Shanghai Chuangxing Resources Development Co., Ltd. Announcement on the Preparation of the 2025 Annual Report and the Latest Audit Progress

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Security code: 600193 Security abbreviation: *ST Chuangxing Announcement No.: 2026－024

Shanghai Chuangxing Resources Development Co., Ltd.

Announcement on the preparation of the 2025 annual report and the latest progress of the audit

The board of directors of the Company and all directors hereby guarantee that there are no false records, misleading statements, or material omissions in the contents of this announcement, and assume legal responsibility for the truthfulness, accuracy, and completeness of the contents.

Key points of this announcement:

● Shanghai Chuangxing Resources Development Co., Ltd. (hereinafter referred to as the “Company” or “Chuangxing Resources”) disclosed on April 30, 2025 the “Announcement on the implementation of risk warning for delisting and suspension of trading for the Company’s stock” (Announcement No.: 2025-021). Due to the Company’s audited net profits for the 2024 fiscal year both being negative before and after deduction of non-recurring gains and losses, and the Company’s operating revenue being below RMB 300 million after deducting business income unrelated to the main business and income that lacks commercial substance, the Company’s stock has been subject to risk warning for delisting effective from May 6, 2025.

● There is uncertainty in the recognition of revenue for the Company’s engineering project business, which may result in a delisting termination scenario due to revenue of less than RMB 300 million and a negative net profit. The Company’s unaudited operating revenue for 2025 was RMB 349 million, of which operating revenue in the fourth quarter was RMB 331 million, representing 94.84% of the Company’s unaudited operating revenue for the full year. The audit institution has specifically noted the following: First, during the audit process, the audit institution needs to further judge the commercial reasonableness of some projects; as of the date of disclosure of this announcement, the audit institution is still unable to confirm that the related operating revenue complies with the relevant requirements. As of the date of disclosure of this announcement, the audit work is still ongoing, and the Company’s specific responsibilities assumed in some projects are still under verification. Some of the Company’s projects involve situations where the customers and suppliers have equity relationships, and in some customer intermediary parties, those parties and certain suppliers for the customer’s projects have the same contact phone number and electronic email address or have addresses that are close to each other. The audit institution needs to supplement process materials and add audit procedures to conduct verification. Second, some of the Company’s projects may involve inter-period issues regarding performance progress and cost and revenue, and therefore there may be situations where the revenue for the above projects is reduced. The audit procedures implemented by the audit institution and the audit evidence obtained have not yet been fully argued; specific related matters await further confirmation. As of the date of disclosure of this announcement, the audit institution’s audit work is in progress, and it is still not possible to determine whether the Company’s operating revenue after deducting business income unrelated to the main business and income that lacks commercial substance for 2025 is below RMB 300 million, and whether the Company’s expected actions will eliminate the financial-type delisting indicator situation.

● The Company faces the risk of termination of listing due to negative net assets at the end of the reporting period. As of the date of disclosure of this announcement, the audit institution has not completed the verification of the receipt of payments for customers from previous years for the current period; whether the reversal of bad debts on accounts receivable complies with the requirements of the “Enterprise Accounting Standards” needs further confirmation. As of now, the audit work is ongoing, and it is not ruled out that other adjustment matters may result in negative net assets at period end.

● As of the date of disclosure of this announcement, Zhengdan Zhiyuan has continuously carried out audit procedures including audit confirmations, on-site visits, on-site inventory counts, interviews with customers and suppliers, internal control audits, and others. After communication between the Company and Zhengdan Zhiyuan, as of now, no major differences have been found with the Company in terms of major accounting treatment, key audit matters, or the type of audit opinion.

● Pursuant to the relevant provisions of the “Shanghai Stock Exchange Stock Listing Rules” and Shanghai Stock Exchange’s self-regulatory regulatory guide No. 2 “Business Handling” (一一业务办理), for financial-type delisting risk companies, after their stock has been subject to risk warning for delisting, they shall, respectively, disclose the preparation of the annual report and the latest audit progress within 20 trading days and 10 trading days prior to the scheduled disclosure date of the annual report. The scheduled disclosure date of the Company’s 2025 annual report is April 28, 2026. This announcement is the Company’s third disclosure of an annual report preparation and audit progress announcement. Investors are kindly requested to pay attention to investment risks.

I. Preparation of the 2025 annual report and the latest progress of the audit

On December 12, 2025 and December 29, 2025, respectively, the Company convened the 28th meeting of the ninth session of the board of directors and the fifth extraordinary general meeting of shareholders in 2025, which considered and approved the “Proposal on Changing the Accounting Firm,” agreeing to appoint Zhengdan Zhiyuan as the audit institution for the Company’s 2025 financial statements and internal control.

On January 31, 2026, the Company disclosed the “Announcement on the 2025 Performance Forecast and Risk Warning” (Announcement No.: 2026-008) and the “Special Explanation on the 2025 Performance Forecast of Shanghai Chuangxing Resources Development Co., Ltd.” issued by Zhengdan Zhiyuan (Zhengdan Zhiyuan Audit Character No. 260000020). The Company conducted preliminary communication with the audit committee and the accounting firm regarding matters related to the performance forecast. With respect to the performance forecast for 2025, Zhengdan Zhiyuan, the audit institution for the Company’s 2025 financial statements and internal control, issued the special explanation. As of the date when the special explanation was issued, based on the audit procedures already implemented and the audit evidence already obtained, it is still not possible to determine whether the operating revenue after deducting business income unrelated to the main business and income that lacks commercial substance included in the 2025 performance forecast of Chuangxing Resources exceeds RMB 300 million, and whether Chuangxing Resources is expected to eliminate the financial-type delisting indicator situation. Since the audit work for the 2025 financial statements of Chuangxing Resources has not yet been completed, the specific audit opinion shall be subject to the audit report on the 2025 financial statements of Chuangxing Resources issued by it.

On January 10, 2026, Zhengdan Zhiyuan entered the Company to conduct the audit work. As of the date of disclosure of this announcement, Zhengdan Zhiyuan has continued to carry out audit procedures including audit confirmations, on-site visits, on-site inventory counts, interviews with customers and suppliers, and internal control audits. In the next step, the main audit work will still focus on key areas such as revenue recognition and impairment of accounts receivable, and further conduct interviews with key customers and suppliers, aiming to obtain sufficient and appropriate audit evidence in order to issue a proper audit opinion on the financial statements. As of the date of disclosure of this announcement, based on the audit procedures it has already implemented and the audit evidence it has obtained, it is still not possible to determine whether the Company’s operating revenue after deducting business income unrelated to the main business and income that lacks commercial substance for 2025 exceeds RMB 300 million, and whether the Company’s expected actions will eliminate the financial-type delisting indicator situation.

As of the date of disclosure of this announcement, during the audit process, the audit institution needs to further judge the commercial reasonableness of some projects, and the Company’s specific responsibilities assumed in some projects are still under verification; regarding the situation where some projects of the Company involve equity relationships between customers and suppliers, and where some customer intermediary parties and some suppliers for that customer’s projects have the same contact phone numbers and electronic email addresses or addresses that are close to each other, the audit institution needs to supplement process materials and increase audit procedures for verification; for the situation where the audit institution needs to reduce revenue due to possible inter-period issues relating to performance progress and cost and revenue for some of the Company’s projects, the relevant analysis has not yet been completed, and specific related matters await further confirmation.

Based on communications between the Company and Zhengdan Zhiyuan, as of the date of disclosure of this announcement, no major differences have been found between the Company and Zhengdan Zhiyuan in terms of major accounting treatments, key audit matters, or the type of audit opinion. Zhengdan Zhiyuan’s audit procedures have not yet been finalized; the final 2025 financial data and the type of audit opinion shall be subject to the audited 2025 annual report formally disclosed by the Company.

The Company will continue to actively advance the preparation of the annual report and the audit work, track the progress of the audit work, and fulfill its information disclosure obligations in a timely manner in accordance with relevant regulations.

II. Other matters to be explained

The scheduled disclosure date of the Company’s 2025 annual report is April 28, 2026. As of the date of disclosure of this announcement, the Company’s 2025 annual audit work is still ongoing, and the final financial data and the type of audit opinion shall be subject to the audited 2025 annual report formally disclosed by the Company.

The Company specifically reminds all investors that all relevant information of the Company shall be subject to the announcements published in the designated media “Shanghai Securities News,” “China Securities Journal,” “Securities Daily,” “Securities Times,” and the website of the Shanghai Stock Exchange (www.sse.com.cn). Investors are kindly requested to make rational investment decisions and pay attention to investment risks.

This announcement is hereby issued.

Board of Directors of Shanghai Chuangxing Resources Development Co., Ltd.

March 31, 2026

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