On June 28th, Gelunhui reported that in 2023, the architecture and design listed companies faced severe tests due to various factors. The company's national layout is facing new development environments and competitive patterns. On the other hand, since 2023, the explosive technological breakthroughs in the field of artificial intelligence such as ChatGPT and AIGC have brought disruptive impacts to various industries, and the impact of cutting-edge technologies such as cloud computing and AI on the main business of architectural design and engineering consulting is gradually increasing. Based on these changes, the company is conducting more comprehensive and detailed research on its own business investment planning in combination with the latest development of the industry. Based on this, the company has made corresponding adjustments to some of the raised funds investment projects (national key regional localized branch construction projects, digital transformation and upgrading construction projects, and urban building digital platform construction projects), and the above work is still in progress. It is expected that the re-verification and specific planning related matters will be completed in the third quarter of 2024, and the company will fulfill the corresponding review procedures and information disclosure at that time. Based on the above reasons, in order to better protect the interests of the company and investors, the company has decided to re-verify and temporarily suspend the implementation of some of the raised funds investment projects.

Based on the company's overall strategic planning and development needs, from the perspective of developing new productive forces and high-quality development of listed companies, the company is currently re-verify some of the raised funds investment projects. It is expected that in the third quarter of 2024, the company will complete the relevant specific planning, decision-making procedures, and fulfill information disclosure obligations.