Cambrian: Tianjian Certified Public Accountants (Special General Partnership) on the annual deposit and use of funds raised by Cambrian Technology Co., Ltd

DATE: Apr 19 2025

Table of Contents

1. Annual Deposit and Use Assurance Report of Raised Funds...... Page 1-2 II. Special Report on the Annual Deposit and Use of Raised Funds............... pp. 3—15

III. Annex ...... pp. 16-20

Annual Assurance Report on the Deposit and Use of Raised Funds

Tianjian Trial [2025] No. 2945

All shareholders of Cambrian Technology Co., Ltd.:

We have verified the attached 2024 "Special Report on the Annual Deposit and Use of Raised Funds" prepared by the management of Cambrian Technology Co., Ltd. (hereinafter referred to as Cambrian).

1. Limitation of the users and purpose of use of the report

This assurance report is for the purpose of disclosure in Cambrian's annual report only and shall not be used for any other purpose. We agree to submit this assurance report as a necessary document for Cambrian's annual report, along with other documents, and to disclose it to the public.

2. Responsibilities of management

The responsibility of Cambrian's management is to provide true, legal and complete relevant information in accordance with the Regulatory Guidelines for Listed Companies No. 2 - Regulatory Requirements for the Management and Use of Funds Raised by Listed Companies (Revised in 2022) (CSRC Announcement [2022] No. 15) and the Self-Discipline of Listed Companies on the Science and Technology Innovation Board of the Shanghai Stock Exchange

Regulatory Guideline No. 1 – Standardized Operation (Revised in December 2023) (SSF [2023] No. 194)

The provisions of the preparation of the "Special Report on the Annual Deposit and Use of Raised Funds", and ensure that its content is true, accurate and complete, and there are no false records, misleading statements or major omissions.

3. Responsibilities of certified public accountants

Our responsibility is to independently present the assurance conclusions of the above-mentioned report prepared by Cambrian's management on the basis of the assurance work carried out.

Fourth, the work overview

We have performed our assurance engagements in accordance with the provisions of the Chinese Certified Public Accountants Practice Standards. The CPA Practice Standards require us to plan and implement assurance work to obtain reasonable assurance as to whether there is no material misstatement of the information of the subject of the audit. In the assurance process, we implemented procedures that we deem necessary, including verification of accounting records. We believe that our assurance work provides a reasonable basis for expressing opinions.

5. Verification conclusions

We believe that the 2024 Special Report on the Annual Deposit and Use of Raised Funds prepared by Cambrian's management is in line with the Regulatory Guidelines for Listed Companies No. 2 - Regulatory Requirements for the Management and Use of Raised Funds by Listed Companies (Revised in 2022) (CSRC Announcement [2022] No. 15) and Shanghai

Self-Regulatory Guidelines for Listed Companies on the Stock Exchange's Science and Technology Innovation Board No. 1 – Standardized Operation (Revised in December 2023

(SSE Fa [2023] No. 194) truthfully reflects the actual deposit and use of the funds raised by Cambrian in 2024.

Tianjian Certified Public Accountants (Special General Partnership) Chinese Certified Public Accountants:

Hangzhou, China Chinese Certified Public Accountants:

April 18, 2025

Cambrian Technology Co., Ltd

Special report on the annual deposit and use of raised funds

According to the China Securities Regulatory Commission's Guidelines for the Supervision of Listed Companies No. 2 - Management of Funds Raised by Listed Companies

Regulatory Requirements for Use (Revised in 2022) (CSRC Announcement [2022] No. 15) and issued by the Shanghai Stock Exchange

Self-Regulatory Guidelines for Listed Companies on the Sci-Tech Innovation Board of the Shanghai Stock Exchange No. 1 – Standardized Operation (Revised in December 2023)

(SSE Fa [2023] No. 194), the special description of the deposit and use of the company's raised funds in 2024 is as follows.

First, the basic situation of the funds raised

(1) The actual amount of funds raised and the time when the funds arrive in the account

Approved by the Shanghai Stock Exchange, and in accordance with the "Reply on Agreeing to the Registration of Zhongke Cambrian Technology Co., Ltd. to Issue Shares to Specific Objects" issued by the China Securities Regulatory Commission (Zheng Jian Xu Xu [2023] No. 424), the public

In 2022, the Company issued 13,806,042 A shares to specific targets at an issue price of RMB121.10 per share.

The total amount of funds raised was RMB1,671,911,700, and the actual net amount of funds raised was RMB1,649,290,000 after deducting various issuance expenses (excluding tax) of RMB22,621,700. The above-mentioned raised funds have been verified by Tianjian Certified Public Accountants (Special General Partnership) and issued the "Capital Verification Report" (Tianjian Yan [2023] No. 129).

(ii) The use and balance of the funds raised

1. Funds raised through the issuance of shares to specific targets in 2022

Amount unit: RMB 10,000 yuan

Project Serial Number Amount

Net proceeds A 164,929.00

Chip project investment B1 7,525.17

Interest income, net investment income B2 3,202.41

Cumulative amount incurred as of the beginning of the period

Replenishment of liquidity B3 1,302.65

Net outflow of investment structured deposits B4 10,000.00

Permanent replenishment of liquidity B5

The chip project invested C1 39,822.95

Interest income, net investment income C2 2,448.53

Amount incurred in the current period Replenishment of liquidity C3

Net outflow of investment structured deposits C4 41,000.00

Permanent replenishment of liquidity C5 25,000.00

Chip project investment D1 = B1 + C1 47,348.12

Interest income, net investment income D2=B2+C2 5,650.94

Cumulative amount incurred as of the end of the period Supplementary liquidity D3=B3+C3 1,302.65

Net outflow of investment structured deposits D4=B4+C4 51,000.00

Permanent replenishment of liquidity D5=B5+C5 25,000.00

Balance to be raised E=A-D1+D2-D3 45,929.17

-D4-D5

Actual balance raised F 45,929.17

Difference G=E-F

2. The use of the proceeds from the IPO for specific projects

Amount unit: RMB 10,000 yuan

Project Serial Number Amount

Net proceeds A 31,548.78

The chip project was put into B1

Interest income, net investment income B2 338.86

Cumulative amount incurred as of the beginning of the period

Net outflow of investment structured deposits B3 3,000.00

Permanent replenishment of liquidity B4

The chip project was put into C1

Interest income, net investment income C2 495.69

Amount incurred in the current period

Net outflow of investment structured deposits C3 -3,000.00

Permanent replenishment of liquidity C4 32,383.32

As of the end of the period, the cumulative amount of chip project investment D1 = B1 + C1

Interest income, net investment income D2=B2+C2 834.54

Net outflow of investment structured deposits D3=B3+C3

Permanent replenishment of liquidity D4=B4+C4 32,383.32

Balance to be raised [Note] E=A-D1+D2-D3-

Actual Balance Funds Raised F

Difference G=E-F

Note: The difference in the above table is due to rounding

Second, the management of raised funds

(1) Management of raised funds

In order to standardize the management and use of raised funds, improve the efficiency and effectiveness of the use of funds, and protect the rights and interests of investors, the Company complies with the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China, the Regulatory Guidelines for Listed Companies No. 2 - Regulatory Requirements for the Management and Use of Raised Funds by Listed Companies (Revised in 2022) (CSRC Announcement [2022] No. 15) and the Self-Regulatory Guidelines for Listed Companies on the Science and Technology Innovation Board of the Shanghai Stock Exchange No. 1 - Standardized Operation (Revised in December 2023) (SSF [2023] No. 194) and other relevant laws, regulations and normative documents, combined with the actual situation of the company, the "Management System for Raising Funds of Cambrian Technology Co., Ltd." (hereinafter referred to as the "Management System") has been formulated.

1. Funds raised through the issuance of shares to specific targets in 2022

In accordance with the Administrative Measures, the Company implements a special account for the storage of raised funds, sets up a special account for raised funds in a bank, and signs the Tripartite Supervision Agreement on the Storage of Special Account for Raised Funds on April 14, 2023 together with the sponsor CITIC Securities Co., Ltd., China Construction Bank Corporation Beijing Zhongguancun Branch and China Merchants Bank Co., Ltd. Beijing Universiade Village Branch, a commercial bank that stores the raised funds in a special account. On June 21, 2023, the company, together with Shanghai Cambrian Information Technology Co., Ltd., CITIC Securities Co., Ltd., and China Construction Bank Corporation Shanghai Zhangjiang Branch, signed the "Four-Party Supervision Agreement on the Storage of Special Accounts for Raised Funds". On November 15, 2024, the company signed the "Four-Party Supervision Agreement on the Storage of Special Accounts for Raised Funds" with Shanghai Cambrian Information Technology Co., Ltd., CITIC Securities Co., Ltd., and China Construction Bank Corporation Shanghai Zhangjiang Branch. On the same day, the company signed the "Five-Party Supervision Agreement on the Storage of Special Accounts for Raised Funds" with Shanghai Cambrian Information Technology Co., Ltd., Shanghai Cambrian Information Technology Co., Ltd. Shenzhen Branch, CITIC Securities Co., Ltd. and China Construction Bank Corporation Qianhai Branch. There is no material difference between the above-mentioned regulatory agreement and the model regulatory agreement of the Shanghai Stock Exchange, and the Company has strictly complied with the use of the proceeds.

On November 1, 2024, the company's second extraordinary general meeting of shareholders in 2024 deliberated and approved the "On Adjusting the Investment of Raised Funds

The project and increase the implementation subject and implementation location", the proposed investment in the "stable process platform chip project" in the 2022 annual issuance of shares to specific objects to raise funds will be adjusted from 699.7368 million yuan to 449.7368 million yuan, and the reduced 250 million yuan will permanently supplement the company's working capital.

On November 22, 2024, the Company held the 27th meeting of the second session of the Board of Directors and the 20th meeting of the second session of the Board of Supervisors, and deliberated and approved the "Proposal on Using Raised Funds and Own Funds to Increase Capital to Wholly-owned Subsidiaries", and agreed to use the raised funds of RMB 15 million to increase the capital of its wholly-owned subsidiary, Shanghai Cambrian Information Technology Co., Ltd.

2. The use of the proceeds from the IPO for specific projects

On July 18, 2023, the eleventh meeting of the second board of directors and the sixth meeting of the second board of supervisors of the company deliberated and approved the "Proposal on the Completion of the Initial Public Offering of Shares and the Use of the Surplus Raised Funds for Specific Projects and Permanent Replenishment of Liquidity", and agreed that the company will complete the investment projects of the "new generation of cloud inference chips and systems" and "new generation of edge artificial intelligence chips and systems" with the funds raised from the initial public offering. After the completion of the above two projects, a total of 314,978,400 yuan of surplus funds will be used for the company's issuance of shares to specific targets to raise investment projects "stable process platform chip project". According to the proposal, after the surplus raised funds are transferred to the corresponding special account for raising funds, the company will go through the procedures for canceling the account, cancel the relevant raised funds account, and the supervision agreement signed by the company with the sponsor institution, the project implementation entity and the opening bank will be terminated.

The company and its wholly-owned subsidiary, Shanghai Cambrian Information Technology Co., Ltd., as the implementation body of the surplus funds of the fund-raising project, are divided

A new special account for raising funds was opened. On July 31, 2023, the company entered into a partnership with sponsors CITIC Securities and China Construction

Beijing Zhongguancun Branch of Bank Co., Ltd. signed the Tripartite Supervision Agreement on the Storage of Raised Funds. On the same day, the company and its wholly-owned subsidiary, Shanghai Cambrian Information Technology Co., Ltd., signed the "Four-Party Supervision Agreement on the Storage of Special Accounts for Raised Funds" with the sponsor CITIC Securities and China Construction Bank Corporation Shanghai Zhangjiang Branch. There is no material difference between the above-mentioned regulatory agreement and the model regulatory agreement of the Shanghai Stock Exchange, and the Company has strictly complied with the use of the proceeds.

The company held the 24th meeting of the second board of directors and the 18th meeting of the second board of supervisors on September 30, 2024

deliberated and passed the "Proposal on Adjusting the Investment Projects of Raised Funds and Increasing the Implementation Subjects and Implementation Locations", and agreed to use the IPO surplus funds for the "Stable Process Platform Chip Project" of 315.4878 million yuan to permanently supplement the company's working capital (real

The amount is subject to the balance of the special account on the day when the funds are transferred out). The proposal was approved by the company on November 1, 2024 for the second time in 2024

The extraordinary general meeting of shareholders deliberated and approved.

(2) The storage of the special account for the raised funds

1. Funds raised through the issuance of shares to specific targets in 2022

As of December 31, 2024, the Company has 9 special accounts for raised funds, and the deposit of raised funds is as follows:

Amount unit: RMB

Bank account number Balance of raised funds Note

11050163870009000801 288,201,047.02

China Construction Bank Corporation 11050163870009000802 79,954,134.14

Beijing Zhongnan Road Sub-branch[Note 1]

11050163870009000803 83,178,807.34

China Merchants Bank Co., Ltd. Beijing 110929757910606 0.03

Universiade Village Branch

31050161393600006799 2,832,527.40

China Construction Bank Corporation 31050161393600006800 4,105,977.25

Shanghai Zhangjiang Branch

31050161393600007624 390,079.46

China Construction Bank Corporation 44250100004100004581 299,959.89

Shenzhen Nanshan Avenue Sub-branch [Note 2] 44250100004100004582 329,229.91

Total 459,291,762.44

[Note 1] China Construction Bank Corporation Beijing Zhongnan Road Sub-branch is China Construction Bank Corporation Beijing

The outlets under the jurisdiction of Zhongguancun Branch, the same below

[Note 2] China Construction Bank Corporation Shenzhen Nanshan Avenue Sub-branch is in front of China Construction Bank Corporation

Overseas branch outlets

2. The use of the proceeds from the IPO for specific projects

Amount unit: RMB

Bank account number Balance of raised funds Note

China Construction Bank Co., Ltd. 11050163870009000805 unclosed accounts

Division Beijing Zhongnan Road Branch

China Construction Bank Co., Ltd. 31050161393600006935 unclosed accounts

Division Shanghai Zhangjiang Branch

Total

3. The actual use of the funds raised in the current year

(1) Comparison table of the use of raised funds

The comparison table of the use of funds raised from the issuance of shares to specific targets in 2022 is detailed in Annex 1 of this report.

A comparison table of the use of proceeds from the IPO for specific projects is shown in Annex 2 to this report.

(2) An explanation of the abnormal situation in the investment project of the raised funds

There is no abnormal situation in the investment projects of the company's raised funds.

(3) An explanation of the fact that the investment project of the raised funds cannot be separately accounted for for the benefits

The company's 2022 investment projects that raise funds by issuing shares to specific targets cannot be separately accounted for for the economic benefits generated.

The instructions are as follows:

1. The company issues shares to specific objects, and the project "Advanced Process Platform Chip Project" includes first-in-the-first

into the process platform to develop energy-efficient intelligent chips, and research and development of corresponding supporting basic system software; "Stabilize the process platform chip

The content of the project includes the construction of a chip design platform under the stable integrated circuit process and the high integration of different computing power levels

R&D of intelligent SoC chips, and research and development of supporting basic system software; "A general-purpose intelligent processor for emerging application scenarios

The "technology R&D project" includes the development of intelligent instruction sets, processor microarchitectures, and processor functions for emerging scenarios

and performance simulators, software toolchains, and more. The above three projects are all R&D in nature, aiming to strengthen the company's R&D investment and sustain

Iterate core technologies, accelerate the upgrade of smart chips, improve chip energy efficiency, and further enhance the company's technical advantages and product competition

Competitiveness, indirectly improve the company's efficiency, can not be accounted for separately.

2. Replenishment of working capital does not directly produce economic benefits, but through the implementation of this project, the rapid development of the company's business can be satisfied

The needs of development and operation management to further enhance the company's operating capabilities.

(4) Cash management of temporarily idle raised funds

In order to improve the efficiency of the use of raised funds, the company held the eighth meeting of the second board of directors on April 27, 2023.

At the fourth meeting of the second board of supervisors, the "Proposal on the Use of Part of the Temporarily Idle Raised Funds for Cash Management" was deliberated and approved

It was agreed that the company would use the idle raised funds with a limit of no more than RMB 2 billion, and ensure that the investment of the raised funds would not be affected

On the premise of the implementation of the capital project and ensuring the safety of the raised funds, cash management will be carried out, and the above amount will be from April 28, 2023 to

Available on a rolling basis between April 27, 2024. The Company held the 17th meeting of the second session of the Board of Directors on April 26, 2024

At the meeting, the eleventh meeting of the second board of supervisors deliberated and approved the "On the Use of Part of the Temporarily Idle Raised Funds for Cash

The proposal on fund management agrees that the company will use the idle raised funds with a limit of no more than RMB 1.7 billion, which will not be affected in the guarantee

On the premise of the implementation of the investment project of the raised funds and ensuring the safety of the raised funds, cash management will be carried out, and the above amount will be in 2024

Available on a rolling basis from April 28 to April 27, 2025.

As of December 31, 2024, Cambrian's cash management of the proceeds is as follows:

1. Structured deposits

Product Investment Amount Expected Income

Serial No. Trustee Bank Product Type Value Date Maturity Date Remarks

Name (10,000 yuan) profit rate