Nanjing Panda Electronics Co., Ltd. held a meeting of the Board of Directors and Supervisory Board on March 28, 2024 to consider the resolution prepared for the issuance of asset depreciation. This gesture aims to objectively reflect the state of the company's assets and operating results, and to ensure the true reliability of accounting information. According to the Corporate Accounting Standards, the Company conducted a depreciation test on the assets as of December 31, 2023, and provided for the corresponding depreciation preparations. This includes RMB8,819,697.30, preparation for amortization of corresponding receipts and other receivables, preparation for amortization of inventory and prepaid bills of RMB13,156,611.89, and preparation for drawdown of long-term equity investment funds of RMB230,134,881.37. In particular, the full amount of depreciation of ENC long...Show More

Nanjing Panda Electronics Co., Ltd. held a meeting of the Board of Directors and Supervisory Board on March 28, 2024 to consider the resolution prepared for the issuance of asset depreciation. This gesture aims to objectively reflect the state of the company's assets and operating results, and to ensure the true reliability of accounting information. According to the Corporate Accounting Standards, the Company conducted a depreciation test on the assets as of December 31, 2023, and provided for the corresponding depreciation preparations. This includes RMB8,819,697.30, preparation for amortization of corresponding receipts and other receivables, preparation for amortization of inventory and prepaid bills of RMB13,156,611.89, and preparation for drawdown of long-term equity investment funds of RMB230,134,881.37. In particular, the full amount of depreciation of ENC long-term equity investments resulted in significant losses as ENC undertakes special tax adjustments. THE TOTAL DEPRECIATION OF THE COMPANY WAS PREPARED FOR RMB252,111,190.56. THE IMPACT ON THE CONSOLIDATED INCOME STATEMENT DECREASED THE TOTAL CONSOLIDATED PROFIT OF THE COMPANY BY RMB244,492,751.10. The Independent Directors and the Board of Directors consider that this calculation is in accordance with the Corporate Accounting Standards and is a fair reflection of the financial situation of the Company. The Company will continue to disclose material progress in this matter.