CONTENTS
Regulations List
Performance Table
Strengthening the Advancing Technology, Driving Green Growing Together, Collaborating to
Foundation, Facilitating Enhancing Quality Operations, Shaping a Pioneering the Create, Coexisting to
Stable Growth Low-Carbon Future Future Thrive
Innovation Drives Storage
Value Evolution - High- Speed
Management Management Development Development
Storage Media mSSD
Operations Barrier
Development
Security
Dedication
Service
About this Report 03
About this Report
Shenzhen Longsys Electronics Co., Ltd. (hereinafter referred to as "Longsys", the "Company", or "we") has prepared this Environmental,
Social, and Governance (ESG) Report ("this report") to provide stakeholders with transparent and comprehensive disclosure of our
Environmental, Social, and Governance (ESG) policies, practices, and performance. This report has been compiled in accordance with Sources of Information
relevant domestic and international ESG reporting standards and regulatory requirements.
The content and data disclosed in this report are both derived
from the Company's internal statistical records, official documents,
financial statements, and publicly available sources. All information
has been provided by the Company's employees and business
Reporting Standards Definitions partners and is intended solely for the purpose of disclosing the
Company's sustainability performance. It is not intended for
This report has been prepared in accordance with the Self-Regulation For ease of reference, the terms "Longsys", the "Company", and "we" commercial use. In the event of any discrepancies between the
Guidance No. 17 for Listed Companies - Sustainability Report (Trial) in this report collectively refer to "Shenzhen Longsys Electronics Co., information presented in this report and the Company's 2025 Annual
issued by the Shenzhen Stock Exchange ("SZSE"). It also draws Ltd. and its subsidiaries as a whole". Report, the Annual Report shall prevail.
reference from the United Nations Sustainable Development Goals
(UNSDGs) and seeks to align with prevailing ESG disclosure standards
adopted by industry peers. Subsidiary Name1 Abbreviation
Reporting Principles
Zhongshan Longsys Electronics Co., Ltd. Zhongshan Longsys This report has been prepared in accordance with the principles of
materiality, quantifiability, balance, and consistency. It responds
to and addresses the concerns of stakeholders, applies industry-
Reporting Scope Longforce Technology (Suzhou) Co., Ltd. Longforce Suzhou recognized ESG disclosure standards, and incorporates quantitative
data to report key performance indicators, thereby providing objective
This report covers Shenzhen Longsys Electronics Co., Ltd. (Stock presentation of the Company's sustainability performance.
Code: 301308) and its subsidiaries. The scope of disclosures in this
Mestor Integrated Circuit (Zhuhai) Co., Ltd.
Mestor
Mestor Electronics (Zhuhai) Co., Ltd.
report is consistent with that of the Company's Annual Report. This
is an annual report covering the Company's sustainability-related
Wisemem Microelectronics (Shanghai) Co., Ltd. Report Deliberation and Approval
matters for the period from January 1, 2025 to December 31, 2025 Wisemem Technology (Chengdu) Co., Ltd. WiseMem
(referred to as "this year", "reporting year" or "reporting period") as Wisemem (Shanghai) Technology Co., Ltd. This report was deliberated and approved for publication by the
well as activities within the Company during the year of publication. Board of Directors on April 24, 2026.
Certain information may refer to previous years or extends forward to Honorchip Express
April 2026 where relevant. Unless otherwise specified, all monetary
Zhongshan Honorchip Express Supply Chain Co., Ltd.
Supply Chain
figures in this report are denominated in Renminbi (RMB).
Zilia Technologies Indústria e Comércio de Access to this Report
Componentes Eletr?nicos Ltda.
Zilia The electronic version of this report is available on the Company's
official website (www.longsys.com). This report is available in both
Zilia Technologies Indústria de Componentes
he company names listed in this table are limited to the subsidiaries mentioned in the main
T Semicondutores Ltda. Chinese and English. In the event of any discrepancies between the
body of the report. two versions, the Chinese version shall prevail.
About Longsys 04
About Longsys
Company Profile and Overview
Longsys, founded in 1999 and listed on the SZSE in 2022 (Stock Code: 301308), is a semiconductor memory brand company. Leveraging full-
stack technological capabilities that cover key segments of the memory value chain, including chip design (controller and memory chips),
firmware algorithm development, memory product design, and packaging and testing, the Company provides consumer-grade, enterprise-grade,
automotive-grade, and industrial-grade memory products. The Company's portfolio includes the industry-focused storage brand FORESEE, the
overseas industry storage brand Zilia, and the international high-end consumer storage brand Lexar. Its products are widely used in AI servers,
edge AI devices, data centers, automotive electronics, the Internet of Things (IoT), security surveillance, industrial control, and the personal
consumer storage market.
About Longsys 05
Longsys Development Milestones Expanded in-house developed
controller chip portfolio (UFS &
USB & automotive-grade storage)
Officially established Longsys
Shanghai Headquarters
Took the lead in
releasing the USB flash Established a public bonded
module UDP, pioneering warehouse in Zhongshan Longsys
a new production model Storage Industrial Park
Took the lead in The first phase of
of the USB product
launching the integrated Zhongshan Longsys Launched the industry-first
(SATA Disk in Package) completed and put into Exchange (stock code: 301308)
production 2025
Introduced SD protocol
products using TSOP 48
NAND Flash in Chinese Mainland
Founded in Shenzhen, packaging, certified as a
China, engaging in MASK "National New Key Product" Selected as a "Little Giant"
ROM services by the Ministry of Science Acquired Lexar, an enterprise
and Technology of the international high-end
People's Republic of China
Won the "China Patent
Took the lead in launching QLC eMMC in
Established the B2B brand Shanghai Headquarters (R&D
Officially adopted the Completed the joint-stock Center)
"FORESEE" and released
reform and reorganized as a
English name "Longsys"
and started global joint-stock limited company
Took the lead in (SSD) storage products
development Acquired 70% equity in Longforce Suzhou (formerly named
Took the lead in launching the
launching USB control
chip based on AG-AND packaging and testing capabilities
and 1TB PCIe BGA SSD, leading Entered the DIMM market
flash memory in Chinese
the memory industry to pioneer Successfully acquired 81% equity in Zilia Eletr?nicos (formerly named
Mainland, providing high Took the lead in releasing
the TB-level capacity era "SMART Brazil"), expanding in the Latin American market
compatibility and cost- automotive memory
effective storage solutions Won another "China Patent products in Chinese Launched eSSD and DDR5 RDIMM, taking the first step in the high-
Award of Excellence" Mainland end enterprise storage market
About Longsys 06
Business Scope and Market Presence
The Company provides high-performance, high-quality, and innovative semiconductor storage products for applications such as edge AI, AI servers, data centers, embodied AI, the automotive sector, premium consumer
electronics, and industrial fields (security, surveillance, etc.). At present, the Company has product lines of in-house developed chips, embedded storage, solid-state drives, mobile storage, and memory modules. Longsys has
established research and development bases, packaging and testing facilities, and manufacturing operations centers in the Guangdong-Hong Kong-Macao Greater Bay Area and the Yangtze River Delta in China, as well as in
the Americas, Europe, and other regions, forming a domestic and overseas dual-circulation supply chain system, achieving global expansion of its storage business, and innovative development with industrial partners.
Global Presence
The Company has established branches in Chinese Mainland, Hong Kong, China, Taiwan, China, as well as other regions in Asia, the Americas, Europe, and other places, forming a global business presence.
Environmental Social Governance
Annual emissions reduction of domestic factories Longsys and its six subsidiaries have all obtained Longsys held board meetings general shareholder meetings
ISO 27001 Information Security Management System
Certification
tonnes CO2e Longsys, Longforce Suzhou and Zhongshan Longsys have all obtained times sessions
ISO 9001 Quality Management System Certification and IATF 16949
Automotive Quality Management System Certification
Recycled water consumption
Zhongshan Longsys has obtained the ANSI/ESD S20.20 Electrostatic
held earnings briefings and investor meetings
Discharge (ESD) Control Program Certification
m3
sessions
Technical R&D personnel R&D investment reached
did not
Longsys
RMB
experience
million
Longsys responded to investor inquiries via the Interactive E-platform
on the official website
Longsys has accumulated including invention
any administrative penalties due to environmental
protection violations
patents patents times
achieving response rate
% Longforce Suzhou and Longsys Zhongshan have successfully obtained
ISO 45001 Occupational Health and Safety Management System %
compliant waste disposal international Certification
江波龙电子股份 前篇 双重重要性判定 夯实基础，稳健成长 技术引领，品质升级 绿色运营，低碳未来 成长与共，共拓未来 携手共创，共生共赢 附录
Introduced 0.6mm Ultra-Thin Epop4x, Continuous Innovation Showcased Multiple New Products at MemoryS 2025, Exploring
March
February
in Wearable Storage Comprehensive Innovation in Storage Commerce
From standardization to innovative customization, Longsys' From eMMC and SD controllers in 2024 to the UFS and USB
wearable storage portfolio spans from the 7.2mm ultra-compact controllers launched in 2025, the Company has systematically
eMMC to the 0.6mm ultra-thin ePOP4x, addressing storage needs expanded its proprietary controller portfolio, with core IPs
from basic to high-end. This offers comprehensive support for independently designed and developed. With significant
lightweight and high-performance wearable devices. achievements in global manufacturing and brand expansion,
Launched Ultra-Compact 7.2mm eMMC, Expanding Physical
January
Longsys won the Best Comprehensive Innovation Breakthrough
Space for AI-Powered Wearable Devices
Award by virtue of its comprehensive innovation capabilities.
The ultra-compact 7.2mm×7.2mm eMMC storage product
launched by Longsys leverages the PTM mode (storage product
technology manufacturing) full-stack customization model
to achieve product innovation. This further strengthens the
Company's differentiated market competitiveness in storage
product size, thermal management, and compatibility, providing
robust storage technology support for the AI-powered wearable
device industry.
Collaborated with SanDisk to Launch High-Quality UFS Solutions
June
n June 16, 2025, Longsys and SanDisk signed a UFS cooperation
O
MOU in Zhongshan. By integrating SanDisk's advanced flash
memory technology with Longsys' controller and packaging &
testing capabilities, the partnership aims to develop high-quality
UFS solutions. Leveraging the TCM model, this collaboration
optimizes supply chain efficiency, empowers mobile and IoT
markets, and explores new value creation in the storage industry.
江波龙电子股份 前篇 双重重要性判定 夯实基础，稳健成长 技术引领，品质升级 绿色运营，低碳未来 成长与共，共拓未来 携手共创，共生共赢 附录
Longsys Shanghai Headquarters Officially Opened, Driving Public Bonded Warehouse Established, Accelerating Open Launched Industry-First Integrated Packaging mSSD, Enabling
August
August
October
Global Expansion With High-End Storage "Chip" Innovation Ecosystem for Storage Flexible and Efficient Delivery Via Office is Factory
On August 26, 2025, Longsys' Shanghai Headquarters was On August 28, 2025, Honorchip Express Supply Chain, a subsidiary On October 20, 2025, Longsys introduced the industry's first
inaugurated in Lingang, accommodating over 500 R&D and of Longsys, inaugurated its public bonded warehouse at integrated packaging mSSD under the Office is Factory model.
operations personnel. Its core functions focus on the research and Zhongshan Longsys Storage Industrial Park and received the The product has applied for domestic and international patents
development of controller chips, enterprise-grade, industrial-grade, bonded warehouse registration certificate. As the first public and entered the mass production ramp-up stage. It successfully
and automotive-grade storage products, as well as independent bonded warehouse in Cuiheng New District, it enhances the adopts wafer-level system-in-package (SiP) technology, delivering
design of storage chips. Its service areas cover rapidly growing supporting services of Zhongshan Longsys Storage Industrial Park cost reduction and enhanced efficiency alongside low-carbon
markets such as artificial intelligence, data centers, smart cars, for open storage innovation cooperation and drives integrated environmental benefits, robust performance, flexible form factors,
smart grids, and Industrial Internet of Things (IIoT). The park supply chain development on both banks of the Pearl River and multi-specification expansion, empowering storage demands
has opened the world's first flagship store of Lexar, a high-end Estuary, and facilitates coordinated upgrading of regional supply across diverse scenarios.
consumer storage brand, and built a storage culture museum chains.
simultaneously. By integrating multi-site operations, it strengthens
the dual-circulation supply chain system, deepens TCM/PTM
models, and solidifies the foundation for global high-end storage
expansion.
mSSD Storage Media Derive a New Form: Industry's First AI
November
Storage Core Unveiled
On November 27, 2025, Longsys launched the industry's first AI
Storage Core based on mSSD technology, released under the
Lexar brand. Featuring high performance, reliability, and flexibility,
the product offers up to 4TB storage capacity and adapts to five
edge AI terminal scenarios, pioneering a new technical pathway
for edge AI storage.
Longsys Honors 10
Longsys Honors
Longsys Honors and Awards in 2025
Red Dot Design Award TIPA WORLD AWARDS 2025 BEST 2025 iF DESIGN AWARD Lexar Professional DIAMOND Lexar SL500 Portable SSD
Red Dot STORAGE MEDIA iF Design Foundation CFexpress 4.0 Type B Card Won with Magnetic Set Won CES
TIPA CES Innovation Awards 2025 Innovation Awards 2025
CES CES
The Most Cost-Effective and "Lexar Professional Go Forbes China Top 30 Chinese Enterprises National Specialized and New "Little
Outstanding Products Portable SSD with Hub" Won in Global Operations 2025 Giant" Enterprise (2022–2025)
"Best in Content Creation" The Ministry of Industry and Information
PC Games Hardware Forbes China
Technology of the PRC
IFA
China Top 500 Manufacturing Enterprises 20th "China Chip" Excellent Most Innovative Automotive
China Enterprise Confederation (CEC) Technology Innovation Product Chip 2025
Award (2025) China Automotive Chip
China Entrepreneurs Association
China Center for Information Industry Alliance
Development (CCID)
Industrial Core "New Quality" Award China Automotive Chip Innovation 2025 Top 20 for Information Disclosure by
China Automation and Digitalization Achievement Listed Companies in the Greater Bay Area
Industry Alliance China Association of Automobile 9th China (Shenzhen) Corporate Governance
Manufacturers (CAAM) Summit
Longsys Honors 11
Longsys Honors
Longsys Honors and Awards in 2025
China Top 100 New Guangdong Provincial Manufacturing Single Top 100 Electronic Information Manufacturing
Automotive Supply Chain Champion Enterprise Enterprises in Guangdong Province 2025 (by
Enterprises 2025 The Department of Industry and Information Comprehensive Strength)
Jinji Awards Technology of Guangdong Province Guangdong Electronic Information Industry Association
Guangdong Top 500 Manufacturing Enterprises National Manufacturing Single Shenzhen Single Champion
Guangdong Manufacturing Industry Association Champion Enterprise Manufacturing Enterprise
Guangdong Academy of Development and Reform Shenzhen Municipal Bureau of Industry Shenzhen Municipal Bureau of Industry
Institute of Industrial Economics, Jinan University and Information Technology and Information Technology
Enterprises Association for Quality Social Responsibility Enterprise Ecosystem Partner Award
Shenzhen Enterprise Shenzhen Association for Quality of Suzhou Industrial Park China Automotive News
Confederation Suzhou Industrial Park Emergency
Shenzhen Entrepreneurs Management Bureau & Suzhou 2025 Best Comprehensive Excellent Supplier – 2025 Global AI Partner Technological Leadership
Association Industrial Park Work Safety Innovation Breakthrough Core Partners Conference of Innovation Award Award
Alliance Award Huaqin Technology 36Kr HYCET Auto Technology Group
China Flash Market Summit Huaqin Technology under Great Wall Motor
Message from the Chairman 12
Message from the Chairman
In the new era of the global digital wave and the transformation of the storage We deepen responsible governance and strengthen compliance foundations.
industry, Longsys stays at the forefront of technological innovation, with R&D-
driven growth as its core competitiveness. It regards sustainable operation Longsys has established a three-tier governance system comprising the Board Strategy and ESG Committee, the ESG Management Committee, and ESG Execution
and sound governance as the cornerstone of corporate development. Drawing Team to ensure closed-loop management of ESG issues from decision-making to implementation. In 2025, we clarified core ESG topics and incorporated critical
on the strengths of own brands, and supported by a "dual-circulation" supply areas such as climate governance into a systematic framework. In compliance management, our rigorous business ethics controls and risk early-warning
chain system underpinned by coordinated packaging and testing bases at mechanisms safeguard the legitimate rights of all stakeholders, strengthening the foundation for steady growth.
home and abroad, we continue to create value for global customers and We drive innovation relentlessly to deliver superior quality.
build an efficient and reliable storage ecosystem. The long-term value of an
enterprise stems not only from commercial success but also from a profound We achieved major breakthroughs in the mid-to-high-end storage segment in 2025. Revenue from enterprise-grade storage products grew significantly, and
commitment to sustainable development. Longsys fully integrates ESG we launched several industry-leading products ahead of the market. The Company has established a quality management system covering the entire product
principles into its strategic decision-making, advancing the deep integration lifecycle while actively exploring an AI-enabled storage innovation ecosystem to address industry pain points in the compatibility between storage and AI end
of environmental responsibility, technological ethics and social contribution devices. We uphold responsible marketing and R&D practices. While strengthening our global patent portfolio, we strictly enforce data security and customer
into daily operations. While leading industry progress, we are committed to co- privacy protection standards, embodying the philosophy of technology for good.
creating a green, harmonious and sustainable future.
We pursue green operations to build a low-carbon ecosystem.
Longsys integrates climate governance deeply into its business operations, steadily advancing greenhouse gas accounting and energy structure optimization.
Chairman of Longsys Subsidiaries such as Longforce Suzhou have achieved a notable increase in the proportion of green power consumption. Through production process
optimization and energy-saving technological upgrades, power conservation performance across all bases has improved year by year. In the circular economy,
we implement refined waste classification and resource recycling. Working with partners, we adhere to high-standard environmental management to support
Huabo Cai the industry's transition to a green and low-carbon model.
We empower our people to grow and build a harmonious workplace.
Longsys regards employees as its most valuable asset. Through tiered training programs and dual-career advancement pathways, we enable employees to
continuously enhance their professional value. We strictly comply with occupational health and safety standards, and through systematic monitoring and
management systems, we fully safeguard the physical and mental well-being of every employee. The Company is dedicated to stimulating organizational
innovation through diversified incentives and care initiatives, aligning talent development with corporate strategy.
We collaborate with our partners to shoulder social responsibilities.
The Company implements strict sustainable procurement policies in supply chain management. Through supplier audits and conflict minerals management,
we ensure transparency and compliance across the industrial chain. In industrial collaboration, we have established joint innovation labs to accelerate the
development of an open innovation ecosystem for storage and promote the integrated development of regional supply chains. We will continue to balance
economic and environmental benefits, striving to evolve from a participant to a leader in ESG practices and create long-term value for social prosperity.
Looking ahead, Longsys will continue to increase R&D investment, focus on cutting-edge semiconductor storage technologies, and accelerate the
commercialization of innovative achievements. We remain committed to a low-carbon development path. While driving technological breakthroughs and
industrial upgrading, we will deliver sustainable returns to shareholders and contribute storage-driven momentum to social prosperity. We sincerely hope to
continue earning the trust and support from all stakeholders. Let us move forward together to build a sustainable future for the semiconductor industry!
Double Materiality Assessment 13
Double Materiality Longsys Stakeholder Concerns and Communication Channels
Assessment
Stakeholder Concerns Communication and Feedback Channels
?Information disclosure
Directors and Senior ?Innovation-driven growth ?Due diligence ?Official website,
?Information disclosure
Management ?Business ethics ?Stakeholder communication online communication
platforms, emails, etc.
In 2025, Longsys systematically reviewed and optimized its ESG
topics in accordance with the Self-Regulation Guidance No. 17 for
?Circular economy and resource
use ?Equal treatment of SMEs
Listed Companies - Sustainability Report (Trial) issued by the SZSE, Suppliers and ?Climate change and energy use ?Business ethics ?Supplier audits ?Regular performance
identifying and confirming 16 sustainability topics. The Company Partners ?Environmental compliance and ?Due diligence ?Supplier management evaluations
extensively solicited opinions and suggestions from stakeholders
pollutant management ?Stakeholder communication
?Responsible supply chains
through various methods, including questionnaire surveys and
interviews, to fully safeguard the legitimate rights and interests of all
?Circular economy and resource
International use ?Water resources utilization
parties.
?Business negotiation
Organizations and ?Ecosystem and biodiversity ?Innovation-driven growth ?Industry forums
meetings
Industry Associations protection ?Responsible supply chains
During the topic identification and assessment process, the Company ?Climate change and energy use
conducted analyses from two dimensions: impact materiality ?Circular economy and resource
and financial materiality. This established a double materiality
use ?Customer service ?Social media
?Innovation-driven growth
?Data security and privacy hotline interactions, after-sales
assessment framework, providing a scientific and systematic Customers protection
?Responsible supply chains
?Official website, communication
decision-making basis for formulating and advancing the Company's
?Business ethics
?Customer relationship online communication ?Customer satisfaction
?Stakeholder communication
sustainability strategy and practices.
management platforms, emails, etc. surveys
?Product safety and quality
?Environmental compliance and
pollutant management ?Social contribution ?Public welfare activities ?Social media
Stakeholder Engagement
Media
?Product safety and quality ?Stakeholder communication ?Complaint hotlines interactions
?Innovation-driven growth
?Ecosystem and biodiversity protection
Longsys places high importance on stakeholder engagement. We
?Social contribution
Communities ?Environmental compliance and ?Public welfare activities ?Complaint hotlines
?Stakeholder communication
systematically identify various stakeholder groups and their key
pollutant management
concerns, and maintain ongoing interaction through diversified
communication channels, ensuring that the engagement mechanism ?Climate change and energy use ?Information disclosure
?Earnings briefings
is regularized and institutionalized. Through methods such as
Investors and ?Due diligence ?Official website,
?Innovation-driven growth ?General shareholder
Shareholders ?Stakeholder communication online communication
questionnaire surveys, interview exchanges, meeting communications,
?Business ethics meetings
platforms, emails, etc.
and online platform interactions, the Company fully listens to ?Data security and privacy ?Employee training and
stakeholder feedback and incorporates it into the materiality topic protection ?Business ethics ?Internal emails development programs
assessment and management decision-making processes.
Employees
?Innovation-driven growth ?Stakeholder communication ?Employee Symposium ?Employee complaints
?Employees and appeals
?Ecosystem and biodiversity
protection ?Product safety and quality ?Information disclosure
Governments and ?Compliance audits
?Climate change and energy use ?Innovation-driven growth ?Policy communication
Regulators ?Research questionnaire
?Environmental compliance and ?Business ethics meetings
pollutant management
Double Materiality Assessment 14
Identification of Material Topics Impact Materiality Assessment
Longsys has established a systematic ESG management mechanism. In 2025, the Company conducted a stakeholder impact materiality survey focused on various issues, primarily using a questionnaire format,
Through in-depth communication with various internal departments, collecting a total of 111 valid responses. The Company established a standardized scoring system to quantify the importance of each issue. We
the Company comprehensively examines its daily operational then performed a comprehensive assessment by incorporating the weighting of different stakeholder groups, identifying and responding to their
activities and key links in the value chain. Additionally, we extensively core concerns. Through this assessment, we ultimately identified five issues with a high degree of impact materiality, providing a critical reference
gather feedback from stakeholders, including investors, customers, for strategic resource allocation and key management priorities.
employees, and suppliers.
On this basis, the Company conducted a benchmarking analysis of Financial Materiality Assessment
the relevant feedback against industry issues. By comprehensively
considering the key focus areas of capital markets, regulatory and Longsys systematically identifies the potential impact of ESG issues on its operating results, financial position, and future development from the
compliance requirements, and industry development trends, Longsys dimension of financial materiality. Aligned with the Company's business characteristics and value chain structure, we constructed an assessment
systematically identified and confirmed its ESG material topics for pathway of "issue decomposition – risk identification – financial impact analysis". Through cross-departmental collaboration, we conducted
Longsys 2025 ESG Material Topics
Financial Materiality Assessment Process of Longsys
Environmental
?Climate change and energy use ?Water resources utilization ?Break down identified ESG issues into several sub-issues to enhance the granularity and scientific rigor of the
ESG issue decomposition
financial materiality assessment.
?Environmental compliance and ?Circular economy and resource
pollutant management use
?Ecosystem and biodiversity ?Map each ESG sub-issue to specific business processes based on the Company's value chain structure, strengthening
Issue-business process mapping
protection the linkage between issues and actual operational activities.
?Systematically analyze ESG-related risks based on the decomposition results, forming an ESG risk register covering
Issue risk identification
key business processes.
Social
?Social contribution ?Data security and privacy ?E stablish financial impact thresholds in light of the Company's operational scale, financial metrics, and risk
Setting financial thresholds
?Innovation-driven growth protection tolerance, providing an objective standard for determining the financial materiality of ESG risks.
?Responsible supply chains ?Employees
?Equal treatment of SMEs ?Customer relationship Conducting departmental ?Through interviews and workshops with relevant functional departments, comprehensively evaluate the potential
management workshops financial impact of various ESG risks on Longsys under different scenarios.
?Product safety and quality
?Compare the potential financial impact of each ESG risk against the established financial thresholds, and categorize
Assessing financial impact level
the impact level as high, medium, or low for more intuitive presentation of results.
Governance
?Stakeholder communication ?Due diligence Deriving financial materiality ?Synthesize the assessment results to identify and confirm four ESG issues with a high degree of financial materiality,
conclusion providing a basis for subsequent ESG strategy formulation, risk management, and information disclosure.
?Business ethics
Double Materiality Assessment 15
Materiality Issues Determination Results
In 2025, the results of Longsys' ESG materiality issues identification are presented in the following matrix. The assessment identified 2 issues that In 2025, for issues with high financial materiality, including innovation-
are material to Longsys in terms of both financial and impact materiality, 2 issues with only financial materiality, and 3 issues with only impact driven growth, product safety and quality, customer relationship
materiality. management, responsible supply chains, and climate change and
energy use, we implemented systematic management following the
Longsys Double Materiality Matrix framework of "Governance, Strategy, Risk Management, Metrics and
Targets" and disclosed relevant information in this ESG report.
Moving forward, Longsys will continue to deepen the management of
key issues. Leveraging internal risk management and internal control
mechanisms, we will persistently enhance management effectiveness,
High
drive the Company's long-term and stable development, and achieve
nvironmental compliance
E Due diligence Innovation-driven growth our sustainability goals.
and pollutant management ata security and privacy
D Product safety and quality
Conclusion on Impact Materiality of Environmental, Social, and Governance
protection
Business ethics Employees ustomer relationship
C
Equal treatment of SMEs management
Responsible supply chains
C
ircular economy and Climate change and energy use
resource use
E
cosystem and biodiversity
protection
Water resources utilization
Stakeholder communication
Social contribution
Low Financial Materiality to Longsys High
Environmental Social Governance
Strengthening the Foundation,
Facilitating Stable Growth
Longsys continuously refines its corporate governance system, systematically integrating
sustainability requirements into governance and operational management. By optimizing
the governance structure, strengthening regular communication with investors, and
improving the sustainable development management mechanism, the Company
promotes effective interaction with various stakeholders. We also continually strengthen
risk management and business ethics development, gradually building a clear,
standardized, and sustainable governance system. This provides a solid guarantee for the
Company's long-term, stable operation and continuous value creation.
The Company has also strengthened its patent portfolio and information security
systems, establishing technological barriers and safeguarding data security.
Key Performance Highlights
ongsys held 9 board meetings, 5 general shareholder meetings, and 119 earnings
L
briefings and investor meetings, communicating with investors regarding publicly
disclosed financial performance, business progress, and future strategy
ongsys responded to 233 investor inquiries via the Interactive E-platform on the
L
official website, achieving a 100% response rate
SDGs Addressed in this Chapter
ongsys conducted 6 business ethics and integrity advocacy training sessions
L
for approximately 1,500 participants, ensuring broad coverage and in-depth
implementation
Longsys and its 6 subsidiaries have all obtained ISO 27001 Information Security
Management System certification
I n 2025, Longsys did not experience any major information security incidents, and
achieved a 100% remediation rate of unacceptable risks (i.e., medium and high levels) ESG Material Topics Addressed in this Chapter
I n 2025, Longsys' training on information security awareness achieved 100% coverage in
the new employee onboarding program, with a cumulative participation of over 1,200
Business ethics, Stakeholder communication, Data security and privacy protection
employees
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 17
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Sound Governance Governance System
System Longsys strictly complies with the Company Law of the People's Republic of China , the Securities Law of the People's Republic of China , the Code
Longsys continuously advances the development of a standardized, of Corporate Governance for Listed Companies , and the Rules Governing the Listing of Shares on the ChiNext Market of Shenzhen Stock Exchange ,
as well as other relevant laws, regulations and regulatory requirements. In line with its own business characteristics, the Company continually
efficient, and transparent corporate governance framework.
refines its corporate governance structure and internal management policies. Longsys ensures the effective functioning of the general meeting
Centered on the governance objectives of clear authority and
of shareholders, the Board of Directors, and the management team, fostering a corporate governance system that is clear in its delineation of
responsibility, effective checks and balances, and collaborative
responsibilities, incorporates checks and balances, and operates with full compliance.
operation, the Company consistently improves its corporate
governance structure and internal control system. By optimizing
the board structure, strengthening the functions of specialized Board of Directors Structure
committees, and enhancing investor communication and
information disclosure, Longsys persistently elevates its governance The Board of Directors of Longsys consists of 9 members, including 4 independent directors, representing over 40% of the Board membership,
standards and market credibility, laying a solid foundation for the which complies with applicable laws, regulations, and the Company's Articles of Association . The Board has established specialized committees,
including the Audit Committee, the Strategy and ESG Committee, the Nomination Committee, and the Remuneration and Assessment Committee.
Company's long-term and stable development.
These committees provide professional support to the Board in areas such as audit oversight, strategy and ESG planning, director and senior
management selection, and compensation and performance management.
Each specialized committee operates in accordance with its defined responsibilities. Moreover, independent directors hold a majority in the Audit
Committee, the Nomination Committee, and the Remuneration and Assessment Committee, and are appointed as committee chairs. Additionally,
all members of the Audit Committee hold no senior management positions in the Company, effectively safeguarding the independence and
objectivity of the Board's decision-making.
Longsys Board of Directors
the Strategy and the Nomination the Remuneration and
the Audit Committee
ESG Committee Committee Assessment Committee
Longsys Board of Directors Structure
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 18
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Board Diversity Investor Relations Management
In the process of director nomination and selection, the Company
comprehensively considers multiple factors, including gender, age, Longsys places great importance on communication with shareholders and
cultural background, educational experience, professional expertise, investors, enhancing information transparency and interaction efficiency
industry experience, and tenure structure. The Company is committed through diversified channels. The Company's official website features
to building a Board with diverse perspectives and complementary functional modules such as "Interactive E-platform", "Email Subscription
capabilities. The Nomination Committee is responsible for overseeing Center", "Investor Contact", and "Investor Education", providing investors with
the implementation of the Board Diversity Policy and assesses the services including subscription to updates, information inquiries, and investor
Board's composition at least annually. Where necessary, independent education.
professional organizations may be engaged to assist in selecting
appropriate director candidates, ensuring the effective integration of Through regularly convening Board meetings, general shareholder meetings,
diversity principles into Board performance management. and earnings briefings, the Company maintains in-depth discussions with
investors regarding the Company's operating performance, business progress,
significant strategic matters, and market concerns. In 2025, the Company
actively participated in research activities hosted by several investment
Multiple Authoritative Recognitions institutions and securities firms, engaging in in-depth discussions on topics
Demonstrate Governance Effectiveness;
Case such as storage business development, high-end product portfolio strategy, and
Continuous Improvement in Information
cooperation with international customers. These efforts further strengthened
Disclosure and Board Operations
the capital market's understanding of and confidence in Longsys' long-term
Longsys has continuously optimized its corporate governance and development.
information disclosure practices, earning high recognition from the
capital markets and regulatory authorities. During the reporting
period, the Company received the highest 'A' rating for informa- Key Performance Highlights
tion disclosures from the SZSE, was ranked among the Top 20 for
Information Disclosure by Listed Com-
panies in the Greater Bay Area, and was
recognized as a "Best Practice Case for Longsys held board The Company held earnings Longsys responded to investor
Board of Directors" by the China Associ- meetings briefings and investor meetings inquiries via the Interactive
ation for Public Companies. This series E-platform on the official website
of authoritative accolades reflects the
Company's continuous improvement in times sessions
standardized operations, information times
transparency, and Board performance. It
also indicates that the Company has es-
tablished a relatively mature governance
mechanism in areas such as investor
communication, risk management, and general shareholder communicating with investors achieving response rate
meetings regarding publicly disclosed
long-term value management, further
financial performance, business
cementing the governance foundation Longsys Ranked Among Top %
for the Company's high-quality develop- sessions
by Listed Companies in the
ment.
Greater Bay Area
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 19
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Sustainable Development ESG Governance Structure
Management
The Company has established a three-tier ESG governance system, consisting of the Board Strategy and ESG Committee, the ESG Management
Longsys integrates the concept of sustainable development Committee, and the ESG Execution Team. This clarifies the division of responsibilities at each level, forming an interconnected, closed-loop ESG
into its corporate strategy and daily operations, systematically governance mechanism.
advancing ESG management. While creating economic value,
the Company also balances environmental protection, social
responsibility, and corporate governance. Longsys ESG Governance Structure
Sustainable Development
Tier Major Responsibilities
Management System Board Strategy and ESG Committee
Responsible for discussing, evaluating and approving ESG material issues, management goals, information disclosures,
and external reporting
Longsys has established a comprehensive sustainable development Responsible for developing ESG strategic plans and long-term objectives, reviewing reports and systems, and supervising
management system, deeply embedding ESG principles into its ESG Management Committee
the progress and results of the ESG Execution Team
corporate governance and operational practices. By refining its
governance structure and decision-making processes, the Company ESG Execution Team Responsible for implementing ESG projects, data collection, cross-departmental coordination, training and promotion
ensures that ESG issues are effectively identified, managed, and
disclosed.
All ESG material issues, materiality assessments, policy
formulation, and information disclosures follow the process
of "proposal by the execution team, review by management,
and approval by the decision-making body", ensuring scientific
decision-making and effective execution.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 20
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Sound and Compliant Internal Control System and Measures
Operations
Longsys has established a two-tier compliance management system, structured around "Company - Business Unit" controls, continuously
Longsys upholds compliance management as a core principle enhancing internal controls through process optimization and institutional development to ensure compliance requirements are embedded
of its business operations, consistently refining risk control in daily operations. Guided by the principles of "comprehensiveness, materiality, checks and balances, and adaptability", the Company
mechanisms and business ethics standards. The Company systematically rectifies internal control deficiencies and potential risks identified in audits while strengthening supervision. Moreover, by
innovatively implementing distinctive mechanisms such as the "Three Orders and Five Declarations", the Company further specifies compliance
has established a comprehensive compliance system covering
requirements in key areas, continuously improving the effectiveness and execution of internal controls.
corporate governance, strategy formulation, and business
execution, laying a solid foundation for its long-term and
stable development.
Risk Management and Internal Control
Longsys adheres to a prudent and stable approach to business
management, continuously improving its risk management and
internal control system to navigate complex and evolving business
environments.
Risk Management System and Mechanism
The Company conducts systematic risk identification and assessment
annually at both the strategic level and key business processes,
resulting in a dynamically updated risk register. Through regular
auditing and monitoring mechanisms, Longsys continuously
tracks risk evolution and monitors remediation progress. With the
deepening of ESG management, the Company is progressively
integrating environmental, social, and governance-related risks into
its risk management framework, such as monitoring supply chain
risks stemming from climate change, to enhance overall operational
resilience.
Risk Identification and Response Measures
In 2025, Longsys carried out systematic risk identification efforts,
using standardized tools to collect information on risks and
opportunities identified by various business departments during
operations. This initiative has laid a crucial foundation for building
a complete corporate-level risk issue repository and establishing a
routine assessment and response mechanism.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 21
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Business Ethics Business Ethics Management
Longsys views business ethics as a strategic cornerstone for In terms of institutional framework, we have established a core
compliant operations and sustainable development. The Company framework of policies focused on anti-corruption, anti-fraud,
systematically strengthens employee compliance awareness guidelines for daily conduct, and monitoring mechanisms. This has B
ribery, acceptance of bribes, or C
oncealment of facts or
through a tiered supervision mechanism and standardized process resulted in a comprehensive set of rules and regulations covering all solicitation of bribes fabrication of information to
commit fraud
control systems, complemented by professional auditing and business processes, including research and development, design, E
mbezzlement or
regular training. Additionally, we strive to cultivate a transparent sales, and manufacturing. These clearly define employee codes misappropriation of company B
reach of trust causing harm to
supervisory environment by establishing diverse reporting channels of conduct and uphold a "zero-tolerance" principle towards any assets the Company's interests
and whistleblower protection mechanisms, thereby providing robust fraud and negligence, ensuring that business ethics requirements I llegal use or disclosure of critical I llegal engagement in competing
support for fostering a culture of integrity and honesty. are integrated and implemented across all business operations. In company information businesses
nauthorized operations in O
ther serious illegal or non-
system, issuing the Longsys Eight Red Lines Policy to further clarify violation of regulations compliant acts
Business Ethics Governance Structure behavioral boundaries and compliance baselines for employees. The
policy explicitly prohibits the following acts:
The Company implements a three-tier business ethics governance
mechanism comprising the Board of Directors, a specialized In terms of regulation implementation, the Audit and Internal Control Department, as an independent supervisory body, exercises comprehensive
committee, and the Audit and Internal Control Department. The Board supervision over the entire process from strategic decision-making to business operations. To ensure professional and authoritative execution of
of Directors, as the highest decision-making body, is responsible for duties, all department members hold relevant professional qualifications in areas such as anti-fraud, auditing, internal controls, and supervision.
deliberating and approving business ethics-related strategies and We have embedded compliance supervision into key operational processes through a series of systematic management initiatives:
policies. The specialized committee performs supervisory duties,
and the Audit and Internal Control Department, as an independent
functional department, handles daily monitoring, investigation, Supply Chain Employee Behavior Supervision
and evaluation tasks. This includes conducting objective audits and Management Management and Inspection
assessments of business ethics management across departments,
submitting reports to senior management, and escalating major issues
to the Board of Directors for discussion and decision-making. Establishing an integrity review mec? The Company signs integrity and com- Conducting systematic scanning and
hanism for supplier and agent ad- pliance agreements with all employ- assessment of the Company's core
mission, with the signing of integrity ees and conducts irregular integrity businesses and high-risk areas to
cooperation agreements as a prereq- awareness programs, with special proactively identify fraud clues and
uisite for cooperation. This manages integrity training provided for key po- initiate investigations based on rules
commercial ethical risks posed by sitions in sales, R&D, and procurement and regulations, and handling internal
external partners. to enhance employees' integrity and and external complaints and reports,
self-discipline awareness and foster a utilizing specific investigations to
strong ideological defense against cor- create a strong deterrent effect.
ruption.
In 2025, we conducted risk self-assessments focusing on key areas such as procurement. Based on identified issues, we took timely measures
including revising the procurement management policies, optimizing processes, clarifying responsibilities, and implementing job rotation for key
positions. These actions aim to prevent risk recurrence. We incorporated relevant cases into internal warning and education materials to promote
deeper integration of compliance management and business operations. As of the end of the reporting period, the Company has not experienced
any integrity or compliance violation incidents requiring public disclosure.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 22
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Anti-Unfair Competition Whistleblowing and Handling
Longsys has established a comprehensive anti-unfair competition The Company has established a multi-channel, transparent whistleblowing mechanism, including a reporting hotline, dedicated email, and WeChat
management system. By issuing a series of policies, including the reporting platform. These channels are publicly displayed at office locations, on the Company's official website, and within the internal OA system.
Employee Manual and the Trade Secrets Protection Measures , the Reported issues undergo initial evaluation by a specialized team, followed by investigation by either the Audit and Internal Control Department or a
Company clearly defines the scope of trade secret protection, the specialized investigation team, as the situation warrants. In 2025, all whistleblower cases were handled following standard procedures.
boundaries of fair competition, sales behavior standards, and penalties
for violations, establishing clear behavioral guidelines for all employees. Whistleblowing Acceptance Investigation and
Whistleblowing Channels Process Closure
and Handling Process Resolution
To improve management efficiency, the Company will keep optimizing
its existing management and control mechanisms, with a particular Phone 1.Receive whistleblowing 1.Report to senior 1.Internal resolution
focus on enhancing compliance controls at the business front-end. Email information management 2.Report to judicial authorities
This includes embedding compliance assessments into the product WeChat 2.Conduct initial screening 2.Conduct a thorough (if required)
and assessment investigation
R&D stage, pre-reviewing marketing plans before implementation, 3.Documentation and
(Publicly displayed at office 3.Provide a response to ontact the whistleblower
C archiving
and incorporating specific compliance clauses into sales contracts locations, on the official the whistleblower for verification
to proactively prevent the risk of unfair competition at the source of website, and within the OA I nvestigate and collect
business operations, thereby safeguarding a fair and orderly market system) evidence
competition environment.
Longsys Whistleblower Handling Process
Furthermore, the Company continues to elevate anti-unfair
competition awareness through its regular employee training system. The Company strictly enforces a whistleblower protection policy, safeguarding whistleblower privacy through measures such as information
Anti-unfair competition requirements are included in mandatory encryption and access controls, and explicitly prohibits any form of retaliation. This provides institutional support for fostering a culture of integrity.
courses, supplemented by typical case studies, to continually reinforce
employees' compliance bottom line. As of the end of the reporting Business Ethics Training
period, no unfair competition lawsuits have been filed against Longsys.
Longsys has established a comprehensive business ethics training system that spans all employees and processes. The training covers key topics
such as anti-corruption, anti-fraud, confidentiality agreements, and business ethics constraints. Furthermore, training is conducted in a tiered
and targeted manner to ensure compliance requirements are effectively implemented. The Company provides well-rounded business ethics
training based on job functions and employee stages, requiring new employees to undergo integrity training upon joining, while offering existing
employees differentiated training based on their respective roles.
In 2025, the Company conducted 6 business ethics and integrity awareness
training sessions, reaching approximately 1,500 participants. These sessions
primarily targeted employees in key functions such as sales, procurement,
R&D, and production, covering approximately 37% of the total workforce.
During the reporting period, 2 directors and 7 management personnel
participated in at least one anti-bribery and anti-corruption training session,
representing 22% of all directors and 88% of all management personnel,
respectively. Training content included integrity in professional conduct,
procurement risk prevention and control, anti-corruption compliance
requirements, and trade secret protection. Certain sessions have already
covered senior management and board members, with plans to further Longsys Business Ethics Training Course
expand coverage in the future. Additionally, the Company has integrated
integrity education into its talent development system as a mandatory
module in the general curriculum.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 23
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Strengthening Information
Security
To ensure the effective implementation of information security initiatives, Longsys has established a clear and collaborative information security
organizational structure. The Executive Management Team (EMT) is designated as the highest governing body responsible for information security,
with the Management Representative and the Information Security Team appointed as the professional execution team responsible for ensuring
the establishment, maintenance and continuous optimisation of the information security management system. All business departments serve as
Longsys upholds data security as the cornerstone of corporate the implementation entities, strictly enforcing information security management policies and requirements to ensure the effective execution of all
development, strategically prioritizing information security security measures in daily operations.
amidst the digital wave and establishing a comprehensive,
full lifecycle management system. Guided by international
standards, we fortify information security defenses and protect Longsys EMT Team
customer privacy.
Information Security Management Representative
Longsys strictly adheres to the requirements of the ISO/IEC 27001:2022
international standard for information security management, and has
established an information security management framework covering
Information Security Team
cybersecurity, data security, and personal information protection.
Guided by the Information Security Management Manual as the top-
level framework, and supported by policies such as the Information
Asset Management Procedures, the Information and Data Protection
Risk Control
Management Procedures, and the Management Procedures for Human
Administration
Information
Production and Product R&D and Intellectual
Financial
Other
Resources Management Management Subsidiaries
Information Security Risk Assessment . These procedures ensure Department Operation Center Center Property Departments
Department Department Department Center
that information security management practices are standardized,
orderly, and consistently followed based on solid rules. The Company
continuously strengthens its cybersecurity and data security capabilities,
comprehensively reinforcing its information security defenses to
effectively ensure the security Operations and IT Production Procurement R&D Platform Legal Intellectual Digital Operations
and compliance of both internal Maintenance Development Information Department Department Affairs Property Management
Department Department Section Section Department Department
and external information.
Longsys continually develops its Longsys Information Security Organizational Structure
ISO 27001-centric information
security framework. Both Longsys
and its six subsidiaries have
Longsys' information security controls encompass the entire product lifecycle, from R&D, materials, manufacturing, to after-sales service, ensuring
obtained the Certification.
the security and reliability of its products. In 2025, the Company continued utilizing security hosting services. By employing professional security
management tools and dedicated personnel, we persistently optimized the security management of major servers, enhancing resilience against
external cyberattacks.
In its cooperation with clients, Longsys places high importance on compliance management of cross-border data transfers, especially in scenarios
involving personal information and important data. The Company has established a robust evaluation mechanism for cross-border data transfer
to strictly control risks associated with outbound data transfer. During such transfers, we fully employ comprehensive security technical measures
Longsys ISO 27001 Certification such as data encryption and anonymization to effectively safeguard data security. Additionally, Longsys signed data protection agreements with
business partners to define mutual responsibilities and obligations regarding data processing, usage and protection.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 24
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Access Management and Control Security Monitoring, Operations and Maintenance Assurance
The Company has implemented a comprehensive access management Longsys has developed a comprehensive, three-tiered monitoring platform for operations and maintenance to prevent potential information
system. The operations and maintenance department has designated security risks at every stage, including:
dedicated roles for access management, overseeing access control for all
core business systems. Access management practices strictly adhere to a
dual-approval mechanism involving both the department head and the Longsys Information Security Monitoring Platform for Operations and Maintenance
access administrator.
Longsys deeply integrates its access management with human resources
processes: newly onboarded employees are granted the minimum Network Monitoring
This platform monitors metrics across the Company's entire network, including traffic of
necessary access based on their job responsibilities; access rights Platform
network devices, the number of AP (Access Point) users, access control system status, the
are dynamically updated when employees change roles; and upon
number of Secure Sockets Layer Virtual Private Network (SSLVPN) users, and load-balancing
resignation, system access is immediately revoked to mitigate the risk of
session counts. Detected anomalies trigger automatic alert notifications via email and
access persistence. Furthermore, the Company implements an annual
DingTalk bot. Alert recovery messages are also sent upon issue resolution.
access review mechanism. Spearheaded by the access administrator
with the collaborative participation of department heads, this process
ensures the reasonableness of access rights.
In 2025, to enhance external access security, the Company deployed
a Zero Trust Access Control system, covering scenarios for employee Server Monitoring
remote work and external partner access. All connections require Platform This platform monitors the operational status of both physical and virtual servers across
identity authentication and endpoint trust verification, with access
the Company, including device status, CPU usage, memory usage, and disk usage. Alert
requests being encrypted and forwarded, ensuring that external access
messages and recovery notifications are sent via email if any server anomalies are detected
is secure and controllable. Employees request access permission
or if resource usage exceeds predefined thresholds.
on a need-to-know basis, with administrators providing centralized
approval, thereby implementing the principle of least privilege. This
effectively addressed the previous issue of overly broad SSLVPN
authorizations, improving remote access security.
Application
Monitoring Platform
This platform monitors the availability of the Company's application systems. In the event an
application becomes inaccessible, alert messages are sent to the application administrator
via DingTalk groups and phone calls.
In 2025, we comprehensively upgraded the server monitoring system by introducing an advanced converged architecture platform, combined
with professional data monitoring tools, to continuously enhance system monitoring standards and operational efficiency.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 25
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Risk Assessment and Emergency Management Information Security Training
Longsys has established the Management Procedures for Information Security Risk Assessment to quantitatively identify, assess, and categorize Longsys has established a tiered and categorized information security
information security risks (high, medium, low), dynamically update the risk register, and develop and track remediation measures to ensure risks training mechanism via the Longsys Learning online platform to
are under control. ensure comprehensive training coverage:
N
ewly onboarded employees
are required to complete
mandatory foundational
Risk Identification Emergency Plans E
xisting employees
courses and pass the undergo information security
and Resolution and Drills
assessment; awareness training courses.
In 2025, through business continui- For high-risk scenarios, we specifically
ty impact analysis and information developed emergency response plans
security risk assessment for the and organized four practical drills. The
operations of the Information Man- drills covered scenarios such as ERP These trainings enhanced employee awareness of information security
agement Department, the Company system database deletion or interrup- and effectively controlled the risk of incidents caused by insufficient
identified 13 medium-risk and 3 tion, phishing email incidents, and awareness.
high-risk scenarios. Effective reso- data recovery. All drills achieved their
lution measures have been imple- intended objectives and validated the
mented for all to reduce their risk reliability of the Company's emergen-
Key Performance Highlights
levels. cy response procedures.
In 2025
Internal Audit and Improvement of the Management System
Longsys did not experience any major information security incidents,
During the reporting period, Longsys organized and completed an internal audit of its information security management framework. All and achieved
internal auditors were assigned after undergoing specialized training and assessment. We conducted a comprehensive evaluation of 22
departments through methods including interviews, system checks, and document reviews. In response to the 14 minor non-conformities
%
and 7 observations identified during the audit, the Company promptly implemented improvement measures such as tightening
permissions, strengthening environment isolation, and enhancing data flow risk management, ensuring the management system continues remediation rate of unacceptable risks (i.e., medium and high levels)
to operate effectively.
Longsys' training on information with a cumulative participation of
security awareness achieved over
In 2025, Longsys did not experience any major information security incidents, and achieved a 100% remediation rate of unacceptable risks (i.e.,
medium and high levels). % employees
coverage in the new employee
onboarding program
Advancing Technology,
Enhancing Quality
Longsys focuses on storage chip design and application, providing high-performance and
highly reliable storage solutions to global markets. In 2025, the Company concentrated
its efforts on key areas such as enterprise-grade storage, automotive-grade storage, and
new memory technologies, increasing R&D investments to achieve critical breakthroughs
in key technologies. By implementing rigorous quality control across all stages, Longsys
ensures that its products satisfy international standards and customer demands. In
customer service, through tailored services and a rapid-response mechanism, Longsys
optimizes management and enhances service effectiveness. Looking ahead, the Company
will maintain its focus on technological innovation and product quality to drive the global
storage industry ecosystem toward safer and more efficient development.
Key Performance Highlights
Longsys, Longforce Suzhou and Zhongshan Longsys, have all obtained ISO 9001
Quality Management System Certification and IATF 16949 Automotive Quality
Management System Certification
Zhongshan Longsys has obtained the ANSI/ESD S20.20 Electrostatic Discharge (ESD)
Control Program Certification
Longsys maintained a record of zero major or critical quality incidents throughout the year
he Return Merchandise Authorization (RMA) rate continued to decline. Notably, the RMA
T SDGs Addressed in this Chapter
rates of the Enterprise Storage Business Division and the Embedded Storage Business
Division decreased by 15% compared to 2024
No product recalls occurred during the year
Longsys's technology R&D team consists of 1,240 personnel, with total R&D investment
for the year reached RMB 1,048 million
Longsys has accumulated 610 patents, including 218 invention patents
ESG Material Topics Addressed in this Chapter
The overall annual customer satisfaction survey recovery rate reached 83%, with a
responses, customer satisfaction rate for enterprise-level clients reached 100% Innovation-driven growth, Product safety and quality, Data security and privacy protection,
Customer relationship management, Intellectual Property Protection
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 27
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Feature System Integration Innovation Drives Storage Value Evolution - High-
speed Storage Media mSSD
With over two decades of technological expertise in storage, Longsys
has developed full-chain independent design capabilities covering
wafer analysis, NAND Flash chips, firmware algorithms, controller
chips, and system-level products. Building on this foundation, the
Company has continuously driven product evolution from "modular
assembly" to "system-level integration".
As AI computing, cloud services, and intelligent terminals rapidly
advance, downstream customers have placed higher demands
on storage products in terms of performance density, space
utilization, power consumption control, and delivery efficiency.
Traditional SSDs have gradually reached marginal limitations in
multi-device integration, production coordination, and energy
efficiency optimization. In response, the Company initiated
explorations into integrated storage solutions for next-generation
application scenarios, giving rise to the mSSD (Micro SSD).
mSSD Innovation Pathway
In 2025, leveraging the flexible and efficient "Office is Factory" manufacturing
model, the Company redefined the positioning of traditional SSDs,
introducing a new integrated packaging mSSD product form in the solid-state
storage domain, delivering high quality, high efficiency, low cost, and superior
flexibility. The product was developed through multiple rounds of structural
design, reliability verification, and mass production optimization from the High-speed Storage Media mSSD
initial concept phase, gradually forming a complete innovation closed-loop
covering ideation, design, verification, mass production, and delivery. The
research and development of mSSD represented the collaborative innovation
of the Company's business units, R&D system, and manufacturing system,
supported by the Company's rapid response capability to market changes
and in-depth understanding of customer needs. During the reporting period,
the product has filed domestic and international technical patents and
achieved commercial application.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 28
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Focusing on Core Product Characteristics Demands
Quality Enhancement Performance Data Security
Adopting wafer-level system-in-package (SiP) technology, the product While achieving slimness, mSSD maintains excellent read/write Supporting multiple mainstream encryption protocols, the product
avoids potential reliability risks from traditional manufacturing performance. Leveraging an innovative heat dissipation structure provides multilayered security protection for core data. It can also
processes at the source. Through systematic optimization of design, the product's peak performance duration reaches industry- offer industrial-grade wide-temperature support based on customer
packaging and manufacturing processes, the product defect rate leading levels, meeting the demands of high-load application scenarios. requirements, ensuring data integrity and operational safety in
(DPPM) has decreased by an order of magnitude compared to complex or extreme environments such as intelligent assisted
previous levels, significantly improving overall product quality driving and outdoor robotics.
and providing stable quality assurance for large-scale customer
Compatibility and Flexibility
applications.
Fully addressing diverse client application needs, the product
provides multiple capacity options and achieves flexible adaptation
across specifications through innovative modular design, enabling
rapid switching between different application scenarios. Combined
with efficient heat dissipation solutions and bus capabilities,
the product can be safely installed or removed during system
operation, supporting cross-device data invocation and application
collaboration, effectively enhancing efficiency and convenience in
development, research, and creative scenarios.
mSSD Production Quality Performance mSSD Performance mSSD Models
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 29
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Supporting Low-Carbon and Enabling AI Transformation and Intelligent Applications
Green Development
As artificial intelligence (AI) applications expand from cloud environments to diverse terminal devices, storage systems face heightened demands
In manufacturing and usage phases, mSSD effectively addresses
for real-time data access, random read/write capabilities, and environmental adaptability. To address this trend, the Company launched the
customer demand for low-carbon and green products through
industry's first AI Storage Core product based on mSSD technology, designed to better meet next-generation AI ecosystems' demand for high-
process optimization. Its production workflow avoids high-energy-
performance data storage.
consumption steps such as traditional surface-mount technology
(SMT), significantly reducing energy consumption and carbon Building on mSSD, AI Storage Core further enhances performance, reliability, and usability through hardware-software co-optimization. In terms
emissions while ensuring product performance and quality. This of performance, the product achieves sequential read/write speeds exceeding conventional storage devices through proprietary firmware and
approach effectively controls the carbon footprint per unit product. hardware design, efficiently supporting massive data throughput. Going forward, the Company will continue optimizing small-file random access
During the product usage phase, mSSD complies with low-power and system-level collaboration capabilities to further improve real-time response speeds for AI applications such as large model loading and
requirements specified in relevant protocols, and its peak power image generation.
consumption meets industry standards, enabling customers to
achieve energy efficiency optimization goals at the system level. The launch of AI Storage Core expands the application scenarios of the mSSD product line, providing customizable and scalable storage solutions
for AI terminals, intelligent workstations, professional imaging equipment, intelligent driving systems, and more. This not only helps customers
overcome current storage challenges in AI development but also lays a technical foundation for deeper integration between storage hardware
and intelligent applications.
Launch of AI Storage Core
Looking ahead, mSSD will continue leveraging its universal advantages of integrated packaging and flexible manufacturing to serve industrial
and consumer clients. It aims to meet market demands for rapid customization, reliable quality, compact delivery timelines, and cost
control, empowering brand customers to develop differentiated products and enhance responsiveness to market changes. As technical and
manufacturing capabilities deepen, the Company will continuously expand the application boundaries of storage innovation, delivering high-
mSSD Energy Consumption Performance
value storage solutions for an expanding range of scenarios.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 30
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Innovation-Driven Development
Longsys consistently practices the concept of innovation-driven development, deeply integrating technological In 2025, the Company further optimized its R&D organizational structure, effectively
innovation with business growth. Focusing on storage industry upgrades and emerging application demands, the shortening the path from customer requirements to product delivery by conducting
Company has established an innovation system covering "technology R&D—product innovation—system capabilities— systematic process improvements and introducing external professional institutions
ecosystem collaboration". Through continuous optimization of R&D organization and process management, for support. In the transition from a "department-centric" to a "process-oriented"
management model, Longsys reorganized relevant institutional documents and
strengthened hardware-software collaboration capabilities, and advancements in storage technology toward high
management requirements around end-to-end business processes (e.g., product
performance, high reliability, and intelligence, Longsys accelerates technology commercialization and large-scale
R&D processes), reducing operational impacts from organizational adjustments
implementation via system and business model innovations, comprehensively enhancing its ability to serve customers
and promoting standardized and sustainable process management. Meanwhile,
and empower industrial development. we continuously strengthened our shared R&D platform construction, providing
universal technology modules and mass production quality assurance tools to
Governance enhance overall R&D efficiency.
The Company strictly complies with national and industry regulations and standards, incorporating innovation-driven strategies
Strategy
into its governance framework and long-term development plan. Through collaborative operations among business units, the
business divisions, and the Flash R&D Center, a closed-loop management mechanism has been formed spanning demand insights,
technology R&D, and product delivery.
Longsys consistently implements its innovation-driven development strategy,
systematically advancing technology deployment and capability upgrades from a
group-wide perspective centered on long-term core competencies, to strengthen
resilience against external uncertainties and industry cycle fluctuations. Amid
intensified competition in the storage industry, accelerated technology iterations, and
rapid development of emerging applications like artificial intelligence, the Company
prioritizes technological innovation to drive storage technology toward full-chain
autonomy. Through forward-looking planning and sustained investment, Longsys
has gradually built an innovation system emphasizing both "hardware platform
capabilities + software and algorithm capabilities".
On one hand, the Company continuously strengthens its hardware capability platform
centered on storage chips and controllers, improving independent and controllable
capabilities in critical technologies to enhance operational security and stability of
core businesses. On the other hand, increased investment in firmware, algorithms, and
foundational software capabilities supports deeper technology R&D and innovation
incubation, enabling high-performance, low-power, and intelligent storage products.
Through synergistic development of hardware and software capabilities, Longsys
continuously reinforces its overall competitiveness in storage systems and enhances
comprehensive service capabilities for key customers and critical application
scenarios.
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Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Innovation Matrix
Commercial PC Scenario
Embedded Storage
Focusing on its four core product lines—embedded storage, mobile
In the consumer storage products segment, the Company's
storage, solid-state drives, and DIMM—Longsys continues to advance Automotive-Grade Storage
Lexar brand launched the PCIe Gen5 SSD NM1090 PRO flag-
multi-directional innovation, exploring differentiated development
ship product. With high read speeds and large capacity com-
paths in niche areas such as automotive-grade storage, in-house Constructed a in-house developed automotive storage matrix
bined with DirectStorage technology, this product delivers a
developed controllers, integrated packaging, and smart wearable covering eMMC, UFS, LPDDR4x, and SPI NAND Flash. These
premium storage experience with multiplied performance for
devices, actively responding to downstream application demands for products fully comply with automotive reliability standards
high-end gamers and professional creators.
high-performance, low-power, and highly reliable storage solutions. such as AEC-Q100, and through in-house developed controller,
In 2025, the Company achieved significant results in product R&D firmware algorithms, and dedicated packaging and testing
across multiple key areas: production lines, provide stable support for critical systems
like intelligent cockpit, ADAS, and vehicle gateways. Currently,
these products have been integrated into projects with
Product Innovation
multiple OEMs (Original Equipment Manufacturer) and Tier 1
customers, applied across various intelligent vehicle scenarios.
Solid-State Drive
AI PC Scenario Smart Wearables and Ultra-Compact Storage
Launched high-capacity PCIe SSD products based on QLC Through innovative packaging technology, the Company
NAND Flash, achieving breakthroughs in single-disk capacity, Lexar PCIe Gen5 SSD launched ultra-compact 7.2mm eMMC and 0.6mm ultra-thin
data retention, and overall performance. Through high-density ePOP4x products, achieving high integration of storage and
storage design, these products meet AI dataset storage needs Enterprise Scenario memory while maintaining performance and power efficiency
while reducing the number of SSDs required in systems, under extreme space constraints. These products support the
effectively optimizing system architecture and lowering AI Developed an enterprise SSD portfolio covering SATA and PCIe lightweight and high-integration design requirements of AI
integration costs. Combined with in-house developed firmware interfaces, supporting large-capacity, high-concurrency, and glasses, smartwatches, and smart earbuds.
and functional designs, the products demonstrate exceptional high-reliability application needs. Through in-house developed
durability, security, and lifecycle stability, well-suited for AI firmware technologies such as enhanced power-loss protection,
model loading and data-intensive applications. dynamic cache management, and multi-level power consump-
tion adjustment, these products simultaneously meet AI servers'
comprehensive requirements for high-performance boot drives
and large-capacity data drives.
QLC NAND PCIe SSD Industrial-Grade SATA SSD Ultra-Compact eMMC and Ultra-Thin ePOP4x
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System and Model Innovation
Memory Module
Launched the innovative memory product SOCAMM2, utilizing Core Technologies
LPDDR5/5x chips and modular design to achieve compre-
hensive optimization of high capacity, high bandwidth, and The controller chip is a core component of NAND Flash memory, responsible for scheduling data and managing communication between the memory
low power consumption in a compact form factor. Through dies and the system CPU, and it plays a key role in determining overall storage performance. Focusing on the demand for high-performance storage,
high-density interconnected structures and optimized thermal Longsys continues to advance the independent R&D of controller chips by strategically deploying in Wisemem Microelectronics, building a specialized
management design, this product significantly reduces power chip design platform, and developing a dedicated engineering team. As a result, the Company has successfully designed controller chips covering eMMC,
consumption while enhancing data transfer efficiency, adapting UFS, SD cards, and high-end USB flash drive products. Based on its in-house developed UFS 4.1 controller chip, Longsys has also established strategic
to compute-intensive scenarios such as AI servers, high-perfor- cooperation with leading global storage manufacturers such as SanDisk, further strengthening its storage performance capabilities and competitive
mance computing, position in emerging applications such as AI servers and AI PCs.
edge computing, and
intelligent as?s isted
driving. It pr?ovides a
memory solution bal-
ancing performance
and energy efficiency
for AI inference and
large model applica-
tions.
Longsys In-house Developed Controller Product Matrix
SOCAMM2
Storagee Processing Unit
Business Model
Launched a dedicated hardware SPU (Storage Processing Unit) de-
signed for intelligent storage architecture. Built on a cutting-edge
capacity of up to 128TB, effectively filling the market gap between TCM (Technology Contract Manufacturing) and
mainstream cSSDs and high-capacity eSSDs. At its core, the SPU PTM (Storage Product Technology Manufacturing)
integrates in-memory lossless compression (achieving an average models. TCM connects original manufacturers directly
compression ratio of 2:1) and HLC (High-Level Caching) technolo- with Tier 1 customers through the shortest possible
gy, significantly reducing the required physical SSD capacity and supply chain, ensuring supply-demand certainty, cost
cutting DRAM demand by nearly 40%. This offers data centers and optimization, and supply chain transparency. PTM
terminal devices a provides end-to-end delivery from chip design and
new storage solu- firmware development to customized packaging,
tion that combines testing through an integrated "R&D + packaging and
large capacity with testing + manufacturing" foundry service. This model
PTM Business Model
low cost. has been implemented in industrial and automotive
fields, supporting specialized requirements such
as dimensional customization, wide-temperature
verification, and dedicated production lines.
SPU
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Building an Innovative Ecosystem
Intelligent Evolution
The Company has integrated AI technology across the entire The Company emphasizes ecosystem construction through industry exchanges
storage value chain, achieving three key breakthroughs: and partner conferences to strengthen collaboration with upstream and
Based on built-in ML (Machine Learning) capabilities downstream partners, promoting technology commercialization and application
in controllers, the Company enables predictive traffic
Case Longsys at CFM | MemoryS 2026 Summit
implementation. In 2025, Longsys actively participated in major domestic and
scheduling and performance optimization; Through multi- international industry exhibitions, technology summits, and ecosystem events.
dimensional data analysis, the Company predicts hard drive At the CFM | MemoryS 2026 Summit, Longsys presented on
Focusing on key scenarios such as intelligent vehicles, AI computing, and
health status to improve maintenance efficiency and data the theme of "Integrated Storage: Exploring Edge AI," sharing
embedded/industrial applications, the Company systematically demonstrated
security; Combining technologies like intelligent voltage the Company’s core insights and innovative achievements
regulation and hot/cold data identification to significantly its comprehensive strengths in storage product innovation, customization
in edge AI storage. Addressing diverse and customized
enhance reliability metrics for media such as QLC, providing capabilities, and business models. requirements, Longsys has established a Foundry-style,
higher performance and stable storage support for AI training full-chain customization service for edge AI storage—
and inference scenarios. Through concentrated showcases at professional platforms like MemoryS, covering the entire industrial chain, including chip design,
COMPUTEX, Embedded World, and China Mobile Partner Conference, Longsys hardware design, firmware and software development,
Edge AI Intelligent Scheduling Engine launched multiple innovative storage products. The Company conducted in- packaging processes, industrial design, automated testing,
depth exchanges with operators, OEMs, customers, and industry partners materials engineering, and manufacturing. Through
on cutting-edge directions including AI storage, automotive-grade storage, deep collaboration and technological integration, this
Launched the intelligent scheduling engine iSA (Intelli-
and QLC (Quadruple-Level Cell) embedded storage, promoting technology model enables efficient customization from design to
gent Storage Agent) for edge-side AI inference, serving as
understanding, application implementation, and ecosystem collaboration. delivery. Breaking through the traditional limitations of
the intelligent core of the SPU. By leveraging MoE expert
Centered on the theme of "Storage Ecosystem, Collaborative Innovation", single-component upgrades, the approach offers a new
offloading, KV Cache intelligent management, and smart
pathway for the development of edge AI storage. From
prefetching algorithms, iSA effectively addresses key the Company collaborated with wafer manufacturers, terminal producers,
precise positioning to scenario implementation, from
challenges in large-scale MoE models—such as massive and solution partners to explore pathways for new technologies from R&D to
technical closed-loop to the integration of local advantages
parameter size, rapid KV Cache expansion, and high I/O la- large-scale application, accelerating the transformation of innovation results with global operations, Longsys centers its strategy on
tency—enabling precise and efficient storage resource or- into real-world scenarios. "Integrated Storage" to deliver comprehensive solutions.
chestration. Through joint optimization with AMD's Ryzen
Moving forward, the Company will uphold its "Everything
AI platform, Longsys successfully achieved local deploy-
for Memory" philosophy, continue to deepen its expertise in
ment of a 397B-parameter ultra-large model, and reduced
the storage domain, drive innovation through technology,
DRAM consumption by nearly 40% in scenarios involving a
and collaborate with global partners to jointly advance the
innovation and development of the edge AI industry.
el with 256K ultra-long
context length. This
delivers an innovative,
practical solution for
the efficient local de-
ployment and large-
scale application of
ultra-large models.
iSA Intelligent Storage Agent
In 2025, the Company gained industry recognition in key
areas including AI computing, industrial automation,
and intelligent vehicles through leading technological
capabilities and reliable product quality. CFM | MemoryS 2026 Summit
QLC Ecosystem Salon
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Risk and Opportunity Management Metrics and Targets
Over the years, Longsys has accumulated a wealth of core technological achievements and intellectual property through its independent R&D The Company maintains stable R&D investment and incentivizes
efforts. To safeguard its core technologies, the Company has established internal policies, including the Trade Secrets Protection Measures , innovation outcomes through a performance management mechanism
the Patent Management Measures, and the Intellectual Property Management Policy, standardizing the creation, utilization, protection, and for R&D personnel.
operation of intellectual property. The Company's intellectual property portfolio covers patents, trademarks, copyrights, and integrated circuit
layout designs. Patents are primarily in-house developed, supplemented through acquisitions and licensing, providing institutional safeguards for
innovative activities.
Through clearly defined responsibilities and professional management, the Company continuously identifies and manages intellectual property-
related risks during technology R&D, product implementation, and external collaboration, ensuring compliant execution and stable transformation
of innovation outcomes. The Risk Control and IP Center were established to oversee intellectual property strategy planning, patent portfolio
development, risk prevention, and operational management, implementing three safeguard mechanisms: Key Performance Highlights
?Implementing a comprehensive management system across all processes, which efficiently transforms innovative outcomes into corporate
intellectual property, building robust technological barriers;
?Establishing a contractual mechanism that clearly defines intellectual property ownership clauses in all employee contracts;
Longsys' technology R&D team consists of
?Rolling out a pre-assessment mechanism for major projects and conducting dedicated due diligence on intellectual property. Longsys is firmly
committed to protecting the intellectual property and trade secrets of its customers, suppliers, and business partners.
personnel
To enhance employees' awareness of intellectual property risks and value, the Company continuously conducts role-specific IP training programs.
In 2025, five training sessions were organized for R&D, quality control, and new employees, focusing on fundamental patent knowledge, patent
application procedures, and novelty protection, integrating IP awareness into daily R&D and management processes to further reduce compliance
risks in innovation activities.
Key Performance Highlights
As of December 31, 2025
the Company has obtained patents
Longsys' total R&D investment for the year
reached
RMB million
including invention patents overseas patents software copyrights integrated circuit layout designs
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Crafting Excellence with
Dedication
Longsys stays committed to a quality guiding principle of "Providing competitive Longsys Product Quality and Safety Certifications
products and services that satisfy customers, with value creation and customer service
as the core". The Company has established a quality control system that spans the
entire product lifecycle, continuously optimizing its quality management system
across R&D, materials, manufacturing, and after-sales processes to ensure product
reliability and long-term stability.
Governance
The Company has established a Quality Management Department responsible for
overall product quality management and quality system construction. It includes
specialized units for quality systems, after-sales quality, customer quality, development
quality, manufacturing quality, and supplier quality. The Quality Management
Department exercises vertical management over quality departments at owned
factories such as Zhongshan and Longforce, implementing on-site quality control
under the supervision and support of the central team. Responsible departments
report progress regularly to management through mechanisms such as monthly quality Longsys ISO 9001 Quality Management System Zhongshan Longsys IATF 16949 Automotive Quality
meetings, ensuring that quality standards across all parts are uniformly enforced and Certification Management System Certification
driving continuous improvement.
The Comprehensive Management Manual serves as the overarching framework for
the Company's quality management. Moreover, Longsys has implemented an array of
product quality management regulations, including the Quality Traceability Management
Regulations , the Trial Production Quality Management Regulations , the Packaging
Factory Quality Regulations , the Regulations on Quality Management and the Control of
Manufacturing Process , and the Material Abnormality Handling Regulations . In 2025, the
Company revised its second- and third-level quality management documents, compre-
hensively detailing measures for quality planning, process control, and inspection stand-
ards, and improving the full-process quality control mechanism covering R&D, materials,
manufacturing, and after-sales stages.
Additionally, the Company has established and continuously operates a quality man-
agement system compliant with international standards. Both Longforce Suzhou and
Zhongshan Longsys have passed ISO 9001 Quality Management System Certification
Zhongshan Longsys ISO 9001 Quality Management Zhongshan Longsys ANSI/ESD S20.20 Electrostatic Discharge
and IATF 16949 Automotive Quality Management System Certification. For product ESD System Certification Protection System Certification
(electrostatic discharge) protection, Zhongshan Longsys has achieved ANSI/ESD S20.20
Electrostatic Discharge Protection System Certification.
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Strategy Quality Culture Development
At the strategic level, Longsys has established a mid-to-long-term product safety plan, committed to continuously enhancing safety standards to Longsys has systematically built a quality culture framework
provide customers with safer and more reliable storage products. The Company integrates safety considerations throughout the entire production with participation from all employees, implementing a tiered,
process, implementing continuous monitoring to rapidly identify and address safety incidents. The Quality Management Department exercises multidimensional quality awareness cultivation program to ensure
multi-dimensional on-site control over factories, and through mechanisms such as daily reports, weekly reports, monthly reports, and quality unified action directions and effective implementation of strategic
weekly meetings, combined with mistake-proofing process optimization, continuously improves product quality. Additionally, the Company has objectives.
established a comprehensive quality evaluation and incentive mechanism, systematically driving continuous optimization of the quality system
through routine monthly/quarterly assessments, annual quality conferences, and targeted quality coaching. Advocacy Culture: Through special initiatives like "Quality Month",
we continuously build a normalized quality ecosystem with full
employee participation and continuous improvement.
Longsys Product Quality Management Process
Empowerment Actions: We have established a full-level training
system covering all employees, regularly conducting quality and
R&D
safety training. In 2025, the Quality Department organized 35 courses
covering 850 participants, with content spanning problem analysis,
Design quality is ensured through review mechanisms for requirements, project initiation, design, and testing, conducting new product
quality tools, and other dimensions. Through departmental, cross-
quality planning activities (including setting product quality objectives, establishing product reliability testing standards, and defining
departmental, internal-external integrated, and online-onsite
entry/exit criteria for each stage of new product development). During the pilot production phase of new products, process standards
combined formats, employee quality awareness and professional
and critical control points are set, with pilot production follow-up conducted.
capabilities were systematically enhanced.
Environment Building: By constructing quality culture walls, we
Materials create immersive experience environments to efficiently reinforce
safety awareness, promote experience exchange and sharing, and
Implement Incoming Quality Control (IQC) inspections based on sampling level criteria and MRB (Material Review Board) decision- deeply integrate quality culture into daily operations.
making mechanisms, along with standardized shelf-life management for materials. Supplier quality management mechanisms include
supplier onboarding certification, annual audits, performance evaluations, and supplier exit management. The Quality Department organized covering
courses participants
Manufacturing
Establish a comprehensive first-piece inspection, line inspection, and final inspection process. Potential abnormalities are proactively
identified through quality risk detection and IT-based error-proofing systems. Electrostatic discharge (ESD) risks are effectively mitigated
through an online ESD monitoring system.
After-Sales
Establish a rapid response mechanism for customer quality issues, implementing Failure Analysis (FA) of defective products and
advancing solutions according to customer quality standards.
Quality Culture Wall in the Module Manufacturing Workshop
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Case Longsys Conducts a Series of Quality Month Activities
During the 2025 Quality Month, themed "Strengthening Quality Foundations to Drive an Excellent Future", Longsys organized a series
of company-wide quality improvement activities across manufacturing bases in Shenzhen, Zhongshan, Shanghai, Suzhou, and
Zhuhai. Through practical formats such as knowledge competitions and skill challenges, employee enthusiasm was effectively ignited.
Additionally, as an industry benchmark, the Company hosted specialized exchanges with the Shenzhen Quality Association, sharing
practical experiences in "Digital and Intelligent Quality Management". Manufacturing bases focused on the "Three Nos Principles" to
drive the shift in quality awareness from "passive compliance" to "proactive pursuit". These activities not only strengthened internal
quality culture and practical capabilities but also enhanced industry influence through external exchanges, systematically reinforcing
the Company's quality foundation.
Longsys Quality Month Event Site
Case Electrostatic Discharge (ESD) Protection Wall Initiative
On April 1, 2025, Zhongshan Longsys fully launched the ESD Protection Wall Initiative aimed at enhancing company-wide ESD
protection awareness. The initiative focused on identifying ESD risks, organizing ESD training, and soliciting ESD process improvement
proposals, with cash rewards established for outstanding teams and exceptional ESD proposals.
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Risk and Opportunity Management
Longsys consistently incorporates product quality and safety into its core risk management strategy. During product development and production, For non-conforming products identified during production and testing,
the Company strengthens proactive risk assessment to identify and intervene in potential safety and quality hazards in advance. For abnormal the Company follows the abnormality handling processes outlined
situations, a rapid response mechanism is established to execute root-cause diagnosis and implement multi-dimensional improvement measures. in the Non-Conforming Product Control Procedure and other related
For major quality risks, specialized investigations are promptly initiated to ensure issues do not escalate or recur, achieving risk predictability, documents. These procedures include identifying, labeling, isolating,
categorizing, and handling defective products for proper disposal,
controllability, and closed-loop management. This comprehensive approach enhances risk response capabilities, safeguards product safety and
to ensure defective products do not proceed to subsequent stages
reliability, and continuously reinforces quality defenses.
while promptly locating root causes. For product quality incidents,
the Company immediately initiates quality incident investigations
Our quality risk management system centers on quality prevention, KPI continuous monitoring, and end-to-end problem closed-loop
and conducts post-incident reviews from both management and
management. Each process is supported by corresponding digital management systems: PLM (Product Lifecycle Management), WMS (Warehouse
technical perspectives. Analysis results and improvement measures are
Management System), MES (Manufacturing Execution System), and EDI (Electronic Data Interchange) systems comprehensively support R&D, standardized into process and technical upgrades to prevent recurrence.
material, and manufacture quality control processes through data platform integration. After-sales processes are managed through the RMA
system for closed-loop control. These systems ensure quality stability and customer satisfaction while effectively maintaining production quality To manage the recall of defective products sold, Longsys has imple-
consistency and continuous improvement. mented several management policies and regulations, including the
Company Quality Incident Management Rules , the Longsys After-Sales
Longsys Product Quality and Safety Management Systems RMA Handling Procedures , the Customer Return and Rework Oper-
ating Procedures , and the Longsys Bulk Return and Exchange Pro-
cedures . These policies clearly define departmental responsibilities,
Enables full lifecycle management of products, including bill-of-materials management, recall definitions, recall initiation criteria, and the recall handling
PLM (Product Lifecycle
process. A traceability system is also established at the delivery center,
Management) System basic data management for drawings, and project management.
achieving data tracking of all stages including product manufacturing
processes, packaging techniques, testing procedures, and packaging
stages, ensuring efficient and precise recall execution. In 2025, Longsys
reported no product recall incidents.
EDI (Electronic Data The system dynamically collects production data to track real-time status for every production
Interchange) System process.
Dynamically collects production data to implement error-proofing and status tracking at
MES (Manufacturing every production testing stage, enabling accurate forward and reverse traceability.
Execution System) Simultaneously, incoming material and production quality standards are maintained in the
system to achieve explicit management of abnormal issue resolution.
WMS (Warehouse Precisely controls warehouse processes including storage, inventory, stocktaking, and
Management System) location management through digitization.
RMA (Return Material
Authorization) After-Sales Provides real-time, visualized, and traceable data control.
Management System
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Metrics and Targets
In the field of quality management and product safety, the Company consistently upholds the "zero major incidents" baseline and prioritizes continuous improvement of customer satisfaction as its core objective. Based on
robust overall quality performance, Longsys continues to optimize its quality management system and after-sales processes, targeting RMA (Return Material Authorization) reduction rate as a key improvement indicator—
directly reflecting systematic enhancements in product reliability and service efficiency. Looking ahead, the Company will maintain stringent control standards, continuously improve full-lifecycle product safety management,
and strive to deliver more reliable and secure product experiences for customers.
Key Performance Highlights
did not did not 0
in 2025，Longsys during the year，Longsys The relevant fine amount is Longsys' Return Merchandise Authorization (RMA) rate has been on a
continuous decline. Notably, the RMA rates of the Enterprise-Grade Storage
Business Division and Embedded Storage Business Division have decreased by
experience experience % compared to 2024
any product recalls any major or extraordinary quality incidents
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High-Quality Customer Service
Longsys consistently prioritizes creating customer value as its core principle, building a systematic safeguard framework around this objective. Through a multidimensional customer feedback
mechanism, the Company continuously gains insights into market demand, optimizing the quality of its products and services. Looking ahead, the Company will continue to uphold professional service as
its foundation, collaborating with customers to co-create a secure, trustworthy, and sustainable digital ecosystem.
Governance Strategy
Longsys continues to develop an institutionalized and standardized Customer satisfaction remains central to Longsys' operations, supported by a systematic management mechanism. The Company conducts annual
customer relationship management system. For direct supply cus- satisfaction surveys covering 60-70 core customers, continuously collecting feedback on quality, delivery, technical support, social responsibility,
tomers, the Company has established the Customer Management and environmental protection. All survey results undergo focused evaluation during management reviews, ensuring customer voices directly reach
Guidelines , while implementing the Agent Management Guidelines decision-makers. For identified issues, particularly those with low satisfaction scores, the Company develops targeted improvement measures,
for agents. The Company is committed to delivering exceptional cus- which are strictly incorporated into the Control Procedure for Continuous Improvement and Corrective and Preventive Actions for closed-loop
tomer experiences, strictly complying with the Customer Satisfaction tracking and implementation. Through this data-driven closed-loop management, the Company continuously drives substantial service and
Measurement Procedure to continuously enhance product and service process optimization, strengthening long-term, stable, and mutually trusted customer relationships.
quality.
Longsys has established a robust customer relationship management
organizational structure and clear division of responsibilities. The
Sales Department of the Operations Center is fully responsible for
implementing annual customer satisfaction surveys, while the Agent
Management Department collaborates with business units or sales
teams to organize product promotions and industry information
sharing sessions for agents and end customers. This department also
supervises cooperation models between agents and end customers,
ensuring reasonable pricing, and jointly building a clear governance
framework. For key customers, the Company implements the "Iron
Triangle" service model, led by the Sales Department, supported by
project managers and product engineers, providing differentiated
support in logistics, pricing, and resource prioritization to guarantee
supply for key customers during periods of capacity constraints.
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Risk and Opportunity Management
In response to customer complaints, Longsys has formulated the Management Regulations on Mass
Production Customer Issue Handling and implemented a rapid-response process for issue resolution.
This process ensures coordinated efforts across multiple departments, such as Quality, Engineering, Field
Case Unveiling of the Longsys-SDMC
Application Engineer (FAE) and Logistics, to conduct thorough investigations and FA root cause analysis
around critical links including process flows and logistics, ensuring rapid problem localization and precise
Joint Innovation Laboratory
traceability.
Upon receiving a customer issue, the relevant Field Application Engineer (FAE) and Customer Quality On December 5, the Longsys-SDMC Joint Innovation Laboratory
Engineer (CQE) promptly handle the complaint. If the issue is identified as related to the Company, it will be was officially launched at the Zhongshan Longsys Storage
recorded in the customer complaint system, with a response and verification completed within 24 hours. Industrial Park. The laboratory provides full-process testing
Agent complaints are received by sales personnel and transferred to the Agent Management Department for capabilities from "joint debugging and scenario verification"
investigation and resolution. The Company supports these processes through the Customer Relationship to "reliability evaluation", focusing on resolving key pain
Management (CRM) system and on-site management. points in storage and AI terminal compatibility. Leveraging
its full-stack technical capabilities in "storage chip design,
Technical issues are led by the FAE for analysis, while non-technical issues are managed by the CQE, who
firmware algorithm development, system-level verification,
forms an improvement team to generate an 8D report. Through reviewing quality records, verifying process
and packaging and testing manufacturing", Longsys
standards, and analyzing order data, the root cause of the issue can be precisely identified to develop
collaborates with SDMC, a global leading AI Home integrated
targeted corrective measures. Moreover, all improvement plans undergo effectiveness validation and are
solution provider contributing expertise in terminal devices,
managed through a closed-loop process, ensuring continuous enhancement of customer satisfaction and
system platforms, and global scenarios. Through services
product quality.
including "platform compatibility tuning, reliability and
To strengthen communication capabilities between agents and customers, and to help end customers lifespan evaluation, and signal/power integrity verification",
understand company products, the Company regularly conducts product and market information training the partnership enhances the stability, performance, and
sessions for agents and end customers through both online and on-site modes, systematically training energy efficiency of edge AI devices.
all newly introduced agents. For important customers, joint laboratories are established to facilitate Longsys Held the Training Sessions for Agents and
collaborative learning. End Customers
Case Strategic Entrepreneurial Roundtable
On November 1, the Strategic Entrepreneurial Roundtable was successfully held at Zhongshan Longsys
Storage Industrial Park. Through this strategic roundtable, Longsys elevated its customer relationship
management through a high-level, ecosystem-driven approach. By inviting key clients and potential
partners, including enterprise decision-makers from the Pearl River Delta region, not only did the
company showcase its industrial layout and technological capabilities, but it also effectively positioned
itself as an insightful leader and ecosystem connector. The event centered on the "Second Curve"—
a core strategic topic of common concern among entrepreneurs—and facilitated in-depth intellectual
exchange and trust-building, ranging from shared understanding to methodology discussions. The event
aimed to establish long-term, symbiotic strategic partnerships with clients, transforming them from
Longsys Held the Strategic Entrepreneurial Establishment of the Longsys-SDMC Joint Innovation Laboratory
transactional counterparts into collaborative ecosystem partners exploring growth and synergy.
Roundtable
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Responsible Marketing
Longsys strictly complies with the Advertising Law of the People's Republic of China , the Anti-Unfair Competition Law of the People's Republic of
China , the Law of the People's Republic of China on the Protection of Consumer Rights and Interests , and other applicable laws and regulations.
In this reporting year, the Company issued the Longsys Eight Red Lines Policy , which explicitly requires adherence to the principles of truthful,
accurate, and complete information disclosure. The Company updates its internal marketing policies promptly in accordance with legal
requirements and industry dynamics. All external communications made on behalf of the Company must be uniformly released by the Marketing
and Brand Department and reviewed by multiple departments, including Legal Affairs and the Board Office. The Company commits to strictly
relying on actual test data in product promotions, prohibiting any exaggerated or false claims, and encourages all partners, contractors, and
suppliers to establish corresponding internal compliance policies.
In addition, Longsys incorporates responsible marketing principles into its regular sales training programs, illustrating marketing standards to
its sales staff. These training sessions ensure that sales personnel are fully informed of the Company's commitments regarding its products and
services and are well-versed in relevant marketing compliance requirements. This emphasizes adherence to internal sales policies and prohibits
employees from making exaggerated or misleading statements or promises beyond the scope of their responsibilities. These efforts guarantee that
all marketing activities of Longsys comply with relevant laws and regulations, social norms, and ethical standards.
Metrics and Targets
The Company aims to achieve excellence in customer service, ensuring high-quality customer experience while promoting standardized and
personalized service development. We are dedicated to maintaining customer trust and loyalty, striving to become our customers' most trusted
long-term partner.
The overall response rate of the customer response rate for automotive-level According to valid questionnaire responses,
satisfaction survey for this year reached customers customer satisfaction rate for enterprise-level
clients reached
% %
%
Driving Green Operations,
Shaping a Low-Carbon Future
Longsys integrates sustainable development across its entire R&D,
production, and supply chain processes, establishing a systematic
environmental management system. The Company actively reduces the
environmental impact of its operations by improving production processes,
increasing the proportion of clean energy, managing pollutant emissions,
and promoting ecological conservation. In the circular economy, the
Company will continue to promote the waste sorting and recycling, and
collaborates with partners to implement environmental management
standards. In the future, Longsys will continue to increase its investment in
green technology innovation and low carbon R&D, deepen energy-saving
transformations in manufacturing, and is committed to providing replicable
environmentally friendly solutions for the electronics manufacturing
industry, thereby facilitating the green transformation of the industry.
SDGs Addressed in this Chapter
Key Performance Highlights
Longforce Suzhou achieved a 25% decrease in power consumption per
unit of revenue in 2025 compared to 2024
Mestor's power consumption per unit of output and greenhouse gas
emissions per unit of output significantly decreased in 2025 compared
to the previous year, achieving approximately 300,000 kWh of electricity ESG Material Topics Addressed in this Chapter
savings through technological upgrades
Longsys did not experience any administrative penalties due to Climate change and energy use, Environmental compliance and pollutant management, Ecosystem and biodiversity
environmental protection violations protection, Water resources utilization, Circular economy and resources use
Waste treatment compliance rate reached 100% in 2025
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 44
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Climate Change Response
In response to the global trend of climate change, Longsys Longsys has completed systematic identification and preliminary assessment of climate-related risks and opportunities. The Company has
views proactively addressing climate challenges as a core systematically categorized key risk types, including both physical and transition risks, covering dimensions such as policy and regulation, market,
issue for fulfilling its environmental responsibilities and and technology. We have conducted in-depth qualitative and quantitative analyses and assessments of the identified climate risks, analyzed their
seizing green development opportunities. The Company has potential business impacts, and formulated corresponding response and management measures.
deeply integrated climate governance into its overall strategic
Longsys Climate-related Risks and Opportunities Identification List
planning and operational management. By establishing and
continuously improving a greenhouse gas management Risk/
Risk Risk/Opportunity
system, conducting annual carbon emission accounting and Opportunity
Classification Description
Potential Impact Response
type
tracking, the Company systematically promotes production
process improvement and energy structure upgrades. Extreme weather events Damage to factory buildings and
Formulate emergency response plans for
equipment, production stagnation
Governance
(such as typhoons and extreme weather with hierarchical responses
floods) may impact Supply chain disruption leading to delivery
Acute risk Purchase property insurance and other means
production facilities, delays
logistics networks and to effectively mitigate the economic losses
Longsys has integrated climate change response into its core gover- supply chain nodes
Increased post-disaster repair costs and caused by extreme climate events
asset depreciation
nance framework. Leveraging a three-tier ESG governance system Physical Risk
Decreased heat dissipation efficiency of
consisting of the Board Strategy and ESG Committee, the ESG Man- Changes in climate patterns
equipment and fluctuations in yield rate Continuously carry out forward-looking
lead to regional extremely
agement Committee, and the ESG Execution Team, the Company climate scenario research, dynamically adjust
high temperatures, Increased temperature control costs in
Chronic risk medium and long-term response strategies,
droughts, etc., affecting the storage
clearly defines the authority and responsibility of each level regard- stability of the production
and continuously improve climate adaptation
Increased health risks for employees and capabilities
ing climate issues, forming a closed-loop management mechanism environment higher labor costs
with top-down deployment and bottom-up feedback. For detailed Tighter global carbon stablish a strict environmental management
E
Increased carbon footprint accounting and
information on Longsys' climate change governance structure, please Policy and regulation (such as carbon investments in emission reduction system, and continuously reduce the operational
compliance tariffs, energy consumption carbon footprint through systematic measures
refer to the "Sustainable Development Management" section in the risk standards) may increase Penalties or market access restrictions for such as process optimization and energy efficiency
non-compliance
"Strengthening the Foundation, Facilitating Stable Growth" chapter compliance costs improvement
of this report. Promote the green transformation of the
Strategy
supply chain, and reduce carbon emissions
Increased short-term costs for researching in raw material procurement, production and
The growing customer and developing green technologies manufacturing, logistics and transportation
demand for low-carbon and other links
Loss of orders due to failure to meet
Faced with the common challenge of global climate change, Transition Market risk products makes the green
demand
supply chain a competitive Continuously increase investment in research
Longsys has deeply integrated proactive climate change response Risk
threshold Premium space can be obtained with and development and innovation, develop
low-carbon products and technologies, and
and corporate environmental responsibility into its long-term advanced deployment
reduce carbon emissions throughout the
development strategy, firmly committed to supporting the national product lifecycle
ambitious goals of "Carbon Peak and Carbon Neutrality". Upholding Pressure from investing in equipment
Accelerated iteration of low- upgrades
an open and collaborative philosophy, the Company leverages carbon technologies (e.g.,
Continuously increase R&D investment in low-
Technological Asset impairment due to technological carbon product design, renewable material
continuous technological and managerial innovation. Through risk
low-power chip design)
substitution application, and circular economy technology
may substitute traditional
systematically advancing multi-dimensional initiatives such as clean processes Lagging innovation may weaken market development
production, energy efficiency improvement, process improvement, position
and scientific carbon asset management, Longsys works with its Climate policies encourage Apply for government subsidies/tax Continuously increase R&D investment in low-
green technology R&D incentives carbon product design, renewable material
industrial chain partners to drive the green and low-carbon transition Opportunities /
(e.g., energy-saving storage application, and circular economy technology
chips) Tap into emerging markets development
of the industrial chain.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 45
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Risk and Opportunity Metrics and Targets
Management
Longsys has integrated climate change response into the core emissions and completed the verification and Certification of its 2025
agenda of its corporate operations and development. By setting clear greenhouse gas emissions.
Longsys has systematically integrated the management of
energy conservation, emission reduction targets, and quantitative
climate-related risks and opportunities into its comprehensive Mestor has identified controlling energy consumption per unit output
indicator systems, and relying on systematic management initiatives
risk management framework. By establishing specialized value and continuously improving energy utilization efficiency as
and technological investment, the Company steadily advances the
mechanisms for identification, assessment, and response, key energy management targets. It has established a systematic
implementation of related goals.
the Company continuously enhances its management monitoring, analysis, and review mechanism covering daily, weekly,
capabilities regarding climate change issues. For details on Longforce Suzhou defined specific energy conservation and emission and monthly cycles to continuously identify energy-saving potential
the risk management process and control measures, please reduction targets in 2025, including a 10% reduction in energy in operations. Through targeted technological upgrades and
refer to the "Sound and Compliant Operations" section in the consumption per unit output value and increasing the proportion of production schedule optimization, Mestor achieved its set target for
"Strengthening the Foundation, Facilitating Stable Growth" green electricity usage to 10%. To systematically track and promote energy consumption per unit output value in 2025, with an overall
chapter of this report. target achievement, the Company established a monthly monitoring electricity saving rate of 2.3%. Technological upgrades resulted in
mechanism for green electricity procurement and execution. electricity savings of approximately 300,000 kWh, effectively driving
Mestor categorizes typhoons as a primary extreme climate
Since July 2025, the actual monthly green electricity usage ratio energy efficiency improvements and a reduction in carbon emission
risk and has systematically implemented typhoon and flood
has reached 20%, exceeding the set target ahead of schedule. intensity.
prevention management measures. These include reinforcing
Furthermore, to comprehensively understand its carbon emissions
outdoor equipment against wind, strengthening protection for Zilia also continuously implements emission management plans,
and evaluate reduction effectiveness, Longforce Suzhou set a goal
hoisting openings, doors, and windows, conducting regular conducting ongoing measurement and monitoring of greenhouse gas
for 2025 to conduct annual third-party verification of greenhouse gas
maintenance on drainage systems, maintaining emergency emissions in accordance with international standards.
flood prevention supplies, coordinating with government
emergency dispatch, and reasonably arranging production
operations to fully ensure employees' safety and operational
Key Performance Highlights
stability.
In 2025, Longforce Suzhou achieved a
greenhouse gas emission reduction of
In 2025, Mestor achieved electricity savings of
approximately
with an overall electricity saving rate of
Greenhouse Gas Emission Verification Certificate for Longforce Suzhou
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 46
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Regarding institutional guarantees, the system documentation is
Environmental
副本
continuously improved:
Management
Longforce Suzhou has developed the Environmental Health and
Safety Manual and corresponding procedural documents based on
ISO 14001 and ISO 45001, established a compliant energy manage-
注册地址/生产地址：中山市翠亨新区和清路9号
统一社会信用代码 ：91442000MA4UHRYB4K
ment system and compiled the Energy Management System Man-
建立的管理体系，按照以下标准评审合格，特发此证。
Longsys has established and continuously improved a scien- ual and other documents in accordance with energy management
tific and systematic environmental management system, fully system standards like ISO 50001;
implementing the ISO 14001 environmental management stan- SD 卡的设计；存储模组（云盘、SD卡、嵌入式内存条、固态硬盘等）
dard. By refining institutional norms, optimizing management estor revised the Energy and Resource Management Policy , con-
M
的设计和制造；嵌入式存储产品的设计、测试与包装所涉及的能源管理
structing a clear-goal, well-defined responsibility, and standard-
processes, and promoting technology application, the Com-
本证书信息可在国家认证认可监督管理委员会网站（www.cnca.gov.cn）上查询。
ized-process system for energy conservation, emission reduction,
（ 获证组织审核周期内万元产值综合能耗、产品单位产量能耗及能耗核算边界见标有相同证书注册号的
证书附件，主证书必须与证书附件同时使用）
pany strengthens the end-to-end identification and control of
首次发证日期：2025年07月16日 证 书 号：15/25En0224R00
最新发证日期：2025年07月16日 有效期至：2028年07月15日
and climate governance;
environmental risks. All operating units strictly adhere to stan-
中国认 可
管理体 系
MANAGEMENT SYSTEM
CNAS C015-M
GB/T23331
dardized environmental management procedures, effectively
第一次监审 第二次监审 第三次监审
hongshan Longsys has established a closed-loop management
Z
总经理
证书有效期内，每年至少进行一次现场监督活动，每次监督活动后，WIT将在本证书上加贴合格标签。
凡认证范围涉及行政许可或国家强制认证要求的，本证书随相关行政许可或国家强制认证证书失
reducing the impact of production and operational activities mechanism from target setting to performance evaluation through
效而失效。
杭州万泰认证有限公司
杭州市江虹路1750号信雅达国际创意中心A幢14层
on the surrounding environment. The Company continuously a series of policies including the Control Procedures for Energy Ob-
improves its long-term management mechanisms, promoting jectives , Targets , and Management Action Plans , and has obtained
ISO 50001 Energy Management System Certification. Certificate of the ISO 50001 Energy Management System of Zhongshan Longsys
the deep integration and coordinated development of ecologi-
cal environmental protection and business operations.
As of the end of the reporting period, Longforce Suzhou, Mestor, and Zhongshan Longsys have all passed ISO 14001 Environmental Management
System Certification, with Longforce Suzhou's energy management system also having passed external Certification.
Environmental Management System
Longsys has established a three-tier environmental governance system
consisting of the "Strategy and ESG Committee – ESG Management
Committee – ESG Execution Team". This structure oversees and
coordinates the advancement and execution of the company-wide
environmental strategy, guiding subsidiaries in improving their policies
to ensure the effective operation and continuous improvement of
the management system. Under this framework, the Company has
established a scientific energy and environmental management
system, defining management policies, objectives, and responsibilities.
Greenhouse gas management is treated as a key component, with strict
adherence to standards like ISO 14064 for inventorying. Annually, each
business unit comprehensively calculates, investigates, and records
emission data in accordance with the Greenhouse Gas Management
Measures and GHG Protocol requirements, ensuring traceability
and verifiability, and achieving normalized management of energy
performance and carbon control.
Certificate of the ISO 14001 Certificate of the ISO 14001 Certificate of the ISO 14001
Environmental Management Environmental Management Environmental Management
System of Longforce Suzhou System of Mestor System of Zhongshan Longsys
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 47
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Response to Environmental Risks
Longsys has established a standardized mechanism for identifying and
addressing potential hazards at all production bases, ensuring systematic Key Performance Highlights
identification and closed-loop control of environmental risks. Zhongshan Longsys Conducted
Case
Environmental Protection Training
did not experience
Longforce Suzhou conducts comprehensive inspections on a monthly Longsys
basis, strictly enforces tracking of rectification measures to ensure timely
resolution of environmental hazards, and has formulated an emergency To adapt to dynamic updates in environmental regu-
response plan for sudden environmental incidents. This plan covers
lations and strengthen control requirements for new
emergency organizations, response procedures, post-incident handling,
and support measures, defining a standardized process for managing any incidents of administrative penalties due to violations pollutants, Zhongshan Longsys organized specialized
environmental pollution incidents. An annual drill plan is developed of environmental protection regulations environmental compliance training for relevant employ-
based on the emergency plan. Longforce Suzhou validates the plan's ees. The training covered new pollutant management
effectiveness through whole-process practical drills, followed by review policies, interpretations of fundamental environmental
and assessment. Furthermore, Longforce Suzhou develops specific regulations, and incorporated risk warnings based on
improvement measures to address any identified issues, continuously
typical industry violation cases. Through this training,
Environmental Awareness Training
enhancing emergency response capabilities.
employees systematically gained knowledge of the latest
Mestor has established a systematic environmental risk emergency environmental compliance requirements, enabling them
management system. This includes a comprehensive contingency plan to more accurately identify and address environmental
for sudden environmental incidents and workplace safety accidents, risks in their daily work. This provided strong support for
Longsys conducts regular, specialized environmental protection
as well as specific response plans for scenarios such as chemical the Company's sustainable operations and compliance
leaks, fires, and explosions. An emergency command structure led
training for all employees annually. The training content is closely
aligned with industry characteristics and the Company's operational management.
by the primary responsible person is in place, with clearly defined
tiered response procedures and responsibilities for each team. Mestor practices. We employ participatory teaching methods such as case
continuously strengthens daily controls through routine inspections, studies and scenario simulations to enhance the training's relevance
regular monitoring, and annual assessments. Additionally, we organize and practical effectiveness.
comprehensive and specialized emergency drills annually. The
contingency plans are promptly revised based on regulatory updates In 2025, Longforce Suzhou continued to strengthen environmental
and process changes. Through these mechanisms, the system ensures
awareness and capacity building for all personnel, systematically
a rapid response upon the occurrence of an incident, executes end-
conducting four specialized training sessions. Such sessions covered
to-end operations from pollution control and emergency response
to monitoring and remediation, and strictly adheres to information fundamental environmental knowledge, energy management
reporting regulations, thereby guaranteeing the relevance, operability, policies and regulations, hazardous waste management, and
and sustained effectiveness of the emergency plans. wastewater and waste air emission management. Hazardous waste
and wastewater or waste air emission management were newly
Zhongshan Longsys has established an annual identification and
added training topics for the year. All training was delivered online,
dynamic update mechanism for environmental factors. It systematically
assesses impacts related to water, air, hazardous waste, and energy achieving full coverage of all plant personnel and providing strong
consumption. Based on this assessment, Zhongshan Longsys develops support for the thorough implementation of Longforce Suzhou's
a list of significant environmental factors and targeted control measures. environmental management system.
It implements risk control through training, monitoring, and specialized
drills, and regularly organizes on-site response drills for incidents such as Environmental Protection Training at Zhongshan Longsys
environmental leaks to test and optimize the effectiveness of emergency
plans. All related management activities are strictly carried out in
accordance with documented procedures, ensuring the standardization
and continuous operation of environmental risk management.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 48
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Green Operations
Longsys deeply integrates energy-saving principles into daily operations by promoting specific behavioral guidelines to engage all employees. These include
turning off equipment power upon departure, switching off lights and air conditioning after meetings, strictly adhering to temperature control standards,
and promoting double-sided paper usage. The Company also conducts regular awareness campaigns and training sessions to continuously foster a culture
of energy conservation, enhancing employee awareness and sense of responsibility. As a result, energy and emission reduction efforts are transformed
Longsys integrates systematic management of resources and energy into systematic organizational actions and sustainable mechanisms, effectively advancing green and low-carbon development. Zilia further improves unit
into the core of its operational improvement. By continuously energy efficiency through the adoption of more efficient equipment and intelligent controllers.
advancing process optimization, strengthening the recycling and
reuse of water resources, and enhancing end-of-pipe pollution In addition, Mestor systematically advances energy conservation and consumption reduction from both management and technological perspectives:
control facilities, the Company comprehensively improves
From management perspective, a systematic monitoring, analysis, and review mechanism has been established with daily, weekly, and monthly cycles.
resource efficiency and environmental performance throughout its
This mechanism is closely coordinated with production, engineering, and planning departments to dynamically identify and implement energy-saving
production and business operations.
opportunities.
Energy Conservation and
Consumption Reduction
From technological perspective, Mestor has implemented a series of optimization and retrofitting initiatives, including reducing supply pressures for
compressed air and nitrogen, optimizing cooling tower operating modes, achieving intelligent interlocking control between exhaust ventilation systems and
Longsys continuously enhances energy efficiency through systematic process equipment, and continuously phasing out and replacing high-energy-consuming equipment. By integrating refined management practices with
management and the application of advanced technologies. In daily engineering solutions, the Company has effectively reduced energy consumption and carbon emissions.
operations, the Company implements detailed energy consumption
control measures, including seasonal adjustment of office air-conditioning
temperatures and fresh air volumes, intelligent control of lighting and
streetlights, and preferential activation of high-efficiency units. It also
focuses on conducting energy-saving renovations in key areas such as Case Longforce Suzhou's Participation in Green Transformation Exchange Initiatives
the compressed air system, HVAC system, water treatment system, and
lighting system. Meanwhile, the Company actively introduces energy-saving
To systematically advance energy conservation, emission reduction, and energy efficiency improvement, Longforce Suzhou actively participates
technologies, participates in base-wide energy efficiency collaboration
in a series of green transformation exchange initiatives organized by the industrial park. Through on-site visits to the "SIP-E Enterprise School"
projects, gradually replaces inefficient equipment, and optimizes equipment
program, the Company examined advanced technical equipment such as high-efficiency magnetic levitation compressors. It also attended
start-up, shutdown, and operational modes during the production process,
the "Cleanroom Plant Energy Efficiency Salon" to learn key technologies for optimizing HVAC systems, and joined the "Green Boat Salon" for
thereby systematically reducing overall energy consumption.
specialized discussions on compressed air system energy savings, electricity cost management, and low-carbon development pathways. These
exchanges, spanning technology, policy, and industry trends, have provided Longforce Suzhou with direct insights into identifying energy-
Longforce Suzhou
saving potential, adopting advanced technological renovation solutions, and understanding green power trading mechanisms. The experience
has laid a solid foundation for subsequent actions, including equipment upgrades, process optimization, and enhanced energy cost control.
entralized Optimization of Vacuum Systems: The 7 ICOS
C
equipment units in the post-processing stage of the AP line were
retrofitted to connect their vacuum pumps to the centralized
facility system, achieving an annual electricity saving of
approximately 49,000 kWh.
igh-Efficiency Upgrade of Lighting Systems: Existing 18W LED
H
lamps were replaced with more efficient 9.5W models, resulting
in an annual electricity saving of 12,000 kWh.
nergy Efficiency Enhancement of Key Equipment: High-
E
efficiency, first-grade energy-saving pumps with a 96.5%
efficiency rating were introduced to replace older pumps with
efficiency below 90% in systems such as chilled water pumps,
Longforce Suzhou's Participation in Green Transformation Exchange Initiatives
significantly improving overall system energy performance.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 49
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Water Resource Management
Longsys strictly complies with national and local laws and regulations related to water pollution prevention and control, including the Water Pollution Prevention and with both the compliance rate of discharged wastewater and the coverage
Control Law of the People's Republic of China , the Regulation on the Administration of Permitting of Pollutant Discharges, and the Measures for Pollutant Discharge rate of water-saving devices reaching 100%, effectively reducing freshwater
Permitting Administration . It guides and promotes its subsidiaries in establishing systematic water pollution prevention and control management systems, clarifying consumption.
management responsibilities, and ensuring full compliance with legal and regulatory requirements throughout the entire process of wastewater treatment and
discharge. Zhongshan Longsys implements classified and compliant disposal of waste-
water generated during production operations in accordance with its Envi-
Longforce Suzhou has established clear requirements for monitoring, inspection, and pretreatment through its Wastewater Management Measures , implementing ronmental Operation Control Procedures . Domestic wastewater is pre-treated
classified control over wastewater: domestic wastewater is pretreated before being discharged into the municipal system through pipelines, while industrial through a three-stage septic tank system on-site before being discharged into
wastewater is entrusted to qualified third-party units for treatment, with complete records maintained throughout the process, ensuring full compliance across the the municipal sewage network, ultimately undergoing centralized treatment at
entire wastewater management lifecycle, from collection to discharge. In 2025, Longforce Suzhou further enhanced water resource utilization efficiency through a wastewater treatment plant to ensure compliance before discharge. Indus-
a comprehensive set of measures, including the introduction of water-saving equipment, implementation of concentrate water recovery and reuse, replacement trial wastewater is collected and stored centrally, then entrusted to qualified
of ultrafiltration membranes to restore system performance, and systematic identification and repair of water pipeline leaks across the facility. These initiatives third-party professional institutions for standardized treatment. This approach
collectively contribute to a significant reduction in production water consumption. ensures systematic fulfillment of water pollution prevention responsibilities,
guaranteeing full compliance and environmental safety throughout the water
Additionally, Longforce Suzhou continues to implement reclaimed water reuse for cutting and grinding wastewater. Over time, the performance of ultrafiltration resource management process.
membranes, the core components in the reuse system, degrades due to long-term operation. Through annual replacement, the system's overall water recovery rate
has been improved by 5%–10%, reducing wastewater discharge and decreasing the intake of fresh water, thereby further strengthening the Company's water recycling Zilia has established a well-structured waste management system through
capabilities. initiatives focused on water reduction and reuse, effectively preventing
environmental pollution.
Longforce Suzhou has developed a series of treatment measures for the production wastewater from different pollution-generating production processes:
Wastewater Type Pollution-generating Process Treatment Measure Discharge Destination Key Performance Highlights
After being recycled and treated, 85% of the treated water is reused, and the The sewage treatment plant
Grinding wastewater Grinding The annual cumulative volume of recycled water in Longforce
rest is discharged to the wastewater treatment station for further treatment in the industrial zone
Suzhou reached
Packaging of The sewage treatment plant
Dicing wastewater finished chips Dicing All being recycled to the pure water system
in the industrial zone
The sewage treatment plant 3
Cleaning wastewater Cleaning Discharged to the wastewater treatment station for treatment
in the industrial zone
Dicing wastewater Memory chips Dicing
After being recycled and treated, 85% of the treated water is reused, and the The sewage treatment plant with a recycling rate of
rest is discharged to the wastewater treatment station for further treatment in the industrial zone
Backwash water from sand
filtration
Backwash water from
activated carbon filtration The sewage treatment plant
Discharged to the wastewater treatment station for treatment
Regenerated water from Pure water manufacturing in the industrial zone In 2025, Mestor achieved a reclaimed water reuse volume
softening filtration exceeding
Concentrated water from
reverse osmosis
EDI drainage After treatment (mechanical filtration), all being reused Not discharged externally
The sewage treatment plant
Cooling system drainage Cooling system / Discharged to the wastewater treatment station for treatment with both the compliance rate of discharged wastewater and the
in the industrial zone
coverage rate of water-saving devices reaching
Mestor has established a water resource management system centered on its Energy and Resource Management Policy . Through the installation of comprehensive
water-saving devices, upgrading process cooling systems to a closed-loop circulation mode, implementing classified wastewater treatment (such as pre-treating
domestic wastewater for municipal sewer discharge and ensuring industrial wastewater meets discharge standards), and strengthening water conservation awareness
across all employees, the Company has systematically improved water use efficiency. In 2025, Mestor achieved a reclaimed water reuse volume exceeding 2,005 m?,
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 50
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Waste Gas Emission Management Waste Management
Longsys strictly complies with relevant regulations, such as the Regulation on the Administration of Permitting of Pollutant Discharges , the Measures for Pollutant Longsys strictly complies with relevant laws and regulations, including the
Discharge Permitting Administration , and the Self-monitoring Technology Guidelines for Pollution Sources (HJ 1130-2020)-Electronics Industry . It guides its subsidiaries Law of the People's Republic of China on the Prevention and Control of Envi-
to systematically establish waste gas management mechanisms, ensuring compliance with emission standards, and standardizing the application and registration ronmental Pollution by Solid Wastes and the National Catalogue of Hazardous
processes for pollution discharge permits. Wastes , and has established a comprehensive waste management system cov-
ering all stages of production and operations. The Company guides and pro-
The Company prioritizes the use of raw materials with low volatile organic compounds, and deploys professional waste gas collection and treatment facilities. It motes its subsidiaries to develop specialized management systems, ensuring
implements classified collection and targeted treatment measures, supported by monitoring systems to ensure stable compliance with emission standards. Longforce that waste is subject to standardized and controlled handling.
Suzhou has formulated the Waste Gas Management Measures . For waste gas from different sources, such as process waste gases, waste gases from hazardous waste
storage warehouses, laboratory waste gases, and kitchen cooking fumes, it has set up special treatment processes and equipment, and constructed a complete waste Longforce Suzhou has formulated internal regulations such as the Waste
gas treatment system. In 2025, Longforce Suzhou actively and systematically participated in the "Three-Year Comprehensive Governance Action for Volatile Organic Management Measures and the Hazardous Waste Management Measures ,
Compounds (VOCs)" organized by the Suzhou Industrial Park Ecological Environment Bureau. By implementing relevant management requirements and technical clearly defining classification standards and operation specifications for
upgrades, the Company successfully passed the on-site inspection by environmental authorities in December. industrial solid wastes, domestic wastes and hazardous wastes. It has also
clearly specified management requirements and responsible entities for
the whole process of storage, collection, transfer and disposal, and realizes
Tin and its compounds Pipe systematic and closed-loop control of wastes:
Secondary activated carbon
Process
Non-methane hydrocarbons 15m exhaust stack DA001
waste gases absorption device TA001
(NMHCs)
I ndustrial solid wastes include empty wafer boxes, waste mold cleaning
sheets, cartons, etc., recyclable wastes are marked with green labels, and
Waste non-recyclable wastes are marked with yellow labels;
gases from
Non-methane Pipe Activated carbon
hazardous
waste
storage
warehouses
hydrocarbons (NMHCs) absorption device TA002 D
omestic wastes cover daily office wastes and kitchen wastes, which are
marked with white labels;
Hazardous wastes are identified and managed in accordance with the
National Catalogue of Hazardous Wastes, marked with red labels, and all
Sulfuric acid mist Fume hood are entrusted to qualified third-party institutions for waste disposal.
Laboratory
waste
gases Hydrogen chloride
In 2025, Longforce Suzhou systematically updated its hazardous waste
inventory based on the latest environmental impact assessment report: one
Exhaust hood production material previously classified as hazardous waste was removed,
Kitchen
cooking Cooking oil fumes Specialized duct while two new categories related to wastewater treatment and three additional
fuses laboratory-related hazardous wastes were added, ensuring classification
more accurately reflects actual operational conditions. The Company has set
a target of 100% compliance in hazardous waste disposal and requires annual
Waste Gas Treatment Process at Longforce Suzhou on-site audits of contracted disposal vendors. Beyond verifying qualifications,
audits include sampling documentation and reviewing surveillance records to
Zhongshan Longsys adopts a "dry filtration + dual-stage activated carbon adsorption" process to systematically treat production waste gases. The exhaust first passes ensure the entire disposal process is conducted in accordance with regulations.
through a dry filter to remove particulate matter, then undergoes adsorption of gaseous pollutants through a dual-stage activated carbon system, ensuring compliance Through dynamic inventory updates and audit mechanism, the Company
with emission standards. In 2025, Zhongshan Longsys commissioned a third-party testing agency to conduct emissions monitoring on the treated waste gases. The continuously enhances its full-process control over hazardous waste.
results confirmed that all measured parameters met the prescribed emission limit requirements.
Mestor has systematically advanced the full lifecycle management of waste.
Mestor has systematically advanced the full-process management of waste gases. At the source, it prioritizes the substitution of high-VOCs raw materials with low-VOCs In line with the updated National Catalogue of Hazardous Wastes and the
alternatives. During operations, Mestor has developed the Operating Instructions for Waste Gas Treatment System to enable fine-grained operational control. In the requirements of the "Waste-Free City" initiative, the Company revised its
emission monitoring phase, Mestor has simultaneously introduced third-party professional testing and installed an online monitoring system, enabling continuous and Waste Management System , clearly defining responsibilities across the entire
precise oversight of treatment effectiveness and compliance. This has established a closed-loop management system covering source prevention, process control, and process, from source segregation to compliant disposal. All waste is now stored
end-of-pipe monitoring. in a classified manner, with digital traceability implemented throughout. The
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 51
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Noise Management
reuse of materials such as extraction trays and wafer packaging boxes has been Longsys systematically implements noise control requirements in its Longforce Suzhou has established an internal recycling system for packaging
standardized. In 2025, Mestor achieved 100% harmless treatment of hazardous production and operations, guiding all production bases to manage noise in materials, promoting the repeated use of trays and other packaging
waste and an 88% resource utilization rate for general solid waste, with all accordance with relevant laws, regulations, and standards, aiming to minimize components through cross-departmental collection and internal material
hazardous waste transfer manifests fully archived. This establishes a complete impacts on the surrounding environment. For example, Longforce Suzhou circulation. This initiative has effectively reduced the need for new packaging
management closed loop from policy formulation to execution. has established the Factory Noise Management Measures , conducting self- procurement, enhancing resource utilization efficiency while simultaneously
monitoring of factory noise in compliance with pollution discharge permit minimizing waste generation.
Zhongshan Longsys strictly complies with national and local environmental requirements and applicable standards, ensuring effective and compliant
protection regulations, formulating and implementing relevant waste control of noise emissions during production. Mestor has established a Zilia actively practices the concept of circular economy, with a total of 0.07 tons
management systems such as the Control Procedure for Hazardous Chemicals systematic noise management mechanism, clearly defining monitoring of non-hazardous waste reused and 1.75 tons of renewable raw materials used.
and the Hazardous Substance Management Procedures . Waste is managed parameters, frequency, and limit values for factories and sensitive areas based
through systematic classification, with all hazardous waste entrusted to third- on relevant regulations and internal procedures, enabling continuous control
party units holding the appropriate treatment qualifications for standardized of noise emission levels.
disposal. In 2025, to meet regulatory and safety requirements for the proper
Ecological and Environmental
storage of hazardous waste, Zhongshan Longsys established a dedicated
hazardous waste storage warehouse. This has enabled clear categorization and
Key Performance Highlights
Protection
orderly storage. The Company has set a target of 100% compliance in waste
disposal for the year, ensuring the legality and closed-loop management of
waste throughout its entire lifecycle.
Since the operation, Longforce Suzhou, Mestor, and Zhongshan
Longsys and its subsidiaries systematically adhere to national environmental
Longsys
protection regulations during project planning and construction, strictly
Key Performance Highlights
have not experienced implementing environmental impact assessment (EIA) management to ensure
all projects legally complete the EIA process. During the site selection phase, the
any events of non-compliant discharge of pollutants (sewage, waste Company proactively avoids environmentally sensitive areas such as ecological
gas, noise). protection red lines, nature reserves and drinking water source protection
areas. Additionally, measures such as the use of low-noise equipment and the
construction of rainwater collection systems are implemented to minimize
In 2025, disturbance to surrounding water, soil, and vegetation resources.
of the wastes were handed over
to qualified units for treatment
Circular Economy During the operational phase, the Company strictly fulfills all environmental
protection requirements stipulated in the EIA approval documents, ensuring
comprehensive compliance of production and business activities. Longforce
Longsys systematically integrates the concept of a circular economy into its Suzhou's pollution discharge permit management category has been downgraded
from "key management" to "registration management", reflecting recognition
In 2025, the compliant treatment rate of wastes reached operations by establishing and continuously improving a resource recycling
and reuse system, thereby enhancing resource utilization efficiency and by regulatory authorities that the facility's environmental impact is at a relatively
reducing reliance on primary resources. low level. This change underscores the continuous progress made by Longforce
Suzhou in pollution control and environmental management. The Company will
Mestor has established a comprehensive resource circular utilization system. continue to rigorously comply with environmental regulations to ensure ongoing
For materials generated during production, such as extraction trays, wafer alignment with legal and regulatory standards.
carriers, and packaging cardboard boxes, the Company has defined clear reuse
During the reporting period, Mestor standards and management procedures. It has also signed dedicated packaging Furthermore, the Company has established a systematic ecological and
did not experience recycling agreements with suppliers, building a closed-loop recycling network environmental risk prevention and control mechanism, driving all subsidiaries
covering wafer carriers, cardboard packaging, extraction trays, and wafer edge to implement relevant control requirements. For example, Longforce Suzhou
trimmings. Through this system, the recycling rate of wafer carriers has reached has systematically conducted risk identification and assessment for potential
any significant adverse impacts on employee health or 98%, exceeding the target, while packaging cardboard and other materials ecological and environmental impacts arising from its operations, covering key
community environment caused by pollutant emissions. achieve 100% recycling. Extraction trays are returned to suppliers for cleaning, areas such as wastewater, waste gas, noise, general solid waste, and hazardous
calibration, and sorting before being reintroduced into production. This waste. Based on the assessment results, clear control measures, responsible
approach significantly improves resource efficiency and demonstrates tangible departments, and completion timelines have been defined to ensure effective
results in circular resource management. implementation of risk mitigation actions.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 52
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
List of Major Environmental Factors of Longsys (Partial)
Activities/Products/Services Major Link Factors Types/Impacts Control Measures
Memory chips Discharge of wastewater from memory chip dicing
astewater from dicing is treated via a wastewater recovery system using mechanical filtration and bag
W
Wastewater pollution affecting bodies of filtration, then reused after meeting standards with no external discharge;
water and soil
Pure water manufacturing Discharge of wastewater from the EDI process Wastewater from the EDI process is fully reused after mechanical filtration.
Waste gases are collected via an exhaust system with a capture rate of around 90%, then treated by activated
olatilization of organic waste gases during high-
V carbon adsorption devices before being discharged through the 15m-high 2# exhaust pipe;
temperature encapsulation in the molding process Air pollution affecting the atmosphere
AP finished chips trengthen maintenance of waste gas treatment equipment to ensure effective operation of the collection
S
mission of welding fumes and flux-related organic
E and surrounding
system;
waste gases during the reflow soldering process
Replace activated carbon filter cartridges regularly.
Compressed air station Noise emission from air compressor operation Select low noise equipment;
Noise pollution affecting the surrounding Employ noise reduction and vibration damping measures, as well as building acoustical insulation;
environment
Cooling towers, A/C, refrigeration oise emission from the operation of cooling
N After distance attenuation and insulation, ambient noise levels outside the facility meet ≤ 65 dB(A) during the
systems towers, air conditioners, and refrigeration units day and ≤ 55 dB(A) at night.
Equipment maintenance Discharge of waste oils
Establish a dedicated hazardous waste storage facility;
Develop and train on hazardous waste management regulations;
Hazardous solid waste pollution affecting
Entrust licensed third-party providers for disposal in accordance with national regulations;
isposal of waste chemicals (e.g., potassium
D bodies of water and soil
Laboratory/Product testing hydroxide, sulfuric acid, hydrochloric acid, hydrogen Monitor hazardous waste transfers and ensure compliance;
peroxide) and their packaging materials
Regularly inspect solid waste management practices and maintain detailed records.
Office Activities Disposal of office waste
Establish general solid waste treatment regulations;
General solid waste pollution affecting Set up storage locations for solid waste and mark and manage them;
bodies of water and soil Comprehensively utilize or sell them without external discharge;
Product Inspection Disposal of nonconforming products
Regularly inspect solid waste management practices and maintain detailed records.
Growing Together,
Pioneering the Future
The Company always adheres to a people-oriented cultural philosophy,
protecting the rights and interests of employees while focusing on talent
retention and attraction. We continuously refine our talent philosophy
and development strategies, and have built a diversified career
development system. We have also developed a science-based, equitable,
and transparent compensation system and robust communication
platforms. Furthermore, we have created a tiered training system with
dual promotion pathways to fully unlock employee potential and provide
expansive growth opportunities. Meanwhile, Longsys consistently pays
attention to occupational health and safety measures to ensure a safe and
reliable working environment, laying a talent foundation for sustainable
development.
Key Performance Highlights
The number of courses on Longsys' online learning platform has cumu- SDGs Addressed in this Chapter
latively exceeded 1,700, with over 3,100 exams published, achieving a
pass rate of 97%
Longforce Suzhou and Zhongshan Longsys have successfully obtained
the ISO 45001 International Certification for Occupational Health
and Safety Management Systems
Investment in occupational health insurance was RMB 67.28 million
ESG Material Topic Addressed in this Chapter
Employees
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 54
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Protecting Employee Rights
Longsys has systematically built key processes such as compliant form of forced labor. At the end of the reporting period, no incidents
employment management, talent acquisition, and compensation of child labor, forced labor, or major labor disputes occurred within
and benefits, supported by diversified and democratized commu- the Company. Innovating Communication
nication channels. We actively listen to and respond to employee Case Channels to Enhance
voices, ensuring that the legitimate rights and interests of every We are committed to cultivating a diverse and inclusive workforce Employee Belonging
employee are respected and safeguarded. with hundreds of overseas employees and over 100 ethnic minority
employees, of whom 39.8% are women. Female employees receive full
Compliant Employment
In 2025, Longsys shared QR codes for employee feed?
welfare guarantees, including dedicated nursing rooms equipped with
back in mee?t ing rooms. E???m????p??l??o?y ??e?e s could scan the
sofas and tables in office areas to cater to specific needs. Additionally,
codes to report wo?rk?place issues, which were collected
Longsys strictly implements regulations such as the Labor Law of we regularly organize various warm initiatives to cultivate a workplace
by designated personnel and forwarded to relevant
the People's Republic of China , the Corporate Culture and Values atmosphere characterized by mutual respect, equality, and care.
departments for follow-up. Non-confidential feedback was
Requirements , and the Reiterated Personnel Directives . We have periodically released through "Employee Voice" posters to
comprehensively revised the Employee Handbook to clarify statutory update progress.
ho?l?idays, leave ma?n?agement procedures, em??ploy??ee be?nefit stan?
dards, and the code of conduct. This ensures clear articulation and In May 2025, Longsys launched the "Coffee with the Boss"
standardized implementation of fundamental labor rights provisions, activity. Posters and registration QR codes were published
providing employees with definitive behavioral guidelines and via the dynamic window platform. This initiative aimed
eliminating any incidents that may infringe upon employee rights. to better bridge communication between employees
Furthermore, we have established and released a series of regulatory and management, strengthening employees' sense of
do?cu?ments to sta?nd?ardize em?ployment ma?n?a?ge??ment, including the belonging and identification with the Company.
Non-Discrimination Management Measures , the Disciplinary Action
Management Measures , the Measures for the Control of Internal and
External Communication , the Anti-Forced Labor Management Measures ,
the Measures for Special Protection of Child Labor and Young Workers ,
the Management Measures for Freedom of Association and Collective
Bargaining Rights , the Procedures for the Administration of Labor
Protection of Female Employees .
Women's Day activities
Equal Employment
The Company consistently upholds the philosophy of "equality, Employee Communication
respect, openness, and inclusion", strictly prohibiting any form of
discrimination, harassment, or threat based on gender, ethnicity, Longsys att?a??ches great im???p?or?tance to co?????????m?m?uni??????????????????cation bet?ween em??
geographical origin, religion, or marital/parental status. We have ploy?ees and ma?na ? ge?ment, regarding employee voice as an invaluable
comprehensive protective measures in place to legally safeguard asset for corporate development. To enhance effective communication,
employee rights and interests. In recruitment, we strictly follow the the Company has established a complaint management mechanism
standardized recruitment process that prohibits child labor. We have and an appeals process for performance evaluation outcomes, ensuring
also formulated relevant internal policies that firmly prohibit any feedback channels are unimpeded and resolution outcomes are fair. "Coffee with the Boss" Activity Site
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 55
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Talent Attraction
In addition, the Company conducts comprehensive employee satisfaction surveys, focusing on corporate governance, career development, and The Company attaches great importance to the development of a robust
collaboration issues. Based on the survey results, Longsys has established a series of improvement initiatives, primarily including establishing talent pipeline and continuously expands its talent recommendation
training programs and mentorship systems, conducting regular market salary research, optimizing benefits and communication mechanisms, channels to ensure a long-term, stable supply of talent for sustainable
setting innovation-driven incentive goals, and enhancing cross-departmental information sharing. The comprehensive improvement plan, based growth. In 2025, the Company focused its recruitment efforts on two
on the employee satisfaction survey results, aligns closely with employee needs. It is designed to promote employee career development through core objectives: meeting business development needs and reserving
a continuous feedback loop and enhance overall employee satisfaction. The HRBP team closely collaborates with business departments to ensure core talent. Talent selection was based on academic qualifications,
the effectiveness and feasibility of these initiatives. English proficiency, and professional alignment. We established an
integrated online-onsite recruitment system. The Company established
an efficient end-to-end recruitment process spanning 13 provinces by
Improvement Plans by Department Based on the Employee Satisfaction Survey integrating campus recruitment presentations, on-site assessments,
online resume submissions, and virtual interviews into a unified hiring
workflow.
HRBP Collaborative Planning
The HRBP team closely collaborates with departments to ensure
We collaborated with
strategy and departmental objectives. The HRBP team works with
Detai departments to develop and implement these plans, providing
g led
nnin Re
po
necessary support and resources. universities
a
tin
ive
including Project 985 Project 211 recruited over fresh
ga
rat
universities universities graduates in total
Detailed Reporting and Plan Formulation
nd
bo
Plan
HRBP Colla
Each de??par?t?ment is re?quired to provide a detailed report cover?ing
Formulation
as well as specific improvement suggestions. These reports serve
as the basis for improvement plans to ensure the relevance and
effe?ctiveness of measures.
as ct
n
ur lle
M
Measure Tracking and Feedback Collection
io
eT
e
rac Co
king a ck
nd Feedba The implementation of improvement plans by each department is
feedback on improvement measures will also be incorporated
into the evaluation framework to enable timely adjustments and
optimizations.
Campus Recruitment by Longsys
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 56
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Employee Compensation
The Company also emphasizes collaboration between industries, universities, and research institutes. In 2025, we signed project cooperation Compensation System
agreements with Guangdong University of Technology and Anhui University, and established university-industry cooperation projects with
multiple other universities. These collaborations focus on jointly building laboratories, tackling core technologies, deepening integration between
In compliance with local laws and regulations, Longsys also devel-
industry and education, cultivating application-oriented innovative talents, and thereby promoting technology transfer, ultimately serving
oped the Individual Performance Management Measures and the
industrial demands.
Organizational Performance Management Measures to safeguard
employees' rights, interests, and compensation benefits to the fullest
extent. Our ability to maintain industry competitiveness and provide
competitive compensation and benefits are critical factors in attracting
Case Longsys Collaborates with Universities and retaining talents. We also monitor industry developments and market
dynamics, regularly conducting comprehensive reviews and evaluations
In terms of cooperation between industry, academia, and research institutions, the Company has systematically promoted the following of the competitiveness, fairness, and incentive effectiveness of our
initiatives since 2020: compensation system. Additionally, Longsys updates its performance
management and implements performance improvement plans for
stablishing Strategic Cooperation: We have established strategic cooperative relationships with universities such as Guangdong
E employees with lower performance scores. During the reporting period,
University of Technology. Longsys paid a total of RMB 1.518 billion in employee compensation.
efining Areas of Cooperation: We prioritize storage controller chip development, commercialization of scientific and technological
D
achievements, and integration between industry and education. During the reporting period
eepening Project Implementation: We actively participate in government-led projects between industry, academia, and research
D Longsys paid a total of
institutions, jointly apply for national and provincial-level research projects, and conduct targeted R&D based on business needs to co-
create a collaborative innovation ecosystem. RMB billion
in employee compensation
Employee Benefits
Longsys strictly follows the Labor Law of the People's Republic of China
and other relevant regulations, and provides statutory benefits like "five
insurances and one fund" based on employment contracts. While ensuring
employees' base salaries, the Company also offers overtime allowances in
accordance with laws and regulations, depending on overtime hours.
Adhering to an employee-centric philosophy, Longsys focuses on employee
care and is co?mmitted to provid??ing a co?m??prehensive, multi-tiered welfare
system to enhance em?ployees' sense of belong?ing and team cohesion. In
activity funds, festival benefits, daily and carnival event expenses, annual
Ceremony for Industry-academia-research Partnership at Longsys health checks, birthday gifts, and marriage and childbearing gifts. Additionally,
subsidies are provided for employees working at the Company's key industrial
parks. We also offer sports facilities, a staff cafeteria, and other infrastructure.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 57
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Case Longsys Engineers' Day Activities Case Halloween Themed Celebrations
On October 24, 2025, as a featured theme activity of this quarter's co-creation space As Halloween approached in 2025, Longsys hosted a creative costume party at its Americas
for storage culture, the Longsys Engineers' Day event was launched simultaneously office. Employees dressed in distinctive Halloween costumes to compete in the contest,
across five venues in Shenzhen, Zhongshan, Shanghai, and Chengdu. Through on- enjoying a delightful lunch and desserts during the event. The event fostered interaction and
site challenge competitions, the event delivered an exhilarating and joyful festive idea exchange among employees in a relaxed, joyful atmosphere.
experience for all engineers across the Company.
Engineers' Day Activities Halloween Event
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 58
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Promoting Employee Development
Longsys always emphasizes the comprehensive development
Employee Training
of employees. By continuously creating a systematic training
system and multilevel career development paths, we support
Outstanding talents in the organization are the key force driving the implementation of our corporate strategy and the achievement of business
employees in enhancing their professional skills and achieving
goals. To identify and cultivate more high-potential employees, Longsys has established a series of training management regulations, including
personal value.
the Training Management Measures, the External Training Management Measures, and the Training Instructor Management Measures . With a three-
dimensional training system comprising five modules, and an online learning platform, we continuously enhance our employee learning system,
ensuring efficient learning support, unlocking employee potential, and enhancing leadership, professional expertise, and general skills. This
systematic approach lays a robust talent foundation for the Company's stable development.
Longsys Training System
Training Sequence Training Methods Covered Content Training Purpose
Eagle Leadership Program, Mindset management, business To systematically enhance managers' strategic
Leadership Eagle Vanguard Program, management, employee management, thinking and team leadership capabilities, driving
Sequence Eagle Soaring Program, and professional management, strategic the efficient achievement of business goals and
Eagle Hatchling Program planning, domain management sustainable organizational development
Sales ability, R&D product
To improve employees' professional skills and
ability, project management Sales ability, R&D ability, product
Professional business capabilities, creating high-performance
ability, quality system ability, competitiveness, project management,
Sequence teams that drive business growth and enhance
supply chain ability, and quality system, supply chain
organizational efficiency
product ability
To boost employees' fundamental professional
qualities and general skills, strengthening
General Skills General skills training and General skills, professional qualities,
their workplace adaptability and overall
Sequence professional quality training business etiquette
competitiveness to support effective
collaboration and career advancement
Corporate culture promotion,
To help new employees quickly integrate into the
New Employee industry information sharing, Corporate culture, industry
organization, understand behavioral norms, and
Training Sequence and rules and regulations information, rules and regulations
establish industry awareness
learning
To enhance instructors' course design and
Teaching techniques training
Teaching techniques, course teaching abilities, ensuring effective knowledge
Instructor Sequence and course development
development transfer and an improved learning experience for
training
participants
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 59
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Career Development
The Company's 2025 training indicators encompass five key dimensions: training effectiveness, completeness of the training system, training Longsys provides employees with clearer career advancement paths
coverage, return on investment (ROI) for training programs, and capability enhancement of the training team. Additionally, the Company actively by establishing a structured career development system comprising
supports employees' continuing education by establishing dedicated support mechanisms. We also offer partial reimbursement for examination- six sequences: R&D, professional skills, management, technology,
related expenses of employees based on relevant policies. During the year, multiple employees obtained advanced academic qualifications while support, and production. It adheres to the principles of fairness and
employed, and some employees proactively applied for further education. These efforts have yielded remarkable outcomes in talent development. justice, employing a comprehensive evaluation mechanism that
In 2025, Longsys invested a total of RMB 3.24 million in training programs. A total of 4,446 employees participated in training2, achieving a coverage balances values and performance. This holistic approach considers
rate of over 90%, empowering employee growth and driving organizational innovation. employees' core values, professional qualities, technical abilities,
and work outcomes. Within this system, employees meeting the stan-
dards can choose either further advancement within their specialty
or apply for horizontal development across different sequences.
Outstanding talents with remarkable performance and full compe-
tence for target grades may apply for exceptional grade skipping
Case Zilia Initiates Leadership Training Program promotions. The promotion process involves three key steps: recom-
mendation by department supervisors, professional assessment by
the human resources department, and resolution by the promotion
Zilia initiated a four-month leadership development program in September to systematically enhance the comprehensive competence review meeting, ensuring objective and scientific talent selection.
and managerial effectiveness of its leadership team. Targeting all company managers, the program aims to cultivate an outstanding
leadership team through practice-oriented curriculums. Longsys has also established a professional systematic performance
management system. Through a seven-step process— self-assess-
ment by employees, evaluation by superiors, leadership assessment,
recording of critical behaviors, result ranking, performance cali-
bration, and feedback— we categorize employee performance into
six levels. Critical HR decisions such as annual bonus distribution,
promotion selection, salary adjustment, and excellence awards are
mainly based on these evaluation results. Additionally, Employees
who are dissatisfied with their assessment may initiate an appeal for
performance review. For employees not meeting performance stan-
dards, we initiate a performance improvement plan and offer target-
ed coaching to help them achieve expected performance targets.
Zilia Launches Leadership Training Program
The training participation statistics include employees who have resigned.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 60
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Strengthening the Safety Barrier
Longsys prioritizes employees' health and safety above all else. We have established a comprehensive occupational health and safety
management mechanism and conduct systematic safety training on a regular basis to enhance employees' safety awareness and risk
prevention capabilities. Our goal is to create a safe and healthy workplace that effectively identifies, evaluates and manages work
environment risks while safeguarding employees' physical and mental well-being achieving refined and effective safety management.
In 2025, the number of workplace fatalities and severe injuries at Longsys was zero, and the investment in work-related injury insurance
and production safety liability insurance was 67.28 million Yuan, covering 100% of employees.
Safe Production
Longsys strictly complies with relevant laws and regulations, such as
the Work Safety Law of the People's Republic of China and the Fire
Control Law of the People's Republic of China . We have established
a comprehensive internal safety management system, including the
Safety Operation Control Procedure , the Hazard Identification and Risk
As?sessment Control Pr?ocedure , and the Emergency Pr?eparedness and
Response Control Pr?ocedure . These systems integrate health and safety
risk identification into all processes to safeguard employee well-being.
As of the end of the reporting period, Longforce Suzhou and Zhongshan
Longsys have successfully obtained international Certifications for ISO
Zhongshan Longsys ISO 45001 Certification
Safety Governance Structure
We have set up a comprehensive occupational health and safety management system that enables end-to-end identification, evaluation and
control of health and safety risks, ensuring comprehensive protection of employees' physical and mental well-being and workplace safety. In
Zhongshan Longsys, the Safety Production Committee was established as the Company's highest safety decision-making body. The Company's
principal responsible person takes on the role of the committee's director. The Company's safety manager works as the Executive Director, while
the Company's safety supervisor is the deputy director with department heads serving as committee members. This structure establishes a
management framework with clearly defined responsibilities and efficient coordination. To ensure production safety, the Company has appointed
full-time safety manager to undergo "Safety Education and Training" organized by government regulatory authorities. The managers shall obtain
the necessary qualifications through assessment.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 61
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Structure of Zhongshan Longsys' Safety Production Committee
Meanwhile, the Company requires all departments to assign dedicated
Responsible for the leadership, organizational structure and resource allocation for the Company's safety personnel to coordinate safety production management. To strengthen
Director of the Safety production; reviewing and approving the Company's safety production policy, objectives, management daily over?sight, the Safety Team under the A?d???m??in?i?s?tr? ?a?t?i?o?n De?partment
Production Committee plans, regulations, technical measures, and annual safety production plans, and overseeing their organizes monthly co?m prehensive safety inspections across de?
(held by the main implementation; fulfilling relevant statutory duties; fulfilling the safety production responsibilities as partments. Add?i tionally, each department conducts weekly self-
personnel in charge) mandated by laws and regulations; coordinating, guiding, and supervising safety production work to inspections of its designated areas, focusing on office environment
implement comprehensive safety management across the Company. safety, electrical safety, and other critical aspects. Any issues
identified shall be rectified immediately or reported promptly for
resolution.
Establish and improve the safety production responsibility system and promptly report safety work to
Executive Director of
higher authorities; organize safety production promotion, education, and special inspection activities;
the Safety Production
regularly convene Safety Committee meetings and safety routine meetings, conduct dynamic research and
Committee (held by
analysis of the Company's safety production situation to gain a comprehensive understanding of safety
the Company's Safety
production status; and urge relevant departments to handle occupational safety and health management Zhongshan Longsys Holds a Safety
Case
Manager)
and labor protection matters. Production Committee Meeting
In February 2026, Zhongshan Longsys held its Q1 Safety
Production Committee Meeting to comprehensively outline
Deputy Director of
the 2026 safety production work plan. Chaired by the
the Safety Production The safety supervisor leverages professional expertise and supervisory functions to collaborate with
deputy director of the Safety Production Committee, the
Committee (held by the Director and Executive Director of the Safety Production Committee in fulfilling occupational safety
meeting was attended by all committee members and key
the Company's Safety responsibilities, helping achieving the Company's safety production responsibility and objectives.
personnel. The objective was to establish a robust safety
Supervisor)
management framework, strengthen the accountability of
primary safety responsibilities, and lay the foundation for
achieving the annual zero-accident target.
Responsible for implementing safety management policies formulated by the Company's Safety
Members of the Safety
Committee; implementing fire safety management, behavioral management, and occupational health
Production Committee
management for personnel, equipment, and operational sites of the department; handling internal control
(held by department
accidents, cooperating with accident investigation, reason analysis, statistics, and reporting, formulating
heads)
preventive measures and addressing relevant personnel responsible.
Zhongshan Longsys Safety Production Committee Meeting
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 62
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Security Risk Management Enhancing Safety Awareness
To address potential risks in specific work environments, we conduct Longsys is committed to comprehensively building a safety culture, regarding it as a key driver in improving employees' safety awareness. Through
hazard identification and risk assessment, and have established the diversified initiatives such as regular safety training sessions, targeted awareness campaigns, and practice-oriented emergency response drills,
Hazard Identification and Risk Assessment Table . Through a tiered the Company continually reinforces a safety-first mindset and accountability across all levels. Meanwhile, we have improved our health and
and regular safety inspection mechanism, we systematically identify safety training and evaluation system to ensure that employees in all positions are proficient in necessary safety knowledge and protective skills,
occupational health and safety risks and opportunities, and establish comprehensively fortifying the Company's safety defense line.
annual objectives and action plans to continuously enhance our
accident risk prevention and control capabilities. Additionally, we
compile critical hazards into a list, and ensure implementation of
corresponding preventive measures.
Case Mestor Conducts Occupational Health and Safety Training
We enforce stringent lifecycle controls over hazardous chemicals and
adopt standardized management for personal protective equipment
(PPE), requiring employees to wear and use protective gear in a Mestor regularly conducts occupational health and safety training, mainly covering occupational health and safety regulations and
compliant manner to ensure comprehensive and effective safety management frameworks, identification of occupational hazards, use of personal protective equipment (PPE), and emergency
protection during operations. response procedures for work-related injuries and occupational diseases. The training covers all employees, with a focus on high-risk
positions in departments such as the Facility Department and the Production Department. New employees must complete no less than
To strengthen fire safety management, all production sites are 8 hours of training. Mestor maintains a zero occupational disease incidence rate and a 100% correct usage rate of PPE, demonstrating
equipped with standardized fire protection facilities in accordance the outstanding effectiveness of its training programs.
with relevant standards, and have comprehensive emergency plans
in place. Regular fire drills are organized to ensure production safety.
Occupational Health and Safety Training at Mestor
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 63
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Case Case
at Longsys Activity at Longforce Suzhou
In June 2025, which is the 24th National Safety Production Longforce Suzhou conducted a fire emergency evacuation
Month, Zhongshan Longsys, Longforce Suzhou, and Mestor drill under the theme "Fire Safety for All, Life First – Safe
launched a series of initiatives under the theme "safety for Use of Fire and Electricity". The exercise simulated an elec-
all, emergency response by all". Through multi-dimensional trical fire in the office area, covering early warning, evac-
promotion campaigns, practical drills, innovative activities, uation, firefighting, and first aid. Departments responded
thematic training, and long-term inspections, the Company swiftly, evacuating in an orderly manner to designated safe
comprehensively enhanced employees' safety awareness zones. This was followed by hands-on fire extinguisher
and emergency response capabilities. Initiatives included training to enhance employees' emergency response ca-
online quizzes, instant hazard reporting via mobile apps, pabilities.
and self-initiated safety audits, achieving a 100% hazard
rectification rate. With our comprehensive inspection teams
and new safety regulations, we continuously strengthen our
safety foundation and promote regular safety governance
to ensure high-quality development.
Fire Drill Activity at Longforce Suzhou
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 64
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Employee Health
Longsys prioritizes the physical and mental wellbeing of its employees Health and Wellness Activities
by offering annual medical checkups, professional psychological
assessments, and a variety of wellness initiatives. These efforts are
part of a comprehensive employee care system aimed at creating a Longsys has always emphasized enriching employees' cultural and recreational lives, striving to build diversified platforms to encourage self-
healthy and harmonious work-life environment. expression and interpersonal communication. The Company has established clubs for swimming, hiking, badminton, yoga, tennis, soccer, table
tennis, basketball, arts and entertainment, and long-distance running. These groups regularly organize various competitions and recreational
activities that both energize employee life and enhance team cohesion and collaboration. Zhongshan Longsys is equipped with spacious,
Occupational Disease Prevention comprehensive activity facilities, including basketball courts, football fields, badminton courts, table tennis areas, yoga rooms, and fitness centers
to support employees' healthy development.
Longsys places high importance on occupational health management
and strictly adheres to the Law of the People's Republic of China
on Prevention and Control of Occupational Diseases . We have also
established the Occupational Health Surveillance and Archival Case Football Friendly Match between Longsys and Amlogic
Records Management System, the Occupational Hazard Monitoring
and Evaluation Management System and the Occupational Disease
Preven?tion Education and Train?ing System to improve our occupational On April 19, 2025, Longsys and Amlogic held a friendly football match at Dasha River Football Field in Shenzhen. During the game,
health management systems. Through regular annual medical players from both teams gave their all and displayed courageous determination. Ultimately, the Amlogic football team secured victory
examinations, special health checks, and health consultation with a score of 6:5, concluding the match on a high note.
services, we comprehensively monitor employees' health status,
with particular attention given to frontline workers. We also organize
training programs for occupational hazard identification and
emergency response, achieving a 0% incidence rate of occupational
diseases and 100% compliance in the correct use of personal
protective equipment (PPE). By continuously optimizing the working
environment, upgrading equipment, and emphasizing health
education, we eliminate occupational health risks at the source to
genuinely safeguard employees' physical and mental well-being.
Focusing on Mental Health
To genuinely care for employees' mental health and help alleviate
their psychological stress and concerns, Longsys has established
an on-site psychological counseling center, managed by the
Administration Department. Professional counselors are engaged
to provide regular in-person services. This initiative reflects the
Company's deep commitment to employee mental health and its Football Teams of Longsys and Amlogic
efforts to build a strong psychological support system.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 65
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Case Hiking Activities at Longforce Suzhou
To promote a healthy lifestyle and enhance employees' physical well-being, Longforce Suzhou organized a series of hiking activities.
Longforce Suzhou held an employee fitness hiking
event at Huqiu Wetland Park, featuring a fun mini-
game called "Color Restoration" to enhance employee
engagement with more challenges.
In Spring 2025, the Longforce Suzhou Trade Union
organized the spring outing, encouraging employees
to explore Shaoxing's natural and cultural landmarks
through hiking, thereby strengthening team cohesion
and a sense of belonging.
In Autumn 2025, Longforce Suzhou organized a hiking-
themed team-building activity in Shihu Lake Scenic
Resort, setting up check-in points at three landmarks
with fun activities to enhance team cohesion and
safeguard employees' physical and mental health.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 66
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Case Longsys Participates in Relay Races Longsys Basketball Team Secures
Case Fifth Place in Employee Basketball
Match at Cuiheng New District
Employee Run Race at Longforce Suzhou
On May 11, 2025, to commemorate the centenary of the es?
The 2025 men's basketball match for employees at
tablishment of the All-China Federation of Trade Unions, the Trade
enterprises, government agencies and public institutions
Union Committee of Jinji Lake Sub-district organized a run
organized by Cuiheng New District (Nanlang Sub-district)
race for the health of employees. The Trade Union of Longforce
kicked off at the Nanlang Fitness Square in Zhongshan,
Suzhou actively responded to the campaign, organizing a team
attracting 28 elite teams. After intense competition in
of 10 members to participate. With all members successfully
both the group stage and knockout rounds, Longsys
crossing the finish line, employees at Longforce Suzhou showcased
basketball team won fifth place with their outstanding
their positive spirit and the pursuit of progress.
teamwork and tenacious fighting spirit.
Employee Run Race at Longforce Suzhou
On April 24, 2025, on the occasion of the 26th anniversary of Longsys establishment, the R&D Platform Department and Equipment
Technology Department of the Flash Product R&D Center carried out a 26-kilometer relay race at Dishui Lake. The event concluded
successfully.
Longsys Basketball Team
Event Photo and Group Photo of the Relay Race at Dishui Lake, Linggang New Area, Shanghai
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 67
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Longsys Successfully Hosts Internal Badminton Match and Wins Awards in Industry Competitions at Longsys Table Tennis Team Secures
Case Case Runner-up in Employee Table
the Provincial Level
Tennis Match at Cuiheng New Area
Longforce Suzhou Badminton Match
On June 21, 2025, the 2025 table tennis match for employees
In August 2025, Longforce Suzhou held its first badminton match featuring team competition and a men's challenge match, catering at enterprises, government agencies and public institutions
to both team collaboration and individual competition needs. This activity enhanced employees' physical fitness, promoted cross- organized by Cuiheng New District concluded at the
departmental collaboration, and strengthened team cohesion. gymnasium of Nanlang Street, attracting 18 teams and nearly
table tennis team made its debut and won the second place.
With seamless coordination and unwavering effort, our
team members demonstrated fearless determination and an
unyielding spirit of perseverance.
First Badminton Match at Longforce Suzhou Guangdong Integrated Circuit Industry Badminton Match
Longsys Wins "Outstanding Organization Award" at the 1st Guangdong Integrated Circuit Industry Badminton Match
To welcome the 15th National Games, the first Guangdong integrated circuit industry badminton match in 2025, themed "Innovative
Guangdong, Dynamic Badminton" was successfully held in Nansha, Guangzhou. The event attracted 16 elite teams from the integrated
circuit industry across the province. Longsys badminton team was awarded the "Outstanding Organization Award" for its excellent
team coordination and sportsmanship.
Longsys Badminton Team Event Photos of the Longsys Table Tennis Team
Collaborating to Create,
Coexisting to Thrive
Longsys is committed to building a collaborative industrial ecosystem
by deeply integrating suppliers, industry partners, and communities
into its sustainable development process. Through robust supplier
evaluation mechanisms, control over hazardous substance and conflict
minerals, active participation in the co-development of industry technical
standards, and ongoing community welfare initiatives, the Company
continuously strengthens collaboration with all value chain stakeholders,
driving overall progress and value enhancement across the entire
industrial chain.
Key Performance Highlights
Completed annual CDTSBC audits for approximately 25 key suppliers in
Certification
System Certification
Some key suppliers passed the Responsible Business Alliance (RBA)
Code of Conduct Certification
In 2025, suppliers of Longforce Suzhou 100% responded to surveys on
hazardous substances and conflict minerals
2025, Longsys received major awards from partners including
In ESG Material Topics Addressed in this Chapter
Nuoweida, iSoftStone Computer, CEC Great Wall, SUNMI, and Runione
Information
Social contribution, Responsible supply chains
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 69
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Sustainable Supply Chain Strategy
Longsys systematically integrates sustainability into all stages of its supply chain. We have developed a comprehensive system Longsys has integrated the management of environmental, social,
that covers supplier entry evaluation, end-to-end hazardous substance control, and conflict mineral traceability management. and governance (ESG) responsibilities in relation to its supply chain
We are committed to ensuring that the entire process from raw material procurement to product delivery complies with into its overall corporate strategy, and deeply embedded supplier
environmental protection requirements and social responsibility standards, actively fulfilling our corporate citizenship ESG performance evaluation into the entire supplier management
responsibilities. process. We continuously monitor suppliers' corporate social
responsibility (CSR) performance, and conduct CDTSBC audits for
suppliers on a regular basis.
Governance
Longsys has systematically integrated supplier management, hazardous substance control, and conflict mineral management into its operations.
Management of Hazardous Substance
By establishing relevant policies and building a complete sustainable supply chain management framework, we comprehensively advance supply
Driven by green manufacturing and sustainable development princi-
chain sustainability.
ples, the Company positions hazardous substance management as
Based on policies such as the Regulations on the Development and Qualification of Material Suppliers , the Regulations on the Management of a core component of its sustainable practices. We have formulated
Qualified Material Suppliers , and the Procurement Control Procedures , we have established a full life-cycle supplier management system, covering a hazardous substance-free management policy centered on the
supplier entry review, performance assessment, and dynamic exit, which systematically drives the fulfillment of supply chain responsibilities. principles of "compliance with laws and regulations, commitment to
green manufacturing, implementation of continuous improvement,
and achievement of customer satisfaction", systematically advancing
hazardous substance control across operations.
Longsys Supplier Life Cycle Management System
We strictly comply with international standards, including the EU
Management
Management Details
Directive 2015/863 (RoHS 2.0) and REACH regulations, establishing
Process a full-process hazardous substance control mechanism covering
product design, raw material procurement, and production. By es-
? Require suppliers to complete Supplier Basic Information Form to ensure that they meet the Company's requirements.
tablishing and enforcing documents such as the Standard for the
? Evaluate the CSR performance of all suppliers based on the Supplier CDTSBC Audit Form , covering dimensions such as labor rights, Management of Environment-Related Substances , Hazardous Sub-
occupational health and safety, and environmental protection. stance-Free Quality Manual , the Supplier Hazardous Substance-Free
Supplier Entry Management Regulations , the Hazardous Substance Management
? Verify suppliers' customs credit status and records in the National Enterprise Credit Information Publicity System to comprehensively assess
their compliance and business reputation. Procedures , and the Hazardous Substance Control and Investiga-
? All suppliers must sign the Commitment of Conduct for Business Partners upon entry, committing to adhere to the Company's ESG-related tion Form , we regularly revise restricted substance list and control
standards, such as integrity, environmental management, and environmental protection. requirements in alignment with evolving domestic and international
regulations, as well as customer HSF (Hazardous Substance-Free)
? Conduct comprehensive annual assessment of key suppliers of critical material categories, including CDTSBC Audit (Compliance Due procurement requirements. These requirements apply to Longsys
Supplier
Diligence of Third-party Supply Business Chain) to ensure their ESG performance continuously meets the Company's requirements, and
Assessment
provide targeted improvement guidance and support based on assessment results.
products, as well as direct materials, indirect materials, and packag-
ing materials, ensuring full lifecycle compliance with environmental
? Implement ongoing assessment of suppliers through quarterly and annual performance evaluation. Suppliers that fail to meet evaluation regulations. Longforce Suzhou, Zhongshan Longsys, and Mestor have
Supplier Exit criteria or whose scope of cooperation is required to be adjusted due to business development, are subject to phased-out process in all successfully obtained IECQ QC 080000 Hazardous Substance Pro-
accordance with regulations.
cess Management Certification.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
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Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Conflict Mineral Management
Longsys strictly adheres to international standards such as the
OECD Due Diligence Guidance for Responsible Supply Chains
of Minerals from Conflict-Affected and High-Risk Areas and the
Responsible Minerals Initiative (RMI). We exercise utmost caution
on minerals sourced from the Democratic Republic of Congo
(DRC) and surrounding high-risk regions. Longsys firmly rejects
any mineral transactions that infringe on human rights or violate
international regulations. All suppliers are explicitly required to
sign and strictly adhere to the No Conflict Minerals Commitment ,
ensuring that minerals such as tantalum, tin, tungsten, gold,
and cobalt used in their products originate from compliant,
responsible supply chains.
Longforce Suzhou has established a systematic management
Longforce Suzhou IECQ QC 080000 Mestor IECQ QC 080000 Hazardous Zhongshan Longsys IECQ QC 080000 mechanism for conflict minerals based on the Conflict-Free
Hazardous Substance Process Substance Proces Hazardous Substance Process Minerals Procedure, utilizing the Conflict Minerals Reporting
Management Certification Management Certification Template (CMRT) and Extended Minerals Reporting Template
(EMRT) developed by the Responsible Minerals Initiative (RMI)
to conduct due diligence on suppliers. The investigation covers
Additionally, Longsys systematically communicates hazardous substance compliance requirements clearly to both internal employees and all direct materials, packaging materials, and selected high-
supply chain partners. Suppliers are explicitly required to confirm annually their Material Safety Data Sheets and submit the latest version to the risk indirect materials. Suppliers are required to achieve 100%
Company for review. These documents serve as a prerequisite for continued collaboration, ensuring that products comply with RoHS, REACH, and completion of assessments and trace the origin of metals in their
other regulatory requirements throughout their life cycle. The Environmental Protection Department regularly shares the latest standards and products, ensuring materials originate from smelters and refiners
management requirements with qualified suppliers, supporting continuous improvement in their hazardous substance control capabilities and meeting the Responsible Minerals Assurance Process (RMAP)
jointly advancing green and sustainable development across the industrial chain. standard. Suppliers are further required to identify and manage
their downstream supply chains to ensure that conflict minerals
Longforce Suzhou systematically implements hazardous substance management by conducting annual reviews with risk assessment tools policies are followed by all. Longforce Suzhou also requires
to identify high-risk processes and materials and implement specialized control measures. Suppliers are required to provide HSF compliance suppliers to update reports promptly in alignment with revisions
certificates, annual testing reports, and sign hazardous substance-free declaration, with materials screened through XRF (X-ray Fluorescence) to the official CMRT and EMRT templates, ensuring management
analysis upon receipt. All management records are retained for 10 years as per regulations. Products are sent for testing annually based on their effectiveness and timeliness. For suppliers assessed to potentially
categories, and if hazardous substance limits are exceeded, the Company will immediately isolate the products and trace back for resolution. In the involve the financing of illicit groups, Longforce Suzhou will cease
case of product testing anomalies, customer negotiation is promptly initiated, and additional testing or product recalls are conducted if necessary. transactions based on the circumstances.
In 2025, Mestor systematically strengthened hazardous substance management capabilities across all employees through specialized training
covering topics such as regulations, identification, storage, waste management, leakage emergency response, and supplier control. In March
been integrated into mandatory onboarding programs for new employees, with biannual practical training and twice-annual leakage emergency
drills for key personnel. Through continuous training, Mestor achieved 100% compliance in hazardous substance identification and handling,
maintaining a zero-incident safety record for leakage accidents.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 71
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Risk and Opportunity Management
Longsys has established a systematic agreement framework that specifies the signing of a comprehensive agreement package with suppliers,
including the Procurement Agreement, Quality Agreement, Product Change Notification (PCN) Amendment Agreement, Code of Conduct for
Key Performance Highlights
Business Partners, No Conflict Minerals Commitment, Declaration of Non-use of Restricted Substances, and Business Integrity Agreement.
These agreements clarify the rights and obligations regarding compliance and social responsibility. Building on this framework, the Company
dynamically monitors and standardizes supplier behavior leveraging the legal force of agreements and continuous operational evaluations. Number of key suppliers that completed annual CDTSBC audits
in 2025
Suppliers' CSR performance and adherence to business code of conduct are formally integrated into the Regulations on the Management of
Qualified Material Suppliers , systematically mitigating potential risks related to compliance, environmental protection, and social responsibility.
Metrics and Targets
Longsys has consistently invested in sustainable supply chain management and achieved tangible progress. As of the end of 2025, the Company
has driven 72% of suppliers to obtain ISO 9001 Quality Management System Certification, with nearly half of suppliers securing ISO 14001
Environmental Management System Certification. Additionally, some key suppliers had passed the Responsible Business Alliance (RBA) Code of suppliers have obtained ISO 9001 Quality
of Conduct Certification. These achievements underscore the Company's systematic efforts to enhance environmental and social responsibility Management System Certification
performance across its supply chain.
of suppliers have obtained ISO 14001 Environmental
Management System Certification
Some key suppliers passed the Responsible Business Alliance
(RBA) Code of Conduct Certification
In 2025, suppliers of Longforce Suzhou
responded to surveys on hazardous
substances and conflict minerals
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 72
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Collaborating for Industry Development Case
Longsys Attends the Annual Storage
Partner Conference
Longsys actively explores and implements innovative models ranging from technology collaboration to ecosystem co-construction In March 2025, following its participation in the Shenzhen
by continuously deepening cooperation with key domestic and international customers and industry partners. We are committed exhibition, Longsys held its annual Storage Partner
to integrating end-to-end capabilities in R&D, manufacturing, and services, delivering flexible, customized business solutions to Conference at the Zhongshan Longsys Storage Industrial
empower critical fields such as mobile communications, automotive electronics, and industrial connectivity. By partnering with Park under the theme "Storage Ecosystem, Collaborative
Innovation". Centered on cutting-edge AI advancements,
stakeholders, Longsys addresses challenges posed by technological transformation and drives value enhancement and collaborative
the conference provided a platform for industry partners
development of the storage industry.
to explore innovative pathways and collaborative
strategies. Through an immersive experience in cultural
In early 2025, Longsys received major annual awards from multiple partners, including Nuoweida, iSoftStone Computer, CEC Great Wall, SUNMI,
and creative storage space and a symbolic tree-planting
and Runione Information, in recognition of its outstanding product quality and service excellence.
ceremony, the event strengthened ecological connections,
showcasing Longsys' determination and vitality in
? Annual Strategic Cooperation Supplier - Nuoweida Technology Co., Ltd. building a future for storage technology with partners and
embarking on a new journey.
? Best Collaboration Award - iSoftStone Computer Co., Ltd.
? Outstanding Partner Award - China Electronics Great Wall Technology Co., Ltd.
? Excellent Partner of the Year - SUNMI
? Strategic Cooperation Award - Shanghai Runione Information Technology Co., Ltd.
Longsys will continue to remain true to its founding mission, further strengthen mutually beneficial partnerships with stakeholders, and jointly
drive the prosperity and progress of the industry.
Case Longsys and Sandisk Deepen UFS Storage Cooperation
In June 2025, Longsys signed a Memorandum of Understanding (MoU) with
SanDisk to jointly develop high-quality UFS solutions. This partnership integrates
SanDisk's advanced 218-layer 3D NAND flash technology with Longsys expertise
in storage controller chips, firmware, and packaging and testing manufacturing.
Leveraging Longsys TCM business model, the collaboration will target the mobile
and IoT markets, delivering customized, high-performance UFS products and one-
stop services to customers. The cooperation aims to enhance the efficiency of the
storage supply chain and strengthen market competitiveness.
Longsys Signs the MOU on Cooperation with Sandisk Longsys Showcases at Shenzhen Storage Partner Conference
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 73
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Case Longsys Presents High Reliability Storage Solutions at the Embedded World in Germany Longsys Showcases AI-Era Storage
Case Innovations Solutions at China Mobile
Global Partners Conference
At the 2025 Embedded World Exhibition & Conference in Nuremberg, Germany, Longsys highlighted its cutting-edge industrial and
automotive storage solutions under the theme "High-Reliability Storage, Empowering the Industrial World". The showcased products
included next-generation industrial-grade SSDs, DIMMs, and a full series of automotive-grade Flash and DRAM products, all engineered In October 2025, Longsys presented its full-matrix Enter-
to meet stringent requirements for wide temperature ranges, sulfur resistance, and high durability in harsh environments. Leveraging prise-Grade storage products and solutions tailored for AI,
its PTM end-to-end customization services, Longsys delivered highly flexible storage solutions tailored for industrial automation and cloud computing, and data center sectors under the theme
intelligent vehicles. This demonstration underscored the Company's technical capabilities in driving intelligent transformation across "Carbon-Silicon Symbiosis and Co-creation in the AI+ Era"
global manufacturing and automotive industries. at the 13th China Mobile Global Partner Conference. Its
eSSD and RDIMM product portfolio has successfully entered
the China Mobile supply chain and achieved large-scale
delivery. Key highlights included next-generation high-per-
formance, high-capacity products such as SOCAMM2, CXL
Longsys Joins Hands with Solidigm to Explore New 2.0 Memory Expansion Module, and MRDIMM. Leveraging
Case its PTM Storage Foundry capabilities, Longsys offers deep
Opportunities for QLC Embedded Storage Applications
customization services. The Company is committed to driv-
ing industry upgrades in the AI+ era by advancing techno-
On October 31, 2025, Longsys and Solidigm jointly hosted a technical seminar in Suzhou on QLC storage solutions, focusing on the demand
logical innovation and optimizing business models to build
for storage capacity expansion driven by AI and high-definition content. The event delved into the technical breakthroughs and market
efficient, flexible storage infrastructure for partners.
prospects of QLC in embedded applications as a higher-density, cost-effective solution. Longsys showcased QLC products, including eMMC
solutions based on in-house developed controllers and algorithms, complementing Solidigm's technological strengths. The collaboration
aims to deliver end-to-end optimization from flash to packaging and testing for intelligent terminal customers through close cooperation and
ecosystem co-construction. The partnership seeks to drive large-scale adoption of QLC technology and industry innovation.
Longsys Hosts Brazil Semiconductor High-Level Talent Delegation
Case
to Strengthen China-Brazil Technological Exchange
On October 16, 2025, the CI Inovador Semiconductor Talent Delegation from Brazil
visited Zhongshan Longsys Storage Industrial Park. All delegation members underwent
a rigorous selection process and possessed international perspectives. The delegation
visited the Company's manufacturing center and Lexar Quality Laboratory, gaining in-
depth insights into its advanced manufacturing processes and quality management
systems. At the subsequent roundtable discussion, both parties exchanged views on
semiconductor industry trends, challenges, and market prospects. This visit established
a platform for international industrial talent exchange, demonstrating the Company's CI Inovador Delegation from Brazil Visits Longsys
commitment to supporting talent development in the global semiconductor industry,
promoting technological exchange, and advancing industry ecosystem growth. Longsys Attends China Mobile Partner Conference
Strengthening the Advancing Driving Green Growing Together, Collaborating to
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Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Building a Better Community
Longsys closely integrates corporate social responsibility with business development, actively participating in charitable and public welfare activities. Through supporting community development and
community greening initiatives, the Company effectively fulfills its corporate social responsibility, demonstrating its corporate mission and social value.In 2025, Zilia donated nearly RMB 20,000 to APAE (Associa??o
de Pais e Amigos dos Excepcionais), supporting initiatives such as Children's Day, Christmas, and traditional Brazilian events, thereby demonstrating Zilia's commitment to community support.
Longsys Donates Computers to
Case Zhongshan Longsys' Social Responsibility Initiatives Case Planting Activity by Longforce Suzhou
Case Support the Digitalization of Rural
Education
In 2025, Longforce Suzhou organized employee repres-
In 2025, Longsys donated a batch of computers to the Guang- Zhongshan Longsys Participates in Chongyang Festival Charity Visit entatives from all departments for a planting activity within
dong Provincial Education Foundation, including 41 sets spe- On October 27, the Cuiheng New District Chamber the industrial park. Participants independently planned,
cifically allocated to the "Green Charity Computer Classroom" of Commerce organized member enterprises to visit selected, and personally planted diverse green plants,
at Mashi Middle School in Shixing County, Shaoguan City. This to the Nanlang Street Elderly Care Center, bringing creating 15 distinctive green zones. This initiative not only
initiative aims to empower rural education through technology warmth and care to senior residents. As a key mem- strengthened employees' awareness of environmental
advancement, enhance IT infrastructure of the school, expand ber enterprise of the Chamber, Zhongshan Longsys responsibility but also promoted the green office concept by
digital learning approaches for rural students, and support the actively joined the event alongside other business increasing greenery coverage, contributing to low-carbon
digital transformation of basic education. representatives, including the rotating vice president sustainable development.
Lin Jianfeng. Zhongshan Longsys delivered essential
gifts such as milk, oatmeal, and hygiene products
to the elderly. During the visit, representatives from Zhongshan Longsy's participa-
tion in the Chongyang Festival
Zhongshan Longsys listened attentively to the
visit to the Elderly Care Center
seniors' stories, showing genuine concern for their
health and daily lives. Longsys fulfills its corporate social responsibility to respect the
elderly with practical actions.
Zhongshan Longsys Supports the 2025
Charity Million-Person Walk
In the 2025 Charity Million-Person Walk event in
Cuiheng New District, Zhongshan Longsys, a core
enterprise deeply rooted in the region, responded
proactively by donating RMB 50,000. The contri-
bution will support charitable initiatives including
poverty alleviation, emergency assistance, and edu-
cational support, clearly demonstrating Zhongshan Zhongshan Longsys' donation of
Deputy Secretary General of Guangdong Provincial Education
Longsys' strong sense of social responsibility and RMB 50,000 at the 2025 Charity
Foundation Presenting a Banner to Longsys dedication to community welfare. Million-Person Walk event Planting Activity by Longforce Suzhou
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 75
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Appendix
ESG Content Index
Topic Corresponding Article Corresponding Chapter/Section Topic Corresponding Article Corresponding Chapter/Section
Climate Change Response Articles 21 to 28 Climate Change Response Supply Chain Security Article 45 Sustainable Supply Chain
Pollutant Emissions Article 30 Green Operations
Equal Treatment of SMEs Article 46 Sound and Compliant Operations
Waste Management Article 31 Green Operations
Product and Service Safety and Quality Article 47 Crafting Excellence with Dedication
Ecosystem and Biodiversity Protection Article 32 Green Operations
Data Security and Customer Privacy
Article 48 High-Quality Customer Service
Environmental Compliance Management Article 33 Environmental Management Protection
Energy Use Article 35 Climate Change Response Protecting Employee Rights
Employees Article 50 Promoting Employee Development
Water Resources Utilization Article 36 Green Operations
Strengthening the Safety Barrier
Circular Economy Article 37 Green Operations
Due Diligence Article 52 Sound and Compliant Operations
Rural Revitalization Article 39 Building a Better Community
Stakeholder Communication Article 53 Sustainable Development Management
Social Contribution Article 40 Building a Better Community
Anti-Bribery and Anti-Corruption Article 55 Sound and Compliant Operations
Innovation-Driven Growth Article 42 Crafting Excellence with Dedication
Technology Ethics Article 43 Crafting Excellence with Dedication Anti-Unfair Competition Article 56 Sound and Compliant Operations
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 76
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
ESG Policies and Regulations List
Chapter Laws and Regulations Internal Policies Chapter Laws and Regulations Internal Policies
Self-Regulation Guidance No. 17 for Listed Companies Quality Traceability Management
- Sustainability Report (Trial) Regulations
Self-Regulation Guide No. 3 for Listed Companies - Trial Production Quality Management
Preparation of Sustainability Report Regulations
Company Law of the People's Republic of China Packaging Factory Quality Regulations
Securities Law of the People's Republic of China Articles of Association Regulations on Quality Management and
Control of Manufacturing Process
Code of Corporate Governance for Listed Companies ESG Management Measures
Material Abnormality Handling Regulations
Administrative Measures for the Disclosure of Employee Handbook of Shenzhen Longsys
Information of Listed Companies Electronics Co., Ltd. Non-Conforming Product Control Procedure
Strengthening Longsys Code of Conduct
Work Guidelines for the Investor Relations Company Quality Incident Management
the
Management of Listed Companies Rules
Foundation, Longsys "Sales Red Line" Policy
Facilitating Guidelines for the Compliance Management of Longsys After-Sales RMA Handling
Stable Growth Longsys "Red Line" Policy
Enterprises' Overseas Operation Procedures
Measures for the Work of Auditing and Patent Law of the People's Republic of China
ISO 37301:2021 Compliance Management Systems— Customer Returns and Rework Operating
Requirements with Guidance for Use Advancing Trademark Law of the People's Republic of China Procedures
Supervising Clue Management and
Technology,
Investigation Copyright Law of the People's Republic of China
GB/T 35770-2022 Compliance Management System Enhancing Longsys Bulk Return and Exchange
— Requirements with Guidance for Use Trade Secrets Protection Measures Quality Procedures
Regulations on Protection of Integrated Circuit
Anti-Monopoly Law of the People's Republic of China Layout Design Trade Secret Protection Measures
Anti-Unfair Competition Law of the People's Republic Patent Management Measures
of China
Intellectual Property Management Policy
Measures for the Security Assessment of Outbound
Data Transfer Customer Satisfaction Measurement
Procedures
Information Security Management Manual
Information Asset Management Procedures
Information and Data Protection
Management Procedures
Management Procedures for Information
Security Risk Assessment
Regulations on Business Continuity
Management of Information Systems
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 77
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Chapter Laws and Regulations Internal Policies Chapter Laws and Regulations Internal Policies
Environmental Protection Law of the People's Employee Handbook of Shenzhen Longsys
Republic of China Electronics Co., Ltd.
Energy Conservation Law of the People's Republic of Environmental Health and Safety Manual Corporate Culture and Values Requirements
China
Environmental Management Control Reiterated Personnel Directives
Law of the People's Republic of China on the Procedures
Prevention and Control of Environmental Pollution Individual Performance Management
by Solid Wastes Environmental Operation Control Measures
Procedures Labor Law of the People's Republic of China Organizational Performance Management
GB/T 2589-2020 General Principles for Calculation of
Comprehensive Energy Compliance Evaluation Control Procedures Labor Contract Law of the People's Republic of China Measures
Growing
Driving Green
Operations, International Financial Reporting Standards No. 2— Energy Management System Manual Together, Law of the People's Republic of China on Administrative Measures for Social Insurance
Shaping a Climate-Related Disclosures Pioneering the Safeguarding the Rights and Interests of Women and Housing Provident Fund
Wastewater Management Measures Future
Low-Carbon Training Management Measures
Paris Agreement Special Rules on the Labor Protection of Female
Future Exhaust Management Measures
Employees External Training Management Measures
Guidelines for Accounting and Reporting Greenhouse
Gas Emissions from Other Industrial Enterprises Waste Management Measures
Office Safety Management Measures
Guidelines for Accounting and Reporting Greenhouse Hazardous Waste Management Measures
Regulations on the Establishment of the
Gas Emissions from Enterprises Hazardous Substance Management Work Safety Organization and the Allocation
Standard for Building Carbon Emission Calculation Procedures of Safety Management Personnel
National Greenhouse Gas Inventories Unexpected Incidents
ICAO Carbon Emissions Calculator (ICEC) Regulations on the Development and
Restriction of the Use of Certain Hazardous Qualification of Material Suppliers
Substances in Electrical and Electronic Equipment
Regulations on the Management of Qualified
(RoHS 2.0)
Collaborating Material Suppliers
to Create, Regulation on the Registration, Evaluation,
Procurement Control Procedures
Coexisting to Authorisation, and Restriction of Chemicals (REACH)
Thrive Standard for the Management of
OECD Due Diligence Guidance for Responsible Supply
Environment-Related Substances
Chains of Minerals from Conflict-Affected and High-
Risk Areas Hazardous Substance Control and
Investigation Form
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 78
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
ESG Data Indicators Performance Table3, 4
Scope KPIs Unit 2025 Scope KPIs Unit 2025
Energy Consumption Scope 1 emission tCO2e 1,979.03
Comprehensive energy consumption tce 20,362.24 Scope 2 emission 7
tCO2e 52,223.99
Comprehensive energy consumption intensity tce/million RMB 0.89 Waste 8
Direct energy consumption tce 4,140.56 Total hazardous waste disposed Tonne 56.92
Tonne/ million
Diesel tce 10.40 Hazardous waste intensity 0.003
RMB
Gasoline tce 4.81 Total non-hazardous waste disposed Tonne 633.81
Liquefied petroleum gas tce 11.89 Tonne/ million
Environmental Non-hazardous waste intensity 0.03
RMB
Renewable energy 5
tce 4,113.46
Resource Consumption
Indirect energy consumption tce 16,221.69
Total water consumption Tonne 603,210.17
Environmental
Purchased electricity tce 16,174.20 Tonne/million
Water consumption intensity 26.50
RMB
Purchased heat tce 47.49
Total water circulated m 3
Pollutant emissions
Environmental Compliance
Wastewater m3 454,971.80
Total environmental non-compliance incidents Case 0
COD Tonne 125.40
R&D and Innovation
BOD Tonne 67.95
Percentage of R&D personnel % 30.69
Ammonia Nitrogen Tonne 52.53
Social R&D investment as a percentage of revenue % 4.60
VOCs Tonne 4.01
Workplace Diversity and Inclusiveness
Greenhouse Gas Emission6
Total number of employees Person 4,040
he scope of collection of environmental data in this year's ESG data performance table includes the Company's domestic administrative centers and production enterprises such as Longforce Suzhou, Zhongshan Longsys, Mestor, and Zilia. The Company will gradually improve the ESG indicator
T
management system and statistical ledger of its various units in the future, ensuring data integrity and accuracy.
The scope of collection of social and governance data in this year's ESG data performance table includes Longsys and all its subsidiaries.
The renewable energy used by domestic factories is solar energy, while Zilia uses renewable energy such as wind energy, solar energy, and biomass energy.
The data for this year is calculated in accordance with the Environmental, Social and Governance Reporting Code of the Hong Kong Stock Exchange and other internationally recognized reference factors.
he Scope 2 Greenhouse Gas Emissions are mainly derived from indirect Greenhouse Gas Emissions from non-renewable electricity consumed by the Group's operations. Zilia has purchased the International Renewable Energy Certificate (I-REC) for all emissions in its scope 2. The current year's emission
T
factor for electricity was adopted as the Grid Emission Factor of 0.5306kgCO2/kWh from the Announcement of the Ministry of Ecology and Environment and the National Bureau of Statistics on the Release of the CO 2 Emission Factor for Electricity in 2023 dated December 31, 2025.
The increase in hazardous and non-hazardous waste is attributable to expanded production capacity. The disposal methods of hazardous waste include incineration, recycle, etc., while the disposal methods of non-hazardous waste include landfill, incineration, reuse, recycle, etc.
Strengthening the Advancing Driving Green Growing Together, Collaborating to
Foundation, Facilitating Technology, Operations, Shaping Pioneering the Create, Coexisting Appendix 79
Stable Growth Enhancing Quality a Low-Carbon Future Future to Thrive
Scope KPIs Unit 2025 Scope KPIs Unit 2025
Total number of employees from ethnic minorities Person 213 Occupational Health and Safety
Number of Employees by Function Number of work-related fatalities Person 0
Total Production Employees Person 1,394 Employee Development and Training9
Total Sales Employees Person 560
Total training hours of employees Hour 205,703.63
Total Technical Employees Person 1,240
Training Hours of Employees by Gender
Total Financial Employees Person 75
Male Hour 138,391.28
Total Administrative Employees Person 771
Female Hour 67,312.35
Number of Employees by Gender Social
Training Hours of Employees by Rank
Male Person 2,439
Senior-level management Hour 1,437.72
Female Person 1,601
Middle-level management Hour 5,369.80
Number of Employees by Age
General employees Hour 198,896.12
Social 18-29 Person 1,385
Average Length of Employment Total Hours of Volunteer Service Hour 307
Average Length of Employment for Male Employees Year 4.4 Bribery and Corruption
Average Length of Employment for Female
Year 4.8 Number of lawsuits against the Company's directors
Employees
and management personnel for commercial bribery Case 0
Number of Newly Hired Employees by Gender or corruption
Male Person 633 Unfair Competition
Governance
Female Person 439
Number of lawsuits resulting from the Company's
Case 0
unfair competition behavior
Number of Employee Turnover
Annual Number of Male Employee Turnover Person 506 Amount of significant administrative penalties
resulting from the Company's unfair competition RMB Yuan 0
Annual Number of Female Employee Turnover Person 332 behavior
Data on training hours include resigned employees in 2025.
Data from the "Community Engagement" section is sourced from subsidiaries of Longsys.
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