2024 performance evaluation results submitted to the Board of Directors on March 10, 2025.
The Board of the Company reviewed independence and competency of its certifying CPAs at least once a year and in addition to requesting the CPAs to provide “Declaration of Independence and Detachment” and “Audit Quality Indicators Report”, they are also evaluated according to the Independence Evaluation Criteria and the 13 AQI Indicators, and do not have any financial interest or business relationship other than financial statement certification fee. CPAs did not have a significant close business relationship with the Company nor any monetary loans with the Company. Family members of the CPAs will not violate independence. CPAs would be appointed, with the aforementioned criteria being met, and the Audit Committee discuss with resolution and report on March 10th of 2025, also with the resolution of Board of Directors, then their information would be disclosed on the Company’s website.
Independence evaluation items:
| Evaluation Item | Evaluation Result | Independence Compliance |
| Does the accountant have a direct or significant indirect financial interest in the company? | No | Yes |
| Does the accountant have financing or guarantee transactions with the company or its directors? | No | Yes |
| Does the accountant have a close business relationship or potential employment relationship with the company? | No | Yes |
| Have the accountant or audit team members served as directors, managers, or in positions with significant influence on audit work within the company in the past two years? | No | Yes |
| Does the accountant provide non-audit services that may directly affect the audit work of the company? | No | Yes |
| Has the accountant acted as an intermediary for the company’s issued stocks or other securities? | No | Yes |
| Has the accountant acted as the company’s custodian or represented the company in conflicts with third parties? | No | Yes |
| Does the accountant have a family relationship with the company's directors, managers, or personnel with significant influence on audit matters? | No | Yes |
The company, in accordance with the internal adjustments of KPMG, will replace the auditors with Li Suiqing and Zhou Shijie starting from the first quarter of 112.
The appointed auditors for the company's financial statement audits have not violated regulations related to independence under the Certified Public Accountant Act and meet the qualifications for suitability.
The Board of the Directors discussed independence and competency of CPAs with resolution on March 10 of 2025.