Stock code: 688114 Stock abbreviation: MGI

Shenzhen MGI Technology Co., Ltd

Q3 2024 Report

The board of directors and all directors of the company guarantee that there are no false records, misleading statements or material omissions in the content of this announcement, and assume legal responsibility for the authenticity, accuracy and completeness of its content in accordance with the law.

Important Content Notes:

The Board of Directors, the Board of Supervisors, the directors, supervisors and senior management of the Company guarantee that the contents of the quarterly report are true, accurate and complete, and that there are no false records, misleading statements or material omissions, and bear individual and joint legal liability.

The person in charge of the company, the person in charge of accounting and the person in charge of the accounting institution (accounting supervisor) shall ensure the truthfulness, accuracy and completeness of the financial information in the quarterly report.

Whether the third quarter financial statements are audited

□ Yes √ No

1. Key financial data

(i) Key accounting data and financial indicators

Unit: Yuan Currency: RMB

From the beginning of the reporting period to the reporting period

Item The current reporting period is the same period last year from the beginning of the year to the end of the reporting period The same period last year compared with the same period last year

Period increase or decrease change The increase or decrease of the change range

Dynamic amplitude (%) (%)

Operating income 659,834,140.00 -13.22 1,869,062,681.62 -15.19

-165,126,855.38 Not applicable -463,354,782.90 Not applicable

Net profit

attributable to shareholders of listed companies

Net net of non-recurring gains and losses -173,066,575.26 Not applicable -497,441,084.81 Not applicable

profit

Cash flow from operating activities N/A N/A -850,486,070.21 N/A

Net amount

Basic earnings per share (RMB/share) -0.40 Not applicable -1.13 Not applicable

Diluted earnings per share (RMB/share) N/A N/A

The weighted average return on equity decreased by 0.97 to -5.62 by -2.05 by 3.50

(%) percentage points

Total R&D investment 201,197,712.46 -4.21 590,535,159.30 -8.03

R&D investment accounted for 30.49 of operating income increased by 2.87 31.60 increased by 2.46

Percentage (%) percentage points

The end of the reporting period

End of the reporting period End of the previous year End of the previous year Increase or decrease at the end of the previous year

Magnitude of change (%)

Total assets 9,940,959,112.28 10,557,087,161.63 -5.84

7,983,541,228.02 8,634,440,859.33 -7.54 attributable to shareholders of listed companies

Owner's Equity

Note: "The reporting period" refers to the period from the beginning of the quarter to the end of the quarter for 3 months, the same below.

(ii) Items and amounts of non-recurring gains and losses

√ Applicable □ Not applicable

Unit: Yuan Currency: RMB

Non-recurring profit and loss items Amount for the period From the beginning of the year to the end of the reporting period Description

amount

Gains and losses on disposal of illiquid assets, including accrued 908,745.69 930,279.09

The write-off portion of the provision for impairment of assets

Government subsidies included in the current profit and loss, but with the public

The normal business of the company is closely related to and in line with the country

4,674,042.40 34,427,136.99

Government subsidies that have a sustained impact on the company's profit or loss

Except for assistants

Except in connection with the normal operation of the company's business

Except for hedging business, it is held by non-financial enterprises

Fair value of financial assets and financial liabilities 625,724.92 19,839.61

gains and losses on changes in value, as well as disposals of financial assets and gold

Profit or loss arising from financing liabilities

Charged to non-financial enterprises through profit or loss for the current period - -

Occupancy fees

Profit or loss of entrusting others to invest or manage assets - -

Profit or loss from external entrusted loans - -

Due to force majeure factors, such as natural disasters - -

and the loss of various assets

Impairment of receivables tested separately for impairment - -

Prepare to turn back

Enterprises acquire subsidiaries, associates and joint ventures

When the investment cost of the enterprise is less than the investment obtained, it should - -

Enjoy the fairness of the investee's identifiable net assets

Earnings generated by value

Subsidiaries resulting from a business combination under the same control - -

Net profit or loss for the period from the beginning to the date of consolidation

Gains and losses on the exchange of non-monetary assets - -

Debt Restructuring Gains and Losses - -

The enterprise is caused by the cessation of the relevant business activities

One-time expenses for students, such as the placement of employees.

out and so on

Due to the adjustment of laws and regulations such as taxation and accounting, - -

One-time impact of profit or loss for the period

Due to the cancellation or modification of the equity incentive plan, one-time - -

Confirmed share-based payment fees

For cash-settled share-based payments, where feasible

Fair value of employee remuneration payable after the right date - -

Profit or loss due to changes in value

The fair value model is used for subsequent measurement

Changes in the fair value of investment properties - -

Income

Revenue from transactions with manifestly unfair transaction prices - -

benefit

Contingencies unrelated to the normal operation of the company's business - -

Profit or loss arising from the item

Custody fee income from entrusted operation - -

Other non-operating income other than the above items 1,745,037.99 1,687,122.36

and expenditures

Other gains and losses that meet the definition of non-recurring profit or loss - -

project

Less: Income tax impact -4,868.96 2,957,522.89

Impact of minority interests (after tax) 18,700.08 20,553.25

Total 7,939,719.88 34,086,301.91

The reasons should be explained for the company to identify the items not listed in the Explanatory Announcement No. 1 on Information Disclosure of Companies Offering Securities to the Public as non-recurring profit and loss items and the amount is significant, and the non-recurring profit and loss items listed in the Explanatory Announcement on Information Disclosure of Companies Offering Securities to the Public No. 1 - Extraordinary Profit and Loss as recurring profit and loss, the reasons should be explained.

□ Applicable √ Not applicable

(3) The circumstances and reasons for changes in the main accounting data and financial indicators

√ Applicable □ Not applicable

Project Name Percentage of Change (%) Main Reasons

Net profit attributable to shareholders of the listed company during the reporting period

Net profit attributable to shareholders of listed companies was negative, with a loss increase of 65.54% over the same period

Reporting period Not applicable The reason is due to the macro environment, geopolitics and market competition

Affected by factors such as competition, operating income declined, resulting in gross growth

Profit contribution decreased.

Deductions attributable to shareholders of listed companies are not applicable as above

Net profit of profit or loss_ this reporting period

Basic earnings per share (RMB/share)_This reporting period Not applicable Same as above

From the beginning of the year to the end of the reporting period, it is attributable to shareholders of the listed company

The net profit was negative, and the loss increased compared with the same period

Net profit attributable to shareholders of listed companies _ year Not applicable 134.28%, mainly due to (1) operating income

Decline from the beginning to the end of the reporting period, resulting in a decrease in gross profit contribution; (2) U.S. dollars,

The exchange rate fluctuations of the euro resulted in the holding of the euro in the reporting period

Exchange losses on currency monetary items increased year-on-year.

Deductions attributable to shareholders of listed companies are not applicable as above

Net profit of profit or loss_ from the beginning of the year to the end of the reporting period

Basic earnings per share (RMB/share)_Year-to-report N/A Same as above

Final

2. Shareholder information

(1) The total number of ordinary shareholders and the number of preferred shareholders whose voting rights have been restored, and the shareholding status of the top 10 shareholders

Unit: shares

Total number of common shareholders at the end of the reporting period 6,989 Preferred shares with reinstated voting rights at the end of the reporting period 0

Total East (if any)

Shareholdings of the top 10 shareholders (excluding shares lent through refinancing)

Includes refinancing, lending, staking, tokenizing, or freezing

Name of Shareholder Nature of Shareholder Number of Shares Shareholding Ratio Restricted Shares Holding Limited Shares

Example (%) Number of shares Quantity

Share Status Quantity

Shenzhen Huada Technology Holding Group Co., Ltd. Domestic non-state-owned legal person 153,001,440 36.81 153,001,440 153,001,440 None 0

Tibet Huazhan Venture Capital Co., Ltd. Domestic non-state-owned legal person 41,442,948 9.97 41,442,948 41,442,948 N/A 0

CPE Investment(Hong Kong) 2018 Overseas Legal Entity 26,378,788 6.35 0 0 N/A 0

Limited

China Merchants Bank Co., Ltd. - China Securities and Exchange Branch

Venture Board 50 Component ETF Securities Other 16,198,624 3.90 0 0 None 0

investment fund

Tianjin Kunpeng Management Consulting Partnership (Limited Contract) Other 10,623,146 2.56 0 0 N/A 0

Gang)

Tibet Zhiyan Venture Capital Partnership (Limited Contract) Other 10,604,583 2.55 0 0 Pledge 8,500,000

Gang)

EARNING VAST LIMITED 9,922,720 2.39 0 0 N/A 0

Industrial and Commercial Bank of China Co., Ltd. - E Fund

SSE STAR Market 50 Component Trading Open-ended Index Others 9,843,175 2.37 0 0 None 0

A number of securities investment funds

Bank of China Limited-Huabao Zhongzheng Medical Others 7,688,584 1.85 0 0 N/A 0

Therapy exchange-traded open-ended index securities investment funds

Bank of Communications Co., Ltd. - 10,000 Industry Excellence Others 6,000,000 1.44 0 0 None 0

Select Hybrid Securities Investment Fund (LOF)

Shareholdings of the top 10 unrestricted shareholders (excluding shares lent through refinancing)

Name of shareholder Number of unrestricted outstanding shares held Type and number of shares

Type of shares Number of shares

CPE Investment (Hong Kong) 2018 26,378,788 RMB ordinary shares 26,378,788

Limited

China Merchants Bank Co., Ltd. - China Securities and Exchange Branch

Genesis 50 Component ETF Securities 16,198,624 RMB Ordinary Shares 16,198,624

investment fund

Tianjin Kunpeng Management Consulting Partnership (Limited Shares 10,623,146 RMB ordinary shares 10,623,146

Gang)

Tibet Zhiyan Venture Capital Partnership (Limited Shares 10,604,583 RMB ordinary shares 10,604,583

Gang)

EARNING VAST LIMITED 9,922,720 RMB ordinary shares 9,922,720

Industrial and Commercial Bank of China Co., Ltd. - E Fund

SSE STAR Market 50 Component Exchange-traded Open-ended Index 9,843,175 RMB ordinary shares 9,843,175

A number of securities investment funds

Bank of China Co., Ltd. - Huabao Zhongzheng Medical 7,688,584 RMB ordinary shares 7,688,584

Therapy exchange-traded open-ended index securities investment funds

Bank of Communications Co., Ltd. - Wanjia Industry Excellence 6,000,000 RMB ordinary shares 6,000,000

Select Hybrid Securities Investment Fund (LOF)

Hubei Science and Technology Investment Group Co., Ltd. 6,000,000 RMB ordinary shares 6,000,000

Bank of Ningbo Co., Ltd. - Invesco Great Wall Cheng

Long Dragon One-Year Holding Period Hybrid Securities Investment Base 3,539,658 RMB ordinary shares 3,539,658

gold

1. Shenzhen Huada Technology Holding Group Co., Ltd. and Tibet Huazhan Venture Capital Co., Ltd. are enterprises controlled by Wang Jian, the actual controller of the company.

Explanation of the above-mentioned shareholder affiliation or concerted action 2, the executive partner of Tianjin Kunpeng Management Consulting Partnership (Limited Partnership) appointed representatives and some indirect shareholders and EARNINGVAST

Some of the indirect shareholders of LIMITED are also partners of IDG Capital.

3. CPE Investment (Hong Kong) 2018 Limited and CHD Biotech Co-invest Limited are acting in concert.

Top 10 shareholders and top 10 unrestricted shareholders

Not applicable to margin trading and refinancing business

(if any)

Shareholders holding more than 5% of the shares, the top 10 shareholders and the top 10 shareholders of unrestricted tradable shares participate in the lending of shares in the refinancing business

√ Applicable □ Not applicable

Unit: shares

Shareholders holding more than 5% of the shares, the top 10 shareholders and the top 10 shareholders of unrestricted tradable shares participate in the lending of shares in the refinancing business

Name of Shareholder Ordinary Account and Credit Account Shareholding at the Beginning of the Period Refinancing Loaned Shares at the Beginning of the Period and Not Returned Ordinary Account and Credit Account Shareholding at the End of the Period Refinancing Loaned Shares at the End of the Period and Not Returned

(full name) also

Total Quantity Proportion (%) Total Quantity Proportion (%) Total Quantity Proportion (%) Total Quantity Proportion (%)

China Merchants Bank shares

Ltd. - Hua

XiaSSE Science and Technology Innovation Board 12,730,151 3.06 682,800 0.16 16,198,624 3.90 0 0.00

50 Ingredient Trading Type

Open-ended index certificates

Bond investment funds

Bank of China shares

Co., Ltd. - Hua 6,064,519 1.46 300,700 0.07 7,688,584 1.85 0 0.00

Baozhong Securities Medical Delivery

Easy to type open fingers

Number of securities investment base

gold

Industrial and Commercial Bank of China

corporation

-E Fund SSE

STAR Market 50 Components 4,901,731 1.18 1,003,300 0.24 9,843,175 2.37 0 0.00

Transactional open-ended

Index Securities Investment

funds

The top 10 shareholders and the top 10 shareholders of unrestricted tradable shares have changed compared to the previous period due to the refinancing loan/repayment

□ Applicable √ Not applicable

3. Other reminders

Other important information about the company's operations in the reporting period that investors need to be reminded of

√ Applicable □ Not applicable

1. The company has completed the repurchase plan

On October 10, 2023, the company held the first meeting of the second board of directors and deliberated and approved the "On Centralized Bidding Transactions

Proposal on the plan to repurchase the company's shares", agreeing that the company will repurchase part of the company's issued RMB ordinary shares (A shares) through the Shanghai Stock Exchange trading system through its own funds through centralized bidding transactions.

On October 9, 2024, the company completed the repurchase and has actually repurchased 5,397,700 shares of the company, accounting for 41,563.7624 of the company's total share capital

The ratio of 10,000 shares was 1.2986%, the lowest repurchase price was 39.13 yuan/share, the highest repurchase price was 85.99 yuan/share, and the average repurchase price was 64.83 yuan

/ share, with a total amount of 349,952,200 yuan.

2. In 2024, the employee stock ownership plan will complete the non-transaction transfer

A total of 28 employees actually participated in the subscription of the employee stock ownership plan, and the final subscription share was 36,863,811.90 shares, which were paid

The total subscription funds are 36,863,811.90 yuan, and the number of shares corresponding to the subscription share is 1,409,706 shares, and the source of shares is the company's repurchase

A shares of common stock of the Company held in a dedicated securities account. The repurchase of 1,409,706 shares was completed on September 30, 2024

The transaction is transferred to the dedicated employee stock ownership plan account.

Quarterly financial statements

(i) Type of audit opinion

□ Applicable √ Not applicable

(ii) Financial statements

Consolidated balance sheet

September 30, 2024

Prepared by: Shenzhen MGI Technology Co., Ltd

Unit: Yuan Currency: RMB Audit Type: Unaudited

Project September 30, 2024 December 31, 2023

Liquid asset:

Monetary funds 3,622,836,644.99 4,776,215,926.77

Settlement Reserve - -

Loan Funds - -

Tradable Financial Assets - -

Derivative Financial Assets - -

Notes receivable 112,618,818.38 -

Accounts receivable 1,086,159,718.49 695,775,945.95

Receivables Financing - -

Prepayments 68,117,197.49 62,176,615.50

Premiums Receivable - -

Reinsurance receivable - -

Reserve for reinsurance contracts receivable - -

Other receivables 25,684,210.91 27,612,604.83

Including: Interest receivable - -

Dividends receivable - -

Buying and selling back financial assets - -

Inventories 1,139,000,556.53 1,206,339,748.95

Where: Data Resources - -

Contract assets 1,632,641.77 1,385,327.23

Assets Held for Sale - -

Non-current assets maturing within one year - -

Other current assets 181,760,990.61 228,583,532.43

Total current assets 6,237,810,779.17 6,998,089,701.66

Non-current assets:

Granting of Loans and Advances - -

Debt Investment - -

Other Debt Investments - -

Long-term receivables 10,154,884.78 8,386,382.56

Long-term equity investment 5,746,218.99 8,294,382.71

Investment in other equity instruments 85,318,669.90 85,119,919.90

Other non-current financial assets 71,331,547.00 39,937,432.31

Investment Real Estate - -

Fixed assets 2,131,062,899.54 2,006,655,222.39

Construction in progress 410,573,197.79 340,476,939.97

Productive Biological Assets - -

Oil & Gas Assets - -

Right-of-use assets 78,218,409.99 93,924,203.05

Intangible assets 606,254,456.97 659,278,526.26

Where: Data Resources - -

Development expenditure 37,030,805.18 -

Where: Data Resources - -

Goodwill--

Long-term amortized expenses 103,901,286.93 112,815,230.54

Deferred income tax assets 130,235,628.61 114,923,545.43

Other non-current assets 33,320,327.43 89,185,674.85

Total non-current assets 3,703,148,333.11 3,558,997,459.97

Total assets 9,940,959,112.28 10,557,087,161.63

Current Liabilities:

Short-term borrowings - 100,077,777.78

Borrowing from the Central Bank - -

Split Funds - -

Transactional Financial Liabilities - -

Derivative Financial Liabilities - -

Notes payable 72,823,156.69 57,602,311.75

Accounts payable 220,999,711.17 158,118,975.33

Advance Receipts - -

Contract liabilities 148,834,256.85 165,129,766.61

Proceeds from the sale and repurchase of financial assets - -

Deposit Absorption and Interbank Deposit - -

Securities Trading - -

Acting as an agent for underwriting securities - -

Employee compensation payable 135,021,808.82 237,034,628.53

Taxes payable 149,195,323.90 151,951,227.99

Other accounts payable 404,401,064.24 465,297,784.06

Including: Interest Payable - -

Dividends Payable - -

Fees & Commissions Payable - -

Reinsurance payable - -

Liabilities Held for Sale - -

Non-current liabilities due within one year 60,470,916.64 48,770,748.82

Other current liabilities 86,941,552.31 101,761,007.48

Total current liabilities 1,278,687,790.62 1,485,744,228.35

Non-current liabilities:

Reserve for insurance contracts - -

Long-term borrowings 487,100,000.00 199,400,000.00

Bonds Payable - -

Where: Preferred Shares - -

Perpetual Bonds - -

Lease liabilities 42,480,488.12 60,134,783.63

Long-term payables - 38,775,806.95

Long-term Employee Compensation Payable - -

Projected Liabilities - -

Deferred income 140,486,275.77 96,658,062.36

Deferred income tax liabilities 2,194,705.84 2,128,529.34

Other non-current liabilities - -

Total non-current liabilities 672,261,469.73 397,097,182.28

Total liabilities 1,950,949,260.35 1,882,841,410.63

Owner's Equity (or Shareholders' Equity):

Paid-up capital (or share capital) 415,637,624.00 415,637,624.00

Other Equity Instruments - -

Where: Preferred Shares - -

Perpetual Bonds - -

Capital reserve 8,835,965,315.87 8,780,812,525.92

Less: Treasury shares 349,987,726.88 119,698,636.15

Other comprehensive income -40,073,850.05 -27,665,302.42

Special Reserve - -

Surplus reserve 46,791,706.04 46,791,706.04

General Risk Provision - -

Undistributed profit -924,791,840.96 -461,437,058.06

Equity attributable to owners of the parent company (or shareholders' rights 7,983,541,228.02 8,634,440,859.33

benefit) total

Minority interests 6,468,623.91 39,804,891.67

Total owners' equity (or shareholders' equity) 7,990,009,851.93 8,674,245,751.00

Liabilities and owners' equity (or shareholders' rights 9,940,959,112.28 10,557,087,161.63

benefit) total

Person in charge of the company: Mu Feng Person in charge of accounting: Liu Bo Person in charge of accounting institution: Hu Hao

Consolidated income statement

January-September 2024

Prepared by: Shenzhen MGI Technology Co., Ltd

Unit: Yuan Currency: RMB Audit Type: Unaudited

Project Q3 2024 Q3 2023

(January-September) (January-September)

1. Total operating income 1,869,062,681.62 2,203,817,662.21

Among them: operating income 1,869,062,681.62 2,203,817,662.21

Interest income - -

Premiums Earned - -

Fee & Commission Income - -

2. Total operating costs 2,295,399,468.98 2,375,240,854.20

Among them: operating costs 720,111,561.26 887,088,827.83

Interest expense - -

Fees & Commissions - -

Surrender Benefit - -

Net Claims Expense - -

Withdrawal of Net Insurance Liability Reserve - -

Policy Dividend Payout - -

Reinsurance Charges - -

Taxes and surcharges 12,440,096.84 14,182,710.52

Selling expenses 631,808,342.62 560,220,736.96

Administrative expenses 399,672,941.15 351,873,013.64

R&D expenses 553,504,354.12 642,126,015.36

Financial expenses -22,137,827.01 -80,250,450.11

Including: interest expense 16,107,541.99 10,185,303.58

Interest income 52,991,433.88 70,767,654.12

Add: Other income 55,615,129.61 45,041,639.56

Investment income (loss with "-" -1,908,278.03 -2,286,959.94

columns)

Among them: -2,534,002.95 -2,286,959.94 for associates and joint ventures

Investment income

Gold Financing at Amortized Cost - -

Proceeds are recognized at the end of production

Exchange gains (losses are marked with "-" - -

columns)

Net Exposure Hedge Gain (Loss Measured in "-" - -

number)

Fair value change gain (loss in the form of -605,885.31 -

"-" sign)

Credit impairment loss (loss is marked with "-" -20,043,666.72 -18,137,633.44

Fill in the columns)

Asset impairment loss (loss is measured in "-" -26,522,058.49 -46,901,134.59

Fill in the columns)

Gain on disposal of assets (loss is marked by "-" 930,279.09 1,883,962.79

Fill in the columns)

3. Operating profit (loss is listed with "-") -418,871,267.21 -191,823,317.61

Add: Non-operating income 4,200,682.01 21,133,307.69

Less: Non-operating expenses 2,513,559.65 5,659,430.63

4. Total profit (total loss is filled with "-" -417,184,144.85 -176,349,440.55

columns)

Less: Income tax expense 49,516,909.77 20,564,821.03

5. Net profit (net loss is listed with "-") -466,701,054.62 -196,914,261.58

(1) Classification according to business continuity

1. Net profit from continuing operations (net loss to -466,701,054.62 -196,914,261.58.)

"-" sign)

2. Net profit from discontinued operations (net loss in the form of - -

"-" sign)

(2) Classification according to ownership ownership

1. Net profit attributable to shareholders of the parent company -463,354,782.90 -197,775,667.60

(Net loss is indicated with a "-" sign)

2. Minority shareholders' profit and loss (net loss is "-" -3,346,271.72 861,406.02

number)

6. Net after-tax of other comprehensive income -12,408,547.63 54,087,146.63

(1) Other comprehensive attributable to owners of the parent company -12,408,547.63 54,087,146.63

Net amount after tax on gains

1. Other comprehensive income that cannot be reclassified into profit or loss 198,750.00 -

benefit

(1) Remeasurement of changes in defined benefit plans - -

forehead

(2) Others that cannot be transferred to profit or loss under the equity method - -

Comprehensive income

(3) Fair value of investment in other equity instruments 198,750.00 -

fluctuation

(4) The fair value of the enterprise's own credit risk - -

fluctuation

2. Other comprehensive income reclassified into profit or loss -12,607,297.63 54,087,146.63

(1) Other comprehensive transferable gains and losses under the equity method - -

Earnings

(2) Changes in fair value of other debt investments - -

(3) The reclassification of financial assets is included in other comprehensive - -

The amount of the combined income

(4) Provision for credit impairment of other debt investments - -

(5) Cash Flow Hedging Reserve - -

(6) Difference in translation of foreign currency financial statements -12,607,297.63 54,087,146.63

(7) Others - -

(2) Other comprehensive income attributable to minority shareholders - -

net after-tax of benefits

7. Total comprehensive income -479,109,602.25 -142,827,114.95

(1) Comprehensive income attributable to owners of the parent company -475,763,330.53 -143,688,520.97

Total benefit

(2) Total comprehensive income attributable to minority shareholders -3,346,271.72 861,406.02

forehead

8. Earnings per share:

(1) Basic earnings per share (RMB/share) -1.13 -0.48

(2) Diluted earnings per share (RMB/share) Not applicable Not applicable

In the event of a business combination under the same control in the current period, the net profit realized by the merged party before the merger was RMB 0.00, and the net profit realized by the merged party in the previous period was RMB 0.00.

Person in charge of the company: Mu Feng Person in charge of accounting: Liu Bo Person in charge of accounting institution: Hu Hao

Consolidated Statement of Cash Flows

January-September 2024

Prepared by: Shenzhen MGI Technology Co., Ltd

Unit: Yuan Currency: RMB Audit Type: Unaudited

Project Q3 2024 Q3 2023

(January-September) (January-September)

1. Cash flow from operating activities:

Cash received from the sale of goods and services 1,521,102,245.41 2,155,617,566.18

Net Increase in Customer Deposits and Interbank Deposits - -

Net increase in borrowings from the central bank - -

Net increase in borrowing and lending of funds to other financial institutions - -

Cash received from the premium of the original insurance contract - -

Net Cash Received from Reinsurance Business - -

Net increase in policyholders' savings and investment funds - -

Cash for interest, fees and commissions - -

Net increase in borrowed funds - -

Net increase in funds for repurchase operations - -

Net cash received from securities trading - -

Tax refunds received 139,683,585.07 110,015,032.62

Other cash received related to operating activities 167,637,000.72 227,999,754.48

Subtotal cash inflow from operating activities 1,828,422,831.20 2,493,632,353.28

Cash for goods and services 982,262,006.73 1,633,333,436.39

Net increase in customer loans and advances - -

Net increase in deposits with central banks and interbank funds - -

Cash payment of the original insurance contract - -

Net increase in lending funds - -

Cash for interest, fees and commissions - -

Cash for policy dividends - -

Cash paid to and on behalf of employees 911,555,285.18 1,012,777,531.97

Taxes paid 173,699,081.12 177,004,581.67

Other cash payments related to operating activities 611,392,528.38 562,133,162.25

Subtotal cash outflow from operating activities 2,678,908,901.41 3,385,248,712.28

Net cash flow from operating activities -850,486,070.21 -891,616,359.00

2. Cash flow from investment activities:

Cash received from the recovery of investment - -

Cash received from investment income 625,724.92 -

Disposal of fixed assets, intangible assets and other long-term 19,410.00 6,507.00

Net cash recovered from assets

Disposal of cash received by subsidiaries and other business units - -

Net gold

Receipt of other cash in connection with investment activities - -

Subtotal cash inflows from investing activities 645,134.92 6,507.00

Acquisition and construction of fixed assets, intangible assets and other long-term 333,227,325.27 546,886,907.84

Cash paid for assets

Cash paid for investments 54,695,059.00 15,000,000.00

Net Increase in Pledged Loans - -

Cash payments from subsidiaries and other business units - -

Net gold

Payment of other cash in connection with investment activities - -

Subtotal cash outflow from investing activities 387,922,384.27 561,886,907.84

Net cash flow from investing activities -387,277,249.35 -561,880,400.84

3. Cash flow from financing activities:

Cash received from investments 62,639,911.44 38,695,951.80

Among them: the subsidiary absorbs minority shareholders' investment and receives - -

of cash

Cash received from borrowings 300,000,000.00 300,000,000.00

Other cash received related to fund-raising activities 2,822,200.88 -

Subtotal cash inflows from financing activities 365,462,112.32 338,695,951.80

Cash paid to repay debts 102,300,000.00 50,100,000.00

Distribution of dividends, profits or interest payments 8,264,142.24 153,749,884.73

gold

Where: Shares paid by subsidiaries to minority shareholders - -

profits, profits

Other cash payments related to financing activities 279,708,133.78 54,504,074.92

Subtotal cash outflow from financing activities 390,272,276.02 258,353,959.65

Net cash flow from financing activities -24,810,163.70 80,341,992.15

IV. Effect of exchange rate changes on cash and cash equivalents -7,463,984.91 53,331,824.58

sound

5. Net increase in cash and cash equivalents -1,270,037,468.17 -1,319,822,943.11

Add: Opening cash and cash equivalents balance 4,772,670,466.33 6,468,985,526.58

6. Balance of cash and cash equivalents at the end of the period 3,502,632,998.16 5,149,162,583.47

Person in charge of the company: Mu Feng Person in charge of accounting: Liu Bo Person in charge of accounting institution: Hu Hao

The first implementation of new accounting standards or interpretations of standards from 2024 onwards involves adjustments to the financial statements at the beginning of the year in which they were first implemented

□ Applicable √ Not applicable

The announcement is hereby made.

Board of Directors of MGI Technology Co., Ltd

October 31, 2024