Halo Micro(SH:688173) Zheng Quan Zhi Xing·2025-07-09 13:13Core Viewpoint - The report highlights the significant decline in the net profit of Xidi Microelectronics Group Co., Ltd. by over 50% in 2023, prompting a special legal review prior to a major asset restructuring [1][2]. Group 1: Performance and Compliance - Xidi Microelectronics confirmed that its financial information and commitments provided to the law firm are true, accurate, and complete [2][3]. - The law firm conducted a review of the company's compliance with public commitments made since its listing, confirming that all commitments have been fulfilled or are in progress [3][4]. Group 2: Financial Operations and Violations - The company has not engaged in any violations regarding fund occupation or external guarantees in the past three years, except for a minor incident involving related party transactions that were rectified [4][5]. - Xidi Microelectronics faced regulatory warnings due to improper handling of personal tax payments for related parties, which were subsequently returned [4][5]. Group 3: Regulatory Actions and Disciplinary Measures - The company and its executives have received disciplinary warnings from regulatory bodies for inaccuracies in financial reporting and improper fund usage [6][7]. - No criminal penalties or ongoing investigations have been reported against the company or its key personnel in the last three years [7]. Group 4: Future Commitments and Governance - Xidi Microelectronics has committed to enhancing its internal controls and management practices to ensure compliance with regulatory requirements and improve operational efficiency [38][39]. - The company has established a profit distribution policy to ensure stable returns for investors and maintain compliance with shareholder interests [38][40].