DMEGC Magnetics updates on guarantees for subordinate companies

Hengdian Group DMEGC Magnetics has disclosed further details on guarantees provided to its subsidiaries. The company issued a prepayment guarantee for DMEGC Renewable Energy B.V., totaling approximately RMB 276.01, expiring on June 30, 2026. A quality guarantee for Dongyang Hengfeng New Energy Technology Co., Ltd. was provided for RMB 68.42, valid until November 12, 2026. Performance guarantees were also issued for Lianyungang Gan Yu Dong Yu Photovoltaic Power Generation Co., Ltd., Lianyungang Gan Yu Dong Gan Photovoltaic Power Generation Co., Ltd., and Lianyungang Gan Yu Dong Wang Photovoltaic Power Generation Co., Ltd., cumulatively amounting to RMB 3,241, with the latest expiring on October 1, 2027.

These guarantee adjustments utilized the company's 2025 annual guarantee quota. The decision-making process for these guarantees was approved by the company's Ninth Board of Directors, Twelfth Board of Supervisors, and the Third Interim Shareholders' Meeting in 2024.

As of November 30, 2025, the company's total guarantees for subordinate companies stand at RMB 27,800.21, representing 2.76% of its most recent audited net assets. The aggregate guarantee quota for subordinate companies is RMB 182,000, 18.05% of its most recent audited net assets. The company confirmed no guarantees were provided to entities outside the scope of its consolidated statements, nor are there any overdue guarantees or guarantees involved in litigation that could result in losses.