About the Report
This is the 2025 Environmental, Social and Governance (ESG) Report issued by Aurisco Pharmaceutical Co., Ltd., and is the
second ESG report of the Company, which aims to provide our stakeholders with comprehensive information on our ESG
practices and relevant performance in 2025.
Reference Standards Data Sources
The standards, frameworks and principles referenced for the preparation of the Report are as follows: The data presented in the Report is extracted from the original data of the Company's actual operation and the public data
from government departments. Unless otherwise stated, the data in the Report are measured in metric system and the
◆ Sustainability Reporting Standards (GRI Standards 2021) issued by the Global Sustainability Standards Board (GSSB)
currency is denominated in Renminbi (RMB). Should there be any discrepancies with the financial statements, the latter shall
◆ Framework of the Task Force on Climate-related Financial Disclosures (TCFD) prevail.
◆ United Nations Sustainable Development Goals (UN SDGs)
◆ Standards of the Sustainability Accounting Standards Board (SASB) Reliability Statement
◆ No. 14 Guidelines for Self Governance of Listed Companies of the Shanghai Stock Exchange - Sustainable Development
Reports (Trial) (hereinafter referred to as the "Guidelines") We promise that there is no false record, misleading statement, or significant omission, and we will assume full liabilities for its
◆ No. 4 Guidelines for Self Governance of Listed Companies of the Shanghai Stock Exchange - Preparation of Sustainable
authenticity, accuracy, and completeness.
Development Reports (Revised in January 2026)
Report Approval
The Report was reviewed and approved by the Board of Directors.
Scope of the Report
Time Period: The Report covers our activities undertaken from January 1, 2025 to December 31, 2025, and may refer to the
information of other years in order to improve its comparability and perspectiveness.
Access to the Report
Organizational Scope: The Report covers Aurisco Pharmaceutical Co., Ltd. and its subsidiaries, consistent with the scope of the
annual report.
The electronic version of the Report is available for download on the Company's official website (www.aurisco.com) and the official
website of the Shanghai Stock Exchange.
For any questions or access to further information, please contact us with the contact information below:
Designations Tel.: 0576-83177301
Email: aurisco@aurisco.com
To facilitate the presentation, the titles of the subjects involved in the Report are hereby explained. "Aurisco", "the Company" or
Address: No. 1, Longxing Road, Badu Industrial Park, Tiantai County, Zhejiang, China
"We" refers to Aurisco Pharmaceutical Co., Ltd., "Yangzhou Aurisco" refers to Yangzhou Aurisco Pharmaceutical Co., Ltd., and
"Yangzhou Lianao" refers to Yangzhou Lianao Biopharmaceutical Co., Ltd.
About the Report 01
Message from the Chairman 05
About Aurisco 07 Integrating Responsibility into Business, Innovation Drives Growth, Quality Green Intelligent Manufacturing,
Driving Sustainable Development Upholds Craftsmanship Eco-Protection Safeguarding
ESG Management 15 Deepening Innovation-Driven Development 33 Enhancement of Environmental Management 57
Communication with Stakeholders 18 Striving for the Premium Quality 40 Standardization of Pollution and Waste Treatment 60
Material Topics Management 19 Upholding Scientific and Technological Ethics 43 Optimization of Resource Utilization 65
Safeguarding Information Security 44 Climate Change Response 69
Practices in Green Operations 72
Compliance as Foundation, Value Chain Collaboration,
People-Oriented, Goodness for All
Steadfastness for Long-Term Success Industry Co-prosperity
Future Outlook 99 Consolidating Corporate Governance 23 Sincere Customer Service 49 Protection of Employees' Rights and Interests 77
Investor Relations Management 26 Sustainable Supply Chain 50 Promoting Employee Growth 85
Appendixes 101 Internal Control and Risk Management 27 Driving Industry Development 53 Safeguarding Health and Safety 88
Compliance with Business Ethics 29 Improving People's Well-being 94
Message from the Chairman
Since its founding, Aurisco has deeply embraced the corporate spirit of "holding integrity and responsibility, forging
ahead with concerted effort, and keeping harmonious and win-win development", upheld the mission of "creating a
better world through providing our clients the highest quality pharmaceutical products", and integrated the ESG
philosophy into its strategic structure and operational DNA. We firmly believe that the high-quality development of a
pharmaceutical enterprise requires not only consolidating the foundation of quality through scientific and technological
innovation, but also responding to the expectations of the times with a strong sense of responsibility. From the early
exploration and practice of ESG to the current establishment of a comprehensive sustainable development system, we
have always followed the philosophy of "harmony between man and nature, following the laws of nature" to preserve the
ecological foundation in green production; adhered to the principle of "people-oriented, prosperity shared" to gather
development momentum through talent empowerment; and pursued the ideal of "prosper with a mission, benefit the
world with good" to convey corporate warmth in giving back to society.
We adhere to the development philosophy that "lucid waters and lush mountains are invaluable assets" and integrate
green and low-carbon practices throughout the entire chain of production and operations. From the establishment of a
water-saving benchmark enterprise to refined control of pollutants, from the promotion and application of clean energy to
systematic response to climate risks, we practice the circular economy principle of "reduce, reuse, recycle" with concrete
actions, contributing Aurisco's solutions to the green transformation of the industry.
We inherit the cultural genes of Tiantai Mountain of "helping the needy and relieving the distressed, benefiting the
world with compassion and duty" and integrate the "Harmony Culture" into our responsibility practices. We adhere to
the management wisdom of "governing by non-interference", build a broad platform for employees to display their talents,
and enable employees to grow together with the Company through equity incentives, diversified benefits and career
development paths; we focus on people's livelihood concerns, engage in public welfare donations, rural revitalization and
other undertakings to ensure that the achievements of development benefit a wider range of social groups; we abide by
the principle that "quality is life", strictly control product quality in line with world-class standards, and safeguard human
health and well-being with reliable and trustworthy medicines; we are committed to improving medical accessibility,
promoting the downsizing of marketing channels and the expansion of medical insurance online listing, bringing high-
quality medical resources to the grassroots and fulfilling the original aspiration and mission of "universal health care".
We take compliance as the principle and transparency as the goal to build a sound and efficient governance system.
"A Superior Physician Treats Before Illness; A Great Way Benefits All People." ——The We regard the improvement of the internal control mechanism as the cornerstone for the steady and long-term
pharmaceutical industry holds life in every decision and bears on people's well-being in every development of the enterprise, and integrate ESG governance into the whole chain of board decision-making,
detail. At present, sustainable development has become a consensus of the times, and ESG is no management execution and staff action; we abide by business ethics, oppose commercial bribery and unfair competition,
longer a "bonus item" for corporate operation, but a "must-answer question" for pharmaceutical and ensure every transaction is open and transparent; adhering to the concept of "joint consultation, joint contribution,
win-win cooperation and symbiotic development", we have established a full-chain ESG management and control standard
enterprises to uphold their original aspiration and pursue steady and long-term development. On
covering raw material procurement, production and manufacturing, and logistics distribution, and are striving for a greener,
the occasion of the release of the 2025 ESG Report, on behalf of Aurisco, I would like to extend
more compliant and globalized supply chain by optimizing the distributor network, promoting the layout of formulation
my sincere respect and gratitude to all leaders, shareholders, employees, customers, suppliers products overseas, and strengthening low-carbon collaboration in the supply chain.
and other partners, as well as all sectors of society, who have long been concerned about and
"Lofty goals rely on aspiration; great achievements depend on diligence." Over the past year, we have taken another
supported the development of the Company.
solid step forward in our journey toward "becoming a world-class pharmaceutical enterprise". Standing at a new starting
point for development, we will continue to take innovation as the engine, responsibility as the bond, and green
development as the foundation; with medicine as the bridge and responsibility as the vessel, we will keep forging ahead
diligently on the path of safeguarding life and health, march forward courageously on the journey of promoting sustainable
development, and write a responsible answer for pharmaceutical enterprises in the new era with professionalism and
commitment!
Chairman: Peng Zhien
About Aurisco
Company Profile
Aurisco Pharmaceutical Co., Ltd. (stock code: 605116), established in 1998, focuses on
the R&D, production and sales of complex active pharmaceutical ingredients (API) and
formulations. It has established six major technology platforms of a biofermentation
technology platform, a complex synthesis technology platform with multi-chiral
centers, a synthetic biology technology platform, a photochemical technology
platform, a crystal research and micro-powder technology platform, and a solid-
phase synthesis technology platform.
The Company’ s APIs and intermediates have expanded from traditional small-
molecule drugs to peptide drugs and oligonucleotide drugs. Among them, small-
molecule APIs and intermediates mainly cover products for the respiratory system,
cardiovascular, anti-infection, nervous system, anti-tumor, and female health. TIDES
(peptide/oligonucleotide) APIs mainly serve therapeutic areas including diabetes,
weight management, fat reduction, and rare diseases.
The Company’ s APIs and intermediates feature complex production processes,
stringent product quality requirements, and high entry barriers. Its customers are
mainly large international pharmaceutical companies, with business covering Europe,
South America, North America and Asia. Through long-term service to renowned
overseas pharmaceutical enterprises, the Company has gained a deeper
understanding of regulated pharmaceutical markets. It has obtained certifications
from regulatory authorities including NMPA, FDA, BGV, WHO and ANVISA, built a
highly competitive independent brand, and become one of the domestic enterprises
with a large export volume of specialty APIs.
Aurisco has a complete production line of pharmaceutical APIs, intermediates,
formulations, and advanced testing equipment and facilities, as well as reliable three-
waste treatment facilities, safety and fire control systems and other public works
facilities. In recent years, the Company has established a relatively complete scientific
research system, introduced and trained a group of high-end technicians, and carried
out a series of industry-academia-research cooperation projects. It has focused on
independent research and development, with cooperative research and development
as a supplement. Oriented at market and driven by innovation, we have cooperated
with excellent research institutions and universities, comprehensively improving the
Company’ s technical merit and R&D strength, and create the core competitiveness.
Aurisco has been rated as National High-Tech Enterprise, National SRDI “Little Giant”
Enterprise, “Hidden Champion” Enterprise in Zhejiang Province, Zhejiang Leading
Enterprise in Average Benefits per Mu of Manufacturing Industry in 2019 (among the
Top 20 Biopharmaceutical Companies), Zhejiang AAA Enterprise of Keeping Promise &
Honoring Contracts, Zhejiang High-Growth Enterprise in Biomedicine Industry, and
Taizhou Headquarters Enterprise. It has established “Zhejiang Key Enterprise Research
Institute” , “High-Tech Enterprise Research and Development Center” , “Enterprise
Technology Center” , “Postdoctoral Workstation” , and“ Taizhou Key Laboratory” .
SDGs
Corporate Culture Milestones in Development
Mission Creating a better world through providing our clients the highest quality pharmaceutical products.
Strive to be a leading pharmaceutical company through our continuous efforts and a respected enterprise
Vision China's first generic Complex Packaging stradiol Tablets/Estradiol and Dydrogesterone Tablets
for our employees, clients, partners, and the communities we live in.
AOSHUTONG has been approved for marketing
Focus on customers; continuous innovation; Teamwork spirit; equal treatment and incentive to employees;
Achieved Gold in EcoVadis sustainability rating
Core Values
hard work.
Hold integrity and responsibility; forge ahead with concerted effort; keep harmonious and win-win
Spirit
development.
Commenced to construct
Obtained the approval for the first generic drug
Cangshan Production Base
Aurisco adheres to the philosophy of "Developing the Enterprise through Innovation, Strengthening the Enterprise Dydrogesterone Tablet in China
with Talents, Establishing the Enterprise with Integrity, and Empowering the Enterprise with Culture".
Developing the Enterprise through Innovation Strengthening the Enterprise with Talents Established Shanghai Aurisco Biotech, focusing on the R&D of oligonucleotide drugs
Innovation is the eternal driving force for enterprise Aurisco continues to adhere to the people-oriented principle, 2020
development. Aurisco allocates a certain proportion of its and has established mechanisms and management systems
annual sales revenue to scientific research and product for talent attraction, motivation and development. It fully taps Listed Aurisco on the Main Board of the Shanghai Stock Exchange
d e ve l o p m e n t . Fro m i n te r m e d i a te s to A P I s a n d domestic and international talent resources, optimizes talent
formulations, and from small molecules to peptides and allocation, promotes the rational distribution of talents, and
oligonucleotides. ensures that the Company maximizes the attraction and
utilization of talent advantages.
Acquired APOTEX Tianjin R&D Center and
Established Aurisco Pharmaceutical Co., Ltd.
Establishing the Enterprise with Integrity Empowering the Enterprise with Culture Established Yangzhou Aurisco
Aurisco has always adhered to the principle of "valuing
customer interests, employee interests and investor
Aurisco has forged a corporate culture that inherits
traditions, faces modernization, emphasizes innovation and
Established Yangzhou Lianao
interests", and has built a brand image integrating corporate pragmatism, and meets its own development needs.
brand, entrepreneur brand and product brand. Aurisco's corporate culture philosophy is extensive and
profound, serving as the fundamental guideline for all of the
Company's operations. 1998
Established Dagu Chemical,
the predecessor of Aurisco
Honors and Awards
EcoVadis Granted EcoVadis Granted Department of Science and Technology of Zhejiang Province Department of Science and Technology of Zhejiang Department of Commerce of Zhejiang Province Zhejiang Administration for Market
EcoVadis Sustainability Rating - Gold EcoVadis Sustainability Rating - Gold Zhejiang Provincial Department of Finance Zhejiang Province Granted Granted Supervision Granted
(Yangzhou Aurisco) Provincial Tax Service, State Taxation Administration Granted Acceptance Certificate for Zhejiang Provincial Zhejiang Famous Export Brand Zhejiang AAA Enterprise of "Keeping
High-tech Enterprise Certificate Science and Technology Plan Project Promise & Honoring Contracts"
State Intellectual Property Office Granted The Zhejiang Office of Water Conservation Department of China Creative Studies Institute Economy and Information Technology Organizational Department of the CPC Taizhou CPC Tiantai County Committee People's
Information Technology Department of Zhejiang Achievement Award of China Zhejiang Key Enterprise Research Institute Economic and Social Organizations of the CPC 2024 Advanced Collective of "Unity
Department of Housing and Urban-Rural Development Creative Studies Institute" Taizhou Municipal Committee GrantedTaizhou "Dual and Courage for Responsibility, Joint
of Zhejiang Province Granted (Second Prize of Scientific and Integration & Dual Strength" Demonstration Base for Efforts for Great Leap Forward" in
Zhejiang Water Conservation Benchmark Enterprise Technological Progress Award) Party Building in New Economic and Social Tiantai County
Organizations
Economy and Information Technology Department of Zhejiang、Zhejiang Economy and Information Technology Economy and Information Technology Taizhou Municipal Bureau of Economy
Ministry of Industry and Information Provincial Department of Finance、Zhejiang Provincial Tax Service, State Department of Zhejiang Granted Department of Zhejiang Granted and Information Technology Granted
Technology Granted Taxation Administration、Hangzhou Customs District P.R. China Hidden Champion Enterprise in Zhejiang Zhejiang High-Growth Enterprise in Taizhou Municipal Green and Low-
National SRDI "Little Giant" Enterprise Hidden Champion Enterprise in Zhejiang Province Province Biomedicine Industry Carbon Factory
Integrating Responsibility
into Business, Driving
Sustainable Development
Table of Contents
◆ ESG Management
◆ Communication with Stakeholders
◆ Material Topics Management
SDGs
ESG Management Response to the UN Sustainable Development Goals
Corresponding
SDGs Our Actions
Chapters
Aurisco anchors at the frontier of sustainable development and fully integrates the ESG philosophy into the entire process of
◆ Relying on a sound employee support mechanism, we promptly launch targeted care and assistance for employees
strategy formulation, operation management and business expansion. With systematic development as the core, the Company
suffering from serious illnesses or encountering unexpected difficulties, and provide practical and warm measures to help Protection of
continuously improves its three-tier ESG governance structure of "decision-making, management and execution". It is committed
them solve problems. Employees' Rights
to building an ESG governance system featuring both commercial value and social responsibility, ensuring that the potential
◆ We actively responded to the call of the Chinese People's Political Consultative Conference of Tiantai County,
and Interests
impacts, risks and opportunities of ESG factors are fully considered in business decision-making, so as to empower high-quality
enthusiastically participated in the first donation of the Committee Members' Fund for Assisting the Disabled and Promoting Improving People's
and sustainable development.
Common Prosperity, and provided employment opportunities to help persons with disabilities secure jobs, increase income Well-being
and integrate into society, contributing more to advancing common prosperity and spreading social warmth.
◆ We take salary guarantee and equity as the pillars of protecting employees' rights and interests. Guided by the principle of
"Fair Empowerment and Value Symbiosis", we abide by laws and regulations, and build a standardized salary system and
ESG Management Framework non-discriminatory equality mechanism to make salary an important link in safeguarding employees' rights and interests,
stimulating vitality and promoting sustainable corporate development.
◆ We continue to optimize the welfare management system, establish a full-coverage, full-cycle and multi-level welfare
Decision-making Level Board of Directors Protection of
security system that is compliant, competitive and humane, and strive to enhance employees' sense of gain, happiness and
Employees' Rights
belonging.
and Interests
◆ We focus on employees' mental well-being, set up professional psychological care and counseling channels, popularize
Safeguarding Health
◆ Lead the Company's ESG affairs and formulate the ESG strategic plans and policies; mental health literacy, help employees relieve stress and nurture inner strength, and consolidate a healthy workplace
and Safety
foundation with in-depth spiritual care.
◆ Supervise the assessment on the Company's ESG-related impacts, risks, and opportunities;
◆ We have established a dedicated occupational health and safety management department, clarified the responsibilities
◆ Review and approve the Company's annual ESG report;
and objectives of each department to ensure the effective implementation and continuous improvement of the occupational
◆ Supervise and inspect the implementation of ESG-related work, and provide guidance when appropriate. health and safety management system. We are committed to creating a healthy, hygienic and safe working environment, and
effectively protecting employees' occupational health and life safety.
◆ We conduct stratified and customized training for all employees under the guidance of the Company's development
strategy, based on the post competency model, and focused on the actual needs of employees.
Promoting Employee
◆ We vigorously support educational innovation and talent development. Through student assistance, quality improvement Growth
Management Level Senior Management
and specialized support, we help upgrade infrastructure and education quality of local schools, inject new vitality into high-
Improving People's
quality regional education development, and empower the construction of a "modern harmonious city". In 2025, the
Well-being
Company donated 300,000 yuan to Chicheng Middle School and a specialized fund of 1,000,000 yuan for the construction of
a science and innovation laboratory at the Foreign Language School.
◆ Evaluate and manage the material topics to provide analysis and recommendations for discussion at the decision-making level,
◆ We firmly eliminate gender discrimination and ensure that female employees enjoy fully equal opportunities and rights as
ensuring oversight by the Board of Directors;
male employees in recruitment, salary and benefits, promotion, and professional title evaluation and appointment.
Promote and guide the ESG work of all functional departments and subsidiaries; Protection of
◆ We provide additional specialized health checks and professional consultation for female employees, strictly implement
◆
Employees' Rights
◆ Review and submit the annual ESG report to the Board of Directors. protection requirements during the "three periods" (pregnancy, childbirth and lactation), provided suitable positions and
and Interests
working conditions for female employees during "the periods", and offered convenience by building dedicated facilities such
as nursing rooms and rest rooms for pregnant employees.
◆ We have formulated standard operating procedures for wastewater treatment, established a sound wastewater treatment Standardization of
Pollution and Waste
Execution Level Functional Departments and Subsidiaries mechanism, and equipped supporting wastewater treatment and monitoring facilities to ensure that wastewater is
discharged up to standard. Treatment
◆ We have established a strict and sound water use and conservation management system, set up a water conservation Optimization
management team, and assigned corresponding management and technical personnel to maintain water metering and of Resource
◆ Develop stakeholder engagement plans and organize stakeholder communication activities; supervision, and repair leakage in a timely manner to ensure safe, continuous and stable water supply. Utilization
◆ Take charge of ESG-related management, data, case statistics, and analysis;
◆ Regularly report the ESG achievements to the management;
◆ We launched a photovoltaic self-generation energy project in 2024, making full use of idle roofs and open spaces in the
Optimization of
◆ Coordinate the preparation of annual ESG reports. factory. Adopting the model of "self-consumption first, surplus power to the grid", we aim to replace traditional power with
Resource Utilization
renewable energy and promote the low-carbon and clean transformation of the production energy system.
◆ We have formulated and issued the Labor and Human Rights Management Policy , which defines core requirements and
The Company integrates the UN Sustainable Development Goals (SDGs) into its sustainable development strategy in a coherent manner, management objectives covering working conditions, prohibition of child labor and forced labor, protection of female
actively participates in global sustainable development governance practices, empowers social development with corporate strength, employees, equality and diversity, and occupational health and safety. We have also established a rapid response and
Protection of
accountability mechanism for violations of labor and human rights, as well as remedial policies and corresponding measures.
and enables commercial value and social value to grow in tandem. Employees' Rights
◆ We have established and improved the trade union organization and the employee representative congress system. By
and Interests
formulating and implementing management systems such as democratic consultation and collective bargaining, we have
Promoting Employee
refined the election procedures, rules of procedure and resolution implementation mechanisms for employee representatives,
Growth
so as to ensure the extensiveness and representativeness of democratic participation.
◆ We have implemented a parallel "dual-channel" mechanism, enabling every employee to achieve sustained development
along a path matching their own strengths.
SDGs Our Actions Corresponding Chapters
Communication with Stakeholders
◆ We have built a R&D organization system featuring "six major platforms, five centers, team
Deepening Innovation-Driven
collaboration, and external cooperation", and are committed to the R&D of small-molecule drugs, peptide Aurisco firmly believes that working hand in hand with all stakeholders is fundamental to sustainable development. The Company
Development
drugs and oligonucleotide drugs. has established regular communication platforms and diversified channels to fully listen to stakeholders and respond to their
concerns in a timely manner, achieving value co-creation and shared development. In accordance with the four principles of the
◆ We place quality management at the core of the Company's development strategy. We always focus on AA1000 Stakeholder Engagement Standard (AA1000 SES): inclusivity, materiality, responsiveness and impact, the Company has
customers' needs and expectations, rely on our technological advantages, continuously optimize identified its key stakeholders as: board members, employees, shareholders and investors, governments and regulators, suppliers,
production processes, and establish a sound and strict quality assurance system to steadily improve contractors, customers, partners and the community public.
product quality. We provide high-quality products to global customers and partners in a compliant and Striving for Supreme Quality
efficient manner. Sincere Customer Service
◆ We regard customer service as the foundation of corporate competitiveness. We deeply engage in the
global pharmaceutical market and gradually form a customer service management system "guided by
customer needs, supported by professional capabilities, and aimed at long-term trust".
Common
◆ We actively respond to the strategic goals of "carbon peaking" and "carbon neutrality", integrate climate Stakeholders Primary Stakeholders Concerned Topics Communication
change governance into the ESG governance system, and establish a top-down three-tier climate Channels
governance structure.
● Environmental, Social, Company Governance
◆ With reference to the recommendations of the Task Force on Climate-related Financial Disclosures Climate Change Response
Board Members of the Company's Board ● Risk Management
(TCFD) and the Second Part on Climate Change Response Topic in No. 4 Guidelines for Self Governance of Board of Directors
Listed Companies of the Shanghai Stock Exchange - Preparation of Sustainable Development Reports , we
Members of Directors ● Quality of Products and Services
● Industrial Development and Win-Win Cooperation
systematically analyze climate-related impacts, risks and opportunities.
◆ We anchor at the frontier of sustainable development and fully integrate the ESG philosophy into the
Policy Issuance
entire process of strategy formulation, operation management and business expansion. With systematic
● Talent Development and Retention Management Meetings
development as the core, we continuously improve the three-tier ESG governance structure of "decision-
● Employee Rights and Interests & Benefits and Employee Congress
making, management and execution", and are committed to building an ESG governance system featuring
both commercial value and social responsibility. Employees Company Employees ● Occupational Health and Safety Internal Online
● Labor and Human Rights Communication Platforms
◆ We adhere to the five principles of comprehensiveness, materiality, checks and balances, adaptability ESG Management
● Diversity and Equality Employee Activities
and cost-effectiveness. Based on the five elements of internal environment, risk assessment, control Internal Control and Risk
activities, information and communication, and internal supervision, we establish and implement an Management Employee Training
effective internal control system to reasonably ensure the legality and compliance of operations, asset Compliance with Business Investors and investment ● Environmental, Social, Company Governance
safety, authenticity and integrity of financial reports and relevant information, improves operational Ethics Shareholders Shareholders' Meeting
institutions investing in the ● Risk Management
efficiency and effectiveness, and facilitates the achievement of the enterprise's development strategies. and Investors Information Disclosure
Company ● Technology and Innovation
◆ We have formulated policies such as the Business Ethics Management Policy , covering anti-corruption,
anti-bribery, anti-unfair competition, anti-monopoly, anti-commercial fraud and anti-money laundering. Institutional Inspections
We require all employees to strictly abide by these rules to consciously maintain the Company's reputation Government National ministries, local
● Emission Management Official Document
and image and set a benchmark for the healthy development of the industry. and governments, CSRC, market
● Business Ethics and Anti-Corruption Exchange
◆ We have established regular communication platforms and diversified channels to fully listen to the Regulatory regulation, emergency
● Community and Public Welfare Policy Implementation
voices of stakeholders, respond to their concerns in a timely manner, and achieve value co-creation and Authorities management, etc.
Information Disclosure
shared development.
◆ We deeply integrate the sustainable development concept into the entire supply chain management Supplier Evaluation
ESG ManagementSustainable Suppliers of raw materials and
process, and establish and improve a sustainable supply chain management system in line with Suppliers ● Environmental, Social, Company Governance Management Supplier Communication
international standards to effectively prevent supply chain risks. Supply Chain equipment
and Training
◆ We actively participate in industry exchanges, maintain close communication with industry regulators, Driving Industry Development
service institutions, associations and learned societies, conduct in-depth exchanges on new synthetic Organizations providing ● Safety Personnel Training
Contractors
processes, analytical technologies, and pharmaceutical standard optimization, share experience in engineering and labor services ● Labor and Human Rights Communication Meetings
preparing for international quality standard certification, and strive to promote product standardization,
● Intellectual Property Protection
compliant production and international quality across the industry.
Customer Research
● Commercial Information Security
Pharmaceutical enterprises, start- Technical Seminars
● Product and Service Quality
Customers ups, research institutions, Customer Service Hotline
Case Yangzhou Aurisco Awarded Gold in EcoVadis Sustainability Rating ● Business Ethics and Anti-Corruption
entrepreneurs, etc. Customer Satisfaction
● Responsible Marketing
Survey
● Environmental, Social, Company Governance Management
Following Aurisco's first Gold in the 2024 EcoVadis Sustainability Rating, Yangzhou Aurisco was also
awarded Gold in EcoVadis Sustainability Rating in September 2025.
Exchanges and Visits
Yangzhou Aurisco achieved a score of 80 in this EcoVadis Sustainability Rating, ranking among the
Partners Industry Associations ● Industrial Development and Win-Win Cooperation
Industry Forums
top 3% of rated enterprises and reaching an industry-leading level. This rating affirms the
achievements of Yangzhou Aurisco in the areas of environment, labor and human rights, business Volunteer Services
ethics, and sustainable procurement. It also reflects that Aurisco has integrated the sustainable Surrounding community Community Activities
Community ● Community and Public Welfare
development concept into its development strategy and throughout its entire operation and residents, NGOs, social Interviews and Exchanges
and Public ● Safety
management process. organizations, media, etc. Mass Media and Social
Media
Material Topics Management
Pollution and Waste Treatment Climate Change Response
Environmental Compliance Management Energy Management
Identification and assessment of material topics is the cornerstone of ESG management and information disclosure. Aurisco refers Water Resource Management Sustainable Supply Chain
Protection of Employees' Rights and Interests Occupational Health and Safety
to domestic and international ESG standards including the No. 14 Guidelines for Self Governance of Listed Companies of the
Employee Development R&D and Innovation
Shanghai Stock Exchange - Sustainable Development Reports (Trial) and GRI?3: Material Topics , and conducts a dual materiality
analysis of material topics from the perspectives of impact materiality and financial materiality. Material topics are highlighted and
Customer Services Quality Management
addressed in this Report.
Corporate Governance
Impact Materiality
Compliance with Business Ethics
Compliance and Risk Management
Dual Materiality Analysis
Green Operation
Employee Care Investor Relations Management
Public Welfare
Financial Materiality
Information Security
Empowering Rural Revitalization
Whether the topics are expected to have a significant impact on the Company's business model, business operations, development
Healthcare Accessibility
strategy, financial position, operating results, cash flow, financing methods and costs in the short, medium and long term.
Leading Industry Development
Tech Ethics
Impact Materiality
Financial Materiality
Whether the Company's performance on the relevant topics has an actual or potential significant impact on economy, society and
environment. Environmental Topics Social Topics Governance Topics
Matrix of Material Topics
Flow Sheet of Topic Materiality Analysis
◆ Primarily meet the information needs of affected
business relations of the Company stakeholders, and provide sustainability-related
◆ Examine the Company's activities, products, services, etc. 1.Assess the impact materiality
Understand the information that helps assess the externalities of the
context of the ◆ Analyze legal and regulatory policies related to the
Company's operations.
Step 1
Company's Company; ◆ Primarily meets the information needs of key users of
activities and environment
◆ Analyze unclassified documents. Assess and confirm general-purpose financial reports. The financial materiality
Step 3
business
the materiality of assessment is first to identify the risks and opportunities
relationships
stakeholders ◆ Analyze existing stakeholder engagement approaches. operations, financial condition, operating results, cash
flows, etc., and then assess whether there are significant
financial impacts.
topics based on relevant standards based on industry characteristics, development stages, 3.Integrate the results of impact ◆ Summarize the results after evaluating the impact, risks,
and guideline business models, and value chains. and financial materiality and opportunities of each topic.
Step 2
Prepare a list of
◆ Identify material topics and improve the topics list
topics 2.Identify the impacts, risks, and methodology and conclusions of
through internal processes such as due diligence and risk ◆ After completing the materiality assessment process,
opportunities related to the agenda, the double materiality analysis of
management, as well as organizing relevant regulatory Step 4 Report the topics disclose the analysis process and results of topic
summarize them, and make a list of topics
policies, rules, industry standards and development trends, materiality.
topics
and peer analysis.
Compliance as Foundation,
Steadfastness for Long-Term
Success
Table of Contents
◆ Consolidating Corporate Governance
◆ Investor Relations Management
◆ Internal Control and Risk Management
◆ Compliance with Business Ethics
SDGs
Consolidating Corporate Governance Shareholders' (General) Meeting
Convened 2 shareholders' (general)
meetings and reviewed and
As the Company's highest authority body, it reviews and approves major corporate
Governance System
●
decisions. approved 10 proposals.
Aurisco adheres to the philosophy of scientific governance and strictly complies with the Company Law of the People's Republic of
China, the Securities Law of the People's Republic of China, relevant regulations of the China Securities Regulatory Commission and the
Shanghai Stock Exchange, as well as the provisions of the Company's Articles of Association. The Company has established and
Board of Directors
improved a governance structure consisting of the shareholders' meeting, the board of directors and senior management, forming a
governance mechanism with clearly defined rights and responsibilities, separate duties, mutual coordination and effective checks and Convened 6 meetings and
● Responsible for the shareholders' (general) meeting, it implements the resolutions of the
balances. It gives full play to the role of all governance bodies in major decision-making, operation and management and supervision,
so as to promote the compliant, steady, efficient and sustainable development of the Company.
shareholders' (general) meeting. It has four special committees under it: the Strategy
reviewed and approved 39
Committee, Audit Committee, Compensation and Assessment Committee, and Nomination
Committee, which provide consultation and recommendations for the Board's decision- proposals.
making.
Shareholders' Meeting
Strategy Committee
Strategy Committee
● Conducts research and provides recommendations on the Company's long-term Convened 2 meetings.
Compensation and Assessment development plans, business objectives, development guidelines, and business strategies.
Board of Directors
Committee
Nomination Committee Board Secretary
Compensation and Assessment Committee
Audit Committee General Manager
● Formulates and reviews compensation policies and plans for directors and senior Convened 2 meetings.
management, including compensation decision mechanisms, decision-making processes,
payment and suspension/pursuit arrangements.
Audit Department Securities and Legal Affairs Department
Audit Committee
● Exercises the functions and powers of the board of supervisors as stipulated in the
Company Law of the People's Republic of China . It is responsible for reviewing the
Convened 4 meetings.
Company's financial information and its disclosure, supervising and assessing internal and
external audit work, and internal control.
Nomination Committee
● Develops selection criteria and procedures for directors and senior management, and selects and reviews candidates for directors and
senior management as well as their qualifications.
Governance Structure
Senior Management
● Responsible for the execution of specific affairs, and the management of production, operation, and daily operations.
Board Development Investor Relations Management
The Board of Directors of the Company consists of 9 directors, including 3 independent directors and 1 employee representative
director. There are 1 Chairman and 1 Vice Chairman of the Board, who are elected by the Board of Directors by a majority vote of all Compliance Information Disclosure
directors.
Board diversity brings extensive perspectives and in-depth insights to the Company. In nominating and appointing directors, the Standardized information disclosure is the cornerstone for a listed company to gain a firm foothold in the capital market. In strict
Company closely aligns with its governance needs and fully considers factors such as gender, age, cultural background and professional accordance with laws and regulations as well as the content and format requirements for information disclosure stipulated in the
expertise of candidates, so as to continuously enhance the scientificity and comprehensiveness of the Board's decision-making. The Articles of Association , Aurisco discloses information in a truthful, accurate, complete, timely, clear, concise and easy-to-understand
Company's directors feature a wellstructured professional composition, with backgrounds in pharmaceutical chemistry, investment manner, fully embodying the principle of openness, fairness and impartiality to all shareholders and disclosing information publicly to all
management, R&D and innovation, finance and accounting, as well as abundant knowledge, skills and experience required to perform investors. The Company has established a full-process controlled information disclosure management system to level-by-level
their duties. They are able to provide scientific and forwardlooking opinions for the Company's strategic decisions and lay a solid consolidate responsibilities, effectively prevent illegal and non-compliant risks in information disclosure, and provide effective references
foundation for addressing complex challenges and achieving sustainable development. for investors in their decision-making.
The independent directors of the Company perform their duties independently in accordance with the Work Rules for Independent The Company received the highest grade of Grade A in the Evaluation Results of Information Disclosure Work of Shanghai Stock
Directors , free from influence by the Company, its major shareholders, actual controllers and other entities or individuals. They play the Exchange Listed Companies (2024–2025) issued by the Shanghai Stock Exchange. This reflects the Company's outstanding performance
roles of decision participation, supervision and checks and balances, and professional consultation on the Board, so as to safeguard the in corporate governance, information disclosure, investor relations management and other aspects, and also fully demonstrates the
overall interests of the Company and protect the legitimate rights and interests of minority shareholders. In 2025, the independent Company's modern governance capacity and high-quality development level.
directors of the Company were diligent and responsible, and faithfully performed their duties. With extensive professional knowledge
and experience, they actively attended meetings of the Board of Directors, its specialized committees and the Shareholders' (General)
Meeting. They fulfilled their duties in the daily work and decisionmaking of the Board, issued independent and objective opinions on
major matters reviewed by the Board, supported the scientific decisionmaking of the Board, promoted the standardized operation of 2025 Key Performance Indicators
the Company, and effectively protected the rights and interests of all shareholders from infringement.
Number of periodic reports issued: 4 Number of interim announcements issued: 90
Board Composition
Name Position Gender Professional Background Term of Office
Investor Communication
Chairman
Peng Zhien Legal Representative Male Chemistry Strategy Committee The Company is committed to establishing smooth investor communication channels and effectively protecting the right to information
Non-independent Director of all shareholders. We have established a multi-level and multi-platform sound interaction mechanism with investors through
shareholders' (general) meetings, performance briefings, on-site research visits, SSE e-Interaction, hot-lines, investor relations email
Chu Dingjun
General Manager and other channels. We truthfully convey the Company's value, actively collect investors' opinions and suggestions, and ensure that
Male Chemical Technology Strategy Committee
Non-independent Director investors' voices are fully expressed and valued, truly practicing the principle of "investor-orientation".
Chu Yizhou
Vice Chairman Compensation and Assessment
Male Chinese
Non-independent Director Committee
Wang Guoping
Deputy General Manager
Male Chemistry Strategy Committee
Non-independent Director
Qiu Peijing
Chemical Engineering
Non-independent Director Female Nomination Committee
Economic Management
Li Jinliang
Organic Chemistry Strategy Committee
Employee Representative Director Male
Applied Chemistry Audit Committee
Su Weike
Organic Chemistry Nomination Committee
Independent Director Male
Chemical Engineering Audit Committee
Compensation and Assessment
Zhong Yongcheng Independent Director Male Accounting Committee
Audit Committee
Strategy Committee
Chen Yingchun
Organic Chemistry
Independent Director Male Compensation and Assessment
Medicinal Chemistry
Committee
Internal Control and Risk Management Risk Management
Internal Control Risk Management System
In accordance with the Basic Standards for Enterprise Internal Control and Guidelines for Enterprise Internal Control Application , Aurisco The Company integrates all requirements of risk management into its operation, management and business processes, and has
adheres to the five principles of comprehensiveness, materiality, checks and balances, adaptability and cost-effectiveness. Based on the established a risk management system covering risk assessment, risk response, monitoring and improvement to keep risks within an
five core elements of internal environment, risk assessment, control activities, information and communication, and internal supervision, acceptable range. The Company applies information technology to all risk management work and has built a risk management
the Company has formulated the Internal Control Management Manual and established and implemented an effective internal control information system covering the basic risk management processes and all links of the internal control system, which conducts
system. This system reasonably ensures the legality and compliance of operation and management, the safety of assets, the authenticity quantitative analysis and testing of various risks and issues alerts for major risks exceeding the risk warning threshold.
and integrity of financial reports and relevant information, improves operational efficiency and effectiveness, and facilitates the Meanwhile, the Company has established a three lines of defense for risk management: relevant functional departments and business
realization of the Company's development strategy. units as the first line of defense, functional departments responsible for risk management as the second line of defense, and the internal
To ensure the smooth progress of the internal control system and the full implementation of various internal control policies, the audit department and the Audit Committee under the Board of Directors as the third line of defense. The responsibilities of each line
Company has set up an Internal Control System Construction Team (the "Internal Control Team") as the leading department and daily are clearly defined to implement comprehensive risk management.
management body for internal control compliance. The Internal Control Team conducts overall planning of the Company's internal
control system in line with relevant requirements, supervises the overall progress of internal control mechanisms, and guarantees their
sound operation.
By the end of 2025, the Company had established 39 policy documents at the decision-making level and 164 policy documents at the
management level, covering organizational structure, development strategy, human resources, social responsibility, corporate culture, Risk Event CAPA1 Management
fund activities, procurement business, asset management, sales, R&D, engineering projects, guarantee business, business outsourcing,
financial reporting, comprehensive budgeting, contract management, internal information transmission, information systems, internal The Company has formulated the Risk Event CAPA Management Measures to further standardize risk management, clarify
control assessment and other fields. These have provided solid institutional support for the efficient and sound operation of the internal responsibilities related to risk events, and improve the quality of rectification tracking and the efficiency of risk event management. The
control system. responsible department analyzes risk events based on the Company's actual situation and gives priority to risk elimination strategies; if
risk elimination is excessively costly or practically unfeasible, risk reduction or risk sharing strategies may be adopted; if risk reduction
and risk sharing are excessively costly or practically unfeasible, risk avoidance strategies may be adopted. The Internal Control Team
tracks the rectification of risk events and supervises the responsible department to complete rectification in a timely manner. In addition,
based on the Risk Event Management Ledger , the Internal Control Team conducts regular reviews of rectification measures, focusing on
the effectiveness of CAPA implementation within one year after rectification and the distribution of such measures. It summarizes and
analyzes the root causes affecting the operation of the management system, providing accurate data support and decision-making
basis for optimizing the management system, improving risk prevention and control mechanisms, and enhancing internal control
efficiency.
CAPA refers to Corrective Action and Preventive Action. Corrective Action refers to measures taken to eliminate detected non-conformities or other
undesirable situations. Preventive Action refers to measures taken to eliminate the causes of potential non-conformities or other undesirable situations.
Risk Management Culture
The Company vigorously fosters a sound risk management culture, guides employees to establish a correct risk management
philosophy, and turns risk management awareness into common understanding and voluntary actions. In light of its business
characteristics, the Company sorts out core risk management concepts applicable to all employees and position-specific risk awareness
points, and carries out targeted risk management training to improve risk prediction and response capabilities. Meanwhile, the
management takes the lead in promoting risk management culture, strictly abides by risk management systems in daily work, fully
considers risk factors in decision-making, and conveys the philosophy that "every detail matters in risk management" through practical
actions.
Compliance with Business Ethics Case "Anti-Bribery Guidelines and Policies" Training Held by Yangzhou Lianao
Aurisco adheres to integrity in operation and strictly follows high-standard business ethics, committing to building a clean, fair and On August 14, 2025, Yangzhou Lianao conducted a training session on "Anti-Bribery Policies and Guidelines" training to ensure all staff
transparent business environment. The Company has formulated policies including the Business Ethics Management Policy understand the Company's anti-bribery guidelines, policies and key provisions. The training clarified legal red lines and behavioral
covering anti-corruption, anti-bribery, anti-unfair competition, anti-monopoly, anti-commercial fraud and anti-money laundering, boundaries, improved employees' ability to identify and prevent various bribery and interest conveyance risks, promoted the
and requires all employees to strictly abide by them to consciously safeguard the Company's good reputation and image and set a implementation of anti-bribery policies in all departments and business processes, and fostered a clean and upright corporate culture.
benchmark for the healthy development of the industry.
The Company has established sound procedures for the identification, assessment and control of business ethics risks, and
systematically sorts out business ethics risks in its operations. The Company adopts scientific method to determine the level of
existing and potential risks. Where necessary, brainstorming, interviews and surveys, on-site observation and process analysis
Fair Competition
are introduced for classification and identification. The Company formulates management policies and control measures, clarifies
A fair competitive environment is an important foundation for the efficient operation of the market mechanism. The Company strictly
division of responsibilities, implementation standards and supervision mechanisms, and forms a closed-loop management
abides by all applicable laws against unfair competition and anti-monopoly laws, and commits to winning the market through fair
system to effectively prevent and defuse business ethics risks.
competition. The Company firmly opposes unfair competition, including exaggerating the efficacy of pharmaceutical products,
concealing side effects, misleading consumers and medical personnel, and selling drugs at prices below cost with the intent to exclude
competitors.
Anti-Corruption and Anti-Bribery Adhering to the anti-monopoly philosophy, the Company prohibits abuse of a dominant market position (such as price manipulation
and market division), cracks down on false advertising, commercial bribery, theft of trade secrets and other practices, and refuses to
The Company has established a comprehensive anti-corruption and anti-bribery management system in accordance with the ISO 37001 enter into monopoly agreements with any entity or individual. It opposes other monopolistic practices that have or may have the effect
standard and maintains a "zero-tolerance" attitude toward corruption. In January 2025, the Company formulated and published the of eliminating or restricting competition.
Code of Business Conduct on its official website, explicitly opposing all forms of corruption and bribery. The Code applies to Aurisco, its
branches and subsidiaries, and all employees, and requires all stakeholders having business dealings with the Company (including
suppliers and other partners) to strictly comply. By the end of 2025, Aurisco, Yangzhou Lianao and Yangzhou Aurisco had maintained
valid ISO 37001 anti-bribery management system certification. In 2025, the Company had no incidents of unfair competition, monopolistic practices or related legal disputes.
Anti-Commercial Fraud and Anti-Money Laundering
The Company strictly prohibits and severely cracks down on all forms of commercial fraud, including but not limited to financial fraud,
product fraud and service fraud, so as to effectively safeguard market order and the business ecosystem. Meanwhile, the Company
strictly examines the background and identity of transaction counterparts, implements necessary payment and receipt control
measures, and requires all employees to comply with anti-money laundering regulations and refrain from involvement in any money
laundering activities.
Complaint and Reporting Mechanism
We provide open complaint and reporting
c h a n n e l s fo r e m p l oye e s , s u p p l i e r s ,
c u s t o m e r s a n d o t h e r s t a ke h o l d e r s ,
ISO 37001 Anti-Bribery Management System Certification Certificate encouraging them to report personnel and
practices in violation of the Code of Reporting Tel.: 0576-83177335
Business Conduct to the Audit Department. Complaint and
The Company accepts both signed and Reporting Channels
anonymous reports. Reporters should
Based on our sound anti-corruption and integrity system, we conduct a variety of Reporting Email: shenji@aurisco.com
provide a basic description of the incident,
anti-corruption and integrity training sessions. We provide detailed interpretations the names and address information of the
of the Company's business ethics policies, and combine typical industry cases and par tie s involved, as well as relevant
new forms of corruption to help employees fully understand the importance of anti- evidence or materials as much as possible.
corruption, master methods and skills to identify and address corruption risks,
continuously foster a culture of integrity, and strengthen employees' awareness of
integrity and self-discipline. In November 2025, we organized 5 business ethics The Company takes every report seriously, verifies and investigates reported matters, and strictly implements a reporter protection
training sessions covering all employees, promoting the integration of integrity mechanism. Discrimination or retaliation against reporters is prohibited. Reporters whose reports are verified and who help the
values into daily work processes. Company recover or avoid significant losses will be appropriately rewarded. Malicious reporting, false accusation, framing of others, or
disclosure of reporter information will be dealt with in accordance with regulations, and the Company reserves the right to refer such
cases to judicial authorities.
Business Ethics Training
Innovation Drives Growth,
Quality Upholds Craftsmanship
Innovation and quality are the powerful dual engine s for
pharmaceutical enterprises to achieve steady and long-term
development, as well as the solid foundation for practicing the ESG
concept and protecting public health. Relying on six engineering
and technological innovation platforms, Aurisco integrates an
innovation gene into the entire R&D process and strengthens the
technological foundation of its products. Guided by full life cycle
quality management, the Company has built an integrated, full-
chain quality control system. With robust technical strength and
stringent quality standards, Aurisco embodies the ultimate pursuit
of quality in every product, promotes the high-quality and
sustainable development of the pharmaceutical industry, and injects
inexhaustible impetus into safeguarding human health and well-
being.
Table of Contents
◆ Deepening Innovation-Driven Development
◆ Striving for the Premium Quality
◆ Upholding Scientific and Technological Ethics
◆ Safeguarding Information Security
SDGs
Deepening Innovation-Driven Development Organizational System
Supported by a sound and efficient governance structure, the Company has established a R&D organizational system featuring "six
Innovation Governance major platforms, five major centers, team collaboration, and external cooperation", and remains committed to the R&D of small-
molecule drugs, peptide drugs, and oligonucleotide drugs.
Governance Structure
With the mission of "creating a better world through providing our clients the highest quality pharmaceutical products", Aurisco has
established a full-chain technological innovation governance system covering strategic guidance, organizational guarantee, institutional
support, resource driving, and open collaboration, continuously enhancing its independent innovation capability.
The Company has set up a three-level technological innovation governance structure of "Board of Directors–Management–R&D
Center", which defines the responsibilities of each level and forms a governance closed loop featuring scientific decision-making,
effective execution, and robust supervision.
Strategic Decision-Making Level Board of Directors
◆ Review and approve the Company's technology innovation strategy and medium-to-long term R&D plans
◆ Approve the initiation and budget of major R&D projects Biofermentation
◆ Decide on major R&D-related investments and cooperation
Complex Synthesis with
Solid-phase Synthesis
Multi-chiral Centers
Overall Management Level General Manager and Senior Management Team
Six Major
◆ Formulate annual R&D plans and budgets
◆ Organize and implement annual R&D plans
Platforms
◆ Coordinate the allocation of R&D resources
◆ Supervise the progress and quality of R&D projects Crystal Research
Review R&D achievement transformation plans
Synthetic Biology
◆
and Micro-powder
Technology
Photochemical
Implementation & Operation Level R&D Center and Professional Project Teams
◆ Undertake the implementation of R&D projects
◆ Conduct technical research and innovation
◆ Apply for and protect intellectual property rights
◆ Facilitate the industrialization of R&D achievements
◆ Cultivate technical talents and build professional teams
Five Major Centers Yangzhou R&D Center
Shanghai R&D Center
◆ Process validation of small-molecule APIs
◆ Process development and commercial
◆Process development for oligonucleotide APIs, production of synthetic/recombinant peptides
development and validation of analytical methods,
preparation and standardization of working standards
◆ Fermentation process development and
and impurity standards commercial production
◆ AI-driven discovery of innovative oligonucleotide
drugs
Project Management
Tianjin R&D Center
The Company has formulated management regulations including the R&D Project Management System , which refines the whole life
cycle management and control process of projects, and clarifies management standards for key links such as project initiation,
implementation and progress, fund utilization, and achievement transformation, so as to ensure the efficient and orderly progress of
◆ Process development, development and validation of R&D projects. We have established a project change control mechanism to effectively respond to uncertainties including market
analytical methods for small-molecule APIs, preparation changes and technical bottlenecks. Phased evaluation is implemented during project implementation, with rigorous reviews conducted
and standardization of working standards and impurity at key nodes such as project initiation, pilot test and industrialization, so as to strike a balance between R&D compliance and efficiency.
standards
◆Process and analytical method development for modified
phosphoramidite monomers and delivery systems
Preparation and standardization of working standards
Team Development
◆
and impurity standards
The Company closely integrates talent development with corporate development. Adhering to the principle of independent cultivation
as the mainstay, supplemented by external introduction and joint cultivation, we have built a strong R&D team with solid technical
strength, rich practical experience and a rational age structure.
Hangzhou R&D Center
◆ New technology development By the end of 2025, the Company had a total of 303 R&D personnel with diverse academic backgrounds including
◆ Flow chemistry doctorate, master's degree and bachelor's degree, among whom 281 personnel held a bachelor's degree or above,
accounting for 92.74% of the total R&D staff. The team covers pharmaceutical R&D, new process R&D, scaled-up
◆ Synthetic biology technology development platform
production, analytical R&D, quality research and other fields, and is capable of providing comprehensive technical
support and innovative solutions for the R&D needs of different products.
The Company has formulated innovation incentive policies including the Measures for R&D Project Incentive Management and the
Patent Reward System, and continuously improved incentive mechanisms such as those for scientific and technological progress. These
Tiantai R&D Center initiatives motivate employees' enthusiasm, initiative and creativity in R&D innovation and the transformation of scientific and
technological achievements, promote the development of innovative teams and the cultivation of core talent echelons, and provide
strong human capital support for translating innovative achievements into driving forces for corporate development.
◆ Development and validation of small-molecule
processes and analytical methods
◆ Development and commercial production of solid
Hardware Facilities
formulations
◆ Process development and production of micro-powder, We have continuously increased investment in the construction of hardware facilities for various research centers. To date, the Company
spray drying, and hot-melt extrusion has been equipped with a wide range of advanced research, testing and inspection equipment, including AKTA oligonucleotide solid-
phase synthesis and purification systems, low-, medium- and high-pressure preparative chromatography, HPLC, UPLC-MS, UHPLC-
QTof, GC-MS, Malvern laser particle size analyzers, infrared spectrometers and other analytical instruments, providing strong support for
relevant R&D activities and the transformation of R&D achievements.
External Cooperation
The Company has established long-term cooperative relationships with universities and research institutes including Shanghai Jiao Relying on the construction of the six major platforms, the Company continuously promotes R&D and innovation. By improving and
Tong University, Zhejiang University, Zhejiang University of Technology, Shanghai Institute of Organic Chemistry, Chinese Academy of optimizing the production processes of existing core products and upgrading existing equipment and facilities, we further enhance EHS
Sciences, Shanghai Institute of Pharmaceutical Industry Co., Ltd., East China University of Science and Technology, and East China performance, improve production efficiency, strengthen product quality stability, and maintain the sustainable market competitiveness
Normal University. Based on the development and industrialization of APIs, formulations and innovative drugs with high technological of the Company's products.
content, advanced processes and low three-waste pollution, the Company promotes the in-depth integration of scientific and
technological innovation and industrial development.
The Birth of AOXINTONG, Glory of Chinese Medicine——The Innovation Journey of
Case
AOXINTONG
Aurisco and East China Normal University Signed Cooperation Agreement to Co-build "AI-
Case
Powered Small Nucleic Acid Drug Discovery Joint Laboratory"
In June 2023, Aurisco Pharmaceutical's "Dydrogesterone Tablets" AOXINTONG received marketing approval from the NMPA. It became
the first generic dydrogesterone tablet launched in China and also Aurisco's first approved finished pharmaceutical product.
On March 11, 2025, Aurisco and East China Normal University signed an agreement to jointly establish the "AI-Powered Small Nucleic
Since its launch in 1961, dydrogesterone has been hailed as the "Monut Everest" of hormonal drugs due to its extremely high R&D and
Acid Drug Discovery Joint Laboratory". Aiming at metabolic diseases, the laboratory will fully leverage the advantages of artificial
manufacturing difficulty and massive investment requirements. For over 60 years, no generic drugs had been developed globally,
intelligence technologies to accelerate the discovery process of small nucleic acid drugs and strive to build an innovation highland for
leaving the market long monopolized by foreign manufacturers and Chinese patients entirely dependent on imports.
small nucleic acid drug research.
Innovation Strategy
Aurisco has always adhered to the core philosophy of "innovation-driven development". Based on innovation risk identification and
assessment, innovation opportunity exploration and review, and continuous improvement of the innovation management system, the Guided by the strategy of "combination of generic and innovative drugs, focus on core businesses, and technology leadership", Aurisco
Company takes "innovation-oriented, health-serving" as the cornerstone of its "APIs and formulation integration" development strategy, conducted in-depth discussions with industry experts multiple times in 2015. Following a comprehensive assessment of the Company's
and has established an innovation strategy oriented toward "combination of generic and innovative drugs, focus on core businesses, innovation resources and production capabilities, the decision was made to initiate the R&D project.
and technology leadership": Dydrogesterone is a polycyclic steroid compound with an extremely complex synthetic process, involving fermentation, synthesis, and 2
consecutive photochemical reaction steps. Its key technical processes span not only organic chemistry but also interdisciplinary fields
including physical chemistry, analytical chemistry, pharmaceutics, optics, and engineering equipment. Additionally, industrialization faced
Combination of Generic and Innovative Drugs numerous challenges such as complex process steps, high impurity levels, difficult purification, and high production costs.
We adhere to the integration of generic and innovative drug development. On the one hand, relying on six major engineering With unwavering determination and perseverance, the Aurisco team bravely confronted countless seemingly insurmountable setbacks
and technological innovation platforms, including biofermentation, complex synthesis of multi-chiral centers, synthetic biology, and challenges. Through repeated technical breakthroughs, continuous exploration, and process optimization, the Company
photochemistry, crystal research and mic-powder technology, and solid-phase synthesis, we efficiently and rapidly explore new successfully resolved the bottlenecks in synthetic technology and industrial scale-up. In 2020, Aurisco’ s dydrogesterone API was
product opportunities, enrich the product portfolio, and achieve a diversified product layout. On the other hand, we conduct successfully developed and launched in the market, and simultaneously obtained the European CEP certificate, making Aurisco the
R&D of innovative drugs, gradually shifting from generic drugs to a combination of generic and innovative drugs, laying a solid only dydrogesterone API manufacturer worldwide outside the original drug manufacturer.
technological foundation for the Company’ s high-quality and sustainable development.
While advancing breakthroughs in dydrogesterone API development, Aurisco initiated the development of dydrogesterone tablets in
Focus on Core Businesses at critical stages to ensure multi-layered quality assurance. Through comprehensive, multi-angle analysis of the reference listed drug
We have long focused on the R&D, production and sales of characteristic APIs, pharmaceutical intermediates and formulations, and meticulous refinement of formulation and manufacturing processes, the team overcame hurdles at every stage from laboratory-
covering cardiovascular diseases, female health and other therapeutic areas. While consolidating our market advantages in scale trials to pilot production and finally to industrial manufacturing, culminating in "the birth of AOXINTONG". Testing across multiple
characteristic APIs, we accelerate expansion into oligonucleotide drugs, peptide drugs and formulations to foster new growth batches confirmed that AOXINTONG exhibits even lower impurity levels than the original drug. Bioequivalence studies verified that the
drivers. pharmacokinetic data and safety profiles under fasting and postprandial conditions are consistent with the reference listed drug,
providing assurance for the safe and effective clinical use of the product.
AOXINTONG originated from the collision of ideas and collaborative efforts between scientists and entrepreneurs. It is a vivid
Technology Leadership
testament to the solid implementation of Aurisco's innovation strategy and the crystallization of the Aurisco team's sense of
Driven by breakthroughs in core technologies, we continue to strengthen research on cutting-edge technologies such as responsibility and collective striving. Looking ahead, under the guidance of "innovation-driven development", Aurisco will continue to
oligonucleotide synthesis, enzyme catalysis and continuous-flow processes. We promote the upgrading of the R&D model break new ground and forge ahead in safeguarding female health.
toward data-driven, AI-enabled and closed-loop iterative development, and build end-to-end technological capabilities
covering molecular design, process development, quality research and clinical translation.
Innovation Achievements Striving for the Premium Quality
Relying on a scientific innovation governance system and guided by a clear innovation strategy, Aurisco has continuously increased
In advancing the strategy of APIs and formulation integration, Aurisco places quality management at the core of its corporate
investment in science and technology, strengthened the development of R&D teams and facilities, and cultivated and enhanced its
development strategy. The Company always takes customer needs and expectations as the central focus, and leverages its
independent innovation capabilities. In 2025, the Company achieved fruitful outcomes in pharmaceutical R&D, technological
technological advantages to continuously optimize and improve production processes. Meanwhile, it has established and improved
breakthroughs, platform development, intellectual property protection and other fields, injecting strong impetus into the high-quality
a rigorous and standardized quality assurance system to steadily enhance product quality, and provide high-level quality products
development of the Company:
to global customers and partners in a compliant and efficient manner.
● The annual R&D investment reached 154 million yuan, accounting for 9.04% of operating revenue. Building a Solid Quality Foundation through Compliance
● During the reporting period, the Company and its subsidiaries filed 26 new invention patent applications domestically, 3
Aurisco deeply integrates sustainable development and compliance into its quality strategy. Guided by the principle of "Precision
new PCT international invention patent applications, and 12 new national-phase invention patent applications in foreign
Manufacturing, High Quality and Efficiency, Sincere Service, and Continuous Innovation", the Company has established and improved a
countries, with 18 domestic invention patents newly granted. By the end of the reporting period, the Company and its
quality management system aligned with international standards.
subsidiaries had been awarded a total of 74 valid invention patents in China and 4 invention patents in foreign countries.
The Company strictly adheres to Chinese GMP as well as EU and US cGMP pharmaceutical manufacturing regulations and concepts,
● Key progress was made in the peptide drug sector, a key focus of the Company's layout. The semaglutide APIs production
ensuring that quality management and production comply with the regulatory standards of major international pharmaceutical
line with an annual capacity of 300 kg has passed completion acceptance and been officially put into production, marking
authorities including China NMPA, US FDA, and EU EMA. The multi-dimensional, global compliance layout is not a static achievement;
an important step forward for the Company in the application of synthetic biology and the industrialization of peptide APIs.
instead, it is continuously consolidated through regular official inspections at home and abroad, as well as quality audits by
international leading formulation manufacturers, building core access advantages for products to enter the global market.
Case Approval of "AOSHUTONG", Adds Another Reliable Guarantee for Female Health Case Aurisco Successfully Passed USFDA Inspection
On November 18, 2025, "Complex Packaging Estradiol Tablets/Estradiol and Dydrogesterone Tablets" (AOSHUTONG) developed by In June 2025, Aurisco successfully passed the cGMP inspection conducted by the US Food and Drug Administration. The Company
Aurisco was approved by the National Medical Products Administration. Following the approval of AOXINTONG Dydrogesterone Tablets, underwent an on-site cGMP inspection by the USFDA in March 2025, covering a routine GMP audit of its quality system. The Company
this is the second approved formulation product of Aurisco in the field of female health, and also the first generic version of Complex has received the notification letter and the Establishment Inspection Report from the USFDA with a No Action Indicated (NAI)
Packaging Estradiol Tablets/Estradiol and Dydrogesterone Tablets in China, marking that China has broken the monopoly of foreign drugs classification, confirming that Aurisco’ s quality management system fully complies with USFDA cGMP standards.
in the field of menopausal hormone therapy. Verified by in-depth studies of multiple batches, AOSHUTONG is consistent with the
reference listed drug in quality, providing a strong guarantee for the safety and effectiveness of clinical medication.
Meanwhile, in strict accordance with applicable domestic and international regulatory requirements for
Case Invention Patent Won the 25th China Patent Excellence Award pharmaceuticals and chemicals, the Company applies for compliance registration, certification, approval, export
certificates and other documents for APIs and finished pharmaceutical products respectively in applicable
jurisdictions, so as to ensure the legal and compliant market access of its products worldwide. As of December 31,
In June 2025, the China National Intellectual Property Administration announced
the 25th China Patent Awards. Aurisco was awarded the China Patent Excellence
applications for 7 formulations. Of these, 11 APIs and 2 formulations passed domestic GMP compliance inspections;
Award with the invention patent "Preparation Method of Eplerenone" (Patent No.:
ZL200910049351.0). This award represents high recognition of Aurisco's
certificates; and 3 API products passed European official (BGV) inspections. Furthermore, 37 APIs and intermediates
technological innovation capability and patent value, highlights the Company's
were submitted for U.S. DMF registration, with 13 products having completed evaluation; 7 APIs were submitted for
leading position in the field of eplerenone APIs, and provides strong support for
registration in Brazil, of which 1 API passed evaluation; 3 products obtained registration in Taiwan, China; 2 products
enhancing brand influence, market competitiveness and further advancing the
obtained registration in India; 1 product passed evaluation in the Republic of Korea; and 1 formulation was
globalization strategy.
registered in Singapore, Indonesia and Saudi Arabia. The Company continues to expand the regulatory registration
coverage of its mainstream products, building a global compliance access matrix covering major pharmaceutical
markets around the world.
Driving Quality Improvement with Standards Strengthening the Safety Bottom Line with Risk Control
Aurisco has established a full-cycle management and control mechanism of "Demand Orientation–Standard Implementation–Inspection Aurisco has established a dynamic risk control system featuring "Identification–Assessment–Control–Monitoring" that covers the entire
and Release": Production plans are based on customer demand and market forecasts, clarifying quality standards and objectives from chain of R&D, procurement, production and delivery: in R&D, forward-looking risk analysis is conducted to define product quality
the source; Incoming materials are subject to strict batch-by-batch inspection to ensure raw materials meet internal control standards standards against advanced benchmarks; in procurement, a strict supplier screening system is implemented to ensure the quality of raw
before production; During production, multiple standards including process procedures, post SOP and equipment operation and auxiliary materials; in production, routine self-inspections are carried out to avoid compliance risks; and in after-sales, market
specifications are strictly implemented to ensure stable and controlled processes; Before delivery, finished products undergo a full set information tracking enables timely response to quality feedback. By strengthening the dual-track mindset of "proactively meeting
of quality inspections and risk assessments to ensure each batch complies with registration standards and customer-specific demand and reversely preventing risks" and establishing a forward-leaning quality risk management mechanism, the Company has
requirements. This closed-loop management not only ensures batch-to-batch consistency but also drives a step-change improvement upgraded quality activities from passive response to active prevention, driving continuous improvement of the quality management
in product quality through data-driven continuous enhancement. system.
We have strengthened employees' quality awareness, cultivated standardized operating habits and improved quality assurance From APIs to formulations, from the domestic market to global layout, Aurisco has built a solid, traceable and verifiable quality
capabilities by conducting regular, systematic and Company-wide thematic training on product knowledge, quality standards, process management system through sustained compliance certification, full-process standard implementation and forward-leaning risk
procedures and equipment operation. Supported by such platforms as quality culture walls, benchmark team evaluations and Quality control. Every tablet and every batch of raw material delivered to global customers carries Aurisco's awe and commitment to the dignity
Month activities, the concept that "Standards are the lifeline" has been deeply integrated into employees' daily operations. This ensures of life.
every procedure serves as a solid fulfillment of our quality commitment, making "zero defects" not merely a goal, but a measurable,
traceable and verifiable daily practice.
Aurisco's Quality Management Experts Assist Tiantai Team Won First Prize at 2025 Taizhou
Case
Pharmaceutical Industry Production & Quality Management Vocational Skills Competition
Chapter Topic: Product Recall
On September 11, 2025, the Taizhou Pharmaceutical Industry Production and
Quality Management Vocational Skills Competition concluded successfully. Aurisco has formulated the Product Recall Management Procedure , which clarifies the responsibilities and
Centered on the theme of "Strengthening Corporate Primary Responsibility", the collaboration mechanisms of all departments to ensure timely and effective recall of products from the market
competition conducted comprehensive assessments focusing on pharmaceutical when quality defects or potential safety hazards are identified, thereby safeguarding customer use and
laws and regulations, good manufacturing practices and other key areas, patient medication safety. For actual product recall incidents, the Company prepares a Product Recall Report
consisting of theoretical knowledge contests and practical skills competitions. It documenting the cause, notification issuance, handling process and results of the recall, while proposing
tested not only professional knowledge but also practical operational capabilities. rectification objectives and plans as well as corresponding preventive measures to avoid recurrence of similar
incidents. During the reporting period, there were no product recall incidents.
In the competition, employees of the Company demonstrated solid professional
expertise, rigorous quality awareness and excellent competitive performance, The Company regularly conducts simulated recall drills to verify the feasibility and effectiveness of product
helping the Tiantai Team won the Group First Prize, which fully reflects the recall management measures and procedures. From late August to early September 2025, Yangzhou Aurisco
Company's professional competence and talent strength in the field of carried out a full-process simulated drill based on the scenario of "Exceeded related substances detected in a
pharmaceutical production and quality management. batch of Bempedoic Acid during retention sample reinspection". The drill covered all key steps in detail of
defect detection and reporting, defect and recall assessment, recall confirmation, recall notification issuance,
inventory sealing, recovery of distributed products, disposal of defective products, customer comfort and
compensation, and corrective and preventive
actions. With strong customer support and efficient
Yangzhou Lianao Won Group Second Prize at Yangzhou Pharmaceutical Manufacturing cross-departmental collaboration, the drill fully
Case
Enterprise Employees GMP Knowledge & Skills Competition validated the effectiveness and implementability of
the product recall process. Following the simulation,
Yangzhou Aurisco compiled the 2025 Simulated
On November 2, 2025, the final of the Yangzhou Pharmaceutical Manufacturing
Recall Report , which recorded and summarized the
Enterprise Employees GMP Knowledge and Skills Competition was successfully
drill in detail, providing high-quality reference and
held. The competition was hosted by the Yangzhou Federation of Trade Unions
guidance for the Company and all its operating
and co-organized by the Yangzhou Inspection Branch of Jiangsu Medical
entities.
Products Administration, Yangzhou Market Supervision Administration, Yangzhou
Pharmaceutical Association and other institutions.
More than 1,000 employees from over 20 pharmaceutical manufacturing
enterprises in Yangzhou participated in the event. After five months of intense
training, examinations, selections and competitions, Yangzhou Lianao won the
Group Second Prize, which fully demonstrates the Company's solid foundation in
implementing GMP standards, developing a strong quality culture and strong
team cohesion.
Upholding Scientific and Technological Ethics Safeguarding Information Security
Aurisco has always integrated scientific and technological ethics into the entire process of pharmaceutical R&D, clinical trials,
production and manufacturing. The Company strictly complies with policies and regulations including the Opinions on Consolidating the Governance Foundation
Strengthening the Governance of Scientific and Technological Ethics and the Measures for the Review of Scientific and
Technological Ethics (Trial), and has established a systematic scientific and technological ethics management system to build a
Aurisco takes compliance management and control and risk prevention as its core priorities and strictly abides by laws and regulations
solid ethical foundation for the Company's high-quality innovative development.
including the Data Security Law of the People's Republic of China and the Personal Information Protection Law of the People's Republic
The Company has set up a Scientific and Technological Ethics Committee, composed of senior executives, R&D directors, medical of China. Guided by the principle of "Safety first, prevention-oriented, law-abiding; full participation, comprehensive risk governance,
experts, legal experts and external ethical consultants. The Committee is responsible for overall system approval, decision-making on continuous improvement", the Company continuously enhances its information security governance system in accordance with ISO
major ethical issues, ethical review and supervision. R&D, human resources, audit and other departments jointly carry out ethical risk 27001. It has formulated information security management systems covering the full life cycle covering information asset identification,
identification and assessment, scientific and technological ethics training, ethical compliance audits and rectification, forming a full- information security risk assessment, information security incident response, and information security audit. A three-in-one information
chain and full-scenario ethical risk prevention and control network. security protection system of "systems + technology + personnel" has been established.During the reporting period, the Company,
Adhering to the principles of advancing human well-being, respecting life and rights, upholding fairness and justice, reasonably together with Yangzhou Aurisco and Yangzhou Lianao, successfully passed the ISO/IEC 27001 Information Security Management
controlling risks, and maintaining openness and transparency, the Company has formulated a series of scientific and technological System annual surveillance audit. No information security incidents or customer privacy breaches occurred throughout the year.
ethics systems, including the Measures for the Ethical Review of Clinical Trials, Measures for the Identification and Management of
Conflicts of Interest, and Regulations on the Management of Scientific and Technological Information Security. These documents
clarify ethical review standards, conflicts of interest avoidance mechanisms and data security requirements, ensuring the authenticity
of R&D data, full protection of the rights and interests of clinical subjects, and clear and controllable boundaries for technology
application.
The Company conducts ethical compliance qualification reviews of suppliers, medical institutions and other partners, specifies ethical
compliance requirements in cooperation agreements, and strengthens supervision over the cooperation process to prevent acts and
incidents violating scientific and technological ethics. A reporting and complaint mechanism for violations of scientific and
technological ethics has been established, with public reporting telephone, email addresses and other channels, clear processing
procedures and time limits, and strict confidentiality of whistleblower information. The Company encourages employees and the
public to supervise violations, forming a joint internal and external supervision force.In 2025, the Company received no reports or
complaints related to violations of scientific and technological ethics, and no major violations of scientific and technological ethics
occurred.
Case Yangzhou Aurisco Steadily Advances Scientific and Technological Ethics Management
Yangzhou Aurisco has firmly implemented national policies and regulations on scientific and technological ethics as well as the
Company's relevant systems, and comprehensively promoted scientific and technological ethics management:
IS0/IEC 27001 Information Security Management System Certification Certificate
Strengthening the Institutional Foundation
In 2025, Yangzhou Aurisco further revised and improved 4 systems, including the Measures for the Ethical Review of Clinical Trials
and Regulations on the Management of Scientific and Technological Information Security, and newly formulated the Detailed Rules We regard information security training as a key part of employee capability development and have established a systematic and full-
for the Management of R&D Data Integrity . These efforts enhanced the scientificity and operability of the systems, ensuring that the coverage training system. Starting from policy and regulation publicity, applied technology instruction, practical drills, and typical case
scientific and technological ethics management system is more aligned with actual operations. warnings, we have comprehensively improved employees' information security awareness and operational capabilities. Through the
closed-loop training model of "policy guidance + scenario-based teaching + assessment implementation", we have built the first line of
Enhancing Ethical Awareness
defense for information security.
Scientific and technological ethics training has been integrated into the annual employee training plan, with a tiered and categorized
system established for R&D personnel, clinical trial staff, managers and all employees. In 2025, a total of 4 scientific and technological
ethicsrelated training sessions were held, achieving 100% employee coverage and improving ethical awareness of all employees.
Meanwhile, the Company strengthened the development of an ethical culture through internal bulletin boards, the corporate
intranet, case-sharing meetings and other channels, fostering a sound atmosphere where "everyone practices ethics, everything
abides by ethics.".
Strengthening Risk Prevention and Control
In 2025, 4 scientific and technological ethics risk assessments were conducted, identifying and rectifying 5 potential risks. The
Company strengthened information security protection with no incidents involving the leakage of R&D data or trade secrets. It also
standardized partner management by conducting ethical compliance qualification reviews of 20 partners, ensuring commercial
cooperation meets ethical and compliance requirements.
Strict Ethical Review
In 2025, the Company carried out 12 R&D projects, including 5 clinical trial projects. The Scientific and Technological Ethics
Committee strictly performed its review responsibilities, completing 12 preliminary ethical reviews and 8 follow-up reviews. It timely
proposed rectification opinions on 3 detailed issues identified during the review (such as nonstandard expressions in informed
consent forms and insufficiently detailed risk prevention and control measures for subjects). All relevant projects proceeded only
after rectification, ensuring full ethical compliance of all scientific and technological projects. No incidents involving infringement of Information Security Training
subjects' rights or violation of ethical requirements in trial protocols occurred throughout the year.
Ensuring Risk Prevention and Control Enhancing Management Security
Aurisco has formulated internal regulations including the Information Security Risk Management Procedure , which clarifies the The Company continuously optimizes its information security management system. Based on actual operations and regulatory
responsibilities of the authorities and departments responsible for information security risk management, and sorts out and requirements, it dynamically updates various management systems and operating procedures, including computer room access, internal
standardizes the work standards and procedural requirements for information assets and their risk identification, risk assessment and and external network access, terminal equipment management, data classification and grading, storage media management, account
treatment. The Company has established an Information Security Risk Assessment Team to coordinate the implementation of and permission allocation, and data backup. It strengthens full-process and full-element management and control, and embeds
information security risk assessments. During the reporting period, the annual information security risk assessment was carried out as compliance review and risk assessment nodes.
planned, covering all business areas including R&D, production, sales and administration. A total of 765 information assets were In addition, we attach great importance to information security risks in the supply chain and implement full-cycle management of
identified, including 487 critical assets; 485 risks were identified, of which 35 were assessed as high-risk. Targeted management suppliers, including information security access assessment, contractual constraints, security audits, and performance appraisal, to
measures were formulated and implemented for all high-risk items, and after the measures took effect, the number of residual risks was ensure that third-party services comply with regulatory requirements and the Company's management standards throughout the
reduced to 0. In the same year, Yangzhou Aurisco and Yangzhou Lianao both conducted independent information security risk process. We have also established a supplier security incident joint response mechanism, clarifying collaborative handling processes
assessments and completed the rectification of high-risk items, effectively preventing potential information security threats. and responsibility boundaries to prevent external risks from spreading internally.
The Company has formulated internal regulations including the Information Security Incident Management Procedure , which clarifies
the classification and grading of information security incidents, reporting channels, response procedures and handling time limits, so as
to ensure the timeliness of incident response and professional handling. After proper handling of information security incidents, the
Company conducts timely root cause analysis and review, and continuously optimizes the incident response mechanism to promote the
closed-loop iterative upgrade of "Discovery–Response–Review–Prevention", effectively improving the overall risk prevention resilience.
The Company carries out regular emergency drills targeting the actual operating environment and high-frequency risk scenarios. By
simulating real scenarios, it improves employees' ability to respond to sudden information security incidents. During the reporting
period, the Company organized typical emergency drills including ransomware attacks, phishing email penetration and core system
downtime. Participants covered R&D, IT, production and functional departments, which tested the efficiency of collaborative handling
and rapid recovery capabilities for emergencies, and effectively improved the organization's overall information security resilience and
business continuity assurance level.
Strengthening the Technical Foundation
Aurisco has established and improved a full-link technical protection system covering computer room facilities, network equipment and
networks, terminals, systems and applications, as well as data transmission and storage, by increasing investment and improving
policies and systems. Through the deployment of next-generation firewalls, intrusion detection and prevention systems (IDS/IPS),
endpoint EDR security platforms, and a global data encryption mechanism, the Company has achieved intelligent interception at
network boundaries, real-time detection of abnormal behaviors, second-level response to terminal threats, precise vulnerability
remediation, and full-life-cycle encryption protection and dynamic desensitization of sensitive data. In this way, a comprehensive
technical barrier featuring defense-in-depth and active immunity has been built.
Case File Encryption
We have deployed a file encryption application on the
internal network to encrypt files of all types during their
generation, transmission and storage. Combined with
technical and management measures such as file access
control and physical isolation, we ensure the security of files
and related data. For decryption operations required by
business needs (e.g., file review necessary for external
certification and audits), decryption and access are only
permitted after submission of an application and approval
through strict authority and process control.
Value Chain Collaboration,
Industry Co-prosperity
The value chain serves as a key link connecting the industrial
ecosystem and all stakeholders. Aurisco has always integrated
the sustainable development concept into the entire layout of
the value chain.We take customer demand as our orientation,
deepen value connections with customers relying on our global
sales network and full-industry-chain technological advantages;
build a green and sustainable procurement system through
transparent procurement and supplier empowerment to
consolidate the foundation of industrial development; and
advance the integrated development strategy of APIs and
formulations to support innovation and upgrading of the
pharmaceutical industry, promoting inphase resonance and
collaborative progress across the sector. Striving to fulfill its
corporate mission—— "creating a better world through providing
our clients the highest quality pharmaceutical products", Aurisco
is committed to deepening value across the entire chain and
building a more resilient and dynamic pharmaceutical industrial
ecosystem.
Table of Contents
◆ Sincere Customer Service
◆ Sustainable Supply Chain
◆ Driving Industry Development
SDGs
Sincere Customer Service Sustainable Supply Chain
APIs and Intermediates Sustainable Supply Chain Management Structure
As an international enterprise focused on specialty APIs and intermediates, Aurisco operates in an industry characterized by "high
technical barriers, long registration cycles and strict quality requirements". The Company regards customer service as the cornerstone of Aurisco deeply integrates the sustainable development concept into the entire
its competitiveness, deeply engages in the global pharmaceutical market, and has gradually established a customer service management process of supply chain management, and has established a three-level
system "oriented by customer demand, supported by professional capabilities and aimed at longterm trust," laying a solid foundation for closed-loop governance system of "Top-level Design-Institutional Assurance-
sustainable business growth. To date, the Company has established a complete APIs sales system in Europe, the Americas and Asia, and Implementation", with clear division of responsibilities and collaboration
has built stable longterm cooperative relationships with many worldrenowned pharmaceutical enterprises. Meanwhile, the Company has mechanisms. The senior management team led by the General Manager is
vigorously expanded the domestic market and carried out multiproduct cooperation with leading domestic pharmaceutical companies. responsible for approving strategic objectives and major policies for
Aurisco's customers for APIs and intermediates are mainly APIs and formulation manufacturers. The Company's Marketing Center takes sustainable procurement. As the core department, the Logistic Department
unified responsibility for product sales. The marketing team conducts indepth market research and expands the market through global takes the lead in policy formulation, supplier risk assessment, ESG indicator
pharmaceutical exhibitions, customer visits, online channels, traders and referrals. monitoring and performance tracking. Production, Quality, Legal and other
departments refine implementation measures in accordance with their
While selling its own products, the Company also engages in the trading of APIs and pharmaceutical intermediates. In providing trading
functional divisions, forming a cross-departmental collaborative network.
services to customers, the Company leverages its industry expertise to quickly identify qualified suppliers and products that meet
Meanwhile, the Company has established and improved a sustainable supply
customer requirements, helping customers solve pain points in "onestop procurement". At the same time, relying on profound
chain management system in line with international standards to effectively
understanding of global pharmaceutical regulations, the Company supports domestic suppliers in improving their GMP systems and
prevent supply chain risks and enhance the resilience and transparency of the
assists them in completing APIs and intermediate registration procedures. This helps customers avoid hidden costs in supplier screening,
Company's supply chain. During the reporting period, Yangzhou Aurisco was
quality verification and compliance checks from the source, significantly improving procurement efficiency.
certified with ISO 28000: 2022 Security and Resilience-Security Management
The Company has set up a dedicated aftersales team to handle customer feedback and established "onetoone" service files to record key Systems-Requirements for its supply chain management system. ISO 28000 Certification Certifictae of
information such as cooperation history, demand preferences and compliance requirements. A 24hour response mechanism has been
Yangzhou Aurisco
established for technical support, quality inquiries, logistics coordination and other issues. For complex demands such as registration and
filing and process optimization, the Company coordinates R&D and compliance departments to form dedicated service teams and
provide customized solutions, enhancing service professionalism and timeliness. The Company regularly conducts customer satisfaction The Company has formulated and issued the Sustainable Procurement Policy , which clarifies full-process requirements including
surveys and optimizes service processes based on feedback, including anticipating raw material supply cycles and developing stocking supplier access, process management and control and compliance review, and establishes a dynamic management and optimization
plans in advance to meet the needs of formulation enterprises. mechanism for the supply chain. The procurement policy is continuously improved in line with updates to laws and regulations,
upgrades of industry standards and feedback from stakeholders, to ensure that procurement activities meet environmental, social and
governance (ESG) requirements.
As frontline implementers of the sustainable supply chain, procurement personnel are regarded as a key focus in sustainable supply
Formulation chain development. The Company regularly provides specialized training on ESG procurement guidelines, green supplier assessment,
due diligence procedures and other topics, and integrates sustainable performance into the performance appraisal system for
procurement personnel. This strengthens procurement staff's ability to practice ESG principles throughout supplier selection, contract
Aurisco has established a domestic finished formulation products marketing center, which is
negotiation and performance supervision. During the reporting period, a total of 4 ESG procurement training sessions were organized,
mainly responsible for marketing activities including brand promotion, customer service,
achieving 100% coverage rate among procurement personnel.
agreement signing, bidding and tendering, payment collection, sales flow tracking, receivables
control, after-sales service and sales network development for finished formulation products
in the domestic market. It also collects market information and sales data, defines product
positioning, and develops and implements academic promotion plans for products. The sales
of the Company's finished formulation products mainly adopt the distribution model: products
are sold to end customers such as hospitals at all levels, primary medical and health
institutions, and pharmacies through pharmaceutical circulation enterprises holding Drug
Distribution Licenses.
Facing an increasing number of approved competitive products and intensifying competition,
the Company has continuously increased investment to improve and optimize its national
distributor network and distribution system. By leveraging the quality advantages of products
such as AOXINTONG, and carrying out academic promotion and strengthening the expert
system, the Company has steadily promoted hospital access, especially in tertiary hospitals.
While expanding the marketing network for finished formulation products, the Company takes
sincerely serving patients as its ultimate goal and continuously deepens the patient-centered
service philosophy. Through surveys of product usage among distribution partners, hospitals
and clinical departments, and on the basis of strictly protecting patient privacy, the Company
understands patients' medication status and feedback on therapeutic effects to help
continuously optimize medication guidance programs. Meanwhile, the Company has launched
a patient medication consultation hotline and an official WeChat service account to provide
patients with health services including pharmaceutical knowledge popularization and safe
AOXINTONG WeChat Account (screenshot)
medication guidance, extending product value to disease prevention and health management.
Supplier Full Life Cycle Management System Environmental Sustainability Practices in the Supply Chain
Screening and Access Aurisco actively responds to the goals of "carbon peaking and carbon neutrality" and integrates climate action into supply chain
management. We explicitly require suppliers to abide by environmental protection laws and regulations, and establish a sound system
The Company has adopted the supplier access principle of "Compliance First, Dual-line Certification, Multi-dimensional Assessment". In for pollutant emission control, monitoring and reporting in accordance with regulatory standards, so as to ensure environmental
addition to requiring potential suppliers to provide basic qualifications such as business licenses and production licenses, the Company compliance and transparency. We encourage suppliers to formulate scientific carbon reduction pathways, prioritize clean energy and
clearly stipulates that key raw material suppliers must hold corresponding certifications and capabilities in quality management systems, low-carbon technologies, implement water recycling, conserve raw materials, and establish a sustainable waste classification and
environmental management systems, and occupational health and safety management systems. treatment system. Meanwhile, we work with suppliers to conduct product carbon footprint research and jointly promote the green
transformation of the supply chain.
We screen and assess suppliers through a multi-dimensional approach of "document review + questionnaire assessment + on-site
audit": document review focuses on suppliers' compliance qualifications, system certification certificates and product quality
performance reports in recent years; questionnaire assessment covers core indicators such as environmental management, labor rights
and business ethics; on-site audit is conducted by a joint audit team formed by Procurement, Quality, EHS and other departments to
conduct on-site inspections of suppliers' production workshops, environmental protection facilities, employees' working environments
and other aspects. We record the audit results and submit them for cross-departmental review, suppliers that meet the Company's
Social Responsibility Collaborative Practices in the Supply Chain
established access standards are included in the Qualified Supplier List ; for suppliers that fail to meet the standards, the Company puts
forward targeted rectification requirements within a time limit, and re-assessment is required after rectification; suppliers that refuse to Based on "compliance", Aurisco clarifies requirements for suppliers to strictly abide by relevant laws and regulations of the
rectify or still have serious ESG risks after rectification are denied access. pharmaceutical industry as well as international conventions through issuing the Sustainable Procurement Policy, signing the Supplier
Code of Conduct and conducting compliance requirements. Suppliers are required to eliminate violations such as bribery, corruption
and commercial bribery, and properly protect intellectual property rights including trade secrets and technical patents involved in
Process Control and Empowerment cooperation.
We continue to expand the scope of supplier selection. Under equal conditions, priority is given to partnering with high-quality,
Aurisco conducts annual reviews of qualified suppliers and establishes a continuous monitoring and dynamic assessment mechanism
steadily-operated, enterprising and highly socially responsible suppliers owned by female, vulnerable groups, small and medium-sized
to assess their overall performance in product quality, delivery capability, service response, and ESG performance. Annual review results
manufacturing suppliers, and local suppliers, so as to build a more diversified and inclusive supply chain and promote diversified
serve as an important basis for supplier classification, order allocation, and continued cooperation.
economic and social development.
For suppliers with outstanding responsibility and performance, under equal conditions, the Company provides incentives including
The Company strictly prohibits the use of child labor and forced labor by suppliers, and requires suppliers to take proper measures to
priority qualification and strategic cooperation, priority invitation to bidding, increased procurement proportion, and favorable payment
protect the legitimate rights and interests of employees, including providing a safe and healthy working environment, guaranteeing
terms. Correspondingly, for suppliers with responsibility risks, differentiated control measures are applied based on risk severity and
reasonable compensation and working hours, implementing equal employment and anti-discrimination policies, and earnestly fulfilling
improvement progress, including but not limited to: oral or written warnings, required improvement within a time limit, reduced
social responsibilities. We also promote the establishment of a supply chain employee empowerment mechanism and support suppliers
procurement volume and proportion, suspension of procurement, or termination of cooperation.
in carrying out vocational training and skill improvement programs to enhance long-term sustainable development capacity.
We require suppliers to sign the Supplier Code of Conduct to acknowledge and abide by basic cooperation bottom lines. Meanwhile,
We have set up a specialized complaint and reporting channel for all stakeholders in the supply chain (Tel.: 0576-83177305; Email:
based on full communication and negotiation with suppliers, ESG factors such as quality, service, environment, and social responsibility
artztb@aurisco.com), encouraging all partners and their employees to report any suspected violations of sustainable procurement
are incorporated into framework procurement contracts or agreements, clarifying the responsibilities, obligations and rights of both
principles. We solemnly promise to attach great importance to and respond promptly to every report to ensure proper handling of
parties in ESG governance as legally binding terms. This strengthens mutual commitment to sustainable development and effectively
issues. Meanwhile, we strictly protect whistleblower information to ensure that the legitimate rights and interests of whistleblowers
ensures supply chain stability and procurement business continuity.
are not infringed.
For issues identified in supplier assessments and reviews, we guide suppliers to carry out timely rectification. We also provide targeted
training for suppliers——including but not limited to supplier code of conduct, anti-corruption and business ethics, quality
management, occupational health and safety, environmental management, and labor rights and interests, to further improve the overall
sustainable development capacity of the supply chain.
Complaint and reporting channels
Target-oriented Management
To encourage suppliers to adopt ESG management practices, continuously improve their ESG governance capabilities and performance,
and enhance collaborative value across the entire supply chain, Aurisco has set clear phased objectives for building a sustainable supply
chain under the guidance of its Sustainable Procurement Policy .
Using 2023 as the base year, the Company aims to achieve the following targets by 2027:
the coverage rate of key raw material suppliers with environmental and occupational health and safety certifications 0576-83177305 artztb@aurisco.com
will exceed 90%；
the coverage rate of suppliers subject to social responsibility audits (including on-site audits and questionnaire
assessments) will reach100%；
the signing rate of the Supplier Code of Conduct will reach100%；
and the coverage rate of procurement contracts incorporating social and environmental protection clauses will
reach100%。
Driving Industry Development List of Industry Associations/Societies and Other Organizations Joined by Aurisco
Association / Society Name Position Joined by
As a benchmark enterprise in the field of specialty APIs in China, Aurisco Pharmaceutical Co., Ltd. has been deeply engaged in the
industry for more than 20 years. Guided by "Exchange for Common Progress, Collaboration for Development", the Company has
continuously made efforts in school-enterprise cooperation, government-enterprise connection, and industry resource sharing, Zhejiang Private Enterprise Development Federation Director Aurisco
injecting vitality into the development of the pharmaceutical industry ecosystem through diverse interactive practices.
With industry-university-research cooperation as a link, the Company has built an industrial innovation platform. By carrying out Zhejiang Pharmaceutical Industry Association Member Aurisco
regular academic exchanges, sharing laboratory equipment and research resources, accelerating the transformation of
technological achievements, and improving talent mobility and training mechanisms, the Company promotes the in-depth Pharmaceutical Chemistry and Antibiotics Committee, Zhejiang
Pharmaceutical Association
Committee Member (Chu Dingjun) Aurisco
integration of industry, university and research, and provides sustained and leading innovation momentum for industrial
development.
Taizhou International Chamber of Commerce Vice President Aurisco
Taizhou Technician Education Group Director Aurisco
Case Building a Cooperative Development and Achievement Transformation Platform
Taizhou Pharmaceutical and Chemical Industry Association Director Aurisco
On August 19, 2025, the signing ceremony of the Cooperation and Joint Construction Agreement on Cooperative Development and
Achievement Transformation between Shanghai Institute of Biomedical Technology and Aurisco Pharmaceutical Co., Ltd. was held at Taizhou Environmental Science Society Director Aurisco
Shanghai Institute of Biomedical Technology. The cooperation includes the joint construction of a collaborative innovation platform, a
clinical transformation platform, an advanced scientific research system, and an academic exchange platform. The two sides will jointly Taizhou Drug Administration and Industrial Development
Research Association
commit to the R&D of female health medicines, accelerate the transformation of scientific research achievements from laboratories to Member Aurisco
clinical applications, and promote scientific and technological innovation and common development.
Taizhou Human Resources Association Member Aurisco
Yangzhou Biomedical Industry Association
The Deputy General Manager Serves as the Yangzhou
Supervisor of the Association Aurisco
Tiantai Biomedical Association President Aurisco
Tiantai Human Resources Association Vice President Aurisco
Tiantai Mountain Harmony Culture Foundation Initiator Aurisco
Tiantai Industry-Education Cooperation Alliance Executive Director Aurisco
Tiantai Chamber of Commerce for Small and Medium-sized
Enterprises
Advisor (Chu Dingjun) Aurisco
Tianyi Foundation of Tiantai People's Hospital Director Aurisco
Hanjiang District Corporate Culture Research Association of Yangzhou
Yangzhou
Member
Aurisco
In the field of technical standards and quality improvement, Aurisco actively participates in government-enterprise interaction and
industry exchanges, and takes the initiative to engage with industry regulators, service institutions, industry associations and academic Investing in the "Belt and Road" Initiative, Promoting Win-Win Cooperation
Report
societies. The Company conducts in-depth discussions on topics including new synthetic processes, analytical techniques and
pharmaceutical standard optimization, and shares experience in preparing for international quality standard certification, striving to Aurisco actively responds to national initiatives,
promote standardized products, compliant production and internationalized quality across the industry. s e i ze s o p p o r t u n i t i e s t o p a r t i c i p a t e i n t h e
development of the "Belt and Road" Initiative, and
strengthens win-win cooperation. On May 12, 2025,
President of the Federative Republic of Brazil
By the end of the reporting period, the Company had participated in the formulation of 1 European Luiz · Inácio · Lula · da Silva received Chairman of
the Company Peng Zhien in Beijing.
Pharmacopoeia standard and 2 roup standards in total
Green Intelligent
Manufacturing,
Eco-Protection Safeguarding
Table of Contents
◆ Enhancement of Environmental Management
◆ Standardization of Pollution and Waste Treatment
◆ Optimization of Resource Utilization
◆ Climate Change Response
◆ Practices in Green Operations
SDGs
Enhancement of Environmental Management Environmental Impact Assessment
The Company carries out environmental impact assessments for new projects to fully identify potential environmental impacts such as
Environmental Management System wastewater, waste gas, solid waste, noise, soil pollution and ecological damage during project construction and operation, accurately
analyzes hidden risks, and puts forward targeted pollution control and ecological protection measures. Meanwhile, through
Aurisco regards environmental compliance management as a cornerstone of its survival and development. The Company strictly abides environmental impact assessment, the Company verifies whether project construction complies with the requirements of the ecological
by the Environmental Protection Law of the People's Republic of China, the Law of the People's Republic of China on Environmental protection red line, environmental quality bottom line, resource utilization upper limit and ecological environment access list, and
Impact Assessment and other relevant laws and regulations, and continuously optimizes its environmental management system and whether pollutant emissions meet the national and provincial pollutant discharge standards and total emission control requirements for
improves its environmental management organizational structure. The Company implements a hierarchical management and control
key pollutants.
system for environmental responsibilities, implements environmental objectives and responsibilities level by level, and integrates its
environmental policy and philosophy into the entire business process including strategic planning, production operation and supply
chain management. It promotes the in-depth integration and coordinated advancement of environmental protection requirements and
business operations, achieving a win-win situation between business development and ecological environment protection through Environmental Emergency Response Management
systematic responsibility management.In 2025, Aurisco had no environmental violations or penalties issued by environmental
protection authorities, and the Company was included in the Taizhou Positive List of Enterprises for Ecological Environment In strict compliance with national environmental protection regulations, the
Supervision and Law Enforcement in June 2025 (Second Batch of 2025). The Company’ s environmental protection investment in Company has formulated the Emergency Response Plan for Environmental
emergency command, professional disposal and logistical support. Specialized
emergency response supplies are stocked, and regular emergency response drills
are conducted to fully improve emergency response capacity. Meanwhile, the
By the end of 2025, Aurisco, Yangzhou Lianao and Yangzhou Aurisco had maintained valid ISO 14001 Company conducts regular environmental hazard inspections, promptly eliminates
Environmental Management System certification. potential hazards, and effectively prevents and mitigates environmental risks.
Emergency Cabinet
Emergency Response Plan for Environmental Emergencies of Aurisco Pharmaceutical Co., Ltd.
Specialized Plan for Sudden
Specialized Plan for Sudden Specialized Plan for Sudden Specialized Plan for
Soil and Groundwater
Atmospheric Pollution Water Pollution Hazardous Waste
Pollution Environmental
Environmental Incidents Environmental Incidents Leakage Incidents
Incidents
ISO 14001 Environmental Management System Certification Certificate On-Site Disposal Plan for On-Site Disposal Plan for On-Site Disposal Plan for On-Site Disposal Plan for
Workshop Fire/Leakage Warehouse Fire/Leakage Tank Area Fire/Leakage Abnormal Environmental
Accidents Accidents Accidents Protection Facilities
Environmental Management Commitments
Emergency Response Plan (Level III) Structure Chart
● Prevent and control pollution throughout the entire production and operation process, and minimize pollutant
emissions;
● Comply with relevant national and local environmental laws, regulations and other requirements, and operate in
accordance with the law;
● Continuously improve the Company's environmental performance and constantly enhance environmental quality.
Environmental Risk Management and Control
The Company regularly conducts identification and assessment of environmental factors in accordance with national laws and
regulations and its own operational reality, ensuring that environmental impact factors in the whole process of production and
Emergency Response Drill for Environmental Incidents
operation are effectively identified, assessed and controlled.
Case Yangzhou Aurisco Conducted An Emergency Reponse Drill for Wastewater Leakage Accident Standardization of Pollution and Waste Treatment
In June 2025, Yangzhou Aurisco conducted an emergency response drill for wastewater leakage accident, covering the repair of flange Environmental quality is directly linked to the economic development level and human well-being. Aurisco strictly abides by
valves, pipeline plugging, personnel evacuation, material support, security cordon of the polluted area, water spraying dilution and relevant laws and regulations in all regions where it operates, and implements full-process management over the discharge of
other operations. The drill simulated a real accident scenario and fully considered the disposal procedures and emergency response various pollutants and disposal of waste. The Company strengthens management and control in all dimensions, including source
rescue measures required for environmental accident. It helped employees master practical emergency response skills and enhanced reduction, process management and control and end-of-pipe treatment, continuously optimizes pollution prevention and control
the coordination and cooperation capabilities of all emergency teams. and waste resource utilization measures, minimizes the impact of pollutants and waste on the ecological environment, and
effectively safeguards ecological and environmental security.
Wastewater Treatment
Aurisco strictly complies with the Water Pollution Prevention and Control Law of the People's Republic of China , the Integrated
Wastewater Discharge Standard and other laws, regulations and discharge standards. It has formulated standardized wastewater
treatment operating procedures, established a sound wastewater treatment mechanism, and equipped supporting wastewater
treatment facilities and monitoring equipment to effectively ensure that wastewater is discharged up to standard. The Company
gradually adjusts and technically upgrades processes and equipment that generate wastewater, and adopts comprehensive prevention
and control measures to reduce wastewater discharge volume.
Waste liquid produced in the Company's laboratories and R&D activities is collected and treated in a unified manner, and direct
discharge into sewers is strictly prohibited. Waste acid, waste alkali, residual liquid or organic solvents generated during production and
equipment maintenance are all entrusted to qualified entities for utilization and treatment, and random discharge is forbidden. High-
concentration process wastewater is pretreated by the Fe-C micro-electrolysis method and Fenton oxidation method to reduce its
biological toxicity. The treated high-concentration wastewater is then mixed with low-concentration wastewater and further treated by
Yangzhou Lianao Conduc ted An Emergency Re sponse Drill for Hazardous Waste the anaerobic - anoxic - aerobic activated sludge process to reduce concentrations of COD, ammonia nitrogen, phosphorus, suspended
Case
(Tetrahydrofuran) Leakage Incident solids and other pollutants.
On January 15, 2025, Yangzhou Lianao conducted an emergency response drill for hazardous waste (tetrahydrofuran) leakage incident.
The drill verified the scientificity, practicality and operability of the emergency response organization system and emergency response Case Yangzhou Aurisco Optimizes Wastewater Treatment Measures for Refined Management
plan, and helped identify and improve deficiencies in the plan in a timely manner. Meanwhile, the drill enhanced all participants'
understanding of the hazardous characteristics of tetrahydrofuran, strengthened their proficiency in emergency response procedures,
and clarified the responsibilities and division of labor of each emergency team and personnel. This ensured that in the event of an Optimized classification of wastewater pipelines in production workshops：Based on existing pipelines for domestic wastewater
actual leakage, emergency operations can be carried out quickly, efficiently and in an orderly manner. and high-concentration wastewater, an additional pipeline for high-salinity wastewater has been installed. After independent treatment,
the salinity of high-salinity wastewater has been reduced from 1,500 mg/L to 1,100 mg/L.
Fermentation wastewater from SEM products is carefully classified at the source：Previously, all captured wastewater in the
workshop was discharged to the sewage treatment station through the high-salinity pipeline. Following the renovation, the captured
wastewater is now diverted to the sewage treatment station via two separate lines: high-salinity wastewater is sent for distillation
treatment, while high-protein wastewater is fed into the sewage treatment system as a nutrient medium for sludge, thereby achieving
resource utilization.
Waste Gas Treatment Waste Treatment
Aurisco has formulated and implemented systems related to waste gas treatment, comprehensively equipped pollution prevention and The Company strictly abides by the Law of the People's Republic of China on the Prevention and Control of Environmental Pollution by
control facilities for all waste gas emission links, adopted methods such as physical adsorption and chemical treatment, and conducted Solid Waste and other laws and regulations. It has established a management system and management and control procedures
regular monitoring to ensure stable and compliant discharge of waste gas, making positive contributions to environmental protection covering the whole life cycle of solid waste, including generation, collection, storage, transportation, utilization and disposal, with clear
and air quality improvement. management responsibilities and operation specifications for each link, so as to realize the whole-process traceability and standardized
The Company has established a waste gas pretreatment process, adopting a treatment method combining alkaline spray and acid spray management of solid waste. The Company actively explores the reduction, resource utilization and harmless disposal of solid waste,
absorption, supported by key facilities and equipment such as induced draft fans, packed spray towers, and alkaline liquid absorption promotes the efficient use of resources and the development of circular economy, and earnestly fulfills its main responsibility for
circulation systems, to achieve efficient interception and purification of pollutants in waste gas, laying a solid foundation for subsequent ecological and environmental protection.
advanced treatment and compliant discharge. Halogen-containing waste gas is first treated by a resin adsorption/desorption unit and Domestic waste is entrusted to the sanitation department for disposal. General waste is collected centrally and then handed over to
then discharged after treatment through an RTO system. Non-halogen-containing waste gas, as well as waste gas generated from the third parties for recycling. Hazardous waste is classified in strict accordance with the National Catalogue of Hazardous Waste and
wastewater station and solid waste yard, is directly treated and discharged through the RTO system. In addition, the Company regularly uniformly transported to hazardous waste storage facilities for standardized storeage. Before the transfer of hazardous waste, the online
inspects and tests pretreatment facilities, spray towers, and waste gas pipelines to ensure stable operation of equipment and intact electronic manifest declaration is filled in the "Solid Waste Management Information System". Meanwhile, the information filled in the
pipeline connections, guaranteeing the compliant and effective operation of the waste gas treatment system. electronic manifest is fed back to the hazardous waste disposal entity. The Company entrusted qualified third-party entities for the
outward transportation and disposal of hazardous waste to ensure compliance with environmental protection requirements. In addition,
the Company has formulated prevention measures and emergency plans for hazardous waste accidents in accordance with the law, and
Air duct 2
Alkaline spray filed them with the local competent ecological and environmental department and other departments responsible for the supervision
Chlorine- Water spray tower Pre-cooling Resin adsorption/desorption unit
tower and administration of the prevention and control of environmental pollution by solid waste.
containing organic
waste gas
Air duct 1
Alkaline spray
Non-chlorine organic Water spray tower Demisting Induced draft fan
waste gas tower
Respiratory waste gas
from tank farm Emergency condition
Air duct 3
Wastewater station
waste gas Alkaline spray
Solid waste storage tower
yard waste gas Activated
carbon tank
Exhaust stack (20m) Hazardous Waste Warehouse General Solid Waste Warehouse
Alkaline spray
Induced draft fan Water spray tower Cooling tower RTO
tower
Flow Chart of Waste Gas Treatment Process
Adsorption Facility RTO Facility Waste Gas Collection Pipeline of Yangzhou Lianao
Public Notice of Hazardous Waste Management System
Noise Prevention and Control Measures
Yangzhou Aurisco Strengthens Hazardous Waste Management and Control to Achieve Hazardous
Case
Waste Reduction and Resource Utilization
In the specialized optimization for hazardous waste reduction at the source, Prevention and control at source
Yangzhou Aurisco introduced targeted new dehydration equipment to conduct
deep dehydration of recycled solvents. This significantly reduced the moisture
content of recycled solvents, realized stable recycling of solvents, and effectively
● Gradually update and replace noisy equipment and select low-noise equipment;
decreased the generation of hazardous waste. ● Comply with the three simultaneities requirements for new construction, expansion and reconstruction projects;
In addition, Yangzhou Aurisco uses waste methanol and waste ethanol generated
● Increase the vertical greening area around production workshops;
from workshops as nutrient media for aerobic bacteria, which not only reduces the
volume of hazardous waste for disposal but also turns waste into valuable resources ● Require construction contractors to use equipment in good condition;
and cuts costs.
● Strengthen lubrication and maintenance of equipment;
● Strengthen inspection and troubleshooting of operating equipment to ensure it runs in good condition.
New Dehydration Equipment
In 2025, Yangzhou Aurisco comprehensively utilized 60 tons of waste methanol and waste ethanol, saving RMB 78,000 in
hazardous waste disposal fees.
Noise Treatment
The Company is committed to protecting the health of employees and surrounding residents. It strictly complies with the Law of the
People's Republic of China on the Prevention and Control of Noise Pollution , the Environmental Noise Emission Standard for Industrial
Enterprises at Factory Boundaries, and other national laws, regulations and current emission standards. The Company has specially
formulated the Noise Pollution Prevention and Control System , clarified the noise emission standards in the plant area, and Prevention of individuals Monitoring Management and Control
systematically developed full-dimensional prevention and control measures including source control, personal protection, and
monitoring management, so as to implement noise pollution prevention and control through institutionalized and standardized
● Strengthen occupational health and safety ● Entrust a qualified third party to regularly detect noise;
management.
training for employees, and enhance personal noise
● The responsible persons of each production workshop get to
protection measures and occupational health and
know the operation status of noise sources through listening,
safety awareness;
observing, and questioning during production; equipment
In 2025, Yangzhou Aurisco replaced the Roots blowers in the sewage station with air suspension blowers, which ● Employees should wear noise-proof earplugs or
maintenance and repair personnel need to strengthen the
feature energy saving, high efficiency, low noise and low vibration. While reducing energy consumption, the on-site ear caps when entering the places where noise is maintenance of noisy equipment, discover abnormalities and
noise has been significantly lowered. still loud after noise source treatment. troubleshoot them in time, and make appropriate emergency
response preparations and responses;
● Learn about daily feedback from surrounding residents and
internal staff on noise issues, and inspect, repair or replace
relevant facilities and equipment promptly to prevent noise
pollution.
Physical Noise Isolation in the Fermentation
Workshop of Yangzhou Lianao
Air Suspension Blower
Optimization of Resource Utilization Pressure-Retained Distillation Technology
The Company adopts the pressure-retained distillation method in experiments: In systems where the steam tension curve exhibits a
maximum value, an increase in pressure raises the concentration of components with high evaporation energy consumption in the
azeotropic mixture. Conversely, a decrease in pressure increases the concentration of components with low evaporation energy
Water Resource Management consumption in the azeotropic mixture. The Company uses a vacuum pump to draw a constant negative pressure inside the reactor,
then closes the vacuum pump valve and carries out distillation. This enables a more complete reaction and better separation of
Aurisco has always prioritized planned water use and water conservation in its operations, committing to improving water resource components, while also reducing excessive vaporization and volatilization of water.
management efficiency and promoting the intensive use of water resources. The Company has established a rigorous and
comprehensive water use and conservation management system, set up a water conservation team, and assigned corresponding
management and technical personnel to conduct water metering, maintenance and supervision, and carry out timely repairs to water
leakage, so as to ensure safe, continuous and stable water supply.
Intelligent Rainwater Collection
The Company completed the construction of rainwater collection tanks by the end of 2020. Intelligent water quality monitoring
equipment has been installed at the intake of the rainwater tanks to realize real-time dynamic monitoring of rainwater quality. When
abnormal water quality indicators are detected, the valves will be closed promptly, and the production inspection process will be Pressure-Retained Distillation Technology
activated rapidly.
Renovation of Bath Hot Water System
Yangzhou Lianao has completed the renovation of the bath hot water system, replacing the original inefficient decentralized direct
Steam Condensate Reuse steam supply mode with a centralized heating system using unified hot water tanks, resulting in a significant improvement in water
management and control.
The Company recycles steam condensate for cooling circulation.
The original and direct discharge of condensate is collected and
After the renovation, the daily water consumption for bathing dropped from 29 tons to about 14 tons,
transferred to the cooling circulating water system to replace
part of the fresh water supply for cooling circulation. This not representing a water-saving rate of over 50%.
only avoids resource loss caused by direct discharge of
condensate, but also reduces the demand for fresh water in the
cooling circulating water system. It is e stimated that Energy Management
approximately 50 tons of water is recycled per day2.
Governance
To systematically advance energy management, Aurisco has formulated procedural documents including the Energy Management
Steam Condensate Recovery Facility System and Energy Measurement Management System . An energy management working group has been established, with the
responsible leader as group leader and heads of production and functional departments as members, forming an organizational system
Calculated based on the daily operation of Badu Industrial Park, Tiantai County.
of each department and position, refines work standards for energy measurement, statistics and other links, and forms an energy
management mechanism featuring "full participation, hierarchical accountability and closed-loop management and control".
Strategies
Resource Utilization of Purified Hard Water
The Company practices the concept of green pharmaceuticals and regards energy management as an important strategic component
The Company has built a purified water production system of sustainable development. Based on institutional development and guaranteed by supervision and control, it fully implements various
adopting the process of "mechanical filtration + activated carbon energy management measures and effectively improves energy utilization efficiency. The Company strictly abides by the Energy
filtration + two-stage reverse osmosis + ultraviolet sterilization" Conservation Law of the People's Republic of China, Measures for the Energy Conservation Management of Key Energy-Using Units
to produce purified water, with a water production rate of up to and other laws and regulations, and cooperates with higher competent authorities in specialized tasks such as energy audits and
up water for circulating cooling water, reducing the consumption management. In 2025, we actively cooperated with relevant departments to conduct a comprehensive assessment of the Company's
of fresh tap water from the source and realizing efficient energy consumption, allocation and calibration of energy measurement equipment, and successfully passed the energy measurement
utilization of water resources. audit for key energy-using units.
Meanwhile, to comprehensively evaluate the scientificity, rationality and economic efficiency of energy utilization in new projects, and
promote energy conservation, consumption reduction, quality improvement and efficiency enhancement throughout the project life
cycle, the Company carries out full-dimensional assessments covering energy consumption accounting, energy-using equipment
Purified Water System
analysis, energy efficiency and economic indicator calculation, and evaluation of energy conservation measures, providing a scientific
basis for project decision-making, construction and operation.
Impacts, Risks and Opportunities Management Energy Structure Optimization
The Company fully recognizes the impacts, risks and opportunities brought by energy transition, and closely monitors changes in
Aurisco regards the promotion of renewable energy as an
national and local policies and regulations related to energy conservation, environmental protection, carbon peaking and carbon
important strategy for optimizing the energy structure. In 2024,
neutrality. It timely adjusts its energy management strategies, focuses on core directions such as energy saving, consumption reduction
the Company launched a photovoltaic self-consumption project,
and energy structure optimization, and actively carries out diversified practices to promote green and low-carbon transformation with
making full use of idle roofs and open spaces in the plant area,
practical measures.
adopting the model of "self-consumption first, surplus power to
the grid". It aims to replace conventional electricity with
renewable energy and promote the transformation of the
production energy system toward low-carbon and clean
Energy Saving and Consumption Reduction
development. Meanwhile, the Company takes green power
procurement as one of the core measures for energy structure
optimization, actively connects with the green electricity trading
The Company conducts energy consumption analysis, fully taps market, and steadily increases the proportion of green electricity.
energy-saving potential, and actively promotes technical
To V81788
transformation to achieve energy saving and consumption
reduction. The Company recycles waste heat from steam Wastewater Workshop Green Electricity Certificate Transaction Voucher
Heat
condensate in the plant area for jacket heating of low-temperature from V81737 Steam (Waste
Exchanger
reaction materials. This not only reduces heat energy waste and Heat)
pipeline network heat loss caused by direct discharge of steam
Condensate
condensate and lowers steam consumption, but also stabilizes the
Discharge
heating process parameters of low-temperature reaction materials
and improves the stability of the production process.
Waste Heat Reuse
The Company introduced multifunctional filtering dryers to
replace dissolution, centrifugation and drying equipment.
Adopting the design concept of "one machine with multiple
functions", it integrates multiple processes into a closed PV Power Generation Project
container for continuous completion, optimizes the process
structure at the source, and reduces energy consumption
and loss.
Metrics and Targets
Aurisco compiles energy consumption data on a monthly basis and conducts annual energy consumption analysis to identify
opportunities for improving energy performance, providing reliable data support for energy management and control. In 2025, we
completed a comprehensive inventory, calibration and renewal of energy measuring instruments, achieving full coverage of metering for
all energy consumption links including water, electricity, natural gas and steam. The rate of equipment allocation and calibration reached
Energy Indicators
Multifunctional Filter Project
Indicator Unit 2025 2024 2023
The Company introduced water-cooled low-temperature screw chiller units. Relying on screw compressors, the equipment achieves Natural Gas m? 300306 206387 218948
efficient compression and circulation of refrigerant, featuring stable, reliable and excellent energy-efficient operation. Compared with
equipment before renovation, it can reduce annual power consumption by 896,215 kWh. The Company installed liquid nitrogen Diesel Liter 7381 7912 6100
Gasoline
vaporizers in the cooling tower water tanks. Using the principle of heat exchange, liquid nitrogen is converted into gaseous nitrogen,
Liter 12467.02 13606.33 16551
and the cooling energy released during vaporization is simultaneously recovered to cool the water temperature of the cooling tower
circulation pool. The annual recoverable cooling capacity amounts to 2,825,626 kWh. Purchased Electricity kWh 620078143 53162792 44965610
The sewage treatment blowers at Yangzhou Aurisco use air suspension blowers, which achieve energy savings of 30%–50% compared
with traditional blowers. In addition, temperature-controlled heat dissipation fans are used in the power distribution cabinets of Purchased Steam Ton 84146 66936 56352
Yangzhou Aurisco to replace traditional heat dissipation fans. The fans start automatically when the temperature reaches the preset
PV Power Generation kWh 292074 / /
value and stop when the temperature drops to a certain level, thereby achieving energy conservation.
Including 19.6509 million kWh of green electricity from the Badu Plant.
Climate Change Response Risk/
Type Description Level
Potential
Response Strategies/Measures
Opportunity Financial Impact
Frequent extreme weather events such as
Governance typhoons may trigger natural disasters including Establish a sound response plan for
storms and floods, causing water-logging in Increase in extreme weather, provide sufficient
Acute physical risk High
factories, damage to production base operating expenses emergency response reserve supplies,
Against the background of global efforts to advance climate governance, Aurisco actively responds to the strategic goals of "carbon
Physical Risk
equipment, suspension of R&D and production, and conduct drills on a regular basis.
peaking" and "carbon neutrality". The Company integrates climate change governance into its ESG governance system and establishes a and safety production accidents.
top-down three-level climate governance structure. It promotes low-carbon transformation through standardized and systematic Actively build a water-saving
governance, supporting the achievement of global climate targets and the overall cause of sustainable development. Continuous temperature rise may lead to water
Chronic physical Increase in enterprise, advocate water
shortage and higher water prices, increasing Medium
risk operating expenses conservation, and improve water
operating costs.
resource utilization efficiency.
Closely track changes in international
Aurisco Climate Governance Structure Policy and Legal
Climate change-related policies and laws are
Increase in
and domestic environmental and
becoming increasingly stringent across regions High low-carbon-related laws, regulations
Risk operating expenses
globally, raising the Company's compliance costs. and policies, and identify relevant
legal risks.
Top governance and decision-making level Board of Directors
Increase in
Strengthen feasibility studies on the
operating expenses
To meet low-carbon requirements, it is necessary R&D and application of low-carbon
Increase in R&D
◆ Review and confirm climate change response systems and mechanisms; Technical Risk to increase investment in low-carbon technology Medium technologies, and steadily advance
expenses
R&D and phase out outdated equipment. innovation in low-carbon production
Increase in
◆Review the strategic planning, objectives and implementation progress of climate action, and the identification, assessment and processes.
production costs
management of climate risks and opportunities.
Transition Risk
Pay attention to demand for green
Market demand is shifting toward green and
and low-carbon products and provide
low-carbon development. Customers have
Decrease in more products that meet market
Market Risk stricter environmental requirements for products, High
operating income expectations;
Management Level Carbon Neutrality Team such as green product certification and product
Gradually carry out product carbon
carbon footprint assessment.
footprint certification.
Strengthen the disclosure of
Stakeholders are imposing increasingly stringent
◆ Guide the design and implementation of goals and initiatives related to climate change topics; environment, social and governance-
requirements on the Company's climate change Increase in
related information to shape a green
◆ Identify, assess and manage risks and opportunities related to climate change; information disclosure. If disclosure falls below operating expenses
Reputational Risk Medium corporate image;
stakeholders' expectations, the Company's Decrease in
◆ Develop climate action strategic plans, development goals, institutional policies, etc. Actively participate in industry
corporate image and reputation may be affected, operating income
exchanges and share carbon reduction
thereby weakening its market competitiveness.
practices.
Introduce advanced production
Improve Resource Significantly improve resource efficiency in the Reduction in
Medium technologies in a timely manner to
Efficiency process of taking climate action. operating expenses
Execution Level Collaborative departments and subsidiaries improve resource efficiency.
Addressing climate change has improved the
Adopt low- Reduction in Gradually promote renewable energy
accessibility of renewable energy and reduced High
emission energy operating expenses and optimize the energy structure.
◆ Promote the implementation of climate action at all business terminals; the cost of adopting renewable energy.
Develop New
◆ Cooperate with the implementation of climate strategies. While developing green and low-carbon Closely monitor emerging markets and
Products and Increase in
products, win greater customer preference and Medium expand the supply of green and
Services and Enter operating income
thereby enter new markets. low-carbon products.
New Markets
Build a full-chain capability system
Opportunities featuring "mitigable, adaptable,
Strategies
Climate change response will enhance the recoverable and evolvable" to
Enhance Reduction in
Company's resilience and create long-term value Medium transform climate risks into
Resilience operating expenses
for the Company. competitive advantages and growth
The Company refers to the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) and the Second Part on opportunities, and continuously
Climate Change Response Topic in No. 4 Guidelines for Self Governance of Listed Companies of the Shanghai Stock Exchange - enhance resilience.
Preparation of Sustainable Development Reports. It systematically analyses climate-related impacts, risks and opportunities, and
Promote carbon emission reduction
develops implementable strategies/measures based on the analysis results to achieve the dual objectives of risk mitigation and
among key suppliers and build a
opportunity capture. Industrial Chain Build a low-carbon supply chain and jointly
Reduction in low-carbon supply chain;
Synergy establish a climate governance system with High
operating expenses Cooperate with upstream and
Opportunities upstream and downstream partners.
downstream partners to develop
green solutions.
Impacts, Risks and Opportunities Management Practices in Green Operations
In assessing climate-related impacts, risks and opportunities, Aurisco adheres to the principles of "scientificity, systematicity and Green manufacturing is an important approach to addressing resource and environmental issues, an effective way for the industry
practicability". Based on the industry, business layout and industrial chain characteristics of the Company, and aligned with its development to achieve green development, and an inevitable choice for enterprises to proactively assume social responsibility. Seizing the
strategy, risk management and operation systems, the assessment results are guaranteed to guide actual business decisions. For the opportunity of building a "Green Factory", Aurisco vigorously promotes green operations and actively explores new models,
identified climate-related impacts, risks and opportunities, the Company adopts a combination of quantitative and qualitative assessment mechanisms and ideas for the green and low-carbon transformation of industry. In 2025, the Company was awarded the title of
methods to accurately evaluate the impact magnitude, risk level and opportunity value. "Taizhou Municipal Green and Low-Carbon Factory".
The Company integrates climate-related risk management into its overall risk management process, making climate risk a regular
consideration in strategic decision-making and operational control. It conducts linkage assessments on the interconnections between
climate risks and traditional risks (e.g., the correlation between climate risks and financial risks), conducts joint assessment, measures the Green Design
comprehensive risk impact, and avoids underestimation of risk severity caused by independent assessment. For major cross-departmental
and cross-industrial-chain climate risks, the Company coordinates relevant resources, formulates and implements specialized response
Aurisco introduces the green design concept, and deeply integrates ecological design, low-carbon design, design for reduction of toxic
plans, and manages them in an integrated manner with traditional risk response plans.
and hazardous substances, and design for waste recycling into the entire product R&D process. Through green layout at the design
stage, the Company reduces the environmental impact of products throughout their life cycle from the source.
Metrics and Targets
The Company earnestly implements its climate change response strategy, committing to the goals of "carbon peaking" and "carbon Ecological Design
neutrality". We plan to increase the proportion of renewable energy, continuously optimize the energy mix, and adopt various measures4
Starting from the product design stage, ecological design sets goals such as reducing raw material
to promote energy conservation and emission reduction. In the future, we will take a full value chain life cycle perspective, focus on
consumption, lowering energy use, enabling recycling, and protecting the ecological environment as
renewable energy opportunities, energy-saving technical transformation, green supply chain development and other areas, actively
respond to the challenges of climate change, and reduce the impact of greenhouse gas emissions on the human environment. equally important as product performance, quality, service life and cost. Potential adverse environmental
impacts of the product over its entire life cycle are prevented through proactive design before entering
The Company has established a comprehensive, standardized and traceable carbon accounting system to conduct greenhouse gas
the manufacturing stage.
management in a systematic and standardized manner. It strictly complies with internationally authoritative standards such as the ISO
gas inventories and product carbon footprint verification. Meanwhile, taking carbon accounting as a starting point, the Company
conducts in-depth analysis of key links and emission reduction potentials in organizational greenhouse gas emissions and product
carbon footprints, integrates emission reduction targets into production and operation, product R&D, supply chain management and
other aspects, and promotes the application of energy-saving and carbon-reduction technologies and the optimization of production
Low-Carbon Design
processes.
● Roof photovoltaic systems are installed on factory canopies and dormitory building rooftops.
● Green electricity is procured to reduce the use of non-renewable energy.
Please refer to the "Energy Management" Chapter for details.
Toxic and Hazardous Substance Reduction Design
GHG Indicators
● Harmless catalysts are used to replace the original Cr heavy metal catalysts in the
dehalogenation process;
Indicator Unit 2025 2024 2023
● The high-gravity efficient rectification method for wastewater treatment is adopted,
upgrading wastewater treatment and recycling to a new level.
Direct GHG Emissions (Scope 1) tCO2e 1953.617 2731.19 2014.95
Indirect GHG Emissions (Scope 2) tCO2e 50947.4758 57520.25 48964.95
Waste Resource Utilization Design
Indirect GHG Emissions (Scope 3) 5
tCO2e 22144.0379 25694.61 20637.52 Through years of technical accumulation, process design and experimental simulation, the industrial
application has been successfully realized the filter residue (originally hazardous waste) generated in
the production of Abiraterone Acetate (iodination process) is reused as raw material for the
Indirect GHG emissions (Scope 3) originate from the greenhouse gas inventory of the Tiantai Base. preparation of sodium iodide.
Green Culture Green Office
Aurisco is committed to rooting and growing a green culture across the Company. By means of posting publicity posters and other The Company advocates and encourages all employees to start from details and integrate the green concept into every aspect of office
forms, the Company continuously strengthens employees' awareness of green and low-carbon development. The Company work: Save every kilowatthour of electricity, turn off lights when leaving, switch off computers and office equipment before getting off
incorporates environmental management training into its regular work system. Through a hierarchical, classified and diversified training work, and adjust air conditioner temperatures appropriately. Cherish every drop of water, turn off taps timely and eliminate running,
mechanism, it continuously improves the professional capabilities of all employees in environmental management, and promotes the dripping, leaking and spilling. Make good use of every sheet of paper, promote paperless office, prioritize electronic document
implementation of environmental management concepts and requirements. circulation, and use doublesided printing and copying only when necessary. Standardize the use of office supplies, carry out recycling
and reuse of consumables, and reduce the consumption of disposable products. Practice green commuting, prioritize lowcarbon
methods such as public transportation and shared bicycles to reduce carbon emissions.
Green and Low?carbon Publicity Posters
Energy-saving Lamps Water-saving Slogans
Outstanding Green Office Cases of Yangzhou Lianao
■ Installed intelligent light-sensitive lighting systems, realizing "turn off lights
Energy Management when leaving" in public areas; Reduced office
System (EMS) Upgrade ■ Strictly implemented air conditioning temperature standards: heating not electricity
and Standardized exceeding 23 ° C in winter and cooling not lower than 26 ° C in summer, with consumption by
Air Conditioning dynamic monitoring and adjustment via the central control system; about 80,000 kWh
Temperature Control ■ Deployed real-time energy consumption inspection, collected electricity per year.
Cleaner Production Training
usage data of each department, and carried out energy-saving competitions.
In 2025, the Company organized and carried out "Green and Lowcarbon Factory" Training, focusing on core contents including green ■ Implemented full-process electronic approval via the OA system, reducing Saved about
production, energy conservation and consumption reduction, and environmental management. Systematic and professional training was paper document usage, and paper document printing decreased by 70%;
"Digital Lianao ·
delivered to employees in relevant positions to help them accurately grasp the construction standards, practical skills and management
Green Operations"
■ Equipped conference rooms with electronic projection equipment and paper per year,
requirements of green factories. This promotes the green production concept throughout the entire production process and lays a solid
Initiative
digitalized meeting materials. equivalent to
talent foundation for building an efficient, lowcarbon and environmentally friendly green factory.
■ Set up sorted recycling stations (paper, plastic, batteries, etc.), with waste protecting about
In addition, the Company actively participated in environmental protection knowledge competitions to thoroughly practice the green 100 mature trees.
paper uniformly recycled and reused.
development concept and create an atmosphere of environmental law popularization. On November 26, 2025, with solid professional
knowledge and stable onsite performance, the Company's employees helped the Taizhou team win the Third Prize in the "Second
■ Prioritized purchasing products with energy-saving certification (e.g., LED
Zhejiang Provincial Enterprise Ecological Environment Legal Knowledge Competition". Taking this as an opportunity, the Company will
lamps, energy-efficient computers) and recycled materials; Green procurement
continue to strengthen the study and practice of ecological environment laws and regulations, and safeguard green development under
Green Procurement accounted for 85%,
the rule of law. ■ Required degradable materials for product packaging to reduce plastic use;
and Supplier and packaging
Collaboration ■ Launched an intelligent food ordering system in the canteen for precise waste was reduced
ordering, promoted the "Clean Plate Campaign", and arranged professional by 30%.
recycling of kitchen waste.
Green Buildings
In its factory construction, Aurisco fully embraces the concept of green buildings. High-performance concrete and high-strength steel
are appropriately used as structural materials. In the selection of building materials, the Company takes into account their recyclability,
and prioritizes building materials with low embodied energy, high performance, high durability, and local materials. Environmentally
friendly water-based paints and green man-made boards are used for interior decoration of office buildings. Hazardous substances
Green and Lowcarbon Factory Training and radioactive elements in factory decoration materials comply with national and local laws and standards.
People-Oriented, Goodness
for All
Table of Contents
◆ Protection of Employees' Rights and Interests
◆ Promoting Employee Growth
◆ Safeguarding Health and Safety
◆ Improving People's Well-being
SDGs
Protection of Employees' Rights and Interests Guided by the Labor and Human Rights Management Policy , the Company has formulated the Employee Handbook and relevant
labor and human rights management systems, and established a four-level labor and human rights management system featuring
"leadership by the General Manager, implementation by the Human Resources Department, detailed execution by all departments,
Aurisco has always adhered to the philosophy of "People-Oriented" and strictly complied with national laws, regulations and and active participation by employees". It clarifies the responsibilities of various parties in policy formulation, risk assessment, training
international conventions. The Company integrates the protection of employees' rights and interests into its development strategy, implementation and other aspects. Combined with regular labor and human rights risk assessments and compliance reviews, the
and achieves synergistic progress between employee rights and interests protection and sustainable corporate development Company integrates human rights protection into the whole-process management of recruitment, training, performance and
through a sound policy system, robust implementation mechanisms and comprehensive protection measures. separation, ensuring a fair, inclusive and safe working environment for employees from entry to departure. During the reporting
period, no incidents violating the labor and human rights policy occurred.
The Company takes thematic training on labor and human rights as a regular measure for risk prevention and control, and provides
all employees with specialized training on prohibition of child labor, anti-forced labor, anti-discrimination and anti-harassment,
Improving the Protection System health and safety, diversity and inclusion, etc., so as to strengthen employees' awareness of human rights and behavioral
consciousness, and improve their ability to identify risks, handle conflicts and proactively report problems.
The Company has formulated and issued the Labor and Human Rights Management Policy , which clarifies core requirements and
management objectives covering working conditions, prohibition of child labor and forced labor, protection of female employees,
equality and diversity, occupational health and safety, etc. It has also established a rapid response and accountability mechanism for
violations of labor and human rights, as well as policy requirements and corresponding measures for remediation or relief.
During the reporting period, the coverage rate of employees participating in human rights training reached 100%.
Labor and Human Rights Management Objectives
The Company has established a multi-channel, full-time and highly confidential employee appeal response and reporting mechanism
Based on 2023, training on anti-discrimination and anti-harassment, prohibition of child labor and
by setting up suggestion boxes (reporting boxes), opening hotlines and reporting e-mails, to timely receive feedback and reports from
forced labor, freedom of association, occupational health and safety, equality and diversity shall be
Human Rights Training employees on labor rights, discrimination and harassment, forced labor and other matters. A professional human rights response team
conducted once a year by 2027, with 100% employee coverage. has been assigned to follow the principle of "zero tolerance, no retaliation and traceability", ensuring that all complaints or reports are
responded to in a timely manner, investigated impartially and handled in a closed-loop manner.
Based on 2023, labor and human rights risk assessments shall be conducted once a year by 2027,
Risk Assessment Labor and Human Rights Complaints and Reporting Channels
covering 100% of workplaces.
Based on 2023, "zero" incidents of discrimination and harassment, child labor and forced labor will
Violation Incidents
achieve by 2027.
Based on 2023, internal audits on labor and human rights shall be conducted at least once a year by
Internal Audit
Based on 2023, occupational disease hazard factor testing at workplaces shall be conducted once a
Internal Audit
year by 2027, with 100% coverage of employee occupational health examinations.
Internal Audit Based on 2023, 100% coverage of collective agreements will achieve by 2027.
Internal Audit Based on 2023, employee satisfaction shall be increased to ≥ 93% by 2027.
Deepening Democratic Management Promoting Equality and Inclusion
Aurisco practices democratic management in depth, taking it as an important way to implement the "People-Oriented" philosophy and Aurisco respects every employee's gender, age, ethnicity, religious belief, health condition, cultural background, etc. The Company is
integrating it into the whole chain of corporate governance. The Company has built a democratic management ecosystem featuring committed to eliminating prejudice and barriers in recruitment, promotion, compensation and career development, so as to enable
"institutional guarantee, diversified participation and closed-loop supervision", achieving deep integration between employee rights and employees of diverse backgrounds to participate fairly, express themselves fully and grow together.
interests protection and sustainable corporate development.
We regard the protection of employment rights and interests for persons with disabilities as an important part of fulfilling corporate
Based on systems, the Company consolidates the foundation of democratic management. It strictly abides by the Trade Union Law of social responsibility. In strict compliance with the Law of the People's Republic of China on the Protection of Persons with Disabilities
the People's Republic of China and other laws and regulations, and has established and improved the trade union organization and the and local policies, we continue to optimize the recruitment process and post adaptation mechanism for persons with disabilities,
employee representative congress system. By formulating and implementing management systems such as democratic consultation provide specialized job skills training and career planning guidance, and ensure that employees with disabilities enjoy equal rights in
and collective bargaining, the Company optimizes the election procedures, deliberation rules and resolution implementation employment, promotion, training, compensation and other aspects without discrimination.
mechanisms for employees' representatives, so as to ensure the extensiveness and representativeness of democratic participation.
In 2025, the percentage of employees covered by the collective agreement reached 100%.
By the end of 2025, the Company had employed a total of 7 disabled employees.
Establishment and Election of Employee Representative Director Respecting and protecting the rights and interests of ethnic minority employees is an important part of Aurisco's diversity and inclusion
Report
practices. We firmly uphold and implement the national policy of "ethnic equality, ethnic unity and common prosperity for all ethnic
In accordance with the Company Law of the People's Republic of China , the Articles of Association and other relevant groups", and strive to build a fair development platform for ethnic minority employees:
provisions, Aurisco has established one employee representative director position on the Company's board of directors.
On September 25, 2025, Aurisco held a Employee Representative Congress in the conference room of the Company's
administrative building, combining on-site attendance with video communication. A total of 100 employee representatives
were entitled to attend the meeting, among whom 98 were present. The convening of the congress complied with the In recruitment and employment, we treat workers of all ethnic groups equally and ensure that ethnic minority employees enjoy
relevant provisions of the Company Law of the People's Republic of China and the Articles of Association . equal compensation and benefits, training and development, and promotion opportunities; We attach great importance to the
Following democratic discussion by all attending employee representatives, the congress deliberated and adopted the customs, traditions and living habits of ethnic minority employees, and provide convenience and care in daily life and important
Proposal on the Election of Employee Representative Director of the Company . Upon voting by the attending representatives, ethnic festivals; We have set up specialized channels to maintain full communication with ethnic minority employees and
Mr. Li Jinliang was unanimously elected as the employee representative director of the Third Session of the Board of Directors. vigorously promote mutual understanding and integration among employees of different ethnic groups, so that ethnic minority
employees can feel a sense of belonging and dignity and work and live without barriers. By the end of the reporting period, the
Aurisco family had gathered members from various ethnic minorities including the Miao, Yi, Tujia, Buyi, Zhuang, Dong and Manchu
Taking channels as a bridge, the Company broadens the channels for democratic expression. It has established a "three-dimensional"
ethnic groups. They work side by side with colleagues from all over the country and shine uniquely in R&D, production,
communication network: by setting up "factory affairs publicity boards", the Company promptly releases information that employees
management and other fields.
care about, including major corporate decisions, business performance, and compensation and welfare benefits, so as to improve
information transparency. Through the "Executives to the Frontline" activity and employee symposiums, it listens to frontline voices and
collects rational suggestions. By conducting employee satisfaction surveys at both the corporate and departmental levels, the Company
gains a full understanding of employees' genuine demands and work experience, and accurately identifies management deficiencies
and key concerns. Relying on smooth communication channels, the Company continuously refines and implements democratic
management in every link of daily operations, fostering a sound interactive mechanism featuring "full consultation on matters, extensive
negotiation over issues, and prior discussion before actions".
Employee Symposiums
Taking supervision as the shield to ensure effective democratic implementation. The Company incorporates the implementation of
democratic management into the full scope of internal labor and human rights audits, and conducts regular specialized audits to ensure
the full coverage of democratic rights. We have set up employee supervision boxes and feedback channels to smooth democratic
supervision channels, ensuring that the results of collective consultation and democratic resolutions are effectively implemented,
promptly reported and closed-loop improved.
Aurisco highly values the important role of female employees as "half the sky". In strict compliance with the Law of the People's Republic
of China on the Protection of Female Rights and Interests , the Special Provisions on Labor Protection for Female Employees and other
Improving Compensation and Benefits
laws and regulations, the Company integrates the protection of female employees' rights and interests into the whole process of
institutional development and daily operations. We firmly eliminate gender discrimination and ensure that female employees enjoy fully Compensation Equality
equal rights and opportunities as male employees in recruitment, compensation and benefits, promotion, professional and technical
title evaluation and appointment. We pay special attention to the practical challenges in female career development, offer training Aurisco regards compensation security and equality as the cornerstones of employee rights and interests protection. Guided by the
courses on female leadership and professional title promotion, provide targeted career planning guidance, and customize skill principle of "Fairness Empowerment, Value Co-creation", the Company abides by all relevant laws and regulations. Through a
improvement paths for female in different positions to help them break through career bottlenecks. We provide additional specialized standardized compensation system and non-discriminatory equality mechanism, compensation serves as an important link to
health checks and professional consultation for female employees, strictly implement protection requirements during the "three periods" safeguard employee rights and interests, stimulate vitality, and drive sustainable corporate development.
(pregnancy, childbirth and lactation), provided suitable positions and working conditions for female employees during "the periods",
The Company has established a diversified and differentiated compensation system, including basic salary, performance bonus,
and offered convenience by building dedicated facilities such as nursing rooms and rest rooms for pregnant employees. Through
specialized allowances (academic allowance, professional title allowance, high-temperature allowance, post allowance, three-shift
specialized anti-harassment training and dedicated green channels for appeals, we effectively build a safe workplace against gender
allowance, etc.) and long-term incentives. It ensures that basic income is not lower than the local minimum wage and the industry
harassment and discrimination, and create a fully safe, equal and diverse development platform for female employees.
average, and that compensation gaps among different job categories are scientific and reasonable. Meanwhile, based on personal
competence, post value and performance contribution, the Company provides fair, transparent and quantifiable criteria for
compensation and bonus assessment, directly linking compensation with individual performance, team contribution and innovation
achievements, so as to realize "more pay for more work, better pay for better performance".
The Company strictly implements the principle of equal pay for equal work. Unified assessment standards and transparent
mechanisms are applied in salary determination, performance adjustment and promotion increase, ensuring that female employees,
ethnic minority employees, disabled employees and other groups enjoy fully equal pay rights. In addition, the Company regularly
conducts internal and external compensation benchmarking and continuously optimizes the compensation structure to maintain a
dynamic balance between internal fairness and external competitiveness.
Female Health Seminar International Women's Day Activity Welfare Security
Adhering to the philosophy of "People-Oriented, Warmth and Cohesion", Aurisco continuously optimizes its welfare management
Case Forging Growth through Cross-post Training, Leading the New Journey with Female Strength
system and builds a full-coverage, full-cycle and multi-level welfare system that features compliance, competitiveness and humanistic
care, striving to enhance employees' sense of gain, happiness and belonging.
Ms. Hu Weijiao is currently Deputy Manager of the Pharmacovigilance Department at Aurisco. She joined the Analytical R&D Department
of Aurisco in 2017. Guided by the Company's development philosophy of "Strengthening the Enterprise with Talents", we provided her
with career planning and growth support through one-on-one in-depth communication and evaluation: with the "mentor-apprentice"
training system, she accumulated solid professional expertise and practical experience in analytical R&D. Supported by the internal job
rotation mechanism, she gained cross-post experience in the Human Resources Department, the General Manager's Office
Comprehensive Management Team, and the Internal Control Team, expanding her capabilities and fostering a holistic vision. Supported
by an open and transparent promotion channel and a fair performance evaluation mechanism, she stood out in 2023 and was
appointed to lead the establishment of the Pharmacovigilance Department. She took the lead in sorting out business processes, ◆ In accordance with laws and regulations, the Company provides all employees with five social insurances including
building a basic documentation system, and establishing an adverse reaction monitoring mechanism, becoming a key figure in the
pension, medical, unemployment, work-related injury and maternity, and the housing fund, safeguarding employees' basic
standardized launch of the department. With outstanding performance in system establishment, risk management and control and
rights and interests through statutory benefits.
cross-departmental collaboration, she formally assumed a leadership role, fully overseeing the optimization of Aurisco's
pharmacovigilance system, full-life-cycle safety monitoring, regulatory compliance management and team building, and has become a ◆ It offers PPE, regular physical examinations, free clinics and special health checkups for female employees to prevent
core backbone driving the Company's pharmaceutical safety management.
health risks.
◆ It provides meal subsidies, rental subsidies and transportation allowances to ease living burdens.
◆ It distributes carefully prepared welfare gifts during major traditional festivals such as Spring Festival, Mid-Autumn Festival
to convey corporate warmth and cultural identity.
◆ It also organizes team-building trips and customized training to empower career development and value realization.
Through standardized and humanized welfare management, Aurisco effectively strengthens its ability to attract, retain and motivate
talents, providing strong support for creating a harmonious and warm organizational atmosphere.
Focusing on employees' mental well-being, the Company provides professional psychological care and counseling channels, promotes
Case Together as One, Enjoy the Journey mental health literacy, and helps employees relieve stress and enhance inner strength. With in-depth spiritual care, the Company
consolidates a healthy workplace foundation, supporting employees to devote themselves to their work with a calm and positive
From August to September 2025, Aurisco organized its annual group tour. The tour covered six popular destinations including Xiamen, attitude, and achieving synchronized growth between individual development and the Company's high-quality development.
Pingtan in Fuzhou, Quanzhou, Wuyuan in Jiangxi, Lushan in Jiangxi, and Shanghai Disneyland. Employees could choose their preferred
destination based on personal interests. The Company engaged a professional travel agency to provide a full range of services including
safety assurance, itinerary planning and supporting arrangements, ensuring a safe, orderly and smooth trip. The company encouraged
employees to bring their families, so as to nurture both team cohesion and family warmth.
Working Conditions
Guided by the principles of "compliance, inclusiveness and co-creation", Aurisco is committed to providing employees with a healthy
and safe working environment and an equal and inclusive culture. Upholding the bottom line of labor rights and interests, the Company nt
liards Tourname
strictly abides by national laws and regulations on rest and leave, and effectively protects employees' right to rest and health. The Sports Meet Aurisco 4th Bil
Company fully implements the statutory working hour system and prohibits excessive overtime. For positions that do require overtime,
an approval procedure is implemented and overtime pay is provided in accordance with the law. The Company actively explores the
implementation methods and paths (such as the "core hours + flexible slots" flexible working model), granting employees greater
autonomy over their working time while ensuring orderly production and operation. The Company strives to optimize the working
environment and facilities, and endeavors to create a bright, clean, comfortable and barrier-free workplace for all employees. Through
standardized, people-oriented and diversified environmental improvement and institutional guarantees, the Company has achieved a
deep integration of decent work for employees and high-quality development of the enterprise, demonstrating Aurisco's sense of
responsibility and sincere care for its employees.
Fostering Warmth and Companionship
Aurisco has always taken employee well-being as the core of corporate culture development and high-quality growth. With a
comprehensive and multi-level care system, the Company supports the development and health of every employee. From the harmony
between work and life, to timely support in times of difficulty, and to spiritual comfort, the Company builds a workplace home featuring
a strong sense of belonging, happiness and security with responsibility and warmth, making humanistic care the solid foundation for
uniting people and achieving steady and long-term development.
Based on a compliant and people-oriented working hour and leave system, the Company scientifically arranges work plans and tasks,
integrating respect for individual value into management details. It not only guarantees a professional environment for efficient
performance, but also protects employees' time to accompany their families and enrich themselves, enabling compatible career
development and a better life, and building a warm workplace ecology.
The Company regularly carries out the activities of "Keeping Warm in Winter and Cool in Summer" to precisely meet employees'
seasonal needs, integrating humanistic care into daily life, so that every employee feels thoughtful warmth in changing weather and
enjoys a comfortable working environment.
Relying on a sound employee support mechanism, the Company promptly launches specialized care and assistance for employees
suffering from serious illnesses or unexpected difficulties, relieving their burdens with practical and warm measures. The Company's
Parent-Child
sense of responsibility becomes a strong force to protect every member, rooting a caring family culture in the team and uniting all Kite Paintin
g for Spring
nis Tournament
employees in solidarity. Aurisco 5th Table Ten
Promoting Employee Growth Building a Dual-Channel Growth Ladder
Based on the full career development life cycle of employees, combined with the Company's actual production and operation and job
Aurisco regards employee growth as the core driving force for the sustainable development of the enterprise. Upholding the characteristics, Aurisco focuses on four core areas of leadership advancement, technological innovation and achievement
corporate spirit of "holding integrity and responsibility, forging ahead with concerted effort, and keeping harmonious and win-win transformation, professional capability improvement, and technical operation enhancement. The Company has established four major
development", the Company has built a full-cycle employee development system covering training empowerment, career path job families of management, R&D, professional, and technical, with clear promotion standards, competency models, and development
development, internal mobility and performance incentives, laying a solid talent foundation for the strategic goal of "becoming a paths for each sequence. This forms a talent development system that ensures "platform for management, echleon for R&D, depth for
world-class pharmaceutical enterprise". professionals, and height for technicians".
Meanwhile, the Company has implemented a supporting "dual-channel" parallel mechanism to enable every employee to achieve
continuous advancement along a path that matches their personal strengths: vertically, employees are encouraged to pursue step-by-
Building a Full-Coverage Training System step or even cross-level promotion within their own sequence based on corresponding skill assessments and evaluations; horizontally,
the Company has opened up conversion channels between different sequences, supporting employees in realizing cross-sequence
Guided by the Company's development strategy, based on the post competency model and focused on the actual needs of employees, development in line with their career interests and professional advantages.
Aurisco provides customized training for all employees at different levels and in different categories. The Company has established a
The Company has established a fair, scientific, and objective career development evaluation system. Based on performance appraisal, it
curriculum system with core modules including compliance operation, system construction, skill improvement, health and safety, and
integrates career aptitude tests, career development intention surveys, personal capability assessment, and job competency models to
developed a three-in-one training platform of "online platform + offline practice + mentor coaching". This has formed a learning
form a multi-dimensional and dynamic talent profile. On this basis, the Company accurately matches job requirements with
ecosystem that covers all employees, all fields and the entire career development cycle, enabling every employee to receive targeted
development paths to ensure employees receive personalized development advice and resource support at key growth stages. At the
empowerment during onboarding, growth and promotion.
same time, the Company eliminates any discrimination or bias in the promotion process, effectively guaranteeing employees equal
development opportunities based on capability and performance.
Management Sequence Professional Sequence
Senior Management Senior Expert
Middle Management
Junior Management Expert
Skills Training
Core Staff
Case Yangzhou Aurisco Conducted Training Effectiveness Evaluation Experienced Staff
Yangzhou Aurisco takes effectiveness evaluation as a key measure in employee training, continuously tracking and assessing training Onboarding
quality and application results to implement a dual closed-loop management of training outcome implementation and capability
improvement. Career Development "Dual-Channel" Diagram
Unblocking the Dynamic Rotation Mechanism for Talent Vitality
In 2025, Yangzhou Aurisco implemented a total of 141 thematic training programs with 5,895 sessions,
Aurisco regards internal job rotation as a key accelerator for talent development. The
achieving 100% employee training coverage. Company has systematically designed a "three-dimensional job rotation mechanism",
which includes: vertical rotation for capability building to support promotion within the
same sequence, horizontal rotation to enhance cross-departmental collaboration and
broaden interdisciplinary vision, and project-based rotation to sharpen practical problem-
During the year, the Human Resources Department organized 4 rounds of training effectiveness evaluations (once per quarter) using solving abilities through major tasks. This mechanism comprehensively improves
sampled written assessments. The evaluations continuously verified training effectiveness covering basic EHS knowledge, general employees' strategic thinking, cross-domain capabilities and holistic vision.
production knowledge, basic warehousing knowledge, quality control/management, engineering equipment, and production processes
Based on personalized career planning guidance for employees, and taking into account
for various products. A total of 641 person-times were sampled throughout the year, with an average sampling rate of 32.34%. The their capabilities and the Company's development needs, we provide direction for
average passing rate of employees reached 100% based on the sampled assessments. This result demonstrates that the training employees' cross-departmental and cross-post development. Relying on open and
provided by Yangzhou Aurisco is solid in content and efficient in transformation, effectively supporting the improvement of employees' transparent recruitment procedures, we have established an internal job competitive
post competency and meeting the requirements of corporate development. selection system to ensure that every employee has access to development opportunities
Job Rotation Training
matching their capabilities through fair competition. By fully implementing the internal
rotation program, Aurisco has achieved synchronized growth between employee capability
improvement and organizational vitality enhancement.
Building a Performance-Driven Incentive Ecosystem Safeguarding Health and Safety
Centered on the themes of "strategic focus, value creation and efficiency improvement", Aurisco strictly implements its performance
management system and annual appraisal plan under the guidance of "effective goal alignment, strengthened communication in
process and differentiated application of results", so as to promote full-cycle employee performance management in an orderly Improving the Management System
manner.
Aurisco strictly complies with the Workplace Safety Law of the People's Republic of China , the Law of the People's Republic of China on
We require managers at all levels to set clear, specific and challenging goals together with their subordinates based on the
Prevention and Control of Occupational Diseases and other relevant laws and regulations. Adhering to the policy of "reducing
Company's annual business objectives, and provide effective guidance and support during work execution. We conduct regular
environmental pollution, continuously improving workplace safety technologies, upgrading employees' working environment,
performance appraisals and provide objective feedback through one-on-one interviews, helping employees formulate performance
eliminating major environmental and safety incidents, and protecting employees' occupational health and safety", the Company has
improvement plans. We take performance results as the key basis for measuring work achievements, professional competence,
formulated the Environmental, Health and Safety (EHS) Management Manual and supporting systems , and established a professional
compensation adjustments, job assignments, promotions, commendations and professional title evaluations. Timely and targeted
EHS management department, clarifying the responsibilities and objectives of all departments to ensure the effective implementation
incentives are given to employees based on their value contribution, truly forming a management ecosystem where "the capable
and maintenance of the occupational health and safety management system. The Company strives to build a healthy, hygienic and safe
advance, the competent adjust and the incompetent exit".
working environment to effectively protect employees' occupational health and life safety. In 2025, Aurisco, Yangzhou Lianao and
Employees who disagree with their performance appraisal results may communicate with their direct supervisor or department head.
Yangzhou Aurisco maintained the validity of the ISO 45001 Occupational Health and Safety Management System certification.
If no consensus is reached, they may file an appeal to higher-level management.
Case Yangzhou Aurisco Continuously Improves Performance Evaluation Effectiveness
Yangzhou Aurisco has continuously enhanced performance evaluation effectiveness focusing on strategic deployment, talent
assessment, incentive allocation and development improvement.
In 2025, based on strategic priorities including production cost control and market share expansion, Yangzhou Aurisco scientifically
decomposed annual organizational performance objectives and set departmental/team KPIs, effectively translating corporate strategy
into measurable and actionable key performance indicators at all levels. In optimizing the performance evaluation scheme, the Company
introduced the “OKR” management mindset on a pilot basis, combining it with traditional KPI appraisal to strengthen guidance for
innovative and challenging work. It promoted and implemented the “performance review and feedback” mechanism, requiring
managers and employees to conduct formal performance communication at least once per quarter to review progress, identify
obstacles and provide guidance, which fundamentally changed the previous practice of “emphasizing annual evaluation while
neglecting process management” .
ISO 45001 Occupational Health and Safety Management System Certification Certificate
The year-end centralized performance evaluation was successfully completed, with 100% employee
participation.
Occupational Health and Safety Commitments
Going forward, Yangzhou Aurisco will focus on “improving goal-setting quality, empowering managers, expanding result application
● Abide by laws and regulations, and enhance safety awareness
scenarios and exploring collaborative contribution evaluation” , to continuously upgrade performance evaluation effectiveness.
● Put prevention first, and improve safety facilities
● Exercise strict control, and ensure safety performance
Occupational Health and Safety Objectives
● Zero accidents involving personnel poisoning, serious injury or death (including contractors working on site)
● Zero major fire and explosion accidents (requiring presence of the county emergency bureau, fire brigade
and environmental protection bureau)
● Zero occupational disease accidents
● Zero food poisoning incidents
● 100% signing rate of workplace safety responsibility documents
● 100%completion of risk identification and control
Strengthening Workplace Safety Regulating Special Operations
Aurisco implements access control for special operations in accordance with regulatory requirements. Operators and managers must
Aurisco has always regarded workplace safety as the lifeline of enterprise development, with the rigid goals of "zero accidents, zero pass examinations by the national special equipment safety supervision authority and hold certificates to take posts. Users of special
injuries and zero pollution". We continuously consolidate the safety foundation through regular employee training, EHS risk equipment conduct regular inspections on equipment operation status and keep records. The equipment management department
assessments, safety inspections and hazard identification. organizes comprehensive inspections and maintenance quarterly, handles abnormalities in a timely manner, and coordinates suppliers
or testing institutions for issues that cannot be resolved internally. Meanwhile, the Company entrusts qualified institutions to conduct
regular inspection and verification on special equipment, safety protection devices, measuring instruments and other key components
Focusing on Education and Training to ensure technical parameters meet specifications, and prohibits the use of overdue or unqualified equipment.
We carry out Company-wide occupational health and safety training (including but not limited to three-level safety education for new
employees, daily pre-shift meetings, general safety education, safety operation skill training, specialized safety knowledge training, and
special operation training, etc.). This continuously enhances employees' awareness of workplace safety risks and operational
capabilities, preventing and eliminating safety risks during production operations.
Special Topic: Chemical Safety Management
Aurisco has formulated internal systems and operating procedures including the Safety Management System for
Hazardous Chemicals and the Management System for Precursor Chemicals in accordance with national laws,
regulations and standards. Through classified management of chemicals, establishment of dynamic ledgers, and full-
life-cycle tracking, the Company fully standardizes safety management in all links of chemical procurement,
transportation, storage, loading and unloading, use and waste disposal, so as to prevent safety and environmental
risks caused by chemical accidents.
The Company attaches great importance to chemical safety training and has established a Company-wide and
regular training system focusing on the characteristics of raw materials and products, operating specifications,
storage and transportation safety. Through case teaching, on-site operation and emergency drills, the Company
improves employees' ability in risk identification and emergency response, ensuring that all employees master key
skills such as leakage disposal and alarm interlock operation, so as to build a strong safety barrier for production.
The Company has established and improved a raw material incoming verification mechanism. In accordance with the
national List of Hazardous Chemicals and environmental standards, the Company verifies the production legitimacy,
Workplace Safety Training
qualification and quality sampling of suppliers. For all chemicals purchased and delivered to the factory, suppliers are
required to provide Material Safety Data Sheets (MSDS), so as to fully identify the risks of relevant chemicals and
formulate targeted management plans.
The Company strictly follows the principle of "classified storage, seepage prevention and leakage prevention". Anti-
Strengthening Risk Prevention and Control seepage, anti-loss and anti-diffusion devices and facilities are installed in key places and facilities involving chemicals.
The Company conducts regular inspections on barrier facilities and systems to detect and rectify potential hazards in
Aurisco regularly identifies hazard sources in operational activities, production sites, products and services, conducts risk assessment a timely manner.
on the identified hazards, establishes a hazard list and identifies major hazard sources. Based on these, the Company formulates risk
The Company adopts an intelligent control system in the production process to prevent chemical leakage risks
control measures to ensure effective control of occupational health and safety risks and prevent health and safety accidents.
through "digital and intelligent" management and control of the process. Regular inspections of equipment and
For new construction, reconstruction and expansion projects, the Company carries out project safety assessment and occupational facilities are carried out to detect and eliminate potential chemical leakage hazards in a timely manner. Automatic
hazard assessment in accordance with the "three simultaneous" requirement, conducts the design and construction of safety facilities, monitoring and alarm systems are installed in high-risk links to realize real-time monitoring and interlock control of
and fully invests resources in configuring occupational health and safety protection facilities to enhance intrinsic safety. During the key parameters such as temperature, pressure and liquid level, ensuring a safe and controllable production process.
reporting period, Aurisco carried out safety assessment for the "New Production Line Project of 110 Tons of Characteristic APIs and
The Company sets up "notification boards", "warning signs" and "risk identification boards" at prominent positions in
Intermediates per Year". Yangzhou Lianao and Yangzhou Aurisco conducted safety status assessment in accordance with regulatory
all places involving chemicals, and provides relevant operating manuals to guide operators to identify hazard sources
requirements.
and risk factors, prevent operational risks, enhance safety awareness and comply with operating specifications.
The Company continues to increase investment in workplace safety, installing sequence control, safety interlock, inerting protection,
visualization systems at high-risk points in the process. Through technological upgrading and standardized management, the Company
relies on an intelligent monitoring platform to collect key process parameters in real time, automatically issue early warnings for
abnormal fluctuations and activate the emergency response mechanism, so as to improve the safety protection level of the process.
Enhancing Safety Emergency Response
Promoting Hazard Investigation
Aurisco has formulated the Production Safety Accident Emergency Plan and supporting emergency response procedures, established a
Aurisco has formulated a dual prevention mechanism management system for workplace safety and relevant hazard investigation safety emergency command organization and an on-duty emergency center, set up an emergency response team, and equipped safety
procedures, and effectively promotes the hierarchical control of safety risks and the investigation and management of hazards. In emergency resources including protective equipment, transportation tools and medical treatment facilities. This ensures timely response
accordance with internal regulations, safety officers or department heads organize monthly comprehensive inspections, quarterly and efficient disposal in the event of a safety emergency, minimizing potential harm from accidents. The Company provides all
specialized inspections, as well as specialized inspections during major festivals and special weather conditions. Problems and hazards employees with training on emergency rescue plans and organizes emergency drills to maintain and enhance employees' emergency
identified in the inspections are immediately addressed with rectification measures. awareness and response capabilities.
Case National Fire Prevention Day Themed Training
On November 7, 2025, the Company held a dedicated firefighting practical training for new employees. Focusing on "theoretical
foundation + practical capability enhancement", the training helped new employees transform from "understanding knowledge" to
"mastering operation", enabling them to build a strong safety awareness from the beginning of employment.
Safety Debate Competition
Focusing on three topics of "Priority of Safety Assessment", "Safety Assurance Model" and "Production Process Control", debaters drew
from real work experience and raised long-standing difficulties and pain points, making it a genuine "safety discussion" with full
employee participation.
Enterprise and Home, Safety Together
Building on the successful experience of previous activities such as "A Letter Home" and "Family Safety Messages", the Company held
the theme activity "Enterprise and Home, Safety Together". By inviting family members of frontline managers to experience daily work
Promoting Safety Culture on site, the Company built a dual safety reminder mechanism between the enterprise and families, extended safety culture to families,
and strengthened the consensus of "safety for all".
Aurisco adheres to the core philosophy of “Everyone talks about safety, everything is for safety, safety is always on mind, and safety is
required everywhere” , integrating safety awareness into daily code of conduct and values. Through safety culture walls, team safety
micro-lessons, safe production month activities and other channels, the Company continuously promotes safety culture, turning safety
concepts from “on the wall” into “in the heart” and from “slogans” into “actions” .
Case Safe Production Month
In June 2025, Aurisco launched a series of Company-wide safe production month activities under the theme “Everyone Talks About
Safety, Everyone Can Respond——Find Hidden Safety Hazards Around Us” , laying a solid foundation for continuous safety
management.
This safe production month included four major activities: comprehensive emergency drill, safety debate competition, “Enterprise and
Home” , and “Double Zero” goals. The comprehensive emergency drill consolidated practical capabilities, the safety debate stimulated
critical thinking among all employees, the “Enterprise and Home” activity gathered family strength, and the “Double Zero” goals "Double Zero" Goals
demonstrated achievements in on-site risk identification and hazard management.
The Company officially launched the "Double Zero" goals on June
Comprehensive Emergency Drill 3, 2025, encouraging employees to voluntarily identify risks and
The drill adopted an innovative model for the first time "only the core scenario and accident background were defined, while specific proactively manage hazards. Among them, Workshop 802 took
response details and unexpected situations were handled flexibly by each emergency team according to on-site conditions, rather than the lead in achieving the "Double Zero" goals, injecting strong
following a fixed procedure throughout". This fully verified the scientificity of the emergency plan and the team's practical capabilities, momentum into the continuous improvement of safety
accumulating valuable experience for responding to actual emergencies. management.
Protecting Occupational Health Improving People's Well-being
Aurisco strictly complies with the Law of the People's Republic of China on Prevention and Control of Occupational Diseases , the
Guided by the public welfare philosophy of "Caring for Life, Caring for Health, Serving the Society, and Pursuing Sustainable
Regulations on the Administration of Occupational Health at Workplaces and other relevant laws, regulations and regulatory
Innovation", Aurisco leverages its product strengths to improve medical accessibility and empowers public welfare through
requirements. The Company has established a dedicated department with professional personnel responsible for occupational health
industrial development. The Company strives to foster a sound atmosphere where "charity is accessible to all and public welfare is
management. It has formulated internal systems and operating specifications including the Occupational Health Management System
within everyone's reach", integrating goodwill into daily life and extending warmth to every corner. It actively promotes the sharing
and Occupational Hazard Monitoring System , clarifying management standards, objectives and responsibilities, implementing
of development achievements with society and continuously improves people's well-being in growth.
accountability at all levels, and refining implementation plans and measures. This ensures full-coverage, full-process and full-cycle
closed-loop management of occupational disease prevention and protection, effectively safeguarding employees' occupational health
rights and interests.
The Company continuously provides occupational health training and education, covering new employee onboarding, in-service
rotation training and specialized intensive training for high-risk positions. Occupational health management systems and operating Special Topic: Fulfilling Social Responsibility and Advancing Medical Accessibility
procedures are posted at prominent workplace locations and key posts to strengthen employees' daily conduct and risk prevention
awareness. The Company has built supporting occupational health protection facilities and equipment, and provides employees with
Medical accessibility is a core pillar of the social medical security system, bearing on people's health and social equity.
national-standard PPE suitable for their positions, effectively building the first line of defense for occupational health protection.
Upholding the corporate mission of "creating a better world through providing our clients the highest quality
In accordance with laws and regulations, the Company identifies occupational disease hazards and conducts occupational hazard pharmaceutical products", Aurisco regards advancing medical accessibility and supporting the development of the social
status assessments. It entrusts qualified third-party institutions to carry out annual regular monitoring of occupational disease hazards medical security system as key social responsibilities. Through diversified measures including R&D innovation for clinically
in the workplace, providing a scientific basis for occupational disease prevention and health management, and dynamically optimizing urgent medicines, quality improvement and affordable pricing, active participation in the medical insurance system, and
prevention and control strategies, protection facilities and operating procedures accordingly. public welfare assistance, the Company brings high-quality pharmaceutical resources to more people and contributes to
The Company has established an occupational health surveillance and archive management system. Employees exposed to a stronger social medical security system.
occupational disease hazards receive pre-job, in-service and post-employment occupational health examinations, with individual health
archives established and dynamically updated, ensuring a 100% examination coverage rate and archive integrity rate. The Company ◆ Focusing on Clinical Urgency to Break Access Barriers through Generic and Innovative Drugs
provides onboarding, annual, special and departure physical examinations for all employees, effectively protecting the life safety and
physical health of every employee. Based on the characteristics of the biopharmaceutical industry, the Company precisely targets unmet clinical needs,
focusing on R&D in various areas. Through generic drug breakthroughs and innovative technologies, it has broken the
monopoly of imported medicines and greatly improved the accessibility of critical drugs.
● Tackling Medicine Shortages in Female Health
Case Yangzhou Aurisco Promoted Solid Occupational Health Management
In response to the monopoly and high prices of imported drugs for menopausal syndrome, the Company increased
investment and developed Packaging Estradiol Tablets/Estradiol and Dydrogesterone Tablets, which was approved for
Yangzhou Aurisco takes "zero occupational disease incidence" as its core goal and has set up a production in November 2025 as the first generic + first consistency-approved product in China. The product price is
leading group for occupational health, with the General Manager as the group leader and significantly lower than that of imported originator drugs, this product has made high-quality hormone replacement
department heads as members, to coordinate and promote occupational health management. therapy affordable and accessible to millions of Chinese women, effectively improving medical accessibility in female
health.
In 2025, based on actual production and operation, Yangzhou Aurisco systematically sorted
out occupational disease hazard risk points in each process and conducted a comprehensive, ● Building a Pharmaceutical Pipeline for Major Diseases
full-coverage occupational health status assessment of existing projects. Meanwhile, pre-
Focusing on major diseases such as female health and oncology, the Company continues to advance the integrated layout
assessment of occupational disease hazards and assessment of control effects were carried
of APIs and formulations. Faced with the high cost of original drugs and heavy patient burden, it is committed to
out for new projects constructed in the year. On this basis, Yangzhou Aurisco comprehensively
developing clinically urgent generic drugs to break monopolies and reduce patients’ medication expenses.
upgraded protection facilities and risk control measures, added 2 new management systems
and revised 3 existing ones, establishing a system of 15 occupational health management ◆ Deepening Medical Insurance Collaboration, and Facilitate the Implementation of Medical Security through
systems covering occupational disease prevention, hazard warning and notification, achieving Policy Coordination
dual improvement in system development and risk prevention and control. Occupational Hazard Notification Card
The Company actively aligns with national medical insurance policies. Leveraging large-scale production advantages and
The Company publicizes the monitoring and assessment results of occupational health hazards to all employees and clearly informs
process optimization for cost control, it proactively lowers product prices while ensuring quality, supporting the efficient
them of the occupational health risks at their posts. Through posting occupational hazard notification cards, organizing specialized
use of medical insurance funds.
training and conducting emergency drills, the Company continuously improves employees' self-protection capabilities and risk response
levels. We take the initiative to participate in medical insurance catalog access and volume-based procurement. Through policy
Yangzhou Aurisco insists on providing regular health examinations and specialized occupational disease screenings for employees. coordination and market collaboration, the Company promotes the inclusion of high-quality drugs in the medical security
system, supports the hierarchical diagnosis and treatment system, addresses shortages in primary medical resources, and
extends medical security services to the grassroots, ensuring that the benefits of medical insurance directly reach patients.
The Company’ s core product Dydrogesterone Tablets was successfully included in the Beijing-Tianjin-Hebei “3+N”
Alliance Volume-Linked Procurement Catalog. The economies of scale of alliance procurement further reduced drug
In 2025, Yangzhou Aurisco provided occupational health examinations for 346 on-the-job employees
prices, and medical insurance payment policies significantly eased patients’ out-of-pocket expenses. By the end of 2025,
exposed to occupational hazards, with an occupational disease incidence rate of 0. Dydrogesterone Tablets had been adopted by 9120 hospitals (including community hospitals), effectively improving drug
accessibility and security.
Social Welfare Initiatives
◆ Strengthening Quality Management and Control to Consolidate the Foundation of Healthcare Security
Through Standardization Enhancement Donating for Education, Cultivating Outstanding Talents
The Company has always regarded drug quality as its lifeline. By improving its quality management system and advancing Aurisco strongly supports educational innovation and talent development. Through
international standard certifications, it ensures stable and reliable quality for every batch of drugs. Through technological student assistance, competency development, and specialized support programs, the
innovation and optimized production processes, the Company enhances production efficiency, further stabilizes drug Company helps improve infrastructure and education quality at local schools, injecting
quality and reduces production costs, providing high-quality support for the medical security system with "high-quality new vitality into the high-quality development of regional education and empowering
and accessible" products. the construction of a "modern, harmonious and prosperous city".
Meanwhile, the Company continues to expand production capacity. To date, the annual capacity of Dydrogesterone
Tablets has reached 200 million tablets, and capacities for Packaging Estradiol Tablets/Estradiol and Dydrogesterone
Tablets, Semaglutide API and other products are gradually being released. Adequate capacity ensures stable supply of
drugs included in medical insurance and volume-based procurement, safeguarding the stable operation of the medical
security system.
In 2025, the Company donated 300,000 yuan to Chicheng Middle School for targeted support, and provided a specialized
◆ Fulfilling Social Responsibility to Expand the Boundaries of Medical Security Through Public Welfare
Initiatives fund of 1 million yuan for the construction of a science and innovation laboratory at the Foreign Language School.
While promoting affordable medicines, the Company actively carries out public welfare assistance, extends the coverage
of medical security services, supports the medical needs of vulnerable groups, and demonstrates its corporate social
responsibility. Assisting Persons with Disabilities for Common Prosperity
On May 15, 2025, in celebration of the 35th "National Disability Day", Aurisco actively responded to the call of the Tiantai County
"Compassion for Bright Journey"——Guarding Clear Sight, Illuminating Harmonious
Case Committee of the Chinese People's Political Consultative Conference and participated in the first donation of the Committee Members'
Tiantai County
Fund for Assisting Persons with Disabilities and Promoting Common Prosperity, supporting the development of services for persons
with disabilities through concrete actions. Over the years, Aurisco has not only provided financial support but also created job
In 2025, Aurisco joined hands with the Tiantai County Red Cross and relevant townships to support Tiantai Luoweirong
opportunities to help persons with disabilities secure employment, increase income and integrate into society, contributing to common
Eye Hospital in launching the "Compassion Bright Journey" public welfare project. During the year, the project assisted a
prosperity and spreading social warmth.
total of 610 people, including subsidies for 78 low-income, destitute and disabled individuals, with a total assistance
amount of 341,400 yuan. The Company supported the in-depth implementation of the "Volunteer Services to Every
Village, Compassionate Care for All Villagers" free medical clinic series, holding 215 events and serving 7,289 people.
Through the service model of "going to villages and entering enterprises", the Company provided free eye examinations
and health consultations. A total of 53 eye health lectures were held throughout the year, benefiting 2,140 people. In
addition, free surgeries were provided to 33 people in extreme poverty, low-income marginal families and elderly cataract
patients, guarding eyesight with professionalism and warming hearts with care.
Orange Love Safeguards Peace and Stability
On June 6, 2025, Aurisco donated another 100,000 yuan to the
County Red Cross, earmarked for the purchase of anti-drowning
equipment under the "One Circle, One Pole, One Rope" program.
Since 2023, the Company has donated 100,000 yuan annually to
support the local "Tiantai Orange Life Circle" anti-drowning
public welfare campaign.
To date, life-saving equipment has been installed at more
than 850 high-risk locations across the county.
New Year Warmth Spreads Care and Kindness 2025 Charitable Donation Projects
On January 17, 2025, ahead of the Spring Festival, Aurisco presented 1,550 "Spring Festival gifts" to front-line sanitation workers in
Tiantai County, expressing sincere care and best wishes. Amount
Entity S/N Project Description Category Signing Party Date
(10,000 yuan)
For a long time, Aurisco has actively promoted the social ethos of "Honor Labor, Together with Care". With concrete actions, it calls on
all sectors of society to understand and value the hard work of workers, joins hands with all forces to build a warmer and more inclusive
social environment, and injects sustained momentum into improving public well-being and promoting urban civilization. Caring Enterprise Matching Donation for
"Tiantai Orange Life Circle" Project
Assisting Persons with Disabilities and Humanitarian Zhejiang Tiantai Charity
Promoting Common Prosperity Relief Federation
Tiantai Compassion Bright Journey Medical &
Public Welfare Project Health
Commendation for Outstanding Students
and Teachers & Improvement of School Education Tiantai County Education
Conditions at Tiantai Chicheng Middle Development Foundation
School
Pure Loyalty Gathers Warmth and Kindness Elderly Condolence on Double Ninth
Aurisco 5 Elderly Care Tiantai Charity Federation 2025.10 3
Festival in Badu Village
On November 21, 2025, Aurisco organized another voluntary blood donation campaign. Employees responded enthusiastically, with 64
employees donating a total of 24,000 milliliters of blood. This practical action embodies the volunteer spirit of "Dedication, Friendship,
Mutual Assistance and Progress" advocated by Aurisco, and vividly demonstrates the Company's profound humanistic care and firm Science and Innovation Laboratory at Education Tiantai County Education
social responsibility. 6 2025.10 100
Tiantai Foreign Language School Development Foundation
Rural
Development
Infrastructure Construction in Daluxia Rural
Village Development
Gynecological Endocrinology and Medical and Peking Union Medical
Reproductive Medicine Development Fund Health Foundation
Charity Association of Chahe
Yangzhou
Aurisco
District, Yangzhou
Charity Association of Chahe
Yangzhou
Lianao
District, Yangzhou
Total 204.5
Future Outlook
"Where ambition leads, no distance is too far; where purpose guides, we march with
sincere heart." At the forefront of sustainable development, Aurisco deeply understands
that the journey of pharmaceutical development never ends, and the practice of
responsibility knows no bounds. Going forward, we will always uphold our original
aspiration of "serving the people and safeguarding health", elevate ESG principles into
core corporate competitiveness, and forge steadily ahead on the path of high-quality
development.
In environmental protection, we will further promote the integration of green
production and ecological conservation, empower low-carbon transformation through
technological innovation, and make green the most distinctive hallmark of the
Company's development.
In social responsibility, we will remain committed to affordable healthcare, use
technological innovation to break through barriers to health accessibility, enable high-
quality medical resources to benefit more people across regions, and convey the
responsibility and warmth of the pharmaceutical industry with humanistic care.
In governance improvement, we will continue to refine a compliant and transparent
governance system and consolidate the foundation of development with higher
standards. Upholding the philosophy of "symbiosis and shared prosperity", we will join
hands with partners and all sectors of society to build a stable, green and win-win
industrial and social ecosystem.
The road ahead is long and arduous, but progress will lead to arrival. Aurisco will take
firmer conviction and more practical actions to integrate ESG practices into every detail
of R&D, production and services. We will forge courageously toward the goal of
"becoming a world-class pharmaceutical enterprise", write a new chapter of
responsibility in the new era on the journey of protecting life and health and advancing
sustainable development, and embrace a better future together with society!
Appendixes Labor and Human Rights Performance
Labor Protection Performance
Key Performance
Indicator Unit 2025 2024 2023
Governance Performance Total number of employees Person 2026 1784 1521
Number of new employees Person 367 380 292
Business Ethics Performance
Indicator Unit 2025 2024 2023
Number of employees with disabilities Person 7 7 7
Coverage rate of business ethics training % 100 100 100 Number of female employees Person 674 599 407
Average hours of business ethics training per employee Hour 2.5 2 2 Percentage of female employees % 33.27 33.58 26.76
Number of whistleblowing cases (in terms of business ethics) Case 0 0 0 Number of executives Person 8 8 8
Number of confirmed corruption incidents Case 0 0 0 Number of female executives Person 4 4 4
Percentage of female executives % 50 50 50
Product and Industry Performance Number of Board of Directors Person 9 9 9
Number of female directors Person 1 1 1
Customer Health and Safety Performance
Indicator Unit 2025 2024 2023
Percentage of female directors % 11.11 11.11 11.11
Number of non-compliance incidents related to health and safety impacts of products and Number of employees with doctorate degree and above Person 16 14 11
Case 0 0 0
services
Number of employees with master degree Person 162 138 109
Number of product recall incidents Time 0 0 0
Number of employees with bachelor's degree Person 758 669 529
Number of employees with junior college degree Person 494 387 318
Marketing and Labeling Performance
Indicator Unit 2025 2024 2023
Number of non-compliance incidents related to product and service information and labeling Case 0 0 0 Employee Training and Development Performance
Number of non-compliance incidents related to marketing communications Case 0 0 0 Indicator Unit 2025 2024 2023
Total investment in training RMB 10,000 37.555 17.806 4.776
Information Security Performance Number of employees receiving training Person-time 68198 55072 44038
Indicator Unit 2025 2024 2023 Number of training sessions Time 8068 6520 5084
Coverage rate of information security training % 100 100 100 Training coverage rate % 100 100 100
Number of confirmed information security incidents Case 0 0 0 Percentage of employees undergoing skills-related training % 100 100 100
Verified complaints involving infringement of customer privacy and loss of customer data Case 0 0 0 Percentage of employees undergoing career development planning and evaluation % 100 100 100
Occupational Health and Safety Performance Waste Gas Performance
Indicator Unit 2025 2024 2023
Occupational Health Performance
Nitrogen oxide Ton 2.0544 1.6692 2.45
Indicator Unit 2025 2024 2023
Total non-methane hydrocarbons Ton 4.0789 6.38 4.7534
Number of employees undergone occupational health examination (onboarding) Person 484 520 384
Sulfur dioxide Ton 0.3651 0.1656 0.1896
Number of employees undergone occupational health examination (on-post) Person 1054 903 769
Number of employees diagnosed with occupational diseases (on-post) Person 0 0 0
Waste Performance
Indicator Unit 2025 2024 2023
Number of employees diagnosed with occupational contraindications (on-post) Person 2 2 6
Number of employees undergone occupational health examination (off-post) Person 100 65 75
Total general waste generated Ton 516.37 179.46 137.67
Number of employees diagnosed with occupational diseases (off-post) Person 0 0 0
General waste treated Ton 516.37 179.46 138.54
Number of employees diagnosed with occupational contraindications (off-post) Person 0 0 0
Total hazardous waste generated Ton 5286.65 4571.91 3921.64
Coverage Rate of Employee Physical Exam (for positions with occupational hazards) % 100 100 100
Hazardous waste transferred Ton 5234.17 4571.91 3921.64
Occupational Safety Performance Water Resource Performance
Indicator Unit 2025 2024 2023 Indicator Unit 2025 2024 2023
Number of employee fatalities Person 0 0 0 Total water consumption Ton 402603 320968 261670
Lost workdays due to work-related injuries Case 10 5 6 Total wastewater discharge Ton 273113.15 233441.50 203725.49
Number of transport accidents Time 0 0 0 Number of water quality noncompliance incidents Time 0 0 0
Number of lost workdays due to work-related injuries Day 262 354 196
Energy Performance
Coverage rate of safety training for on-the-job personnel % 100 100 100
Indicator Unit 2025 2024 2023
Natural gas m3 300306 206387 218948
Environmental Performance Diesel Liter 7381 7912 6100
Gasoline Liter 12467.02 13606.33 16551
Environmental Management Performance
Purchased electricity kWh 62007814 53162792 44965610
Indicator Unit 2025 2024 2023
Purchased steam Ton 84146 66936 56352
Percentage of employees trained on environmental management % 100 100 100
PV power generation kWh 292074 / /
Percentage of operational sites undergoing environmental risk assessment % 100 100 100
GHG Performance
Wastewater Performance
Indicator Unit 2025 2024 2023
Indicator Unit 2025 2024 2023
Direct GHGs emissions (Scope 1) tCO2e 1953.617 2731.19 2014.95
COD (sewer-connected amount) Ton 18.827 22.0443 20.068
Indirect GHGs emissions (Scope 2) tCO2e 50947.4758 57520.25 48964.95
Ammonia nitrogen (sewer-connected amount) Ton 0.4014 0.9681 0.447
Indirect GHGs emissions (Scope 3) tCO2e 22144.0379 25694.61 20637.52
Total nitrogen (sewer-connected amount) Ton 3.2632 3.2507 1.905
Total phosphorus (sewer-connected amount) Ton 0.2487 0.187 0.158
The environmental performance primarily sourced from the Company's three production bases.
Indicator Index GRI 3: Material Topics 2021
GRI Content Index
The Company has reported the information cited in this GRI content index for the period from
Statement of Use
January 1, 2025, to December 31, 2025 with reference to the GRI Standards GRI 102: Climate Change 2025
GRI 1 used GRI 1: Foundation 2021
Disclosure Topics/ Disclosure Title Section Index
Disclosures
GRI 2: General Disclosures 2021
Organizational details About Aurisco 102-4 GHG emissions reduction targets and progress Climate Change Response
Workers who are not employees N/A
GRI 201: Economic Performance 2016
Role of the highest governance body in overseeing the Protection of Employees' Rights and
management of impacts
Collective knowledge of the highest governance body ESG Management
GRI 205: Anti-corruption 2016
GRI 206: Anti-competitive Behavior 2016
Compliance with laws and regulations See Corresponding Chapters GRI 302: Energy 2016
GRI 303: Water and Effluents 2018 GRI 403: Occupational Health and Safety 2018
GRI 404: Training and Education 2016
Standardization of Pollution and Waste
Treatment
Percentage of employees receiving regular performance and career
GRI 305: Emissions 2016 development reviews
Corporate Governance Strengthening
Protection of Employees' Rights and
Interests
GRI 407: Freedom of Association and Collective Bargaining 2016
GRI 306: Waste 2020
association and collective bargaining Interests
GRI 408: Child Labor 2016
Standardization of Pollution and Waste
Treatment 408-1 Operation and supply chain points with significant risk related to child labor
Interests
GRI 409: Forced or Compulsory Labor 2016
Standardization of Pollution and Waste
Treatment
Operation and supply chain points with significant risk related to forced or Protection of Employees' Rights and
compulsory labor Interests
GRI 413: Local Communities 2016
GRI 308: Supplier Environmental Assessment 2016
Operation points with local community engagement, impact assessments, and
development programs
communities
GRI 401: Employment 2016
GRI 414: Supplier Social Assessment 2016
Benefits provided to full-time employees that are not provided to temporary or Protection of Employees' Rights and 414-2 Negative social impacts in the supply chain and actions taken Sustainable Supply Chain
part-time employees Interests
GRI 415: Public Policy 2016
Protection of Employees' Rights and
Interests
GRI 416: Customer Health and Safety 2016
GRI 403: Occupational Health and Safety 2018
Incidents of non-compliance concerning the health and safety impacts of
GRI 417: Marketing and Labeling 2016
Worker participation, consultation, and communication on occupational health
and safety 417-2 Key Performance
labeling
GRI 418: Customer Privacy 2016
Prevention and mitigation of occupational health and safety impacts directly Substantiated complaints concerning breaches of customer privacy and losses
linked by business relationships of customer data
TCFD Content Index SASB Content Index
Dimensions Disclosure Corresponding Chapter Topic Metric Code Corresponding Chapters
Gross global Scope 1 emissions (percentage covered
RT-CH-110a.1 Key Performance
a) Describe the board's oversight of climate-related risks under emissions(limiting regulations)
Disclose the organization's and opportunities.
Greenhouse Gas Emissions
Discussion of long- and short-term
governance around climate- Climate Change Response
Governance strategy or plan to manage Scope 1
related risks and - Governance RT-CH-110a.2 Key Performance
emissions, emissions reduction targets, and an analysis
opportunities b) Describe management's role in assessing and
of performance against those targets
managing climate-related risks and opportunities.
Air Quality Air pollutant emissions (NOx, SOx, VOCs, and HAPs) RT-CH-120a.1 Key Performance
Energy Management
a) Describe the climate-related risks and opportunities Total energy consumed, percentage grid electricity,
RT-CH-130a.1 Key Performance
percentage renewable and total self-generated energy
the organization has identified over the short, medium,
Disclose the actual and
and long term. Total water withdrawn, total water consumed
potential impacts of climate-
(percentage of each in regions with High or Extremely RT-CH-140a.1 Key Performance
related risks and High Baseline Water Stress)
b) Describe the impact of climate-related risks and
Water Management
opportunities on the Climate Change Response
Strategy opportunities on the organization's businesses, strategy, Number of water quality violations RT-CH-140a.2 Key Performance
organization's businesses, - Strategy
and financial planning.
strategy, and financial Optimization of Resource
Water management risks and mitigate strategies RT-CH-140a.3
planning where such Utilization
c) Describe the resilience of the organization's strategy,
information is material
taking into consideration different climate-related Hazardous Waste Amount of hazardous waste generated and
Management
RT-CH-150a.1 Key Performance
scenarios, including a 2° C or lower scenario. percentage recycled
Community Relations
Discussion of engagement processes to manage risks
RT-CH-210a.1 /
and opportunities associated with community interests
a) Describe the organization's processes for identifying
and assessing climate-related risks. Total recordable incident rate (TRIR) and fatality rate
RT-CH-320a.1 Key Performance
Workforce Health &
(direct employees and contract employees)
Disclose how the Safety Long-term health risks assessment and mitigation Safeguarding Health and
Climate Change Response
Risk organization identifies, b) Describe the organization's processes for managing
measures
RT-CH-320a.2
Safety
Management
- Impact, Risk and
assesses, and manages climate-related risks.
Product Design for Use-phase
Opportunity Management Revenue from efficiency resource efficient design
climate-related risks
Efficiency
RT-CH-410a.1 Practices in Green Operations
products
c) Describe how processes for identifying, assessing, and
managing climate-related risks are integrated into the Percentage of products that contain GHS1-2
RT-CH-410b.1 /
Safety & Environmental
hazardous substances and risk assessment rates
organization's overall risk management.
Stewardship of Chemicals Chemicals management strategies and alternatives
RT-CH-410b.2 Practices in Green Operations
a) Disclose the metrics used by the organization to access development
Genetically Modified
climate-related risks and opportunities based on its
Percentage of products by revenue that contain
Organisms
strategy and risk management processes RT-CH-410c.1 /
genetically modifed organisms (GMOs)
Disclose the metrics and
Management of the Legal & Corporate positions on environmental and social Driving Industry
Regulatory Environment
targets used to assess and b) Disclose Scope 1 (direct discharge), Scope 2 (indirect RT-CH-530a.1
regulations affecting the industry Development
Metrics and manage relevant climate- discharge), and, if appropriate, Scope 3 (other indirect Climate Change Response
Targets related risks and discharge) greenhouse gas (GHG) emissions, and the - Metrics and Targets Process Safety Incidents Count (PSIC), Process Safety Safeguarding Health and
opportunities where such related risks Operational Safety, Total Incident Rate (PSTIR), and Process Safety RT-CH-540a.1 Safety
Emergency Preparedness & Incident Severity Rate (PSISR) Key Performance
information is material
Response
c) Describe the targets used by the organization to Number of transport incidents RT-CH-540a.2 Key Performance
manage climate-related risks and opportunities and
performance against targets Activity Metric Production by reportable segment RT-CH-000.A /
Guidelines Content Index of Shanghai Stock Exchange
Dimension No. Topics Corresponding Chapters
Feedback Table
Thank you very much for reading the 2025 Environmental, Social and Governance (ESG) Report of Aurisco Pharmaceutical Co., Ltd. In
Standardization of Pollution and Waste
Treatment
give us your valuable comments and suggestions on the Report and Aurisco's ESG work, and feed back to us through the following
Standardization of Pollution and Waste ways. Thanks for your substantial support to our ESG!
Treatment
Tel.: 0576-83177301
Environmental
□ Shareholder & Investor □ Government & Regulatory Agency □ Customer □ Employee □ Supplier & Partner
Standardization of Pollution and Waste □ Community & the Public □ Other (please specify)
Treatment
Optimization of Resource Utilization
Practices in Green Operations □ Very Good □ Good □ Average □ Poor □ Very Poor
Standardization of Pollution and Waste 3. Response to and disclosure of stakeholder concerns in the Report are
□ Very Good □ Good □ Average □ Poor □ Very Poor
Optimization of Resource Utilization
□ Very Good □ Good □ Average □ Poor □ Very Poor
Social
Striving for the Premium Quality
Sincere Customer Service
Integrating Responsibility into Business,
Driving Sustainable Development
Governance Related Integrating Responsibility into Business,
to Sustainable Driving Sustainable Development
Development
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