream e-commerce platforms such as Tmall, JD.com and Douyin. At the same time, the company innovates its digital marketing model, deeply deploys content e-commerce and social platforms, completes the omni-channel matrix layout of traditional e-commerce platforms such as Tmall, JD.com, and Pinduoduo, and content e-commerce platforms such as Douyin and Kuaishou. It has reached in-depth strategic cooperation with platforms such as Lilac Doctor and Xiaohongshu, and has built a full-link brand communication system through the output of professional health science content and the cultivation of talent matrix. In order to seize the opportunity of upgrading health consumption, the company has launched cross-border e-commerce business layout, expanded overseas markets through Tmall International and other platforms, and laid the foundation for the global development of the brand.

2. Service marketing: deepen professional empowerment and jointly build an industry ecosystem

The company's service marketing business is centered on specialization, systematization, and digital empowerment. It relies on the all-dimensional empowerment system of the Chinese Health Business School and the intelligent tool matrix of Jiezhu Software to build a full-chain service ecosystem for cooperative customers that covers "professional ability improvement, operating efficiency optimization, and operating performance growth." It uses service empowerment to drive the realization of product value, strengthens service stickiness with product supply, and continues to enhance the depth of customer cooperation, brand loyalty, and ecological symbiosis value.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

As the core empowerment engine of the company's service marketing, Chinese Health Business School always focuses on the operating pain points and development needs of pharmaceutical retail terminals, and provides systematic, practical, and implementable full-cycle empowerment services for cooperative pharmaceutical retail enterprises across the country. During the reporting period, the business school closely followed the industry development trends and the core demands of cooperative customers, comprehensively upgraded the original seven-segment empowerment system, and created a three-dimensional empowerment model of "management standard output + professional talent incubation + digital intelligence technology empowerment" to comprehensively assist cooperative pharmacies in achieving leapfrog improvements from single store operating capabilities to overall organizational effectiveness.

In terms of professional ability improvement and professional talent incubation, the business school has established a multi-level, stepped, full-cycle professional talent training system for core positions such as pharmacy store managers, licensed pharmacists, chronic disease specialists, commercial procurement managers, and operations managers. During the reporting period, a total of 28 offline special training courses were carried out, including more than 1,400 people in the operation line, more than 1,200 people in the purchasing line, and more than 11,000 people in the store manager special field. Online pharmacy professional training was also carried out simultaneously, covering 50,000 people, and its online learning platform "Zhengzheng Academy" registered more than 50,000 students, with a cumulative learning time of more than 2 million hours. In addition, the Business School distributed 10,000 copies of the "Chain Pharmacy Business Planning Manual" to small and medium-sized chain pharmacies across the country for free, providing standardized and systematic operating guidance for terminal stores and comprehensively improving the pharmaceutical service professionalism and sales capabilities of front-line staff in cooperative pharmacies.

In terms of operating efficiency optimization and operating performance growth, the business school focuses on core business links such as store route planning, product structure optimization, membership precision marketing, and operation system construction, and provides cooperative stores with in-depth in-store operation guidance of "one store, one strategy." During the reporting period, by introducing mature standardized operation management systems and full-case marketing methodologies to cooperative terminals, the company has completed on-site operation technical guidance for more than 1,500 cooperative pharmacies and implemented more than 2,100 special marketing activities. During the activities, the sales of cooperative pharmacies increased by an average of 20% month-on-month. At the same time, by optimizing the product structure for cooperative terminals and introducing high gross profit incremental varieties, the cooperative stores were effectively promoted to achieve comprehensive improvements in core operating indicators such as unit price per customer, repurchase rate, gross profit margin, and profitability.

In terms of industrial ecological co-construction and industry development leadership, the Business School continues to upgrade the IP influence of the industry's high-end summit "Ruisi Conference" and build it into an industry-level strategic exchange platform that gathers industrial resources, shares practical experience, and promotes ecological cooperation. By organizing diversified activities such as study tours for benchmarking companies, cross-regional cooperation and exchanges, and industry trend discussions, we actively promote the implementation of the ecological concept of "co-construction, sharing, and win-win", lead the industry to actively embrace digital intelligence, and work with industry partners to jointly promote the high-quality development of the pharmaceutical retail industry.

During the reporting period, the company's pharmaceutical marketing segment completely broke through the single price difference profit model of traditional pharmaceutical agents through the deep integration and two-way empowerment of product marketing and service marketing. It not only achieved a steady improvement in the segment's own operating scale and profitability, but also formed in-depth collaboration with the company's retail, centralized procurement, and R&D manufacturing segments, providing core support for the company's national layout of the entire industry chain ecosystem.

(3) R&D and production business operations

By integrating the R&D capabilities of the New Drug Research Institute (i.e. Zhengyao Technology) and the industrialization advantages of Shenhua Pharmaceutical, the company has successfully built a complete industrial closed loop covering R&D, pilot trials and commercial production, forming a two-wheel-driven development pattern of "R&D leadership + production support".

1. R&D system: rich and diversified pipeline layout, accelerated transformation of innovative results

As of the end of the reporting period, the Group had 45 projects under research, covering more than ten therapeutic areas such as cardiovascular, digestive system, immune system, respiratory system, nutritional supplements and functional health products. The R&D pipeline is rich and diversified, showing broad market prospects.

As a wholly-owned subsidiary of the company and the core growth pole in the future, Zhengyao Technology has developed into an innovative R&D platform with dual engines of innovative drugs and high-end generic drug research and development. The company continues to consolidate its research and development foundation, focusing on the deployment of generic drugs, biological drugs, and innovative drugs with clinical value. Relying on the open R&D structure and continuous R&D investment, the R&D team has expanded to 40 people and established an efficient R&D management system with the project as the core to ensure the rapid advancement of R&D projects.

In terms of registration applications, a total of 6 product registration applications have been completed. Among them, glucosamine sulfate capsules have been successfully approved for drug registration certificates in February 2025; 5 products including sacubitril-valsartan sodium tablets, dapagliflozin tablets, vonoraphan fumarate tablets, lactulose oral solution, and ambroterol oral solution are in the review or supplementation stage. In addition, more than 30 projects have entered the application preparation, process verification and pilot stages, demonstrating high R&D transformation efficiency.

During the reporting period, the company invested RMB 32.78 million in R&D, fully demonstrating its firm commitment to innovative R&D. At the same time, the company actively promotes the construction of R&D platform qualifications, completes the identification of technology-based small and medium-sized enterprises, and completes the annual report filing and digital diagnosis of high-tech enterprises. With 1 new authorized patent and 4 invention patent applications submitted, the company continues to strengthen intellectual property barriers and provide a solid guarantee for sustainable development.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

2. Production system: technological advantages have achieved remarkable results, and intelligent manufacturing has improved quality and efficiency.

As an important company in the pharmaceutical industry, Shenhua Pharmaceutical is the first modern pharmaceutical high-tech enterprise in China to master fungal fermentation and xanthan gum industrialization technologies. It has long been engaged in the research, development, manufacturing and sales of fungal drugs and health care functions. The company has a complete qualification system, with 39 pharmaceutical preparation approvals, 9 API approvals, 1 pharmaceutical excipient approval, 10 health food approvals, as well as diversified product qualifications such as special dietary products and solid beverages. With its outstanding technical strength, the company has been awarded many important qualifications such as the Joint R&D Base of the Institute of Microbiology of the Chinese Academy of Sciences, the Jiangsu Medicinal Fungi Bioengineering Technology Research Center, and the Postdoctoral Research Workstation, and has established a complete technological innovation platform.

In terms of product competitiveness, "Shenhua Weikang" was recognized as a well-known trademark in China, the core product xanthan gum was rated as a national new product, and the cordyceps powder series was rated as a famous brand product and high-tech product in Jiangsu Province. Yunzhiji Capsule obtained the protected variety qualification of traditional Chinese medicine in 2003 and 2008, and products such as Naoxinshu Oral Liquid and Weileshu Oral Liquid have maintained their leading position in market segments.

In terms of new product research and development, Shenhua Pharmaceutical closely focuses on the fields of specialty fermentation technology and fungal health care, and combines the group's commercial channel advantages to carry out projects. Through diversified models such as independent research and development, cooperative development, and approval introduction, we maintain in-depth cooperation with multiple scientific research institutions, and actively expand into emerging fields such as synthetic biology, traditional Chinese medicine, chemical medicine, and functional health care. On the production side, a complete manufacturing system covering the research and development, pilot testing, commercial production and supporting facilities of microorganisms, chemical drugs and traditional Chinese medicine projects has been established.

During the reporting period, with its excellent manufacturing capabilities, the company won many honors such as Jiangsu Province's Advanced Smart Factory Certification, Jiangsu Province's Vice President of Science and Technology, and Huaian City's R&D Management System Standard Implementation. Its intelligent manufacturing level has been authoritatively recognized.

(4) Operation status of terminal centralized purchasing business

Through Quanfang Pharmaceutical's professional operation of terminal centralized procurement business, the company has built a five-empowerment system with "brand empowerment, product optimization, management output, technical training, and talent guidance" as the core, and created a comprehensive service platform integrating procurement, operation, distribution and management. The company focuses on providing innovative supply chain management solutions for small and medium-sized pharmacies, and has become the industry's leading preferred service provider for pharmacies, with a service network covering the entire country.

Quanfang Pharmaceutical's membership store business is strategically based in Anhui and continues to radiate into surrounding markets. Through the integrated empowerment model of "commodity centralized procurement + operational guidance + system linkage", customer stickiness and single store operation quality are simultaneously improved.

As a new growth engine, the national controlled sales business focuses on the vast number of small and medium-sized chain, single and multi-store pharmacies, showing strong momentum of rapid expansion. The successful expansion of the all-in-one controlled sales business has further improved the strategic layout of Chinese Health Group in lower-tier markets, effectively synergized with the company's existing retail and agency businesses, and jointly built a comprehensive three-dimensional business network covering large chains, medium-sized chains, small and micro terminals and independent pharmacies, achieving deep penetration of multi-level customer groups and resource integration.

In 2025, Quanfang Pharmaceutical will complete its brand strategy upgrade and achieve a successful transformation from a regional centralized procurement service provider to a national terminal empowerment platform. The innovative provincial Ruimeng co-construction platform model has achieved substantial breakthroughs in key areas such as Hebei and Shandong. Relying on the cooperation mechanism of "co-construction, sharing and win-win", it helps alliance customers achieve sales growth. The self-built “all-round” B2B platform provides solid support for the national business layout.

(5) Development of digital and intelligent transformation

The company has always regarded digital and intelligent transformation as its core development strategy, comprehensively promoting the in-depth integration of new generation information technologies such as artificial intelligence and big data with the entire pharmaceutical and health industry chain, as well as the entire business chain such as procurement, warehousing, operations, marketing, and management. It has built an industry-leading digital ecosystem and achieved all-dimensional online and efficient collaboration of employees, products, customers, and management.

1. Technical base: dual-middle platform architecture opens up the data context and lays the foundation for intelligence

At the group level, the company has built and continued to improve a solid technical foundation driven by "business + data" dual middle platforms. The business center integrates core business capabilities such as procurement, merchandise, membership, and marketing into standardized and reusable service modules to support agile innovation and efficient collaboration in each business segment. The data center gathers data from zero

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

It integrates all-area data resources at point-of-sale terminals, supply chains, online platforms and internal management to form a high-value data asset pool. Relying on dual-middle-end engines, data sharing and business collaboration are achieved, providing a solid foundation for full-link digital operations and intelligent applications.

The company builds a unified cloud data warehouse and integrates ERP, POS, Guosheng Daojia and other systems to achieve comprehensive data aggregation and standardized data warehouse construction, promoting the company to complete multi-system data integration and realizing data out of one hole. The platform can support tens of billions of data processing, significantly reduce operation and maintenance costs, and significantly improve operation and decision-making efficiency.

2. Core scenario: full-link intelligent application, reshaping operating model and user experience

The company focuses on the three major aspects of store operations, supply chain logistics and customer service, and promotes the in-depth application of digital tools and intelligent systems. In terms of store operations, the intelligent replenishment system realizes automatic and accurate replenishment based on real-time sales and forecast data, effectively reducing the out-of-stock rate; the intelligent marketing system drives personalized promotions through data models to increase market sales rates. In terms of supply chain and logistics, the WMS warehousing management system, TMS transportation management system, AS/RS automated three-dimensional warehouse and intelligent picking system are integrated to realize automatic ERP requesting, intelligent warehousing and precise distribution in stores across the country. In terms of customer service, the digital and intelligent chronic disease management service system relies on big data technology to achieve closed-loop management of the entire disease process and increase member repurchase rates; it also optimizes interfaces such as medical insurance payment and online consultation, greatly improving service response speed and convenience.

3. Intelligent advancement: Deepen the application of AI large models and build a full-scenario intelligent service system

Through AI large model technology, the company promotes the deep integration of large language models, big data technology and full medical and health business scenarios to enhance the intelligence level of the entire industry chain. Based on the core needs of vertical scenarios in the medical and health industry, the company independently developed the Ruisi AI large model and derived multiple vertical intelligence agents such as Chinese data analysis, Chinese symptom diagnosis, Guosheng diagnostic drug promotion, Guosheng pharmaceutical identification, etc., forming a product layout of "one basic large model plus multiple scenario-based intelligence agents".

At the scene implementation level, the company has created the "Shengxiao" series of intelligent agent matrices to comprehensively improve business operation efficiency. Among them, it has joined hands with iFlytek Xiaoyi to jointly develop "Shengxiaoyi" to provide consumers with health consultation, pharmaceutical services, personalized medication guidance and follow-up services, effectively improving customers' medication compliance and the repurchase rate of chronic disease members. At the same time, "Shengxiaotong" empowers internal employees and store operations, and "Shengxiaoce" supports management's business decision-making analysis. The company also combines many years of pharmaceutical retail operation experience with large models to launch an industry vertical large model - Ruisi AI large model, as well as pharmacist AI assistants that empower front-line clerks, to provide integrated intelligent application solutions for pharmacies across the country, and achieve value extension from internal efficiency improvement to industry empowerment.

4. Ecological empowerment: open sharing of digital intelligence capabilities to drive business collaboration and value co-creation

The company provides cost optimization support for each business unit through a unified procurement middle platform and price intelligent monitoring system; the integrated CRM and data middle platform realize member insight sharing and precise marketing linkage between various sectors; at the same time, mature chronic disease digital management tools and operational experience are exported to ecological partners through business schools and centralized procurement platforms to jointly enhance terminal professional service capabilities.

At present, the company's digital and intelligent transformation has transcended the tool level and evolved into the core competitiveness of deeply integrating businesses, driving innovation, and building an ecosystem. During the reporting period, the company continued to deepen technological innovation and actively laid out intellectual property protection. It will steadily promote software research and development in the future and plans to apply for 1-3 invention patents to build strong intellectual property barriers. In the future, the company will continue to deepen technological exploration and scenario innovation, and strive to create a new ecosystem for the medical and health industry that is more agile, smarter, and more resilient.

2. Income and costs

(1) Composition of operating income

Overall operating income

Unit: Yuan 2025 2024

Year-on-year increase or decrease amount as a proportion of operating income Amount as a proportion of operating income

5,486,683,545.9 4,531,692,295.2

Total operating income 100% 100% 21.07%

1 3

By industry

3,856,712,480.2 3,148,291,193.0

Pharmaceutical retail 70.29% 69.47% 22.50%

9 8

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Pharmaceutical marketing 970,090,161.49 17.68% 795,918,434.72 17.56% 21.88% Terminal centralized procurement 365,376,142.38 6.66% 344,118,228.73 7.59% 6.18% Industrial production 185,082,256.32 3.37% 165,283,409.03 3.65% 11.98%Information services 297,384.38 0.01% 273,179.61 0.01% 8.86%Other business income 109,125,121.05 1.99% 77,807,850.06 1.72% 40.25% by product

4,427,347,083.8 3,636,607,624.2

Chinese and Western patent medicines 80.69% 80.25% 21.74%

3 3

Traditional Chinese medicine pieces 203,532,272.45 3.71% 148,845,787.97 3.28% 36.74%Health products 185,769,424.92 3.39% 209,386,312.86 4.62% -11.28%Medical equipment 105,722,208.17 1.93% 181,427,215.15 4.00% -41.73% API 137,234,382.20 2.50% 85,773,868.84 1.89% 60.00% Other commodities 318,261,541.90 5.80% 191,843,636.12 4.23% 65.90% Other business income 108,816,632.44 1.99% 77,807,850.06 1.72% 39.85% By region

4,415,616,889.1 3,671,618,679.2

East China 80.48% 81.02% 20.26%

8 2

South China 82,550,209.99 1.50% 70,748,593.63 1.56% 16.68% Central China 167,533,413.06 3.05% 150,110,491.58 3.31% 11.61% North China 159,321,757.46 2.90% 122,442,285.46 2.70% 30.12%Northeast Region 217,403,168.44 3.96% 175,039,389.06 3.86% 24.20%Northwestern Region 126,888,196.58 2.31% 89,634,546.02 1.98% 41.56%Southwestern Region 202,517,387.21 3.69% 170,202,257.82 3.76% 18.99% Overseas 5,771,743.70 0.11% 4,088,202.38 0.09% 41.18% Other business income 109,080,780.29 1.99% 77,807,850.06 1.72% 40.19% divided by sales model

(2) Industries, products, regions, and sales models that account for more than 10% of the company’s operating revenue or operating profit

Applicable □Not applicable

Unit: Yuan Operating income compared to the previous year Operating cost compared to the previous year Gross profit margin compared to the previous year’s operating income Operating cost Gross profit margin

Increase/decrease in the same period of the year Increase/decrease in the same period of the year Increase/decrease in the same period by industry

3,856,712,48 2,545,522,99

Pharmaceutical retail 34.00% 22.50% 20.63% 1.03% 0.29 5.64

970,090,161. 647,393,033.

Pharmaceutical marketing 33.26% 21.88% 19.25% 1.47%

49 78

By product

4,427,347,08 3,069,358,37

Chinese and Western patent medicines 30.67% 21.74% 18.02% 2.19%

3.83 0.21

By region

4,415,616,88 2,976,516,03

East China 32.59% 20.26% 18.54% 0.98%

9.18 7.53

Split sales model

If the statistical caliber of the company's main business data is adjusted during the reporting period, the company's main business data in the most recent year will be adjusted based on the caliber at the end of the reporting period.

□Applicable Not applicable

(3) Whether the company’s physical sales revenue is greater than its labor service revenue

Yes □No

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Industry Classification Project Unit 2025 2024 Year-on-year increase or decrease

3,856,712,480.2 3,148,291,193.0

Sales volume Yuan 22.50%

9 8

Pharmaceutical retail production volume Yuan 0.00

Inventory Yuan 580,850,581.74 470,408,753.99 23.48%

1,335,466,303.8 1,140,036,663.4

Sales volume Yuan 17.14%

7 5

Pharmaceutical marketing, terminal

Production volume Yuan

centralized purchasing

Inventory amount Yuan 446,518,779.31 363,670,884.52 22.78%

Sales volume Yuan 185,082,256.32 165,283,409.03 11.98% Production volume Yuan 99,363,098 95,814,517.17 3.70% Pharmaceutical production

Inventory amount Yuan 38,285,081.17 42,079,574.59 -9.02%

Explanation of reasons why relevant data changed by more than 30% year-on-year

□Applicable Not applicable

(4) Performance of major sales contracts and major purchase contracts signed by the company as of this reporting period

□Applicable Not applicable

(5) Composition of operating costs

Industry classification

Industry classification

Unit: Yuan

2025 2024

Industry classification Item Ratio of operating costs Ratio of operating costs Year-on-year increase or decrease Amount

heavy heavy

2,545,522,99 2,110,238,49

Pharmaceutical retail goods 70.18% 69.11% 20.63% 5.64 5.45

647,393,033. 542,877,377.

Pharmaceutical marketing products 17.85% 17.78% 19.25% 78 05

325,225,924. 300,628,064.

Terminal centralized procurement of goods 8.97% 9.85% 8.18% 53 01

87,127,777.8 79,700,537.9

Industrial production commodities 2.40% 2.61% 9.32%

7 0

Information services Services 663,161.89 0.02% 933,001.76 0.03% -28.92%

21,062,871.3 19,216,443.0

Other business costs services 0.58% 0.63% 9.61%

1 4

Description

None

(6) Whether there are changes in the scope of consolidation during the reporting period

Yes □No

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

1. Mergers and Acquisitions

① The company acquired 4.99% equity of Fujian Yangzu Huimin Pharmaceutical Chain Co., Ltd. in November 2023, and acquired 46.01% equity of Fujian Yangzu Huimin Pharmaceutical Chain Co., Ltd. in May 2025, holding a total of 51% equity, which is included in the scope of consolidated statements;

② The company acquired 4.99% equity of Fujian Haihua Pharmaceutical Chain Co., Ltd. in December 2023, and 49.567% equity of Fujian Haihua Pharmaceutical Chain Co., Ltd. in May 2025, holding a total of 54.557% equity, which is included in the scope of consolidated statements;

③The company acquired 4.99% equity of Tonglu Yishengtang Pharmacy Chain Co., Ltd. in November 2023, and acquired 95.01% equity of Tonglu Yishengtang Pharmacy Chain Co., Ltd. in May 2025, holding a total of 100% equity, which is included in the scope of consolidated statements. Tonglu Yishengtang Pharmacy Chain Co., Ltd. was renamed "Hangzhou Guosheng Pharmacy Chain Co., Ltd." in June 2025;

④ Anhui Guosheng Pharmacy Chain Co., Ltd., a wholly-owned subsidiary of the company, acquired 99% of the equity of Hefei Guosheng Guosi Pharmacy Co., Ltd. in August 2025 and included it in the scope of consolidated statements; Hefei Guosheng Guosi Pharmacy Co., Ltd. was renamed "Hefei Guosheng Wei Meiyuan Pharmacy Co., Ltd." in August 2025;

2. New establishment

① In January 2025, the company established a new subsidiary, Anhui Shenhua Pharmaceutical Co., Ltd., and included it in the scope of consolidated statements;

② In June 2025, the company established a new subsidiary, Feixi Guosheng Pharmacy Chain Co., Ltd., and included it in the scope of consolidated statements;

③In October 2025, the company established a new subsidiary, Anhui Guosheng Convenience Store Co., Ltd., and included it in the scope of consolidated statements;

3. Transfer and cancellation

① In March 2025, the company canceled its subsidiary Hefei Yuanxing Comprehensive Clinic Co., Ltd. and will no longer be included in the scope of consolidated statements;

② In May 2025, the company canceled its subsidiary Nanjing Tonghetang Pharmacy Co., Ltd. and will no longer be included in the scope of consolidated statements;

③In August 2025, the company canceled its subsidiary Longyan Haihuayongxin Information Consulting Services Co., Ltd. and will no longer be included in the scope of consolidated statements;

④In September 2025, the company canceled its subsidiary Nanjing Zhouji Pharmacy Co., Ltd. and will no longer be included in the scope of consolidated statements;

⑤In December 2025, the company transferred its 51% equity in Bozhou Yuanhua Pharmaceutical Technology Co., Ltd., no longer held its equity, and was no longer included in the scope of consolidated statements.

(7) Significant changes or adjustments to the company’s business, products or services during the reporting period

□Applicable Not applicable

(8) Major sales customers and major suppliers

The company’s main sales customers

The total sales amount of the top five customers (yuan) 89,488,500.99 The total sales amount of the top five customers accounts for the proportion of the total annual sales 1.63% The sales volume of the top five customers accounts for the proportion of the sales of related parties in the total annual sales 0.00% Information of the company's top five customers

Serial number Customer name Sales volume (yuan) Proportion of total annual sales 1 Customer A 23,613,765.39 0.43% 2 Customer B 19,184,692.61 0.35% 3 Customer C 17,601,504.42 0.32% 4 Customer D 17,423,138.04 0.32% 5 Customer E 11,665,400.53 0.21%

Total -- 89,488,500.99 1.63% Other information about major customers

□Applicable Not applicable

The company’s main suppliers

The total purchase amount of the top five suppliers (yuan) 1,576,004,884.50 The total purchase amount of the top five suppliers accounts for the proportion of the total annual purchase 44.94% Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Proportion of related party purchases among the top five suppliers’ total annual purchases 0.00% Information on the company’s top five suppliers

Serial number Supplier name Purchase amount (yuan) Proportion of total annual purchases

1 Supplier A 436,556,123.89 12.39% 2 Supplier B 404,651,737.54 11.48% 3 Supplier C 385,428,531.99 10.94% 4 Supplier D 243,131,445.60 6.90% 5 Supplier E 106,237,045.48 3.01% Total -- 1,576,004,884.50 44.94% Other information on major suppliers

□Applicable Not applicable

During the reporting period, the company’s trading business revenue accounted for more than 10% of its operating revenue.

□Applicable Not applicable

3. Cost

Unit: Yuan 2025 2024 Year-on-year increase or decrease Explanation of major changes

Selling expenses 1,175,139,158.03 997,770,391.32 17.78% Mainly due to the increase in sales scale

Mainly due to the depreciation provision for the new headquarter office building management fee for fixed assets 231,402,054.54 194,391,170.65 19.04% and the increase in merger and acquisition integration costs

Mainly due to the increase in borrowing interest and interest income financial expenses 27,068,243.08 24,694,022.07 9.61%

caused by reduction

Research and development expenses 29,579,981.52 29,387,268.49 0.66%

4. R&D investment

Applicable □Not applicable

Main research and development

Project purpose Project progress Goals to be achieved Estimated impact on the company’s future development Project name

Relying on Rui, which is specially built for pharmaceutical retail, we are deeply involved in the vertical field of pharmaceutical retail.

With the help of AI optimization services and operations, Liansi AI large model and multiple agents can be implemented to adapt to the intelligence of industry scenarios.

road, feed back its own direct sales system, continue the development of AI, integrate pharmaceutical retail operations, continue to iterate the system, and improve the professionalism of cooperative pharmacies

Continue to improve operating efficiency, management standards and terminal practical experience, and provide pharmaceutical service capabilities and store operations

Flat.

One-stop AI solution efficiency and sales conversion capabilities.

Assetization of data resources effectively helps realize the standards of the group’s core data

Eliminate data silos and gather group data. The group’s digital transformation improves refinement and assetization and realizes group data.

Data, conduct data governance, achieve data refinement of ROI, improve the unification of data analysis caliber for decision-making, and achieve

The mid-stage data resources are capitalized and data technology is used to continuously iterate to ensure accuracy. Improve data security management in all business analysis meetings of the group

Empower business operations and management decision-making, manage capabilities, comply with relevant data security data automation, and effectively support data

Continuously improve data security management capabilities to comply with regulatory requirements of laws and regulations to ensure digital management and decision-making.

Business continuity.

Unify and collect customer-related information to build a unified customer information platform.

Relying on the system to standardize policy implementation, timely precipitation policy implementation, and promotional activities. Complete collection of policy implementation and promotions

Sales implementation and business development process, comprehensive dimensional activities, business progress and other core information such as assistance and business development

Management Category Continuously Iterating Forces the company to develop new promotion models and data, break down departmental information barriers, achieve real benefits, and ensure orderly promotion of business development

business direction, cultivate new performance and increase cross-department customer information to efficiently advance together, and achieve customer management process standards.

Longer.

sharing, ensuring the coordination of promotion and development work, and providing guidance for overall business decision-making.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Promote and provide reliable data basis.

Significantly improve pharmacy medical insurance sales efficiency, chain store POS system achieves revenue

Open up the medical insurance system, ensure medical insurance purchasing & compliance, and improve the supervision of Guosheng brand competition. Continue to iterate the integration of Bank of China & medical insurance settlement, and medical insurance

Drug efficiency, compliance and competitiveness help retail pharmacy business expand insurance and settlement traceability codes to fully cover it.

open.

Consolidate the base of chronic disease user groups and strengthen user promotion through the launch of discount packages

Increase the repurchase rate of chronic disease drugs, increase the company's marketing repurchase rate and stickiness in the field of chronic disease drugs, and drive the continuous iteration of chronic disease drugs.

Increase the average monthly medication purchase frequency of users to increase market competitiveness and create long-term revenue growth product sales

Build a strong foundation.

Antihypertensive drugs are conducive to improving the company's ZY-enriching its business structure and improving market competition. Applications have been submitted and accepted, and drug registration approval documents have been obtained to achieve

The company's market competitiveness and competitiveness for the company's future Z202202 is under CDE review and is available for sale

Positive impact on performance.

Drugs that inhibit gastric acid are conducive to improving ZY- Enriching business structure and improving market competition. The application has been submitted and accepted, and drug registration approval has been obtained to achieve

The company's market competitiveness is not Z202307 competitive for the company. It is under CDE review and is on sale.

have a positive impact on performance.

Hypoglycemic drugs are conducive to improving the company's ZY-enriching its business structure and improving market competition. Applications have been accepted and drug registration approval documents have been obtained to achieve

The company's market competitiveness and competitiveness for the company's future Z202201 is under CDE review and is available for sale.

Positive impact on performance.

Drugs for the treatment of constipation are conducive to improving ZY- Enriching business structure and improving market competition. The application has been submitted and accepted, and drug registration approval has been obtained to achieve

The company's market competitiveness is not Z202309 competitive for the company. It is under CDE review and is on sale.

have a positive impact on performance.

Respiratory system drugs are conducive to improving SH-H-H- enriching business structure and improving market competition. Applications have been accepted and drug registration approval documents have been obtained to achieve

The company's market competitiveness, the company's un-202501 competitiveness, CDE review, listing for sale

have a positive impact on performance.

Increasing bone density is conducive to improving the company's SH-H-Z- Enriching business structure and improving market competition. Obtaining health food registration approval pending on-site verification by the National Bureau.

The company's market competitiveness will contribute to the company's future 202413 Competitiveness Check to achieve listing sales

Positive impact on performance.

Heat-clearing and sore throat medicine is conducive to improving the company's SH-H-Z- Enriching business structure and increasing market competition. Obtaining drug registration approval and realizing

Pending declaration stage The company’s market competitiveness, the company’s future 202405 competitiveness to go on the market

Positive impact on performance.

Drugs for the treatment of constipation are conducive to improving ZY- Enriching the business structure and increasing market competition Obtaining drug registration approval documents to achieve

Stability research stage The company's market competitiveness, Z202316 Z202316 is not yet competitive for the company to go on sale.

have a positive impact on performance.

Antiviral drugs are conducive to improving the company's ZY-enriching its business structure and improving market competition. Obtaining drug registration approval documents and achieving

Stability research stage. The company's market competitiveness and its competitiveness for the company's future Z202405 will be put on the market.

Positive impact on performance.

Treatment of moderate to severe active rheumatoid arthritis - Enrich the business structure and increase market competition. Obtain drug registration approval and implement anti-inflammatory drugs, which will help improve the company's stability in the research phase.

Z202318 Competitiveness, market competitiveness, market competitiveness, will have a positive impact on the company's future performance.

Drugs for the treatment of respiratory diseases have ZY- enrich the business structure and improve market competition. Obtaining drug registration approval documents will help improve the company's market competitiveness and stabilize the research stage.

Z202404 strives to be put on the market and have a positive impact on the company's future performance.

Drugs for the treatment of iron deficiency anemia are beneficial to ZY- Enriching the business structure and improving market competition Obtaining drug registration approval to enhance the company's market competitiveness and improve the stability research stage

Z202315 strives to go on sale and have a positive impact on the company's future performance.

It clears away heat, purges fire, diuresis and relieves stranguria, which is beneficial to SH-H-Z- Enrich the business structure and improve market competition. Obtained drug registration approval to achieve the goal of improving the company's market competitiveness and conducting research on stability.

202302 strives to go on the market and have a positive impact on the company's future performance.

Kidney-enhancing products are conducive to improving the company's SH-H-Z- enriching business structure and increasing market competition. Obtaining drug registration approval documents, achieving

Stability research stage Market competitiveness, competitiveness for the company's future industry 202304 Listed sales

have a positive impact on performance.

SH-H-Z- Enrich the business structure, improve market competition, obtain drug registration approval, and achieve the research stage of stability in the treatment of headaches, dizziness, and goiter.

202502 strives to market and sell drugs for diseases such as

The company's market competitiveness will have a positive impact on the company's future performance.

ZY, a drug for the treatment of active rheumatoid arthritis - enriches the business structure and improves market competition. Obtaining drug registration approval and realizing products will help improve the company's market competition and process verification stage.

Z202403 Competitiveness Listed on the market Competitiveness will have a positive impact on the company's future performance.

Hypoglycemic drugs are conducive to improving the company's ZY-enriching its business structure and increasing market competition. Obtaining drug registration approval documents and achieving

Process verification stage: The company's market competitiveness, the company's future Z202402 competitiveness to be put on the market

Positive impact on performance.

Tonifying the lungs and kidneys, replenishing essence and qi, it is beneficial to improve SH-H-Z- Enrich the business structure and improve market competition. Pilot research stage Obtained Hong Kong registration approval and realized

Improve the company's market competitiveness and make the company more competitive (completed) and go on sale

have a positive impact on future performance. Heat-clearing and detoxifying medicine is conducive to improving the company's SH-H-Z- Enriching business structure and improving market competition. Obtaining drug registration approval in the pilot research stage, achieving

The company's market competitiveness, the company's future competitiveness 202310 (Completed) Listed for sale

Positive impact on performance.

Iron supplements are conducive to improving the company's market SH-H-H- Enriching business structure and improving market competition. Pilot research stage Obtaining drug registration approval and realizing

Market competitiveness, competitiveness for the company’s future performance 202508 (Completed) Listed for sale

Make a positive impact.

SH-H-Z-, a drug for promoting blood circulation, dissipating blood stasis and reducing swelling and analgesic, enriches the business structure and improves market competitiveness. Obtaining drug registration approval in the pilot research stage will help to enhance the company's market competition 202501 Competitiveness (Complete) Market sales, and have a positive impact on the company's future performance.

Sports nutrition food - protein supplement SH-H-Z - enrich the business structure and improve market competition. Obtain health food registration approval, category. Conducive to improving the company's market competition pilot research stage

202412 Competitiveness Achieve listing and sales Competitiveness will have a positive impact on the company's future performance.

Calcium and zinc supplementation drugs are conducive to improving ZY- enriching the business structure and increasing market competition. Obtaining drug registration approval documents, achieving

The company's market competitiveness is in the pilot research stage, and Z202209 is not yet competitive for the company to go on sale.

have a positive impact on performance.

Anti-influenza virus drugs are conducive to improving ZY- enriching business structure and improving market competition. Obtaining drug registration approval documents and realizing

The pilot research stage is to enhance the company's market competitiveness and compete for the company's Z202401 to be put on the market.

have a positive impact on future performance. Drugs for the treatment of hyperuricemia are beneficial to ZY- Enriching the business structure and improving market competition Obtaining drug registration approval documents to enhance the company's market competitiveness and improve the pilot research stage

Z202501 strives to go on sale and have a positive impact on the company's future performance.

Osteoarthritis and other anti-inflammatory and analgesic drugs, HN260102 enriches the business structure and improves market competition. Obtained drug registration approval and achieved pilot research stage that is conducive to improving the company's market competition.

01 Competitiveness in listing and sales will have a positive impact on the company's future performance.

Osteoarthritis and other anti-inflammatory and analgesic drugs, HN251202 enriches the business structure and improves market competition. Obtained drug registration approval and realized the pilot research stage which is conducive to improving the company's market competition.

03 Competitiveness in listing and sales will have a positive impact on the company's future performance.

Expectorant and antitussive drugs are conducive to improving ZY- Enriching the business structure and increasing market competition Obtaining drug registration approval documents to achieve

The company's market competitiveness is in the pilot research stage, and Z202317 is not yet competitive for the company to go on sale.

have a positive impact on performance.

Anti-bleeding drugs are conducive to improving the company's ZY-enriching its business structure and improving market competition. Obtaining drug registration approval documents and realizing

Small trial research stage The company's market competitiveness, Z202502 competitiveness for the company's future market sales

Positive impact on performance.

Treatment of reflux esophagitis and duodenal ZY - Enriching the business structure and increasing market competition. Obtaining drug registration approval and realizing intestinal ulcer drugs will help improve the stage of public and small trial research.

Z202406 Competing to go public and selling The company's market competitiveness will have a positive impact on the company's future performance.

Antihypertensive drugs are conducive to improving the company's ZY-enriching its business structure and increasing market competition. Obtaining drug registration approval documents and achieving

Small trial research stage The company's market competitiveness, Z202407 competitiveness for the company's future going on the market

Positive impact on performance.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Anti-hyperlipidemia drugs are conducive to improving the company's ZY-enriching its business structure and increasing market competition. Obtaining drug registration approval documents and achieving

Small trial research stage The company's market competitiveness, Z202408 competitiveness for the company's future, market sales

Positive impact on performance.

Antihypertensive drugs are conducive to improving the company's ZY-enriching its business structure and increasing market competition. Obtaining drug registration approval documents and achieving

Small trial research stage The company's market competitiveness, Z202409 competitiveness for the company's future market sales

Positive impact on performance.

Drugs for the treatment of neuropathic pain, ZY- enrich the business structure and improve market competition. Obtain drug registration approval and achieve small-scale research stage that is conducive to improving the company's market competition.

Z202503 competes for market sales and has a positive impact on the company's future performance.

Drugs for the treatment of gastritis and gastric ulcers have ZY- Enriching the business structure and improving market competition Obtaining drug registration approval documents to achieve Conducive to improving the company's market competitiveness, small-scale research stage

Z202505 strives to be put on the market and have a positive impact on the company's future performance.

Drugs for relieving osteoarthritis pain, with a rich business structure and improved market competition. Obtaining drug registration approval will help improve the company's market competitiveness. ZYF002 is in the pilot research stage.

Strive to go public and have a positive impact on the company's future performance.

Drugs for the treatment of insomnia are conducive to enriching the business structure and increasing market competition. Obtaining drug registration approval documents realizes

ZYF003 is in the small-scale research stage. The company’s market competitiveness is not competitive for the company. It will be put on the market for sale.

have a positive impact on performance.

Treatment of diseases such as hypertension, angina pectoris, etc. enriches the business structure and increases market competition. Obtaining drug registration approval and realizing drugs will help enhance the company's market ZYF004 pilot research stage

Competing for market sales competitiveness will have a positive impact on the company's future performance.

Drugs for the treatment of hepatolenticular degeneration will help enrich the business structure and improve market competition. Obtaining drug registration approval will enhance the company's market competitiveness. ZYF005 is in the pilot research stage.

Competing to go public for sales will have a positive impact on the company's future performance.

Pain-relieving drugs such as osteoarthritis, enriching the business structure, and improving market competition. Obtaining drug registration approval will help improve the company's market competition. ZYF007 pilot research stage

Competing for market sales will have a positive impact on the company's future performance.

Anti-hyperlipidemia drugs are conducive to improving the company's business structure and increasing market competition. Obtaining drug registration approval documents and realizing

ZYF008 is in the small trial research stage. The company’s market competitiveness and its future competitiveness will be put on the market.

Positive impact on performance.

Supplementing protein is conducive to improving the company's SH-H-Z- enriching business structure and improving market competition. Obtaining health food registration approval,

The company's market competitiveness in the small-scale trial research stage will contribute to the company's future 202409 efforts to achieve listing and sales.

Positive impact on performance.

Improving immunity is conducive to improving the company's SH-H-Z- enriching business structure and increasing market competition. Obtaining health food registration approval,

Small trial research stage The company's market competitiveness, the company's future 202410 competitiveness to achieve listing sales

Positive impact on performance.

Sports nutrition food-endurance category. SH-H-Z- enriches the business structure and improves market competition. Obtaining marketing permission and achieving listing will help enhance the company's market competitiveness. In the pilot research stage

202411 Competing sales will have a positive impact on the company's future performance.

Medicinal excipients are conducive to improving the company's SH-H-Z- enriching business structure and improving market competition. Obtaining a registration number and achieving market sales

Small trial research stage market competitiveness, the company's future industry 202407 competitive sales

have a positive impact on performance.

Company R&D personnel

2025 2024 Change ratio

Number of R&D personnel (person) 106 98 8.16%

Number of R&D personnel 1.19% 1.24% -0.05%

R&D staff academic qualifications

Undergraduate 73 69 5.80%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Master 19 15 26.67% Bachelor degree or below 14 14 0.00% Age composition of R&D personnel

Under 30 years old 41 46 -10.87% 30~40 years old 62 49 26.53% Over 40 years old 3 3 0.00% The company’s R&D investment amount in the past three years and its proportion of operating income

2025 2024 2023

Amount of R&D investment (yuan) 32,781,644.53 32,120,363.06 24,194,023.68 Proportion of R&D investment in operating income 0.60% 0.71% 0.64% Amount of capitalized R&D expenditures

3,201,663.01 2,733,094.57 0.00 (yuan)

Capitalized R&D expenditures as a share of R&D investment

9.77% 8.51% 0.00% ratio

Capitalized R&D expenditures account for current net profit

1.67% 1.98% 0.00% Proportion of profit

The reasons and impacts of major changes in the company's R&D personnel composition

□Applicable Not applicable

Reasons for the significant change in the proportion of total R&D investment in operating income compared with the previous year

□Applicable Not applicable

Reasons for significant changes in R&D investment capitalization rates and their rationale

□Applicable Not applicable

5. Cash flow

Unit: Yuan

Project 2025 2024 Year-on-year increase or decrease

Subtotal of cash inflows from operating activities 5,407,080,653.17 4,875,277,541.64 10.91% Subtotal of cash outflows from operating activities 4,569,899,484.68 4,303,519,275.24 6.19% Net cash flow from operating activities

837,181,168.49 571,758,266.40 46.42%

Subtotal of cash inflows from investing activities 1,809,595,623.03 756,884,221.77 139.08% Subtotal of cash outflows from investing activities 2,456,742,565.83 1,243,830,221.15 97.51% Net cash flow generated from investing activities

-647,146,942.80 -486,945,999.38 32.90%

Subtotal of cash inflows from financing activities 734,601,065.00 706,513,309.91 3.98% Subtotal of cash outflows from financing activities 979,119,948.28 1,062,281,969.45 -7.83% Net cash flow from financing activities

-244,518,883.28 -355,768,659.54 -31.27%

Net increase in cash and cash equivalents -54,618,080.91 -270,841,776.79 -79.83% Explanation of the main factors affecting significant year-on-year changes in relevant data

Applicable □Not applicable

Item Reason for change

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Net cash flow generated from operating activities is mainly due to the increase in income and payment collection during the reporting period.

Mainly represents the net cash flow generated from investment activities such as the purchase of financial products, construction of company headquarters, and mergers and acquisitions of Haihua Pharmaceutical, Yangzu Huimin, and Hangzhou Guosheng during the reporting period.

Due to cash payment by subsidiaries

Net cash flow generated from financing activities is mainly due to the increase in borrowings

Net increase in cash and cash equivalents Mainly due to revenue growth

Explanation of the reasons for the significant difference between the company's net cash flow generated from operating activities during the reporting period and the current year's net profit

Applicable □Not applicable

For details, please refer to "VII. Notes to Consolidated Financial Statement Items - 59. Supplementary Information on Cash Flow Statement" of Section 8 Financial Report of this report.

5. Non-main business situation

Applicable □Not applicable

Unit: Yuan

Whether the amount is available, the proportion of the total profit, and the reasons for the formation

Continuous investment income 5,026,267.16 1.71% Mainly investment income from bank wealth management products, etc. No

Mainly due to goodwill impairment and inventory depreciation losses.

Asset impairment -79,737,162.11 -27.09% No

Wait

Mainly composed of waste income, fines, compensation income, etc.

Non-operating income 1,225,781.74 0.42% No

To

Mainly due to the loss of security deposit due to the termination of the lease contract during the reporting period

Non-operating expenses 7,017,979.03 2.38% No

Caused by

Mainly due to accounts receivable and other receivables accrued during the reporting period

Credit impairment loss -14,739,112.86 -5.01% Yes

Due to the increase in bad debt provisions for accounts collected

Other income 14,281,370.73 4.85% Mainly due to receipt of government subsidies, etc. No

6. Analysis of assets and liabilities

1. Major changes in asset composition

Unit: Yuan End of 2025 Early 2025

Proportion increased

Proportion of total assets Proportion of total assets Explanation of significant changes Amount Less

Example ratio

Mainly due to monetary funds paid to Haihua Pharmaceutical, Yangzu Huimin, and Hangzhou 954,552,196.53 17.39% 999,693,750.44 20.71% -3.32%

Due to the acquisition money of Guosheng and other subsidiaries

Accounts receivable 565,827,852.80 10.31% 454,170,194.23 9.41% 0.90%

Inventory 1,054,636,926.71 19.22% 863,841,347.62 17.89% 1.33%

Investment real estate 49,598,032.40 0.90% 12,038,367.35 0.25% 0.65%

Long-term equity investment 0.00 0.00% 0.00 0.00% 0.00%

Mainly due to the fixed assets of the company's new headquarters 460,841,046.39 8.40% 303,499,529.55 6.29% 2.11% Construction in progress caused by the completion of the construction and putting into use of the public building and its transfer to fixed assets 34,729,511.57 0.63% 168,664,943.29 3.49% -2.86% Mainly due to the full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd., the company's new headquarters

It is caused by the construction of public buildings being completed and put into use and then being transferred to fixed assets, and part of it being leased out and being transferred to investment real estate.

Right-of-use assets 489,426,586.79 8.92% 495,632,889.96 10.27% -1.35%

Short-term borrowings 345,301,321.69 6.29% 316,917,395.83 6.56% -0.27%

Contract liabilities 37,589,316.01 0.68% 31,368,895.20 0.65% 0.03%

Long-term borrowings 407,079,369.18 7.42% 358,825,247.54 7.43% -0.01%

Lease liabilities 220,081,704.12 4.01% 222,851,654.04 4.62% -0.61%

Mainly due to the inclusion of Haihua Pharmaceutical, Yangshangyu 1,282,408,689.01 23.37% 988,372,408.69 20.47% 2.90% Zu Huimin and Hangzhou Guosheng into the scope of consolidation

Mainly due to the increase in inventory preparation, while Haihua Pharmaceutical and notes payable 1,239,509,256.19 22.58% 831,209,806.72 17.22% 5.36%

The higher proportion of overseas assets due to the inclusion of Yangzu Huimin and Hangzhou Guosheng into the scope of merger

□Applicable Not applicable

2. Assets and liabilities measured at fair value

Applicable □Not applicable

Unit: Yuan included in equity

Fair in this period

Accumulated public accrual in the current period Purchases in the current period Sales in the current period

Item Opening amount Change in value Other changes Closing amount Impairment amount Amount due to change in fair value

Profit and loss

move

financial assets

1. Transactional

financial assets

10,000,00 1,812,257 1,800,257 22,000,00 (excluding derivatives

0.00 ,503.16 ,503.16 0.00 Financing

production)

4. Other rights

82,197,16 1,400,217 36,673,29 45,523,86 Yi Tool Investment 0.00 0.00

2.37 .49 5.37 7.00 capital

Financial assets 92,197,16 1,400,217 1,812,257 1,836,930 67,523,86 0.00 0.00 0.00

Subtotal 2.37 .49 ,503.16 ,798.53 7.00 Accounts receivable 18,432,92 543,099,5 538,532,9 22,999,54 0.00 0.00 0.00 0.00

Financing 8.32 40.72 25.58 3.46 110,630,0 1,400,217 2,355,357 2,375,463 90,523,41Total of the above 0.00 0.00 0.00

90.69 .49,043.88,724.11 0.46Financial liabilities 0.00 0.00Other changes

Whether there are any significant changes in the measurement attributes of the company's main assets during the reporting period

□Yes No

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

3. Restrictions on asset rights as of the end of the reporting period

Item Book value at the end of the period (yuan) Reason for restriction

Monetary funds - other monetary funds 686,152,025.43 Bank acceptance bill deposit

Monetary funds - other monetary funds 8,154,236.29 Balance of payment platforms such as Alipay

Monetary funds - other monetary funds 138,189.34 Migrant workers’ deposit

Investment real estate 37,972,714.17 Loans and mortgages

Fixed assets 156,363,975.58 Loans and mortgages

Construction in progress 2,017,904.12 Loans and mortgages

Intangible assets 9,975,449.16 Loan mortgage

Total 900,774,494.09

7. Investment status analysis

1. Overall situation

Applicable □Not applicable

Investment amount during the reporting period (yuan) Investment amount during the same period last year (yuan) Change range

2,456,742,565.83 1,243,830,221.15 97.51%

2. Major equity investments obtained during the reporting period

Applicable □Not applicable

Unit: yuan as of

assets

Invested Disclosure Disclosure

Liabilities current period

Zi Gong Main Investment Investment Shareholding Fund Cooperation Investment Product Expected Whether Date Index

Statement Date Investment

Company name Business method Amount Proportion Source Party Term Type Income Litigation involved (such as (such as

Profit and loss

say have) have) display

situation

Ningbo Juchao Minzhe Information Exchange Investment Network Investment (ww's own partnership ww.c Hangzhou

Capital industry ninf Guosheng

Medicine 97,5 gold, (with medicine o) Great Medicine 855,

Wholesale 00,0 100. Self-financing Limited contract Wholesale Completed "House-closing acquisition" Long-term 754. No

and zero 00.0 00% equity) and zero into the lock has 70

Sold for 0 gold, , China sold for public benefit only

Recruitment of Bank of China Construction and Division

Capital Fengtou 2025 Zhejiang Ziyou Year 05 Three companies with limited liability Month 22 Pharmaceutical Ren Gong Day Chain Company Company

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Ningbo Equity Minzhe's Public Investment Announcement Partnership Announcement No.: 2 (025-Limited 035 Owned)

Guy)

Fujian capital

, blessing

Haihua Pharmaceuticals 147, Gold, Pharmaceuticals 11,5

Establish a province

Pharmaceutical Wholesale 023, 54.5 Self-raised Wholesale Completed 80,1

Acquisition of Hikvision Long-term No chain and Zero 208.6% Capital and Zero 58.4

Medicine

Limited sale 00 gold, sale 9

limited

company raising

Public

funds

Division,

longyan

city beauty

Lijian

biology

Technology

limited

company

Ningbo

Fujian own

Min Zhe

Provincial promotion of capital

Huitou

Zuhui Medicine 147, gold, medicine

Joint venture 7,46

Civilian Medical Wholesale 900, 51.0 Self-raised Wholesale Completed

Acquisition Partnership Long-term 6,97 No Yao Lian and Zero 000. 0% Capital and Zero Cost

Industry 7.92

Locks are sold for 00 gold, for sale

(Yes

Limited public collection

Limited combination

Division funds

Guy)

392, 19,9

423,02,8

Total -- -- -- -- -- -- -- -- 0.00 -- -- -- 208. 91.1

00 1

3. Major non-equity investments ongoing during the reporting period

Applicable □Not applicable

Unit: Yuan

Not reached deadline deadline

Whether to report or not to report?

Investment This newspaper Assigned Disclosure Disclosed as fixed End of period End of period

Project Investment Project Reporting Period Funding Project Estimated Degree and Date Index Fixed Capital Cumulative Cumulative

Name Method Involved Input Source Progress Revenue Estimated (such as (such as production investment actually realized

Industry Amount Income Yes) Yes) Income from investment

original amount profit

Because

own

Company Headquarters 63,51 208,4 Capital

100.0 Unsuitable headquarters Self-built Yes Office 8,756 44,52 Gold,

0% Use project building .15 9.88 Self-financing

funds

63,51 208,4

Total -- -- -- -- -- 0.00 0.00 -- -- -- 8,756 44,52

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

.15 9.88

4. Financial asset investment

(1) Securities investment situation

□Applicable Not applicable

The company had no securities investments during the reporting period.

(2) Derivatives investment situation

□Applicable Not applicable

The company had no derivative investments during the reporting period.

8. Sales of major assets and equity

1. Sale of major assets

□Applicable Not applicable

The company did not sell any major assets during the reporting period.

2. Sale of major equity interests

□Applicable Not applicable

9. Analysis of major holding and participating companies

Applicable □Not applicable

Information about major subsidiaries and joint-stock companies that affect the company's net profit by more than 10%

Unit: yuan Company name Company type Main business Registered capital Total assets Net assets Operating income Operating profit Net profit Anhui Guosheng

Large pharmacy chain Drug wholesale 160,000,0 2,375,348 465,593,0 3,117,053 212,670,2 163,921,6

Subsidiaries

Lock Co., Ltd. and retail 00,068.57 65.43,545.62 30.92 43.76 Company

Jiangsu Shenhua

172,000,0 293,091,0 256,633,7 197,691,0 31,164,94 26,177,13 Pharmaceutical Co., Ltd. Subsidiary Pharmaceutical production

00 62.26 40.22 38.96 2.54 1.42Company

Acquisition and disposal of subsidiaries during the reporting period

Applicable □Not applicable

Company name Method of acquiring and disposing of subsidiaries during the reporting period Impact on overall production operations and performance Anhui Shenhua Pharmaceutical Co., Ltd. Newly established Improve the company’s industrial chain layout at the production end Hefei Yuanxing Comprehensive Clinic Co., Ltd. Canceled No significant impact

Company Nanjing Tonghetang Pharmacy Co., Ltd. Cancellation No significant impact

Fujian Yangzu Huimin Pharmaceutical Chain Co., Ltd. M&A To expand the company’s retail business presence in Fujian Province Fujian Haihua Pharmaceutical Chain Co., Ltd. M&A To expand the company’s retail business presence in Fujian Province Hangzhou Guosheng Pharmacy Chain Co., Ltd. M&A To improve the company’s retail business presence in Zhejiang Province Longyan Haihuayongxin Information Consulting Services Co., Ltd. Cancellation No significant impact

Feixi Guosheng Pharmacy Chain Co., Ltd. was newly established to improve the distribution of the company’s retail business in Feixi County, Hefei City

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

bureau

Nanjing Zhouji Pharmacy Co., Ltd. Cancellation No significant impact

Hefei Guoshengweimeiyuan Pharmacy Co., Ltd. Merger and acquisition No significant impact

Anhui Guosheng Convenience Store Co., Ltd. Newly established No significant impact

Bozhou Yuanhua Pharmaceutical Technology Co., Ltd. Transfer No significant impact

Description of major holding and joint-stock companies

Not applicable.

10. Structured entities controlled by the company

□Applicable Not applicable

11. Prospects for the company’s future development

(1) Industry structure and trends

With the in-depth advancement of the "Healthy China 2030" planning outline and the continuous deepening of the reform of the medical and health system, my country's pharmaceutical distribution industry is entering a period of profound structural change. In January 2026, nine departments including the Ministry of Commerce jointly issued the "Opinions on Promoting the High-Quality Development of the Pharmaceutical Retail Industry", which clearly proposed to strengthen the professional services and health promotion functions of the pharmaceutical retail industry and build it into a "health station" that is close to the community and serves the people. The opinions also encourage enterprises to carry out horizontal mergers and acquisitions and reorganizations in accordance with the law and promote the integrated development of wholesale and retail. This policy orientation further clarifies the strategic positioning of retail pharmacies in the primary health service system and provides a clear path for industry transformation and upgrading. All localities responded actively, accelerating the construction of people's livelihood pharmaceutical service stations, promoting the transformation of pharmacies into health management stations, and providing residents with "one-stop" pharmaceutical services such as medication guidance, health monitoring, chronic disease follow-up, and expired drug recycling, making pharmacies truly an important node in grassroots health services. In the context of the continuous deepening of the reform of medical insurance payment methods (DRG/DIP) and the comprehensive implementation of the outpatient mutual assistance guarantee mechanism, the industry has shown the remarkable characteristics of accelerating concentration, deep integration of digital intelligence, and continued highlighting of the value of professional services. At the same time, multiple factors such as the accelerating aging of the population, the continued rise in the prevalence of chronic diseases, and the escalating health consumption needs of residents have created new development space for the development of the pharmaceutical and health industry. Frontier fields such as biopharmaceuticals and gene therapy are developing rapidly. Artificial intelligence and large model technology are profoundly reshaping the intelligent manufacturing and service models of pharmaceutical production, continuously bringing strategic opportunities and innovation space to the company's sustainable development.

(2) Company development strategy

Facing the new environment, new pattern, and new cycle of industry changes, the company will be policy-oriented and market-based, seize the development opportunities in industry changes, and unswervingly promote the full ecological strategy of "one body, two wings, three pillars and four pillars", with the pharmaceutical industry as the core anchor, and continue to strengthen the coordinated development of the two major directions of product matrix and terminal network. Through the continuous empowerment of the three major engines of Pharmacy Business School, Digital Intelligence Research, and New Drug Research Institute, we will deepen the resource sharing and business collaboration of the four major platforms of pharmaceutical retail, pharmaceutical marketing, terminal centralized procurement, and R&D and production.

In 2026, the company will pay more attention to improving quality and efficiency, promote high-quality development, actively pay attention to and deploy strategic emerging industries, accelerate its position in cutting-edge fields such as innovative drugs and biopharmaceuticals, and cultivate new long-term growth momentum through investment, mergers and acquisitions, pipeline introduction, etc. Actively respond to the national policy guidance on building health stations, promote the transformation and upgrading of retail pharmacies into community health service centers, and meet the growing health needs of residents through category optimization and service innovation.

Facing the "15th Five-Year Plan", the company will adhere to the healthy ecological enterprise development strategy, closely follow the theme of new productivity leading to high-quality development, and continue to make efforts in four aspects: deepening the ecological layout of the entire industry chain, strengthening R&D innovation drive, promoting AI in-depth empowerment, and accelerating mergers and acquisitions, to create greater competitive advantages and promote faster and better development. Improve operational efficiency through digital and intelligent transformation, enhance risk resistance through ecological layout, and build core competitiveness through professional services. We are committed to building a technology-driven, innovation-led, and ecologically synergistic pharmaceutical and health industry group to create sustained and stable investment returns for shareholders.

(3) Business plan for 2026

1. Pharmaceutical retail: deepen regional cultivation, strengthen efficiency, improve quality and expand capacity

(1) Deepen the regional market and enhance network value

In 2026, Guosheng Pharmacy will continue to adhere to the strategic policy of "deeply cultivating Anhui, focusing on East China, and radiating to surrounding areas", and through the multi-wheel-driven expansion model of "self-construction + franchise + mergers and acquisitions", adhere to the "online + offline" dual-track development, and promote the transformation of network layout from breadth coverage to in-depth operation. While continuing to consolidate its leading position in Anhui Province, it will rhythmically expand into high-value areas in East China and continue to promote franchise business to achieve chain and scale advancement.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(2) Restructure the commodity system and collaborate with the supply chain to create structural profitability advantages.

In 2026, the company will further build its core procurement cost advantage and establish a price monitoring and rapid response mechanism for each province and branch company through the group procurement center to ensure that the operating varieties achieve optimal costs and achieve strategic control and continuous optimization of commodity costs. Obtain more competitive procurement costs from the source and improve corporate efficiency. In terms of added value in product operations, through strategic adjustments to product structure, we use the space created by the procurement side to strategically plan high-brand varieties and private brands, supplemented by marketing and professional combinations, to increase the overall unit price per customer and gross profit margin. Convert the price advantage of centralized procurement into the overall efficiency advantage of the supply chain and the structural profit advantage of commodities to achieve both improvement in brand image and profits.

(3) Focus on reducing costs, controlling expenses, improving quality and efficiency, and increasing the construction of digital and intelligent scenarios

Focusing on the business philosophy of "improving quality, increasing efficiency, and developing steadily", the company has established a three-level performance linkage mechanism of "headquarters-region-store" and built a three-in-one refined management system of "cost control-efficiency improvement-collaborative development". Resonating with the same frequency, the company continuously improves the headquarters' management and control capabilities over various regions and stores, promotes the systematic improvement of management efficiency, and continues to consolidate and enhance the core competitiveness of the enterprise.

The company will comprehensively promote the deep integration of "AI + operations", optimize intelligent replenishment, adjustment, and procurement systems, and establish a dynamic price comparison and intelligent decision-making mechanism across regions and provinces to systematically optimize procurement costs; deepen data applications, optimize model algorithms, and enhance the value of precision marketing and personalized services. At the same time, the AI ​​​​health assistant system is launched to create a one-stop service portal of "intelligent consultation + medication guidance + health management", focusing on customer satisfaction, extending the boundaries of professional pharmaceutical services, building a new model of smart pharmacies, improving professionalism and convenience, optimizing the health service experience, and enhancing member stickiness and loyalty.

(4) Deeply explore member value and build a global marketing system

The company will continue to promote the upgrading of the membership system from management to operation, and is committed to creating a deep service closed loop. Relying on the deep integration of the member labeling system and the precision marketing platform, we provide personalized services for thousands of people; we strive to open up online and offline membership rights, promote the organic integration of the membership system and the new retail business of "Guosheng Home", and build a full-scenario service closed loop of "drug purchase-management-interaction"; continue to strengthen the professional depth of chronic disease management, use digital tools to accompany patients throughout the disease process, and create a new member relationship model of "professional trust + emotional connection".

Achieve diversified expansion in member care, precision marketing and reach channels, and strengthen professional training for store employees, fundamentally improve service capabilities and customer satisfaction, and gradually build a new membership management ecosystem with in-depth service as the core, online and offline integration, and both professionalism and warmth, thereby consolidating and enhancing its long-term competitive advantages and brand value in the pharmaceutical retail sector.

(5) Brand image system upgrade to enhance customer experience value

Guosheng Pharmacy has officially launched the image upgrade project of key old stores, with the goal of "professional pharmacy + convenient health service station". Through the overall renewal of the store environment and visual image, as well as the upgrade of service content and processes, it will create a "professional, trustworthy and friendly" modern pharmacy image. This upgrade will focus on strengthening the brand's professional attributes and health station service experience, creating a highly recognizable terminal image system, and achieving dual improvements in brand value and customer experience.

(6) Develop organizational capability system construction and create a new highland for talent development

In order to support the sustainable development and professional upgrading of the enterprise, the company will continue to deepen the construction of talent echelon, systematically build a multi-level and efficient talent training system of "headquarters-region-store", strengthen the professional empowerment function of the headquarters business school, actively expand department professional talents, and deploy them in branches inside and outside the provinces. Full-time training of management personnel to consolidate the foundation of organizational capabilities; through a series of training courses, training camps, selection competitions and other special projects, the company systematically builds a comprehensive talent supply chain, quickly incubates outstanding employees with both professional qualities and practical abilities, and mass-cultivates middle- and high-level management backbones with promotion potential and expatriation capabilities. At the same time, the company will continue to deepen school-enterprise cooperation and the management trainee system, create a professional, young and echelon talent team, and provide core human capital support for the sustainable development of the company.

(7) Diversify business layout and focus on “health and beauty” to increase sales

In response to the increasingly stratified health and beauty needs of consumers, Guosheng Pharmacy strategically established the "Health and Beauty Business Department" in the second half of 2025, focusing on incremental categories such as health and wellness, health equipment, traditional Chinese medicine tonics, medicine and food homology, home health, and skin care and beauty. Based on the principle of "professionals do professional things", it systematically reconstructs the people and goods field.

In 2026, the company will continue to deepen its diversified business strategy and list the development of the health and beauty division as a key measure for incremental improvement. By optimizing product structure, upgrading store displays, and standardizing operating standards, the business unit is committed to creating a professional and scenario-based consumer experience, further expanding customer flow sources, accurately seizing new growth opportunities in the health consumer market, and injecting new momentum into the company's overall growth.

2. Pharmaceutical marketing: Strengthen platform empowerment value and build a new ecosystem for collaborative development

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Pharmaceutical marketing is the core hub of the company's "four-in-one" entire industry chain ecosystem, and undertakes the strategic mission of "connecting upstream and downstream, linking the entire chain, and empowering the entire industry." In 2026, the company will complete the strategic upgrade of the full-link ecological empowerment platform, using the Chinese Health Platform as the core carrier, deepen the two-wheel drive model of "product marketing + service marketing", build a value closed loop of "industry-platform-end-consumer", and deeply collaborate with the retail, centralized procurement, R&D and manufacturing sectors to create a new symbiotic and win-win industrial ecosystem.

In terms of product marketing, the company will anchor the trend of normalized centralized purchasing in the industry and high gross profit demand from terminals, continue to iterate the core category product matrix, strengthen its own brand system, and create an exclusive product system with full-link controllability of "R&D-production-terminal" to provide cooperative terminals with highly differentiated and high value-added products, and also build strong barriers to product competition for the company. At the same time, relying on the Ruisi AI large model, we build an omni-channel precision marketing system to improve market penetration and terminal premium capabilities.

In terms of service marketing, as the core empowerment engine of the marketing sector, the Chinese Health Business School will focus on the "new three strategies" of "001 single project", "Z3 integration" and "AI digital intelligence empowerment", upgrade the three-in-one empowerment model of "management output, talent, and technology" to provide one-stop business solutions for cooperative pharmacies across the country. Eight major sectors and 72 standardized empowerment projects were implemented throughout the year, deepening key position training and "one store, one policy" practical coaching in stores; upgrading the "Ruisihui" industry high-end summit IP, exporting direct operation experience and AI digital intelligence capabilities, building an industry-university-research integrated ecosystem, and enhancing customer stickiness and platform value.

3. Terminal centralized procurement: strengthen platform construction and promote national layout

The company will continue to adhere to the core strategy of branding and platforming. With "all parties" as the core, we will focus on developing national controlled sales business and strive to achieve the goal of 2,000 member stores; we will deepen the provincial Ruimeng co-building platform model and plan to add 2 to 3 provincial Ruimeng platforms to achieve in-depth coverage of key areas. At the same time, we will strengthen the development and promotion of the "Quanfang" series of private brand products, and create more star single products through the "One Belt and More" model to improve product gross profit margin and market competitiveness. Continuously upgrade the empowerment toolkit, focus on developing training courses for lower-tier markets, and improve the standardization and replicability of the empowerment system.

4. Pharmaceutical R&D: Optimize R&D layout and drive innovation and development

The company will rely on the two-way efforts of Zhengyao Technology and Shenhua Pharmaceutical to continue to accelerate the forward-looking R&D layout in the fields of innovative drugs, biologic drugs and high-end generic drugs, continue to increase R&D investment, and optimize the R&D pipeline layout. In 2026, the company will gradually increase the proportion of innovative drugs and biological drugs in the research and development pipeline, and achieve a leap from being mainly generics to a combination of generics and innovations, and then to being innovation-driven. Specifically, it plans to launch more than 10 new R&D projects, focusing on improving new drugs with clinical advantages and difficult generic drugs to quickly create market breakthroughs. At the same time, the company will actively explore cutting-edge fields such as synthetic biology, macromolecular antibody drugs, and nucleic acid drugs, integrate external research and development resources, and establish in-depth cooperative relationships with top universities and high-quality CRO institutions. Through joint research and development, technology introduction and other methods, the company will quickly enrich its product portfolio, shorten the research and development cycle, improve research and development efficiency and success rate, and provide continuous product support for the company's performance growth.

5. AI digital intelligence construction: deepen technology application and empower business development

The company follows the development guideline of "Controlling AI to Strengthen Digital Intelligence" and regards digital intelligence transformation as the core driving force of the "three engines + four-in-one" all-ecological strategy. It continues to increase investment in research and development of cutting-edge technologies, builds a full-link digital intelligence system with an intelligent middle platform as the core and multi-agent collaboration, promotes the deep integration of digital intelligence with the entire medical and health industry chain, and builds an industry-leading digital intelligence center for the medical and health industry.

In 2026, the company will realize the leap in three major dimensions of digital intelligence capabilities: First, decision-making capabilities, promote the integration of BI and AI, launch the ChatBI intelligent large model, and achieve full-link upgrades from data query to business insights, risk warnings, and trend predictions. The second is the operation system, which focuses on the four major scenarios of employee empowerment, patient services, business decision-making, and supply chain collaboration, deepens the iteration of Huaxiao and Shengxiao series of intelligent agents and the in-depth application of AI, and promotes intelligent collaboration across the entire business chain. The third is the industry ecology. Relying on the large model of Ruisi AI, it opens its own digital intelligence capabilities, builds a full-link digital intelligence empowerment system for cooperative terminals, promotes service upgrades and value enhancement in the medical and health industry, and uses digital intelligence power to help implement the "Healthy China" strategy.

6. Investment, M&A and industrial integration: focus on strategic emerging industries and accelerate ecological expansion

In order to build sustainable competitiveness for the future, the company will regard investment, mergers, acquisitions and industrial integration as key engines to drive strategic upgrades. We not only pursue collaborative expansion of scale, but are also committed to acquiring key innovation elements, breakthrough technologies and high-value track capabilities through precise external layout, thereby strengthening the endogenous power and external ductility of the company's "four-in-one" ecosystem. In the future, the company will closely focus on its core strategy and business closed loop and carry out investment and mergers and acquisitions in the following directions:

Vertically deepen R&D and manufacturing, and seize cutting-edge technology highlands: The company will actively seek investment opportunities in areas such as innovative drugs, biological drugs, high-end complex preparations, and AI-driven new drug R&D platforms. Through mergers and acquisitions or strategic investments, we will quickly introduce products and platform technologies with clinical advantages or market potential, enrich the pipeline reserves of Zhengyi Technology, improve Shenhua Pharmaceutical's process level in cutting-edge fields such as synthetic biology, and continue to consolidate the differentiated competitive advantages of the product side.

Strengthen regional market density and empower network synergies: Adhering to the core regional strategy of "deeply cultivating Anhui, focusing on East China, and radiating to surrounding areas", we will prudently select chain pharmacies with high-quality store networks, good brand reputation and efficient operating systems in the target market for integration. Rapidly increase regional market share and

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

brand influence, and relying on the company's supply chain, digital intelligence and management empowerment system to achieve significant improvements in the operational efficiency and profitability of the acquired network and consolidate its leading position in the regional market.

The company will also establish a professional post-investment management system to ensure that investment and M&A projects create synergy with existing businesses, achieve a "1+1>2" integration effect, and inject new impetus into the company's value realization and long-term high-quality development.

(4) Risks the company may face

1. Risks of industry policy changes

The pharmaceutical industry in which the company operates is significantly affected by national and local policies. The normalization and expansion of centralized bulk purchasing of drugs continue to compress product profit margins; dynamic adjustments to medical insurance catalogs, reform of payment methods (such as DRG/DIP), and refinement of outpatient coordination policies may directly affect store customer flow structure and sales categories; if the company fails to grasp policy trends and adjust business strategies in a timely and accurate manner, it may result in a decline in gross profit margin or loss of market share.

Countermeasures: The company has established a normalized policy research and response mechanism, set up a special team to closely track and interpret policy trends at all levels, and relies on the national network and data insights formed by pharmaceutical marketing and terminal centralized procurement business to conduct forward-looking market predictions and layout adjustments, actively seize opportunities brought by policies, and respond to challenges brought by industry changes. By vigorously developing private brands (PB), agent brands (CB) and comprehensive health consumer products, we will continue to optimize the product structure and reduce reliance on a single policy-sensitive product.

2. Risks in innovative drug research and development and achievement transformation

The company deploys the research and development of innovative drugs, biological drugs and high-end generic drugs through platforms such as Zhengyao Technology. This field generally has the characteristics of high investment, long cycle, complex technology, and uncertain clinical and review results. R&D projects may be terminated due to technical path, clinical trial failure or failure to pass review, resulting in the irrecoverability of initial investment; if R&D progress lags behind the industry or competitors, it will also affect the company's long-term product competitiveness. At the same time, the application of cutting-edge technologies (such as synthetic biology, macromolecular antibody drugs) also faces challenges such as immature technology and difficulty in integrating with existing systems.

Countermeasures: The company adopts a research and development strategy of “combination of imitation and innovation, and echelon advancement” to disperse single project risks. Conduct strict technical and market feasibility demonstrations during the project establishment phase, and prioritize areas that are highly synergistic with the company's business channels. Actively establish strategic cooperation with leading domestic and foreign scientific research institutions and CRO companies, introduce cutting-edge technologies, and improve R&D efficiency and success rate. Establish a dynamic project pipeline management and decision-making mechanism, regularly evaluate project progress and market value, and timely adjust resources or terminate projects that do not meet expectations. For cutting-edge technologies, we adopt a combination of independent research and development and external cooperation, and gradually promote them after successful verification on a small scale.

3. Risks of cross-regional operations and new market expansion

When the company implements the strategy of "deeply cultivating Anhui, focusing on East China, and radiating to surrounding areas", it enters new regional markets through "self-construction + franchising + mergers and acquisitions". Facing multiple challenges such as differences in consumption habits, fierce local competition, cultivating brand awareness, complex local regulatory environments, and post-merger integration. Insufficient market research, improper localization strategies or insufficient integration execution may lead to a prolonged profit cycle or even losses for newly opened stores. M&A projects also have uncertainty about integration synergy and the realization of expected benefits.

Countermeasures: The company will adopt a prudent expansion strategy, giving priority to areas with high synergy with existing advantageous areas, clear market potential, and similar consumption habits. Establish standardized market research and new store evaluation models to scientifically guide expansion decisions. For newly acquired companies, we rely on the Pharmacy Business School to quickly output mature standardized operation management systems, supply chain systems and compliance standards, and deploy core management teams to ensure efficient integration in multiple dimensions such as strategy, business, and organizational culture. We will give full play to the synergistic advantages of the "four-in-one" ecosystem and ensure the expected benefits of external expansion through all-round support of products, supply chains, data, and services.

4. Risks of intensifying market competition, rising labor costs and declining store profitability

As industry concentration continues to increase, competition among leading companies becomes increasingly fierce, and homogeneous price competition may erode gross profit margins. At the same time, as the company's business scale expands, the number of employees continues to grow, and the social security payment base in various places increases year by year, resulting in a rigid increase in labor costs, which will put certain pressure on the profitability of stores.

Countermeasures: The company shifted the focus of competition from price to value and service, and unswervingly promoted the transformation of pharmacies into community health service centers. Relying on a strong team of licensed pharmacists and a systematic training system, we will deepen professional pharmaceutical services, chronic disease management and member health management, build a professional service moat, and increase customer stickiness and unit price. At the same time, relying on the group's centralized procurement scale advantages and its own brand layout, the company will optimize the high-margin category structure. Through global digital and intelligent transformation, operations will be refined and intelligent, human efficiency and square footage efficiency will be continuously improved, and various costs and expenses will be strictly controlled.

5. Risks of innovative business models being followed and first-mover advantages weakened

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

After the company's leading innovative business model achieves success, it may be imitated or improved by competitors, resulting in the weakening of the first-mover advantage, intensified market competition, compression of the profit margin and market share of the business, and thus causing a certain degree of interference in the cultivation of the company's performance growth curve.

Countermeasures: The company will practice the concept of "continuous innovation, in-depth empowerment, and ecological co-construction", continue to iteratively upgrade mature models, and strengthen comprehensive service barriers centered on digital intelligent systems, exclusive product resources, and in-depth operations and education. By establishing multi-level in-depth binding of equity, data, services, etc. with cooperative customers, we build a deeper alliance platform, and continue to deepen platform brand building to form a strong customer mind occupation and word-of-mouth effect. We use the established scale network and ecological synergy capabilities to consolidate and expand our leading advantages.

6. Drug quality and safety management risks

Drug quality and safety is the lifeline of an enterprise, running through the entire chain of R&D, production, warehousing, distribution and sales. Although the company has established a strict quality management system, it still cannot absolutely rule out potential quality risk events caused by factors such as fluctuations in the upstream of the supply chain, occasional abnormalities in storage and transportation conditions, or human errors in the operation process.

Countermeasures: The company regards quality as an insurmountable red line and strictly implements national GSP, GMP and other specifications. Implement dynamic management of suppliers throughout the life cycle and establish strict access, evaluation and elimination mechanisms. Internet of Things technology is widely used for real-time monitoring and full traceability of the warehousing and transportation environment. Strengthen quality and safety training and responsibility assessment for all employees, establish regular internal flight inspections and risk warning mechanisms, ensure the continuous and effective operation of the quality and safety management system, and ensure the safety of people's medication.

12. Registration form for reception of research, communication, interviews and other activities during the reporting period

Applicable □Not applicable

Reception partner Main content of discussion Basic situation of the survey Reception time Reception location Reception method Reception objects

Object type and information provided Index

Northeast Securities, CITIC Securities, CITIC

Jiantou Securities, Cathay Haitong, Yangtze River

Securities, Huarong Securities, Guosen Securities, please see Juchao Information Network for details

For details, see Anhui Chinese Health

Securities, CICC Asset Management, Yongan Guofu, (www.cninfo.c 2025 6th Floor, Huikang Pharmaceutical Co., Ltd.

Longhang Assets, Zhengxingu Investment, Heom.cn) "2025 April 29 Meeting Room and Telephone Telephone Communication Organization Company Investor Relations

Yong Investment, Shangcheng Assets, Jin Bairong Investment Day Meeting on April 29, 2016 Activity Record Sheet (Compiled

Investment, Huaneng Guicheng Trust, Guo Finance Investor Relations Activities Record

No.: 2025-001)

Fund, Qianhai Kaiyuan Fund, Jin Jian Record List》

Investment, Harvest Fund, Muxin Private Equity

Fund, HFT Fund

For details, see Juchao Information Network Value Online. For details, see Anhui Chinese Health.

(www.cninfo.c 2025 (https:// Online participating companies in 2024 and Kang Pharmaceutical Co., Ltd.

Online platform om.cn) "2025 May 08 www.ir- Others 2025 First Quarter Results Briefing Meeting Company Investor Relations

Online communication All investors’ activity record at online.cn/, Investment Day, May 8, 2019 (edited by:

User relationship activity record) Network interaction number: 2025-002)

Table》

Northeast Securities, CITIC Securities, Yongxing

Securities, Harvest Fund, Tongtaiji. For details, please see cninfo.com.cn

For details, see Anhui Chinese Health

Jin, HSBC Jinxin, Junhe Licheng, (www.cninfo.c 2025 Company Headquarters Kang Pharmaceutical Co., Ltd.

Southern Asset Management, Xinhua Asset, SAIC om.cn) "2025 August 29 1501 Meeting Telephone Communication Institutional Company Investor Relations

Qi Zhen and Willing Capital’s investment room and telephone conference activity record sheet on August 29, 2019 (edited by

Management Limited, and individual investor relations activities

No.: 2025-003)

Human investors Wu Wenhua, Huang Dengfeng, Lu Biao》

Li Honghao, Zhao Dong, etc.

Panorama Network "Investment" For details, please see Juchao Information Network

For details, see Anhui Chinese Health

Investor relations (www.cninfo.c 2025 Online participation in Anhui listed Gongkang Pharmaceutical Co., Ltd. in 2025

"Mobile platform" Internet platform om.cn) "2025 September 15 Others The company's investors online collective reception daily activity company investor relations

(https://Online Communication Investor Activity Record Sheet on September 15, 2019 Investment Day (Compiled by

ir.p5w.net Investor relations activity record

No.: 2025-004)

) Recording Form》

2025 company meeting. For details, please see Anhui Huarenjian. For details, please see Juchao Information Network for field research. Institutions, Industrial Securities and other investors.

December 12 room, exhibition hall and Cninfo Co., Ltd. (www.cninfo.c

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Investor relations of various subsidiaries in the park om.cn) "2025 company activity record sheet (investment number on December 12: 2025-005) Investor relations activity record"

Record form》

13. Formulation and implementation of market value management system and valuation improvement plan

Whether the company has formulated a market value management system.

Yes □No

Whether the company has disclosed plans to increase its valuation.

□Yes No

The company held the 10th meeting of the fifth board of directors on June 30, 2025, and reviewed and approved the "Proposal on Developing Certain Corporate Governance-Related Systems" and formulated 5 new corporate governance systems including the "Market Value Management System".

14. Implementation of the “Double Improvement of Quality and Return” action plan

Has the company disclosed an announcement on the action plan of “double improvement of quality and return”?

□Yes No

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Section 4 Corporate Governance, Environment and Society

1. Basic situation of corporate governance

During the reporting period, the company strictly complied with the "Company Law", "Securities Law", "Guidelines on the Articles of Association of Listed Companies", "Shenzhen Stock Exchange GEM Stock Listing Rules", "Shenzhen Stock Exchange Self-Regulatory Supervision Guidelines for Listed Companies No. 2 - Standardized Operations of GEM Listed Companies" and other laws, regulations and normative documents related to the governance of listed companies, constantly improving the company's corporate governance structure, establishing and improving the company's internal control system, improving the level of standardized operations, and striving to reduce various risks. The company's shareholders' meeting, board of directors, and management have clear powers and responsibilities, mutual checks and balances, scientific decision-making, and coordinated operations, which provide an effective guarantee for the company's sustainable, standardized, and healthy development.

1. About shareholders and shareholders’ meetings

During the reporting period, the company revised the "Rules of Procedure for Shareholders' Meetings" and implemented them effectively. The company held a total of 4 shareholders' meetings. The convening, convening, voting, resolution and disclosure of the shareholders' meeting all complied with the relevant provisions of laws, regulations and normative documents; the company's shareholders' meeting used a combination of on-site voting and online voting, and the votes of small and medium-sized investors were counted separately and the results were announced in a timely manner to effectively protect the special interests of shareholders. It is the legitimate rights and interests of small and medium-sized shareholders; the lawyer conducted on-site witness and issued a legal opinion, believing that the convening and convening procedures of the company's shareholders' meeting complied with the provisions of relevant laws, regulations, normative documents and the "Articles of Association", the qualifications of the convener and attendees were legal and valid, and the voting procedures and voting results were legal and valid.

2. About the company and controlling shareholders

The company correctly handles its relationship with its controlling shareholders in accordance with the Company Law, Securities Law, Articles of Association and relevant regulations of the securities regulatory authorities. The company's controlling shareholder exercised its rights and assumed corresponding obligations in accordance with the law. There was no abnormal occupation of the company's funds by the controlling shareholder and other related parties or illegal guarantees, and the interests of the company and other shareholders were not harmed. The company has the ability to operate independently and is independent of the controlling shareholder in terms of business, personnel, capital, finance, etc. The company's board of directors and internal organizations can operate independently and perform their respective duties in accordance with their respective rules of procedure and regulations.

3. About directors and board of directors

The company's board of directors consists of 9 directors, including 3 independent directors and 1 employee representative director. The company's board of directors has one chairman, who is elected by more than half of all directors. All directors of the company can abide by relevant laws, regulations, the Articles of Association and the Rules of Procedure of the Board of Directors, be responsible to all shareholders, perform their duties diligently, and independently perform corresponding rights, obligations and responsibilities. The company's board of directors has four special committees: Audit Committee, Remuneration and Assessment Committee, Nomination Committee and Strategy Committee. The special committees carry out their work in accordance with the working rules and regulations of each special committee to ensure the effective operation and scientific decision-making of the board of directors. During the reporting period, the company held a total of 7 board meetings. The convening, holding and voting procedures of the meetings were in compliance with the provisions of the Company Law, Articles of Association, and Rules of Procedure of the Board of Directors.

4. About supervisors and board of supervisors

In accordance with the provisions of relevant laws and regulations such as the "Company Law of the People's Republic of China", "Transitional Arrangements for the Implementation of Supporting Systems and Rules of the New Company Law", "Guidelines on the Articles of Association of Listed Companies" and other relevant laws and regulations, the company held the second temporary shareholder meeting in 2025 on July 18, 2025. The meeting reviewed and approved the "Proposal on Amending the Articles of Association". The company will no longer have a board of supervisors. The powers of the board of supervisors stipulated in the "Company Law" will be exercised by the audit committee of the board of directors. The "Rules of Procedure of the Board of Supervisors of Anhui Huaren Health Pharmaceutical Co., Ltd." shall be abolished accordingly.

5. About management

The president, vice president, secretary of the board of directors and chief financial officer of the company are the senior management personnel of the company. The company nominates, appoints and removes senior managers in strict accordance with the provisions of the Company Law and the Articles of Association. Each senior manager is qualified to serve as a senior manager of a listed company. They work diligently and conscientiously during their tenure and safeguard the rights and interests of the company and all shareholders. Based on the actual situation, business characteristics and relevant internal control requirements, the company's management exercises operational management rights through command, coordination, management and supervision of various departments to ensure the normal operation of the company, ensure that the decisions of the company's board of directors are conscientiously and effectively implemented, and promote the realization of the company's business objectives.

6. About information disclosure and transparency

The company designates the secretary of the board of directors as the person in charge of information disclosure, investor relations management and other matters, and the company’s securities department is responsible for cooperating with the secretary of the board of directors to carry out relevant work. The company attaches great importance to information disclosure and strictly follows the Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 2 - Standardized Operations of GEM Listed Companies, the Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 5 - Information Disclosure Management and the Articles of Association and other relevant requirements to disclose information truly, accurately, completely and timely, and ensure that all shareholders, especially small and medium-sized investors, have equal opportunities to obtain information. The company designates "Securities Times", "China Securities News", "Shanghai Securities News", "Securities Daily", and Juchao Information Network (www.cninfo.com.cn) as the company's information disclosure media to protect investors' right to know and ensure

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

All shareholders of the company have fair access to company information. At the same time, the company also fully guarantees the investors’ right to know through diversified investor communication channels, including investor hotlines, dedicated emails, investor interaction platforms, investor relations activities, etc.

7. About investor relations management

The company has always strictly followed the provisions of the "Investor Relations Management Guidelines for Listed Companies" and the company's "Investor Relations Management System", and established diversified communication channels with investors through the investor relations column on the company's website, the Shenzhen Stock Exchange's interactive platform, e-mails, investor hotlines, investor relations activities, etc., to enhance investors' understanding of the company's operations and development.

8. Regarding responsibility

Develop and produce effective drugs and professional and considerate pharmaceutical services to satisfy customers; help customers grow and make it easy to open pharmacies in the world to satisfy customers; provide employees who contribute to the enterprise with benefits, a stage and a future to satisfy the team; be open, transparent and standardized, operate with heart, and allow shareholders to continue to make profits. Satisfy shareholders; abide by laws and regulations, operate with integrity, pay taxes in accordance with the law, solve problems for the government, not cause trouble to the government, and satisfy the government; win-win and symbiotic, green development, repay the society, and satisfy society; use the power of technology, wisdom and culture to empower the pharmaceutical ecology and grow into a respected "six satisfaction" enterprise.

9. Regarding the establishment and implementation of the internal audit system

The company has established an "Internal Audit System", set up an internal audit department, and deployed full-time internal audit personnel. Under the guidance of the Audit Committee of the Board of Directors and in accordance with the internal control system system, the internal audit department audits and supervises the design and implementation of the internal control system of the company and its subsidiaries, related transactions, external guarantees, use of major expenses, and asset status, etc., to improve the company's standardized operation level and effectively protect the legitimate rights and interests of shareholders.

Whether there are major differences between the actual situation of corporate governance and the laws, administrative regulations and regulations on the governance of listed companies issued by the China Securities Regulatory Commission

□Yes No

There is no significant difference between the actual situation of corporate governance and the laws, administrative regulations and regulations on the governance of listed companies issued by the China Securities Regulatory Commission.

2. The company’s independence from its controlling shareholders and actual controllers in ensuring the company’s assets, personnel, finance, organization, business, etc.

3. Assets are independent and complete

The company legally owns the ownership or use rights of land, real estate, equipment, trademarks and patents related to its operations, and has an independent product procurement, distribution and sales system; the company's assets are not controlled and occupied by controlling shareholders, joint actual controllers and their relatives, as well as other companies controlled, invested and exerting significant influence (including canceled and external transfers).

2. Personnel independence

The company's president, vice president, financial director and other senior management personnel do not hold other positions other than directors and supervisors in other enterprises controlled, invested or exerted significant influence (including canceled and external transfers) controlled by the controlling shareholder, joint actual controllers and their relatives. The controller and his relatives control, invest and exert significant influence on other enterprises (including those that have been canceled and transferred to external parties). The company's financial personnel do not work part-time in other enterprises that the controlling shareholder, joint actual controllers and their relatives control, invest in and exert significant influence on (including those that have been canceled and transferred to external parties).

3. Financial independence

The company has established an independent financial accounting system and is able to make financial decisions independently. It has standardized financial accounting systems and financial management systems for branches and subsidiaries; the company does not share bank accounts with its controlling shareholders, joint actual controllers and their relatives, as well as other companies it controls, invests in and exerts significant influence on (including canceled and external transfers).

4. Institutional independence

The company has established a sound internal operation and management organization and independently exercises operation and management powers. There is no institutional confusion with its controlling shareholders, joint actual controllers and their relatives, as well as other enterprises it controls, invests in and exerts significant influence on (including those that have been canceled and transferred externally).

5. Business independence

The company's business is independent of the controlling shareholder, joint actual controllers and their relatives, and other companies they control, invest in, and exert significant influence on (including cancellations and external transfers). There is no horizontal competition that has a significant adverse impact on the company with the controlling shareholder, joint actual controllers, their relatives, and other companies they control, invest in, or exert significant influence on (including cancellations and external transfers), as well as related transactions that seriously affect independence or are obviously unfair.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

3. Competition within the industry

□Applicable Not applicable

4. The company has arrangements for differential voting rights

□Applicable Not applicable

5. Corporate governance of red-chip structures

□Applicable Not applicable

6. Directors and senior managers

1. Basic situation

This issue This issue

Beginning of the period Others End of the period Increase in shareholdings Decrease in shareholdings

Term Term Shareholding Increase or decrease Shareholding Increase or decrease

employment shares shares

Name Gender Age Position Start End Number Change Number Change Status Quantity Quantity

date date (share (share (share) original (share (share

) ) ) because) )

2014 2027

Director 200,4 200,4He Family Year 01 Year 04

Male 50 years old, current 93,32 0 0 0 93,32 months 18 months 11 months

President 6 6 days

Dong 2015 2027

He family affairs, year 04 year 04 27,57 27,57

Male 53 Current 0 0 0 Lun Vice President Month 20 Month 11 2,335 2,335 laid off Day Day

2023 2025

year 05 year 04

Yang Ce Male 45 Director Resigned 0 0 0 0 October 08 25

day day

2018 2027

Year 12 Year 04

Lu Xu Male 48 Director Current 0 0 0 0 October 25 October 11

day day

Dong 2014 2027

Things, year 01 year 04

Yin Jun Male 46 Current 1,800 0 0 0 1,800Vice President Month 18 Month 11

cut off day

2025 2027

Li Li Year 05 Year 04

Female 41 Director Current 0 0 0 0 0 Li Month 16 Month 11

day day

director

2018 2027

Secretary

year 05 year 04

Li Mei Female 49 books, current 0 0 0 0 0 month 10 month 11

Finance

day day

director

2018 2027

Zhao Chun Vice President

Male 45 current year 05 year 04 0 0 0 0 0 water layoff

October 11

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

day day

2024 2025

Zhao Chun year 04 year 07 year

Male 45 Director Resigned 0 0 0 0 0 Water December 18

day day

2025 2027

employees

Zhao Chun 2007-04

Male 45 Representative Current 0 0 0 0 0 water month 18 month 11

director

day day

2024 2027

Independence Year 04 Year 04

Liu Liang Male 43 Current 0 0 0 0 0 Director December 11

day day

2024 2027

Independence Year 04 Year 04

Cheng Mou Male 48 Current 0 0 0 0 0 Director December 11

day day

2024 2027

Li Chuan independent year 04 year 04

Male 49 Current 0 0 0 0 0 Run Director Month December 11

day day

2024 2025

Lu Zhi Vice President Year 04 Year 01

Male 52 Resigned 0 0 0 0 0Lin Manager December 23

day day

228,0 228,0Total -- -- -- -- -- -- 67,46 0 0 0 67,46 --

1 1

Is there any resignation of directors and senior managers during the reporting period?

Yes □No

1. Lu Zhilin resigned from the position of deputy general manager on January 23, 2025 due to personal reasons.

2. Yang Ce resigned as director on April 25, 2025 due to personal reasons.

Changes in directors and senior managers of the company

Applicable □Not applicable

Name Position held Type Date Reason Yang Ce Director Resigned April 25, 2025 Personal reasons Zhao Chunshui Director Resigned July 18, 2025 Work transfer Zhao Chunshui Employee Representative Director was elected July 18, 2025 Work transfer Lv Zhilin Deputy General Manager Resigned January 23, 2025 Personal reasons Li Lili Director was elected May 16, 2025 Job transfer

2. Employment status

The professional background, main work experience and current main responsibilities of the company’s current directors and senior managers in the company

(1) Board members

Mr. He Jiale: Han nationality, born in 1976, member of the Communist Party of China, Chinese nationality, no permanent residence abroad, graduated from Jinan University, EMBA major, master's degree

Postgraduate degree, senior economist. From August 1997 to April 2003, he worked successively at Hefei Shenlu Pharmaceutical Co., Ltd. and Hefei Shenlu Shuanghe Pharmaceutical Co., Ltd.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Served as a general employee, sales supervisor, and manager; from May 2003 to May 2008, he served as the OTC department manager of Hefei Cube Pharmaceutical Co., Ltd.; from June 2008 to present, he has worked at Chinese Health, serving as executive director; currently, he is the chairman and president of Chinese Health.

Mr. Lu Xu: Han nationality, born in 1978, Chinese nationality, no permanent residence abroad, graduated from the clinical medicine major of Peking Union Medical College Hospital with a doctoral degree. From September 2004 to September 2006, he served as a doctor at Peking Union Medical College Hospital; from October 2006 to September 2007, he served as an analyst at Accenture (China) Co., Ltd.; from August 2007 to present, he served as investment director at Beijing SoftBank SAIF Investment Consulting Co., Ltd. and Tianjin SAIF Zhongyuan Investment Consulting Co., Ltd.; from December 2018 to present, he served as a director of Chinese Health.

Mr. He Jialun: Han nationality, born in 1973, Chinese nationality, no permanent residence abroad, graduated from Anhui Normal University, majoring in Chinese, with a bachelor's degree. From July 1992 to June 2008, he served as a teacher at Bailianyan Middle School in Huoshan County; from September 2008 to present, he has worked at Chinese Health, serving as supervisor, chairman of the board of supervisors, and sales director; currently, he is a director and vice president of Chinese Health.

Mr. Yin Jun: Han nationality, born in 1980, Chinese nationality, no permanent residence abroad, college degree. From September 2000 to April 2003, he served as the sales manager of Anhui Xianke Sihuan Disinfection Products Co., Ltd.; from June 2003 to April 2005, he served as the sales manager of Hefei Kangbo Medical Electronic Equipment Co., Ltd.; from April 2005 to May 2008 In September, he served as the provincial and district manager of the OTC department of Hefei Cube Pharmaceutical Co., Ltd.; from June 2008 to the present, he has worked in Chinese Health, and has served as provincial and district manager, purchasing director, commercial procurement center director, and executive director and general manager of the subsidiary Jiangsu Shenhua; he is currently director and vice president of Chinese Health.

Mr. Zhao Chunshui: Han nationality, born in 1981, Chinese nationality, no permanent residence abroad, graduated from Anhui University of Traditional Chinese Medicine, majoring in integrated traditional Chinese and Western medicine, with a college degree. From August 2002 to July 2005, he served as a training doctor at Xuancheng People's Hospital; from August 2005 to December 2007, he served as the marketing manager of Ningbo Lixin Yousheng Medical Equipment Co., Ltd.; from January 2008 to 2012 In April, he served as the marketing director of Beijing Jirunkang Biotechnology Co., Ltd.; from May 2012 to the present, he has worked in Chinese Health, serving as director, general manager of the marketing center, and executive director of the subsidiary Quanfang Pharmaceutical; currently, he is currently the employee representative director and vice president of Chinese Health.

Ms. Li Lili: Han nationality, born in 1985, Chinese nationality, no permanent residence abroad, college degree. He once served as the Commerce Minister of Hefei Bojian Technology Co., Ltd. Since December 2009, he has been working at Chinese Health, and has served as Vice President of Administration, Chairman of the Board of Supervisors, Employee Representative Supervisor, and Executive Vice President and General Manager of its subsidiary Quanfang Pharmaceutical. Currently serves as the director of Chinese Health.

Mr. Liu Liang: Han nationality, born in 1983, Chinese nationality, no permanent residence abroad, graduated from Nanjing Audit Institute, majoring in auditing, with a master's degree. From August 2006 to June 2011, he served as auditor and audit assistant manager of KPMG Huazhen Accounting Firm (Special General Partnership); from July 2011 to July 2018, he served as clerk and deputy chief clerk of the Company Supervision Division of Jiangsu Securities Regulatory Bureau, and deputy chief clerk of the Second Inspection Division of Jiangsu Securities Regulatory Bureau; from July 2018 to present, he served as assistant to the chairman and secretary of the board of directors of Jiangsu Tongli Tianqi Technology Co., Ltd. From April 12, 2024 to present, he has served as an independent director of Chinese Health.

Mr. Cheng Mou: Han nationality, born in 1978, Chinese nationality, no permanent residence abroad, graduated from the University of Science and Technology Beijing, majoring in business administration, with a bachelor's degree. From 2000 to 2002, he worked as an employee in the marketing department of Yangzijiang Pharmaceutical Group; from 2002 to present, he worked in Guangzhou Pioneer Pharmaceutical Information Co., Ltd., serving as researcher, research manager, research director, and deputy general manager. From July 2021 to the present, he serves as the chairman of the Pharmacy Management Professional Committee of the China Medical Education Association; from April 2022 to the present, he serves as the independent director of Jiangxi Xinganjiang Pharmaceutical Co., Ltd. From April 12, 2024 to present, he has served as an independent director of Chinese Health.

Mr. Li Chuanrun: Born in 1977, Han nationality, Chinese nationality, no permanent residence abroad, graduated from Nanchang University, majoring in chemical engineering, with a doctoral degree. From December 2012 to present, he has worked at Anhui University of Traditional Chinese Medicine, serving as associate professor of the School of Pharmacy, deputy director of the Department of Pharmaceutical Chemistry, professor of the School of Pharmacy, and director of the Department of Pharmaceutical Chemistry. He is currently a professor at the School of Pharmacy at Anhui University of Traditional Chinese Medicine and director of the Department of Medicinal Chemistry and Pharmaceutical Engineering. From April 12, 2024 to present, he has served as an independent director of Chinese Health.

(3) Senior managers

Mr. He Jiale: Chairman and President of the company. For basic information, please see "(1) Board Members" in this section.

Mr. He Jialun: Director and Vice President of the company. For basic information, please see "(1) Board Members" in this section.

Mr. Yin Jun: Director and Vice President of the company. For basic information, please refer to "(1) Board Members" in this section.

Mr. Zhao Chunshui: Director and Vice President of the company. For basic information, please see "(1) Board Members" in this section.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Ms. Li Mei: Han nationality, born in 1977, Chinese nationality, no permanent residence abroad, graduated from Jilin University of Finance and Economics, majoring in Certified Public Accountant, with a bachelor's degree. From July 2000 to April 2005, he served as the auditor of Anhui Xincheng Accounting Firm; from April 2005 to September 2011, he served as the director of the audit department of Anhui Sanchuan Accounting Firm; from September 2011 to June 2015, he served as Baker Tilly International Accountants Deputy Director of Audit No. 1 of the Anhui Branch of the firm (Special General Partnership); from June 2015 to May 2018, he served as secretary of the board of directors and financial director of Beijing Oupenbach New Energy Technology Co., Ltd.; from May 2018 to present, he served as secretary of the board of directors and financial director of Chinese Health.

The situation where the controlling shareholder and actual controller simultaneously serve as the chairman and president of a listed company

Applicable □Not applicable

Mr. He Jiale, the company’s controlling shareholder and actual controller, serves as both chairman and president. This arrangement is based on the actual situation of corporate governance and considerations that are beneficial to the company’s development. It not only reflects the controlling shareholder’s professional capabilities and deep understanding of the company, but also meets the company’s needs for efficient decision-making and stable development. At the same time, the company has taken a series of measures to ensure the separation of powers between the board of directors and the president and the independence of listed companies, as follows:

1. Reasonable explanation

(1) Strategic consistency and efficient decision-making

As a core member of the board of directors, the chairman is responsible for formulating the company's development strategies and major decisions; the president is responsible for the execution of daily operations and management. The controlling shareholder and actual controller serving as chairman and general manager at the same time can ensure a high degree of consistency between the company's strategy and daily operations and reduce efficiency losses caused by excessive information transmission and decision-making levels. This arrangement helps to quickly respond to market changes and improve the company's decision-making efficiency in complex environments.

(2) Concentration of professional abilities and experience

Mr. He Jiale, the controlling shareholder and actual controller, has rich industry experience, excellent management capabilities and a deep understanding of the company. As chairman and president at the same time, he can give full play to his personal strengths, promote the realization of the company's strategic goals, and improve the company's overall operational efficiency and market competitiveness. This arrangement not only reflects the professionalism of the controlling shareholder, but also provides stable core leadership for the company's development.

(3) Stabilize corporate governance structure

When the company is in a critical development stage or faces major challenges, the controlling shareholder and actual controller serve as chairman and president at the same time, which helps stabilize the company's governance structure and avoid frequent changes in management that affect the company's development. This arrangement can ensure the continuity and stability of the company's strategic goals and lay a solid foundation for the company's long-term development.

(4) Improve management efficiency

As the controlling shareholder and actual controller, He Jiale has full control over the company's development direction and internal operations. Serving as chairman and president at the same time can reduce communication costs within management, improve decision-making and execution efficiency, and ensure the optimal allocation of company resources and the effective implementation of strategic goals.

2. Ensure reasonable arrangements for the separation of powers between the board of directors and the president

(1) Independence of the board of directors

The company attaches great importance to the independence of the board of directors. Independent directors account for one-third of the board of directors. All independent directors have professional capabilities and independent judgment, and can supervise and review the company's major decisions. The establishment of independent directors effectively prevents controlling shareholders and actual controllers from over-controlling the board of directors, ensuring that the board of directors can independently perform its duties and safeguard the interests of the company and all shareholders.

(2) Clarify the division of responsibilities between the board of directors and the president

The company clearly stipulates the scope of responsibilities of the board of directors and the president in its Articles of Association to ensure that there is no overlap or overlap in their responsibilities. The board of directors is responsible for formulating company strategies, major investment decisions, reviewing financial budgets and other matters, while the president is responsible for daily business management and execution of specific business. This clear division of labor mechanism can prevent the president from having too much power and affecting the independence of the board of directors.

(3) Establish a special committee

The company has established special committees such as the Audit Committee, Nomination Committee, and Remuneration and Assessment Committee to further refine some of the functions of the Board of Directors. Most of these committees are led by independent directors, which can better supervise the daily business activities of the president and ensure the standardization and scientific nature of corporate governance.

(4) Improve the decision-making mechanism of the shareholders’ meeting

The company strictly follows the "three meetings" system (shareholders' meeting, board of directors, and audit committee) to ensure that the decision-making mechanism of the shareholders' meeting, as the company's highest authority, is complete. Although the controlling shareholders and actual controllers have great influence in the shareholders' meeting, major matters of the company still need to be reviewed by the shareholders' meeting to ensure that the rights and interests of small and medium-sized shareholders are fully protected.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(5) Standardization of internal systems

The company has established a complete internal management system, including the "Related Transaction Management System" and "Information Disclosure Management System" to ensure that the power of the chairman and president is subject to institutional constraints. These systems can effectively regulate the behavior of management and avoid harming the company's interests due to the concentration of personal power.

3. Specific measures to maintain the independence of listed companies

(1) Strictly abide by the "five separations" principle

The company strictly complies with the requirements of the Company Law and the Code of Governance for Listed Companies, and maintains independence from its controlling shareholders, actual controllers and their related parties in terms of business, assets, personnel, finance and institutions.

(2) Strengthen the supervisory role of independent directors

The company's independent directors are independent and professional and can make independent judgments on the company's major decisions. The company has formulated the "Working System for Independent Directors", which gives independent directors the right to supervise corporate governance, related transactions, and performance of duties by senior executives.

(3) Improve the information disclosure system

The company strictly complies with relevant laws, regulations and exchange rules, and promptly, accurately and completely discloses the situation of the controlling shareholder and actual controller concurrently serving as chairman and president, including the rationality of the concurrent appointment, the impact on corporate governance and specific measures to prevent conflicts of interest. Through transparent information disclosure, companies can enhance investors' trust in corporate governance and avoid risks caused by information asymmetry.

(4) Establish an effective internal supervision mechanism

The company has established an audit committee to supervise the performance of duties by the chairman and president. The Audit Committee regularly inspects the company's financial status and senior management's performance of duties to ensure the standardization and effectiveness of corporate governance. At the same time, it supervises the behavior of the company's management and further improves the company's internal checks and balances mechanism. (5) Standardize the management of related party transactions

There are no related transactions between the company's controlling shareholders and actual controllers and the company. In the future, the company will also review and disclose relevant transactions in strict accordance with the "Related Transaction Management System" to avoid damaging the interests of listed companies due to concurrent positions.

Employment status in shareholder units

□Applicable Not applicable

Employment status in other units

Applicable □Not applicable

Personnel working in other units In other units Name of other unit on the expiration date of the term Start date of the term Whether or not to receive the registration Name Position held Period

Remuneration Lu Xu Suzhou Puxin Venture Capital Management Co., Ltd. General Manager December 16, 2016 Fu Lu Xu Beijing Ruide Medical Investment Co., Ltd. Director October 12, 2016 Fu Lu Xu Beijing Yixinbochuang Biotechnology Co., Ltd. Director February 11, 2015 No

Derunte Digital Imaging Technology (Beijing) Co., Ltd.

Lu Xu Director December 09, 2019 No

Division

Lu Xu Guangzhou Aoyi Electronic Technology Co., Ltd. Director July 1, 2016 Foluxu Nanjing Wolfman Medical Technology Co., Ltd. Director June 24, 2020 Foluxu Beijing New Vision International Travel Service Co., Ltd. Director August 31, 2015 Foluxu Nanjing Feidu Medical Equipment Co., Ltd. Director May 9, 2016 No

December 2025 Lu Xu Director of Beijing DiLe Technology Co., Ltd. February 8, 2017 No

March 27

Lu Xu Tianjin Zhengli Technology Co., Ltd. Director November 15, 2018 Foluxu Chengdu Yafei Dental Co., Ltd. Director January 2, 2014 Foluxu Shenzhen Juding Medical Co., Ltd. Director November 18, 2015 Foluxu Guangzhou Yaden Medical Technology Co., Ltd. Director October 8, 2014 Foluxu Chongqing Pushkang Technology Development Co., Ltd. Director February 4, 2015 Foluxu Shenzhen Nobo Medical Technology Co., Ltd. Director March 2, 2021 Foluxu Shenzhen Niumai Technology Co., Ltd. Director December 24, 2025 Foluxu Beijing Hope Group Biotechnology Co., Ltd. Director October 8, 2018 No

2026-01 Lu Xu Nalong Health Technology Co., Ltd. Director September 08, 2021 No

month 12

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Lu Xu Beijing Ansong Technology Co., Ltd. Director November 2, 2023 Fulu Xu Ji Jinqingtang (Beijing) Biotechnology Co., Ltd. Director August 16, 2011 Fulu Xu Tianjin Saifu Zhongyuan Investment Consulting Co., Ltd. Investment Director August 1, 2007 Liu Liang Jiangsu Tongli Tianqi Technology Co., Ltd. Board Secretary August 17, 2020 Yes Liu Liang Director of Beijing Tianqi Hongyuan New Energy Technology Co., Ltd. May 9, 2022 No Liu Liang Director of Jiangsu Tongqi New Energy Technology Co., Ltd. October 30, 2024 No Liu Liang Danyang Liqing New Energy Technology Co., Ltd. Supervisor September 22, 2025 No

September 2025 Liu Liang Jiangsu Tiangong Technology Co., Ltd. Independent Director April 10, 2020 is the 16th of the month

Pharmacy Management Professional Committee of China Medical Education Association

Cheng Mou Chairman July 1, 2021 No

Will

Cheng Mou, Deputy General Manager of Guangzhou Biaodian Pharmaceutical Information Co., Ltd. On January 1, 2011, he was Cheng Mou, Independent Director of Jiangxi Xinganjiang Pharmaceutical Co., Ltd. On April 7, 2022, he was a professor of the School of Pharmacy

Teaching, medicine and

Li Chuanrun Anhui University of Traditional Chinese Medicine July 1, 2022 Department of Pharmaceutical Engineering

Director

Penalties imposed by the securities regulatory authorities in the past three years on current and former directors and senior managers of the company during the reporting period

□Applicable Not applicable

3. Remuneration of directors and senior managers

Decision-making procedures, basis for determination, and actual payment status of remuneration of directors and senior managers

Among the directors and senior managers of the company, those appointed by institutional investors do not receive remuneration from the company, while the remaining directors and senior managers of the company receive remuneration from the company.

Salary or allowance. Among them, the remuneration of non-independent directors and senior managers serving in the company mainly consists of basic salary and performance-based salary. Independent director of the company

Receive a fixed allowance every year.

According to the company's "Working Rules of the Remuneration and Appraisal Committee of the Board of Directors", the Remuneration and Appraisal Committee of the company's Board of Directors is responsible for formulating the evaluation of directors and senior managers.

Standards and assessment; responsible for formulating and reviewing remuneration policies and plans for directors and senior managers; remuneration of company directors proposed by the Remuneration and Assessment Committee

The plan must be approved by the board of directors and submitted to the shareholders' meeting for review and approval before implementation; the remuneration distribution plan for the company's senior managers must be submitted to the board of directors for approval.

According to the company's "Independent Director Work System", the company provides appropriate allowances to independent directors. The standard of allowances shall be formulated by the board of directors and reviewed by the shareholders’ meeting.

Passed. In addition to the above allowances, independent directors shall not obtain additional, undisclosed other benefits from the company, its major shareholders or interested institutions and personnel.

Benefit.

The board of directors is responsible for the formulation, management, and assessment of the remuneration system for the company's president and other senior managers. The remuneration of the president and other senior management personnel is the same as

The company's performance is linked to individual performance, and is distributed based on the completion of performance indicators with reference to the performance appraisal system.

Remuneration situation of directors and senior managers of the company during the reporting period

Unit: 10,000 yuan

Obtained from the company. Whether you are in the company or not is related to your name, gender, age, position, and employment status.

Total pre-tax remuneration Remuneration received by joint parties He Jiale Male 50 Chairman, President Current 90 No He Jialun Male 53 Director, Vice President Current 85 No Yang Ce Male 45 Director Resigned 0 Yes Lu Xu Male 48 Director Current 0 Yes Yin Jun Male 46 Director, Vice President Current 62.46 No Zhao Chunshui Male 45 Employee Representative Director, Vice President Incumbent 75.8 No Li Lili Female 41 Director Incumbent 46.28 No Liu Liang Male 43 Independent Director Incumbent 7.5 Yes Cheng Mou Male 48 Independent Director Incumbent 7.5 No Li Chuanrun Male 49 Independent Director Incumbent 7.5 No Li Mei Female 49 Board Secretary, Financial Director Incumbent 54 No

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Lu Zhilin Male 52 Deputy General Manager Resigned 3.5 No

Total -- -- -- -- 439.54 --

The Remuneration and Appraisal Committee shall make decisions based on job responsibilities, work performance, and corporate economic efficiency.

Taking into account the salary levels of relevant positions in other companies in the same industry, combined with the evaluation basis of the actual salary received by all directors and senior managers at the end of the relevant reporting period of the company,

The salary and performance appraisal management system determines the basis for salary. Director’s evidence of working in the company

Directors and senior managers are paid according to the company’s salary based on their positions in the company.

System issuance.

At the end of the reporting period, the assessment of the actual remuneration received by all directors and senior managers was completed.

Completed

situation

Deferred expenses of remuneration actually received by all directors and senior management at the end of the reporting period

Not applicable

payment arrangement

Stop payment recovery of actual remuneration received by all directors and senior management at the end of the reporting period

Not applicable

Search situation

Other information

□Applicable Not applicable

7. Directors’ performance of duties during the reporting period

1. Directors’ attendance at board of directors and shareholders’ meetings

Directors’ attendance at board of directors and shareholders’ meetings

Whether two consecutive

This reporting period should be by communication

Directors present on site. Directors present by proxy. Absent from the board of directors. Did not attend in person. Name of director who attended the shareholders' meeting. Participated in the board of directors. Participated in the board of directors.

Number of Board Meetings Number of Board Meetings Number of Board Meetings Number of Times

discuss

He Jiale 7 7 0 0 0 No 4 Yang Ce 1 0 1 0 0 No 0 Lu Xu 7 1 6 0 0 No 4 He Jialun 7 7 0 0 0 No 4 Yin Jun 7 2 5 0 0 No 4 Zhao Chunshui 7 5 2 0 0 No 4 Li Lili 5 5 0 0 0 No 3Liu Liang 7 0 7 0 0 No 4Cheng Mou 7 1 6 0 0 No 4Li Chuanrun 7 3 4 0 0 No 4Explanation for not attending the board of directors in person for two consecutive times

Not applicable

2. Directors raise objections to company-related matters

Whether directors raise objections to company-related matters

□Yes No

During the reporting period, the directors raised no objections to relevant matters of the company.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

3. Other instructions on directors’ performance of duties

Whether the directors’ recommendations to the company have been adopted

Yes □No

Director’s explanation on whether the company’s relevant suggestions were adopted or not adopted

During the reporting period, the directors of the company strictly complied with the Company Law, Securities Law, Shenzhen Stock Exchange GEM Stock Listing Rules, Shenzhen Stock Exchange Listed Companies

"Self-Regulation Guidelines No. 2 - Standardized Operations of GEM Listed Companies" and other relevant laws, regulations and normative documents, as well as the "Articles of Association" and "Rule of Procedures of the Board of Directors"

"Code of Conduct" and other relevant provisions, faithfully and diligently perform duties, actively attend relevant meetings, carefully review various proposals, make prudent decisions, and be responsible for the company's major governance and

Relevant opinions are put forward in operating decisions to promote the sustainable, stable and healthy development of the company's operations and safeguard the legitimate rights and interests of the company and all shareholders.

8. The situation of the special committees under the board of directors during the reporting period

Objection to other matters

Convened Implementation Committee Convening date Important opinions raised Specific members Meeting Content of meeting Responsibilities Period and suggestions Number of situations (if any)

Audit committee is strict

The fifth session

2025 Review and approval: "About the company <2024 year will be carried out in accordance with relevant regulations

Board of Directors Liu Liang and Cheng Unwell

On March 14, the audit work report of the Ministry of Finance and the 2025 annual work plan were not used by the audit committee for deliberation.

Expressed unanimous agreement on matters concerning the "Proposal" of the Day Plan

committee

meaning.

Reviewed and approved: 1. "About 2024

Report> and Summary Proposal"; 2. "About

Discussion on <2024 Financial Final Accounts Report>

Case"; 3. "About 2024 Internal Control

"Proposal on Preparing an Evaluation Report"; 4. "On the Continuation of

Proposal on hiring the company’s accounting firm for 2025

Case"; 5. "About 2024 Accounting Accountants

The firm’s performance evaluation report and the audit committee

Audit committee is strict

Proposal on the Report on the Performance of Supervision Responsibilities of the Fifth Session of the National People’s Congress;

Open in 2025 in accordance with relevant regulations

Board of Directors Liu Liang, Cheng 6. "About providing guarantees to subsidiaries in 2025"

On April 23, we will carry out our work and review the proposal on the estimated insurance amount of Li Chuanrun without the audit committee; 7. "About Public Utilities"

Agree on matters on the day

The company and its subsidiaries will apply to financial institutions in 2025

meaning.

6. Proposal for comprehensive credit limit"; 8. "Related

Deposit and use of funds raised in <2024

"Proposal on the special report on the situation"; 9. "On

Discussion on expected daily related transactions in 2025

Case"; 10. "About the use of idle parts for self-owned

Fund cash management and raised fund balance to be agreed upon

Deposits and corporate smart notice deposits are deposited

Bill

Audit committee is strict

The fifth session was reviewed and approved: 1. "About the Company <2025"

Open in 2025 in accordance with relevant regulations

Board of Directors Liu Liang and Cheng "Proposal on the First Quarterly Report"; 2. "About Discomfort

On April 28, the company will carry out its work and review the internal audit work for the first quarter of 2025.

Agree on matters on the day

Committee Report>Proposal》

meaning.

Audit committee is strict

The fifth session

Open in 2025 in accordance with relevant regulations

The Board of Directors Liu Liang and Cheng reviewed and approved: "About changing the use of raised funds. Not suitable

On May 19th, the work was carried out and used for the review of the proposal of "No Audit Committee Plan and Li Chuanrun"

Agree on matters on the day

committee

meaning.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Reviewed and approved: 1. "About the Company <2025"

Proposal for the Semi-annual Report> and Summary; 2. The Audit Committee’s fifth session of strict

2025 "About the Company < Raising funds in the first half of 2025" The board of directors will be held in accordance with relevant regulations Liu Liang and Cheng Unfit

Special report on storage, management and use on August 25> Development work, no audit committee, Li Chuanrun used for review

"Proposal on 2025"; 3. "Regarding the Company's <2025 Matters Expressed Consensus with the Committee"

Opinions on the Second Quarter Internal Audit Work Report>.

case"

Reviewed and approved: 1. "About the Company <2025"

Proposal on the Third Quarterly Report of the Fifth Session of the Audit Committee; 2. "About

In 2025, the board of directors will be held in accordance with relevant regulations. Liu Liang and Cheng will use their own funds to pay part of the funds raised for investment projects. Not suitable

On October 24, the work was carried out, and the proposal to replace the audit committee with an equal amount of raised funds was reviewed;

3. "About the Company" <Within the third quarter of 2025

meaning.

Ministry Audit Work Report>Proposal"

Nomination Committee Strictly 5th

In 2025, the board of directors will be held in accordance with relevant regulations. Li Chuanrun and He reviewed and approved: "About the by-election of the fifth board of directors." Unsuitable

On April 23, 2019, we started work on the proposal of reviewing the non-independent directors Jia Lun and Cheng Mou without nomination committee.

The committee expressed unanimous agreement on matters on the day

meaning.

The Remuneration and Appraisal Committee carries out its work in strict accordance with relevant regulations.

Based on prudence

The fifth session of the Principles, on the "About Public Policy"

Refusal to vote: 1. "About Company Directors 2025"

Board of Directors 2025 Directors 2025

Cheng Mou, Liu Proposal on Annual Salary Plan"; Discussion on Discomfort of Discomfort Pay and Salary Plan on April 23rd None

Liang and Yin Jun reviewed and approved: 2. "Proposal on the Use of Appraisal Committee for Senior Management of the Company" to avoid voting,

Proposal for the 2025 Salary Plan for Personnel"

The committee expressed unanimous agreement on the “Proposal on the 2025 Remuneration Plan for the Company’s Senior Management”

Agree.

9. Work of the Audit Committee

The audit committee discovered whether there are risks in the company during its supervision activities during the reporting period

□Yes No

The Audit Committee has no objection to the supervision matters during the reporting period.

10. Company employees

1. Number of employees, professional composition and education level

Number of active employees of the parent company at the end of the reporting period (person) 672 Number of active employees of major subsidiaries at the end of the reporting period (person) 8,266 Total number of active employees at the end of the reporting period (person) 8,938 Total number of employees receiving salaries during the current period (person) 13,271 Number of retired employees of the parent company and major subsidiaries who need to bear expenses (person) 218 Professional composition

Professional composition category Professional composition number (people) Production staff 633 Sales staff 5,203

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Technical staff 2,406 Financial staff 93 Administrative staff 603 Total 8,938 Education level

Education level category Number (person)

Technical secondary school 2,533 College 4,202 Undergraduate 878 Graduate 46 Doctoral 1 Others 1,278 Total 8,938

2. Remuneration policy

In terms of the salary system, the company takes the salary levels of the retail, service and pharmaceutical manufacturing industries as important references, closely combines its own development stage and strategic planning, and builds a salary management system that is both scientific and operable. The system design takes into account corporate cost control and employees' reasonable demands, and balances short-term incentives and long-term development goals. It aims to effectively attract, motivate and retain core talents through attractive and competitive salary policies, and provide solid human resources guarantee for the realization of corporate strategic goals.

The company always adheres to the core concept of "talent is the primary productive force", follows the four principles of "fairness, incentive, legality, and flexibility", promotes the deep integration of salary with KPI, OKR and other performance indicators, and clarifies assessment rules and incentive orientation. In order to accurately grasp market salary dynamics, the company comprehensively uses industry salary reports, mainstream recruitment platform data and the results of third-party research institutions to regularly evaluate market change trends and job value differences to ensure that the salary strategy is in line with the market and matches the position. For outstanding employees and core members, the company has set up special incentive awards, built a multi-level incentive system covering monthly, quarterly and annual, and strengthened immediate feedback and long-term recognition. At the same time, the company implements a "361" employee assessment and dynamic optimization mechanism, links responsibilities with remuneration, and links performance results with incentive distribution. It maintains organizational vitality through benign survival of the fittest and promotes the continuous optimization and stable development of the human resources team.

In terms of medium and long-term incentives, the company will launch an employee stock ownership plan in due course and use diversified incentive tools such as equity, options, and dividends to deeply bind the vital interests of core employees with the long-term development of the company. This move aims to establish and improve the benefit-sharing mechanism between workers and owners, optimize the corporate governance structure, enhance employees' sense of ownership and organizational cohesion, stimulate the enthusiasm and creativity of all employees, make personal growth and corporate growth resonate at the same frequency, and promote the company to maintain a stable, sustainable and healthy development trend in long-term competition.

3. Training plan

The company has always placed talent echelon building and professional ability training in an important position in strategic development, and is committed to continuously improving employees' professional skills and job suitability through systematic and structured learning mechanisms, so as to provide solid talent guarantee for achieving corporate strategic goals.

In terms of training system construction, the company takes corporate culture as the guide and establishes a sound training management mechanism around its core business. For new employees, we set up systematic onboarding training and provide mentors to accelerate their integration into the company through the "teaching and mentoring" model; for on-the-job employees, we carry out multiple forms of training such as "skills improvement, job rotation learning, and project practice"; for managers, we regularly organize outings and industry exchanges to broaden their horizons and improve their management level.

In the retail sector, the company adheres to the business philosophy of "professional, high-quality, fair and convenient", focuses on improving pharmaceutical service capabilities, and has built a full-chain training system covering school-enterprise cooperation, pre-job skills training, new employee training, professional skills improvement, reserve store manager training, store manager promotion classes and operations manager training classes.

In other business sectors, the company closely combines job actualities with market changes, adheres to the training concept of "beginning with the end in mind", starts from business needs, avoids training for training's sake, regularly reviews training effects, and dynamically optimizes course content. Long-term training camp activities such as "Jingying", "Elite" and "Golden Eagle" have been carried out to continuously improve employees' business capabilities, help enterprises better adapt to market demand and achieve high-quality development.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The company always adheres to the principle of teaching students in accordance with their aptitude, and flexibly uses diversified forms such as a combination of external training and internal training, online and offline hybrid learning, and takes into account the actual needs of the company and the personal growth of employees. By continuously optimizing the education and training system, we strive to create a team of comprehensive talents with strong capabilities, sophisticated technology and high quality, enhance the core competitiveness of the enterprise, and contribute to adapting to the requirements of the market economy, promoting enterprise development and social progress.

4. Labor outsourcing situation

Applicable □Not applicable

Total working hours of labor outsourcing (hours) 842,163 Total remuneration paid for labor outsourcing (yuan) 12,748,224.49

11. Company profit distribution and conversion of capital reserve into share capital

The formulation, implementation or adjustment of profit distribution policies, especially cash dividend policies, during the reporting period

Applicable □Not applicable

According to the Articles of Association, the company’s profit distribution policy is:

(1) Principle of profit distribution

1. The company implements a positive, sustainable and stable profit distribution policy. The company's profit distribution should pay attention to the reasonable return on investment to shareholders and take into account the company's sustainable development;

2. On the premise that the company's profits and cash flow meet the company's normal operations and medium- and long-term development strategic needs, the company will give priority to cash dividends and maintain the consistency, rationality and stability of the cash dividend policy;

3. The company’s cash dividend policy goal is residual dividend;

4. The company's board of directors and shareholders' meetings should fully consider the opinions of independent directors and public investors in the decision-making and demonstration process of profit distribution policies.

(2) Profit distribution form and proportion

1. The company can distribute dividends in the form of cash, stocks, or a combination of cash and stocks. If the conditions for cash dividends are met, cash dividends should be used first to distribute profits. If a company adopts stock dividends for profit distribution, it should have real and reasonable factors such as the company's cash flow situation, business growth, and dilution of net assets per share.

2. The company’s cumulative profits distributed in cash in the past three years should be no less than 30% of the average annual distributable profits achieved in the past three years.

3. The company's board of directors should comprehensively consider factors such as the characteristics of the industry, development stage, own business model, profitability level, and whether there are major capital expenditure arrangements, distinguish the following situations, and propose differentiated cash dividend policies in accordance with the procedures stipulated in this Articles of Association:

(1) If the company is in a mature development stage and has no major capital expenditure arrangements, when distributing profits, the proportion of cash dividends in this profit distribution should be at least 80%;

(2) If the company is in a mature stage of development and has major capital expenditure arrangements, when distributing profits, the proportion of cash dividends in this profit distribution should be at least 40%;

(3) If the company is in the growth stage and has major capital expenditure arrangements, when distributing profits, the proportion of cash dividends in the profit distribution should be at least 20%.

If the company's development stage is difficult to distinguish but there are major capital expenditure arrangements, it can be handled in accordance with the provisions of the preceding paragraph.

(3) Specific conditions for profit distribution

1. Specific conditions for cash dividends

Except for special circumstances, when the company is profitable for the year and the accumulated undistributed profits are positive, it will give priority to distributing dividends in cash. Special circumstances refer to:

(1) Cash dividends affect the company’s capital needs for normal operations;

(2) The company has major cash expenditures and other matters in the next 12 months (except for fund-raising projects). Significant cash expenditures refer to: the company's planned external investment, asset acquisition or equipment purchase and other cumulative expenditures reach or exceed 10% of the company's latest audited net assets and exceed 50 million yuan;

(3) When the company’s audit report for the most recent year is a non-unqualified opinion or an unqualified opinion with a paragraph on major uncertainties related to continuing operations;

(4) Other situations where the board of directors deems it inappropriate to distribute cash dividends.

2. Conditions for stock dividend distribution

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

When the company's operating conditions are good and the board of directors believes that the company's stock price does not match the company's share capital and that issuing stock dividends is beneficial to the overall interests of all shareholders of the company, it may propose a stock dividend distribution plan provided that the above conditions for cash dividends are met.

(4) Time interval for profit distribution

In principle, the company adopts an annual profit distribution policy. The company's board of directors can propose a mid-term profit distribution plan based on the profit situation, cash flow and capital demand plan, and implement it after review and approval by the extraordinary shareholders' meeting.

(5) Decision-making mechanism for profit distribution

1. The company's board of directors shall formulate a profit distribution plan based on the company's business development and the aforementioned profit distribution policy, and submit it to the shareholders' meeting for approval after voting;

2. When the board of directors considers the specific plan for cash dividends, it should carefully study and demonstrate the timing, conditions and minimum ratio of the company's cash dividends, adjustment conditions and decision-making process requirements, etc. Independent directors should express clear independent opinions on the profit distribution plan;

3. Independent directors can solicit opinions from minority shareholders, propose dividend plans, and directly submit them to the board of directors for review;

4. Before the shareholders’ meeting deliberates on the specific cash dividend plan, they should actively communicate with shareholders, especially small and medium-sized shareholders, through multiple channels (including but not limited to telephone, fax, email, etc.), fully listen to the opinions and demands of small and medium-sized shareholders, and promptly answer questions of concern to small and medium-sized shareholders;

5. If the company is profitable and the company's board of directors has not made a cash profit distribution plan, or if the company's cumulative profits distributed in cash in the past three years are less than 30% of the average annual distributable profits achieved in the past three years, the board of directors should disclose in the profit distribution plan and periodic reports the reasons for not distributing dividends and the use of funds not used for dividends retained by the company;

6. The Audit Committee provides review opinions on whether the procedures for the profit distribution plan drawn up and reviewed by the Board of Directors comply with laws, administrative regulations, the provisions of the China Securities Regulatory Commission and the Shenzhen Stock Exchange, and supervises the implementation of the company's profit distribution.

Profit distribution execution during the reporting period:

In 2024, based on the company's total share capital of 400,010,000 shares, a cash dividend of 1 yuan (tax included) will be distributed to all shareholders for every 10 shares, with a total cash dividend of 40,001,000.00 yuan (tax included). No bonus shares will be issued in this profit distribution, and capital reserves will not be converted into share capital. The remaining undistributed profits will be carried forward and distributed in subsequent years.

Special explanation of cash dividend policy

Whether it complies with the provisions of the company's articles of association or the requirements of the resolution of the shareholders' meeting: Yes

Are the dividend standards and proportions clear and clear: Yes

Are the relevant decision-making procedures and mechanisms complete: Yes

Whether the independent directors have performed their duties and played their due role: Yes

If the company does not distribute cash dividends, it should disclose the specific reasons and next steps.

Not applicable

Measures to be taken to enhance investor returns:

Whether small and medium-sized shareholders have the opportunity to fully express their opinions and demands, and their legitimate rights and interests

Yes

Is it adequately protected:

If the cash dividend policy is adjusted or changed, are the conditions and procedures in compliance with the regulations?

Not applicable

Transparent:

The company's profit distribution plan for the reporting period and capital reserve conversion plan are consistent with the relevant provisions of the company's articles of association and dividend management measures.

Yes □No □Not applicable

The company's profit distribution plan for the reporting period and capital reserve conversion plan are in compliance with the relevant provisions of the company's articles of association and other provisions.

Profit distribution and capitalization of capital reserve this year

Number of bonus shares for every 10 shares (shares) 0 Dividend amount for every 10 shares (yuan) (tax included) 1 Number of converted shares for every 10 shares (shares) 0 Capital base of the distribution plan (shares) 400,010,000 Cash dividend amount (yuan) (tax included) 40,001,000.00 Cash dividend amount in other ways (such as share repurchase) (yuan) 0.00 Total cash dividends (including other methods) (yuan) 40,001,000.00 Distributable profits (yuan) 425,181,245.68 Total cash dividends (including other methods) as a proportion of total profit distribution 100.00%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Cash dividend distribution this time

If the company is in the growth stage and has major capital expenditure arrangements, when distributing profits, the proportion of cash dividends in the profit distribution should be at least 20%.

Detailed explanation of profit distribution or capital reserve conversion plan

Based on the company's actual operating conditions and relevant regulations such as the Articles of Association, and taking into account the interests of shareholders and the company's long-term development needs, the company's profit distribution plan for 2025 is: based on the company's total share capital of 400,010,000 shares as of December 31, 2025, a cash dividend of 1 yuan (tax included) will be distributed to all shareholders for every 10 shares, with a total cash dividend of 40,001,000.00 yuan (tax included). No bonus shares will be issued in this profit distribution, and capital reserves will not be converted into share capital. The remaining undistributed profits will be carried forward and distributed in subsequent years.

If the company's total share capital changes between the announcement of this profit distribution plan and the implementation of equity distribution, the total distribution amount will be adjusted based on the principle that the distribution ratio per share remains unchanged.

The company made profits during the reporting period and the parent company’s profits available for distribution to shareholders were positive but no cash dividend distribution plan was proposed

□Applicable Not applicable

12. Implementation of the company’s equity incentive plan, employee stock ownership plan or other employee incentive measures

□Applicable Not applicable

The company has no equity incentive plan, employee stock ownership plan or other employee incentive measures and their implementation during the reporting period.

13. Construction and implementation of internal control system during the reporting period

1. Construction and implementation of internal control

The company strictly abides by the "Basic Standards for Enterprise Internal Control" and its related guidelines, and combines it with other internal control regulatory requirements to comprehensively build and effectively implement an internal control system. The company continues to optimize and improve the internal control system, strengthen internal audit supervision, and ensure the formation of a solid and efficient internal control mechanism in key areas such as corporate governance, business operations, financial accounting, human resources, information disclosure, related transactions, major investments, use of raised funds, and external guarantees, and maintain its continuous and stable operation.

During the reporting period, the company continued to strengthen the self-assessment and improvement of internal control, promoted the in-depth implementation and improvement of internal control measures among various departments, and further strengthened the awareness of compliance operations. The company is committed to ensuring the strict implementation of the internal control system, thereby improving the company's standardized operation level and providing a solid guarantee for the company's healthy and sustainable development.

2. Details of major deficiencies in internal control discovered during the reporting period

□Yes No

14. The company’s management and control of subsidiaries during the reporting period

Encountered during integration Solutions taken Follow-up resolution company name Integration plan Integration progress Resolution progress

Problem Solution Plan Fujian Province Yangzu Huimin Medical Company

Obtained 51% equity and completed industrial and commercial registration None Not applicable Not applicable Not applicable Lock Co., Ltd.

Fujian Haihua Pharmaceutical Chain Co., Ltd. obtained 54.557%

Completed industrial and commercial registration None Not applicable Not applicable Not applicable Company Equity

Hangzhou Guosheng Pharmacy chain has

Obtained 100% equity and completed industrial and commercial registration None Not applicable Not applicable Not applicable Limited company

Hefei Guosheng Wei Meiyuan Pharmacy

Obtained 99% equity and completed industrial and commercial registration None Not applicable Not applicable Not applicable to limited companies

Abnormalities in management control of subsidiaries

□Yes No

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

15. Internal control evaluation report and internal control audit report

1. Internal control evaluation report

Internal control evaluation report

April 25, 2026

Full text disclosure date

For details of the internal control evaluation report, please see "Anhui Chinese Health Pharmaceutical Co., Ltd. 2025 Internal Control Evaluation Full Text Disclosure Index Report" on Juchao Information Network (www.cninfo.com.cn)

Units included in the evaluation scope

The total assets of the company

100.00% of total assets in consolidated financial statements

proportion of amount

Units included in the evaluation scope

Operating income accounted for the company's total

100.00% and financial statements operating income

proportion of income

Defect identification standards

Category Financial Reporting Non-Financial Reporting

The identification criteria of major defects: refers to one or more control defects. The identification criteria of major defects: refers to the combination of one or more control defects, which may cause the company to seriously deviate from the control objectives. A combination of defects may cause the company to seriously deviate from its control objectives. When there are any one or more major defects in internal control, a conclusion that internal control is invalid should be made in the internal control evaluation report, mainly including the following situations:

① Fraud by directors and senior managers; ① Major mistakes caused by the company’s decision-making process;

②Major errors in the announced financial reports were erroneous. ②Negative news appeared frequently in the media, covering a wide range of areas, and the negative impact was corrected as soon as it was reported; it has not been eliminated;

③ The certified public accountant discovered that there was a major error in the current financial report. ③ The company lacked institutional control over important business or the institutional system failed to report, and the internal control failed to detect the error during operation;

Report; ④ Major or important defects in the company’s internal control have not been rectified. ④The audit committee and the internal audit department’s criteria for identifying important deficiencies in financial reports: refers to one or more control deficiencies in which control supervision is ineffective. The identification standard of a combination of defects, the severity of which is lower than a major defect, but there are still important defects: refers to one or more control defects that may cause the company to deviate from the control objectives. Serious Qualitative Criteria for Important Defects

The combination of defects, whose severity is lower than major defects, but still lower than major defects, will not seriously endanger internal control and may cause the company to deviate from the control objectives. The seriousness of important defects affects the overall effectiveness, but should also cause the board of directors and management to pay sufficient attention to the extent that the serious defects will not seriously endanger internal control, mainly including the following situations:

Overall effectiveness, but it should also cause the board of directors and management to ① The company's decision-making process leads to general errors;

Pay full attention, mainly including the following situations: ② Serious loss of business personnel in key positions of the company;

① Failure to select and apply accounting policies in accordance with generally accepted accounting principles; ③ There are flaws in the company’s important business systems or systems;

② Anti-fraud procedures and control measures have not been established; ④ Important or general defects in the company’s internal control have not been rectified. ③ Important deficiencies after communication were not corrected within a reasonable period of time (3) General deficiencies in non-financial reporting refer to other control deficiencies other than the above-mentioned major deficiencies and important deficiencies, mainly including ④ There is one or more of the following situations in the control of the end-of-period financial reporting process:

There are defects and there is no reasonable guarantee that the financial statements prepared are true. ① The company violated internal regulations, but no loss was caused;

Real and accurate goals. ② There are defects in the company’s general business rules or systems;

(3) General deficiencies in financial reports refer to ③ general deficiencies of the company that have not been rectified except for the above-mentioned major deficiencies;

Control deficiencies other than important deficiencies. ④The company has other defects.

Major defect: A single internal control defect or a combination of multiple internal control deficiencies may lead to misstatements in the company's financial reports. The combination of system defects may cause the company to lose an amount that is not small, greater than 1% of the total operating income of the consolidated financial statements, or less than 10 million yuan.

is greater than 1% of the total assets in the company's consolidated financial statements. Important defects: single internal control defect or multiple internal control quantitative standards

Important defects: A single internal control defect or a combination of multiple internal control defects may cause the company to suffer significant losses. A combination of defects may cause the company's financial report to be misstated between RMB 1 million and less than RMB 10 million.

The amount is greater than 0.5% of the total operating income of the consolidated financial statements but general deficiencies: a single internal control deficiency or multiple internal controls do not exceed 1% of the total operating income, or the combination of the company's joint deficiencies may cause the company's losses to be less than

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

and 0.5% of the total assets in the financial statements but not exceeding 1 million yuan of total assets. 1% of the amount.

General defects: A single internal control defect or a combination of multiple internal control defects may cause the misstatement of the company's financial report to not exceed the total operating income of the consolidated financial statement.

0.5%, or not exceeding 0.5% of total assets.

Material deficiencies in financial reporting

Quantity (pieces)

Major deficiencies in non-financial reporting

Number of traps (pieces)

Important flaws in financial reporting

Quantity (pieces)

Important gaps in non-financial reporting

Number of traps (pieces)

2. Internal control audit report

Applicable □Not applicable

Review opinion paragraph in the internal control audit report We believe that Chinese Health maintained effective internal control over financial reporting in all material aspects in accordance with the "Basic Standards for Enterprise Internal Control" and relevant regulations on December 31, 2025.

Disclosure of internal control audit report Disclosure date of full text of internal control audit report April 25, 2026

Juchao Information Network (www.cninfo.com.cn) "2025 Internal Control Internal Control Audit Report Full Text Disclosure Index"

Audit Report》Opinion type of internal control audit report Standard unqualified opinion Whether there are major flaws in non-financial reports No Whether the accounting firm issues an internal control audit report with non-standard opinions

□Yes No

Is the internal control audit report issued by the accounting firm consistent with the self-evaluation report of the board of directorsYes □No

Whether a non-standard audit opinion on internal control was issued during the reporting period or the previous year

□Yes No

16. Rectification of self-examination issues under special action on governance of listed companies

None

17. Environmental information disclosure

Whether listed companies and their major subsidiaries are included in the list of companies that disclose environmental information in accordance with the law

Yes □No

Included in the list of companies that disclose environmental information in accordance with the law

Number of companies in

Serial number Company name Query index of environmental information disclosure report according to law

1. In accordance with regulations, the company discloses relevant environmental information on the public side of the National Emission License Management Information Platform, website 1 Jiangsu Shenhua Pharmaceutical Co., Ltd.

for:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

https://permit.mee.gov.cn/perxxgkinfo/syssb/xkgg/xkgg!licenseInformation. action

2. According to the local regulations of Jiangsu Province, the company also discloses relevant environmental information in the Corporate Environmental Information Disclosure System (Jiangsu), the website is: http://ywxt.sthjt.jiangsu.gov.cn:18181/spsarchive-

webapp/web/viewRunner.html?viewId=http://ywxt.sthjt.jiangsu.gov.cn:18181/

spsarchive-webapp/web/sps/views/yfpl/views/yfplHomeNew/index.js

18. Social Responsibility

Chinese Health adheres to the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, deeply studies and implements the spirit of the 20th National Congress of the Communist Party of China and the Third and Fourth Plenary Sessions of the 20th Central Committee of the Communist Party of China. It continues to adhere to the corporate mission of "Chinese Health, Healthy Chinese - Working tirelessly for a healthy China", promotes the corporate core values of "Victory with the country, and walks with you", actively responds to and implements the health priority development strategy, and lays a solid health foundation for building Chinese-style modern Chinese health.

1. Strengthen political leadership and jointly build the foundation for development

The company has always deeply integrated party building work with corporate operations, given full play to the core role of party organizations in production and operation management, constantly improved the organizational system, and united employees to provide a strong guarantee for the company's high-quality development. In recent years, the company's party organization has won many honors, including the "Double Strong and Six Good" non-public enterprise party organizations at the district and municipal levels, the advanced grassroots party organizations at the district level, and the city's demonstration site for party building work in non-public enterprises and social organizations.

During the reporting period, the company's Party Committee added a Chinese Healthy Ideological and Political Education Base, taking the Baohe District Corruption Private Enterprise Construction Demonstration Site and the Baohe District Biomedicine Industry Chain Party Building Position as practical guides, and carried out a "Lunchtime Class" themed education study week in the red bookstore to deepen the clean and upright business environment that upholds, upholds, and practices integrity, promotes the construction of a clean culture, and injects fresh power into the high-quality development of the company.

2. Strengthen compliance and internal control to jointly build a new chapter of development

The company adheres to the business philosophy of honesty, altruism and win-win, and maintains long-term and stable good cooperation with upstream and downstream customers through resource integration, commodity procurement and other methods to achieve complementary advantages and coordinated development. During the reporting period, the company attached great importance to cultivating a compliance culture and rigid constraints for all employees, signed an honest transaction agreement externally, signed an integrity responsibility letter internally, and established a full-process risk warning and prevention and control system. Strictly fulfill all contractual obligations of customers, promote the two-way integration of compliance management and business development, and ensure that the rights and interests of all parties are effectively protected. In 2025, the company was rated as an AAA-level "Contract-abiding and Credit-worthy" enterprise in Anhui Province.

In accordance with relevant laws and regulations such as the Company Law, Securities Law, and Code of Governance for Listed Companies, the company continues to improve its governance system and effectively protect the rights and interests of all shareholders and investors. We attach great importance to communication with stakeholders, actively understand stakeholders’ expectations and suggestions for the company’s development work through various communication channels, and establish a diversified communication mechanism, laying a solid foundation for the company’s sustainable development.

3. Promote social employment and jointly write a chapter for talents

The company firmly establishes the development concept that talents are the first resource, creates a "four images" culture, provides employees with an open, inclusive, fair, just, harmonious and healthy working environment, and realizes the common growth of employees and the company. During the reporting period, the company continued to strengthen staffing and talent reserves by establishing a standardized recruitment management process, focusing on R&D innovation, drug production, bionic cultivation and marketing and other fields, and using diversified methods such as social recruitment, campus recruitment, and internal recommendations, to continuously strengthen staffing and talent reserves. Five of them were listed as independently recognized talents for key units in Baohe District. While the company grows in scale, it provides high-quality employment opportunities and provides a high-quality platform to promote the employment of fresh college graduates. In 2025, the company will recruit more than 300 fresh college students.

Talent cultivation is the core driving force for enterprise development. The company follows the talent concept of "united struggle, self-driven and reliable", provides employees with a systematic training system, continuously optimizes employee career promotion and performance appraisal processes, supports employees through horizontal and vertical composite job training, helps employees grow personally, and maximizes value. Relying on the resource advantages of the Medicine and Health Branch of Baohe Artisan College, we encourage and support employees to participate in top domestic industry competitions, regional pharmacist service skills competitions, etc., cultivate talent echelons internally, broaden employee career development, and export a group of skilled pharmaceutical craftsmen who are deeply involved in the front line to promote the improvement of medical and health standards.

4. Accelerate R&D and innovation to jointly assist industrial upgrading

The company has formulated an R&D management system to accelerate the R&D innovation process, actively build an innovation system of "independent R&D + incubation and cultivation + achievement transformation", and continuously cooperates with universities, scientific research institutes, medical institutions and innovative enterprises to deepen the exchange of resources, mutual recruitment of talents, co-construction of platforms and mutual sharing of results, create an innovative sample of industry-university-research mechanism, and help upgrade the Chinese health industry.

5. Improve five-star services to protect people’s health

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The company continues to optimize its product structure and improve service quality, adhering to the concept of "careful care and five-star service" to provide professional, high-quality and assured service experience to its 10 million members and consumers, and effectively safeguard and protect the rights and interests of consumers.

As of the end of the reporting period, the company promoted collaborative governance of consumer rights protection, explored diversified service trends, helped improve the quality of consumer supply, and promoted high-quality development. At the same time, we work with brand companies to carry out a series of activities such as "Focus on Food and Drug Safety and Caring for Public Health", "Safe Medication Lectures", "Safe Medication Charity Actions", and "Designated Recycling of Expired Drugs" to convey health knowledge to the people, allow them to purchase medicines with confidence, and effectively fulfill social responsibilities.

6. We shoulder the mission and build a better society together

Since its establishment, the company has continued to actively fulfill its corporate social responsibilities, continue to carry out charity and public welfare undertakings, build a public welfare platform, hold brand public welfare activities, and give back to the society through active, standardized and sustained charity and public welfare actions.

During the reporting period, the company focused on carrying out public welfare activities in the fields of community care and health support: it jointly carried out the theme activity of "Zongxiang to convey love and enjoy the silver age" with Luyang Le Elderly Home to promote the traditional virtues of respecting and caring for the elderly. Through health care, health monitoring support and cultural interaction, the company sent warm holiday blessings to the elderly, and donated 110 arm-type electronic blood pressure monitors and suction pumps. Medical supplies worth 27,000 yuan, including phlegm machines; donated 25,000 yuan to the Hefei Baohe District Charity Association to accurately assist needy groups in the community, support grassroots charity projects, and convey the warmth of social mutual aid; donated 8,000 yuan to the Hefei Women and Children Love Foundation to support special public welfare projects such as maternal and infant health, poverty relief, and child development, and continue to convey the warmth of public welfare.

The company will always insist on interpreting its mission and responsibility with practical actions, move forward steadily on the road of public welfare, and contribute more corporate strength to a healthy China.

19. Consolidate and expand the results of poverty alleviation and rural revitalization

The company implements the concept of "serving people's health wholeheartedly". In consolidating and expanding the results of poverty alleviation and comprehensively promoting rural revitalization, the company actively responds to the national call, fully exerts its corporate social responsibility, and actively participates in public welfare projects such as "Co-construction of Villages and Enterprises" and "Thousands of Enterprises Prospering Thousands of Villages". Focusing on the three themes of "inheriting the red spirit, deepening industrial cooperation, and assisting rural revitalization", the company donated 30,000 yuan in assistance funds to Quanshui Village, Yu'an District, Lu'an City, focusing on supporting the tea factory renovation project in Quanshui Village, helping to improve the tea factory's production efficiency and product quality, thereby driving villagers to increase their income and improve their happiness index. The company donated a total of 100,000 yuan to Bailianya Village, Dahuaping Town, Huoshan County and Guantang Village, Dashun Town, Shouxian County, to improve village infrastructure construction, improve villagers' living conditions, promote the development of local specialty industries, promote long-term and sustainable industries, and inject new momentum into rural revitalization.

In the future, the company will continue to deepen cooperation with rural areas, explore more sustainable assistance models, promote the development of rural industry, culture, ecology and other aspects, and contribute to the realization of common prosperity and rural revitalization strategic goals.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Section 5 Important Matters

1. Fulfillment of commitments

1. Commitments made by the company’s actual controller, shareholders, related parties, acquirers, the company and other relevant parties that have been fulfilled during the reporting period and have not yet been fulfilled by the end of the reporting period

Applicable □Not applicable

Fulfill commitments Commitment Commitment Commitment Commitment Commitment Party Commitment content

By Type Time Period Situation (1) Performance Commitment

All parties agree that the performance commitment period for this equity transfer is 2023,

2024, 2025 and 2026 (hereinafter referred to as "Performance Commitments")

period"). Regarding the performance indicators during the performance commitment period, the transferor promises: Zhoushan

During the performance commitment period, Ricken will perform in 2023, 2024, 2025 and

The committed net profit amount for 2026 (referring to the deduction under the audited consolidated statements)

Net profit attributable to shareholders of the parent company after non-recurring gains and losses, the same below) respectively

Not less than RMB 11.56 million, RMB 12.23 million, RMB

13.09 million yuan and RMB 13.72 million yuan.

All parties agree that Zhoushan Liken will achieve net profit during the performance commitment period as follows:

Principle calculation: ① The preparation of financial statements of Zhoushan Liken should comply with the "Enterprise Accounting"

Guidelines and other laws and regulations, in line with the governance requirements of listed companies

Ask. ②During the performance commitment period, Zhoushan Liken’s operations should comply with the business license records

business scope, comply with the quality management standards for pharmaceutical operations, and comply with medical insurance management

2023 policy and other requirements.

Year, Wang Xiangan, Zhejiang Performance (2) Performance compensation Positive

2023 2024 Asset Heavy Free Trade Zone Xueyuan Project Commitment During the performance commitment period, such as Zhoushan Liken in 2023, 2024, and regular

In 2025 and 2026, the total realized net profit as of the end of the current period is less than

The cumulative committed net profit as of the end of the current period (i.e., the net profit realized in 2023) is less than 11.56 million yuan; the cumulative net profit as of the end of 2024 is less than (11.56 million yuan + 12.23 million yuan); the accumulated net profit as of the end of 2025 is less than 11.56 million yuan

The annual realized net profit is lower than (11.56 million yuan + 12.23 million yuan + 13.09 million yuan

Yuan); the cumulative net profit as of the end of 2026 is less than (1,156

ten thousand yuan + 12.23 million yuan + 13.09 million yuan + 13.72 million yuan)), then the transferor

The transferee shall be compensated in accordance with the agreement.

The amount of compensation payable by the transferor is calculated and determined according to the following formula:

If Zhoushan Liken’s cumulative net profit during the performance commitment period is less than the promised net profit

Profitable, the amount of compensation payable for the current period = (the cumulative committed net profit amount as of the end of the current period

• Cumulative realized net profit as of the end of the current period) ÷ each year during the performance commitment period

The total number of committed net profits × underlying equity transaction price – accumulated compensation

Um.

All parties agree and confirm that an accounting firm that complies with the provisions of the Securities Law shall

After the annual special report on Zhoushan Liken's profit realization is issued, if it is touched

performance compensation obligations stipulated in the transfer agreement, the transferor agrees to pay in cash

The transferee shall be compensated.

(1) Since the initial public offering of RMB ordinary shares (A shares) by Chinese Health

first justice

And within 36 months from the date of listing and trading on the Shenzhen Stock Exchange, it will not be transferred or 2023

Development Bank shares often

He Jiale and He Jia entrusted others to manage the shares they held before the initial public offering of Chinese Health. Year 03 36 or refinancing, sales restriction, fulfillment

Lun shares (including shares derived from this part, such as bonus shares, capital reserve transfer to monthly capital, commitments made when 01 months)

increase), Chinese Health will not repurchase the shares. day

making a promise

(2) The shares of Chinese Health held by me will be reduced within two years after the expiration of the sales restriction period.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

If the holding reduction price is not lower than the issue price; if Chinese Health is listed and traded 6

If the closing price for 20 consecutive trading days within a month is lower than the issue price or the closing price at the end of 6 months after listing is lower than the issue price, I hold Chinese Health.

The restricted selling period of the shares is automatically extended for at least 6 months. If Chinese Health launches it later

If any ex-rights or ex-dividend behavior occurs, such as paying dividends, giving away shares, converting capital reserves into share capital, etc.,

The above issuance price is the price after ex-rights and ex-dividend. This commitment is not due to my being in China

The position held by the person's health has changed, or he no longer holds the relevant position due to resignation or other reasons.

Change or termination of service.

(3) After the expiration of the aforementioned sales restriction period, while serving as a director, supervisor or senior manager of Chinese Health, I will transfer the shares of Chinese Health held by me every year not exceeding

25% of the total number of Chinese Health shares held by me; if my term expires

If he resigns before taking office, the period shall be within the term determined at the time of taking office and 6 months after the expiration of the term.

Within the period, the shares transferred each year shall not exceed the total number of Chinese Health shares held by me.

25% of the total; within six months after leaving the company, the Chinese Health shares held by me will not be transferred

portion.

(4) I guarantee that if I reduce my holdings of pre-IPO shares of Chinese Health after the expiration of the lock-up period, I will do so in strict accordance with the "Company Law of the People's Republic of China"

"Securities Law of the People's Republic of China" and other relevant laws, regulations and normative documents

The documents and relevant regulations of China Securities Regulatory Commission and Shenzhen Stock Exchange shall be implemented.

(5) I am willing to bear the legal liability arising from my violation of the above commitments.

Ningbo Meishan Bonded

Hong Kong Shengfan Investment

Partnership (with

(1) Since the initial public offering of RMB ordinary shares (A shares) of Chinese Health (limited partnership), Ningbo

And within 36 months from the date of listing and trading on the Shenzhen Stock Exchange, it will not be transferred or transferred to the Bomeishan Bonded Port

The person entrusts others to manage the assets held by the company before the initial public offering of Chinese Health

The first public area of Fuman Medical Investment is positive

Shares (including shares derived from this part, such as bonus shares, capital reserve fund 2023 development issuance partnership (with shares often

transfer, etc.), Chinese Health will not repurchase the shares. Year 03 36 or refinancing (limited partnership), limited sale partnership

(2) The company promises to reduce its holdings of Chinese Health after the expiration of the lock-up period. Feikangfan Equity Investment Commitment

Those who develop pre-issuance shares will strictly comply with the "Company Law of the People's Republic of China", the "Securities Law of the People's Republic of China" and other relevant laws, regulations and normative documents.

(Limited

The documents and relevant regulations of China Securities Regulatory Commission and Shenzhen Stock Exchange shall be implemented.

Guys), Hefei time

(3) The enterprise is willing to bear the legal liability arising from breach of the above commitments.

Da Equity Investment Co., Ltd.

partnership (limited

partnership)

Ali Health Technology

(China) Limited

Company, Huatai Purple

Gold Investment Co., Ltd.

Ren Company - Nanjing (1) For the company shares held before this issuance, the company will strictly abide by the commitments Huatai Health has made regarding the share sales restriction arrangement. The company owns the company

After the expiration of the share restriction period before the issuance of the equity investment contract, relevant laws, regulations and

Partnership (limited normative documents and does not violate other public commitments made by the enterprise)

Partnership), Huatai will reasonably determine whether it is based on various factors such as market conditions and its own needs.

Initial public offering Zijin Investment Co., Ltd. Whether to reduce the company’s shares held by the company before this issuance. Right

2024 Development Bank Responsible Company - Nanjing Shares (2) The company guarantees to reduce its holdings before the issuance of shares after the expiration of the lock-up period.

If Jinghuatai Health reduces its holdings of the company's shares in 02 or refinances, it will strictly comply with relevant laws, regulations and normative long-term performance.

The relevant provisions of the Equity Investment Commitment Document No. 2 of Zishi Exchange on March 29 will be implemented through agreement transfer, block transactions, and securities exchanges.

Japan's commitment is that the partnership (with stock exchange centralized bidding transactions and other legal methods to reduce its holdings, and in accordance with the then applicable rules of the China Securities Regulatory Commission Limited Partnership), Nanhui, and Shenzhen Stock Exchange will promptly and accurately perform the credit obligations.

Jingdaoxing Venture Capital has the obligation to disclose interest rates. After the expiration of the restricted period, the number of shares held each year shall not exceed the corresponding

The Asset Management Center shall comply with the restrictions stipulated in relevant laws, regulations and normative documents.

(General partnership (3) If the company violates the above commitment to reduce its holdings, the company will bear all legal liabilities that may result from the partnership) and Suzhou Sai.

Fupuxin Medical Health

Health industry investment in progress

Heart (finite combination)

Guys), Huangshan Race

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Rich tourism and cultural products

Industry Development Fund

(Limited

(Partner), Tianjin Race

Fushengyuan Investment Management

Management Center (Limited

Partnership)-Jiaxing

Tengyuan Investment Partnership

Enterprise (limited partnership)

(Partner), Beijing Road

Tongchangjing Investment Management

Management Center (Limited

partnership)

(1) I continue to be optimistic about the development prospects of the company and the industry in which I operate, and plan to hold the company's shares in a long-term and stable manner.

(2) For the company shares I held before this issuance, I will strictly abide by the commitments I have made regarding the share sales restriction arrangements. After the expiration of the lock-up period for the shares held by the company before this issuance, I will abide by relevant laws, regulations and normative documents and do not violate other public commitments I have made, and will reasonably determine whether to reduce my holdings of the company's shares based on various factors such as funding needs and investment arrangements.

(3) If the company shares I hold are reduced for the first time within two years after the expiration of the lock-up period, I promise that the price at which the shares will be reduced will not be lower than the issue price (if due to the distribution of normal shares,

2026 Development Issue Shares Ex-rights, Chang He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, He Jiale, etc. OK

Japanese Commitment (4) I guarantee that if I reduce my holdings of the company’s pre-issuance shares after the expiration of the lock-up period, I will do so in strict accordance with the relevant provisions of relevant laws, regulations and normative documents, reduce my holdings through legal means such as agreement transfers, block transactions, centralized bidding transactions on stock exchanges, and perform information disclosure obligations in a timely and accurate manner in accordance with the applicable rules of the China Securities Regulatory Commission and Shenzhen Stock Exchange at that time. (5) If I fail to fulfill the above commitments, I will publicly explain the specific reasons for violating the intention to reduce my shareholding and apologize to shareholders and public investors at the general meeting of shareholders and the information disclosure media designated by the China Securities Regulatory Commission; if I receive any income due to failure to fulfill my commitments, the income will belong to Chinese Health; I will also bear all legal liabilities that may result therefrom.

(1) The company will strictly abide by the commitments it has made regarding the share sales restriction arrangements for the company shares held before this issuance. After the expiration of the lock-up period for the shares held by the company before this issuance, the company will comply with relevant laws, regulations and normative documents and will not violate other public commitments made by the company. Ningbo Meishan Bonded

Next, Hong Kong Shengfan Investment will be reasonably determined based on various factors such as market conditions and own needs.

Whether to reduce the company's shares held.

Partnership (with

(2) If the company’s shares held by the enterprise are reduced to a limited liability partnership within two years after the expiration of the sales restriction period), Ning

If the company holds the shares, the company promises that the price for reducing the shareholdings will not be lower than the issue price (if the price of the shares is reduced due to Pomeishan Bonded Port

For reasons such as distributing cash dividends, giving away shares, converting shares into capital, issuing new shares, or ex-dividends, the shares must be adjusted accordingly in accordance with the relevant 2026 development issuance regulations of the China Securities Regulatory Commission and the Shenzhen Stock Exchange. 02 or refinancing (limited partnership), joint stock reduction, long-term performance (3) The enterprise guarantees that after the expiration of the lock-up period, it will reduce the shares held by Feikangfan Equity Investment Co., Ltd. before the issuance of capital in 28 months, and will strictly comply with the relevant laws, regulations and normative documents.

Reduce holdings through legal means such as price trading, and in accordance with the China Securities Regulatory Commission, Shenzhen Securities Partners), Hefei Times

The applicable rules of the stock exchange at that time shall promptly and accurately fulfill the information disclosure requirements of Yida Equity Investment Contract.

service. After the expiration of the restricted period, the number of shares to be reduced each year shall not exceed the number of shares held by the relevant laws and regulations of the partnership (limited company).

regulations and normative documents.

partnership)

(4) If the company fails to fulfill the above commitments, the company will publicly explain the specific reasons for violating the intention to reduce its shareholding and apologize to shareholders and public investors at the general meeting of shareholders and the information disclosure media designated by the China Securities Regulatory Commission; if there is any income due to failure to fulfill the commitments, the income will belong to Chinese Health; at the same time

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

We will bear all legal liabilities that may result from this.

The company's controlling shareholder and joint actual controller have made the following commitments to avoid horizontal competition:

(1) I and other companies directly or indirectly controlled by me will not directly or indirectly engage in any business that competes with Chinese Health and its affiliated companies or

We will not invest in any business or operating activities that are potentially competitive with Chinese people.

The business operations of Health and its subsidiaries constitute competition or potential competition with other

other businesses;

(2) During my period as the controlling shareholder/actual controller of Chinese Health, if

The business opportunities obtained by me and other companies I control are related to Chinese Health and its affiliates.

If horizontal competition occurs or is likely to occur in the company’s main business, the company shall

People will immediately notify Chinese Health and try their best to provide this business opportunity to Chinese Health

Health, to avoid horizontal competition or potential horizontal competition with Chinese Health and its subsidiaries.

Competition to ensure that the interests of Chinese Health and other shareholders of Chinese Health are not harmed

Harm;

(3) I guarantee that I have the right to sign this commitment letter, and this commitment letter will constitute a valid, legal and binding responsibility for me once I sign it, and

It will continue to be effective and irrevocable while I am the controlling shareholder/actual controller of Chinese Health;

(4) I promise to strictly fulfill all the commitments in this commitment letter. If I or other companies directly or indirectly controlled by me violate relevant commitments and are therefore punished

If Chinese Health or other shareholders cause losses, I will bear the corresponding legal liability.

First public release avoid positive

Responsibility and bear corresponding liability for loss compensation. 2023 development industry peers

He Jiale and He Jiayu He Jiayu, brother of the company’s controlling shareholder and joint actual controller, directly or indirectly in 2003 or refinance, competition, long-term performance

Enterprises controlled by ethics are not within the scope of the issuer's business, or have no substantial business capital. 01

business and does not constitute horizontal competition with the issuer. In order to further protect the human rights of issuance, He Jiayu will avoid direct or indirect horizontal competition with issuers in the future.

Situation made a commitment:

(1) I and other companies directly or indirectly controlled by me will not directly or indirectly engage in any main business (including pharmaceuticals) of Chinese Health and its affiliated companies.

wholesale and retail) business and operating activities that constitute competition or potential competition.

nor will it invest in any business structure related to Chinese Health and its subsidiaries.

Other enterprises that compete or potentially compete;

(2) As a related party of Chinese Health, if the business opportunities obtained by me and other companies controlled by me are related to the main business of Chinese Health and its subsidiaries,

If there is horizontal competition or possible horizontal competition, I will immediately notify Chinese Health

Health, and try our best to give this business opportunity to Chinese Health and avoid contact with Chinese Health

and subsidiaries to form horizontal competition or potential horizontal competition to ensure the health of Chinese people

The interests of other shareholders of Kanghe Huaren Health will not be harmed;

(3) I guarantee that I have the right to sign this commitment letter, and this commitment letter will constitute a valid, legal and binding responsibility for me once I sign it, and

It will continue to be valid and irrevocable while I am a related party of Chinese Health;

(4) I promise to strictly fulfill all the commitments in this commitment letter. If I or other companies directly or indirectly controlled by me violate relevant commitments and are therefore punished

If Chinese Health or Chinese Health shareholders cause losses, I will bear the corresponding liability.

Legal liability and bear corresponding liability for loss compensation.

The company's controlling shareholders and joint actual controllers regulate related transactions and commit to:

(1) There is no other relevant relationship between me and other companies controlled by me and Chinese Health in accordance with laws and regulations and the China Securities Regulatory Commission and Shenzhen Stock Exchange.

Related party transactions that should be disclosed but are not disclosed according to relevant regulations.

First Publication Standard (2) It is really necessary to do so within the scope of normal business or for other reasonable reasons.

2023 Development Bank related related transactions, I and other companies I control and Chinese Health will generally

He Jiale and He Jiale 2003 or refinancing transactions shall be based on the principles of fairness, equity, equal value and compensation, and a legal and valid agreement shall be signed in accordance with the law. Long-term performance

The approval documents issued by Lun Capital on March 1, 2020 will be followed in accordance with relevant laws, regulations, normative documents and Chinese practices.

The daily commitment is to comply with the provisions of the Health Articles, to perform the approval and decision-making procedures for related transactions, and to ensure that all medium-term related transactions will be priced and carried out based on the principle of fair transactions.

(3) I and other companies controlled by me will strictly follow relevant regulations and perform necessary related transactions when reviewing related transactions with Chinese Health.

Directors/related shareholders avoid voting procedures and comply with legal procedures for approving related transactions

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

procedures and information disclosure obligations.

(4) Ensure that related transactions are not used to illegally transfer funds and profits of Chinese Health

We must not use related transactions to harm the interests of Chinese Health and other shareholders.

(5) I am willing to bear the economic consequences caused to the health of Chinese people due to violation of the above commitments.

economic losses and legal liabilities arising therefrom.

(6) This commitment letter shall become effective and irrevocable from the date of signing, and shall be

Healthy existence and recognized in accordance with relevant regulations of China Securities Regulatory Commission and Shenzhen Stock Exchange

It is valid during the period when I am designated as a Chinese health related person.

In order to regulate related-party transactions, the company’s directors, supervisors and senior managers promise to:

(1) It is really necessary within the normal business scope or for other reasonable reasons

For related transactions, I and the companies I control and Chinese Health will be in accordance with the public

According to the principles of fairness, fairness, equal value and compensation, legal and valid agreement documents shall be signed in accordance with the law.

For the first time, normative documents will be published and will be implemented in accordance with relevant laws, regulations and normative documents as well as Chinese health regulations.

2023 Development Bank The directors and supervisors of the company shall comply with the provisions of the related articles of association, perform the approval and decision-making procedures for related transactions, and ensure that such related transactions are carried out regularly.

In 2003 or refinancing, General Manager and Senior Management Transactions, all transactions will be priced and carried out based on the principle of fair transactions. long term

Month 01 Commitment of the Institute Personnel (2) I will strictly follow the relevant regulations when reviewing the trip involving the health of the Chinese people.

When undertaking related transactions between companies, the Company shall perform the necessary procedures for the avoidance of related directors/related shareholders from voting and comply with the legal procedures for approving related transactions.

(3) Ensure not to use related transactions to harm the health interests of the Chinese people.

(4) This letter of commitment shall be effective and irrevocable from the date of signature.

Valid during the period of serving as a director, supervisor or senior manager of Chinese Health.

The company’s main shareholders, Saifu Investment, Alibaba Health, and Huatai Health, are the regulatory partners.

Joint transaction, commitment:

(1) It is really necessary within the normal business scope or for other reasonable reasons

related transactions, the company and the companies controlled by the company will have a fundamental relationship with Chinese Health

For the first time, a legal and effective agreement shall be signed in accordance with the principles of fairness, equity, equal value and compensation.

The company's major shareholders will issue related resolution documents in 2023 and will comply with relevant laws, regulations and normative documents as well as Chinese regulations.

Saifu Investment, A-year 03 or refinancing transactions shall comply with the provisions of the health charter, perform the approval and decision-making procedures for related transactions, and ensure long-term performance

The related-party transactions undertaken by Li Health and Huatai Capital in January 01 will be priced and carried out based on the principle of fair transactions. OK

Big Health Daily Commitment Commitment (2) The company will strictly follow relevant regulations and perform necessary avoidance forms for related directors/related shareholders when reviewing related transactions with Chinese Health.

decision-making procedures and comply with legal procedures for approving related-party transactions.

(3) Guarantee not to use related transactions to harm the interests of Chinese Health and other shareholders.

Benefit.

The company's controlling shareholders and joint actual controllers, in order to avoid the occupation of funds, promise to:

(1) I, close relatives and affiliated companies controlled by Chinese Health and its controlling

The company currently does not have any legal obligations in accordance with laws and regulations and the China Securities Regulatory Commission, Shenzhen

The occupation of funds that should be disclosed but has not been disclosed according to the relevant regulations of the stock exchange, including

But it is not limited to occupying or transferring by borrowing, repaying debts, advancing funds, etc.

The situation of the funds or assets of Chinese Health and its holding companies.

(2) I, my close relatives and the affiliated companies controlled by me have any relationship with Chinese Health and its

The operating capital transactions of the holding company will be carried out in strict accordance with relevant laws.

The provisions of laws and regulations restrict the occupation of funds of Chinese Health and its holding companies.

Avoid public disclosure for the first time (3) I, close relatives and affiliated enterprises controlled by me shall not seek to act legitimately in the following ways

2023 Development Bank Funds Provide Chinese Health and its holding company funds directly or indirectly to the individual, regular

Hejiale and Hejia were occupied in 2003 or refinanced and used by close relatives and affiliated enterprises controlled by them, including: ① Long-term performance with or without compensation

Lun’s commitment to lend funds on January 01 is for the use of the person, close relatives and affiliated enterprises controlled by them; ② General

Japan’s commitment is to provide entrusted loans without commercial substance to the person, close relatives and related enterprises controlled by banks or non-bank financial institutions; ③ entrust the person, close relatives

Affiliated and controlled affiliated enterprises engage in investment activities that do not have commercial substance;

④Issuing no real transactions for myself, close relatives and affiliated enterprises controlled by me

Background commercial acceptance bill; ⑤ on behalf of the person, close relatives and related parties controlled

The enterprise repays debts; ⑥ In the absence of consideration for goods and services, other methods

Provide funds to the individual, close relatives and affiliated enterprises controlled by others; ⑦ China

Other methods recognized by the China Securities Regulatory Commission and Shenzhen Stock Exchange.

(4) I agree to bear the legal liability arising from violation of the above commitments, and

Compensate Chinese Health and its holding company for corresponding losses.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The company, the company's controlling shareholders, and the company's directors (non-independent directors) and senior managers make the following commitments on measures to stabilize stock prices:

1. Specific conditions for initiating stock price stabilization measures

Within three years from the date of listing of the company's stock, if the closing price of the company's stock for 20 consecutive trading days is lower than the latest audited net assets per share (if the company carries out ex-rights and ex-dividends due to the distribution of cash dividends, bonus shares, conversion to share capital, issuance of new shares, etc. after listing, the closing price will be adjusted accordingly. (the same below), and at the same time meet the regulatory requirements for increasing or repurchasing the company's shares. Unless due to force majeure, the company and its controlling shareholders, directors (excluding independent directors, the same below) and senior managers (hereinafter referred to as the "relevant responsible entities") will take the following measures to stabilize the stock price.

2. Conditions for terminating measures to stabilize stock price

Within 60 trading days from the date of announcement of the stock price stabilization plan, if any of the following circumstances occurs, the announced stock price stabilization plan will be terminated:

(1) The closing price of the company’s stock for 10 consecutive trading days is higher than the latest audited net assets per share;

(2) Continuing to repurchase or increase the company’s shares will result in the company’s equity distribution not meeting the listing conditions;

(3) Continuing to repurchase or increase the shareholding of the company will trigger the tender offer obligations of the controlling shareholder and others (unless the tender offer is exempted).

3. Specific measures and procedures to stabilize stock prices

When the conditions for initiating stock price stabilization measures are triggered, the relevant responsible entities should negotiate amicably and formulate active and effective stock price stabilization measures; if negotiation fails, stock price stabilization measures will be implemented in the following order until the conditions for terminating the stock price stabilization measures are met.

(1) Implement stock repurchase; 2023 The company and the He family (2) Controlling shareholders increase their holdings of the company's shares; For the first time in 3, Zhengle and He Jialun, (3) The company's directors and senior managers increase their holdings of the company's shares. Development on January 1, 2023 Stable Chang Chenkai, Shen Di When implementing the above measures, consideration should be given to: (1) It cannot cause the company to fail to meet the listing conditions or refinancing conditions; (2) It cannot force the controlling shareholder to fulfill its tender offer obligations. Month 01, 2026 Capital Times Commitment Xing Jun, Zhao Chunshui, 4. Specific implementation plan of stock price stabilization measures Date Year 2 Commitment Zhong Li Mei (1) Implement stock buyback Month 28 When the conditions for initiating stock price stabilization measures are triggered, the relevant responsible entities should negotiate and formulate active and effective stock price stabilization measures; if the negotiation fails, the company, as the first responsible entity, will first perform the obligation to stabilize the stock price.

The company should follow the "Administrative Measures for the Repurchase of Public Shares by Listed Companies (Trial)" and the "Implementation Detailed Implementation of Share Repurchases by Listed Companies of the Shenzhen Stock Exchange".

Implement the stock repurchase plan in accordance with the provisions of relevant laws and regulations such as the "Supplementary Provisions on the Repurchase of Shares by Listed Companies through Centralized Bidding Transactions" and the "Supplementary Provisions on the Repurchase of Shares by Listed Companies in the Method of Centralized Bidding Transactions", and ensure that the company's equity distribution after repurchasing the shares meets the listing conditions.

When the company triggers specific conditions for initiating stock price stabilization measures, the company should convene a board of directors within 5 trading days and make a resolution to repurchase the company's shares, promptly perform information disclosure obligations, and issue a notice to convene a shareholders' meeting. A company's shareholders' meeting to make a resolution on stock repurchase must be approved by more than two-thirds of the voting rights held by shareholders present at the meeting.

Within 60 trading days after the repurchase plan is reviewed and approved by the general meeting of shareholders, the company will repurchase the company's shares in the secondary market in accordance with relevant regulations. The funds used to repurchase the shares shall be its own funds. The method of repurchasing the shares shall be centralized bidding transactions, tender offers, or other methods recognized by the China Securities Regulatory Commission and the Shenzhen Stock Exchange. If the company's stock price does not meet the conditions for initiating stock price stabilization measures before the stock repurchase plan is implemented, the plan may no longer be implemented.

If the company's stock price triggers the above-mentioned conditions for stock price stabilization measures multiple times in a fiscal year (excluding the period during which the company implements stock price stabilization measures and the 20 consecutive trading days from the date when the current stock price stabilization measures are implemented and announced, the closing price of the company's stock is still lower than the latest one). audited net assets per share at the end of each fiscal year), the company will continue to implement the above-mentioned stock price stabilization plan, but the following principles should be followed: ① The cumulative number of shares repurchased by the company shall not exceed 10% of the company’s total issued shares; ② The total funds used by the company to repurchase shares

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The cumulative amount shall not exceed the total amount of funds raised by the company's initial public offering of new shares; ③ The amount of funds used to repurchase shares in a single transaction shall not exceed 10% of the audited net profit attributable to shareholders of the parent company in the previous fiscal year; ④ The total amount of repurchase funds used to stabilize the stock price in a single fiscal year shall not exceed 30% of the audited net profit attributable to shareholders of the parent company in the previous fiscal year. If the above standards are exceeded, relevant stock price stabilization measures will no longer be implemented in the current year. However, if situations continue to arise in the next year that require the launch of stock price stabilization measures, the company will continue to implement the stock price stabilization plan in accordance with the above principles.

(2) Controlling shareholders increase their holdings of company shares

When the conditions for initiating stock price stabilization measures are triggered, the relevant responsible parties should negotiate amicably and formulate active and effective stock price stabilization measures; if the negotiation fails, and the company, as the first responsible party, does not meet the conditions for fulfilling the obligation to stabilize the stock price, the company's controlling shareholder will perform the stock price stabilization obligations as the second responsible party for stabilizing the stock price and increase its holdings of the company's shares in accordance with the provisions of laws, regulations and the company's articles of association, without causing the company's equity distribution to fail to meet the listing conditions. When one of the following situations occurs, the company's controlling shareholder shall initiate this stock price stabilization measure on the premise of complying with the conditions and requirements of laws and regulations such as the "Measures for the Administration of Acquisitions of Listed Companies":

① The company does not meet the conditions for repurchasing shares;

② The company's stock repurchase plan has not been approved by the shareholders' meeting, and the controlling shareholder's increase in stock holdings will not cause the company to fail to meet listing conditions or trigger a tender offer; ③ The company has implemented a stock repurchase plan, but has not yet met the conditions for terminating stock price stabilization measures.

When the aforementioned specific conditions for the controlling shareholder to increase its holdings of the company's shares are triggered, the company's controlling shareholder shall submit a plan to increase its stock holdings to the company within 10 trading days and fulfill its information disclosure obligations. The controlling shareholder will implement the shareholding increase plan in accordance with the price range and period specified in the plan on the premise of complying with laws and regulations. The company shall not provide financial support for controlling shareholders to increase their holdings of company shares. If within three trading days after the controlling shareholder discloses the shareholding increase plan, the company's stock price no longer meets the conditions for initiating stock price stabilization measures, the plan may no longer be implemented.

If the company's stock price triggers the above-mentioned conditions for stock price stabilization measures multiple times in a fiscal year (excluding the situation when the company's stock price stabilization measures are implemented and the company's stock price stabilization measures are implemented and announced for 20 consecutive trading days, the closing price of the company's stock is still lower than the audited net assets per share at the end of the most recent fiscal year), the company's controlling shareholder will continue to follow the above-mentioned measures. The stock price stabilization plan is implemented, but the following principles should be followed: ① The amount of funds used by the company's controlling shareholders to increase the company's stock holdings in a single transaction shall not be less than 20% of the cumulative amount of cash dividends received by the controlling shareholders since the listing of the company; ② The amount of funds used by the controlling shareholders to increase holdings to stabilize the stock price in a single fiscal year shall not exceed 50% of the cumulative amount of cash dividends received by the controlling shareholders from the company since the listing of the company. If the above standards are exceeded, the company's controlling shareholder's measures to stabilize the stock price will no longer be implemented in the current year. However, if situations continue to arise in the next year that require the launch of stock price stabilization measures, the company's controlling shareholders will continue to implement the stock price stabilization plan in accordance with the above principles.

(3) Company directors and senior managers increase their holdings of company shares

When the conditions for initiating stock price stabilization measures are triggered, the relevant responsible parties should negotiate amicably and formulate active and effective stock price stabilization measures; if the negotiation fails, and the company as the first responsible party and the company's controlling shareholder as the second responsible party do not meet the conditions for performing the obligation to stabilize the stock price, the directors and senior managers of the company who receive remuneration from the company will perform the stock price stabilization obligations as the third responsible party for stabilizing the stock price and increase their holdings of the company's shares in accordance with the provisions of laws, regulations and the company's articles of association without affecting the company's listing conditions, without affecting the company's listing conditions.

When one of the following situations occurs, the aforementioned company directors and senior managers who receive remuneration from the company shall initiate this stock price stabilization measure on the premise of complying with the conditions and requirements of laws and regulations such as the "Measures for the Administration of Acquisitions of Listed Companies", the "Management Rules for the Company's Shares Held by Directors, Supervisors and Senior Managers of Listed Companies and their Changes":

① The company does not meet the conditions for repurchasing shares;

② The company’s stock repurchase plan has not been approved by the shareholders’ meeting;

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

③ The controlling shareholder’s increase in the company’s stock holdings will cause the company to fail to meet listing conditions or trigger a tender offer;

④ The company has completed the implementation of two stock price stabilization measures, namely repurchasing shares and increasing the company's stock holdings by controlling shareholders (subject to the implementation completion date announced by the company), but has not yet met the conditions for terminating the stock price stabilization measures.

When the specific conditions for the aforementioned directors and senior managers to increase their holdings of the company's stocks are triggered, the aforementioned directors and senior managers with the obligation to increase their holdings shall submit a plan to increase their stock holdings to the company within 10 trading days and fulfill their information disclosure obligations. The directors and senior managers will implement the shareholding increase plan in accordance with the price range and period specified in the plan on the premise of complying with laws and regulations. The company shall not provide financial support for directors and senior managers to increase their holdings of company shares. If by increasing the company's stock holdings, the company's stock price no longer meets the conditions for initiating stock price stabilization measures, the plan may no longer be implemented.

If the company's stock price triggers the above conditions for stock price stabilization measures multiple times in a fiscal year (excluding the period during which the company implements stock price stabilization measures and the 20 consecutive trading days from the date when the current stock price stabilization measures are implemented and announced, the closing price of the company's stock is still lower than the audited daily price at the end of the most recent fiscal year). net assets of shares), the aforementioned directors and senior managers of the company who have the obligation to increase their shareholdings will continue to implement the above-mentioned stock price stabilization plan, but the following principles should be followed: ① The amount of funds used by the company's directors and senior managers to purchase the company's stocks in a single transaction shall not be less than the total amount of remuneration they received from the company in the previous fiscal year

15%; ② The funds used by the company's directors and senior managers to stabilize stock prices in a single fiscal year shall not exceed 30% of the total remuneration they received from the company in the previous fiscal year. If the above standards are exceeded, the stock price stabilization measures taken by the company's directors and senior managers will no longer be implemented in the current year. However, if situations continue to arise in the next year that require the launch of stock price stabilization measures, the company's directors and senior managers with the obligation to increase their shareholdings will continue to implement the stock price stabilization plan in accordance with the above principles.

5. Corresponding restraint measures

(1) The company voluntarily accepts the supervision of the competent authorities on the formulation and implementation of the above stock price stabilization measures, and assumes corresponding legal responsibilities.

(2) If the company's controlling shareholder fails to fulfill the above commitments, it should promptly disclose the specific reasons for the failure to fulfill its commitments, propose supplementary commitments or alternative commitments, and submit them to the shareholders' meeting for review. From the date the controlling shareholder fails to fulfill its commitment, the company has the right to temporarily withhold the controlling shareholder's cash dividends until it takes corresponding measures to stabilize the stock price and is implemented.

If the company's directors and senior managers fail to fulfill the above commitments, they should promptly disclose the specific reasons for the failure to fulfill their commitments, propose supplementary commitments or alternative commitments, and submit them to the shareholders' meeting for review. From the date when directors and senior managers fail to fulfill their commitments, the company has the right to temporarily withhold the remuneration received by directors and senior managers from the company until corresponding measures to stabilize stock prices are taken and implemented.

(3) The company should promptly announce stock price stabilization measures and implementation plans, and disclose in regular reports the implementation of stock price stabilization measures by the company and its controlling shareholders, directors and senior managers, as well as the remediation and correction of failure to implement stock price stabilization measures.

(4) Within three years from the date of listing, the company’s newly appointed directors and senior managers should also fulfill the corresponding commitments made by the directors and senior managers on stock price stabilization measures when the company was issued and listed.

The company, controlling shareholders, directors and senior managers hereby solemnly promise that I/the company will strictly implement the relevant measures for stabilizing the company's stock price in the "Plan to Stabilize the Company's Stock Price within Three Years after the Listing of Anhui Huaren Health Pharmaceutical Co., Ltd." reviewed and approved by the company's shareholders' meeting. If there is any violation, you will bear corresponding legal liability.

Social The company's controlling shareholders and joint actual controllers promise: (1) China Health and its subsidiaries have paid social insurance for employees in accordance with relevant regulations. He Jiale, He Jiale Annual 03 insurance premiums and insurance funds (including basic pension insurance premiums, basic medical insurance premiums, unemployment insurance long-term performance or refinancing Lun 01 housing premiums, work-related injury insurance premiums, maternity insurance premiums) and housing provident funds, such as social provident funds, etc. According to the requirements or decisions of the competent departments of social security and housing provident fund, the health needs of Chinese people are as follows:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Make a commitment to pay the employee’s social insurance and housing provident fund or the Chinese Health Insurance Co., Ltd.

Pay social insurance and housing provident funds and bear any fines or losses.

Appropriate people are willing to bear the social insurance premiums, housing provident funds and resulting losses that should be paid.

We promise to pay late fees, fines and other fees to ensure that the health of the Chinese people will not suffer as a result.

(2) If I violate the above commitment, Chinese Health has the right to take legal action based on this binding measure.

To withhold the salary, bonus, subsidy, stock dividends received from Chinese Health

Red and other income are used to bear the social insurance and housing provident funds that I promise to bear.

financial responsibilities and obligations, and to compensate the Chinese for the resulting losses to their health.

The company’s controlling shareholders and joint actual controllers promise:

(1) Except for the disclosed circumstances, Chinese Health and its subsidiaries have

It is stipulated that Chinese Health, its subsidiaries and affiliated stores are engaged in the current business

required business qualifications, and such business qualifications are within the validity period. If Chinese

first justice

Operations Health, subsidiaries and affiliated stores will be subject to regular changes due to the ownership, term and 2023 development of the above-mentioned operating qualifications.

He Jiale and He Jiale are unable to continue operating due to qualifications, effectiveness and other reasons, or are subject to supervision by the Market Supervision and Administration Bureau. In 2003, they may be refinanced. Long-term performance.

I will bear the administrative penalties imposed by the ethics department and I will be responsible for the consequences to the health of the Chinese people due to the above reasons.

No's total loss. Japanese Commitment (2) If I violate the above commitment, Chinese Health has the right to rely on this binding measure

To withhold the salary, bonus, subsidy, stock dividends received from Chinese Health

Red and other income will be used to bear the responsibilities related to the above-mentioned business qualifications that I have promised to bear.

responsibilities and obligations, and to compensate the Chinese for the resulting losses to their health.

The company’s controlling shareholders and joint actual controllers promise:

(1) Chinese Health and its subsidiaries and branches have cooperated with the Company in accordance with relevant laws and regulations.

The lessor has signed a house leasing contract and paid the rent as stipulated in the contract.

The ownership of the leased property is clear, legal and compliant for the first time. If the above-mentioned rental property is during the lease period, it is

Lease 2023 Development Bank cannot continue to use it due to ownership issues, or the lease contract is not executed in accordance with regulations.

He Jiale and He Jia's affairs were subject to administrative penalties due to registration with the bank in March 2003 or refinancing. I will be responsible for the long-term performance of China due to the above reasons.

Lun's commitment covers all losses caused to the health of all people in March 01. OK

Commitment (2) If I violate the above commitment, Chinese Health has the right to withhold the wages, bonuses, subsidies, and stock dividends I receive from Chinese Health based on this commitment letter.

and other income to bear the above-mentioned leasing-related responsibilities and obligations that I have promised to bear.

services and to compensate the Chinese for the resulting losses to their health.

The company’s controlling shareholders and joint actual controllers ensure the independence of the issuer and undertake

No:

(1) Ensure the independence and integrity of Chinese health assets

Guarantee my assets or the companies, enterprises or other organizations or institutions I control

organizations (hereinafter referred to as “other enterprises controlled by me”) and Chinese Health’s assets

Strictly separate properties to ensure that Chinese Health operates completely independently; strictly abide by relevant

Laws, regulations and normative documents and the Chinese Health Charter on Chinese Health

Regulations on fund transactions with related parties and external guarantees ensure that I or I control

Other controlled enterprises shall not illegally occupy Chinese health funds.

(2) Ensure the independence of Chinese health personnel

The general manager, deputy general manager, financial director, and board of directors who ensure the health of Chinese people

The first public company maintains that the secretary and other senior management personnel do not serve as directors or directors in other companies controlled by me.

2023 Development Bank Company Other positions other than directors and supervisors, and not in the leadership of other enterprises under my control

He Jiale, He Jia, 03 years old or refinancing, independent salary; ensuring that the financial personnel of Chinese Health are not in other companies controlled by me, long-term performance

London month 01 is a part-time job or/and salaried job; ensuring the health of Chinese people in labor, personnel and wage management and practice

Japan's commitment Commitment: Complete independence from myself or other companies controlled by me. (3) Ensure the healthy financial independence of Chinese people

Ensure the health of Chinese people and maintain an independent financial department and independent financial accounting body

Department, independent financial accounting, able to make independent financial decisions, and have standardized

Financial accounting system and financial management system for branches and subsidiaries; guarantee

Chinese Health has independent basic bank accounts and other settlement accounts, and does not deposit

In the case of sharing a bank account with me or other companies controlled by me;

The certificate does not interfere with the use of funds for the health of the Chinese people.

(4) Ensure the independence of Chinese health institutions

Ensure that Chinese Health has a sound, independent and complete internal management mechanism

organization and independently exercise operational and management powers; ensure that I or other parties under my control

His company is completely separate from Chinese Health's institutions, and there is no confusion of institutions.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

shape.

(5) Ensure the independence of Chinese health business

Guarantee that the business of Chinese Health is independent of myself or other companies controlled by me, and have the assets, personnel, qualifications and abilities to independently carry out business activities, and have the ability to operate independently and independently in the market; I guarantee that there will be no horizontal competition or unfair related transactions between myself or other companies controlled by me and Chinese Health; I or other companies controlled by me will not interfere with the normal business activities of Chinese Health.

(6) Ensure that the company, myself, my close relatives and the companies I control are independent of each other

I guarantee that except for the normal business dealings between the company and the enterprises controlled by my close relatives, the assets, personnel, business, finance, customers, suppliers, distribution channels and other resources of the enterprises controlled by my close relatives do not come from Chinese Health or me. The company or I have never provided any assistance or assistance in assets, personnel, business, finance, procurement, sales and distribution channels to the enterprises controlled by my close relatives, and there is no mutual sharing of costs and expenses. The company develops customers, suppliers and distribution channels on its own and does not share customers, suppliers and distribution channels with my close relatives and companies controlled by me;

Guarantee that the company does not have any form of interest arrangements or transfers such as equity, options, debts, funds, income rights, etc. between the company and my close relatives, the enterprises they control, and their shareholders; the company will not have any form of interest arrangements or transfers with my close relatives, the enterprises they control, and their shareholders in the future;

Guarantee that except for the normal business transactions between the company and the enterprises controlled by my close relatives, the company has no other financial transactions with my close relatives and the enterprises they control. There is no confusion of business, institutions, personnel, assets and procurement, sales, distribution channels, etc. The company will not invest in any enterprise controlled by my close relatives (hereinafter referred to as "Specific Enterprises") in any form. Provide funding, guarantees or other economic business transactions; do not participate in the operation of specific enterprises in any form; the company maintains independence from specific enterprises in terms of assets, personnel, finance, institutions, business, procurement, sales and distribution channels, etc., does not engage in any form of bundled procurement or joint bargaining with specific enterprises, and does not engage in any form of benefit transfer with specific enterprises.

(7) Ensure that the information disclosed about the company’s independence is true, accurate and complete. The company operates strictly in accordance with the requirements of the Company Law, Securities Law and other laws and regulations and the Articles of Association. The information disclosed about the independence of the company and myself is true, accurate and complete.

1. Special commitment to information disclosure by issuer’s shareholders

According to the relevant provisions of the "Guidelines for the Application of Regulatory Rules - Information Disclosure of Shareholders of Enterprises Applying for IPO", the issuer promises:

(1) The company has truly, accurately and completely disclosed shareholder information in the prospectus.

(2) There are no equity holdings on behalf of others, entrusted shareholdings, etc., and there are no equity disputes or potential disputes in the history of the company.

(3) The Company does not have any laws or regulations that prohibit any shareholding entity from directly or indirectly holding the issuer's shares.

First Fair 2023 Development Bank (4) The intermediary institution or its person in charge, senior management, or other general office personnel of this issuance does not directly or indirectly hold shares of the issuer. Year 03 or refinancing, the company's long-term commitment to fulfill its commitments (5) The company does not use the issuer's equity to transfer improper benefits. (6) If the company violates the above commitments, it will bear all legal consequences arising therefrom.

2. The issuer’s special commitment that there will be no shares purchased by employees who have left the China Securities Regulatory Commission system. According to the relevant provisions of the "Guidelines for the Application of Regulatory Rules - Issuance Category No. 2", the issuer commits:

The company's direct or indirect shareholders (traced back to the ultimate holder) have legal subject qualifications. There are no entities prohibited from holding shares by laws and regulations to directly or indirectly hold the company's shares. There are no staff members who have left the China Securities Regulatory Commission system for less than ten years among the direct or indirect shareholders. This specifically includes staff members who have resigned from the China Securities Regulatory Commission agencies, dispatched offices, Shanghai and Shenzhen Stock Exchanges, and the National Equities Exchange and Quotations.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Members of the CSRC, who have resigned from other CSRC units in the CSRC system, are issued

Secondment to the department or public company for a total of 12 months and within three years after the secondment ends

Non-board-managed cadres who have resigned from other CSRC-managed units will have the opportunity to

Customs, dispatched offices, Shanghai and Shenzhen Stock Exchanges, and National Equities Exchange and Quotations were mobilized to the securities exchange

Non-committee management officials from other supervisory committee management units in the supervisory committee system who resigned within three years after transfer

Department.

There is no direct or indirect shareholder of the Company (traced back to the ultimate holder)

The following situations are inappropriate for investing in shares:

(1) Use the influence of the original position to seek investment opportunities;

(2) There is transfer of interests in the process of becoming a shareholder;

(3) Investing in shares during the prohibition period;

(4) Joining as an unqualified shareholder;

(5) The source of investment funds is illegal and illegal.

All parties agree that the performance commitment period for this equity transfer is 2024,

2025, 2026 and 2027 (hereinafter referred to as "Performance Commitments")

period"). Regarding the performance indicators during the performance commitment period, the transferor promises: Anji

Baixingyuan is in the performance commitment period of 2024, 2025 and 2026

And the tax-included sales volume of the main business promised in 2027 will not be less than RMB.

160.5 million yuan, RMB 168.53 million yuan, RMB 176.95 million yuan,

RMB 185.8 million, committed net profit (referring to the audited consolidated statement)

Below is the net profit attributable to shareholders of the parent company after deducting non-recurring gains and losses, below

The same) shall not be less than RMB 9.3 million, RMB 9.765 million and person respectively.

RMB10.25 million and RMB10.766 million.

All parties agree that Anji Baixin will achieve sales and net profit during the performance commitment period

The profit is calculated according to the following principles:

(1) The preparation of Anji Baixingyuan's financial statements should comply with the "Accounting Standards for Business Enterprises"

and other laws and regulations.

(2) During the performance commitment period, Anji Baixingyuan implements sales figures based on audited consolidation

The tax-included sales of the main business under the report caliber include only medicines,

2024 Medical devices, health foods, formula foods for special medical purposes, infant formula

Year and performance sales of square milk powder and seasonal daily chemical products sales, excluding daily life 2024 2025

Commitment to sales of supplies (such as rice, flour, grains, oils, milk, etc.). In general, in 2006, Wang Yu, Li Youqing and the performance compensation obligors promised that during the performance commitment period, if the target company actually fulfills the commitment and the actual sales and net profit are lower than the promised sales and net profit, the compensation shall be made to Chinese Health in accordance with the "Anji Baixingyuan Equity Transfer Agreement".

year

1. The target company’s investment in 2024, 2025, 2026, and 2027

The cumulative realized sales volume as of the end of the current period is lower than the cumulative sales volume as of the end of the current period.

In terms of realized sales, that is, the realized sales in 2024 are less than 160.5 million

Yuan; as of the end of 2025, the cumulative sales volume will be less than (160.5 million yuan

+168.53 million yuan); the cumulative sales as of the end of 2026 are less than

(160.5 million yuan + 168.53 million yuan + 176.95 million yuan); as of 2027

By the end of the period, the cumulative sales achieved were less than (160.5 million yuan + 168.53 million yuan

+176.95 million yuan +185.8 million yuan).

2. The target company’s investment in 2024, 2025, 2026, and 2027

The cumulative net profit realized as of the end of the current period is lower than that of the year as of the end of the current period.

If the cumulative committed net profit number is less than 930, that is, the net profit realized in 2024

million; the cumulative net profit as of the end of 2025 is less than (9.3 million

yuan + 9.765 million yuan); the cumulative net profit realized as of the end of 2026

Less than (9.3 million yuan + 9.765 million yuan + 10.25 million yuan); as of 2027

The cumulative net profit at the end of the period was less than (9.3 million yuan + 9.765 million yuan + 1,025

Ten thousand yuan + 10.766 million yuan).

Regarding the performance indicators during the performance commitment period, the commitment obligor promises: Wuping Shunyang Commercial Performance in 2025 is positive

During the performance commitment period of 2025, 2026 and 2027 2025, the target company (with commitments) and other commitments (the committed sales (referring to the tax-included sales of the main business, the same below) are not limited to the partnership) and Sun and Sun and other commitments are less than RMB 295 million, RMB 309.75 million, person-month 19 Nian Jianwen and Sun Jianming paid compensation for the trip

RMB 325.2375 million; Japan 2027 and Sun Jianqin ranked in the middle

During the performance commitment period, the target company will perform in 2025, 2026 and 2027.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Du's committed net profits (referring to the net profits attributable to shareholders of the parent company after deducting non-recurring gains and losses under the audited consolidated statements, the same below) shall not be less than RMB 13.60 million, RMB 14.28 million, and RMB 14.994 million respectively.

After the completion of this transaction, after the end of each fiscal year during the performance commitment period, Chinese Health will hire an accounting firm with securities qualifications to audit the target company's actual sales and net profits in each year of the performance commitment period and issue a special report.

All parties agree that the sales and net profit achieved by the target company during the performance commitment period shall be calculated according to the following principles:

The target company's financial statements should be prepared in compliance with the Accounting Standards for Business Enterprises and other laws and regulations.

The sales volume achieved by the target company during the performance commitment period refers to the tax-included sales volume of the main business under the audited consolidated statement. This sales volume only includes sales of medicines, medical devices, health foods, formula foods for special medical purposes, infant formula milk powder, and seasonal daily chemical products sales. It does not include sales of daily necessities (such as rice, flour, grains, oils, milk, etc.), and does not include abnormal sales such as domestic sales, promotions, gifts, B2C sales, sales of closed stores (excluding relocation stores) and wholesale/distribution business sales.

During the performance commitment period, the target company's operations should comply with the business scope recorded in the business license, pharmaceutical operation quality management standards, and medical insurance management policies.

After the completion of this transaction, Chinese Health agrees that the target company will purchase single stores within a certain quantity range (not exceeding 50% of the newly opened stores in the year). If the number exceeds this range, if there are relevant high-quality stores (average daily sales are not less than 4,000 yuan and the store rent accounts for no more than 8% of the turnover (including no more than 10% in urban areas)), it agrees to be exempted from the quantity limit, but the purchase price of such single stores shall not exceed the previous year's sales * 0.5 of the stores. During the performance commitment period, when assessing the realization of the promised net profit for the current period, if the number of new stores opened by the target company reaches a certain standard (calculated based on an average of 7 new stores opened per year), for each additional store opened, Huaren Health agrees to exempt the newly opened store from losses for the current period at the standard of 120,000 yuan/home.

During the performance commitment period, if Fujian Huidakang Pharmaceutical Co., Ltd. (hereinafter referred to as "Huidakang", referring to a related party of the target company) delivers drugs to the target company, the delivery fee will be charged at 1.5% of the amount of the goods delivered, and the amount of Huidakang's annual loss after deducting non-recurring gains and losses It shall not exceed RMB 1.5 million (the "target loss amount"). If the subsequent loss amount of Huidakang in the performance commitment period is higher than the target loss amount, the excess amount shall be regarded as a reduction of the net profit of the target company during the performance commitment period, and shall be reduced accordingly at a ratio of 1:1.

The commitment obligor promises that during the performance commitment period, if the target company's actual sales and net profit are lower than the promised sales and net profit, the commitment obligor shall compensate Chinese Health in accordance with the provisions of this agreement:

The target company's cumulative sales as of the end of the current period in 2025, 2026 and 2027 are lower than the cumulative sales as of the end of the current period (i.e., the cumulative sales in 2025 are less than 295 million yuan; the cumulative sales in 2026 as of the end of the period are less than (295 million yuan)

+309.75 million yuan); the cumulative sales as of the end of 2027 are less than (295.00 million yuan + 309.75 million yuan + 325.2375 million yuan

Yuan)).

The target company's cumulative net profit as of the end of the current period in 2025, 2026 and 2027 is lower than the cumulative committed net profit as of the end of the current period (that is, the net profit realized in 2025 is less than 13.60 million yuan; in 2026 The cumulative net profit realized as of the end of the period is lower than (13.60 million yuan + 14.28 million yuan); the cumulative net profit realized as of the end of the period in 2027 is lower than (13.60 million yuan + 14.28 million yuan + 14.994 million yuan)

Yuan)).

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Regarding the performance indicators during the performance commitment period, the commitment obligor promises:

The target company's committed sales in 2024, 2025 and 2026 (referring to main business tax-included sales, the same below) during the performance commitment period shall not be less than RMB 275.625 million, RMB 289.4063 million and RMB 303.8766 million respectively;

The target company's committed net profits in 2024, 2025 and 2026 during the performance commitment period (referring to the net profits attributable to shareholders of the parent company after deducting non-recurring gains and losses under the audited consolidated statements, the same below) shall not be less than RMB 13.7813 million, RMB 14.4703 million and RMB 15.1938 million respectively.

After the completion of this transaction, after the end of each fiscal year during the performance commitment period, Chinese Health will hire an accounting firm with securities qualifications to audit the target company's actual sales and net profits in 2025 and 2026 and issue a special report.

All parties agree that the sales and net profit achieved by the target company during the performance commitment period shall be calculated according to the following principles:

The target company's financial statements should be prepared in compliance with the Accounting Standards for Business Enterprises and other laws and regulations.

The sales volume achieved by the target company during the performance commitment period refers to the tax-included sales volume of the main business under the audited consolidated statement. This sales volume only includes sales of medicines, medical devices, health foods, formula foods for special medical purposes, infant formula milk powder, and seasonal daily chemical products sales. It does not include sales of daily necessities (such as rice, noodles, grains, oils, milk, etc.), B2C sales, closed store trading Co., Ltd., sales and wholesale/distribution business sales. Among them, some Chinese Health agreed that the proportion of normal group purchase sales and daily necessities sales of Fujian Quanlong Medical Co., Ltd. are relatively stable and consistent with the proportion of the target company's 2022 drug flow Co., Ltd., and the deductions are not allowed. 2024 Division, Longyan City New Before June 30, 2024, the target company acquired pharmaceutical retail stores, resulting in annual results Zhengluo District Henghong Technology The target company's new growth expected amortized expenses, and the resulting dilution of the target company's net profit 2025, Commitment Normal Other Undertaking Services Co., Ltd., Chinese Health agreed to be exempted during the gambling period. In 05 2025 and supplementary performance commitments, and during the performance commitment period of Longyan Haihuahai, the operations of the target company shall comply with the operating scope recorded in the business license, comply with the pharmaceutical operation quality management standards, comply with the medical insurance management policies, etc. During the performance commitment period, the commitment obligor and his close relatives who hold positions in the target company shall receive remuneration in accordance with market standards, and shall not adjust the net profit of the target company by raising or lowering the rights, Wan Luyong, and remuneration standards.

Liao Xiaoping: During the performance commitment period, if the target company is delivered through a commercial company controlled by the commitment obligor, corresponding delivery fees should be charged in accordance with market standards. The delivery fees should remain generally stable with the original delivery rates, and the target company's specific goods should be purchased through price comparison. During the performance commitment period, the pricing and policies of various transactions between the entities controlled by the commitment obligor and other related parties and the target company should be fair and reasonable, fair and sustainable compared with third-party transaction prices, and the net profit of the target company should not be adjusted through unfair related transactions.

The commitment obligor promises that during the performance commitment period, if the target company's actual sales and net profit are lower than the promised sales and net profit, the commitment obligor shall compensate Chinese Health in accordance with the provisions of this agreement:

The target company's cumulative sales as of the end of the current period in 2024, 2025 and 2026 are lower than the cumulative sales as of the end of the current period (i.e., the cumulative sales in 2024 are less than 275.625 million yuan; the cumulative sales in 2025 as of the end of the period are less than (275.625 million yuan)

+289.4063 million yuan); the cumulative sales as of the end of 2026 are lower than (275.625 million yuan + 289.4063 million yuan + 303.8766 million yuan

Yuan)).

The cumulative net profit realized by the target company as of the end of the current period in 2024, 2025 and 2026 is lower than the cumulative committed net profit as of the end of the current period (i.e. the net profit realized in 2024 is less than 13.7813 million yuan; the cumulative net profit realized as of the end of the period in 2025 is lower than (13.7813 million yuan + 14.4703 million yuan); the cumulative net profit realized as of the end of the period in 2026

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Lower than (13.7813 million yuan + 14.4703 million yuan + 15.1938 million yuan

Yuan)).

The promise is

No on time Yes

fulfill

as promised

Overdue

Completed

Complete,

Should be detailed

Detailed explanation

Not completed Not applicable

fulfilled

specific original

Due to

one step

Work schedule

row

2. If there is a profit forecast for the company's assets or projects, and the reporting period is still in the profit forecast period, the company will explain why the assets or projects have reached the original profit forecast and the reasons why.

Applicable □Not applicable

Did not meet expectations

Current period forecast

Profit forecast asset or item Forecast start Forecast end Actual business forecast for the current period Original forecast disclosure

Performance (10,000 Yuan) Original forecast disclosure index item name Time Ending time Performance (10,000 Yuan) Cause (e.g. Disclosure date

Yuan)

applicable)

For details, please refer to the company’s website on Juchao Information Network

2023 2026 2023 The "Anhui Chinese Health Zhoushan Liken Pharmaceutical Chain" disclosed

January 01 December 31 1,309 1,371.66 Not applicable December 14 60% equity of Pharmaceutical Co., Ltd. Major Co., Ltd.

Day Day Day Asset Purchase Report (Draft) (Revised Draft)"

For details, please refer to the "About the Acquisition of Anji Fang Chain Co., Ltd." disclosed by the company on the Juchao Information Network in 2024 2027 2024 January 01 December 31 976.5 1,153.63 Not applicable June 24 Anji County Baixingyuan Pharmacy Chain has a 51% stake in the company Day Day Day Co., Ltd. 46.01% equity

"Report"

Fujian Province Yangzuhui Civilian Hospital. For details, please see the company on cninfo.com.cn

2025 2027 2025

Pharmaceutical Chain Co., Ltd.’s disclosure of “About the Acquisition of Fu

January 01 December 31 1,360 1,386.07 Not applicable May 22

46.01% equity (total of three pharmaceutical chains in Jian and Zhejiang)

day day day

Holding 51% equity) Announcement of the company’s equity” Fujian Haihua Pharmaceutical Chain For details, please see the company’s website on cninfo.com

2024 2026 2025

Co., Ltd. 46.01% disclosed in "About the Acquisition of Fu

January 01 December 31 1,447.03 1,638.85 Not applicable May 22

(Total holdings of three pharmaceutical chains in Jian and Zhejiang

day day day

54.557% equity) Announcement of the company’s equity”

Note: The current performance in the above table is the performance of a single fiscal year. For details of the cumulative expected performance and completion status, please see "3. Performance Commitments of the Company".

3. The company involves performance commitments

Applicable □Not applicable

Deposit

Actual completion fee Completion rate commitment background Commitment party Commitment period Commitment indicator Amount (10,000

Amount (10,000 yuan) (%)

Yuan)

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

In 2023, the company will earn 11,220.00

Audited consolidated statements of Zhoushan Liken Medical transferred to a price of RMB 10,000

Wang Xiangan, Zhejiang from 2023,

Pharmaceutical Chain Co., Ltd. deducts non-economic expenses under the standard of 60.00%

Trade Zone Xueyuan Project Investment in 2024,

Equity, vested with Wang Xiangan and Zhejiang Free Trade after ordinary gains and losses 3,688 3,768.46 102.18%

capital partnership (with 2025 and

District Xueyuan Project Investment Partnership to the parent company’s shareholders

Limited partnership) 2026

(Limited partnership) etc. signed equity net profit

transfer agreement

In June 2024, the company will

The main business sales price including tax was 75.4564 million yuan.

In 2024, sales and audited statistics of Baixingyuan Pharmacy Chain in Anji County

In 2025, 46.01% of the equity of the company will be deducted from the consolidated statements (total Wang Yu, Li Youqing 1,986.5 2,168.09 109.14%

In 2026 and excluding recurring profits and losses (holding 51% of the equity), with Wang Yu,

In 2027, it will later belong to the parent company. Li Youqing and others signed an equity transfer agreement.

Shareholders’ net profit1

In May 2025, the company will

The main business sales price including tax was 133.429 million yuan.

Shunyang Commercial and Sun Jian In 2025, sales and deductions for non-economic Fujian Province Yangzu Huimin Pharmaceutical Chain Co., Ltd.

Wen, Sun Jianming, Sun Vested in 2026 and after ordinary gains and losses 1,360 1,386.07 101.92% 46.01% equity of the company (total

Jianqin holds 51% equity in the parent company in 2027), and Minzhehui

Net profit 2

Signed the equity transfer agreement

In May 2025, the company Longyan Bichuntang and Quan

The main business sales price including tax is 125.1472 million yuan, which was transferred to Long Pharmaceutical and Henghong Technology

In 2024, sales, excluding non-business Fujian Haihua Pharmaceutical Chain Co., Ltd., Haixi Health Care, 1,447.0

Vested in 2025 and after normal gains and losses 1,638.85 113.26% 46.01% equity (total holdings Lu Mingkai, Chen Ying 3

In 2026, it holds 54.557% of the equity of the parent company’s shareholders), together with Min Zhehui and others Quan, Wan Luyong, and Liao

Net profit3

Signed the equity transfer agreement Xiaoping

Note: 1. As of the end of 2025, Anji Baixingyuan promises that the main business tax-included sales will not be less than RMB 329.03 million, and the cumulative sales will be 329.6361 million yuan;

2. As of the end of 2025, Yangzu Huimin promises that the main business sales including tax will not be less than RMB 295 million, and the cumulative sales will be 295.8264 million yuan;

3. Fujian Haihua's performance commitment as of the end of 2025 is that the main business sales will not be less than 289.4063 million yuan, and the cumulative sales will be 298.8856 million yuan.

4. The performance commitment amount of Anji County Baixingyuan from 2024 to 2025 is 19.865 million yuan, an increase of 800,000 yuan from the original commitment. The increase was due to the fact that the number of newly opened stores did not meet the standard as stipulated in the agreement.

Changes in performance commitments

□Applicable Not applicable

Commitments made by the company’s shareholders and counterparties to the annual operating performance of the company or related assets

□Applicable Not applicable

Completion of performance commitments and its impact on goodwill impairment testing

According to the special audit report issued by the accounting firm (special general partnership), Zhoushan Liken, Anji County Baixingyuan, Yangzu Huimin and Fujian Haihua have all achieved their promised performance. The company hired a third-party assessment agency to conduct an impairment test on the relevant goodwill, and no impairment was found after the test.

2. Non-operating capital occupation of listed companies by controlling shareholders and other related parties

□Applicable Not applicable

During the company's reporting period, there was no non-operational occupation of funds by the controlling shareholder or other related parties of the listed company.

3. Illegal external guarantees

□Applicable Not applicable

The company had no illegal external guarantees during the reporting period.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

4. The Board of Directors’ explanation of the latest “non-standard audit report”

□Applicable Not applicable

5. Explanation of the "non-standard audit report" of the accounting firm for this reporting period by the board of directors, audit committee and independent directors (if any)

□Applicable Not applicable

6. Explanation of the Board of Directors on changes in accounting policies, accounting estimates or correction of major accounting errors during the reporting period

□Applicable Not applicable

7. Explanation of changes in the scope of consolidated statements compared with the previous year’s financial report

Applicable □Not applicable

For details, please refer to Section 3 of this report, "Management Discussion and Analysis" "IV. Main Business Analysis - 2. Income and Costs - (6) Whether the scope of consolidation has changed during the reporting period"

8. Appointment and dismissal of accounting firms

Currently employed accounting firm

Name of the domestic accounting firm: Gongzheng Tianye Accounting Firm (Special General Partnership) Remuneration of the domestic accounting firm (10,000 yuan) 135 Continuous years of auditing services by the domestic accounting firm 3 years

Name of CPA of domestic accounting firm: Cheng Xiaoman, Tian Daqing

Continuous years of CPA audit services provided by domestic accounting firms: 3 years, 1 year

Name of overseas accounting firm (if any) None

Remuneration of the overseas accounting firm (10,000 yuan) (if any) 0 Continuous years of auditing services by the overseas accounting firm (if any) None

Name of the certified public accountant of the overseas accounting firm (if any) None

Continuous years of audit services provided by the overseas accounting firm’s certified public accountants (if any) None

Whether to hire an accounting firm or not?

□Yes No

Recruitment of internal control audit accounting firms, financial consultants or sponsors

Applicable □Not applicable

1. In 2023, due to the major asset restructuring of the acquisition of Zhoushan Liken Pharmaceutical Chain Co., Ltd., the company hired Huatai United Securities Co., Ltd. as a financial consultant. The agreement determined that the financial consultant fee was 2 million yuan, and the financial consultant continued to supervise the period from 2024.01.09 to 2025.12.31.

2. This year, the company hired Gongzheng Tianye Accounting Firm (Special General Partnership) as the company's internal control audit accounting firm for 2025, and the audit fee was agreed to be 200,000 yuan.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

9. Facing delisting after the annual report is disclosed

□Applicable Not applicable

10. Matters related to bankruptcy and reorganization

□Applicable Not applicable

The company had no bankruptcy or reorganization related matters during the reporting period.

11. Major litigation and arbitration matters

Applicable □Not applicable

Basics of litigation (arbitration) Amount involved Whether pre-litigation (arbitration) litigation (arbitration) trial Litigation (arbitration) judgment Disclosure Disclosure status (10,000 yuan) Calculation of liabilities Progress Result and impact Execution status Date Index The company is the plaintiff. Some have been mediated and some are being implemented.

583.87 No No significant impact

Disputes arising, etc. Completed/Judgment Partially unexecuted

As the defendant, part of the company has been mediated and part of it is in the process of execution.

248.84 No No significant impact

Disputes arising, etc. Completed/Judgment Partially unexecuted

12. Punishment and rectification

□Applicable Not applicable

There were no penalties or rectifications during the company's reporting period.

13. Integrity status of the company, its controlling shareholders and actual controllers

□Applicable Not applicable

14. Major related transactions

1. Related transactions related to daily operations

Applicable □Not applicable

Off Yes

Alliance approved No

Related sharing can be obtained

The intercourse is super related

Related, related, related, related, transaction, quasi-transaction

Related Party Transaction Transaction Amount Transaction Disclosure Disclosure Transaction Transaction Transaction Amount Yijin Similar

System Qualification Obtain Settlement Date Index Party Type Content Price (10,000 Amount Transaction

Price (10,000 batches)

Yuan) Ratio Market Price

Original Yuan) Amount

degree

Xiang Guan "Guan"

ginseng

Lianfang Sales Yu Shuyu Examination 2025

Former Director Salesperson 2025 Civilian City Market Bank Market Year 04

Related enterprise products, 450.8 0.08% 2,000 No Annual related field price transfer price Month 25

Industry products, provide daily unit price per day

Providing labor services

grid

Labor transaction Suzhou company’s sales to Guan 2025 expected

Market 452.2 Bank Market

Municipal person’s wholly-owned subsidiary Joint Commercial Examination 0.08% 1,000 No Company in 2004

Price 2 Transfer Price

National People's Congress Company Security Sales Product and Market Announcement on February 25th

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Pharmacy Huiguosheng Merchant Provides Market Date (Public chain pharmacy chain drug and service price report Co., Ltd. Chain has provided No.: Company Limited Labor Service 2025-Share Participation 019) 19% shares

Xiangguan

Fujian ginseng

Joint Sales

Haihua exam 2025

Former Director Sales Vendor

Pharmaceutical City Market 214.4 Bank Market Year 04

Related enterprise products, 0.04% 600 No

Chain field price 4 transfer price month 25

Industry products, provide

Limited price day

Provide labor services

company format

labor service

Xiangguan

Ali ginseng

Originally held jointly for sale

Health exam 2025

5% of the company’s vendors

and its city market bank market year 04

Above shares commodities, 78.31 0.01% 1,300 No

Related Field Price Transfer Price Month 25

Shares of products and offerings

Service price day

Dong provides labor services

platform grid

labor service

Xiangguan

ginseng

Joint Sales

Guizhou exam 2025

Former Director Sales Vendor

Kazuki City Market Bank Market Year 04

Related enterprise products, 7.6 0.01% 100 No

Related Field Price Transfer Price Month 25

Industry products, provide

Unit Price Daily Service Provided

grid

labor service

Chuzhou

Guosheng

Benefit the people

Medicine

corporate

chain

Wholly owned subsidiary Xiang Guan

Limited participation

Company Ann Lianfang Sales

Company exam 2025

Hui Guosheng Sales Agent

(Original City Market 588.0 Bank Market Year 04

Large pharmacy products, 0.11% 1,000 No

Anhui Field Price 7 Transfer Price Month 25

The chain has products and services

PARKnSHOP PRICE DAY

Co., Ltd. provides labor services

Yimin Ge

Equity participation and labor services

Medicine

19% shares

chain

limited

Public

Division)

Mingguang company

Shi De’s wholly-owned subsidiary Xiang Guan

ginseng

Xiangji Company An Lianfang Sales

Kao 2025 Shengtang Hui Guosheng Sales Agent

City Market Bank Market Year 04 Big Pharmacy Goods, 69.31 0.01% 1,000 No

Market Price Transfer Price 25 rooms per month The chain has products and services

Price Risuo Co., Ltd. provides labor services

grid

Limited public shareholding and labor services

19% shares of the company

Xiang Guan from Anhui Company

sales

May Day Fully Owned Subsidiary Joint Examination 2025

Business

DaYao Company Security Sales Market 296.8 Bank Market Year 04

Products, 0.06% 1,000 No

Fanglian Huiguosheng Shopping Mall Price 9 Transfer Price Month 25

provide

Locked pharmacy products and prices

labor service

Limited to the public, the chain has prices available

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Company Limited Labor Service

Participate in shares

19% shares

corporate

Chizhou

Wholly owned subsidiary Xiang Guan

City ginseng

Company Ann Lianfang Sales

Caotang Exam 2025

Hui Guosheng Sales Agent

Big Pharma City Market Bank Market Year 04

Large pharmacy products, 309 0.06% 1,500 No

Room price Transfer price Month 25

The chain has products and services

LIMITED LIABILITY PRICE DAY

Co., Ltd. provides labor services

Ren Gongge

Participated in labor services

Division

10% shares

Anhui Xiangguan

ginseng

Huairen Lianfang Sales

Kao 2025 Hall Medicine He Jiayu Sales Vendor

City Market Bank Market Year 04 Industry Stock Holding Company Commodity, 500 No

Market Price Transfer Price There are products and services provided by the company on the 25th of the month

Prices are limited to one day only. Labor services provided.

grid

Division Labor Service

related to

Ali ginseng

Original holder joint purchase

Health exam 2025

5% of the company’s purchasers

and its city market 4,308 bank market Year 04

Above stocks commodities, 2.70% 4,500 No

Related Field Price .27 Transfer Price Month 25

shares of stock, acceptance

Service price day

Dong accepts labor

platform grid

labor service

Yin Junzhi

of spouse

Hefei and Guan

Brother Yu Shen

Full Sail United Procurement

Bo Zengchi Kao 2025 Blessed Meal Purchaser

There is 100% city market bank market year 04 beverage service products, 45 0.03% 200 no

Equity Merger Market Price Transfer Price Monthly 25th Service Available Products, Accepted

Served as a price enforcer, limited to one day, accepted labor services

executive director qualification

Division Labor Service

concurrently general manager

reason

Anhui and Guan

ginseng

Huairen Lianfang Procurement

Examination 2025 Hall Medicine He Jiayu Purchaser

City Market 1,526 Bank Market Year 04 Industry Shares Holdings Commodities, 0.42% 5,000 No

Market price .21 Transfer price There are products and acceptance on the 25th of the month

Prices are limited to one day only. Labor service accepted.

grid

Division Labor Service

Anhui

Yutai Ginseng

and high school entrance examination 2025

He Jiayu

Medicine Housing City Market 127.5 Bank Market Year 04

Holding company Leasing 0.45% 200 No

Industry Rental Field Price 8 Transfer Price Month 25

Division

Investment price limited per day

company

8,473 19,90

Total -- -- -- -- -- -- -- --

.7 0

Details of large sales returns Not applicable

Daily related transactions that will occur in this period by category

It is easy to estimate the total amount, not applicable during the reporting period

actual performance (if any)

The transaction price of the full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd. is significantly different from the market reference price

Reason for inapplicability (if applicable)

2. Related transactions arising from the acquisition and sale of assets or equity □Applicable Not applicable

The company had no related transactions involving acquisition or sale of assets or equity during the reporting period.

3. Related transactions related to joint external investment

□Applicable Not applicable

The company had no related transactions involving joint external investments during the reporting period.

4. Related credit and debt transactions

□Applicable Not applicable

The company had no related creditor's rights or debts during the reporting period.

5. Dealings with related financial companies □Applicable Not applicable

There are no deposits, loans, credit or other financial business between the company and its related financial companies and related parties.

6. Dealings between financial companies controlled by the company and related parties □Applicable Not applicable

There are no deposits, loans, credit or other financial business between the financial companies controlled by the company and related parties.

7. Other major related transactions

□Applicable Not applicable

The company had no other major related transactions during the reporting period.

15. Major contracts and their performance

1. Custody, contracting and leasing matters

(1) Custody situation

□Applicable Not applicable

There was no custody situation during the company's reporting period.

(2) Contracting situation

□Applicable Not applicable

There was no contracting situation during the reporting period of the company.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(3) Leasing situation

Applicable □Not applicable

Rental situation description

During the reporting period, the assets rented by the company (including subsidiaries) were mainly store operating premises, and the assets leased were mainly warehouses, storefronts and office spaces.

Projects that bring profits and losses to the company exceeding 10% of the company's total profit during the reporting period

□Applicable Not applicable

During the company's reporting period, there were no leasing projects that brought profits or losses to the company that accounted for more than 10% of the company's total profits during the reporting period.

2. Major guarantee

Applicable □Not applicable

Unit: 10,000 yuan

External guarantees provided by the company and its subsidiaries (excluding guarantees to subsidiaries)

Yes Yes No Responsibility

Guarantee amount Guarantee Guarantee No Yes

Practical

Guarantee related guarantee actual date of occurrence of collateral performance

Guarantee status Guarantee period

Name of object Announcement Distribution Amount Period Type (e.g. Coupon Amount (e.g.

Dew date (date) (available after completion)

Bi Guarantee status of subsidiaries provided by guarantee companies

Yes Yes No Responsibility

Guarantee amount Guarantee Guarantee No Yes

Practical

Guarantee related guarantee actual date of occurrence of collateral performance

Guarantee status Guarantee period

Name of object Announcement Distribution Amount Period Type (e.g. Coupon Amount (e.g.

Dew date (date) (available after completion)

Complete guarantee

The guarantor’s warranty period

Anhui State shall be effective from the date of this guarantee

Shengda Yao 2023 In conjunction with the maturity of loans or other debts

77, 2024 1

Room chain April 11 2,000 Liability date or three additional days from the date of advance Yes No

400 March 24

Limited Public Warranty Years. Rollover of borrowings or other debt

If the company is a company, the guarantee period will extend to the exhibition

Three years will be added after the expiry of the term

The guarantor’s guarantee period is May 2023.

585 No No

On the 18th of the month, the agreed debt performance deadline expires.

Anhui State

Three years from the date of expiry, every major combination

Shengda Yao 2023 jointly and severally

77. The guarantee period under the same item is calculated separately.

Room Chain April 11 Responsibility

400 June 2023 2,804 Calculated, there are installments under the main contract

Limited Company Date Guarantee No No 21st of the month .85 If the debt is to be fulfilled, the main contract

Division

The guarantee period is the last installment of the debt

Three years from the expiration date of the performance period

6, 2024

Anhui State 2,850 Yes No

21st

Shengda Yao 2024 170 jointly and severally

2024 May Debtor’s performance as stipulated in the main contract

Room chain April 29,00 2,000 Responsibility Yes No

Three years from the date of expiration of the debt term on 28th

LIMITED DAY 0 GUARANTEE

9, 2024

Division 627.6 Yes No

March 23

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

11, 2024

4,000 Yes No 27th of month

December 2024

2,000 Yes No 2nd of month

2025 4

300 Yes NoMonth 23rd

8, 2024

3,300 Yes No Month 28

11, 2024

2,500 Yes No March 27

December 2024

2,640 Yes No March 3rd

December 2024

9.93 Yes No On the 30th of the month, each specific financing amount under the main contract

20251 The guarantee period of the capital business is calculated separately.

Anhui State 5,000 Yes No Calculated on the 13th of the month, it is from the specific financing contract

Shengda Yao 2024 170 jointly and severally

The debtor’s performance period specified in February 2025 expires

Room chain April 29,00 3,000 Responsibility Yes No On the 8th of April (if due to legal regulations or contract

LIMITED DAY 0 GUARANTEE

In February 2025, certain events will occur that will lead to specific

Company 4,000 No No If the financing contract expires early on the 27th of the month, it will be

Three years from March 2025 (early expiration date)

2,475 Yes NoMonth 27

2025 4

990 No No 28th of month

11, 2025

3,325 Yes No Month 19

11, 2025

6,675 No No 21st of month

2024 7

1,000 Yes No 31st of month

In August 2024, each person under the Comprehensive Credit Agreement

Anhui State 200 Yes No Guarantee for a specific credit business on the 15th of the month

Shengda Yao 2024 170 jointly and severally

The deadline of September 2024 is calculated separately and is self-specific.

Housing chain April 29,00 5,080 Responsibility Yes No April 23 Credit business contract or agreement

LIMITED DAY 0 GUARANTEE

The fiduciary's debt payment deadline expires in 2 2025

Division 3500 Yes No Three years from the 27th of the month

2025 3

4,200 Yes No March 28

2025 4

1,000 Yes No 28th of month

2025 2

1,000 Yes No On the 27th of the month, the guarantor’s guarantee period is the main contract

December 2024 The agreed debt performance deadline expires

Anhui State 494.8 Yes No 9th of the month Three years from the date of expiration, each main period

Shengda Yao 2024 170 jointly and severally

December 2024 The guarantee period under the same item is calculated separately

Housing chain April 29,00 3,000 Responsibility Yes No Calculated on April 11, there are installments under the main contract

LIMITED DAY 0 GUARANTEE

If the debt is fulfilled in December 2024, the main contract

Company 2,000 Yes No The 20th of the month The guarantee period is the last installment of the debt

2025 3 Three years from the expiration date of the performance period

56 Yes No Month 6

9, 2025

4,000 No No 29th of month

Anhui State 2025 6

4,000 No No Sheng Da Yao 2025 185-11 Jointly and severally

Debtor's performance as stipulated in the main contract

Room Chain April 25,00 Responsibility

November 2025 Three years from the expiry date of the debt maturity

Limited Public Date 0 6,000 Guarantee No No 27th

Division

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The guarantee period of the guarantor is mainly RMB 7,000 in December 2025. No No. The same as the agreed debt performance period expires on December 15, 2025.

Three years from the date of expiry, each main combination wins the big medicine in 2025 185 jointly and severally

The guarantee period under the same item is calculated separately for room chain April 25,00 liability

Calculated in December 2025, if there is an installment limited company under the main contract Day 0 3,000 Guarantee No No No If the debt is fulfilled on the 18th of the month, the company of the main contract

The guarantee period is three years from the expiration date of the last debt payment period.

Debts are calculated separately, since each debt wins big medicine 2025 185 jointly and severally

The debt performance period of the 5 rights contract expires in 2025. Zhifang Chain April 25,00 3,600 Liability Yes No From April 28 to the limited public date agreed in the credit contract 0 Guarantee

Three companies after the expiration of the debt performance period

year end

The guarantee period of each specific financing business under the main contract is calculated separately by Anhui State.

According to calculations, the specific financing contract is about 2025 185 jointly and severally

September 2025 The obligor's performance period expires on April 25, 2025. 4,750 Responsibility No No No On the 3rd of April (if due to legal provisions or a limited public date 0 Guarantee

specific events occurred that resulted in specific divisions

If the financing contract expires early, it will be three years from the early expiry date)

The guarantor's guarantee period is Anhui State, starting from the effective date of this guarantee, 2025 185, and jointly and severally until 2025 10 when the loan or other debt matures.

Room chain April 25,00 950 Responsibility day or the date of advance plus three days No No No 14th

Limited Publication 0 Years Guaranteed. If a loan or other debt is extended, the guarantee period shall be extended to three years after the expiration of the extension.

Anhui State December 2025

5,000 No No Sheng Da Yao 2025 185-17 Jointly and severally

The debtor stipulated in the main contract shall perform the responsibilities of the housing chain on April 25,00

December 2025 Three-year limited public date from the expiration date of the debt maturity 0 6,950 Guarantee No No 23rd of the month

Division

2025 6 The guarantee period of the guarantor for the main contract 5 Yes No 27 October The agreed debt performance period expires in Anhui Province 8 2025 243.1 Three years from the date of expiration, each main contract 2025 jointly and severally No No Fang Pharmaceutical 5, 20 October 7 The guarantee period under the same item is calculated separately on 25 April 2025 Liability

Limited accounting 00, there is an installment date guarantee under the main contract

Division 2025 9 777.0 To perform debts, the main contract

No No 1 month 6 The guarantee period is three years from the expiration date of the last debt payment period. The total amount of guarantees approved for subsidiaries during the reporting period. The actual guarantees for subsidiaries during the reporting period.

200,000.00 81,796.26 (B1) Total amount (B2)

The approved guarantee limit for subsidiaries at the end of the reporting period The actual guarantee balance for subsidiaries at the end of the reporting period

200,000.00 61,060.08 Total (B3) Total (B4)

Guarantees provided by subsidiaries to subsidiaries

Yes

Yes No

Amount of Guarantee Guarantee No Is it an actual guarantee?

Guarantee related guarantee Actual date of occurrence Guarantee performance Guarantee status Guarantee period

Name of object Announcement Distribution Amount Period Type (e.g. Coupon Amount (e.g.

Dew date (date) (available after completion)

Bi burden

The total amount of guarantees provided by the insurance company (that is, the total of the first three major items)

Total approved guarantee amount during the reporting period Total actual amount of guarantee incurred during the reporting period

200,000.00 81,796.26 (A1+B1+C1) (A2+B2+C2)

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd. Approved guarantee amount at the end of the reporting period Total actual guarantee balance at the end of the reporting period

200,000.00 61,060.08 Total degree (A3+B3+C3) (A4+B4+C4)

The total guarantee balance (i.e. A4+B4+C4) accounts for the company’s net

29.12% of assets

Among them:

Directly or indirectly for companies whose asset-liability ratio exceeds 70%

61,060.08 Debt guarantee balance provided by the guarantee object (E)

The total amount of the above three guarantees (D+E+F) 61,060.08

Specific instructions for using composite guarantees

None.

3. Entrusting others to manage cash assets

(1) Entrusted financial management situation

Applicable □Not applicable

Overview of entrusted financial management during the reporting period

Unit: 10,000 yuan

Product Category Risk Characteristics Balance of entrusted financial management during the reporting period Overdue amount not recovered Bank financial management products Low risk 2,200 0 The company entrusts a financial institution to carry out asset management as a single client, or invests in high-risk entrusted financial management with low security and poor liquidity. Specific circumstances

□Applicable Not applicable

(2) Entrusted loans

□Applicable Not applicable

The company had no entrusted loans during the reporting period.

4. Other major contracts

□Applicable Not applicable

The company had no other major contracts during the reporting period.

16. Usage of raised funds

Applicable □Not applicable

1. Overall use of raised funds

Applicable □Not applicable

Unit: 10,000 yuan raised in this period Accumulated Report Report Accumulated Accumulated Not yet Not yet Idle

Securities Raising

Raised Funds Raised Already Used End of period Change during period Use Used for two years

Listing funds

Year Method Net Amount Used to raise Use to raise Raise Change Purpose Purpose Raise Raise Above date Total amount

(1) Fund-raising Purpose of fund-raising Funds raised Funds raised

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Total Funds Total Funds Used Total Funds Raised Purpose Ratio of Funds Amount Total Funds Raised and Outgoing Amount (2) (3) Ratio of Total Funds Amount Ratio

= amount Example

(2)

/

(1)

store

Yu Li

Raise funds

2023

First time gold professional

2023 03 97,45 87,94 17,04 78,20 88.92 13,07 17,57 19.98 10,90

Public account, Year 0 Month 01 6.24 5.21 0.84 3.69 % 3.44 3.44 % 2.14

Release Temporarily

day

supplement

flow

funds

97,45 87,94 17,04 78,20 88.92 13,07 17,57 19.98 10,90

Total -- -- -- 0

6.24 5.21 0.84 3.69% 3.44 3.44% 2.14

Description of the overall use of raised funds:

With the approval of the China Securities Regulatory Commission's "Reply on the Registration of the Initial Public Offering of Anhui Huaren Health Pharmaceutical Co., Ltd." (CSRC Permit [2022] No. 2406), the company was approved to issue 60.01 million RMB common A shares to the public, with a par value of RMB 1 per share. As of March 1, 2023, the company has issued 60.01 million RMB common A shares to the public at an issue price of 16.24 yuan per share, raising total funds of 974.5624 million yuan. After deducting underwriting fees and other issuance expenses (excluding the value-added tax input tax deductible for this public offering of stock issuance expenses) of RMB 95.1103 million, the company's net raised funds were RMB 879.4521 million. The above funds were all in place on February 24, 2023, and were verified by Zhongtianyun Accounting Firm (Special General Partnership) and issued the "Capital Verification Report" No. 90009 of Zhongtianyun [2023] Yanzi. As of December 31, 2025, the company has used a total of 782.0369 million yuan in the special account of raised funds for the implementation of raised capital projects, supplementing working capital and paying for equity acquisitions, and used idle raised funds of 100.000 million yuan to temporarily supplement working capital; the balance of the special account for raised funds is 9.0214 million yuan (including interest generated from bank deposits of raised funds and deducting bank fees).

2. Project status of fund-raising commitments

Applicable □Not applicable

Unit: 10,000 yuan

Whether as of

Commitment Project Ending Project has changed As of the end of the period

Investment Raising Adjustment Reached Report of this newspaper Feasible changes This newspaper End of period Investment Whether

Financing Securities Project Funds Post-Investment Scheduled Closing Period End of Period Project Target Closing Period Accumulated Progress Achieved

Project Listing and Super Commitment Total Capital Achievable Accumulation No Development Nature (Including Investment Input (3) Estimated

Name Date Fund Raising Investment Amount Amount = Benefit

The total amount of financial investment (1) is becoming more and more effective (2) (2)/

Towards future benefits

more) (1)

Commitment to investment projects

2023

2023 Marketing 2026

First of year 37,9 28,2

Year 03 Internet Channel 55,5 3,96 74.3 Year 12 Discomfort

Cigong Yes 94.3 52.8 No

Month 01 Construction Expansion 67.8 7.4 6% Month 31 Used

Development 6 4

Day Project Day

OK

2023 2023 Payment 2024

First of the Year Year 03 Zhoushan Investment 4,50 4,50 100. Year 07 816. 1,51

Yes Yes No Sub-public Month 01 Ricken M&A 0 0 00% Month 08 11 3.38

Development Day Pharmaceutical Day

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

row chain

limited

company

Equity

acquisition

money

pay

Fujian

provincial Yang

2023 Zu Hui

2023 First of 2025 Civilian Medicine

Year 03 Investment 5,33 5,33 5,33 100. Year 06 380. 380. Sub-public drug company Yes Yes No Month 01 M&A 7.16 7.16 7.16 00% Month 13 82 82 Development Locked

Daily travel only

Company shares

right to receive

purchase price

pay

Fujian

Haihua

2023

2023 Medicine First of 2025

Year 03 Chain investment 5,00 5,00 5,00 100. Year 06 631. 631. Sub-public Yes Yes No Month 01 Limited Mergers and Acquisitions 5.89 5.89 5.89 00% Month 09 78 78 Development

day company day trip

Equity

acquisition

money

pay

Hangzhou

Guosheng

2023

2023 Big Medicine First of 2025

Year 03 Real estate investment 2,73 2,73 2,73 100. Year 06 85.5 85.5 Not suitable for sub-public Yes No Month 01 Locked M&A 0.39 0.39 0.39 00% Month 09 8 8 For development

Daily only

Company shares

right to receive

purchase price

2023

2023 First supplement of 2023

Year 03 5,00 5,00 5,00 100. Year 03 Not suitable for sub-public flows Supplementary flows No No Month 01 0 0 0 00% Month 21 Use development funds

Day trip

17,0 50,8

60,5 60,5 1,91 2,61 Subtotal of committed investment projects -- 40.8 26.2 -- -- -- -- 67.8 67.8 4.29 1.56

4 8

Investment direction of super-raised funds

pay

saddle

Shanman

2023 Disin

2023 The first major drug of 2023

Year 03 Investment 9,00 9,00 9,00 100. Year 11 126. 1,37 Not suitable for sub-public housing connection No No Month 01 M&A 0 0 0 00% Month 08 96 7.29 Commercial development Locked

Daily travel only

Company shares

right to receive

purchase price

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

pay

Jiangsu

2023 Shenhua

2023 2023

First of the Year Pharmaceutical Industry

Year 03 Investment 8,00 8,00 8,00 100. Year 07 2,61 6,19 Unwell

Sub-public Limited No No Month 01 M&A 0 0 0 00% Month 27 7.71 9.89 Used

development company

day day

bank equity

acquisition

money

10,3 10,3 10,3

100.

Supplementary working capital (if any) -- 77.4 77.4 77.4 -- -- -- -- -- 00%

1 1 1

27,3 27,3 27,3

2,74 7,57

Subtotal investment of excess raised funds -- 77.4 77.4 77.4 -- -- -- -- 4.67 7.18

1 1 1

87,9 87,9 17,0 78,2 10,1

4,65

Total -- 45.2 45.2 40.8 03.6 -- -- 88.7 -- -- 8.96

1 1 4 9 4

1. The company held the second meeting of the fifth board of directors and the second meeting of the fifth board of supervisors on April 25, 2024, and reviewed and approved the "Proposal on the Extension of Partially Raised Fund Investment Projects", extending the date for the "marketing network construction project" to reach the scheduled usable state from March 25, 2024 to December 31, 2026. The sponsor has no objection to the postponement of the company's investment project with part of the funds raised this time.

Sub-project description Reasons for project delay: During the project implementation process, due to various factors, the store opening progress was hindered and could not be promoted as scheduled. At the same time, the company's listing cycle has not been as planned. It has been only 9 months from the listing in March 2023 to the end of December 2023. The utilization progress of the funds raised by the above-mentioned investment projects has reached 34.85%. The progress and the overall progress are still lagging behind, and it is expected that it will not be able to reach the scheduled usable status within the originally planned time. In view of the market environment, policy orientation and project income conditions, the feasibility of the project has not changed significantly. In order to ensure the steady implementation of the company's investment projects, reduce the risk of the use of raised funds, and ensure the safe and reasonable use of funds, in line with the principle of being responsible to investors and prudent investment, combined with the actual development of the current project, the company decided to postpone the above-mentioned investment projects. The date when the "marketing network construction project" reaches the scheduled usable state will be postponed from the original March 25, 2024. to December 31, 2026. As of December 31, 2025, the project is still in the construction period, and it is temporarily impossible to evaluate whether the benefits achieved in this period have reached the expected benefits. The marketing network construction project adopts the method of opening stores and operating at the same time. The company's newly opened stores have a long market cultivation period, and the investment in start-up expenses and promotion expenses in the "cultivation" period is relatively large, and it takes a certain period of time to increase store traffic, and the benefits achieved during the cultivation period are low, due to reasons) As store operations mature, revenue will grow, expenses will stabilize, and benefits will gradually increase.

2. Regarding the equity acquisition of Maanshan Guosheng Mandi Pharmacy Chain Co., Ltd., Jiangsu Shenhua Pharmaceutical Co., Ltd., and Hangzhou Guosheng Pharmacy Chain Co., Ltd., since both parties to the transaction did not set performance commitments at the time of the acquisition, it is impossible to judge whether the expected income has been achieved.

3. The purpose of supplementing working capital is to reduce financial pressure, improve the efficiency of use of raised funds, and reduce financial expenses. The income cannot be calculated separately.

Project feasibility

major changes occurred

Not applicable

transformational situation

Ming

Applicable

The company's initial public offering of stocks raised a total of RMB 974,562,400. After deducting various issuance expenses, the net raised funds were RMB 879,452,100, of which the total excess raised funds was RMB 273,774,100.

The company held the 8th meeting of the 4th board of directors and the 6th meeting of the 4th board of supervisors on April 10, 2023, and held the 2022 annual shareholders meeting on May 8, 2023. The company reviewed and approved the "About using part of the over-raised funds to permanently supplement working capital and pay equity returns." "Purchase Proposal", on the premise of ensuring the capital needs for the construction of investment projects with raised funds and the normal progress of investment projects with raised funds, it was agreed to use part of the excess raised funds of 82 million yuan to permanently supplement the company's working capital, and 90 million yuan to pay for equity acquisitions. The company raised more funds

The independent directors have expressed independent opinions on the above matters, and the sponsor has issued unobjectionable verification opinions on the above matters.

Amount, purpose

The company held the 10th meeting of the 4th board of directors and the 8th meeting of the 4th board of supervisors on July 7, 2023, and in July 2023 and the use of progress

The first extraordinary shareholders' meeting of 2023 was held on the 26th, and the "Proposal on Using Super Raised Funds to Pay Equity Acquisition Payments" was reviewed and approved. The same situation

It intends to use the super-raised capital of 80 million yuan to pay for the equity acquisition. The company's independent directors have expressed independent opinions on the above matters, and the sponsor has issued unobjectionable verification opinions on the above matters.

The company held the second meeting of the fifth board of directors and the second meeting of the fifth board of supervisors on April 25, 2024, and held the 2023 annual shareholders' meeting on May 20, 2024. The company reviewed and approved the "Proposal on the Use of Remaining Over-raised Funds to Permanently Supplement Working Capital" and agreed that the company would use the remaining over-raised funds of RMB 21.7741 million (excluding interest income) to permanently replenish the company's working capital to meet the company's daily operating needs. The sponsor issued an unobjectionable verification opinion on the above matters.

As of May 21, 2024, the company's super-raised funds have been used up.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

There is unauthorized change

Raise more funds

Purpose, violation Not applicable

Taking up the raised funds

gold situation

Raise funds to invest

capital project implementation

Not applicable

Change of location

situation

Raise funds to invest

capital project implementation

Not applicable

way to adjust

situation

Applicable

The company held the 7th meeting of the 4th board of directors and the 5th meeting of the 4th board of supervisors on March 17, 2023, and reviewed and approved the "Proposal on Using Raised Funds to Replace Self-raised Funds Pre-invested in Raised Investment Projects and Issue Fees Paid", and agreed to the company's use of The raised funds of RMB 115,305,500 were used to replace the company's pre-invested self-raised funds of RMB 100,705,500 in investment projects with raised funds and the amount of issuance fees paid of RMB 14,600,000 (excluding value-added tax). Zhongtianyun Accounting Firm (Special General Partnership) reviewed the use of self-raised funds in the company's pre-invested investment projects with raised funds, and issued the "Assurance Report on the Substitution of Raised Funds for Anhui Chinese Health Pharmaceutical Co., Ltd.'s Pre-invested Self-raised Funds" (Zhongtianyun [2023] Hezi No. 90076), which verified and confirmed the company's pre-investment of self-raised funds in investment projects with previously raised funds. The replacement time of the raised funds shall not exceed 6 months from the time when the raised funds are invested and replaced, which complies with the relevant provisions of laws and regulations.

situation The company held the 13th meeting of the fifth board of directors on October 24, 2025, and reviewed and approved the "Proposal on Using Own Funds to Pay Part of the Funds for Raised Investment Projects and Replacement with Raised Funds in Equal Parts", and agreed that during the implementation of the investment project with raised funds, the company will not affect the normal operation of the raised investment projects. Under the premise of implementation, use own funds to pay part of the funds for the raised investment project, and then replace it with the raised funds in equal amounts. Regularly transfer equal amounts of funds from the raised funds special account to the company's own capital account. This part of the equal amount of replacement funds is regarded as the funds used for the raised investment projects. The above matters do not need to be submitted to the company's shareholders' meeting for review. From May 1, 2025 to September 30, 2025, the company used the raised funds to replace its own funds that had been used to pay the related funds for the raised investment projects in advance, totaling 3.4774 million yuan. All relevant funds were replaced within six months after being paid with self-raised funds. The sponsor has no objection to the company using its own funds to pay for part of the investment project and replacing it with the raised funds in equal amounts.

Applicable

The company held the third meeting of the fifth board of directors and the third meeting of the fifth board of supervisors on June 24, 2024, and reviewed and approved the "Proposal on Using Idle Raised Funds to Temporarily Supplement Working Capital" and agreed to ensure that the construction of the company's investment projects and the normal use of raised funds will not be affected. In the case of using the plan, based on the company's production and operation needs, idle raised funds of no more than 150 million yuan will be used to temporarily supplement working capital. The use period will not exceed 12 months from the date of the board of directors' review and approval of the proposal, and will be returned to the special account for raised funds on time before expiration. The company's second special meeting of independent directors in 2024 reviewed and approved the above matters, and the sponsor issued an unobjectionable verification opinion on the above matters.

Recruit with idle time

As of May 8, 2025, the company has returned all the above-mentioned idle raised funds of 150 million yuan used to temporarily supplement working capital to the temporary replenishment of raised funds.

A special fund-raising account with a period of use not exceeding 12 months.

Replenish working capital

The company held the ninth meeting of the fifth board of directors and the eighth meeting of the fifth board of supervisors on May 19, 2025, and reviewed and approved the "About the Situation"

"Proposal on Using Idle Raised Funds to Temporarily Supplement Working Capital", agreeing to use idle raised funds not exceeding 100 million yuan to temporarily supplement working capital in accordance with the company's production and operation needs without affecting the construction of the company's investment projects and the normal use plan of the raised funds. The period of use shall not exceed 12 months from the date the board of directors considers and approves the proposal, and will be returned to the special account for raised funds on time before expiration. The company's second special meeting of independent directors in 2025 reviewed and approved the above matters, and the sponsor issued an unobjectionable verification opinion on the above matters.

As of April 10, 2026, the company has returned all the above-mentioned idle raised funds of 100 million yuan used to temporarily supplement working capital to the special account for raised funds, and the use period does not exceed 12 months.

Project implementation

Currently raising funds

Not applicable

Balance amount

and reasons

The company held the second meeting of the fifth board of directors and the second meeting of the fifth board of supervisors on April 25, 2024, and reviewed and approved the "Proposal on Using Part of Idle Own Funds for Cash Management and the Balance of Raised Funds to be Deposited in the Way of Agreement Deposits and Corporate Intelligent Notice Deposits", which are the same as those that have not yet been used.

It is intended that the company and its subsidiaries shall use no more than 600 million yuan of raised funds for leisure purposes without affecting the construction of investment projects with raised funds and the normal operation of the company.

Purchasing its own funds for cash management, the balance of raised funds not exceeding RMB 350 million shall be treated as agreed deposits and corporate intelligent notification deposits.

style storage. The use period is valid for 12 months from the date of review and approval by the board of directors. Within the validity period of the above quota and resolution, the funds can be used on a rolling basis. The sponsor issued an unobjectionable verification opinion on the above matters.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The company held the seventh meeting of the fifth board of directors and the sixth meeting of the fifth board of supervisors on April 23, 2025, and reviewed and approved the "Proposal on Using Part of Idle Own Funds for Cash Management and the Balance of Raised Funds to be Deposited in the Way of Agreement Deposits and Corporate Intelligent Notice Deposits." The board of directors agrees that the company and its subsidiaries will use no more than 600 million yuan of idle self-owned funds for cash management without affecting the construction of investment projects with raised funds and the company's normal operations, and the balance of raised funds of no more than 280 million yuan will be deposited in the form of agreement deposits and corporate smart notice deposits. The use period is valid for 12 months from the date of review and approval by the board of directors. Within the validity period of the above quota and resolution, the funds can be used on a rolling basis. The sponsor issued an unobjectionable verification opinion on the above matters.

During the reporting period, except for depositing the balance of idle raised funds in the form of agreed deposits, no other cash management was carried out.

Other unused raised funds are deposited in a special account for raised funds and will be used in an orderly manner for the company's promised investment of raised funds in accordance with the investment project plan.

capital project and not used for other purposes.

Raise funds to make

In use and disclosed

Not applicable

Problems

or other situations

3. Changes in projects with raised funds

Applicable □Not applicable

Unit: 10,000 yuan

After change Deadline after change Deadline Project reaches

Project proposed Project for this report

Corresponding to the end of actual investment to the scheduled time, whether this report has reached

Actual feasibility of financing project fundraising period after change

Original commitment, cumulative investment progress, usable period, expected to be realized

Project name Method Project Raised funds Investment amount Whether to issue the project Investment amount (3)=(2) Benefits on status day Benefits

Total Amount Student Major

(2) )/(1) issue

(1) Change

Pay Zhoushan

2023 First time Liken Pharmaceutical Marketing Network 2024

100.00

First public public chain limited network construction 4,500 4,500 July 816.11 Yes No

%

Development Bank Issuance of Company Equity Project 08th

Acquisition money

Pay Fujian

Yang Zuhui

2023 First Marketing Network 2025

Civilian Medical Company 5,337. 5,337. 5,337. 100.00

First public network construction June 380.82 Yes No

Lock Co., Ltd. 16 16 16 %

Development Bank Issuance Project 13th

Acquisition of company equity

purchase price

Pay Fujian

2023 First Haihua Pharmaceutical Marketing Network 2025

5,005. 5,005. 5,005. 100.00

First public chain limited network construction June 631.78 Yes No

89 89 89%

Development Bank Issuance of Company Equity Project 09

Acquisition money

Pay Hangzhou

2023 First Guoshengdayao Marketing Network 2025

2,730. 2,730. 2,730. 100.00

First public housing chain network construction June 85.58 Not applicable No

39 39 39%

Development Bank Issuance of Co., Ltd. Shares Project 09

Rights acquisition money

17,573 13,073 17,573 1,914.

Total -- -- -- -- -- -- -- .44 .44 .44 29

Reason for change: The "Marketing Network Construction Project" was formulated by the company in 2021 based on factors such as the market environment, industry development trends, and the company's actual situation at the time. The company's newly opened stores have a certain market cultivation period, in order to increase the chance of raising funds.

utilization efficiency, combined with the company's development strategic plan, to better grasp market opportunities, improve the company's market competitiveness, and disclose the reasons for the change, decision-making procedures and information. The company decided to change part of the raised funds for the "Marketing Network Construction Project" and use 45 million yuan for the new project "Purchase Self-Disclosure Statement (for specific projects)" Ranren Wang Xiang'an and Zhejiang Free Trade Zone Xueyuan Project Investment Partnership (Limited Partnership) collectively hold 60% of the equity of Zhoushan Liken Pharmaceutical Chain Co., Ltd." and used 130.7344 million yuan for the new project to "purchase 46.01% of the equity of Yangzu Huimin, 46.01% of Haihua Pharmaceutical, and 70.01% of the equity of Hangzhou Guosheng held by Minzhehui."

Explanation of decision-making procedures and information disclosure: The company held the 13th meeting of the fourth session of the Board of Directors on November 22, 2023

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

meeting and the 11th meeting of the fourth session of the Board of Supervisors, and convened the 2023 second extraordinary shareholders' meeting on December 29, 2023, and reviewed and approved the "Proposal on Changing the Use of Raised Funds", agreeing that the company will change the use of some raised funds based on the current development needs and the company's overall business development layout and other actual conditions. The company's independent directors have expressed independent opinions on the above matters, and the sponsor has issued unobjectionable verification opinions on the above matters. On November 22, 2023, the company announced the change in the use of raised funds. For details, please see the "Announcement on Changes in the Use of Raised Funds" disclosed on cninfo.com (announcement number: 2023-058).

The company held the ninth meeting of the fifth board of directors and the eighth meeting of the fifth board of supervisors on May 19, 2025, and held the first extraordinary shareholders meeting of 2025 on June 6, 2025. The company reviewed and approved the "Proposal on Changing the Use of Raised Funds" and agreed that the company would change the use of some of the raised funds based on the current development needs and the company's overall business development layout and other actual conditions. The company's second special meeting of independent directors in 2025 reviewed and approved the above matters, and the sponsor issued an unobjectionable verification opinion on the above matters. On May 22, 2025, the company announced the change in the use of raised funds. For details, please refer to the "Announcement on Changes in the Use of Raised Funds" disclosed on the cninfo.com (announcement number: 2025-036).

Failure to achieve planned progress or expected benefits For the equity acquisition of Hangzhou Guosheng Pharmacy Chain Co., Ltd., because both parties to the transaction did not set performance commitments at the time of acquisition, there is no way to judge whether the expected benefits have been achieved based on the circumstances and reasons (for specific projects).

The feasibility of the project after the change has changed significantly

Not applicable

Description of big changes

4. Verification opinions of intermediaries on the storage and use of raised funds

Applicable □Not applicable

Gongzheng Tianye Accounting Firm (Special General Partnership) believes that the special report on funds raised by Chinese Health in 2025 prepared by the board of directors complies with the "Regulations on the Supervision of Funds Raised by Listed Companies", the "Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 2 - Standardized Operation of GEM Listed Companies" and related format guidelines, and truthfully reflects the actual storage, management and use of funds raised by Chinese Health in 2025 in all major aspects.

After verification, the sponsor Huatai United Securities believes that: Chinese Health strictly implements the special account storage system of raised funds, effectively implements the three-party/four-party supervision agreement, and the raised funds are not occupied by controlling shareholders, actual controllers and other related parties, or entrusted with financial management; as of December 31, 2025, Chinese Health has not changed the implementation location or implementation method of the investment projects with raised funds; the specific use of raised funds is consistent with the disclosed situation, and there is no major violation of relevant laws and regulations in the use of raised funds. The sponsor has no objection to the storage, management and use of funds raised by Chinese Health in 2025.

17. Description of other major matters

□Applicable Not applicable

There are no other significant matters that need to be explained during the company's reporting period.

18. Major events of the company’s subsidiaries

□Applicable Not applicable

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Section 6 Share changes and shareholder status

1. Changes in shares

1. Changes in shares

Unit: Before the change in share capital Increase or decrease in this change (+, -) After this change, transfer of reserve fund

Quantity Proportion Issuance of new shares Bonus shares Others Subtotal Quantity Proportion

shares

1. Limited

250,838, 250,838,

Conditional shares 62.71% 0 0 0 0 0 62.71%

697 697

portion

1. Country

0 0.00% 0 0 0 0 0 0 0.00% family holdings

2. Country

There is a legal person holding 0 0.00% 0 0 0 0 0 0 0.00% shares

3. Its

250,838, 250,838,

Other domestic investors hold 62.71% 0 0 0 0 0 62.71%

697 697

shares

its

22,771,6 22,771,6

Medium: Domestic 5.69% 0 0 0 0 0 5.69%

86 86

Legal person holdings

within the territory

228,067, 228,067,

Natural persons hold 57.02% 0 0 0 0 0 57.02%

011 011

shares

4. outside

0 0.00% 0 0 0 0 0 0 0.00% capital holding

its

Medium: Overseas 0 0.00% 0 0 0 0 0 0 0.00% legal person shareholding

overseas

Natural persons hold 0 0.00% 0 0 0 0 0 0 0.00% shares

2. Unlimited

149,171, 149,171,

Conditional shares 37.29% 0 0 0 0 0 37.29%

303 303

portion

1. People

149,171, 149,171,

RMB Ordinary 37.29% 0 0 0 0 0 37.29%

303 303

shares

2. Environment

0 0.00% 0 0 0 0 0 0 0.00% foreign-invested shares listed in China

3. Environment

Externally listed 0 0.00% 0 0 0 0 0 0 0.00% foreign-invested shares

4. Its 0 0.00% 0 0 0 0 0 0 0.00%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

him

3. Shares 400,010, 400,010,

100.00% 0 0 0 0 0 100.00%Total 000 000

Reasons for share changes

□Applicable Not applicable

Approval status of share changes

□Applicable Not applicable

Transfer status of changes in shares

□Applicable Not applicable

The impact of share changes on financial indicators such as basic earnings per share and diluted earnings per share in the most recent year and period, net assets per share attributable to the company's common shareholders □Applicable Not applicable

Other content that the company deems necessary or required to be disclosed by securities regulatory authorities

□Applicable Not applicable

2. Changes in restricted shares

Applicable □Not applicable

Unit: Increase in share capital in this period and release in this period

Name of shareholder Number of restricted shares at the beginning of the period Number of restricted shares at the end of the period Reason for the restriction Number of restricted shares on the release date Number of restricted shares

200,493,326.

He Jiale 200,493,326.00 0 0 Restricted sale before launch March 2, 2026

27,572,335.0

He Jialun 27,572,335.00 0 0 Restricted sale before launch March 2, 2026

Shareholdings of directors, supervisors and senior executives are locked according to Yin Jun 1,350.00 0 0 1,350.00

Relevant regulations lock in the success of Ningbo Meishan Bonded Port Area

All investment partnerships (with 8,221,509.00 0 0 8,221,509.00 Pre-IPO sale limited partnership on March 2, 2026)

Ningbo Meishan Bonded Port Area Fu

Manyi Investment Partnership 6,923,376.00 0 0 6,923,376.00 Sales restriction before IPO March 2, 2026 (limited partnership)

Hefei Kangfan Equity Investment Co., Ltd.

4,056,665.00 0 0 4,056,665.00 Restricted sale before IPO March 2, 2026 Partnership (limited partnership)

Hefei Shida Equity Investment Co., Ltd.

3,570,136.00 0 0 3,570,136.00 Restricted sale before IPO March 2, 2026 Partnership (limited partnership)

Total 250,838,697 0 0 250,838,697 -- --

2. Securities issuance and listing

1. Securities issuance (excluding preference shares) during the reporting period

□Applicable Not applicable

2. Explanation of changes in the company’s total number of shares and shareholder structure, and changes in the company’s asset and liability structure

□Applicable Not applicable

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

3. Existing internal employee shares

□Applicable Not applicable

3. Shareholders and actual controllers

1. Number of shareholders and shareholding status of the company

Unit: Share

annual report disclosure

Holding special report period-end disclosure last day before

Annual Report No Vote

Voting rights restored at the end of the month

Common equity shares at the end of the reporting period before the disclosure date

Preferred stockholders priority for recovery

Total shareholders of common shares 29,115 End of the previous month 26,630 0 0 Shareholders 0

Total number of shares (e.g. total number of shareholders

Number of shares of common stock Total number of shares (if any) (see (if any)

Total number of East (such as Note 9) (See Note

Yes) 9)

Shareholding status of shareholders holding more than 5% of the shares or the top 10 shareholders (excluding shares lent through refinancing)

Limited holding Holding without sale Pledge, mark or freeze status of shareholders End of the reporting period Increase during the reporting period

Name of shareholder Shareholding ratio Conditions for sale of shares

Quality Number of shares held less changes Share status Number of shares Number of shares Number

Domestic since 200,493, 200,493, 28,000, He Jiale 50.12% 0 0 Pledge

Ranren 326 326 000

Domestic from 27,572,3 27,572,3

He Jialun 6.89% 0 0 Not applicable 0

Ranren 35 35

Suzhou Saifupu

Xin Medical Health Domestic and Non-Governmental

12,731,8

Industrial Investment State-owned Law 3.18% -3,366,560 0 12,731,806 Not applicable 0 hearts (limited partners)

Guy)

Alibaba Health Department Domestic and non-US

12,000,2 -

Technology (China) State-owned Law 3.00% 0 12,000,247 Not applicable 0

47 17,411,826

limited company people

Ningbo Meishanbao

Shuigang District Shengfan Domestic non-

8,221,50 8,221,50

Investment partnership State-owned law 2.06% 0 0 Not applicable 0

9 9

Business (limited partnership)

Guy)

Ningbo Meishanbao

Tax Port District Fuman Domestic Non-

6,923,37 6,923,37

Medical investment partnership State-owned law 1.73% 0 0 Not applicable 0

6 6

Enterprise (limited person)

partnership)

Huangshan Saifu Hotel

Tourism and cultural industries within the country

5,531,36

Development Fund State-owned Law 1.38% -1,522,336 0 5,531,365 Not applicable 0 (limited joint venture)

Guy)

Hefei Kangfan Stock

Domestic non-

Equity Investment Partnership 4,056,66 4,056,66

State-owned law 1.01% 0 0 Not applicable 0 Enterprise (limited 5 5

people

partnership)

Hefei Shida Shares Domestic Non-profit 3,570,13 3,570,13 3,570,0

0.89% 0 0 Pledge

Equity Investment Partnership State-Owned Law 6 6 00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Enterprise (limited person)

partnership)

Huatai Zijin Investment

limited liability

Company-Nanjing

Huatai Health 2,382,23 -

Others 0.60% 0 2,382,231 Not applicable 0 No. 1 Equity Investment 1 13,881,958

partnership

(Limited

Guy)

Strategic investors or general legal persons

Became top 10 due to placement of new shares

None

Status of shareholders (if any)

(See note 4)

He Jiale and He Jialun are brothers; Suzhou Saifu Puxin Medical and Health Industry Investment Center (Limited Partnership) and Huangshan Saifu are related to the above shareholders or a tourism and cultural industry development fund (limited partnership) are enterprises under the same control. Explanation of Ningbo Meishan Bonded Port Zone Shengfan Investment Partnership (Limited Partnership) and Hefei Shida Equity Investment Partnership (Limited Partnership) are the same executive partners. In addition to the above

Apart from related relationships, the company does not know whether other shareholders have related relationships or are persons acting in concert.

The above shareholders are involved in entrustment/trusteeship

Voting rights and waiver of voting rights None

explanation of the situation

Buybacks exist among the top 10 shareholders

Special instructions for special accounts (if none

Yes) (see note 10)

Shareholdings of the top 10 shareholders without sales restrictions (excluding shares lent through refinancing and shares locked by executives)

Number of unrestricted shares held at the end of the reporting period Type of shares

Shareholder name

Volume Type of shares Quantity Suzhou Saifu Puxin Medical and Health Industry Investment Center

12,731,806 RMB ordinary shares 12,731,806 (limited partnership)

Ali Health Technology (China) Co., Ltd. 12,000,247 RMB ordinary shares 12,000,247 Huangshan Saifu Tourism and Cultural Industry Development Fund (with

5,531,365 RMB ordinary shares 5,531,365 limited partnership)

Huatai Zijin Investment Co., Ltd.-Nanjing Hua

Taida Health No. 1 Equity Investment Partnership (2,382,231 RMB ordinary shares and 2,382,231 limited partnerships)

UBS AG 1,759,590 RMB ordinary shares 1,759,590 Hong Kong Securities Clearing Company Limited 1,449,129 RMB ordinary shares 1,449,129 Beijing Daotong Changjing Investment Management Center (Limited Partnership)

921,000 RMB ordinary shares 921,000 units)

Tianjin Saifu Shengyuan Investment Management Center (Co., Ltd.

Partnership)-Jiaxing Tengyuan Investment Partnership (Limited RMB 921,000 common shares 921,000 partnership)

BARCLAYS BANK PLC 892,539 RMB ordinary shares 892,539 China International Capital Corporation 762,057 RMB ordinary shares 762,057 Top 10 unrestricted tradable shares

Suzhou Saifu Puxin Medical and Health Industry Investment Center (Limited Partnership), Huangshan Saifu Tourism and Cultural Industry Development Fund (Limited East), and the top 10 unlisted companies

Partnership), Tianjin Saifu Shengyuan Investment Management Center (Limited Partnership)-Jiaxing Tengyuan Investment Partnership (Limited Partnership), shareholders of Beijing restricted tradable shares and the top 10

Jingdao and Changjing Investment Management Center (Limited Partnership), the above four investment institutions are enterprises under the same control. Except for the related relationship between the above related shareholders or

Apart from the relationship, the company does not know whether other shareholders have related relationships or are persons acting in concert.

Description of concerted action

Shareholders involved in margin trading and securities lending business

Situation description (if any) (see None

See note 5)

The situation of shareholders holding more than 5% of the shares, the top 10 shareholders and the top 10 shareholders of unrestricted tradable shares participating in the refinancing business and lending shares

□Applicable Not applicable

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The top 10 shareholders and the top 10 shareholders of unrestricted tradable shares have changed from the previous period due to refinancing lending/returning □Applicable Not applicable

Whether the company has differential voting rights arrangements

□Applicable Not applicable

Whether the company's top 10 common shareholders and the top 10 common shareholders without selling restrictions have conducted agreed repurchase transactions during the reporting period Yes  No

The company's top 10 common shareholders and the top 10 common shareholders without selling restrictions did not conduct agreed repurchase transactions during the reporting period.

2. Information about the company’s controlling shareholders

Nature of controlling shareholder: Natural person holding

Controlling shareholder type: natural person

Name of controlling shareholder Nationality Whether he has obtained the right of residence in other countries or regions He Jiale China No main occupation and position Served as chairman and president of the company

Other domestic and foreign listed companies holding or holding shares during the reporting period

None

Equity situation of municipal companies

Changes in controlling shareholders during the reporting period

□Applicable Not applicable

The company's controlling shareholder did not change during the reporting period.

3. The actual controller of the company and its persons acting in concert

Nature of actual controller: Domestic natural person

Type of actual controller: natural person

Whether the name of the actual controller residing in other countries or regions has been obtained. Relationship with the actual controller. Nationality.

The right to retain is He Jiale. I am China. No. He Jialun. I am China. No.

He Jiale serves as chairman and president of the company

Main occupation and position

He Jialun serves as director and vice president of the company

Domestic and overseas holdings held in the past 10 years

None

Listed company situation

Changes in actual controller during the reporting period

□Applicable Not applicable

The actual controller of the company did not change during the reporting period.

Block diagram of the property rights and control relationship between the company and the actual controller

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd. The actual controller controls the company through trust or other asset management methods □Applicable Not applicable

4. The cumulative number of pledged shares by the company’s controlling shareholder or largest shareholder and persons acting in concert accounts for 80% of the number of company shares held by them □Applicable Not applicable

5. Other legal person shareholders holding more than 10% of the shares

□Applicable Not applicable

6. Shareholding restrictions and reductions of controlling shareholders, actual controllers, reorganizers and other commitment entitiesApplicable □Not applicable

For details, please refer to “Performance of Commitments” in “Section 6 Important Matters” of this report.

4. Specific implementation status of share repurchases during the reporting period Progress of implementation of share repurchases

□Applicable Not applicable

Implementation progress of using centralized bidding transactions to reduce and repurchase shares □Applicable Not applicable

5. Relevant information on preference shares

□Applicable Not applicable

There were no preferred shares in the company during the reporting period.

Section 7 Bond-related situations □Applicable Not applicable

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Section 8 Financial Report

1. Audit report

Type of audit opinion Standard unqualified opinion

Audit report signing date April 23, 2026

Name of the audit institution Gongzheng Tianye Accounting Firm (Special General Partnership)

Audit report number Su Gong W [2026] A578

Name of CPA Cheng Xiaoman, Tian Daqing

Audit report text

All shareholders of Anhui Huaren Health Pharmaceutical Co., Ltd.:

1. Audit opinions

We have audited the financial statements of Anhui Huaren Health Pharmaceutical Co., Ltd. (hereinafter referred to as "Huaren Health" or the "Company"), including the consolidated and parent company balance sheets on December 31, 2025, the consolidated and parent company income statements, the consolidated and parent company cash flow statements, the consolidated and parent company owner's equity changes statements, and relevant financial statement notes for 2025.

We believe that the attached financial statements have been prepared in accordance with the Accounting Standards for Business Enterprises in all material aspects and fairly reflect the company's consolidated and parent company's financial status as of December 31, 2025, as well as the consolidated and parent company's operating results and cash flows in 2025.

2. The basis for forming audit opinions

We performed the audit work in accordance with the Chinese Certified Public Accountants Auditing Standards. Our responsibilities under these standards are further described in the "CPA's Responsibilities for the Audit of Financial Statements" section of the auditor's report. In accordance with the Chinese Standards on Independence for Certified Public Accountants and the Chinese Code of Professional Ethics for Certified Public Accountants, we are independent from Chinese Health, have applied the independence requirements for the audit of financial statements of public interest entities, and have performed other responsibilities in professional ethics. We believe that the audit evidence we obtained is sufficient and appropriate and provides a basis for issuing an audit opinion.

3. Key audit matters

Key audit matters are matters that we, based on our professional judgment, consider to be most important in the audit of the current period's financial statements. The response to these matters is based on the audit of the financial statements as a whole and the formation of audit opinions. We do not express opinions on these matters individually. The key audit matters we identified in our audit are as follows: 1. Revenue recognition

(1) Description of the matter

The company is mainly engaged in pharmaceutical marketing and retail business. As stated in Note 5.42 of the financial statements, in 2025, the company achieved sales revenue of 5,486,683,545.91 yuan. In view of the fact that operating income is one of the company's key performance indicators and the revenue scale is growing rapidly. At the same time, the pharmaceutical retail business has dispersed customers and a large number of orders, and the inherent risk of misstatement is high. Therefore, we identified revenue recognition as a key audit matter.

(2) Audit response

Audit procedures relevant to evaluating revenue recognition include the following procedures:

1. Understand and perform walk-through testing of the internal control cycle of sales and collection, and perform control testing on important control points;

2. Utilize the work of the firm’s internal information technology experts to test the general controls of the information system and the application controls related to the revenue recognition process, and check the information system data and financial system data;

3. Perform analysis procedures on income and costs, including: comparative analysis of income, costs, gross profit margin, etc. for each month of the reporting period; comparative analysis of income, costs, gross profit margin, etc. during the reporting period and the previous period; check the value-added tax return and compare with reported income;

4. For pharmaceutical marketing, check supporting documents related to revenue recognition on a sampling basis, including sales contracts, orders, sales invoices, outbound orders, logistics or customer receipt orders, etc. For retail business, extract and check supporting evidence related to retail income, including checking cash payment orders, settlement statements, capital flows, etc.;

5. Check bank transaction flows, bank statements and reconciliation statements for outstanding accounts, and reconcile them with sales revenue;

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

6. Combined with the accounts receivable confirmation procedure, check the authenticity of the confirmed revenue.

7. Perform a cut-off test on operating income to confirm whether the income is recorded in the correct accounting period;

2. Impairment of goodwill

(1) Description of the matter

As stated in Note 5.18 of the financial statements, on December 31, 2025, the book value of goodwill in the consolidated financial statements of Chinese Health was 1,282,408,689.01 yuan. According to the provisions of the Accounting Standards for Business Enterprises, management needs to conduct an impairment test on goodwill every year. The impairment test is based on the recoverable amount of the asset group containing goodwill. The recoverable amount of the asset group is determined based on the higher of the present value of the asset group's expected future cash flows and the net amount of the asset's fair value minus expenses. Its expected future cash flow is determined based on the five-year financial budget. Because the evaluation process of management's goodwill impairment test is complex and requires a high degree of judgment, impairment evaluation involves determining evaluation parameters such as discount rates and assumptions about operating and financial conditions in the next few years, including sales growth and gross profit margin in the next few years. Because the book value of goodwill is large and has a significant impact on the financial statements, we identify impairment of goodwill as a key audit matter.

(2) Audit response

The main procedures we perform on key audit matters of the company's goodwill impairment include:

1. For the goodwill formed by the merger of enterprises not under common control, understand the completion status of the acquired company's performance forecast;

2. Discuss with the management the method of goodwill impairment testing, including the asset groups or combinations of asset groups related to goodwill, the rationality of major assumptions such as future income forecasts, cash flow forecasts, and discount rates for each asset group or combination of asset groups, as well as the judgment and assessment of the profitability of each asset group or combination of asset groups;

3. Evaluate the competence, professional quality and objectivity of external evaluation experts hired by the management;

4. Discuss with the external evaluation experts hired by the management to understand whether the key assumptions used in the impairment test are reasonable, etc.;

5. Evaluate the rationality of the value type and valuation method of the asset valuation report issued by external valuation experts, as well as the rationality of key valuation parameters such as basic assumptions and discount rate;

6. Combined with the management's impairment test results, evaluate the accuracy of the company's goodwill impairment accounting treatment and the appropriateness of the disclosure in the notes to the financial statements.

4. Other information

The company's management (hereinafter referred to as management) is responsible for other information. Other information includes information covered in the company's 2025 annual report, but does not include the financial statements and our auditor's report.

Our audit opinion on the financial statements does not cover other information, nor do we express any form of assurance conclusion on other information.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained during the audit or otherwise appears to be materially misstated.

If we determine, based on the work we have performed, that other information is materially misstated, we should report that fact. We have nothing to report in this regard.

5. Responsibility of management and those charged with governance for financial statements

The management is responsible for preparing financial statements in accordance with the provisions of the Accounting Standards for Business Enterprises to achieve fair reflection, and to design, implement and maintain necessary internal controls so that the financial statements are free of material misstatements due to fraud or errors.

In preparing financial statements, management is responsible for assessing the company's ability to continue as a going concern, disclosing matters related to going concern (if applicable), and applying the going concern assumption, unless management plans to liquidate the company, terminate operations, or has no other realistic alternative.

Those charged with governance are responsible for overseeing the company's financial reporting process.

6. Responsibilities of certified public accountants for auditing financial statements

Our objective is to obtain reasonable assurance as to whether the financial statements as a whole are free of material misstatements due to fraud or error, and to issue an audit report containing an audit opinion. Reasonable assurance is a high level of assurance, but it does not guarantee that an audit performed in accordance with auditing standards will always detect a material misstatement when it exists. Misstatements may be due to fraud or error and are generally considered material if they are reasonably expected individually or in aggregate to affect the economic decisions made by users of financial statements based on the financial statements.

In the process of performing audit work in accordance with the auditing standards, we use professional judgment and maintain professional skepticism. At the same time, we also perform the following work: (1) Identify and assess the risks of material misstatement of financial statements due to fraud or errors, design and implement audit procedures to respond to these risks, and obtain sufficient and appropriate audit evidence as the basis for issuing audit opinions. Because fraud may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls, the risk of failing to detect a material misstatement resulting from fraud is higher than the risk of failing to detect a material misstatement resulting from error.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(2) Understand the internal controls related to auditing to design appropriate audit procedures.

(3) Evaluate the appropriateness of the accounting policies adopted by management and the reasonableness of accounting estimates and related disclosures.

(4) Draw conclusions on the appropriateness of management’s use of the going concern assumption. At the same time, based on the audit evidence obtained, a conclusion is drawn as to whether there are significant uncertainties about events or conditions that may cause significant doubts about China Health's ability to continue as a going concern. If we conclude that significant uncertainty exists, auditing standards require us to draw the attention of users to the relevant disclosures in the financial statements in our audit report; if the disclosures are insufficient, we should issue a qualified opinion. Our conclusions are based on information available as of the date of the auditor's report. However, future events or conditions may cause Chinese Health to cease to continue as a going concern.

(5) Evaluate the overall presentation, structure and content of the financial statements, and evaluate whether the financial statements fairly reflect relevant transactions and events.

(6) Obtain sufficient and appropriate audit evidence on the financial information of entities or business activities of Chinese Health to express an audit opinion on the financial statements. We are responsible for directing, supervising and performing group audits and take full responsibility for our audit opinions.

We communicate with those charged with governance regarding, among other matters, the planned audit scope, timing and significant audit findings, including communication of significant internal control deficiencies identified during our audit.

We also provide statements to those charged with governance that we have complied with ethical requirements related to independence and communicate with those charged with governance all relationships and other matters that may reasonably be considered to affect our independence, and related safeguards, if applicable.

From the matters communicated with those charged with governance, we determine which matters are most significant to the audit of the current period's financial statements and therefore constitute key audit matters. We describe these matters in our auditor's report unless laws or regulations prohibit public disclosure of the matter or, in rare circumstances, we determine that the matter should not be communicated in our auditor's report if the adverse consequences of communicating the matter in the auditor's report are reasonably expected to outweigh the benefits in the public interest.

(This page has no text, but is the stamped page of the 2025 annual audit report of Anhui Huaren Health Pharmaceutical Co., Ltd. by Notarization Tianye Accounting Firm (Special General Partnership))

Gongzheng Tianye Accounting Firm Chinese Certified Public Accountants

(Special General Partnership) (Project Partner)

Chinese Certified Public Accountant

China·Wuxi

April 25, 2026

2. Financial statements

The unit of statements in the financial notes is: Yuan

1. Consolidated balance sheet

Prepared by: Anhui Chinese Health Pharmaceutical Co., Ltd.

December 31, 2025

Unit: Yuan

Item Ending balance Beginning balance

Current assets:

Monetary funds 954,552,196.53 999,693,750.44 Settlement reserves 0.00 0.00 Placement funds 0.00 0.00 Trading financial assets 22,000,000.00 10,000,000.00 Derivative financial assets 0.00 0.00 Notes receivable 0.00 0.00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Accounts receivable 565,827,852.80 454,170,194.23 Accounts receivable financing 22,999,543.46 18,432,928.32 Prepayments 208,379,551.93 170,067,340.03 Premium receivable 0.00 0.00 Reinsurance accounts receivable 0.00 0.00 Reinsurance contract reserves receivable 0.00 0.00 Other receivables 52,225,325.19 44,122,210.49 Including: interest receivable 0.00 0.00

Dividends receivable 0.00 0.00 Financial assets purchased under resale agreements 0.00 0.00 Inventories 1,054,636,926.71 863,841,347.62

Including: Data resources 0.00 0.00 Contract assets 0.00 0.00 Assets held for sale 0.00 0.00 Non-current assets due within one year 1,918,158.69 0.00 Other current assets 30,381,796.18 37,057,581.61 Total current assets 2,912,921,351.49 2,597,385,352.74 Non-current assets:

Loans and advances 0.00 0.00 Debt investments 0.00 0.00 Other debt investments 0.00 0.00 Long-term receivables 2,298,842.24 0.00 Long-term equity investments 0.00 0.00 Other equity instrument investments 45,523,867.00 82,197,162.37 Other non-current financial assets 0.00 0.00 Investment real estate 49,598,032.40 12,038,367.35 Fixed assets 460,841,046.39 303,499,529.55 Construction in progress 34,729,511.57 168,664,943.29 Productive biological assets 0.00 0.00 Oil and gas assets 0.00 0.00 Right-of-use assets 489,426,586.79 495,632,889.96 Intangible assets 63,899,875.34 67,205,084.80

Including: Data resources 0.00 0.00 Development expenditure 5,916,947.42 2,733,094.57

Including: Data resources 0.00 0.00Goodwill 1,282,408,689.01 988,372,408.69 Long-term deferred expenses 77,046,713.12 56,292,526.10 Deferred income tax assets 51,777,648.71 40,648,772.27 Other non-current assets 11,944,029.99 13,438,219.98 Total non-current assets 2,575,411,789.98 2,230,722,998.93 Total assets 5,488,333,141.47 4,828,108,351.67

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Current liabilities:

Short-term borrowings 345,301,321.69 316,917,395.83 Borrowings from the central bank 0.00 0.00 Placement funds 0.00 0.00 Trading financial liabilities 0.00 0.00 Derivative financial liabilities 0.00 0.00 Notes payable 1,239,509,256.19 831,209,806.72 Accounts payable 426,683,229.79 327,017,387.27 Advance receipts 5,274,346.05 5,742,740.66 Contract liabilities 37,589,316.01 31,368,895.20 Financial assets sold under repurchase 0.00 0.00 Deposits from customers and deposits from banks 0.00 0.00 Securities trading agency payment 0.00 0.00 Securities underwriting agency payment 0.00 0.00 Employee compensation payable 77,806,522.48 60,324,608.69 Taxes payable 60,358,260.52 31,157,979.67 Other payables 109,272,308.89 169,518,358.26 Including: interest payable 0.00 0.00

Dividends payable 7,681,037.39 7,681,037.39 Handling fees and commissions payable 0.00 0.00 Reinsurance accounts payable 0.00 0.00 Liabilities held for sale 0.00 0.00 Non-current liabilities due within one year 379,072,239.56 401,857,441.56 Other current liabilities 4,688,897.05 3,430,767.13 Total current liabilities 2,685,555,698.23 2,178,545,380.99 Non-current liabilities:

Insurance contract reserves 0.00 0.00 Long-term borrowings 407,079,369.18 358,825,247.54 Bonds payable 0.00 0.00 Including: Preferred shares 0.00 0.00

Perpetual bonds 0.00 0.00 Lease liabilities 220,081,704.12 222,851,654.04 Long-term payables 4,500,000.00 0.00 Long-term employee benefits payable 0.00 0.00 Estimated liabilities 0.00 0.00 Deferred income 1,808,643.83 806,233.25 Deferred income tax liabilities 6,203,913.32 6,645,085.88 Other non-current liabilities 0.00 0.00 Total non-current liabilities 639,673,630.45 589,128,220.71 Total liabilities 3,325,229,328.68 2,767,673,601.70 Owners’ equity:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Share capital 400,010,000.00 400,010,000.00Other equity instruments 0.00 0.00Including: Preferred shares 0.00 0.00

Perpetual bonds 0.00 0.00 Capital reserve 916,797,005.10 977,861,267.71 Less: treasury shares 0.00 0.00 Other comprehensive income 0.00 0.00 Special reserves 0.00 0.00 Surplus reserve 56,131,471.74 43,934,698.48 General risk reserve 0.00 0.00 Undistributed profits 724,039,050.04 583,483,944.14 Total owners’ equity attributable to the parent company 2,096,977,526.88 2,005,289,910.33 Minority shareholders’ equity 66,126,285.91 55,144,839.64 Total owners’ equity 2,163,103,812.79 2,060,434,749.97 Total liabilities and owners’ equity 5,488,333,141.47 4,828,108,351.67 Legal representative: He Jiale Person in charge of accounting work: Li Mei Person in charge of accounting department: Li Mei

2. Balance sheet of the parent company

Unit: Yuan

Item Ending balance Beginning balance

Current assets:

Monetary funds 221,704,662.89 298,172,440.91 Trading financial assets 0.00 0.00 Derivative financial assets 0.00 0.00 Notes receivable 0.00 0.00 Accounts receivable 182,699,247.64 160,973,052.42 Receivables financing 26,874,590.50 11,401,122.93 Prepayments 191,150,081.54 141,064,022.59 Other receivables 366,008,637.10 580,765,481.32 Including: interest receivable 0.00 0.00

Dividends receivable 42,240,000.00 0.00 Inventory 399,170,103.27 315,191,752.48

Including: Data resources 0.00 0.00 Contract assets 0.00 0.00 Assets held for sale 0.00 0.00 Non-current assets due within one year 0.00 0.00 Other current assets 1,175,939.17 7,430,097.96 Total current assets 1,388,783,262.11 1,514,997,970.61 non-current assets:

Debt investment 0.00 0.00Other debt investment 0.00 0.00Long-term receivables 0.00 0.00Long-term equity investment 1,330,827,262.73 894,432,000.00Other equity instrument investment 0.00 31,345,451.37

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Other non-current financial assets 0.00 0.00 Investment real estate 47,827,546.06 10,188,550.57 Fixed assets 303,953,863.35 145,197,689.04 Construction in progress 3,621,085.52 144,925,773.73 Productive biological assets 0.00 0.00Oil and gas assets 0.00 0.00Right-of-use assets 0.00 0.00Intangible assets 30,713,861.17 31,801,482.12

Among them: data resources 0.00 0.00 development expenditure 0.00 0.00

Including: Data resources 0.00 0.00Goodwill 0.00 0.00Long-term deferred expenses 76,738.83 161,801.09Deferred income tax assets 4,582,707.72 4,861,182.62Other non-current assets 1,526,831.60 4,629,719.90Total non-current assets 1,723,129,896.98 1,267,543,650.44 Total assets 3,111,913,159.09 2,782,541,621.05 Current liabilities:

Short-term borrowings 0.00 0.00 Trading financial liabilities 0.00 0.00 Derivative financial liabilities 0.00 0.00 Notes payable 224,940,000.00 194,166,546.75 Accounts payable 295,210,886.69 204,388,103.10 Advance receipts 10,615.99 693,027.07 Contract liabilities 9,091,414.46 8,312,981.81 Employee benefits payable 14,875,290.71 10,325,951.50 Taxes payable 18,428,346.58 10,120,393.43 Other payables 99,170,795.86 88,785,226.60 Including: interest payable 0.00 0.00

Dividends payable 0.00 0.00 Liabilities held for sale 0.00 0.00 Non-current liabilities due within one year 142,466,310.60 130,258,480.28 Other current liabilities 1,181,884.07 1,080,687.64 Total current liabilities 805,375,544.96 648,131,398.18 Non-current liabilities:

Long-term borrowings 381,987,369.18 296,326,710.54 Bonds payable 0.00 0.00 Among them: preference shares 0.00 0.00

Perpetual bonds 0.00 0.00 Lease liabilities 0.00 0.00 Long-term payables 4,500,000.00 0.00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Long-term employee benefits payable 0.00 0.00 Estimated liabilities 0.00 0.00 Deferred income 0.00 0.00 Deferred income tax liabilities 0.00 0.00 Other non-current liabilities 0.00 0.00 Total non-current liabilities 386,487,369.18 296,326,710.54 Total liabilities 1,191,862,914.14 944,458,108.72Owner’s equity:

Share capital 400,010,000.00 400,010,000.00Other equity instruments 0.00 0.00Including: Preferred shares 0.00 0.00

Perpetual bonds 0.00 0.00 Capital reserve 1,038,727,527.53 1,038,727,527.53 Less: treasury shares 0.00 0.00 Other comprehensive income 0.00 0.00 Special reserves 0.00 0.00 Surplus reserve 56,131,471.74 43,934,698.48 Undistributed profits 425,181,245.68 355,411,286.32 Total owners’ equity 1,920,050,244.95 1,838,083,512.33 Total liabilities and owners’ equity 3,111,913,159.09 2,782,541,621.05

3. Consolidated income statement

Unit: Yuan

Project 2025 2024

1. Total operating income 5,486,683,545.91 4,531,692,295.23 Including: operating income 5,486,683,545.91 4,531,692,295.23 Interest income

Premiums earned

Fee and commission income

2. Total operating costs 5,115,071,415.63 4,323,588,684.51 Including: operating costs 3,626,995,765.02 3,053,593,919.21 Interest expenses

Handling fees and commission expenses

surrender deposit

Net compensation expenses

Net withdrawal of reserves for insurance liability contracts

Um

policy dividend payout

Reinsurance cost

Taxes and surcharges 24,886,213.44 23,751,912.77 Sales expenses 1,175,139,158.03 997,770,391.32 Administrative expenses 231,402,054.54 194,391,170.65 Research and development expenses 29,579,981.52 29,387,268.49

Financial expenses 27,068,243.08 24,694,022.07

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Including: Interest expense 15,058,755.36 14,517,322.94 Interest income 10,031,238.21 15,558,356.44 Plus: other income 14,281,370.73 23,972,667.36 Investment income (losses are filled in with "-"

5,026,267.16 1,618,812.17 columns)

Of which: for associates and joint ventures

0.00 183,428.23Enterprise’s investment income

Measured at amortized cost

Income from derecognition of financial assets

Exchange gains (losses are filled in with "-"

column)

Net exposure hedging gain (loss calculated as

Fill in the column with "-" sign)

Gains from changes in fair value (losses calculated as

Fill in the column with "-" sign)

Credit impairment losses (losses are marked with "-"

-14,739,112.86 -1,000,929.87 fill in the column)

Asset impairment losses (losses are marked with "-"

-79,737,162.11 -27,487,722.98 fill in the column)

Asset disposal income (losses are marked with "-"

3,739,424.49 2,718,324.01 fill in the column)

3. Operating profit (loss is filled in with "-"

300,182,917.69 207,924,761.41 columns)

Add: Non-operating income 1,225,781.74 1,022,213.64 Less: Non-operating expenses 7,017,979.03 3,475,909.38

4. Total profit (total loss is marked with "-"

294,390,720.40 205,471,065.67 fill in the column)

Less: Income tax expenses 80,524,088.13 53,211,960.36

5. Net profit (net loss is filled in with "-"

213,866,632.27 152,259,105.31 columns)

(1) Classification by business continuity

1. Net profit from continuing operations (net loss divided by

213,866,632.27 152,259,105.31 (Fill in “-”)

2. Net profit from discontinued operations (net loss equal to

Fill in the column with "-" sign)

(2) Classification according to ownership ownership

1. Net profit attributable to shareholders of the parent company 191,352,661.67 137,699,528.81 2. Profit and loss of minority shareholders 22,513,970.60 14,559,576.50

2. Net after-tax amount of other comprehensive income 1,400,217.49 334,330.00 Other comprehensive income attributable to owners of the parent company

1,400,217.49 334,330.00 net amount after tax

(1) Others that cannot be reclassified into profit or loss

1,400,217.49 334,330.00 Comprehensive income

1. Remeasure changes in defined benefit plans

Um

2. Others that cannot be transferred to profit or loss under the equity method

Comprehensive income

3. Fair value of other equity instrument investments

1,400,217.49 334,330.00 change

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

4. Fair value of the company’s own credit risk

change

5.Others

(2) Other comprehensive items that will be reclassified into profit or loss

combined income

1. Other comprehensive items that can be transferred to profits and losses under the equity method

combined income

2. Changes in fair value of other debt investments

3. Financial assets are reclassified into other comprehensive

Amount of combined income

4. Credit impairment provisions for other debt investments

5. Cash flow hedging reserve

6. Translation differences of foreign currency financial statements

7.Others

Other comprehensive income attributable to minority shareholders

net of tax

7. Total comprehensive income 215,266,849.76 152,593,435.31 Total comprehensive income attributable to owners of the parent company

192,752,879.16 138,033,858.81 amount

Total comprehensive income attributable to minority shareholders 22,513,970.60 14,559,576.50

8. Earnings per share:

(1) Basic earnings per share 0.48 0.34

(2) Diluted earnings per share 0.48 0.34 If a business merger under the same control occurs in this period, the net profit realized by the merged party before the merger is: 0.00 yuan, and the net profit realized by the merged party in the previous period is: 0.00 yuan. Legal representative: He Jiale Person in charge of accounting work: Li Mei Person in charge of accounting department: Li Mei

4. Income statement of the parent company

Unit: Yuan

Project 2025 2024

1. Operating income 3,108,135,630.51 2,210,301,131.35 Less: Operating costs 2,780,695,988.17 1,955,321,666.89 Taxes and surcharges 8,821,213.47 6,928,814.50 Sales expenses 106,850,739.17 100,950,496.62Administrative expenses 94,733,865.11 73,042,547.77R&D expenses 0.00 0.00Financial expenses 11,060,810.92 7,678,205.69Including: interest expenses 9,500,430.40 11,038,068.25

Interest income 2,039,487.75 3,488,200.54 plus: other income 1,458,430.06 11,554,390.56 investment income (losses are filled in with "-"

50,279,063.21 71,893,495.35 columns)

Of which: for associates and joint ventures

0.00 183,428.23 Investment income from the industry

Money measured at amortized cost

Income from derecognition of financial assets (losses are listed with a “-” sign of 0.00)

Net exposure hedging gain (loss calculated as

0.00 0.00 “-” (please fill in the column)

Income from changes in fair value (loss calculated as 0.00 0.00 Anhui Huaren Health Pharmaceutical Co., Ltd. 2025 Annual Report Full Text

Fill in the column with "-" sign)

Credit impairment losses (losses are marked with "-"

-7,660,336.16 -2,365,256.46 fill in the column)

Asset impairment losses (losses are marked with "-"

-1,885,816.56 -2,364,794.90 fill in the column)

Asset disposal income (losses are marked with "-"

116,339.26 167,500.63 (please fill in the column)

2. Operating profit (loss is filled in with "-"

148,280,693.48 145,264,735.06 columns)

Add: non-operating income 400,151.98 77,322.20

Less: Non-operating expenses 264,926.67 373,654.00

3. Total profit (total loss is marked with “-”

148,415,918.79 144,968,403.26 fill in the column)

Less: Income tax expense 28,011,784.80 18,958,676.09

4. Net profit (net loss is filled in with "-"

120,404,133.99 126,009,727.17 columns)

(1) Net profit from continuing operations (net loss divided by

120,404,133.99 126,009,727.17 (Fill in “-”)

(2) Net profit from discontinued operations (net loss equal to

0.00 0.00 “-” (please fill in the column)

5. Net after-tax amount of other comprehensive income 1,563,598.63 334,330.00

(1) Others that cannot be reclassified into profit or loss

1,563,598.63 334,330.00 Comprehensive income

1. Remeasure changes in defined benefit plans

0.00 0.00 amount

2. Others that cannot be transferred to profit or loss under the equity method

0.00 0.00 Comprehensive income

3. Fair value of other equity instrument investments

1,563,598.63 334,330.00 change

4. Fair value of the company’s own credit risk

0.00 0.00 change

5.Others 0.00 0.00

(2) Other comprehensive items that will be reclassified into profit or loss

0.00 0.00 combined income

1. Other comprehensive items that can be transferred to profits and losses under the equity method

0.00 0.00 combined income

2. Changes in fair value of other debt investments 0.00 0.00 3. Financial assets are reclassified and included in other comprehensive

0.00 0.00 Amount of total income

4. Credit impairment provisions for other debt investments 0.00 0.00 5. Cash flow hedging reserves 0.00 0.00 6. Translation differences of foreign currency financial statements 0.00 0.00 7. Others 0.00 0.00

5. Total comprehensive income 121,967,732.62 126,344,057.17

7. Earnings per share:

(1) Basic earnings per share 0 0

(2) Diluted earnings per share 0 0

5. Consolidated cash flow statement

Unit: yuan project 2025 2024

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

1. Cash flow generated from operating activities:

Cash received from selling goods and providing services 5,353,856,436.99 4,699,201,759.57 Net increase in customer deposits and interbank deposits 0.00 0.00 Net increase in borrowings from the central bank 0.00 0.00 Net increase in borrowing funds from other financial institutions 0.00 0.00 Cash obtained from receipt of premiums from the original insurance contract 0.00 0.00 Net cash received from reinsurance business 0.00 0.00 Net increase in policyholders’ savings and investment funds 0.00 0.00 Cash collected from interest, fees and commissions 0.00 0.00 Net increase in borrowed funds 0.00 0.00 Net increase in funds from repurchase business 0.00 0.00 Net cash received from agency securities trading 0.00 0.00 Tax refund received 546,279.31 49,673.66 Other cash received related to operating activities 52,677,936.87 176,026,108.41 Subtotal of cash inflows from operating activities 5,407,080,653.17 4,875,277,541.64 Cash paid for purchasing goods and receiving services 3,274,431,866.14 3,081,834,558.96 Net increase in loans and advances to customers 0.00 0.00 Net increase in deposits with the central bank and interbank accounts 0.00 0.00 Cash used to pay compensation for original insurance contracts 0.00 0.00 Net increase in placement funds 0.00 0.00 Cash used to pay interest, fees and commissions 0.00 0.00 Cash paid for policy dividends 0.00 0.00 Cash paid to and for employees 770,765,120.98 658,713,053.08 Various taxes paid 222,096,203.22 210,226,411.86 Cash paid for other operating activities 302,606,294.34 352,745,251.34 Subtotal cash outflow from operating activities 4,569,899,484.68 4,303,519,275.24 Net cash flow generated from operating activities 837,181,168.49 571,758,266.40

2. Cash flow generated from investing activities:

Cash received from recovery of investment 1,801,142,721.68 749,244,264.61 Cash received from investment income 5,020,777.58 1,435,383.94 Disposal of fixed assets, intangible assets and other long-term assets

430,032.39 2,204,573.22 net cash amount recovered from assets

Received from disposal of subsidiaries and other business units

0.00 0.00 Net cash

Other cash received related to investing activities 3,002,091.38 4,000,000.00 Subtotal of cash inflows from investing activities 1,809,595,623.03 756,884,221.77 Purchase and construction of fixed assets, intangible assets and other long-term assets

152,887,144.35 160,892,520.31 Cash paid for assets

Cash paid for investment 1,812,974,867.74 751,078,240.47 Net increase in pledged loans 0.00 0.00 Cash paid for acquisition of subsidiaries and other business units

488,348,447.63 329,327,975.53 Net cash

Payment of other cash related to investing activities 2,532,106.11 2,531,484.84 Subtotal cash outflow from investing activities 2,456,742,565.83 1,243,830,221.15 Net cash flow generated from investing activities -647,146,942.80 -486,945,999.38

3. Cash flow generated from financing activities:

Cash received from investment 253,000.00 7,000,000.00 Including: Income from investment by subsidiaries from minority shareholders

253,000.00 7,000,000.00 cash received

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Cash received from borrowings 734,348,065.00 509,493,309.91 Cash received from other financing activities 0.00 190,020,000.00 Subtotal of cash inflows from financing activities 734,601,065.00 706,513,309.91 Cash paid to repay debts 516,684,948.91 576,757,086.45

Distribution of dividends, profits or repayment of interest payments

81,615,145.25 55,983,674.36 cash

Including: shares paid by subsidiaries to minority shareholders

24,870,000.00 0.00 Profit, profit

Cash payments related to other financing activities 380,819,854.12 429,541,208.64 Subtotal cash outflows from financing activities 979,119,948.28 1,062,281,969.45 Net cash flow generated from financing activities -244,518,883.28 -355,768,659.54

4. The impact of exchange rate changes on cash and cash equivalents

-133,423.32 114,615.73 impact

5. Net increase in cash and cash equivalents -54,618,080.91 -270,841,776.79 Add: opening balance of cash and cash equivalents 322,880,062.67 593,721,839.46

6. Balance of cash and cash equivalents at the end of the period 268,261,981.76 322,880,062.67

7. Cash flow statement of the parent company

Unit: Yuan

Project 2025 2024

1. Cash flow generated from operating activities:

Cash received from selling goods and providing services 1,844,605,241.76 1,588,262,101.00 Tax refunds received 0.00 0.00 Cash received from other operating activities 334,714,224.02 84,695,773.84 Subtotal of cash inflows from operating activities 2,179,319,465.78 1,672,957,874.84 Cash paid for purchasing goods and receiving services 1,524,813,940.38 1,286,076,050.44 Cash paid to and for employees 101,830,135.34 90,451,260.80 Various taxes paid 49,395,423.50 48,906,874.07 Other cash paid related to operating activities 155,806,788.69 220,977,019.63 Subtotal of cash outflows from operating activities 1,831,846,287.91 1,646,411,204.94 Net cash flow generated from operating activities 347,473,177.87 26,546,669.90

2. Cash flow generated from investing activities:

Cash received from recovery of investment 610,172,149.94 418,016,504.01 Cash received from investment income 7,722,364.64 21,710,067.12 Disposal of fixed assets, intangible assets and other long-term assets

166,909.58 1,306,306.46 Net cash amount from asset recovery

Received from disposal of subsidiaries and other business units

0.00 0.00 Net cash

Other cash received related to investing activities 0.00 0.00 Subtotal of cash inflows from investing activities 618,061,424.16 441,032,877.59 Purchase and construction of fixed assets, intangible assets and other long-term assets

97,615,459.58 114,494,719.10 Cash paid for assets

Cash paid for investment 1,088,787,364.10 633,109,970.00 Cash paid for acquisition of subsidiaries and other business units

0.00 0.00 Net cash

Payment of other cash related to investing activities 0.00 0.00 Subtotal cash outflow from investing activities 1,186,402,823.68 747,604,689.10 Net cash flow generated from investing activities -568,341,399.52 -306,571,811.51

3. Cash flow generated from financing activities:

Cash received from investment 0.00 0.00 Cash received from borrowing 297,780,071.00 156,493,104.54

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Other cash received related to financing activities 0.00 0.00 Subtotal of cash inflows from financing activities 297,780,071.00 156,493,104.54 Cash paid to repay debts 124,689,687.27 117,640,945.28 Payments to distribute dividends, profits or pay interest

51,101,512.78 51,131,742.36 cash

Payment of other cash related to financing activities 2,923,153.92 2,806,392.98 Subtotal of cash outflows from financing activities 178,714,353.97 171,579,080.62 Net cash flow generated from financing activities 119,065,717.03 -15,085,976.08

4. The impact of exchange rate changes on cash and cash equivalents

0.00 0.00 Impact

5. Net increase in cash and cash equivalents -101,802,504.62 -295,111,117.69

Add: Balance of cash and cash equivalents at the beginning of the period 204,158,167.51 499,269,285.20

6. Balance of cash and cash equivalents at the end of the period 102,355,662.89 204,158,167.51

7. Consolidated statement of changes in owners’ equity

Amount of current period

Unit: Yuan

2025

Owner's equity attributable to parent company

all

minority

Item Other equity instruments Less: Other general undivided shareholder capital special surplus shareholders

Equity, preferred shares, permanent debts, other reserves, stock deposits, comprehensive collection

benefit

Reserves, public reserves, risk quasi-risks

Prepare

Distribution Profit Other Subtotal Equity Profit Total

1. 400, 977, 43,9 583, 2,00 55,1 2,06Previous year 010, 861, 34,6 483, 5,28 44,8 0,43End of period 000. 267. 98.4 944. 9,91 39.6 4,74Balance 00 71 8 14 0.33 4 9.97

add

: Yes

Planning and policy 0.00 0.00 0.00Policy change

Update

before

period difference

0.00 0.00 0.00 Wrong update

Right

its

0.00 0.00 0.00him

2. 400, 977, 43,9 583, 2,00 55,1 2,06 this year 010, 861, 34,6 483, 5,28 44,8 0,43

0.00 0.00 0.00 0.00 0.00 0.00 0.00

Beginning of the period 000. 267. 98.4 944. 9,91 39.6 4,74 Balance 00 71 8 14 0.33 4 9.97

3.

This issue

increase or decrease

-

Change 12,1 140, 91,6 10,9 102,

61,0

Amount 96,7 555, 87,6 81,4 669,

0.00 0.00 0.00 0.00 64,2 0.00 0.00 0.00 0.00

(Minus 73.2 105. 16.5 46.2 062.

62.6

Shaoyi 6 90 5 7 82 "-

"No.

fill in

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

column)

(a

191, 192, 22,5 215,) 1,40

352, 752, 13,9 266, combined 0.00 0.00 0.00 0.00 0.00 0.00 0,21 0.00 0.00 0.00

661. 879. 70.6 849. Yi Zong 7.49

67 16 0 76 amount

(two

) - - -

13,3

Have 61,0 61,0 47,7

37,4

Input 0.00 0.00 0.00 0.00 64,2 0.00 0.00 0.00 0.00 0.00 0.00 64,2 26,7

75.6

Sum minus 62.6 62.6 86.9 Less Capital 1 1 4

1．

All 22,2 22,2 vote 97,0 97,0

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Income 59.6 59.6 Ordinary 8 8 shares

2.

Others

Equity

Tools

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00Hold

bettors

Investment

Ben

3．

shares

pay

credited

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00All

rights

beneficial

Amount

---

61,0 61,0 70,0 4． 8,95

0.00 0.00 0.00 0.00 64,2 0.00 0.00 0.00 0.00 0.00 0.00 64,2 23,8Others 9,58

62.6 62.6 46.6 4.01

1 1 2

• • • • (Three - 12,1

52,0 40,0 24,8 64,8) Profit 156, 96,7

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 41,4 01,0 70,0 71,0profit 359. 73.2

13.4 00.0 00.0 00.0match 86 6

0 0 0 0

-

1． - 12,1

12,0

Extract 156, 96,7

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 40,4 0.00 0.00 0.00 Surplus 359. 73.2

13.4

Public area 86 6

2.

Extract

General 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00Risk

Prepare

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

3．

Right

• • • -Those who have

40,0 40,0 24,8 64,8 (or

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 01,0 01,0 70,0 71,0 shares

00.0 00.0 00.0 00.0east)

0 0 0 0 points

Match

4．

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00Others

(four

) -

1,24Those who have 1,24

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 3,85 0.00 0.00 0.00Equity 3,85

7.63 Internal 7.63 Carryover

1．

capital

public area

Transfer to increase

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00Capital

(or

shares

this)

2.

surplus

public area

Transfer to increase

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00Capital

(or

shares

this)

3．

surplus

Reserve 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Make up

Loss

4．

Settings

benefit

plan

Change 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Balance

transfer

Deposit and receive

benefit

5.

Others

-Combined 1,24

1,24Profit 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 3,85 0.00 0.00 0.00

3,85 carried forward 7.63

7.63 Retention

income

6． 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Others

(five

)Specialized

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 item storage

Prepare

1．

Current period 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00Withdrawal

2.

This issue 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Use

(six

) its 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00he

4. 400, 916, 56,1 724, 2,09 66,1 2,16This period 010, 797, 31,4 039, 6,97 26,2 3,10

0.00 0.00 0.00 0.00 0.00 0.00 0.00

Ending of the period 000. 005. 71.7 050. 7,52 85.9 3,81 Balance 00 10 4 04 6.88 1 2.79 Amount of the previous period

Unit: Yuan

2024

Owner's equity attributable to parent company

all

minority

Item Other equity instruments Less: Other general undivided shareholder capital special surplus shareholders

Equity, preferred shares, permanent debts, other reserves, stock deposits, comprehensive collection

benefit

Reserves, public reserves, risk quasi-risks

Prepare

Distribution Profit Other Subtotal Equity Profit Total

1. 400, 1,01 31,3 498, 1,94 32,9 1,97Previous year 010, 4,13 00,2 085, 3,53 96,9 6,53End of period 000. 7,34 92.7 491. 3,12 90.2 0,11Balance 00 3.23 6 05 7.04 5 7.29

add

: Yes

Planning 0.00

policy change

Update

before

period difference

0.00

Wrong update

Right

its

0.00

him

2. 400, 1,01 31,3 498, 1,94 32,9 1,97 This year 010, 4,13 00,2 085, 3,53 96,9 6,53 Beginning of the period 000. 7,34 92.7 491. 3,12 90.2 0,11 Balance 00 3.23 6 05 7.04 5 7.29

3.

This issue -

12,6 85,3 61,7 22,1 83,9 Increase or decrease 36,2

34,4 98,4 56,7 47,8 04,6Change 76,0

05.7 53.0 83.2 49.3 32.6Amount 75.5

2 9 9 9 8 (minus 2

less

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

"-

"No.

fill in

column)

(a

137, 138, 14,5 152,) 334,

699, 033, 59,5 593, total 330.

528. 858. 76.5 435. Yi Zong 00

81 81 0 31 amount

(two

) - - - Owners 36,2 36,2 7,58 28,6 Investment 76,0 76,0 8,27 87,8 and minus 75.5 75.5 2.89 02.6 Less capital 2 2 3

1．

All 15,1 15,1 vote 57,2 57,2

0.00

Income 45.3 45.3 Ordinary 6 6 shares

2.

Others

Equity

Tools

0.00

hold

bettors

Investment

Ben

3．

shares

pay

credited

0.00

all

rights

beneficial

Amount

---

36,2 36,2 43,8 4. 7,56

76,0 76,0 45,0Others 8,97

75.5 75.5 47.9 2.47

2 2 9

• • • (Three - 12,6

52,6 40,0 40,0) Profit 33,4 34,4

01,9 01,0 01,0 profit 33.0 05.7

72.7 00.0 00.0match 0 2

2 0 0

-

1. • 12,6

12,6

Extract 33,4 34,4

00,9 0.00

Surplus 33.0 05.7

72.7

Public area 0 2

2.

0.00

Extract

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Average

risk

Prepare

3.

Right

• • -Those who have

40,0 40,0 40,0 (or

01,0 01,0 01,0 shares

00.0 00.0 00.0east)

0 0 0 points

Match

4.

0.00Other

(four

) -

300, those who have 300,

897. 0.00 Equity 897. Internal 00 Carryover

capital

public area

Transfer to increase

0.00 capital

(or

shares

this)

2.

surplus

public area

Transfer to increase

0.00 capital

(or

shares

this)

3.

surplus

Reserve 0.00 to make up

Loss

4.

Settings

benefit

plan

Change 0.00 balance

transfer

Deposit and receive

benefit

5.

Others -

300, comprehensive 300,

897. 0.00 Income 897. Carryover 00 Retention

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

income

6．

0.00

Others

(five

)Specialized

0.00

Xiang Chu

Prepare

1.

0.00 for this period

Extract

2.

0.00 for this period

use

(six

) its 0.00

him

4. 400, 977, 43,9 583, 2,00 55,1 2,06Current period 010, 861, 34,6 483, 5,28 44,8 0,43End of period 000. 267. 98.4 944. 9,91 39.6 4,74Balance 00 71 8 14 0.33 4 9.97

5. Statement of changes in owner’s equity of the parent company

Amount of current period

Unit: Yuan

2025

Other equity instruments All

Less: Others not divided

Project Capital Special Surplus Owner's Equity Priority Perpetual Inventory Comprehensive Distribution Others

Other public reserves, reserves, equity joint ventures, bonds, shares, profits

plan

1. 1,038 1,838

400,0 43,93 355,4

Last year ,727, ,083,

10,00 4,698 11,28

End of period 527.5 512.3

0.00 .48 6.32

Balance 3 3

add

: Yes

Planning and administration

policy change

Update

before

period difference

Wrong update

Right

its

him

2. 1,038 1,838

400,0 43,93 355,4

This year ,727, ,083,

10,00 4,698 11,28

Beginning of the period 527.5 512.3

0.00 .48 6.32

Balance 3 3

3. 12,19 69,76 81,96This period 6,773 9,959 6,732

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Increase or decrease .26 .36 .62 change

Amount

(minus

less

"-

"No.

fill in

column)

(a

) Comprehensive 1,563 120,4 121,9 Total income ,598. 04,13 67,73 Total income 63 3.99 2.62

(two

) place

Those who have

invest

and minus

Little capital

Ben

1. place

Those who have

invest

of Pu

common stock

2. its

other rights

YiGong

hold

Those who have

invest

capital

3. shares

branches

pay plan

Enter the place

Those who have

Equity

of gold

Um

4. its

him

(Three - -

• 12,19

) profit 52,04 40,00

156,3 6,773

Profit points 1,413 1,000

59.86 .26

With .40 .00

1. mention -

• 12,19

Take profit 12,04

156,3 6,773

Mr. Yu 0,413

59.86 .26

Accumulation .40

• • 2． Yes

40,00 40,00All

1,000 1,000

.00 .00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(or shares

East) distribution

3. Others

(4) Office -

1,407 owners 1,407

,238. Equity ,238. Internal 77 carryover

1. Capital reserve converted into capital

(or shares

this)

2. Conversion of surplus reserves into capital

(or shares

this)

3. Surplus reserve to cover losses

4. Changes in defined benefit plans are carried forward to retained earnings

5. Other comprehensive

-Collection 1,407

1,407 profit knots, 238.

,238. Transfer and retain 77 deposit income

6． Others

(5) Special storage

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Prepare

1. Ben

Periodic withdrawal

take

2. Ben

envoy

use

(six

) its

him

4. 1,038 1,920

400,0 56,13 425,1

This issue ,727, ,050,

10,00 1,471 81,24

End of period 527.5 244.9

0.00 .74 5.68

Balance 3 5

Amount of last period

Unit: Yuan

2024

Other equity instruments All

Less: Others not divided

Project Capital Special Surplus Owner's Equity Priority Perpetual Inventory Comprehensive Distribution Others

Other public reserves, reserves, equity joint ventures, bonds, shares, profits

plan

1. 1,038 1,751

400,0 31,30 281,7

Previous year ,727, ,740,

10,00 0,292 02,63

End of period 527.5 455.1

0.00 .76 4.87

Balance 3 6

add

: Yes

Planning and administration

policy change

Update

before

period difference

Wrong update

Right

its

him

2. 1,038 1,751

400,0 31,30 281,7

This year ,727, ,740,

10,00 0,292 02,63

Beginning of the period 527.5 455.1

0.00 .76 4.87

Balance 3 6

3.

This issue

increase or decrease

change

Amount 12,63 73,70 86,34 (minus 4,405 8,651 3,057 less than .72 .45 .17 “-

"No.

fill in

column)

(One 334,3 126,0 126,3

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

) Comprehensive 30.00 09,72 44,05 Comprehensive 7.17 7.17Yizong

Um

(two

) place

Those who have

invest

and minus

Little capital

Ben

1． place

Those who have

invest

of Pu

common stock

2. its

other rights

YiGong

hold

Those who have

invest

capital

3． shares

branches

pay plan

Enter the place

Those who have

Equity

of gold

Um

4． its

him

(Three - -

• 12,63

) profit 52,60 40,00

33,43 4,405

Profit points 1,972 1,000

3.00 .72

With .72 .00

1． mention -

• 12,63

Take profit 12,60

33,43 4,405

Mr. Yu 0,972

3.00 .72

Accumulation .72

2. Yes

all

• • (or 40,00 40,00 shares 1,000 1,000 shares) .00 .00 cents

Match

3． its

him

(Four -

300,8) 300,8

97.00Those who have 97.00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Internal transfer of equity

1． Conversion of capital reserves to capital (or share capital)

2. Conversion of surplus reserves to capital (or share capital)

3． Surplus reserve to cover losses

4． Changes in defined benefit plans are carried forward to retained earnings

5. Other comprehensive income -

300,8 profit knot 300,8

97.00 transfer to deposit 97.00 deposit income

6． Others

(5) Special reserves

1． Extract this period

2. Used in this issue

(6) Others

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

4. 1,038 1,838

400,0 43,93 355,4

This issue ,727, ,083,

10,00 4,698 11,28

End of period 527.5 512.3

0.00 .48 6.32

Balance 3 3

3. Basic situation of the company

(1) Company profile

Anhui Huaren Health Pharmaceutical Co., Ltd. (hereinafter referred to as the "Company" or the "Company") is a joint-stock company established by Anhui Huaren Pharmaceutical Operations Co., Ltd. on January 20, 2014. It has obtained a business license with the unified social credit code "91340100730002825G" issued by the Hefei Administration for Industry and Commerce. According to the China Securities Regulatory Commission's Securities Regulatory Commission Document No. 2406 [2022] "Reply on the Approval of the Registration for the Initial Public Offering of Anhui Huaren Health Pharmaceutical Co., Ltd.", the company was approved to issue 60.01 million RMB common A shares to the public, with a par value of RMB 1 per share. The company's shares were listed for trading on the GEM of the Shenzhen Stock Exchange on March 1, 2023. As of December 31, 2025, the company's share capital was RMB 400,010,000.00.

The company belongs to the retail and wholesale industry, and its main business scope includes: licensed projects: pharmaceutical wholesale; pharmaceutical consignment production; pharmaceutical Internet information services; food sales; food Internet sales; third-class medical device operations; disinfection equipment sales; medical device Internet information services; urban distribution and transportation services (excluding dangerous goods) pesticide wholesale (projects subject to approval according to law, business activities can only be carried out after approval by relevant departments, specific business projects are subject to approval documents from relevant departments) Or license shall prevail) General items: purchase and sale of real estate Chinese herbal medicine (excluding Chinese herbal pieces); sales of first-class medical equipment; sales of second-class medical equipment; sales of disinfectants (excluding hazardous chemicals); sales of sanitary pesticides; sales of infant formula milk powder and other infant formula foods; sales of maternal and infant products; sales of daily necessities; sales of daily necessities; wholesale of stationery; wholesale of cosmetics; sales of household appliances; wholesale of kitchenware, sanitary ware and daily miscellaneous goods; wholesale of edible agricultural products; Sales of agricultural and sideline products; wholesale of sporting goods and equipment; sales of gold and silver products; wholesale of jewelry; sales of hairdressing accessories; wholesale of shoes and hats; wholesale of clothing and apparel; sales of needlework and textiles; sales of outdoor products; sales of electronic products; wholesale of hardware products; sales of electric bicycles; wholesale of bicycles and spare parts; wholesale of pet food and supplies; sales of cameras and equipment; sales of toys; sales of packaging materials and products; Internet sales (except for goods that require a license); general goods Warehousing services (excluding hazardous chemicals and other items requiring license approval); loading and unloading; business management consulting; health consulting services (excluding diagnosis and treatment services); information technology consulting services; conference and exhibition services; business agency services; non-residential real estate leasing; housing leasing; advertising design and agency; advertising release; advertising production; sales of sanitary products and disposable medical supplies (except for licensed businesses, projects that are not prohibited or restricted by laws and regulations can be independently operated in accordance with the law)

(2) Scope of consolidated financial statements

As of the end of the reporting period, the Company had 178 subsidiaries included in the scope of consolidation. For details on the scope of the consolidated financial statements and its changes during the reporting period, please refer to "IX. Changes in the scope of consolidation" and "10. Equity in other entities" of this note.

4. Basis for preparation of financial statements

1. Basics of preparation

The Company's financial statements are based on the going concern assumption, based on actual transactions and events, in accordance with the "Accounting Standards for Business Enterprises - Basic Standards" and various specific accounting standards promulgated by the Ministry of Finance, as well as the Application Guidelines for Accounting Standards for Business Enterprises, Interpretations of Accounting Standards for Business Enterprises and other regulations, and are prepared based on the important accounting policies and accounting estimates mentioned in point 5 below.

2. Continued operations

The Company evaluates that there are no major doubtful factors or matters regarding its ability to continue operating in the 12 months from the end of the reporting period.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

5. Important accounting policies and accounting estimates

Specific accounting policies and accounting estimation tips:

Based on the actual production and operation characteristics and the provisions of relevant accounting standards for enterprises, the Company has formulated a number of specific accounting policies and accounting estimates for transactions and events such as income. For details, please see the various descriptions of "Income" in Note 3. (27). For descriptions of significant accounting judgments and estimates made by management, please refer to the descriptions in Note 3.

1. Statement on compliance with corporate accounting standards

The financial statements prepared by the Company comply with the requirements of the Accounting Standards for Business Enterprises and truly and completely reflect the Company’s financial status, operating results, cash flow, etc.

information.

2. Accounting period

A fiscal year is from January 1 to December 31 of the Gregorian calendar.

3. Business cycle

The company uses 12 months as an operating cycle and uses it as the liquidity classification standard for assets and liabilities.

4. Accounting standard currency

RMB is used as the standard accounting currency.

5. Determination method and selection basis of importance standards

Applicable □Not applicable

Project Materiality Criteria

Important projects under construction with an amount ≥ RMB 10 million

Important individual accounts receivable with bad debt provision amount ≥ RMB 10 million

The write-off of important accounts receivable in the current period is ≥ RMB 10 million

Important non-wholly-owned subsidiaries The income of non-wholly-owned subsidiaries accounts for ≥10% of the group’s total revenue

The book value of long-term equity investment in a single invested unit accounts for more than 1% of the consolidated net assets, and important joint ventures or associates

Or investment profits and losses under the long-term equity investment equity method account for more than 2.5% of the consolidated net profit.

6. Accounting treatment methods for business combinations under the same control and those not under the same control

The Company determines a transaction or event in which two or more separate enterprises merge to form a reporting entity as a business merger. Business mergers are divided into two types: business combinations under the same control and business combinations not under the same control. Its accounting treatment is as follows:

1. Accounting treatment of business mergers under common control on the merger date

(1) One transaction realizes the merger of enterprises under the same control

For business combinations under common control, the merging party shall measure the initial investment cost of the long-term equity investment based on the share of the book value of the combined party's owners' equity in the final controlling party's consolidated statements on the date of merger. The difference between the initial investment cost of the long-term equity investment of the merging party and the book value of the merger consideration paid (or the total face value of the shares issued) shall be adjusted to the capital reserve; if the capital reserve is insufficient for offset, the retained earnings shall be adjusted. The direct related expenses incurred by the merging party for the business combination are included in the current profits and losses.

(2) Multiple transactions realize the merger of enterprises under the same control step by step

If the merger of enterprises under the same control is realized in stages through multiple transactions, in the financial statements of the parent company, the share of the book value of the owner's equity of the merged party in the final controlling party's consolidated statement is calculated based on the newly added shareholding ratio at the merger date and time as the initial investment cost of the investment. The difference between the initial investment cost and the book value of the original long-term equity investment plus the book value of the new payment for further equity on the merger date will be adjusted to the capital reserve (equity premium). If the capital reserve is insufficient for offset, the retained earnings will be adjusted.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

In the consolidated financial statements, the parties involved in the merger shall be deemed to prepare the consolidated statements for the earliest period in which comparative data are retrospectively adjusted when the ultimate controlling party begins to control. The relevant assets and liabilities of the merged party are merged into the consolidated financial statements and the increase in net assets is adjusted to the "capital reserve" item under the owner's equity. At the same time, the equity investment held by the merging party before obtaining control of the merged party and the merging party and the merged party are under the same party's final control, whichever is later, and other comprehensive income have been recognized from the later date to the merger date, and other comprehensive income has been partially offset against the retained earnings at the beginning of the consolidated statement or the current profit and loss, except for other comprehensive income arising from the remeasurement of the net liabilities of the defined benefit plan or changes in net assets by the merged party.

2. Accounting treatment of business combinations not under common control on the acquisition date

(1) One transaction realizes the merger of enterprises not under common control

For business combinations not under common control, the combination cost is the fair value of the assets paid, liabilities incurred or assumed, and equity securities issued by the purchaser on the purchase date to obtain control of the purchased party. All direct related expenses incurred by the purchaser for the business combination are included in the current profits and losses. If there is an agreement in the merger contract on future events that may affect the merger costs, if it is estimated that the future events are likely to occur on the purchase date and the amount of the impact on the merger costs can be measured reliably, they will also be included in the merger costs.

The identifiable assets, liabilities and contingent liabilities of the acquiree that meet the recognition conditions and are acquired in a business combination not under common control are measured at fair value on the acquisition date. The difference between the merger cost and the fair value of the acquiree's identifiable net assets obtained in the merger is recognized as goodwill by the buyer. If the purchaser's merger cost is less than the fair value share of the acquiree's identifiable net assets obtained in the merger, and after review, the difference that the merger cost is still less than the fair value share of the acquiree's identifiable net assets obtained in the merger shall be included in the current profit and loss.

(2) Multiple transactions realize the merger of enterprises not under common control in stages

If the merger of enterprises not under common control is realized in stages through multiple transactions, in the financial statements of the parent company, the sum of the book value of the equity investment in the purchased party held before the purchase date and the new investment cost on the purchase date shall be used as the initial investment cost of the investment; if the equity of the purchased party held before the purchase date involves other comprehensive income, the other comprehensive income related to it shall be transferred to the investment income of the current period when the investment is disposed of, except for other comprehensive income arising from changes in the net liabilities or net assets of the defined benefit plan re-measured by the purchased party.

In the consolidated financial statements, the equity of the purchased party held before the purchase date is remeasured according to the fair value of the equity on the purchase date, and the difference between the fair value and its book value is included in the investment income of the current period; if the equity of the purchased party held before the purchase date involves other comprehensive income, the other comprehensive income related to it should be converted into the investment income of the current period on the purchase date. At the same time, the sum of the fair value of the acquired party's equity held before the acquisition date on the acquisition date and the consideration paid for the newly purchased equity on the acquisition date is regarded as the merger cost. The difference between the merger cost and the fair value share of the acquiree's identifiable net assets obtained on the acquisition date is recognized as goodwill or the current profit and loss of the merger.

3. Accounting treatment method for step-by-step disposal of subsidiary equity until loss of control

(1) The principle of judging whether each transaction in the process of step-by-step disposal of equity until the loss of control belongs to the "package transaction"

When the terms, conditions and economic impact of various transactions related to the disposal of equity investments in subsidiaries meet one or more of the following circumstances, multiple transactions will be accounted for as a package deal. Specific principles:

1. These transactions were entered into at the same time or with consideration of mutual effects;

2. These transactions as a whole can achieve a complete business result;

3. The occurrence of a transaction depends on the occurrence of at least one other transaction;

4. A transaction is uneconomical on its own but is economical when considered together with other transactions.

(2) Accounting treatment methods for various transactions from the step-by-step disposal of equity to the loss of control that are part of a "package transaction"

For a "package transaction" involving the step-by-step disposal of equity until the loss of control, each transaction should be accounted for as a transaction in which the subsidiary is disposed of and control is lost. The specific accounting treatment methods in the parent company's financial statements and consolidated financial statements are as follows:

In the financial statements of the parent company, the difference between the price of each disposal and the book value corresponding to the investment disposed is recognized as other comprehensive income, and when control is lost, it is transferred to the current profit and loss for the loss of control; the remaining equity after losing control is recognized as long-term equity investment or other related financial assets according to its book value. If the remaining equity after losing control can jointly control or significantly influence the original subsidiary, accounting treatment will be carried out according to the relevant provisions of the equity method.

In the consolidated financial statements, for each transaction before losing control, the difference between the disposal price and the share of the subsidiary's net assets corresponding to the disposal investment is recognized as other comprehensive income in the consolidated statements; when control is lost, it is also transferred to the profit and loss of the current period when control is lost. The remaining equity will be remeasured according to its fair value on the date when control is lost. The difference between the sum of the consideration obtained for disposing of the equity and the fair value of the remaining equity, minus the share of the original subsidiary's net assets calculated continuously from the date of purchase based on the original shareholding ratio, will be included in the investment income in the period when control is lost. Equity investment with original subsidiaries

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Other comprehensive income related to capital will be converted into current investment income when control is lost. This excludes other comprehensive income arising from changes in the net liabilities or net assets of the defined benefit plan remeasured by the atomic company.

(3) Accounting treatment methods for various transactions from step-by-step disposal of equity to loss of control that are not “package transactions”

For each transaction before losing control, the difference between the disposal price and the book value corresponding to the disposal investment is recognized as investment income for the current period in the parent company's financial statements; in the consolidated financial statements, the difference between the disposal price and the share of the subsidiary's net assets corresponding to the disposal investment is included in the capital reserve (capital premium). If the capital premium is insufficient to offset, the retained earnings are adjusted.

For transactions when control is lost, in the financial statements of the parent company, for the equity disposed, the difference between the disposal price and the book value corresponding to the investment disposed is recognized as investment income for the current period; at the same time, for the remaining equity, the book value is recognized as long-term equity investment or other related financial assets. If the remaining equity after disposal can exercise joint control or significant influence on the original subsidiary, accounting treatment will be carried out in accordance with the relevant regulations on converting the cost method to the equity method. In the consolidated financial statements, the remaining equity is remeasured according to its fair value on the date when control is lost. The difference between the sum of the consideration obtained for disposing of the equity and the fair value of the remaining equity, minus the share of the original subsidiary's net assets calculated continuously from the date of purchase based on the original shareholding ratio, shall be included in the investment income in the period when control is lost. Other comprehensive income related to the equity investment in the original subsidiary will be converted into current investment income when control is lost. This excludes other comprehensive income arising from changes in the net liabilities or net assets of the defined benefit plan remeasured by the atomic company.

7. Judgment standards for control and preparation methods of consolidated financial statements

The company determines the scope of consolidation based on control. Subsidiaries with substantial control will be included in the consolidated financial statements. Control means that the company has power over the investee, enjoys variable returns by participating in the investee's related activities, and has the ability to use its power over the investee to affect the amount of its returns.

The company's consolidated financial statements are prepared in accordance with the requirements of "Accounting Standards for Business Enterprises No. 33 - Consolidated Financial Statements" and relevant regulations. All significant internal transactions and transactions within the scope of consolidation are eliminated during consolidation. The portion of the subsidiary's shareholders' equity that is not owned by the parent company is presented separately in the consolidated financial statements as minority shareholders' equity.

If the accounting policies or accounting periods adopted by a subsidiary and the Company are inconsistent, when preparing consolidated financial statements, necessary adjustments will be made to the financial statements of the subsidiary in accordance with the Company's accounting policies or accounting periods.

For subsidiaries acquired through business mergers not under common control, when preparing consolidated financial statements, adjustments are made to their individual financial statements based on the fair value of identifiable net assets on the date of purchase; for subsidiaries acquired through business mergers under common control, the business merger is deemed to have occurred at the beginning of the current merger period, and its assets, liabilities, operating results and cash flows will be included in the consolidated financial statements from the beginning of the current merger period.

8. Classification of joint arrangements and accounting treatment methods for joint operations

The Company identifies an arrangement that is jointly controlled by two or more participants as a joint arrangement. When the participant is a party under joint control, it is defined as a joint venture party in the joint venture arrangement; otherwise, it is defined as a non-joint venture party in the joint venture arrangement.

Joint arrangements are classified into two types: joint operations or joint ventures based on whether the joint venture parties enjoy the rights to the relevant assets of the arrangement and bear relevant liability obligations, or whether they only have rights to the net assets of the arrangement.

(1) Accounting treatment method for joint operations

As a joint venture party in a joint operation, the company shall confirm the following items related to its interest share in the joint operation, and conduct accounting treatments in accordance with the relevant accounting standards for enterprises: ① Confirm the assets held individually, and recognize the assets held jointly according to its share; ② Confirm the liabilities borne individually ③ Recognize the income generated from the sale of its share of the joint operation output; ④ Recognize the income generated by the joint operation from the sale of output according to its share; ⑤ Recognize the expenses incurred individually, and recognize the expenses incurred by the joint operation according to its share.

The Company's accounting treatment for non-joint parties in joint operations is based on the above-mentioned joint ventures.

(2) Accounting treatment methods for joint ventures

As a joint venture party, the Company shall conduct accounting and accounting treatment in accordance with the relevant provisions of the "Accounting Standards for Business Enterprises No. 2 - Long-term Equity Investment".

9. Determination standards for cash and cash equivalents

The cash determined by the company when preparing the cash flow statement refers to the company's cash on hand and deposits that can be used for payment at any time.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The cash equivalents determined by the company when preparing the cash flow statement refer to investments held by the company with short term, strong liquidity, easy conversion into known amounts of cash, and low risk of value changes.

10. Foreign currency business and foreign currency statement conversion

11. Foreign currency business conversion

For foreign currency business, the spot exchange rate on the date of transaction is used as the conversion rate to convert the foreign currency amount into RMB for accounting.

Foreign currency monetary items on the balance sheet date are converted at the spot exchange rate on the balance sheet date. The exchange differences arising from the difference between the spot exchange rate on that day and the spot exchange rate on initial recognition or on the previous balance sheet date are included in the current profit and loss, except for the exchange differences on special foreign currency borrowings that meet the capitalization conditions, which are capitalized and included in the cost of related assets during the capitalization period.

Foreign currency non-monetary items measured at historical cost are still converted using the spot exchange rate on the date of the transaction, and their recording currency amount does not change. Foreign currency non-monetary items measured at fair value are converted using the spot exchange rate on the date when the fair value is determined. The difference between the converted accounting functional currency amount and the original accounting functional currency amount is treated as a change in fair value (including exchange rate changes), and is included in the current profit and loss or recognized as other comprehensive income.

2. Conversion of foreign currency financial statements

If the company's controlled subsidiaries, joint ventures, associates, etc. use a different accounting currency than the company, their foreign currency financial statements must be converted before accounting and preparation of consolidated financial statements.

The asset and liability items in the balance sheet are translated using the spot exchange rate on the balance sheet date. Owner's equity items, except for the "undistributed profits" items, are translated using the spot exchange rate at the time of occurrence. Income and expense items in the income statement are translated using the annual average exchange rate. The translation difference of foreign currency financial statements resulting from the translation shall be presented separately under the owner's equity item in the balance sheet.

Foreign currency cash flows are determined in accordance with a systematic and reasonable method and are converted using an exchange rate that approximates the spot exchange rate on the date of transaction. The impact of exchange rate changes on cash is presented separately in the cash flow statement.

When an overseas operation is disposed of, the translation difference of foreign currency statements related to the overseas operation shall be transferred to the current profit and loss of the disposal in full or in proportion to the disposal of the overseas operation.

11. Financial instruments

The Company recognizes a financial asset or financial liability when it becomes a party to a financial instrument contract.

The effective interest rate method refers to the method of calculating the amortized cost of financial assets or financial liabilities and allocating interest income or interest expenses into each accounting period. The actual interest rate refers to the interest rate used to discount the estimated future cash flows of a financial asset or financial liability during the expected duration of the financial asset or the amortized cost of the financial liability. When determining the actual interest rate, the expected cash flow is estimated based on all contractual terms of the financial asset or financial liability (such as early repayment, extension, call options or other similar options, etc.), but expected credit losses are not considered.

The amortized cost of a financial asset or financial liability is the initial recognition amount of the financial asset or financial liability minus the repaid principal, plus or minus the cumulative amortization amount formed by amortizing the difference between the initial recognition amount and the maturity amount using the effective interest method, and then deducting the accumulated loss provisions (only applicable to financial assets).

1. Classification, recognition and measurement of financial assets

The Company divides financial assets into the following three categories based on the business model of the financial assets under management and the contractual cash flow characteristics of the financial assets:

(1) Financial assets measured at amortized cost.

(2) Financial assets measured at fair value with changes included in other comprehensive income.

(3) Financial assets measured at fair value with changes included in current profits and losses.

Financial assets are measured at fair value upon initial recognition. However, if accounts receivable or notes receivable arising from the sale of goods or provision of services do not contain a significant financing component or do not consider the financing component that does not exceed one year, they will be initially measured based on the transaction price.

For financial assets measured at fair value and whose changes are included in the current profit and loss, the relevant transaction costs are directly included in the current profit and loss, and the relevant transaction costs of other types of financial assets are included in their initial recognition amount.

The subsequent measurement of financial assets depends on their classification. If and only if the company changes the business model of managing financial assets, all affected related financial assets will be reclassified.

(1) Financial assets classified as measured at amortized cost

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

If the contractual terms of a financial asset stipulate that the cash flow generated on a specific date is only the payment of principal and interest based on the outstanding principal amount, and the business model for managing the financial asset is to collect contractual cash flow as the goal, then the company will classify the financial asset as a financial asset measured at amortized cost. Financial assets classified by the Company as measured at amortized cost include monetary funds, notes receivable, accounts receivable, other receivables, debt investments and long-term receivables, etc. The Company adopts the actual interest rate method to recognize interest income on such financial assets, and conducts subsequent measurement at amortized cost. Gains or losses arising from impairment or derecognition or modification shall be included in the current profit and loss. Except for the following circumstances, the Company calculates and determines interest income based on the book balance of financial assets multiplied by the actual interest rate: ① For purchased or originated financial assets that have suffered credit impairment, the Company determines its interest income based on the amortized cost of the financial asset and the credit-adjusted actual interest rate from the initial recognition.

② For purchased or originated financial assets that have not been credit-impaired but have become credit-impaired in the subsequent period, the Company will calculate and determine its interest income based on the amortized cost and actual interest rate of the financial asset in the subsequent period. If the financial instrument no longer has credit impairment due to its credit risk improvement in the subsequent period, the company will calculate and determine interest income by multiplying the actual interest rate by the book balance of the financial asset.

(2) Financial assets classified as measured at fair value with changes included in other comprehensive income

If the contractual terms of a financial asset stipulate that the cash flows generated on a specific date are only the payment of principal and interest based on the outstanding principal amount, and the business model for managing the financial asset aims at both collecting contractual cash flows and selling the financial asset, then the Company classifies the financial asset as a financial asset measured at fair value with changes included in other comprehensive income.

The Company uses the effective interest rate method to recognize interest income on such financial assets. Except for interest income, impairment losses and exchange differences, which are recognized as current profits and losses, other changes in fair value are included in other comprehensive income. When the financial asset is derecognised, the accumulated gains or losses previously included in other comprehensive income are transferred out of other comprehensive income and included in the current profit and loss.

Notes receivable and accounts receivable measured at fair value with changes included in other comprehensive income are presented as receivable financing, and other such financial assets are presented as other debt investments. Among them: other debt investments due within one year from the balance sheet date are presented as non-current assets due within one year, and other debt investments with original maturity dates within one year are presented as other current assets.

(3) Financial assets designated as measured at fair value with changes included in other comprehensive income

At the time of initial recognition, the Company may irrevocably designate non-trading equity instrument investments as financial assets measured at fair value with changes included in other comprehensive income on a single financial asset basis.

Changes in the fair value of such financial assets are included in other comprehensive income, and no impairment provisions are required. When the financial asset is derecognised, the accumulated gains or losses previously included in other comprehensive income are transferred out of other comprehensive income and included in retained earnings.

During the period when the company holds the equity instrument investment, when the company's right to receive dividends has been established, the economic benefits related to the dividends are likely to flow into the company, and the amount of dividends can be reliably measured, dividend income is recognized and included in the current profit and loss. The Company reports such financial assets under other equity instrument investment items. If an equity instrument investment meets one of the following conditions, it is a financial asset measured at fair value and its changes are included in the current profit and loss: the purpose of acquiring the financial asset is mainly for the recent sale; when initially recognized, it is part of a portfolio of identifiable financial assets under centralized management, and there is objective evidence that there is an actual short-term profit model in the near future; it is a derivative instrument (except for derivatives that meet the definition of a financial guarantee contract and are designated as effective hedging instruments).

(4) Financial assets classified as measured at fair value and changes included in current profits and losses

Financial assets that do not meet the conditions for classification as financial assets measured at amortized cost or at fair value through other comprehensive income, and are not designated as measured at fair value through other comprehensive income, are classified as financial assets at fair value through profit or loss for the current period.

The Company uses fair value for subsequent measurement of such financial assets, and includes gains or losses arising from changes in fair value as well as dividends and interest income related to such financial assets into current profits and losses.

The Company presents such financial assets in trading financial assets and other non-current financial assets based on their liquidity.

(5) Financial assets designated as measured at fair value and changes included in current profits and losses

At the time of initial recognition, in order to eliminate or significantly reduce accounting mismatches, the company can irrevocably designate financial assets as financial assets measured at fair value and whose changes are included in current profits and losses on a single financial asset basis.

If a hybrid contract contains one or more embedded derivatives, and its main contract does not belong to the above financial assets, the company may designate the entire contract as a financial instrument measured at fair value with changes included in current profits and losses. Except for the following circumstances:

① Embedded derivatives will not significantly change the cash flows of hybrid contracts.

② When initially determining whether a similar hybrid contract needs to be split, it requires little analysis to make it clear that the embedded derivatives it contains should not be split. For example, the prepayment right embedded in the loan allows the holder to repay the loan in advance at an amount close to the amortized cost, and the prepayment right does not need to be split.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The Company uses fair value for subsequent measurement of such financial assets, and includes gains or losses arising from changes in fair value as well as dividends and interest income related to such financial assets into current profits and losses.

The Company presents such financial assets in trading financial assets and other non-current financial assets based on their liquidity.

2. Classification, recognition and measurement of financial liabilities

The company classifies the financial instrument or its components as financial liabilities or equity instruments upon initial recognition based on the contractual terms of the financial instruments issued and the economic substance reflected rather than just the legal form, combined with the definitions of financial liabilities and equity instruments. Financial liabilities are classified upon initial recognition as: financial liabilities at fair value through profit or loss, other financial liabilities, and derivatives designated as effective hedging instruments.

Financial liabilities are measured at fair value upon initial recognition. For financial liabilities measured at fair value and whose changes are included in the current profit and loss, the relevant transaction costs are directly included in the current profit and loss; for other types of financial liabilities, the relevant transaction costs are included in the initial recognition amount.

The subsequent measurement of financial liabilities depends on their classification:

(1) Financial liabilities measured at fair value and changes included in current profits and losses

Such financial liabilities include trading financial liabilities (including derivatives that are financial liabilities) and financial liabilities designated as measured at fair value with changes included in current profits and losses upon initial recognition.

Financial liabilities that meet one of the following conditions are classified as trading financial liabilities: the purpose of assuming relevant financial liabilities is mainly to sell or repurchase in the near future; they are part of a portfolio of identifiable financial instruments that are centrally managed, and there is objective evidence that the enterprise has recently adopted a short-term profit-making model; they are derivatives, except for derivatives that are designated and are effective hedging instruments and derivatives that comply with financial guarantee contracts. Trading financial liabilities (including derivatives belonging to financial liabilities) are subsequently measured at fair value. Except for those related to hedging accounting, all changes in fair value are included in the current profit and loss.

At the time of initial recognition, in order to provide more relevant accounting information, the Company will irrevocably designate financial liabilities that meet one of the following conditions as financial liabilities measured at fair value with changes included in current profits and losses:

① Ability to eliminate or significantly reduce accounting mismatches.

② According to the enterprise risk management or investment strategies stated in formal written documents, manage and evaluate the performance of financial liability portfolios or financial assets and financial liability portfolios based on fair value, and report to key management personnel on this basis within the enterprise.

The company uses fair value for subsequent measurement of such financial liabilities. Except for changes in fair value caused by changes in the company's own credit risk, which are included in other comprehensive income, other changes in fair value are included in current profits and losses. Unless the changes in fair value caused by changes in the company's own credit risk are included in other comprehensive income, which will cause or expand the accounting mismatch in profit and loss, the company will include all changes in fair value (including the amount affected by changes in its own credit risk) into profit and loss for the current period. (2) Other financial liabilities

In addition to the following items, the company classifies financial liabilities as financial liabilities measured at amortized cost. The actual interest rate method is used for such financial liabilities and subsequent measurement is carried out at amortized cost. Gains or losses arising from derecognition or amortization are included in the current profit and loss:

① Financial liabilities measured at fair value with changes included in current profits and losses.

② The transfer of financial assets does not meet the conditions for derecognition or the financial liabilities formed by continuing to be involved in the transferred financial assets.

③Financial guarantee contracts that do not fall into the first two categories of this article, and loan commitments at lower than market interest rates that do not fall into the first category of this article. A financial guarantee contract refers to a contract that requires the issuer to pay a specific amount of compensation to the contract holder who has suffered a loss when a specific debtor is unable to repay the debt in accordance with the terms of the original or modified debt instrument when due. Financial guarantee contracts that are not designated as financial liabilities at fair value through profit or loss shall, after initial recognition, be measured according to the higher of the loss reserve amount and the initial recognition amount less accumulated amortization during the guarantee period, whichever is higher.

3. Derecognition of financial assets and financial liabilities

(1) If a financial asset meets one of the following conditions, the financial asset will be derecognized, that is, it will be written off from its account and balance sheet:

①The contractual right to receive cash flows from the financial asset terminates.

②The financial asset has been transferred, and the transfer meets the requirements for derecognition of financial assets.

(2) Conditions for derecognition of financial liabilities

If the current obligation of a financial liability (or part thereof) has been discharged, the financial liability (or part thereof) shall be derecognised.

The company signs an agreement with the lender to replace the original financial liability by assuming a new financial liability, and if the contract terms of the new financial liability are substantially different from the original financial liability, or if the contract terms of the original financial liability (or a part thereof) are substantially modified, the original financial liability will be derecognized and a new financial liability will be recognized. The difference between the book value and the consideration paid (including non-cash assets transferred out or liabilities assumed) will be included in the current profit and loss.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

If the company repurchases part of a financial liability, the overall book value of the financial liability will be allocated based on the proportion of the fair value of the continued recognition part and the derecognition part on the repurchase date to the overall fair value on the repurchase date. The difference between the book value allocated to the derecognized part and the consideration paid (including non-cash assets transferred out or liabilities assumed) shall be included in the current profit and loss.

4. Recognition basis and measurement method of financial asset transfer

When the company transfers financial assets, it evaluates the degree of risks and rewards in retaining ownership of the financial assets, and handles the following situations respectively:

(1) If substantially all the risks and rewards of ownership of a financial asset are transferred, the financial asset will be derecognised, and the rights and obligations arising or retained in the transfer will be separately recognized as assets or liabilities.

(2) If almost all risks and rewards of ownership of a financial asset are retained, the financial asset will continue to be recognized.

(3) If substantially all the risks and rewards of ownership of a financial asset are neither transferred nor retained (i.e. other situations other than (1) (2) of this article), the following situations will be dealt with based on whether it retains control of the financial asset:

① If control of the financial asset is not retained, the recognition of the financial asset will be terminated, and the rights and obligations arising or retained in the transfer will be separately recognized as assets or liabilities.

② If control of the financial assets is retained, the relevant financial assets will continue to be recognized to the extent of its continued involvement in the transferred financial assets, and relevant liabilities will be recognized accordingly. The degree of continued involvement in the transferred financial assets refers to the extent to which the company bears the risks or rewards of changes in the value of the transferred financial assets.

When judging whether the transfer of financial assets meets the above conditions for derecognition of financial assets, the principle of substance over form is adopted. The company distinguishes the transfer of financial assets into overall transfer and partial transfer of financial assets.

(1) If the overall transfer of financial assets meets the conditions for derecognition, the difference between the following two amounts will be included in the current profit and loss:

①The book value of the transferred financial assets on the date of derecognition.

② The sum of the consideration received for the transfer of financial assets and the amount corresponding to the derecognition portion of the accumulated changes in fair value that were originally directly included in other comprehensive income (the financial assets involved in the transfer are financial assets measured at fair value and their changes are included in other comprehensive income).

(2) If a financial asset is partially transferred and the transferred part as a whole meets the conditions for derecognition, the book value of the entire financial asset before the transfer will be apportioned between the derecognized part and the continued recognition part (in this case, the retained service assets shall be regarded as part of the continued recognition of the financial assets) according to their respective relative fair values on the date of transfer, and the difference between the following two amounts shall be included in the current profit and loss:

①The book value of the derecognized part on the date of derecognition.

② The sum of the consideration received for the derecognized part and the amount corresponding to the derecognized part of the cumulative amount of changes in fair value originally included in other comprehensive income (the financial assets involved in the transfer are financial assets measured at fair value and their changes are included in other comprehensive income).

If the transfer of financial assets does not meet the conditions for derecognition, the financial assets will continue to be recognized, and the consideration received will be recognized as a financial liability.

5. Determination method of fair value of financial assets and financial liabilities

For financial assets or financial liabilities with an active market, their fair value is determined based on the quoted price in the active market. Quotes in active markets include quotes for relevant assets or liabilities that are easily and regularly obtainable from exchanges, dealers, brokers, industry groups, pricing agencies or regulatory agencies, etc., and can represent actual and frequent market transactions on an arm's length basis.

For financial assets initially acquired or derived or financial liabilities assumed, the market transaction price is used as the basis for determining their fair value.

For financial assets or financial liabilities for which there is no active market, valuation techniques are used to determine their fair value. When valuing, the Company adopts valuation techniques that are applicable under the current circumstances and supported by sufficient available data and other information, selects input values ​​that are consistent with the characteristics of the assets or liabilities considered by market participants in transactions of related assets or liabilities, and gives priority to the use of relevant observable input values ​​whenever possible. Unobservable input values ​​are used when relevant observable input values ​​cannot be obtained or are impracticable to obtain.

6. Impairment of financial instruments

The Company performs impairment accounting and recognizes loss provisions on the basis of expected credit losses for financial assets measured at amortized cost, financial assets classified as measured at fair value with changes included in other comprehensive income, contract assets and financial guarantee contracts.

Expected credit losses refer to the weighted average of the credit losses of financial instruments with the risk of default as the weight. Credit loss refers to the difference between all contractual cash flows receivable under the contract and all cash flows expected to be received by the company, discounted at the original actual interest rate, that is, the present value of all cash shortfalls. Among them, credit-impaired financial assets purchased or originated by the company should be discounted according to the credit-adjusted actual interest rate of the financial assets.

For receivables and contract assets formed by transactions regulated by the revenue standards, the company uses simplified measurement methods to measure loss provisions based on an amount equivalent to the expected credit losses during the entire duration.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

For purchased or originated financial assets that have suffered credit impairment, only the cumulative change in expected credit losses during the entire duration since initial recognition will be recognized as loss provisions on the balance sheet date. On each balance sheet date, the change in expected credit losses during the entire duration is included in the current profit and loss as impairment losses or gains. Even if the expected credit losses during the entire duration determined on the balance sheet date are less than the amount of expected credit losses reflected in the estimated cash flows at initial recognition, favorable changes in expected credit losses will be recognized as impairment gains.

In addition to the above-mentioned simplified measurement methods and other financial assets that have incurred credit impairment when purchased or originated, the company evaluates on each balance sheet date whether the credit risk of relevant financial instruments has increased significantly since the initial recognition, and measures its loss provisions, recognizes expected credit losses and changes according to the following circumstances:

(1) If the credit risk of the financial instrument has not increased significantly since initial recognition and is in the first stage, its loss provision will be measured based on an amount equivalent to the expected credit losses of the financial instrument in the next 12 months, and interest income will be calculated based on the book balance and actual interest rate.

(2) If the credit risk of the financial instrument has increased significantly since initial recognition but has not yet suffered credit impairment and is in the second stage, its loss provision will be measured based on an amount equivalent to the expected credit losses during the entire duration of the financial instrument, and interest income will be calculated based on the book balance and actual interest rate.

(3) If the financial instrument has been credit-impaired since initial recognition and is in the third stage, the company will measure its loss provision based on an amount equivalent to the expected credit losses during the entire duration of the financial instrument, and calculate interest income based on the amortized cost and actual interest rate.

The amount of increase or reversal of credit loss provision for financial instruments is included in the current profit and loss as impairment loss or gain. Except for financial assets classified as at fair value through other comprehensive income, the allowance for credit losses is reduced by the carrying balance of the financial asset. For financial assets classified as measured at fair value with changes included in other comprehensive income, the Company recognizes its credit loss provisions in other comprehensive income without reducing the book value of the financial assets listed in the balance sheet.

The Company has measured loss provisions in the previous accounting period at an amount equivalent to the expected credit losses for the entire duration of the financial instrument. However, on the current balance sheet date, if the financial instrument no longer has a significant increase in credit risk since initial recognition, the Company will measure the loss provisions for the financial instrument at an amount equivalent to the expected credit losses within the next 12 months on the current balance sheet date. The resulting reversal amount of the loss provisions is included in the current profit and loss as impairment gain.

(1) Credit risk increases significantly

The Company uses the reasonable and evidence-based forward-looking information available to determine whether the credit risk of a financial instrument has increased significantly since initial recognition by comparing the risk of default of the financial instrument on the balance sheet date with the risk of default on the initial recognition date. For financial guarantee contracts, when the Company applies the provisions on impairment of financial instruments, the date when the Company becomes the party making the irrevocable commitment shall be the date of initial recognition.

The company will consider the following factors when assessing whether credit risk has increased significantly:

① Whether the actual or expected operating results of the debtor have changed significantly;

② Whether there have been significant adverse changes in the regulatory, economic or technological environment in which the debtor operates;

③Whether the value of the collateral used as collateral for the debt or the quality of the guarantee or credit enhancement provided by a third party has changed significantly, and these changes are expected to reduce the debtor's economic motivation to repay within the time limit specified in the contract or affect the probability of default;

④ Whether the debtor’s expected performance and repayment behavior have changed significantly;

⑤Whether the company's credit management methods for financial instruments have changed, etc.

On the balance sheet date, if the Company determines that a financial instrument has only low credit risk, the Company assumes that the credit risk of the financial instrument has not increased significantly since initial recognition. If the default risk of a financial instrument is low, the borrower has a strong ability to fulfill its contractual cash flow obligations in the short term, and even if there are adverse changes in the economic situation and operating environment in the longer term, it may not necessarily reduce the borrower's ability to fulfill its contractual cash flow obligations, then the financial instrument is considered to have lower credit risk.

(2) Financial assets that have suffered credit impairment

When one or more events that have an adverse impact on the expected future cash flows of a financial asset occur, the financial asset becomes a credit-impaired financial asset. Evidence that a financial asset has been credit-impaired includes the following observable information:

①The issuer or debtor encounters major financial difficulties;

②The debtor violates the contract, such as default or overdue payment of interest or principal;

③The creditor grants concessions that the debtor would not make under any other circumstances due to economic or contractual considerations related to the debtor's financial difficulties;

④The debtor is likely to go bankrupt or undergo other financial reorganization;

⑤The financial difficulties of the issuer or debtor cause the active market for the financial asset to disappear;

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

⑥Purchase or originate a financial asset at a substantial discount, which reflects the fact that credit losses have occurred.

Credit impairment of financial assets may be caused by the combined effect of multiple events and may not be caused by an individually identifiable event.

(3) Determination of expected credit losses

The Company evaluates the credit risk individually for notes receivable, accounts receivable and other receivables with significantly different credit risks and the following characteristics. For example: accounts receivable from related parties; accounts receivable that are in dispute with the other party or involved in litigation or arbitration; notes receivable and accounts receivable that have obvious signs that the debtor is likely to be unable to fulfill its repayment obligations, etc.

In addition to financial assets that assess credit risk individually, the Company divides financial assets into different groups based on common risk characteristics and assesses credit risk on a combined basis.

(4) Write down financial assets

When the company no longer reasonably expects that the contractual cash flows of a financial asset can be fully or partially recovered, the book balance of the financial asset will be directly written down. Such a write-down constitutes the derecognition of the relevant financial asset.

7. Offset of financial assets and financial liabilities

Financial assets and financial liabilities are presented separately in the balance sheet without offsetting each other. However, if the following conditions are met at the same time, the net amount after offsetting each other will be presented in the balance sheet:

(1) The company has the legal right to offset the confirmed amount, and this legal right is currently enforceable;

(2) The company plans to settle on a net basis, or to realize the financial assets and pay off the financial liabilities at the same time.

12. Notes receivable

Please refer to Note 11.6 Impairment of Financial Instruments for details of the Company’s determination method and accounting treatment method of expected credit losses on notes receivable.

When there is insufficient evidence to assess expected credit losses at a reasonable cost at the individual instrument level, the Company refers to historical credit loss experience, combined with current conditions and judgments of future economic conditions, divides notes receivable into several portfolios based on credit risk characteristics, and calculates expected credit losses on a portfolio basis. The basis for determining the combination is as follows:

Combination name Basis for determining combination Provision method

The issuer has a high credit rating. There has been no note default in history. The risk of credit loss is extremely low. No credit deductions will be made for bank acceptance bills in the short term.

The ability to fulfill its contractual cash flow obligations during the period is very strong. The commercial acceptance bill has a loss in value. There is a possibility of default and a certain degree of credit risk. Aging analysis method

In the portfolio, notes receivable for which expected credit losses are calculated using the aging analysis method:

Aging of bills receivable (commercial acceptance bills) accrual ratio (%)

Within 1 year (including 1 year) 5.00

1 to 2 years 10.00

2 to 3 years 30.00

3 to 4 years 50.00

4 to 5 years 80.00

More than 5 years 100.00

13. Accounts receivable

14. Accounts receivable that are individually significant and for which credit impairment losses have been individually made

If there is evidence that the credit risk of a single receivable is relatively high, the reasons for separately accruing credit impairment losses for the receivable are

Separate provision for credit impairment losses

An impairment test is conducted separately, and the credit impairment loss is accrued based on the difference between the present value of its future cash flows and its book value.

The amount of credit impairment losses is accrued.

2. Accounts receivable with credit impairment losses based on combinations of credit risk characteristics

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Except for receivables for which credit impairment losses are individually provided, receivables are grouped according to the similarity and correlation of credit risk characteristics. These credit risks generally reflect the debtor's ability to repay all amounts due in accordance with the contractual terms of such assets and are related to the measurement of future cash flows of the assets being examined. The basis for determining each portfolio and the method for accruing credit impairment losses are as follows:

The basis for determining the combination

Balance percentage method combination Various types of deposits, reserve funds, and margins used for normal operations

Aging analysis method combination: Accounts receivable with the same age have similar credit risk characteristics

Internal accounts combination Internal accounts within the scope of consolidated statements

Method of accruing credit impairment losses on a portfolio basis

Balance percentage method combination: accrue credit impairment loss based on 5% of the balance

Combination of aging analysis methods Aging analysis method

For internal accounts within the scope of consolidated statements, if there is no evidence that there is a risk of recovery, no credit will be provided for the internal account portfolio.

Impairment losses.

In the portfolio, if the aging analysis method is used to accrue credit impairment losses:

Aging Account receivable accrual ratio (%) Other receivables accrual ratio (%) Within 1 year (medical insurance payment) 0.50 N/A Within 1 year (other) 5.00 5.00 1-2 years 10.00 10.00 2-3 years 30.00 30.00 3-4 years 50.00 50.00 4-5 years 80.00 80.00 More than 5 years 100.00 100.00

14. Accounts receivable financing

For details, please see "11. Financial Instruments" in "V. Important Accounting Policies and Accounting Estimates" of this note.

15. Other receivables

For details, please see "11. Financial Instruments" in "V. Important Accounting Policies and Accounting Estimates" of this note.

16. Inventory

The company needs to comply with the disclosure requirements of the "retail industry" in the "Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 3 - Industry Information Disclosure"

1. Classification of inventory

Inventories are classified into: raw materials, inventory goods, shipped goods, turnover materials, semi-finished products, etc.

2. Valuation method for shipped inventory

Inventories issued are valued using the moving weighted average method.

3. Basis for determining net realizable value of inventories and method of accruing inventory depreciation reserves

(1) General principles

The net realizable value of inventory is determined by taking the estimated selling price of inventory minus estimated sales expenses and related taxes.

For inventory products with large quantities and low unit prices, inventory depreciation reserves are accrued according to the inventory commodity category; if they are related to other inventory product series sold in the same region and have the same or similar end use or purpose, inventory depreciation reserves are accrued on a consolidated basis.

(2) Specific principles

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

In view of the company's characteristics of a wide variety of inventory products, relatively low unit prices and fast turnover, the company makes provision for inventory depreciation based on the validity period of the inventory products at the end of the period and their near-validity periods. Among them, 70% of the near-validity products are accrued based on the ending value, and 100% of the expired products are accrued based on the ending value. The specific criteria for classifying near-effective goods and expired goods are as follows:

1. It is a near-effective product that is 6 months away from the expiration date;

2. Products that have exceeded their validity period are expired products;

3. Products within 30 days of expiration date will be treated as expired products.

4. Inventory inventory system

Adopt a perpetual inventory system.

5. Amortization method of turnover materials

Amortization is carried out using the one-time write-off method.

17. Assets held for sale

The company classifies non-current assets or disposal groups that simultaneously meet the following conditions into the category held for sale: ① According to the practice of selling such assets or disposal groups in similar transactions, they can be sold immediately under the current conditions; ② The sale is very likely to occur, that is, the enterprise has made a resolution on a sales plan and obtained a firm purchase commitment, and the sale is expected to be completed within one year. If relevant regulations require the approval of the relevant authority or regulatory department of the enterprise before it can be sold, the approval must have been obtained.

When initial measurement or remeasurement on the balance sheet date of a non-current asset or disposal group held for sale, if its book value is higher than the net amount of fair value minus selling expenses, the book value will be written down to the net amount of fair value minus selling expenses. The amount of the write-down is recognized as an asset impairment loss and included in the current profit and loss, and an impairment provision for assets held for sale is made at the same time.

Discontinued operations refer to an individually distinguishable component of the company that meets one of the following conditions, and the component has been disposed of or classified as held for sale:

(1) This component represents an independent main business or an independent main operating area;

(2) The component is part of a related plan to dispose of an independent main business or a separate main operating area; (3) The component is a subsidiary acquired specifically for resale.

When the company terminates the recognition of non-current assets or disposal groups held for sale, the unrecognized gains or losses will be included in the current profits and losses.

18. Long-term equity investment

19. Determination of initial investment cost

(1) For long-term equity investments obtained through a business merger, if it is a business merger under the same control, the share of the book value of the owner's equity of the merged party in the ultimate controlling party's consolidated financial statements shall be recognized as the initial cost; for a business merger not under the same control, the merger cost determined on the acquisition date shall be recognized as the initial cost;

(2) For long-term equity investments obtained by paying cash, the initial investment cost is the actual purchase price paid;

(3) For long-term equity investments obtained by issuing equity securities, the initial investment cost shall be the fair value of the equity securities issued;

(4) If non-monetary assets are acquired through exchange or debt restructuring, the initial investment cost shall be determined in accordance with the relevant provisions of the standards.

2. Subsequent measurement and profit and loss recognition methods

The subsequent measurement of long-term equity investments adopts the equity method or the cost method respectively. For long-term equity investments accounted for using the equity method, investment income and other comprehensive income are recognized respectively according to the share of net profits and losses and other comprehensive income realized by the investee that should be enjoyed or shared, and the long-term equity investment is adjusted. When the declared profit or cash dividend is calculated as the portion to be distributed, the book value of the long-term equity investment is reduced accordingly; for other changes in the owner's equity of the invested unit other than net profit and loss, other comprehensive income and profit distribution, the long-term equity investment and owner's equity items should be adjusted.

For long-term equity investments accounted for using the cost method, the book value generally remains unchanged except for additional investments or withdrawals. When the profit distribution or cash dividend is declared, the share due is calculated and investment income is recognized.

Long-term equity investments with joint control and significant influence are accounted for using the equity method, and those with control are accounted for using the cost method.

3. Determine the criteria for judging joint control and significant influence on the invested unit

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(1) Judgment criteria for determining joint control over an investee: Two or more joint venture parties share control over an arrangement in accordance with relevant agreements, and the relevant activities of the arrangement must be unanimously agreed upon by the participants sharing control rights before decisions can be made.

(2) Criteria for determining significant influence on the invested unit: When holding more than 20% to 50% of the voting shares of the invested unit, it has a significant influence. Or although it is less than 20%, it has a significant impact when one of the following conditions is met:

1. Have representatives on the board of directors or similar authority of the investee;

2. Participate in the policy formulation process of the invested unit;

3. Dispatch management personnel to the invested unit;

4. The invested unit relies on the technology or technical data of the investing company;

5. Other circumstances that can prove to have a significant impact on the invested unit.

19. Investment real estate

Investment real estate measurement model

Cost method measurement

Depreciation or amortization method

Types of the company's investment real estate: leased land use rights, leased buildings, and land use rights held and prepared to be transferred after appreciation.

The Company adopts the cost model for subsequent measurement of investment real estate, deducting the estimated net residual value within its useful life and deducting depreciation or amortizing it using the straight-line method.

20. Fixed assets

(1) Confirmation conditions

(1) The company's fixed assets refer to tangible assets held for the production of goods, provision of labor services, leasing or operation and management and with a service life of more than one accounting year. Fixed assets can be recognized only when the following conditions are met at the same time:

①The economic benefits related to the fixed asset are likely to flow into the enterprise.

②The cost of the fixed asset can be measured reliably.

(2) Initial measurement of fixed assets Fixed assets are initially measured at cost.

① The cost of outsourced fixed assets includes the purchase price, relevant taxes, transportation fees, loading and unloading fees, installation fees and professional service fees attributable to the asset incurred before the fixed asset reaches its intended usable condition. If the purchase price of a fixed asset is deferred beyond normal credit conditions and is essentially financing in nature, the cost of the fixed asset shall be determined based on the present value of the purchase price. The difference between the actual price paid and the present value of the purchase price, unless it can be capitalized in accordance with "Accounting Standards for Business Enterprises No. 17 - Borrowing Costs", will be included in the current profit and loss during the credit period.

②The cost of self-constructed fixed assets consists of the necessary expenditures incurred before the asset reaches its intended usable condition.

③The cost of fixed assets invested by investors shall be determined according to the value stipulated in the investment contract or agreement, unless the value stipulated in the contract or agreement is unfair.

④ The cost of fixed assets acquired in non-monetary asset exchanges, debt restructuring, business mergers and financial leases shall be determined in accordance with the relevant provisions of "Accounting Standards for Business Enterprises No. 7 - Exchange of Non-monetary Assets", "Accounting Standards for Business Enterprises No. 12 - Debt Restructuring", "Accounting Standards for Business Enterprises No. 20 - Business Mergers" and "Accounting Standards for Business Enterprises No. 21 - Leasing" respectively.

(2) Depreciation method

Category Depreciation method Depreciation period Residual value rate Annual depreciation rate Houses and buildings Year-averaged method 30 5.00% 3.17%

Machinery and equipment Average life method 10 5.00% 9.50%

Transportation equipment average age method 5 5.00% 19.00%

Electronic equipment Average age method 3 5.00% 31.67%

Office equipment and other years average method 5 5.00% 19.00%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(1) Determination of depreciation method and useful life, estimated net residual value rate and annual depreciation rate: The company’s fixed assets use the average life method to calculate depreciation of fixed assets according to the classified depreciation rate. The classification of fixed assets and their estimated depreciation life and annual depreciation rate are as follows (estimated net residual value rate (5% of the original price of the fixed asset): Depreciation calculation method for fixed assets for which impairment provisions have been made: For fixed assets for which impairment provisions have been made, depreciation shall be made based on the original price of the fixed asset after deducting the estimated net residual value, depreciation and impairment provisions and the remaining useful life. For fixed assets that have reached the intended usable state but have not yet completed the final settlement, their cost will be determined based on the estimated value, and depreciation will be accrued; after the final settlement is completed, the original estimated value will be adjusted based on the actual cost, but there is no need to adjust the originally accrued depreciation amount.

(2) Review of the service life, estimated net residual value and depreciation method of fixed assets: The company will review the service life, estimated net residual value and depreciation method of fixed assets at least at the end of each year. If the estimated service life of fixed assets is found to be different from the original estimate, the service life of the fixed asset will be adjusted; if the estimated net residual value is different from the original estimate, the estimated net residual value will be adjusted; if there is a significant change in the expected realization method of the economic benefits related to the fixed asset, the depreciation method of the fixed asset will be changed. Changes in the useful life, estimated net residual value and depreciation method of fixed assets are treated as changes in accounting estimates.

21. Projects under construction

22. Categories of projects under construction

The company's projects under construction are divided into two types: self-operated construction and outsourcing construction.

2. Standards and timing for transfer of projects under construction to fixed assets

The company's construction-in-progress will be transferred to fixed assets when the project is completed and reaches the intended usable state. The criteria for judging the intended usable status should meet one of the following conditions:

①The physical construction (including installation) of fixed assets has been completed or substantially completed;

② Trial production or trial operation has been carried out, and the results show that the asset can operate normally or can stably produce qualified products, or the trial operation results show that it can operate normally or operate;

③The amount of expenditure on fixed assets for this construction is very small or almost no longer occurs;

④The fixed assets purchased and constructed have met the design or contract requirements, or are basically consistent with the design or contract requirements.

22. Borrowing costs

23. Recognition principles for capitalization of borrowing costs

If the borrowing costs incurred by the company can be directly attributed to the purchase, construction or production of assets that meet the capitalization conditions, they will be capitalized and included in the cost of the relevant assets; other borrowing costs will be recognized as expenses based on the amount incurred when they are incurred and included in the current profits and losses. Assets that meet the conditions for capitalization refer to fixed assets, investment real estate, inventories and other assets that require a considerable period of acquisition, construction or production activities to reach the intended usable or salable state.

2. Calculation method of capitalization amount

Capitalization period: refers to the period from the time when borrowing costs start to be capitalized to the time when capitalization stops. Periods during which the capitalization of borrowing costs is suspended are not included.

Suspended capitalization period: If an abnormal interruption occurs during the construction or production process, and the interruption lasts for more than 3 months, the capitalization period of the borrowing costs shall be suspended.

Calculation of capitalization amount: (1) Borrowing of special borrowings shall be determined based on the actual interest expense incurred on the special borrowings in the current period, minus the interest income obtained from depositing unused borrowed funds in the bank or investment income obtained from temporary investment; (2) The amount of occupied general borrowings shall be determined based on the accumulated asset expenditure exceeding the amount of special borrowings. The weighted average of asset expenditures for the door borrowing part is calculated and determined by multiplying the capitalization rate of the occupied general borrowings, and the capitalization rate is the weighted average interest rate of the general borrowings; (3) If there is a discount or premium on the loan, the amount of discount or premium that should be amortized in each accounting period is determined according to the actual interest rate method, and the amount of interest in each period is adjusted.

The effective interest rate method is a method of calculating the amortized discount or premium or interest expense based on the actual interest rate of the borrowed money. The actual interest rate is the future cash flow of the loan during the expected duration, and is the interest rate used to discount the current book value of the loan.

23. Intangible assets

(1) Useful life and its basis for determination, estimation, amortization method or review procedure

1. Valuation method of intangible assets

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The Company's intangible assets are initially measured at cost. The actual cost of purchased intangible assets is based on the actual price paid and related expenditures. The actual cost of intangible assets invested by investors shall be determined based on the value stipulated in the investment contract or agreement. However, if the value stipulated in the contract or agreement is unfair, the actual cost shall be determined based on the fair value. For self-developed intangible assets, the cost is the total expenditure incurred before reaching the intended use.

The subsequent measurement of the company's intangible assets is as follows: ① Intangible assets with limited service life are amortized using the straight-line method. At the end of the year, the service life and amortization method of the intangible assets are reviewed. If there are differences with the original estimates, corresponding adjustments are made. ② Intangible assets with indefinite service life are not amortized, but at the end of the year, the service life will be reviewed. When there is conclusive evidence that its service life is limited, its service life will be estimated and amortized according to the straight-line method.

2. Estimation of service life of intangible assets with limited service life

For intangible assets with limited service life, the company usually considers the following factors when estimating its service life: ① The usual life cycle of the products produced using the asset and the available information on the service life of similar assets; ② The current situation of technology, process, etc. and the estimation of future development trends; ③ The market demand for the products produced or the services provided by the asset ④ The expected actions of current or potential competitors; ⑤ The expected maintenance expenditures to maintain the ability of the asset to bring economic benefits, and the company's expected ability to pay related expenditures; ⑥ Relevant legal provisions or similar restrictions on the control period of the asset, such as the franchise period, lease period, etc.; ⑦ The correlation with the service life of other assets held by the company, etc. The estimated useful life of intangible assets with limited useful life is as follows:

Item Estimated service life (years) Basis

Land use rights 40-50 years according to the land certificate

Software 5-10 by age

Trademark 5-10 by estimated useful life

Patented technology 10-20 Estimated useful life

Non-patented technology 10-20 Estimated useful life

3. Basis for judgment of uncertain service life

The company determines intangible assets such as intangible assets that cannot foresee the period during which the asset will bring economic benefits to the company, or whose useful life is uncertain, as intangible assets with an indefinite useful life.

The basis for judging the uncertain service life: ① It comes from contractual rights or other legal rights, but there is no clear service life stipulated in the contract or law; ② Based on the situation in the same industry or the argumentation of relevant experts, it is still impossible to judge the period during which the intangible assets can bring economic benefits to the company.

At the end of each year, the service life of intangible assets with indefinite service life is reviewed, mainly in a bottom-up manner. The relevant departments for the use of intangible assets conduct a basic review to evaluate whether there are changes in the basis for determining the uncertainty of service life.

(2) Scope of aggregation of R&D expenditures and related accounting treatment methods

Expenditures in the research phase of internal R&D projects are included in the current profit and loss when incurred; expenditures in the development phase are recognized as intangible assets if they meet the following conditions: (1) It is technically feasible to complete the intangible asset so that it can be used or sold; (2) There is the intention to complete the intangible asset and use or sell it; (3) The way in which the intangible asset generates economic benefits includes the ability to Prove that there is a market for the products produced using the intangible asset or that the intangible asset itself has a market, and that the intangible asset will be used internally, and its usefulness can be proven; (4) It has sufficient technical, financial and other resource support to complete the development of the intangible asset, and has the ability to use or sell the intangible asset; (5) Expenditures attributable to the development stage of the intangible asset can be measured reliably. Expenditures incurred by the company after obtaining the "Clinical Trial Approval" from the State Food and Drug Administration (or completing the bioequivalence test and clinical trial platform filing) and before obtaining the new drug certificate (or production approval) will be capitalized when they meet the above conditions for capitalization in the development stage; for some injections that do not require clinical trials, they will be capitalized when they obtain the drug registration acceptance notice.

Specific criteria for dividing the research stage and development stage of internal R&D projects: The planned investigation stage to obtain new technologies and knowledge should be determined as the research stage, which has the characteristics of planning and exploratory nature; before commercial production or use, the stage of applying research results or other knowledge to a plan or design to produce new or substantially improved materials, devices, products, etc., should be determined as the development stage. This stage has the characteristics of being targeted and having a greater possibility of producing results. The work performed by the company before obtaining the "Clinical Trial Approval" from the State Food and Drug Administration (or completing the bioequivalence test and clinical trial platform filing) is the research stage; the work performed after obtaining the "Clinical Trial Approval" from the State Food and Drug Administration (or completing the bioequivalence test and clinical trial platform filing) and before obtaining the new drug certificate (or production approval) is the development stage.

The company will capitalize the borrowing costs during the development stage that meet the capitalization conditions and include them in the capitalized costs of internal research and development projects.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

24. Impairment of long-term assets

The company's long-term assets mainly refer to long-term equity investments, investment real estate, fixed assets, projects under construction, intangible assets, goodwill and other assets measured using the cost model.

1. Long-term asset impairment testing method

On the balance sheet date, the company checks whether there are any signs of possible impairment of long-term assets. When there are signs of impairment, an impairment test should be conducted to confirm the recoverable amount, and impairment provisions are made based on the lower of the book value and the recoverable amount.

The recoverable amount is determined based on the higher of the net amount of the long-term asset's fair value minus disposal costs and the present value of the expected future cash flows of the long-term asset. The net fair value of a long-term asset is determined based on the sales agreement price in an arm's length transaction less amounts directly attributable to the disposal of the long-term asset.

When determining the fair value, the company gives priority to the sales agreement price. Secondly, if there is no sales agreement price but there is an active market for assets or the transaction price of similar assets in the same industry, it is determined based on the market price. If the fair value of long-term assets cannot be reliably estimated in accordance with the above regulations, the present value of the expected future cash flows of the long-term assets is used as its recoverable amount.

When the company determines the present value of expected future cash flows of long-term assets: ① Its cash flows are measured based on the expected future cash flows during the continued use of the assets and upon final disposal. The best estimate is determined mainly based on the financial budget or forecast data approved by the company's management and the reasonable growth rate in the years after the forecast period. The estimated future cash flows are determined by fully considering historical experience data and changes in external environmental factors. ②The discount rate is determined based on the market yield of treasury bonds or high-quality corporate bonds in active markets whose asset-liability date is the same as the forecast period.

2. Accounting treatment method for impairment of long-term assets

If the recoverable amount of a long-term asset is lower than its book value, the company shall write down the book value of the long-term asset to the recoverable amount. The amount of the write-down shall be recognized as an asset impairment loss and included in the current profit and loss, and at the same time, a provision for impairment of the corresponding long-term asset shall be made. The corresponding depreciation or amortization expenses of impaired assets will be adjusted accordingly in future periods. Once an impairment loss is accrued, it will not be reversed in subsequent accounting periods.

3. Impairment testing method and accounting treatment method of goodwill

The company conducts impairment testing on goodwill at the end of each year. The specific testing methods are as follows:

① First conduct an impairment test on the asset group or asset group combination that does not contain goodwill, confirm the recoverable amount, and accrue impairment losses based on the lower of the asset group or asset group combination's book value and the recoverable amount; ② Then conduct an impairment test on the asset group or asset group combination that contains goodwill, confirm its recoverable amount, and calculate the recoverable amount based on the lower of the asset group or asset group combination's book value and the recoverable amount. The lower part of the book value of the asset group or asset group combination and the recoverable amount of the goodwill is first deducted from the book value of the goodwill allocated to the asset group or asset group combination, and then based on the proportion of the book value of other assets in the asset group or asset group combination other than goodwill, the book value of other assets is deducted in proportion. Accounting treatment method for goodwill impairment: Based on the results of the goodwill impairment test, the deduction from the book value of each asset should be treated as an impairment loss for each individual asset, including goodwill, and included in the current profit and loss. The book value of each asset after deduction shall not be lower than the highest of the net fair value of the asset, the present value of the asset's expected future cash flows and zero. Impairment losses that cannot be allocated are allocated in proportion to the book value of other assets in the asset group or asset group combination.

25. Long-term deferred expenses

Long-term deferred expenses are calculated as expenses that have been incurred and have an amortization period of more than 1 year (excluding 1 year). Long-term deferred expenses are recorded according to the actual amount incurred, and are amortized evenly over the benefit period or a specified period. If a long-term deferred expense item cannot benefit future accounting periods, all the amortized value of the item that has not been amortized will be transferred to the current profit and loss.

1. The decoration costs of rented business premises will be amortized on an average basis over 5 years and will be amortized evenly within the amortization period. If there is no longer a lease within the amortization period, the remaining amount will be included in the current profit and loss in one lump sum.

2. The lease transfer fee incurred when renting a business building is amortized on an average basis over 5 years. If the lease cannot be renewed within 5 years, the remaining amount will be included in the current profit and loss in one go.

3. Store transfer fees in the form of asset acquisitions will be amortized on an average basis over 5 years. If the acquired stores are sold or closed within 5 years, the remaining amount will be included in the current profit and loss in one go.

4. Contract liabilities

The Company presents contract assets or contract liabilities in the balance sheet based on the relationship between performance obligations and customer payments. The Company's obligations to transfer goods or provide services to customers for consideration received or receivable from customers are listed as contract liabilities.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

27. Employee compensation

(1) Accounting treatment method for short-term compensation

During the accounting period when employees provide services, the actual short-term compensation is recognized as a liability and included in the current profit and loss or related asset costs.

(2) Accounting treatment of post-employment benefits

According to the agreement reached between the company and its employees on post-employment benefits, the formulation of articles of association or methods, etc., the separation benefit plans that bear further payment obligations are classified into two types: defined contribution plans or defined benefit plans. ① Defined contribution plans are recognized as liabilities based on fixed fees paid to an independent fund and included in current profits and losses or related asset costs; ② Defined benefit plans are accounted for using the expected cumulative benefit unit method. Specifically: the company will convert the welfare obligations arising from the defined benefit plan into the terminal value at the time of resignation based on the formula determined by the expected cumulative benefit unit method; then it will be attributed to the period during which the employee provides services, and included in the current profit and loss or related asset costs.

(3) Accounting treatment method for dismissal benefits

When the dismissal benefits provided by the termination of labor relationship plan or layoff proposal cannot be unilaterally withdrawn, or when the costs or expenses related to the restructuring involving the payment of dismissal benefits are recognized (whichever is earlier), the employee compensation liabilities arising from the dismissal benefits are recognized and included in the current profit and loss.

(4) Accounting treatment methods for other long-term employee benefits

According to the nature of employee remuneration, it shall be handled with reference to the above accounting treatment principles.

28. Estimated liabilities

29. Recognition standards for estimated liabilities

When the obligation related to a contingency is a current obligation borne by the company, and the performance of the obligation is likely to result in an outflow of economic benefits, and the amount can be measured reliably, the obligation is recognized as a provisional liability.

2. Measurement method of estimated liabilities

The initial measurement is based on the best estimate of the expenditure required to fulfill the relevant current obligations. If the required expenditure exists in a continuous range, and the possibility of various results within the range is the same, the best estimate is determined based on the middle value within the range; if multiple projects are involved, the best estimate is determined based on various possible results and related probabilities.

The book value of estimated liabilities should be reviewed on the balance sheet date. If there is conclusive evidence that the book value cannot truly reflect the current best estimate, the book value should be adjusted based on the current best estimate.

29. Share-based payment

A company's share-based payment is a transaction in which the company grants equity instruments or assumes liabilities determined based on equity instruments in order to obtain services from employees or other parties. The company's share-based payment is divided into equity-settled share-based payment and cash-settled share-based payment.

1. Equity-settled share-based payment and equity instruments

If equity-settled share-based payment is exchanged for services provided by employees, it shall be measured at the fair value of the equity instruments granted to employees. If the company uses restricted stocks for share-based payment, employees contribute capital to subscribe for the stocks, and the stocks may not be listed for circulation or transferred until the unlocking conditions are met and unlocked; if the unlocking conditions stipulated in the final equity incentive plan are not met, the company will repurchase the stocks at a pre-agreed price. When the company obtains payment from employees for subscribing restricted stocks, it recognizes share capital and capital reserves (equity premium) based on the subscription money received. At the same time, it recognizes a liability in full for the repurchase obligation and recognizes treasury shares. On each balance sheet date during the waiting period, the company makes the best estimate of the number of exercisable equity instruments based on the latest change in the number of exercisable employees, whether the required performance conditions are met and other follow-up information. Based on this, based on the fair value on the date of grant, the services obtained in the current period are included in relevant costs or expenses, and the capital reserve is increased accordingly. No further liability after the vesting date

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The relevant costs or expenses recognized and the total owner's equity are adjusted. However, if the rights become exercisable immediately after the grant, the fair value will be included in the relevant costs or expenses on the date of grant, and the capital reserve will be increased accordingly.

For share-based payments that ultimately fail to be exercised, no cost or expense will be recognized unless the exercise conditions are market conditions or non-exercise conditions. At this time, regardless of whether market conditions or non-exercise conditions are met, as long as all non-market conditions among the exercise conditions are met, the exercise is deemed to be vested.

If the terms of equity-settled share-based payment are modified, at least the services obtained will be recognized as if the terms had not been modified. In addition, any modification that increases the fair value of the equity instruments granted, or changes that are beneficial to employees on the modification date, is recognized as an increase in services obtained.

If equity-settled share-based payment is cancelled, it will be treated as accelerated exercise on the cancellation date and the unconfirmed amount will be recognized immediately. If employees or other parties can choose to meet the non-vesting conditions but fail to do so within the waiting period, the equity-settled share-based payment will be cancelled. However, if new equity instruments are granted and it is determined on the grant date of the new equity instruments that the new equity instruments granted are used to replace the canceled equity instruments, the replacement equity instruments granted will be treated in the same manner as modifications to the terms and conditions of the original equity instruments.

2. Cash-settled share-based payment and equity instruments

If the rights are exercisable immediately after grant, the fair value of the liabilities assumed will be included in the costs or expenses on the date of grant, and the liabilities will be increased accordingly; if the rights are vested after completing the services during the waiting period or meeting the specified performance conditions, during the waiting period, based on the best estimate of the vesting situation, the services obtained in the current period will be included in the relevant costs or expenses according to the fair value of the liabilities assumed, and the corresponding liabilities will be increased. On each balance sheet date and settlement date before the settlement of relevant liabilities, the fair value of the liability is remeasured, and its changes are included in the current profit and loss.

30. Income

Disclose accounting policies adopted for revenue recognition and measurement by business type

1. Principles of revenue recognition

On the contract commencement date, the company evaluates the contract, identifies each individual performance obligation contained in the contract, and determines whether each individual performance obligation is to be performed within a certain period of time or at a certain point in time.

When one of the following conditions is met, the performance obligation is fulfilled within a certain period of time; otherwise, the performance obligation is fulfilled at a certain point in time: (1) The customer obtains and consumes the economic benefits brought by the company's performance while the company performs the contract; (2) The customer can control the goods or services under construction during the company's performance; (3) The goods or services produced by the company during the performance of the contract have irreplaceable uses, and the company has the right to collect payment for the cumulative performance part that has been completed so far during the entire contract period.

For performance obligations performed within a certain period of time, the company recognizes revenue based on the performance progress within that period of time. When the progress of contract performance cannot be reasonably determined, if the costs incurred are expected to be compensated, revenue shall be recognized based on the amount of costs incurred until the progress of contract performance can be reasonably determined. For performance obligations fulfilled at a certain point in time, revenue is recognized at the point when the customer obtains control of the relevant goods or services. When judging whether the customer has obtained control of the goods, the company considers the following signs: (1) The company has a current right to receive payment for the goods, that is, the customer has a current payment obligation for the goods; (2) The company has transferred the legal ownership of the goods to the customer, that is, the customer already has legal ownership of the goods; (3) The company has The commodity is physically transferred to the customer, which means that the customer has physical possession of the commodity; (4) the company has transferred the main risks and rewards of ownership of the commodity to the customer, that is, the customer has obtained the main risks and rewards of ownership of the commodity; (5) the customer has accepted the commodity; (6) other indications that the customer has obtained control of the commodity.

2. Income measurement principles

(1) The company measures revenue based on the transaction price allocated to each individual performance obligation. The transaction price is the amount of consideration that the company expects to be entitled to receive for the transfer of goods or services to the customer, excluding amounts collected on behalf of third parties and amounts expected to be returned to the customer.

(2) If there is variable consideration in the contract, the company shall determine the best estimate of the variable consideration based on the expected value or the most likely amount, but the transaction price including the variable consideration shall not exceed the amount at which a significant reversal of the cumulative recognized revenue is unlikely to occur when the relevant uncertainty is eliminated.

(3) If there is a significant financing component in the contract, the company determines the transaction price based on the amount payable in cash when the customer obtains control of the goods or services. The difference between the transaction price and the contract consideration is amortized using the effective interest method during the contract period. On the contract start date, if the company expects that the interval between the customer's obtaining control of the goods or services and the customer's payment of the price will not exceed one year, it will not consider the significant financing component in the contract.

(4) If the contract contains two or more performance obligations, the company will allocate the transaction price to each individual performance obligation based on the relative proportion of the standalone selling price of the goods promised by each individual performance obligation on the contract commencement date.

3. Specific method of revenue recognition

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(1) Pharmaceutical marketing business

The company's agency business customers are mainly pharmaceutical chain enterprises. After the company signs a purchase and sales contract with a retail terminal, the company will send the goods to the buyer based on the purchase requirements proposed by the buyer. When the logistics information shows that the customer has signed to confirm the receipt of the goods or the customer has signed the invoice without objection, revenue is recognized when the buyer obtains control of the goods.

(2) Retail business

1. Revenue recognition from offline stores

The retail business refers to the company's cash sales (including bank cards, third-party payment) or medical insurance card sales through its various retail stores to sell goods to retail customers. After the company receives cash, payment from a third-party payment platform, or completes credit card procedures such as bank cards and medical insurance cards, it prints cashier receipts; after the goods leave the counter, revenue is recognized when the buyer obtains control of the goods.

2. Revenue recognition on e-commerce platforms

The company opens online flagship stores to sell goods to consumers through e-commerce platforms such as Tmall, JD.com, and Pinduoduo. The end consumer places an order directly through the e-commerce platform and pays for the goods to a third-party payment platform or e-commerce platform. The company delivers the goods to the buyer, and revenue is recognized when the buyer obtains control of the goods.

(3) Terminal centralized procurement business

Customers of the terminal centralized procurement business are mainly retail terminals such as independent pharmacies and small chains. After the company signs a purchase and sales contract with the buyer, the company will send the goods to the buyer according to the buyer's purchase requirements. After the logistics information shows that the customer has signed and confirmed receipt of the goods without objection, revenue will be recognized when the buyer obtains control of the goods. (4) Income from promotion, display and consulting services

The labor services provided by the company mainly include product promotion, display, sales promotion and other services for suppliers. The company's service revenue recognition method is as follows: after the value-added services provided by the company to suppliers are confirmed to be correct by settlement by both parties at the end of the service period, the company's service revenue is recognized when the payment has actually been received or when it is basically certain that the payment can be received.

(5) Information services

The revenue recognition method for computer technology services, technical services, information services, technology development and other services provided by the company in the field of medical technology is as follows: after signing relevant technical services or development agreements with the purchaser, the corresponding services will be completed according to the service requirements proposed by the purchaser, and revenue will be recognized after the purchaser's acceptance and confirmation. (6) Pharmaceutical manufacturing business

After the company signs a purchase and sales contract with the customer, the company will send the goods to the buyer based on the purchaser's purchase requirements. After the customer confirms receipt of the goods and passes the acceptance inspection, revenue will be recognized when the buyer obtains control of the goods.

(7) Points plan

The company implements a membership points reward program. After customers become members, they use their membership cards to shop in stores. The company will obtain corresponding membership points based on the purchase amount. Customers can use accumulated consumption reward points to redeem gifts after meeting specified requirements. Points awarded to customers as part of a sales transaction. The payment for goods or receivables obtained from sales is allocated between the income from the sales of goods and the fair value of the reward points. The payment for goods or receivables obtained after deducting the fair value of the reward points is recognized as income, and the fair value of the reward points is recognized as a contract liability. The contract liabilities recognized for reward points are based on the points awarded to customers and are recognized at fair value based on the company's published points usage method and the expected redemption rate of the points.

When customers redeem reward points, the fair value of the membership reward points used and originally included in the contract liability is recognized as revenue.

Similar business adopts different business models and involves different revenue recognition methods and measurement methods.

The company needs to comply with the disclosure requirements of the "retail industry" in the "Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 3 - Industry Information Disclosure"

The company needs to comply with the disclosure requirements for the "retail industry" in the "Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 3 - Industry Information Disclosure", see the aforementioned content.

31. Government subsidies

32. Types of government subsidies

Government subsidies are monetary assets or non-monetary assets that the company obtains free of charge from the government, including tax refunds, financial subsidies, etc.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Government subsidies mainly include two types: asset-related government subsidies and income-related government subsidies.

2. Accounting treatment method for government subsidies

Government subsidies are recognized when the company can meet the conditions attached to it and receive it. If the government subsidy is a monetary asset, it shall be measured according to the amount received or receivable. If the government subsidy is a non-monetary asset, it shall be measured at fair value; if the fair value cannot be obtained reliably, it shall be measured at the nominal amount.

(1) Accounting treatment method for asset-related government subsidies

Government subsidies obtained by the Company for the purchase, construction or other formation of long-term assets are recognized as asset-related government subsidies. Government subsidies other than those related to assets are recognized as government subsidies related to income.

For government subsidies that contain both asset-related parts and income-related parts, different parts should be distinguished and accounted for separately; if it is difficult to distinguish, they should be classified as a whole as income-related government subsidies.

Government subsidies related to assets should be recognized as deferred income. If government subsidies related to assets are recognized as deferred income, they shall be included in profits and losses in installments according to a reasonable and systematic method within the useful life of the relevant assets. Government subsidies measured according to the nominal amount are directly included in the current profit and loss.

(2) Accounting treatment method for government subsidies related to income

Government subsidies related to income shall be accounted for in accordance with the following provisions on a case-by-case basis:

① If it is used to compensate the enterprise for relevant costs or losses in the future period, it shall be recognized as deferred income, and shall be included in the current profit and loss during the period when the relevant costs or losses are recognized;

② If it is used to compensate for the relevant costs or losses incurred by the enterprise, it shall be directly included in the current profit and loss.

(3) Government subsidies related to the company's daily activities should be included in other income according to the economic and business essence. Government subsidies that have nothing to do with the company's daily activities should be included in non-operating income and expenses.

32. Deferred income tax assets/deferred income tax liabilities

Recognition of the company’s deferred income tax assets and deferred income tax liabilities:

1. Based on the difference between the book value of assets and liabilities and their tax base (if the tax base of items not recognized as assets and liabilities can be determined in accordance with tax laws, the tax base is determined as the difference), deferred income tax assets or deferred income tax liabilities are calculated and recognized according to the applicable tax rate during the period when the asset is expected to be recovered or the liability is settled.

2. The recognition of deferred income tax assets is limited to the amount of taxable income that is likely to be used to offset the deductible temporary differences. On the balance sheet date, if there is conclusive evidence that sufficient taxable income is likely to be obtained in the future period to offset the deductible temporary differences, deferred income tax assets that have not been recognized in previous accounting periods will be recognized. If it is likely that sufficient taxable income will not be available in the future to offset the deferred income tax assets, the book value of the deferred income tax assets will be reduced.

3. For taxable temporary differences related to investments in subsidiaries and associates, deferred income tax liabilities are recognized, unless the company is able to control the timing of the reversal of the temporary differences and the temporary differences are likely not to be reversed in the foreseeable future. For deductible temporary differences related to investments in subsidiaries and associates, deferred income tax assets are recognized when the temporary differences are likely to be reversed in the foreseeable future and it is likely to be taxable income that can be used to offset the deductible temporary differences in the future.

4. Leasing

(1) Accounting treatment method for leasing as lessee

On the start date of the lease period, except for short-term leases and low-value asset leases that apply simplified treatment, the company recognizes right-of-use assets and lease liabilities for leases. (1) Short-term leasing and low-value asset leasing

A short-term lease is a lease that does not include an option to purchase and has a term of no more than 12 months. Low-value asset leases refer to leases with a lower value when a single leased asset is a new asset.

The Company recognizes right-of-use assets and lease liabilities for short-term leases and low-value asset leases other than the above.

(2) Right-of-use assets

The company initially measures right-of-use assets at cost, which includes:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

①The initial measurement amount of the lease liability;

② From the lease payment amount paid on or before the start date of the lease period, if there is a lease incentive, the amount related to the lease incentive that has been enjoyed will be deducted;

③The initial direct costs incurred by the company;

④ The costs that the company expects to incur to dismantle and remove the leased assets, restore the site where the leased assets are located, or restore the leased assets to the state agreed upon in the lease terms (excluding costs incurred for the production of inventories).

After the start date of the lease period, the Company adopts the cost model for subsequent measurement of right-of-use assets.

If it is reasonably certain that the ownership of the leased asset will be obtained at the expiration of the lease term, the Company will accrue depreciation over the remaining useful life of the leased asset. If it is not reasonably certain that the ownership of the leased asset will be obtained at the expiration of the lease term, the Company will accrue depreciation during the shorter of the lease term and the remaining useful life of the leased asset. For right-of-use assets for which impairment provisions have been made, depreciation will be made in future periods based on the book value after deducting impairment provisions in accordance with the above principles.

(3) Lease liabilities

The Company initially measures lease liabilities based on the present value of the unpaid lease payments on the start date of the lease term. When calculating the present value of lease payments, the Company uses the interest rate implicit in the lease as the discount rate; if the interest rate implicit in the lease cannot be determined, the Company's incremental borrowing rate is used as the discount rate. Lease payments include: ① fixed payments and actual fixed payments after deducting the amount related to lease incentives;

②Variable lease payments that depend on an index or ratio;

③ When the Company is reasonably certain that it will exercise the option, the lease payment includes the exercise price of the purchase option; ④ When the lease term reflects that the Company will exercise the option to terminate the lease, the lease payment includes the amount required to exercise the option to terminate the lease;

⑤ The amount expected to be paid based on the residual value of the guarantee provided by the company.

The company calculates the interest expense of the lease liability in each period during the lease term based on a fixed discount rate, and includes it in the current profit and loss or related asset costs.

Variable lease payments that are not included in the measurement of lease liabilities should be included in the current profit and loss or related asset costs when actually incurred.

(4) Lease changes

If the lease changes and the following conditions are met at the same time, the lessee shall account for the lease change as a separate lease:

• The lease modification expands the scope of the lease by adding the right to use one or more leased assets;

• The increased consideration is equivalent to the amount of the stand-alone price of the expanded portion of the lease adjusted for the circumstances of the contract.

If the lease change is not accounted for as a separate lease, on the effective date of the lease change, the lessee shall apportion the consideration of the contract after the change in accordance with the provisions of Articles 9 to 12 of this Standard, redetermine the lease term in accordance with the provisions of Article 15 of this Standard, and calculate the lease payment based on the changed lease payment and the revised discount rate. If the lease change results in a reduction in the scope of the lease or a shortening of the lease period, the lessee shall accordingly reduce the book value of the right-of-use asset, and include the gains or losses related to the partial or complete termination of the lease into the current profits and losses. If other lease changes result in the remeasurement of lease liabilities, the lessee shall adjust the present value of the book value of the right-of-use assets accordingly and remeasure the lease liabilities.

(2) Accounting treatment method for leasing as lessor

(1) Classification of leasing

The Company divides leases into finance leases and operating leases on the lease commencement date. A finance lease refers to a lease that substantially transfers substantially all the risks and rewards associated with ownership of the leased asset, and the ownership may or may not ultimately be transferred. Operating leases refer to leases other than finance leases.

(2) Accounting treatment of financial leases

On the start date of the lease period, the Company recognizes finance lease receivables for finance leases and terminates the recognition of finance lease assets.

When the financial lease receivable is initially measured, the sum of the unguaranteed residual value and the present value of the lease receipts that have not been received at the beginning of the lease term discounted at the interest rate implicit in the lease is the entry value of the financial lease receivable. Lease receipts include:

①The fixed payment amount and the actual fixed payment amount after deducting the amount related to the lease incentive;

②Variable lease payments that depend on an index or ratio;

③If it is reasonably certain that the lessee will exercise the purchase option, the lease receipts include the exercise price of the purchase option;

④The lease term reflects the situation when the lessee will exercise the option to terminate the lease, and the lease receipts include the payment required by the lessee to exercise the option to terminate the lease; ⑤The residual value of the guarantee provided to the lessor by the lessee, a party related to the lessee, and an independent third party with the financial ability to perform the guarantee obligations.

The company calculates and recognizes interest income for each period during the lease term based on the fixed interest rate implicit in the lease. The variable lease payments obtained that are not included in the measurement of the net lease investment are included in the current profit and loss when they actually occur.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(3) Accounting treatment of operating leases

The company uses the straight-line method or other systematic and reasonable methods in each period of the lease term to recognize the lease receipts from the operating lease as rental income; the initial direct expenses related to the operating lease are capitalized, and are amortized on the same basis as the rental income recognition during the lease period, and included in the current profit and loss in installments; the variable lease payments related to the operating lease that are not included in the lease receipts are included in the current profit and loss when they actually occur.

(4) Lease changes

If a financial lease changes and the following conditions are met at the same time, the lessor shall account for the change as a separate lease:

① The change expands the scope of the lease by adding the right to use one or more leased assets;

② The increased consideration is equivalent to the amount of the separate price of the expanded part of the lease scope adjusted according to the conditions of the contract.

If the change in the financial lease is not accounted for as a separate lease, the lessor shall handle the changed lease under the following circumstances: ① If the change takes effect on the lease commencement date, the lease will be classified as an operating lease, the lessor shall account for it as a new lease starting from the effective date of the lease change, and The net amount of the lease investment before the effective date of the lease change shall be regarded as the book value of the leased asset; ② If the change takes effect on the lease commencement date, the lease will be classified as a finance lease, and the lessor shall conduct accounting treatment in accordance with the provisions of "Accounting Standards for Business Enterprises No. 22 - Recognition and Measurement of Financial Instruments" regarding modification or renegotiation of contracts.

If an operating lease changes, the lessor shall account for it as a new lease from the effective date of the change, and the amount of lease receipts received in advance or receivable related to the lease before the change shall be regarded as the amount of receipts from the new lease.

34. Other important accounting policies and accounting estimates

Accounting treatment for store acquisitions

Based on the acquisition method, purpose of acquisition and post-acquisition management, and with reference to cases in the same industry, the company divides store acquisition types into two categories: (1) Equity acquisition; (2) Asset acquisition. Among them, asset acquisition refers to the acquisition business of acquiring all or part of the operating assets of the acquisition target in a paid manner.

If the first type of equity acquisition is used for store acquisition, the accounting treatment will be based on the merger of enterprises not under common control. The company will recognize the difference between the transfer price and the fair value share of the identifiable net assets of the acquiree obtained in the merger as goodwill.

If the store acquisition adopts the second type of asset acquisition, the store transfer price paid by the company is recognized as long-term deferred expenses and amortized according to a five-year period.

35. Changes in important accounting policies and accounting estimates

(1) Changes in important accounting policies

□Applicable Not applicable

(2) Changes in important accounting estimates

□Applicable Not applicable

(3) Adjustments to relevant items in the financial statements at the beginning of the year when the new accounting standards are first implemented starting from 2025.

□Applicable Not applicable

6. Taxes

1. Main tax types and tax rates

Type of tax Tax calculation basis Tax rate

Value-added tax Value-added amount generated in the process of selling goods or providing services 13%, 9%, 6%, 3%, 1%, 0% Urban maintenance and construction tax Payable turnover tax 7%, 5%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Corporate income tax Taxable income 25%, 20%, 16.5%, 15%, 12% Education fee surcharge Payable turnover tax 5%

If there are taxpayers with different corporate income tax rates, a description of the disclosure

Name of taxpayer Income tax rate Anhui Huaren Health Pharmaceutical Co., Ltd. 25% Hefei Guosheng Medical Management Co., Ltd. (hereinafter referred to as "Hefei Guosheng Medical") 20% Anhui Guosheng Pharmaceutical Technology Co., Ltd. (hereinafter referred to as "Anhui Guosheng Pharmaceutical") 20% Anhui Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Anhui Guosheng") 25% Anhui Quanfang Pharmaceutical Co., Ltd. (hereinafter referred to as "Anhui Quanfang") 25% Hefei Jieshu Pharmaceutical Technology Co., Ltd. (hereinafter referred to as "Hefei Jieshu") 15% Jiangsu Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Jiangsu Guosheng") 20% Wuhu Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Wuhu Guosheng") 25% Anqing Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Anqing Guosheng") 25% Bozhou Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Bozhou Guosheng") 25% Hefei Yuanxing Comprehensive Clinic Co., Ltd. (hereinafter referred to as "Yuanxing Clinic") (cancelled in March 2025) 20% Hefei Anbaiyuan Comprehensive Clinic Co., Ltd. (hereinafter referred to as "Anbaiyuan Clinic") 20% Henan Guosheng Pharmacy Co., Ltd. (hereinafter referred to as "Henan Guosheng") 20% Nanjing Tonghetang Pharmacy Co., Ltd. (hereinafter referred to as "Nanjing Tonghetang") (cancelled in May 2025) 20% Nanjing Shanghetang Pharmacy Co., Ltd. (hereinafter referred to as "Nanjing Shanghetang") 20% Nanjing Runxin Pharmacy Co., Ltd. (hereinafter referred to as "Runxin Pharmacy") 20% Nanjing Xinsheng Pharmacy Co., Ltd. (hereinafter referred to as "Xinsheng Pharmacy") 20% Nanjing Zhouji Pharmacy Co., Ltd. (hereinafter referred to as "Zhouji Pharmacy") (cancelled in September 2025) 20% Anhui Ke'an Shu Pharmaceutical Technology Co., Ltd. (hereinafter referred to as "Ke'an Shu Medicine") 25% Anhui Zhengyao Pharmaceutical Technology Co., Ltd. (hereinafter referred to as "Zhengyao Medicine") 15% Lu'an Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Lu'an Guosheng") 20% Huangshan Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Huangshan Guosheng") 20% Guangde Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Guangde Pharmacy") 20% Huainan Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Huainan Guosheng") 20% Ma'anshan Guosheng Mandi Pharmacy Chain Co., Ltd. (hereinafter referred to as "Ma'anshan Guosheng") 25% Lu'an Guosheng Ping An Pharmacy Chain Co., Ltd. (hereinafter referred to as "Lu'an Ping An") 25% Wuwei Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Wuwei Guosheng") 20% Bozhou Yuanhua Pharmaceutical Technology Co., Ltd. (hereinafter referred to as "Bozhou Yuanhua") (sold in December 2025) 20% Zhoushan Liken Pharmaceutical Chain Co., Ltd. (hereinafter referred to as "Zhoushan Liken") 25% Jiangsu Shenhua Pharmaceutical Co., Ltd. (hereinafter referred to as "Jiangsu Shenhua") 15% Shenhua Pharmaceutical (Jiangsu) Co., Ltd. (hereinafter referred to as "Shenhua Pharmaceutical") 20% Jiangsu Fufeng Import and Export Co., Ltd. (hereinafter referred to as "Jiangsu Fufeng") 20% Jiangsu Guojin Biotechnology Co., Ltd. (hereinafter referred to as "Jiangsu Guojin") 20% Anji Baixingyuan Pharmacy Chain Co., Ltd. (hereinafter referred to as "Anji Baixingyuan") 25% Anji Baixing Integrated Traditional Chinese and Western Medicine Clinic Co., Ltd. (hereinafter referred to as "Anji Traditional Chinese and Western Medicine") 20% Anji Employee Medical Clinic Co., Ltd. (hereinafter referred to as "Employee Medical") 20% Zhejiang Guosheng Pharmaceutical Co., Ltd. (hereinafter referred to as "Zhejiang Guosheng") 25% Deqing Guosheng Pharmaceutical Chain Co., Ltd. (hereinafter referred to as "Deqing Guosheng") 20% Fuyang Guosheng Pharmacy Chain Co., Ltd. (hereinafter referred to as "Fuyang Guosheng") 20% Hefei Jianlita Pharmacy Co., Ltd. (hereinafter referred to as "Hefei Jianlita") 20% Taixiding Health Technology Co., Ltd. (hereinafter referred to as "Taixiding") 12% Hong Kong Tonghetang Pharmaceutical Co., Ltd. (hereinafter referred to as "Hong Kong Tonghetang") 16.50% Anhui Shenhua Pharmaceutical Co., Ltd. 20% Fujian Yangzu Huimin Pharmaceutical Chain Co., Ltd. 25% Fuzhou Yangzu Kezhi Technology Co., Ltd. 20% Jianou Yangzu Beimen Pharmaceutical Operations Co., Ltd. 20% Jianou Yangzu Dikou Pharmaceutical Operations Co., Ltd. 20% Jianou Yangzu Dongmen Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Dongyou Pharmaceutical Operation Co., Ltd. 20% Jianou City Yangzudu Yuping Pharmaceutical Operation Co., Ltd. 20% Jianou City Yangzu Guandayuan Pharmaceutical Operation Co., Ltd. 20%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Jianou City Yangzu Huida Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Jiyang Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Jiayuan Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Lingjiang Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Nanmen Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Nanya Street Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Nanya Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Qingyun Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Shenghai Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Times Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Shuinan Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Wanchun Pharmaceutical Operations Co., Ltd. 20% Jianou City Yangzu Xudun Pharmaceutical Operations Co., Ltd. 20% Pucheng County Yangzu Dazhong Pharmaceutical Operations Co., Ltd. 20% Pucheng County Yangzu Da Yuanhu Pharmaceutical Operation Co., Ltd. 20% Pucheng County Yangzu Dengying Pharmaceutical Operation Co., Ltd. 20% Pucheng County Yangzu Jiangbin Pharmaceutical Operation Co., Ltd. 20% Pucheng County Yangzu Kangchen Pharmaceutical Operation Co., Ltd. 20% Pucheng County Yangzu Mengbi Pharmaceutical Operation Co., Ltd. 20% Pucheng County Yangzu Nanpu Pharmaceutical Operation Co., Ltd. 20% Pucheng County Yangzu Shipi Pharmaceutical Operation Co., Ltd. 20% Pucheng County Yangzu Xianyang Pharmaceutical Operation Co., Ltd. 20% Pucheng County Yangzu Yonghui Pharmaceutical Operations Co., Ltd. 20% Pucheng County Yangzu Pre-hospital Pharmaceutical Operations Co., Ltd. 20% Pucheng County Yangzu Zhongxin Pharmaceutical Operations Co., Ltd. 20% Youxi County Yangzu Chengdong Pharmaceutical Operations Co., Ltd. 20% Youxi County Yangzu Nanmen Pharmaceutical Operations Co., Ltd. 20% Youxi County Yangzu Yifeng Pharmaceutical Operations Co., Ltd. 20% Fujian Haihua Pharmaceutical Chain Co., Ltd. 25% Longyan Wuping Futong Liangye Pharmaceutical Co., Ltd. 20% Longyan Xinluo Futong Hongfang Pharmaceutical Co., Ltd. 20% Longyan Xinluo Futong Liandong Pharmaceutical Co., Ltd. 20% Longyan Xinluo Futong Yicheng Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Mingde Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Zhongkang Pharmaceutical Co., Ltd. 20% Longyan Haihua Zhenghe Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Xinhong Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Yiduotang Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Wanfu Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Xianghui Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Jitong Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Jucheng Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Dayuan Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Yaxin Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Hexin Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Huihetang Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Yifeng Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Shengmin Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Ruchuntang Pharmaceutical Co., Ltd. 20% Longyan Haihua Junan Pharmaceutical Co., Ltd. 20% Longyan Xinluo Haihua Lisheng Pharmaceutical Co., Ltd. 20% Longyan Liancheng County Haihua Kangfu Pharmaceutical Co., Ltd. 20% Longyan Haihua Yidetang Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Lianmei Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Zelin Pharmaceutical Co., Ltd. 20% Longyan Zhangping Haihuabaojitang Pharmaceutical Co., Ltd. 20%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Longyan Xinluo District Haihuayuan Tiantang Pharmaceutical Co., Ltd. 20% Longyan Yongding District Haihualongfu Pharmaceutical Co., Ltd. 20% Longyan Haihua Xinyuan Pharmaceutical Co., Ltd. 20% Longyan Liancheng County Haihua Guangming Pharmaceutical Co., Ltd. 20% Longyan Liancheng County Haihua Baihui Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihualinuo Pharmaceutical Co., Ltd. 20% Longyan Haihua High-tech Pharmaceutical Co., Ltd. 20% Longyan Zhangping Haihua Futang Pharmaceutical Co., Ltd. 20% Longyan Yongding District Haihua Hengyi Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Times City Pharmaceutical Co., Ltd. 20% Longyan Liancheng County Haihua Yangxin Pharmaceutical Co., Ltd. 20% Longyan Changting County Haihua Xincai Pharmaceutical Co., Ltd. 20% Longyan Yongding District Haihua Huicheng Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Ruitai Pharmaceutical Co., Ltd. 20% Longyan Liancheng County Haihua Baikang Pharmaceutical Co., Ltd. 20% Longyan City Shanghang County Haihua Gutian Pharmaceutical Co., Ltd. 20% Longyan City Shanghang County Haihua Caixi Pharmaceutical Co., Ltd. 20% Longyan City Xinluo District Haihua Shiji Pharmaceutical Co., Ltd. 20% Longyan City Wuping County Haihua Tekang Pharmaceutical Co., Ltd. 20% Longyan City Shanghang County Haihua Baoxiang Pharmaceutical Co., Ltd. 20% Longyan City Wuping County Haihua Jinkang'an Pharmaceutical Co., Ltd. 20% Longyan Haihua Cuichan Pharmaceutical Co., Ltd. 20% Longyan Wuping County Haihua Xindong Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Xinkang Pharmaceutical Co., Ltd. 20% Longyan Yongding District Healthy Pharmacy Co., Ltd. 20% Longyan Xinluo District Haihua Shengyuan Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Hongji Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Xianji Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Ren'an Pharmaceutical Co., Ltd. 20% Longyan Haihua Tongtai Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Yijiakang Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Baicheng Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Longxiang Pharmaceutical Co., Ltd. 20% Longyan Liancheng County Haihua Wanshengtang Pharmaceutical Co., Ltd. 20% Longyan Shanghang County Haihua Yikang Pharmaceutical Co., Ltd. 20% Longyan Shanghang County Haihua Hongxiang Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Yuxing Pharmaceutical Co., Ltd. 20% Longyan Xinluo Futong Kaifeng Pharmaceutical Co., Ltd. 20% Longyan Yongding District Haihua Tangan Pharmaceutical Co., Ltd. 20% Longyan Xinluo Futong Overseas Pharmaceutical Co., Ltd. 20% Longyan Wuping Futong Wushi Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihuatianqi Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Fuheng Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Minhao Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihuayuanquankang Pharmaceutical Co., Ltd. 20% Longyan Yongding District Haihua Jian'an Pharmaceutical Co., Ltd. 20% Longyan Haihua Xiyuan Pharmaceutical Co., Ltd. 20% Longyan Shanghang County Haihua Huiming Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Dongjin Pharmaceutical Co., Ltd. 20% Longyan Shanghang County Haihua Bokang Pharmaceutical Co., Ltd. 20% Longyan Changting County Haihua Shengmao Pharmaceutical Co., Ltd. 20% Longyan Xinluo District Haihua Kangquan Pharmaceutical Co., Ltd. 20% Longyan Shanghang County Haihua Minjian Pharmaceutical Co., Ltd. 20% Yongan Haihua Xiangtai Pharmaceutical Co., Ltd. 20% Longyan Shanghang County Haihua Hongtai Pharmaceutical Co., Ltd. 20% Longyan Wuping County Haihua Wudong Pharmaceutical Co., Ltd. 20%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Longyan Shanghang County Haihua Yikang Pharmaceutical Co., Ltd. 20%

Longyan Xinluo District Haihua Hanlin Pharmaceutical Co., Ltd. 20%

Longyan Shanghang County Haihua Lufeng Pharmaceutical Co., Ltd. 20%

Longyan Yongding District Haihua Wanxintang Pharmaceutical Co., Ltd. 20%

Longyan Xinluo District Haihua Hongfutang Pharmaceutical Co., Ltd. 20%

Longyan Xinluo District Haihua Hengda Pharmaceutical Co., Ltd. 20%

Longyan Xinluo District Haihua Xincheng Pharmaceutical Co., Ltd. 20%

Longyan Wuping County Haihua Wuxin Pharmaceutical Co., Ltd. 20%

Longyan Xinluo District Haihua Sizhong Pharmaceutical Co., Ltd. 20%

Yongan Haihua Xiangzhong Pharmaceutical Co., Ltd. 20%

Yongan Haihua Herbal Medicine Co., Ltd. 20%

Yongan Haihua Yuren Pharmaceutical Co., Ltd. 20%

Yongan Haihua Zhongtai Pharmaceutical Co., Ltd. (cancelled in October 2025) 20%

Longyan Haihua Hengsheng Information Consulting Service Co., Ltd. (cancelled in April 2025) 20%

Fujian Futong Pharmaceutical Co., Ltd. 20%

Longyan Haihuayongxin Information Consulting Service Co., Ltd. (cancelled in August 2025) 20%

Longyan Haihua Dianshang Pharmaceutical Co., Ltd. 20%

Hangzhou Guosheng Pharmacy Chain Co., Ltd. 25%

Feixi Guosheng Pharmacy Chain Co., Ltd. 20%

Longyan Xinluo District Haihua Xinhuikang Pharmaceutical Co., Ltd. 20%

Anhui Guosheng Convenience Store Co., Ltd. 20%

Hefei Guosheng Wei Meiyuan Pharmacy Co., Ltd. (hereinafter referred to as "Hefei Wei Meiyuan") 20%

2. Tax incentives

(1) Income tax benefits

1. According to the "Announcement of the Ministry of Finance and the State Administration of Taxation on Relevant Tax Policies to Further Support the Development of Small and Micro Enterprises and Individual Industrial and Commercial Households" (No. 12 of 2023): From January 1, 2023 to December 31, 2027, small and low-profit enterprises will calculate taxable income at a reduced rate of 25% and pay corporate income tax at a rate of 20%. The policy will continue to be implemented until December 31, 2027. In 2025, subsidiaries Hefei Guosheng Medical, Anhui Guosheng Medicine, Jiangsu Guosheng, Yuanxing Clinic, Anbaiyuan Clinic, Henan Guosheng, Nanjing Tonghetang, Nanjing Shanghetang, Nanjing Runxin, Nanjing Xinsheng, Nanjing Zhouji, Anhui Zhengyao, Lu'an Guosheng, Huangshan Guosheng, Guangde Sheng, Huainan Guosheng, Shenhua Pharmaceutical, Jiangsu Fufeng, Jiangsu Guojin, Wuwei Guosheng, Bozhou Yuanhua, Anji Traditional Chinese and Western Medicine, Employee Medical Care, Zhejiang Guosheng, Deqing Guosheng, Fuyang Guosheng, Hefei Jianlita, some subsidiaries of Fujian Yangzu, some subsidiaries of Fujian Haihua, etc., fall within the scope of preferential income tax policies for small and micro enterprises and enjoy corresponding preferential income tax policies.

2. According to the provisions of the "High-tech Enterprise Recognition Management Measures" and the "High-tech Enterprise Recognition Management Guidelines", Hefei Jieshu Pharmaceutical Technology Co., Ltd. was recognized as a high-tech enterprise on October 28, 2025. The high-tech enterprise certificate number is GR202534003040. The certificate is valid for 3 years. Hefei Jieshu Pharmaceutical Technology Co., Ltd. will implement the corporate income tax rate at 15% from 2025 to 2027.

3. According to the provisions of the "High-tech Enterprise Recognition Management Measures" and the "High-tech Enterprise Recognition Management Guidelines", Jiangsu Shenhua Pharmaceutical Co., Ltd. was recognized as a high-tech enterprise on November 19, 2024. The high-tech enterprise certificate number is GR202432005793. The certificate is valid for 3 years. The corporate income tax rate of Jiangsu Shenhua Pharmaceutical Co., Ltd. from 2024 to 2026 will be 15%.

4. According to the provisions of the "High-tech Enterprise Recognition Management Measures" and the "High-tech Enterprise Recognition Management Guidelines", Anhui Zhengyao Pharmaceutical Technology Co., Ltd. was recognized as a high-tech enterprise on November 28, 2024. The high-tech enterprise certificate number is GR202434005476. The certificate is valid for 3 years. Anhui Zhengyao Pharmaceutical Technology Co., Ltd. will implement the corporate income tax rate at 15% from 2024 to 2026.

(2) Value-added tax benefits

1. According to the provisions of the "Announcement of the Ministry of Finance and the State Administration of Taxation on the Value-Added Tax Reduction and Reduction Policy for Small-scale Taxpayers" (Announcement No. 19 of the Ministry of Finance and the State Administration of Taxation in 2023), in order to further support the development of small and micro enterprises and individual industrial and commercial households, the VAT reduction and exemption policy for small-scale taxpayers will be extended as follows: Small-scale VAT taxpayers with monthly sales of less than 100,000 yuan (inclusive) are exempt from VAT. For small-scale VAT taxpayers, taxable sales income subject to a 3% levy rate is levied at a reduced rate of 1%; for prepaid VAT items subject to a 3% pre-collection rate, value-added tax is prepaid at a reduced 1% pre-collection rate. This announcement will be implemented until December 31, 2027.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

2. According to the "Announcement of the Ministry of Finance and the State Administration of Taxation on the Additional VAT Deduction Policy for Advanced Manufacturing Enterprises" (Announcement No. 43 of the Ministry of Finance and the State Administration of Taxation in 2023), from January 1, 2023 to December 31, 2027, advanced manufacturing enterprises are allowed to deduct an additional 5% of the deductible input tax for the current period to offset the value-added tax payable. The subsidiary Jiangsu Shenhua Pharmaceutical Co., Ltd. enjoys corresponding value-added tax preferential policies.

3. Others

None.

7. Notes on Consolidated Financial Statement Items

1. Monetary funds

Unit: Yuan

Item Ending balance Beginning balance

Cash on hand 72,030.44 95,224.03 Bank deposits 260,035,715.03 310,840,374.48 Other monetary funds 694,444,451.06 688,758,151.93 Total 954,552,196.53 999,693,750.44Other instructions:

The details of restricted monetary funds are as follows:

Item Ending balance (yuan) Beginning balance (yuan)

Bank acceptance bill deposit 686,152,025.43 676,675,597.22

Balance of payment platforms such as Alipay 8,154,236.29 11,944,464.16

Deposit for migrant workers 138,189.34 138,090.55

Total 694,444,451.06 688,758,151.93

2. Trading financial assets

Unit: Yuan

Item Closing balance Opening balance Financial assets measured at fair value with changes included in current profits and losses 22,000,000.00 10,000,000.00 Among them:

Equity instrument investment-financial management products 22,000,000.00 10,000,000.00 of which:

Total 22,000,000.00 10,000,000.00Other instructions:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

3. Notes receivable

(1) Classified presentation of notes receivable

Unit: Yuan Item Ending balance Beginning balance

Bank acceptance note 0.00

Commercial acceptance notes 0.00 0.00 0.00

Total 0.00 0.00

(2) Classified disclosure according to bad debt accrual method

Unit: Yuan Ending balance Beginning balance

Book balance Provision for bad debts Book balance Provision for bad debts

Category Book price Book price provision ratio Provision ratio

Amount Ratio Amount Value Amount Ratio Amount Value Example

its

Medium:

its

Medium:

Total 0.00

If bad debt provisions for notes receivable are made according to the general expected credit loss model:

□Applicable Not applicable

(3) Bad debt provisions accrued, recovered or reversed in the current period

Bad debt provisions for the current period:

Unit: Yuan Amount of changes in the current period

Category Opening balance Ending balance Provision Recovery or transfer Write-off Others

Among them, the amount of recovery or reversal of bad debt provisions for the current period is important:

□Applicable Not applicable

(4) Notes receivable pledged by the company at the end of the period

Unit: Yuan Project Amount pledged at the end of the period

(5) Notes receivable that have been endorsed or discounted by the company at the end of the period and have not yet matured on the balance sheet date

Unit: Yuan Item Amount derecognized at the end of the period Amount not derecognized at the end of the period

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(6) Notes receivable actually written off in the current period

Unit: Yuan

Item Write-off Amount

Among them, the important write-off of bills receivable:

Unit: Whether the Yuan amount is paid by the related unit, nature of the note receivable, write-off amount, reason for write-off, write-off procedures performed

Instructions for writing off notes receivable resulting from transactions:

4. Accounts receivable

(1) Disclosure based on aging

Unit: Yuan

Aging Book balance at the end of the period Book balance at the beginning of the period

Within 1 year (including 1 year) 577,024,641.40 454,431,540.95 1 to 2 years 4,750,983.15 11,443,017.83 2 to 3 years 3,193,858.25 3,175,934.15 More than 3 years 2,764,159.82 5,703,363.21 3 to 4 years 1,311,191.78 3,109,152.05 4 to 5 years 840,622.10 1,567,949.01

More than 5 years 612,345.94 1,026,262.15 Total 587,733,642.62 474,753,856.14

(2) Classified disclosure according to bad debt accrual method

Unit: Yuan Ending balance Beginning balance

Book balance Provision for bad debts Book balance Provision for bad debts

Category Book price Book price provision ratio Provision ratio

Amount Ratio Amount Value Amount Ratio Amount Value

Example Example

By item

bad provision

2,062,3 2,062,3 1,850,5 1,850,5

Account provision 0.35% 100.00% 0.39% 100.00%

53.21 53.21 29.10 29.10

receivables

Accounts

Among them:

by combination

bad provision

585,671 19,843, 565,827 472,903 18,733, 454,170Account provision 99.65% 3.39% 99.61% 3.96%

,289.41 436.61 ,852.80 ,327.04 132.81 ,194.23 receivables

Accounts

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Among them:

585,671 19,843, 565,827 472,903 18,733, 454,170 Combination 1 99.65% 3.39% 99.61% 3.96%

,289.41 436.61 ,852.80 ,327.04 132.81 ,194.23

587,733 21,905, 565,827 474,753 20,583, 454,170Total 100.00% 3.73% 100.00% 4.34%

,642.62 789.82 ,852.80 ,856.14 661.91 ,194.23 Provision for bad debts on an individual basis: 2,062,353.21

Unit: Yuan Beginning balance Ending balance

Name

Book balance Bad debt provision Book balance Bad debt provision Proportion Provision reason Individual provision expectation

Responsibility for credit losses 2,062,353.21 2,062,353.21 1,850,529.10 1,850,529.10 100.00% It is expected that the receivables cannot be collected

Total 2,062,353.21 2,062,353.21 1,850,529.10 1,850,529.10

Provision for bad debts on a group basis: 19,843,436.61

Unit: Yuan ending balance

Name

Book balance Bad debt provision Provision ratio

Provision for expected credit losses on a portfolio basis

585,671,289.41 19,843,436.61 3.39% Accounts receivable

Total 585,671,289.41 19,843,436.61

Description of what this combination is based on:

If bad debt provisions for accounts receivable are made according to the general expected credit loss model:

Applicable □Not applicable

Unit: Yuan Phase 1 Phase 2 Phase 3

Expected credit throughout the lifetime Credit expected throughout the lifetime

Provision for bad debts Expected credit in the next 12 months Total

Loss (no credit deduction has occurred Loss (credit deduction has occurred)

loss

value) value)

Balance on January 1, 2025 18,733,132.81 1,850,529.10 20,583,661.91 Balance on January 1, 2025

In this issue

Provision in this period 13,290,449.65 1,699,773.40 14,990,223.05 Transfer in this period 256,153.65 256,153.65 Write-off in this period 12,911,244.01 1,231,795.64 14,143,039.65 Other changes 731,098.16 731,098.16 Remaining as of December 31, 2025

19,843,436.61 2,062,353.21 21,905,789.82

Basis for division of each stage and provision ratio for bad debts

Explanation of significant changes in the book balance of accounts receivable that have experienced changes in loss provisions during the current period:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(3) Bad debt provisions accrued, recovered or reversed in the current period

Bad debt provisions for the current period:

Unit: Yuan Amount of changes in the current period

Category Opening balance Ending balance Provision Recovery or transfer Write-off Others

Individual accrual expectations

Accounts receivable for credit losses 1,850,529.10 1,699,773.40 256,153.65 1,231,795.64 2,062,353.21

Provision based on combination

18,733,132.8 13,290,449.6 12,911,244.0 19,843,436.6 credit losses 731,098.16

1 5 1 1 Accounts receivable 1

20,583,661.9 14,990,223.0 14,143,039.6 21,905,789.8 Total 256,153.65 731,098.16

1 5 5 2 Note: 1 Other changes are due to the increase in mergers of enterprises not under the same control in the current period.

Among them, the amount of recovery or reversal of bad debt provisions for the current period is important:

Unit: Yuan Determine the name of the original bad debt provision accrual unit, the recovery or reversal amount, the reason for the reversal, the recovery method, the basis for the ratio and its rationality

(4) Accounts receivable actually written off in the current period

Unit: yuan item write-off amount

Actual write-off of accounts receivable 14,143,039.65 Among them, the important write-off of accounts receivable:

Unit: Yuan of written-off performance Whether the amount is paid by the relevant unit Name of the account receivable Nature of accounts receivable Amount of write-off Reason for write-off

Procedure The transaction is generated according to the medical insurance policy, for super

Medical insurance payment beyond the medical insurance limit General Manager’s Office

Customer F Medical insurance receivable 3,951,207.69 No

item, the medical insurance center will not provide support to the branch

Pay.

Total 3,951,207.69

Instructions for writing off accounts receivable:

(5) Accounts receivable and contract assets with the top five closing balances collected by debtors

Unit: Yuan accounts receivable and combined Accounts receivable and bad debt quasi-unit name Accounts receivable ending balance Contract assets ending balance Accounts receivable and contracts

Closing balance of same assets reserves and contract assets minus

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Amount Amount Ending balance of assets Proportion of total amount Value provision Ending balance Customer A 47,588,495.86 47,588,495.86 8.10% 237,942.48 Customer B 46,848,354.12 46,848,354.12 7.97% 234,241.77 Customer C 28,719,325.21 28,719,325.21 4.89% 143,596.63Customer D 26,194,489.21 26,194,489.21 4.46% 130,972.45Customer E 17,861,107.95 17,861,107.95 3.04% 893,115.07 Total 167,211,772.35 167,211,772.35 28.46% 1,639,868.40

5. Contract assets

(1) Contract assets

Unit: Yuan Ending balance Beginning balance

Project

Book balance Bad debt provision Book value Book balance Bad debt provision Total book value 0.00 0.00 0.00

(2) Amount and reasons of major changes in book value during the reporting period

Unit: Yuan

Item Amount of change Reason for change

(3) Classified disclosure according to bad debt accrual method

Unit: Yuan Ending balance Beginning balance

Book balance Provision for bad debts Book balance Provision for bad debts

Category Book price Book price provision ratio Provision ratio

Amount Ratio Amount Value Amount Ratio Amount Value

Example Example

Among them:

Among them:

Provision for bad debts based on the general expected credit loss model

□Applicable Not applicable

(4) Bad debt provisions accrued, recovered or reversed in the current period

Unit: Yuan

Item Provision for the current period Recovered or reversed for the current period Write-off/write-off for the current period Reasons

Among them, the amount of recovery or reversal of bad debt provisions for the current period is important:

Unit: Yuan Determine the name of the original bad debt provision accrual unit, the amount recovered or reversed, the reason for the reverse, the method of recovery, the basis for the ratio and its reasonableness

sex

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Other notes:

(5) Contract assets actually written off in the current period

Unit: Yuan

Item Write-off Amount

Among them, the important write-off of contract assets

Unit: Whether the yuan amount is paid by the name of the related unit, nature of the amount, write-off amount, write-off reason, write-off procedures performed

Instructions for writing off contract assets generated by transactions:

Other notes:

6. Accounts receivable financing

(1) Classified presentation of financing receivables

Unit: Yuan

Item Ending balance Beginning balance

Bank acceptance bill 22,999,543.46 18,432,928.32 Total 22,999,543.46 18,432,928.32

(2) Financing of receivables that have been endorsed or discounted by the company at the end of the period and have not yet matured on the balance sheet date

Unit: Yuan

Item Amount derecognized at the end of the period Amount not derecognized at the end of the period

Bank acceptance bill 103,748,502.21

Total 103,748,502.21

7. Other receivables

Unit: Yuan

Item Ending balance Beginning balance

Interest receivable 0.00 0.00 Dividends receivable 0.00 0.00 Other receivables 52,225,325.19 44,122,210.49 Total 52,225,325.19 44,122,210.49

(1) Other receivables

1. Classification of other receivables according to nature of payment

Unit: Yuan

Nature of payment Book balance at the end of the period Book balance at the beginning of the period

Security deposits and deposits 39,206,057.33 33,378,513.07 Current accounts for expenses 8,104,350.48 12,785,572.81 Reserve funds 3,415,663.04 1,931,805.41 Others 9,757,723.22 3,145,252.06

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Less: Bad debt provisions/estimated credit losses -8,258,468.88 -7,118,932.86 Total 52,225,325.19 44,122,210.49

2. Disclosure based on aging

Unit: Yuan

Aging Book balance at the end of the period Book balance at the beginning of the period

Within 1 year (including 1 year) 18,507,781.25 20,688,135.15 1 to 2 years 12,453,875.37 7,563,746.99 2 to 3 years 8,270,123.59 5,636,141.20 More than 3 years 21,252,013.86 17,353,120.01 3 to 4 years 5,095,779.80 4,255,030.05 4 to 5 years 4,341,790.88 3,258,085.39

More than 5 years 11,814,443.18 9,840,004.57 Total 60,483,794.07 51,241,143.35

3. Classified disclosure according to bad debt accrual method

Applicable □Not applicable

Unit: Yuan Ending balance Beginning balance

Book balance Provision for bad debts Book balance Provision for bad debts

Category Book price Book price provision ratio Provision ratio

Amount Ratio Amount Value Amount Ratio Amount Value

Example Example

By item

4,703,4 4,703,4 4,480,0 4,480,0

Provision for bad debts 7.78% 100.00% 8.74% 100.00%

22.23 22.23 32.28 32.28

Account preparation

Among them:

by combination

55,780, 3,555,0 52,225, 46,761, 2,638,9 44,122, bad provision 92.22% 6.37% 91.26% 5.64%

371.84 46.65 325.19 111.07 00.58 210.49Account preparation

Among them:

13,158, 1,423,9 11,734, 12,611, 931,442 11,680, combination one 21.75% 10.82% 24.61% 7.39%

651.47 60.62 690.85 949.57 .49 507.08

42,621, 2,131,0 40,490, 34,149, 1,707,4 32,441, combination two 70.47% 5.00% 66.65% 5.00%

720.37 86.03 634.34 161.50 58.09 703.41

60,483, 8,258,4 52,225, 51,241, 7,118,9 44,122, total 100.00% 13.65% 100.00% 13.89%

794.07 68.88 325.19 143.35 32.86 210.49 Provision for bad debts on an individual basis: 4,703,422.23

Unit: Yuan Beginning balance Ending balance

Name

Book balance Bad debt provision Book balance Bad debt provision Proportion Provision reason Individual provision expectation

Other credit losses 4,480,032.28 4,480,032.28 4,703,422.23 4,703,422.23 100.00% It is difficult to collect other receivables

Total 4,480,032.28 4,480,032.28 4,703,422.23 4,703,422.23

Provision for bad debts on a group basis: 3,555,046.65

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Unit: Yuan ending balance

Name

Book balance Bad debt provision Provision ratio

Combination one 13,158,651.47 1,423,960.62 10.82% Combination two 42,621,720.37 2,131,086.03 5.00% Total 55,780,371.84 3,555,046.65

Description of what this combination is based on:

Provision for bad debts is made based on the general expected credit loss model:

Unit: Yuan first stage second stage third stage

Expected credit throughout the lifetime Credit expected throughout the lifetime

Provision for bad debts Expected credit in the next 12 months Total

Loss (no credit deduction has occurred Loss (credit deduction has occurred)

loss

value) value)

Balance on January 1, 2025 2,638,900.58 4,480,032.28 7,118,932.86 Balance on January 1, 2025

In this issue

Provision in this period 633,415.84 633,415.84 Transfer in this period 628,372.38 628,372.38 Write-off in this period 1,569,593.69 1,569,593.69 Other changes 1,544,518.45 1,159,567.80 2,704,086.25 as of December 31, 2025

3,555,046.65 4,703,422.23 8,258,468.88

Basis for division of each stage and provision ratio for bad debts

Changes in book balances with significant changes in loss provision during the current period

□Applicable Not applicable

4. Other receivables actually written off in the current period

Unit: Yuan

Item Write-off Amount

The amount of other receivables actually written off was 1,569,593.69. Among them, the important write-off of other receivables:

Unit: Yuan

Write-off of performance Whether the amount is paid by the name of the relevant unit Nature of other receivables Write-off amount Reason for write-off

Procedure The transaction resulted in the company's advance payment of 1.7 million yuan, and customer F

Due to operating difficulties, the company filed a lawsuit and won, and the customer

Customer F Advance payment 1,359,593.69 Civil judgment No

Account F went bankrupt and liquidated, and the company received partial compensation.

The latter amount cannot be compensated.

Total 1,359,593.69

Instructions for writing off other receivables:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

5. Other receivables with the top five closing balances collected by debtors

Unit: Yuan accounted for other receivable period

Name of the unit with the ending balance of bad debt provision Nature of the payment Ending balance Aging Total ending balance

Um

Proportion

Customer A Others 2,211,576.40 Within 1 year 3.66% 110,578.82 Customer B Others 1,200,000.00 1-2 years 1.98% 120,000.00 Customer C Others 1,159,567.80 2-3 years 1.92% 1,159,567.80 Customer D Others 770,000.00 Within 1 year 1.27% 38,500.00 2-3 years

305,323.00 yuan,

Customer E margin, deposit 635,323.00 1.05% 31,766.15 More than 5 years

330,000.00

Total 5,976,467.20 9.88% 1,460,412.77

8. Prepayment

(1) Prepayments are listed based on aging

Unit: Yuan Ending balance Beginning balance

Aging

Amount Ratio Amount Ratio

Within 1 year 201,678,656.67 96.78% 167,277,490.41 98.36% 1 to 2 years 4,908,578.92 2.36% 1,983,289.15 1.17% 2 to 3 years 1,112,644.40 0.53% 323,810.45 0.19% More than 3 years 679,671.94 0.33% 482,750.02 0.28% Total 208,379,551.93 170,067,340.03

Explanation of the reasons why prepayments with an aging of more than 1 year and important amounts are not settled in a timely manner:

(2) Prepayments with the top five closing balances by prepayment objects

Unit name Closing balance (yuan) Proportion of the closing balance of prepayments (%) Reason for non-settlement

Supplier A 23,270,888.46 11.17 Not yet accepted the goods Supplier B 10,153,661.63 4.87 Not yet accepted the goods Supplier C 8,307,382.20 3.99 Not yet accepted the goods Supplier D 7,864,316.67 3.77 Not yet accepted the goods Supplier E 6,170,594.47 2.96 Goods not yet accepted

Total 55,766,843.43 26.76

Other notes:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

9. Inventory

Whether the company needs to comply with the real estate industry’s disclosure requirements

No

(1) Inventory classification

Unit: Yuan Ending balance Beginning balance

Provision for inventory decline Provision for inventory decline

Project

Book balance or contract performance costs Book value Book balance or contract performance costs Book value impairment provision

10,999,061.6 10,931,478.4 Raw materials 7,999,874.40 109,077.57 7,890,796.83 67,583.21

5 4

1,034,860,32 1,025,368,70 842,282,805. 11,526,245.9 830,756,559. Inventory goods 9,491,622.13

4.52 2.39 42 0 52 Turnover materials 1,936,974.17 74,559.06 1,862,415.11 1,867,815.02 75,998.38 1,791,816.64

14,172,221.0 14,172,221.0 16,577,178.1 16,577,178.1Goods shipped

3 3 2 2 Semi-finished products 5,356,529.41 13,738.06 5,342,791.35 3,808,808.91 24,494.01 3,784,314.90

1,064,325,92 1,054,636,92 875,535,669. 11,694,321.5 863,841,347. Total 9,688,996.82

3.53 6.71 12 0 62

(2) Provision for inventory depreciation and provision for impairment of contract performance costs

Unit: Yuan Increase amount in this period Decrease amount in this period

Item Beginning balance Closing balance

Provision Others Reversal or write-off Others

Raw materials 67,583.21 87,864.99 46,370.63 109,077.57

11,526,245.9 13,911,160.8

Inventory goods 7,487,101.32 4,389,435.801 9,491,622.13

0 9

Turnover materials 75,998.38 36,421.07 37,860.39 74,559.06 Semi-finished products 24,494.01 13,738.06 24,494.01 13,738.06

11,694,321.5 14,019,885.9

Total 7,625,125.44 4,389,435.80 9,688,996.82

0 2

Note: 1 Note: Other changes are due to the increase in business combinations not under common control in the current period.

Provision for inventory decline in value on a group basis

Unit: End of the period Beginning of the period

Portfolio name Provision for decline in price Provision for decline in price Provision for decline in price Closing balance Provision for decline in price Opening balance Provision for decline in price

Proportion Proportion The standard for accruing inventory depreciation provisions based on the combination

10. Non-current assets due within one year

Unit: Yuan Anhui Chinese Health Pharmaceutical Co., Ltd. Full text of 2025 annual report

Item Ending balance Beginning balance

Equity transfer payment due in installments within one year 1,918,158.69

Total 1,918,158.69 0.00

(1) Debt investments due within one year

□Applicable Not applicable

(2) Other debt investments due within one year

□Applicable Not applicable

11. Other current assets

Unit: Yuan Item Ending balance Beginning balance

Rent and other deferred expenses 13,545,278.65 15,631,308.46 Taxes to be deducted 16,836,517.53 21,426,273.15 Total 30,381,796.18 37,057,581.61 Other notes:

12. Investment in other equity instruments

Unit: Yuan Designated as fair value included in the current period Included in the current period Accumulated at the end of the period Accumulated at the end of the period

Recognized and measured in the current period and its other comprehensive Other comprehensive accounting is included in its Other comprehensive accounting is included in its

Item name Ending balance Beginning balance Dividend income Changes included in income Loss of income Other comprehensive income Other comprehensive income

Income Other comprehensive gains and losses Gains and losses

original income

Because of Fujian Haihua

12,933,45 639,348.6 748,500.0

Pharmaceutical chain

1.37 3 0

Ltd.

Chizhou City

The company holds Caotang Medicine 5,327,844 163,381.1

Qianlie Company Housing Co., Ltd. .00 4

equity investment companies

Applicants are not from Jiaosuzhou City

Easy to use, Minda Pharmacy 16,526,17 16,526,17 1,210,567

The company limited its chain 3.00 3.00 .74

Designated as a company

Fair Value Mingguang Shide

Measure and its Xiangjishengtang

7,458,292 7,458,292 Changes are included in the pharmacy chain

.00 .00 OTHER COMPREHENSIVE LOCKS CO., LTD.

income rights

Yi Tools invests in Anhui May Day

capital

Pharmacy chain 16,913,16 16,913,16

Lock Co., Ltd. 8.00 8.00

Division

Chuzhou Guosheng 4,626,234 4,626,234

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Yimin Medicine .00 .00

chain limited

company

Fujian Province Yang

Zuhui Civil Medicine 13,972,00 499,000.0

Drug chain has 0.00 0

Ltd.

Hangzhou Guosheng

Large pharmacy chain 4,440,000 425,250.0

Lock Co., Ltd. .00 0

Division

45,523,86 82,197,16 1,563,598 163,381.1 1,959,067

total

7.00 2.37 .63 4 .74

There is termination confirmation in this period

Unit: Yuan

Project name Accumulated gains transferred to retained earnings Accumulated losses transferred to retained earnings Reasons for derecognition

The additional investment reached control and was incorporated into Fujian Haihua Pharmaceutical Chain Co., Ltd. 639,348.63

And report scope

Chizhou Baicaotang Pharmacy Co., Ltd. After friendly negotiation, the two parties terminated the investment relationship

163,381.14

Department of Ren Company

Fujian Province Yangzu Huimin Pharmaceutical Chain Company’s additional investment reached control and was included in the merger

499,000.00

Co., Ltd. and report scope

Hangzhou Guosheng Pharmacy Chain Co., Ltd.’s additional investment reached control and was included in the merger

425,250.00

Company and reporting scope

Disclosure of non-trading equity instrument investments in the current period by items

Unit: Yuan

designated as fair

Other comprehensive income Dividend income measured in value and recognized in other comprehensive income

Project name Accumulated profits Accumulated losses Transfer to retained earnings Changes are included in other Transfer to retained earnings

The amount of comprehensive income is due to

Additional investment reaches Fujian Haihua Pharmaceutical

748,500.00 639,348.63 639,348.63 Controlled, incorporated into Helian Chain Co., Ltd.

The scope of the report is Chizhou City Baicaotang. The company holds the top position. Friendly negotiation, Shuangda Pharmacy Co., Ltd. 163,381.14 -163,381.14 The company's equity investor terminates the investment relationship with the company. The capital is a non-trading relationship.

In the case of Yangzuhui in Fujian Province, the company designated the additional investment in Hangzhou Guosheng Pharmaceutical Chain Co., Ltd. 499,000.00 499,000.00 as under fair control and included it in the joint venture. The changes in Hangzhou Guosheng Pharmaceutical Co., Ltd. were included in other consolidated statements. 425,250.00 425,250.00 The company has the right to comprehensive income. Controlled, included in the scope of joint venture investment instruments and reporting scope of Suzhou Municipal People’s Congress

Pharmacy chain limited 1,210,567.74

company

Other notes:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

13. Long-term receivables

(1) Long-term receivables

Unit: Yuan

Ending balance Beginning balance

Item Bad debt allowance Book balance Discount rate range Book balance Book value Bad debt provision Book value

Reserve amount

Installment collection shares

2,298,842.241 2,298,842.24 2.51% rights transfer amount

Total 2,298,842.24 2,298,842.24 0.00

Note: 1 The company signed an equity repurchase agreement with Chizhou Baicaotang Pharmacy Co., Ltd. (hereinafter referred to as "Chizhou Baicaotang") in June 2025. The agreement stipulates: "Chizhou Baicaotang will repurchase the 10% equity of Chizhou Baicaotang held by the company at the original investment price. The price is 5.3278 million yuan, with 1 million yuan to be paid after the agreement is signed, 2 million yuan to be paid before June 30, 2026, 2 million yuan to be paid before June 30, 2027, and 327,800 yuan to be paid after the industrial and commercial registration of the equity repurchase is completed.”

14. Investment real estate

(1) Investment real estate using cost measurement model

Applicable □Not applicable

Unit: Yuan

Projects Houses and buildings Land use rights Construction in progress Total

1. Original book value

1. Balance at the beginning of the period 12,919,895.56 12,919,895.56 2. Increase in the current period 38,377,830.53 38,377,830.53 (1) Outsourcing

(2) Inventory\

Transfer of fixed assets\projects under construction 38,377,830.53 38,377,830.53

(3) Enterprise cooperation

and increase

3. Reduction amount in this period

(1) Disposal

(2) Other transfers

out

4. Ending balance 51,297,726.09 51,297,726.09

2. Accumulated depreciation and accumulation

Amortization

1. Balance at the beginning of the period 881,528.21 881,528.21 2. Increased amount in the current period 818,165.48 818,165.48 (1) Provision or

818,165.48 818,165.48 Amortization

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

3. Reduction amount in this period

(1) Disposal

(2) Other transfers

out

4. Ending balance 1,699,693.69 1,699,693.69

3. Impairment provision

1. Opening balance

2. Increase amount in this period

(1) Provision

3. Reduction amount in this period

(1) Disposal

(2) Other transfers

out

4. Ending balance

4. Book value

1. Book value at the end of the period 49,598,032.40 49,598,032.40 2. Book value at the beginning of the period 12,038,367.35 12,038,367.35 The recoverable amount is determined based on the net amount of fair value minus disposal costs.

□Applicable Not applicable

The recoverable amount is determined based on the present value of expected future cash flows.

□Applicable Not applicable

Reasons for the obvious inconsistency between the aforementioned information and the information used in impairment testing in previous years or external information

Reasons for the discrepancy between the information used in the company's impairment testing in previous years and the actual situation of that year.

Other notes:

(2) Investment real estate using fair value measurement model

□Applicable Not applicable

(3) Investment real estate that has not completed the ownership certificate

Unit: Yuan

Item Book value Reason for not completing the property ownership certificate Rental office building of Chinese Health Headquarters 37,972,714.17 Still in process Other instructions:

15. Fixed assets

Unit: Yuan

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Item Ending balance Beginning balance

Fixed assets 460,841,046.39 303,499,529.55 Total 460,841,046.39 303,499,529.55

(1) Fixed assets

Unit: yuan office equipment and its

Items Houses and buildings Machinery and equipment Transportation equipment Electronic equipment Total

him

1. Original books

Value:

1. Balance at the beginning of the period 219,195,837. 171,705,814. 12,368,663.1 34,529,651.7 81,624,447.2 519,424,414. Amount 25 90 1 1 1 18 2. Increase in this period 163,251,658. 12,893,701.3 10,630,388.9 18,250,239.6 206,464,632.

1,438,643.82

Add amount 35 2 2 0 01 (1 15,918,280.1

33,663.37 7,913,501.63 819,298.87 2,559,281.95 4,592,534.32

) Purchase 4 (2

163,217,994. 10,443,993.3 178,294,512.) Construction in progress 4,503,787.50 128,736.91

98 0 69 in

(3

12,251,839.1) Increase from business combination 476,412.19 619,344.95 7,942,370.06 3,213,711.98

add

3. Less for this period

52,539.47 426,313.37 1,023,493.32 1,295,889.12 636,126.80 3,434,362.08 Small amount

(1

52,539.47 426,313.37 1,023,493.32 1,295,889.12 636,126.80 3,434,362.08) Disposal or scrapping

4. Ending balance 382,394,956. 184,173,202. 12,783,813.6 43,864,151.5 99,238,560.0 722,454,684. Amount 13 85 1 1 1 11

2. Accumulated depreciation

1. Opening balance 41,634,527.8 87,249,041.8 20,117,385.2 55,781,208.8 212,937,556.

8,155,392.65

Amount 8 4 0 6 43 2. Increase in this period 14,746,220.3 10,762,234.7 11,685,432.9 48,649,012.7

9,411,459.57 2,043,665.11

Added amount 9 7 5 9 (1 14,571,891.3 40,413,003.9

9,411,459.57 1,460,818.79 5,552,114.99 9,416,719.22

) Provision 4 1 (2) Consolidated increase

174,329.05 582,846.32 5,210,119.78 2,268,713.73 8,236,008.88 plus

3. Less for this period

14,557.81 369,195.73 908,341.11 1,147,177.34 520,987.71 2,960,259.70 Less amount

(1

14,557.81 369,195.73 908,341.11 1,147,177.34 520,987.71 2,960,259.70) Disposal or scrapping

4. Ending balance 51,031,429.6 101,626,066. 29,732,442.6 66,945,654.1 258,626,309.

9,290,716.65

Amount 4 50 3 0 52

3. Impairment provision

1. Balance at the beginning of the period 2,987,328.20 2,987,328.20

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Um

2.Increase in this period

Add amount

(1

) accrual

3. Less for this period

small amount

(1

) disposal or scrapping

4. End of period balance

2,987,328.20 2,987,328.20 amount

4. Book value

1. Closing accounts 331,363,526. 79,559,808.1 14,131,708.8 32,292,905.9 460,841,046.

3,493,096.96

Face value 49 5 8 1 39 2. Opening account 177,561,309. 81,469,444.8 14,412,266.5 25,843,238.3 303,499,529.

4,213,270.46

Face value 37 6 1 5 55

(2) Temporarily idle fixed assets

Unit: Yuan

Item Original book value Accumulated depreciation Impairment provision Book value Remarks Office No. 18, Shanghai Road

12,529,261.81 3,759,917.58 8,769,344.23 Buildings for sale or lease

(3) Fixed assets whose property rights certificates have not been obtained

Unit: Yuan

Item Book value Reason for not completing the ownership certificate Chinese Health Headquarters Office Building 156,363,975.58 Still in process

Other notes:

(4) Impairment testing of fixed assets

□Applicable Not applicable

16. Projects under construction

Unit: Yuan

Item Ending balance Beginning balance

Construction in progress 34,729,511.57 168,664,943.29 Total 34,729,511.57 168,664,943.29

(1) Projects under construction

Unit: Yuan

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Ending balance Beginning balance

Project

Book balance Impairment provision Book value Book balance Impairment provision Book value Store decoration project 14,206.78 14,206.78 1,361,035.75 1,361,035.75

144,925,773. 144,925,773. Headquarters building project 2,017,904.12 2,017,904.12

73 73 Cordyceps project 1,603,181.40 1,603,181.40

Shenhua workshop maintenance 31,930,598.5 31,094,219.2 23,214,513.0 22,378,133.8

836,379.24 836,379.24Renovation 1 7 5 1

35,565,890.8 34,729,511.5 169,501,322. 168,664,943. Total 836,379.24 836,379.24

1 7 53 29

(2) Changes in important projects under construction during the current period

Unit: Yuanqi

Engineering

Interest in this period:

Current period Cumulative Current period

Capital transferred in this period This period

Project Budget Beginning of Period Others End of Period Investment Project Interest

Increase Fixed Accumulated Interest Name of Fund Source Number Balance Decrease Balance Accounted for Advance Progress Capital

Amount Assets Accounting Capital

Amount calculation ratio

Amount Amount Funding

Example

Um

Stores 1,36 7,47 693, 8,12 14,2

Renovation 1,03 4,23 947. 7,11 06.7 Other projects 5.75 0.95 15 2.771 8

200, 144, 63,5 168, 38,3

Headquarters 2,01 2,85 1,02

000, 925, 18,7 048, 77,8 104. 100. 2.70

Building 7,90 7,97 8,86 Others

0. 773. 56.1 795. 30.5 22% 00% %

Item 4.12 0.73 7.54

00 73 5 23 3

1,60 1,60

Cordyceps

3,18 3,18 Other projects

1.40 1.40

Shenhua 23,2 18,2 31,9

9,55

Workshop 14,5 67,8 30,5

1,77 Other repairs 13.0 55.7 98.5

0.31

Transformation 5 7 1

200, 169, 90,8 178, 46,5 35,5

2,85 1,02

000, 501, 64,0 294, 04,9 65,8 2.70

Total 7,97 8,86

000.322.24.2 512.43.3 90.8%

0.73 7.54

00 53 7 69 0 1

Note: 1 Note: Other decreases in the store decoration project in this period are transferred to long-term deferred expenses, and other decreases in the headquarters building project in this period are transferred to investment real estate.

(3) Provision for impairment of projects under construction in the current period

Unit: Yuan

Item Beginning balance Increase in the current period Decrease in the current period Closing balance Reasons for accrual: Shenhua workshop maintenance modification Subsidiary planning and adjustment - mask production line net adjustment, not expected to be reused

836,379.24 836,379.24

Chemical installation and xanthan gum production masks and xanthan crushing line glue. Total 836,379.24 836,379.24 --

Other notes:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(4) Impairment testing of projects under construction

□Applicable Not applicable

17. Right-of-use assets

(1) Right-of-use assets

Unit: Yuan

Project Houses and Buildings Total

1. Original book value

1. Opening balance 998,014,507.63 998,014,507.63 2. Increase in current period 440,950,194.57 440,950,194.57 (1) Purchase 280,024,888.31 280,024,888.31 (2) Increase in business combination 160,925,306.26 160,925,306.26 3. Decrease amount in this period 349,819,161.95 349,819,161.95

2. Ending balance 1,089,145,540.25 1,089,145,540.25

2. Accumulated depreciation

1. Balance at the beginning of the period 502,381,617.67 502,381,617.67 2. Increase in the current period 366,886,836.57 366,886,836.57

(1) Provision 291,055,002.59 291,055,002.59 (2) Increase due to business combination 75,831,833.98 75,831,833.98 3. Decrease in the current period 269,549,500.78 269,549,500.78

(1) Disposal

4. Ending balance 599,718,953.46 599,718,953.46

3. Impairment provision

1. Opening balance

2. Increase amount in this period

(1) Provision

3. Reduction amount in this period

(1) Disposal

4. Ending balance

4. Book value

1. Book value at the end of the period 489,426,586.79 489,426,586.79 2. Book value at the beginning of the period 495,632,889.96 495,632,889.96

(2) Impairment testing of right-of-use assets

□Applicable Not applicable

Other notes:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

18. Intangible assets

(1) Intangible assets

Unit: Yuan

Item Land use rights Patent rights Non-patented technology Software Trademark Total

1. Original book value

1. Opening balance 47,066,090.5 13,591,742.1 19,381,226.8 83,121,432.0

3,028,103.06 54,269.42

Amount 7 0 9 4 2. Increase in this period

0.00 17,810.16 0.00 2,471,720.30 192,079.21 2,681,609.67Add amount

(1

0.00 0.00 507,811.96 192,079.21 699,891.17) Purchase

(2

)Internal R&D

(3

) Business combination increased 1,963,908.34 1,963,908.34 added

(4) Development support

17,810.16 17,810.16 Transfer in and out

3. Less for this period

small amount

(1

) disposal

4. Ending balance 47,066,090.5 16,063,462.4 19,573,306.1 85,803,041.7

3,045,913.22 54,269.42

7 0 0 1

2. Accumulated amortization

1. Opening balance 15,916,347.2

5,320,585.63 2,534,367.63 32,787.40 5,821,181.55 2,207,425.03

Amount 4 2. Increase in this period

2,179,837.67 115,868.62 2,713.44 2,642,244.46 1,046,154.94 5,986,819.13 plus amount

(1

2,179,837.67 115,868.62 2,713.44 1,201,296.41 1,046,154.94 4,545,871.08) Provision

(2) Enterprise partnership

1,440,948.05 1,440,948.05 and increase

3. Less for this period

small amount

(1

) disposal

4. Ending balance 21,903,166.3

7,500,423.30 2,650,236.25 35,500.84 8,463,426.01 3,253,579.97

amount 7

3. Impairment provision

1. Balance at the beginning of the period

Um

2.Increase in this period

Add amount

(1

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

) accrual

3. Less for this period

small amount

(1

) disposal

4. End of period balance

Um

4. Book value

1. Closing accounts 39,565,667.2 16,319,726.1 63,899,875.3

395,676.97 18,768.58 7,600,036.39

Face value 7 3 4 2. Opening account 41,745,504.9 17,173,801.8 67,205,084.8

493,735.43 21,482.02 7,770,560.55

Face value 4 6 0

At the end of the current period, the intangible assets formed through the company's internal research and development accounted for 0.00% of the balance of intangible assets.

(2) Data resources recognized as intangible assets

□Applicable Not applicable

(3) Impairment testing of intangible assets

□Applicable Not applicable

19. Goodwill

(1) Original book value of goodwill

Unit: yuan Name of invested unit Increase in this period Decrease in this period

Goodwill is called or formed. Opening balance formed by business combination. Closing balance

Dispose

matters of

35,399,929.5 35,399,929.5 Wuhu Guosheng

4 4 46,372,960.0 46,372,960.0 Anqing Guosheng

0 0 68,232,822.6 68,232,822.6 Bozhou Guosheng

3 3 Anhui Quanfang 3,100,000.00 3,100,000.00 Nanjing Tonghetang 36,949,857.59 36,949,857.59 48,311,863.8 48,311,863.8 Huangshan Guosheng

1 1 10,668,769.9 10,668,769.9 Huainan Guosheng

1 1 Guangde Sheng 9,069,596.00 9,069,596.00 12,069,461.0 12,069,461.0 Liu'an Guosheng

0 0 Maanshan Guosheng 186,572,560.45 186,572,560.45 132,265,152. 132,265,152. Jiangsu Shenhua

26 26

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

56,192,774.1 56,192,774.1 Do nothing to win the country

2 2 105,356,576. 105,356,576. Lu'an Ping An

70 70 102,971,533. 102,971,533.Zhoushan Liken

26 26 44,956,808.3 44,956,808.3 Fuyang Guosheng

1 1 76,620,653.1 76,620,653.1 Anji People’s Yuan

3 3 30,461,089.9 30,461,089.9 Deqing Guosheng

8 8

131,593,935. 131,593,935. Fujian Yangzu

08 08

94,988,141.6

Hangzhou Guosheng 94,988,141.62

139,533,679. 139,533,679.Fujian Haihua

04 04Hefei Wei Meiyuan 32,561.25 32,561.25 1,005,572,408. 366,148,316. 1,371,720,725. Total

69 99 68

(2) Goodwill impairment provision

Unit: Yuan

Name of invested unit Increase in this period Decrease in this period

Goodwill is called or formed. Balance at the beginning of the period. Balance at the end of the period.

Provision Disposal

matters

17,200,000.0 19,749,857.5 36,949,857.5 Nanjing Tonghetang

0 9 9 Maanshan Guosheng 21,124,941.10 21,124,941.10

31,237,237.9 31,237,237.9 Hangzhou Guosheng

8 8 17,200,000.0

Total 72,112,036.67 89,312,036.67

(3) Relevant information about the asset group or asset group combination where the goodwill is located

The composition of the asset group or portfolio to which it belongs and

Name, operating segment and basis. Is it consistent with previous years?

Basis

Wuhu Guosheng The value of Wuhu Guosheng’s related asset groups can independently generate cash inflows Yes

Anqing Guosheng The value of Anqing Guosheng’s related asset groups can independently generate cash inflows Yes

Bozhou Guosheng Bozhou Guosheng related asset group value Can independently generate cash inflow Yes

Huangshan Guosheng Huangshan Guosheng related asset group value Can independently generate cash inflow Yes

Huainan Guosheng The value of Huainan Guosheng’s related asset groups can independently generate cash inflows Yes

Lu'an Guosheng The value of Lu'an Guosheng's related asset groups can independently generate cash inflows Yes

Guangdesheng Guangdesheng’s related asset group value can independently generate cash inflows Yes

Maanshan Guosheng Maanshan Guosheng related asset group value Can independently generate cash inflow Yes

Wuwei Guosheng The value of Wuwei Guosheng’s related asset groups can independently generate cash inflows Yes

Lu'an Ping An The value of Lu'an Ping An's related asset groups can independently generate cash inflows Yes

Fuyang Guosheng Fuyang Guosheng related asset group value Can independently generate cash inflow Yes

Zhoushan Liken Zhoushan Liken related asset group value can independently generate cash inflow Yes

Anji Baixingyuan The value of Anji Baixingyuan related asset group can independently generate cash inflow Yes

Nanjing Tonghetang The value of Nanjing Tonghetang’s related asset groups can independently generate cash inflows Yes

Deqing Guosheng Deqing Guosheng related asset group value Can independently generate cash inflow Yes

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Hangzhou Guosheng Hangzhou Guosheng related asset group value Can independently generate cash inflow Yes

Fujian Haihua Fujian Haihua related asset group value Can independently generate cash inflow Yes

Fujian Yangzu Fujian Yangzu related asset group value Can independently generate cash inflow Yes

Anhui Quanfang The value of Anhui Quanfang’s related asset groups can independently generate cash inflows Yes

Jiangsu Shenhua Jiangsu Shenhua related asset group value Can independently generate cash inflow Yes

Changes in asset group or asset group combination

Name Composition before the change Composition after the change Objective facts and basis for the change Other explanations

(4) Specific determination method of recoverable amount

The recoverable amount is determined as the net amount after fair value minus disposal costs.

□Applicable Not applicable

The recoverable amount is determined based on the present value of expected future cash flows.

Applicable □Not applicable

Unit: Yuan Collectable Closing book value in the stable period Impairment Forecast period Key parameters in the stable period

Project Cash Back Key Parameters of the Forecast Period Key Parameters Exact Value Amount Number of Years

Rated based on forecast period revenue growth: 0%, 0%,

Stable period income growth

0%, 0%, 0%; Gross profit margin during the forecast period: Management basis 77,50

Rate: 0%; stable period gross

34.09%, 34.09%, 34.09%, historical operating status Wuhu 38,902, 0,000. Interest rate: 34.09%; stable

5 years 34.09%, 34.09%; sales management status during the forecast period and future Guosheng 229.51 00 Regular sales management fees

Expense ratio: 27.29%, 26.3%, market expectations

Utilization rate: 26.63%, predicted 26.42%, 26.7%, 26.96%

Revenue growth rate during the forecast period: 3.17%, 0%,

Stable period income growth

0%, 0%, 0%; Gross profit margin during the forecast period: Management basis 103,4

Rate: 0%; stable period gross

34.58%, 34.58%, 34.58%, historical operating status Anqing 62,585, 00,00 Interest rate: 34.58%; stable

5 years 34.58%, 34.58%; sales management status during the forecast period and future Guosheng 974.44 0.00 Regular sales management fees

Expense ratio: 23.95%, 23.77%, market expectations

Utilization rate: 23.19%, predicted 23.61%, 23.65%, 23.46%

Revenue growth rate during the forecast period: 6.19%,

Stable period income growth

5.01%, 3%, 0.99%, 1.01%; forecast management basis 88,30

Rate: 0%; stable period gross

Period gross profit margin: 34.83%, 34.83%, historical operating status Bozhou 86,823, 0,000. Interest rate: 34.83%; stable

5 years 34.83%, 34.83%, 34.83%; forecast period and future Guosheng 532.92 00 Regular sales and management fees

Sales and administrative expense ratio: 26.43%, market expectation

Usage rate: 24.5%, predicted 25.5%, 24.77%, 25.03%, 24.81%

Revenue growth rate during the forecast period: 4.09%,

Stable period income growth

6.01%, 4.99%, 5.01%, 5.01%; pre-management basis 53,20

Rate: 0%; stable period gross

Gross profit margin during the test period: 37.05%, 37.05%, historical operating status Huangshan 51,176, 0,000. Interest rate: 37.05%; stable

5 years 37.05%, 37.05%, 37.05%; forecast period and future Guosheng 417.62 00 Regular sales and management fees

Sales and administrative expense ratio: 34.22%, market expectation

Utilization rate: 27.74%, predicted 32.16%, 30.82%, 28.75%, 27.44%

Huainan 17,851, 21,80 Revenue growth rate during the forecast period: -3%, 1%, revenue growth during the stable period Management basis 5 years

Guosheng 228.77 0,000. 1%, 0%, 0%; gross profit margin in the forecast period: 0%; gross historical operating status in the stable period

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

00 38.46%, 38.46%, 38.46%, interest rate: 38.46%; stable situation and future 38.46%, 38.46%; forecast period sales management regular sales management fees market expected expense rate: 32.79%, 32.81%, utilization rate: 31%, forecast 32.47%, 31.16%, 30.74%

Revenue growth rate during the forecast period: 27.44%,

Stable period income growth

1.01%, 1%, 0.99%, 0%; gross management basis during the forecast period 39,70

Rate: 0%; stable period gross

Interest rates: 44.12%, 44.12%, 44.12%, historical operating status Lu'an 13,358, 0,000. Interest rates: 44.12%; stable

5 years 44.12%, 44.12%; sales management status during the forecast period and future Guosheng 638.45 00 Regular sales management fees

Expense ratio: 27.82%, 28.1%, market expectations

Utilization rate: 27.83%, predicted 27.85%, 27.24%, 27.39%

Revenue growth rate during the forecast period: 13%, 6%,

Stable period income growth

5%, 5%, 5%; Gross profit margin during the forecast period: Management basis 19,30

Rate: 0%; stable period gross

41.39%, 41.39%, 41.39%, historical operating status Guangde 9,686,8 0,000. Interest rate: 41.39%; stable

5 years 41.39%, 41.39%; sales management status during the forecast period and future Guosheng 14.59 00 Regular sales management fees

Expense ratio: 29.02%, 27.63%, market expectations

Utilization rate: 28%, predicted 26.53%, 25.25%, 24.32%

Revenue growth rate during the forecast period: 7.2%,

Stable period income growth

15.15%, 13.16%, 4.65%, 2.22%; management basis 328,0

Rate: 0%; stable period gross

Maan 41,42 Gross profit margin during the forecast period: 28.16%, 28.16%, Historical operating status 369,421 00,00 Interest rate: 28.16%; stable

Shanguo 1,453 5 years 28.16%, 28.16%, 28.16%; forecast period and future success, 453.13 0.00 .131 Sales and administrative expense rate: 22.54%, regular sales and administrative expenses market expectations

Utilization rate: 17%, predicted 19.81%, 17.93%, 17.17%, 16.86%

Revenue growth rate during the forecast period: 6.79%,

Stable period income growth

5.01%, 4.99%, 5%, 4.99%; forecast management basis 103,2

Rate: 0%; stable period gross

Gross profit margin for the period: 37.85%, 37.85%, historical operating status: 59,034, 00,00 Interest rate: 37.85%; stable

5 years 37.85%, 37.85%, 37.85%; forecast period and future Guosheng 480.95 0.00 Regular sales and management fees

Sales and administrative expense ratio: 28.19%, market expectation

Usage rate: 24%, predicted 27.13%, 26.16%, 24.92%, 23.98%

Revenue growth rate during the forecast period: 7.04%, 3%,

Stable period income growth

3%, 1%, 1%; Gross profit margin during the forecast period: Management basis 136,7

Rate: 0%; stable period gross

35.98%, 35.98%, 35.98%, historical operating status Lu’an 133,348 00,00 Interest rate: 35.98%; stable

5 years 35.98%, 35.98%; sales management status during the forecast period and peace of mind for the future, 363.46 0.00 Regular sales management fees

Expense ratio: 23.83%, 23.56%, market expectations

Utilization rate: 23.01%, predicted 23.2%, 22.94%, 22.62%

Revenue growth rate during the forecast period: 6%, 1%,

Stable period income growth

1%, 0%, 0%; Gross profit margin during the forecast period: Management basis 50,30

Rate: 0%; stable period gross

41.87%, 41.87%, 41.87%, historical operating status Fuyang 46,051, 0,000. Interest rate: 41.87%; stable

5 years 41.87%, 41.87%; sales management status during the forecast period and future Guosheng 308.31 00 Regular sales management fees

Expense ratio: 31.38%, 31.93%, market expectations

Utilization rate: 32%, predicted 31.7%, 31.69%, 31.99%

Revenue growth rate during the forecast period: 1.22%, 2%,

Stable period income growth

2%, 1%, 1%; Gross profit margin during the forecast period: Management basis 187,3

Rate: 0%; stable period gross

40.66%, 40.66%, 40.66%, historical operating status Zhoushan 175,344 00,00 Interest rate: 40.66%; stable

5 years 40.66%, 40.66%; sales management status during the forecast period and likelihood for the future, 142.78 0.00 Regular sales management fees

Expense ratio: 30.52%, 30.49%, market expectations

Usage rate: 30.72%, predicted 30.29%, 30.57%, 30.74%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Revenue growth rate during the forecast period: 1%, 5%,

Stable period income growth

3%, 2%, 0%; Gross profit margin during the forecast period: Management basis 155,0

Rate: 0%; stable period gross

Anji 30.79%, 31.01%, 31.15%, historical operating status 152,070 00,00 Interest rate: 31.24%; stable

People 5 years 31.24%, 31.24%; sales management status during the forecast period and for the future, 737.88 0.00 Regular sales management fees

Expense ratio: 21.75%, 21.04%, market expectations

Utilization rate: 21%, predicted 20.8%, 20.48%, 20.54%

Revenue growth rate during the forecast period: 0%, 0%,

Stable period income growth

• 0%, 0%, 0%; gross profit margin in the forecast period: 0%; gross profit margin in the stable period Management based on Nanjing 26,70 19,74 30.59%, 30.59%, 30.59%, historical operating conditions 19,950, profit rate: 30.59%; stable

Tonghe 0,000. 9,857 5 years 30.59%, 30.59%; sales management status during the forecast period and regular sales management fees for the future 921.45

Tang 00.59 Expense ratio: 36.35%, 36.33%, market expectations

Utilization rate: 37%, predicted 36.46%, 37.04%, 37.01%

Revenue growth rate during the forecast period: 9.34%,

Stable period income growth

9.99%, 9%, 7.99%, 8%; gross management basis during the forecast period 31,50

Rate: 0%; stable period gross

Interest rates: 32.43%, 32.43%, 32.43%, historical operating conditions Deqing 31,152, 0,000. Interest rates: 32.43%; stable

5 years 32.43%, 32.43%; sales management status during the forecast period and future Guosheng 852.43 00 Regular sales management fees

Expense ratio: 29.29%, 26.76%, market expectations

Utilization rate: 22%, predicted 24.84%, 23.09%, 21.34%

Revenue growth rate during the forecast period: 3%, 8%,

Stable period income growth

8%, 5%, 5%; Gross profit margin during the forecast period: Management basis 66,00

Rate: 0%; stable period gross

31,23 39.96%, 39.96%, 39.96%, historical operating status Hangzhou 97,237, 0,000. Interest rate: 39.96%; stable

7,237 5 years 39.96%, 39.96%; sales management status during the forecast period and future Guosheng 237.98 00 Regular sales management fees

.98 Expense ratio: 37.61%, 35.24%, market expectations

Utilization rate: 30%, predicted 33.07%, 31.7%, 30.15%

Revenue growth rate during the forecast period: 2.37%,

Stable period income growth

2.5%, 2.5%, 2%, 2%; Gross profit during the forecast period Management basis 268,6

Rate: 0%; stable period gross

Interest rate: 34.02%, 34.02%, 34.02%, Historical operating status Fujian 263,423 00,00 Interest rate: 34.02%; stable

5 years 34.02%, 34.02%; sales management status during the forecast period and future Haihua, 629.34 0.00 Regular sales management fees

Expense ratio: 26.23%, 25.62%, market expectations

Usage rate: 23.94%, predicted 24.99%, 24.27%, 23.71%

Revenue growth rate during the forecast period: 4.23%, 5%,

Stable period income growth

5%, 3%, 3%; Gross profit margin during the forecast period: Management basis 276,8

Rate: 0%; stable period gross

Fujian 34.11%, 34.11%, 34.11%, historical operating status 273,982 00,00 Interest rate: 34.11%; stable

Shengyang 5 years 34.11%, 34.11%; sales management status during the forecast period and for the future, 0.9431 0.00 regular sales management fees

Zu expense ratio: 28.65%, 27.48%, market expectations

Utilization rate: 24.18%, predicted 26.28%, 24.93%, 24.39%

Revenue growth rate during the forecast period: 9%, 8%,

Stable period income growth

3%, 3%, 2%; Gross profit margin during the forecast period: Management basis 10,40

Rate: 0%; stable period gross

14.14%, 14.78%, 15.01%, historical operating status Anhui 3,732,8 0,000. Interest rate: 15.43%; stable

5 years 15.27%, 15.43%; sales management status during the forecast period and overall future prospects 70.31 00 Regular sales management fees

Expense ratio: 14.77%, 14.14%, market expectations

Utilization rate: 13.65%, predicted 13.97%, 13.68%, 13.6%

Revenue growth rate during the forecast period: 3.24%,

Income growth in the stable period management based on 304,3 2.08%, 2.1%, 0.71%, 0.71%; forecast historical operating conditions Jiangsu 290,418 00,00 5-year gross profit margin: 46.11%, 46.34%, rate: 0%; stable period gross conditions and future Shenhua, 216.64 0.00 Interest rate: 48.13%; stable

47.52%, 47.7%, 46.96%; forecast period sales market expectations

Regular sales and management fees

Sales and administrative expense ratio: 28.81%, 28.86%, forecast

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

28.73%, 28.45%, 28.45% Utilization rate: 28% 2,294

2,195,5 92,40

,600,

Total 53,145. 8,548

000.0

27.70

Note: 1 The impairment amount in the above table is the entire goodwill impairment amount corresponding to 100% of the enterprise value

Reasons for the obvious inconsistency between the aforementioned information and the information used in impairment testing in previous years or external information

Reasons for the discrepancy between the information used in the company's impairment testing in previous years and the actual situation of that year.

(5) Completion of performance commitments and corresponding impairment of goodwill

There is a performance commitment when goodwill is formed and the reporting period or the previous period of the reporting period is within the performance commitment period

Applicable □Not applicable

Unit: Yuan Performance Commitment Completion Status Goodwill Impairment Item Current Period Previous Period

Commitment performance for this period Previous period Actual performance Completion rate Commitment performance Actual performance Completion rate

13,090,00 13,716,63 12,230,00 11,806,07

Zhoushan Liken 104.79% 96.53%

0.00 1.53 0.00 1.17

Anji Common People 10,115,00 11,536,31 9,750,000 10,144,62

114.05% 104.05% margin 0.00 6.11 .00 6.28

13,600,00 13,860,67

Fujian Yangzu 101.92%

0.00 5.41

14,470,30 16,388,49

Fujian Haihua 113.26%

0.00 5.62

Other notes:

The committed performance for this period in the table above is the net profit after deducting non-recurring gains and losses in 2025. The cumulative performance commitment completion status is as follows:

Unit: 10,000 yuan

Completion of performance commitments

Project 2025 to the end of the period

Promised performance Actual performance Completion rate Zhoushan Liken 1,309 1,371.66 102.18% Anji Baixingyuan 976.5 1,153.63 109.14% Fujian Yangzu 1,360 1,386.07 101.92% Fujian Haihua 1,447.03 1,638.85 113.26%

20. Long-term deferred expenses

Unit: Yuan

Item Beginning balance Increase in the current period Amortization amount in the current period Other decreases Closing balance Decoration expenses 42,822,670.17 27,458,432.54 18,438,301.87 51,842,800.84

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Lease transfer fee 9,732,456.54 21,516,886.59 8,828,969.82 22,420,373.31 Store acquisition transfer fee 2,517,860.89 -24,264.00 1,247,880.15 1,245,716.74 Others 1,219,538.50 761,954.19 443,670.46 1,537,822.23Total 56,292,526.10 49,713,009.32 28,958,822.30 77,046,713.12Other instructions:

21. Deferred income tax assets/deferred income tax liabilities

(1) Deferred income tax assets without offset

Unit: Yuan Ending balance Beginning balance

Project

Deductible temporary differences Deferred income tax assets Deductible temporary differences Deferred income tax assets Asset impairment provision 39,641,632.17 9,613,132.27 39,180,046.23 9,491,349.70 Unrealized profits from internal transactions 9,877,881.02 2,302,465.59 1,298,164.73 324,541.18 Deductible losses 137,524,816.61 29,557,802.21 98,836,209.28 23,239,517.54 Member points 840,311.15 210,077.79 1,146,722.75 286,680.69 Lease liabilities 519,741,170.68 129,420,555.50 523,227,768.75 130,333,700.40 Deferred income 1,808,643.83 271,296.57 806,233.25 120,934.99 Accrued expenses 2,086,845.11 313,026.77 2,632,241.29 417,771.69 Acquisition long-term deferred expenses

31,315,774.13 2,445,938.71 1,385,766.07 342,498.57 Difference in sales tax rate

Total 742,837,074.70 174,134,295.41 668,513,152.35 164,556,994.76

(2) Deferred income tax liabilities without offset

Unit: Yuan Ending balance Beginning balance

Project

Taxable temporary differences Deferred income tax liabilities Taxable temporary differences Deferred income tax liabilities Right-of-use assets 489,426,586.79 122,356,646.70 495,632,889.96 123,908,222.49 Non-consolidated fair value

33,236,100.36 5,624,534.85 39,464,265.03 5,986,999.06Change

One-time deduction for fixed assets 3,862,523.13 579,378.47 4,387,245.45 658,086.82 Total 526,525,210.28 128,560,560.02 539,484,400.44 130,553,308.37

(3) Deferred income tax assets or liabilities presented on a net basis after offsetting

Unit: Yuan Deferred income tax assets and liabilities Deferred income tax assets after offset Deferred income tax assets and liabilities Deferred income tax items after offset

Offset amount at the end of the debt period Ending balance of assets or liabilities Offset amount at the beginning of the debt period Deferred income tax assets 122,356,646.70 51,777,648.71 123,908,222.49 40,648,772.27 Deferred income tax liabilities 122,356,646.70 6,203,913.32 123,908,222.49 6,645,085.88

(4) Details of deferred income tax assets not recognized

Unit: Yuan

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Item Ending balance Beginning balance

Deductible temporary differences 211,623.35 216,870.04 Deductible losses 23,708,089.90 10,148,740.19 Total 23,919,713.25 10,365,610.23

(5) Deductible losses that have not been recognized as deferred income tax assets will expire in the following years

Unit: Yuan

Year Ending amount Beginning amount Remarks

2025 2,121,519.61

2026 2,801,241.63 2,801,241.63

2027 1,131,934.03 1,131,934.03

2028 2,563,007.05 2,563,007.05

2029 1,531,037.87 1,531,037.87

2030 15,680,869.32

Total 23,708,089.90 10,148,740.19

Other notes:

22. Other non-current assets

Unit: Yuan Ending balance Beginning balance

Project

Book balance Impairment provision Book value Book balance Impairment provision Book value Prepaid long-term assets 13,438,219.9 13,438,219.9

9,469,029.99 9,469,029.99

Payment 8 8 Prepaid Equity Acquisition

2,475,000.00 2,475,000.00

money

11,944,029.9 11,944,029.9 13,438,219.9 13,438,219.9Total

9 9 8 8Other instructions:

23. Assets whose ownership or use rights are restricted

Unit: End of the period Beginning of the period

Project

Book balance Book value Restriction type Restriction situation Book balance Book value Restriction type Restriction situation Bill guarantee Bill deposit, not goldable, not allowed

694,444,4 694,444,4 Withdraw at any time 688,758,1 688,758,1 Withdraw monetary funds at any time Pledge Pledge

51.06 The platform balance of 51.06 51.93 The platform balance of 51.93 and farmers' amount and migrant workers' deposit. Workers' deposit

156,363,97 156,363,97 117,547,0 117,547,0

Fixed assets mortgage Mortgage loan Mortgage Mortgage loan 5.58 5.58 59.84 59.84

9,975,449 9,975,449 25,058,79 25,058,79

Intangible assets Mortgage Mortgage loan Mortgage Mortgage loan

.16 .16 7.13 7.13

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

2,017,904 2,017,904 144,925,7 144,925,7

Construction in progress Mortgage Borrowing mortgage Mortgage Mortgage borrowing

.12 .12 73.73 73.73

Investment housing 37,972,71 37,972,71

mortgage loan mortgage

Real estate 4.17 4.17

900,774,49 900,774,49 976,289,7 976,289,7

total

4.09 4.09 82.63 82.63

Other notes:

24. Short-term borrowing

(1) Classification of short-term loans

Unit: Yuan

Item Ending balance Beginning balance

Pledged loan 312,000,000.00 Guaranteed loan 345,301,321.69

Credit loans 4,917,395.83 Total 345,301,321.69 316,917,395.83 Description of short-term loan classification:

25. Notes payable

Unit: Yuan

Category Ending balance Beginning balance

Bank acceptance bill 1,239,509,256.19 831,209,806.72 Total 1,239,509,256.19 831,209,806.72 The total amount of bills payable that has expired but not been paid at the end of the period is 0.00 yuan, and the reason for unpaid due is none.

26. Accounts payable

(1) Presentation of accounts payable

Unit: Yuan

Item Ending balance Beginning balance

Payables for goods and services 423,278,778.06 311,789,908.94 Payables for long-term assets 3,404,451.73 15,227,478.33 Total 426,683,229.79 327,017,387.27

(2) Is there any overdue payment to small and medium-sized enterprises?

Is it a large enterprise?

Yes □No

Are there any overdue payments to small and medium-sized enterprises?

□Yes No

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

27. Other payables

Unit: Yuan

Item Ending balance Beginning balance

Interest payable 0.00 0.00Dividend payable 7,681,037.39 7,681,037.39Other payables 101,591,271.50 161,837,320.87Total 109,272,308.89 169,518,358.26

(1) Dividends payable

Unit: Yuan

Item Ending balance Beginning balance

Dividends payable to minority shareholders of Anji Baixingyuan 7,681,037.39 7,681,037.39 Total 7,681,037.39 7,681,037.39 Other explanations, including important dividends payable that have not been paid for more than one year, the reasons for non-payment should be disclosed:

(2) Other payables

1. List other payables according to the nature of the payment

Unit: Yuan

Item Ending balance Beginning balance

Current accounts payable for asset acquisition and other transactions 12,717,416.88 78,871,888.30 Deposits and guarantees collected 13,581,816.70 13,164,332.13 Expenses and withholdings and others 75,292,037.92 69,801,100.44 Total 101,591,271.50 161,837,320.87Other instructions:

28. Advance payments

(1) Presentation of advance receipts

Unit: Yuan

Item Ending balance Beginning balance

Prepayment of lease payments 5,274,346.05 5,742,740.66 Total 5,274,346.05 5,742,740.66

29. Contract liabilities

Unit: Yuan

Item Ending balance Beginning balance

Payment 36,749,004.86 30,222,172.45 Member points 840,311.15 1,146,722.75

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Total 37,589,316.01 31,368,895.20 Important contract liabilities aged more than 1 year

Unit: Yuan

Item Closing balance Reason for outstanding or carried forward

Amount and reasons for significant changes in book value during the reporting period

Unit: Yuan

Item Amount of change Reason for change

30. Payable to employees’ compensation

(1) Presentation of employee benefits payable

Unit: Yuan

Item Opening balance Increase in the current period Decrease in the current period Ending balance

1. Short-term salary 60,313,577.64 726,192,947.31 708,880,367.32 77,626,157.63

2. Post-employment benefits-settings

11,031.05 63,034,152.50 62,864,818.70 180,364.85 Withdrawal plan

3. Dismissal benefits 322,000.00 322,000.00

Total 60,324,608.69 789,549,099.81 772,067,186.02 77,806,522.48

(2) Presentation of short-term remuneration

Unit: Yuan

Item Opening balance Increase in the current period Decrease in the current period Ending balance

1. Salary, bonus, allowance

59,980,689.59 666,929,533.74 651,594,581.79 75,315,641.54 and subsidies

2. Employee welfare fees 63,830.73 9,233,430.98 9,256,826.04 40,435.67

3. Social insurance premiums 18,985.72 30,288,127.49 30,203,082.72 104,030.49 including: medical insurance

17,355.15 28,243,507.12 28,160,663.75 100,198.52 fee

Work injury insurance

1,630.57 1,649,481.42 1,647,280.02 3,831.97 fee

maternity insurance

395,138.95 395,138.95

fee

4. Housing provident fund 12,317.00 10,916,122.23 10,920,150.23 8,289.00

5. Trade union funds and employee education

237,754.60 8,825,732.87 6,905,726.54 2,157,760.93 Education funds

Total 60,313,577.64 726,192,947.31 708,880,367.32 77,626,157.63

(3) Display of defined contribution plan

Unit: Yuan

Item Opening balance Increase in the current period Decrease in the current period Ending balance

1. Basic pension insurance 11,031.05 60,901,735.52 60,737,908.16 174,858.41

2. Unemployment insurance premium 2,132,416.98 2,126,910.54 5,506.44 Total 11,031.05 63,034,152.50 62,864,818.70 180,364.85

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Other notes:

31. Taxes payable

Unit: Yuan

Item Ending balance Beginning balance

Value-added tax 16,469,718.01 6,978,097.80 Corporate income tax 38,140,608.13 20,632,856.66 Personal income tax 1,075,771.89 396,520.84 Urban maintenance and construction tax 893,251.50 470,473.07 Education fee surcharge 669,356.47 355,808.50 Property tax 917,083.81 559,993.67 Land use tax 190,998.70 185,861.35 Stamp tax 1,305,579.75 974,874.92 Local funds and others 695,892.26 603,492.86Total 60,358,260.52 31,157,979.67Other instructions:

32. Non-current liabilities due within one year

Unit: Yuan

Item Ending balance Beginning balance

Long-term borrowings due within one year 179,364,903.04 116,019,356.13 Long-term payables due within one year 75,400,000.00 Lease liabilities due within one year 199,707,336.52 210,438,085.43 Total 379,072,239.56 401,857,441.56Other instructions:

33. Other current liabilities

Unit: Yuan

Item Ending balance Beginning balance

Output tax to be transferred 4,688,897.05 3,430,767.13 Total 4,688,897.05 3,430,767.13 Increase or decrease in short-term bonds payable:

Unit: yuan per face

Overflow discount

Bond Par Issue Bond Issuance Beginning of Period Value of Current Period End of Period Whether

face value price spread

Name Interest Rate Date Term Amount Balance Issuance Profit Repayment Balance Default Cancellation

information

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

total

Other notes:

34. Long-term borrowing

(1) Classification of long-term loans

Unit: Yuan

Item Ending balance Beginning balance

Pledge loan 157,240,000.00 66,700,000.00 Guaranteed loan 103,540,000.00 105,300,000.00 Credit loan 88,000,000.00

Mortgage + guaranteed loan 58,299,369.18 124,326,710.54 Pledge + guaranteed loan 62,498,537.00 Total 407,079,369.18 358,825,247.54 Description of long-term loan classification:

Other instructions, including interest rate ranges:

35. Lease liabilities

Unit: Yuan

Item Ending balance Beginning balance

Unpaid lease payments 227,736,219.85 231,440,808.99 Less: Unrecognized financing costs -7,654,515.73 -8,589,154.95 Total 220,081,704.12 222,851,654.04 Other notes:

36. Long-term payables

Unit: Yuan

Item Ending balance Beginning balance

Long-term accounts payable 4,500,000.00

Total 4,500,000.00 0.00

(1) List long-term payables according to the nature of the payment

Unit: Yuan

Item Ending balance Beginning balance

Payable for equity acquisition of Hangzhou Guosheng 4,500,000.00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Other notes:

37. Deferred income

Unit: Yuan Item Beginning balance Increase in the current period Decrease in the current period Ending balance Reasons for formation

Jinhu County Industry and Information Technology Government Subsidy 806,233.25 1,200,000.00 197,589.42 1,808,643.83 Information Technology Bureau Equipment Subsidy

Total 806,233.25 1,200,000.00 197,589.42 1,808,643.83

Other notes:

38. Share capital

Unit: Yuan Increase or decrease in this change (+, -)

Balance at the beginning of the period Balance at the end of the period Issuance of new shares Bonus shares Conversion of public reserve funds Others Subtotal

400,010,00 400,010,00 Total shares

0.00 0.00Other instructions:

39. Capital reserve

Unit: Yuan Item Beginning balance Increase in the current period Decrease in the current period Ending balance

capital premium (equity premium

977,861,267.71 61,064,262.61 916,797,005.10 price)

Total 977,861,267.71 61,064,262.61 916,797,005.10 Other explanations, including changes in increases and decreases in the current period and explanation of reasons for changes:

Note 1: The company acquired 20% of the equity of Lu'an Guosheng this year. The difference between the newly acquired long-term equity investment cost and the share of the subsidiary's identifiable net assets calculated continuously from the date of purchase calculated based on the new shareholding ratio was 26,257,803.92 yuan. The capital reserve in the consolidated financial statements was adjusted.

Note 2: ① This year, the company acquired 9% of the equity of Maanshan Guosheng. The difference between the newly acquired long-term equity investment cost and the share of identifiable net assets of the subsidiary calculated continuously from the date of purchase calculated based on the new shareholding ratio was 33,506,458.69 yuan. The capital reserve in the consolidated financial statements was adjusted. ② Maanshan Guosheng paid dividends of RMB 19 million this year. The difference between the dividends obtained by the company and the dividends it should enjoy based on the newly increased shareholding ratio is RMB 1,300,000.00, and the capital reserve in the consolidated financial statements is adjusted.

40. Other comprehensive income

Unit: Beginning of the current period Amount incurred in the current period

Item Closing Balance Balance

Income for the current period Less: Previous period Less: Previous period Less: Income After-tax attribution After-tax attribution

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Incurred before tax Included in other Included in other tax expenses In the parent company In the minority shares

Amount Comprehensive income Comprehensive income East

Transfer in the current period Transfer in the current period

Profit and loss Retained earnings

1. Cannot be reclassified

1,400,217 1,400,217

Other comprehensive items that contribute to profit and loss

.49 .49

combined income

Other equity workers

1,400,217 1,400,217

Fair investment value

.49 .49

change

Total other comprehensive income 1,400,217 1,400,217

0.00 0.00 meter .49 .49

Other explanations include adjustments to the initial recognition amount of the effective portion of cash flow hedging gains and losses converted into hedged items:

41. Surplus reserve

Unit: Yuan

Item Opening balance Increase in the current period Decrease in the current period Ending balance Statutory surplus reserve 43,934,698.48 12,196,773.26 56,131,471.74 Total 43,934,698.48 12,196,773.26 56,131,471.74 Description of surplus reserve, including changes in increases and decreases in the current period and explanation of reasons for changes:

A statutory surplus reserve of RMB 12,040,413.40 is accrued based on 10% of the parent company's net profit for the current period; changes in the fair value of other equity instruments converted into subsidiaries during the current period are included in other comprehensive income and carried forward to retained earnings. The amount included in other comprehensive income after tax is 1,563,598.63 yuan, and a supplementary surplus reserve of RMB 156,359.86 is made.

42. Undistributed profits

Unit: Yuan

Projects in this issue Previous issue

Undistributed profit at the end of the previous period before adjustment 583,483,944.14 498,085,491.05 Undistributed profit at the beginning of the period after adjustment 583,483,944.14 498,085,491.05 Add: Net profit attributable to owners of the parent company for the current period

191,352,661.67 137,699,528.81 profit

Less: Appropriation of statutory surplus reserve 12,196,773.26 12,600,972.72

Dividends payable on ordinary shares 40,001,000.00 40,001,000.00 plus: other comprehensive expenses attributable to owners of the parent company

1,400,217.49 300,897.00 Net after-tax income

Undistributed profits at the end of the period 724,039,050.04 583,483,944.14 Adjustment details of undistributed profits at the beginning of the period:

1. Due to the retrospective adjustment of the Accounting Standards for Business Enterprises and its related new regulations, the undistributed profit at the beginning of the period was affected by RMB 0.00.

2. Due to changes in accounting policies, the undistributed profit at the beginning of the period was affected by RMB 0.00.

3. Due to the correction of major accounting errors, the undistributed profit at the beginning of the period was affected by RMB 0.00.

4. Changes in the scope of consolidation due to the same control affect the undistributed profit at the beginning of the period by RMB 0.00.

5. The total impact of other adjustments on the undistributed profit at the beginning of the period is 0.00 yuan.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Detailed explanation of the use of capital reserves to cover losses:

43. Operating income and operating costs

Unit: Yuan

Amount for the current period Amount for the previous period

Project

revenue cost revenue cost

Main business 5,377,558,424.86 3,605,932,893.71 4,453,884,445.17 3,034,377,476.17 Other businesses 109,125,121.05 21,062,871.31 77,807,850.06 19,216,443.04 Total 5,486,683,545.91 3,626,995,765.02 4,531,692,295.23 3,053,593,919.21 The lower of the company’s total audited profit, net profit, and net profit after deducting non-recurring gains and losses during the reporting period is negative.

□Yes No

Breakdown information of operating income and operating costs:

Unit: Yuan

Division 1 Division 2 Total

Contract classification

Operating income Operating cost Operating income Operating cost Operating income Operating cost Operating income Operating cost 5,486,683 3,626,995 5,486,683 3,626,995Business type

,545.91 ,765.02 ,545.91 ,765.02 among which:

3,856,712 2,545,522 3,856,712 2,545,522Pharmaceutical retail

,480.29 ,995.64 ,480.29 ,995.64 970,090,1 647,393,0 970,090,1 647,393,0Pharmaceutical marketing

61.49 33.78 61.49 33.78 365,376,1 325,225,9 365,376,1 325,225,9Terminal centralized procurement

42.38 24.53 42.38 24.53 185,082,2 87,127,77 185,082,2 87,127,77Industrial production

56.32 7.87 56.32 7.87 297,384.3 663,161.8 297,384.3 663,161.8Information services

8 9 8 9Other business 109,125,1 21,062,87 109,125,1 21,062,87Income 21.05 1.31 21.05 1.31According to business location

Distinguish classification

Among them:

market or customer

Household type

Among them:

Contract type

Among them:

Transfer by product

give time

Classification

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Among them:

According to contract period

Limited classification

Among them:

According to sales channel

Road classification

Among them:

5,486,683 3,626,995 5,486,683 3,626,995Total

,545.91 ,765.02 ,545.91 ,765.02 Information related to performance obligations:

The company's pre-payments, the company's performance obligations, and the important payment terms. The company's commitment to transfer is the main responsibility.

The item will be refunded to the customer during the period. The type and time of the quantity guarantee. The nature of the goods. Anyone.

Account’s money and other explanations of related obligations

Information related to the transaction price allocated to the remaining performance obligations:

At the end of the reporting period, the amount of revenue corresponding to the performance obligations that have been signed but have not been performed or have not been completed is RMB 0.00, of which RMB 0.00 is expected to be recognized in year 0, RMB 0.00 is expected to be recognized in the year, and RMB 0.00 is expected to be recognized in the year.

Information related to variable consideration in the contract:

Major contract changes or major transaction price adjustments

Unit: Yuan

Item Accounting treatment method Amount of impact on income

Other notes:

44. Taxes and surcharges

Unit: Yuan

Item Amount for the current period Amount for the previous period

Urban maintenance and construction tax 7,692,104.87 8,331,897.41 Education surcharge 5,840,602.16 6,290,645.62 Property tax 2,539,242.98 1,736,088.76 Land use tax 743,599.17 743,446.93 Vehicle and vessel use tax 13,029.49 14,066.80 Stamp duty 3,917,703.62 2,958,901.74 Local funds 4,139,931.15 3,676,865.51 Total 24,886,213.44 23,751,912.77

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Other notes:

45. Management expenses

Unit: Yuan

Item Amount for the current period Amount for the previous period

Wages and remuneration 137,006,375.15 117,446,696.56 Commodity loss 21,474,929.12 15,552,382.78 Amortization of long-term prepaid expenses 1,760,074.96 1,207,403.94 Depreciation and amortization 20,237,881.57 18,185,971.42 Office expenses 13,712,777.70 8,562,334.50 Rent and property expenses 1,895,617.89 1,755,627.41 Transportation and travel expenses 5,801,223.45 4,387,461.71 Business entertainment expenses 5,871,438.14 5,687,774.67 Water and electricity charges 5,786,151.47 3,995,803.32 Consulting fees 5,841,696.05 3,842,562.66 Communication and transportation fees 1,787,863.33 2,759,896.29 Other expenses 10,226,025.71 11,007,255.39 Total 231,402,054.54 194,391,170.65

Other notes:

46. Sales expenses

Unit: Yuan

Item Amount for the current period Amount for the previous period

Salaries and remuneration 611,346,160.55 513,568,858.38 Rent and property fees 283,293,228.96 255,087,805.88 Promotion and marketing fees 63,308,016.91 61,219,475.53 E-commerce platform service fees 72,225,361.24 58,660,268.62 Amortization of long-term prepaid expenses 23,963,395.34 17,667,831.31 Utilities 22,944,493.83 17,552,257.20 Depreciation and amortization 11,831,387.09 10,520,302.09 Transportation and travel expenses 16,660,188.95 12,922,267.74 Office expenses 4,801,336.76 5,294,871.11 Advertising expenses 37,365,611.40 25,192,170.41 Conference fees 5,605,307.00 4,157,842.19 Communication expenses 5,033,551.04 4,272,229.00 Business entertainment expenses 2,872,916.06 1,884,763.52 Repair expenses 2,287,366.89 2,022,696.08 Others 11,600,836.01 7,746,752.26 Total 1,175,139,158.03 997,770,391.32

Other notes:

47. Research and development expenses

Unit: Yuan

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Item Amount for the current period Amount for the previous period

Employee compensation 14,899,983.62 14,116,479.14 Material consumption 5,911,157.70 4,289,933.81 Technical service fee 4,663,627.01 8,742,644.46 Other expenses 4,105,213.19 2,238,211.08 Total 29,579,981.52 29,387,268.49

Other notes:

48. Financial expenses

Unit: Yuan

Item Amount for the current period Amount for the previous period

Interest expense 15,058,755.36 14,517,322.94 Less: Interest income 10,031,238.21 15,558,356.44 Handling fees 3,077,751.41 3,154,826.51 Exchange gains and losses 133,423.32 -114,615.73 Guarantee fee 3,665,748.41 5,059,279.19 Lease interest 15,163,802.79 17,635,565.60 Total 27,068,243.08 24,694,022.07

Other notes:

49. Other income

Unit: Yuan

Sources of other income Amount incurred in the current period Amount incurred in the previous period

Government subsidies 14,112,241.59 23,289,269.19 Refund of personal income tax withholding fees 169,129.14 683,398.17 Total 14,281,370.73 23,972,667.36

50. Investment income

Unit: Yuan

Item Amount for the current period Amount for the previous period

Income from long-term equity investments accounted for using the equity method 183,428.23 Investment income from disposal of long-term equity investments -114,781.48

Other equity instrument investments acquired during the holding period

1,959,067.74 350,000.00 Dividend income

Investment income from financial products 3,061,709.84 1,085,383.94 Compensation for investment performance of other equity instruments 120,271.06

Total 5,026,267.16 1,618,812.17

Other notes:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

51. Credit impairment losses

Unit: Yuan

Item Amount for the current period Amount for the previous period

Bad debt losses on accounts receivable -14,734,069.40 77,970.11 Bad debt losses on other receivables -5,043.46 -1,078,899.98 Total -14,739,112.86 -1,000,929.87 Other notes:

52. Asset impairment losses

Unit: Yuan

Item Amount for the current period Amount for the previous period

1. Inventory depreciation losses and contract performance cost deductions

-7,625,125.44 -10,287,722.98 value loss

10. Goodwill impairment losses -72,112,036.67 -17,200,000.00 Total -79,737,162.11 -27,487,722.98 Other explanations:

11. Income from asset disposal

Unit: Yuan

Source of asset disposal income Amount incurred in the current period Amount incurred in the previous period

Income from disposal of fixed assets 966.97 305,144.08 Income from disposal of right-of-use assets 3,738,457.52 2,413,179.93 Total 3,739,424.49 2,718,324.01

54. Non-operating income

Unit: Yuan Financial items included in non-recurring gains and losses for the current period Amount incurred in the current period Amount incurred in the previous period

Um

Loss from damage and scrapping of non-current assets 35,149.60 9,550.00 35,149.60 Penalty and compensation income 304,684.54 609,264.98 304,684.54 Others 885,947.60 403,398.66 885,947.60Total 1,225,781.74 1,022,213.64 1,225,781.74Other instructions:

55. Non-operating expenses

Unit: Yuan

Item Amount incurred in the current period Amount incurred in the previous period Amount included in non-recurring gains and losses for the current period

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Um

External donations 153,338.52 166,834.51 153,338.52 Loss from damage and scrapping of non-current assets 79,385.03 16,046.28 79,385.03 Compensation payment 6,179,798.00 2,617,712.31 6,179,798.00 Others 605,457.48 675,316.28 605,457.48 Total 7,017,979.03 3,475,909.38 7,017,979.03Other instructions:

56. Income tax expenses

(1) Income tax expense schedule

Unit: Yuan

Item Amount for the current period Amount for the previous period

Current income tax expense 88,407,925.79 57,796,042.05 Deferred income tax expense -7,883,837.66 -4,584,081.69 Total 80,524,088.13 53,211,960.36

(2) Adjustment process of accounting profits and income tax expenses

Unit: Yuan

Item Amount incurred in this period

Total profit 294,390,720.40 Income tax expense calculated according to statutory/applicable tax rates 73,597,680.10 Impact of different tax rates applicable to subsidiaries -9,713,522.61 Impact of adjusting income tax in previous periods 1,425,048.30 Impact of non-taxable income -319,920.94 Impact of non-deductible costs, expenses and losses 21,744,979.12 Effect of using deductible losses that have not been recognized in the previous period of deferred income tax assets -3,979,141.85 Deductible temporary differences or deductible losses that have not been recognized in the current period with deferred income tax assets

2,281,880.21 Impact of loss

Impact of R&D super deduction and recoverable losses -4,476,784.69 Others -36,129.51 Income tax expenses 80,524,088.13 Other notes:

57. Other comprehensive income

See Note 40 for details.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

58. Cash flow statement items

(1) Cash related to operating activities

Other cash received related to operating activities

Unit: Yuan

Item Amount for the current period Amount for the previous period

Interest income 9,978,953.91 15,558,356.44 Sublease rental income 25,987,766.48 22,439,543.24 Government subsidies 7,464,160.81 22,287,851.66 Security deposit, deposit and reserve fund 3,284,019.87 4,021,371.42 Redemption of restricted time deposit certificates 70,000,000.00 Others 5,963,035.80 41,718,985.65 Total 52,677,936.87 176,026,108.41 Description of other cash received related to operating activities:

Other cash paid related to operating activities

Unit: Yuan

Item Amount for the current period Amount for the previous period

Expenses and expenses 290,468,366.94 236,493,396.78 Margin, deposit and reserve fund 3,629,739.71 42,771,991.46 Purchase of restricted time deposit certificates 70,000,000.00 Others 8,508,187.69 3,479,863.10Total 302,606,294.34 352,745,251.34 Description of other cash paid related to operating activities:

(2) Cash related to investing activities

Other cash received related to investing activities

Unit: Yuan

Item Amount for the current period Amount for the previous period

The original shareholders of the acquired subsidiary repaid the pre-acquisition borrowings 4,000,000.00 and received the returned acquisition intention money 3,000,000.00

Increased cash equivalents from the acquisition of subsidiaries in this period 2,091.38

Total 3,002,091.38 4,000,000.00 Important cash received related to investing activities

Unit: Yuan

Item Amount for the current period Amount for the previous period

Redemption of financial products 1,800,142,721.68 747,566,030.60 Return of investment funds from other equity instrument investment units 1,000,000.00 1,678,234.01 Total 1,801,142,721.68 749,244,264.61 Description of other cash received related to investment activities:

Other cash paid related to investing activities

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Unit: Yuan

Item Amount for the current period Amount for the previous period

Payment for store acquisitions 2,531,245.18 2,531,245.18 Interest generated from migrant worker deposits 98.79 239.66 Cash equivalents reduced from the sale of subsidiaries in the current period 762.14

Total 2,532,106.11 2,531,484.84 Important cash paid related to investing activities

Unit: Yuan

Item Amount for the current period Amount for the previous period

Investment in financial products 1,812,974,867.74 740,160,000.00 Investment intention fee 2,000,000.00 Investment in other equity instruments 8,918,240.47 Total 1,812,974,867.74 751,078,240.47 Description of other cash paid related to investment activities:

(3) Cash related to financing activities

Other cash received related to financing activities

Unit: Yuan

Item Amount for the current period Amount for the previous period

Recovery of discounted letter of credit deposit 190,020,000.00 Total 0.00 190,020,000.00 Description of other cash received related to financing activities:

Other cash payments related to financing activities

Unit: Yuan

Item Amount for the current period Amount for the previous period

Payment of lease liabilities 309,855,534.56 274,189,306.39 Payment for purchase of minority shareholder shares of subsidiaries 67,023,846.60 14,595,324.00 Guarantee fee paid 3,940,472.96 3,756,578.25 Payment of discounted letter of credit deposit 130,000,000.00 Return of capital increase to subsidiary minority shareholders 7,000,000.00 Total 380,819,854.12 429,541,208.64 Description of other cash paid related to financing activities:

Changes in various liabilities arising from financing activities

Applicable □Not applicable

Unit: Yuan Increase in this period Decrease in this period

Item Opening balance Closing balance Cash change Non-cash change Cash change Non-cash change

316,917,395. 358,047,994. 52,227,680.6 251,891,748. 130,000,000. 345,301,321. Short-term borrowings

83 00 0 74 00 69 Due within one year 326,457,441. 52,614,798.0 379,072,239.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Non-current liabilities 56 0 56 (excluding investments

Long term due within the year

period payable)

-

358,825,247. 376,300,071. 264,793,200. 407,079,369. Long-term borrowings 63,252,749.1

54 00 17 18 222,851,654. 308,020,223. 309,855,534. 220,081,704. Lease liabilities 934,639.22

04 86 56 12Other payables- 40,001,000.0 40,001,000.0

Dividends payable 0 0

1,225,051,73 734,348,065. 389,610,953. 866,541,483. 130,934,639. 1,351,534,63Total

8.97 00 27 47 22 4.55

59. Supplementary information for cash flow statement

(1) Supplementary information for cash flow statement

Unit: Yuan Supplementary information Amount of the current period Amount of the previous period

1． Adjust net profit to cash flow from operating activities

Net profit 213,866,632.27 152,259,105.31 plus: asset impairment provision 94,476,274.97 28,488,652.85 Depreciation of fixed assets, depreciation of oil and gas assets

41,138,125.22 36,013,068.37 Depreciation of consumption and productive biological assets

Depreciation of right-of-use assets 291,055,002.59 252,257,812.46 Amortization of intangible assets 4,403,079.96 4,153,654.06 Amortization of long-term prepaid expenses 28,958,822.30 23,732,837.65 Disposal of fixed assets, intangible assets and other

Loss of other long-term assets (income is listed with "-" sign -3,739,424.49 -2,718,324.01)

Loss on scrapping of fixed assets (income based on

44,235.43 6,496.28 (Fill in “-”)

Loss from change in fair value (gain based on

Fill in the column with "-" sign)

Financial expenses (revenues are filled in with "-"

34,021,729.88 37,097,552.00 columns)

Investment losses (income is filled in with "-"

-5,026,267.16 -1,618,812.17 columns)

Deferred tax assets decreased (increased by

-7,059,928.26 -3,960,960.17 (Fill in “-”)

Deferred tax liabilities increased (decreased by

-823,909.40 -623,121.52 (Fill in “-”)

Decrease in inventory (increase marked with "-"

-97,179,912.25 -17,153,223.14 fill in the column)

Decrease in operating receivables (increase in

-192,251,199.86 13,100,204.29 (please fill in with "-")

Increase (decrease) in operating payables

435,297,907.29 50,723,324.14 (please fill in with "-")

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Others

Net cash flow generated from operating activities 837,181,168.49 571,758,266.40 2. Major investments and financing that do not involve cash receipts or payments

Activities

debt to capital

Convertible corporate bonds due within one year

Financing leased fixed assets

3． Net changes in cash and cash equivalents:

Closing balance of cash 268,261,981.76 322,880,062.67 Less: Opening balance of cash 322,880,062.67 593,721,839.46 Add: Closing balance of cash equivalents

Less: Opening balance of cash equivalents

Net increase in cash and cash equivalents -54,618,080.91 -270,841,776.79

(2) Net cash paid in the current period to acquire subsidiaries

Unit: Yuan

Amount

Cash or cash equivalents paid in the current period for business mergers occurred 355,014,158.00, including:

Fujian Yangzu 133,429,000.00 Hangzhou Guosheng 88,134,750.00 Fujian Haihua 133,450,408.00 Less: Cash and cash equivalents held by the company on the day of purchase 18,602,005.53 including:

Add: Cash or cash paid in the current period for business combinations that occurred in previous periods

151,936,295.16 price items

Among them:

Net cash paid to obtain subsidiaries 488,348,447.63 Other instructions:

(3) Composition of cash and cash equivalents

Unit: Yuan

Item Ending balance Beginning balance

1. Cash 268,261,981.76 322,880,062.67 Including: Cash on hand 72,030.44 95,224.03 Bank deposits that can be used for payment at any time 260,035,715.03 310,840,374.48 Other monetary resources that can be used for payment at any time

8,154,236.29 11,944,464.16 gold

3. Balance of cash and cash equivalents at the end of the period 268,261,981.76 322,880,062.67

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Among them: the use of the parent company or subsidiaries within the group is subject to

8,154,236.29 11,944,464.16 Restricted cash and cash equivalents

(4) Situations where the scope of use is limited but still classified as cash and cash equivalents

Unit: Yuan Items that are still cash and cash equivalents Amount for the current period Amount for the previous period

Reason

Balance on payment platforms such as Alipay 8,154,236.29 11,944,464.16 Total transfer to bank account for use at any time 8,154,236.29 11,944,464.16

(5) Monetary funds that are not cash and cash equivalents

Unit: Yuan Items that are not cash and cash equivalents Amount for the current period Amount for the previous period

Reason

Deposit for bank acceptance bill issued before maturity 686,152,025.43 676,675,597.22

Not available

The frozen migrant workers' deposit cannot be used to make migrant workers' deposit 138,189.34 138,090.55

use

Total 686,290,214.77 676,813,687.77

Other notes:

60. Foreign currency monetary items

(1) Foreign currency monetary items

Unit: Yuan

Item Foreign currency balance at the end of the period Conversion exchange rate Monetary funds converted into RMB at the end of the period 6,657,229.07 Including: US dollars 946,527.63 7.0288 6,652,953.40 Euros 0.15 8.2355 1.24

Hong Kong dollars 85.00 0.9032 76.77 Macau patacas 4,790.37 0.8763 4,197.66Accounts receivable 49,072.98 Including: US dollars 6,981.70 7.0288 49,072.98 Euros

Hong Kong dollar

long term borrowing

Of which: US dollars

Euro

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Hong Kong dollar

Other notes:

(2) Description of overseas operating entities, including for important overseas operating entities, their main overseas business location, accounting standard currency and basis for selection should be disclosed. If the accounting standard currency changes, the reasons should also be disclosed.

□Applicable Not applicable

61. Leasing

(1) The company serves as the lessee

Applicable □Not applicable

Variable lease payments not included in the measurement of lease liabilities

□Applicable Not applicable

Simplified treatment of short-term leases or lease payments for low-value assets

Applicable □Not applicable

Item Amount incurred in the current period (yuan) Short-term lease expenses 30,168,479.06 Total cash outflow related to leasing 341,532,437.57

Situations involving sale and leaseback transactions

(2) The company as the lessor

Operating lease as lessor

Applicable □Not applicable

Unit: Yuan Including: Variable lease items not included in lease receipts Lease income

Income related to payment amount Retail store leaseback 19,863,313.63 Chinese Health office building and warehouse leasing 2,960,821.92 Subsidiary Jiangsu Shenhua leasing 151,250.00 Total 22,975,385.55 Financial lease as lessor

□Applicable Not applicable

Undiscounted lease payments for each of the next five years

□Applicable Not applicable

Reconciliation of undiscounted lease receipts and net lease investment

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(3) Recognizing financial lease sales profits and losses as a manufacturer or distributor

□Applicable Not applicable

8. R&D expenditures

Unit: Yuan

Item Amount for the current period Amount for the previous period

Employee compensation 14,899,983.62 14,307,514.68 Technical service fee 7,979,636.01 11,239,142.69 Material consumption 5,911,157.70 4,300,527.71 Asset depreciation and amortization 1,431,555.96 1,227,844.37 Fuel and power expenses 231,612.04 339,435.26 Other expenses 2,327,699.20 705,898.35 Total 32,781,644.53 32,120,363.06 Including: expensed R&D expenses 29,579,981.52 29,387,268.49

Capitalized R&D expenditure 3,201,663.01 2,733,094.57

1. R&D projects that meet capitalization conditions

Unit: Yuan Increase amount in this period Decrease amount in this period

Item Opening balance It is recognized as intangible and transferred to the current period Ending balance Internal development expenditure

Other assets profit and loss

Sacubitril/valsartan 2,733,094.5

143,999.32 2,877,093.89Sodium tablets 7

Vonoraphan fumarate

1,384,277.54 1,384,277.54 pieces

Dapagliflozin tablets

1,198,379.60 1,198,379.60 5mg、10mg

Lactulose oral solution 447,596.39 447,596.39Artificial bezoar metronidazole

9,600.00 9,600.00 Capsule development

Glucosamine sulfate

17,810.16 17,810.16

capsule

2,733,094.5

Total 3,201,663.01 17,810.16 5,916,947.42

Significant Capitalized R&D Projects

Estimated economic benefits When capitalization begins Specific projects to begin capitalization R&D progress Estimated completion time

Production method Point entity based on development expenditure impairment provision

Unit: Yuan

Item Opening balance Increase in the current period Decrease in the current period Ending balance Impairment test situation

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

9. Changes in consolidation scope

1. Business merger not under common control

(1) Business mergers not under common control that occurred during the current period

Unit: Yuan

Purchase date to Purchase date to Purchase date to the purchased party Equity acquisition Equity acquisition Equity acquisition Equity acquisition Equity acquisition Purchased at the end of the period Acquired at the end of the period Acquired at the end of the period Purchase date

Name Time Point Cost Ratio Method Determination Basis Buyer’s receipt Buyer’s net Buyer’s cash profit Cash flow 2023 2023 Signing of acquisition

13,972,0

Fujian Yangzu April 14 4.99% purchase April 14 agreement, payment

00.00

Pay price day by day

2025 2025 Signing of acquisition

133,928, 125,112, 8,787,73 4,922,49Fujian Yangzu May 22 46.01% Purchase May 22 Agreement, payment

000.00 600.40 1.80 4.53 days day payment price

2023 2023 Signing of acquisition

4,440,00

Hangzhou Guosheng May 04 4.99% purchase May 04 agreement, payment

0.00

Pay price day by day

2025 2025 Signing of acquisition

24,375,0

Hangzhou Guosheng May 07 25.00% purchase May 07 agreement, payment

00.00

Pay price day by day

2025 2025 Signing of acquisition

68,685,0 66,153,0 4,569,08 8,460,68 Hangzhou Guosheng May 22 70.01% Purchase May 22 Agreement, payment

00.00 50.03 0.34 5.54 days day payment price

2023 2023 Signing of acquisition

12,591,7

Fujian Haihua April 18 4.99% Purchase April 18 Agreement, payment

65.99

Pay price day by day

2025 2025 Signing of acquisition

8,303,20

Fujian Haihua May 06 3.56% purchase May 06 agreement, payment

8.00

Pay price day by day

2025 2025 Signing of acquisition

126,128, 183,476, 13,601,7 23,968,7 Fujian Haihua May 22 46.01% Purchase May 22 Agreement, payment

234.01 389.12 89.57 29.51 days day payment price

2025 2025 Acquisition signed -

Hefei Weimei 19,800.0 298,875. 334,201.

August 01 99.00% Purchase August 01 Agreement, work 62,356.9

Court 0 94 19

Japan business change 1

Other notes:

(2) Merger costs and goodwill

Unit: Yuan

Merger costs Fujian Yangzu Hangzhou Guosheng Fujian Haihua Hefei Wei Meiyuan -- Cash 133,429,000.00 92,634,750.00 133,450,408.00 19,800.00 -- Fair value of non-cash assets

--Fair value of debt issued or assumed

--Fair value of equity securities issued

--Fair value of contingent consideration

--Equity held before the purchase date on the purchase date 14,471,000.00 4,865,250.00 13,572,800.00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

fair value

--Others

Total merger cost 147,900,000.00 97,500,000.00 147,023,208.00 19,800.00 Less: fair value share of identifiable net assets acquired

16,306,064.92 2,511,858.38 7,489,528.96 -12,890.15

Goodwill/combination cost is less than the identifiable net amount acquired

131,593,935.08 94,988,141.62 139,533,679.04 32,561.25 Amount of fair value share of assets

Method for determining the fair value of merger costs:

Description of contingent consideration and its changes

The main reasons for the formation of large amounts of goodwill:

Other notes:

(3) The identifiable assets and liabilities of the purchased party on the purchase date

Unit: Yuan Fujian Yangzu Hangzhou Guosheng Fujian Haihua Hefei Wei Meiyuan buy daily accounts buy daily accounts buy daily accounts buy daily accounts buy daily accounts buy daily accounts buy daily accounts buy daily accounts

Fair value Fair value Fair value Fair value Fair value Fair value Fair value Fair value assets:

55,290,95 55,290,95 8,319,090 8,319,090 17,424,28 17,424,28 Monetary funds 2,091.38 2,091.38 9.58 9.58 .22 .22 9.33 9.33

15,157,86 15,157,86 3,651,674 3,651,674 18,570,38 18,570,38 Accounts receivable 2,002.00 2,002.00 0.30 0.30 .67 .67 4.96 4.96

46,513,77 46,513,77 8,831,599 8,831,599 45,836,82 45,836,82Inventory 58,592.40 58,592.40 1.55 1.55 .83 .83 8.50 8.50

1,378,592 1,378,592 981,638.7 981,638.7 1,655,985 1,655,985Fixed assets

.41 .41 8 8 .39 .39

153,905.8 126,512.5 126,512.5 242,541.9 242,541.9 Intangible assets 80,784.51

2 1 1 6 6

1,551,325 1,551,325 371,061.3 371,061.3 167,330.3 167,330.3 Prepaid accounts

.70 .70 0 0 9 9Other receivables 6,990,044 6,990,044 771,248.2 771,248.2 3,619,456 3,619,456 .01 .01 4 4 .17 .17Other currents 1,417,861 1,417,861 2,957,187 2,957,187

46,200.00 46,200.00

Assets .02 .02 .25 .25Rights of use 62,846,54 62,846,54 14,168,31 14,168,31 8,078,609 8,078,609Property 7.42 7.42 5.56 5.56 .30 .30Long-term deferred 18,348,64 18,080,99 1,622,995 1,622,995 7,619,449 6,429,279Expenses 7.44 1.19 .61 .61 .40 .61Deferred income 1,627,620 1,627,620 563,339.1 563,339.1 1,877,988 1,877,988Tax assets .53 .53 3 3 .52 .52Liabilities:

21,700,00 21,700,00 7,007,680 7,007,680 23,520,00 23,520,00 Loans

0.00 0.00 .60 .60 0.00 0.00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

16,927,79 16,927,79 14,846,76 14,846,76 25,415,96 25,415,96

Accounts payable 71,482.55 71,482.55 4.69 4.69 7.62 7.62 2.54 2.54

Deferred income 297,542.4

85,194.39

tax liability 5

65,391,60 65,391,60 30,896,75 30,896,75

Notes payable

2.46 2.46 9.66 9.66

781,274.8 781,274.8 158,561.9 158,561.9

Contract liabilities 85,872.85 85,872.85

4 4 7 7

Payable to employees 3,226,723 3,226,723 1,587,536 1,587,536 3,225,323 3,225,323

Salary .65 .65 .53 .53 .68 .68

2,983,081 2,983,081 2,013,195 2,013,195

taxes payable

.29 .29 .78 .78

Other payables 3,063,805 3,063,805 515,003.7 515,003.7 1,630,070 1,630,070

4,093.38 4,093.38 models .88 .88 4 4 .67 .67

Arrive within a year

19,923,93 19,923,93 5,008,519 5,008,519 3,704,366 3,704,366

period of non-current

2.68 2.68 .60 .60 .67 .67

Liquid liabilities

Other flows

7,812.74 7,812.74 10,776.06 10,776.06

Liabilities

45,213,23 45,213,23 7,814,414 7,814,414 3,509,793 3,509,793

Lease liability

6.84 6.84 .05 .05 .48 .48

Advance receipts 3,333.36 3,333.36

31,972,67 31,717,09 2,511,858 2,511,858 13,740,38 12,847,75 - - Net assets

6.32 3.15 .38 .38 7.33 9.99 12,890.15 12,890.15minus: minority 15,666,61 15,541,37 6,250,858 5,845,221

-128.90 -128.90Shareholders’ equity 1.40 5.64 .37 .73

Net acquisitions 16,306,06 16,175,71 2,511,858 2,511,858 7,489,528 7,002,538 - -Assets 4.92 7.51 .38 .38 .96 .26 12,761.25 12,761.25

Method for determining the fair value of identifiable assets and liabilities:

Contingent liabilities of the purchased party assumed in a business combination:

Other notes:

(4) Gains or losses arising from the remeasurement of equity held before the purchase date at fair value

Is there any transaction that realizes the business combination step by step through multiple transactions and obtains control during the reporting period?

Yes □No

Unit: Yuan

date of purchase date of purchase date of purchase

Before the date of purchase and the original

Maehara holds

On the date of purchase Before the date of purchase, the shares previously held were on the date of purchase On the date of purchase On the date of purchase On the date of purchase Shareholdings under purchase

The equity is held by Maehara. The equity is held by Maehara. The equity is held by other related parties. The equity is held by Maehara. The equity is held by Maehara. The equity is held by Maehara. The equity is held by Maehara.

Equity under purchase Equity under purchase Fair value Comprehensive income name Equity acquisition Equity acquisition Equity acquisition Equity acquisition Fair value

Account on the date of purchase. Account on the date of purchase. Remeasurement. Time point of transferring investment. Obtained proportion. Obtained cost. Obtained method. Determination method.

Face value Fair value Profit generated Income may be retained and major assumptions

gain or loss, savings income

Amount

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

According to the acquisition

51% equity

2023 Negotiation between both parties

13,972,0 13,972,0 14,471,0 499,000. 499,000. Fujian Yangzu April 14 4.99% Purchase price

00.00 00.00 00.00 00 00day is

fair value

basis

According to the acquisition

100% equity

2023 Negotiation between both parties

4,440,00 4,440,00 4,865,25 425,250. 425,250. Hangzhou Guosheng May 04 4.99% Purchase price

0.00 0.00 0.00 00 00day is

fair value

basis

According to the acquisition

100% equity

2025

24,375,0 24,375,0 24,375,0 Negotiable by both parties

Hangzhou Guosheng May 07 25.00% Purchase

00.00 00.00 00.00 price

day

is fair value

value basis

According to the acquisition

51% equity

2023

12,591,7 12,933,4 13,572,8 639,348. Negotiated by both parties 639,348. Fujian Haihua April 18 4.99% Purchase

65.99 51.37 00.00 63 price for 63 days

is fair value

value basis

According to the acquisition

3.557% shares

2025 Agreement between the parties

8,303,20 8,303,20 8,303,20

Fujian Haihua May 06 3.56% purchase price

8.00 8.00 8.00

day as fair

value based on

According to

Other notes:

2. Disposal of subsidiaries

Are there any transactions or events that result in the loss of control of subsidiaries during this period?

Yes □No

Unit: Yuan

disposal loss and original

loss loss

Price as per control Zi Gong

control control

Company shares with fair rights

power of power power of power

Loss of value of real investment, loss of option investment, loss of value of Rihe, loss of option investment, loss of value of Rihe, nichihe

control of assets regain control of assets control control of assets lose control merge of assets merge of assets

The subsidiary shall be responsible for the measurement and financial reporting of the relevant rights and control rights.

Company Name Merger Daily Surplus Surplus Surface Other Points Points Right Points Surface Surface Surface

Named Financial Remaining Shares Equity Remaining Comprehensive Disposal Disposal Disposal Time Judgment Remaining Remaining

Statement of Rights Generation Remaining Shares Profit Price Ratio Method Basis Remaining Shares Remaining Shares

The proportion of rights and interests at the level is transferred to the public

Right, Right

Enjoy a good or fair price investment

Book fair

The sub loss value of the gain or loss

value value

Company confirm or stay

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The method of net capital and the difference between the amount of the deposit and the main interest are assumed to be signed.

Association

2025 meeting,

-

Bozhou 51.00 Year 12 Paid 114,7

1.00 for sale 114,7

Yuanhua % Month 31 part 82.48

81.48

Japanese equity

transfer

money

Other notes:

Is there any situation where investments in subsidiaries are disposed of step by step through multiple transactions and control is lost in the current period?

□Yes No

3. Changes in the scope of consolidation due to other reasons

Explain the changes in the scope of consolidation caused by other reasons (such as the establishment of new subsidiaries, liquidation of subsidiaries, etc.) and their related circumstances:

(1) In January 2025, the company established a new subsidiary, Anhui Shenhua Pharmaceutical Co., Ltd.

(2) In March 2025, the company canceled its subsidiary Hefei Yuanxing Comprehensive Clinic Co., Ltd.

(3) In May 2025, the company canceled its subsidiary Nanjing Tonghetang Pharmacy Co., Ltd.

(4) In June 2025, the company established a new subsidiary, Feixi Guosheng Pharmacy Chain Co., Ltd.

(5) In August 2025, the company canceled its subsidiary Longyan Haihuayongxin Information Consulting Services Co., Ltd.

(6) In September 2025, the company canceled its subsidiary Nanjing Zhouji Pharmacy Co., Ltd.

(7) In October 2025, the company established a new subsidiary, Anhui Guosheng Convenience Store Co., Ltd.

10. Interests in other entities

1. Interests in subsidiaries

(1) Composition of enterprise groups

Unit: yuan Main business Shareholding ratio

Name of subsidiary company Registered capital Place of registration Nature of business Method of acquisition

land directly indirect

Hefei Guosheng Medical Management Co., Ltd. 5,000,000.0 Medical institution management

Hefei Hefei 100.00% 0.00% Establishment Department 0 Manager

Anhui Guosheng Pharmaceutical Technology Co., Ltd. 11,382,000.

Hefei Hefei House Rental 100.00% 0.00% Establishment Department 00

Anhui Guosheng Pharmacy Chain Co., Ltd. 160,000,000 Drug wholesale and

Hefei Hefei 100.00% 0.00% Company establishment .00 Retail

40,000,000. Pharmaceutical sales and non-common control Anhui Quanfang Pharmaceutical Co., Ltd. Hefei Hefei 100.00% 0.00% 00 Consulting for business merger Hefei Jiezhu Pharmaceutical Technology Co., Ltd. 1,000,000.0

Hefei Hefei Computer Technology 70.00% 0.00% Establishment Department 0

Jiangsu Guosheng Pharmacy Chain Co., Ltd. 30,000,000. Drug wholesale and

Nanjing Nanjing 100.00% 0.00% Company establishment 00 Retail

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Wuhu Guosheng Pharmacy Chain Co., Ltd. 36,000,000. Drug wholesale and 100.00 are not under the same control

Wuhu Wuhu 0.00%

Company 00 Retail % Business merger Anqing Guosheng Pharmacy Chain Co., Ltd. 10,000,000. Drug wholesale and 100.00 Not under common control

Anqing Anqing 0.00%

Company 00 Retail % Business merger with Bozhou Guosheng Pharmacy Chain Co., Ltd. 12,000,000. Drug wholesale and 100.00 Not under common control

Bozhou Bozhou 0.00%

Company 00 Retail % Business merger Hefei Anbaiyuan Comprehensive Clinic has 1,000,000.0 Outpatient services and medical treatment 100.00

Hefei Hefei 0.00% Establishment of a limited liability company 0 Services %

10,000,000. Pharmaceutical wholesale and

Henan Guosheng Pharmacy Co., Ltd. Zhengzhou Zhengzhou 100.00% 0.00% Established

00 retail

Nanjing Shanghetang Pharmacy Co., Ltd. 1,010,000.0 Drug wholesale and 100.00 Not under common control

Nanjing Nanjing 0.00%

Business combinations under Division 0 Retail %

2,000,000.0 Drug wholesale and 100.00 Non-common control Nanjing Xinsheng Pharmacy Co., Ltd. Nanjing Nanjing 0.00%

0 Retail % under business combination

Drug wholesale and 100.00 Not under common control Nanjing Runxin Pharmacy Co., Ltd. 600,000.00 Nanjing Nanjing 0.00%

Retail % Business merger under Anhui Ke'anshu Pharmaceutical Technology Co., Ltd. 5,000,000.0 Pharmaceutical wholesale and

Hefei Hefei 100.00% 0.00% Company establishment 0 Retail

Anhui Zhengyao Pharmaceutical Technology Co., Ltd. 50,000,000. Technology development and

Hefei Hefei 100.00% 0.00% Establishment of Division 00 Services

Lu'an Guosheng Pharmacy Chain Co., Ltd. 6,000,000.0 Drug wholesale and 100.00 Not under common control

Lu'an Lu'an 0.00%

Company 0 Retail % Business merger under Huangshan Guosheng Pharmacy Chain Co., Ltd. 3,000,000.0 Drug wholesale and 100.00 Not under common control

Huangshan Huangshan 0.00%

Company 0 Retail % Under the enterprise merger, Guangde City Guosheng Pharmacy Chain has 4,000,000.0 Drug Wholesale and 100.00 Not under common control

Guangde Guangde 0.00%

Co., Ltd. 0 Retail % Business merger under Huainan Guosheng Pharmacy Chain Co., Ltd. 5,000,000.0 Drug wholesale and non-common control

Huainan Huainan 0.00% 70.00%

Company 0 Retail Business merger Maanshan Guosheng Mandi New Pharmacy 60,000,000. Drug wholesale and non-common control

Ma'anshan Ma'anshan 0.00% 61.00%

Business combination under Chain Store Co., Ltd. 00 Retail

172,000,000 Not under common control Jiangsu Shenhua Pharmaceutical Co., Ltd. Huai’an Huai’an Pharmaceutical Manufacturing 100.00% 0.00%

.00 Business merger with Shenhua Pharmaceutical (Jiangsu) Co., Ltd. 10,000,000. 100.00 Not under common control

Huai'an Huai'an Pharmaceutical Manufacturing Industry 0.00%

Company 00% business combination

10,000,000. 100.00 Not under common control Jiangsu Fufeng Import and Export Co., Ltd. Huai’an Huai’an Wholesale industry 0.00%

00 % Business merger under Jiangsu Guojin Biotechnology Co., Ltd. 5,000,000.0 Scientific research and 100.00 Not under common control

Huai'an Huai'an 0.00%

Division 0 Technical Service Industry % Enterprise merger with Lu'an Guosheng Ping An Pharmacy Chain 11,000,000. Drug wholesale and non-common control

Lu'an Lu'an 0.00% 80.00%

Co., Ltd. 00 Retail Business merger under Wuwei Guosheng Pharmacy Chain Co., Ltd. 5,000,000.0 Drug wholesale and 100.00 Not under common control

Nothing to do Nothing to do 0.00%

Company 0 Retail % Business merger with Zhoushan Liken Pharmaceutical Chain Co., Ltd. 2,500,000.0 Pharmaceutical wholesale and non-common control

Zhoushan Zhoushan 60.00% 0.00%

Division 0 Retail Business merger with Anji County Baixingyuan Pharmacy Chain 1,000,000.0 Drug wholesale and non-common control

Huzhou Huzhou 51.00% 0.00%

Co., Ltd. 0 Retail Business merger with Anji Baibian Integrated Traditional Chinese and Western Medicine Department 1,000,000.0 Pharmaceutical wholesale and 100.00 Not under common control

Huzhou Huzhou 0.00%

Clinic Co., Ltd. 0 Retail % Enterprise merger under Anji Employee Medical Clinic Co., Ltd. 3,000,000.0 Drug wholesale and 100.00 Not under common control

Huzhou Huzhou 0.00%

Business combinations under Company 0 Retail %

50,000,000.

Zhejiang Guosheng Pharmaceutical Co., Ltd. Hangzhou Hangzhou Wholesale industry 100.00% 0.00% Establishment

Deqing Guosheng Pharmaceutical Chain Co., Ltd. Drug wholesale and 100.00 are not under common control

100,000.00 Hangzhou Hangzhou 0.00%

Company Retail % Business merger with Fuyang Guosheng Pharmacy Chain Co., Ltd. 50,000,000. Drug wholesale and 100.00 Not under common control

Fuyang Fuyang 0.00%

Company 00 Retail % Business merger under Hefei Jianlita Pharmacy Co., Ltd. 500,000.00 Hefei Hefei Pharmaceutical Wholesale and 100.00% 0.00% Establishment

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Division Retail

Taixiding Health Technology Co., Ltd. Health products and food 100.00

500,000.00 Macau Macau 0.00% Establishment of 1 product wholesale %

Hong Kong Tonghetang Pharmaceutical Co., Ltd. 1,000,000.0 Pharmaceutical wholesale sales 100.00

Hong Kong Hong Kong 0.00% Establishment 2 0 Sale %

chemical raw materials and

5,000,000.0 100.00

Anhui Shenhua Pharmaceutical Co., Ltd. Hefei Hefei Chemical products manufacturing 0.00% Establishment 0 %

Make industry

Fujian Yangzu Huimin Pharmaceutical Chain 10,000,000. Drug wholesale and non-common control

Fuzhou Fuzhou 51.00% 0.00%

Co., Ltd. 00 Retail Business merger under Fuzhou Yangzu Kezhi Technology Co., Ltd. 10,000,000. Software and information Not under common control

Fuzhou Fuzhou 0.00% 51.00%

Division 00 Technical Services Industry Merger of Jianou City Yangzu Beimen Pharmaceutical Business Pharmaceutical Wholesale and Non-Common Control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd., retail business merged with Jianou City Yangzudikou Pharmaceutical Operations, pharmaceutical wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail business merged with Jianou City Yangzu Dongmen Pharmaceutical Business Pharmaceutical Wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd., retail business merged with Jianou City Yangzu Dongyou Pharmaceutical Operations, pharmaceutical wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail The enterprise merged with Jianou City Yangzudu Yuping Pharmaceutical Economics Pharmaceutical wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Jian'ou City Yangzuguandayuan Pharmaceutical Business Co., Ltd., retail business merged with pharmaceutical wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Business Co., Ltd., Retail, Jianou City Yangzu Quanfang Pharmaceutical Business Merger, Pharmaceutical Wholesale and Non-Common Control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd., retail business merged with Jianou City Yangzu Jiyang Pharmaceutical Operations, pharmaceutical wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail business merged with Jianou City Yangzu Jiayuan Pharmaceutical Business Pharmaceutical Wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail Business merger under Jianou City Yangzu Lingjiang Pharmaceutical Business Pharmaceutical Wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail business merged with Jianou City Yangzu Nanmen Pharmaceutical Business Pharmaceutical Wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail Company merger under Jianou City Yangzu Nanya Street Pharmaceutical Drug Wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Operating Co., Ltd. Retail Business merger under Jianou City Yangzu Nanya Pharmaceutical Operations Pharmaceutical Wholesale and Non-Common Control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail business merged with Jianou City Yangzu Qingyun Pharmaceutical Operations Pharmaceutical wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd., retail business merged with Jianou City Yangzu Shenghai Pharmaceutical Operations, pharmaceutical wholesale and not under common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail business merged with Jianou City Yangzu Times Pharmaceutical Operations Pharmaceutical wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail business merged with Jianou City Yangzu Shuinan Pharmaceutical Business Pharmaceutical Wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd., retail business merged with Jianou City Yangzu Wanchun Pharmaceutical Operations, pharmaceutical wholesale and not under common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail business merged with Jianou City Yangzu Xudun Pharmaceutical Business Pharmaceutical Wholesale and non-common control

500,000.00 Jianou Jianou 0.00% 51.00%

Co., Ltd. Retail business merged with Pucheng County Yangzu Dazhong Pharmaceutical Business Pharmaceutical wholesale and non-common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd., retail business merged with Pucheng County Yangzu Da Yuan Arc Pharmaceutical Business, pharmaceutical wholesale and non-common control

500,000.00 Nanping Nanping 0.00% 51.00%

Business Co., Ltd., retail business merged with Pucheng County Yangzu Dengying Pharmaceutical business, pharmaceutical wholesale and non-common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd. Retail Merged with Pucheng County Yangzu Jiangbin Pharmaceutical Operations 500,000.00 Nanping Nanping Pharmaceutical Wholesale and 0.00% 51.00% Not under common control

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Co., Ltd. Retail business merged with Pucheng County Yangzukangchen Pharmaceutical Business Pharmaceutical Wholesale and not under common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd. Retail business merged with Pucheng County Yangzu Mengbi Pharmaceutical Business Pharmaceutical Wholesale and non-common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd. Retail business merged with Pucheng County Yangzu Nanpu Pharmaceutical Business Pharmaceutical Wholesale and non-common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd., retail business merged with Pucheng County Yangzu Shipi Pharmaceutical business, pharmaceutical wholesale and non-common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd. Retail business merged with Pucheng County Yangzu Xianyang Pharmaceutical Business Pharmaceutical Wholesale and not under common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd. Retail business merged with Pucheng County Yangzu Yonghui Pharmaceutical Business Pharmaceutical Wholesale and non-common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd. Retail business merged with Pucheng County Yangzu Pre-hospital Pharmaceutical Business Wholesale and non-common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd. Retail business merged with Pucheng County Yangzu Zhongxin Pharmaceutical Business Pharmaceutical Wholesale and not under common control

500,000.00 Nanping Nanping 0.00% 51.00%

Co., Ltd. Retail business merged with Youxi County Yangzu Chengdong Pharmaceutical Business Pharmaceutical Wholesale and Not under Common Control

500,000.00 Sanming Sanming 0.00% 51.00%

Co., Ltd. Retail business merged with Youxi County Yangzu Nanmen Pharmaceutical Business Pharmaceutical Wholesale and Not under Common Control

500,000.00 Sanming Sanming 0.00% 51.00%

Co., Ltd. Retail Business merger under Youxi County Yangzu Yifeng Pharmaceutical Operations Pharmaceutical wholesale and non-common control

500,000.00 Sanming Sanming 0.00% 51.00%

Co., Ltd. Retail Enterprise merger under Fujian Haihua Pharmaceutical Chain Co., Ltd. 5,000,000.0 Pharmaceutical wholesale and non-common control

Longyan Longyan 54.56% 0.00%

Division 0 Retail Company merger with Longyan Wuping Futong Liangye Pharmaceutical has drug wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Co., Ltd., retail company merged with Longyan Silla Futong Hongfang Pharmaceutical Co., Ltd., which has drug wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Co., Ltd. Retail. Longyan Shilla Futong Liandong Pharmaceutical Co., Ltd. has drug wholesale and non-common control under the enterprise merger.

200,000.00 Longyan Longyan 0.00% 54.56%

Co., Ltd., retail company merged with Longyan Shilla Futong Yicheng Pharmaceutical Co., Ltd., pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Co., Ltd. Retail merged with Longyan City Xinluo District Haihua Mingde Medical Pharmaceutical Wholesale and non-common control

500,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of enterprises under Longyan Xinluo District Haihua Zhongkang Medical 5,100,000.0 Pharmaceutical wholesale and non-common control

Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. 0 Retail Enterprise merger under Longyan Haihua Zhenghe Pharmaceutical Co., Ltd. Pharmaceutical wholesale and non-common control

500,000.00 Longyan Longyan 0.00% 54.56%

Company Retail Merger of Longyan City Xinluo District Haihua Xinhong Medical Drug Wholesale and Non-Common Control

300,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Yiduotang Pharmaceutical Wholesale and non-common control

300,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Wanfu Medical Pharmaceutical Wholesale and non-common control

300,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Xianghui Medical Pharmaceutical Wholesale and non-common control

300,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Jitong Medical Pharmaceutical Wholesale and non-common control

300,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Jucheng Pharmaceutical Pharmaceutical Wholesale and non-common control

300,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Dayuan Medical Pharmaceutical Wholesale and non-common control

300,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihuaya New Medical Pharmaceutical Wholesale and non-common control

300,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua and Xinyi Pharmaceutical Wholesale and non-common control

300,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Business Merger

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Haihua Huihetang, Xinluo District, Longyan City Drug wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Yifeng Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihuasheng Civil Medicine Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Ruchuntang Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Under the enterprise merger, Longyan Haihua Junan Pharmaceutical Co., Ltd. Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Company Retail Merger of Longyan City Xinluo District Haihuali Shengyi Pharmaceutical Wholesale and Non-Common Control

100,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Liancheng County Haihua Kangfu Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Under the enterprise merger, Longyan Haihua Yidetang Pharmaceutical has 1,000,000.0 Pharmaceutical wholesale and non-common control

Longyan Longyan 0.00% 54.56%

Co., Ltd. 0 Retail Company merger under Longyan City Xinluo District Haihualian Beauty Medicine Wholesale of medicines and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Longyan Xinluo District Haihua Zelin Medical Pharmaceutical Co., Ltd. retails and is not under common control.

200,000.00 Longyan Longyan 0.00% 54.56%

Longyan Zhangping Haihua Baoji Tang Medical Pharmaceutical Co., Ltd. retails under the merger of enterprises with pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of pharmaceutical wholesale and non-common control under Haihuayuan Tiantang, Xinluo District, Longyan City

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Yongding District Haihualong Prefecture Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail, Longyan Haihua Xinyuan Pharmaceutical Co., Ltd., pharmaceutical wholesale and non-common control merged under the enterprise

200,000.00 Longyan Longyan 0.00% 54.56%

Company Retail Merger of Longyan City Liancheng County Haihua Guangming Medical Drug Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

药有限公司 零售 下企业合并龙岩市连城县海华佰惠医 药品批发与 非同一控制

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Linuo Medical Pharmaceutical Wholesale and non-common control

200,000.00 龙岩 龙岩 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Enterprise merger under Longyan Haihua High-tech Pharmaceutical Co., Ltd. 1,000,000.0 Pharmaceutical wholesale and non-common control

龙岩 龙岩 0.00% 54.56%

Company 0 Retail Business merger with Longyan Zhangping Haihuafutang Medical Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Yongding District Haihua Hengyi Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of enterprises under Haihua Times City, Xinluo District, Longyan City 2,000,000.0 Pharmaceutical wholesale and non-common control

Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. 0 Retail Business merger with Longyan City Liancheng County Haihua Yangxinyi Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail The enterprise merged with Longyan Changting County Haihuaxin Talent Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Yongding District Haihua Huicheng Medical Pharmaceutical Wholesale and non-common control

120,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Ruitai Medical Pharmaceutical Wholesale and non-common control

200,000.00 龙岩 龙岩 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Liancheng County Haihua Baikang Medical Pharmaceutical Wholesale and non-common control

100,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Haihuagutian Medical Pharmaceutical Co., Ltd., Shanghang County, Longyan City Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Shanghang County Haihua Caixi Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of enterprises under Longyan Xinluo District Haihua Shiji Medical 200,000.00 Longyan Longyan Pharmaceutical wholesale and 0.00% 54.56% Not under common control

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Wuping County Haihuat Kang Medical Pharmaceutical Wholesale and non-common control

200,000.00 龙岩 龙岩 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Shanghang County Haihua Baoxiang Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Haihua Jinkang'an Pharmaceutical Wholesale in Wuping County, Longyan City with non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Business combination under Pharmaceutical Co., Ltd. Retail

resident services,

Longyan Haihua Bright Pharmaceutical Co., Ltd. Not under common control

200,000.00 Longyan Longyan Repair and others 0.00% 54.56%

Business combination under company

Service industry

Haihua Xindong Medical, Wuping County, Longyan City Drug wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 32.73%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Xinkang Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of enterprises under Longyan City Yongding District Health Pharmacy 5,100,000.0 Pharmaceutical wholesale and non-common control

Longyan Longyan 0.00% 54.56%

Co., Ltd. 0 Retail Company merger under Longyan City Xinluo District Haihua Shengyuan Medical Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Hongji Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Xianji Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Ren'an Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Longyan Haihua Tongtai Pharmaceutical Co., Ltd. retails under the enterprise merger of Longyan Haihua Tongtai Pharmaceutical Co., Ltd. Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Company Retail Merger of Longyan City Xinluo District Haihua Yijiakang Drug Wholesale and Non-Common Control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Baicheng Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihualong Xiangyi Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Liancheng County Haihua Wanshengtang Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Shanghang County Haihua Yikang Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Shanghang County Haihua Hongxiang Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Yuxing Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail. Longyan Xilla Futong Kaifeng Pharmaceutical has pharmaceutical wholesale and non-common control under the enterprise merger.

200,000.00 Longyan Longyan 0.00% 54.56%

Co., Ltd. Retail Merger of Longyan City Yongding District Haihuatang Medical Drug Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Longyan Shilla Futong Overseas Pharmaceutical Co., Ltd., a company under the retail business merger, has pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Co., Ltd. Retail Company merged with Longyan Wuping Futong Wu City Pharmaceutical Co., Ltd. Drug wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Co., Ltd. Retail Merger of Longyan City Xinluo District Haihuatianqi Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Fuheng Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihuamin Haoyi Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of enterprises under Longyan City Xinluo District Haihua Yuanquankang Not under common control

200,000.00 Longyan Longyan Manufacturing 0.00% 54.56%

Pharmaceutical Co., Ltd. merged with Longyan Yongding District Haihua Jian'an Hospital 200,000.00 Longyan Longyan Pharmaceutical wholesale and 0.00% 54.56% Not under common control

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Pharmaceutical Co., Ltd. Retail, Longyan Haihua Xiyuan Pharmaceutical Co., Ltd., pharmaceutical wholesale and non-common control merged under the enterprise

200,000.00 Longyan Longyan 0.00% 54.56%

Company Retail Merger of Longyan City Shanghang County Haihua Huiming Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihuadong Jinyi Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Shanghang County Haihua Bokang Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail The enterprise merged with Longyan Changting County Haihua Shengmao Medical Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Kangquan Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Shanghang County Haihua Minjian Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail, Yongan Haihua Xiangtai Pharmaceutical Co., Ltd., pharmaceutical wholesale and non-common control merged under the enterprise

200,000.00 Sanming Sanming 0.00% 54.56%

Company Retail Merger of Longyan City Shanghang County Haihua Hongtai Medical Pharmaceutical Wholesale and Non-Common Control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Wuping County Haihua Wudong Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Shanghang County Haihua Yikang Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Hanlin Pharmaceutical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Shanghang County Haihua Lufeng Pharmaceutical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail The enterprise merged with Longyan City Yongding District Haihua Wanxintang Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of enterprises under Longyan City Xinluo District Haihua Hongfutang Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Hengda Pharmaceutical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Xincheng Medical Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Haihua Wuxin Medical Pharmaceutical Co., Ltd., Wuping County, Longyan City Pharmaceutical wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihuasi Zhongyi Pharmaceutical Wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail Merger of Longyan City Xinluo District Haihua Xinhuikang Pharmaceutical Wholesale and non-common control

50,000.00 Longyan Longyan 0.00% 54.56%

Pharmaceutical Co., Ltd. Retail business merger Yongan Haihua Xiangzhong Pharmaceutical Co., Ltd. Pharmaceutical wholesale and non-common control

200,000.00 Sanming Sanming 0.00% 54.56%

Company Retail Merger of Yongan Haihua Fragrant Herb Industry Co., Ltd. Drug wholesale and non-common control

100,000.00 Sanming Sanming 0.00% 54.56%

Company Retail Business merger Yongan Haihua Yuren Pharmaceutical Co., Ltd. Drug wholesale and non-common control

100,000.00 Sanming Sanming 0.00% 54.56%

Corporate Retail Business Combinations

10,000,000. Drug wholesale and not under common control Fujian Futong Pharmaceutical Co., Ltd. Longyan Longyan 0.00% 54.56%

00 Business merger under retail Longyan Haihua Dianshang Pharmaceutical Co., Ltd. Drug wholesale and non-common control

200,000.00 Longyan Longyan 0.00% 54.56%

Company Retail Business merger Hangzhou Guosheng Pharmacy Chain Co., Ltd. 5,000,000.0 Drug wholesale and non-common control

Hangzhou Hangzhou 100.00% 0.00%

Company 0 Retail Business merger with Feixi Guosheng Pharmacy Chain Co., Ltd. 10,000,000. Drug wholesale and 100.00

Hefei Hefei 0.00% Newly established company 00 Retail %

5,000,000.0 100.00

Anhui Guosheng Convenience Store Co., Ltd. Hefei Hefei Retail 0.00% Newly established

0%

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Hefei Guoshengweimeiyuan Pharmacy has non-common control

500,000.00 Hefei Hefei Retail 0.00% 99.00%

Co., Ltd. under corporate merger Note: 1 Taixiding Health Technology Co., Ltd. has a registered capital of 500,000 patacas

2 The registered capital of Hong Kong Tonghetang Pharmaceutical Co., Ltd. is HKD 1 million.

Unit: Explanation on the difference between Yuan’s shareholding ratio in the subsidiary and the voting rights ratio:

Basis for holding half or less of the voting rights but still controlling the invested unit, and holding more than half of the voting rights but not controlling the invested unit:

For important structured entities included in the scope of consolidation, the basis for control is:

Basis for determining whether a company is agent or principal:

Other notes:

(2) Important non-wholly owned subsidiaries

Unit: Yuan Attributable to minority shareholders in this period Announcement to minority shareholders in this period Name of the company remaining in minority shareholders’ equity at the end of the period Shareholding ratio of minority shareholders

Profit and loss Amount of dividends distributed

Maanshan Guosheng 30.00% 811,694.60 8,710,000.00 19,845,137.70 Zhoushan Liken 40.00% 5,440,715.83 4,400,000.00 11,841,498.33 Anji Baixingyuan 49.00% 5,682,831.83 15,782,379.05 Fujian Yangzu 49.00% 3,658,819.18 11,760,000.00 7,565,430.58 Fujian Haihua 45.44% 5,262,371.42 11,500,739.82 Explanation on the difference between the shareholding ratio of minority shareholders of subsidiaries and the voting rights ratio:

Other notes:

(3) Main financial information of important non-wholly owned subsidiaries

Unit: Yuan

Ending balance Beginning balance

Zigong

non-flow non-flow non-flow non-flow

Company name Current assets Current liabilities Current assets Current liabilities Liquid capital Current liabilities Liquid capital Liquid liabilities

Said Assets Total Liabilities Total Assets Total Liabilities Total

property debt property debt

Saddle 133,0 22,38 155,4 83,73 5,575 89,31 196,2 30,00 226,2 132,7 10,38 143,1 Shanguo 77,79 7,634 65,42 9,585 ,380. 4,965 11,71 0,018 11,72 53,88 8,650 42,53win 0.54 .27 4.81 .43 37 .80 0.83 .05 8.88 7.72 .36 8.08Zhoushan 79,23 22,76 101,9 66,03 6,352 72,38 77,40 26,76 104,1 70,90 6,266 77,17Riken 0,399 0,714 91,11 4,867 ,500. 7,368 6,766 9,855 76,62 8,411 ,253. 4,665

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

.26 .85 4.11 .58 71 .29 .25 .28 1.53 .39 89 .28Anji 59,18 15,02 74,20 37,51 4,483 41,99 43,25 17,67 60,92 28,89 11,41 40,31People 1,224 7,227 8,451 6,164 ,350. 9,515 1,209 8,112 9,322 9,768 8,233 8,001Yuan .33 .60 .93 .34 76 .10 .86 .71 .57 .69 .03 .72

113,2 64,62 177,8 134,0 28,34 162,3

Fujian

03,21 7,232 30,44 41,19 9,590 90,78

Yangzu

1.16 .79 3.95 9.42 .29 9.71

108,5 16,85 125,3 97,30 2,746 100,0

Fujian

29,34 3,218 82,56 7,384 ,682. 54,06

Haihua

7.15 .87 6.02 .46 75 7.21

Unit: Yuan

Amount for the current period Amount for the previous period

Subsidiary name

Comprehensive Income Operating Activities Comprehensive Income Operating Activities Operating Income Net Profit Operating Income Net Profit

Total cash flow Total cash flow Maanshan Guo 316,473,8 2,081,268 2,081,268 34,043,66 325,545,6 14,769,66 14,769,66 22,875,12 wins 57.98 .21 .21 5.29 18.64 5.77 5.77 9.11

183,476,3 13,601,78 13,601,78 23,968,72 185,454,7 11,621,17 11,621,17 15,483,31Zhoushan Liken

89.12 9.57 9.57 9.51 54.95 8.35 8.35 2.99Anji people 168,851,2 11,597,61 11,597,61 19,644,24 74,839,43 5,157,895 5,157,895 4,112,805 Yuan 1 95.38 5.98 5.98 7.26 2.42 .61 .61 .52

175,650,2 7,466,977 7,466,977 27,640,91

Fujian Yangzu

44.04 .92 .92 4.55

180,688,4 11,588,11 11,588,11 8,121,584

Fujian Haihua

90.34 1.48 1.48 .59

Note: 1 The amount incurred by Anji Baixingyuan in the previous period is the amount incurred from July to December after the acquisition.

Other notes:

2. Transactions in which the ownership share of the subsidiary changes and the subsidiary is still controlled

(1) Description of changes in owner’s equity shares of subsidiaries

In June 2025, the company acquired 20% of the shares of Lu'an Ping An held by minority shareholders of its subsidiary Lu'an Ping An, with a transaction consideration of 30,563,846.60 yuan.

In December 2025, the company acquired 9% of the shares of Maanshan Guosheng owned by minority shareholders of its subsidiary Maanshan Guosheng, with a transaction consideration of 39,460,000.00 yuan.

(2) The impact of the transaction on minority shareholders’ equity and owner’s equity attributable to the parent company

Unit: Yuan

Lu'an Ping An Ma'anshan Guosheng

Purchase cost/disposal consideration 30,563,846.60 39,460,000.00 --Cash 30,563,846.60 39,460,000.00 --Fair value of non-cash assets

Total purchase cost/disposal consideration 30,563,846.60 39,460,000.00 Less: calculated based on the proportion of equity acquired/disposed of

4,306,042.68 5,953,541.31 Share of the company’s net assets

Difference 26,257,803.92 33,506,458.69 Including: Adjustment of capital reserve 26,257,803.92 33,506,458.69

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Adjust the surplus reserve

Adjust undistributed profits

Other notes:

11. Government subsidies

1. Government subsidies recognized according to the amount receivable at the end of the reporting period

□Applicable Not applicable

Reasons for failure to receive the estimated amount of government subsidy at the estimated time

□Applicable Not applicable

2. Liability items involving government subsidies

Applicable □Not applicable

Unit: Yuan Included in the current period

New supplements added in the current period are transferred to other changes and assets/receipts in the current period. Opening balance of the current period. Non-professional income. Ending balance of subsidy amount. Amount of other income. Movement and interest related amount.

1,200,000. 1,808,643. Deferred income 806,233.25 197,589.42 Related to assets 00 83

1,200,000. 1,808,643. Total 806,233.25 197,589.42

00 83

3. Government subsidies included in current profits and losses

Applicable □Not applicable

Unit: Yuan

Accounting items Amount for the current period Amount for the previous period Other income 14,112,241.59 23,289,269.19 Other notes

12. Risks related to financial instruments

1. Various risks arising from financial instruments

2. Market risk

(1) Foreign exchange risk

Foreign exchange risk refers to the risk of changes in foreign exchange rates that affect the company's financial results and cash flows. The Company has no relevant foreign exchange business, so the management of the Company believes that the foreign exchange risk faced by the Company is not significant.

(2) Interest rate risk - fair value change risk

The Company's risk of changes in the fair value of financial instruments due to changes in interest rates mainly comes from short-term borrowings with fixed interest rates. Since all fixed-rate borrowings are short-term borrowings, the Company's management believes that the fair interest rate risk is not significant. The Company currently does not have an interest rate hedging policy.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(3) Interest rate risk - risk of cash flow changes. The company has no debt with floating interest rates, so the management believes that there is no such risk for the time being.

(4) Other price risks

The company's management believes that there is currently no such risk situation.

2. Credit risk

As of December 31, 2025, the largest credit risk exposure that may cause the company's financial losses mainly comes from the loss of the company's financial assets caused by the failure of the other party to the contract to perform its obligations, specifically including:

The carrying amount of financial assets recognized in the consolidated balance sheet; for financial instruments measured at fair value, the carrying amount reflects its risk exposure, but it is not the maximum risk exposure, and its maximum risk exposure will change with changes in fair value in the future.

In order to reduce credit risks, the Company controls credit limits, conducts credit approvals, and implements other monitoring procedures to ensure that necessary measures are taken to recover overdue claims. In addition, the Company accrues sufficient bad debt provisions based on the recovery of receivables on each balance sheet date. Therefore, the company's management believes that the credit risk assumed has been greatly reduced.

In addition, the company's monetary funds are deposited in banks with higher credit ratings, so the credit risk of monetary funds is low.

3. Liquidity risk

When managing liquidity risk, the Company maintains cash and cash equivalents deemed sufficient by management and monitors them to meet the Company's operating needs and reduce the impact of cash flow fluctuations.

The company's management believes that the liquidity risk borne by the company is low and will not have a significant impact on the company's operations and financial statements. The financial statements are prepared on the basis of the going concern assumption.

13. Disclosure of fair value

1. Closing fair value of assets and liabilities measured at fair value

Unit: Yuan Ending Fair Value

Item Level 1 fair value Level 2 fair value Level 3 fair value

total

Measurement Measurement Measurement

1. Continuous fair value measurement -- -- -- --

(1) Trading financial assets 22,000,000.00 22,000,000.00 1. Measured at fair value and its changes

22,000,000.00 22,000,000.00 Financial assets included in current profits and losses

(2) Investment in equity instruments 22,000,000.00 22,000,000.00

(3) Investment in other equity instruments 45,523,867.00 45,523,867.00

(6) Financing of receivables 22,999,543.46 22,999,543.46 Assets continuously measured at fair value

90,523,410.46 90,523,410.46 Total

2. Non-continuous fair value measurement -- -- -- --

2. Basis for determining the market price of continuous and non-continuous first-level fair value measurement items

The first level input value is the unadjusted quoted price in an active market for the same asset or liability that can be obtained on the measurement date.

3. Continuous and non-continuous second-level fair value measurement items, valuation techniques used and qualitative and quantitative information on important parameters

The second level input value is the directly or indirectly observable input value of the relevant assets or liabilities in addition to the first level input value.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

4. For continuous and non-continuous third-level fair value measurement items, the valuation techniques used and the qualitative and quantitative information of important parameters. The third-level input value is the unobservable input value of the relevant assets or liabilities.

5. Continuous third-level fair value measurement items, adjustment information between the opening and closing book values ​​and sensitivity analysis of unobservable parameters (1) The trading financial assets held by the company are capital-guaranteed wealth management products, and the bank did not provide the fair value of the wealth management products on the balance sheet date; the income settlement cycle of this wealth management product is short, the income fluctuation is small, and the change in fair value is small, so the remaining cost of the wealth management product is used as the best estimate of the fair value at the end of the period. (2) The receivables held by the company are financed by bank acceptance bills with a higher credit rating, and their fair value is recognized at face value. (3) Since there is no public quotation in relevant market information and insufficient fair value information for other unlisted company equities held by the company, the investment cost is used as the best estimate of the fair value at the end of the period based on the fact that there have been no major changes in the operating environment and operating conditions, financial status, financing situation, etc. of the invested enterprise.

6. For ongoing fair value measurement items, if there is a conversion between levels during the current period, the reasons for the conversion and the policy for determining the time of conversion are not available.

7. Valuation technology changes that occurred during the current period and reasons for the changes

None

8. Fair value of financial assets and financial liabilities not measured at fair value

None

9. Others

None

14. Related parties and related transactions

1. Information about the company’s subsidiaries

For details of the company's subsidiaries, please refer to Note 10. Equity in Other Entities 1. Equity in Subsidiaries.

2. Other related parties

Names of other related parties Relationship between other related parties and the company He Jiale The actual controller, shareholder, chairman and president of the company He Jialun He Jiayu the actual controller, shareholder, director and vice president of the company The brother of the actual controller of the company

Chen Jinmei He Jiale’s spouse

Zhu Lianru Ho Jialun's spouse

Wang Fang He Jiayu spouse

Yin Jun Company Director and Vice President

Yang Ce once served as a director of the company. He ceased to serve as a director of the company on April 25, 2025. Anhui Yutaihe Traditional Chinese Medicine Industry Investment Co., Ltd. (former name: Anhui Yutai

Ho Chia Yu Holdings Co., Ltd.

and Investment Management Co., Ltd.)

Anhui People's Health Pharmacy Co., Ltd. He Jiayu Holdings Company

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Anhui Huairentang Pharmaceutical Co., Ltd. He Jiayu Holdings Company

Anhui Huairentang Biotechnology Co., Ltd. (former name: Anhui People's Health

Ho Chia Yu Holdings Co., Ltd.

Material Technology Co., Ltd.)

Alibaba Health Technology (China) Co., Ltd. (hereinafter referred to as "Alibaba Health. Ali Health once held 5% of the company's shares, and will reduce its holdings to Alibaba after March 15, 2025") below 5%

Alibaba Health and its related service platforms Enterprises controlled by Alibaba Health

Yu Bo, the brother of Yin Junzhi's spouse, once held 100% of the shares and served as executive director and general manager of Hefei Fusaifu Catering Service Co., Ltd.1. In April 2024, Yu Bo transferred his shares to other unrelated parties

After becoming a natural person, he no longer serves as executive director and general manager.

Chen Kai once served as a director of the company. He will no longer serve as a director of the company on April 12, 2024. Shiping (Hangzhou) Pharmaceutical Co., Ltd. (former name: Ali Health (Zhejiang)

Alibaba Health Subsidiary

Pharmaceutical Co., Ltd., Hangzhou Lihe Pharmaceutical Co., Ltd.)

Guizhou Yishu Pharmaceutical Co., Ltd. (hereinafter referred to as "Guizhou Yishu") 2 Chen Kai serves as director of Guizhou Yishu

Related units of Guizhou Yishu Enterprises controlled by Guizhou Yishu

Hefei Shengfan Enterprise Management Co., Ltd. He Jialun Holdings Company

Anhui Huairentang Health Industry Development Co., Ltd. (former name: Anhui Huaren Health

Ho Chia Yu Holdings Co., Ltd.

Kang Medical Technology Co., Ltd.)

Suzhou People's Pharmacy Chain Co., Ltd. is an enterprise in which the company holds 19% shares

Anhui Baijia Yimin Pharmaceutical Chain Co., Ltd. An enterprise in which the company holds 19% shares

Mingguang Dexiang Jishengtang Pharmacy Chain Co., Ltd. is an enterprise in which the company holds 19% shares

Anhui Wuyi Pharmacy Chain Co., Ltd. is a company in which the company holds 19% shares

Shuyu Pingping Pharmacy Chain Co., Ltd. (hereinafter referred to as "Shuyuping")

Yang Ce serves as Shuyu civilian director

people")

Affiliated units of Shuyu civilians Enterprises controlled by Shuyu civilians

The company holds 4.99% of the shares. He Jialun once served as a director of Fujian Haihua Pharmaceutical Chain Co., Ltd. and will no longer serve on April 7, 2024. In May 2025, Fujian Haihua became a holding subsidiary of the company.

Anhui Guosheng, a wholly-owned subsidiary of the company, once held a 10% stake in Chizhou Baicaotang.

(Chizhou Baicaotang has signed an "Equity Repurchase Agreement" with Anhui Guosheng and other shareholders of Chizhou Baicaotang Pharmacy Co., Ltd. on June 20, 2025, to repurchase all 10% of the equity held by Anhui Guosheng, and the repurchase price will be paid in four installments; as of now, due to the above equity

The repurchase has not been completed and the industrial and commercial change registration has not been completed).

Note 1 Chen Kai will no longer serve as a director of the company on April 12, 2024, so from May 2025, Guizhou Yishu Pharmaceutical Co., Ltd. will no longer be an affiliate of the company

Square.

Other notes:

3. Related transactions

(1) Related transactions related to the purchase and sale of goods, provision and receipt of services

Procurement of goods/service acceptance form

Unit: Yuan

Whether the transaction amount is exceeded

Related parties Related party transaction content Amount incurred in the current period Approved transaction quota Amount incurred in the previous period

Degree

Alibaba Health and its related parties purchase goods and accept

43,082,730.97 45,000,000.00 No 29,395,224.80 United Service Platform Labor

Hefei Fusaifu Catering Purchases goods and accepts

450,000.00 2,000,000.00 No 3,500,000.00 Service Co., Ltd. 1 Labor service

Anhui Huairentang Pharmaceutical purchases goods and accepts

15,262,127.98 50,000,000.00 No 16,784,600.67 Co., Ltd. Labor services

Note: 1 Hefei Fusaifu Catering Service Co., Ltd.’s current period’s amount is only listed from January to April 2025, which is the related relationship range.

List of goods sold/services provided

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Unit: Yuan Related party Contents of related transactions Amount incurred in the current period Amount incurred in the previous period

Affiliated units of Shuyu Civilian Sales of goods and provision of services 4,508,024.86 5,573,876.91 Suzhou People’s Pharmacy Chain Co., Ltd.

Selling goods and providing services 4,522,230.38 4,557,315.07 Company

Fujian Haihua Pharmaceutical Chain Co., Ltd.

Sales of goods and provision of services 2,144,374.90 3,396,101.80 Ali Health and its related service platforms Sales of goods and provision of services 783,092.06 619,553.25 Guizhou Yishu related units 3 Sales of goods and provision of services 76,035.41 413,927.44 Chuzhou Guosheng Yimin Pharmaceutical Chain Co., Ltd.

Selling goods and providing services 5,880,658.13 3,467,416.87 Company

Dexiang Jishengtang Pharmacy, Mingguang City

Selling goods and providing services 693,146.50 2,031,684.65 Lock Co., Ltd.

Anhui Wuyi Pharmacy Chain Co., Ltd.

Selling goods and providing services 2,968,924.97 1,651,559.46 Division

Chizhou Baicaotang Pharmacy Co., Ltd.

Selling goods and providing services 3,090,009.72 4,426,954.25 Ren Company

Note: 2 The current amount of Fujian Haihua Pharmaceutical Chain Co., Ltd. is listed only from January to May 2025, which belongs to the related relationship range.

3 The amounts incurred by Guizhou Yishu’s related units in the current period are only shown from January to April 2025, which falls within the related relationship range.

Description of related transactions for purchasing and selling goods, providing and receiving services

(2) Related leasing situation

As a lessor, our company:

Unit: Yuan Name of the lessee Type of leased assets Lease income recognized in the current period Lease income recognized in the previous period The company, as the lessee:

Unit: Yuan Short-term simplified treatment not included in lease liabilities

Lease and low-value assets Variable lease measured Lease liability assumed Increased right-of-use lease Rent paid

The name of the lessor is the rental fee and payment amount (if appropriate) of the property lease.

assets

Weigh (if applicable)

Kind

Issued in this period Issued in last issue Issued in this issue Issued in last issue Issued in this issue Issued in last issue Issued in this issue Issued in last issue Issued in this issue Last issue Amount Amount Amount Amount Amount Amount Amount Amount Amount Amount Amount Anhui Yutai

accept

and traditional Chinese medicine 1,275, 1,260, 120,20 168,74

house

Industrial investment 750.00 000.00 2.80 4.75

lease

Ltd.

Description of related leasing situation

(3) Related guarantees

The company acts as a guarantor

Unit: Yuan Guaranteed party Guarantee amount Guarantee starting date Guarantee expiration date Whether the guarantee has been fulfilled

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Complete

The company as the guaranteed party

Unit: Yuan

Whether the guarantee has been fulfilled by the guarantor, the guarantee amount, the guarantee starting date, the guarantee expiry date

Bi He Jiale, He Jialun, Chen

140,000,000.00 October 20, 2022 May 19, 2025 Yes

Jinmei, Zhu Lianru

He Jiale 210,000,000.00 July 13, 2023 July 13, 2028 No

Description of related guarantees

(4) Remuneration of key management personnel

Unit: Yuan

Item Amount for the current period Amount for the previous period

Remuneration of key management personnel 4,395,351.06 4,770,161.60

4. Accounts receivable and payable from related parties

(1) Items receivable

Unit: Yuan Ending balance Beginning balance

Project name Related parties

Book balance Provision for bad debts Book balance Provision for bad debts

Alibaba health related service platform

Accounts receivable 9,083,840.16 454,192.01 3,616,562.94 180,828.15

Taiwan

Accounts receivable Shuyu Civilian related units 1,299,034.34 65,400.96 1,737,220.04 86,959.09

Suzhou People's Pharmacy Company

Accounts receivable 635,852.34 31,792.62 771,711.23 38,585.56

lock co., ltd.

Accounts receivable Guizhou Yishu related units 36,644.30 1,832.22

Fujian Haihua Pharmaceutical Chain Co., Ltd.

Accounts receivable 141,812.50 7,090.63 Co., Ltd.

Dexiang Jisheng Hall, Mingguang City

Accounts receivable 1,039,339.32 64,781.09 1,473,119.19 73,655.96 Pharmacy Chain Co., Ltd.

Chuzhou Guosheng Yimin Medical Company

Accounts receivable 2,110,283.30 105,514.17 750,615.14 37,566.56 Lock Co., Ltd.

Anhui Wuyi Pharmacy Chain

Accounts receivable 144,035.85 7,201.79 478,315.51 23,915.78 Co., Ltd.

Chizhou Baicaotang Pharmacy

Accounts receivable 102,665.78 5,133.29 173,930.26 8,696.51 Limited liability company

Anhui Yutaihe Traditional Chinese Medicine Industry

Other receivables 500,000.00 25,000.00 500,000.00 25,000.00 Industry Investment Co., Ltd.

Alibaba health related service platform

Other receivables 31,047.25 1,552.36

Taiwan

Anhui Huairentang Biotechnology

Prepaid accounts 14,587.81

Ltd.

Chizhou Baicaotang Pharmacy

Long-term receivables 2,298,842.24

limited liability company

Due within one year

Chizhou Baicaotang Pharmacy

Non-current funds 1,918,158.69

limited liability company

produce

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd. (2) Items payable

Unit: Yuan

Project name Related parties Book balance at the end of the period Book balance at the beginning of the period Accounts payable Anhui Huairentang Pharmaceutical Co., Ltd. 2,025,549.69 2,242,653.78 Contract liabilities Shuyu Mining related units 278.63 6,079.34 Contract liabilities Guizhou Yishu related units 129.47 Other payables Suzhou Renmin Pharmacy Chain Co., Ltd. 4,300.00 4,300.00 Other payables Shuyu Mining related units 5,000.00 5,026.77 Other payables Chuzhou Guosheng Yimin Pharmaceutical Chain Co., Ltd. 1,000.00

Lease liabilities Anhui Yutaihe Traditional Chinese Medicine Industry Investment Co., Ltd. 978,030.25 3,389,045.03 Non-current liabilities due within one year Anhui Yutaihe Traditional Chinese Medicine Industry Investment Co., Ltd. 1,255,467.58 1,155,547.20

15. Share-based payment

1. Overall situation of share-based payment

□Applicable Not applicable

2. Equity-settled share-based payment

□Applicable Not applicable

3. Share-based payment settled in cash

□Applicable Not applicable

4. Share-based payment expenses for this period

□Applicable Not applicable

5. Modification and termination of share-based payment

None

6. Others

16. Commitments and contingencies

1. Important commitments

Important commitments existing at the balance sheet date

As of December 31, 2025, the company has no commitments that need to be disclosed.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

2. Contingent matters

(1) Important contingencies existing on the balance sheet date

(1) The company signed a "Guarantee Contract" with the Hefei Branch of China Minsheng Banking Co., Ltd. to provide guarantee for the principal amount of financing claims of the subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. up to 150 million yuan from June 9, 2025 to November 30, 2026. As of December 31, 2025, Anhui Guosheng Pharmacy Chain Co., Ltd. has one bank acceptance bill and two irrevocable letters of credit issued under the above guarantee. The balance of the bank acceptance bill issued after deducting the acceptance bill deposit is 50 million yuan, with a maturity date of 202 On June 17, 2020, an irrevocable letter of credit of RMB 69.5 million was issued, one of which was in the amount of RMB 50 million and had an expiration date of November 30, 2026, and the other was in the amount of RMB 19.5 million and had an expiration date of October 30, 2026. As of December 31, 2025, the subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. has used a guarantee line of RMB 119.50 million under this guarantee line.

(2) The company signed an "Irrevocable Letter of Guarantee" with Hefei Branch of China Merchants Bank Co., Ltd. from May 18, 2023 to May 17, 2026, for the subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. 2,340 As of December 31, 2025, Anhui Guosheng Pharmacy Chain Co., Ltd. has a long-term loan principal of RMB 5.85 million under the above guarantee, with a maturity date of May 17, 2026.

(3) The company signed an "Irrevocable Guarantee" with Hefei Branch of China Merchants Bank Co., Ltd. to provide an amount of 136,45 to its subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. from June 20, 2023 to June 20, 2026. A guarantee of RMB 6,600.00. As of December 31, 2025, Anhui Guosheng Pharmacy Chain Co., Ltd. has a long-term loan principal of RMB 28,048,537.00 under the above guarantee, with an expiration date of June 20, 2026.

(4) The company signed the "Maximum Guarantee Contract" with the Hefei Branch of Dongguan Bank Co., Ltd. to provide guarantee for the maximum amount of 160 million yuan in principal of financing claims of its subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. from March 8, 2024 to March 7, 2029. As of December 31, 2025, Anhui Guosheng Pharmacy Chain Co., Ltd. has no debts under the above guarantees.

(5) The company signed the "Maximum Guarantee Contract" with the Hefei Yungu Road Branch of Huishang Bank Co., Ltd. to provide guarantee for the maximum amount of financing debt principal of the subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. of 70 million yuan from September 8, 2025 to September 8, 2026. As of December 31, 2025, Anhui Guosheng Pharmacy Chain Co., Ltd. has two bank acceptance bills issued under the above guarantee, one of which is 80 million yuan, with an expiration date of March 2, 2026 9th; a sum of 19.00 million yuan, with a maturity date of April 14, 2026; after deducting the bank acceptance bill deposit amount of 49.50 million yuan, the amount used is 49.50 million yuan.

(6) The company signed the "Maximum Guarantee Contract" with Binhu Branch of CITIC Bank to provide guarantee for the maximum amount of 100 million yuan in principal of financing claims of its subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. from December 5, 2025 to December 5, 2026. As of On December 31, 2025, Anhui Guosheng Pharmacy Chain Co., Ltd. had a bank acceptance bill of RMB 60 million issued under the above guarantee, with an expiry date of June 18, 2026, less The deposit amount for the acceptance bill is 30 million yuan, with an expiration date of June 18, 2026, and the irrevocable letter of credit issued is 70 million yuan, with an expiration date of September 30, 2026.

(7) The company signed the "Maximum Guarantee Contract" with CITIC Bank Binhu Branch to provide guarantee for the maximum amount of 10 million yuan in principal of financing claims of its subsidiary Anhui Quanfang Pharmaceutical Co., Ltd. from December 5, 2025 to February 20, 2026. As of December 31, 2025, Anhui Quanfang Pharmaceutical Co., Ltd. had bank acceptance bills of 4.8634 million yuan issued under the above guarantee, deducting the acceptance bill deposit amount of 2.4317 million yuan, and the expiration date is February 20, 2026.

(8) The company signed the "Maximum Guarantee Contract" with the Xinzhan Branch of China Merchants Bank Co., Ltd. to provide guarantee for the maximum amount of 100 million yuan in principal of financing claims of its subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. from December 12, 2024 to November 20, 2026. As of December 31, 2025, Anhui Guosheng Pharmacy Chain Co., Ltd. had bank acceptance bills of RMB 66.5 million issued under the above guarantee, excluding the bank acceptance bill deposit amount of RMB 33.25 million, with an expiry date of May 19, 2026; and irrevocable letters of credit of RMB 66.75 million, with an expiration date of November 20, 2026. As of December 31, 2025, the subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. has used a guarantee line of 100 million yuan under this guarantee line.

(9) The company signed the "Maximum Guarantee Contract" with the Xinzhan Branch of China Merchants Bank Co., Ltd. to provide guarantee for the principal amount of financing claims of the subsidiary Anhui Quanfang Pharmaceutical Co., Ltd. up to 20 million yuan from December 12, 2024 to May 28, 2026. As of December 31, 2025, Anhui Quanfang Pharmaceutical Co., Ltd. had bank acceptance bills of RMB 20.0441 million issued under the above guarantee, and the amount after deducting the acceptance bill deposit was RMB 7.7706 million. The expiration date is May 28, 2026.

(10) The company signed the "Maximum Guarantee Contract" with Huaxia Bank Co., Ltd. to provide guarantee for the maximum amount of 100 million yuan in principal of financing claims of its subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. from December 12, 2024 to March 3, 2026. As of December 31, 2025, Anhui

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Guosheng Pharmacy Chain Co., Ltd. has a letter of credit of RMB 50 million issued under the above guarantee, with an expiration date of January 13, 2026; Anhui Guosheng Pharmacy Chain Co., Ltd. has a bank acceptance bill of RMB 95 million issued under the above guarantee, with an expiration date of March 3, 2026, after deducting the acceptance bill deposit amount of RMB 47.5 million. As of December 31, 2025, the subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. has used a guarantee line of RMB 97.5 million under this guarantee line.

(11) The company signed the "Maximum Guarantee Contract" with Hefei Science and Technology Rural Commercial Bank to provide guarantee for the maximum amount of 100 million yuan in principal of financing claims of its subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. from April 17, 2025 to June 12, 2026. As of December 31, 2025, Anhui Guosheng Pharmacy Chain Co., Ltd. has a letter of credit of RMB 40 million issued under the above guarantee, with an expiration date of June 12, 2026; Anhui Guosheng Pharmacy Chain Co., Ltd. has a bank acceptance bill of RMB 120 million issued under the above guarantee, with an expiration date of June 10, 2026, minus the amount of the acceptance bill deposit. 60 million yuan. As of December 31, 2025, the subsidiary Anhui Guosheng Pharmacy Chain Co., Ltd. has used a guarantee line of 100 million yuan under this guarantee line.

As of December 31, 2025, except for the above matters, the company has no major contingencies that need to be disclosed.

(2) If the company has no important contingencies that need to be disclosed, this should also be explained.

The company has no important contingencies that need to be disclosed.

17. Events after the balance sheet date

1. Profit distribution

The number of dividends to be distributed for every 10 shares (yuan) 1 The number of dividend shares to be distributed for every 10 shares (shares) 0 The number of dividend shares to be distributed for every 10 shares (shares) 0 The number of dividends to be distributed for every 10 shares announced after review and approval

Number of stock dividends (yuan)

After deliberation and approval, every 10

Dividend shares (shares)

After deliberation and approval, every 10

Number of shares converted (shares)

On April 23, 2026, the "Proposal on the Company's 2025 Profit Distribution Plan" was reviewed and approved at the 14th meeting of the company's fifth board of directors. The company's net profit attributable to the owners of the parent company after the audit and merger in 2025 is 191,352,661.67 yuan, of which the net profit realized by the parent company is 120,404,133.99 yuan. After withdrawing the statutory surplus reserve fund, as of December 31, 2025, the audited cumulative distributable profits of the parent company are

425,181,245.68 yuan, and the profit available for distribution to shareholders in the consolidated statement is 724,039,050.04 yuan. The specific total profit distribution amount and proportion are determined based on the lower principle of the distributable profit in the consolidated profit distribution plan statement and the parent company's statement. The company's distributable profit in 2025 is 425,181,245.68 yuan. Based on the company's actual operating conditions and relevant regulations such as the Articles of Association, and taking into account the interests of shareholders and the company's long-term development needs, the company's profit distribution plan for 2025 is: based on the company's total share capital of 400,010,000 shares as of December 31, 2025, a cash dividend of 1 yuan (tax included) will be distributed to all shareholders for every 10 shares, with a total cash dividend of 40,001,000.00 yuan (tax included). No bonus shares will be issued in this profit distribution, and capital reserves will not be converted into share capital. The remaining undistributed profits will be carried forward and distributed in subsequent years.

2. Description of other post-balance sheet events

As of the reporting date, the company had no other significant post-balance sheet events other than the above-mentioned matters.

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

18. Other important matters

1. Branch information

(1) Determination basis and accounting policies of reporting segments

The company determines reporting segments based on internal organizational structure, management requirements, internal reporting systems, etc., and determines reporting segments based on industry segments. The operating performance of pharmaceutical retail, pharmaceutical marketing, terminal centralized procurement, industrial production, and other segments will be assessed respectively.

(2) Financial information of reporting segments

Unit: Yuan

Pharmaceutical Marketing and Ending

Item Pharmaceutical retail Industrial production Other segments Inter-segment elimination Total-end centralized procurement

-

4,006,093,40 3,393,856,71 197,691,038. 18,907,005.4 5,486,683,54 Operating income 2,129,864,61

3.90 0.95 96 8 5.91 3.38

-

2,614,858,99 3,024,574,56 97,383,176.3 3,626,995,76 Operating costs 2,642,300.18 2,112,463,27

7.48 2.12 5 5.02 1.11

-

3,041,870,95 3,548,397,16 293,091,062. 73,974,996.1 5,488,333,14 Total assets 1,469,001,04

7.40 8.08 26 7 1.47 2.44

-

2,420,996,97 1,309,919,05 36,457,322.0 3,325,229,32Total liabilities 9,242,012.19 451,386,036.

4.43 6.92 4 8.68 (3) Other instructions

As of the reporting date, the company has no other important matters that need to be disclosed.

2. Other important transactions and matters that have an impact on investors’ decision-making

As of the reporting date, the company has no other important transactions and events that need to be disclosed that have an impact on investment decisions.

3. Others

None

19. Notes on main items of the parent company’s financial statements

1. Accounts receivable

(1) Disclosure based on aging

Unit: Yuan Aging Book balance at the end of the period Book balance at the beginning of the period

Within 1 year (including 1 year) 188,952,637.84 160,103,281.50 1 to 2 years 2,707,630.80 6,797,680.20

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

2 to 3 years 1,844,870.54 2,770,484.91 More than 3 years 1,834,114.71 4,933,236.55 3 to 4 years 986,168.90 2,605,439.55 4 to 5 years 467,389.37 1,360,341.31

More than 5 years 380,556.44 967,455.69 Total 195,339,253.89 174,604,683.16

(2) Classified disclosure according to bad debt accrual method

Unit: Yuan Ending balance Beginning balance

Book balance Provision for bad debts Book balance Provision for bad debts

Category Book price Book price provision ratio Provision ratio

Amount Ratio Amount Value Amount Ratio Amount Value

Example Example

By item

bad provision

2,062,3 2,062,3 1,850,5 1,850,5

Account provision 1.06% 100.00% 0.00 1.06% 100.00%

53.21 53.21 29.10 29.10

receivables

Accounts

its

Medium:

by combination

bad provision

193,276 10,577, 182,699 172,754 11,781, 160,973 Account provisions 98.94% 5.47% 98.94% 6.82%

,900.68 653.04 ,247.64 ,154.06 101.64 ,052.42 receivables

Accounts

its

Medium:

Among them:

Combination one

191,404 10,577, 180,826 172,541 11,781, 160,759 Aging points 97.98% 5.53% 98.82% 6.83%

,554.68 653.04 ,901.64 ,063.34 101.64 ,961.70 Analysis Group

combine

Combination 2

Internally 1,872,3 1,872,3 213,090 213,090

0.96% 0.12%

Cash group 46.00 46.00 .72 .72Total provision

195,339 12,640, 182,699 174,604 13,631, 160,973Total 100.00% 6.47% 100.00% 7.81%

,253.89 006.25 ,247.64 ,683.16 630.74 ,052.42 Provision for bad debts on an individual basis: 2,062,353.21

Unit: Yuan Beginning balance Ending balance

Name

Book balance Bad debt provision Book balance Bad debt provision Proportion Provision reason Individual provision expectation

Responsibility for credit losses 1,850,529.10 1,850,529.10 2,062,353.21 2,062,353.21 100.00% It is expected that the account cannot be collected

Total 1,850,529.10 1,850,529.10 2,062,353.21 2,062,353.21

Provision for bad debts on a group basis: 10,577,653.04

Unit: Yuan

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Ending balance

Name

Book balance Bad debt provision Provision ratio

Among them: combination of aging analysis method group

191,404,554.68 10,577,653.04 5.53% combined

Portfolio 2 is accrued based on internal account combination 1,872,346.00

Total 193,276,900.68 10,577,653.04

Description of what this combination is based on:

If bad debt provisions for accounts receivable are made according to the general expected credit loss model:

Applicable □Not applicable

Unit: Yuan Phase 1 Phase 2 Phase 3

Expected credit throughout the lifetime Credit expected throughout the lifetime

Provision for bad debts Expected credit in the next 12 months Total

Loss (no credit deduction has occurred Loss (credit deduction has occurred)

loss

value) value)

Balance on January 1, 2025 11,781,101.64 1,850,529.10 13,631,630.74 Balance on January 1, 2025

In this issue

Provision in this period 5,860,013.17 1,699,773.40 7,559,786.57 Transfer in this period 256,153.65 256,153.65 Write-off in this period 7,063,461.77 1,231,795.64 8,295,257.41 As of December 31, 2025

10,577,653.04 2,062,353.21 12,640,006.25

Basis for division of each stage and provision ratio for bad debts

Explanation of significant changes in the book balance of accounts receivable that have experienced changes in loss provisions during the current period:

(3) Bad debt provisions accrued, recovered or reversed in the current period

Bad debt provisions for the current period:

Unit: Yuan Amount of changes in the current period

Category Beginning Balance Ending Balance

Provision Recovery or transfer Write-off Others

Individual provision for expected credit losses

1,850,529.10 1,699,773.40 256,153.65 1,231,795.64 2,062,353.21 Lost accounts receivable

Provision of expected credit on a portfolio basis

11,781,101.64 5,860,013.17 7,063,461.77 10,577,653.04Loss of accounts receivable

Total 13,631,630.74 7,559,786.57 256,153.65 8,295,257.41 12,640,006.25 Among them, the amount of bad debt provision recovery or reversal in the current period is important:

Unit: Yuan Determine the name of the original bad debt provision accrual unit, the amount recovered or reversed, the reason for the reverse, the method of recovery, the basis for the ratio and its reasonableness

sex

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

(4) Accounts receivable actually written off in the current period

Unit: Yuan

Item Write-off Amount

Actual write-off of accounts receivable 8,295,257.41 Among them, the important write-off of accounts receivable:

Unit: Yuan Whether the amount is paid by the name of the related unit Nature of accounts receivable Amount of write-off Reason for write-off The write-off procedures performed

Instructions for writing off accounts receivable arising from transactions:

(5) Accounts receivable and contract assets with the top five closing balances collected by debtors

Unit: Yuan accounts receivable and combined accounts receivable, bad debts, quasi-accounts receivable, ending balance, contract assets, ending balance, accounts receivable and contracts

Unit name Closing balance of same assets Provision and contract asset reduction amount Closing balance of assets

Proportion of total value preparation closing balance Customer A 3,311,688.22 3,311,688.22 1.70% 165,584.41 Customer B 2,733,996.66 2,733,996.66 1.40% 136,699.83 Customer C 2,138,231.22 2,138,231.22 1.09% 106,911.56Customer D 2,106,282.30 2,106,282.30 1.08% 105,314.12Customer E 2,103,141.74 2,103,141.74 1.08% 105,157.09 Total 12,393,340.14 12,393,340.14 6.35% 619,667.01

2. Other receivables

Unit: Yuan

Item Ending balance Beginning balance

Interest receivable 0.00 0.00Dividends receivable 42,240,000.00 0.00Other receivables 323,768,637.10 580,765,481.32Total 366,008,637.10 580,765,481.32

(1) Dividends receivable

1. Classification of dividends receivable

Unit: Yuan

Project (or invested unit) Closing balance Opening balance

Anhui Guosheng Pharmacy Chain Co., Ltd. 30,000,000.00

Fujian Yangzu Huimin Pharmaceutical Chain Co., Ltd. 12,240,000.00

Total 42,240,000.00 0.00

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

2. Classified disclosure according to bad debt accrual method

□Applicable Not applicable

(2) Other receivables

1. Classification of other receivables according to nature of payment

Unit: Yuan

Nature of payment Book balance at the end of the period Book balance at the beginning of the period

Security deposits and deposits 3,278,429.20 3,433,232.70 Current accounts 323,468,517.77 579,636,659.77 Reserve funds 270,699.33 325,717.17 Others 555,998.87 818,176.51Minus: Estimated credit losses -3,805,008.07 -3,448,304.83Total 323,768,637.10 580,765,481.32

2. Disclosure based on aging

Unit: Yuan

Aging Book balance at the end of the period Book balance at the beginning of the period

Within 1 year (including 1 year) 273,033,535.07 418,485,108.82 1 to 2 years 47,136,033.10 144,381,319.41 2 to 3 years 1,946,938.39 8,356,315.65 More than 3 years 5,457,138.61 12,991,042.27 3 to 4 years 3,248,148.52 11,707,379.29 4 to 5 years 1,126,055.89 399,407.45

More than 5 years 1,082,934.20 884,255.53 Total 327,573,645.17 584,213,786.15

3. Classified disclosure according to bad debt accrual method

Unit: Yuan Ending balance Beginning balance

Book balance Provision for bad debts Book balance Provision for bad debts

Category Book price Book price provision ratio Provision ratio

Amount Ratio Amount Value Amount Ratio Amount Value

Example Example

By item

3,543,8 3,543,8 3,120,4 3,120,4

Bad provision 1.08% 100.00% 0.00 0.53% 100.00% 0.00

54.43 54.43 38.59 38.59

Account preparation

Among them:

by combination

324,029 261,153 323,768 581,093 327,866 580,765 Bad provision 98.92% 0.08% 99.47% 0.06%

,790.74 .64 ,637.10 ,347.56 .24 ,481.32 Account preparation

Among them:

combination

1,539,2 83,697. 1,455,5 2,792,5 144,522 2,647,91: According to 0.47% 5.44% 0.48% 5.18%

92.15 21 94.94 04.92 .98 81.94Aging group

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Total withdrawal

combination

Two: Press

318,941 318,941 574,633 574,633 Internal model 97.37% 98.36%

,370.06 ,370.06 ,977.47 ,977.47 combinations

Provision

combination

Three: Press

3,549,1 177,456 3,371,6 3,666,8 183,343 3,483,5 Balance 1.08% 5.00% 0.63% 5.00%

28.53 .43 72.10 65.17 .26 21.91 points comparison group

Total withdrawal

327,573 3,805,0 323,768 584,213 3,448,3 580,765Total 100.00% 1.16% 100.00% 0.59%

,645.17 08.07 ,637.10 ,786.15 04.83 ,481.32 Provision for bad debts on an individual basis: 3,543,854.43

Unit: Yuan Beginning balance Ending balance

Name

Book balance Bad debt provision Book balance Bad debt provision Proportion Provision reason Individual provision expectation

Other credit losses 3,120,438.59 3,120,438.59 3,543,854.43 3,543,854.43 100.00% It is expected that other receivables cannot be recovered

Total 3,120,438.59 3,120,438.59 3,543,854.43 3,543,854.43

Provision for bad debts by combination: 261,153.64

Unit: Yuan ending balance

Name

Book balance Bad debt provision Provision ratio

Portfolio 1: Provision based on aging combination 1,539,292.15 83,697.21 5.44% Portfolio 2: Provision based on internal account combination

318,941,370.06

mention

Combination 3: Combination based on balance percentage

3,549,128.53 177,456.43 5.00% provision

Total 324,029,790.74 261,153.64

Description of what this combination is based on:

Provision for bad debts is made based on the general expected credit loss model:

Unit: Yuan Phase 1 Phase 2 Phase 3

Expected credit throughout the lifetime Credit expected throughout the lifetime

Provision for bad debts Expected credit in the next 12 months Total

Loss (no credit deduction has occurred Loss (credit deduction has occurred)

loss

value) value)

Balance on January 1, 2025 327,866.24 3,120,438.59 3,448,304.83 Balance on January 1, 2025

In this issue

Provision in this period 423,415.84 423,415.84 Transfer in this period 66,712.60 66,712.60 Remainder on December 31, 2025

261,153.64 3,543,854.43 3,805,008.07 amount

Basis for division of each stage and provision ratio for bad debts

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Changes in book balances with significant changes in loss provision during the current period

□Applicable Not applicable

4. Bad debt provisions accrued, recovered or reversed in the current period

Bad debt provisions for the current period:

Unit: Yuan Amount of changes in the current period

Category Opening balance Ending balance Provision Recovery or reversal Write-off or write-off Others

Individual accrual expectations

Other receivables due to credit losses 3,120,438.59 423,415.84 3,543,854.43

Provision based on combination

Period credit losses 327,866.24 66,712.60 261,153.64 Other receivables

Total 3,448,304.83 423,415.84 66,712.60 3,805,008.07

Among them, the amount of bad debt provision for the current period that is reversed or recovered is important:

Unit: Yuan Determine the name of the original bad debt provision accrual unit, the recovery or reversal amount, the reason for the reversal, the recovery method, the basis for the ratio and its rationality

5. Other receivables with the top five closing balances collected by debtors

Unit: yuan as a share of other receivables at the end of the period. Name of the unit during the bad debt provision period. Nature of the payment. Ending balance. Aging of accounts.

Proportion of total balance Ending balance Customer A Current account 199,085,723.83 Within 1 year 60.78%

Within 1 year: 23,218,345.15; 1-2 years:

Current account of Customer B 55,940,398.98 17.08%

32,722,053.83

Customer C current account 24,872,789.09 Within 1 year 7.59%

Within 1 year: 728,661.12; 1-2 years:

10,284,294.92; 2-3 years: 693; 3-4

Current account of Customer D 13,247,874.40 4.04%

Year: 2,100,495.00; 4-5 years:

133,730.36

Current account of Customer E 10,144,470.02 Within 1 year 3.10%

Total 303,291,256.32 92.59%

3. Long-term equity investment

Unit: Yuan

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

Ending balance Beginning balance

Project

Book balance Impairment provision Book value Book balance Impairment provision Book value

1,330,827,26 1,330,827,26 894,432,000. 894,432,000. Investment in subsidiaries

2.73 2.73 00 00

1,330,827,26 1,330,827,26 894,432,000. 894,432,000.Total

2.73 2.73 00 00

(1) Investment in subsidiaries

Unit: Yuan

Increases and decreases in the current period

Impairment allowance Closing balance Opening balance (Account accrual Impairment provision Invested unit Provision Opening (book price) Additional investment Decrease investment Impairment Others Closing balance Balance value)

Prepare

Anhui Guosheng Pharmacy 160,000,000.0 160,000,0 Chain Co., Ltd. 0 00.00 Jiangsu Guosheng Pharmacy 30,000,00

30,000,000.00

Chain Co., Ltd. 0.00 Anhui Quanfang Pharmaceutical has 43,100,00

43,100,000.00

Co., Ltd. 0.00 Hefei Guosheng Medical Management 5,000,000

5,000,000.00

Management Co., Ltd. .00 Hefei Jiezhu Pharmaceutical Co., Ltd. 700,000.0

700,000.00

Technology Co., Ltd. 0 Anhui Guosheng Pharmaceutical Co., Ltd. 11,382,00

11,382,000.00

Technology Co., Ltd. 0.00 Henan Guosheng Pharmacy 10,000,00

10,000,000.00

Co., Ltd. 0.00 Anhui Ke'anshu Pharmaceutical 5,000,000

5,000,000.00

Technology Co., Ltd. .00 Anhui Zhengyao Pharmaceutical Department 19,000,000 50,000,00

31,000,000.00

Technology Co., Ltd. .00 0.00 Zhoushan Liken Pharmaceutical Co., Ltd. 112,200,000.0 112,200,0 Lock Co., Ltd. 0 00.00 Jiangsu Shenhua Pharmaceutical Co., Ltd. 376,900,000.0 376,900,0 Co., Ltd. 0 00.00 Bozhou Yuanhua Pharmaceutical Co., Ltd.

510,000.00 510,000.00

Technology Co., Ltd.

The people of Anji County are very popular

83,640,00 Pharmacy Chain Co., Ltd. 83,640,000.00

0.00 Division

Zhejiang Guosheng Pharmaceutical has 25,000,000 50,000,00

25,000,000.00

Co., Ltd. .00 0.00 Fujian Haihua Pharmaceutical Company 147,023,20 147,023,2 Lock Co., Ltd. 8.00 08.00 Fujian Province Yangzu Huimin

147,900,00 147,900,0 Pharmaceutical Chain Co., Ltd.

0.00 00.00 Division

Hangzhou Guosheng Pharmacy 97,500,000 97,500,00 Chain Co., Ltd. .00 0.00Hefei Jianlita Pharmacy 482,054.7

482,054.73

Housing Co., Ltd. 3

894,432,000.0 436,905,26 1,330,827Total 510,000.00

0 2.73 ,262.73

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

4. Operating income and operating costs

Unit: Yuan Amount of the current period Amount of the previous period Items

Revenue Cost Revenue Cost Main business 3,103,295,690.84 2,779,957,153.13 2,207,644,439.12 1,955,127,206.30 Other business 4,839,939.67 738,835.04 2,656,692.23 194,460.59 Total 3,108,135,630.51 2,780,695,988.17 2,210,301,131.35 1,955,321,666.89 Decomposition information of operating income and operating costs:

Unit: Yuan

Division 1 Division 2 Total Contract Classification

Operating income Operating cost Operating income Operating cost Operating income Operating cost Operating income Operating cost Business type

Among them:

According to place of business

Distinguish classification

Among them:

market or customer

Household type

Among them:

Contract type

Among them:

Transfer by product

give time

Classification

Among them:

According to contract period

Limited classification

Among them:

According to sales channel

Road classification

Among them:

total

Information related to performance obligations:

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd.

The company's pre-payments, the company's performance obligations, and the important payment terms. The company's commitment to transfer is the main responsibility.

The item will be refunded to the customer during the period. The type and time of the quantity guarantee. The nature of the goods. Anyone.

Account’s money and other explanations of related obligations

Information related to the transaction price allocated to the remaining performance obligations:

At the end of the reporting period, the amount of revenue corresponding to the performance obligations that have been signed but have not yet been performed or have not been completed is 0.00 yuan, of which 0.00 yuan is expected to be recognized in the year, 0.00 yuan is expected to be recognized in the year, and 0.00 yuan is expected to be recognized in the year.

Major contract changes or major transaction price adjustments

Unit: Yuan

Item Accounting treatment method Amount of impact on income

Other notes:

None

5. Investment income

Unit: Yuan

Item Amount for the current period Amount for the previous period

Long-term equity investment income calculated by the cost method 48,840,000.00 71,000,000.00 Long-term equity investment income calculated by the equity method 183,428.23 Investment income generated from the disposal of long-term equity investment -509,999.00

Other equity instrument investments acquired during the holding period

748,500.00 350,000.00 Dividend income

Investment income from financial products 1,085,739.64 360,067.12 Compensation for investment performance of other equity instruments 114,822.57

Total 50,279,063.21 71,893,495.35

20. Supplementary information

1. Detailed statement of non-recurring profits and losses for the current period

Applicable □Not applicable

Unit: Yuan Item Amount Description

Mainly due to gains and losses from the disposal of fixed assets and right-of-use assets and non-current assets disposal 3,580,407.58

benefit

Government subsidies included in the current profit and loss (close to the company’s normal operating business)

It is mainly related to job stabilization subsidies, headquarters enterprise rewards, and green cuts, which are in line with national policies and regulations and enjoy 5,748,128.30 in accordance with determined standards.

Color factory rewards, etc.

Yes, except for government subsidies that have a lasting impact on the company’s profits and losses)

Except for effective hedging business related to the company's normal operating business

In addition, non-financial enterprises hold financial assets and financial liabilities resulting from corporate losses.

3,181,980.90 Mainly caused by gains and losses from changes in fair value of income from bank financial products purchased and disposal of financial assets and financial liabilities

profit and loss

Reversal of impairment provision for accounts receivable subject to separate impairment test 256,153.65

Full text of the 2025 annual report of Anhui Huaren Health Pharmaceutical Co., Ltd. Other non-operating income and expenses other than the above items -5,747,961.86 Mainly due to loss of security deposit upon termination of the lease contract and other profit and loss items that meet the definition of non-recurring gains and losses 169,129.15

Less: Income tax impact 1,368,919.49

Amount of impact on minority shareholders’ equity (after tax) -126,569.54

Total 5,945,487.77 --Details of other profit and loss items that meet the definition of non-recurring profits and losses:

Applicable □Not applicable

The amount of other profit and loss items that meet the definition of non-recurring profit and loss, 169,129.15 yuan, is the refund of personal tax fees.

Explanation on defining the non-recurring profit and loss items listed in the "Explanatory Announcement No. 1 on Information Disclosure of Companies that Offer Securities to the Public - Non-recurring Profit and Loss" as recurring profit and loss items

□Applicable Not applicable

2. Return on net assets and earnings per share

earnings per share

Profit for the reporting period Weighted average return on equity

Basic earnings per share (yuan/share) Diluted earnings per share (yuan/share) Net attributable to the company’s ordinary shareholders

9.25% 0.48 0.48Profit

After deducting non-recurring gains and losses, attributable to

8.96% 0.46 0.46 Net profit of the company’s ordinary shareholders

3. Differences in accounting data under domestic and foreign accounting standards

(1) Differences in net profit and net assets in financial reports disclosed in accordance with both international accounting standards and Chinese accounting standards □Applicable Not applicable

(2) Differences in net profit and net assets in financial reports disclosed in accordance with both foreign accounting standards and Chinese accounting standards □Applicable Not applicable

(3) Explanation of the reasons for the differences in accounting data under domestic and foreign accounting standards. If differences are adjusted for data that have been audited by an overseas audit institution, the name of the overseas institution should be indicated.

□Applicable Not applicable

4. Others

None