Éñ¹¤¹É·Ý: ThinkonSemiconductorCorporateValueandReturnEnhancementActionPlan2026

 Corporate Value and Return Enhancement Action Plan 2026
Thinkon Semiconductor Jinzhou Corp. (hereinafter referred to as "Thinkon
Semiconductor" or "the Company") believes that improving the quality of listed
companies, enhancing returns to investors, and increasing investors' sense of
gain are the inherent responsibilities of a listed company's development and its
due obligation to investors.
The Company actively implements the relevant requirements of the "Several
Opinions on Strengthening Supervision, Preventing Risks, and Promoting the
High-quality Development of the Capital Market" and the "Opinions on Further
Improving the Quality of Listed Companies" issued by the State Council. It
responds to the "Initiative on Carrying out the 'Quality Improvement, Efficiency
Enhancement, and Return Emphasis' Special Action for Companies Listed on
the Shanghai Stock Exchange" by the Shanghai Stock Exchange, practices
the development concept of listed companies that "puts investors first", and
safeguards the interests of all shareholders.
Based on confidence in its future development prospects and recognition of
the company's value, and earnestly fulfilling its social responsibilities, the
Company specially formulates the "Corporate Value and Return
Enhancement Action Plan 2026".This plan summarizes the implementation
of the 2025 plan, further improves the company's operational efficiency,
strengthens its market competitiveness, protects investors' rights and interests,
stabilizes the stock price, and builds a good image in the capital market. The
main contents are as follows:
   Competitiveness
Since its establishment, Thinkon Semiconductor has been dedicated to the
production, research and development, and sales of large-diameter silicon
materials and their application products. With years of accumulation and layout,
the Company has maintained a leading position in the field of large-diameter
silicon materials, mastering all technical processes for crystals up to 22 inches
and below. It is one of the very few integrated manufacturers in China with the
complete manufacturing capability. The Company can provide large-diameter
silicon material products to downstream manufacturers globally on a large
scale, with high quality, high reliability, and wide coverage, ranking in the first
tier in the global niche market. In 2025, the Company's large-diameter silicon
material business achieved an operating income of 188,152,050 yuan, a
year-on-year increase of 8.11%; the gross profit margin was 69.87%, a
year-on-year increase of 6.02 percentage points; and the silicon parts products
achieved an income of 237,171,645 yuan, a year-on-year increase of 100.15%,
a year-on-year increase of 14.48 percentage points.
In 2026, the Company will further focus on its main business and enhance its
core competitiveness:
   a. Seizing the Development Opportunities of the Semiconductor
      Industry¡¯s Recovery , Strengthening Marketing Efforts
Data from the World Semiconductor Trade Statistics Association shows that
the global semiconductor market size in 2025 was $792 billion, a year-on-year
increase of 25.60%. Entering 2026, global leading IC manufacturers and
semiconductor manufacturing equipment manufacturers have made
predictions. TSMC and Lam Research expect that the global semiconductor
market will continue to recover this year. The downstream demand for the
Company's large-diameter silicon materials and their processed silicon parts
products is closely related to the capacity utilization rate and new capacity of
terminal IC manufacturers. Currently, it is still a period of development
opportunities for the global semiconductor industry.
The Company will actively respond to the diversified demands of the rapidly
growing domestic market. It will set up local offices, get closer to the actual
production of customers, improve the feedback speed, proactively deploy
market resources, integrate and improve technical, quality, and logistics
services, and further enhance customer satisfaction. In the overseas market, it
will make strategic arrangements, actively track the latest technological
development demands, and collaborate with overseas partners based on its
own advantages to further enhance the company's international market status.
   b. Optimize Operational Management and Improve Business Quality
      and Efficiency
In 2026, the company will further improve order collection and payment
management, actively control the scale of accounts receivable, increase
collection efforts, continuously monitor the collection of overdue accounts
receivable, and reduce or stop sales to specific customers based on credit risk
assessment.
In terms of inventory turnover, in 2025, due to the long evaluation and
certification cycle of the Company's strategic business semiconductor 8-inch
silicon wafer products, the average capacity utilization rate was limited. The
Company actively sought orders, took into account the needs of evaluation
and certification and economic benefits, optimized the production scheduling
plan, and adjusted the production and operation plan in a timely manner,
reducing the inventory level. In 2026, the Company will continue to optimize
the production scheduling plan, strictly manage inventory, and unremittingly
pursue the optimal balance between R&D verification and economic benefits.
   Mechanism
The Company believes that a good investor return is the cornerstone of a
company's long-term development in the capital market.
On April 24, 2023, the Company formulated and disclosed the "Thinkon
Semiconductor Jinzhou Corp. Shareholder Dividend Return Plan for the Next
Three Years (2023-2025)". The Company will distribute according to the
principle of "same shares, same rights, and same shares, same benefits"
based on the proportion of the company's shares held by each shareholder.
The company implements a continuous, stable, and active profit distribution
policy, values reasonable investment returns for shareholders, and under the
premise of meeting the cash dividend distribution conditions stipulated by
relevant laws, regulations, normative documents, and the "Company Charter",
the Company will prioritize the cash dividend distribution method. In the
absence of major investment plans or major cash expenditure plans, without
affecting the normal business development needs of the company, the
company's net profit for the year is positive, the accumulated undistributed
profit at the end of the year is positive, the capital reserve is positive, and other
cash dividend distribution conditions stipulated by relevant laws, regulations,
normative documents, and the "Company Charter" are met, the Company
should distribute no less than 10% of the distributable profit for the year in
cash.
In 2025, the Company plans to distribute a cash dividend of 1.85 yuan
(including tax) for every 10 shares to all shareholders. As of the announcement
date, the total share capital of the Company is 170,305,736 shares. After
deducting 635,016 shares in the repurchase-dedicated account, the total
planned cash dividend is 31,389,083.20 yuan (including tax). The proportion of
cash dividends of the Company in the net profit attributable to shareholders of
the listed company in the consolidated financial statements for this year is
be submitted to the general meeting of shareholders for review.
In 2026, the Company will continue to balance the dynamic relationship
between company development, performance growth, and shareholder returns,
actively explore ways and methods, and under the premise of complying with
relevant laws, regulations, and the "Company Charter" profit distribution policy,
take into account the immediate and long-term interests of shareholders,
achieve a "continuous, stable, and scientific" shareholder return mechanism,
and enhance the sense of gain for the majority of investors.
   Innovate the Allocation of Production Factors
The Company will cultivate and use new quality productive forces to promote
high-quality development of the company and lead industrial transformation
and upgrading. It will strengthen industry-academia-research cooperation and
actively improve the company's operational efficiency through technological
breakthroughs and innovative allocation of production factors.
A strong talent supply is the source of momentum for technology-intensive
enterprises. The Company, guided by job value and capability, driven by
performance results, establishes a "fair internally and competitive externally"
compensation system, improves the efficiency of compensation resource use,
motivates outstanding employees, encourages employees to actively
contribute ideas for the company's performance development, technological
innovation, and management optimization, thereby attracting outstanding
talents.
In 2026, the Company will continue to strengthen its talent development
strategy, optimize talent incentive mechanisms, maintain the stability of the
research team, use restricted stock incentive plans as a normalized incentive
mechanism, continue to recruit compound experts and technicians with rich
production and management experience, expand into the existing team of
middle and senior management personnel, strengthen the construction of a
high-level talent echelon, and continuously enhance the competitive
advantage of talent; continuously optimize and iterate the existing
performance assessment mechanism, improve the Company, department, and
individual three-level performance assessment goals and content, and
constantly strengthen the performance assessment and benefit distribution
system centered on "responsibility, rights, and interests", stimulating the
enthusiasm of talents at work, achieving a win-win for the company and
employees.
The Company continues to strengthen R&D investment, with the company's
R&D investment aimed fundamentally at profitability, and R&D activities are
carried out based on the specific and clear assessment and certification
requirements of downstream clients. The Company's R&D investment as a
proportion of its annual operating income from 2023 to 2025 was 16.64%,
invention patents, 95 utility model patents.
In 2026, the Company will stimulate the synergistic effects of R&D with the
market, supply chain, and customer service. It will keep pace with the
requirements of world-advanced semiconductor manufacturing processes,
continuously strengthen its technical reserves, and build its core
competitiveness.
In the industrial situation where "global division of labor, free trade, efficiency
first" coexists with "localization of IC manufacturing", the Company considers
innovating the allocation of production factors through investment or
cooperative development while growing internally, and growing together with
domestic and foreign high-end semiconductor material and component
manufacturers, enabling the Company to cover more product categories and
capture more niche markets, laying the foundation for the company's long-term
sustainable growth.
   Investor Communication
The Company's securities office is the dedicated department for
communication between the company and investors. Since its listing, the
Company has actively answered investor hotlines, promptly replied to investor
emails and the "SSE E-Interaction" platform, and held investor communication
meetings on platforms such as "SSE Roadshow Center" and "Jinmen Finance"
after the disclosure of quarterly, semi-annual, and annual reports, explaining
the company's operating performance and interpreting regular reports.
In 2025, the Company held 3 earnings presentation meetings, carried out 3
investor relations management activities through new media, and had 12
investor exchanges. The relevant investor relations activity records have been
promptly disclosed.
In 2026, the Company will strictly follow laws, regulations, and regulatory
requirements, implement the company's information disclosure management
system, and fulfill its information disclosure obligations truly, accurately,
completely, timely, and fairly. Specific aspects include:
  a. Investor Online Communication Activities
In the future, the Company will continue to maintain active online
communication with investors, enrich investor communication methods,
expand communication channels, and enhance transparency. The Company
will hold no less than 4 investor online communication meetings each year
through platforms such as "SSE Roadshow Center" and "Jinmen Finance",
ensuring that the communication meetings are held within one week after the
release of regular reports, with the company's chairman, general manager,
and other key personnel actively participating in relevant activities.
  b. Improve the Investor Opinion Solicitation and Feedback Mechanism
The Company will continue to improve the investor opinion solicitation and
feedback mechanism, enhance the transparency of information disclosure,
actively, timely, and in-depth understand investor demands and make targeted
responses. This will allow investors to fully and timely understand the
company's operating conditions and development strategies, strengthen
communication with investors, and enhance investor trust in the company.
The Company attaches great importance to the soundness of its corporate
governance structure and the effectiveness of its internal control system, and
will continue to improve the legal person governance and internal control
systems, improve the standardization of company operations and the scientific
nature of decision-making, and fully protect shareholder rights. The specific
plan is as follows:
  a. Accelerate the Implementation of Independent Director System
     Reform
The Company will accelerate the implementation of independent director
system reform, optimize the selection of audit institutions and internal audit
management, further strengthen the supervision of branches and subsidiaries,
and ensure the company's compliant operations.
  b. Improve Internal Control Construction
Combining the actual situation of the company, comprehensively sort out the
original management systems, and establish a suitable internal control
management system for the company under the premise of meeting internal
control requirements, clarify the responsibilities and authority of relevant
department personnel, and implement comprehensive management. The
Company will complete the update of its management system within the year.
  c. Management Self-discipline and Compliance
The Company's directors and senior management personnel will faithfully and
diligently perform their duties, restrain occupational consumption behavior, not
transfer benefits to other units or individuals, and effectively protect the legal
rights and interests of the listed company and all shareholders. In major
matters such as production and operation, investment and mergers and
acquisitions, protect the legal rights and interests of investors, especially small
and medium-sized investors, enhance investor participation and sense of
identification.
  d. Board and Supervisory Board and Senior Management Training
The Company's board and supervisory board members and senior
management actively participate in various training organized by regulatory
agencies such as the China Securities Regulatory Commission (CSRC) and
the Shanghai Stock Exchange, strengthen the study of securities
market-related laws and regulations, continuously improve self-discipline and
compliance awareness, and promote the company's continuous standardized
operation. The Company will fully encourage and assist the board and
supervisory board members and senior management to actively participate in
relevant training in the future.
   Interests and the Responsibility of the "Key Minority"
Since its listing, the Company has maintained close communication with the
actual controller, controlling shareholders, shareholders holding more than 5%
of the shares, and other "key minorities" of the company, organized relevant
parties to participate in training on the standardized operation of listed
companies, case analysis of risk prevention, and training related to "honesty
obligations of major shareholders and board and supervisory board members",
promptly informed the latest regulatory information and regulatory cases,
standardized the rights and obligations of the company and shareholders,
prevented the abuse of shareholder rights and the advantageous position of
management to damage the rights and interests of small and medium-sized
investors; tracked the fulfillment of promises by relevant parties on a quarterly
basis and conducted pre-communication to ensure that relevant parties fulfill
their promises.
In 2026, the Company will continue to strengthen communication with the "key
minorities", guide shareholders to invest long-term, track the fulfillment of
promises by the aforementioned relevant parties, continuously strengthen the
sense of responsibility and fulfillment of promises of the relevant parties. At the
same time, the Company will continue to organize the aforementioned relevant
parties to participate in various training organized by regulatory agencies such
as the Shanghai Stock Exchange and the CSRC, promptly convey regulatory
updates and regulatory dynamics, strengthen the "key minorities" learning of
capital market-related laws and regulations, professional knowledge, and
continuously improve their self-discipline awareness, jointly promote the
company's standardized operation. Efforts will be made to guide the "key
minorities" to convey confidence in the company's development prospects
through commitments not to reduce holdings, increase holdings in the
company's shares, and other methods.
The Company will continue to assess the implementation of the action plan
and timely fulfill its information disclosure obligations. The Company will
continue to focus on its main business, enhance the company's core
competitiveness, profitability, and risk management capabilities. Through good
business management, standardized corporate governance, and active
investor returns, the Company will effectively protect investor interests, fulfill
the responsibilities and obligations of listed companies, reward investor trust,
maintain the company's good market image, and promote the stable and
healthy development of the capital market.
The Company's plans, development strategies, etc., mentioned in this report
are forward-looking statements that have not yet become facts and do not
constitute a substantive commitment from the company to investors. Investors
are advised to pay attention to the relevant risks.
Thinkon Semiconductor Jinzhou Corp.
Board of Directors
March 20, 2026