Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. Quarterly Report For First Quarter, 2024 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. QUARTERLY REPORT FOR FIRST QUARTER, 2024 April, 2024 1 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. Quarterly Report For First Quarter, 2024 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. QUARTERLY REPORT FOR FIRST QUARTER, 2024 Important Notes 1.1 The directors and the Board of Directors, the supervisors and the Supervisory Board, and Senior staff members of Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. (hereinafter referred to as the Company) hereby confirm that there are no any important omissions, fictitious statements or serious misleading carried in this report, and shall take all responsibilities, individual and/or joint, for the reality, accuracy and completeness of the whole contents. 1.2 Chairman of the Board of Directors of the Company, Financial Majordomo, and the head of Accounting Department hereby confirm that the financial report of the quarterly report is true and complete. 1.3 This report is written respectively in Chinese and in English. In the event of any discrepancy between the two above-mentioned versions, the Chinese version shall prevail. §1 Major accounting data 1.1 Major accounting data and financial indexes Increase/decrease compared January-March, 2024 January-March, 2023 with previous year Operating revenue 1,160,307,673.73 1,072,560,425.76 8.18% Net profit attributable to shareholders of listed 29,260,174.46 25,392,393.54 15.23% companies Net profit belonging to the shareholders of listed companies after the deduction of non- 24,431,907.94 13,312,360.06 83.53% recurring profit and loss Net cash flow from operating activities -158,187,622.10 -158,425,157.75 0.15% Basic earnings per share 0.03 0.03 0.00% Diluted earnings per share 0.03 0.03 0.00% Weighted average return on net asset yield 0.96% 0.84% Increase 0.12 percentage points Increase/decrease compared March 31, 2024 December 31, 2023 with year beginning Total assets 7,956,895,566.54 8,162,848,294.25 -2.52% Owner's equity attributable to shareholders of 3,078,081,210.25 3,047,513,577.75 1.00% listed companies 1.2 non-recurring gains and losses √ Applicable □ Inapplicable Amount from beginning of Item of non-recurring gains and losses year to the end of report period Disposal gains and losses of non-current asset 9,842,785.72 Government subsidies included in current profit or loss 5,572,744.65 In addition to the effective hedging business related to the normal operation of the company, the profit or loss of fair value changes arising from the holding of financial -11,019,108.08 assets and financial liabilities by non-financial enterprises and the loss or gain arising from the disposal of financial assets and financial liabilities Gains and losses on debt restructuring 697,490.42 Other operating revenue or expense 443,185.44 Income tax effect 701,024.38 Minority shareholders’ gains and losses 7,807.25 Total 4,828,266.52 1.3 Major changes in main financial items and indexes, and description of the cause 2 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. Quarterly Report For First Quarter, 2024 √ Applicable □ Inapplicable (1). Salary payable decreased 66.85% compared with the beginning of the year, mainly due to the payment of provision employee compensation of last period-end during the reporting period. (2). Long-term payables decreased 37.82% compared with the beginning of the year, mainly due to sale-leaseback payments. (3). Other income increased by 6.08 million yuan year-on-year, mainly due to the deduction of manufacturing value-added tax input tax and the refund of previous premium. (4). Gain from change in fair value decreased by 19.42 million year-on-year, mainly due to the Guotai Junan stock price decline. (5). Asset disposal income increased by 10.33 million year-on-year, mainly due to the sale of machinery and equipment and gage molds by the Company's subsidiary Sonyo Compressor. (6).Net cash flow arising from investment activities increased by 30.33 million yuan year-on-year, mainly due to the sale of machinery and equipment and gage molds by the Company's subsidiary Sonyo Compressor. §2 shareholders information 2.1 Total number and particulars of the shareholders by the end of the report period Total number of shareholders in the reporting Total number of shareholders as of the last month 53,903 0 period before disclosure of the annual report Shareholding of top ten shareholders Number of Number of pledged shares Name Nature Proportion Total number shares or with sale shares restriction frozen Domestic non-state-owned Dalian Bingshan Group Co., Ltd. 20.27% 170,916,934 0 0 legal person Sanyo Electric Co., Ltd. Overseas legal person 8.72% 73,503,150 0 0 Chen Xianlai Domestic natural person 0.87% 7,326,500 0 0 Lin Zhenming Foreign natural person 0.80% 6,730,000 0 0 Zhang Sufen Domestic natural person 0.60% 5,050,000 0 0 Cao Yifan Domestic natural person 0.54% 4,529,700 0 0 Li Xiaohua Domestic natural person 0.48% 4,056,608 0 0 Xue Hong Domestic natural person 0.43% 3,640,000 0 0 China Merchants Bank Co., Ltd.-Dongfang Red Jingdong Big Data flexible allocation of Others 0.40% 3,349,317 0 0 hybrid securities investment funds Wu An Domestic natural person 0.36% 3,050,000 0 0 Shareholding of top ten shareholders without sale restriction Number of shares without Name Type of shares sale restriction Dalian Bingshan Group Co., Ltd. 170,916,934 RMB denominated ordinary shares Sanyo Electric Co., Ltd. 73,503,150 Domestically listed foreign shares Chen Xianlai 7,326,500 RMB denominated ordinary shares Lin Zhenming 6,730,000 Domestically listed foreign shares Zhang Sufen 5,050,000 RMB denominated ordinary shares Cao Yifan 4,529,700 Domestically listed foreign shares Li Xiaohua 4,056,608 RMB denominated ordinary shares Xue Hong 3,640,000 Domestically listed foreign shares China Merchants Bank Co., Ltd.-Dongfang Red Jingdong Big 3,349,317 RMB denominated ordinary shares Data flexible allocation of hybrid securities investment funds Wu An 3,050,000 Domestically listed foreign shares 3 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. Quarterly Report For First Quarter, 2024 Dalian Bingshan Group Co., Ltd. had the association relationship Notes to the associated relationship and uniform actions of the with Sanyo Electric Co., Ltd. among the above shareholders. Sanyo above shareholders Electric Co., Ltd. holds 26.6% of Dalian Bingshan Group Co., Ltd.'s equity. Note: At the end of the reporting period, the total number of shareholders of the Company was 53,903, including 46,802 A-share shareholders and 7,101 B-share shareholders. 2.2 Total number of preferred shareholders and shareholding of top 10 preferred shareholders of the company □Applicable √Inapplicable §3 Other important matters □Applicable √Inapplicable §4 Financial Report (attached) Not audited. Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. April 26, 2024 4 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. Quarterly Report For First Quarter, 2024 CONSOLIDATED BALANCE SHEET Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. March 31, 2024 Unit: RMB Yuan Items 31-Mar-2024 1-Jan-2024 Current assets: Monetary funds 837,956,406.73 951,039,570.11 Transaction financial assets Financial assets which are measured by fair value and which changes are recorded in current profit and loss Derivative financial assets Notes receivable 302,890,764.19 353,428,922.42 Accounts receivable 1,704,523,490.19 1,576,433,924.16 Receivables financing 250,452,441.77 303,585,218.53 Accounts in advance 176,623,207.68 153,388,660.48 Other receivables 39,447,261.05 41,396,223.27 Interest receivables Dividend receivable 14,495.00 Inventories 1,538,561,983.15 1,638,139,479.14 Contract assets 248,492,461.46 237,076,878.71 Assets held for sale Non-current asset due within one year Other current assets 25,172,178.95 26,074,342.33 Total current assets 5,124,120,195.17 5,280,563,219.15 Non-current assets: Finance asset held available for sales Held-to-maturity investment Long-term account receivable Long-term equity investment 526,626,906.28 521,274,947.50 Other non-current financial assets 153,005,663.55 164,024,771.63 Investment property 121,840,298.33 123,589,681.50 Fixed assets 1,243,520,286.74 1,291,851,402.46 Construction in progress 119,597,268.44 114,801,351.21 Right-of-use asset 28,177,062.69 30,548,057.08 Productive biological asset Oil and gas asset Intangible assets 209,328,777.69 210,554,161.22 Expense on Research and Development Goodwill 286,402,171.93 286,402,171.93 Long-term expenses to be apportioned 6,963,128.76 5,346,321.60 Deferred income tax asset 117,070,457.52 113,648,859.53 Other non-current asset 20,243,349.44 20,243,349.44 Total non-current asset 2,832,775,371.37 2,882,285,075.10 Total assets 7,956,895,566.54 8,162,848,294.25 Current liabilities: Short-term loans 292,491,975.90 262,287,784.38 Financial liabilities which are measured by fair value and which changes are recorded in current profit and loss Derivative financial liabilities Transaction financial liabilities 5 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. Quarterly Report For First Quarter, 2024 Notes payable 591,565,938.17 670,720,999.48 Accounts payable 1,707,656,617.57 1,655,835,363.01 Accounts received in advance Contract liability 711,801,205.02 787,685,294.53 Wage payable 49,552,878.27 149,497,113.46 Taxes payable 26,074,319.14 22,216,492.26 Other accounts payable 229,925,248.19 278,804,152.17 Interest payable Dividend payable 533,156.00 533,156.00 Liabilities held for sale Non-current liabilities due within one year 144,731,040.20 150,645,347.64 Other current liabilities 192,172,143.01 203,315,864.43 Total current liabilities 3,945,971,365.47 4,181,008,411.36 Non-current liabilities: Long-term loans 679,700,000.00 679,700,000.00 Bonds payable Preferred stock Perpetual bond Lease liability 26,023,383.33 24,134,986.97 Long-term account payable 6,423,973.21 10,331,937.30 Long-term wage payable Special payable Anticipation liabilities 4,846,306.82 4,544,802.88 Deferred income 99,870,197.88 98,274,267.80 Deferred income tax liabilities 60,053,341.07 60,811,462.07 Other non-current liabilities Total non-current liabilities 876,917,202.31 877,797,457.02 Total liabilities 4,822,888,567.78 5,058,805,868.38 Shareholders’ equity Share capital 843,212,507.00 843,212,507.00 Other equity instruments Preferred stock Perpetual bond Capital public reserve 717,097,098.38 717,097,098.38 Less:Treasury stock Other comprehensive income 2,208,669.73 2,208,669.73 Special preparation 1,117,339.48 449,374.96 Surplus public reserve 867,216,998.79 867,159,439.34 Generic risk reserve Retained profit 647,228,596.87 617,386,488.34 Total owner’s equity attributable to parent company 3,078,081,210.25 3,047,513,577.75 Minority interests 55,925,788.51 56,528,848.12 Total owner’s equity 3,134,006,998.76 3,104,042,425.87 Total liabilities and shareholder’s equity 7,956,895,566.54 8,162,848,294.25 Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Li Sheng 6 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. Quarterly Report For First Quarter, 2024 CONSOLIDATED INCOME STATEMENT Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. January-March,2024 Unit: RMB Yuan Items January-March, 2024 January-March, 2023 I. Total sales 1,160,307,673.73 1,072,560,425.76 II. Total operating cost 1,160,307,673.73 1,072,560,425.76 Including: Operating cost 968,297,921.32 893,235,841.55 Taxes and associate charges 7,555,059.28 7,355,461.08 Selling and distribution expenses 48,786,253.07 44,194,998.88 Administrative expenses 57,612,917.61 55,492,524.43 R&D expenses 36,893,623.10 30,168,249.27 Financial expense 7,033,864.59 9,150,034.85 Including: interest expense 8,852,515.46 9,229,081.55 interest income 2,581,270.98 2,817,923.65 Add: Other income 7,327,524.19 1,247,311.30 Gain/(loss) from investment 5,589,837.86 4,117,367.95 Including: income from investment on affiliated enterprise and jointly 5,003,981.26 4,117,367.95 enterprise Gain/(loss) from change in fair value -11,019,108.08 8,400,706.16 Credit impairment loss (loss as “-“) -7,305,886.60 -16,010,380.50 Assets impairment loss (loss as “-“) -2,268,116.37 -3,411,761.41 Gain/(loss) from asset disposal 10,335,085.68 6,743.57 III. Operating profit 36,787,371.44 27,313,302.77 Add: non-business income 953,924.20 2,004,115.73 Less: non-business expense 4,053,521.02 40,595.28 IV. Total profit 33,687,774.62 29,276,823.22 Less: Income tax 5,075,197.58 3,661,167.12 V. Net profit 28,612,577.04 25,615,656.10 (I) Net profit from continuous operation (II)Net profit from discontinuing operation Net profit attributable to parent company 29,260,174.46 25,392,393.54 Minority shareholders’ gains and losses -647,597.42 223,262.56 VI. After-tax net amount of other comprehensive incomes After-tax net amount of other comprehensive incomes attributable to owners of the Company (I) Other comprehensive incomes that will not be reclassified into gains and losses 1. Changes in net liabilities or assets with a defined benefit plan upon re- measurement 2. Enjoyable shares in other comprehensive incomes in invests that cannot be reclassified into gains and losses under the equity method (II) Other comprehensive incomes that will be reclassified into gains and losses 1. Enjoyable shares in other comprehensive incomes in invests that will be reclassified into gains and losses under the equity method 2. Changes in the fair value of other debt investments 3. Gains and losses on fair value changes of available-for-sale financial assets 4. The amount of financial assets reclassified into other comprehensive income 5. Held-to-maturity investments are reclassified as saleable financial asset gains and losses 6.Others 7 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. Quarterly Report For First Quarter, 2024 After-tax net amount of other comprehensive incomes attributable to minority shareholders VII Total comprehensive income 28,612,577.04 25,615,656.10 Total comprehensive income attributable to parent company 29,260,174.46 25,392,393.54 Total comprehensive income attributable to minority shareholders -647,597.42 223,262.56 VIII. Earnings per share (I) basic earnings per share 0.03 0.03 (II) diluted earnings per share 0.03 0.03 Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Li Sheng CONSOLIDATED CASH FLOW STATEMENT Prepared by Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. January-March,2024 Unit: RMB Yuan Items January-March, 2024 January-March, 2023 I. Cash flows arising from operating activities: Cash received from selling commodities and providing labor services 1,047,185,399.83 848,311,616.94 Write-back of tax received 14,163,964.37 6,265,704.09 Other cash received concerning operating activities 22,322,467.98 28,555,774.47 Subtotal of cash inflow arising from operating activities 1,083,671,832.18 883,133,095.50 Cash paid for purchasing commodities and receiving labor service 881,068,805.80 711,343,062.20 Cash paid to/for staff and workers 262,539,400.73 224,231,527.95 Taxes paid 46,204,710.30 42,840,851.22 Other cash paid concerning operating activities 52,046,537.45 63,142,811.88 Subtotal of cash outflow arising from operating activities 1,241,859,454.28 1,041,558,253.25 Net cash flows arising from operating activities -158,187,622.10 -158,425,157.75 II. Cash flows arising from investing activities: Cash received from recovering investment Cash received from investment income 14,495.00 14,495.00 Net cash received from disposal of fixed, intangible and other long-term assets 30,109,304.89 180,542.32 Net cash received from disposal of subsidiaries and other units Other cash received concerning investing activities Subtotal of cash inflow from investing activities 30,123,799.89 195,037.32 Cash paid for purchasing fixed, intangible and other long-term assets 13,737,848.32 14,142,179.85 Cash paid for investment Net cash paid for achievement of subsidiaries and other business units Other cash paid concerning investing activities Subtotal of cash outflow from investing activities 13,737,848.32 14,142,179.85 Net cash flows arising from investing activities 16,385,951.57 -13,947,142.53 III. Cash flows arising from financing activities Cash received from absorbing investment Including: Cash received from absorbing minority shareholders' equity investment by subsidiaries Cash received from loans 170,848,339.00 178,525,821.90 Cash received from issuing bonds Other cash received concerning financing activities 2,000,000.00 58,691,779.74 Subtotal of cash inflow from financing activities 172,848,339.00 237,217,601.64 Cash paid for settling debts 135,000,000.00 147,000,000.00 Cash paid for dividend and profit distributing or interest paying 7,509,871.89 7,471,261.97 8 Bingshan Refrigeration & Heat Transfer Technologies Co., Ltd. Quarterly Report For First Quarter, 2024 Including: dividends or profit paid by subsidiaries to minority shareholders Other cash paid concerning financing activities 16,581,288.91 62,728,621.32 Subtotal of cash outflow from financing activities 159,091,160.80 217,199,883.29 Net cash flows arising from financing activities 13,757,178.20 20,017,718.35 IV. Influence on cash due to fluctuation in exchange rate 835,808.20 -406,667.62 V. Net increase of cash and cash equivalents -127,208,684.13 -152,761,249.55 Add: Balance of cash and cash equivalents at the period -begin 670,440,335.98 921,663,803.17 VI. Balance of cash and cash equivalents at the period–end 543,231,651.85 768,902,553.62 Legal Representative: Ji Zhijian Chief Financial Official: Wang Jinxiu Person in Charge of Accounting Organization: Li Sheng 9