Group 1 - The board meeting of COFCO Technology Co., Ltd. was held on August 18, 2025, with all 9 directors present, confirming the legality and validity of the meeting [1] - The board approved the 2025 semi-annual report and its summary, stating that the report reflects the true situation of the company without any false records or misleading statements [2][3] - The board also approved the risk assessment report regarding financial transactions with COFCO Finance Co., Ltd., ensuring the transactions' compliance and safety [2][3] Group 2 - The board reviewed and approved the special report on the storage and use of raised funds for the first half of 2025, confirming compliance with relevant regulations [3][4] - The board agreed to adjust the major investment project plan for 2025, changing the total planned investment from 241.7 million to a slightly adjusted figure [4] - The board approved the performance evaluation of the management team for 2024 and the performance assessment targets for 2025, with a majority vote [4]

Core Viewpoint - The report evaluates the risk assessment of China Electronics Finance Co., Ltd. and highlights its internal control, management, and financial status as of the first half of 2025, indicating a stable operational framework and compliance with regulatory requirements [1][12]. Group 1: Company Overview - China Electronics Finance Co., Ltd. was established in 1988 and is a national non-bank financial institution under the supervision of the People's Bank of China [1][2]. - The company underwent a merger with Zhuhai Group Finance Co., Ltd. in 2022, increasing its registered capital to 1.901 billion RMB, which was later raised to 2.5 billion RMB [2][3]. Group 2: Internal Control and Risk Management - The company has established a governance structure with a board of directors, supervisory board, and management team, ensuring clear responsibilities and operational checks [5]. - A comprehensive risk management system is in place, including internal audits and risk assessment protocols tailored to different business operations [5][10]. - The internal control system is deemed effective, with a focus on managing financial risks and ensuring compliance with regulatory standards [11][12]. Group 3: Financial Performance - As of June 30, 2025, the company reported total bank deposits of 215 million RMB and a net profit of 161 million RMB [12]. - Key regulatory indicators are met, including a capital adequacy ratio of 12.75%, liquidity ratio of 60.82%, and loan balance not exceeding 80% of the sum of deposits and paid-in capital [12][13]. - The company maintains a low level of external liabilities, with a ratio of 0.00% against net capital, indicating a strong financial position [12][13]. Group 4: Business Operations - The company primarily serves the financial needs of its parent group, China Electronics Corporation, with a focus on loans and deposits [7][12]. - Interest rates for deposits in the first half of 2025 ranged from 0.10% to 2.75%, with interest income amounting to approximately 4.999 million RMB [12][13].

Core Viewpoint - Zhuhai Huafa Industrial Co., Ltd. conducted a risk assessment report on its related party transactions with Zhuhai Huafa Group Financial Co., Ltd., indicating that the financial company has established a comprehensive internal control system and meets regulatory requirements, thus managing risks effectively [1][15]. Group 1: Basic Information of the Financial Company - Zhuhai Huafa Group Financial Co., Ltd. is a non-bank financial institution approved by the China Banking and Insurance Regulatory Commission, established to provide financial management services to Huafa Group and its subsidiaries [1]. - The financial company was established with an initial registered capital of RMB 1 billion and has undergone several changes in its business license and shareholder structure since its inception [2][3]. Group 2: Internal Control and Risk Management - The financial company has a well-defined governance structure, including a board of directors and various committees responsible for risk management, audit, and investment decisions [3][4]. - It has implemented a comprehensive internal control system that includes risk identification, assessment, and management procedures, ensuring effective risk mitigation across its operations [4][5]. Group 3: Financial Performance and Regulatory Compliance - As of December 31, 2024, the financial company reported total assets of approximately RMB 43.83 billion, total liabilities of about RMB 37.06 billion, and a net asset value of approximately RMB 6.78 billion, with an operating income of RMB 945.41 million and a net profit of RMB 761.93 million for the year [11][12]. - The financial company has maintained compliance with regulatory indicators, including a capital adequacy ratio of 17.37% and a liquidity ratio of 37.50% as of December 31, 2024 [12][13]. Group 4: Business Objectives and Advantages - The financial company's mission is to leverage its group structure to provide efficient financial management services, aiming to enhance capital utilization and create a comprehensive financial platform for Huafa Group [15].