Building a Solid Governance
About This Report ? Responsibility Sustainable Development Foundation with Integrity
About Solex ? Focus-Special Topics ?? Governance ?? and Diligence ??
Introduction ? Company Pro?le ? ESG Management Framework ??
Deepening the Robotics Sector and Corporate Governance ??
Reporting Scope ? Business Operations ? Information Reporting Mechanism ?? Compliance Operation
Consolidating Industrial Layout ??
and Risk Management ??
Reporting Period ? Industry Layout ? ESG Goals ??
Strengthening Industry Engage- Investor Relations Management
Preparation Basis ? Brand Development ? Due Diligence ??
ment and Showcasing at Profes- and Shareholders’Rights
Data Explanation ? Milestones in ???? ?? ESG Risk Management ?? and Interests ??
sional Exhibitions ??
De?nition ? Major Honors in ???? ?? Materiality Assessment ?? Business Ethics ??
Con?rmation and Approval ? Communications with Stakeholders ??
Access to this Report ?
Message from the Chairman ?
Nurturing the Ecosystem Bene?ting the People
Sustainable Development
? and Advancing Sustainably Empowering Industry Attracting Talent and Ful?lling Responsibilities
Highlights in ????
Through Green Development ?? and Creating Enduring Value ?? and Building Unity ?? with Kindness ??
Future Outlook ??
Response to Climate Change ?? Innovation-driven ?? Protection of Employees’Rights Social Welfare ??
Environmental Compliance Product and Service Safety and Interests ?? Rural Revitalization ??
Annex ?? and Quality ??
Management ??
Occupational Health and Safety ??
Information Security
Resource Utilization ??
Key Performance ?? and Privacy Protection ??
Pollutant Emissions ??
Indexes ?? Supplier Management ??
Implementation of Green Operation ??
Assurance Report ??
Protection of Ecosystem
Feedback ??? and Biodiversity ??
???? Environmental, Social, and Governance (ESG) Report Opening section ?
About This Report
Introduction Preparation Basis Appellation Description
This is the ?th Environmental, Social and Governance Report · Shanghai Stock Exchange Self-Regulatory Guidelines for Listed For the ease of expression and readability, "Xiamen Solex
("ESG Report") publicly released by Xiamen Solex High-tech Companies No. ?? - Sustainability Report (for Trial High-tech Industries Co., Ltd." is referred to as "Solex," the
Industries Co., Ltd. It objectively discloses to stakeholders such Implementation) "Company," or "we" in this report. Unless otherwise speci?ed,
as shareholders, employees, governments, clients, and · Shanghai Stock Exchange Self-Regulatory Guidelines for Listed other designations are de?ned as follows:
consumers the e?orts and achievements made by Solex in Companies No. ? - Preparation of Sustainability Report
aspects such as safety production, environmental protection, (Revised in January ????) Term Interpretation
social welfare, corporate governance, and talent development. · China Enterprise Reform and Development Society Guidelines
Solex High-tech Industries
for Sustainable Development Reports of Chinese Enterprises Solex Vietnam
Reporting Scope (Vietnam) Co., Ltd.
(CASS-ESG ?.?)
This report covers Xiamen Solex High-tech Industries Co., Ltd.,
· Sustainable Development Goals (SDGs) of the United Nations Zhangzhou Solex Smart Home Co., Ltd.
including its subsidiaries. Unless otherwise speci?ed, the scope Zhangzhou
· ???? Sustainability Reporting Standards (GRI Standards) of the Zhangzhou Solex Smart Home Co., Ltd.
of this report is consistent with that of the Company's annual Solex
Global Reporting Initiative (for reference) Xiamen Branch
report.
Reporting Period Solex Health Xiamen Solex Health Technology Co., Ltd.
This report covers the period from January ?, ???? to Decem-
Con?rmation and Approval
This report was approved by the Company’
s Board of Directors on March Bestter Xiamen Bestter Technology Co., Ltd.
ber ??, ???? (the "Reporting Period"). To improve the compara-
bility and completeness, some sections of this report may be ??, ????, and was subsequently released in conjunction with the Annual
Huaying
Report. The Board pledges to exercise oversight over the contents of this Xiamen Huaying Industrial Co., Ltd.
appropriately referred to previous years or contains Industrial
forward-looking statements. This report is released on an report, ensuring its absence of any false records or misleading representa-
Solex Robotics Xiamen Solex Robotics Technology Co., Ltd.
annual basis, consistent with the ?nancial year. tions, and assuming responsibility for its truthfulness, accuracy and
completeness.
Data Explanation Xiamen Vehicle Design & Services Intelligent
Access to this Report VDS
Data sources used in this report include the Company’
s actual Motion System Co., Ltd.
operational data, publicly available data from government You may access and download the electronic version of this report at the
agencies, annual ?nancial data, internal statistical reports, websites of Xiamen Solex High-tech Industries Co., Ltd. (www.solex.cn), SGS-CSTC Standards Technical Services
SGS
third-party questionnaire surveys, etc. The ?nancial data in this Shanghai Stock Exchange (www.sse.com.cn) or cninfo (www.cnin- Co., Ltd.
report is expressed in RMB. For any discrepancy between this fo.com.cn) to learn more information about the Company.
report and the ?nancial statements, the ?nancial statements
shall prevail.
???? Environmental, Social, and Governance (ESG) Report Opening section ?
Message from the Chairman
Dear shareholders, partners, employees, and colleagues from all sectors of society,
As time advances, we remain steadfast and diligent. In ????, amid a complex and ever-changing global People-oriented, upholding product responsibility and shared value creation. The Company
economic landscape, sustainable development has become a vital pillar supporting enterprises in continuously improves its employee protection and career development systems, strengthens
maintaining resilient operations and navigating economic cycles. Amid green transformation and occupational health and safety management, and fosters mutual growth between employees and the
industrial upgrading, the kitchen and bathroom home furnishings and health hardware industries enterprise. At the product level, the Company focuses on innovation in intelligent, health-oriented,
continue to evolve toward greener, smarter, and more globalized development. Solex always and green products to drive iterative upgrades of electronic shower systems, smart toilets, AI beauty
integrates ESG principles throughout its strategy and operations, focusing on its two core businesses devices, beverage health, and intelligent monitoring equipment. In ????, the Company obtained the
of robotics and IDM. Driven by technological innovation and global deployment, we balance economic MDSAP certi?cate, which indicates that its product-related manufacturing systems within the de?ned
returns with social value and diligently respond to the trust and expectations of all stakeholders. scope comply with regulatory requirements in the United States, Japan, Brazil, Australia, and Canada.
Governance as the foundation ensures steady and sustainable operations. In ????, in alignment with Together with ISO ?????, ISO/IEC ?????, and ISO/IEC ????? certi?cations, the Company has
regulatory requirements and operational realities, the Company optimized its governance structure by established comprehensive safeguards covering quality, compliance, and data security across the
abolishing the Board of Supervisors, transferring its relevant functions to the Audit Committee under entire process. The Company promotes and disseminates ESG principles among supply chain
the Board of Directors, and simultaneously revising the Articles of Association and the Rules of partners, steadily advancing the development of a responsible supply chain.
Procedure of the Strategy and ESG Committee under the Board of Directors, thereby re?ning an ESG Pressing forward without falter, the future holds promise. The Company's ESG practices in ????
working mechanism coordinated by the Board, guided by committees, and executed collaboratively provided a solid foundation for risk resilience and steady growth, made possible by the dedication of
by all departments. The Company strictly ful?lls its information disclosure obligations, ensuring that all employees and the support of stakeholders. As ESG has become a core requirement for high-quality
disclosures are truthful, accurate, and complete, and safeguarding the legitimate rights and interests development, the Company will continue to be driven by R&D innovation, with domestic operations as
of all shareholders. Through standardized governance practices, the Company's ESG performance has its core base, while steadily advancing overseas manufacturing and globally compliant operations.
been recognized by third-party professional institutions and has consistently maintained an A rating Looking ahead, the Company will further enhance its ESG management system, focusing on
among mainstream ESG assessments. environmental performance improvement, technological innovation, global compliance, and supply
Advancing toward sustainability through green manufacturing and low-carbon development. The chain collaboration, increasing investment in green and intelligent technologies to achieve
Company adheres to compliant, e?cient, and low-carbon production management principles, coordinated economic, environmental, and social bene?ts.
embedding green concepts across the entire value chain from R&D to production and supply chain At this new starting point, Solex will remain committed to its industrial roots, strengthen its core
management. In ????, the Company and its subsidiary Zhangzhou Solex was certi?ed with ISO competencies in innovation, design, and intelligent manufacturing, and advance sustainable
?????:???? Energy Management System, continuously enhancing energy management and resource development with a long-term perspective. The Company will continue to enhance its core
utilization e?ciency; the smooth construction and commissioning of the Vietnam overseas competitiveness, expand into global markets, deliver stable returns to shareholders, provide growth
manufacturing base have incorporated green manufacturing standards, ful?lling environmental platforms for employees, create long-term value for society, and join hands with all stakeholders to
responsibilities within the Company's global expansion. The Company continues to optimize the use build a green and inclusive industrial future.
of energy and water resources, strictly control pollutant emissions, and promote circular economy We sincerely thank friends from all sectors for your enduring trust, support, and partnership.
initiatives and process upgrades. These e?orts contribute to achieving carbon peaking and carbon Chairman of Xiamen Solex High-tech Industries Co., Ltd.
neutrality goals, as well as sustainable development.
March ??, ????
???? Environmental, Social, and Governance (ESG) Report Opening section ?
Sustainable Development Highlights in ????
Economic Performance Governance Performance
???，???.?? (in RMB ??,???);
? times;
Total Assets:
Operating Income: ???，???.?? (in RMB ??,???);
General Meeting of Shareholders Convened:
Meetings of the Board of Directors Convened: ?? times;
??，???.??(in RMB ??,???);
Percentage of Female Directors in the Board of Directors: ??.??%；
Total Pro?t:
Total Tax Payment: ?， ???.?? (in RMB ??,???);
Percentage of Independent Directors in the Board of Directors: ??.??%；
Basic Earnings per Share: RMB ?.?? per share;
Reply rate to investors' inquiries at SSE E-Interactive Platform: ???%.
Net Pro?t Attributable to Shareholders of the Listed Company: ??，???.?? (in RMB ??,???).
Environmental Performance Social Performance
PV Generation: ?,???,???.?? kWh; Total number of employees: ?,???； Employee Satisfaction: ??.??%；
Greenhouse Gas Emission Intensity: ?.?? tCO?e/RMB ??,??? revenue; Investment in R&D: ??,???.?? (in RMB ??,???); Product Percent of Pass: ??.??%；
Total Water Consumption: ???,??? tons;
Total Investment in Data Security:??? (in RMB ??,???)；
Water Consumption Intensity: ?.?? tons/RMB ??,??? revenue;
Total Investment in Safety Production: ???.?? (in RMB ??,???);
Total Energy Consumption: ??,???.?? tce;
Total Public Welfare Input: ?.?? (in RMB ??,???).
Energy Consumption Intensity: ?.?? tce/RMB ??,??? revenue.
(For detailed information on the Company's economic performance, please refer to Solex's ???? Annual Report.)
???? Environmental, Social, and Governance (ESG) Report About Solex ?
About Solex
Company Pro?le
The robotics business is a strategic business line of the The Company's IDM business, based on the IDM (Innova- The Company is among the few domestic enterprises to
Company. Under its proprietary brand "Solex Robotics," it tion, Design, Manufacturing) model, primarily serves have received all eight "national-level" honors: "High-tech
expands domestic and overseas markets and builds two overseas markets and leading international brand Enterprise", "National Intellectual Property Demonstration
core collaborative organizational systems: A logistics customers, and is divided into two major segments: The Enterprise", "National Enterprise Technology Center",
service robot system tailored for industrial parks, medical healthcare software and hardware, as the second growth "Service-Oriented Manufacturing Demonstration
and elderly care institutions, and other scenarios, which engine, focuses on diversi?ed scenarios including sleep Enterprise", "National Green Factory", "National Industrial
provides integrated solutions such as inspection and (e.g., AI smart pillows, smart mattresses), skin and hair Design Center", "Postdoctoral Research Station", "Solex
security, in-park logistics, cleaning, and reception; and a (e.g., AI beauty devices, hair removal devices, hair growth Famous Trademark". In addition, the innovative products
medical and elderly care service robot system focused on devices), oral care (e.g., AI health-monitoring oral designed by the Company's design team have won over
healthcare, elderly care, and aesthetic medical institu- irrigators, electric toothbrushes), sports rehabilitation and ??? domestic and international design awards, including
tions, which o?ers personalized solutions including body shaping (e.g., intimate care devices), AI companion- top global industrial design awards such as the Red Dot
Xiamen Solex (??????.SH) was established in ????. The
mobility assistance, nursing and rehabilitation, and health ship (e.g., AI companion cats), and beverage health (e.g., Award (Germany), iF Design Award (Germany), IDEA Award
Company's businesses cover branded organizational
monitoring. soda makers); intelligent kitchen and bathroom solutions (United States), and Good Design Award (Japan). To date,
systems for service robots and consumer intelligent
constitute the Company's foundational business, with the Company holds more than ?,??? valid authorized
hardware IDM operations, aiming to provide innovative
core categories including shower systems, kitchen faucets, patents domestically and internationally, including over
solutions to global customers.
smart toilets, and intelligent beverage systems, consoli- ??? invention patents and nearly ??? utility model patents,
dating the Company's business fundamentals. demonstrating its outstanding strength in innovation.
???? Environmental, Social, and Governance (ESG) Report About Solex ?
Corporate Culture Shareholding Structure Chart
Xiamen Solex High-tech Industries Co., Ltd.
Vision Mission Cultural Values
Xiamen Solex Robotics Technology Co., Ltd.
? Xiamen Vehicle Design & Services Intelligent Motion System Co., Ltd.
The preferred IDM To create maximum Advocating science and
partner for leading global value in product R&D, mutual support. Xiamen Solex Health Technology Co., Ltd.
brand customers. design, and manufactur-
Solex IDM Division ing for leading global
brand customers. Xiamen Bestter Technology Co., Ltd.
? Minke (Xiamen) Industrial Research Institute Co., Ltd.
? Beijing Xiaojingxi Technology Co., Ltd.
? Fujian Beilang Jiayuan Smart Home Co., Ltd.
? Xiamen Huaying Industrial Co., Ltd.
Vision Mission Cultural Values
Zhangzhou Solex Smart Home Co., Ltd.
? Zhangzhou Solex Smart Home Co., Ltd. Xiamen Branch
We are committed to We strive to fully liberate Advocating science and
becoming a globally global enterprise clients mutual support.
leading B?B service from service-oriented Solex (Hong Kong) Co., Ltd.
Solex Robotics Division robot organizational tasks in logistics, ? SOLEX ITALY SPA
system brand. customer service,
medical care, and health
and wellness. Solex High-tech Industries (Vietnam) Co., Ltd.
???? Environmental, Social, and Governance (ESG) Report About Solex ?
Business Operations
「Foundational business, steadily upgrading」 「Second growth engine, technological breakthroughs」 「Strategic new core, inaugural year ????」
Intelligent Kitchen and Bathroom Healthcare Software and Hardware Robot Organizational System
「Product」 「Product」 「Product」
Continuously iterating core technologies such as intelligent water Focusing on scenarios such as sleep, skin, hair, oral care, sports The organizational system for logistics service robots and the organi-
saving, precise temperature control, and intelligent sensing, and rehabilitation and body shaping, AI companionship, and beverage zational system for medical and elderly care service robots.
empowering products including faucets, shower systems, and smart health, leveraging core patents in AI recognition, precise regulation,
「Latest Developments」
toilets with patented technologies such as bubble concentration and intelligent monitoring to complete full-category product
iterations and functional upgrades for smart anti-snoring pillows, In February ????, the Company established its wholly owned
detection, negative pressure water shut-o?, and multi-sensor
pelvic ?oor rehabilitation devices, portable hair removal devices, subsidiary Solex Robotics; in March ????, Solex Robotics acquired
linkage, optimizing water-saving e?ciency and user experience,
and more. Xiamen VDS, rapidly strengthening capabilities in mobile chassis
expanding intelligent and health-oriented kitchen and bathroom
and motion control teams; in November ????, Solex Health Park was
solutions, and meeting the needs of high-end overseas brands. 「Latest Developments」
o?cially renamed Solex Robotics Park, establishing an integrated
Certi?ed with ISO/IEC ????? and ????? information security, robotics base that includes R&D buildings, exhibition halls, testing
「Latest Developments」 obtained MDSAP international medical device quality system facilities, and planned production areas; in November ????, the
The Vietnam base has commenced operations to undertake overseas certi?cation across ?ve countries, and advanced the expansion of Solex Robotics Research Institute was o?cially inaugurated; in
orders, mitigated tari? barriers and ensured global supply chain ISO ????? medical device quality management system certi?cation December ????, Version ?.? of the Solex Robotics showroom o?cial-
stability; deepened IDM cooperation, focused on international at the Vietnam park, jointly initiated the Xiamen "Open Competition ly opened.
high-end customers, and consolidated its position as a core supplier. for the Best" smart health home application large model project with
universities; the Company continues to cultivate overseas high-end
B-end markets through patent-driven technology, scenario-based
products, and ecosystem collaboration, strengthening global
compliance capabilities and core competitiveness.
???? Environmental, Social, and Governance (ESG) Report About Solex ?
Industry Layout Brand Development
Building upon its solid foundation in "Health Hardware IDM," Solex is driving a pivotal
leap in its brand strategy, entering a new era of proprietary robotics branding. Powered
by technological innovation, the Company deeply integrates its core manufacturing
capabilities with cutting-edge technologies such as intelligent sensing and mechatron-
ics, actively positions itself within the robotics industry ecosystem, and advances from
a product manufacturer to a leader in intelligent solutions, elevating brand value and
opening a new chapter in empowering global households and industries with intelli-
Global Market Layout Overseas Market Layout
gent upgrades.
Deploying in the robotics ?eld, expanding
Covering ??+ countries/regions, with the
business end scenarios such as rehabilitation
Vietnam base commencing production in ????,
and elderly care institutions and industrial
focusing on manufacturing to address trade
parks, with robotics business orders expected
barriers.
to be converted and implemented.
Building the "Solex Robotics" Brand
Domestic Production Capacity Layout Overseas Production Capacity Layout
"Solex Robotics" is the core brand of the Company's strategic business line, delivering
professional service robot collaborative organizational systems to domestic and
Vietnam Solex production base, dedicated to
overseas enterprise clients. Leveraging manufacturing strength, accumulated AI
Xiamen Park + Zhangzhou Smart Home Park,
large-scale manufacturing to support interna-
algorithms, and global production capacity layout, the brand builds competitive
focusing on R&D and high-end manufacturing.
tional business expansion.
advantages through di?erentiated strategies. Focusing on the two core scenarios of
logistics services and medical and elderly care services, the brand has developed
product series covering diversi?ed functional modules: For logistics service scenarios,
targeting industrial parks, medical and elderly care institutions, and various enterpris-
es, it provides automated solutions such as inspection and security, in-park logistics,
indoor and outdoor cleaning, and guided reception; for medical and elderly care
scenarios, focusing on healthcare institutions, aesthetic medical institutions, and
beauty institutions, it o?ers intelligent services including mobility assistance, nursing
and rehabilitation, and health monitoring, helping global clients achieve scenario
upgrades and e?ciency improvements.
???? Environmental, Social, and Governance (ESG) Report About Solex ??
Milestones in ????
March June
May
July
Solex Robotics completed the Solex was honored as a
February "Benchmark Enterprise for
October
acquisition of VDS. Solex participated in the ??th
Solex received the China Patent
Kitchen & Bath China in Shang- Fair Competition Compli-
Solex Robotics was established,
Excellence Award for its patent A celebratory event for the
hai. ance Management System
as a step to deploy the strategic
"A Multifunctional Shower- Vietnam production base was
Development" and received
business line of robotics. Under
head." held in Quang Ninh Province,
the nation's ?rst Fair Compe-
its proprietary brand, it targets
tition Compliance Manage- Vietnam.
both domestic and overseas
ment System Certi?cation.
ToB markets, building two
collaborative organizational
April Solex participated in the ??th December
systems for logistics and
September
Solex's Aurora photocatalyst China Beauty Expo in Shanghai.
medical/elderly care service The Solex Robotics
November
toothbrush and Nimble
robots. showroom o?cially
side-spray lifting bar won the Solex received the "???? Best
The Vietnam production base
opened.
Practice Case of Internal The Solex Robotics Research
???? German iF Design successfully achieved its ?rst
Control of Listed Companies" Institute was o?cially inaugu-
Award. shipment.
from the China Association for rated.
SGS awarded ISO/IEC ????? Public Companies.
January Information Security Manage- Solex initiated the
The Solex ???? Strategic ment System Certi?cation and "Open Competition
Management Summit discussed ISO/IEC ????? Privacy Informa- for the Best" project
Zhangzhou Solex was awarded
the Company's overall strategy, tion Management System Solex participated in Cosmo- to tackle key technol-
the provincial title of "Green
the strategic positioning and Certi?cation. prof Asia in Hong Kong. ogies for a smart
Supply Chain Management
development plan of Solex health application
Enterprise."
Vietnam, outlining a clear large model.
blueprint for its future.
???? Environmental, Social, and Governance (ESG) Report About Solex ??
Major Honors in ???? ????年度厦门市重点工业企业名单
Recipient Awards Awarding Authority
National Development and Reform Commission, Ministry of Finance,
Solex National Enterprise Technology Center General Administration of Customs,Ministry of Science and Technology,
State Taxation Administration
Solex ???? Key Industrial Enterprise of Xiamen Xiamen Municipal Bureau of Industry and Information Technology
Bestter ???? Key Industrial Enterprise of Xiamen Xiamen Municipal Bureau of Industry and Information Technology
???? Top ??? Strategic Emerging Industry Provincial Enterprise Confederation, Provincial Radio and Television,
Solex
Enterprises in Fujian (Ranked ??st) Provincial Academy of Social Sciences, Fujian Daily, etc.
Top ??? Private Manufacturing
Solex Fujian Federation of Commerce & Industry
Enterprises in Fujian Province (Ranked ??rd)
Top ??? Innovative Private Enterprises in
Solex Fujian Federation of Commerce & Industry
Fujian (Ranked ??th)
Solex ???? Top ??? Xiamen Enterprises (Ranked ??nd) Xiamen Enterprise Confederation, Xiamen Radio and Television, Xiamen Daily, etc.
Solex ???? Top ?? Xiamen Green Enterprises (Ranked ??th) Xiamen Enterprise Confederation, Xiamen Radio and Television, Xiamen Daily, etc.
???? Top ?? Xiamen Enterprises in
Solex Xiamen Enterprise Confederation, Xiamen Radio and Television, Xiamen Daily, etc.
Intellectual Property (Ranked ?th)
Top ?? Xiamen Private Technology Innovation
Solex Xiamen Federation of Industry and Commerce
Enterprises (Ranked ??th)
Top ?? Xiamen Private Manufacturing Enterprises
Solex Xiamen Federation of Industry and Commerce
(Ranked ??st)
Solex Top ??? Xiamen Private Enterprises (Ranked ??th) Xiamen Federation of Industry and Commerce
Zhangzhou
"Future Unicorn" Innovative Enterprise Fujian Provincial Bureau of Data Management
Solex
???? Haicang District Talent Attraction and
Solex Leading Group for Talent Work of the CPC Haicang District Committee
Cultivation Contribution Award
Zhangzhou ???? Fujian Provincial Green Supply Chain
Fujian Provincial Department of Industry and Information Technology
Solex Management Enterprise
Zhangzhou
Fujian Provincial Enterprise Technology Center Fujian Provincial Department of Industry and Information Technology
Solex
Xiamen Municipal Bureau of Science and Technology,
Bestter High-tech Enterprise Xiamen Municipal Bureau of Finance, Xiamen Taxation Service of the
State Taxation Administration
???? Environmental, Social, and Governance (ESG) Report Responsibility Focus-Special Topics ??
Responsibility Focus-Special Topics Case Study: Taikang Community and Wuxin Elderly Care Visit Solex
Deepening Industry Focus and Strengthening Strategic Layout, In August ????, the chairman of Wuxin Elderly Care and the general manager of the
Integrating into the Industry for Shared Development Operations Support Department of Taikang Community led delegations to Solex for
inspection and exchange. During the visit, the parties conducted in-depth discus-
The Company has keenly seized development opportunities in the robotics sector, steadi- sions on the practical deployment of elderly-care robotics, with the Company engag-
ly advancing industrial layout, leveraging enterprise?university?research institute collab- ing in dedicated and detailed consultations on robotic solutions tailored to Taikang
oration as a technological bridge to promote technological innovation and knowledge Community's operational scenarios and needs. This exchange laid a solid foundation
integration. At the same time, through deep participation in industry exhibitions and for synergistic cooperation between the parties in the ?eld of elderly-care robotics.
technical exchanges, the Company continues to expand brand in?uence and actively build Solex's robust capabilities in AI and robotics precisely complement Taikang Commu- R&D—industrial deployment—service
nity's nationwide healthcare and elderly-care community network and Wuxin Elderly operations" in the elderly-care sector,
a collaborative and mutually bene?cial industrial ecosystem.
Care's experience in operating elderly-care institutions. This engagement not only injecting strong momentum into the
achieved precise alignment between technological supply and scenario demand but commercialization of elderly-care
Deepening the Robotics Sector and also marked the further implementation of an integrated model of "technology robotics in China.
Consolidating Industrial Layout
The global technology industry is ?ourishing, with new technologies and
application scenarios continuously emerging, bringing new opportunities
for enterprise development. As an innovation-driven enterprise, Solex has Case Study: Strategic Cooperation Reached with Wuxin Elderly Care and Huaqiao University College of Engineering
?rmly seized industry opportunities, actively deployed in the ?eld of
arti?cial intelligence, established a professional AI algorithm team, and In August ????, Solex Robotics entered into a strategic cooperation memorandum with
attached great importance to the development of the robotics industry. The Fujian Wuxin Elderly Care Services Co., Ltd. ("Wuxin Elderly Care") and the College of
Company relies on its subsidiary Solex Robotics to pioneer new business Engineering of Huaqiao University ("HQU Engineering"). The three parties will focus on
tracks and is actively building integrated industrial chain service capabilities the speci?c needs of elderly-care scenarios, integrating Solex Robotics' R&D and
encompassing robotics technology research and development, manufactur- manufacturing strengths, Wuxin Elderly Care's application scenarios and service
ing, and market sales, steadily deepening its strategic layout in the robotics experience, and HQU Engineering's research capabilities and talent resources to jointly
sector. explore elderly-care robotics solutions and conduct collaborative R&D, design optimi-
At present, the Company is prioritizing the R&D of collaborative organiza- zation, and supply chain development. Going forward, all parties will continue to
tional systems for healthcare and elderly-care service robots as well as advance project innovation and iteration, deepen collaboration in policy initiatives and
logistics service robots, continuously advancing the deployment of robotic research project applications, and actively explore long-term development opportuni-
teams that address customer pain points and consolidating its core techno- ties in the elderly-care robotics ?eld.
logical competitiveness. During the Reporting Period, Solex Robotics
successfully completed the acquisition of VDS and ?nalized all requisite
industrial and commercial registration changes.
???? Environmental, Social, and Governance (ESG) Report Responsibility Focus-Special Topics ??
Strengthening Industry Engagement and Showcasing at Professional Exhibitions
Upholding the core philosophy of model sharing, manufacturing sharing, and technology sharing, Solex's IDM business focuses on the ?elds of healthcare software and hardware and intelligent kitchen and bathroom
solutions. With enterprise?university?research institute collaborative innovation as the central engine, we have established joint R&D platforms with leading domestic universities and top-tier hospitals to overcome
key technical challenges and accelerate the commercialization of research outcomes. At the same time, we concentrate on the R&D, design, and manufacturing of intelligent products and, leveraging platforms such
as beauty expos and kitchen and bathroom exhibitions, collaborate closely with industry partners to integrate hardware innovation with health insights, delivering safer, more convenient, and smarter healthy living
experiences for consumers.
Case Study: With Dedicated Craftsmanship in Beauty Tech, Solid Capabilities Shine in Asia-Paci?c Case Study: Gathering New Kitchen and
Bathroom Trends in Shanghai
From November ?? to ??, ????, the Cosmoprof Asia was successfully held in Hong Kong, where the Company showcased a range of cutting-edge beauty and health
products in skin management and hair management, comprehensively presenting its latest R&D achievements. Meanwhile, the Company has actively established From May ?? to ??, ????, the ??th Kitchen & Bath China was
in-depth partnerships with renowned domestic universities and top-tier hospitals, integrating the strengths of enterprises, universities, and research institutes, and held at the Shanghai New International Expo Centre. Under
medical institutions to jointly tackle key technologies for innovative products and explore new development opportunities in the beauty and health sector. the theme "New Era, New Kitchen and Bathroom, New
Skin Management Products Experience," the exhibition brought together cutting-edge
industry trends and innovative products. Guided by the
· The ?agship beauty device features intelligent emulsion detection, enabling adaptive compatibility with emulsions of
philosophy of "intelligence, health, and sustainability," the
varying viscosities and recommending personalized usage plans based on skin analysis results, thereby enhancing
Company focused on real-life scenarios such as beverage
skincare precision and user experience.
health, intelligent bathroom solutions, and kitchen water
· The LED light therapy device incorporates a breathable structure and multiple phototherapy modes to address anti-ag-
usage, presenting four themed exhibition zones: beverage
ing needs across di?erent skin types; equipped with intelligent distance measurement, it monitors user distance in real
space, smart toilet space, shower space, and faucet space.
time to ensure safe and controllable phototherapy, delivering a professional-grade at-home beauty experience.
In addition, the robot Xiaolin made its debut, interacted
Hair Management Products with visitors on-site and guided them to explore technologi-
· The hair removal device innovatively integrates AI detection algorithms to accurately identify hair distribution and scar cal highlights and product experiences throughout the
locations within the treatment area, e?ectively preventing scorching caused by residual hair while avoiding secondary exhibition areas.
damage to scarred skin, thereby enhancing safety and comfort.
· The hair-dryer brush integrates e?cient drying, care, and styling functions; its self-cleaning system e?ectively prevents
dust blockage to ensure long-term stable operation, while water-ion technology helps improve dry hair quality, achiev-
ing dual moisturizing and hair-care bene?ts. Combined with rapid styling functionality, it enables users to e?ortlessly
create ideal hairstyles.
???? Environmental, Social, and Governance (ESG) Report Sustainable Development Governance ??
Sustainable Development Governance
ESG Management Framework
The Company has formulated the Environmental, Social, and Governance (ESG) Management System and the Rules of Procedure
of the Strategy and ESG Committee under the Board of Directors, and established a three-tier management structure comprising
Case Study: ESG Training
Board oversight, committee review, and working group execution to provide uni?ed leadership, decision-making, and imple-
mentation of ESG-related work. Meanwhile, the Company continues to deepen ESG cultural development and empower all To enhance employees' and management's in-depth
employees, fully integrating ESG principles into operational practices, systematically enhancing environmental performance, understanding of sustainable development concepts and
ful?lling social responsibilities, and optimizing corporate governance. strengthen ESG management capabilities, the Company
To ensure e?ective implementation of ESG governance, the Company has incorporated ESG-related indicators into key perfor- organized a dedicated ESG training session on December
mance metrics and linked them to remuneration assessments for relevant positions, covering dimensions such as innovation ??, ????, which was attended by ?? participants and
and R&D, product quality, environmental protection, and workplace safety, thereby reinforcing ESG accountability and support- lasted two hours. The training focused on interpreting the
ing long-term sustainable value creation. latest ESG policy developments, frontier trends, and
rating systems, and analyzed the Company's current ESG
·Review and approve the Company's major ESG matters, including material issues, management structure, and manage-
Board of Directors ment systems;
performance and improvement pathways, further
·Review the Company's ESG report. strengthening ESG awareness and practical application
among key personnel and e?ectively enhancing the Com-
·Research the Company's ESG goals, strategic planning, governance structure, and management systems, and make pany's ESG management level.
recommendations to the Board of Directors;
·Identify ESG risks and opportunities that have a signi?cant impact on the Company's business and guide management in
Strategy and ESG
taking responsive actions;
Committee
·Supervise the establishment of ESG goals, corresponding implementation plans, and performance, review the progress
towards achieving ESG goals, and propose improvements;
·Review the Company's ESG-related disclosure documents and submit them to the Board of Directors for deliberation.
·Implement the Company's ESG strategy and goals, coordinate various departments in implementing ESG initiatives;
·Draft ESG policies, issues, plans, and implementation schemes;
ESG Working
·Collect ESG information and prepares reports and related documents;
Group
·Liaise with consulting and rating agencies, organize ESG business training, and monitor ESG policy developments;
·Summarize ESG work results, report progress to the committee in a timely manner, and propose improvement suggestions.
???? Environmental, Social, and Governance (ESG) Report Sustainable Development Governance ??
Information Reporting Mechanism
By regularly publishing ESG reports, Solex proactively discloses its performance across environmental, social, and governance dimensions, e?ectively enhancing investor communication quality and
information transparency. Meanwhile, the Company clearly requires each executing unit to assume primary responsibility within its scope of duties, implement the daily management of ESG-related
tasks according to the Company's ESG strategy and goals, regularly report progress, and promptly submit ESG information.
ESG Goals
Solex practices sustainable development through concrete actions, establishing clear ESG goals to anchor its direction and guide the orderly advancement of ESG initiatives. The Company also fully
endorses and actively implements the United Nations Sustainable Development Goals (SDGs), integrating them into its strategic planning to vigorously advance toward low-carbon manufacturing,
shared bene?ts, and high-quality development.
Chapters Nurturing the Ecosystem
Building a Solid Governance Foundation with Integrity Empowering Industry Attracting Talent
and and Advancing Sustainably
and Diligence and Creating Enduring Value and Building Unity
Sections Through Green Development
? Improvement of ESG governance system ? Supporting carbon reduction
? Enhancing governance levels of the General Meeting of initiatives ? Zero employment discrimination incidents
? Increasing investment in R&D
Shareholders, Board of Directors, and Board of Supervi- ? Active promotion of green o?ce ? Protecting employees' development and
? Zero supply chain safety incidents
sors practices participation rights
? Compliance of products and services
Our Goals ? Reinforcing risk control capabilities ? Improvement of resource utiliza- ? Providing expansive development opportu-
with national standards
? Ensuring timely, accurate, and complete information tion e?ciency nities for employees
? Rising customer satisfaction
disclosure while maintaining strong investor relations ? Enhancing circular economy ? Strict occupational health and safety
? Zero data leakage incidents
? Zero incidents of commercial bribery, corruption, or practices and reducing unneces- management to foster a safe workplace
unfair competition sary costs
???? Environmental, Social, and Governance (ESG) Report Sustainable Development Governance ??
The Company continuously enhances its supplier management system by The Company has established an employee mutual aid foundation to provide
standardizing the full-process management of supplier selection, evaluation, ?nancial assistance to employees in di?culty; o?ers suitable employment
assessment, and exit, and incorporates ESG performance indicators into suppli- opportunities to economically disadvantaged laborers; and donates bicycles to
er admission criteria. children in impoverished counties.
The Company addresses the dietary health needs of the elderly by donating
The Company adheres to compliant operations, continuously improves compli- peanut oil and other supplies to community seniors.
ance and risk management systems, and conducts regular information disclo-
The Company cares for employees' physical and mental well-being by organiz-
sure to ensure regulatory compliance and e?cient governance.
ing diverse cultural and sports activities. It also provides comprehensive health
check-ups for all employees and conducts regular safety hazard inspections.
Actively responding to the "dual carbon" strategy, the Company comprehensive-
The Company has built a content-rich digital learning platform and established
ly conducts greenhouse gas inventories, vigorously promotes energy-saving
a tiered and categorized employee training system, empowering employees
awareness and technology application, and contributes to carbon neutrality
with personalized and autonomous learning opportunities.
goals.
Our Actions The Company e?ectively safeguards the legitimate rights and interests of female
employees, strictly ensuring gender equality in recruitment, compensation and
The Company implements full lifecycle product management and strictly bene?ts, and promotion, and fully implementing statutory leave entitlements
controls product quality through digital technologies. such as maternity examination leave in accordance with the law.
The Company rigorously manages wastewater discharge, conducts real-time
The Company gives back to society through tangible actions by organizing monitoring across all treatment stages, and enhances water utilization e?cien-
cross-border donations and community elderly-care initiatives to support cy through wastewater recycling and reuse measures.
sustainable community development.
The Company actively promotes the application of photovoltaic technology,
Adhering to core values of diversity, equality, and inclusion, the Company
continuously increasing the proportion of clean energy usage, while reducing
ensures no di?erential treatment based on gender, age, or other personal
energy waste through equipment upgrades and energy-saving awareness
characteristics in recruitment, compensation, or career advancement.
campaigns, thereby advancing green operations.
Market demand guides the Company's R&D direction, with increased R&D The Company provides employees with market-competitive compensation and
investment to continuously strengthen technological and product innovation diverse bene?ts, and through regular performance evaluations fully unlocks
capabilities. employees' capabilities and potential.
???? Environmental, Social, and Governance (ESG) Report Sustainable Development Governance ??
Due Diligence ESG Risk Management
Conducting due diligence is of great signi?cance for identify- The Company places high emphasis on ESG risk management. Focusing on key ESG topics such as climate change response, inno-
ing, preventing, mitigating, and addressing the Company's vation-driven development, product safety and quality, responsible supply chains, and energy utilization, the Company organizes
actual and potential adverse impacts and risks. In accordance top-down risk identi?cation and assessment across departments and formulates scienti?c mitigation measures based on assess-
with regulatory requirements and industry norms, the Com- ment outcomes to ensure e?ective ESG risk oversight and support stable and sustainable development.
pany has established and re?ned a due diligence mechanism, Material Topics Risk Description
fully integrating it into its enterprise risk management system
and proactively identifying sustainability-related risk expo- Response to
Frequent extreme weather events may increase operating costs; policy updates may raise compliance costs; green transition
sures. demands signi?cant capital investment; and failure to take e?ective response measures could result in reputational damage
Climate Change
and revenue volatility.
Innovation- Innovation-driven development faces talent attrition risks that may interrupt R&D projects or cause technology leakage, along-
driven side insu?cient protection of core process patents that could erode competitive advantages.
Background investigations are conducted for new
Product safety and quality are subject to multiple risks, as quality issues may trigger reputational damage; emerging business
hires, promotions or transfers to core and sensitive Product Safety
segments may lack maturity; intensi?ed market competition, imbalanced production capacity and inventory, and suboptimal
and Quality
positions, and promotions of core management channel customer structures may constrain sustainable product development.
personnel; core and sensitive positions are deter- Supply Chain Supply chain policy adjustments may restrict trade and disrupt supply chains; rising material prices may increase procurement
Employees mined in accordance with compliance policies, and Management costs; and unreasonable procurement planning may result in inventory shortages or backlogs.
investigations are completed prior to hiring or
Energy Energy price volatility, increasingly stringent regulatory oversight of high-energy-consuming processes, and low energy
appointment notices to ensure compliance and Utilization e?ciency not only raise operating costs but also hinder compliance with policy requirements.
mitigate employment risks.
Water resource utilization is under increased control pressure due to higher water supply volumes and policy risks arising from
Water Resource
adjustments to water abstraction and usage regulations; production processes may pose water pollution risks, and ine?cient
Utilization
water use may cause resource waste and reputational harm.
Prior to cooperation, the Company veri?es their Occupational Occupational health and safety entail legal compliance risks; inadequate safety management execution may lead to regulatory
credit standing and contract performance capabili- Health penalties; exposure of safety incidents may cause reputational damage; and casualties may directly halt production, triggering
and Safety operational disruptions and a?ecting normal business operations.
ty, streamlines key due diligence content, classi?es
Business
Partners risk levels based on ?ndings, and implements di?er- Retention risks due to high turnover and challenges in retaining talent; skill risks arising from lagging employee skill updates
Talent
entiated risk controls. that fail to match technological upgrades; and cross-cultural management risks stemming from ine?ective collaboration
Management
within multicultural teams and insu?cient management adaptability.
???? Environmental, Social, and Governance (ESG) Report Sustainable Development Governance ??
Materiality Assessment
In accordance with the Shanghai Stock Exchange Self-Regulatory Guidelines for ? Environmental compliance management ?? customer rights protection
Matrix of Material Issues
Listed Companies No. 14 - Sustainability Report (for Trial Implementation), and in energy utilization information security and privacy protection
? ??
Response to climate change responsible supply chain
consideration of industry dynamics and the Company's operational realities, the
? ??
??
Signi?cance in terms of economic, social,
circular economy equal treatment of SMEs
??
Company conducted analyses from the perspectives of "impact materiality" and
? ? ??
?? ??
??
? water resource utilization ?? social contribution
"?nancial materiality," identifying and evaluating ?? key issues of signi?cance to
? ??
?
and environmental impact
?? ??
? ?? ? pollutant emissions ?? rural revitalization
the Company and its stakeholders, among which ?ve dual materiality issues are
?? ?
?
waste disposal shareholder rights protection
??
??
? ??
addressed as focal points in this report.
?? ?
??
Ecosystem and biodiversity protection standardized corporate governance
??
?? ?? ? ? ??
??
? low-carbon products ?? anti-commercial bribery and anti-corruption
Assessment steps Analysis methods ??
??
?? employee rights protection ?? anti-unfair competition
?
?? employee training and development ?? tax compliance
Understand ?? occupational health and safety ?? risk management
· Based on analysis of industry development trends
??
innovation-driven due diligence
the Company's
?? ??
and the Company's business model, refer to GRI, technology ethics stakeholder communication
background
?? ??
Step ? SASB, and related issues from domestic and interna- Signi?cance in terms of ?nancial impact on the company ?? product safety and quality ?? ESG governance
and conduct
tional peers, establish a sustainable development
preliminary
issue library.
issue screening
· Identify the potential or actual impacts of each issue Dual materiality Response to climate product safety and
innovation-driven responsible supply chain energy utilization
on the external environment, society, and economy in issues
change quality
Assess the
the form of questionnaires and expert judgments. Impact materiality Environmental compliance
Step ? materiality of issues
management
circular economy water resource utilization pollutant emissions waste disposal
· Identify issues with ?nancial materiality based on the
issues employee rights employee training occupational health
Company's risk identi?cation and assessment list and low-carbon products
protection and development and safety
customer rights protection
combined with questionnaire results. standardized corporate
information security shareholder rights anti-commercial bribery
anti-unfair competition
and privacy protection protection governance and anti-corruption
· Form an issue list based on impact materiality and stakeholder
tax compliance risk management due diligence ESG governance
?nancial materiality, and ensure that the relevant
communication
Identify mate-
Step ? Relevant
rial issues issues are transparently, fairly, and comprehensively Ecosystem
and biodiversity protection
technology ethics equal treatment of SMEs social contribution rural revitalization
issues
disclosed in the report.
???? Environmental, Social, and Governance (ESG) Report Sustainable Development Governance ??
Communications with Stakeholders
To ensure smooth communication with stakeholders, the Company has established an ESG information communication mechanism and, in accordance with international standards such as the GRI Stan-
dards and AA???? Stakeholder Engagement Standard, conducts stakeholder identi?cation and engagement. Where necessary, it actively solicits stakeholder feedback and recommendations through
interviews, forums, and surveys to continuously improve performance.
Stakeholder Government and Suppliers Investors and Public welfare and
Employees Customers
Category regulatory agencies and Partners Shareholders community organizations
Demands and ? Compliant Operations ? Win-win cooperation ? Improvement of ? Employee Care ? Product Innovation ? Employment Promotion
Expectations ? Environmental ? Promotion of industri- Corporate Governance ? Diversi?ed training ? Fostering open communica- ? Public Welfare and Charity
protection al development ? Return and growth ? Career Development and Promotion tion channels
? Business ethics and ? Equal reciprocity ? Timely information ? Compensation and bene?ts
? Ensuring Product Quality
anti-corruption ? Supplier Management disclosure ? Health and Safety
? Protecting the rights and
? Lawful tax payment ? Risk Management ? Performance appraisals
interests of customers
? Protection of Employees’Rights and
Interests
Communication and ? Comply with Laws and ? Transparent procure- ? Optimization of ? Diverse cultural and sports activities ? Increased Investment in R&D ? Provision of Employment
Response Regulations ment governance structure ? Regularly organization of training activities ? Improvement of communi- Opportunities
? Green Manufacturing ? Industry cooperation ? Shareholder dividends ? Improvement of employee career advance- cation e?ciency ? Conducting public welfare
? Supervision and and exchange ? Regular public
ment mechanisms ? Quality and safety manage- activities
inspection ? Responsible industry announcements
? Enhancement of compensation and bene?ts ment
? Full Tax Compliance chain ? Improvement of
? Regular health check-ups ? Optimization of service
? Building of a green Internal Control
supply chain ? Improvement of performance appraisals processes
? Employee communication and feedback
mechanisms
???? Environmental, Social, and Governance (ESG) Report
Building a Solid Governance
Foundation with Integrity
and Diligence
Our Philosophy
Solex continuously improves its corporate governance system,
upholds compliance as a fundamental principle, strengthens risk
management mechanisms, proactively expands and facilitates
communication channels with investors, ensures the timeliness,
accuracy, and transparency of information disclosure, e?ectively
safeguards the rights and interests of all shareholders, and consol-
idates the foundation for long-term steady operations.
Our Actions
Corporate governance
Compliance Operation and Risk Management
Investor Relations Management and
Shareholders’Rights and Interests
Business Ethics
SDGs
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Corporate Governance General Meeting of Shareholders
Solex has further standardized corporate operations to form a governance structure with clearly de?ned powers and responsibilities The General Meeting of Shareholders, as the Company's highest
and e?ective checks and balances among the General Meeting of Shareholders, the Board of Directors, committees, and the manage- authority, exercises decision-making power over major matters
ment team in strict compliance with the Company Law of the People's Republic of China (the "Company Law"), the Securities Law of the in accordance with the law. During the Reporting Period, the
People's Republic of China (the "Securities Law"), and other applicable laws and regulations, as well as internal governance documents convening, holding, and voting procedures of all General Meet-
such as the Articles of Association. During the Reporting Period, in alignment with regulatory requirements and operational realities, ings of Shareholders strictly complied with the Articles of Associ-
the Company abolished the Board of Supervisors and transferred its functions and powers to the Audit Committee under the Board ation, the Rules of Procedure for General Meetings of Sharehold-
of Directors, further clarifying the boundaries of supervisory responsibilities and enhancing the e?ciency and professionalism of ers, and other relevant regulations. Lawyers were engaged to
governance oversight. witness the legality and compliance of the meetings on-site.
There were no instances of major matters being implemented
Organizational Structure
without the approval of the General Meeting of Shareholders,
nor any cases of implementation prior to deliberation.
Meeting of Shareholders
Special Meeting of Independent Directors
Key Performance
Nomination and Remuneration Committee
During the Reporting Period,
Board O?ce Board of Directors
Strategy and ESG Committee A total ?
of General Meetings
其中召开临时股东会 次； of Shareholders were held,
including ? annual General Meeting of Shareholders and
? 通过股东会审议议案
Audit Committee
General Manager
?? 项；
extraordinary meetings;
?? proposals were reviewed and approved;
Audit Department
and ??? attendances of minority shareholders exer-
Administration Center Environmental Management Center Strategic Investment Department Robotics Division Finance Center
cised their voting rights at the meetings.
Safety Management Center Equipment Procurement Center IDM Division Human Resources Department Legal Department IT Center
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Board of Directors Board Committees Board of Directors Composition and Diversity
The Board of Directors serves as the Compa- The Board of Directors consists of the Audit The Company places emphasis on Board diversity, continuously optimizing its composition by
ny's decision-making body and, in strict Committee, the Nomination and Remunera- comprehensively considering gender, age, professional background, career experience, and
accordance with the Rules of Procedure for tion Committee, and the Strategy and ESG industry expertise, thereby consolidating the professional foundation for directors' performance
the Board of Directors and other systems, Committee. Each committee is accountable of duties and providing robust professional support for business development. Meanwhile, in
exercises operational and managerial to the Board of Directors, composed of direc- August ????, the Company elected an employee director to represent employee interests and
authority within its scope of powers, imple- tors, and operates in accordance with the participate in discussions and decision-making on major Board matters, further aligning Board
ments resolutions of the General Meeting of Articles of Association and the Rules of Proce- decisions with operational realities and employee development needs. As of the end of the
Shareholders, formulates business plans and dure for Board Committees to ensure profes- Reporting Period, the Company had a total of ? directors, of whom ??.??% were female.
investment proposals, and ensures scienti?c sionalism in decision-making mechanisms
decision-making and standardized gover- and e?ective execution.
Composition of the Board of Directors
nance.
Key Performance
Key Performance
During the Reporting Period,
? meet-
?
?person ?
During the Reporting Period, The Audit Committee convened persons
person
? ?
?? approved ?
person persons
The Board of Directors held ings and reviewed and ?
persons By academic ?
By age By gender ?
quali?cation persons
??%
meetings, with an average atten- proposals; persons
???%.
?
The Nomination and Remuneration
persons
dance rate of
A total of ?? resolutions were Committee convened ? meetings and
reviewed and approved ? proposals;
Bachelor’s Degree ?? years old or above
?? to ?? years old Male
Master’s Degree
passed at the meetings of the Doctoral degree or above ?? to ?? years old Female
Under ?? years old
The Strategy and ESG Committee
Board of Directors.
convened ? meetings and reviewed and
approved ? proposals.
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Board Independence Remuneration Management for Directors
and Senior Management
The Company has formulated the Procedures for the Work of Independent Directors, clarifying their duties and authorities to ensure
To continuously enhance operating performance and
e?ective performance; the convener of the Audit Committee is an independent director with an accounting background, which strength-
management standards and to fully motivate directors
ens professional competence.
and senior management, the Company formulated the
Remuneration and Assessment System for Directors, Super-
Key Performance visors, and Officers. In terms of remuneration structure,
independent directors receive ?xed allowances and do not
participate in performance assessments; non-indepen-
During the Reporting Period，
dent directors' remuneration is determined based on their
? members, ? of whom are independent directors, accounting for ??.??%;
The Board of Directors consists of actual positions; a performance-linked remuneration
The Company convened ? special meeting of independent directors, at which ? proposal was reviewed and approved;
system is adopted for o?cers, with performance bonuses
directly tied to overall Company performance and individ-
Independent directors accounted for ??.??% of the Strategy and ESG Committee;
ual assessment results.
Independent directors accounted for ??.??% of the Nomination and Remuneration Committee;
Independent directors accounted for ??.??% of the Audit Committee. Metrics ???? ???? ????
Total pre-tax
E?ectiveness Assessments of Board of Directors
remuneration for
directors, o?cers,
In accordance with the Listing Rules, the Measures for the Administration of Independent Directors, the Articles of Association, and other
and supervisors
institutional documents, the Company conducted di?erentiated evaluations of directors' performance across ?ve dimensions: ful?ll- ?,???.?? ?,???.?? ?,???.??
during their term
ment of ?duciary duties, diligence obligations, professional competence, independence and ethical standards, and compliance in duty of o?ce from the
Company (RMB
performance. This strengthened directors' self-discipline and standardized their conduct. During the Reporting Period, all directors
??,???)
were evaluated as competent. In addition, the Board of Directors assessed the independence of independent directors for ???? and ????
and found no circumstances that could a?ect their independent and objective judgment. Note: The total remuneration statistics for ???? and ???? include supervisors; the
total remuneration statistics for ???? include remuneration for supervisors during
their term of o?ce.
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Compliance Operation and Risk Management
The Company always regards integrity and compliant operations as the cornerstone of its survival Various departments of the Company promote compliance culture in di?erent forms, formulate
and development, thoroughly implementing the compliance policy of "abiding by rules, honoring indicators to measure the e?ectiveness of compliance culture development, and, through coordi-
commitments, operating prudently, and pursuing long-term success," improving its compliance nation between the Legal Department and the Human Resources Department, conduct irregular
management system, identifying and preventing compliance risks, optimizing internal control specialized compliance training in conjunction with law-based governance publicity and education,
mechanisms, paying taxes in full in accordance with the law, and ensuring steady and lawful busi- focusing on professional topics such as trade security compliance and customs laws and regula-
ness operations. tions, thereby strengthening employees' compliance knowledge and practical capabilities.
Compliance Management
To comprehensively advance the law-based governance development and compliance manage- Case Study: Policy Interpretation of Announcement No. ?? of ???? by Six Depart-
ment of the enterprise and enhance lawful and compliant operations, the Company has formulat-
ments Including the General Administration of Customs
ed the Compliance Management Manual, the Compliance Obligation Management System, the Com-
To strictly implement the requirements of Announcement No. ?? of
pliance Risk Management System, and the Compliance Review and Reporting Management System,
???? issued by six departments including the General Administration of
providing system safeguards for compliance management.
Customs and to strengthen full-process compliance management of
The Company has established a compliance management system based on the PDCA
import and export customs operations, the Company organized special-
(Plan-Do-Check-Act) cycle. By analyzing the organizational environment, identifying stakeholder
ized training for customs o?cers and heads of relevant import and
requirements and compliance obligations, assessing compliance risks, planning measures to
export departments. The training comprehensively interpreted key
address risks and opportunities, and determining and implementing interrelated processes within
provisions of the announcement, including the scope of goods subject
the compliance management system, the Company achieves the intended outcomes of compli-
to four categories of measures and specialized account book manage-
ance management. In addition, the Company has established a four-tier compliance management
ment requirements, and, in combination with the Company's import
organizational structure of "decision-making?management?execution?supervision," promoting
and export practices, systematically reviewed compliance procedures
comprehensive and end-to-end compliance coverage.
to enhance employees' compliance capabilities and fortify the Compa-
Organizational Structure for Compliance Management ny's customs compliance defenses.
Responsible for strategic decision-making and institutional approv-
Decision-Making Body General Manager
al of the Company's compliance management work
Key Performance
? legal training sessions,totaing
Organizes, coordinates, and supervises compliance management
Management Body Intellectual Property Center
work and carries out routine tasks
During the Reporting Period,The Company conducted
??? hours,with a total of ?? participants.
Implement speci?c implementation in accordance with uni?ed
Executive Bodies Functional Departments
internal control requirements
Responsible for testing and supervising the operation of the compli-
Supervisory Body Internal Control Department
ance management system
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Risk Management
To accelerate the development of the Company's risk management system and standardize and
strengthen risk management, the Company has formulated the Compliance Risk Management Case Study: Special Training on Contract Risk Prevention Measures
System and established a risk management organizational framework directly led by the General
Manager, coordinated by the Internal Control Department, and fully participated in by all depart-
ments. Through risk identi?cation, assessment, response, early warning, and emergency mecha- To e?ectively avoid various contractual legal risks and safeguard the Company's legiti-
nisms, the Company reinforces risk management responsibilities at all stages and forms compli- mate rights and interests, in April ????, the Company's Legal Department and a Vietnam-
ance risk assessment reports. Meanwhile, the Company conducts company-wide risk manage- ese advisory law ?rm conducted special training on contract risk prevention measures.
；
ment culture education and promotion, embedding risk prevention concepts into employees' The training focused on compliance control throughout the entire contract lifecycle,
mindset and daily work, and strengthening awareness and accountability. covering counterparty credit investigations during negotiation and signing, prevention of
legal risks in contractual clauses, risk screening during performance, dispute resolution
Compliance Risk Management Process
pathways, and closed-loop management during enforcement. Through this training,
Risk identi?cation personnel use methods such as questionnaire surveys, Delphi participants further strengthened their awareness of contract risk prevention and e?ec-
Risk method, sensitivity analysis, and scenario analysis to identify compliance risks, and tively enhanced contract management and risk handling capabilities.
Identi?-
submit them to the Internal Control Department for summary and risk database
cation
establishment.
Risk Risk management departments analyze and rate risks based on occurrence probability Key Performance
Assess- and impact degree, determine risk levels, and submit them to the Internal Control
ment Department for veri?cation.
During the Reporting Period,
Risk management departments select risk response strategies and plans such as risk
?? sessions of training on internal risk,
Risk retention, avoidance, mitigation, or transfer for di?erent types of risks, and after being
the Company provided
Response summarized by the Internal Control Department, submit them to the Company for
approval.
with a total of ??? participants and for a total training duration of ?,??? hours.
Risk Risk management departments continuously monitor the implementation of risk
Monitor- response plans, regularly summarize and analyze, and continuously improve risk
ing control systems and processes.
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Internal Control Financial and Tax Management
To ensure asset security and the authenticity and completeness of ?nancial reports and related information and to improve opera- The Company regards ?nancial management as the core
tional e?ciency, the Company has formulated the Internal Control Manual, the Internal Control System, and the Internal Audit System, support of operations. By strictly implementing the Financial
further standardizing and optimizing key control requirements across management areas and business processes. The Company's Management Rules and clarifying standards for ?nancial
internal control activities include but are not limited to: Core operational processes such as sales and collections, procurement and accounting, budget management, fund control, and cost control
expenses and payments, and production management, while incorporating the management of holding subsidiaries into key internal across the entire process, the Company consolidates the ?nan-
control areas. By strengthening centralized management and supervisory inspections over subsidiaries, the Company achieves cial foundation for sustainable development through standard-
full-level internal control coverage and ensures standardized and e?ective overall operations. ized and transparent ?nancial management. The Company has
次，
also formulated the Tax Management Measures to standardize
Internal Control Organizational Structure the entire process of tax related business research, accounting,
declaration, monitoring, planning, evaluation, forecasting, and
Board of Directors Responsible for the establishment and e?ective implementation of internal control reporting. The Company enjoys various tax incentives according
to law, including additional deductions for R&D人。 expenses,
Finance Department Responsible for organizing and coordinating the establishment and subsequent maintenance of the internal control system high-tech enterprise tax preferences, and tax reductions and
exemptions for employing retired soldiers and key groups.
Functional Departments and Subsidiaries Implement speci?c implementation in accordance with uni?ed internal control requirements
In ????, the Company conducted ? tax-related audits to further
Audit Department Responsible for testing and supervising the operation of the system strengthen the rigor of tax management.
The Company's Audit Department, under the Audit Committee, inspects and supervises the operation of internal controls and forms Key Performance
internal audit reports on identi?ed de?ciencies, irregularities, improvement recommendations, and progress in recti?cation. In addi-
tion, the Company engages third-party institutions for conduct independent internal audits every year and issue the Internal Control
During the Reporting Period,
Audit Report to enhance objectivity and credibility of the audits. Audit results are integrated with operational optimization and
accountability mechanisms to continuously strengthen internal supervision e?ectiveness. the Company paid a total of
Key Performance
?,???.??(in RMB ??,???) in taxes.
During the Reporting Period,the Company conducted? audit projects, covering ? business divisions, Note: The statistical scope is based on the treasury entry period.
and identifying ?? areas for improvement, with a ???% de?ciency recti?cation rate.
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Investor Relations Management and Investor Communication Channels
Key Performance
Shareholders’Rights and Interests Company announcement
During the Reporting Period,the Company disclosed General Meeting of Shareholders
Solex attaches great importance to investor relations manage-
? regular reports and ?? interim reports,
Company website, WeChat o?cial account
ment and shareholder rights protection, strictly complying with Investor hotline, email, fax
with a total of ???
laws, regulations, and regulatory requirements, responding to Regular open investor forums, performance brie?ngs
market concerns in a timely and accurate manner, eliminating disclosed documents Shanghai Stock Exchange E-interactive platform
information barriers, helping investors gain a comprehensive Reception of various institutional research activities
understanding of the Company's value, and enhancing investor published online; Media interviews and reports
no
recognition.
There were penalties imposed for violations
Key Performance
Information Disclosure related to information disclosure.
During the Reporting Period,
Solex strictly ful?lls its information disclosure obligations and,
in accordance with the Measures for the Administration of Infor-
Investor relations management the Company conducted ??? investor
mation Disclosure by Listed Companies, has formulated the Infor-
mation Disclosure Management System, which clari?es that the reception activities,
To strengthen e?ective communication with investors and
Board of Directors uniformly leads and manages information protect the legitimate rights and interests of minority investors, ?? on-site research receptions,
including
with ??? attendances;
disclosure, with the Board Secretary responsible for execution. the Company has formulated the Investor Relations Manage-
To ensure compliance and fairness in information disclosure, ment System and designated the Board Secretary as the person
The Company responded to ?? investor inquiries
the Company strictly regulates insider information manage- in charge of investor relations management, responsible for
ment, stipulating that before lawful disclosure, insiders and organizing and coordinating related work. To enhance investor
entities that illegally obtain insider information shall not relations management, the Company has established an inves-
on the SSE E-Interactive Platform,
disclose or use such information for insider trading, and prohib-
???% reply rate;
tor relations section on its o?cial website to timely release and
iting any organization or individual from illegally obtaining update relevant information, collect and respond to investors' with a
Received ??? investor calls;
undisclosed information by any means. inquiries, complaints, and suggestions, continuously optimize
communication channels, and e?ectively safeguard investors'
? open investor forums.
right to know.
Held
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Capital Market Public Opinion Management
The Company has formulated the Public Opinion Management System and established a leading group to address public opinion matters and manage media information. By closely monitoring key public
opinion trends, promptly collecting, analyzing, and verifying information with signi?cant impact, establishing rapid response and emergency handling mechanisms, and leveraging online interaction
advantages to guide public opinion appropriately, the Company e?ectively prevents adverse impacts of public opinion on its stock price, reputation, and normal operations, safeguarding its brand image
and market standing.
Returns to Shareholders
The Company highly values reasonable returns to investors. While balancing capital needs and sustainable development, it strictly follows the pro?t distribution policy stipulated in the Articles of Associ-
ation and formulated the Shareholder Dividend Return Plan (2025–2027), clearly prioritizing cash dividends to provide sustained and stable returns to shareholders. Meanwhile, to safeguard the legiti-
mate rights and interests of the Company and all shareholders and prevent fund occupation risks, the Company has formulated the Management System for Preventing the Occupation of Company Funds
by Controlling Shareholders and Related Parties, establishing a long-term mechanism to ensure fund security and standardized operations.
Unit ???? Mid-???? ????
Cash Dividend per Share yuan/share ?.?? ?.?? ?.??
Total Cash Distribution (Including Tax) In RMB ??,??? ??,???.?? ??,???.?? ??，???.??
Proportion to Net Pro?t Attributable to Shareholders of % ??.?? ??.?? ??.??
the Listed Company in Consolidated Financial Statements
Note: The cash dividend proposal for ???? is calculated based on the Company’s total issued share capital as of March ??, ????.
Protection of Creditors’Rights and Interests
While pursuing steady development, the Company attaches great importance to the protection of creditors' rights and interests. During the Reporting Period, the Company maintained sound solvency,
strictly ful?lled the agreements and commitments in bond prospectuses, repaid principal and interest on time and in full, and experienced no defaults or delayed payments, e?ectively safeguarding cred-
itors' legitimate rights and interests. In ????, the Company's issuer credit rating and "Solex Convertible Bonds" remained at AA with a stable outlook, demonstrating strong recognition by the capital
market of its operational strength, solvency, and development prospects.
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Business Ethics Anti-corruption Measures
The Company strictly complies with the Anti-Unfair Competition Law of the People's Republic of China and
the Interim Provisions on Prohibiting Commercial Bribery and other laws and regulations, adopts a zero-toler- Employees are prohibited from using the convenience of position to illegally take com-
ance attitude toward corruption and commercial bribery, continuously strengthens business ethics, and pany assets for personal use through methods such as embezzlement, theft, or fraud.
strives to create a clean and upright business environment.
Employees are prohibited from soliciting or accepting money or other forms of bene?ts
Anti-Corruption and Anti-Bribery from others during business interactions or while performing their duties, or from o?e-
ring bribes to others.
Adhering to integrity and honest operations, the Company has formulated the Integrity and Self-Discipline
Management System, and requires all employees to establish correct professional ethics and eliminate illegal Employees are prohibited from exceeding their authority during the performance of th-
eir duties and must act in accordance with Company rules and procedures; handling
and disciplinary violations at the source. The Company has established a Discipline Inspection Committee as matters beyond their authorities, or improperly exercising their power to harm the int-
a supervisory body to oversee and investigate employee misconduct. By strengthening institutional erests of the Company or others is strictly forbidden.
constraints, signing integrity agreements, and reinforcing ideological education, the Company prevents
Employees are prohibited from privately using company resources for personal or others'
corruption risks and safeguards the legitimate rights and interests of shareholders, customers, and partners. bene?t, causing losses to the Company's interests.
Organizational Structure
The committee consists of representatives from the labor union, human resources department,
Key Performance
Discipline Inspection administration department, internal audit department, and department heads. It has the authori-
ty to formulate the Integrity and Self-Discipline Management System and supervise, investigate,
Committee
and handle violations of the integrity and self-discipline requirements.
During the Reporting Period,
?,??? individuals signed integrity agreements and related business
Conduct comprehensive promotion and strict supervision of integrity and self-discipline culture
Department heads for department employees, and report any violations of integrity and self-discipline requirements
to the Discipline Inspection Committee promptly.
conduct documents,
All employees of Comply with discipline, accept supervision, and cooperate fully with the work of the Discipline
Inspection Committee.
with an integrity commitment letter signing rate of ??.??%.
the Company
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Anti-monopoly and Anti-unfair Competition
Case Study: Special Training on the Establishment of
To strengthen and enhance the Company's antitrust compliance
the Fair Competition Compliance Management System
management in its business operations, the Company has
formulated the Anti-Monopoly and Anti-Unfair Competition
In response to relevant national policies and the requirements of the
Management System, under which the compliance o?cer is
???? "Fair Competition Policy into Enterprises" special campaign, in
responsible for establishing and improving the internal control
March ???? the Company conducted special training for internal
system for the prevention of monopoly and unfair competition,
auditors on the establishment of the fair competition compliance
incorporating antitrust and anti-unfair competition manage-
management system. The training focused on key compliance points
ment requirements into performance evaluations, and continu- Fair Competition Management System Certi?cation
related to antitrust and anti-unfair competition, with emphasis on
ously enhancing employees' compliance awareness through
the fundamental overview of fair competition compliance, in-depth
compliance training. In conducting overseas business, the Com-
Anti-monopoly and Anti-unfair Competition Measures interpretation of relevant policies and standard documents, and
pany strictly complies with the antitrust laws and regulations of
detailed introduction of the framework and implementation
the countries or regions in which it operates, eliminates all forms The Company is prohibited from reaching or imple-
pathway of the fair competition compliance management system,
of unfair competition, including abuse of market dominance menting monopoly agreements or other similar collu-
thereby assisting internal auditors in clarifying compliance boundar-
and unlawful implementation of business concentrations, and is sive behaviors in business interactions with competi-
ies in business operations and enhancing their risk identi?cation
committed to maintaining a fair and orderly market competition tors, industry associations, or upstream and down-
capabilities.
environment. stream business partners.
The Company is prohibited from abusing its market
In ????, the Company obtained the nation's ?rst Fair Competi- dominance to manipulate the services, quantities, or
tion Compliance Management System Certi?cation Certi?cate other trading conditions of goods.
for business operators. During the Reporting Period, no lawsuits
The Company will proactively report any concentration
or major administrative penalties resulted from the Company's
of undertakings that meets the reporting standards to
unfair competition practices.
the enforcement agencies for anti-monopoly review.
The Company is prohibited from engaging in or partici-
pating in behaviors that disrupt market competition
order and harm the legitimate rights and interests of
other operators or consumers.
???? Environmental, Social, and Governance (ESG) Report Building a Solid Governance Foundation with Integrity and Diligence ??
Whistleblowing Channels and Protection of Whistleblowers
The Company encourages all employees to actively participate in supervision and to report individu-
als or conduct that harm the Company's interests, violate laws and regulations, involve corruption, or
otherwise breach business ethics. It has formulated the Reporting and Investigation Management
System and the Internal Management Whistleblowing System to standardize the handling procedures
for reported matters, promptly verify and address received reporting leads, and hold people
concerned accountable. The Company has established reporting and complaint platforms, including
次，
hotlines and email addresses, accepting both real-name and anonymous reports and complaints,
strictly safeguarding the con?dentiality of whistleblowers' information, and prohibiting any form of
retaliation. The Company has established a whistleblower incentive mechanism, under which report-
ed matters are comprehensively evaluated based on their nature, severity, and losses recovered, and
人。
monetary rewards are granted to whistleblowers to stimulate proactive supervision.
Reporting Channels
Email report@solex.cn
Telephone or SMS ???????????
O?ine channels Reporting Mailbox
Special Circumstances Reports involving to the O?ce of the
senior executives shall Group President
be submitted directly
???? Environmental, Social, and Governance (ESG) Report
Nurturing the Ecosystem and
Advancing Sustainably Through
Green Development
Our Philosophy
Solex proactively addresses the challenges posed by
climate change, strengthens pollutant discharge
control, vigorously develops clean energy, enhances
resource utilization e?ciency through energy-saving
transformation, and accelerates the research and
development of green and energy-e?cient products,
thereby contributing to harmonious coexistence
between humanity and nature.
Our Actions
Response to Climate Change
Environmental Compliance Management
Resource Utilization
Pollutant Emissions
Implementation of Green Operation
Protection of Ecosystem and Biodiversity
SDGs
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Response to Climate Change
Governance
In the face of the tests and challenges brought by climate change, the Company actively responds to the national "Dual Carbon" strategic deployment, identi?es climate change response as a ?nancial
materiality issue, formulates the Greenhouse Gas Inventory Procedure, establishes a greenhouse gas inventory task force, standardizes organizational boundaries and emission data inventory processes,
and ensures that the greenhouse gas emission inventory system is systematic, compliant, and veri?able, thereby advancing green transformation and sustainable development through concrete actions.
· Approve the Company's GHG policy, emission reduction targets, and policy statements;
Management Representative · Lead the GHG management review meetings, and listen to reports from the Energy Department on GHG project progress and implementation;
· Ensure the provision of necessary resources required for GHG projects.
· The department head is the primary responsible person for GHG management;
· Formulate GHG management policies, emission reduction targets, implementation plans, and policy statements;
· Coordinate the operation and maintenance of the ISO????? system, and organize the setting of organizational boundaries and identi?cation of GHG emission sources;
Responsibilities Energy Department
· Regularly report the progress of the GHG project to the management representative, and take the lead in preparing the GHG inventory and GHG emission report;
of GHG Inventory
· Oversee and plan GHG work in the plant, coordinate relevant departments in implementing related tasks, and serve as the main contact point;
Management
Organization · Organize internal veri?cation prior to the formal ?nalization of the emission report.
· Assist various departments in formulating GHG emission reduction targets, and track the progress and e?ectiveness of target implementation;
GHG Inventory Team Leader
· Take the lead in organizing the annual GHG emission inventory, and prepare and publish the GHG emission inventory and report.
· Cover all functional departments and consolidate data related to various operational activities;
GHG Inventory Team Member · Identify GHG emission sources within each department and submit raw data records;
· Promote the implementation of GHG emission reduction measures within each department and supervise the achievement progress of emission reduction targets.
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Strategy
Focusing on core operational segments such as production and market expansion, the Company identi?es potential risks arising from climate change and opportunities for green development,
advances risk assessment and graded control, and formulates targeted response plans to support steady development in the low-carbon transition.
Probability Priority Ranking4
Risk Type Risk Description Impact Magnitude1 Impact Time2 Value Chainframe3 Potential Financial Impact Response Measures
of Occurrence Links of Impact
Physical Acute Risks ?. The Company's operating locations are Low High Short to Upstream, Medium Increased ?. Establish an extreme weather early
vulnerable to extreme weather events such as warning mechanism, formulate emergency
Risks ?oods and typhoons, which may damage medium operations, operating costs response plans, reinforce facilities in coastal
facilities, operations, and supply chains, operating locations, stockpile emergency
esulting in business interruptions or term downstream supplies, and develop business continuity
increased costs plans
?. Activate self-owned steam turbines,
?. Sudden climate disasters may cause water formulate backup emergency measures, and
and power outages, a?ecting production conduct regular emergency drills
Chronic Risks ?. The Company's major operating locations Low Medium Long-term Operations, Medium Increased Assess the impact of sea level rise on operat-
are primarily situated in coastal areas, posing ing locations and adjust site selection accord-
potential risks from sea level rise downstr operating costs ingly; comprehensively adopt high-e?ciency
?. Under the trend of global warming, the energy-saving equipment, optimize produc-
Company's cooling energy consumption has tion processes to reduce cooling demand,
increased signi?cantly, and high tempera- promote clean and green production, and
tures adversely a?ect employee safety and conserve energy while reducing consump-
health tion
Trans- Policy andThe introduction of new carbon emission Medium Medium Medium and Operations Medium Increased Track updates to environmental protection,
management and environmental policies by energy, and carbon emission regulations,
formational Regulatory Risks the government and increasingly stringent long-term compliance costs. establish compliance review mechanisms,
regulatory requirements may increase the and proactively deploy green technologies
risks Company's compliance costs
Technological The introduction of new ?elds, new Medium High Short to Operations, Medium Increased R&D Establish special R&D funds, collaborate with
equipment, and new processes entails risks research institutions to carry out low-carbon
risks such as long investment cycles, failure to medium term downstream expenditure technology pilots; establish control
meet market trends, and returns falling short procedures for new product development,
of expectations conduct market research, and strictly
manage the introduction process of new
products and processes
Market Risks Customers favor energy-saving and low-car- Medium High Short to Downstream Medium Decreased Conduct market research, strengthen
bon products; if the Company's products fail communication with customers, and prompt-
to meet customer requirements, it may result medium term operating income ly collect customer needs and expectations
in customer loss and reduced operating regarding energy management; organize
revenue reviews of customer requirements to ensure
? Low: If the risk occurs, it will have little to no noticeable impact on the enterprise’s ?nances, reputation, or operations, and losses can be easily absorbed. ? High: The risk could lead to signi?cant ?nancial loss, business disruption, or severe legal consequences, requiring immediate action.
Medium: If the risk occurs, it will cause some negative impact on the enterprise's ?nances and reputation, and measures may be needed to mitigate the losses. Medium: The risk has some impact on the business but can be addressed or mitigated within a reasonable timeframe.
High: If the risk occurs, it will cause severe ?nancial loss to the enterprise, damage to the brand, and may even a?ect business continuity, and signi?cant resources may be needed to recover. Low: The risk has relatively minor impact on the business and can be handled in routine operational management.
? Short-term: Generally refers to within ? year after the end of the Company’s sustainability reporting period (including ? year).
Medium-term: Generally refers to ? to ? years after the end of the Company’s sustainability reporting period (including ? years).
Long-term: Generally refers to more than ? years after the end of the Company’s sustainability reporting period.
? Upstream: Involves raw material suppliers, procurement, and logistics, a?ecting the stability of the supply chain and raw material costs.
Operations: Involves production, manufacturing, and internal processes, a?ecting daily operations and production e?ciency.
Downstream: Involves distribution, sales, and customer service, a?ecting customer satisfaction, market share, and brand image.
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Probability Priority Ranking4
Risk Type Risk Description Impact Magnitude1 Impact Time2 Value Chainframe3 Potential Financial Impact Response Measures
of Occurrence Links of Impact
Transfor- Raw material Extreme weather may cause ?uctuations in Medium Medium Short to Operations Medium Increased operating Establish diversi?ed raw material procure-
raw material prices, increasing the Compa- ment channels and enhance supply chain
mational risk ny's production costs medium term costs management e?ciency
risks
Reputation Failure to properly manage climate risks may Low Medium Short to Operations Medium Decreased operating Establish a climate change information
damage the Company's reputation, thereby disclosure mechanism, participate in industry
risks a?ecting brand value and customer trust medium term income environmental initiatives, and conduct public
awareness activities
Probability Value ChainLinks
Opportunity Type Opportunity Explanation Impact Magnitude Impact Timeframe Priority Ranking5 Potential Financial Impact Response Measures
of Occurrence of Impact
Energy Alternatives Climate change encourages the Company to Medium Medium Short to medium Operations Medium Reduced operating costs Assess the existing energy structure,
increase the proportion of clean energy formulate clean energy substitution plans,
usage, which helps mitigate future energy term prioritize the adoption of renewable energy
price escalation risks and promotes such as solar and wind power; optimize
participation in the carbon trading market energy management systems, reduce energy
consumption through energy-saving
transformation, and participate in the carbon
trading market
Technological Upgrade Climate change creates demand and Medium Medium Medium and Operations Medium Reduced operating costs Increase R&D investment, adopt collabora-
opportunities for technological innovation, tive R&D models, promote the development
driving the emergence of new technologies, long-term of low-carbon and intelligent manufacturing
new processes, and new products, thereby technologies; introduce digital tools to
improving production e?ciency and optimiz- optimize production processes and enhance
ing manufacturing processes e?ciency
Market Expansion Consumer demand for energy-e?cient Medium High Medium and Operations High Augmented operating income Continuously develop green and energy-e?-
products continues to grow, o?ering broad cient products, apply for green certi?cations,
market prospects; customs AEO certi?cation long-term strengthen market promotion, and highlight
enhances market recognition the environmental attributes of products;
obtain customs AEO certi?cation and
maintain its continuous validity
? Low: The opportunity has relatively minor impact on business is relatively small, but it can still bring some revenue or e?ciency improvements, and can be handled routine operational management without the need for signi?cant resource investment or strategic adjustments.
Medium: The opportunity can bring certain business growth or market share improvements, has a positive impact on the business, but requires the enterprise to invest resources and adjust strategies within a certain period to address and seize the opportunity.
High: The opportunity can bring signi?cant market breakthroughs, business growth, or technological innovations, signi?cantly improves the enterprise's competitiveness and pro?tability, and requires the enterprise to take immediate action, invest considerable resources, and possibly adjust its overall strategy to fully leverage this
opportunity.
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Impact, Risk and Opportunity Management Management Measures
To implement the strategic deployment of carbon emission reduction,
Management Process carbon peaking, and carbon neutrality, Solex has introduced multiple
speci?c carbon reduction implementation plans, regularly conducted Case Study: Dual Carbon Thematic Training
Focusing on the identi?cation, assessment, and management of carbon knowledge training to strengthen employees' low-carbon From October ?? to ??, ????, Solex participated in
climate-related risks and opportunities, the Company has estab- awareness, and actively utilized a smart carbon emission management the special training program themed "Developing
lished a full-process risk management mechanism, and has platform to achieve real-time tracking and dynamic management of the New Energy Industry Chain and Advancing 'Dual
formulated dedicated response plans for extreme weather carbon footprints. Carbon' Work," jointly organized by the Organiza-
events such as typhoons and heavy rainfall frequently occurring
tion Department of the Xiamen Municipal Party
in its operating locations, continuously enhancing its capacity to Optimization of Proactively deploy clean energy substitution and high-e?ciency
Committee, the Municipal Development and
address climate change. energy structure energy-saving technology upgrades, gradually replace high
energy consumption and high emission equipment, and achieve Reform Commission, and Tong'an District. Oriented
carbon reduction by improving energy utilization e?ciency. toward practical application, the training was deliv-
Upgrade of Implement technological transformation and process optimiza- ered by experts and scholars in the "Dual Carbon"
production tion to reduce energy consumption and waste emissions, promote ?eld, who systematically outlined the comprehen-
resource recycling, and decrease carbon emissions in production
processes sive green transformation of economic and social
Risk identi?cation Risk monitoring processes.
and assessment
Risk response
and adjustments development and the international and domestic
Smart carbon Build a smart carbon emission management platform based on
emission arti?cial intelligence and big data technologies to accurately track development trajectory and intrinsic logic of the
Every March, the Based on the Continuously track
management carbon footprints, meet regulatory requirements, enhance "Dual Carbon" strategy from a macro perspective,
energy depart- results of risk and monitor the transparency, and help enterprises set carbon reduction targets
platform analyzed key development priorities and objectives
ment organizes identi?cation and e?ectiveness of and track the progress of achievement.
in the "Dual Carbon" ?eld, and, in conjunction with
the identi?cation assessment, the risk measures, Carbon emission Build a carbon emission accounting system, comprehensively sort
monitoring and out the Company's carbon emission data, and provide scienti?c
the new energy industry, provided practical guid-
and assessment Company grasp changes in
management basis and data support for carbon reduction pathways. ance for enterprises on key and emerging topics
of climate-related formulates risk risk status in real
such as zero-carbon industrial parks, carbon
risk factors and response strate- time, and make Carbon Strengthen the communication and training on carbon peaking
knowledge and carbon neutrality implementation plans, and enhance the markets, ESG, carbon footprints, and digital prod-
updates the gies to ensure the targeted adjust-
training green development and environmental awareness of employees uct passports.
register of e?ectiveness and ments and and partners.
identi?ed risks operability of improvements Supply Encourage suppliers to use low-carbon raw materials and green
and opportunities relevant measures. based on actual chain production processes, jointly build a green supply chain ecosys-
tem, and achieve coordinated carbon emission reduction across
accordingly. scenarios. management
the industrial chain.
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Indicators and Objectives Carbon Veri?cation
The Company closely monitors and regularly conducts greenhouse gas inspections, formulates the annual During the Reporting Period, the Company engaged a third-party institution to com-
Greenhouse Gas Inventory, and conducts internal reviews and management reviews concurrently to ensure the plete comprehensive veri?cation of GHG emission quanti?cation, reporting, and
accuracy, completeness, and traceability of all data records. In the future, with the objective of supporting emission reduction performance, and obtained a Greenhouse Gas Veri?cation State-
carbon reduction initiatives, the Company will continue to deepen climate change management, improve the ment Certi?cate, providing standardized and veri?able technical support for the
carbon emission accounting system, promote the implementation of energy-saving and carbon reduction Company's carbon inventory, implementation of emission reduction targets, and
technologies, and contribute corporate strength to achieving the "Dual Carbon" goals. carbon neutrality pathway.
Key Performance Indicators Unit ????
Total GHG Emissions tCO?e ???,???.??
GHG Emission Intensity tCO?e/RMB ??,??? revenue ?.??
Direct GHG Emissions (Scope ?) tCO?e ?,???.??
Indirect GHG Emissions (Scope ?) tCO?e ??,???.??
GHG emission reduction tCO?e ?,???.??
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Environmental Compliance Management
Environmental management system Environmental Management Organizational Structure
Environmental management constitutes a vital cornerstone of
the Company's green development. The Company strictly com- Responsible for the daily supervision, management, and monitoring of the Company's environmental protection work,
Environmental
plies with laws and regulations such as the Environmental Management Center
strictly controlling pollutant emissions, continuously improving environmental conditions, ensuring compliance and
deepening emission reduction, and coordinating with government environmental authorities.
Protection Law of the People's Republic of China, and has formu-
lated policies including the Solex Environmental Protection Man-
agement System and the Solex Environmental Protection Reward
Cooperate with the Environmental Management Center, be responsible for environmental protection and environmental
and Punishment System, de?ning the responsibilities of relevant Production-related
risk management within their respective departments, advocate clean production and recycling in workshops, and
departments, incorporating environmental performance into Departments
eliminate pollutants from the source to the greatest extent possible.
employee performance evaluations, and clarifying the standards
for environmental rewards and penalties. During the Reporting
Period, the Company further re?ned the implementation of
Logistics-related Cooperate with the Environmental Management Center and relevant departments, proactively promote environmental
environmental rewards and punishments and introduced new
Departments protection initiatives, and ensure the immediate supply of emergency and safeguard materials in procurement.
management procedures, advancing the implementation of
environmental requirements through institutionalized and stan-
dardized management systems.
As of the end of the Reporting Period, both the Company and its
subsidiary Zhangzhou Solex had obtained environmental man- Key Performance
agement system certi?cation certi?cates, and Zhangzhou Solex
had also been certi?ed as a national-level Green Factory.
During the Reporting Period,
the Company invested ?,???.??(in RMB ??,???) in environmental protection
and paid?.??(in RMB ??,???) in environmental protection taxes;
Number of environmental incidents: ?.
Solex Environmental Management System Certi?cation Certi?cate
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Management of Environmental Risks Emergency Plans and Drills
The Company attaches great importance to environmental Adhering to the principles of "prevention ?rst, self-rescue ?rst, uni?ed command, and division of responsibilities," and in light of actual
risk control and continuously improves its environmental conditions, the Company has formulated the Contingency Plans for Environmental Emergencies, established an internal emergency organiza-
risk management system. The Company has formulated tion, standardized internal reporting procedures for environmental emergencies, and developed full-process handling procedures for key
the Procedure for Environmental Factors and Occupational areas including wastewater, waste gas, hazardous chemicals, and electroplating workshops.
In addition, the Company regularly organizes emergency training and drills for environmental incidents, providing employees with profes-
Health and Safety Hazard Identification, Evaluation and
Control, which stipulates the steps for identifying and
sional theoretical support and enriched knowledge reserves through training, strengthening overall emergency preparedness awareness,
evaluating environmental factors, records identi?ed
and conducting targeted drills based on di?erent emergency scenarios to enhance employees' operational pro?ciency in emergency mea-
environmental factors in the Environmental Factors Identifi-
sures and their capability to respond to unexpected situations.
cation and Evaluation List, applies a multi-factor method
for preliminary evaluation, and determines signi?cant
environmental factors based on the evaluation results.
Case Study: Training on the Contingency Plans for Environmental Emergencies
Hazard Identi?cation
On September ??, ????, the Company conducted training on the Contingency Plans for Environmental
To e?ectively strengthen environmental protection and
Emergencies for relevant personnel, covering core modules including emergency plans and management
work safety, the Company has formulated the Environ-
standards, identi?cation of environmental risk sources and hazard inspection, analysis of common issues
mental Hazard Identification System, clarifying the
in environmental emergency inspections and drills, emergency organizational structure and response
responsibilities of personnel at all levels, standardizing
procedures, and con?guration of emergency materials and practical response measures. Through a
the forms and speci?c requirements for routine, com-
combination of theoretical instruction and case analysis, this training ensured that participants mastered
prehensive, major event, holiday, quarterly, profession-
key emergency points and enhanced their emergency response capabilities.
al, and accident-category hazard inspections, and Emergency Training
designating dedicated personnel from the Environmen-
tal Management Center to systematically sort and regis-
ter various hazard items, forming a hazard registration Key Performance
ledger to achieve standardized management of hazard
identi?cation and recti?cation.
During the Reporting Period,
? environmental emergency training sessions and ?? environmental emergency drill activities.
Key Performance
???
the Company conducted
In ????, the Company conducted a total of
environmental hazard inspections within the park,
achieving a ???% recti?cation completion rate.
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Environmental Protection Training Key Performance
During the Reporting Period, the Company conducted multi-dimensional specialized environmental
training for environmental o?cers and personnel in relevant positions. A total of ?? training sessions
were carried out across various parks, covering environmental regulations interpretation, electroplat- During the Reporting Period,
ing wastewater discharge control, solid waste management, VOCs control, ODS management, ?? environmental protection training sessions,
the Company conducted
with ?,??? participant attendances and a total of ??,??? training hours.
environmental emergency response, hazardous chemical management, interpretation of environ-
mental protection policies, environmental culture promotion, and environmental protection require-
ments for new employees and supplier construction, timely disseminating the latest environmental
policy information, e?ectively strengthening overall environmental responsibility awareness, and
comprehensively enhancing the Company's environmental knowledge dissemination and compli-
ance management capabilities.
Environmental Targets and Planning
The Company regards environmental protection as its own responsibility, continuously
Case Study: Training on Relevant Environmental Laws and
advancing the implementation of environmental management objectives and special plans.
Regulations and Accident Review Its subsidiary, Zhangzhou Solex, has established waste reduction targets to e?ectively
decrease waste emissions in production processes, promoting the in-depth implementation
On April ??, ????, the Company organized training on relevant environmental laws and regulations and accident
of environmental protection work through rigid indicators.
review, primarily covering in-depth interpretation of laws and regulations related to water pollution, air pollution,
noise pollution, solid waste pollution, soil and groundwater pollution prevention and control, supplemented by
specialized explanations based on typical penalty cases and current emission standards. A total of ?? people from
relevant positions participated in the training.
Environmental Targets Annual Achievement Status
Achieved compliant treatment
Achieved
of waste throughout the year;
Standardized management and
Achieved
disposal rate of solid waste: ???%.
Training Site
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Resource Utilization
Governance
Centered on the energy policy of "compliance with law, ?ne management, low-carbon
Energy Management manufacturing, and sustainable development," the Company has formulated institu-
tional documents including the Energy Management Manual, Resource and Energy
Energy management serves as a core instrument for enterprises to practice green and low-carbon develop- Management Procedure, and Energy Consumption Indicator Assessment Management
ment and is also a critical pillar for the implementation of ESG strategy. Solex incorporates energy into full Measures. The Vice Chairman serves as the top management leader, appoints a man-
life-cycle management and reduces energy consumption while improving energy e?ciency through the agement representative, and allocates corresponding resources to ensure the estab-
establishment of an energy control system, promotion of energy-saving technological transformation, and lishment, implementation, maintenance, and continuous optimization of the energy
optimization of the energy use structure. management system. In addition, the Company has established an Energy Conserva-
tion Leadership Group and a Working Group to coordinate energy use identi?cation,
Energy and Carbon Management Structure review, and supervision, with each department designating an energy o?cer responsi-
ble for departmental energy management.
To stimulate enthusiasm for energy conservation and consumption reduction, the
Company conducts monthly and annual energy consumption assessments. Bonuses
Xiamen Solex High-tech Industries Co., Ltd. are granted based on energy performance assessment results. Departments achieving
annual targets are awarded the honorary title of "Advanced Collective in Energy
Energy and Conservation," while departments failing to meet targets are required to verify and
Carbon Management Engineer analyze abnormal consumption data and formulate improvement plans. As of the end
Resource
Management of the Reporting Period, both Solex and its subsidiary Zhangzhou Solex had obtained
Department
energy management system certi?cation.
Energy and
Carbon Technical Engineer
All Departments All Departments
of the Group Center Robotics Division
of the IDM Division
Departments Departments Departments
Solex's Energy Management System Certi?cation
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Strategy
Probability of Impact Impact Value Chain Priority Potential
Type of Risk/Opportunity Description of Risk/Opportunity Response Measures
Occurrence Magnitude Timeframe Links of Impact Ranking Financial Impact
Risk of Energy Rising costs of electricity or steam and Medium Medium Short to Operations Medium Increased Improve energy utilization e?ciency
other energy sources increase the and reduce energy consumption and
Price Fluctuations Company's energy costs and compress medium term operating costs costs through energy-saving and
pro?t margins emission-reduction measures
Low energy Outdated technology, aging equip- Medium Medium Short to Operations Medium Increased Upgrade to high-e?ciency equipment
ment, and poor management may and processes; conduct regular equip-
e?ciency easily lead to low energy e?ciency and medium term operating costs ment maintenance; develop produc-
high unit product energy consumption tion EMS management systems and
energy management systems to
monitor energy consumption data in
real time and focus monitoring and
analysis on high energy consumption
areas
Policy support The government has introduced Medium Medium Short to Operations Medium Increase in Track policies and apply for subsidies in
subsidies, incentives, and preferential a timely manner; plan clean energy
loans to encourage enterprises to adopt medium term operational income projects and make sound investments
clean energy or improve energy in energy-saving retro?ts; formulate
e?ciency, carry out energy-saving energy e?ciency improvement plans
retro?ts of existing equipment, and
develop and establish energy and
carbon management centers
Technical opportunities The introduction of renewable energy High High Long-term Operations High Decreased Fully utilize idle rooftops to invest in
technologies such as photovoltaics and photovoltaic and energy storage
energy storage can assist enterprises in operating costs construction. At present, Changtai has
green transformation, green manufac- completed photovoltaic construction,
turing, and electricity cost savings and in ???? new photovoltaic and
energy storage projects will be added in
the Xiamen area
Green and enterprise promotes energy conserva- Medium Medium Short to Operations Medium Reduced By carrying out energy-saving and
tion culture, enhancing employees' low-carbon training and energy-saving
Low-Carbon Culture knowledge and awareness of energy medium term operating costs activities, foster an energy conservation
management and reducing energy and low-carbon culture atmosphere
consumption and strengthen employees' green
awareness
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Impact, Risk and Opportunity Management Management Measures
The Company integrates the concept of energy conservation and emission reduction into
corporate culture development, regularly organizing energy-saving knowledge training,
promotional activities, and on-site practical guidance to comprehensively enhance
Management Process
employees' awareness and practical capabilities, ensuring e?ective implementation of
energy-saving measures across all production and operational processes.
To enhance resilience against energy risks, the Company has formulated the Energy
Risk and Opportunity Control Procedure and established a Risk and Opportunity Assess-
ment Team responsible for comprehensive identi?cation, regular assessment, measure
formulation, implementation supervision, and e?ectiveness veri?cation of the Compa- Case Study: Energy-Saving Training on Compressed Air in Pressure Pipelines
ny's energy risks and opportunities, ensuring controllable energy risks.
On December ??, ????, Solex conducted energy-saving training on compressed air in
pressure pipelines for production line employees and safety o?cers. The training
Each department conducts risk identi?cation and prepares the Energy Risk
explained pressure pipeline operation and maintenance and emergency handling
Risk and Opportunity Assessment Form, which is consolidated and reviewed by
Identi?cation the Energy Conservation Promotion Group and reported to top manage- procedures, and highlighted ?ve key points for reducing losses through energy
ment. conservation, further clarifying practical pathways for pressure pipeline energy-sav-
ing work.
Risk Identi?ed energy risks are scored according to the likelihood of occurrence
Assessment and degree of loss to determine risk levels and recti?cation priorities.
Risk control measures such as routine monitoring, periodic tracking and
Risk Control analysis, and formulation of targeted plans are adopted based on risk
levels, and their e?ectiveness is con?rmed through review.
When external conditions or available resources change, risk control plans
Risk Update
are updated in a timely manner.
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Indicators and Objectives Annual
In light of actual production and operational conditions and industry energy-saving standards, and considering the types, ???? Energy Management Targets Achievement Status
consumption volumes, and energy-saving potential of energy used by each department, Solex decomposes targets into Comprehensive energy consumption per RMB ??,??? processing fee in the Miscella-
Achieved
energy indicators for each energy-using unit and conducts monthly summaries and statistical analysis of completion neous Unit decreased by ?%
Comprehensive energy consumption per RMB ??,??? processing fee in the Environ-
progress to support the successful achievement of annual energy-saving targets. mental Protection Department decreased by ?.??% Achieved
Comprehensive energy consumption per RMB ??,??? processing fee in the PME
Key Performance Indicators Unit ???? Quality Department decreased by ??.??% Achieved
Comprehensive energy consumption per RMB ??,??? processing fee for metal
Total Energy Consumption tce ??,???.?? polishing decreased by ?%
Achieved
Comprehensive energy consumption per RMB ??,??? processing fee for casting
decreased by ?% Achieved
Energy Consumption Intensity tce/RMB ??,??? revenue ?.??
Comprehensive energy consumption per RMB ??,??? processing fee for machining
decreased by ?% Achieved
Natural Gas ??,??? m3 ??.??
Comprehensive energy consumption per RMB ??,??? processing fee in surface
treatment workshop ? decreased by ??% Achieved
Gasoline Liters ??,???.??
Comprehensive energy consumption per RMB ??,??? processing fee for shower
assembly decreased by ?%
Achieved
Diesel Liters ??,???.??
Comprehensive energy consumption per RMB ??,??? processing fee for basin
assembly decreased by ?% Achieved
Total Purchased Electricity (Domestic) kWh ??,???,???
Total Purchased Electricity (Vietnam) kWh ?,???,??? Energy Conservation and Emission Reduction Practices
To steadily advance energy conservation and consumption reduction, the Company formulates annual
Total Purchased Heat GJ ??,???.??
energy management plans and conducts full-cycle tracking and evaluation of implementation progress and
Photovoltaic power capacity kWh ?,???,???.?? energy-saving bene?ts. In ????, the Company implemented a total of ?? energy-saving initiatives, and its
subsidiary Zhangzhou Solex completed ?? initiatives, focusing on the construction of intelligent energy
Clean energy consumption tce ?,???.??
management systems, clean energy projects, energy-saving transformation plans, and replacement of aging
equipment, systematically promoting optimization of the energy consumption structure and improvement
Renewable energy consumption tce ?,???.??
of energy e?ciency.
Non-Renewable Energy Consumption tce ?,???.??
Total Direct Energy Consumption tce ???.??
Total Indirect Energy Consumption tce ?,???.??
Intelligent Energy Management System
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Case Study: Zhangzhou Solex Photovoltaic Expansion Project Case Study: Energy-Saving Transformation of Ovens for Electroplating
Line Products
Under the guidance of national strategy, Zhangzhou Solex, based on its existing
rooftop photovoltaic construction, launched a photovoltaic expansion project, The ovens for electroplating line products at Solex originally used steam heating,
improving existing rooftop photovoltaics and parking lot facilities, increasing with daily steam consumption of ? tons for two production lines combined. They
installed photovoltaic capacity by ?.? MWp, adding ??? parking spaces and ? were retro?tted to air energy heating, improving heating e?ciency. Recovered
charging piles, and increasing power generation by ??%. After o?cial grid connec- cold air can also be used simultaneously for summer workshop cooling and acid
tion, the total installed photovoltaic capacity reached ?? MWp, with annual power copper refrigeration needs. This saves ?,??? tons of steam annually. Calculated at
generation of approximately ?? million kWh, reducing carbon dioxide emissions RMB ??? per ton, the annual savings amount to ??.??(in RMB ??,???), achieving
by ?,??? tons. The project integrates rooftop power stations and parking lot dual bene?ts of cost reduction, e?ciency enhancement, and green production.
photovoltaic charging integrated parking spaces, marking a critical step toward
the goal of a "zero-carbon factory."
Panoramic View of Zhangzhou Solex Photovoltaics
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Water resource management
To strengthen water management and improve water use e?ciency, Solex follows the man- Case Study: Reuse of Assembly Water
agement principles of planned water use, intelligent control, and scienti?c water conserva-
In Workshop ?#-? of the subsidiary Zhangzhou Solex, water used for product functional testing in the assembly
tion. It has formulated the Water Use Management System, under which the Energy Section
workshop is directly discharged to the sewage treatment station. After simple treatment to meet standards, it is
coordinates overall water management, formulates planned water use schemes, and coordi-
used for landscaping and cleaning within the park. The average monthly assembly water consumption is ??? tons,
nates departments to implement water management requirements. The Engineering Section
reaching up to ??? tons in peak months. After implementation of assembly water reuse, annual water savings are
is responsible for overall operation and maintenance of the intelligent water management
expected to reach ?,??? tons, saving RMB ??,???, signi?cantly improving water resource recycling rates.
system, and water-using departments are responsible for water resource management within
their respective jurisdictions.
Water
An intelligent water meter ledger has been established. Combined with real-time data collected by
Conservation intelligent water meters, water usage of each department is statistically analyzed, and planned
Measures water use schemes are dynamically adjusted based on actual usage to ensure rationality and
e?ectiveness.
Regular water-saving inspections are conducted. Water-use areas such as restrooms, production
workshops, and o?ce areas are inspected for leakage. Any damaged equipment or leakage is
reported promptly for repair arrangements.
The Energy Department regularly organizes water balance tests, which are inspected and
approved by relevant government departments to obtain water balance test reports. Recti?ca-
tions or optimizations are implemented in a timely manner according to report recommenda-
tions.
Key Performance Indicators Unit ????
Water-saving devices are promoted and adopted. Appliances that do not meet water-saving Total Freshwater Consumption ton ???,???
standards are discontinued. In new construction, reconstruction, and expansion projects,
water-saving factors are prioritized, and water-saving processes and equipment are adopted. Fresh water consumption ton ???,???
Total Water Consumption ton ???,???
Regular water use training and water-saving activities are conducted to enhance water-saving Water Consumption Intensity tons/RMB ??,??? revenue ?.??
awareness among all employees.
Recycled water consumption ton ??,???
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Material Management
Green Environmentally friendly materials with non-plasticizing and degradable characteristics are prioritized for packaging
Materials and other materials to reduce the use of toxic and harmful substances.
The Company strictly complies with the Circular Economy Promotion
Law of the People's Republic of China and other regulations. It has When storing hazardous chemicals such as lithium batteries, measures such as temperature and humidity control,
Material
formulated the Rules on the Use of Returnable Items and Early Warn- Storage
explosion-proof electrical facilities, distance from ?re and heat sources, and anti-static protection are implemented.
Fire?ghting facilities are equipped, and materials are stored in designated zones according to status.
ing Mechanism Management Measures, under which the returnable
item administrator is responsible for procurement applications,
outbound issuance operations, depreciation, and statement prepa- Packaging By optimizing product packaging design, the amount of packaging materials used is reduced, thereby reducing
Reduction resource consumption and waste generation.
ration, ensuring normal supply of turnover materials to internal
factories and external suppliers.
Material recyclability is advocated, materials such as sealing frames are recycled and reused, and suppliers are
Recycling
encouraged to recycle and reuse cartons, pallets, plastic blister trays, and other returnable items.
Expanded Polystyrene Lithium Battery Warehouse
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Pollutant Emissions
Each year, the Company entrusts quali?ed third-party testing institutions through the Install dust treatment systems, and use cyclone
Environmental Management Center to conduct environmental monitoring of pollut- Dust dust removal, water spray dust removal, and pulse
dust removal methods to treat dust
ants such as wastewater generated during production, boundary noise, and exhaust
Acidic Install exhaust systems to collect acidic exhaust
gas. During the Reporting Period, monitoring was conducted at monitoring points Exhaust gases, which are then treated by acid mist scrubbers
including the total wastewater discharge outlet, exhaust gas outlet of the polishing Gas and discharged through the exhaust stack
workshop, and exhaust gas outlet of the injection molding workshop. All monitoring Organic
Install puri?cation equipment, and use water
curtain absorption, water spray, catalytic combus- Injection Molding
results complied with national and local emission standards.
Electroplating Exhaust Spray Painting Exhaust
Exhaust Gas Treatment Facilities Gas Treatment Facilities
Exhaust Gas Treatment
tion, and activated carbon adsorption processes to Facilities
Gas
Waste Gas Management
treat organic exhaust gases
For exhaust gas and dust generated in electroplating, painting, injection molding, and
other processes, the Company has con?gured corresponding exhaust gas treatment
Case Study: ODS Training
equipment and technologies, and formulated the Operating Instruction for Exhaust
Gas Treatment Facilities to provide professional technical guidance for standardized On June ??, ????, Zhangzhou Solex organized ODS training, explaining the de?nition and hazards
operation, ensuring stable facility operation and compliant emissions. Meanwhile, the of ODS, professionally interpreting relevant regulations and standards, and analyzing examples to
subsidiary Bestter has formulated the Soil, Water, and Air Pollution Prevention and help participants master ODS-related knowledge and control requirements. A total of ?? employ-
Control Management Measures. The Environmental Management Center and produc- ees participated in the training.
tion workshops jointly manage dust and other exhaust gases and clarify relevant
procedures for air pollution control. In addition, the Company and its subsidiaries
conduct special exhaust gas treatment training from time to time to continuously
deepen employees' understanding and mastery of exhaust gas characteristics and
treatment processes.
Key Performance Indicators Unit ????
Waste Gas Emissions ??,??? m3 ???,???.??
Nitrogen Oxides (NOX) Emissions ton ?.??
Sulfur Oxides (SOX) Emissions ton ?.??
Hydrogen chloride ton ?.??
Volatile organic compound (VOC) ton ?.??
ODS Training
Sulfuric acid mist ton ?.??
Particulate matter (PM) emissions ton ??.??
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Wastewater Management
The Company strictly implements wastewater treatment with classi?ed control and
quality-based treatment to ensure compliant discharge of production and domestic
wastewater, and utilizes a reclaimed water reuse system for water conservation
within the park. In ????, the Company reused ??,??? tons of wastewater and
achieved a wastewater recycling rate of ??%. The Company requires sewage treat- Key Performance Indicators Unit ????
ment operators to strictly follow operating instructions, monitor all wastewater
treatment processes throughout, promptly report abnormalities, and achieve full Wastewater Discharges ??,??? m3 ??.??
traceability and control of wastewater treatment processes.
Wastewater Treatment Volume ton ???,???
The subsidiary Zhangzhou Solex has formulated the Sewage Treatment Center Oper-
Wastewater Discharge Intensity tons/RMB ??,??? revenue ?.????
ation Management Measures. Wastewater treatment adopts a "chemical precipita-
tion + hydrolysis acidi?cation" process, equipped with online monitoring facilities Wastewater reuse volume ton ??,???
connected to government departments to monitor wastewater discharge data in real
time and ensure stable compliant discharge through dynamic supervision. Wastewater reuse rate % ??
Chemical oxygen demand (COD) ton ??.??
Park Wastewater Treatment Measures
Five-day biochemical oxygen demand (BOD?) ton ?.??
Domestic
Adopt biochemical treatment technology before discharge
wastewater Suspended solids ton ?.??
Ammonia nitrogen (NH?-N) ton ?.??
Industrial
wastewater Adopt chemical precipitation and anaerobic + aerobic treatment
technologies before discharge Total phosphorus (P) ton ?.??
Animal and plant oils ton ?.??
Reuse of Adopt reclaimed water reuse measures combining membrane
reclaimed water separation and ion exchange methods, relying on an automated
reclaimed water reuse system to treat park wastewater, with a
reuse rate exceeding ??%, mainly used for production line
cleaning and partially for workshop chemical preparation
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Waste Management
Solex strictly complies with the Law of the People's Republic of China on the Prevention and Control of Environmental Pollution by Solid
Waste, regularly conducts special waste training, and has formulated the Solid Waste Management Measures and the Solex Hazardous
Waste Warehouse Management System. The Environmental Management Center and the Administration Department are mainly responsi-
ble for supervising waste treatment and coordinating with external parties. Management requirements for classi?cation, collection, Key Performance Unit ????
storage, and disposal of solid waste are clari?ed. When new production activities occur, the Environmental Management Committee Indicators
re-evaluates or revises the Detailed List of Solid Waste Discharge to improve waste utilization rates and reduce waste generation.
Quantity of waste
ton ?,???.??
Waste Main wastes Main disposal measures
Case Study: generated
Standardized Solid Waste Management Training Quantity of hazardous
ton ?,???.??
· Are uniformly delivered to
On March ??, ????, the Company's Environmental Management waste generated
Waste mineral oil, designated hazardous waste
paint waste, waste warehouses and entrusted
Center organized special training on standardized solid waste
Hazardous
organic solvents, to quali?ed institutions for management. A total of ?? environmental o?cers from various Quantity of non-hazard-
waste emulsi?ed ton ?,???.??
waste
disposal;
departments and employees in hazardous waste management-re- ous waste generated
liquids, laboratory · It is prohibited to arbitrarily
waste liquid, surface discard, incinerate, or bury
lated positions participated. The training adopted a "lecture + quiz"
treatment waste, Quantity of waste
hazardous waste on site, model, systematically teaching basic knowledge of solid waste ton ?,???.??
and other wastes within the park, or outside
disposed of
management and e?ectively enhancing participants' compliance
the Company.
awareness and operational capabilities in solid waste management. Quantity of hazardous
waste disposal of ton ?,???.??
· Are entrusted to quali?ed
Waste cardboard, external disposal vendors;
General waste sand, scrap · It is prohibited to burn or Quantity of non-hazard-
waste metal parts, waste bury waste arbitrarily on ton ?,???.??
ous waste disposed of
wood, etc. site or within or outside the
park.
Waste disposal compli-
· Handed over to the % ???
Domestic ance rate
environmental health
Domestic waste
waste management department
for uni?ed processing.
Standardized Solid Waste Management Training
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Management of Other Pollutants Implementation of Green Operation
Solex actively carries out prevention and control of noise, soil, and other pollution.
The Company has installed noise and vibration reduction equipment and adopted Green O?ce
noise reduction technologies such as double-layer soundproof glass, construction of Green o?ce practices represent a critical scenario for enterprises to implement ESG principles and ful?ll
soundproof rooms, and factory sound insulation to ensure that noise does not environmental responsibilities. With energy consumption control and resource recycling as its core focus, the
exceed the standards stipulated in the Emission Standard for Industrial Enterprises Company promotes low-carbon, intensive, and ecological o?ce operations through institutional regulation
Noise at Boundary. Its subsidiary Bestter has actively improved its noise pollution and full employee participation, continuously reducing operational carbon emissions and laying a solid foun-
prevention and control management system and formulated the Noise Pollution dation for achieving carbon peaking and carbon neutrality goals.
Control Management Measures, clarifying noise control procedures and providing
institutional guarantees for reducing noise impact and improving the working Actions for Green O?ce
environment.
Electricity conservation is advocated through the use of LED energy-saving lamps,
Meanwhile, the Company has formulated the Soil Environment Management System and lighting in corridors, balconies, stairways, and similar areas has been replaced
to standardize daily supervision methods and content, conduct routine visual with sensor-activated lights.
inspections of soil protection facilities, road anti-seepage projects, and potential
linear pollution hazards, and prevent potential pollution risks. Air conditioning temperature is set at ??°C; public areas such as meeting rooms are
equipped with timed power-o? sockets and sensor switches to e?ectively prevent Timed Power-O? Socket
waste caused by appliances being left on after use.
Noise Management Soil Management
Double-sided printing and secondary-use paper printing are encouraged to
· Workshop ?ooring is designed to
· Noise-related departments strictly conserve paper, with gradual implementation of paperless o?ce practices.
prevent liquid in?ltration;
adhere to operating procedures during
· Equipment and machinery in
equipment operation, eliminating noise
operation are equipped with
intensi?cation caused by improper
impermeable collection and Automatic faucets are widely adopted to reduce water waste caused by taps being Water-Saving Faucet
handling;
containment facilities; left running, thereby conserving water resources.
· Equipment is subject to regular mainte-
· For bulk liquid storage, bund walls
nance and servicing;
are installed in tank areas, with
· Where construction or renovation
impermeable ground treatment and
activities within the factory generate
regular inspections conducted; Waste classi?cation posters are displayed on environmental bulletin boards; waste
excessive noise, work must be immedi-
· At loading and unloading points, is sorted and recycled accordingly, and used dry batteries are uniformly collected
ately suspended and may only resume
leak-proof pumps are used to transfer and handed over to quali?ed entities for disposal.
after e?ective noise insulation measures
bulk liquids, inlet and outlet pipelines
are implemented;
are not exposed, and over?ow safety
· Construction activities during nighttime Garbage Sorting Posters
devices consist of impermeable
and rest periods are avoided.
containers.
???? Environmental, Social, and Governance (ESG) Report Nurturing the Ecosystem and Advancing Sustainably Through Green Development ??
Environmental Protection Activities Protection of Ecosystem and Biodiversity
The Company organizes diverse environmental awareness initiatives, integrating knowledge of energy conservation, Solex strictly complies with the Regulations on the Administration of Environmen-
waste reduction, garbage classi?cation, and resource recycling into employees' daily work and life through environ- tal Protection for Construction Projects and the United Nations Convention on
mental knowledge quizzes, interactive games, and themed on-site presentations, thereby encouraging proactive Biological Diversity, fully incorporating ecosystem and biodiversity protection
adoption of green o?ce practices and low-carbon commuting behaviors. into the lifecycle management of renovation and expansion projects, and
continuously promoting coordinated development between project construc-
tion and ecological conservation.
Case Study: World Environment Day Themed Activity
Prior to Project Implementation
On June ?, ????, in response to the Ministry of Ecology and Environment's World Environment Day theme of "Beauti- Environmental impact assessments are conducted to compre-
ful China—I Am a Pioneer," Solex and its subsidiary Zhangzhou Solex organized an environmental-themed event hensively evaluate the project's potential impacts on surround-
within the industrial park. Through activities such as an environmental signature wall and eco-themed games, the ing ecosystems and biodiversity.
Company promoted environmental and energy-saving knowledge and o?ered prizes to stimulate employee partici-
pation, e?ectively deepening and disseminating the corporate culture of environmental protection.
During Project Construction
Comprehensive environmental protection technical measures
are implemented to ensure that all pollutant emissions comply
with national and local standards.
Upon Project Completion
Environmental acceptance is strictly carried out in accordance
with regulations to prevent adverse impacts on ecosystems and
biodiversity, thereby e?ectively safeguarding regional ecologi-
cal balance.
Environment Day Event
Empowering Industry
and Creating Enduring Value
Our Philosophy
Solex remains customer-centric, adheres to innovation-driven
development, and focuses on the research, development, and
manufacturing of robot organizational systems, healthcare
software and hardware, and intelligent kitchen and bathroom
products. At every stage from procurement to product delivery,
we rigorously enforce high standards of quality and reliability
control, and embed data security and user privacy protection
as core product values and fundamental responsibilities.
Our Actions
Innovation-driven
Product and Service Safety and Quality
Information Security and Customer Privacy Protection
Supplier Management
SDGs
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Innovation-driven
Governance
Upholding the business philosophy of "innovation, design, manufacture," the Company has established systems such as the New R&D Personnel Information
Product Development Control Procedures and the Software Lifecycle Procedure, and comprehensively standardized the processes of
new product development and innovative R&D in accordance with the New Technology Development Process and New Project Devel-
?%
opment Process, thereby controlling design quality and delivery timelines at the source.
??? persons
??% ＜?%
Total R&D Team Members
Guided by market demand, the Company's R&D activities are overseen by the General Manager as the highest decision-maker and
Proportion of ??%
administrator, who coordinates overall R&D management. The IDM R&D Center and the Robotics R&D Center serve as core R&D
??.?? %
By Age
departments, undertaking technological development and product innovation in their respective ?elds; the Intellectual Property Total Employees
??%
Department operates as an independent functional support unit, providing professional support for the protection of R&D achieve-
ments and compliant operations. In addition, the Company has established a uni?ed database encompassing the latest global prod-
ucts and designs, providing precise guidance for new product R&D directions. Under ?? (exclusive) years old
?%
??% ?? (inclusive) to ?? (exclusive) years old
R&D Organizational Structure Diagram ?? (inclusive) to ?? (exclusive) years old
?? (inclusive) to ?? (exclusive) years old
??% ?? years old or above
By Academic
Solex Quali?cation
??%
General Manager ??%
Bachelor’s Degree
College
High school or below By Gender
IDM R&D Center Intellectual Property Department Robotics R&D Center Master’s Degree or Above ??%
Organizational Male
Intelligent Kitchen and Healthcare Software and Hardware
AIoT R&D Center Shared Module R&D
Bathroom R&D Hardware R&D Systems R&D Product R&D Female
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Strategy
Type of Risk/ Description of Risk/ Probability of Impact Impact Value Chain Priority Potential
Response Measures
Opportunity Opportunity Occurrence Magnitude Timeframe Links of Impact Ranking Financial Impact
Newly developed products or technologies may fail to At the project initiation stage for new product develop-
meet market demand or industry trends due to ment, customer requirements are repeatedly validated,
Technology Increased
directional deviations, and R&D samples may not Low Medium Short to medium term Operations Medium and submission of both market and technical feasibility
R&D risk operating costs
satisfy customer requirements, resulting in wasted analyses is mandated to ensure that R&D projects are fully
R&D resources substantiated in both commercial and technical terms
Proactively conduct research and analysis on macro
New businesses face multiple challenges, including markets, competitive dynamics, and industry policies;
Market and rapid changes in market demand, the in?ux of strong continuously monitor demand changes and trend move-
Operations, Increased
Competition new competitors, and imitation of innovative Medium High Medium and long-term High ments; and actively integrate into the industry ecosystem
downstream operating costs
Risks products, which may lead to business growth falling to obtain critical information and resources, thereby
short of expectations supporting ?exible business adjustments and risk
response
Growing market demand for service robots and core Focus on breakthroughs in core technologies and collabo-
Opportunities
components provides a pathway for technological Operations, rate with leading industry companies to jointly advance
in the Robotics High High Medium and long-term High Revenue Growth
upgrading and market expansion of the Company's downstream product innovation and industrialization in key compo-
Industry
intelligent health hardware business nents and speci?c application scenarios
Integrate domestic and international innovation resourc-
Global upgrading of health consumption and rapid
Market es to achieve technological convergence and product
technological iteration expand the market space for
expansion Medium High Medium and long-term Downstream High Revenue Growth upgrading, enhance the core competitiveness of products
intelligent health hardware, providing growth momen-
opportunities and services, further strengthen global competitiveness,
tum for the Company's export business
and explore high-value market regions
The Company has successfully developed innovative Systematically assess the current carbon emission status
Low-Carbon low-carbon processes that directly reduce carbon of existing processes, accurately identify key emission
Technology emissions and carbon costs in production, aligning High Medium Mid-term Downstream High Revenue Growth reduction processes, introduce advanced low-carbon
Opportunities with the "dual carbon" policy trend while conferring technologies, and conduct small-scale pilot validations to
green competitive advantages to products lay the foundation for large-scale application
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Impact, Risk and Opportunity Management Metrics and Targets
During the advancement of innovative R&D, the Company The Company is anchored in intelligent, health-oriented, and green development directions, establishing R&D and innovation objec-
proactively conducts forward-looking risk assessment and tives with a forward-looking perspective on market demand and industry trends, continuously increasing R&D investment and
opportunity identi?cation, relying on the Risk and Opportunity strengthening independent innovation in core technologies.
Identification and Evaluation Form to carry out identi?cation and In the robotics business, the Company focuses on core technological breakthroughs in collaborative organizational systems for logis-
evaluation at each project stage, e?ectively managing uncer- tics service robots and medical/elderly care service robots. It aims to make advancements in key technologies such as scene percep-
tainties in the R&D process, ensuring the smooth progression of tion, autonomous mobility, multi-robot collaboration, and human-machine interaction. The Company continuously optimizes
R&D projects, and supporting steady innovation and continuous scenario-based solutions for the ToB markets, including security, cleaning, logistics and delivery, reception and guided tours, and
breakthroughs in a dynamic competitive environment. customer service, as well as for the wellness and elderly care market, including mobility assistance, and nursing and rehabilitation.
This ongoing e?ort is dedicated to enhancing the stability, adaptability, and intelligence level of the robotic systems.
In the healthcare software and hardware business, the Company concentrates on sleep health, skin and hair health, oral health, and
R&D Innovation Risk and Opportunity Management Process beverage health categories, advancing technological R&D and product iteration, actively deploying large models for smart health
home applications, and constructing an intelligent and diversi?ed ecosystem of health software and hardware; during the Reporting
At each stage of new technology and new
Risk Period, the Company successfully obtained MDSAP international medical device quality system certi?cation from ?ve countries and
Identi?cation product development, potential risk factors are
proactively and comprehensively identi?ed, continued to improve its ISO????? medical device quality management system, thereby laying a solid compliance foundation for the
with regular project reviews conducted to global expansion of health products.
ensure no signi?cant omissions.
In the intelligent kitchen and bathroom business, the Company focuses on innovation in intelligent, health-oriented, and green prod-
For identi?ed risks, comprehensive assessments
ucts, promoting iterative upgrades of water-saving showers, electronic shower systems, intelligent toilets, and other products, and
Risk
Assessment are conducted based on likelihood of occur- strengthening core capabilities in water-saving technologies, intelligent sensing, and multi-point precise control.
rence and degree of impact, thereby determin- Meanwhile, the Company deepens the sharing and reuse of AIoT and large AI model technologies across business segments, provid-
ing risk levels and response priorities.
ing strong support for multi-category and multi-scenario collaborative expansion, steadily promoting the commercialization of R&D
Based on risk levels, corresponding preventive achievements, and e?ectively unlocking the value of technological innovation. During the Reporting Period, the number of patent
Risk
Management and responsive measures are formulated and applications increased steadily, and the patent commercialization rate remained at a high level.
implemented to e?ectively control risks and
mitigate their actual impact on projects.
Key Performance
??,???.?? (in RMB ??,???),
Risk Continuous tracking and monitoring of risk
tracking response measures are carried out, with dynam- During the Reporting Period, the Company's R&D investment:
percentage of R&D investment in main operating income: ?.??%.
ic updates to risk status and management
strategies to ensure e?ective operation of the
risk management process.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Innovation-driven Measures Construction of Innovation Platform
Incentives for Innovative R&D The Company has established comprehensive R&D and innova-
tion platforms at multiple levels and has obtained corresponding
authoritative quali?cations and recognitions. At the national
level, the Company has been recognized as a National Enterprise
To stimulate technological innovation vitality and encourage
Technology Center, a National Industrial Design Center, and a
employee invention and creation, the Company has formulated
National Intellectual Property Demonstration Enterprise; at the
documents such as the R&D Incentive System and the Measures
provincial and ministerial levels, it also holds important certi?ca-
for Rewarding Scientific Research Achievements. For di?erent
tions such as Engineering Technology Center, Enterprise Technol-
types of rewards, achievements are evaluated and graded based
ogy Center, and Industrial Design Center. In addition, the Compa-
on dimensions such as innovativeness and degree of di?culty,
ny operates a nationally CNAS-accredited testing laboratory and
with reward coe?cients determined accordingly, thereby e?ec-
a postdoctoral research workstation. These platforms collectively
tively mobilizing employees' enthusiasm for technological
form comprehensive support across the entire innovation
innovation through substantive incentives.
process, continuously consolidating the Company's technologi-
Patent reward cal leadership and innovation advantages within the industry.
Key Performance
Project reward
As of the end of the Reporting Period,
?
Proposal reward
Reward types entities of the Company and its subsidiaries had
Technological innovation and
been recognized as High and New Technology Enterpris-
transformation reward
es;
?
Intellectual property
implementation reward
specialized and sophisticated SME has also been
Scienti?c research achievement
cultivated, all of which have received relevant munici-
transformation reward
pal-level or higher recognitions.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Participation in Standard Development Presentation of Innovation Achievements
Technology-Enabled Health Products
The Company deeply participates in the formulation of national and industry standards, particularly leading the development of
multiple key standards in the kitchen and bathroom sector. Leveraging profound technological accumulation, the Company has Solex deeply understands users' core needs, with intelligent,
successfully translated practical experience into high-standard industry norms. Meanwhile, as an important industry participant, health-oriented, and green development as its core R&D direc-
the Company actively engages in industry exchange activities, consolidating collective industry wisdom and jointly leading tech- tion. Adhering to collaborative innovation across the industrial
nological upgrades and quality advancement within the sector. The two national standards in which the Company participated, chain and focusing on product quality, the Company breaks
namely GB/T ?????—???? General Technical Requirements for Kitchen and Sanitary Ware Fittings and GB/T ?????—???? Quality through the limitations of traditional products that merely meet
Grading of Consumer Products—Kitchen and Sanitary Ware Fittings, have been o?cially implemented. basic living needs, drives product upgrades through innovation,
and is committed to creating healthy, environmentally friendly,
Key Performance and energy-e?cient lifestyle experiences for consumers. During
the Reporting Period, the Company received customer innova-
tion awards, and the Aurora Photocatalytic Toothbrush and
As of the end of the Reporting Period,
?? standards,
Nimble Side-Spray Lift Rod won the ???? German iF Design
the Company had participated in the formulation of Award.
including ?? national standards, ?? industry standards, ? group standards, and ? local standards.
Among them, ? industry standards compiled by Solex during the Reporting Period remain under revision.
Case Study: The Seventh Member Representative Congress of the China National Hardware Association
In December ????, the Company attended the Seventh Member Representative Congress of the China Nation-
al Hardware Association. During the conference, Company representatives listened to reports and speeches
on topics including industry development trends, technological innovation, and green transformation. In
recognition of its contributions and in?uence in relevant ?elds, the Company was elected as a Vice Chairman
Unit of the Seventh Council at the conference. Through participation in this signi?cant industry event, the
At the Delta ???? Supplier Conference, At the Blanco ???? Supplier Confer-
Company further grasped policy orientations and cutting-edge developments, strengthened exchanges with
the Company received ence, the Company received
industry partners, and created favorable conditions for promoting supply chain collaborative innovation and the "New Product Development the "Innovation Award"
sustainable development practices. Innovation Award"
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
been successfully applied to multiple products, including intelli-
Case Study: Adaptive Water Spray
gent water leakage monitors, intelligent showers, and visual
This adaptive water spray product adopts advanced water-saving technology to ensure that, under varying water ice-point hair removal devices.
pressure environments, the output ?ow remains precisely and stably within a preset water-saving range. It not
only meets China's highest Level ? water e?ciency standard, but its water impact force and spray coverage also
comply with international WaterSense certi?cation standards. The core spray technology achieves dynamic adap- Case Study: Intelligent Health Shower—Intelligent
tation to water pressure: Under low pressure, the spray area and water output are small while maintaining strong Showerhead
impact; under high pressure, the spray area increases and the impact softens, e?ectively addressing the common The intelligent showerhead under the Intelligent Health Shower
issues of insu?cient impact in low-pressure regions and excessive impact in high-pressure regions, thereby deliv- UC category is equipped with millimeter-wave radar to monitor
ering a stable and superior shower experience across diverse environments. human position and movement status. Relying on multimodal
perception technology, it can detect in real time whether the
human body is within an e?ective area; combined with
gyroscope data, the system intelligently determines whether the
Case Study: Aurora Photocatalytic Toothbrush
user has left the shower area and automatically adjusts water
The Aurora Photocatalytic Toothbrush is a new product developed by the Company to enhance oral health. The ?ow to achieve water-saving e?ects. At the same time, leverag-
product embeds photocatalytic particles within the bristles, which, under strong ultraviolet light catalysis, gener- ing few-shot learning technology, the system requires only a
ate free radicals that disrupt bacterial cell structures to achieve deep sterilization, e?ectively reducing the small amount of labeled data to accurately recognize user
incidence of oral diseases. Its breakthrough photocatalytic technology overturns traditional ultrasonic and behavior, further optimizing the responsiveness and e?ciency
mechanical vibration cleaning modes, constructing an innovative tooth cleaning and protection system that of water ?ow adjustment. In addition, lightweight optimization
ensures e?ective cleaning while providing users with an e?cient and comfortable brushing experience, thereby technologies are applied at the technical end to compress and
genuinely enhancing the quality and satisfaction of oral care. ?ne-tune models, ensuring that devices can achieve e?cient
and sustained operation under low-power conditions.
Digital Core Technologies
The Company closely aligns with digital application deployment to advance core technology R&D, deeply cultivating key multimodal
algorithm technologies for home health, and is committed to providing comprehensive solutions for health monitoring and manage-
ment in household environments. The technological core encompasses three dimensions, multimodal perception, few-shot learning,
and lightweight optimization, which synergistically construct an e?cient, intelligent, and cost-e?ective AIoT health solution: Multi-
modal perception ensures comprehensive and integrated data sources; few-shot learning enables precise prediction under condi-
tions of limited labeled data; and lightweight optimization guarantees low power consumption and e?cient operation of algorithms
on terminal devices, thereby transforming cutting-edge algorithms into stable and reliable product experiences. This technology has
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Intellectual Property Protection
been formulated to enhance dynamic monitoring of patent risks; during the advancement of R&D projects, intellectual property regis-
To standardize the Company's patent management, documents tration, application, and ?ling are carried out concurrently. At the same time, through departmental collaboration, engagement of
such as the Patent Management System and the Intellectual external experts, and organization of intellectual property training sessions, the Company systematically advances intellectual prop-
Property Archives Management System have been formulated erty due diligence and awareness enhancement, continuously strengthening full-process intellectual property management capabili-
and implemented, with the Intellectual Property Center assum- ties.
ing overall responsibility for the daily management of patents,
Key Performance
trademarks, and other intellectual property rights. Meanwhile,
the Company has established annual patent performance
assessment and evaluation indicators, incorporating them into During the Reporting Period,
departmental and responsible persons' performance appraisals
the Company added ??? new patents and ?led ??? patent applications.
to strengthen overall capabilities in intellectual property
creation, utilization, protection, and management. In recogni- As of the end of the Reporting Period,
tion of its outstanding practices in the ?eld of intellectual prop-
?.?? per RMB ? million; the cumulative number of autho-
the number of valid patents per RMB one million of revenue was
rized patents reached ?,???, including ??? invention patents, ??? utility model patents,
erty, the Company has been accredited as both a "National Intel-
lectual Property Demonstration Enterprise" and a "Xiamen Intel-
and ??? design patents;
lectual Property Demonstration Enterprise."
the cumulative number of software copyrights reached ??, with ?.?? software copyrights per RMB ? million of revenue;
and the cumulative number of trademarks reached ??.
Top ??
Intellectual Property Enterprises in Xiamen ????
Science and Technology Ethics
(Ranked ?th)
The Company places strong emphasis on protecting its own The Company is always driven by innovation and grounded in responsibility. In technology R&D
intellectual property from infringement while strictly avoiding and application, we strictly comply with national laws and regulations as well as industry stan-
the risk of infringing upon the intellectual property rights of dards, and resolutely prohibit any scienti?c research activities that violate ethical norms. In the
others. A patent information database has been established and future, the Company will continue to optimize its internal management mechanisms, adhere to a
the Operational Guidelines for External Patent Databases have Intellectual Property Training sustainable innovation path, and is committed to promoting the healthy and orderly development
of the industry.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Product and Service Safety and Quality
Governance
The Company adheres to the policy of "Customer-Centric, Continuous Improvement; Technology
Innovation, Quality Primacy," and has formulated systems such as the Incoming Material Sampling
Management Specifications, the Inspection and Test Control Procedures, and the Production Man-
agement Control Procedures. Each business division is equipped with an independent quality man-
agement organization responsible for quality control throughout the entire product lifecycle. As of
the end of the Reporting Period, Solex, Zhangzhou Solex, Solex Vietnam, and Bestter Company had
all obtained quality management system certi?cations.
Quality Management System Certi?cation Certi?cate (Solex as an Example)
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Strategy
Type of Risk/ Description of Risk/ Probability of Impact Impact Value Chain Priority Potential
Response Measures
Opportunity Opportunity Occurrence Magnitude Timeframe Links of Impact Ranking Financial Impact
Unreasonable planning or inaccurate capacity assess- Based on actual production capacity and product charac-
Production
ment may result in failure to complete production Operations, Increased teristics, production plans are scienti?cally formulated;
Planning and Medium High Mid-term Medium
tasks on time and delayed product delivery, severely downstream operating costs material control personnel are arranged to follow up on
Delivery Risks
a?ecting the Company's image the implementation of production plans
Based on actual production capacity and product
Strict incoming material sampling inspection plans are
Production characteristics, production plans are scienti?cally
formulated and implemented, with designated areas for
Process and formulated; material control personnel are arranged to Operations, Increased
Low Medium Long-term Medium inspection; identi?cation, isolation, and disposal process-
Quality follow up on the implementation of production plans. downstream operating costs
es for non-conforming products are clari?ed, and
Control Risks This may cause batch quality defects, customer
deadlines for corrective action closure are established
complaints, and brand reputation damage
The base releases capacity in stages driven by orders,
?exibly reallocates orders among domestic and overseas
Production ramp-up at the Vietnam base may fall short
Capacity and bases; establishes an omni-channel inventory sharing
of expectations, and insu?cient coordination between Decreased
Inventory Low Medium Short-term Operations Medium system, sets turnover warning thresholds, optimizes
new and existing capacities may lead to inventory operating income
Risks inventory through promotions and reallocations; and
backlog or delayed order delivery
regularly clears obsolete inventory to reduce capital
occupation
In response to global environmental trends, the
Increase R&D investment in water-saving and environ-
Green Product Company develops and uses recyclable materials and
Operations, Augmented mental protection technologies, actively apply for green
Innovation creates low-water-consumption, long-life water-saving Medium Medium Long-term High
downstream operating income product certi?cations, and explore environmentally
Opportunities intelligent sanitary products to meet the upgraded
friendly materials and sustainable product design
market demand for sustainable consumer goods
Intelligent By promoting intelligent upgrades of production
Reduced Establish a digital quality control platform and optimize
Manufacturing processes, operational e?ciency and product quality Medium High Mid-term Operations Medium
operating costs the entire production process
Opportunities stability are enhanced
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Key Performance
Impact, Risk and Opportunity Management Metrics and Targets
During the Reporting Period,
?;
The Company conducts its operations in accordance with the The Company places great importance on the dynamic manage-
Number of product recalls:
Risk and Opportunity Control Procedures and the Risk Manage- ment of quality objectives. Each subsidiary and business
ment Control Procedures, clearly de?ning speci?c operational division formulates and implements annual quality objectives in Product percent of pass: ??.??%;
??;
requirements for risk avoidance, mitigation, and acceptance. In accordance with speci?c business realities, ensuring that quality
this process, the Quality Department is responsible for organiz- requirements are fully integrated into all aspects of daily opera- Number of annual internal quality audits:
ing the identi?cation and evaluation of internal and external tions, thereby continuously enhancing overall quality perfor-
Number of times third-party agencies were engaged for
environmental factors, leading the formulation of response
??.
mance.
plans, and supervising their implementation. sampling:
Risk and Opportunity Management Process Product and Service Quality Whole-life-cycle Management of Products
Objectives in ???? Achievvement
To continuously strengthen quality control, the Company has
Risk and An assessment team is established to identify
established systems such as the Incoming Material Inspection
Opportunity and analyze risks and opportunities and compile Monthly return loss rate ≤ ?.??% Achieved
Planning assessment and analysis forms. and Testing Control Procedures and the Process Inspection and
Customer complaint handling Testing Control Procedures, standardizing key stages from raw
Achieved
timeliness rate: ???% materials to ?nished products to ensure stable and controlled
Risk and Risk coe?cients are calculated based on risk product quality throughout the process. Meanwhile, the Compa-
severity and frequency of occurrence. When the FOC ?nished product batch
Opportunity Achieved ny attaches great importance to the management and mainte-
Assessment coe?cient is excessively high, avoidance or acceptance rate ≥ ??.?%
mitigation measures must be adopted to reduce nance of production equipment, formulating annual mainte-
potential harm.
Customer ?nished product batch nance plans and re?ned servicing schemes, and conducting
Achieved regular professional inspections and maintenance to ensure
acceptance rate ≥ ??.?%
Response to Corresponding measures are taken based on
assessment results to reduce or eliminate risks.
e?cient and stable equipment operation and orderly produc-
Risk and
Opportunity tion processes. In addition, to strictly control ?nished product
quality, the Company regularly conducts relevant quality testing
Risk and The Quality Department organizes at least one on products and issues reports. Multiple products, including
Opportunity system review annually to verify e?ectiveness shower faucets, toilet seats, and intelligent toilets, are tested in
and generate a risk assessment report.
Review strict accordance with authoritative standards to comprehen-
sively ensure stable and reliable product quality.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Product Recall Management
The Company attaches great importance to consumer safety and rights and has established systems such as the Product Recall Work Instruction
and the Product Recall Management System to ensure standardized and fully traceable product recall processes. For medical device products
exported to the United States, the Company has additionally formulated the Medical Device Recall Control Procedure to strengthen post-market
safety supervision, ensure product traceability, and continuously enhance product quality assurance capabilities.
Product Recall Management Process
Quality Inspection Report Sales personnel should clearly and speci?cally ?ll out the Product Recall Application Form, including customer names, product names,
quantities, and the reason for recall;
Full Lifecycle Management Process The sales manager organizes relevant departments and personnel to analyze the cause of the product recall for products without
quality issues and provide handling suggestions;
Incoming Material Inspection
The Quality Control Department analyzes the defective products for their root cause, writes out handling suggestions, executes the
Inspectors verify incoming materials and conduct sampling inspec-
Nonconforming Product Control Procedure for non-conforming products, and ?lls out the Corrective and Preventive Action Report;
tions according to the quality inspection plan. If the materials
provided contain hazardous substances, it is required to ensure If the recalled product quantity is too large, the general manager should convene a management review meeting.
that the received materials are accompanied by the supplier's
Environmental Declaration and have undergone third-party Digital Management
sampling and testing prior to inspection; warehouse personnel
The Company actively embraces digital technologies and has established digital management systems such as the OA quality control module
shall process materials within ?? hours, and in case of rejection,
and rework process system to achieve real-time monitoring and data-based management of production progress and product quality. This not
initiate a return order via the OA system to notify the supplier for
only signi?cantly improves the precision and responsiveness of quality control but also provides reliable data support for process optimization,
return.
e?ectively enabling the Company to achieve dual advancement in e?ciency improvement and quality assurance.
Process Inspection
After inspectors con?rm ?rst article inspection quali?cation,
approval is reported to the team leader; operators must conduct
Quality Culture Management
self-inspection and mutual inspection, identify and isolate defec-
tive products, and patrol inspections focus on key and frequently To consolidate the foundation of product quality, the Compa-
abnormal processes. ny regularly organizes quality training and skills competitions
each year, reinforcing quality awareness among all employ-
Final Inspection
ees and honing professional practical capabilities through
Inspectors conduct sampling according to standards and record
diverse approaches, jointly fostering a work atmosphere that QC Seven Tools Training
JC/T???-????
inspection results; if requirements are not met, a quality abnor-
Testing Standard Training
mality handling form is issued and rework is arranged. values quality and pursues excellence.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Key Performance
Case Study: Customer Complaint Handling and
During the Reporting Period, Systematic Improvement Case
?,???;Total hours of quality training: ?,???.??;
Number of participants in quality training: On November ?, ????, a customer
Number of quality training sessions: ???.
reported multiple pull rod fractures
in the drainage valve model
??T????-???-??? purchased. The
Company immediately established
Customer service guarantee
a cross-departmental team for
Management of Customer Complaint investigation and con?rmed that the root cause was the
mixing of trial mold adjustment parts into normal production
To improve the customer service governance system, the Company has formulated normative documents such as the Feedback and materials; such parts su?ered from material shortage and
Complaint Control Procedures and the Customer Complaint Handling Work Instructions, promoting cross-functional collaboration insu?cient strength due to unstable processes; the out?ow
among relevant departments to jointly ensure alignment between product quality and customer needs and comprehensively cause was that pre-shipment full inspection failed to detect
respond to various customer demands. On this basis, the Company has also formulated the External Quality Issue Management Proce- the fracture phenomenon. The Company mandatorily isolat-
dures to regulate the full-process handling of external quality issues such as shipment complaints, inspection complaints, and returns. ed and scrapped all mold adjustment parts and revised the
Upon con?rmation of a customer complaint, the corresponding quality engineer from the CQS section of the Quality Assurance Parts Inspection Work Instruction to prevent recurrence of
Department is responsible for receiving, managing, and tracking returned products, implementing relevant corrective and preventive similar issues at the institutional and procedural levels.
measures, and at the beginning of each month categorizing and summarizing customer complaints by product category, problem
classi?cation, and frequency, thereby promoting e?ective improvement measures by relevant departments to reduce repeat com-
plaint rates and enhance customer satisfaction and product reliability.
Key Performance
Business Information Receipt Preliminary Investigation by Quality Assurance Responsibility Determination by Quality Assurance
During the Reporting Period,
Implementation of Improvement Plan by Responsible Unit Analysis and Improvement by Responsible Unit
Customer complaint rate:?.??%;
Veri?cation of Implementation E?ectiveness by Quality Assurance Standardization Case Closure Filing/Customer Reply Customer complaint resolution rate: ???%
Customer Complaint Response Process (Simpli?ed)
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Customer Service Training Responsible Marketing
The Company attaches great importance to the professional The Company strictly complies with the Advertising Law of the People's Republic of China and the Anti-Unfair Competition Law
capability development of its customer service team and of the People's Republic of China, and adheres to principles of integrity and transparency in marketing. On this basis, all product
regards high-quality service as the key to earning customer promotional materials are subject to strict review to ensure authenticity and accuracy, ful?lling commitments to responsible
trust and consolidating market position. To this end, the marketing and eliminating any form of false or misleading information; regular professional training is organized for sales
Company continuously conducts specialized service training personnel with emphasis on compliance marketing standards, enhancing the sales team's compliance capabilities; in addition,
to enhance the professional competence and practical capa- product performance and proper usage education is provided to customers to safeguard their right to information and reason-
bilities of service personnel. Through systematic training, the able use, thereby building an honest and compliant marketing ecosystem.
team is able to more accurately understand customer needs
and respond to customer requests, thereby continuously
optimizing service experience and laying a solid foundation
for long-term and stable customer relationships.
Customer Satisfaction
To understand customers' current and future expectations
regarding service quality, the Company has formulated the
Customer Satisfaction Survey Procedure. The GCM Depart-
ment coordinates the annual satisfaction survey, systemati-
cally collecting customer feedback on key dimensions such as
product quality, service experience, and delivery timeliness
through questionnaires, customer forums, and market visits,
thereby further improving product quality and enhancing Sales Training
customer satisfaction.
Key Performance Key Performance
During the Reporting Period,
During the Reporting Period,
??.??%
Total Number of Violations of Regulations and/or Voluntary Codes Concerning Marketing Communication (including
?.
Customer satisfaction:
Advertising, Promotion, and Sponsorship):
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Information Security and At the same time, the Company has established a systematic
Privacy Protection information security inspection and evaluation mechanism:
conducting security requirement analysis and review during the
Information Security Management information system design stage to ensure compliance with
To enhance information security and privacy management, the security principles; completing comprehensive security inspec-
Company follows the fundamental policy of "Active prevention, tions before system launch to eliminate vulnerabilities at the
total employee involvement, ensuring the security of company source; and implementing regular security scans and assess-
and customer data," and has formulated systems such as the ments during operation and maintenance to identify and
Information Security and Privacy Management Manual and the
Information Security Privacy Management mitigate various information security risks. In addition, during
Management System Certi?cate System Certi?cate
Information Asset Management Rules. An Information Security the Reporting Period, the Company completed ? information
Management Committee has been established to coordinate security audit activities through a combination of internal audits
overall work, and each department is required to designate no Information Security Risk Management and external third-party audits, including ? internal audit and ?
more than two information security specialists to implement external audit.
Risk Assessment
management responsibilities at di?erent levels. Focusing on Emergency Response Plans
production and operation, customer service, and daily manage- The Company has formulated the Information Security and
To address information security risks and safeguard the Compa-
ment scenarios, the Company strengthens risk control to e?ec- Privacy Risk Assessment Procedures, focusing on identifying
ny's information security management level, the Company has
tively prevent risks such as information system failures, data various risks to important information assets in terms of con?-
formulated emergency response systems such as the Informa-
loss, and leakage of sensitive information and privacy, avoiding dentiality, integrity, and availability. After each department
tion Security Emergency Response Plan and the Information
business interruptions and security incidents, and e?ectively completes the Information Asset and Risk Assessment Form and
Security Continuity Management Plan, clearly de?ning grading
safeguarding the security and integrity of operational data. the Privacy Risk Assessment Form, the Information Security Man-
standards for information security incidents. Meanwhile,
During the Reporting Period, the Company achieved signi?cant agement Committee consolidates, reviews, con?rms, and
through organizing information security emergency drills that
results in the construction of its information security manage- archives them, and prepares the Information Security Risk
simulate sudden scenarios such as data breaches and cyberat-
ment system, successfully obtaining ISO ????? Information Assessment Report based on assessment results. The Company
tacks, the Company tests the feasibility and operability of emer-
Security Management System Certi?cation and ISO ????? Priva- updates information assets and risk assessments annually,
gency plans, enhancing rapid response, e?cient handling, and
cy Information Management System Certi?cation. Based on a investigates potential new risks, evaluates the e?ectiveness of
business continuity assurance capabilities in dealing with infor-
comprehensive control system, no data security or customer existing control measures, and supplements new control mea-
mation security incidents, and minimizing losses and impacts
information leakage incidents occurred during the Reporting sures as needed to achieve dynamic identi?cation of informa-
caused by such incidents.
Period. tion security and privacy risks.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Data protection
Case Study: Information Security Drill
During the Reporting Period, the Company organized a special tabletop drill training for SAP system disaster recovery. Through simula- Regular data backups and availability veri?cation are conducted for
tion of real failure scenarios, relevant teams jointly reviewed and con?rmed the disaster recovery standard operating procedures (SOP), critical business systems; mechanisms for malware protection and
personnel division of responsibilities, and step-by-step accountability, and evaluated and con?rmed the current Recovery Time Objec- virus elimination programs are established.
tive (RTO) and Recovery Point Objective (RPO); this drill training e?ectively enhanced the coordination and process execution capabili-
ties of the operation and system teams under emergency scenarios. Security awareness training
A personnel security awareness education and training system is
Information Security Practices established and implemented, with regular training activities
To comprehensively safeguard the data security of the Company and its stakeholders and prevent unauthorized access to infor- conducted to enhance the organization's overall information
mation, the Company has established a multi-layered and comprehensive information security protection system aimed at fully security awareness.
enhancing information security management capabilities.
Vulnerability scanning and penetration testing
Information Security Measures Implemented
Internal vulnerability scanning systems are utilized for routine
Boundary ?rewalls, core switches, Web application ?rewalls, and internet behavior management systems are deployed; network access inspections; periodic penetration testing is conducted in collabora-
authentication is implemented; security antivirus software is activated; security audit and logging systems are installed; and data protection tion with external security service providers.
systems are established.
Facial recognition access control system
Encrypted communication
Facial recognition access control systems are deployed in critical
IPSEC VPN and SSL VPN networks are self-established between the headquarters campus and various branches to safeguard internal commu- security areas such as archives rooms to strengthen physical access
nication security. control.
Secure connections
All external systems use the SSL protocol to establish encrypted connections, ensuring secure data transmission.
Identity access management
Identity access authorization and periodic audit procedures are implemented; a strict physical access management system for external person-
nel is established to strictly control access to restricted areas.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Key Performance
Case Study: Information Security Training
On August ?, ????, the Company organized a specialized
training session on information security and risk preven- During the Reporting Period,
tion awareness for relevant employees, e?ectively
The number of relevant data security training sessions conducted: ??;
The total hours of training related to data security protection: ???;
enhancing their awareness and practical capabilities in
information security protection through a combination of
The number of participants in training: ???;
lectures and assessments.
The average training duration per capita for data security protection: ? hours/person;
The coverage rate of data security protection training: ???%;
Total investment in data security: ???(in RMB ??,???).
Customer Privacy Protection
The Company places great importance on customer privacy protection and has formulated the Administrative Provisions on the Security Management of Personal Information Processing and the Data
Subject Rights Response Procedures, thereby providing institutional safeguards for customer privacy reporting. Prior to collecting customers' personal information, the Company provides clear and explic-
it noti?cations to customers; it strictly limits the scope and scale of privacy data collection, implements secondary authorization management for information use related to extended functions, and
safeguards customers' lawful rights to cancel accounts and withdraw from services, thereby comprehensively regulating the entire process of personal information handling.
Key Performance
Number of incidents of information security and privacy protection violations during the Reporting Period: ?.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Supplier Management
Governance
The Company is committed to building a responsible supply chain and has established the Business Partner Development and Management System. The Supply Chain Center of each business
division is responsible for supplier development, evaluation, periodic review, and record maintenance, and reviews suppliers' anti-terrorism security assessment reports to ensure that supplier
partners meet standards in quality, compliance, and sustainability, thereby safeguarding supplier robustness and sustainability.
Strategy
Type of Risk/ Description of Risk/ Probability of Impact Impact Value Chain Priority Potential
Response Measures
Opportunity Opportunity Occurrence Magnitude Timeframe Links of Impact Ranking Financial Impact
For raw materials with relatively high consumption,
Policy adjustments may lead to risks such as restrict- domestically produced model alternatives are veri?ed as
Policy and Increased
ed international trade routes and supply chain Low Medium Mid-term Operations Medium backups and introduced into production in small batches
Legal Risks operating costs
disruptions to address potential uncertainties arising from future
policy changes
Suppliers' outdated technology and insu?cient The Quality Department's SQE provides guidance to
Market Increased
quality control may impact product delivery and Medium High Short Operations High suppliers on standards improvement and regularly audits
Risks operating costs
increase the risk of product recalls suppliers' on-site processing procedures
Through the Company's OA system, full-process online
Emerging technologies such as the Internet of Things, visual management is realized from order issuance, label
Technical big data, and arti?cial intelligence provide enterpris- Reduced generation, and delivery note issuance to goods receipt
High High Long-term Operations High
opportunities es with opportunities for digital transformation of the operating costs acknowledgment, queue-based inspection, and
supply chain warehousing inspection, thereby enhancing the e?cien-
cy and accuracy of information ?ow
E?ective practices in supply chain risk management In public documents such as ESG reports, the Company
Reputation can ensure operational continuity and stable Medium and Augmented proactively discloses speci?c actions and achievements
Medium Low Downstream Low
Opportunities delivery, enhancing the Company's reliability and long-term operating income in strengthening supply chain resilience, conveying
reputation in the eyes of customers and investors positive management signals to stakeholders
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Impact, Risk and Opportunity Management Full Lifecycle Management of Suppliers
Solex is aware that supply chain stability and sustainability are vital to business operations. To this end, the Company integrates The Company has established process management covering
ESG principles into supply chain management by establishing and continuously improving corresponding management supplier screening, review, assessment, and exit, standard-
processes to control potential risks and seize development opportunities, thereby continuously enhancing supply chain resil- ized business partner evaluation procedures, promoted
ience and providing critical support for the Company's long-term stability and sustainable development. supplier capability enhancement and deepened cooperation,
In ????, the Company continued to strengthen supply chain security and compliance management by conducting regular and built mutually trusting, win-win, long-term, and stable
inspections of business partners' supply chain security systems and organizing suppliers to carry out C-TPAT anti-terrorism supplier relationships.
self-inspections and Customs AEO trade security investigations, systematically identifying and addressing potential risks and
Selection of Suppliers
striving to collaboratively build a secure supply chain ecosystem with partners.
Procurement development personnel collect and assess information
and credit status of potential suppliers through multiple channels,
Metrics and Targets screen target suppliers, proactively engage with them to examine
cooperation compatibility, and ultimately conduct inquiries and cost
The Company has comprehensively extended operational management to all segments of the supply chain. In the future, it will analyses to preliminarily determine intended partners.
further promote the optimization and universal application of supplier management mechanisms, strengthen resilience and Supplier Review
responsiveness across the entire value chain, and lay a solid foundation for long-term corporate development. Through cross-departmental collaboration, on-site reviews and
comprehensive evaluations are conducted on target suppliers'
Key Performance Indicators Unit ???? capabilities in quality, technology, service, and safety. Upon approv-
Total Number of Suppliers entity ?，??? al, they are included in the quali?ed supplier directory.
East China entity ??? Supplier Assessment
South China entity ??? Quality risks are controlled through contracts and procurement
strategies; suppliers undergo regular performance evaluations and
North China entity ??
safety assessments, and their credit and operational status are
Central China entity ??
continuously tracked for dynamic management adjustments, while
Northeast China entity ? di?erentiated on-site evaluations are implemented based on materi-
entity ? al importance and supplier certi?cation levels.
Southwest China
Supplier Exit
Northwest China entity ?
? During periodic assessments and evaluations, recti?cation deadlines
Hong Kong, Macau, and Taiwan entity
are set for unquali?ed suppliers. Those who meet recti?cation
The total number of our overseas suppliers was entity ??
requirements may be retained, while those who fail to meet
Proportion of Procurement Expenditure from Local Suppliers % ?? standards will have their cooperation quali?cations revoked.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Key Performance
Case Study: Procurement Development Process Training
In December ????, the Company conducted a specialized training session on the procurement develop-
ment process for internal procurement development personnel. This training focused on details of During the Reporting Period,
quotation work, mold development cycles for various categories in project contracting, and the dimen-
sional and performance reports required for sample con?rmation, with on-site questioning used for
the signing rate of the Supplier Integrity Agreement
assessment. Following this training, all participants gained a deeper understanding and mastery of the
requirements for each stage of the procurement development process.
was ??%.
Green Supply Chain
Digitalization Construction of Supply Chain
At the supplier admission stage, the Company veri?es wheth-
er suppliers are chemical enterprises and checks whether
The Company attaches great importance to supply chain digitalization, achieving
they have formulated internal environmental policies to
full-process online and transparent management of procurement through the OA
ensure that their operations and management comply with
bidding system, which automatically assigns responsible departments based on mate-
the Company's environmental access standards. In ????, the
rial types and supports end-to-end collaboration from demand initiation to quotation OA Bidding System
subsidiary Zhangzhou Solex was successfully included in the
review. Meanwhile, in conjunction with the MES system, re?ned full-process control of
???? Provincial Green Supply Chain Management Enterprise
production scheduling is realized. The incoming material receipt queue-calling system
List issued by the Fujian Provincial Department of Industry
optimizes warehousing and logistics e?ciency, and the implementation of electronic
and Information Technology, fully demonstrating the Compa-
supplier contracts enhances collaboration e?ciency, comprehensively promoting
ny's solid achievements in collaborating with upstream and
e?cient coordination and digital operation of the supply chain. MES System Scheduling
downstream partners to build a sustainable value chain.
Supplier ESG Management
Integrity in the Supply Chain
In basic supply contracts, the Company explicitly requires all suppliers to adhere to business ethics, strictly comply with
anti-commercial bribery regulations, resolutely resist and reject any form of improper bene?t exchange, and refrain from any
conduct that may harm the Company's interests. In the event of any violation, the Company will pursue liability for breach of
Provincial Green Supply Zhangzhou Solex
Chain Management Enterprise Creation Exchange Seminar
contract in accordance with contractual provisions and reserves the right to take further legal measures.
???? Environmental, Social, and Governance (ESG) Report Empowering Industry and Creating Enduring Value ??
Responsible Supply Chain
The Company actively advances the construction of a responsible supply chain by prioritizing suppliers that have obtained
Case Study: Opening Ceremony of Solex
environmental and occupational health and safety management system certi?cations and requiring suppliers to sign environ-
Vietnam Base
mental and occupational health and safety commitment letters. At the same time, the Company conducts targeted special In October ????, the Company's Vietnam base successfully
assessments on quality management systems and employee rights protection to ensure that suppliers possess reliable quality held a grand opening ceremony and invited representatives
assurance capabilities and compliant operational standards, strictly implementing requirements to eliminate child labor and of key domestic suppliers to attend, aiming to jointly
safeguard reasonable working hours and fair compensation, thereby e?ectively protecting the legitimate rights and interests of witness the Company's strategic progress in global manu-
supply chain employees. In addition, the Company promotes comprehensive improvements among suppliers in green produc- facturing and supply chain capability development, further
tion, quality control, and contract performance capabilities through irregular ESG-dimension supplier training sessions. consolidating strategic partnerships and demonstrating a
Key Performance Indicators ?rm commitment to coordinated development and shared
Unit ????
growth.
Number of Suppliers Certi?ed under Quality Management Systems Units
???
Number of Suppliers Certi?ed under Environmental Management Systems Units
???
Number of Suppliers Certi?ed under Occupational Health and Safety Management Systems Units
???
Number of Suppliers Suspended due to Non-compliance Units
?
Equal Treatment of Small and Medium-Sized
Case Study: Supplier Quality Training
Enterprises
During the Reporting Period, the Company conducted a specialized training session for suppliers themed "Quali-
ty Appearance Improvement." The training focused on key aspects such as material appearance standards, In strict compliance with the Law of the People's Republic of
defective appearance process control, and shipment inspection, clarifying quality risks and preventive China on the Promotion of Small and Medium-sized Enterpris-
measures, enhancing suppliers' quality awareness and operational standardization, laying a foundation for es, the Regulations on Ensuring Payments to Small and Medi-
subsequent quality improvement and compliant supply, and strengthening the market competitiveness of the
um-sized Enterprises, and other laws and regulations, the
Company's products.
Company consistently upholds the principle of equal treat-
Supplier Communication ment of SMEs and makes payments in accordance with the
law and contractual agreements. As of the end of the Report-
Against the backdrop of accelerated restructuring of the global supply chain, the Company leveraged the inauguration of its
ing Period, neither the Company nor its holding subsidiaries
Vietnam base to deepen cooperation with core suppliers, e?ectively enhancing supply chain resilience and industry reputation.
had any overdue payments outstanding to SMEs, nor were
In the future, the Company will continue to deepen its supply chain strategic layout and build a more competitive global supply
there circumstances where the balance of accounts payable
network, providing strong support to address market changes.
(including notes payable) exceeded RMB ?? billion or
accounted for more than ??% of total assets.
???? Environmental, Social, and Governance (ESG) Report
Attracting Talent and
Building Unity
Our Philosophy
Solex upholds the cultural values of "Advocating science and
mutual support," consistently placing people-oriented care at
the core, attentively safeguarding employee growth and
well-being, improving rights protection, establishing develop-
ment pathways, and striving for the shared growth of employees
and the enterprise.
Our Actions
Protection of Employees’Rights and Interests
Occupational Health and Safety
SDGs
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Protection of Employees’Rights
and Interests Key Performance Indicators Unit ????
Talent Attraction and Recruitment Total Number of Employees person ?,???
Percentage of contract workers % ???
The Company regards recruitment as an important foundation
Number of Part-time Employees person ??
for building its talent pipeline and, through rigorous and stan-
Number of employees of minority nationalities person ???
dardized full-process recruitment management, reserves
Number of employees with disabilities person ??
high-quality talent for high-quality corporate development.
Number of Veteran Employees person ??
Recruitment Management Average monthly number of new employees person ???
Average monthly number of employees departed person ???
The Company strictly complies with
Average monthly employee turnover rate % ?%
the Labor Law of the People's Repub-
lic of China, the Labor Contract Law
of the People's Republic of China, and ?? years old
Under ?? Hong Kong, Overseas
(exclusive) years old Macau, and Taiwan Master’s Degree
other relevant laws and regulations, Female or above
??? Bachelor’s ??
?，??? ??? Degree
and has formulated internal policies persons
persons ?，???
? persons ?,???
persons
persons
persons
such as the General Worker Recruit- person
ment System, the Human Resources
By Gender By Age By region By Academic
Management System, and the Talent Quali?cation
?,???
Introduction Management System, clearly designating the persons ?,??? ?,??? ?,???
Male persons persons persons
Human Resources Department as the coordinating management ?? to ?? Chinese
body for recruitment, responsible for organization, coordination, (exclusive) years old Mainland Below Bachelor’s
Degree
and supervision throughout the process to ensure that recruit-
ment activities are conducted legally, compliantly, and in an The Company implements diversi?ed recruitment through multiple channels, including online recruitment platforms, o?ine job
orderly manner. In ????, the Company received the "Haicang fairs, school-enterprise cooperation, headhunting services, and internal referrals. Throughout the recruitment process, the Company
District Industrial Talent Attraction and Cultivation Contribution adheres to the principles of fairness, impartiality, and openness in objectively evaluating candidates and selecting the best, ensuring
Award." transparency in recruitment and hiring through stages such as resume collection, departmental screening, written examinations,
interviews, and employment decisions.
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Dimension Key Measures
Online Prohibition of discrimination Provide equal career development opportunities, respect diversity, and
Promotion
Sessions and bias build barrier-free facilities.
University
Employment Employment
Networks Agencies Prohibition of workplace Prohibit any form of harassment, including sexual harassment, verbal
Internal Recruitment Internal harassment harassment, and psychological harassment. The system explicitly prohibits
and External website Application
unnecessary physical contact, sexually suggestive words and behaviors,
On-site Talent
Recruitment Markets and the creation of a fearful or hostile work environment, ensuring that
security measures and other management actions do not constitute
Multi-channel Talent Recruitment Campus Recruitment
harassment of employees.
Strictly prohibit any form of forced labor, corporal punishment, threats of
Diversity, Equality and Inclusivity Prohibit forced labor.
?nancial penalties, and inhumane disciplinary measures. Unreasonable
The Company upholds the core values of diversity, equality, and inclusion, and has formulated and
restrictions on employees' normal activities, rest, or access to medical
implemented the Human Resources Management System, as well as supporting systems of its
treatment are prohibited, and the use of threats or coercive control to
subsidiaries, including the Diversity, Equality and Inclusivity (DEI) System and the Anti-Discrimina-
compel employees to work against their will is strictly forbidden, ensuring
tion, Anti-Harassment, and Anti-Abuse Management Specifications. The Company strictly prohibits
that all labor is based on voluntariness and equality.
the employment of child labor under the age of ??; in all aspects of recruitment, employment, com-
pensation and bene?ts, and promotion and development, it clearly stipulates that no di?erential
Training and development
treatment shall be imposed on employees based on gender, age, race, religion, nationality, sexual
orientation, disability status, or any other personal characteristic, striving to create a fair, equitable, The Company attaches importance to the continuous enhancement of employee capabilities and
safe, reliable, respectful, and inclusive working environment for all employees. During the Report- the accumulation and inheritance of organizational knowledge, and has formulated the Training
ing Period, the Company did not experience any incidents involving child labor, forced labor, Management System to provide guidance and normative basis for various training activities. The
discrimination, or harassment. Company's training initiatives are closely aligned with business needs. At the end of each year, the
Human Resources Center coordinates with various departments to formulate the training plan for
Dimension Key Measures
the following year based on actual business requirements, which is implemented upon approval.
Communication and Establish open communication mechanisms, provide multilingual support, The Company has established a tiered and graded training system, scienti?cally categorizing train-
Cross-cultural Management and promote mutual respect and con?ict resolution. ing structures and employee levels, and, through a combination of internal instructor cultivation
and the introduction of external professional resources, provides employees with multi-dimension-
Training and Awareness Conduct regular diversity and inclusion training and cultivate leaders with
al and phased learning support.
Enhancement diversity awareness.
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Training Platform
By Structure: Basic Courses, Skills Courses, Management CoursesBy Level:
Training The Company actively builds a digital learning
New Employee Training Courses, On-the-job Training Courses, Manage-
Category platform, providing all employees with convenient
ment Courses, Skills Courses
and ?exible online learning channels that support
knowledge updates and skill enhancement anytime
Training
Knowledge Training, Skills Training, Management Capability Training, etc. and anywhere through fragmented time utilization.
Content
Cloud Learning Platform
Training
Internal Training, External Training
Modes
The Company emphasizes the practical e?ectiveness of training and categorizes training
In-class Internal Training, Public Courses, External Assignments, Study outcomes into four progressive levels: reaction, learning, behavior, and results. The Human
Training
Modes
Visits, Multimedia/Online Video Learning, School-enterprise Cooperation, Resources Department, together with various departments, is responsible for tracking and
etc. evaluating these levels to continuously optimize training quality and empower employee
growth.During the Reporting Period, the Company conducted tiered and graded training
programs focusing on new employees, high-potential employees, and personnel in key
positions, implementing three major initiatives—"Xiaosong Camp," "High-Potential Camp,"
Training Instructors
and "Position-speci?c Skills Thematic Training"—and adopting a "theory + practice +
The Company has established an instructor team and formulated the Internal Trainer Man- review" training model. The pass rate for all three training assessments reached ???%, with
agement System, categorizing instructors into regularly selected and certi?ed instructors and overall satisfaction exceeding ??%, e?ectively promoting participants' capability enhance-
specially appointed instructors based on positions, with the Human Resources Center ment and the transformation of training outcomes.
uniformly responsible for their selection, grading, assessment, and incentives. The Company
has established rank promotion pathways, annual teaching requirements, and lecture remu-
neration incentives for instructors, and implements dynamic management through annual
evaluations to continuously enhance the professional standards and instructional vitality of
the instructor team.
High-Potential Camp Training Xiaosong Camp Training
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Key Performance Indicators Unit ????
Investment in Employee Training RMB ??,??? ??.?? Compensation and Bene?ts Management
Total Training Hours hour ??,???
Number of training sessions session ??? Compensation Management
Total Number of Persons Trained person ?,???
Total Number of Persons Trained Person-time ?,??? The Company attaches great importance to compensation management and has formulated the
Employee training coverage rate % ?? Compensation Management System in accordance with the fundamental principles of remunera-
Average training hours per employee hours/person ?.?? tion based on position, individual capability, and performance. Fully respecting the di?erentiated
characteristics of its subsidiaries, the Company grants them autonomy in compensation structure
Career Development
design and management within the overarching compensation framework, so as to accommodate
The Company has established ?ve major position categories: management, functional, profession- their unique needs in terms of geographic location, regulatory environment, and incentive focus.
al technical, marketing, and operational, and a career development framework centered on dual In addition, the Company actively implements equity incentive schemes to provide long-term
career pathways. It also advances talent pipeline system development through multi-dimensional incentives to senior and middle management as well as core personnel. As of the end of the Report-
evaluation methods such as regular talent reviews, Individual Development Plans (IDPs), and com- ing Period, a cumulative total of ??? employees had received equity incentives, collectively holding
petency and performance reporting, assessing and promoting employees based on their compre- ?.??? million shares.
hensive performance in professional knowledge, professional skills, and work achievements, there-
Refers to the base salary determined according to Annual
by establishing an open and fair promotion mechanism. Annual ?xed
the employee’s position, capabilities, etc., includ- ?xed
In addition, the Company actively advocates and supports internal job mobility, encouraging salary
ing basic salary and comprehensive post wage. salary
employees to continuously enhance their comprehensive capabilities through cross-functional
rotations, mentorship programs, and other mechanisms, thereby realizing personal value in posi- Annual
Refers to welfare allowances paid in cash, mainly including
Annual welfare total
tions best suited to their strengths. meal allowances, transportation allowances, and environment
allowance cash
allowances.
income Annual
Core total
Shift Head Section
Manager Management Annual variable Includes performance bonuses, overtime pay, special rewards, compensation
Leader Chief
Team income and annual on-the-job incentive bonuses, etc.
Such as social insurance (pension, medical, unemployment, work-related
injury, and maternity insurance), housing provident fund, annual health
Junior Intermediate Senior Senior Chief Other bene?ts
check-ups, holiday gifts, mutual aid fund, housing assistance programs,
Engineer Engineer Engineer Engineer Engineer
and other employee welfare initiatives.
Basic Compensation Structure
Career Development Dual Channel
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Key Performance Health
Annual health check-ups, gynecologic examinations, special post-speci?c
health checks, etc.
During the Reporting Period, Compassionate grants, marriage allowance, maternity allowance, and
??.??% of employees underwent regular performance and career develop-
Subsidies
high-temperature allowance
Dining Provide meal allowances or free meals
ment evaluations.
Key Performance
Employee Bene?ts
The Company strictly complies with national laws and regulations, including the Regulations on the During the Reporting Period,
National Social Security Fund and the Measures for the Implementation of Paid Annual Leave for
the Company achieved ???% coverage of social insurance,
with an average of ?.?? days of paid annual leave per employee.
Enterprise Employees, and has established a diversi?ed employee welfare and protection system.
The Company clearly stipulates core employee rights and interests such as working hours manage-
ment, leave protection, and salary subsidies in the Human Resources Management System, and
provides comprehensive support for employees' work and life through a people-oriented bene?ts
Performance Management
framework, thereby enhancing their sense of well-being.
Performance Appraisal
Bonuses Performance bonus, festival bonus, R&D bonus, etc.
To continuously enhance organizational e?ectiveness, the Company has established the Perfor-
Insurance Social insurance contributions as required by the law. mance Evaluation System and built a performance management system centered on aligning
upward with strategic implementation and downward with talent management. The Company
Accommodation Provide housing fund contributions, sta? dormitories, etc.
conducts monthly, quarterly, and annual assessments on a regular basis, and sets di?erentiated
Public holidays, special leave, leave in lieu, personal leave, sick leave, marriage assessment indicators and weightings for di?erent job categories and levels, ensuring alignment
Leave leave, maternity leave, pregnancy check leave, breastfeeding leave, paternity between evaluation criteria and job responsibilities, work nature, and strategic contribution. The
leave, bereavement leave, work-related injury leave, parental leave, etc.
results of performance appraisals are directly linked to performance bonuses, salary adjustments,
Education The Company provides opportunities for further education and training and promotion opportunities. Employees with outstanding performance are given priority in
annual excellence selections and special bene?ts applications, thereby providing strong incentives
for value creation.
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Appeals and Feedback
Key Performance
Upholding a culture of candor and transparency in performance management, the Company has
established mechanisms and channels for performance feedback, interviews, and appeals to
ensure that employees can fully express their views during the performance management process.
If an employee has objections to the assessment results or believes they have been treated unfairly,
During the Reporting Period, there were ? labor dispute cases .
they may raise the matter level by level during the assessment period or within three days of
becoming aware of the results, or directly ?le an appeal with their department head or the responsi-
ble supervisor. Where an employee considers it inconvenient to appeal through their department,
Employee Resignation Management
they may directly submit an appeal to the Human Resources Department.
The Company has clearly de?ned the resignation management process in the Human Resources
Process for Handling Employee Performance Appeals Management System, covering key procedures such as work handover, asset return, ?nancial settle-
Upon receipt of an employee performance appeal, assess its timeliness and ment, and administrative clearance. Relying on the OA system, the Company realizes full-process
decide whether to accept it online approval and progress tracking to ensure that resignation procedures are standardized,
e?cient, and traceable. For key personnel with access to con?dential information, the Company
Determine handling measures and communicate with the appealing employee
implements a declassi?cation period management mechanism. For employees who resign due to
disciplinary violations, corresponding measures are taken in accordance with relevant regulations.
The Human Resources Department reviews appraisal records and noti?es the
For employees eligible for compensation, economic compensation is paid in accordance with the
department to provide relevant materials
law.
Determine handling measures and communicate with the appealing employee
Employee Care and Communication
Democratic Management
Labor Relations Management
The Company respects employees' rights to information and participation, and continuously
Labor Dispute Management
improves the enterprise democratic management system with the Employees' Representative
To handle labor disputes in a fair and timely manner and foster harmonious labor relations, the Congress as its basic form. It has formulated the General Principles of the Labor Union and the
Company has established a Labor Dispute Mediation Committee and formulated the Organizational Employee Rights Protection System, and established the labor union as the working body of the
and Working Regulations of the Labor Dispute Mediation Committee. The Labor Dispute Mediation Employees' Congress, responsible for the execution of daily democratic management. The Compa-
Committee consists of both enterprise representatives and employee representatives, and resolves ny continues to broaden channels for democratic participation and communication by organizing
con?icts e?ectively through internal consultation, safeguarding employees' lawful rights and inter- forums and setting up employee suggestion boxes to solicit and respond to proposals, extensively
ests, preventing and reducing labor disputes, and promoting the Company's long-term stable collecting employees' opinions and suggestions on living bene?ts, human resources and labor
development. matters, production and operations, and other aspects, and providing active responses.
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
In addition, the Company conducts satisfaction surveys among Key Performance
di?erent categories of employees, covering areas such as corpo-
rate culture and bene?ts, working environment, and health and
During the Reporting Period,
safety, with all satisfaction indicators exceeding ??%. In response
to certain issues identi?ed in the surveys, the Company has initiat- the Company assisted ?? employees in need,
with a total amount of ?.?? (in RMB ??,???)provided
ed the formulation of corresponding improvement plans to
continuously enhance employee experience and organizational
e?ectiveness. Employee Congress in support.
Key Performance Indicators Unit ????
Protection of Women's Rights and Interests
Number of employees' congress meetings held session ?
Number of proposals reviewed and adopted by the Employees' Congress proposal ?? The Company continues to deepen the protection of women's
Number of projects reviewed and approved by the trade union proposal ?? rights and interests, ensuring equal rights and development
Proportion of trade union members to in-service employees % ??.?? opportunities for female employees throughout the entire
Employee Satisfaction % ??.?? process of recruitment, compensation and bene?ts, training
and development, and career advancement. In recruitment, the
Company stipulates that positions suitable for women shall not
Employee Assistance
refuse employment on the basis of gender. Within the compen-
sation system, the principle of equal pay for equal work is strictly
To e?ectively safeguard employees' rights and assist them in coping with ?nancial di?culties
implemented to ensure that female employees receive equal
caused by sudden illness or accidents, the Company has established an employee mutual aid
remuneration for work of equal value.
foundation and formulated the Solex Employee Mutual Aid Fund Management Measures. The
Foundation's funds are primarily sourced from the Company's initial contribution and voluntary
monthly donations from employees. For eligible employees and their immediate family mem-
bers, the Foundation provides varying proportions of medical expense assistance or educational
loan support based on their speci?c circumstances. During the Reporting Period, the Company
carried out employee assistance initiatives in Xiamen, Vietnam, and other locations, providing
solid support for employees and their families and enabling them to work with peace of mind
Assistance for Employees in Vietnam
and live happily.
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Employees’Mental Health
The Company and its subsidiaries attach importance to employees' mental health and emotional
·The Company prohibits assigning female employees to work that endangers their
support, having established psychological counseling rooms and employee emotional care corners
health and provides comprehensive special protections for female employees
to provide professional psychological support and spaces for daily emotional adjustment.
during pregnancy, maternity, and breastfeeding periods.
·During pregnancy through the breastfeeding period, salaries shall not be
reduced, and labor contracts shall not be unilaterally terminated. Statutory rights
such as prenatal check-up leave, maternity leave, and breastfeeding leave are
Women’s Day Activities
implemented in accordance with the law.
·The Company has established a Female Employees Committee to safeguard the
lawful rights and interests of female employees during special periods, and has
built a multi-channel communication and supervision mechanism involving
employee representatives, union coordination, and departmental liaisons, Psychological Counseling Room
Employee Emotional Care Corner
ensuring that any infringement of women's rights can be e?ectively reported and
Mother-Baby Room
addressed through internal appeal channels.
Employee Activities
Key Performance The Company consistently prioritizes the protection of employees' physical and mental health and
the enhancement of team cohesion. During the Reporting Period, the Company and its subsidiaries
focused on employee care and cultural cohesion, organizing a wide range of recreational, sports,
During the Reporting Period,
and holiday greeting activities, including holiday celebrations, parent-child interactions, sports
the proportion of female managers: ??.??%; competitions, summer cooling initiatives, and interest club co-building activities, demonstrating
Number of employees who took maternity leave: ??;
genuine care for employees' work and life and strengthening team belonging and overall cohe-
sion.The Company consistently prioritizes the protection of employees' physical and mental health
return rate from maternity leave: ??%;
and the enhancement of team cohesion. During the Reporting Period, the Company and its subsid-
iaries focused on employee care and cultural cohesion, organizing a wide range of recreational,
Number of employees who took parental leave: ???; sports, and holiday greeting activities, including holiday celebrations, parent-child interactions,
return rate from parental leave: ???%
sports competitions, summer cooling initiatives, and interest club co-building activities, demon-
strating genuine care for employees' work and life and strengthening team belonging and overall
cohesion.
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Occupational Health and Safety
Organizational Structure of the Safety Management Center
Work Safety Management
Tong'an Production Base
Deputy Chairman of the
Board of Directors
In strict accordance with the Law of the People's Republic of Haicang Production Base
China on Work Safety and other relevant laws and regulations
Changtai Production Base
and upholding the principle of "safety ?rst, prevention-oriented, Safety Management
Center
Dragon Boat Festival Activity
and comprehensive management," the Company has formulat- Overseas Production Base
ed the Quality, Environment and Occupational Health and
Fire?ghting Technical Expert
Safety Management System Manual and the Work Safety Objec-
Safety Technical Expert
tives and Responsibility Management System. It has also issued a Safety Standard Engineer
series of standardized work safety procedure documents to
provide comprehensive guidance and support for work safety.
The Company has established a Safety Management Center as As of the end of the Reporting Period, Solex and its subsidiary
Parent-Child Activities its safety management body, clearly de?ning the speci?c Zhangzhou Solex, as well as Bestter, had obtained Occupational
responsibilities of each department and member to ensure the Health and Safety Management System certi?cation; additional-
systematic implementation and e?ective operation of the work ly, Solex and Zhangzhou Solex had received Level III Work Safety
safety management system. Standardization certi?cation.
To ensure the e?ective implementation of safety responsibili-
ties, the Company has formulated safety assessment standards
and a work safety responsibility list, setting detailed assessment
Anniversary Celebration Activities
targets and indicators and clarifying the responsibilities of each
position. By signing work safety target responsibility letters at
each level, the Company implements the principle of "whoever
is in charge is responsible," thereby strengthening risk preven-
tion and control at the source and e?ectively safeguarding
Occupational Health and Safety
employees' lives and health as well as production safety. Work Safety Standardization Certi?cate
Management System Certi?cation
Employee Birthday Party
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Key Performance
Digitalization Construction
The Company actively advances digital development in the
During the Reporting Period, ?eld of occupational health and safety by establishing a uni?ed
Investment in safety production: ???.?? (in RMB ??,???); safety documentation system and safety information platform,
?.??%;
and promoting the deployment of a digital safety management
Investment in work safety as a percentage of operating revenue: platform at its subsidiary Zhangzhou Solex, thereby compre-
?,???.
Safety Information Platform
hensively enhancing the standardization, e?ciency, and risk
Work safety responsibility letters signed:
control capabilities of safety management.
Safety Risk Management
The Company conducts safety risk identi?cation, graded assessment, and dynamic control across
Occupational Health and Safety Goals
all production and operational scenarios. It establishes a list of major risks for key risk points such
as operation sites, equipment and facilities, operating procedures, and personnel behaviors, e?ec-
Annual Target
tively preventing various safety accidents.
Goals for ???? Achievement
Zero work-related fatalities ?
Potential hazards related to production equipment, processes, environ-
Risk
ment, and operations are systematically identi?ed on a regular basis, and
Zero mass safety incidents ?
Identi?cation
potential safety risks are promptly detected and recorded.
Zero occupational diseases (including suspected cases) ?
Zero acute poisoning accidents in production ? Risk The LEC evaluation method is adopted to calculate risk values and classify
Assessment risk levels, forming a List of Major Risks to clarify priority control objects.
???% compliance rate for occupational hazard testing ???%
???% recti?cation rate of identi?ed hazards ???%
Corresponding control measures are formulated based on the list and risk
???% special operators licensed ???% Risk levels, and are veri?ed and adjusted until risks are under control, after
Management
???% employee coverage rate for work safety education and training ???% and Control which they are reviewed, approved, and communicated to all employees
for learning and implementation.
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Identi?cation of Hidden Hazards Emergency Response
The Company always places work safety in a paramount To prevent and control potential accidents and emergencies, the Company has formulated the First Aid Plans for Various
position, making overall arrangements and strictly Injuries. Subsidiaries Bestter and Zhangzhou Solex have also developed Emergency Response Plans for Work Safety Accidents,
requiring all subsidiaries to implement relevant mea- establishing a comprehensive emergency plan system covering general plans, special plans, and on-site disposal plans, and
sures. During the Reporting Period, the Company and its setting up corresponding emergency organizational structures to ensure that all emergency work is rule-based and responsi-
subsidiaries conducted comprehensive hazard inspec- bilities are clearly assigned. On this basis, the Company and its subsidiaries regularly organize drills to enhance risk preven-
tions. Issues identi?ed in areas such as ?re?ghting facili- tion and emergency response capabilities.
ties, emergency passages, chemical management, equip-
ment usage, and personal protective equipment were
subject to strict closed-loop recti?cation and reinforced
communication to all employees, ensuring e?ective risk Case Study: Fire Drill at the Robotics Park
control and continuously enhancing re?ned safety man- On June ?, ????, the Company successfully organized a large-scale comprehensive ?re emergency drill at
agement. the Solex Robotics Park. The drill covered multiple components, including evacuation, indoor ?re?ghting
operations, ?re suppression and rescue, and post-drill summary, with approximately ?,??? employees
participating. The drill e?ectively tested and enhanced employees' practical capabilities in emergency
Key Performance
evacuation, initial ?re suppression, and self- and mutual-rescue. Through review and summary, certain
de?ciencies in protective actions and adherence to evacuation routes were identi?ed, providing a clear
During the Reporting Period,
?,???;
basis for subsequent safety management improvements.
Number of safety hazards identi?ed:
Recti?cation rate for identi?ed hazards: ???%.
Case Study: Fire?ghting and Evacuation Drill
On June ??, ????, the Safety Management Department of Zhangzhou Solex organized a ?re?ghting and evacuation drill. The
activity included simulated ?re evacuation and initial ?re suppression and lasted ?? minutes. By establishing an on-site
command center, coordinating emergency teams, and utilizing appropriate ?re?ghting equipment, orderly joint response
was achieved. This drill e?ectively enhanced employees' understanding of ?re?ghting knowledge and improved their equip-
ment operation and emergency escape capabilities, successfully achieving the objectives of being "scienti?c, safe, orderly,
and rapid," and accumulating valuable practical experience.
Photos Before and After Recti?cation of Hazards
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
??;
Key Performance
Case Study: Fire?ghting and Evacuation Drill
Total number of work-related injuries:
During the ???? "Work Safety Month," the Company widely
During the Reporting Period, Lost workdays due to work-related injuries: promoted safety awareness through banners, posters, and
The number of safety emergency drills: ??. ?,???.?? days; exhibition boards, and held mobilization meetings to deploy
relevant tasks. The Company organized special activities such
Lost time rate per million working hours: as rewards for hazard identi?cation by all employees and
?,???.??;
cross-inspections among teams. At the same time, it conduct-
Safety Accident Handling ed educational and entertaining activities such as fun safety
The Company and its subsidiaries have formulated stan- Lost Time Injury Ratio (LTIR): ?.??. knowledge relay competitions to reinforce safety learning.
dardized emergency response procedures for safety Upon conclusion of the activities, advanced individuals and
accidents, clearly de?ning operational requirements for teams were commended, e?ectively fostering a strong culture
each stage, including accident reporting, on-site prelimi- Construction of Safety Culture of "Everyone Speaks of Safety, Everyone Knows Emergency
nary handling, injury assessment, and graded medical Response," and substantially enhancing employees' safety
The Company attaches great importance to occupational health
referral, to ensure precise reporting and rapid response awareness and hazard identi?cation capabilities.
and safety management and actively fosters a safety culture
at the earliest stage of any safety incident, thereby maxi-
characterized by full participation and continuous improve-
mizing personnel safety, minimizing accident impact,
ment. Focusing on the theme of "Everyone Speaks of Safety,
and strengthening the Company's work safety defense
Everyone Knows Emergency Response—Identifying Safety
line.
Hazards Around Us," the Company carried out a series of activi-
ties during Work Safety Month. Through thematic lectures,
poster campaigns, ?re?ghting skills competitions, and safety
Key Performance
knowledge contests, it created a strong atmosphere of full
participation, shared responsibility, and collective supervision
During the Reporting Period,
in work safety.
Number of Work Safety Accidents:?;
Number of work-related deaths: ? person;
Work-related fatality rate: ?%;
First Prize in Fire?ghting Skills Competition
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Key Performance Management of Hazardous Chemicals
The Company has formulated the Chemical Management Mea-
During the Reporting Period, sures, clarifying management responsibilities and operational
?.?? (in RMB ??,???);Total hours of safety training: ?,???.??;
Total investment in safety training:
standards for the procurement, acceptance, storage, use, and
disposal of hazardous chemicals, thereby controlling risks at the
Number of safety training sessions: ?,???;Total participations in safety training: ??,???; source and safeguarding operational safety and personnel
Employee coverage rate of safety training: ???%.
health.
Procurement
User departments transfer the approved Chemical Requisition &
Acceptance Form to the procurement department, which conducts
Contractor Safety Management purchasing in accordance with the requirements.
Acceptance
To achieve standardized and regulated management of outsourced construction safety, the Company has formulated the Solex Safety User departments inspect incoming chemicals in accordance with
and Civilized Construction Management Manual, specifying management requirements in ?ve aspects: safety management, on-site standards, verify packaging validity periods, and store quali?ed chem-
control, site protection, park ?re prevention, and civilized construction. Before entering the site, construction units must complete icals as required, while providing training to relevant operators.
quali?cation review, safety training, and technical disclosure. During construction, they must ful?ll their primary safety responsibili- Storage
ties. Construction sites must implement closed management, hazardous operations must follow approval and permit procedures, Chemicals are stored in segregated zones according to their properties
to ensure the e?ectiveness of ?re?ghting facilities and unobstructed
and protective measures for equipment, working at heights, and cross-operations must be standardized. The park strictly controls
safety passages; hazardous chemical warehouses must be equipped
smoking bans, hot work, electricity usage, and the management of ?ammable and explosive materials. At the same time, construction with alarms, explosion-proof lighting, and eyewash stations.
enclosures, material stacking, and personnel activity areas are regulated, with proper pollution prevention, cleaning, and change Usage
reporting in place. Personal protective equipment must be worn when handling hazard-
During the Reporting Period, the Company strengthened contractor safety management by signing safety noti?cation letters, ous chemicals, and the working environment must be monitored by
the epidemic prevention station; any changes to chemicals, processes,
conducting training for external construction personnel, and implementing full-process permit management for high-risk operations
or the environment must be reviewed by the Quality Assurance
such as work at height, temporary electricity use, and hot work, including pre-operation approval, process supervision, and post-op- Department and, where necessary, re-tested.
eration acceptance.
Handling
In the event of an accident, it shall be handled in accordance with the
Emergency Preparedness and Response Control Procedure, and the
validity periods of chemicals shall be monitored; expired or waste
chemicals shall be safely disposed of or transferred to professional
institutions based on their environmental hazards.
???? Environmental, Social, and Governance (ESG) Report Attracting Talent and Building Unity ??
Occupational Health Protection
The Company implements the policy of "prevention in the ?rst place and integrating prevention
with control," and has formulated institutional documents such as the Occupational Disease Case Study: Special Training on Occupational Health
Prevention and Control Responsibility System and the Occupational Disease Protective Equipment On October ??, ????, Zhangzhou Solex organized special occupa-
Management System, and established an Occupational Health Leadership Group responsible for tional health training for production team leaders, covering an
the overall coordination, organization, and supervision of occupational disease prevention and overview of occupational safety and health, classi?cation of
control. Meanwhile, the Company identi?es occupational health hazard factors based on speci?c occupational hazard factors, enterprise occupational disease
work scenarios and routinely conducts occupational health and safety knowledge training to management, and enterprise occupational health management
enhance employees' awareness and capabilities of self-protection. records and maintenance. The training successfully achieved its
expected objectives and e?ectively enhanced the occupational
· Regularly entrust quali?ed third-party professional institutions to conduct testing of occupational
health protection awareness and knowledge level of employees
disease hazard factors in the workplace;
in relevant positions.
· Organize employees to participate in occupational health examinations and establish comprehen-
sive occupational health records to systematically record and track employees' health conditions; Key Performance
· Provide employees with labor protective equipment such as earplugs in accordance with regulations
and ensure proper distribution and management; During the Reporting Period,
Percentage of special operators licensed: ???%;
Investment in work-related injury insurance: ???.?? (in RMB ??,???);
· Post occupational disease hazard noti?cation cards for sulfuric acid, dust, noise, and other hazards
in conspicuous locations at workplaces.
Coverage rate of work-related injury insurance for employees: ???%;
Detection rate of occupational disease hazards: ???%;
Coverage rate of physical examinations for employees: ???%;
Number of New Cases of New Occupational Diseases: ?
Employee Physical Noti?cation Card of Occupational
Examination Disease Hazard
???? Environmental, Social, and Governance (ESG) Report
Bene?ting the People and
Ful?lling Responsibilities with
Kindness
Our Philosophy
Through diversi?ed initiatives such as cross-border donations
and community elderly care activities, Solex actively conveys
warmth and supports community development; at the same
time, it e?ectively carries out employment assistance by provid-
ing job opportunities and training support for impoverished
laborers, contributing to rural revitalization through concrete
actions.
Our Actions
Public Welfare
Rural Revitalization
SDGs
???? Environmental, Social, and Governance (ESG) Report Bene?ting the People and Ful?lling Responsibilities with Kindness ??
Public Welfare
Case Study: "Solex Cup" Campus Sports Public Welfare Initiative
While continuously pursuing business development, Solex actively ful?lls its corporate social
Zhangzhou Solex has continuously supported the development of
responsibilities by systematically carrying out public welfare practices in multiple ?elds, including
campus sports and assisted Gunan Farm Central Primary School and
educational support, assistance for disadvantaged groups, and care for the elderly, integrating
Middle School in hosting the "Solex Cup" track and ?eld meets in
social responsibility into corporate operations and demonstrating diversi?ed commitments to
April and December ????, respectively. The Company provided
social well-being and sustainable development through solid actions.
various material support for the two events, including sports
Key Performance uniforms, competition prizes, audio equipment, and event setup,
e?ectively ensuring the smooth conduct of the meets and enriching
students' campus sports life, representing a vivid practice of ful?lling
During the Reporting Period,
?.?? (in RMB ??,???).
social responsibility and supporting educational public welfare.
Total public welfare input:
Case Study: Fengshuxing Respect-for-the-Elderly Public Welfare Initiative
Case Study: Caring Program for Children in Poverty-Stricken Counties in Vietnam During the Double Ninth Festival in ????, the Company visited
Fengshuxing in Ming Community to carry out elderly condo-
In ????, the Company donated a batch of brand-new bicycles to ??
lence activities. To meet the elderly's needs for healthy diets,
children in poverty-stricken counties in Vietnam, with a total value of
the Company donated ??? bottles of traditionally pressed
approximately ?.? (in RMB ??,???). These bicycles e?ectively improved
peanut oil to community seniors, with a total value of RMB
the children's daily travel conditions, facilitating their commute to
?,???. This Double Ninth Festival visit not only delivered festive
school and participation in community activities, and alleviating
care and blessings to community elders but also conveyed
family burdens. This donation not only addressed the children's practi-
attention to the quality of life of the elderly through practical
cal di?culties but also conveyed care and encouragement for their
supplies, re?ecting the Company's commitment to promoting
healthy growth, serving as a concrete manifestation of the Company's
the tradition of respecting the elderly and actively ful?lling its
commitment to international public welfare and community develop-
social responsibilities.
ment.
???? Environmental, Social, and Governance (ESG) Report Bene?ting the People and Ful?lling Responsibilities with Kindness ??
Rural Revitalization
The Company strictly implements the requirements of the Notice by the Ministry of Human Resources and Social Security, Ministry of Finance, and the State Council Leading Group Office of Poverty Allevia-
tion and Development of Further Improving Employment Poverty Alleviation Work, e?ectively addressing di?culties in employment and job stability among impoverished laborers by providing suitable job
positions and continuous vocational training support. Through proactive employment assistance measures, the Company supports the rural revitalization strategy and is committed to returning more
and fairer development achievements to society, bene?ting people's livelihoods.
Key Performance
During the Reporting Period,
Number of poverty-alleviation employment
bene?ciaries: ???.
???? Environmental, Social, and Governance (ESG) Report Bene?ting the People and Ful?lling Responsibilities with Kindness ??
Future Outlook
Solex's ESG outlook for the future centers on deeply integrating sustainable development into its business layout around "Green, Responsibility, and Innovation," which can be elaborated from three
dimensions:
Environment (E): Deepening Low-Carbon and Green Manufacturing
Production Side: Continuously expand the application of clean energy such as photovoltaics (e.g., the new rooftop photovoltaic projects at the Haicang and Tong'an bases), advance
green infrastructure construction at the overseas factory in Vietnam, aiming to reduce energy consumption and carbon emission intensity across all production processes; meanwhile,
upgrade the "AI+MES" intelligent manufacturing system to improve resource recycling rates, with plans to further increase the classi?cation and recycling rate of solid waste.
Product Side: Focus on "green design" for smart kitchen and bathroom products and health hardware, prioritize the use of recyclable or low-environmental-impact materials, develop
energy-saving intelligent products (such as low-power bathroom systems and water-saving showerheads), and incorporate "low-carbon attributes" into the core indicators of new
product research and development.
Social (S): Expanding the Boundaries of Responsibility and Scenario Value
Employee Rights and Interests: Improve the occupational health and safety management system while providing employees with skills training aligned with new businesses such as
robotics and AI to broaden development opportunities;
Social Value: Relying on the elderly care robotics business, extend ESG into elderly care scenarios—through mobility-assistance and nursing robots as well as age-friendly kitchen and
bathroom products, support smart elderly care in an aging society; at the same time, use the Company's industrial parks as pilot sites to promote logistics service robot systems,
enhancing operational e?ciency and safety in public scenarios.
Governance (G): Strengthening Compliance and Transparency
Continuously improve the ESG governance structure, leverage the overall coordination role of the Board of Directors and the ESG Committee, and re?ne ESG responsibilities of various
departments (such as risk control and information disclosure);
Deepen the construction of international compliance systems (such as ISO information security and fair competition certi?cations) to ensure compliant operations of overseas busi-
nesses (such as the Vietnam factory), while enhancing transparency in investor communication and strengthening stakeholder trust.
Overall, Solex's ESG outlook is to "carry sustainable value through business innovation"—not only practicing environmental responsibility through green manufacturing and low-car-
bon products, but also creating social value through new businesses such as elderly care robotics, while ensuring long-term steady development through compliant governance.
???? Environmental, Social, and Governance (ESG) Report Annex ??
Annex
Key Performance
Environmental Performance
Performance Indicators Unit ???? ???? ????
Total environmental investment RMB ??,??? ?,???.?? ?,???.?? ?,???.??
Environmental protection taxes paid RMB ??,??? ?.?? ?.?? ?.??
Number of environmental incidents case ? ? ?
Photovoltaic power capacity kWh ?,???,??? ?,???,??? ?,???,???.??
Gasoline liters ??,???.?? ??,???.?? ??,???.??
Energy
Consumption Diesel liters ??,???.?? ??,???.?? ??,???.??
Natural Gas ??,??? m3 ??.?? ??.?? ??.??
Total purchased electricity (Domestic) MWh ??,???.?? ??,???.?? ??,???.??
Water Resource Total water consumption m3 ???,??? ???,??? ???,???
Consumption Recycled water consumption m3 ??,??? ??,??? ??,???
Waste gas emissions ??,??? m3 ???,???.?? ???,???.?? ???,???.??
Pollutant Wastewater discharges ??,??? m3 ??.?? ??.?? ??.??
Emissions Quantity of non-hazardous waste generated ton ?,???.?? ?,???.?? ?,???.??
Quantity of hazardous waste generated ton ?,???.?? ?,???.?? ?,???.??
Social Performance
Performance Indicators Unit ???? ???? ????
Percentage of contract workers % ??? ??? ???
Total number of employees person ?,??? ?,??? ?,???
Number of part-time employees person ?? ?? ??
Employee
Number of employees with disabilities person ?? ?? ??
Performance
Number of employees of minority nationalities person ??? ??? ???
Employee satisfaction % ??.?? ??.?? ??.??
???? Environmental, Social, and Governance (ESG) Report Annex ??
Performance Indicators Unit ???? ???? ????
Proportion of female managers % ??.?? ??.?? ??.??
Protection of Number of employees who took maternity leave person ?? ?? ??
Women's Rights Return rate from maternity leave % ??.?? ??? ??.??
and Interests
Number of employees who took parental leave person ??? ??? ???
Return rate from parental leave % ??? ??? ???
Compensation Social insurance coverage rate % ??? ??? ???
and Bene?ts Percentage of employees underwent regular performance
% ??.?? ??.?? ??.??
and career development assessments
Investment in employee training RMB ??,??? ??.?? ??.?? ??.??
Number of training sessions session ??? ??? ???
Training Total number of employees trained person ?,??? ?,??? ?,???
and Development Total attendance Person-time ?,??? ?,??? ?,???
Total training hours hour ??,???.?? ??,??? ??,???
Average training hours per employee per year hours/person ?.?? ?.?? ?.??
Number of work-related deaths person ? ? ?
Occupational Number of security emergency drills session ?? ?? ??
Health and Safety Total hours of safety training hour ?,???.?? ?,???.?? ?,???.??
Number of new cases of new occupational diseases case ? ? ?
R&D investment amount RMB ??,??? ??,???.?? ??,???.?? ??,???.??
Research
Percentage of R&D investment in operating income % ?.?? ?.?? ?.??
and Innovation
Number of R&D personnel person ??? ??? ???
Customer Service Customer satisfaction % ??.?? ??.?? ??.??
Number of relevant training sessions conducted session ? ? ??
Information
Security Number of incidents of information security and privacy
case ? ? ?
protection violations during the Reporting Period
???? Environmental, Social, and Governance (ESG) Report Annex ??
Performance Indicators Unit ???? ???? ????
Total number of suppliers entity ?,??? ?,??? ?,???
Supply
Chain Management Number of incidents with signi?cant risk
case ? ? ?
and impact in the supply chain
Social Welfare Total public welfare input RMB ??,??? ??.?? ??.?? ?.??
Governance Performance
Performance Indicators Unit ???? ???? ????
General Meeting Total number of General Meeting of Shareholders convened meeting ? ? ?
of Shareholders Number of proposals deliberated proposal ?? ?? ??
Number of members of the Board of Directors person ? ? ?
Board of Directors Number of meetings of the Board of Directors convened meeting ? ? ??
Number of proposals deliberated proposal ?? ?? ??
Remuneration Total pre-tax remuneration for directors, o?cers, and RMB ??,??? ?,???.?? ?,???.?? ?,???.??
Policies supervisors during their term of o?ce from the Company
Number of legal training sessions conducted session ? ? ?
Number of participants in legal training person ??? ?? ??
Compliance and
Number of individuals who signed the integrity commitment letter person ??? ?,??? ?,???
Business Ethics
Signing rate of integrity commitment letter % ?.?? ??.?? ??.??
Number of corruption lawsuits ?led and concluded case ? ? ?
???? Environmental, Social, and Governance (ESG) Report Annex ??
Indexes
Shanghai Stock Exchange Self-Regulatory Guidelines for Listed Companies No. ?? - Sustainability Report (for Trial Implementation) Topic Index Table
Dimension S/N Topics Corresponding Section
? Response to Climate Change Nurturing the Ecosystem and Advancing Sustainably Through Green Development
? Pollutant Emissions Nurturing the Ecosystem and Advancing Sustainably Through Green Development
? Waste Disposal Nurturing the Ecosystem and Advancing Sustainably Through Green Development
Nurturing the Ecosystem and Advancing Sustainably Through Green Development
? Ecosystem and Biodiversity Protection
Environmental （The Company's investment related to ecological protection is relatively small and does not constitute a material risk.）
? Environmental Compliance Management Nurturing the Ecosystem and Advancing Sustainably Through Green Development
? Energy Utilization Nurturing the Ecosystem and Advancing Sustainably Through Green Development
? Water Resource Utilization Nurturing the Ecosystem and Advancing Sustainably Through Green Development
? Circular Economy Nurturing the Ecosystem and Advancing Sustainably Through Green Development
? Rural Revitalization Bene?ting the People and Ful?lling Responsibilities with Kindness
（The Company's investment in rural revitalization is relatively small and does not constitute a material risk.）
?? Contribution to Society Bene?ting the People and Ful?lling Responsibilities with Kindness
（The Company's investment in rural revitalization is relatively small and does not constitute a material risk.）
?? Innovation-driven Empowering Industry and Creating Enduring Value
?? Technology Ethics Empowering Industry and Creating Enduring Value
(The company resolutely prohibits any research activities that violate ethical standards and remains committed to prioritizing the governance of technological ethics.）
Social
?? Supply Chain Security Empowering Industry and Creating Enduring Value
Equal Treatment of Small Empowering Industry and Creating Enduring Value
?? （This disclosure applies to enterprises with accounts payable (including notes payable) exceeding RMB ?? billion or accounting for over
and Medium-Sized Enterprises ??% of total assets during the reporting period. The Company has no overdue payments to small and medium-sized enterprises.）
?? Product and Service Safety and Quality Empowering Industry and Creating Enduring Value
?? Data Security and Customer Privacy Protection Empowering Industry and Creating Enduring Value
?? Employees Attracting Talent and Building Unity
Sustainable ?? Due Diligence Sustainable Development Governance
Development ?? Communications with Stakeholders Sustainable Development Governance
Related ?? Anti-commercial Bribery and Anti-corruption Building a Solid Governance Foundation with Integrity and Diligence
Governance ?? Anti-unfair Competition Building a Solid Governance Foundation with Integrity and Diligence
???? Environmental, Social, and Governance (ESG) Report Annex ??
Dimension S/N Topics Corresponding Section
?? Low-carbon Products Empowering Industry and Creating Enduring Value
?? Protection of Shareholders’Rights and Interests Building a Solid Governance Foundation with Integrity and Diligence
?? Standardized corporate governance Building a Solid Governance Foundation with Integrity and Diligence
Self-Determined
Disclosure Topics ?? Tax Compliance Building a Solid Governance Foundation with Integrity and Diligence
?? Risk Management Building a Solid Governance Foundation with Integrity and Diligence
?? ESG Governance Sustainable Development Governance
???? GRI Sustainability Reporting Standards ("GRI Standards") Topic Index Table
Chapters and Sections GRI Sustainability Reporting Standards ("GRI Standards")
About This Report ?-?/?-?/?-?/?-?
Message from the Chairman ?-??
Sustainable Development Highlights in ???? ???-?/???-?/???-?/???-?/???-?
Company Pro?le ?-?
Business Operations ?-?/?-?
Industry Layout ?-?/?-?
About Solex
Brand Development ?-?
Milestones in ???? ?-?
Major Honors in ???? ?-?
Responsibility Deepening Industry Focus and Strengthening Strategic Layout,
?-?
Focus-Special Topics Integrating into the Industry for Shared Development
ESG Management Framework ?-?/?-??/?-??/?-??/?-??
Information Reporting Mechanism ?-?
ESG Goals ?-??
Sustainable
Development Governance Due Diligence /
ESG Risk Management /
Materiality Assessment ?-?/?-?/?-?
Communications with Stakeholders ?-??
???? Environmental, Social, and Governance (ESG) Report Annex ??
Chapters and Sections GRI Sustainability Reporting Standards ("GRI Standards")
Corporate Governance ?-?/?-??/?-??/?-??/?-??/?-??/?-??/???-?
Building a Solid Governance Compliance Operation and Risk Management ???-?/???-?
Foundation with Investor Relations Management and Shareholders’Rights and Interests ?-??/?-??
Integrity and Diligence
Business Ethics ?-??/???-?/???-?/???/?
Response to Climate Change ???-?/???-?/???-?/???-?/???-?
Environmental Compliance Management ?-??
Nurturing the Ecosystem and Resource Utilization ???-?/???-?/???-?/???-?/???-?/???-?/???-?
Advancing Sustainably
Pollutant Emissions ???-?/???-?/???-?/???-?
Through Green Development
Implementation of Green Operation /
Protection of Ecosystem and Biodiversity ???-?/???-?
Innovation-driven ???-?
Empowering Industry Product and Service Safety and Quality ???-?/???-?/???-?/???-?
and Creating Enduring Value Information Security and Privacy Protection ???-?
Supplier Management ???-?/???-?/???-?
?-?/???-?/???-?/???-?/
Protection of Employees’Rights and Interests
Attracting Talent ???-?/???-?/???-?/???-?/???-?
and Building Unity
???-?/???-?/???-?/???-?/???-?/
Occupational Health and Safety
???-?/???-?/???-?/???-?/???-??
Bene?ting the People and Public Welfare ???-?/???-?/???-?
Ful?lling Responsibilities with Kindness Rural Revitalization ???-?
Future Outlook / /
Key Performance /
Indexes /
Annex
Assurance Report /
Feedback /
???? Environmental, Social, and Governance (ESG) Report Annex ??
Assurance Report
???? Environmental, Social, and Governance (ESG) Report Annex ???
Feedback
Dear reader,
Thank you for reading this report! This is the ???? Environmental, Social, and Governance (ESG) Report published by Solex. In order to continuously improve our ESG management work and enhance our ability to ful?ll social responsibilities, we
sincerely hope that you will evaluate this report and provide your valuable opinions.
?.Which of the following stakeholders is most relevant to you in relation to Solex?
Shareholder & Investor Customer Supplier Employee Social Organization Industry Partner Government Media
?.Your overall assessment of the report:
Excellent Good Average Below Average Poor
?.Your comments on the layout of this report:
Excellent Good Average Below Average Poor
?.How do you rate the information, data, and completeness disclosed in this report?
Very High High Average Low Very Low
?.What aspects of the report do you think need improvement?
Layout Length of Report Topic Coverage Publication Format/Media
?.What topics in the report are of most interest to you? (Multiple choices)
Corporate Governance Supply Chain Management Protection of Customers’Rights and Interests Safety Production Environmental Protection Employee Care Public Welfare Others
?.What other suggestions do you have for this report?
Contact information Thank you again for your understanding and support of our work!
Tel.： ????-???????
Email：IRM@solex.cn
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