Joincare Pharmaceutical Group Industry Co., Ltd. Interim Report 2026

Important Notice

• Ⅰ The Board of Directors (the “Board”), directors and senior management of the Company hereby warrant the truthfulness, accuracy and completeness of the contents of the interim report (the “Report”), and that there are no false representations, misleading statements or material omissions contained in the Report, and severally and jointly accept responsibility.
• Ⅱ All the directors of the Company attended the Board meeting.
• Ⅲ The interim report of the Company is unaudited.
• Ⅳ Mr. Zhu Baoguo (朱保国), the person-in-charge of the Company, Mr. Qiu Qingfeng (邱庆丰), the person-in-charge of the Company's accounting work, and Ms. Guo Chenlu (郭琛璐), the person-in-charge of the accounting department (the head of the accounting department), declare that they hereby warrant the truthfulness, accuracy and completeness of the financial statements contained in the Report.
• Ⅴ Profit distribution plan or plan for conversion of capital reserve to share capital approved by the Board during the Reporting Period Not applicable

• VI Risk Warning for Forward-looking Statements √Applicable □N/A

The Report contains forward-looking statements which involve the future plans, development strategies, etc. of the Company, yet do not constitute substantive undertakings of the Company to investors. Investors should exercise caution prior to making investment decisions.

• VII Whether there is non-operating use of funds by the controlling shareholder and their related parties No
• VIII Whether there is a violation of the prescribed decision-making procedures to provide external guarantees No
• IX Whether more than half of directors cannot warrant the truthfulness, accuracy and completeness of the Report disclosed by the Company No

• X Significant risk warnings There is no exceptionally significant risk that will have a material impact on the production

and operation of the Company during the Reporting Period. In this Report, the Company has elaborated on the risks and countermeasures that the Company may face in the course of production and operation, including industry policy risk, market risk, risk of safety and environmental protection, risk in price and supply of raw materials and R&D risk. For more information, please refer to “Potential risks” section in Chapter 3 Management Discussion and Analysis.

• XI Others

□Applicable √N/A

Table of Contents

Financial Highlights........................................................................................................................5

• Chapter 1 Definitions......................................................................................................................6
• Chapter 2 Company Profile and Major Financial Indicators.....................................................8
• Chapter 3 Management Discussion and Analysis ......................................................................12
• Chapter 4 Corporate Governance, Environmental and Social.................................................47
• Chapter 5 Major Events...............................................................................................................52
• Chapter 6 Changes in Equity and Shareholders........................................................................63
• Chapter 7 Information on Bonds.................................................................................................67
• Chapter 8 Financial statements ...................................................................................................68

Financial Highlights

Chapter 1 Definitions

In this Report, unless the context otherwise requires, the following expressions shall have the following meanings:

*For identification purpose only

Chapter 2 Company Profile and Major Financial Indicators

• I Company profile

• II Contact persons and contact details

• III Overview of Changes in the Company’s Basic Information

• IV Introduction of changes in information disclosure and places for inspection

• V Company Stock Profile

• VI Other relevant information

□Applicable √N/A

• VII Principal accounting data and financial indicators of the Company

• (I) Principal accounting data Unit: Yuan Currency: RMB

(II) Principal Financial Indicators

Description of principal accounting data and financial indicators of the Company

□Applicable √N/A

VIII Differences in accounting data under domestic and foreign accounting standards

□Applicable √N/A

IX Items and amounts of extraordinary gains and losses

√Applicable □N/A

Unit: Yuan Currency: RMB

For the items not listed in the Explanatory Announcement No.1 for Public Company Information Disclosures-Extraordinary Gains or Losses that the company identifies as non-recurring gains and losses,

especially those with significant amounts, as well as the extraordinary gain or loss items as illustrated in the Explanatory Announcement No.1 for Public Company Information Disclosures-Extraordinary Gains or Losses which has been defined as its recurring gain or loss items, the reasons for such classification should be explained.

□Applicable √N/A

• X Companies with equity incentive plans or employee stock ownership plans may choose to disclose net profit after deducting the impact of share-based payments.

□Applicable √N/A

• XI Others

□Applicable √N/A

Chapter 3 Management Discussion and Analysis

• I Description of the industry in which the Company operates and principal businesses of the Company during the Reporting Period

• (I) Principal businesses and products of the Company The Company is primarily engaged in the R&D, production and sales of pharmaceutical products and

healthcare products. The business scope of the Company covers chemical pharmaceuticals, biologics, chemical active pharmaceutical ingredients (APIs) and intermediates, traditional Chinese medicine (TCM), diagnostic reagents and equipment, healthcare products, etc. The enriched product series and mix provide larger market and growth opportunities for the Company. Main products of the Company are as follows:

• (II) Business model of the Company As a fully integrated pharmaceutical group encompassing research and development, manufacturing,

sales, and services, the Company has, through years of development, established a comprehensive end-toend system. Main business models of the Company are as follows:

1. R&D

The Company adopts a multi-pronged R&D model that integrates independent innovation, external introduction, and collaborative development. In terms of in-house innovation, the Company has established a multi-tiered R&D system covering a wide range of areas including chemical formulations and biopharmaceuticals. Based on its technology platforms, the Company has developed a clearly defined R&D pipeline focused on key therapeutic areas such as respiratory diseases and immuno-oncology. In terms of collaborative innovation, the Company actively engages in domestic and international scientific partnerships through commission or joint development. It also pursues technology transfer and inlicensing of strategic new technologies and products to facilitate commercialization, strengthen its position in core therapeutic areas, and expand into emerging markets.

2. Procurement

The Company exercises strict control over procurement efficiency, quality, and cost, and has established long-term, stable partnerships with multiple suppliers. Each manufacturing subsidiary procures raw and auxiliary materials, as well as packaging materials, in accordance with its production schedule. The Company has implemented stringent quality standards and procurement policies, requiring all subsidiaries to conduct procurement in compliance with GMP standards. It has entered long-term strategic partnerships with bulk material suppliers, ensuring a balance between quality assurance and cost control. An internal evaluation system and pricing database have been established to monitor market dynamics in real time. The Company practices a procurement approach based on both quality and price comparisons.

3. Production

The Company organizes production based on market demand. The sales department conducts market research and formulates sales plans. Production quantities and specifications are then determined by considering inventory levels and production capacity. Procurement is arranged in accordance with the production plan and raw material availability, and all plans are subject to management review and approval before execution. The Company strictly adheres to GMP requirements and has established a comprehensive quality management system, including the implementation of a Qualified Person (QP) system. A rigorous Quality Assurance (QA) framework has been put in place to ensure compliance with national standards and alignment with international certifications. Regular GMP self-inspections, internal and external ISO 9001 audits, and third-party audits are conducted to ensure continuous improvement. The Company applies internationally advanced GMP management practices, with robust quality control across supplier selection, production processes, product release, and post-market surveillance—ensuring the efficiency and integrity of the entire quality system.

1. Sales

(1) Drug formulation products

The Company’s chemical pharmaceuticals, Biologics, and traditional Chinese medicine formulations are primarily sold to end customers such as hospitals, clinics, and retail pharmacies. In line with common practices in the pharmaceutical industry, the Company primarily conducts sales through pharmaceutical distribution enterprises. Distributors are selected and centrally managed based on criteria such as distribution capabilities, market familiarity, financial strength, credit history, and operational scale. All selected partners must hold valid pharmaceutical distribution licenses and certifications of compliance with Good Supply Practice for Pharmaceutical Products (GSP) certification. The typical sales process is as follows: end customers place purchase orders with distribution enterprises, which then submit orders to the Company based on their inventory levels, distribution agreements, and contractual terms. The Company delivers products to the distributors and recognizes revenue accordingly.

(2) APIs and intermediates

The Company’s API products are primarily supplied to large-scale manufacturing enterprises. The Marketing and Sales Department holds market analysis meetings every one to two weeks to assess price

trends based on current sales performance. Product pricing is determined through a comprehensive evaluation of market dynamics, production costs, and inventory levels, and is implemented upon approval by the management team. In terms of sales strategy, the Company primarily adopts a direct sales model in the domestic market, supplemented by distributor sales. For international markets, direct sales remain the main approach, while distributor partnerships are employed in higher-risk regions to mitigate potential operational challenges.

(3) Diagnostic reagents and equipment

The Company’s diagnostic reagents and equipment include both self-manufactured and imported products. End customers primarily consist of hospitals, Centers for Disease Control and Prevention (CDCs), and public health authorities. These products are marketed through a combination of direct sales and distribution via pharmaceutical circulation enterprises.

(4) Healthcare products The Company adheres to a user-centric, brand-driven growth model and has established a new brand

marketing system alongside a comprehensive omni-channel sales network.

Online, the Company operates DTC (Direct-to-Consumer) sales primarily through flagship stores on platforms such as Douyin, Tmall, and JD.com, enabling direct engagement with end users.

Offline, leveraging the distribution channels and terminal coverage of commercial partners across chain pharmacies, the Company collaborates with approximately 95 first-tier distributors, including 63 pharmaceutical distributors and 32 food and supermarket distributors. Their underlying second-tier distributors and covered terminals across pharmaceutical and food channels exceed 400,000. Through this tiered marketing network, the Company effectively manages and promotes its products. In addition to traditional distribution management models, the Company fosters synergistic development through online channels, having established official flagship stores across major e-commerce platforms, including Tmall, JD.com, Douyin, Xiaohongshu (RED), Pinduoduo, WeCom Youzan, and WeChat Channels Store.

• (III) Analysis of industry development 2026 marks the first year of China’s 15th Five-Year Plan. The biomedical industry has been officially

classified as a national emerging pillar industry, assigned the mission to foster new quality productive forces and support public health and the upgrading of the real economy. In the first half of the year, driven by this new strategic positioning, the industry accelerated its structural improvements in quality and efficiency, highlighted by targeted policy support, innovation-driven growth, and deeper international expansion. Industrial resources further concentrated on innovative drugs with high clinical value, solidifying innovation as the primary driver of the sector's high-quality development.

On the policy front, guided by national strategies, a comprehensive support system for innovation has taken shape. China has continuously refined incentive mechanisms, including Breakthrough Therapy Designation (BTD), conditional approval, and priority review, thereby accelerating the commercialization of cutting-edge modalities such as novel antibodies, ADCs, cell and gene therapies, and nucleic acid drugs. In addition, the differentiated medical insurance payment system has been further improved, refining entry and renewal mechanisms based on clinical value to balance innovation with affordability. Meanwhile,

Volume-Based Procurement (VBP) has entered a normalized and institutionalized phase, focusing primarily on generic drugs and mature medical consumables, thus having a manageable impact on the innovative drug sector. This has effectively facilitated the phase-out of low-end homogeneous production capacity and consolidated the foundation for the industry's innovative transformation.

The industry sustained strong momentum, marked by the accelerated conversion of research breakthroughs. The number of domestically approved Class 1 innovative drugs grew steadily in H1 2026, alongside marked efficiency gains in translating clinical pipelines. The pace of global expansion gathered momentum, with overseas competitiveness becoming increasingly prominent. In H1 2026, the total value of China’s overseas pharmaceutical transactions reached US$99.7 billion, with the full-year figure expected to set a record. Chinese enterprises have expanded their presence through BD licensing, joint R&D, and global commercialization, elevating the international profile of domestic innovative assets and propelling the industry into a new era of global value competition.

In summary, supported by national policy, the structural differentiation of the pharmaceutical industry intensified in H1 2026, making proprietary innovation capacity the core differentiator for enterprises. Looking ahead under the 15th Five-Year Plan, the industry will focus on three strategic pillars: original technological innovation, meeting essential clinical needs, and expanding global footprint. Market participants with sustained R&D capabilities, high-value innovative pipelines, and mature commercial operations will be best positioned to capitalize on strategic opportunities and fully unlock the benefits of high-quality growth.

Explanation of newly added significant non-principal businesses during the Reporting Period

□ Applicable √ Not applicable

• II Discussion and analysis of business conditions

• 1. Main business conditions during the Reporting Period （1）Operating Results and Reasons for Changes

During the Reporting Period, amid multiple pressures arising from tighter medical insurance cost controls, the normalized implementation of national volume-based procurement and the cyclical trough in the active pharmaceutical ingredient (“API”) industry, the Company’s operating results came under temporary pressure. Nevertheless, its business mix continued to improve and its core competitiveness remained solid. The Company recorded operating revenue of RMB6,583 million, representing a year-onyear decrease of 16.66%; net profit attributable to shareholders of the listed company amounted to RMB648 million, representing a year-on-year decrease of 17.49%; and net profit excluding non-recurring gains and losses amounted to RMB604 million, representing a year-on-year decrease of 21.55%. The simultaneous decline in revenue and profit was mainly attributable to the concentrated impact of the above industry-wide factors on certain key products of the Company, compounded by a year-on-year decrease in patient visits for influenza and respiratory diseases in China during the first quarter of 2026.

By business segment, the fluctuations in performance were mainly attributable to Livzon Group, a controlled subsidiary of the Company. During the Reporting Period, Livzon Group recorded operating

revenue of around RMB5,000 million, representing a year-on-year decrease of 20.28%; and net profit attributable to shareholders of its parent company of RMB932 million, representing a year-on-year decrease of 27.23%. The impact of multiple industry-wide factors was concentrated on its key products. In the chemical preparation segment, sales revenue from the Ilaprazole Sodium series and Menotrophins for Injection declined because of price reductions under the medical insurance scheme. Sales of Leuprorelin Acetate Microspheres for Injection decreased significantly in regions covered by the Guangdong Alliance procurement programme. Fluvoxamine Maleate Tablets, a product in the psychiatry portfolio, became subject to the eleventh round of national volume-based procurement from this year, resulting in a decline in revenue. In the API and intermediate segment, total domestic sales decreased slightly due to the cyclical trough and structural adjustments in the domestic industry. The traditional Chinese medicine preparation and diagnostic segments were affected by the decline in patient visits for influenza and respiratory diseases during the first quarter, with revenue from Antiviral Granules and respiratory-related diagnostic products decreasing year on year. For further details, please refer to the 2026 Interim Report of Livzon Group.

During the Reporting Period, the Company’s standalone operations demonstrated strong resilience. Driven by the successive launch of innovative drug products and continued growth in healthcare products, the profitability of the Company’s standalone operations increased slightly. For further details, please refer to Section 2 of this chapter.

(2) Highlights and Resilience of Core Business Segments

① Innovation-led Transformation of the Respiratory Segment Continued to Deliver Results, with the Revenue Mix Steadily Shifting towards Innovation-driven Growth

During the Reporting Period, revenue from innovative drugs accounted for nearly 35% of the respiratory segment’s revenue, representing a notable increase from approximately 27% in the corresponding period of 2025. The Company’s strategic transformation towards innovation continued to gain momentum and deliver results.

• ⅰ.Commercialization of Pixavir Marboxil Capsules (壹 立 康 ®), the Company’s first Class 1

innovative chemical drug in the respiratory field, progressed smoothly. During the Reporting Period, the product completed listing on drug procurement platforms in all provincial-level regions across China, gained access to a number of key medical institutions and became available on leading online pharmaceutical platforms. The Company also frequently conducted academic promotion activities in collaboration with leading experts in the respiratory field. In June 2026, the Company formally applied for inclusion in the NRDL during the 2026 NRDL adjustment. Following its potential inclusion in the NRDL, the product is expected to achieve further sales ramp-up and volume growth.

• ⅱ. Tobramycin Inhalation Solution maintained its growth momentum despite the high comparison

base resulting from rapid growth in the corresponding period of the previous year, recording a year-onyear increase of more than 10%. As innovative products successively enter the commercialization stage, the revenue mix of the respiratory segment is expected to continue improving.

② Healthcare Products Segment Sustained Its Growth Momentum, with Eagle’s（鹰牌） American Ginseng Tea Delivering Its Best First-half Sales Performance in a Decade

During the Reporting Period, the Company’s healthcare products segment recorded sales revenue of RMB304 million, representing a year-on-year increase of 25%. Despite the high comparison base in the corresponding period of the previous year, the segment continued to achieve high-quality growth, primarily driven by the continued implementation of its dual-engine strategy. On the brand front, the Company focused on the flagship products of its well-established national brands, including Eagle’s (鹰 牌)，Taita (太太) and Jingxin (静心), and precisely targeted consumer demand in festive gifting scenarios. Gift-box products delivered outstanding performance across all channels.

In particular, Eagle’s strengthened its positioning as a premium Chinese New Year gifting choice. Shipments of its Spring Festival gift boxes reached nearly 300,000 boxes, representing a year-on-year increase of approximately 87%. The products recorded strong sales and sold out across all channels and became a benchmark gifting product on multiple platforms. On the channel front, the Company further strengthened online-offline integration. Online, it directly reached consumers through the direct-toconsumer (“DTC”) model on platforms including Douyin, Tmall and JD.com. Offline, it continued to expand point-of-sale coverage through chain pharmacies, key-account (“KA”) supermarkets and new retail channels. Brand momentum and channel efficiency improved in tandem.

(3) Response Measures

In response to industry policy adjustments, price reductions affecting certain key products and periodic fluctuations in demand, the Company will adhere to its operating approach of “stabilizing the existing business, expanding incremental growth, improving efficiency and controlling risks”, with a focus on the following initiatives:

① Proactively Mitigating the Impact of Policy Adjustments and Consolidating the Foundation of Established Businesses

In response to the impact of medical insurance price reductions and the implementation of national volume-based procurement on certain key preparation products of Livzon Group, the Company will strengthen access to healthcare institutions, channel coverage and communication of clinical value, optimize the allocation of marketing resources and enhance its ability to capture sales volume following price reductions. The Company will further optimize the product and customer mix of its API business, strengthen coordination between domestic and overseas markets and enhance cost control to improve operating quality. It will also strengthen demand monitoring, production and sales coordination, and channel inventory management for its traditional Chinese medicine preparation and diagnostic businesses to improve market responsiveness. For details of Livzon Group’s operating initiatives, please refer to the 2026 Interim Report of Livzon Group.

②Accelerating the Commercialization of Innovative Products and Improving the Quality of Growth in the Respiratory Segment

Following the completion of nationwide listing of Pixavir Marboxil Capsules (壹立康®) on provincial drug procurement platforms, the Company will focus on advancing access to healthcare institutions, academic promotion and patient accessibility. It will also actively pursue inclusion in the National Reimbursement Drug List (“NRDL”), with a view to progressively translating market access coverage into actual clinical use. Meanwhile, the Company will continue to expand coverage of healthcare institutions for innovative products such as Tobramycin Inhalation Solution and increase the contribution of innovative products to the revenue and profitability of the respiratory segment.

The Company will also advance its key pipeline projects and the development of related dosage forms as planned. It will further strengthen collaboration among R&D, medical affairs, market access, marketing and supply chain functions to improve the efficiency of translating innovative achievements into commercially successful products.

③ Consolidating the Growth Momentum of Healthcare Products and Strengthening Sustainable Operating Capabilities

The Company will continue to focus on its core brands and flagship products, including Eagle’s（鹰 牌）, Taita（太太） and Jingxin（静心）, and deepen collaboration between online and offline channels. While consolidating its advantages in festive gifting occasions, the Company will actively expand into consumption scenarios such as daily nourishment and family health. It will further strengthen customer engagement, repeat-purchase conversion, product mix management and improve the efficiency of marketing expenditure, while closely monitoring point-of-sale sell-through and channel inventory turnover, thereby promoting coordinated improvements in business scale and profitability.

④ Advancing the application of AI and new technologies, and deepening lean operations

The Company will strengthen the end-to-end application of AI across R&D, production, sales and corporate functions, continue to advance production process optimization, supply chain collaboration and digitalized operations, and improve the efficiency of resource allocation and utilization improve resource input-output efficiency. Meanwhile, it will further enhance quality, safety, environmental protection and compliance management to provide safeguards for the sound development of each business segment.

(4) Future Outlook

Looking ahead to the second half of 2026, factors including medical insurance cost controls, the implementation of national volume-based procurement, price adjustments affecting certain established products and competition in the API market may continue to exert pressure on the Company’s operations, and it may take time for the related impacts to be fully absorbed. Demand relating to respiratory diseases is seasonal, while uncertainties also remain regarding NRDL inclusion, coverage of healthcare institutions and the pace of commercial sales ramp-up for innovative drugs. At the same time, the brand and channel foundations accumulated by the healthcare products segment, the continued commercialization of innovative respiratory products and the Company’s diversified business portfolio will continue to provide support for its operations.

The Company will increasingly rely on product mix optimization and improvements in operating efficiency to drive business recovery. It will strive to stabilize the foundation of its established businesses, increase the contribution from innovative products and high-growth businesses, and continuously enhance its overall operating quality and long-term sustainable development capabilities.

• 2. Analysis of R&D Progress

(1) Core Pipeline Advanced Steadily During the Reporting Period

During the Reporting Period, the Company’s R&D pipeline entered a pivotal stage in which value realization and portfolio expansion advanced in parallel. Guided by unmet clinical needs and differentiated innovation, the Company kept pace with developments in AI-enabled pharmaceutical R&D and continued

to deepen iterative innovation by leveraging its strengths in respiratory diseases, anti-infectives and pain management.

As at the end of the Reporting Period, the Group had established a pipeline comprising more than 20 Class 1 innovative drug candidates. In the respiratory and anti-infective therapeutic areas, which have long been the Group’s core areas of focus, the Group had proactively established a portfolio of more than ten Class 1 innovative drug candidates. In particular, in the field of chronic obstructive pulmonary disease (“COPD”), the Group has established a comprehensive network of therapeutic target encompassing upstream inflammatory pathways, oral anti-inflammatory therapies and inhaled maintenance therapies, with its differentiated competitive advantages becoming increasingly evident:

Progress of Other Pipeline Programs:

• • JKN2404 Inhalation Suspension, a next-generation inhaled corticosteroid (ICS), was approved for clinical trials in bronchial asthma.
• • JKN2501 for Injection, a novel β-lactamase inhibitor in the anti-infective field, added hospitalacquired pneumonia (HAP) and ventilator-associated pneumonia (VAP) as new indications.
• • JKN2502 for Injection, a next-generation polymyxin antibacterial agent, also received clinical trial approval, further strengthening the Company’s innovative portfolio in the respiratory and anti-infective fields.
• • For details of Livzon’s pipeline progress, please refer to the 2026 Interim Report of Livzon Group.

(2) AI Capabilities Empowering Early-Stage Research

The Company has completed the on-premises deployment of mainstream AI models and established an end-to-end AI-powered drug R&D platform integrating target identification, molecule generation, ADMET prediction and retrosynthetic analysis. During the Reporting Period, the platform increased the hit rate for novel active molecules by two- to five-fold and shortened the virtual compound screening cycle from several months under conventional approaches to just a few days. In COPD research, the lead compound discovery timeline was reduced to approximately six months. In addition, AI technology has delivered quantifiable efficiency improvements across pharmaceutical research, process development and clinical research, continuously enhancing R&D efficiency and return on investment. The Group has

currently deployed multiple early-stage novel-target programs, strengthening the foundation of early-stage research and providing a continuous source of support for its overall pipeline portfolio.

• 3. Internationalization: Accelerating Systematic Global Expansion During the Reporting Period, the Company accelerated the upgrade of its internationalization strategy

from “product exports” to “systematic global expansion”. Through the coordinated advancement of overseas M&A, APIs as a foundation and formulation breakthroughs, the Company achieved milestone progress in its global market presence.

(1) Milestone Progress in Overseas M&A

The Company’s controlled subsidiary, Livzon Group, completed the public tender offer for IMP (Imexpharm Corporation), a listed company in Vietnam, acquiring a 67.87% equity interest and obtaining control. The transfer of the relevant shares was completed in May 2026. The Company thereby became the first Chinese pharmaceutical enterprise to acquire a Vietnamese listed company, marking a critical step in its strategic expansion into Southeast Asia. IMP operates the largest number of EU-GMP-certified production lines in Vietnam, and its products reach more than 80% of medical institutions across the country, providing manufacturing qualifications and channel support for the rapid entry of the Company’s formulation products into the Southeast Asian market.

The integration of IMP is currently progressing in an orderly manner. In production management, leveraging IMP’s existing EU-GMP-certified manufacturing facilities, the Group is advancing the integration of its formulation manufacturing system with IMP’s quality system and harmonizing compliance and operational standards. In product introduction, the Group is progressively advancing technology transfer and import registration for formulation products based on market demand in Southeast Asia. The first batch includes the technology transfer of three injectable products—Ilaprazole Sodium for Injection, Daptomycin for Injection and Tedizolid Phosphate for Injection—as well as the import registration of four key products: Recombinant Human Follitropin Alfa Solution for Injection, Recombinant Human Choriogonadotropin Alfa for Injection, Cetrorelix Acetate for Injection and Lecankitug Injection. In channel integration, the Group plans to use Vietnam as a strategic hub serving the broader ASEAN market by leveraging local manufacturing qualifications and the advantages of free trade agreements. This is expected to reduce import tariffs on finished products and logistics.

(2) Coordinated Overseas Expansion of APIs and Formulations The overseas foundation of the API business remained solid, with the contribution from

regulated markets continuing to increase. During the Reporting Period, API export revenue accounted for more than 60% of the segment’s total revenue, the overseas business maintaining a solid foundation. Revenue from regulated markets continued to increase as a proportion of the total, orders under longterm agreements accounted for a significant share, the customer mix remained stable, and order stickiness strengthened. The Company’s overseas market share is expanding steadily and is expected to become a major contributor to the segment’s performance.

In terms of capacity and compliance, construction of the API facility in Jakarta, Indonesia, jointly developed by the Company and Kalbe Group, progressed in an orderly manner. The facility

is intended to serve as a strategic foothold for high-end European and US markets. Joincare Haibin obtained a PIC/S GMP certificate issued by Malaysia’s National Pharmaceutical Regulatory Agency (NPRA); the Fuzhou Fuxing facility successfully passed an EU-GMP inspection; and the Ningxia facility passed an FDA inspection with zero Form 483 observations as well as an inspection by the German regulatory authorities. The Company’s quality management system is now fully aligned with international standards.

Overseas sales of formulations expanded steadily, with the registration network covering five major regions. During the Reporting Period, the Company further expanded the overseas market presence of its formulation products. It had more than 40 overseas distributors covering Southeast Asia, the Middle East, Eurasia, Latin America and Africa, and advanced the registration of 29 products in 53 countries/regions. The Company obtained marketing authorizations for multiple products in markets including Pakistan, Uzbekistan and Indonesia, and completed product registration filings and GMP certifications in key emerging markets such as Brazil and Malaysia. Its Philippine subsidiary obtained a local FDA License to Operate, while its Dutch subsidiary obtained manufacturing and import authorizations. The Company has initially established an international registration and compliance framework covering Asia and Latin America and extending into the European Union.

Performance in key regions was particularly notable. The Company’s reproductive products became the leading brand by market share in Pakistan, while Livzon’s recombinant human chorionic gonadotropin (rHCG) accounted for approximately 44% of the Indonesian market. Semaglutide Injection successfully passed a GMP inspection conducted by Brazil’s National Health Surveillance Agency (ANVISA), with registration approval expected in the second half of the year. It is expected to become the first biosimilar to be marketed in Brazil.

• 4. ESG Practices: Deepening Sustainability Practices The Company has deeply integrated ESG principles into its governance framework and the full scope

of its operational management. It has established a three-tier governance structure comprising the “Board of Directors–Sustainability Committee–Sustainability Working Group” and incorporated key ESG indicators into the performance assessment framework for relevant management personnel, forming a topdown closed-loop management mechanism. During the Reporting Period, the Company published its sustainability report for the ninth consecutive year and was once again included in the S&P Global Sustainability Yearbook 2026 (Global Edition). The Company and its controlled subsidiary, Livzon Group,

were both included in the S&P Global Sustainability Yearbook 2026 (China Edition) and ranked among the top 5% of China’s pharmaceutical industry, demonstrating continued recognition of their sustainability capabilities by authoritative international institutions.

Shareholder Returns and Corporate Governance: The Company remains committed to an investor-centric approach and shares its operating results with shareholders through both cash dividends and share repurchases. During the Reporting Period, the Company completed its 2025 annual profit distribution, distributing a cash dividend of RMB2.20 per 10 shares (tax inclusive) to all shareholders, with aggregate cash dividends amounting to RMB402 million, representing an increase of approximately

10% over the previous year. In April 2026, the Company issued its 2026 Action Plan for “Enhancing Quality and Efficiency with a Focus on Returns”, setting out annual measures to improve operating quality,

strengthen investment in innovation, enhance governance mechanisms and increase shareholder returns. Going forward, while coordinating business development with its capital structure, the Company will place greater emphasis on enhancing the certainty of shareholder returns through sustained and stable cash dividends.

Green Operations and Environmental Management: In pursuit of green and low-carbon development, the Company continued to advance energy conservation and emissions reduction, efficient resource utilization, pollution prevention and control, and recycling, while strengthening climate risk management and response measures in line with its operational realities. In supply chain management, the Company continued to improve its supplier management mechanisms by incorporating environmental, social and governance requirements into supplier onboarding, audit and evaluation processes. Through the implementation of the Supplier Code of Conduct and targeted EHS (Environment, Health and Safety) training, the Company promoted compliant operations among upstream and downstream partners and safeguarded the long-term stability and sustainability of its supply chain.

Talent Development and Organizational Building: During the Reporting Period, the Company filled critical positions in line with the business requirements of its innovation-driven transformation and the internationalization of its formulation business. Its R&D and functional systems continued to optimize their organizational structures, achieving a leaner workforce and improved operational efficiency. In support of its digital and intelligent transformation, the Company also strengthened employee AI skills training and hands-on enablement, encouraging frontline employees and technical specialists to integrate AI tools into real-world business scenarios. These initiatives enhanced organizational responsiveness while broadening employees’ career development opportunities.

Inclusive Healthcare and Social Responsibility: The “Inclusive Chronic Disease Prevention and Control Public Welfare Project”, jointly implemented by the Company and its controlled subsidiary, Livzon Group, has continued to advance since its launch in 2018. As at the end of the Reporting Period, the project covered 37 underserved regions in need of support across 12 provinces and four autonomous regions nationwide, benefiting more than 48,000 low-income patients with chronic diseases. Working with professional charitable organizations and primary-level health authorities and healthcare systems, the project has established a closed-loop process of “needs assessment–precise matching–designated delivery” to ensure that medicines reach families at the grassroots level, thereby supporting rural revitalization and the Healthy China strategy.

Material Changes in the Company's Business Operations During the Reporting Period and Matters That Have Had or Are Expected to Have a Material Impact on Its Business Operations

□Applicable √N/A

• III Analysis of core competitive strengths during the Reporting Period √Applicable □N/A

1. Strategic Foresight: A Value-Oriented Approach to Navigating Industry Cycles

As a long-term value creator in the pharmaceutical and healthcare sector, Joincare has continuously advanced its business portfolio and strengthened its capabilities in response to evolving industry trends and clinical needs since completing its strategic integration with Livzon Pharmaceutical Group in 2002. Against a backdrop of industry cycles, changes in the policy environment and intensifying market competition, the Company has maintained strong development resilience and sustainable operating capabilities. Its ability to navigate industry cycles stems from management’s forward-looking assessment of industry trends, sustained focus on core therapeutic areas and long-term investment in critical resources.

Forward-looking business planning is an important source of the Company’s core competitiveness. In 2013, the Company was among the first to recognize the market potential of respiratory disease treatments amid an aging population and made a strategic move into high-end inhalation formulations. Following years of sustained R&D investment and technological accumulation, the Company gradually overcame the relevant technical barriers. After the launch of its first product in 2019, sales of its respiratory products grew rapidly, increasing 22-fold over four years and establishing the Company as an important player in China’s respiratory pharmaceutical market.

Through sustained strategic investment and business development, Joincare has established significant competitive advantages in the respiratory, gastrointestinal and assisted reproductive fields. In the respiratory field, the Company secured a first-mover advantage through its early entry and broad product portfolio. Ten products have been launched to date, successfully breaking the long-standing dominance of multinational pharmaceutical companies and placing the Company among the first tier of market participants by market share. In close alignment with clinical needs, the Company has also built a pipeline of more than ten Category 1 innovative drug candidates, creating momentum for long-term growth.

In the gastrointestinal field, Ilaprazole, a domestically developed innovative proton pump inhibitor (“PPI”), has distinguished itself through its significant therapeutic advantages and secured a leading market position. The Company’s P-CAB product under development has also laid a solid foundation for technological advancement and market expansion in this field. In assisted reproduction, the Company has developed a comprehensive product portfolio, with its flagship product ranking first in its market segment for several consecutive years. Meanwhile, leveraging the strengths of its microsphere formulation technology platform, the Company has strategically planned a portfolio of long-acting formulations and steadily advanced its pipeline projects, providing strong support for its sustainable development in this field.

While comprehensively advancing innovative drug R&D, the Company has also keenly captured the opportunities for industrial upgrading presented by artificial intelligence and other emerging technologies. It is actively promoting the integration of AI technology into target discovery, molecular design, clinical trial data management and corporate compliance governance. From its early strategic positioning in key

therapeutic areas to its current efforts to integrate artificial intelligence with the pharmaceutical industry, the Company’s strategic foresight in translating cutting-edge technologies into business productivity is becoming an important enabler of accelerated innovative drug development and the establishment of longterm competitive barriers.

2. Organizational Execution: An Efficient Engine for Strategy Implementation

Strong organizational execution is critical to the successful implementation of Joincare’s strategies. The Company has assembled a young, dynamic, professional and highly execution-oriented management team whose members possess expertise across key business and functional areas, including R&D, production, sales and marketing. With a strong emphasis on organizational collaboration, the Company has established efficient communication and coordination mechanisms that enable close cooperation and seamless alignment among departments. These mechanisms help break down information silos, minimize information loss, and significantly improve the quality of decision-making and the efficiency of execution, thereby laying a solid organizational foundation for the achievement of the Company’s strategic objectives.

In recent years, the Company has continued its transition from generic drugs to innovative drugs, focusing on key therapeutic areas and establishing systematic R&D and product portfolios spanning respiratory diseases, pain management, gastrointestinal diseases and psychiatric disorders. With the official approval and launch of its first innovative drug, Pixavir Marboxil Capsules (壹立康®), the Company’s innovative drug business has entered a new stage of development. Drawing on its accurate assessment of industry trends and extensive scientific research capabilities, the Company has established a well-structured and mature innovative drug pipeline comprising more than 20 core programs across asthma, chronic obstructive pulmonary disease, pain management, autoimmune diseases and antiviral therapies. The efficient conversion of strategic transformation into tangible results not only demonstrates Joincare’s outstanding organizational execution and precise resource allocation capabilities, but also signifies that the Company has successfully crossed the threshold into pharmaceutical innovation. Supported by an increasingly competitive innovation portfolio, the Company is accelerating its progress towards the strategic objective of becoming a world-leading pharmaceutical enterprise.

Joincare has also remained at the forefront of enterprise-level applications of artificial intelligence within the industry. In 2025, the Company took the lead in deploying capabilities based on DeepSeek and related large language models to improve business efficiency. In 2026, it further explored and deployed a new generation of intelligent agent technologies, represented by OpenClaw. By rapidly introducing large AI models into real-world business scenarios—including drug screening, clinical analysis, compliance management and digital marketing—the Company has demonstrated its ability to respond swiftly to cutting-edge technologies and integrate them effectively across the organization. These initiatives continue to enhance operating efficiency and support management upgrades. As the relevant applications are further expanded and deepened, the Company’s advantages in operating efficiency, process optimization and management enhancement are expected to become increasingly evident.

3. Brand Value: Built on Quality and a Strong Business Ecosystem

In the highly competitive pharmaceutical and healthcare market, Joincare has remained deeply committed to building brand value. Through strategic vision, firm execution and sustained cultivation, the Company has progressively developed a distinctive and powerful brand portfolio.

“Taita” (太太)and “Eagle’s (鹰牌),” both nationally recognized brands under Joincare with a history of more than 30 years, embody a rich and enduring brand heritage. Building on these established brands, the Company has comprehensively advanced a dual-engine strategy combining “quality heritage” with “digital innovation.” In recent years, the Company’s refined and professional digital operations have provided strong momentum for the rapid and sustainable growth of its healthcare products business.

In the active pharmaceutical ingredient (“API”) sector, Joincare and the Zhuhai and Jiaozuo production facilities of its subsidiary Livzon Group have deeply integrated advanced intelligent manufacturing systems to enable precise digital and intelligent control throughout the entire production process. The outstanding product quality created through stringent quality control has earned the strong confidence of leading global multinational pharmaceutical companies, including Pfizer, Eli Lilly and Teva, with which the Group has established stable, long-term relationships. By now, Joincare’s API products have been sold in more than 60 countries and regions worldwide, supported by their exceptional quality and consistent performance. The Company has established a benchmark for “Intelligent Manufacturing in China” in the high-end API sector and become an industry model for innovation and quality excellence.

In the prescription drug field, the Company has vigorously advanced its digital marketing strategy and established a user-centric digital marketing system. Through the professional “Respiratory Experts’ Insights” platform, the Company invites leading industry experts to share professional knowledge and participate in academic exchanges. This has strengthened interaction and communication with physicians and patients while effectively enhancing the professionalism and credibility of its brands. At the same time, the Company leverages big data analytics and artificial intelligence to gain precise insights into market demand and user preferences and formulate well-targeted strategies. By establishing an efficient service loop connecting healthcare professionals, patients and the Company, Joincare has achieved industry-leading brand recognition.

• IV Overview of business operations during the Reporting Period

• (I) Analysis of principal businesses

• 1 Table for analysis of changes in items related to financial statements Unit: Yuan Currency: RMB

Reasons for changes in financial expenses: Mainly due to a decrease in interest income from deposits and an increase in foreign exchange losses during the Period.

• 2 Details of material changes in business type, components or source of profits during the current period

□Applicable √N/A

• 3 Analysis of revenues and costs

Principal businesses by industry, product and region

Unit: Yuan Currency: RMB

• 4. Investment in R&D

• (1) Table for investment in R&D Unit: Yuan Currency: RMB

• (2) Description As of the date of this Report, the Company has established a diversified product portfolio in its core

therapeutic areas of respiratory, gastrointestinal, and psychiatry/neurology diseases, and has gradually expanded and strengthened its presence in pain management, cardiovascular and cerebrovascular diseases, and metabolic disorders. The progress of the key products is as follows:

(II) Description of material changes in profits arising from non-principal businesses

√Applicable □N/A

Unit: Yuan Currency: RMB

• (III) Analysis of assets and liabilities √Applicable □N/A

• 1. Analysis of assets and liabilities Unit: Yuan Currency: RMB

• 2. Overseas assets √Applicable □N/A

• (1) Asset size

Among them: Overseas assets were 61.16 (Unit: 100 million, Currency: RMB), representing 17.62% of the total assets.

• (2) Statement on high proportion of overseas assets

□Applicable √N/A

• 3. Restrictions on assets entitlements as at the end of the Reporting Period

√Applicable □N/A

Unit: Yuan Currency: RMB

• 4. Others

□Applicable √N/A

（IV）Analysis of investment

1. Overall analysis of equity investments √Applicable □N/A During the Reporting Period, the Company carried out strategic investments according to development plans and schedules as follows:

(1) Major equity investments

√Applicable □N/A

Unit: 10,000 Yuan Currency: RMB

(Continued)

Note 1: For further details, please refer to the Announcement on the Proposed Acquisition of Equity Interests in Vietnam IMP by Controlled Subsidiary Livzon Group published by the Company on May 23, 2025 (Lin 2025-044), the Announcement on the Progress of the Proposed Public Tender of the Acquisition of Equity Interests in Vietnam’s IMP by Controlled Subsidiary Livzon Group published by the Company on December 31, 2025 (Lin 2025-087), the Announcement on the Progress of the Proposed Public Tender of the Acquisition of Equity Interests in Vietnam IMP by Controlled Subsidiary Livzon Group published by the Company on March 7, 2026 (Lin 2026-010), the Announcement on the Progress of the Public Tender Offer by the Controlled Subsidiary Livzon Group for Equity of Vietnam IMP published by the Company on April 30, 2026 (Lin 2026-034), and the Announcement on the Progress of the Public Tender Offer by the Controlled Subsidiary Livzon Group for Equity of Vietnam IMP and Completion of Ownership Transfer published by the Company on May 12, 2026 (Lin 2026-038).

(2) Major non-equity investment

□Applicable√N/A

(3) Financial assets measured at fair value √Applicable □N/A

Unit: Yuan Currency: RMB

Information on investment in securities

√Applicable □N/A

Unit: Yuan Currency: RMB

Statement of investments in securities

□Applicable √N/A

Information on investment in private equity fund

√Applicable □N/A The Company had no new private equity funds invested during the Reporting Period. As at the end of the Reporting Period, the book balance of private equity funds invested by the Company amounted to approximately RMB457 million.

Information on investment in derivatives √Applicable □N/A

• (1) Derivative investments for hedging purposes during the Reporting Period. √Applicable □N/A

Unit: 10,000 Yuan Currency: RMB

(2) Derivative investments for speculative purposes during the Reporting Period.

□Applicable √N/A

(V) Sale of major assets and equity

□Applicable √N/A

(VI) Analysis of major holding and participating companies √Applicable □N/A

Analysis of major controlled companies and invested companies affecting 10% or more to the Company’s net profit √Applicable □N/A

Unit: 10,000 Yuan Currency:RMB

Notes: 1. The companies listed above are companies where the Company directly or indirectly held 100% equity interest; The financial data presented above are derived from the respective companies’ separate financial statements and represent

amounts attributable to their parent companies; as there are transactions between subsidiaries or between a subsidiary and the Company, data of individual financial statements are not separately analyzed.

1. For business conditions of Livzon Group, please refer to the 2026 Interim Report of Livzon Group.

Acquisition and disposal of subsidiaries during the Reporting Period √Applicable □ Not applicable

Other descriptions

□ Applicable √ Not applicable

(VII) Structured entities controlled by the Company

√ Applicable □N/A

For details of the structured entities controlled by the Company, please refer to Note VII “Equity in Other Entities”. V.Other matters for disclosure

(I) Potential risks

√Applicable □N/A

1. Policy Risks

As a vital component of the national economy, the pharmaceutical industry is closely tied to government policies and regulations. China is continuously deepening its reform of the healthcare system, with relevant policy and regulatory frameworks undergoing further revision and improvement. Key developments—such as the implementation and adjustment of the national reimbursement drug list, refinement of volume-based procurement mechanisms, enhanced support for innovative drugs and clinical trials, and intensified industry-wide compliance inspections—are expected to have a profound impact on the future development of the pharmaceutical sector. These changes also affect the Company’s R&D, manufacturing, and commercial operations to varying degrees.

In addition, external policy factors such as geopolitical dynamics and macroeconomic policies may also exert influence on the operational landscape of pharmaceutical enterprises.

Response measures: The Company will pay close attention to industry dynamics and reforms, cope with major changes in policies of the pharmaceutical industry through early planning, transformation and compliance, and further establish and improve its compliance management framework and related policies.

Meanwhile, the Company actively pursues inclusion in, and participates in negotiations concerning, the National Reimbursement Drug List (“NRDL”), and continues to expand hospital coverage and increase product sales volumes, to realize the objective of “trade price for volume”, so as to reduce the impact of adjustments to medical insurance reimbursement prices on the Company’s steady growth. Moreover, the national volume-based procurement has become a regular practice. In response to the potential impact of national volume-based procurement on the Company’s performance, Joincare remains committed to strengthening innovation by continuously developing high-value innovative drugs that address urgent clinical needs. The Company will further explore and cultivate existing products with strong market potential and technological barriers, while actively advancing post-marketing re-evaluation and consistency evaluation of key products. By continuously optimizing its product portfolio and proactively exploring international markets, the Company strives to enhance its core competitiveness and support the Company’s stable operations.

2. Market risk

With the advancement of supply-side structural reform in pharmaceutical manufacturing and the implementation of the two-invoice system in pharmaceutical distribution, the structure of the pharmaceutical market is undergoing profound changes. With the gradual standardization and consolidation of the market, competition in the pharmaceutical industry becomes increasingly fierce. Affected by increasingly stricter drug regulation, policy-based drug price reduction, price cutting during bidding, medical insurance cost controls, and volume-based procurement of the pharmaceutical industry in current stage, winning bid prices for drugs will be further lowered, competition among enterprises in the industry will be intensified, and price war occurs from time to time, thus the Company faces the risk of further drug price reductions.

Response measures: The Company will establish a more market-oriented operating mechanism through strict compliance operation so as to build its competitive advantages and core competitive strengths, and ensure that it can achieve sustainable and steady development and improve its profitability by reinforcing marketing. Meanwhile, the Company will offset the impact of price reductions through higher sales volumes, and optimize technical process and tap internal efficiency potential and optimize production processes. Moreover, the Company will accelerate the R&D and launch of new products, diversify the Company’s risks while expanding the presence of existing products across different market segments, improve sales and develop new sources of profit growth by increasing product varieties in the future.

3. Safety and Environmental Risks

The Company is an integrated pharmaceutical manufacturing enterprise. During production, it implements relevant chemical synthesis process and uses a large number of acid and alkali and other chemical components, which are inflammable, explosive, toxic, irritant and corrosive, and have hidden hazards of fire, explosion and poisoning, posing certain risks to the production and operation of the Company. As environmental protection policies and regulations have been constantly issued in recent

years, environmental protection standards have become more stringent, and the state has strengthened its control over pollutants, risks of environmental protection of the Company are increasing.

Response measures: The Company has consistently upheld the people-oriented approach to workplace safety and the guideline of “Safety First, Precaution Crucial and Comprehensive Treatment”. It will strengthen the construction of safe production infrastructure and ensure a sound environment for safe production of the Company through regular internal audit of safety and environment systems as well

• as employee safety education and training. The Company will ensure that pollutants are discharged only after proper treatment and compliance with applicable emission standards, actively accept supervision and inspection of environmental protection authorities, and try to reduce emission and increase expenditures in environmental protection by improving production process and promptly updating environmental protection technology.

4. Risks Relating to Raw Material Prices and Supply

There is a larger fluctuation in the supply price of major raw materials of the Company due to changes in market prices, especially the materials of traditional Chinese medicine, causing greater volatility or rise in production costs of the Company. Meanwhile, the Company sources numerous categories of raw materials from a large number of suppliers, thus quality of final products of the Company will be directly affected by the selection of raw material suppliers and the guarantee and control of quality of raw materials.

Response measures: In terms of selection of suppliers, the Company will conduct an open tendering and bidding based on the principle of selecting qualified suppliers, strengthen audit of suppliers, and eliminate the adulteration of adverse suppliers. The Quality Assurance Department and Procurement Department of the Company will directly conduct process control of products provided by suppliers of key raw materials and carry out quality inspection and control of final products.

5. Risk of Quality Control

The quality of pharmaceutical products is directly linked to public health and safety. Regulatory authorities have placed increasingly stringent requirements on manufacturing quality, placing significant responsibility on pharmaceutical manufacturers. Given that drug production involves numerous stagesincluding raw material supply, manufacturing processes, process controls, equipment management, production environment, transportation, warehousing, and testing—quality control must be integrated across the entire product lifecycle.

Response measures: The Company enforces rigorous quality control standards and continues to strengthen its long-term quality assurance mechanisms and comprehensive quality management system. It ensures close coordination among R&D, production, and quality management departments, supported by digital systems and end-to-end optimization of Standard Operating Procedures (SOPs). By enhancing the quality management framework and reinforcing engineering controls and risk management in new product processes, the Company aims to improve operational quality and ensure product integrity. In parallel, it continues to implement performance excellence models, introduce advanced international quality concepts and methodologies, and promote the adoption of quality management tools—further aligning its quality systems with global standards.

6. R&D Risk

New drug R&D is characterized by high investment, high risk, and long development cycles. In recent years, the government has frequently introduced policies related to pharmaceutical innovation, with increasingly stringent requirements for the review and approval of new drug applications. These developments bring certain risks to the Company’s R&D efforts.

In addition, post-approval commercialization of new drugs is subject to the influence of national regulations, industry policies, market conditions, and competitive intensity. These factors may result in revenues falling short of expectations after product launch, thereby exposing the Company to product development risk.

Response measures: The Company remains focused on innovative drug development, with a strong emphasis on addressing unmet clinical needs. It will continue to invest in innovation as a long-term strategic priority. Moving forward, the Company will further strengthen its R&D innovation system, attract and develop high-caliber talent, and actively engage in collaboration and licensing of overseas innovative drugs. It will also enhance market research and product evaluation, standardize project initiation procedures, and improve risk control mechanisms—concentrate resources on achieving breakthroughs in the R&D of core products. A comprehensive R&D project risk management system will be established to support full-cycle risk assessment and monitoring. This will enable timely adjustment of R&D strategies to reduce development risks. At the same time, the Company closely monitors emerging technology trends, actively explores cutting-edge research areas, and make early-stage plans for relevant R&D projects to maintain its technological competitiveness. Moreover, by leveraging the Group’s strength in APIs, the Company will also strengthen API–formulation integration to ensure long-term, sustainable development.

(II) Other matters for disclosure

□Applicable√N/A

Chapter 4 Corporate Governance, Environmental and Social

• I Changes in directors, supervisors and senior management of the Company √Applicable □N/A

Description of changes in directors, supervisors and senior management of the Company √Applicable □N/A

On 16 January 2026, the Company convened the fifteenth meeting of the ninth Board of Directors, at which the Proposal on the Appointment of Mr. Zhang Qinglei as Vice President of the Company was considered and approved. Mr. Zhang Qinglei was appointed as Vice President of the Company and will be fully responsible for the Company’s pharmaceutical regulatory affairs and advancing clinical trial applications and marketing authorization applications for the Company’s innovative drug pipeline. His term commenced upon Board approval and will last until the expiration of the term of the ninth Board of Directors of the Company.

On April 24, 2026, the Board of Directors of the Company received a written resignation letter from Mr. Qin Yezhi, an Independent Director. As Mr. Qin had served as an independent director of the Company for six years, and pursuant to the Measures for the Administration of Independent Directors of Listed Companies, under which an independent director may not serve consecutively for more than six years, he applied to resign from his position as Independent Director of the Company as well as from his positions on the Board’s special committees and other related posts.

• II Profit distribution plan and plan for conversion of capital reserve into share capital

Profit distribution plan and plan for conversion of capital reserve into share capital proposed for the first six months

• III Equity incentive scheme, employee share ownership scheme or other employee incentives of the Company and their effect

• (I) Matters related to equity incentive scheme have been disclosed in the Ad Hoc Announcements with no progress or change in subsequent implementation √Applicable □N/A

• (II) Incentives not disclosed in the Ad Hoc Announcements or with subsequent progress Equity incentives

• □Applicable √N/A Others
• □Applicable √N/A Employee share ownership scheme
• □Applicable √N/A Other incentive program
• □Applicable √N/A

• IV Environmental information of listed companies and their key subsidiaries that are included in the list of enterprises subject to mandatory environmental information disclosure in accordance with the law

√Applicable □N/A

Other Notes

□Applicable √N/A

• V Consolidation and expansion of achievements in poverty alleviation and rural revitalization √Applicable □N/A

1. Industrial revitalization

Guided by the requirements for revitalizing the Chinese medicinal materials industry, Livzon Group, a controlled subsidiary of the Company, has anchored its efforts in the coordinated development of the industrial ecosystem and deeply integrated the concept of green development into the development of its industrial and supply chains. It remains committed to advancing industrial-chain development in tandem with natural resource conservation. By strengthening the foundation for the sustainable utilization of resources and selecting high-quality authentic raw materials, Livzon Group harnesses industrial development to support local ecological conservation, thereby achieving coordinated improvements in industrial quality and efficiency and in the ecological environment.

Livzon Group has established self-built planting bases for authentic Astragalus Root(黄芪) and Forsythia (连翘) in authentic production areas, including the Hengshan Mountains in Datong, Shanxi Province, and forestland in Hongtong County, Shanxi Province, empowering the revitalization of local specialty industries through the cultivation of distinctive Chinese medicinal materials. The Datong base adopts a “human planting and natural nurturing” (人种天养) wild-simulated cultivation model. Following the natural growth patterns of the plants, the base uses no irrigation, pesticides or chemical fertilizers throughout the cultivation process. This approach enables the development of the Chinese medicinal materials cultivation industry while conserving soil and water resources and promotes harmonious coexistence between medicinal materials cultivation and the regional ecosystem. To date, Datong Livzon Qiyuan Medicine Co., Ltd. (大同丽珠芪源药材有限公司) has established a 26,358-mu wild-simulated

Astragalus Root planting base; Longxi Livzon Shenyuan Medicine Co., Ltd. (陇西丽珠参源药材有限公 司) has established a 2,233-mu organic Codonopsis Root planting base; and in 2026, Linfen Livzon Qiaoyuan Medicinal Materials Co., Ltd. (临汾丽珠翘源药材有限公司) completed the development of a Forsythia planting base covering more than 500 mu. The Linfen base uses one-year-old seedlings cultivated from local wild Forsythia and adopts manual planting without pesticides or chemical fertilizers, with moderate supplementary watering provided only during dry periods. In this way, the base develops the distinctive Forsythia cultivation industry while conserving soil and water conditions and maintaining regional biodiversity.

For its various jointly developed bases, Livzon Group has explored industry-based pathways to engage and benefit farmers and has introduced an innovative assistance model combining “purchase orders + technical support.” Under this model, standardized cultivation techniques and professional guidance are provided to local large-scale planters and farming households, enabling farmers to carry out the standardized cultivation and production of Chinese medicinal materials. This promotes the regulated development of the local Chinese medicinal materials industry while ensuring the effective conservation of soil and water resources throughout the process. Livzon Group’s self-built and jointly developed Chinese medicinal materials bases have obtained a number of authoritative certifications and recognitions, including the Organic Product Certificate, certification as an Authentic and High-quality Chinese Medicinal Materials Planting Base (Astragalus Root), and certification as a 5A-rated Astragalus Root Planting Base (Manual Sowing and Natural Growth). Its subsidiary, Longxi Livzon Shenyuan Medicine Co., Ltd. (陇西丽珠参源药材有限公司), has obtained the Organic Conversion Certificate and certification as a Demonstration Base for High-quality Authentic Chinese Medicinal Materials (Codonopsis Root). The Company is also advancing the special certification for GAP extension inspections at its jointly developed Rehmannia (Di Huang) and Grassleaf Sweetflag Rhizome (Shi Chang Pu) bases in an orderly manner, with a view to developing standardized Chinese medicinal materials cultivation bases across the entire value chain. These certifications fully demonstrate the solid progress made by the Company in revitalizing the Chinese medicinal materials industry, safeguarding the ecological baseline of the industry and exercising strict control over the quality of medicinal materials.

2. Rural Revitalization: Inclusive Chronic Disease Prevention and Control Public Welfare Project

To support rural revitalization and the effective consolidation and expansion of achievements in poverty alleviation, and to actively respond to the national policies on rural revitalization and common prosperity, the Company has continued to implement the “Inclusive Chronic Disease Prevention and Control Public Welfare Project” (普惠慢病防治公益项目), leveraging its industrial advantages to deliver tangible health benefits to grassroots communities. Focusing on common chronic diseases such as hypertension, hyperlipidemia, and cardiovascular and cerebrovascular diseases, the project plans to donate treatment medications worth RMB1million to remote areas, including Pravastatin Sodium Capsules (普 伐他汀钠胶囊), Amlodipine Besylate Capsules (苯磺酸氨氯地平胶囊), Valsartan Capsules (缬沙坦胶

囊 ), Isosorbide Mononitrate Tablets ( 单 硝 酸 异 山 梨 酯 片 ), and Bismuth Potassium Citrate Tablets/Granules (枸橼酸铋钾片/颗粒). These medications effectively help alleviate the financial burden on low-income families arising from the long-term use of medications for chronic diseases and address difficulties in accessing such medications. The project also helps raise patients’ awareness of chronic disease prevention, control and health management, thereby effectively preventing “poverty caused by illness” and “returning to poverty due to illness” and contributing to local rural revitalization efforts.

Since late 2018, with the support of government agencies and relevant authorities at all levels, the “Inclusive Chronic Disease Prevention and Control Public Welfare Project” has been successfully carried out in Chaotian District of Guangyuan City, Songpan County of Aba Tibetan and Qiang Autonomous Prefecture, Jinkouhe District of Leshan City, Jiange County, Pingwu County and Tongjiang County in Sichuan Province; Hunyuan County, Guangling County, Lingqiu County, Fangshan County and Shilou County in Shanxi Province; Dongxiang County, Tianzhu County, Linze County, Shandan County, Huining County, Sunan County, Suzhou District and Weiyuan County in Gansu Province; Xianghai National Nature Reserve in Jilin Province; Macun District of Jiaozuo City and Hua County in Henan Province; Huangshan District of Huangshan City in Anhui Province; Suining County in Hunan Province; Fenyi County in Jiangxi Province; Jiangshan City in Zhejiang Province; Rongjiang County in Guizhou Province; Neiqiu County in Hebei Province; Xianfeng County in Hubei Province; Chayu County, Bomi County, Gaize County and Nyingchi City in the Tibet Autonomous Region; Kashgar City in the Xinjiang Uygur Autonomous Region; Balinzuo Banner and Tuoketuo County in Inner Mongolia; and Ziyuan County in the Guangxi Zhuang Autonomous Region.

As of the end of the Reporting Period, the project had covered 37 remote areas in need of assistance across 12 provinces and 4 autonomous regions nationwide, benefiting more than 48,000 low-income patients with chronic diseases.

Chapter 5 Major Events

• I Fulfillment of undertakings

(I) Undertakings fulfilled during the Reporting Period or not yet fulfilled as of the Reporting Period by the parties to the commitment such as de facto controllers, shareholders, related parties, acquirers of the Company and the Company

√Applicable □N/A

• Note 1: Shenzhen Baiyeyuan Investment Co., Ltd., the controlling shareholder of the Company, undertook that it

would not be directly or indirectly engaged in or cause subsidiaries and branches under its control to be engaged in any business or activity constituting horizontal competition with the Company after the founding of the Company, including but not limited to the research, production and sales of any products that were the same as or similar to products under research, production and sales of the Company, and was willing to undertake liability for compensation for economic losses to the Company arising from violation of the said commitment.

• Note 2: Whereas the domestically listed foreign shares of Livzon Group, a controlled subsidiary of the Company,

sought listing on the Main Board of the Stock Exchange of Hong Kong Limited, in order to fully ensure smooth completion of the said event and in compliance with relevant requirements of the Stock Exchange of Hong Kong Limited, the controlling shareholders, de facto controller of the Company and the Company entered into relevant undertakings with Livzon Group as follows: 1. The controlling shareholders, de facto controller and persons acting-in-concert of the Company, the Company and its controlled subsidiaries except for Livzon Group did not or would not be, directly or indirectly, engaged in any business that constituted competitive relation or potential competitive relation with drug research, development, production and sale businesses (“Restricted Businesses”) of Livzon Group from time to time. For the avoidance of doubt, the scope of Restricted Businesses did not cover products that were researched, developed, manufactured and sold on the date of relevant letter of undertaking by the controlling shareholders and de facto controller of the Company, the Company and its controlled subsidiaries except for Livzon Group; 2. If any new business opportunity was found to constitute competitive relation with Restricted Businesses, the controlling shareholders, de facto controllers and persons acting-in-concert of the Company, the Company and its controlling subsidiaries except for Livzon Group would inform Livzon Group in written form immediately and firstly provide Livzon Group with the business opportunity in accordance with reasonable and fair terms and conditions. If Livzon Group gave up the business opportunity, the controlling shareholders and de facto controllers of the Company, the Company and its controlled subsidiaries except for Livzon Group may accept the business opportunity in accordance with the terms and conditions that were not superior to those offered to Livzon Group; 3. If assets and businesses that directly or indirectly constituted competitive relation and potential competitive relation with Restricted Businesses were intended to be transferred, sold, leased, licensed to use or otherwise transferred or allowed to use (these Sales and Transfers),

the controlling shareholders and de facto controllers of the Company, the Company and its controlled subsidiaries except for Livzon Group would provide the right of first refusal for Livzon Group under the same condition. If Livzon Group gave up the right of first refusal, the controlling shareholders, de facto controllers and persons acting-in-concert of the Company, the Company and its controlled subsidiaries except for Livzon Group would carry out these Sales and Transfers to a third party in accordance with main terms that were not superior to those offered to Livzon Group; 4. The controlling shareholders, de facto controllers and persons acting-in-concert of the Company, the Company and its controlled subsidiaries except for Livzon Group would not be engaged in or involved in any business that might damage the interests of Livzon Group and other shareholders through the relation with shareholders of Livzon Group or the identity of shareholders of Livzon Group;

• 5. The controlling shareholders, de facto controllers and persons acting-in-concert of the Company, the Company and its controlled subsidiaries except for Livzon Group would not or cause its contact persons (except for Livzon Group) to directly or indirectly: (1) induce or attempt to induce any director, senior management or consultant of any member of Livzon Group to terminate his/her employment with or to be an employee or consultant of Livzon Group at any time (whichever is applicable), no matter if relevant acts of the person were against the Employment Contract or Consultancy Agreement (if applicable); (2) Within three years after any person terminated to be the director, senior management or consultant of any member of Livzon Group, employ the person who had or might have any confidentiality information or business secret in relation to Restricted Businesses (except for the director, senior management or consultant of the Company and/or its controlling subsidiaries except for Livzon Group on the date of issuance of relevant letter of undertaking); (3) Recruit or lobby any person carrying out business in any member of Livzon Group, accept orders, or carry out business separately, through any other person or as any person, firm, or manager, advisor, consultant, employee, agent or shareholder of any company (competitor of any member of Livzon Group), or lobby or persuade the person making transaction with Livzon Group or negotiating with Livzon Group on Restricted Businesses to terminate its transaction with Livzon Group or reduce its normal business volume with Livzon Group, or ask for more favorable transaction terms to any member of Livzon Group.
• 6. The controlling shareholders, de facto controllers and persons acting-in-concert of the Company, the Company and its controlled subsidiaries except for Livzon Group further undertook that: (1) They would allow and cause relevant contact persons (except for Livzon Group) to allow independent directors of Livzon Group to review if the Company and its controlled subsidiaries except for Livzon Group obeyed the Letter of Undertaking at least once a year; (2) They would provide all the data required for annual review and implementation of the Letter of Undertaking for independent directors of Livzon Group; (3) They would allow Livzon Group to disclose the decision on whether the controlling shareholders and de facto controllers of the Company, the Company and its controlled subsidiaries except for Livzon Group obeyed and implemented the Letter of Undertaking reviewed by independent directors of Livzon Group through the annual report or announcement; (4) The controlling shareholders, de facto controllers and persons acting-in-concert of the Company, the Company (and its controlled subsidiaries except for Livzon Group) would provide Livzon Group with the Letter of Confirmation in relation to compliance with clauses of the Letter of Undertaking every year so as to be included in the annual report of Livzon Group. 7. The controlling shareholders, de facto controllers and persons acting-in-concert of the Company, and the Company promise that they would bear corresponding legal responsibility and consequence arising from violation of any clause by the Company (or the Company's controlled subsidiaries except for Livzon Group or its contact persons), starting from the date of issuance of relevant letter of undertaking. 8. The said undertakings would terminate in case of the following circumstances (whichever is earlier): (1) The controlling shareholders, de facto controllers and persons acting-in-concert of the Company, the Company and any of its controlled subsidiaries were not the controlling shareholders of Livzon Group anymore; (2) Livzon Group terminated the listing of its shares on the Hong Kong Stock Exchange and other overseas stock exchanges (except that shares of Livzon Group were temporarily suspended from trading for any reason).

• Note 3: (1) While transferring tradable shares subject to selling restrictions held by the company in Livzon Group,

the company shall strictly obey relevant provisions of Guidelines of Listed Companies on Transfer of Stock Shares Subject to Selling Restrictions ([2008] No. 15); (2) If the Company had shares subject to selling restrictions held by it in Livzon

Group that were planned to be sold through the centralized bidding system of Shenzhen Stock Exchange and reduced more than 5% shares within six months from the first share reduction, the Company would publish a notice of the proposed disposal disclosed by Livzon Group within two trading days before the first share reduction.

• II Non-operating use of funds by the controlling shareholder and its related parties during the Reporting Period

□Applicable √N/A

• III Information on Guarantees Provided in Violation of Applicable Requirements

□Applicable √N/A

• IV Audit of interim report

□Applicable √N/A

• V Information on changes and handling of matters related to non-standard audit opinions in the annual report for the previous year

□Applicable √N/A

• VI Matters related to bankruptcy reorganization

□Applicable √N/A

• VII Material Litigation and Arbitration Matters

□During the Reporting Period, the Company had material litigation and arbitration matters. √ During the Reporting Period, the Company did not have any material litigation or arbitration matters.

• VIII Information on punishment and rectification of the listed company and its directors, supervisors, senior management, controlling shareholders, and de facto controllers due to violations of laws and regulations

□Applicable √N/A

• IX Integrity of the Company and its controlling shareholders and de facto controllers during the Reporting Period

□Applicable √N/A

• X Substantial related transactions

• (I) Related transactions in the ordinary course of business

• 1. Ad Hoc Announcements without progress or change in subsequent implementation √Applicable □N/A

2. Matters that have been disclosed in the Ad Hoc announcements with progress or change in subsequent implementation

□Applicable √N/A

3. Matters that have not been disclosed in the Ad Hoc announcements

• □Applicable √N/A

• (II) Related transactions relating to assets or equity acquisition and sale

• 1. Ad Hoc announcements without progress or change in subsequent implementation

□Applicable √N/A

• 2. Matters that have been disclosed in the Ad Hoc announcements with progress or change in subsequent implementation √Applicable □N/A

On 30 December 2025, the Company, Livzon Group, Shenzhen Xinyou Maohai Investment Partnership (Limited Partnership)（深圳市心有毛孩投资合伙企业（有限合伙））(“Xinyou Maohai”) and Fluffy Buddy Animal Health (Guangdong) Co., Ltd.（毛孩子动物保健（广东）有限公司）(“Fluffy Buddy”) entered into the Agreement on Capital Subscription and Equity Transfer. The Proposal on the Connected Transaction Concerning the Equity Transfer and Capital Increase and Expansion of a Subsidiary was considered and approved at the 14th Meeting of the 9th Session of the Board of Directors of the Company.

Pursuant to the agreement, the Company proposed to transfer its 49% equity interest in Fluffy Buddy, corresponding to RMB98 million of its registered capital, of which RMB73.5 million had been paid up and RMB24.5 million remained unpaid, to Xinyou Maohai for a consideration of RMB51.45 million (the “Equity Transfer”). Concurrently, Xinyou Maohai proposed to subscribe for RMB15 million of the increased registered capital of Fluffy Buddy for a consideration of RMB15 million (the “Capital Increase”, together with the Equity Transfer, the “Transaction”). Livzon Group proposed to waive its pre-emptive right in respect of the Equity Transfer and its pre-emptive subscription right in respect of the Capital Increase, while the Company proposed to waive its pre-emptive subscription right in respect of the Capital Increase.

As of 2 April 2026, Xinyou Maohai had completed the aforesaid acquisition of equity interest and capital increase and obtained a 52.56% equity interest in Fluffy Buddy. The Company ceased to hold any direct equity interest in Fluffy Buddy, while Livzon Group’s equity interest in Fluffy Buddy changed to 47.44%, resulting in its loss of control over Fluffy Buddy. Accordingly, Fluffy Buddy ceased to be included in the scope of consolidation of the Company’s financial statements.

For details of the aforesaid related-party transaction, please refer to the Announcement of Joincare Pharmaceutical Group Industry Co., Ltd. on the Disposal of Assets and Related-party Transaction (Lin 2025-086), disclosed by the Company on 31 December 2025.

• 3. Matters that have not been disclosed in the Ad Hoc announcements

• □Applicable √N/A

• 4. In case of performance agreement, information on performance realization during the Reporting Period shall be disclosed
• □Applicable √N/A

• (III) Substantial related transactions of joint outbound investment

• 1. Ad Hoc announcements without progress or change in subsequent implementation

□Applicable √N/A

• 2. Matters that have been disclosed in the Ad Hoc announcements with progress or change in subsequent implementation

□Applicable √N/A

• 3. Matters that have not been disclosed in the Ad Hoc announcements

□Applicable √N/A

• (IV) Related-party Receivables and Payables

• 1. Ad Hoc announcements without progress or change in subsequent implementation

□Applicable √N/A

• 2. Matters that have been disclosed in the Ad Hoc announcements with progress or change in subsequent implementation

□Applicable √N/A

• 3. Matters that have not been disclosed in the Ad Hoc announcements √Applicable □N/A

Unit:Yuan Currency:RMB

• (V) Financial businesses among the Company, related financial companies, financial companies controlled by the Company, and related parties

• □Applicable √N/A

(VI) Other substantial related transactions

□Applicable √N/A

(VII) Others

□Applicable √N/A

XI Material contracts and their enforcement

• 1. Custody, contracting and leasing

□Applicable √N/A

• 2. Material Guarantees Performed during the Reporting Period and Outstanding as at the End of the Reporting Period √Applicable □N/A

Unit：10,000 Yuan Currency：RMB

3. Other material contracts

□Applicable √N/A

XII Progress of Proceeds Usage √Applicable □N/A

(I) Overall Usage of Proceeds √Applicable □N/A

Unit: US$10,000

Other Notes

□Applicable √N/A

(II) Details of Investment Projects with Proceeds √Applicable □N/A

1、Detailed Usage of Proceeds

√Applicable □N/A

Unit: 10,000 Yuan

(Continued)

• 2、Detailed Usage of over-allotment

• □Applicable √N/A

• (III) Changes in or termination of investment of proceeds during the Reporting Period

• □Applicable √N/A

(IV) Other information on the usage of proceeds during the Reporting Period

• 1、 Previous investment and replacement of projects invested with proceeds

□Applicable √N/A

• 2、 Information on temporary replenishment of working capital with idle proceeds

□Applicable √N/A

• 3、 Cash management of idle proceeds and investment in relevant products

□Applicable √N/A

• 4、 Others

□Applicable √N/A

(V) Conclusive Opinions of Intermediary Institutions on the Special Verification and Assurance of the Storage and Use of Proceeds

□Applicable √N/A

(VI) 6、Rectification Measures Taken in Response to Unauthorized Changes in the Use of Proceeds or Misappropriation of Proceeds

• □Applicable √N/A

XIII Other significant matters

• □Applicable √N/A

Chapter 6 Changes in Equity and Shareholders

• I Changes in Share Capital

• (I) Table of changes in shares

• 1. Table of changes in shares During the Reporting Period, the total number of the company's shares and the share capital

structure remained unchanged.

• 2. Explanations on changes in shares

□ Applicable √N/A

• 3. Impact of changes in shares on earnings per share, net assets per share and other financial indicators from the Reporting Period to the date of disclosure of the interim report (if any)

□ Applicable √N/A

• 4. Other information deemed necessary by the Company or as required by the securities regulators

□ Applicable √N/A

• (II) Changes in shares with selling restrictions

□ Applicable √N/A

• II Shareholders

• (I) Total number of shareholders:

• (II) Shareholdings of the Top 10 shareholders and the Top 10 shareholders of tradable shares (or shareholders without selling restrictions) at the End of the Reporting Period

Unit: shares

Participation of shareholders holding over 5%, the top 10 shareholders, and the top 10 shareholders without selling restriction in securities lending transactions of refinancing business

• □Applicable √N/A

Changes in the top 10 shareholders and the top 10 shareholders without selling restriction due to securities lending/returning transactions of refinancing business compared to the previous period

• □ Applicable √N/A

Number of shares held by the Top 10 shareholders with selling restrictions

• □ Applicable √N/A (III) Strategic investors or general legal persons who became Top 10 shareholders through placement of new shares
• □ Applicable √N/A

• III Information on directors, supervisors, and senior management

• (I) Changes in shareholdings of current directors and senior management and those who resigned during the Reporting Period

• □ Applicable √N/A

Description of other information

• □ Applicable √N/A

• (II) Equity incentive granted to directors and senior management during the Reporting Period

□ Applicable √N/A

• (III) Other Descriptions

• □ Applicable √N/A

IV Changes in controlling shareholders or de facto controllers

□ Applicable √N/A

V. Information on Preferred Shares

□ Applicable √N/A

Chapter 7 Information on Bonds

I Enterprise bonds, corporate bonds, and non-financial enterprise debt financing instruments

□ Applicable √N/A

II Information on convertible corporate bonds

□ Applicable √N/A

I. Auditor’s report

□Applicable √N/A

Chapter 8 Financial Statements

II. Financial statements

Consolidated Balance Sheet 30 June 2026

Prepared by: Joincare Pharmaceutical Group Industry Co., Ltd.

Unit: Yuan Currency: RMB

Person-in-charge of the Company: Zhu Baoguo

Person-in-charge of the Company’s accounting work:

Qiu Qingfeng

Person-in-charge of the accounting department:

Guo Chenlu

Balance Sheet of the Parent Company 30 June 2026

Prepared by: Joincare Pharmaceutical Group Industry Co., Ltd.

Unit: Yuan Currency: RMB

Person-in-charge of the Company: Zhu Baoguo

Person-in-charge of the Company’s accounting work: Qiu Qingfeng

Person-in-charge of the accounting department:

Guo Chenlu

Consolidated Income Statement January to June 2026

Unit: Yuan Currency: RMB

Person-in-charge of the Company: Zhu Baoguo

Person-in-charge of the Company’s accounting work: Qiu Qingfeng

Person-in-charge of the accounting department: Guo Chenlu

Income Statement of the Parent Company January to June 2026

Unit: Yuan Currency: RMB

Person-in-charge of the Company: Zhu Baoguo

Person-in-charge of the Company’s accounting work:

Qiu Qingfeng

Person-in-charge of the accounting department: Guo Chenlu

Consolidated Cash Flow Statement January to June 2026

Unit: Yuan Currency: RMB