According to the Company's 2022 annual report disclosed on April 10, 2023, as of December 31, 2022 As of December 31, 2022, the undistributed earnings attributable to the parent company in the consolidated statements of the listed company were 45,131,082.50, and the parent company's The undistributed earnings of the listed company attributable to the parent company in the consolidated statement as of December 31, 2022 was RMB45,131,082.50 and the undistributed earnings of the parent company was RMB47,674,651.75.

The proposed distribution is as follows: The total share capital of the Company is 32,800,000 shares, and the number of shares to be distributed on the share registration date when the distribution is to be implemented is based on the number of shares to be distributed on the share registration date. The total share capital of the Company is 32,800,000 shares, and it is proposed to distribute a cash dividend of RMB3.00 (including tax) per 10 shares to all shareholders based on the number of shares to be distributed on the share registration date at the time of the distribution. It is proposed to distribute a cash dividend of RMB3.00 per 10 shares to all shareholders based on the number of shares to be distributed on the share registration date when the equity distribution is implemented. It is expected that a total cash dividend of RMB9,840,000.00 will be distributed in this equity distribution. If the number of shares to be distributed on the share registration date is inconsistent with the current estimation, the Company will keep the distribution ratio unchanged and adjust the total amount of distribution accordingly. The total amount of distribution will be adjusted accordingly. The actual distribution results will be based on the results of China Securities Depository & Clearing Co. The actual distribution results will be based on the results of accounting by China Securities Depository & Clearing Co.

The personal tax involved in the aforesaid distribution is based on the Announcement on the Continued Implementation of the Dividend and Dividend Policy for Listed Companies in the National Small and Medium-sized Enterprise Stock Transfer System (Announcement of the Ministry of Finance and the State Administration of Taxation of SFC). Announcement on the Continued Implementation of the Differential Individual Income Tax Policy on Dividends and Dividends of Companies Listed on the National Small and Medium Enterprise Stock Transfer System No. 78 of 2019).

The proposed distribution was considered and approved at the Fifth Meeting of the Third Session of the Board of Directors of the Company held on April 8, 2023, which is yet to be submitted to the Annual General Meeting of Shareholders of the Company in 2022 for consideration. The proposal has been considered and approved by the Fifth Meeting of the Third Session of the Board of Directors of the Company held on 8 April 2023, and the proposal has yet to be submitted to the Annual General Meeting of the Company in 2022 for consideration. The final proposal will be subject to the results of the shareholders' meeting.

Prior to the disclosure of the proposed equity distribution, the Company has strictly controlled the scope of insider information and fulfilled the obligations of confidentiality and notification of prohibited insider trading to the insider information informants. Before the disclosure of the proposed equity distribution, the Company has strictly controlled the scope of the insiders and fulfilled the obligations of confidentiality and prohibition of insider trading to the insiders. The equity distribution plan will be implemented within 2 months after it is considered and approved by the shareholders' meeting. The equity distribution plan will be implemented within 2 months after the shareholders' meeting.

Investors are advised to pay attention to the investment risk.