HKEX: 02676.HK
SSE STAR MARKET: 688052.SH
Environmental, Social, and
Governance (ESG) Report
CONTENTS
Devising Effective Devising
About This Report 02 Feature Chip-Powered Smart
A Closer Look at Effective Strategies and
Message from the NOVOSENSE: Embarking Mobility for a Safeguarding
Chairman 03 05 on a New Chapter 08 Sustainable Future 11 Sustainable Development
Board Statement 04
Company Profile 05 Chip-Driven Smart Manufacturing: Compliance Governance 12
Global Presence 05 Powering Green and Safe Mobility 08 ESG Governance 18
Corporate Culture 05 Chip Synergy: Co-building an Open Information Security 24
Core Business 05 and Collaborative Ecosystem 10
History 07
Putting People First Green Operations:
and Supporting Creating and Sharing Working Together to Outlook 66
Our Employees 28 Technology Innovation 43 Environmental Management 57 Honors and Awards 67
Employees’ Rights and Interests 31 Quality Management 48 Energy Conservation and Emissions Report Index 68
Training and Career Development 36 Supply Chain Management 52 Reductions 58 Feedback 76
Occupational Health and Safety 39 Raw Material Usage 61
Social Welfare and Responsibility 41 Responding to Climate Change 62
About This Report
Unless otherwise specified, all currencies and amounts in this report are denominated in CNY.
Report Overview
This represents the fourth Environmental, Social and Governance (ESG) Report released by
Suzhou Novosense Microelectronics Co., Ltd. It is compiled based on the company’s specific Reference Standards
efforts in bolstering corporate governance, safeguarding employees’ rights and prioritizing
R&D and innovation throughout the year 2025. Its aim is to showcase the company’s ESG This report follows Guidelines No. 14 of Shanghai Stock Exchange for the Self-Regulation
approach and its commitment to fulfilling corporate social responsibility for the year. of Listed Companies—Sustainability Report (Trial), Appendix C2 Environmental, Social and
Governance Reporting Code of the Listing Rules issued by the Hong Kong Stock Exchange,
and refers to Global Reporting Initiative: Sustainability Reporting Standards (GRI Standards)
(2021 Edition), China CSR Reporting Guidelines (CASS-ESG 6.0) issued by Research Center
Reporting Period for Corporate Social Responsibility, Academic Division of Economics, Chinese Academy of
January 1, 2025 to December 31, 2025. Some contents are backdated to previous years or Social Sciences.
extended to subsequent years, as appropriate, to enhance the readability of this report.
Access to the Report
Reporting Scope This report includes three versions: Simplified Chinese, Traditional Chinese, and English. In
Unless otherwise specified, the scope of this report is consistent with the scope of the case of any ambiguity, the Simplified Chinese version shall prevail. You can download the
company’s annual report. electronic version of this report from the website of Suzhou Novosense Microelectronics Co., Ltd.
(www.novosns.com) for more information of the company.
Abbreviations
Feedback
For ease of expression and reading, “NOVOSENSE”, “the company” or “we” will be used to
represent “Suzhou Novosense Microelectronics Co., Ltd”. and its subsidiaries in the report. If you have any opinions or suggestions on the sustainable development of the company,
please provide your feedback in the following ways to help us make continuous improvement.
Tel: +86-512-6260-1802 Email: pr@novosns.com
Data Sources
The data and examples cited in this report are all from the official working documents,
financial reports and statistical data of NOVOSENSE and its major subsidiaries, and have
been reviewed and confirmed by the relevant departments of the company to ensure that
there are no false records, misleading statements or material omissions. In case of any
discrepancy between this report and the company’s annual report, the latter shall prevail.
Message from the Chairman
Dear colleagues, partners, and readers,
founding. Over these twelve years, we are staying has also constantly refined its stable supply and
true to its original aspiration as reflected in our delivery systems, enabling sustainable and orderly
Products as a Growth Driver
values “Robust, Reliable, Keep Learning, Persist in development in the face of a volatile and complex NOVOSENSE’s values are deeply intertwined
Long-term Value”. We are working alongside our environment. with the idea of sustainability, which we actively
employees, customers and partners and staying integrate into our corporate governance and
committed to our path in order to open up new Pursuing Achievements for Sustained operational management. We prioritize investments
possibilities. The company has remained steadfast Growth in environmentally friendly R&D to drive the industry
in its long-term strategic vision, continuously toward low-carbon and intelligent transformation. We
strengthening its technological and product In the automotive sector, NOVOSENSE has are also committed to the growth of every employee,
capabilities through stable and resilient growth. extended its product coverage to critical systems cultivating a safe, equal, diverse, and inclusive
On December 8, 2025, NOVOSENSE officially including traction inverters, On-Board Chargers work environment. This approach has strengthened
commenced trading on the Main Board of the Hong (OBCs), Battery Management Systems (BMS), and employee engagement and belonging. Our
Kong Stock Exchange. This milestone underscores thermal management solutions for new energy specialized training programs – such as XIN HUO ,
the company’s commitment to deepening its Chinese vehicles. The company continues to expand its XIN SHI , and XIN KONG – continuously empower
market presence while accelerating global customer presence into domains such as body electronics, team development and professional growth. Guided
service, fostering supply chain synergy, accelerating automotive lighting, intelligent cockpits, chassis by the principle that states, “Quality begins with
the development of an integrated industrial control, and safety systems, contributing to design and is integrated throughout the entire
ecosystem, and taking its globalization strategy to system-level innovation for low-carbon, safe, and product lifecycle”, we have fostered a “Quality First”
a new level. On behalf of the Board of Directors, I intelligent electric vehicles. In the pan-energy culture, with a view to ensuring high customer trust
would like to express my sincere appreciation to our sector, NOVOSENSE has persistently deepened and sustained competitiveness. We have deepened
employees for their hard work, to our customers for its expertise, establishing comprehensive solutions partnerships across the global supply chain, offering
their trust and to our partners for their support! for key scenarios spanning new energy power customized solutions to enhance our clients’ system
generation, power transmission/distribution, and performance. Through flexible, efficient service
Deepening Commitment amid the high-power consumption. Focusing on signal chain, capabilities, we have supported clients in optimizing
power management, sensing, and real-time control,
Industry Transition the company has established a robust product
costs, unlocking value, and tapping into both existing
and emerging market opportunities.
At this juncture, the semiconductor industry is portfolio and is actively pursuing higher integration
progressively moving from a phase of cyclical and broader application scenarios. In emerging Rooted in the Local Market while
adjustment toward a more rational and structured fields such as embodied intelligence, NOVOSENSE
development stage. The ongoing evolution of the is steadily advancing. Starting from functional
Embracing the Global Stage
industry landscape has put forward higher standards requirements, we position ourselves on the "smart Like the rising sun moving along its radiant path,
for companies’ strategic foresight, execution terminal" track and proactively built forward-looking NOVOSENSE has made an exciting journey,
capabilities, and long-term investment ability. technical reserves in key areas including intelligent expanding from China to the global stage. We will
Globally, the analog semiconductor sector continues perception, intelligent decision-making, and intelligent strive to become an indispensable “co-builder”
to maintain robust growth resilience. In China, the execution. These advancements demonstrate and “preferred partner” amid the intelligent and
industry’s growth potential is particularly significant, the company’s proven ability to deliver highly electrified transformation of the global automotive
driven by the deepening synergy of the local industrial reliable solutions within complex systems, while and energy industries. As we set sail on this new
ecosystem. NOVOSENSE has consistently advanced
along its predefined strategic direction, focusing on
simultaneously establishing a solid foundation for
sustained long-term growth.
voyage, we remain committed to collaborating with
all stakeholders on our shared sustainability journey.
Wang Shengyang
key applications while continuously strengthening Together, we will navigate challenges, pioneer new Chairman of NOVOSENSE
horizons and forge ahead.
Board Statement
During the reporting period, the Board of The preparation of this report strictly follows
Directors, as the highest decision-making the relevant regulations of the Shanghai Stock
body for ESG governance of the company, Exchange and the Hong Kong Stock Exchange,
is fully responsible for the supervision, and the compliance with ESG reporting
guidance and review of ESG affairs, ensuring guidelines can be found in the index table of
the effective implementation of ESG strategy this report. This report has been reviewed
in daily operations. The Board of Directors and approved for publication by the Board of
attaches great importance to risk management Directors.
work and has incorporated ESG key risks
into the company’s comprehensive risk
management system. It regularly tracks
environmental objectives and controversies,
and promotes comprehensive and full process
risk management and control through risk
assessment, process control and event
response.
The company identifies, evaluates and
prioritizes significant ESG issues related to
the company’s business operations from the
dimensions of impact materiality and financial
materiality, with reference to regulatory
requirements such as Guidelines No. 14
of Shanghai Stock Exchange for the Self-
Regulation of Listed Companies—Sustainability
Report (Trial) , Appendix C2 Environmental,
Social and Governance Reporting Code of the
Listing Rules issued by the Hong Kong Stock
Exchange, and refers to the United Nations
Sustainable Development Goals (SDGs) and the
GRI Standards issued by the Global Reporting
Initiative, we identify, evaluate and prioritize
major ESG issues, screen out substantive
issues and set ESG goals related to business
operations.
A Closer Look at Devising Effective Strategies Putting People First Green Operations:
NOVOSENSE: Chip-Powered Smart Mobility and Safeguarding and Supporting Creating and Sharing Working Together to
Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 05
A Closer Look at NOVOSENSE: Embarking on a New Chapter
Company Profile Corporate Culture
NOVOSENSE Microelectronics (688052.SH, 02676.HK) is a highly robust & reliable analog and
mixed signal chip company. Since its establishment in 2013, the company has been focusing on
sensor, signal chain, and power management, providing comprehensive semiconductor products Sense & Drive the Future, Build a Green, Smart and Connected
and solutions, which are widely used in automotive, industrial, information communication and Mission World with Semiconductors
and Vision
consumer electronics markets.
Robust, Reliable, Keep Learning, Persist in Long-term Value
Values
All-category mixed digital- Leader among China Leader among digital
analog chip provider automotive chip providers isolator, isolated driver
and sensor providers
Global Presence Core Business
R&D and sales in China and other countries:
Product Offerings
NOVOSENSE always adheres to the core values of “Robust, Reliable, Keep Learning, Persist
in Long-term Value”, with a view to providing reliable products to customers and serving as a
Suzhou, Shanghai, Shenzhen, trustworthy partner for industry players.
Beijing, Chengdu, Nanjing,
Hangzhou, Hefei, Qingdao,
Wuhan, Chongqing, Tianjin We maintain a comprehensive semiconductor product portfolio, spanning sensors (magnetic,
pressure, temperature and humidity sensors), signal chain solutions (isolation, interface and
general-purpose signal chains), power management (drivers, power path protection and high/low-
side switches), and MCU and ASSP across diverse application areas. At the end of 2025, we had
Germany, South Korea, Japan,
the United States more than 3,900 models available for sale.
A Closer Look at Devising Effective Strategies Putting People First Green Operations:
NOVOSENSE: Chip-Powered Smart Mobility and Safeguarding and Supporting Creating and Sharing Working Together to
Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 06
Core Business
Markets
We are committed to continuously expanding our product offerings and tailoring them to address evolving application scenarios. We aim to provide a As a forerunner in China’s green smart
complete suite of solutions for automotive electronics, pan-energy1, and consumer electronics, among other areas. Our products are mainly applied in chips, NOVOSENSE actively responds to the
the following downstream markets: social call for eco-environmental initiatives.
By leveraging its three core technology
Automotive Electronics Renewable Energy and Power Industrial Automation Consumer Electronics
areas – sensors, signal chains, and power
management – as foundational pillars, the
Chips are the core driving force From a system design perspective, The industrial automation sector is Personal consumer electronics and
efficiency, miniaturization, reliability and
company has developed a comprehensive
behind technological innovation in developing rapidly as it pursues greater household appliances are entering a new
the automotive industry, enabling longevity are the focuses of the pan- intelligence, accuracy and efficiency. era of intelligence and sophistication. green product portfolio serving critical
electrification and intelligence. energy industry, including photovoltaic In this context, NOVOSENSE’s chip With its advanced sensors and driver sectors including automotive, industrial,
and wind power companies. With
NOVOSENSE is dedicated to providing
chip solutions characterized by high
solutions are celebrated for their low chip technology, NOVOSENSE is and energy. With its excellent technological
comprehensive chip solutions for the power consumption, high reliability and committed to achieving high-precision capabilities and forward-looking strategic
quality, small size and high integration,
automotive sector, with its products high integration, which enable industrial detection and high-performance control,
widely applied in critical systems
NOVOSENSE offers a diverse and
systems to save energy, cut costs and with a view to driving innovation and
positioning, NOVOSENSE continues to lead
flexible technology portfolio for energy
such as main inverters, on-board systems that meets diverse needs. raise efficiency. The company’s products competitiveness for the industry. The the way in driving environmental sustainability
chargers, battery management, and Our products are widely used across a cover multiple scenarios, such as company’s solutions are not only and innovation.
thermal management. Additionally, range of scenarios, including string and industrial frequency converters, servos, extensively applied to white goods such
the company continues to expand its centralized photovoltaic inverters, micro stepping motors, intelligent instruments, as washing machines, air conditioners
innovative solutions, further covering and household energy storage inverters, industrial robots and humanoid robots, and refrigerators, but also cover a wide
areas like body electronics, smart energy storage converters, wind power and provide strong technical support for range of small smart appliances such
converters, charging station system
cockpits, vehicle lighting, chassis
control and modules, AC-DC and DC-DC
raising the intelligence, efficiency and as robotic vacuum cleaners, humidifiers, In 2025, the distribution of NOVOSENSE’s
control, and safety systems, helping reliability of industrial control systems. ironing machines, coffee machines and
the automotive industry move toward a
power supplies, mobile energy storage
health pots, empowering smart home products in terms of downstream
equipment, energy management systems
smarter and more efficient future. (EMS), and uninterruptible power supply life for consumers in an all-round way, applications was as follows:
(UPS). In this way, we are supporting the and making home life more intelligent,
energy industry’s efforts to become more convenient and efficient.
Automotive
efficient, reliable and intelligent, and
promoting the sustainable development
of clean energy technology. electronics
Pan-energy 52.92%
Consumer
electronics 11.86%
The pan energy field mainly refers to industrial applications around energy systems, including various fields such as photovoltaic, energy storage, modular power supply, industrial control, power electronics, and white electricity, from power generation to transmission,
distribution, and finally to power consumption.
A Closer Look at Devising Effective Strategies Putting People First Green Operations:
NOVOSENSE: Chip-Powered Smart Mobility and Safeguarding and Supporting Creating and Sharing Working Together to
Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 07
History
First 3-axis accelerometer SSC First automotive IC released Mass production of temperature ISO driver and ISO amplifier Automotive MCU+Driver, magnetic
ASIC released First digital isolator released sensor IC released switch released
First Pressure sensor SSC Mass production of automotive First MEMS pressure sensor Mass production of Automotive Automotive temperature and humidity
ASIC released qualified pressure sensor IC released ISO product family sensors, CAN SIC, solid-state relays,
ISO power and ISO interface First hall current sensor released low side and high side switches, LED
released & mass production drivers released
Automotive motor driver IC & Real-time control MCU/DSP, high-
Automotive power IC released speed SerDes interfaces and ultrasonic
radar ASSP
Company founded in 2013 Entering the automotive and O b t a i n e d I S O 9 0 0 1 : 2 0 1 5 O b t a i n e d T ? V I S O 2 6 2 6 2 Expanding overseas markets, establishing
Focus on the consumer electronics industrial markets Quality Management System Functional Safety Management branches in Germany Japan, South Korea
market Recognized again as a China Certification issued by SGS System ASIL-D certification and U.S.
Break even national high-tech enterprise Recognized again as a China I P O o n T h e S c i e n c e a n d Recognized as a member of the AEC
Rated as an excellent enterprise national high-tech enterprise Technology Innovation Board Technical Committee
in Jiangsu Province More than 100 million automotive Completes 100% equity acquisition of
chips shipped MagnTek
Successfully listed on the Main Board of
the Hong Kong Stock Exchange
In 2025, NOVOSENSE’s Automotive
Business accounted for over 35.22 % of
the company revenue, with cumulative
shipments of automotive chips exceeding
A Closer Look at Devising Effective Strategies Putting People First Green Operations:
NOVOSENSE: Chip-Powered Smart Mobility and Safeguarding and Supporting Creating and Sharing Working Together to
Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 08
Feature Chip-Powered Smart Mobility for a Sustainable Future
In respect of long-term global carbon neutrality goals, carbon
reduction continues to present significant challenges for the
Chip-Driven Smart Manufacturing: Powering Green and Safe Mobility
industry. The semiconductor industry—as the linchpin for
integrating digital technologies with low-carbon models— As the automotive sector advances along the dual tracks of intelligentization and decarbonization, chips have emerged as the defining
is playing an important role in empowering the green element of product performance and ecosystem value. At the core of our strategy are three foundational technologies – sensors,
transformation. NOVOSENSE has always embraced the concept signal chains, and power management – which form the cornerstone of our product innovation. By embedding safety, reliability and
of technology-driven sustainability and has integrated low-carbon green-efficiency design principles into our development process, we deliver highly integrated, low-power consumption chip solutions
practices into its innovation and cooperation efforts. Through our that meet the highest functional safety standards. These innovations not only ensure the security of every journey, but also actively
technological breakthroughs and partnerships, we have injected reduce energy consumption and resource utilization across the entire vehicle lifecycle. Through this approach, we are transforming
new momentum into the sustainable development of China’s technological advancements into tangible, sustainable mobility offerings.
chip industry.
Featured product
Our automotive LED driver ICs ensure safe and reliable mobility solutions
NOVOSENSE’s automotive LED driver ICs are specially designed for automotive lighting
applications including headlights and taillights. Widely adopted in scenarios such as full-width
taillights, turn signals, brake lights, grille lights, and Intelligent Signal Display (ISD) systems,
these solutions deliver highly integrated driving capabilities for smart automotive lighting. This
product series has obtained DEKRA’s ISO 26262:2018 ASIL B Functional Safety Product
Certification, demonstrating compliance with automotive functional safety requirements for
both systematic and random hardware failures at the ASIL B level. These chips incorporate
multiple safety mechanisms that are able to detect anomalies in both internal components
and external systems. With its additional Fail-Safe control functionality, the solution ensures
systems transition to predefined safe states when malfunctions are detected, significantly
enhancing safety for both vehicle occupants and pedestrians. Through innovative thermal
sharing design, the product series reduces the number of chips needed and the system’s
thermal output, lowering overall energy consumption by the vehicle while extending the service
life of lighting systems. This helps reduce maintenance needs, component replacements,
and related resource consumption across the vehicle lifecycle. This product series is 100%
certified for functional safety, enabling automotive manufacturers and Tier 1 to efficiently meet
global vehicle safety regulations and supply chain compliance requirements.
A Closer Look at Devising Effective Strategies Putting People First Green Operations:
NOVOSENSE: Chip-Powered Smart Mobility and Safeguarding and Supporting Creating and Sharing Working Together to
Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 09
Chip-Driven Smart Manufacturing: Powering Green and Safe Mobility
Featured product Our automotive audio digitization solution redefines audio architecture for sustainable mobility Featured product
Our magnetic position switch
sensors enhance efficiency and device longevity NOVOSENSE’s automotive audio digitization solution is designed in accordance with the latest digital audio network
NOVOSENSE’s magnetic position switch sensors employ non- standards established by China’s National Technical Committee of Auto Standardization. This innovative solution
contact sensing technology to replace traditional mechanical uses a single unshielded twisted pair cable to achieve synchronized transmission of audio, control signals, and clock
switches and potentiometers, significantly reducing system power signals over distances of up to 80 meters. The design eliminates the need for independent power supply at each
consumption while extending the service life of end devices. node, while keeping deterministic latency below 50 microseconds and supporting up to 32-channel capability. These
This solution is being widely applied in industrial IoT, automotive, technical advantages position the solution to meet the demanding requirements of high-end applications such as
home appliances, and consumer electronics, enabling low-power active noise cancellation and high-definition audio systems. By replacing traditional multi-analog cable harnesses
device management, condition monitoring, and safety detection. with digital audio networks, the solution reduces cable harness quantity and weight by approximately 75%, lowers
Through high-reliability design, dual-output architecture, and raw material usage intensity, and indirectly improves energy efficiency through vehicle lightweighting.
multi-configuration solutions on a single wafer, the technology
simplifies peripheral circuits, reduces BOM material usage,
optimizes inventory management, and minimizes production Our impact pressure sensor products enable faster response, building a Featured product
waste. Its compact, low-power design supports more compact strong line of defense for vehicle occupant safety
end products, contributing to energy efficiency and resource
optimization throughout the product lifecycle. NOVOSENSE’s Crash air pressure sensor products address important safety scenarios
such as side collisions, effectively solving the insufficient response of traditional
accelerometers in rapid pole collisions. The China’s New Car Assessment Program
(C-NCAP 2024) has added the side collision tests which demands higher occupant
protection standards, achieving effective identification within 7ms has become essential
for reliable side curtain airbag deployment. This solution introduces pressure sensors
in door areas, and the sensors work synergistically with accelerometers, significantly
improving the timeliness and reliability of side curtain airbag activation. Initially adopted
in premium vehicles, the technology is now expanding to conventional models, providing
more robust passive safety protection for occupants. In terms of safety compliance,
the sensor solution is designed according to automotive functional safety standards,
meeting ASIL B(D) and supporting upper-level system to achieve ASIL D. It operates
reliably under harsh conditions, delivering stable signals for critical occupant protection
systems and ensuring overall vehicle safety performance. We are also evaluating the
feasibility of applying fluorine-free material during chip design for the solution, offering
more sustainable process options while enhancing vehicle safety. This proactive
approach aligns with increasingly stringent environmental regulations and guides
automotive electronics toward safer, more sustainable development.
A Closer Look at Devising Effective Strategies Putting People First Green Operations:
NOVOSENSE: Chip-Powered Smart Mobility and Safeguarding and Supporting Creating and Sharing Working Together to
Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 10
Chip Synergy: Co-building an Open and Collaborative Ecosystem
While deeply cultivating technological innovation, we also
NOVOSENSE actively participates in the development of the “China Featured event
adhere to the industrial concept of “open coexistence”.
We are committed to fostering collaboration with industry Technology Roadmap for Energy-Saving and New Energy Vehicles 3.0”
stakeholders and advancing collective progress in the chip As a representative enterprise in the China’s automotive
sector. We actively organize and participate in industry chip industry, NOVOSENSE has played a pivotal role in the
summits, forums, and other events, deeply engaging in development of the “Technology Roadmap for Automotive Chips”
the development of technology roadmaps and industry under “Technology Roadmap for Energy Saving and New Energy
standards. By collaborating with upstream and downstream Vehicles 3.0”. The company’s technical and market experts were
invited to serve as members of the expert panel, contributing to
partners along the value chain, we drive joint innovation
the formulation of technical pathways, development goals, and
and tackle technical challenges together. We share leading
standard frameworks in critical areas such as automotive-grade
practices and explore cutting-edge technologies with industry
sensors and driver chips. NOVOSENSE shared its technical
experts, enterprises, and partners to consolidate industrial insights and industry practices as part of this process.
synergies and promote high-quality development. During the
reporting period, we partnered with ecosystem stakeholders
across multiple domains to cultivate a collaborative
industrial ecosystem characterized by shared technological
advancements and complementary resources. By pursuing Featured event
Driving an intelligent future and empowering the intelligent electric ecosystem –
the dual strategies of “technological breakthroughs” and
NOVOSENSE attends the China EV100 Forum
“ecosystem co-construction”, we have not only strengthened
our competitive advantages in core markets such as From 28 to 30 March 2025, the China Electric Vehicle
automotive electronics and new energy, but also helped the 100 Forum (2025), themed “Strengthening Electrification,
industry move towards more efficient, clean and low-carbon Advancing Intelligence, and Achieving High-Quality
business models. Development”, was held at the Diaoyutai State
Guesthouse in Beijing. As a leading enterprise in China’s
automotive analog chips, we were invited to attend
the forum. Wang Shengyang, Founder, Chairman, and
CEO of NOVOSENSE, attended the council meeting
and gave an interview to the media. In addition, Yao
Di, Vice President of NOVOSENSE, delivered a keynote
speech at the Smart Automotive Innovation Technology
and Industry Forum, highlighting how Chinese chips can
solidify the foundation of electrification, accelerate the
intelligentization process, and foster global supply chain
collaboration around sustainable innovation.
Devising Effective Strategies and
Safeguarding Sustainable Development
Effective corporate governance is a critical top-level design
for achieving sustainable development. NOVOSENSE
actively responds to the United Nations Sustainable
Development Goals 5, 12, and 16, continuously improves
corporate governance, and empowers corporate sustainable
development with ESG. By integrating ESG concepts into
corporate strategy, we ensure that the company can move
forward steadily and contribute to society in the future.
Our Actions :
● Operate with integrity, abide by business ethics, and organize business
ethics training for all employees at least once a year to ensure that every
employee can deeply understand and practice the company’s core values
● Continuously promote gender diversity and support the development of
women in STEM (science, technology, engineering, mathematics) fields to
promote equal opportunities and inclusive culture construction
● Regularly conduct stakeholder communication surveys and listen to
opinions and suggestions from all parties to ensure that company
decisions fully reflect the needs and expectations of all stakeholders
A Closer Look at Devising Effective Strategies Putting People First Green Operations:
NOVOSENSE: Chip-Powered Smart Mobility and Safeguarding and Supporting Creating and Sharing Working Together to
Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 12
Compliance Governance
Corporate Governance
Corporate Governance
NOVOSENSE is committed to enhancing modern corporate
governance and continuously improving management standards.
The company has established a comprehensive governance
framework that clearly delineates the authority and accountability In 2025, NOVOSENSE convened meetings as follows:
of all key stakeholders, including the General Meeting of
Shareholders, Board of Directors (with its specialized committees),
the management, and operational departments. Each functional
General Meeting of Shareholders Board of Directors Audit Committee Strategy and ESG Committee
department has defined responsibilities, cooperating to ensure
the separate and effective exercise of decision-making, execution,
and oversight functions. By implementing a rigorous, balanced,
and efficient governance framework, the company has achieved
operational stability and sustainable growth.
Nomination Committee Compensation and Appraisal Committee Board of Supervisors
By the end of the reporting period, NOVOSENSE had 9 directors
(including 4 independent directors), including 2 female members 2 meetings 3 meetings 6 meetings 2
(accounting for 22.22% of total members) and 7 male members.
female
Board of
Directors
Male
In 2025, we have reviewed and approved the cancellation of the Board of Supervisors and other related matters.
A Closer Look at Devising Effective Strategies Putting People First Green Operations:
NOVOSENSE: Chip-Powered Smart Mobility and Safeguarding and Supporting Creating and Sharing Working Together to
Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 13
Compliance Governance
Information Disclosure Investor Relations Management
NOVOSENSE diligently adheres to the stipulations outlined in NOVOSENSE focuses on establishing a long-term and stable good relationship with investors, actively carries out investor
the Administrative Measures for Information Disclosure of Listed management based on the principles of compliance, equality, initiative, honesty and trustworthiness, and formulates the NOVOSENSE
Companies , alongside other relevant laws and regulations. Investor Relations Management System in accordance with the NOVOSENSE Guidelines for Investor Relations Management of
We have formulated and implemented a comprehensive Listed Companies . We improve the level of investor relations management, build a two-way communication platform with investors,
NOVOSENSE Information Disclosure Management Mechanism , and promptly convey relevant information on business management and major decisions to investors, thereby enhancing investors’
meticulously organizing the information disclosure process.
understanding and recognition of the company.
Additionally, we have compiled the NOVOSENSE Information
Disclosure Manual for Securities Affairs of the company,
facilitating effective management and execution of information The company continues to improve its communication mechanism with investors and maintains active interaction through diverse
disclosure responsibilities. Upholding the principles of communication channels. These channels include shareholder (general) meeting, SSE e-interactive platform, investor consultation
truthfulness, accuracy, completeness, timeliness, and fairness, hotlines, reception of institutional surveys, participation in brokerage strategy meetings, and performance briefings. Through these
we ensure prompt disclosure of information that may significantly diverse communication channels, we not only answer investors’ questions, but also listen to investors’ opinions and suggestions, and
influence the company’s operations, safeguarding investors’ right provide reference information for the company’s decision-making based on its actual operation.
to pertinent information.
While formulating a sound and effective information disclosure
system, the company comprehensively regulates the behavior
of insiders and information reporting procedures. We rigorously
enforce the transmission, review, and disclosure processes
Received 200 Issued 4 Answered
institutional surveys pieces of investor relations investor calls
for undisclosed information, while enhancing the awareness of
activity minutes
every day
insider information confidentiality and registration among relevant
personnel. These measures are implemented to eradicate
instances of insider trading, and further improve the transparency
and compliance of corporate governance.
In 2025, the company prepared and
disclosed 4 periodic reports
More than 650 institutions attended the performance Responded to questions on
the SSE e-interactive platform
briefings for annual, first and interim reports
and issued 170 other information
disclosure documents.
A Closer Look at Devising Effective Strategies Putting People First Green Operations:
NOVOSENSE: Chip-Powered Smart Mobility and Safeguarding and Supporting Creating and Sharing Working Together to
Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 14
Compliance Governance
Risk Control and Compliance Management
Compliance is the bottom line for NOVOSENSE’s operations. We have incorporated enterprise risk management and compliance management into In 2025, the company continuously refined relevant
our strategic planning, continuously building and improving our compliance system and internal control system. We aim to foster a company-wide policies, including the NOVOSENSE Compliance
awareness of compliance management and enhance our risk management capabilities to ensure the healthy development of the company. Management Operational Regulations in alignment
with regulatory requirements and business needs.
The company has established a robust risk governance and compliance management system. The Audit Committee is established under the It conducts regular compliance risk assessments
Board of Directors as a professional supervisory body. The Internal Audit Department of the Company works independently under the guidance of focusing on key compliance domains, such as trade
the Audit Committee and reports directly to the Audit Committee, exercises its duties independently and is not subject to interference from other control, anti-commercial bribery, intellectual property,
departments or individuals. The department responsibilities are as follows: anti-unfair competition, information security, and
labor and employment. Leveraging the existing risk
Risk control and compliance management structure: classification system and business process framework,
the company systematically identifies and analyzes
Board of Responsible for establishing, maintaining, and ensuring the effective implementation of internal controls within the company.
relevant compliance risks. Based on the likelihood
Directors and potential impact of these risks, the company
performs a graded assessment and comprehensive
Responsible for guiding and supervising the establishment and operation of internal audit function, internal control system and compliance system, analysis, resulting in a supporting risk register along
Audit including reviewing the annual internal audit work plan of the company, listening to reports on internal audit, internal control and compliance with corresponding mitigation measures. Through
Committee governance, evaluating the operation and outcome of internal control system and compliance system, supervising the governance of important rigorous, standardized closed-loop management,
compliance risks and the rectification of major issues. the company ensures the effective implementation
of control measures. Compliance risk assessment,
Management Responsible for the design of company processes and systems, compliance management, and implementation and effective operation of as a critical component of the company’s risk
Team internal control activities in the daily operation process of the company. management system, is embedded with a regular and
formalized operational framework. This mechanism
It consists of an Internal Audit Department, an Internal Control Department, and a Compliance Department to ensure the company’s
continuously supports risk identification, response,
and improvement, aiding the company in maintaining
standardized operation and controllable risks.
stable operations and achieving long-term sustainable
• Internal Audit Department: Carry out internal audit work in accordance with the audit plan approved by Audit Committee, comprehensively development.
audit the business management activities of various functional departments and subsidiaries of the company, and reasonably cover potential
Risk fraud risks during the internal audit process.
Control and • Internal Control Department: Responsible for the construction and implementation management of the internal control system, guiding the
Compliance company in carrying out internal control management work, supervising and inspecting the effectiveness of internal control, and promoting the In 2025, the company provided
Center
rectification of discovered internal control deficiencies.
• Compliance Department: Establish and improve a compliance management system, carry out compliance risk identification and assessment,
amounting to 11 hours
coordinate the promotion of compliance risk governance and response work, and organize the construction of compliance culture and
professional compliance training.
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Compliance Governance
Business Ethics
Anti-Fraud and Anti-Bribery
NOVOSENSE upholds the highest standards of integrity The company adheres to relevant laws and regulations on integrity, self-discipline, and business ethics, including the Company
and business ethics, maintaining a strict “zero tolerance” Law of the People’s Republic of China and the Anti-Money Laundering Law of the People’s Republic of China . We have
policy against bribery and corruption. We hold ourselves formulated a series of rules and regulations such as the NOVOSENSE Anti-Commercial Bribery Management and Operations
accountable for all business activities and are dedicated to Mechanism and the NOVOSENSE Anti-Commercial Bribery FAQs. During the reporting period, the company updated the
fostering a transparent and ethical corporate culture, ensuring NOVOSENSE Anti-Commercial Bribery Code of Conduct and expanded the scope of regulated conduct.
full compliance with laws, regulations, and ethical standards.
We have integrated a comprehensive integrity management NOVOSENSE has joined the China Enterprise Anti-Fraud Alliance and the Trust and Integrity Enterprise Alliance, with a view to
framework into daily practices, establishing an industry-leading strengthening its commitment and practices in anti-corruption and integrity management. Through these efforts, we are not only
governance system. To reinforce this commitment, we have ensuring the company’s compliant operations, but also actively cultivating a culture of integrity in the industry.
established a robust oversight mechanism with multi-channel
whistleblowing system that ensures unimpeded reporting
and accountability. We also have strengthened training and
awareness initiatives, such as anti-corruption training and
mandatory business ethics programs to embed integrity into
corporate culture.
NOVOSENSE’s Management NOVOSENSE has joined the China NOVOSENSE is a member of the
Commitment on Anti-Corruption Enterprise Anti-Fraud Alliance as a member Trust and Integrity Enterprise Alliance
and Anti-Commercial Bribery
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Compliance Governance
The company consistently integrates compliance and internal control requirements into daily To better manage conflicts of interest and promote the standardized development of business
operations through systematic process and mechanism design, ensuring all employees uphold the management, the company has established the NOVOSENSE Conflict of Interest Policy to strictly
principles of integrity and self-discipline in their work, thereby collectively safeguarding the corporate prevent and manage potential related-party transactions, improper benefit transfers, and other
integrity culture. For example, we have embedded risk assessment controls in our procurement and improper behaviors, safeguarding the legitimate rights and interests of the company and its
reimbursement system workflows to identify potential compliance risks, and thereby, enhance our shareholders. Simultaneously, the company has implemented the NOVOSENSE Anti-Fraud and
compliance risk management.
Reporting System , establishing a dedicated professional ethics and fraud case reporting mailbox,
and has developed a comprehensive multi-channel reporting mechanism that includes letters, emails,
NOVOSENSE is committed to ensuring integrity and transparency in business processes. We
actively cooperate with customers to sign integrity agreements or commitments, and require all telephone calls, in-person interviews, and etc., ensuring seamless and accessible reporting channels.
distributors and key suppliers to sign the NOVOSENSE Code of Business Conduct for Business
Partners. Simultaneously, the company actively advances compliance and integrity initiatives within To ensure the confidentiality of reported matters, the company maintains strict confidentiality
internal operations, ensuring full compliance in terms of business conduct through a combination of throughout the processes of registration, report acceptance, investigation, reporting, and storage,
internal and external measures. to prevent leaks or data loss. Any form of retaliation against whistleblowers is strictly prohibited.
Any individual who discloses reported information, retaliates against whistleblowers, or harasses
Supply chain compliance and integrity training and system Featured event investigators faces serious consequences, including dismissal or termination of their employment
co-construction contracts in accordance with company policy. In cases where illegal or criminal activities are
suspected, the relevant parties will be held accountable in accordance with the law.
On June 10, 2025, the company carried out a special activity on supply chain compliance and
integrity, and further deepened the construction of supply chain business ethics by combining
training, publicity and employee co-creation. This event targeted sensitive positions such as The company has established a multi-channel reporting platform, including
procurement, based on business reality, combined with the form of workshops, and revolves specific channels as follows:
around topics such as basic requirements for anti-commercial bribery, typical risk situations,
and code of conduct for communication and standardization. This training achieved 100%
coverage of management and employees in the procurement function, which helps to unify Online platform: Office Automation (OA) reporting platform
internal compliance awareness, strengthen awareness of integrity and self-discipline, and
further enhance employees’ understanding and execution of business ethics requirements.
Email: complaint@novosns.com
The company continues to promote the integration of relevant systems into daily practice,
promote the effective implementation of business ethics management in supply chain
management, and provide support for the construction of a sunny and sustainable supply Address: Internal Audit Department, Suzhou Novosense Microelectronics Co.,
chain system. Ltd. No. 9 Dongdangtian Lane, Suzhou Industrial Park, Jiangsu Province, China
Tel: +86-512-6260-1802 (ext. 812)
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Compliance Governance
To enhance the business ethics competence and compliance Anti-Monopoly and Anti-Unfair Competition Transparent Tax Payment
awareness of all employees, the company has integrated
business ethics into various aspects of employee development, The company places great emphasis on anti-monopoly and anti- Lawful and honest taxation is a cornerstone of enterprises’
including training programs, compliance promotion efforts, and unfair competition management and adheres to the requirements fulfillment of social responsibilities and a demonstration of
awareness research, thereby creating a comprehensive and of laws and regulations such as the Anti-Monopoly Law of the business creditability. The company strictly abide by relevant tax
systematic framework for ongoing education and cultivation: People’s Republic of China and the Anti-Unfair Competition laws and regulations, such as the Regulations of the People’s
Law of the People’s Republic of China actively building a robust Republic of China on the Implementation of the Enterprise Income
To achieve full coverage of compliance and anti commercial
bribery training, the Business Ethics and Code of Conduct internal control system. It has successively formulated and Tax Law and the Announcement on the Relevant Policies for
is included in the training and promotion of employees at implemented specialized policies such as the NOVOSENSE Deepening Value-Added Tax Reform , proactively fulfilling our tax
all levels. In 2025, such trainings have been conducted,
Systematic including: 1 annual training on compliance and business Anti-Unfair Competition Management Policy, the NOVOSENSE obligations, adhering to tax laws, and promptly declaring and
implementation
of training
ethics for all employees, 5 specialized training sessions on Anti-Monopoly Compliance Management Measures and the paying all required taxes to the authorities. By actively supporting
compliance and anti-commercial bribery for new employees,
programs 1 workshop on building the Supply chain Sunshine NOVOSENSE Anti-Monopoly Compliance Manual , clearly defining the implementation of national tax policies, the company not
System, training on anti-commercial bribery as part of the requirements for full-process management, standardizing business only fulfills its role as a responsible corporate citizen but also
Management Turnaround Plan, and special topics of the
company leadership summit.
conduct and operational procedures, and establishing a strong contributes to the sustainable development of the local economy
defense mechanism against monopoly and unfair competition and society.
The official compliance account was officially launched from an institutional perspective.
To effectively manage tax risks, the company has established
Ongoing in April 2025, focusing on core compliance issues such
operation of as anti-commercial bribery and anti-corruption, anti- At the same time, the company is strengthening compliance and a normalized tax risk management mechanism, which includes
compliance unfair competition, and trade secret protection. In 2025, a coordination across the entire industry chain. It has formulated the regular and ad hoc tax risk assessments. This enables the
communication total of 10 dedicated promotional articles were released,
NOVOSENSE Code of Business Conduct for Business Partners , company to accurately identify and promptly address potential
platform continuously reinforcing the compliance mindset of all
employees. which clarifies the standards and behavioral requirements for tax-related risks. Furthermore, the company strictly adheres to
compliance operations among business partners, fostering relevant regulations by ensuring timely and accurate disclosure of
collaboration between upstream and downstream stakeholders. tax information, thereby maintaining the legality, standardization,
From June to July 2025, the company conducted a special
survey on compliance awareness among all employees to Additionally, the company has incorporated anti-monopoly and and transparency of the entire tax management process. The
Comprehensive evaluate the current state of compliance understanding anti-unfair competition requirements into the NOVOSENSE company remains committed to resolutely combating any form of
survey of within the organization. The survey aimed to accurately
Employee Manual , defining employee behavior norms, enhancing tax evasion.
compliance assess employees’ comprehension and implementation of
awareness key compliance requirements, providing valuable data to compliance awareness and risk prevention consciousness
inform future improvements in the compliance system and among all staff, and improving the company’s overall compliance
enhancements to promotional and training initiatives.
management level. These measures effectively prevent various
In 2025, the company rigorously enforced its compliance types of unfair competition and mitigate risks related to anti-
management systems and implemented various promotional and monopoly compliance in business operations.
developmental measures. The corporate culture of compliant In 2025, the company did not
and honest operations has been seamlessly integrated into daily In 2025, the company violate any laws or regulations
business practices. In 2025, we received no reports nor identified encountered no violations related to taxation. The tax
any cases involving bribery, fraud, or other violations of business related to anti-monopoly or management work was carried out
ethics, such as commercial bribery or embezzlement. The effective unfair competition laws and in a compliant and orderly manner.
compliance management constructs a robust defense mechanism regulations.
to support the company’s high-quality growth.
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ESG Governance
ESG Governance The company’s senior management is responsible for decision-making and monitoring related to the plans and actual results of
the company’s sustainable development management to support the supervision of the Strategy and ESG Committee. Meanwhile,
all departments, branches, and subsidiaries collaborate in promoting blueprint planning and operations concerning sustainability
The company has established a sound ESG governance management. This includes studying relevant policies, refining internal systems, establishing robust protocols, conducting ESG
structure. To ensure effective implementation of its practices, and gathering and assessing data. The company has established a normalized ESG communication and feedback
sustainable development strategy, the company has mechanism, actively listening to internal and external opinions and suggestions, and effectively communicating and implementing
established a comprehensive three-tier ESG management measures and feedback in environmental, social and governance, providing a strong organizational framework to support the
system, including board of directors who is responsible for advancement of the company’s sustainable development efforts.
strategic decision-making, senior management who oversees
its implementation and various departments and subsidiaries
executing and implementing specific initiatives. At the board
level, the Strategy and ESG Committee serves as the central Board of Directors
Supervise
governing and decision-making body for all ESG-related
matters. This committee is responsible for coordinating the
planning, execution, and oversight of the company’s ESG
strategy, with core responsibilities as follows: Strategy and ESG Committee
Research and advise on the company’s long-
term development strategy and major investment
Planning &
decisions. Execution Human Brand and
Board Technical Business
Operation Quality Resources and Finance Marketing
Guide the company’s strategic plans related to Secretary Innovation Process & IT
Office Office Administration Center Communication
sustainable development and ESG, and supervise Office Center Center Center Center
the implementation of related work.
Pay attention to ESG-related risks and opportunities
that may have a significant impact on the company’s To deepen the integration of ESG principles into its core business strategy and reinforce management accountability for long-term
business, and put forward corresponding sustainable growth, the company incorporates key ESG metrics—such as customer satisfaction, invention patent counts, IP system
suggestions. development, technology platform advancement, R&D capacity enhancement, supply chain optimization, and organizational capability
building—into senior executives’ compensation evaluations. By employing market-driven incentive mechanisms, the company
Review the company’s annual ESG report.
motivates executives to focus on creating long-term value and embed sustainability into every aspect of corporate management and
operations.
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ESG Governance
ESG Goals
With the support of management, to advance ESG initiatives, Some of the goals are as follows:
the company has set systematic long-term ESG goals aligned
with business needs, implemented annual review processes, and
Continue to build cultural values to help the company gain cultural drive and employee
regularly assessed progress. Based on these evaluations, they
establish specific targets for the following year, ensuring steady recognition for ESG
progress in ESG implementation. Make targeted continuous improvement based on employee satisfaction surveys
Continue to build systematic talent development programs and channels
Human Resources and
Administration Center Integrate corporate knowledge resources and build a knowledge-based organization
Be responsible for publicity and implementation of anti-commercial bribery, including 1
training for all employees, 1 training for suppliers, and 1 training for senior management
each year
Board Secretary Office Implement the anti-commercial bribery compliance management process
Ensure capital investment for production safety
Operation Office Enhance cooperation with car use platforms and use new energy vehicle services to
continuously reduce carbon emissions
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ESG Governance
ESG training and promotion
The company embeds ESG principles into every aspect of its operations and governance, developing a multifaceted ESG training To address the sustainable development needs of the industry, the
and communication framework that combines internal promotion and external outreach. This approach enhances employees’ company has committed to responsible marketing, leveraging multiple
understanding and practical application of ESG, effectively communicates the company’s commitment to sustainability, and fosters a platforms to establish a structured ESG external communication
greener industry ecosystem through collaborative efforts. platform. Through diverse online and offline activities and innovative
media displays, the company actively participates in industry
exchanges, fostering the widespread adoption and collaborative
In December 2025, leveraging the ESG report initiative as a catalyst, the company hosted a kickoff meeting for the ESG
implementation of ESG concepts within the industry.
working group and relevant departments. The meeting featured a dedicated 1-hour session for publicity and mobilization,
aimed at clarifying ESG promotion expectations and assigning departmental responsibilities.
Promotion within the company profile
NOVOSENSE has embedded ESG principles into its corporate profile,
articulating the company’s ESG values and strategic direction to
In October 2025, the company organized a specialized exchange session involving key departments related to ESG, focusing customers, business partners, and other key stakeholders through visually
on the core ESG issues pertinent to each functional area. Drawing from the company’s past ESG practices and industry best compelling presentations.
practices, the interactive discussion explored how relevant departments could integrate ESG considerations into their daily work,
collate relevant materials and actions, and gain a more specific and intuitive understanding of ESG. This exchange effectively Dedicated section on the official website
enhanced the level of attention and awareness toward environmental, social, and governance factors within the organization. The company has established a dedicated “Sustainable Development”
section on its official website. This platform showcases the company’s
ESG concepts, strategic plans, practical achievements, and the latest
updates, serving as a centralized hub for sharing ESG-related information
In June 2025, in celebration of World Environment Day, the company organized a series of internal and external promotional and concepts with the public.
activities centered around the concept of ESG. Externally, the themed video titled “Xindong Earth | Green Subtraction of
NOVOSENSE” was released across multiple social media platforms, showcasing the environmental value of our products Business communication
and effectively communicating our sustainability vision. Internally, the company launched an ESG knowledge competition and In our online promotions, we highlighted advancements in new energy
interactive offline activities, engaging over 150 employees and significantly deepening their understanding and recognition of vehicle systems, renewable energy solutions such as photovoltaics, and
other cutting-edge fields, demonstrating how ESG concepts are deeply
the company’s ESG achievements. integrated into our core business. We showcased the practical pathways
through which the company supports sustainability through technological
innovation. Simultaneously, we contribute to the development of industry
standards, engaging in industry forums, and sharing our ESG best
practices, further driving the green and low-carbon transformation of the
industry through collaborative efforts and synergistic innovation.
ESG promotion in the exhibition hall
We have established an innovative multimedia interactive display area in
our exhibition hall to showcase the application scenarios of our products in
new energy vehicles, photovoltaic energy storage, and other cutting-edge
fields, visually demonstrating the tangible contributions of our products
in advancing green transportation, renewable energy utilization, energy
conservation, and emissions reductions, and strengthening stakeholders’
recognition of the company’s ESG values.
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ESG Governance
Communication with Stakeholders Stakeholder category Issues of concern
Communication methods and the
company’s responses
Countermeasures
• Product quality management • Reporting and communication • Conduct roundtables and townhall
NOVOSENSE regards stakeholder communication as the • Product R&D and technology • Job evaluation and assessment meetings
innovation • Symposiums • Conduct annual employee satisfaction
cornerstone of sustainable development. By establishing a • Occupational health and safety surveys
diversified and targeted multi-channel communication and Company employees • Organize diverse employee training
programs
feedback mechanism, NOVOSENSE collects and identifies
the demands of various stakeholders, incorporates their ESG • Information security and • Daily communication • Adopt TQRDC management dimensions
privacy protection • Special meetings • Conduct annual audits on key suppliers
concerns into the company’s strategic decisions, and deepens • Business ethics • Supplier exchange meetings
the participation of various stakeholders in ESG management, • Supply chain management
Suppliers
so as to enhance the company’s sustainability performance in a • Customer rights protection • Daily operation • Formulate the “Robust & Reliable” quality
targeted manner and effectively respond to the expectations of • Product quality management communication policy to ensure quality
various stakeholders. • Product R&D and technology • Professional service team/ • Conduct customer satisfaction surveys
innovation sales team • Establish a sound complaint handling
Customers • Customer talks mechanism
During the reporting period, we
• Information security and • Release information to the • Conduct training on information security,
also carried out various stakeholder privacy protection public media business ethics, etc.
communication activities, such as • Business ethics • Organize media meetings • Participate in interviews, talks and other
• Product R&D and technology • Accept media interviews media activities
distributors conference, supplier Media innovation
conferences and media summits, • Economic performance • Performance roadshows/ • Conduct investor exchanges, meetings,
to enhance communication with • Product R&D and technology briefings roadshows, etc.
innovation • Investor research and • Regularly publish announcements and
stakeholders. • Product quality management communication disclose information truthfully, accurately
Investors or shareholders • Information disclosure and completely
• Clean energy and renewable • Industry association activities • Strengthen strategic cooperation
energy use • Daily communication • Conduct experience exchange
• Resource and energy • Information disclosure • Adhere to technology innovation, etc.
consumption management
Industry associations • Product R&D and technology
innovation
• Risk control • On-site inspection • Conduct daily communication and
• Resource and energy • Project approval reporting
consumption management • Work report/meeting • Accept supervision and assessment
• Product R&D and technology discussion • Strengthen operational compliance
Government or supervisory innovation management
authorities
• Non-profit charity • Cultural exchange • Take an active part in community charity
• Employee care and rights • Information disclosure activities
• Response to climate change • Carry out multi-party cooperation to
Non-profit or community promote local employment
organizations
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ESG Governance
Analysis of Material Issues
The company attaches importance to the identification and management of ESG issues. Based on To ensure that the issues are comprehensive, pertinent and scientific, the company adopts a
the characteristics of the industry and the actual needs of the company’s operation management, combination of criteria benchmarking, policy analysis, and peer benchmarking and widely collects
we identified, assessed, and screened important sustainability issues systematically. In 2025, feedback from internal and external stakeholders. Based on the results of our research, the
the company completed the updating and optimization of the ESG material issues database and company has completed a comprehensive categorization and rigorous validation process, resulting
continued improving ESG issue management. in the development of a structured ESG material issues matrix, which is fully detailed in this report.
This matrix serves as a cornerstone for prioritizing and executing the company’s ESG initiatives,
offering clear and actionable guidance for their advancement and successful implementation.
Material Issue Analysis Process
Scoring interval
Issue identification Stakeholder survey Setting threshold Forming conclusion
determination
Make extensive reference to Identify and define the factors Extensively invite internal and Based on the company’s actual Compare the materiality score
industry leading practices and that influence the materiality external stakeholders of the circumstances and relevant of each topic derived from the
industry hotspots, combined evaluation of ESG topics, and company to participate in a international sustainability survey with the established
feedback from stakeholders establish a scoring range of 1 survey, aiming to assess the standards, the threshold for threshold to reach the final
and external experts, and to 5 points. likelihood, scale, and scope issue materiality has been set at conclusion of the issue materiality
studied sustainability standards of the impact of each issue. 3 points. evaluation.
in China and international, as Evaluate material issues from
well as ESG rating indicators the perspectives of “financial
in the capital market. We have materiality” and “impact
identified material issues that materiality”, and assign scores
reflect the company’s impact to each issue based on these
on society, environment, and two dimensions.
governance.
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ESG Governance
The matrix categorized the materiality of issues into four tiers based on their financial materiality
Issue No. Issue Category Issue Financial Materiality Impact Materiality
and impact materiality, as follows:
Highly Material
Impact Materiality
Material Highly Material
Financial Materiality
In the future, we will continue to pay attention to feedback from various stakeholders and update
the issue library, and plan to expand the survey scale in addition to the original stakeholders
participating in material issue assessment when conditions are ripe. Our aim is to better understand
Environmental (E) Social (S) Governance (G) the demands of various stakeholders, thereby supporting the adjustment of business management
strategies and the deepening of sustainable development efforts.
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Information Security
Information and Privacy Security To mitigate risks related to information security, we have taken the following steps:
We are committed to effectively protecting trade secrets and personal information of customers
and employees, and strive to ensure information security in business activities and data Enabled the NOVOSENSE User Agreement (in Chinese and English) on the company’s
compliance. We strictly comply with the Cybersecurity Law of the People’s Republic of China, the official website to ensure that user consent has been obtained prior to the collection
Data Security Law of the People’s Republic of China , and other laws and regulations of the places of personal information and that the information collected is accurate, complete and
where we operate, and a series of internal management measures have been formulated. In 2025, comprehensive;
the company also formulated the new NOVNSENSE Information Security Management Committee
Operation Manual, clarifying the information security management framework.
The company has obtained the TISAX (Trusted Information
Security Assessment Exchange) AL3 certification, which
marks that the company has reached an advanced level in the
industry in terms of data security protection and information
risk management, thereby building a solid information security
defense for business operations and win-win cooperation.
The NOVOSENSE Code of Business Conduct for Business Partners includes personal
information protection as a key requirement. By emphasizing supplier compliance and
promoting clear management practices, we can enhance the governance of information
security within our value chain.
During company operations, customers or potential customers are required to provide certain
personal information (such as name, email, company/school) when registering or logging into the
official website. Additionally, our business activities involve the personal information (including
name, phone number, and email) of customer or contract contacts, which pertains to information
security and privacy protection.
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Information Security
The company has developed the NOVOSENSE Employees are required to sign the NOVOSENSE
Employee Manual , which is signed by Confidentiality Commitment as part of the
all employees, specifies confidentiality onboarding process. The commitment defines the
requirements and IT management requirements, scope of the company’s trade secrets, including
including account and password protection, documents, materials, meeting minutes, letters,
data and documents protection, network plans, and computer software owned by the
security protection, customer privacy protection, company, materials of the company’s existing and
security incident reporting, and security training. potential business partners, and customer profiles,
customer information, customer lists and customer
contact information, including in respect of both
the company’s existing and potential customers.
It also defines the confidentiality obligations and
liabilities for breaches, which are binding on all
Formulated a the NOVOSENSE Personal employees.
Information Protection Policy , which includes
the NOVOSENSE Personal Information Impact
Confidentiality obligations and breach of contract
Assessment Operations Guide , clarified the
obligations to be strictly performed by employees:
person responsible for personal information
protection, specified the internal requirements
for the use of customers’ personal information,
established purpose-based use limits and set
appropriate access rights, established a deletion
mechanism for personal information to minimize
the storage time for personal information, and
deleted or anonymized personal information that
exceeded the time limit.
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Information Security
We have also released the NOVOSENSE Confidentiality Policy and the NOVOSENSE Detailed Rules for the
Promotion activities in Cybersecurity Featured event
Implementation of the Confidentiality Policy, which specify relevant requirements related to the information
classification system, encryption system, and review and approval system: Awareness Month
In September 2025, aligned with the objectives of the National Cybersecurity
Week— “to strengthen societal awareness and protective skills in cybersecurity and
safeguard national cybersecurity”—the company elevated its Annual Cybersecurity
Awareness Week to a Cybersecurity Awareness Month. This initiative further reinforced
employees’ cybersecurity consciousness and bolstered the organization’s defenses
The company uses the When an employee uses As part of the employee The information security against cyber threats.
encryption system to encrypt a company computer, all departure process, we department timely supervises
all internal sensitive information documents must be marked examine the outgoing file log and verifies abnormal The campaign adopted a “weekly theme” approach, leveraging the IT service desk
and prevent data leakage. with a confidentiality level, of the employee; and if any situations through regular to disseminate cybersecurity knowledge and utilizing the “internal information
The outward transmission of with “Confidential” being the anomalies are identified, the audits. communication platform” to facilitate interactive discussions among employees. Key
sensitive information requires lowest level; employee’s superior and HR topics for discussion included identifying phishing emails, managing password security,
the approval of the superior; are notified so that further adhering to data protection standards, and mitigating risks associated with public Wi-
action can be taken;
Fi usage. Through these efforts, the program systematically enhanced employees’
cybersecurity awareness and practical protective skills, thereby strengthening the
At the same time, the company has established a robust information security system, which includes the company’s information security defense mechanisms.
NOVOSENSE Data Encryption Management Policy, the NOVOSENSE Access Control Management Policy, the
NOVOSENSE Information Assets Management Policy, the NOVOSENSE Supplier Information Security Management
Policy, the NOVOSENSE Compliance Obligation Management Policy, and the NOVOSENSE Information Security
Review Policy. Together, these policies form a comprehensive mechanism for preventing and controlling information
leaks. Additionally, to address sudden information security incidents, the company has developed the NOVOSENSE
Information Security Risk Management Policy, the NOVOSENSE Information Security Incident Management Policy,
and the NOVOSENSE Information Security Guideline. These documents clarify the risk response process and
In 2025, the company
disposal criteria, and enhance the company’s emergency response capabilities.
experienced no breaches
of customer privacy
The company prioritizes the development of information security awareness among all employees, regularly
or major information
conducting comprehensive training programs and practical exercises that cover the entire workforce. These initiatives
security incidents.
aim to continuously enhance employees’ awareness of information privacy and security. This year alone, two major
information security awareness training sessions were held: a comprehensive security training in June and a network
security-focused session in September. Additionally, the company provides information security training for new hires,
ongoing awareness campaigns, and multiple phishing email simulations, ensuring full coverage of all employees.
Putting People First and
Supporting Employee Growth
NOVOSENSE adheres to the people-oriented philosophy,
actively responds to the United Nations Sustainable
Development Goals 3, 4, 5, 8, and 10. We recruit talents
extensively, care for employees, and are committed to
providing a safe and comfortable working environment
while building a career platform that promotes the
shared growth of both employees and the company.
Our Actions :
● Emphasize employee diversity and ensure that every employee is treated equally
● Continuously optimize the compensation and benefits system to maintain industry
competitiveness, attract and retain outstanding talents
● Conduct annual employee engagement and satisfaction surveys, and take targeted measures
to improve areas in need of enhancement, thereby continuously increasing employee
satisfaction
● Offer various training programs to help employees continuously improve their skills and
capabilities, and support their career development
● Set an annual “zero-accident” goal to comprehensively ensure the occupational health and
safety of employees
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Our Employees
Governance Strategy
The company strictly complies with relevant laws and regulations We strongly believe our people represent the most critical asset for achieving long-term sustainable growth. Therefore, we have
such as the Labor Law of the People’s Republic of China, the put in place open communication channels and robust internal frameworks, through which we ensure the protection of employees’
Labor Contract Law of the People’s Republic of China, the fundamental rights and interests. We periodically assess the current state of our talent pool and anticipate relevant talent trends
Work Safety Law of the People’s Republic of China, the Law of to ensure our teams’ core competencies align with future business needs. By implementing a systematic talent strategy, we are
the People’s Republic of China on the Prevention and Control committed to building a diverse and inclusive workplace. We continue to upskill our people so that they can adapt to new technologies
of Occupational Diseases, and has formulated systems such and evolving work models. We provide equal career development and transition opportunities. In addition, we continuously foster
as the NOVOSENSE Compensation Management System, a safe and healthy work environment to elevate employee well-being and their sense of belonging. Our goal is to ensure that every
the NOVOSENSE Recruitment Management System, the employee can realize self-value and grow personally and professionally along with the company.
NOVOSENSE Management System for Safety Management
Analysis of employee-related risks and opportunities
Organizations and Management Personnel, the NOVOSENSE
Occupational Wellness Management System, the NOVOSENSE
Probability of Impact on the Potential
Fire Control Management System, etc., During the reporting Type Risk/Opportunity description Mitigation measures
occurrence reporting entity financial impact
period, we updated the NOVOSENSE Training Management
System and newly established the NOVOSENSE Comprehensive
Managing Inappropriate human resource Low Medium and Increased Establish an appropriate
Performance Management System. risks incentive and restraint systems, long term operating compensation and benefits
along with inadequate management costs framework that ensures accurate
of key-position personnel, may payroll calculations and processing
In 2025, we have won the trust and support of our employees
lead to talent loss, low operational and that can effectively motivate
through practical actions and gained external recognition:
efficiency, or the leakage of key employees and align with
technical know-how, trade secrets, corporate strategic development
Management Awards Management Awards
(Top Employer) (Best Training Practice) Operating A diverse, equitable, and inclusive High Medium and Decreased Put in place diversified
opportunities work environment contributes to long term operating employee care programs and
improved employee well-being costs an attractive compensation
and a strengthened sense of and benefits framework to
belonging, thereby fully unleashing continuously improve employee
talent potential and innovation satisfaction.
vitality.
We have developed corresponding management approaches to address the employee-related risks and opportunities outlined above.
For further details, refer to the subsequent sections of this chapter.
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Embarking on a New Chapter for a Sustainable Future Sustainable Development Employee Growth Extraordinary Value Build a Green Future 29
Our Employees
Impact, Risk and Opportunity Metrics and Targets
Management
By the end of the reporting period, NOVOSENSE had a total of 1,345 employees, as follows:
We integrate the identification and assessment of employee-
related potential risks and opportunities into our daily operations.
For each identified issue, we develop specific mitigation and
control measures, which are designed to enhance our overall Gender Age Location
employee management system and further stimulate the vitality of
talent for the company’s sustainable growth.
We identify employee-related potential risks in 2025 2025 2025
Risk
various areas including employee rights protection, Male 882 Female 463 <30?419 30-40? 696 China 1,320 Overseas 25
employee career development, and human
identification 40-50?217 >50?13
resources compliance management, and evaluate
how these risks would impact the company. 2024 2024 2024
Male 770 Female 402 <30?402 30-40? 608 China 1,155 Overseas 17
We assess and assign a response priority level 40-50? 158 >50? 4
Risk to each identified risk. These assessment results
assessment serve as the basis for formulating mitigation
measures and risk management plans.
Employment
Education
Type
The Human Resources Department works with
Response the relevant responsible departments to develop
measures a specific response plan according to the specific
response priority level. 2025 2025
R&D personnel Non-R&D Doctor’s Degree Master’s Degree
On a regular basis, the Human Resources Department
works with the relevant responsible departments to 2024 2024
Risk
conduct reviews and tests of the implementation of Doctor’s Degree Master’s Degree
monitoring R&D personnel Non-R&D
human resources-related controls to verify whether 19 458
the planned responses are operating effectively. Bachelor’s Degree 505 Others 190
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Our Employees
Employee Recruitment Employee Resignation
We are committed to the principles of open recruitment, fair competition, and merit-based We uphold the legal rights and interests of former employees during the resignation process,
selection. The NOVOSENSE Employee Handbook explicitly prohibits discrimination based on ensuring all steps are lawful and compliant. Furthermore, we maintain an open attitude towards
ethnicity, race, skin color, religion, gender, age, or disability, to ensure equitable treatment for all rehiring former employees and make sure that they know they are welcome to rejoin NOVOSENSE
candidates throughout the hiring process. Our recruitment procedures and selection criteria are in the future.
guided by annual staffing plans and hiring strategies across departments, maintaining consistency
and transparency. In 2025, the turnover rate of NOVOSENSE employees was 13.61%, which is lower than the industry
average.
Through multiple public channels – including our official WeChat account, corporate website, and
recruitment platforms – we disseminate job information using accessible and non-discriminatory
language. This ensures clarity, understandability and inclusivity in all job postings. Additionally,
NOVOSENSE provides training to interviewers, emphasizing adherence to the principles of 2025 2024
“compliance, fairness, qualification-based entry, and mutual choice” in recruitment. In alignment
with our global business strategy, we expanded our talent acquisition efforts to multiple countries
Male 13.95% /
during the reporting period, successfully hiring employees from Japan, South Korea, Germany,
By gender
France, Italy, and the United States. We believe that team members from different backgrounds
bring different perspectives and ideas that can enhance the creativity and performance of the team. Female 12.96% /
In 2025, 37% of new hires joined through employee referrals. Competitive compensation, benefits, China 13.64% 9.96%
and robust career development opportunities not only elevate employee satisfaction but also By region
motivate existing staff to recommend outstanding talents. 17% of new hires originated from campus Overseas 12.00% 5.88%
recruitment, reflecting our strong appeal to universities and our commitment to nurturing young talent.
proposition and career opportunities to high-caliber professionals in the broader market. By age
>40 11.74% 10.49%
New hires in 2025
mployee 17% crecruitment
ampus 83% srecruitment
ocial
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Employees’ Rights and Interests
Protecting Employees’ Rights and
Interests Prohibition of Child Labor and Forced Labor Comprehensive Performance Management
We explicitly prohibit the employment of minors. We utilize I n 2025, w e r e v i s e d t h e N O V O S E N S E C o m p r e h e n s i v e
NOVOSENSE upholds a people-centric approach, safeguarding professional recruitment platforms, requiring all applicants to Performance Management System. By setting clear performance
the rights and interests of employees and fostering a conducive truthfully input their age information into the system prior to goals, implementing timely and effective process management,
work culture. In strict compliance with relevant local laws and onboarding. The system includes a minor age reminder function, and ensuring fair and impartial evaluations, we have advanced
regulations, including the Labor Law of the People’s Republic and the backend allows verification of applicants’ age data to performance management through a PDCA (Plan-Do-Check-
of China, the Labor Contract Law of the People’s Republic prevent child labor at the source. The NOVOSENSE Employee Act) closed-loop cycle. Our performance management cycle
of China, the Law of the People’s Republic of China on the Handbook provides channels for reporting child labor-related aligns with the natural calendar year, during which employees
Protection of Minors and the Law of the People’s Republic issues, including suggestions, complaints, or grievances work with their manager to align goals and develop action plans,
of China on Trade Unions, we have put in place a safe and to line managers/department heads, or Human Resources. regularly communicate their progress, and conduct periodic
healthy working environment, and an appropriate recruitment We have also established an “Employee Voice” mailbox for reviews to drive a closed-loop of continuous improvement.
and remuneration policy. We respect the rights of all employees communication, offering anonymous reporting options to fully We have launched a leadership empowerment program to
and offer them competitive compensation and welfare benefits. protect employee rights. Relevant responsible departments equip managers with performance management tools. To
Through these actions, we aim to build trust and support from or individuals are required to respond to reports within seven ensure transparent communication during annual performance
employees and foster harmonious, stable labor relations. working days, conduct investigations and follow-ups, and evaluations, the company specifically organizes performance
provide conclusions and feedback. communication sessions for managers and employees before
annual performance reviews. Through a multi-level evaluation
Employment Contract Signing We ensure all employees receive appropriate protection and and coordination process involving employees, managers, senior
benefits, and we strictly prohibit the use of unqualified workers, executives, and the CEO, we ensure the relative fairness and
We ensure that 100% of our employees are provided with labor as well as forced or compulsory labor. We have put in place objectivity of the evaluations. If employees have objections to
or service contracts that comply with regulatory standards, robust policies and processes to manage and supervise our their performance results, they can appeal through appropriate
explicitly stating their positions, working hours, labor protections, recruitment, training, and working conditions, including regular channels, with the Human Resources and Administration Center
and compensation details. We are fully committed to protecting reviews, compliance reporting, and the receiving and addressing taking the lead in communication and feedback.
the legal rights and interests of every employee. of complaints. This guarantees our employees are treated with
respect and fairness.
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Employees’ Rights and Interests
Compensation and Benefits Human-centric Management Employee Communication
In accordance with national laws and regulations, as well as local NOVOSENSE embraces a human-centric management approach To communicate with employees, we have built seamless
requirements in regions where we operate, we have established that harmonizes standard and flexible working hours. Under communication channels through diversified engagement
the NOVOSENSE Compensation Management System. We aim the standard working hours framework, employees have the activities, enabling us to gain a timely understanding of employee
to establish a fair and appropriate compensation system linking flexibility to adjust their schedules with the approval of their needs while strengthening cohesion. Our work-in-progress
employee remuneration to the company’s financial performance Line managers. Additionally, we offer VPN solution to facilitate employee communication framework consists of three strategic
and their contribution. This is to ensure fairness and to enhance employees’ work remotely or from home, thereby improving components:
our talent attraction, motivation, and retention. We ensure that work efficiency and quality of life.
our compensation policy is fair and reasonable, competitive, Top-down communication: Regular town
cost-effective and able to effectively motivate our employees. In hall meetings and direct executive-employee
compliance with national and local labor laws and regulations, engagement sessions.
we provide statutory benefits such as social insurance, housing Labor Union Activities
Interactive engagement: Thematic
provident funds, and paid annual leave. Beyond statutory roundtable discussions and technical
requirements, we offer market-competitive supplementary NOVOSENSE actively listens to employee feedback and is knowledge-sharing salons.
benefits, including paid welfare leave, supplementary commercial committed to safeguarding employee rights while driving
sustainable corporate development. To this end, we have Bottom-up feedback: Enterprise-wide
insurance, team-building funds, holiday greetings gifts, and digital platform for internal communication,
employee birthday allowance. established a labor union with 100% employee membership.
CEO mailbox, etc.
In 2025, we revised the NOVOSENSE Attendance and Leave Through the union, the company ensures employee voices are
Management System to further standardize our national public heard, and we promote initiatives that enhance our people’s
holiday and company-provided additional annual leave policy. welfare and professional growth. The labor union regularly
We offer flexible work hours to help employees achieve a healthy organizes team-building activities, cultural celebrations and
work-life balance. In accordance with national policies, we offer health programs, among other initiatives, with the goal of
female employees maternity and breastfeeding leave, as well as enriching employees’ work-life experience and boosting their job
providing paternity and childcare leave for all employees. satisfaction and sense of belonging.
For our international employees, we have established a
dedicated Global Operations Task Force to systematically collect
and respond employee feedback from overseas locations.
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Employees’ Rights and Interests
Annual Employee Engagement and Satisfaction Surveys Employee Shareholding
We conduct annual employee engagement and satisfaction surveys to gauge our staff’s overall NOVOSENSE has fully implemented employee shareholding plans to motivate staff and align
perception of the company, engagement levels, and satisfaction with various aspects such as the their personal growth with the company’s corporate development goals. Prior to our listing on
work environment, compensation, growth opportunities, and promotions. Additionally, this survey China’s A-share market, we set up three employee stock ownership plans: NOVOSENSE No. 1,
serves as a platform for employees to voice their ideas and suggestions. NOVOSENSE No. 2 and NOVOSENSE No. 3, enabling our people to directly participate in the
company’s growth. After listing, the company launched two equity incentive plans to further align
Survey results are disclosed across the company in the following year to ensure that all employees employee and corporate interests. These initiatives have engendered greater enthusiasm and
understand our overall engagement and satisfaction levels, as well as improvement plans. creativity among employees while fostering shared growth.
In 2025, our employee shareholding was as follows:
In 2025 employee engagement and satisfaction survey, employees participated
Since the company’s listing in 2022,
a total of 8 million restricted
enthusiastically (91.4 % of active employees participated in the survey).
In this all-employee survey, we used the engagement dimensions (motivation, have been implemented
achievement, vitality, loyalty, identification, and satisfaction) to understand employees’
attitudes toward the organization and work, and used the satisfaction dimensions (good
leadership, good direction, good work, good culture, and good return) to identify the
factors that drive employee engagement, located problems, and understood the root granting shares to employees; representing
causes. The survey result showed an engagement score of 88.0 and a satisfaction score
of 87.5. With the collaboration of heads from various departments, we formulated targeted
improvement initiatives and periodic review plans to ensure continuous progress.
a cumulative basis total share capital
Active staff participation: Engagement score: Satisfaction score:
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Employees’ Rights and Interests
Employee Activities
At NOVOSENSE, we integrate employee care into our daily operations.
We have put in place diverse, inclusive employee activities and welfare
initiatives. We work to foster a warm and inclusive corporate atmosphere
to bring an enhanced sense of belonging and well-being for employees
and aim to build a sustainable ecosystem for mutual growth between the
company and our workforce.
Festive Care and Daily Welfare
We have designed a comprehensive employee welfare system around
festive and daily scenarios, ensuring care extends to employees across
regions and roles while strengthening value alignment between employees
and the organization.
International Women’s Day Craft Activities: On 7 March 2025, our
Suzhou, Shanghai, and Shenzhen offices jointly hosted craft workshops
for female employees, delivering festive gifts as well as immersive
experiences to celebrate the occasion.
Traditional Festival Welfare: For Dragon Boat Festival, we distributed
customized camping gift boxes to encourage employees to connect with
nature and balance work and life; for Mid-Autumn Festival, we provided
mooncakes and personalized RUI XIANG cards (pre-paid gift card),
preserving traditional customs while offering flexible options to meet
diverse preferences and enhance employee satisfaction.
Themed Afternoon Teas: We have introduced monthly themed afternoon
teas across offices since 2025, covering festivals like Lantern Festival
and Halloween, as well as creative sessions such as ice cream DIY and
childhood snack sharing. These events are designed to create equal
cross-departmental interaction opportunities, breaking down barriers and
increasing bonding within the organization.
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Employees’ Rights and Interests
Cultural, Sports, and Health Initiatives Family Care and Cross-Cultural Engagement
To prioritize employees’ physical and mental health, we have launched diverse cultural, sports, and We foster family care and cross-cultural engagement. To this end, we have created diverse
health initiatives, designed to help reduce occupational health risks by encouraging employees to interactive platforms designed to enhance cohesion and collaboration within or across teams by
maintain a healthy lifestyle and support their holistic development. eliminating misunderstandings or misconceptions and to drive diversity within the organization.
Family Day Event Featured event
In May 2025, we launched the In July 2025, we opened interest standing practice of
“Lose Weight, Gain Health” clubs for badminton, basketball, providing each department In August 2025, we organized a Family Day event in our
workout challenge, mobilizing photography, and board games. with discretionary team- Suzhou and Shanghai offices, themed “NOVOSENSE Family
and motivating employees These clubs allow employees from building funds, recognizing Day: Together Towards a Better Future”. Using this initiative,
to cultivate regular workout different departments to engage in and respecting the diverse
habits. non-work-related activities based we extended our care for employees beyond the workplace.
needs of our employees,
on shared interests and provide an Our Family Day activities included a flea market, interactive
strengthening team trust
extra way for them to strike a better through self-organized games, and the “Chip Classroom” session, which all
work-life balance for enhanced activities. together provided an extra opportunity for our employees to
workplace well-being. bond and spend some quality time with their families and for
their families to experience and appreciate their hard work
We have maintained a long- and our corporate values. This initiative vividly reflected our
commitment to encourage “decent work” and “work-life
balance” under ESG principles.
Our Global Culture Exploration Program Featured event
Our annual sports games Featured event
In July 2025, we launched a “Global Culture Exploration Program”, inviting our overseas
In early June 2025, we held a two-day sports event in Shanghai. More than just games, employees to share videos or photos that capture local authentic cityscapes and culinary
this initiative showcased our commitment to employee well-being and team cohesion. By traditions. This initiative serves as a cross-cultural bridge, bringing to life the richness of
increasing physical and mental health awareness and collaboration, the event underlined our global cultures and dissolving cultural misconceptions. By promoting cultural understanding
unwavering focus on staff welfare and wellness. Also, by integrating inclusion and diversity and integration within our global workforce, the program exemplifies our ESG commitments
in our design of the activities, including fun ball games, we further strengthened employee on diversity and inclusion.
cohesion and their sense of belonging.
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Training and Career Development
Employee Training
To upskill our employees and achieve sustainability over the long term, we continue to improve our employee training
and development mechanism. Through standardized and systematic training programs, we provide every employee Launch of our e-learning platform Featured event
with equal access to high-quality learning and development opportunities at NOVOSENSE. NOVOSENSE Academy
During the reporting period, we updated and implemented the NOVOSENSE Training Management System, On April 23, 2025, our e-learning platform NOVOSENSE
designed to further establish training requirements at the corporate and department levels and in key business Academy was officially launched as a strategic initiative to
areas, highlighting the importance of training planning and maintaining consistency and sustainability in training empower our employees throughout their career development at
program design. Our talent development framework consists of three pillars: Leadership, Professional Competence, NOVOSENSE. With this digital learning platform, we encourage
and General Knowledge and Skills. These training programs cover all employees by using a combination of online self-learning, knowledge sharing, and interactive collaboration. To
and offline methods. Employees are encouraged to take and complete training courses in accordance with their job reward participants with points and credits commensurate with
requirements and business lines. This approach ensures equal access to learning and development opportunities for their engagement levels, we have developed the NOVOSENSE
all staff. Academy Management Guidelines.
For new hires in China and overseas, we continue to expand our training scope with updated training topics and
improved course design. We use a combination of e-learning courses and in-person training sessions to cover a
variety of topics, including general information about NOVOSENSE and NOVOSENSE’s corporate culture, quality
management, compliance & risk control requirements, and IT systems, among others. These training initiatives are
designed to help employees understand our operational frameworks and compliance requirements and develop their
accountability and risk awareness. To accumulate and pass on our expertise and experience, we leverage activities
such as tech salons as part of our structured approach to transferring professional expertise and experience. We aim
to gradually establish a knowledge-sharing mechanism that supports the co-construction of employee capabilities
and the enhancement of organizational learning ability.
Through our continuous capability-building efforts and effective learning platforms, we have not only equipped our
employees with enhanced skills and resilience, but also strengthened our learning agility as an organization. This
ensures a stable supply of talent for us to maintain robust and compliant operations and value creation over the long
term.
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Training and Career Development
To identify and develop internal trainers, the company invites
knowledgeable and experienced colleagues to share their
expertise. This approach helps transform tacit knowledge into Percentage of Average training Percentage of Average training
explicit knowledge and organizes existing explicit knowledge, employees trained duration/hours employees trained duration/hours
driving the development of a robust knowledge management
mechanism and support the building of a learning organization. By gender
Furthermore, we organize diverse knowledge-sharing activities to
foster a more positive and open sharing culture. Male 100% 25.67 100% 28
Training Implementation:
Female 100% 27.43 100% 29
Aims to enable the company to better extract and
disseminate the professional knowledge of the By job grade
members of the organization, enhance the knowledge
value of the organization, put into practice the cultural
Senior
value of "Keep Learning”, and provide employees 100% 33.20 100% 24
management
with more opportunities for self-cultivation and
development, so as to achieve win-win results for
Middle
the company and employees. In 2025, the number 100% 15.83 100% 36
management
of internal trainers increased to 216, and the internal
training provided covered nearly 7,177 participants.
Other
Knowledge Sharing: employees
Aims to promote the accumulation, sharing and
dissemination of knowledge and experience within
the company, stimulate the enthusiasm and passion
of employees to actively share, realize the integration
During the reporting period, NOVOSENSE
invested nearly achieving 100% These efforts significantly
enhanced employees’
of internal resources and the improvement of employee coverage, professional skills and
human efficiency, create a better learning-oriented CNY capabilities, boosting
organizational atmosphere and establish incentive
holding 356 sessions, 24.60 hours
measures. the company’s overall
with competitiveness.
of training on average per
employee,
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Training and Career Development
Employee Development Career development paths:
For employees who aspire to specialize in a technical field, NOVOSENSE provides systematic training and development opportunities to help them enhance
their professional technical capabilities. We encourage employees to become experts in their fields through continuous learning and practice. We have
A robust talent pipeline is essential to our business operations established and released key frameworks including the Career Ladder Criteria, Benchmark Job Competency Criteria, Technical Expert Qualification Criteria,
and sustainability over the long term. By meeting training needs Professional along with the clarification of authorities, responsibilities, and benefits. These criteria aim to better guide employees in deepening their technical expertise
track and achieving sustainable career growth. Notably, the Benchmark Job Competency Criteria now apply to 65% of our workforce. Additionally, the first-round
from individuals in different roles and in different career stages, evaluation of the NOVOSENSE Technical Committee members has been successfully completed, and ongoing technical seminars continue to be held to foster
we continue to enhance our competency-based training and knowledge sharing.
development mechanism, and systematically train and develop For employees who aspire to move into management roles, NOVOSENSE offers leadership programs to help managers adapt to their roles and improve their
individuals in key roles and key capabilities. management and leadership skills. By taking various training courses and gaining practical experience, managers can more effectively lead their teams and
Management promote the achievement of the company’s strategic goals. We have further refined and clarified our “selection, appointment, development, retention and
track exit” policies and processes for managers. Building on existing frameworks, we have systematically defined the mission, responsibilities, and competency
We have established a dual-track career development requirements for managers. We have strengthened our transition programs for new managers, the XIN KONG program for experienced managers, and the
system integrating management and professional pathways, Advanced Management Program. Additionally, we successfully hosted our First NOVOSENSE Leadership Conference.
supplemented by a horizontal development mechanism, to For employees who aim to broaden their career horizons, NOVOSENSE offers internal job transfer and internal recruitment, enabling employees to gain
provide employees with transparent, diverse, and sustainable Lateral
broader experience through different roles and expand their career paths. Such cross-departmental collaboration not only enhances employees’ overall skills
rotation
career guidance. but also strengthens teamwork across different teams.
Career Development Paths Regarding career development and promotion, we have established a robust selection and development mechanism centered on job
competency, work performance, and business needs. Within the relevant policy frameworks, we carefully consider the employees’ own career
.BOBHFNFOU 4VCKFDU"SFB&YQFSU aspirations to provide eligible staff with opportunities for expanded responsibilities and career growth. This mechanism helps ensure fairness
and compliance with the established procedures, supporting the orderly development and sustainable growth of our talent pipeline.
For Campus hire: to facilitate the transition of new graduates from academic to professional environments, we have implemented
%JSFDUPS 1SJODJQBM&OHJOFFS XIN HUO a phased development approach integrating structured training with job-based practice. This is to prepare them for their job
Program professionally, help them quickly adapt to the new environment and support them in further understanding, adapting to and improving
.BOBHFS &OHJOFFSJOH.BOBHFS For key business personnel: we focus on the three key competency indicators – goal planning, critical thinking, and problem-solving.
XIN SHI Through mid-to-long-term integrated training programs that combine theoretical development with practical application, we aim to
program build foundational capabilities and strengthen our critical talent pipeline. During the reporting period, 35 participants successfully
&YQFSJFODFE&OHJOFFS completed the first cohort of this systematic development initiative.
For frontline managers: we have put in place systematic training on management knowledge and practical application, which
+VOJPS4FOJPS&OHJOFFS XIN KONG
are designed to support frontline managers in clarifying their roles and responsibilities and improve their business execution and
Program
management skills. During the reporting period, 24 frontline managers participated in the XIN KONG program.
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Occupational Health and Safety
At NOVOSENSE, we place a high priority on employees’ health and safety, and we continue to We maintain a rigorous commitment to occupational health and safety. Annually, we engage
strengthen our safety policies and practices to foster a secure and healthy work environment. Based an independent third-party to conduct occupational hazard testing and evaluation in our
on the Work Safety Law of the People’s Republic of China, the Law of the People’s Republic of China laboratories, with all test results meeting regulatory standards. In addition, our EHS department
on the Prevention and Control of Occupational Diseases, and other relevant laws and regulations performs annual environmental, health, and safety risk identification and assessment, with
of the places where we operate, we have formulated the NOVOSENSE Management System for outcomes consistently indicating low risk levels. Based on various risk categories, the company
Safety Management Organizations and Management Personnel, the NOVOSENSE Occupational implements preventive and emergency preparedness from perspectives including equipment
Health Management System and the NOVOSENSE Fire Control Management System by drawing safety and management controls.
on management concepts and methods from leading global practices. During the reporting period,
we introduced the NOVOSENSE Hazardous Chemicals Safety Management System to standardize
our practices and establish required procedures for the purchase, transportation, loading/unloading, In 2025, we maintained an impeccable
storage, usage, and disposal of hazardous chemicals. We have established a production safety safety record with no safety violations,
committee and clearly defined the production safety responsibilities of departments and personnel at employee injuries, or occupational
all levels. In accordance with the NOVOSENSE Production Safety Meeting Management System, we disease incidents reported. No fatal
hold at least a production safety-related meeting every quarter, ensuring the steadily advancing safety workplace accidents occurred in 2025
management work. or during the preceding three years,
demonstrating the effectiveness of
CEO our safety controls and our sustained
commitment to operational excellence.
Board
CTO COO Operation Quality Central
Secretary
Office Office Office Office Functions
Office
EHS
Organization Chart of NOVOSENSE’s Safety Committee
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Occupational Health and Safety
Production Safety Training Occupational Health Management
We continue to improve our safety culture, further enhance safety awareness through employee training, and regularly carry out safety
and Radiation Protection
awareness and safety capability training in multiple dimensions around the occupational health and safety management system. We
want to ensure that employees understand the necessary production safety knowledge, improve employees’ safety literacy and safety At NOVOSENSE, the primary occupational health hazard is
ionizing radiation in respect of X-ray positions. To address this
awareness, enhance employees’ attention to production safety, and create a strong production safety atmosphere.
issue, we have established a multi-tiered protection system that
covers annual safety inspections and declarations for radiation
Throughout the year, we systematically conducted safety training programs covering multiple key areas, including specialized chemical equipment; portable radiation detectors in work areas, with
handling, electrical safety, radiation protection, personal protective equipment (PPE), general safety knowledge, and fire safety. We regular environmental hazard monitoring; strict pre-employment,
installed Automated External Defibrillators (AEDs) in key office areas and engaged external professional firms to deliver specialized AED on-the-job, and post-employment health checks; and requirements
for all staff who may reach X-ray to wear personal radiation
training. Training topics include cardiopulmonary resuscitation (CPR) essentials, hands-on practical skills, and the proper use of AED
dosimeters to track cumulative exposure in real time. By
devices. These initiatives have further enhanced employees’ safety awareness and emergency response skills, effectively managing compliance in respect of equipment, dynamic
environmental monitoring and individual protection, we have
Featured event
Our fire safety drill in 2025 achieved zero cases of occupational radiation diseases for three
consecutive years.
On November 25, 2025, to reinforce our safety management system and enhance employees’
At NOVOSENSE, we place a high priority on employee feedback
emergency response skills in fire incidents, we conducted a comprehensive fire safety drill. The
regarding health and safety in the workplace. We regularly collect
exercise comprised the orderly evacuation of staff to designated safe zones, rapid assembly employee input through proactive engagement, including soliciting
at pre-determined gathering points, and demonstration of the proper use of fire extinguishers. 案例 assessments on the availability and usability of personal protective
Post-drill analysis identified several improvement opportunities, which were immediately addressed equipment (PPE). The EHS Department oversees the distribution of
through targeted action plans. PPE, while the Quality Department conducts cross-verification to
ensure compliance with relevant usage and storage requirements,
thereby safeguarding employee safety.
NOVOSENSE’s production safety data in 2025: We are committed to supporting the physical and mental health
of every employee. To this end, we have integrated a range of
mental health and stress management courses into our training
Safety costs Safety training Safety Drills platform, designed to raise awareness and equip employees with
tools to regulate their psychological well-being. We have also put
in place diverse activities and resources – including sports events,
Total number fitness classes, family days, and interest clubs – to help employees
of participants: alleviate stress, demonstrating our tangible commitment to
CNY Organized Organized types of
employee care.
training sessions safety drills throughout
throughout the year the year
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Social Welfare and Responsibility
NOVOSENSE keeps fulfilling corporate social responsibility while
Featured event
developing rapidly and growing in scale. We actively participate Agricultural assistance activity – purchase of charity oranges
in community charity activities in the places where we operate,
give back to society through donations, agricultural assistance In early December 2025, NOVOSENSE launched a third
and other behaviors, and strive to promote harmonious agricultural assistance activity – purchasing charity oranges
integration between the company and the community and from fruit farmers with disabilities and distributing them to. The
achieve common development of the company and the amount reached CNY78,000. This warm initiative supported
community. disabled fruit farmers, conveyed the company’s care for
employees and customers, and also fulfilled the company’s
social responsibility.
NOVOSENSE donated to Featured event
the “SMIC Liver Transplant
Program for Children”
In September 2025,
NOVOSENSE donated
CNY100,000 to the Featured event
Acts of kindness – extending care at welfare institutions
China Soong Ching Ling
Foundation under the
On May 29, 2025, NOVOSENSE donated supplies worth
“SMIC Liver Transplant
CNY9,500 to underprivileged children at the Renai School
Program for Children” to
in Suzhou Industrial Park, Jiangsu Province, China. These
help teenage liver patients
children include orphans, those with serious illnesses or
from poverty-stricken
disabilities, and those from low-income families. The donation
families nationwide receive
not only brought warmth to the children but also raised
medical operations.
awareness among labor union members about disadvantaged
groups.
NOVOSENSE firmly believes that the company’s growth is deeply rooted in societal support and trust. In the future, we will continue to actively promote social causes, encourage our employees to engage
in charitable activities and support these efforts through practical action.
Creating and
Sharing Extraordinary Value
NOVOSENSE actively responds to the United Nations
Sustainable Development Goals 7, 9, 11, and 17, committed
to ensuring superior quality through technological innovation
and becoming a reliable partner in the global industrial supply
chain. The company consistently upholds its core values of
“Robust, Reliable, Keep Learning, Persist in Long-term Value”,
focusing on R&D and innovation. With the mission of "Sense
& Drive the Future: Build a Green, Smart and Connected
World with Semiconductors”, NOVOSENSE aims to make
contributions to sustainable development.
Our Actions :
● Continue to pursue sustainable businesses, with the company’s automotive
electronics, renewable energy and power, and industrial automation businesses
accounting for over 80%
● Further expand the R&D team, with about 50% of the company’s employees from
the R&D department
● Cooperate with a number of colleges and universities, focusing on joint training of
talents while promoting industry-university-research cooperation
● Through technological innovation, the company ensures superior quality and
becomes a reliable partner in the global industrial supply chain
● Enhance the resilience of the supply chain and further ensure business continuity
and customer trust
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Technology Innovation
Focusing on client applications, NOVOSENSE continues to
develop competitive chip products, and has established strong
Governance
technical barriers across multiple fields, including sensors (e.g.,
magnetic, pressure, temperature, and humidity sensors), signal At NOVOSENSE, we firmly believe in the importance of managing and protecting intellectual property
chains (e.g., isolators, interfaces, and universal signal chains), rights. To this end, the company has developed several internal policies, including the NOVOSENSE
power management (e.g., drivers, power path protectors, and Intellectual Property Management Policy, which provides detailed regulations on patent management,
high-side/low-side switches), as well as MCU and MCU+ series. trademark management, integrated circuit layout design management, computer software copyright
At the same time, we attach importance to the building of basic management, intellectual property search management, intellectual property agency management,
R&D capabilities, including core IP accumulation, functional and other related matters. The company has implemented a standardized patent evaluation
safety development capability, process development capability mechanism, defined clear patent review and evaluation criteria, and centralized patent management
and product engineering capability, forming the R&D base of through an online system to ensure the efficiency and quality of patent applications. Additionally,
NOVOSENSE. In addition, we encourage innovation, especially employees are required to adhere to relevant laws and regulations on intellectual property, as well as
around customer applications, and strives to provide greater value the company’s internal intellectual property rules, ensuring legal and compliant practices in research
to customers through new products, technologies and processes. and development, production, sales, and other areas.
In terms of the research and development system, we have put in place comprehensive and robust R&D systems and processes:
TR1-Project Initiation TR1A-Planning TR2-Design TR3-Introduction TR4-Pilot Production
Requirement Project Pilot Mass
Planning Design Introduction Maintain
Research Initiation Production Production
PSD0 PSD1 PSD1A PSD3 PSD4 PSD5
Review Review Review Review Review Review
Note: Technical Review, TR, Product Status Document, PSD.
NOVOSENSE’s R&D processes
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Technology Innovation
Strategy
Sustained innovation serves as a cornerstone for fostering long-term partnerships and trust with business partners and other
stakeholders. It is also a crucial enabler for maintaining technological competitiveness and driving the company’s long-term
development. By consistently investing in R&D, nurturing talent, and building strategic business networks, the company fosters the
accumulation of technical expertise and optimizes its product portfolios. This approach drives the evolution of products and solutions
toward higher efficiency and intelligence, ultimately ensuring the steady advancement of our innovation initiatives.
Analysis of risks and opportunities related to innovation
Risk/Opportunity Risk Impact Potential
Type Response measures
description Probability cycle financial impact
Intellectual The company holds a Low Short to Decrease in • Conduct intellectual property
property risks substantial portfolio of medium operating training.
patents, posing a risk of term income • Establish a monitoring mechanism
Intellectual Property Compliance unauthorized use of its for intellectual property infringement,
Management System Certification intellectual property during using big data technology to
business operations. monitor infringement behavior in the
market in real time, and take timely
To foster R&D innovation, we have implemented a comprehensive
legal measures.
incentive mechanism centered on intellectual property rights. This
mechanism rewards research and development teams that achieve Technical risks Technical talent shortage Low Short to Decrease in • Protect the rights and interests of
innovative outcomes through a standardized and transparent and loss. medium operating employees.
system. By doing so, it strengthens the innovation drive among term income • Expand recruitment channels.
R&D personnel, enhances the cohesion of key technical talent,
and accelerates the delivery of high-quality research outputs and Market Technological breakthroughs Medium Medium Increase in • Adopt cutting-edge technologies
opportunities catalyze the transformation term operating and innovative management
patents. Ultimately, this framework provides a robust foundation for
of industries toward more income models; continuously promote
sustaining long-term innovation.
advanced and intelligent green development concepts for
growth. industrial upgrades.
In 2025, the company obtained the Enterprise Intellectual
Property Compliance Management System Requirements (GB/T
development, described as below.
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Technology Innovation
Management of impacts, risks, and opportunities
The company embeds its innovative R&D risk management
process into the broader internal risk management framework. Drawing on macroeconomic trends, industry developments, and internal R&D data, we conduct a
Aligned with the unique characteristics of R&D innovation, we Risk thorough assessment of all facets of R&D operations. Spanning the entire lifecycle of R&D projects
identification – from initiation and advancement to final delivery and acceptance – we methodically identify and
have developed tailored identification methods and evaluation
approaches. Through targeted, regular risk assessments, we categorize potential risks, such as technical feasibility risk.
identify potential risks and establish comprehensive management
processes, including identification and evaluation, prioritization,
monitoring and mitigation, as well as continuous integration and
adaptation. These measures enable us to implement effective We categorize and prioritize risks based on their likelihood of occurrence and potential impact. Risks
Risk
risk management throughout the R&D lifecycle. that pose a significant negative impact on R&D projects and have a high probability of occurring are
assessment
promptly escalated.
We implement intellectual property protection measures and conduct specialized training programs,
Response
and strengthen the conversion and output of intellectual property achievements from innovation
measures
projects. We develop tailored strategies for risks at different response levels.
We assess and manage risks while tracking their development, the implementation of mitigation efforts,
Risk
monitoring and new factors impacting outcomes to ensure continuous monitoring. We periodically assess the
effectiveness of risk response measures and make necessary adjustments.
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Technology Innovation
Metrics and objectives
We continue to strengthen the output and conversion of intellectual property achievements from In 2025, NOVOSENSE invested
innovation projects. For the core project, focusing on target market positioning, product functional
characteristics, and application scenarios, the company actively engages in patent mining and
implements strategic IP portfolio development to strengthen the protection of R&D innovations. It CNY 795 million in the field of R&D
also establishes annual patent filing targets and systematically advances patent application efforts and innovation.
aligned with business needs.
As of the end of 2025, the company and its subsidiaries had accumulated 511 intellectual property
rights in total. During the reporting period, the company filed 110 intellectual property applications,
including 59 invention patent applications, and acquired 92 intellectual property rights, including 40 The company conducts annual training related to
invention patents, during the year. intellectual property protection, with a total of 8
sessions in 2025, totaling 8 hours, covering all R&D
personnel. The training content covers the general
New in the current year Cumulative process of patent applications, the writing of patent
Number of Number of Number of Number of application documents, patent infringement/analysis
applications acquisitions applications acquisitions and retrieval, AI empowers research, development
and innovation, usage requirements, and risk
Invention patents 59 40 304 163
warnings for registered trademarks, etc.
Utility model patents 18 17 111 91
Intellectual Property Training on Full Analysis of Patent Featured event
Design Patent / / 1 1
Application and Infringement Responses
Software copyrights / / 37 38
On August 15, 2025, the company conducted a specialized intellectual property rights
Integrated Circuit training session, centered on key topics such as infringement detection, infringement analysis,
Layout-Design and risk mitigation strategies. Utilizing case studies, technical features comparisons, and
Overseas Intellectual interpretations of relevant legal frameworks, the company methodically identified critical
Property Rights aspects of patent applications and infringement risk management. This effort was aimed at
enhancing employees’ expertise in identifying and preventing patent-related risks.
Total 110 92 720 511
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Technology Innovation
Collaborative innovation
In addition, we have also been actively engaging in research projects on other platforms. Through
During the reporting period, the company entered into strategic collaborations with key industry in-depth collaboration with academic institutes and industry peers, we have demonstrated our
partners within priority application domains, focusing on developing innovative solutions tailored to strong innovation capabilities and growth potential.
real-world applications, with the aim of expanding our technological boundaries and injecting new NOVOSENSE attended the Workshop on IC Advances in China (ICAC) 2024 and 2025
momentum into the industry’s sustainable and high-quality development.
The Workshop on IC Advances in China (ICAC) is committed to
NOVOSENSE collaborates with UAES and Innoscience to develop Featured event fostering a premier platform for technical collaboration among
an innovative approach for new energy vehicle power electronics academic and industry professionals in the field of integrated
On September 29, 2025, NOVOSENSE, UAES, and Innoscience officially signed a strategic circuit design in China. This year’s ICAC is jointly organized
cooperation agreement. The collaboration focuses on advancing the power electronics by Fudan University, the University of Macau, the University of
systems for new energy vehicles, with a particular emphasis on the joint development of Electronic Science and Technology of China, Tsinghua University,
intelligent and integrated gallium nitride (GaN)-related products. Leveraging accumulated and Southeast University.
third-party technology, the newly developed intelligent GaN product aims to deliver more
reliable driver and GaN protection integrated solutions, thereby enhancing system power
density. Additionally, the three parties will collaborate to promote the industrialization of NOVOSENSE attends the 19th Annual Meeting of Deans (Department Heads) of School of
these solutions, contributing to the sustainable development and value enhancement of the Electronic Information of Chinese Universities in 2025 and the Second National Forum on
new energy vehicle industry. the Construction of Electronic Information Disciplines in Higher Education Institutions
The Annual Meeting of Deans (Department Heads) of School of Electronic
Information of Chinese Universities was initiated by the Chinese Institute
of Electronics. This year’s session was jointly organized by the National
Committee for the Construction of Electronic Information Disciplines in
Higher Education Institutions under the Chinese Institute of Electronics and
the Department of Electronic Engineering at Tsinghua University.
NOVOSENSE collaborates with Eetree to launch the 7th WeDesign Chip Design Competition
WeDesign, organized by Eetree, is an activity
aimed at fostering collaborative design and shared
experiences. Its purpose is to bring together
enthusiasts to engage in the chip design process,
participate in chip verification, and uncover the
intricacies of chip technology.
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Quality Management
Governance
NOVOSENSE strictly complies with laws and regulations,
including the Product Quality Law of the People’s Republic of
China, and the Consumer Rights and Interests Protection Law
of the People’s Republic of China, as well as relevant national
standards. We consistently prioritize product quality and
reliability, adhering to high standards and stringent requirements.
The company upholds the quality management philosophy of
"quality starts from design and runs through the entire product
life cycle", establishing a scientific and systematic Total Quality
Management. By strengthening organizational capabilities and
promoting IT integration of process systems, we ensure the
effective implementation and execution of the system. By the
end of the reporting period, the company had obtained a series
of reliable and trustworthy system certifications. Since 2015, NOVOSENSE In 2025, NOVOSENSE was Since 2022, NOVOSENSE
has obtained and granted the ISO 26262 ASIL D Reliability Assurance and
maintained the ISO Defined-Practiced certification by Failure Analysis Center
Management System safety management system, accreditation certification.
Certification. demonstrating that the company’s
functional safety system has
reached the highest international
standards with mature practical
capabilities. Simultaneously, the
high-safety automotive-grade chips
have passed the highest-level ASIL
D certification.
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Quality Management
Strategy
The company has established a “R&R” quality policy centered on Robust & Reliable, laying a solid foundation for
continuously delivering high-quality products and services. The company has always considered the quality of its products Robust
R&R Policy Reliable
Robust & Reliable
and services as a key manifestation of its core competitiveness. Through our comprehensive quality management system, Provide high-quality products To become a trusted partner
we guarantee excellence throughout every aspect of the entire product and service life cycle, spanning from research and
and service, earning recognition throughout the industry chain
from customers and trust from and business processes.
development design to manufacturing, and extending to after-sales service.
colleagues.
NOVOSENSE’s Robust & Reliable quality policy
Analysis of quality-related risks and opportunities
Type Risk/Opportunity description Probability of Impact Potential Response measures
occurrence cycle financial impact
Market risks • Customers increasingly prefer products • Medium • Short to • Decrease in • Increase R&D investment, optimize product design to gradually reduce product energy
with lower carbon emissions and medium operating consumption, and enhance market competitiveness.
reduced power consumption. If the term income • Continuously monitor market trends and stay innovative.
company fails to meet customer • In terms of customer service, the company optimizes the after-sales service process and
expectations in areas like energy introduces the ITR management mechanism, significantly improving response speed and
conservation and emission reduction, it customer satisfaction.
may face the risk of customer attrition.
Product risks • Product risks caused by low product • Low • Short to • Decrease in • The company focuses on strengthening internal quality management capabilities, continuously
quality and low pass rates medium operating improving the relevant training system, and increasing investment in quality management training.
term income In 2025, we organized a total of 37 quality-related training courses, with a total of 138 hours.
• We have established a complete internal mechanism in the business processes of R&D,
manufacturing and sales to ensure the product qualification rate.
Market • Market opportunities brought by the • High • Short to • Increase in • Accelerate product iteration speed, improve product performance and energy efficiency ratio.
opportunities trend of automotive intelligence. medium operating
term income
The company has developed relevant management methods for the quality-related risks and opportunities, described as below.
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Quality Management
Management of impacts, risks, and opportunities
The company integrates quality management requirements into During the reporting period, we carried out a customer satisfaction survey on all fronts, covering major customer groups.
daily operations and business management processes, identifying By combining quantitative and qualitative analysis, we evaluate the level of customer satisfaction in areas including product
and assessing quality-related risks and opportunities based on performance, service quality, technical support and response efficiency. The survey results successfully met the goals
product characteristics and business operations. It establishes established last year, with an overall score improvement compared to 2024. This demonstrates strong customer recognition
corresponding control and improvement mechanisms to drive the of the company’s comprehensive capabilities.
continuous enhancement of the quality management system and
ensure the consistent improvement of product and service quality. To continuously improve customer satisfaction, the company has taken multiple targeted measures:
Identify comprehensively potential internal and external risks
Enhanced Enhanced Customized
Risk in every stage, including but not limited to product design Product upgrades
mechanisms technical support services
identification and development, testing and maintenance, storage and
transportation, and after-sales service.
Strengthen the collaboration Investing in technical Optimizing product Providing tailored solutions
between Field Application support resources to design based on and exclusive support that
Risk Set different response levels for the identified risks based
Engineer (FAE) and the sales provide more accurate customer feedback as deeply fit the practical
assessment on their likelihood of occurrence and degree of impact.
team, so that customer solutions, especially for well as introducing new business operation
demands and issues are major problems such technologies to enhance contexts of specific
communicated to the right as application failure to product stability and customers.
Focus on building a quality culture and conduct regular
internal audits. Strengthen quality management training to personnel and resolved improve on-site problem reliability;
Response improve the professional capabilities of employees in quality faster to significantly shorten resolution rates;
measures management. The company optimizes the after-sales service response time;
process. Introduce the ITR management mechanism to
improve response speeds and customer satisfaction.
Departments responsible for product quality shall conduct
Through these targeted measures, we transform customer voice into the driving force for service and product iteration. In this
regular inspections and tests to monitor the execution of
Risk quality control processes. They shall verify the effectiveness
way, we are able to continue to build trust and stickiness among our customers.
monitoring of control measures through methods such as walkthrough
testing and on-site observation, and continuously optimize
product quality risk management processes.
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Quality Management
Customer complaint handling mechanism
The company always attaches great importance to the handling and improvement of customer complaints, and regards them as an important source of feedback for optimizing product and service
quality. We systematically gather customer feedback and opinions across multiple channels, including regular customer visits, e-mail and customer service hotlines that are available 24/7. In addition,
the company manages customer complaints using a closed-loop approach, under which we receive, investigate and resolve complaints, and then identify improvement opportunities. Every customer
complaint is thoroughly tracked and addressed, with timely updates provided on the resolution. Additionally, we have established a Product Safety Conformity Representative (PSCR) role, dedicated to
overseeing automotive product compliance and conformity. Due to our continuous efforts, we have achieved impressive results in handling customer complaints in recent years:
The company introduced an intelligent customer complaint data analysis system, which
enables escalation of customer complaints, where appropriate, and real-time analysis
of trends, helping us accurately identify and resolve common issues in products or
services.
We optimized resources and our organizational structure, which has significantly
reduced our response time and improved customer satisfaction. In addition, for certain
key complaints, we have increased our resources and efforts to ensure that the core
demands of customers are completely resolved.
During the reporting period, there was no recall of the sold products due to safety and health
concerns.
Going forward, NOVOSENSE will continue to integrate intelligence and insightful predictability into
its customer complaint management system, transforming customer voice into the cornerstone for
product innovation and service quality enhancement.
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Supply Chain Management
Governance Analysis of risks and opportunities related to supply chain management
The company strictly adheres to relevant laws and regulations, Risk/Opportunity Probability of Potential
Type Impact cycle Response measures
including the Bidding Law of the People’s Republic of China, and has description occurrence financial impact
established a comprehensive set of policies such as the NOVOSENSE
Procurement Control Procedure, the NOVOSENSE Supplier Quarterly Policy and legal Supply chain disruption caused Medium Medium Increased • Continuously promote supply chain
Performance Evaluation Form, the NOVOSENSE Supplier Review risks by external factors such as term operating costs localization and actively carry out
Plan, the NOVOSENSE Business Continuity Management Procedure, geopolitical tensions. diversified procurement.
the NOVOSENSE Hazardous Substance Management and Control • Achieve technological autonomy,
Procedure, and the NOVOSENSE Environmental Protection Protocol. increase research and development
These measures are designed to strengthen supplier management and investment, and enhance
foster a long-term, mutually beneficial partnership with them. Relying on independent innovation capabilities.
an objective and quantifiable supplier management system, the company • Closely monitor global developments,
coordinates procurement, quality, technological innovation, legal affairs, continuously adapt our supply chain
safety, and environmental protection departments to jointly conduct emergency response plans to ensure
comprehensive evaluations of sustainable development dimensions, timely and effective adjustments.
including technology, quality, responsiveness, delivery time, business Market risks Given the high concentration Medium Medium Increased • Establish a diversified supplier
and pricing, as well as business ethics, environmental safety, social of suppliers and the scarcity term operating costs strategy to reduce reliance on a
responsibility, and occupational wellness. This ensures the sustainability of certain products, if the single supplier.
of the supply chain and involves quarterly tracking and evaluation of company fails to maintain • Es tab lis h lo ng -ter m and clo s e
core suppliers, fostering long-term partnerships. Committed to the stable cooperative relationships partnerships with existing suppliers.
principles of fairness, impartiality, and openness, we rigorously assess with certain suppliers, it may
and evaluate supplier qualifications to build a robust and comprehensive adversely affect the company’s
supplier management system encompassing the admission, evaluation, operations.
risk management, and exit of suppliers. In 2025, the company updated
the NOVOSENSE Supplier Management System to further refine Management risks Improper supplier selection, Low Short term Increased • Implement full-process oversight
management requirements for suppliers at different tiers and continuously unsuitable procurement methods, operating costs of procurement activities, adhere
enhance the quality and performance of the supply chain. unscientific bidding or pricing to established review and approval
mechanisms, and inadequate procedures, ensure timely execution
authorization and approval of procurement activities, guarantee
Strategy processes may result in high compliance and operational efficiency
costs, poor quality of purchased in procurement operations, and
The supply chain is a core component of a company’s daily operations. products, and exposure to support the seamless operation of the
We are committed to practicing responsible production practices and fraudulent or unethical practices. company’s core business activities.
building a sustainable supply chain system. By deepening supply chain
management, strengthening quality and safety control, and promoting Opportunities Establish long-term strategic High Long term Reduced • Continuously improve the
environmental approaches, we strive to build a diversified supplier base. partnerships with suppliers to operating costs localization rate of supply chains.
At the same time, we continue to drive a low-carbon transformation of overcome the limitations of
our supply chain to adapt to changing market and social needs. This the global supply chain and
strategy aims to ensure the efficiency and reliability of the supply chain, enhance localization rates.
while reflecting our firm commitment to responsible and sustainable
operations. The company has developed relevant management methods for the risks and opportunities related to supply chain management,
described as below.
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Supply Chain Management
Management of impacts, risks, The company has established the NOVOSENSE Business Continuity Management (BCM) Procedures and the NOVOSENSE Business
Impact Analysis (BIA) Management Procedures. It conducts Incident Management Planning (IMP) and Risk System Assessments at
and opportunities least once every six months, developing business continuity strategies to address situations that may cause supply interruptions and
ensuring production continuity. In 2025, the BCM risk assessment for core suppliers fell within the low-risk range, and the company
continued to drive supplier improvement through quarterly supplier ratings.
The company embeds supply chain management requirements
into daily operations and business processes, continuously In terms of supply chain risk management, we have taken measures to reduce relevant business risks, including the following:
identifies and assesses risks and opportunities related to the
supply chain based on supplier types and business process • We have entered into long-term cooperation agreements with strategic suppliers of production materials, while controlling the
characteristics, enhances control and fosters collaborative sources of raw materials to ensure they are in stable supply and of reliable quality.
management of critical processes, and bolsters the stability and
overall resilience of supply chain operations. • In response to national localization strategies, we have continued to advance supply chain localization, moved such efforts
upstream to Tier-2 materials, and implemented comprehensive localization assessments and refined management.
Risk identification
• In 2025, the company launched a new digital supply chain management initiative, developing a comprehensive automated
Regularly identify potential risks in the selection, procurement,
procurement reporting system, implementing a robust pricing framework, and ensuring seamless integration between the SRM
transportation, warehousing, and production processes of
system and IPD research and development processes. Additionally, the project focused on optimizing information exchange and
suppliers of raw materials and finished products.
enabling real-time queries.
Risk assessment
Conduct a comprehensive assessment of external risks of Metrics and objectives
the supply chain, such as fluctuations in raw material prices,
bankruptcies of suppliers, and logistics disruptions. Local suppliers are a key consideration for establishing collaboration, fostering technological progress, lowering procurement costs,
and minimizing carbon emissions from transportation. As of the end of the reporting period, the company has a total of 1,358
Response measures
suppliers, with more than 70% of its raw materials from local suppliers, effectively reducing transportation carbon emissions, improving
Based on the results of risk assessment, a detailed emergency plan supply chain efficiency and resilience, and assisting local economic development and employment.
is to be developed, covering the reporting, assessment, decision-
making, execution, and recovery of supply chain disruption events, In 2025, the company achieved a 100% coverage ratio for its supplier audits. Furthermore, the company also achieved a 100%
as well as specific resource allocation strategies. coverage ratio for customer-requested audits, focusing on various OEM processes and systems. By the end of the reporting period,
Risk monitoring and ISO 45001.
Establish an effective monitoring system to collect key data in
The company views supply chain management as a critical foundation for ensuring business continuity, maintaining product quality
real time. Conduct annual reviews and implement continuous
and driving sustainable development. To achieve this, the company constantly refines its full-life-cycle supply chain management
monitoring of supply chain operations through on-site inspections
mechanism, encompassing supplier admission, performance evaluation, supervision and review, and exit management. These efforts
of product logistics and warehousing locations, enabling timely
are aimed at fostering a responsible supply chain ecosystem.
identification of potential issues.
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Supply Chain Management
Supplier admission management
The company implements a multi-dimensional evaluation mechanism during the supplier admission process. This mechanism During the admission process, we implement a structured
considers five key evaluation elements: technical capability, quality level, response efficiency, delivery capability, and cost performance. evaluation framework and conduct a comprehensive review
Additionally, the company integrates ESG standards and safety management requirements into its systematic admission evaluation process, including expert assessments, to evaluate suppliers
and continuous management practices for production-type suppliers. across critical dimensions such as technical capability, quality
management, business continuity, and operational compliance.
This rigorous approach ensures that suppliers demonstrate
stable performance capabilities and a solid foundation for
TQRDC We adopt TQRDC (Technology, Quality, Response, Delivery, and Cost) as the criteria for evaluating
sustainable operations.
suppliers in procurement. Through admission considerations for production suppliers, we conduct
Evaluation
comprehensive scoring every quarter to ensure their performance in key dimensions meets the
Criteria To further enhance supplier management, the company employs
requirements.
standardized assessment tools, including the NOVOSENSE
Technical Assessment Form, the NOVOSENSE Quality
System Assessment Form, the NOVOSENSE Quality Process
Assessment Form, and the NOVOSENSE BCM Audit Form, to
identify potential risks and conduct targeted communication
ESG Compliant suppliers are considered in terms of ESG (Environmental, Social and Governance) to with suppliers. This process facilitates the confirmation
Dimension ensure sustainability and social responsibility in the supply chain. and rectification of identified issues, ensuring closed-loop
management to address all concerns. Only after completing this
thorough resolution process can suppliers be formally admitted
into the qualified supplier system.
During the supplier admission process, security is another important aspect we consider when
Security
evaluating suppliers, including cybersecurity, information security, and employee safety. This
Consideration
dimension is considered to secure the entire supply chain at all levels.
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Supply Chain Management
Supplier evaluation and Supplier ESG management Conflict minerals
incentives In the process of supplier admission and routine As a chip company, we keep tracking the For suppliers potentially involved in conflict minerals,
management, the company places increasing international community’s views and development we promptly conduct an investigation to verify their
For core suppliers, the company conducts a quarterly emphasis on integrating ESG-related considerations trends on conflict minerals. The company has compliance with the Democratic Republic of Congo
performance evaluation based on the NOVOSENSE into its decision-making processes. Key aspects of developed the NOVOSENSE Hazardous Substance (DRC)’s conflict-free metals requirements. Where
Supplier Quarterly Performance Evaluation Form. Environment, Health, and Safety, as well as quality Control Procedure to standardize the compliance applicable, suppliers are required to perform due
A cross-functional assessment team, comprising management systems, have been incorporated into process for conflict minerals management. This diligence and annual country-of-origin investigations
representatives from procurement, technological the NOVOSENSE Supplier System Assessment Form, procedure clarifies internal governance and into the source and chain of custody of conflict
innovation, quality, external manufacturing, EHS, ensuring that the evaluation scope encompasses supply chain management requirements through minerals and other minerals, including cobalt.
and other departments, evaluates suppliers across critical areas such as environmental protection, fire establishing corresponding data management and These investigations must adhere to nationally or
four key dimensions: quality, delivery, collaboration, safety, production safety, hazardous substance reporting mechanisms. These measures enable the internationally recognized due diligence frameworks.
and ESG performance. Based on the comprehensive management, employee training, and secondary identification and disclosure of conflict mineral risks Suppliers must provide the necessary information
evaluation results, the company implements tiered supplier management. This approach supports within the supply chain, ensuring transparency and using the Conflict Minerals Reporting Template
management of suppliers, fostering strategic the identification of supplier compliance levels and accountability. The company actively collaborates (CMRT) or Cobalt Reporting Template (CRT) available
cooperation and recognizing top performers. This potential ESG risks. with customers to complete relevant information on the RBA official website. If required, they should
approach aims to continuously improve supplier declarations and continuously enhances the also submit a Conflict Minerals Declaration.
capabilities, align with the company’s vision of In the practice of supplier management, the transparency of its supply chain.
sustainable operations, and build a responsible company conducts periodic audits and evaluations In addition, we conduct annual surveys of refineries/
supply chain that drives collaborative progress. tailored to the category and risk characteristics of The company’s existing suppliers have conducted smelters to verify whether they remain on the RMI
individual suppliers. To monitor ESG performance investigations with reference to the Conflict Minerals qualified smelter list.
comprehensively, the company employs a Report (CMT), and have followed the process to
combination of three-year periodic assessments and determine whether the investigation results meet the In 2025, the company required core suppliers to
annual evaluations, creating a robust framework for conflict-free metal requirements of the Democratic declare minerals using the CMRT form, achieving a
ongoing oversight. Republic of the Congo. 100% coverage rate for core supplier declarations.
Based on this year’s investigation results, the
Additionally, the company has established specialized Investigation results and measures: company did not identify any supplier involved in
agreements, including the NOVOSENSE Confidentiality the use of conflict minerals during the supply chain
Agreement, the NOVOSENSE Quality Agreement, and • If conflict minerals are not involved, the audit investigation.
the NOVOSENSE Environmental Protection Protocol, result is PASS;
to integrate environmental, quality, and compliance The company will continue to monitor international
requirements into the supplier management framework. • If conflict minerals are involved, a new source of regulations and regulatory developments, and
These measures promote the gradual implementation minerals must be selected and effective evidence further enhance conflict mineral management and
of supply chain responsibilities and requirements. of improvement and preventive measures info r m atio n d is clo s ur e m echanis m s b as ed o n
Furthermore, the company has implemented a supplier must be provided in order to comply with the business realities, and maintain close cooperation
exit mechanism and corresponding processes to requirements for conflict-free metals. with suppliers, customers and industry organizations
ensure the continuous optimization of the supplier to jointly and continuously promote implementation
structure. Notably, in 2025, the company did not of responsible mineral procurement practices.
terminate cooperation with any supplier due to ESG-
related issues.
Green Operations: Working
Together to Build a Green Future
Based on green and sustainable business, NOVOSENSE
actively responds to the United Nations Sustainable
Development Goals 6, 7, 11, and 13, adheres to the green
and low-carbon development approach, continuously
improves the efficiency of energy resource utilization
while striving for innovation and development, and keeps
inspiring new ideas for low-carbon operations based on
operating practices.
Our Actions :
● Launch green products to empower customers with green options and jointly achieve the green
development targets
● Gradually reduce carbon emissions and prioritize the use of new energy vehicles in cooperation with car
use platforms, minimizing carbon emissions during operations
● Gradually increase the use of renewable energy, such as PV, to optimize the energy structure
● Enhance employees’ environmental protection awareness and create an atmosphere of environmental
protection within the company
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Environmental Management
NOVOSENSE strictly abides by the Environmental Protection
Law of the People’s Republic of China, the Energy Conservation
Law of the People’s Republic of China, and other applicable
laws and regulations of the places where it operates. We have
established and updated systems such as the NOVOSENSE By the end of the reporting period,
NOVOSENSE has been certified
Energy Resource Management Control Procedure to regulate with ISO 14001 Environmental
the use of energy and resources, continuously strengthen the Management Systems.
publicity and implementation of environmental protection related
contents such as green office and green mobility, and strive to
build ourself into a resource-saving and environment-friendly
company, in order to enable the coordinated and sustainable
development of human beings, resources and the environment.
Environmental Policy
Comply with laws Comply with national laws and
and regulations: regulations as well as industry and
local environmental policies
Prevention of Establish environmental awareness
pollution: among all employees and improve
the ability to prevent and control
pollution accidents
ISO 14001 Certification
Energy saving Use energy resources rationally and
and consumption effectively, reduce waste, and adopt
reduction: environmentally friendly products
Continuous Implement effective improvement
improvement: measures for problems that need
to be rectified, and continuously
improve environmental performance
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Energy Conservation and Emissions Reductions
Energy and Resource Management Energy-saving practices in the Featured project
modular server room
Energy Consumption
In 2025, the company’s modular server room was officially
put into operation. Compared to a traditional server
The company’s energy consumption primarily comes from its offices, R&D facilities, and IT infrastructure operations. With a continuous room under equivalent loads, it reduced annual electricity
focus on energy use efficiency, the company advanced the standardization and refinement of its energy management through a consumption by approximately 247,800 kWh during actual
combination of system development and technological measures. operation. The solution adopts a modular, standardized
design that balances flexible scalability with operational
reliability. It integrates energy-saving technology and
Comprehensive energy Overall energy an intelligent management system, enabling remote
Power consumption
NOVOSENSE’s Diesel (liter) consumption (tons of
consumption intensity monitoring and energy efficiency management of the
(kWh) (tons of standard coal per
energy consumption standard coal)3 server room’s operational status. Furthermore, the pre-
million CNY revenue)
assembly construction method significantly shortened
efficiency. The server room features a compact structure
variable frequency compressor and EC fans, achieving
annual energy savings of around 50%.
The comprehensive energy consumption refers to the General Rules for Calculation of the Comprehensive Energy Consumption (GB/T 2589-2020) issued by the State
Administration for Market Regulation and the National Standardization Administration of the People’s Republic of China. In 2025, the company added new equipment,
resulting in an overall increase in energy consumption.
Intelligent office air Featured project
Amid profound shifts in the global energy landscape, the company is actively exploring viable pathways to enhance energy efficiency. conditioning management
It has gradually adopted smart management solutions while assessing the potential of clean energy. Building on these efforts, it has
deployed distributed PV projects and other clean energy initiatives, achieving 100% power self-using. In daily operations, the company The company has implemented a smart air conditioning
is continuously improving energy efficiency by constructing a modular server room, implementing intelligent control of air conditioning control system across its primary office spaces. This
systems, and optimizing equipment maintenance. system centrally controls cooling temperatures and
operating schedules, dynamically adjusting settings based
on seasonal changes, holiday arrangements, and other
factors. By balancing workplace comfort requirements with
energy conservation, this approach significantly reduces
unnecessary energy consumption and delivers tangible
environmental benefits throughout the workspace.
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Energy Conservation and Emissions Reductions
Water Resource Management Pollutant Management
The company’s daily operations involve water use mainly for office purposes, with no process We strictly abide by the Law of the People’s Republic of China on the Prevention and Control of
water required for design or R&D activities. Accordingly, its water resource management focuses Environmental Pollution by Solid Waste and other laws, regulations and standards on environmental
on standardized practices and conservation efforts. Specific requirements are outlined in the protection and pollution prevention of the places where we operate. During the reporting period,
NOVOSENSE Energy Resource Management Control Procedure. the company updated the NOVOSENSE Environmental and Energy Management System, further
clarifying management requirements for exhaust gas monitoring and hazardous waste disposal.
In 2025, water consumption data figures were as follows: Pollutants are now classified and managed in strict compliance with regulations to minimize potential
environmental impacts and enhance resource recycling.
Total water Tons of water withdrawal
withdrawal/ton per million CNY revenue 2025 2024
Waste gas (m3) 3,305.1 3,792.6
Among them, total non-methane 0.02 0.006
hydrocarbons/ton
The company regards “fostering water conservation
awareness” as a key approach for advancing water resource Hazardous waste (ton)4 8.87 2.36
management. Through a combination of internal campaigns
and daily management practices, it encourages employees to General industrial solid waste (ton) 101.93 57.5
develop water-saving habits. Daily inspections and monthly
Among them, Recyclable waste (ton) 81.00 18.9
audits are conducted on major water facilities to prevent
non-essential losses such as pipeline leaks. Fixed assets are
being upgraded to reduce water waste, with sensor-activated During the reporting period, no incidents occurred where the company was subject to
Water conservation slogan
faucets and water-saving toilets being progressively installed environmental penalties.
in sanitary areas. Additionally, the company has replaced
traditional bottled water dispensers with direct drinking water
systems in office areas. Regular maintenance – including filter
cartridge replacements and water quality testing – is entrusted 4
Production capacity increases in 2025 and some electronic products reach their service life for unified
to suppliers to enhance the standardization and safety of
disposal.
drinking water management.
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Energy Conservation and Emissions Reductions
Green Office Initiatives Waste Management
Based on workplace scenarios, the company continuously The company attaches great importance to the standardized management of waste, and strengthens corresponding management
promotes green office practices. By integrating policy guidance efforts through a series of measures. This includes clarifying the responsibilities of relevant departments and implementing classified
into daily management, it reduces resource consumption and collection and compliant disposal of both office waste and domestic waste.
environmental impact through measures such as:
Primarily consists of domestic waste generated from office activities. Recyclables such as discarded cartons
Promoting double-sided printing and establishing a are uniformly recycled and processed by third-party vendors.
Non-hazardous waste
“reused paper” recycling area in printing zones
Advancing paperless operations by leveraging the
Mainly derived from chemicals used in the Quality Chemistry Laboratory. Such hazardous waste is disposed of
OA system and digital reimbursement processes to
by qualified parties and filed with the government’s online reporting system.
minimize paper documentation Hazardous waste
Supporting remote collaboration via teleconferencing
and video conferencing systems, thereby reducing
Assets such as photocopiers are leased, and related consumables are uniformly recycled and processed by
business travel and associated resource usage
Office equipment the lessor.
Posting green office and energy-saving slogans to and consumables
enhance employee environmental awareness
Waste Gas Management
Promoting electricity-saving initiatives and adopting
energy-efficient office equipment and materials
NOVOSENSE’s Shanghai and Suzhou offices are the main office areas and do not involve waste gas emissions. Exhaust gases are
mainly generated from processes such as baking and experimental testing within our Quality Laboratory. The company has installed
exhaust gas treatment facilities, such as activated carbon adsorption equipment and ventilation hoods, to centrally treat the relevant
exhaust gas and effectively reduce fugitive emissions. Additionally, the company annually engages certified third-party agencies to test
the treated emissions. Results consistently confirm that discharge concentrations meet all applicable regulations and standards.
Wastewater Management
Wastewater, primarily comprising office and domestic sources, is discharged into municipal sewage pipelines as required by local
environmental protection authorities. Wastewater testing is conducted annually.
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Raw Material Usage
Hazardous Substances Management Use of Packaging Materials
The company places high importance on product compliance To align with the company’s environmental protection objectives, In terms of product packaging management, the company
and environmental risk management. It has formulated the product characteristics, applicable laws and regulations, and optimizes packaging design and material specification regarding
NOVOSENSE Hazardous Substances Management and the customer requirements, the company regularly updates its internal areas such as packaging material quality, resource utilization,
NOVOSENSE Control Procedure and the Environmental environmental standards. It also establishes and maintains and production efficiency. Through implementing standardized
Compliance Agreement to regulate hazardous substances internal control standards, such as the NOVOSENSE Hazardous communication and collaborative improvements with suppliers,
in internal operations and raw material procurement. These Substances Control List, and communicates these requirements the company reduces redundant packaging while ensuring
documents clearly define the management scope, threshold to the supply chain through established systems and channels. product requirements are met, thereby promoting efficient
standards, and applicable customer and regulatory requirements resource use.
for hazardous substances. These mechanisms prevent materials In terms of capacity building, the company provides trainings
and components containing hazardous substances from entering on hazardous substances management at least annually for
our products, thereby reducing their potential impact on the employees involved in hazardous substance reviews and supplier
environment and human health. audits. These trainings cover management processes, legal and
regulatory updates, and key customer requirements. Additionally,
The company complies with the EU Restriction of Hazardous procurement personnel receive training on basic knowledge
Substances (ROHS) Directive and REACH Regulation, including of hazardous substances at least once a year to ensure
all applicable annexes and amendments, to ensure its products effective implementation of hazardous substances management
meet these green regulatory standards. requirements.
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Responding to Climate Change
Strategy
As the world transitions towards green, low-carbon development,
climate change has become a critical issue shaping industrial Climate-related risks and Impact Potential
Type Response measures
business impacts cycle financial impact
growth models and the long-term viability of businesses. As a
chip design company, NOVOSENSE not only focuses on its own
operational energy consumption and emissions management, Sudden extreme weather events such as • Strengthen early warning and risk prevention
but also prioritizes delivering energy efficiency benefits through rainstorms and typhoons may trigger a series of for extreme weather events, continuously
its products. In the R&D process, the company emphasizes key risks such as production suspension and reduction optimize relevant emergency response plans,
metrics such as low power consumption, high reliability, and an at the supply chain end and difficulties in product Increase and minimize disaster losses.
Medium- in capital
extended service life to support enhanced system operational Acute transportation, which may lead to reduced
term
• Regularly assess the impact on capital
efficiency and prolonged lifecycles of end products. NOVOSENSE’s business stability and increased costs. expenditure expenditure based on extreme weather
relevant chip products are widely applied in sectors such as Major extreme weather disasters are also very frequency and scale, and establish a dedicated
Physical risks
automotive, industrial control, and energy management. By likely to cause employee safety accidents, etc., fund for post-disaster reconstruction based on
reducing energy consumption during the usage phase, these adding more unfavorable factors. the assessment results.
products help downstream applications achieve their carbon
reduction goals.
• Continuously optimize existing facilities for
Furthermore, NOVOSENSE has integrated climate change Long-term changes in climate patterns (such
energy efficiency and cost reduction, promote
considerations into its corporate governance and daily operational as persistent high temperatures) may trigger,
Medium Increase in clean energy adoption, assess the feasibility
management frameworks based on its business characteristics. for example, increased operating costs due to
Chronic and operating and costs of accessing renewable energy,
increased cooling demand in summer, as well as
Focusing on governance, strategy, risk management, and emissions long-term expenses increase the share of renewable energy use,
cost inputs due to subsequent restructuring of
reduction initiatives, the company has gradually developed a climate energy use.
and mitigate the risk of future fossil fuel price
change management approach aligned with its business and increases.
continues to advance relevant internal management and practices.
With the improvement and introduction of policies,
Governance regulators are bound to adopt more stringent GHG
emission limitation measures and strengthen GHG
• Strictly implement policies and regulations
while strengthening capabilities in compliance
emission disclosure requirements. risk management, energy conservation, and
In terms of governance, the Board of Directors and its With the acceleration of China’s carbon emissions emissions reduction.
trading market and the successive improvement • Continuously monitor the introduction and
Transition risks
Strategy and ESG Committee oversee and provide guidance of international carbon tariffs and other policies, update of relevant policies and regulations,
on climate-related risks and opportunities. Through a Policy Increase in
the subsequent fulfillment of carbon emissions Medium- and study implementation requirements as
multi-department collaborative mechanism, they identify and and operating
compliance requirements may lead to an increase term they are released and formulate relevant
laws expenses
assess the potential impacts of climate change on the company’s in costs. measures on time.
business operations and development strategies. They also Changes in policies may also lead to the early • Strengthen internal carbon management,
incorporate relevant climate-related topics into the company’s retirement of existing fixed assets such as energy- promote the use of energy-saving and
corporate governance and daily management processes (see the consuming equipment; emissions-reduction technologies internally,
“ESG Governance” section of this report for details), progressively There may be a risk of being held legally liable or and explore internal carbon pricing
promoting systematic internal management of climate-related facing fines and financial losses due to failure to mechanisms.
comply with relevant climate policies or laws.
issues. Please refer to page 18 for relevant governance structures.
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Responding to Climate Change
Type Climate-related risks and business impacts Impact Potential Response measures
cycle financial impact
The process of production technology innovation and iteration
to meet environmental requirements and new product R&D Medium Increase • Strengthen technology empowerment, and continuously
Technology and innovation may lead to an increase in the front-end cost and long- in capital enhance the company’s digitalization, intelligence, and
of investing in new technologies or adopting/deploying new term expenditure sustainability levels.
operations and processes.
With the guidance of policies and markets, and the gradual
improvement of customers’ low-carbon and environmental Increase in
Transition risks
awareness, customers may turn to greener products, such as operating • Establish an efficient communication mechanism with property
raw materials with sustainability certification, which will affect the expenses owners to promptly understand their preferences and fulfil their
Medium
procurement of raw materials. demand for eco-friendly products.
Market and long-
Adjustment
term
As a supplier in the new energy vehicle industry chain, changes in in business • Continue to promote energy efficiency, optimization, and waste
customer behavior, such as the implementation of projects related direction and management measures at existing facilities.
to addressing climate change by customers, will also impose service content
relevant requirements on the supply chain.
With stakeholders’ increasing attention to climate change-related
Increase in • Continue promoting the concepts of green operations and
issues, reputational damage may result if the company fails to Medium-
Reputation operating green lifestyles to the general public through media channels
meet stakeholders’ expectations or commits violations related term
expenses to enhance customer confidence.
thereto.
Type Climate-related opportunities Impact Potential Responses
cycle financial impact
While capital
Short and expenditure • Develop and promote green and low-carbon products and
Deliver solutions enabling low-carbon digital transformation in the
Technology medium- increases, it services with rich technological accumulation, advanced
real economy to generate increased business revenue.
term may bring more process level, and continuous cutting-edge research.
revenue
While capital
expenditure
Shifts in customer Develop low-carbon products that meet customer preferences and Medium- • Study market trends to support energy upgrade and transition
rises, it could
preference demand for carbon neutrality goals, expanding market share. term initiatives.
lead to greater
market share
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Responding to Climate Change
Risk Management Metrics and Targets
Tailored to its business model and operational characteristics, the company has incorporated In 2025, the total amount of GHG emissions is 10,074.01 tCO2e5. Details are as follows:
climate-related risks and opportunities into its risk management process. This addition accounts
for the potential impacts of climate change on business continuity, compliance requirements, and 2025 2024
operating costs, providing a valuable enhancement to the company’s overall risk management.
Scope 1 GHG emissions
(tCO2e) 18.83 0
Analyze industry best practices, identify climate-related risks and
Risk
opportunities under the TCFD framework, and develop a list of climate-
identification 2025 2024
related risks and opportunities.
Scope 2 GHG emissions
(tCO2e) 10,055.18 7,244.36
Establish a series of procedures including on-site survey, research,
Risk
collection of relevant materials, and internal opinion solicitation; prepare the
assessment
NOVOSENSE Risk Assessment Report for Sudden Environmental Events. 2025 2024
Total GHG emissions
Assemble an efficient professional response team and develop actionable (tCO2e) 10,074.01 7,244.36
Response management control solutions, including the Business Continuity
measures Management project; engage in cross-departmental collaboration and
hold regular reviews and drills to address. 2025 2024
Intensity of GHG emissions
Risk
Regularly monitor changes in climate-related risks and opportunities to take
timely action.Convene the Risk Management Team periodically to review
(tCO 2 e per million CNY 2.99 3.70
revenue)
monitoring and evaluate the effectiveness of risk management activities over the past
period, promptly adjusting and optimizing risk management measures.
Scope 1 GHG Emissions: The company’s refrigerant emissions and diesel usage multiplied by the corresponding emission factor,
with reference to GHG Protocol and the IPCC 2014 Climate Change Synthesis Report.
Scope 2 GHG emissions: The amount of electricity purchased by the company multiplied by the corresponding emission
factor. The emission factors refer to the Notice on Carrying Out Greenhouse Gas Emission Reporting and Verification for
Some Key Industries 2023-2025.
Total GHG emissions: Sum of direct GHG emissions and indirect greenhouse gas emissions.
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Responding to Climate Change
To address Scope 2 greenhouse gas emissions, the company, At the same time, we also pay attention to indirect GHG emissions (Scope 3) related to our business activities, and based on our
based on its operations and energy consumption patterns, actual situation, explore lower-carbon travel options in controllable scenarios such as employee business travel. In 2025, NOVOSENSE
has planned and initiated a phased adoption of clean energy. continued to partner with AutoNavi to provide its employees with new energy vehicle-based business travel service. This collaboration
During the reporting period, it implemented relevant application aims to guide and support more low-carbon travel choices while ensuring efficiency and safety in business travel. During the reporting
practices as part of a phased exploration to optimize its energy period, through this collaboration, greenhouse gas emissions associated with these travel scenarios were reduced compared to
mix and increase clean energy usage. traditional travel methods, achieving a total reduction of 32,237 kgCO2e.
Additionally, the company organizes green initiatives tailored to its workplace’s unique context to enhance employee environmental
Featured solution: Application Featured event awareness and engagement. These activities integrate environmental concepts into daily operations and team culture, fostering a more
practice of rooftop PV resource-efficient and low-carbon office environment.
During the construction of its new Suzhou office,
NOVOSENSE planned and installed rooftop PV tailored
to the office’s specific conditions. This initiative supplies Tree-Planting Day Green Initiative Featured event
clean energy for certain office activities, supporting
daily power demands without compromising operational On March 12, 2025, NOVOSENSE demonstrated its
stability. The project replaced a portion of conventional commitment to green environmental protection and corporate
grid electricity with renewable energy, making a direct social responsibility by organizing a tree-planting activity around
contribution to reducing carbon emissions from the office’s its office to celebrate Tree Planting Day. During the event,
operations. It also provides a valuable practical experience employees collaborated to plant saplings and nurture the young
for implementing low-carbon energy solutions in office trees. This initiative not only enhanced the office landscape
environments. but also deepened participants’ understanding of ecological
conservation and green development. By putting green
principles into action, the activity helped raise environmental
awareness among staff and further supported the company’s
ongoing efforts to cultivate a sustainable workplace culture.
Outlook
Building on its long-term commitment and deep understanding of core
markets, NOVOSENSE proactively identifies and adapts to evolving trends
in the policy environment, customer needs, supply chains, and talent
ecosystems. This agility allows it to respond quickly, flexibly, and efficiently
that yields significant operational advantages. With the acceleration of a new
round of scientific and technological revolution and industrial transformation
in the world today, opportunities and challenges are intertwined.
NOVOSENSE strives to create highly competitive products and services and
become a high-quality, innovative and reliable world-class chip company.
In the future, the company will continue to deeply integrate market
prospects and customer needs, provide comprehensive semiconductor
products and solutions, and continue to deepen its presence in the
automotive, pan energy and intelligent terminals. With the mission of
“Sense and Drive the Future: Build a Green, Smart and Connected World
with Semiconductors”, the company is committed to providing chip-level
solutions to link the digital world and the real world.
In addition, we will continue to implement the sustainable development
approach. While maintaining business growth, we will actively fulfill our
corporate social responsibility in terms of environment (E), society (S) and
governance (G) to promote the sustainable development of the company
and society as a whole.
Appendix
Honors and Awards
Jiangsu Provincial Analog Gasgoo Awards 2025: Top
and Hybrid Signal Chip 100 Players of China’s New 2025 China Top Chip CERTIFICATE OF 2025 Outstanding Automotive
Engineering Research Center Automotive Supply Chain Enterprise Award APPRECIATION Chip Supplier in China
Jiangsu Development& Gasgoo NE Times DVN Shanghai 2025 21 IC
Reform Commission
Innovation Achievement Chip Innovation Technical Innovation Award for Automotive- Automotive Chip Award
Award (NSI1311-Q1SWVR) Achievement Award Product Grade Chip Application China Automotive Chip
The China Association of (NSI6602B-Q1) The 20th “China Chip” The 20th “China Chip” Alliance
Automobile Manufacturers The China Association of
Automobile Manufacturers
Innovation Award Innovative Product Award Control Technology Forces Award for
NE Times Elecfans Product Award Industrial Chips
Elecfans Gongkong Network
Report Index
Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation of Listed Companies—Sustainability Report (Trial)
Number Topic Relevant section in this report Number Topic Relevant section in this report
protection
Our Employees
Employees’ Rights and Interests
Energy and Resource Management Training and Career Development
Emissions Management
corruption
Green Office
Responding to Climate Change
Equal treatment to small and medium-sized
enterprises
an ethically sensitive domain such as life sciences and artificial intelligence.
represents less than 50 percent of the total assets at the end of the reporting period.
The Hong Kong Stock Exchange’s Environmental, Social and Governance Reporting Code
Environmental, Social and Governance Reporting Code Section in the Report Environmental, Social and Governance Reporting Code Section in the Report
Part B: Mandatory Disclosure Requirements Total amount of harmless waste generated (in tons) and (if applicable) density Energy Conservation and
A1.4 (in units of production, per facility). Emissions Reductions
Governance Structure Board Statement
Energy Conservation and
A1.5 Describe the emission targets set and the steps taken to achieve them.
Reporting Principles About this report Emissions Reductions
Describe the methods of handling hazardous and harmless waste and Energy Conservation and
Reporting Boundary About this report A1.6 describe the waste reduction goals set and the steps taken to achieve them. Emissions Reductions
Part C: “Comply or explain” Provisions
Level A2: Use of Resources
Subject Area A. Environmental General Disclosure
Aspect A1. Emissions Policies for the effective use of resources, including energy, water, and other
Energy Conservation and
A2 raw materials.
General Disclosure Emissions Reductions
Note: Resources can be used for production, storage, transportation,
Regarding exhaust emissions, discharge to water and land, generation of buildings, electronic equipment, etc.
harmful and harmless waste, etc.:
The total consumption of direct and/or indirect energy (such as electricity,
(a) Policies; and Energy Conservation and
Energy Conservation and A2.1 gas, or oil) by type (calculated in thousands of kilowatt hours) and density
A1 (b) Comply with relevant laws and regulations that have a significant impact Emissions Reductions
Emissions Reductions (calculated in units of production and facilities).
on the issuer.
Note: Exhaust emissions include nitrogen oxides, sulfur oxides, and other Total water consumption and density (calculated in units of production and Energy Conservation and
A2.2 per facility). Emissions Reductions
pollutants regulated by national laws and regulations. Hazardous waste refers
to those defined by national regulations. Energy Conservation and
A2.3 Describe the energy efficiency goals set and the steps taken to achieve them.
Emissions Reductions
Energy Conservation and
A1.1 Types of emissions and related emission data.
Emissions Reductions
Describe any issues that may arise in obtaining suitable water sources, as well Energy Conservation and
Total amount of hazardous waste generated (in tons) and (if applicable) density Energy Conservation and A2.4 as the water efficiency goals set and the steps taken to achieve these goals. Emissions Reductions
A1.3 (in units of production, per facility). Emissions Reductions
The total amount of packaging materials used in the finished product (in tons) Energy Conservation and
A2.5 and (if applicable) the proportion per production unit. Emissions Reductions
Environmental, Social and Governance Reporting Code Section in the Report Environmental, Social and Governance Reporting Code Section in the Report
Level A3: Environment and Natural Resources The number and rate of work-related deaths per year in the past three years Occupational Health and
B2.1 (including the reporting year). Safety
General Disclosure
Energy Conservation and Occupational Health and
A3 Policies to reduce the significant impact of issuers on the environment and B2.2 Lost working days due to work-related injuries.
Emissions Reductions Safety
natural resources.
Describe the occupational wellness and safety measures adopted and the Occupational Health and
Describe the significant impact of business activities on the environment and Energy Conservation and B2.3
A3.1 relevant implementation and monitoring methods. Safety
natural resources, and the actions taken to manage these impacts. Emissions Reductions
B. Society Level B3: Development and Training
Level B1: Employment General Disclosure
Training and Career
B3 Policies related to enhancing employees’ knowledge and skills in fulfilling job
General Disclosure Development
responsibilities. Describe the training activities.
Regarding compensation and termination, recruitment and promotion, working
Percentage of trained employees by gender and employee category (e.g. Training and Career
hours, holidays, equal opportunities, diversification, anti discrimination and B3.1 Senior management, Intermediate management, etc.). Development
B1 other benefits and benefit: Our employees
(a) Policies; and The average number of hours per employee completed training, divided by Training and Career
B3.2 gender and employee category. Development
(b) Comply with relevant laws and regulations that have a significant impact
on the issuer.
Level B4: Labor Standards
The total number of employees by gender, type of employment (such as full-
B1.1 Our employees
time or part-time), age group, and region. General Disclosure
Regarding the prevention of child labor or forced labor:
B1.2 Employee turnover rate by gender, age group, and region. Our employees Employees’ Rights and
B4 (a) Policies; and
Interests
(b) Comply with relevant laws and regulations that have a significant impact
Level B2: Health and Safety
on the issuer.
General Disclosure Describe measures to review recruitment practices to avoid child labor and Employees’ Rights and
Regarding providing a safe working environment and protecting employees B4.1 forced labor. Interests
from occupational hazards: Occupational wellness
B2 (a) Policies; and and Safety Employees’ Rights and
B4.2 Describe the steps taken to eliminate violations when they are discovered.
(b) Comply with relevant laws and regulations that have a significant impact Interests
on the issuer.
Environmental, Social and Governance Reporting Code Section in the Report Environmental, Social and Governance Reporting Code Section in the Report
Describe practices related to the maintenance and protection of intellectual Quality Management
Level B5: Supply Chain Management B6.3 property rights. Technology Innovation
General Disclosure B6.4 Describe the quality verification process and product recycling procedures. Quality Management
B5 Supply Chain Management
Manage environmental and social risk policies in supply chain.
Describe consumer data protection and privacy policies, as well as relevant
B6.5 Information Security
B5.1 Number of suppliers by region. Supply Chain Management implementation and monitoring methods.
Describe the practices related to hiring suppliers, the number of suppliers who
Level B7: Anti-corruption
B5.2 have implemented these practices, and the methods of implementing and Supply Chain Management
monitoring these practices. General Disclosure
Describe practices for identifying environmental and social risks at each stage Regarding the prevention of bribery, extortion, fraud, and money laundering:
B5.3 Supply Chain Management (a) Policies; and Compliance Governance
of the supply chain, as well as relevant execution and monitoring methods. B7
(b) Comply with relevant laws and regulations that have a significant impact
Describe the practice of promoting the use of environmentally friendly products
on the issuer.
B5.4 and services when selecting suppliers, as well as relevant implementation and Supply Chain Management
monitoring methods. The number and outcome of corruption lawsuits filed and concluded against
B7.1 Compliance Governance
the issuer or its employees during the reporting period.
Level B6: Product Responsibility
Describe preventive measures and reporting procedures, as well as relevant
B7.2 Compliance Governance
General Disclosure implementation and monitoring methods.
Wellness and Safety, Advertising, Labeling and Privacy, and remediation Describe anti-corruption training provided to director and employees. Compliance Governance
B7.3
Methods for the Products and Services Provided:
B6 Quality Management
(a) Policies; and Level B8: Community Investment
(b) Comply with relevant laws and regulations that have a significant impact
on the issuer. General Disclosure
The percentage of products sold or shipped that require recovery for safety Policies related to community participation to understand the needs of the Social Welfare and
B6.1 Quality Management B8 operating community and ensure that its business activities consider the Responsibility
and wellness reasons.
interests of the community.
Number of complaints received regarding products and services and response
B6.2 Quality management
methods.
Environmental, Social and Governance Reporting Code Section in the Report Environmental, Social and Governance Reporting Code Section in the Report
Focus on areas of contribution (e.g. education, environmental matters, labor Social Welfare and D (IV) Metrics and Targets
B8.1 needs, wellness, culture, sports). Responsibility
Responding to Climate
Social Welfare and GHG Emissions Change
B8.2 Resources (such as money or time) used in a focused area.
Responsibility
Climate related transitions,
Part D: Climate Related disclose physical risk and
Climate-Related Transition Risk opportunities have been
D (I) Governance
systematically identified,
Responding to Climate but no relevant financial
Governance body responsible for overseeing climate-related risks and opportunities Change quantitative analysis has
Climate-Related Physical Risk been conducted yet.
Management’s role in the management processes, monitoring measures and procedures Responding to Climate
Change We will conduct relevant
used to monitor, manage and monitor climate-related risks and opportunities
works in due course when
D (II) Strategy conditions are ripe and will
Climate-Related Opportunities include the information in
Responding to Climate
Climate-related risks and opportunities Change our disclosures
Responding to Climate Capital utilization of
Business Model and value chain Change Capital Utilization climate-related risks and
opportunities, internal
Continuous improvement carbon price, incorporation
Strategy and Decision Making and supplementation
Internal Carbon Price of climate related factors
Continuous improvement into compensation policies
Financial condition, financial performance and cash flows and supplementation and climate related
Continuous improvement Pay target setting have not
Climate Resilience and supplementation been carried out yet,
and relevant work will
D (III) Risk Management be carried out when
Climate-Related Goals conditions are ripe and
Processes and policies for identifying, assessing climate-related risk, prioritizing and Responding to Climate
maintaining monitoring Change disclosed in the report
Process and related policies for identifying and evaluating climate related opportunities, Continuous improvement
prioritizing and maintaining monitoring and supplementation
How and to what extent is the identification, assessment, prioritization and monitoring Continuous improvement
process of climate-related risks and opportunities integrated into the issuer’s overall ‘risk and supplementation
management’ process.
GRI Standards Index GRI Standard Disclosure Location
Compliance Governance
ESG Governance
Statement of use GRI 1 used
Compliance Governance
Suzhou Novosense Microelectronics Co., Ltd. has reported the GRI 1: Foundation 2021 ESG Governance
information cited in this GRI content index with reference to the GRI 2-18 Evaluation of the performance of the highest governance body ESG Governance
Standards for FY2025. Employees’ Rights and
Interests
GRI Standard Disclosure Location 2-21 Annual total compensation ratio To be further enhanced
Not yet conducted, planned for
adoption in the future
industry associations
GRI 2:
General Disclosures 2021 Compliance Governance Please
Report 2025 GRI 3:
Please refer to the company’s 3-3 Management of material topics ESG Governance
Annual Report 2025 Please refer to the company’s
Compliance Governance Annual Report 2025
of impacts 201-2 Financial implications and other risks and opportunities due to
GRI 201: Responding to Climate Change
Economic Performance
Annual Report 2025
GRI Standard Disclosure Location GRI Standard Disclosure Location
To be further enhanced 303-1 Interactions with water as a shared resource
GRI 202: minimum wage Emissions Reductions
Market Presence 2016 Energy Conservation and
Emissions Reductions
GRI 203: 203-1 Infrastructure investments and services supported To be further enhanced GRI 303: Energy Conservation and
Water and Effluents 2018 303-3 Water withdrawal
Indirect Economic Impacts Emissions Reductions
GRI 204:
Procurement Practices 204-1 Procurement practices Supply Chain Management Energy Conservation and
protected areas and areas of high biodiversity value outside protected
operations
GRI 205: 205-2 Communication and training about anti- corruption policies and areas
Compliance Governance 304-2 Significant impacts of activities, products, and services on
Anti- corruption 2016 procedures To be further enhanced
GRI 304: biodiversity
GRI 206:
Anti-competitive Behavior Compliance Governance 304-4 IUCN Red List species and national conservation list species with
practices To be further enhanced
GRI 207: 305-2 Energy indirect (Scope 2) GHG emissions Responding to Climate Change
Tax 2019
GRI 305: 305-4 GHG emissions intensity Responding to Climate Change
Energy Conservation and Waste 2020
Emissions Reductions 305-5 Reduction of GHG emissions Responding to Climate Change
GRI 301:
Materials 2016 305-6 Emissions of ozone-depleting substances (ODS)
Energy Conservation and Emissions Reductions
Emissions Reductions
Energy Conservation and emissions Emissions Reductions
Emissions Reductions 306-1 Waste generation and significant waste- related impacts
Energy Conservation and Emissions Reductions
Emissions Reductions 306-2 Management of significant waste- related impacts
Energy Conservation and Emissions Reductions
GRI 302: 302-3 Energy intensity GRI 306:
Energy 2016 Emissions Reductions Energy Conservation and
Supplier Environmental 306-3 Waste generated
Energy Conservation and Emissions Reductions
Emissions Reductions Energy Conservation and
Emissions Reductions
Emissions Reductions
GRI Standard Disclosure Location GRI Standard Disclosure Location
GRI 308: 308-1 New suppliers that were screened using environmental criteria Supply Chain Management GRI 406: Employees’ Rights and
Supplier 406-1 Incidents of discrimination and corrective actions taken
Non- discrimination 2016 Interests
Environmental 308-1 New suppliers that were screened using environmental criteria Supply Chain Management GRI 407:
Assessment 2016 No relevant operations
Freedom of Association 407-1 Operations and suppliers in which the right to freedom of association
and Collective Bargaining and collective bargaining may be at risk
Interests
GRI 401:
Employment 2016 temporary or part- time employees Interests No relevant operations
GRI 408: 408-1 Operations and suppliers at significant risk for incidents of child
Employees’ Rights and Employees’ Rights and
Interests Interests
GRI 402: GRI 409: No relevant operations
Labor/ Management 402-1 Minimum notice periods regarding operational changes To be further enhanced 409-1 1 Operations and suppliers at significant risk for incidents of forced
Forced or Compulsory Employees’ Rights and
Relations 2016 or compulsory labor
Labor 2016 Interests
Security Practices 2016
GRI 411:
Peoples 2016
Occupational Health and Safety
occupational health and safety 413-1 Operations with local community engagement, impact assessments, S o c i a l W e l f a r e a n d
GRI 413: and development programs Responsibility
GRI 403: 403-5 Worker training on occupational health and safety Occupational Health and Safety
Occupational Health and Local Communities 2016 413-2 Operations with significant actual and potential negative impacts on
None
Safety 2016 403-6 Promotion of worker health Occupational Health and Safety local communities
Occupational Health and Safety
directly linked by business relationships Supplier Social
Occupational Health and Safety
system
GRI 415:
GRI 416: Quality Management
categories
Training and Career Customer Health and
Development Quality Management
GRI 404: impacts of products and services
Training and Education
programs Development 417-1 Requirements for product and service information and labeling Quality Management
development reviews Development 417-2 Incidents of non-compliance concerning product and service
Marketing and Labeling None
information and labeling
Compliance Governance
GRI 405: 405-1 Diversity of governance bodies and employees 417-3 Incidents of non-compliance concerning marketing communications None
Our Employees
Diversity and Equal
Opportunity 2016 GRI 418: 418-1 Substantiated complaints concerning breaches of customer privacy
Customer Privacy 2016 and losses of customer data
Feedback
Dear readers:
Thank you for reading this report. In order to continuously enhance and improve our sustainability
management, we sincerely hope to hear your valuable opinions and suggestions. Please assist in
completing the content of this page and provide us with feedback in the following ways.
Email: pr@novosns.com
Address: No. 9 Dongdangtian Lane, Suzhou Industrial Park, Jiangsu Province, China
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disclosed in this report?
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environmental impacts?
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