Recently, Shenma Shares unveiled its “2026 Action Plan for Quality Improvement, Efficiency Enhancement, and Enhanced Returns,” which focuses on the company’s core business. Through measures such as technological innovation, internal synergy, mergers and acquisitions, and restructuring, as well as a strong emphasis on shareholder returns, the plan aims to bolster operational efficiency and effectiveness, elevate the listed company’s market capitalization and recognition in the capital markets, and accelerate progress toward the long-term goal of “proactively building a world-class nylon new‑materials industry chain and establishing a fully integrated, independently controllable, high‑end, and internationally competitive industrial cluster.”

Pursuing breakthroughs in technological innovation to foster new growth drivers. Shenma Shares will ramp up R&D investment to achieve breakthroughs in core technologies, particularly in high-performance nylon materials and green manufacturing processes, thereby maintaining a competitive edge in key areas. At the same time, the company will remain committed to environmental protection and social responsibility, advancing green technologies, reducing carbon emissions throughout its production cycle, and contributing to the achievement of sustainable development goals.

Strengthen internal coordination and ensure smooth operation of the industrial chain. Shenma Shares will efficiently leverage the coordinating and dispatching functions of its ammonia, hydrogen, hexamethylenediamine, and other central hubs, intensifying internal collaboration around key priorities such as reducing production costs, enhancing product quality, and expanding the development of high-end products. By leveraging intelligent technologies, we continuously enhance management and control across energy supply, raw material procurement, production capacity allocation, and supply chain integration, thereby ensuring the sustained strengthening of our end products’ market competitiveness.

Deepen industrial restructuring and optimize resource allocation. Shenma Shares will align closely with the Group’s “Attract East, Go West, and Go Global” strategy, deepen its focus on core business areas, and coordinate horizontal integration within the industry as well as vertical mergers and acquisitions across the upstream and downstream segments of the value chain. The company will proactively position itself in strategic emerging industries, continuously refine its industrial structure, enhance asset quality, and comprehensively strengthen its core competitiveness, industry influence, and brand reputation.

Enhance the governance structure and elevate operational efficiency. Shenma Shares will rigorously align with the new Company Law of the People’s Republic of China and the latest regulatory requirements, continuously deepen the development of its governance mechanisms, further refine its internal control system, and strengthen its capabilities in risk identification and prevention. Grounded in the sound establishment and effective implementation of robust policies and procedures, the company will persistently bolster its core competitiveness and drive long-term, healthy, and sustainable growth.

Emphasizing information disclosure and strengthening investor relations, Shenma Shares will continue to strictly comply with the relevant regulations of the China Securities Regulatory Commission and the Shanghai Stock Exchange, continuously enhancing the quality of its disclosures. The company will steadfastly adhere to the principles of truthfulness, accuracy, completeness, timeliness, and fairness in information disclosure, improve the readability and effectiveness of its disclosed content, reduce the burden on investors, and further elevate the quality and transparency of its reporting. In addition, the company will persistently refine its market‑capitalization management system, with investor relations at its core, expand channels for communication with investors, and continually bolster its market image. Responding to investor needs, it will also increase the frequency of investor‑engagement activities and diversify the formats of interactions between the company and its investors, fostering a mutually beneficial and constructive two-way dialogue.