MangoExcellentMediaCo.,Ltd.

AnnualReport2024

April2025

AnnualReport2024SectionIImportantNote,TableofContentsandDefinitions

TheBoardofDirectors,theBoardofSupervisors,directors,supervisorsandexecutivesoftheCompanyherebywarrantthattheinformationcontainedinthisAnnualReportistrue,accurateandcompleteandthisAnnualReportisfreefromanymisrepresentation,misleadingstatementormaterialomission,andagreetoassumejointandseveralliabilityforthisAnnualReport.

CAIHuaijun,PrincipaloftheCompany,ZHANGZhihong,CFOandTAOJinyu,ChiefAccountant,herebyrepresentthatthefinancialstatementscontainedinthisAnnualReportaretrue,accurateandcomplete.

AlldirectorsoftheCompanyattendedthemeetingoftheBoardofDirectorsreviewingthisReport.

Alertofrisksrelatedtoasharpdeclineinoperatingresults:Duringthereportingperiod,duetothechangesinthepreferentialenterpriseincometaxpolicyapplicabletotheCompany,inaccordancewiththerelevantprovisionsoftheAccountingStandardsforBusinessEnterprises,theCompanyreversedcertaindeferredtaxassets,resultinginanetdecreaseinthenetprofitattributabletotheshareholdersoftheListedCompanybyRMB420millioninthe2024financialstatements(incomparisontoanetincreaseinthenetprofitattributabletotheshareholdersoftheListedCompanybyRMB1.63billionin2023duetoanincreaseintheamountofdeferredtaxassetsrecognized),whichledtoasignificantdecreaseinthenetprofitattributabletotheshareholdersoftheListedCompanyin2024ascomparedtothepreviousyear.TherehasbeennomaterialadversechangeintheprimarybusinessandcorecompetenciesoftheCompany,ormaterialriskthatmightimpairtheCompany’sabilitytocontinueasagoingconcern.RefertoSectionII“CompanyProfileandKeyFinancialIndicators-Keyaccountingdataandfinancialindicators”fordetails.

ThisReportcontainscertainforward-lookingstatementsregardingfutureplans,developmentstrategiesandotherprojectedmatters,whichdonotconstituteanysubstantialcovenantmadebytheCompanytotheinvestorsandrelatedpersons.Theinvestorsandrelatedpersonsshallbefullyawareoftherelevantrisks,andunderstandthedifferencesamongsuchplans,forecastsandcovenants.

TheCompanydescribesindetailsthepossiblerisksinitsoperationandcountermeasuresinthisReport.PleaseseeSectionIII“Management’sDiscussionandAnalysis–ProspectsforfuturedevelopmentoftheCompany”.

AccordingtotheprofitdistributionproposalapprovedbytheBoardofDirectors,theCompanywilldistributeacashdividendofRMB2.2(taxinclusive)per10sharestoallshareholdersonthebasisof1,870,720,815shares,withoutdistributinganybonussharesortransferringanycapitalreservetothesharecapital.

TableofContents

SectionIImportantNote,TableofContentsandDefinitions ...... 1

SectionIICompanyProfileandKeyFinancialIndicators ...... 5

SectionIIIManagement’sDiscussionandAnalysis ...... 9

SectionIVCorporateGovernance ...... 34

SectionVEnvironmentalandSocialResponsibility ...... 53

SectionVIImportantEvents ...... 54

SectionVIIShareChangesandInformationofShareholders ...... 66

SectionVIIIPreferenceShares ...... 72

SectionIXBonds ...... 73

SectionXFinancialReport ...... 74

ListofReferences

1.FinancialstatementssignedandsealedbythePrincipal,CFOandChiefAccountantoftheCompany;

2.Originaloftheauditor’sreportstampedwiththesealoftheaccountingfirmandsignedandsealedbythecertifiedpublicaccountants;

3.OriginalsofalldocumentsoftheCompanypubliclydisclosedonthewebsiteforinformationdisclosuredesignatedbytheChinaSecuritiesRegulatoryCommissionduringthereportingperiodandrelatedannouncements;and

4.Otherreferences.

Definitions

Terms

SectionIICompanyProfileandKeyFinancialIndicators

I.Companyprofile

Stockshortname

II.Contactpersonandcontactinformation

III.Mediaforinformationdisclosureandplaceforkeepingannualreport

IV.Otherrelatedinformation

AccountingfirmengagedbytheCompany:

SponsorengagedbytheCompanythatperformsthedutiesofongoingsupervisionovertheCompanyduringthereportingperiod:

?Applicable?N/AFinancialadvisorengagedbytheCompanythatperformsthedutiesofongoingsupervisionovertheCompanyduringthereportingperiod:

?Applicable?N/A

V.KeyaccountingdataandfinancialindicatorsDidtheCompanyneedtoretrospectivelyadjustorre-stateaccountingdataofprioraccountingyears??Yes?No

2024

Note:Theculturalenterprisesaffiliatedtousthatweretransformedfrompublicinstitutionsenjoyedthepreferentialenterpriseincometaxpolicyin2023andthepreviousyears.However,theAnnouncementtoContinuetoImplementCertainTaxPoliciesApplicabletotheEnterprisesTransformedfromOperatingCulturalInstitutionsintheReformofCulturalSystemjointlyreleasedbytheMinistryofFinance,theStateAdministrationofTaxationandthePublicityDepartment,CCCPCinOctober2023didnotexplicitlyindicatewhethertheculturalenterprisesaffiliatedtousthatweretransformedfrompublicinstitutionswereeligibletocontinuetoenjoythepreferentialenterpriseincometaxpolicy.Ontheprudenceprinciple,wejudgedthatsuchenterpriseswouldceasetoenjoythepreferentialenterpriseincometaxpolicyfrom2024,andrecognizedadeferredtaxassetofRMB1.63billioninthe2023financialstatementsinaccordancewiththerelevantprovisionsoftheAccountingStandardsforBusinessEnterprises,resultinginanincreaseinthenetprofitattributabletotheshareholdersoftheListedCompanybyRMB1.63billion.InDecember2024,theMinistryofFinance,theStateAdministrationofTaxationandthePublicityDepartment,CCCPCjointlyreleasedtheAnnouncementontheTaxPoliciesApplicabletotheEnterprisesTransformedfromOperatingCulturalInstitutionsintheReformofCulturalSystem,clarifyingthattheculturalenterprisesaffiliatedtousthatweretransformedfrompublicinstitutionscontinuetoenjoythepreferentialenterpriseincometaxpolicybetween2024and2027.PursuanttotherelevantprovisionsoftheAccountingStandardsforBusinessEnterprises,in2024,weneedtoreverseatotaldeferredtaxassetofRMB630millionrecognizedin2023forthetaxexemptionperiodfrom2024to2027,resultinginadecreaseinthenetprofitattributabletotheshareholdersoftheListedCompanybyRMB630million.Thisreversalofthedeferredtaxassetsrecognizedin2023wasaone-offadjustment,withouttheneedtomakeanyfurtheradjustmentbetween2025and2027.Inaddition,werecognizedeferredtaxassetspursuanttotherelevantprovisionsoftheAccountingStandardsforBusinessEnterprisesin2024andsubsequentyears,wherethetotaldeferredtaxassetsrecognizedin2024wasRMB210million,resultinginanincreaseinthenetprofitattributabletotheshareholdersoftheListedCompanybyRMB210million.Therefore,thenetdeferredtaxassetsreversedin2024wasRMB420million,resultinginadecreaseinthenetprofitattributabletotheshareholdersoftheListedCompanybyRMB420million.Tosumup,duetothechangesintheenterpriseincometaxpolicies,thenetprofitattributabletotheshareholdersoftheListedCompanyincreasedbyRMB1.63billionin2023resultingfromanincreaseinthedeferredtaxassetsrecognized,anddecreasedbyRMB420millionin2024resultingfromanetreversalofthedeferredtaxassets,leadingtoasignificantchangeinthenetprofitattributabletotheshareholdersoftheListedCompanyin2024ascomparedwiththepreviousyear.Whetherthelowerofthenetprofitbeforeandafterdeductionofnon-recurringgainorlossinthepastthreeaccountingyearshasbeennegativeandthemostrecentannualauditor’sreportindicatesthattheCompany’sabilitytocontinueasagoingconcernis

uncertain?□Yes?NoWhetherthelowestofthetotalauditedprofit,netprofitandnetprofitafterdeductionofnon-recurringgainorlossinthemostrecentaccountingyearisnegative?

□Yes?No

VI.Keyfinancialindicatorsbyquarter

InRMB

Firstquarter

Whetherthere’sanymaterialdifferencebetweenthefinancialindicatorsoraggregateamountsthereofsetoutaboveandthecorrespondingfinancialindicatorssetoutinanyquarterreportorsemi-annualreportoftheCompanyalreadydisclosed?

□Yes?No

VII.DifferencesinaccountingdataarisingfromadoptionofforeignandChineseaccountingstandardsconcurrently

1.DifferencesbetweennetprofitandnetassetsdisclosedonthefinancialstatementsaccordingtotheinternationalaccountingstandardsandtheChineseaccountingstandardsconcurrently?Applicable?N/ADuringthereportingperiod,therewasnodifferenceinnetprofitandnetassetsinthefinancialreportdisclosedinaccordancewiththeinternationalaccountingstandardsandtheChineseaccountingstandards.

2.DifferencesbetweennetprofitandnetassetsdisclosedonthefinancialstatementsaccordingtotheforeignaccountingstandardsandtheChineseaccountingstandardsconcurrently

□Applicable?N/ADuringthereportingperiod,therewasnodifferenceinnetprofitandnetassetsinthefinancialreportdisclosedinaccordancewiththeforeignaccountingstandardsandtheChineseaccountingstandards.VIII.Itemsandamountsofnon-recurringgainorloss

?Applicable□N/A

InRMB

Governmentgrantsrecognizedinprofitorloss(excludingthegovernmentgrantsthatarecloselyrelatedtothebusinessoftheCompany,conformtotheapplicablepolicesofthecountry,areprovidedinaccordancewiththeestablishedstandards,andcontinuouslyaffecttheCompany’sprofitorloss)

Specificcircumstancesofothergainorlossitemsthatmeetthedefinitionofnon-recurringgainorloss:

□Applicable?N/AWedonothaveanyothergainorlossitemthatcanbedefinedasnon-recurringgainorloss.Classificationofanyitemofnon-recurringgainorlossdefinedbytheExplanatoryAnnouncementNo.1onInformationDisclosurebyCompaniesPubliclyOfferingSecurities-Non-recurringGainorLossasarecurringgainorloss:

□Applicable?N/AWehavenotclassifiedanyitemofnon-recurringgainorlossdefinedbytheExplanatoryAnnouncementNo.1onInformationDisclosurebyCompaniesPubliclyOfferingSecurities-Non-recurringGainorLossasarecurringgainorloss.

SectionIIIManagement’sDiscussionandAnalysis

I.Situationsofourindustryduringthereportingperiod

1.Thepromotionoftheintegrateddevelopmentofcultureandtechnologyprovidesstrategicopportunitiesformainstreammediaoutlets.

TheThirdPlenarySessionofthe20

th

CPCCentralCommitteemadeimportantarrangementsto“explorelong-termmechanismsfortheintegrationofcultureandtechnologyandacceleratethedevelopmentofnewtypesofculturaloperation”,andprovideddirectionandguidefortheinnovativedevelopmentoftheculturalandmediaindustry.Intheeraofdigitalandintelligentindustrialtransformation,theintegrationofcultureandtechnology,asanimportantformofnewproductiveforces,isaninherentrequirementandimportantpathwayforenhancingculturalsoftpower,andalsooffersgreaterpotential,innovativenessandspaceforcontentcreation,andwilldrivetheemergenceofmoreinnovativeformsofartisticexpression.Themainstreammediaoutletsshouldertheresponsibilityofexploringlong-termmechanismsfortheintegrationofcultureandtechnology,andpromotingacomprehensivetransformationofcontent,platforms,technologyandindustry.Atthesametime,aseriesofsupportingpoliciesforpromotingtheintegrationofcultureandtechnology,alongwiththecontinuousiterationandupgradingofnewtechnologies,willbringgreaterdevelopmentopportunitiesformainstreammediaoutlets.

2.Thesupplyoffilm,TVdramaandvarietyshowcontentremainsstable,whilemicrodramasbecomeanewsourceofcontentgrowth.AccordingtoEnlightent,in2024,thesupplyofonlinevarietyshows,filmsandTVdramaswasgenerallystable.Thenumberofnewvarietyshowsincreasedslightly,whilethenumberofnewfilmsandTVdramasdecreasedslightlyyearonyear.Videoplatformsfocusedontop-tiercontentthathasaremarkablesiphoneffect,andverticalcontentcateringtocoreusers.Intermsofbroadcaststrategy,thevideoplatformsadoptedexclusivebroadcastastheirprimarystrategy.Thepercentageofexclusivelybroadcastonlinevarietyshowsexceeded90%,asthetop-tiervarietyshowplatformscontinuouslyenhancedtheircontentoutputcapabilityandrecognition.ThepercentageofexclusivelybroadcastfilmsandTVdramaswasnearly80%,aslightdeclineyearonyear.ThevideoplatformsspreadcontentcoststhroughconcurrentbroadcastsofthesameTVdramasonmultipleplatforms.Microdramasarebecominganewsourceofcontentgrowth,withmajorvideoplatformssignificantlyincreasingtheirinvestmentinthisarea.

3.Thelongvideouserbaseisbasicallystableandtheplatformsseekhigherqualitydevelopmentintheirmembershipoperation.

AccordingtoQuestMobile,inDecember2024,themonthlyactiveusersofthefourmajorlongvideoplatforms,namely,TencentVideo,iQIYI,MangoTV,andYouku,were387million,354million,277million,and184million,respectively,indicatingthatthemarketishighlyconcentrated,thecompetitivelandscapeisstabilizing,andthetop-tierplatformsshowanevidentagglomerationeffect.Theusernumbersanddurationofwatchtimefluctuatedwiththereleasescheduleandeffectofmajorcontent.Eachplatform,takingintoaccountitsdevelopmentstage,useshigh-qualitycontenttodevelopnewusersandexploitexistingusers,enhancesmemberbenefits,exploresvalue-addedservices,andinnovatesinthemembershipsystem,inordertoincreasetheARPPU(averagerevenueperpayinguser)andpursuehigher-qualitygrowth.

4.Theadvertisingmarketisregainingconfidence,andshowsastructuralrecovery.

AccordingtoCTR,thedomesticadvertisingmarketwasgraduallyrecoveringin2024,upabout1.6%yearonyear.Byadvertisementtype,generalperformance-basedadvertisementstaketheleadinstrongrecovery,whiletherecoveryofbrandadvertisementsstilllagsbehind.Whentheconsumermarketentersanupwardcycle,amorereliableandsustainablerecoveryofbrandadvertisementscanbeexpected,duetoreplenishmentofbudget.Thetop-tiermediaoutletshaverelativeadvantagesinmarketcompetitionduetotheirbrandvalue,useraccessandtransformationeffect.AIandothernewtechnologiesarepromotinginnovationinadvertisingproductsandupgradingofmarketingsystems,potentiallybringingnewmomentumforindustrydevelopment.

5.Large-screentelevisionsremainimportantterminalsinthecontentecosystem,andindustrygovernancehasachievedstagedresults.

TheindustrialauthoritieshavetakenaseriesofactionsagainsttheMatryoshkadoll-stylecharges,complicatedoperationsandotherproblemsexistinginthehouseholdlarge-screenTVbusiness,tocontinuouslyregulatetheorderofbusinessoperationoftheindustry,andachievedstagedresultsinindustrialgovernance.Inthelongrun,IPTVandOTTlicenseholdersareexpectedtobenefitfromtheregulatorycomplianceandhigh-qualitydevelopmentoftheindustry.AccordingtothedatareleasedbytheMinistryofIndustryandInformationTechnology,bytheendof2024,thetotalnumberofIPTV(InternetProtocolTelevision)subscribersofthethreemajortelecommunicationcarriersreached408million.AccordingtoQuestMobile,inDecember2024,thetotalnumberofactivesmarttelevisiondevicesinChinawas281million.Asahouseholdinformationandentertainmenthubandmajorchannelforthecontentecosystemoflongandshortvideoplatforms,large-screentelevisionsstilloccupyanimportantpositionincontentterminals.

6.AIGCcontinuestopromoteindustrialtransformationandenablestheapplicationscenariosinthefieldofmediainanall-roundway.

AIGCprovidesanewwaytocreatecontentfollowingPGCandUGC.WiththedeepeninginnovativeapplicationsofAIGCinthecontentindustryandcontinuousexplorationofbusinessmodels,particularlythebreakthroughsinkeytechnologiessuchastext-to-video,theculturalandmediaindustryfacesacriticalwindowperiodtoembracetechnologyandacceleratethecultivationofnewproductiveforces.Theopen-sourcingofmultiplegeneral-purposeopen-sourcelargemodelswillfurtherreducethecostofAIapplications.Inthefuture,alongwiththereleaseandcontinuousupgradingofmorelargeAImodelproducts,themediaindustryisexpectedtodevelopmoreapplicationscenarios,continuouslyimprovecontentproduction,disseminationefficiencyandquality,andgiverisetomorenewbusinessmodels.

II.Ourprimarybusinessduringthereportingperiod

Wearerequiredtocomplywiththedisclosurerequirementsfor“InternetVideoBusiness”setforthintheGuideonSelf-regulatorySupervisionforCompaniesListedontheShenzhenStockExchangeNo.4–DisclosureofIndustryInformationbytheCompaniesListedontheChiNextBoard.

Wearethesolestate-ownedlongvideoandnewmediaplatformlistedontheA-sharemarket,representanimportantachievementinreformmadebytheHunanBroadcastingSystem(HBS)inactivelyrespondingtothestrategyoftheCentralGovernmentonpromotingthein-depthmediaconvergenceanddevelopment,andareoneofthefirstleadingentitiesintheconvergenceofradio,TVandmedianamedbytheStateAdministrationofRadio,FilmandTelevision(“SARFT”).LeveragingtheMangomediaconvergenceecosystem,andcenteredonourInternetvideoplatform,MangoTV,wehaveactivelyexploredtheeffectivemechanismforintegrationofcultureandtechnology,focusedonthecontroloftheentireindustrychainandecosystemsynergy,establishedaninterconnectedecosystemmatrixwithmultiplelinkages,andbuiltastate-owneddigital,intelligent,platform-basednewmediagroupwithstrongleadership,communicationandcompetitivepowers.WeareprimarilyengagedintheoperationofMangoTVInternetvideo,newmediainteractiveentertainmentcontentproduction,andcontente-commercebusinesses.

1.MangoTVInternetvideo

OurMangoTVInternetvideobusinesscomprisesadvertising,membershipandoperatorbusinesses,wherethemembershipbusinessisdesignedtoattractthetargetaudiencetobecomesubscribingmembersthroughpromotionalcampaignsandchannelexpansions,byleveragingourrichcopyrightresourcesandexclusivebroadcaststrategy;theadvertisingbusinessfocusesonhigh-qualitycontent,fullyexploresthemarketingvalueofIPs,andprovidesclientswithnaming,placement,patching,insertingandotheradvertisingproductsandservices;andintheoperator’slarge-screenbusiness,asalicenseholderwithadvantageouscontents,wecooperatewiththetelecommunicationcarriersandcableTVoperators,andsharetherevenuesfromVODwiththem.

2.Newmediainteractiveentertainmentcontentproduction

Ournewmediainteractiveentertainmentcontentproductionbusinessmainlycomprisescontentproductionandoperation,artistagency,musiccopyright,andIPderivativesbusinesses.Inthecontentproductionandoperationbusiness,wecreateandproducevarietyshows,films,TVdramas,cartoonsforchildrenandotherprograms,andearnrevenuesthroughcontentoperationandcopyrightdistribution,amongothers.Intheartistagencybusiness,webuildanechelonofartistsatalllevelsandofvarioustypes,andcreateaclosedbusinessloopbyarrangingfortheartiststotakepartinfilms,TVdramas,varietyshows,commercialperformances,brandedconcerts,amongothers.Inthemusiccopyrightbusiness,wegrantlicensesonthebasisofmusicIPresourcesaccumulatedandcontinuouslyenrichedbytheartists.IntheIPderivativesbusiness,wehavecreatedM-City,studytour,Maijiandotherofflinebrandsthroughmulti-dimensionaldevelopmentofIPderivatives.

3.Contente-commerce

Inthecontente-commercebusiness,leveragingouradvantagesinmediacreativity,contentproductionandartistresources,weconductintegratedcommunicationsandmarketingthroughAPP,largescreen,miniprogram,livestreamingroomsandotherchannels,toattractconsumerdemandsandsellgoods.XiaomangE-commerceiscommittedtobuildingaconsumerplatformcenteredonemotionalvalue,focusingondomesticbrandswithChinesedesignelements”,whichfocusesontheintegrationofIPcontentande-commercemodes,exploresinnovativepathsforthemonetizationofMangofamilyIPs,andcontinuouslyimprovestheclosedbusinessloopfromwatchingvideocontenttointeractiveconsumption.Happigotargetssilver-hairedoldpeopleonthebasisoflargescreenTVaudience,servesmembersthroughprivatedomainmarketing,andsellsgoodsthroughTV,APPandotherchannels.III.Analysisofcorecompetencies

1.Platformadvantages

AsaParty-controlledmainstreammediaoutletandstate-ownedculturalplatform-basedcompany,weinheritthemediagenethat“orientationismorepreciousthangold”,sticktothecorrectpoliticaldirection,publicopinionguidanceandorientationofvalues,

adheretothecreationconceptcenteringonpeople,buildastrongideologicalfront,vigorouslycreateasoundnetworkecosystem,andimprovethecommunicationandleadershipspowers,influenceandpubliccredibilityofmainstreampublicopinions.Ourcontentecosystemintegrateswiththecommunicationsystemforsocialmainstreamvaluesandmainstreamculture,andhaspreciseinsight,profoundunderstandingandstrongexecutioncapabilityinmainstreampropaganda.

2.AdvantagesinintegrationWevigorouslypromotethe“twointegration”,namelyintegrateddevelopmentofnewmediaandtraditionalmedia,andintegrateddevelopmentofcultureandtechnology.WehavesuccessfullybuiltanintegratedecosystemcomprisingMangoTV,GoldenEagleCartoon,XiaomangE-commerceandHunanSatelliteTV,whichgivefullplaytotheeffectofbusinesssynergyandresourceintegration,andeffectivelytransformtheadvantagesofmediaintegrationintodrivesfordevelopment.Meanwhile,weleveragetheadvantagesofourtechnicalteamthattakestheleadintheindustry,enablescontentiterationthroughtechnologicalinnovation,acceleratestheintegrateddevelopmentofcultureandtechnology,andfosteringofnewproductiveforces,tocontinuouslyenhancethenewcommunicationforces.

3.InstitutionaladvantagesRelyingonourefficientandflexiblemarket-orientedoperatingmechanism,wehavecontinuouslyimprovedthemanagementandoperatingefficiencyofourplatforms,introducedtheinnovativetrackmanagerregime,studioregimeandothercontentteammanagementregimes,andexploredtheoptimalcontentproductionorganizationregimes;promotedtheorderlyandbenigncompetitionamonginternalteamsthroughmarket-orientedtalentflows,“H”typedoubletalentchannelmanagement,youngtalenttrainingproject,amongothers;andusedthe“intelligentmid-endmatrix”tobuildacontent-technology-riskcontrol-operationcoordinatedlinkagemechanism,tofurtherliberatetheproductiveforcesofcontentteams.

4.AdvantagesininnovationWehavestucktothecreationconceptof“innovateordie”,builtastrongcontentteamsystem,continuouslysecuredcoreessentialproductionfactors,andfirmlymaintainedourcorecompetenciesincontentinnovation.MangoTVandHunanSatelliteTVcurrentlyhave55varietyshowproductionteams,24filmandTVdramaproductionteams,and40strategicstudiosundertheXinmangProgram,therebybecomingthelargestvarietyshowproducerinChina.Byestablishingthecontentinnovationbiddingsystem,innovatingincreativityresearch,developmentandproductionchainorotherwise,westimulatetheteams’creativepower,andachieverapidresponseandimplementationincontentinnovation.

5.AdvantagesinusersMangoTVstickstothedistinctcontentstrategyandplatformpositioningof“youth,metropolisandwomen”,andrealizesthatourclearuserbase,finecontentproductsandadvertisersarelinkedandfitperfectlywitheachother.TheoveralluserimageofMangoTVis“vigor,fashionandquality”,amongothers,anditspercentageofwomenusersishigherthantheaverageleveloftheindustry.Clearuserprofileandplatformpositioningwillenhanceourspecialadvantagesinmonetizingthebrandvalueofourplatformthroughmultiplechannelsandinavarietyofways,andbuildingthemembershipoperationsystem.

6.AdvantagesinecosystemLeveragingouradvantagesinproprietarycontent,wehavebuiltthesynergisticandcomplementaryclosedloopofMangonewmediaecosystemcoveringtheentireindustrychainofmediaandtheInternet,wheretheupstreammainlyincludesartistagencyandvarietyshows,filmandTVdrama,andchildren’scartoonproductionbusiness;themid-streamisresponsibleforcontentoperationthroughmultiplechannelsprovidedbytheonlinevideoplatforms,inrelianceonourstrongcontentproductioncapabilitiesandpremiumcontentmatrix;andthedownstreamcentersonofflinelocation-basedentertainment,parent-childamusementparks,liveconcertsandotherderivativeoperationsbasedonMangofamilycontentIPs,createsawhollynewbusinessmodelcomprising“content+video+e-commerce”.

7.AdvantagesinlicensesMangoTVisthesolemarketplayerintheInternetvideoindustrythatholdsbothIPTVandOTTbusinesslicenses,withitssmartlarge-screenbusinesscovering31provincialregionsinChina,whichisanimportantsupportingpointforustodeveloplivingroomeconomy.Inrelianceonourcompletelicenses,ourvideocontentbusinesscoversallterminals,includingmobilephone,PAD,PC,IPTVandOTT.Wearethefirstvideomediaplatformthathasactuallybuilt“onecloudandmultiplescreens”systemintheindustry.AstheInternetTVindustryentersthehigh-qualitydevelopmentstage,thelicensesheldbyuswillfurthershowouradvantages.

8.AdvantagesinbusinessmodelWefirmlybelievethatcontentistheking,andhaveestablishedasustainableandsoundbusinessmodel.Inrelianceonoursoundmarket-orientedoperationmechanisms,wehavecontinuouslyimprovedtheefficiencyofbusinessinnovationandriskcontrollevel,maximizedtheinput-outputratio,andbecomeamarketplayerintheonlinevideoindustrythathasmadeprofitsformanyyears.Wehavegraduallyachievedeconomiesofscaleincontentproductionthroughaccurateuserpositioning,strongcontentproductioncapabilities,andeffectiveclusterofcoreproductionfactors,andrealizedmonetizationofcontentthroughmultiplechannels,includingmembership,advertising,operator,e-commerceandIPderivativesbusinesses.IV.Analysisofprimarybusiness

1.Overview

Theyear2024isacrucialandkeyyearforustoadvancetheintegrateddevelopmentofcultureandtechnology.WethoroughlylearnedanddigestedtheimportantspeechesandinstructionsregardingculturaldevelopmentgivenbyGeneralSecretaryXiJinpingduringhisinspectiontoursinHunan,stuckto“culture+technology”,focusedonbuilding“content+technology”dualengines,addressedtheuncertaintiesoftheexternalenvironmentwithourowndeterminationandresilienceindevelopment,tookaseriesofmeasuresandmadeconcertedefforts,tocontinuouslyoptimizeourbusinessstructure,promotethesteadyimprovementofqualityandefficiency,andenablehigh-qualitydevelopment.Duringthereportingperiod,wewereawardedthetitleof“Top30Cultural

EnterpriseNationwide”forthefifthtime,andranked19

thonthelistof“Top100InternetEnterprisesinChinafor2024”,beingtheonlystate-ownedenterpriseamongthetop20.In2024,ourtotaloperatingrevenuewasRMB14.080billion,operatingprofitwasRMB1.742billion,netprofitattributabletotheshareholdersoftheListCompanywasRMB1.364billion,andclosingbalanceoftotalassetswasRMB32.530billion.

(1)UpholdthemissionofParty-controlledmediaoutletsandbuildapremiummainstreampropagandapositionWealwaysupholdtheprinciplethat“amediaoutletcontrolledbythePartyshalladheretotheleadershipofthePartywithstrictloyalty”,continuouslyenhancethereach,guidingforce,influenceandcredibilityofmainstreamcommunication,andactivelyshoulderthenewculturalmissioninthenewera.Ontheonehand,weholdhighthebannerofthoughtandvigorouslyimplementthe“headlineproject”.MangoTVhasprominentlyfeatured“StudyMoments”onthefirstscreenofitshomepage,withatotalofover

6.1billionviewsofthespecialsectionofimportantreportsfeaturingGeneralSecretaryXiJinping.Duringimportantevents,suchasthenationaltwosessions,theThirdPlenarySessionofthe20

thCPCCentralCommittee,andthe75

thanniversaryofthefoundingofNewChina,wecompleted150publicityprojects,delivered51majorlivenewsreportsand669regularlivenewsreports,released71,400piecesofnewsonline,produced228thematicspecialfeatures,fullyleveragedtheadvantagesofintegratedcommunication,andexpandedmainstreamthoughtsandideas.Ontheotherhand,weremaintruetoouroriginalaspirationforcontent,andstrivetoproducehigh-qualitymainstreamworks.Wevigorouslydisseminatepositiveenergywithmoreyouthful,creativeandhitworks.In2024,255worksproducedbyuswonmainstreamawards,achievinga“GrandSlam”atmajorawardsincludingtheFeitianAward,GoldenEagleAward,WhiteMagnoliaAwardandStarlightAward.“InfinityandBeyond2023”and“ChinaS3”receivedthe“Five-OneProjectsAward”fromthePublicityDepartment,CCCPC.Ourmainstreamdocumentarieshavewonthe“ChinaNewsAward”forsevenconsecutiveyears.Ourculturalmicro-documentary“AdmonitionstoOfficialsinChina”isakeyprogramunderthe“BroadcastandTelevisionCommunicationProjectforChineseCulture”,whichinnovativelycombinesreal-lifeshootingwithAI-generatedimages,togivecontemporaryconnotationtohistoricalstories.

(2)ActivelyexploretheoptimalcontentproductionregimesandstrengthenMangoecosystemmoatinanall-roundwayWefirmlymaintainculturalself-confidence,upholdfundamentalprinciplesandbreaknewground,continuouslyexploretheoptimalcontentproductionorganizationregimes,breakthepathdependency,focusonhitprograms,continuouslyconsolidateouradvantagesinthesupplyofcreative,high-level,large-sizedandprofessionalcontent,firmlysafeguardtheabsoluteleadingpositionof“MangoProduction”incontentinnovation,andformaMangostylecontentmatrix,therebycontinuouslyfortifyingthemoatforhigh-qualitydevelopmentwithpremiumcontent.

Continuouslyconsolidateleadershipinthefieldofvarietyshowswithphenomenalhitprograms.Duringthereportingperiod,inordertobettergraspthecontentdisseminationpatterns,understandthedevelopmenttrendsinprogramproduction,andcreateinnovativetracksandhitprograms,MangoTVlaunchedthe“TrackManager”regimetofurtherimprovetherefinedmanagementofvarietyprogramteams,adopteda“trackmanagement”approachinthecontentresearch,developmentandproduction,establishedmultiplevarietytracksincludingstagecompetition,majorinnovation,musicvarietyshow,realityshowandreasoning.Underthe“TrackManager”regime,atrackmanagerisresponsibleforprojectmanagement,contentsupervision,andresearchanddevelopmentofinnovativecontentforthetrackassignedtohimorher.In2024,MangoTVreleased160varietyshowsintotal,40%ofwhichwereinnovativevarietyshows.Westeadilymaintainedthefirstplaceintermsofnumberofvarietyshowseffectivelybroadcast,andfurtherconsolidatedourleadershipinthefieldofvarietyshows.AccordingtoEnlightent,amongthetop10varietyshowseffectivelybroadcastonlineinChina,fivewereproducedbyus,namely“SeeYouAgainS4”,“RidetheWind2024”,“Who’stheMurdererS9”,“DivasHittheRoad·SilkRoad”and“CallMebyFireS4”;andamongthetop10varietyshowseffectivelybroadcastonTV,fourwereproducedbyus,namely“Singer2024,”“Hello,Saturday2024,”“theChineseRestaurantS8”and“RunForTimeS4”.

Increasethereserveofmajordramas,asinvestmentinfilmsandTVdramasgraduallyenterstheoutputcycle.WeproactivelyadaptedtothedevelopmenttrendsinthefilmandTVdramaindustry,tookaseriesofactions,suchasestablishingthedramaevaluationandqualitycontrolcenter,buildingsuperstudiosforfilmandTVdramaproduction,andimplementingthesuperpartnerregimeunderthe“XinmangSProgram”,andactivelyincreasedthecontentinvestmentinfilmsandTVdramas,especiallythedevelopmentanddeploymentofmajorprojects.In2024,MangoTVreleased27keyfilmsandTVdramas.Amongthetop10MandarinTVdramaswiththehighestratingsonDoubanin2024,threewereproducedbyus,namely“RomanceintheAlley”,“TheForerunner”and“CityofDaylights”.Ourself-producedTVdramas,“TheForerunner”,“CityofDaylightsand“BeginAgain”,wereairedonCCTVatprimetime.“RomanceintheAlley”tooktheleadintheTVdramasbroadcastonlineintermsofpopularityandcomments,withaDoubanratingof8.2andaWeiboratingof9.2.Wehaveover100filmsandTVdramasinreserveandowntwobroadcastchannels,MangoTVandHunanSatelliteTV,andhaveaconvergenceinfluencecoveringbothonlineandTVchannels,whichwillenableustoproducemorehitTVdramas.“FlourishedPeony”and“PerfectMatch”airedinthefirstquarterof2025toppedtheEnlightenrankingofTVdramasconsecutively.

Enhancethestrategicpositionofmicrodramas,andfocusonbuildinganewecosystemof“long,medium,andshort”videocontent.Inordertopromotetherapiddevelopmentofmicroandshortvideocontentandacceleratethedevelopmentoftheadvantagesin“long,medium,andshort”videocontentecosystem,MangoTVinnovatedinthesystemsandmechanisms,andestablishedthemicroinnovationcenter,whichwillfocusonhorizontal-screenboutiquedramas,mini-programdramas,interactivecontentandmicro-varietyshows,andleverageMango’suniquevarietyshowbrands,artistresources,largeandsmallscreenplatformandcommunicationsystems,tobuildamoreopen,aggregatedandefficientspecializedproductionandoperationsystemformicroandshortvideocontent.Duringthereportingperiod,MangoTVreleased340microdramasintotal,ofwhich,“TheStoryofSuzhou”andnineothermicrodramaswereincludedintheSARFT’srecommendedlist“TravelFollowingMicroDramas”.MangoTV,inconjunctionwithHunanSatelliteTV,launchedthe“DamangTheatre”,anewmicrodramabrand,andsuccessfullyaired14shortdramas,suchas“ATasteCalledQingxi”,onsatelliteTVchannels.

(3)Strivetooptimizethestructureofprimarybusinessandrestructurethecoredriversforgrowth

Inordertoadapttotheevolvingindustrialdevelopmenttrends,weproactivelyadjustedtheoperationalstrategiesforprimarybusiness,topromotetherapidgrowthoftheB2Cbusiness,ensuretheoverallstableoperationofour“threepillar”businesses,namelymembership,advertisingandoperatorbusinesses,andmaintainsufficientdevelopmentalresilienceandmomentum.

Ourmembershipbusinessachievedbothgrowthofbusinessvolumeandimprovementofquality,andmaintainedrapidgrowth.Bytheendof2024,MangoTVhad73.31millionmembers,andachievedanannualmembershiprevenueofRMB5.148billion,

whichexceededRMB5billionforthefirsttime,representinganincreaseof19.3%yearonyear,accountingforover50%ofthetotalrevenuefromtheInternetvideobusiness,becomingacoredriverforourcurrentandfuturegrowth.TherapidgrowthofmembershipbusinesswasprimarilyduetoMangoTV’ssustainedandstablesupplyofhigh-qualitycontentandthemembershipbenefitssystemthatmakesinnovationscontinuously.Ononehand,thehitvarietyshows,suchas“Singer2024”and“SeeYouAgainS4”,andpopularTVseries,suchas“RomanceintheAlley”and“TheLegendofShenLi”,greatlydrovetherapidgrowthofmembers,furthervalidatingthegrowthlogicthatinvestmentincontentandgrowthofmemberswillformavirtuouscycleandpositivefeedbackloop.Ontheotherhand,weupgradedthemembershipbenefitssysteminanall-roundway,offeredexclusivebenefitstohigher-tiermembers,builtfourrevenuegrowthmatricescomprisingcustomizedIPprograms,standalonelivestreaming,drama-varietyshowlinkageandadvancedafter-saleservices,andreleasedmanyinnovativememberinteractionproducts,suchaspublicpredictionlivestreamingof“Singer2024”andmulti-perspectivebroadcastofthe“NewYear’sEveGala”,whichenhancedthesubscribers’valueperceptionandwillingnesstopay,andsteadilyincreasedtheARPPU.

Ouradvertisingbusinessshowedaslightfluctuationbutgenerallymaintainedtherecoverytrend.Duringthereportingperiod,ourrevenuefromtheadvertisingbusinesswasRMB3.438billion.In2024,althoughtheentireadvertisingindustryshowedsignsofrecovery,thereboundwasrelativelyweak,andtherecoveryofbrandadvertisinglaggedbehind.Leveragingtheadvantagesofourmulti-platformintegratedecosystemandsteadilygrowinguserbase,wecustomizedlong-termmarketingstrategiesformajorcustomersindairyproducts,healthcare,liquorandothersectors,enhancedinnovationinmarketingmodels,developedacombinedapproachof“long-shortlinkage”,andcreatedthenewbusinessmodelof“IPlivestreaming+offlinemarketing”,topromotetheintegrationofbrandingandeffectmarketing.Sucheffortshelpedusmaintainstabilityinthefundmentalsoftheadvertisingbusiness.Ouroperatorbusinessdeclinedintheshorttermbutwillbenefitfromthehigh-qualityindustrydevelopmentinthelongterm.Duringthereportingperiod,ourrevenuefromtheoperatorbusinesswasRMB1.593billion.Weactivelycompliedwiththerequirementsforthegovernanceofthetelevisionindustry,optimizedthelargescreenTV-relatedservices,suchas“billingpackages”and“pay-per-viewcontent”inanall-roundway.Intheshortterm,therevenuefromthevalue-addedservicesintheoperatorbusinesswillbesignificantlyaffected.However,inthelongterm,withtheimprovementofviewingexperiencesanduserstickinessinthelargescreenTVindustry,asthesolemarketplayerholdingbothIPTVandOTTlicenses,weareexpectedtobenefitfromthehigh-qualitydevelopmentoftheindustry.

(4)Fullyleveragethesynergyadvantagesofourecosystem,andexploremoreinnovativepathsforIPderivatives

Duringthereportingperiod,onthebasisofconsolidatingMangoTVInternetvideobusiness,wefullyintegratedcontentcreation,productionandoperation,improvedthecontentecosystemandvaluerealizationchain,builtaMangoecosystemwithrichercontent,andfullyenabledourtwomajorbusinesssectors,newmediainteractiveentertainmentcontentproductionandcontente-commerce.

Furtherdeploythechild-orientedbusiness.GoldenEagleCartoon,asatop-tierdomesticparent-childcontentplatform,isanimportantvehicleforustodeepenthechildrencontentstrategyanddevelopusersinfamilyscenarios.Duringthereportingperiod,onthebasisoftheoriginalchild-orientedbusinessoperation,GoldenEagleCartoonfullyleverageditsinfluenceamongthenewgenerationofaudience,builtthestudytourbrand“ChaomangStar”integratingMangofamilyresourcesinbrand,platform,ecosystem,etc.,andofferedhigh-qualityproductmatrices,suchas“MangoDirectStudyTourFocusingonArtExperience”;incombinationwithourproprietaryIPs,launchedadventurecampsduringwinterandsummervacationsinZhangjiajieandXinjiang;arrangedvisitstothevenuesoftheGoldenEagleFestival,MangoNewYear’sEveGalaandotherevents,andextendedparent-childamusementparks,derivativeandperipheralproducts,andotheroperations.

XiaomangE-commercecontinuesitsrapidexpansion.XiaomangE-commerceispartofGBS’sstrategicdeploymentbasedontheclosed-loopmonetizationofIPs.Afterfouryearsofnurturing,theplatformnowhasamoreprecisepositioningandisdistinctlytargetingyoungsters.Duringthereportingperiod,XiaomangE-commercesuccessfullycompleteditsSeriesA1offinancing,andachievedarecordhighGMVofRMB16.1billion,representingafour-yearCAGRof125%.Productslike“No.1”apparel,Guofengmecha,andIPcardsrankedamongthetopsellingproductsintheindustry.XiaomangE-commerceleveragedMango’secosystemadvantagestocreatehigh“emotion-priceratio”productsandservices,andseizethenewtrendofemotionalconsumption.Youngusershavedevelopedhabitsof“watchingandbuying”onMango.Happigotransitedtowardsthesilver-hairedmarkettoadapttothemarketchangesandrebuilditsbrandimage.

Thecontentindustryvaluechainbecomesricher.Duringthereportingperiod,ourartistagencysegmentstrengtheneditspipelinebuilding.EE-Mediasigned11newartists.MangoTVandHunanSatelliteTVgaveprioritytooursignedartistsinthe

TotalnumberofactivemembersofMangoTV

(inRMB10thousand)

December31,2021

varietyshows,filmsandTVdramas,andothercontentproducedbythem,achievingawin-wincollaborationbetweentheplatformandartists.Ourmusiccopyrightbusiness,relyingonprofessionalmusicartistsandbands,andpopularmusicprograms,continuedtoexpanditscopyrightlibraryofmusicfromrecordings,films,TVdramasandvarietyshows,andfurthersolidifieditssoundcooperationrelationshipswithmajormusicplatforms.Inaddition,westeadilyconductedanddeployedonlineandofflineintegratedIPtours,andcreatedmanyseriesperformance,suchasYouthMangoNightandM-ZoneMangoCard“UnlimitedX”liveconcert.

(5)Seizethestrategicopportunitiesbroughtbytheintegrationofcultureandtechnology,andacceleratetheexplorationandcultivationofnewproductiveforcesInMarch2024,duringhisinspectiontripinHunan,GeneralSecretaryXiJinpingemphasizedthat“weshouldexploreeffectivemechanismsfortheintegrationofcultureandtechnology,acceleratethedevelopmentofnewtypesofculturaloperation,andcreatemorenewgrowthdriversfortheculturalindustry.”ThepropositionoftheintegrationofcultureandtechnologyprovideddirectionandbasicguidanceforHunantoenhanceitsculturalsoftpowerandpromotethedevelopmentoftheculturalindustry.Hunanhasreleasedandimprovedaseriesofpoliciesandmeasures,designedtosupporttheintegrationofcultureandtechnology,furtheroptimizetheecosystemofindustry,researchanddevelopment,finance,etc.,widelyattractdomesticandinternationalbusinesses,talentsandsignificanttechnologicalforcesengagedintheintegrationofcultureandtechnologytogatherinMalanshan,tobuildMalanshanintoanimportantsourceoftechnology,birthplaceofachievements,andgatheringplaceforapplicationscenariosintheintegrationofcultureandtechnology.

UsingourbesteffortstorespondtocallfortheintegrationofcultureandtechnologynotonlyreflectsourcommitmentasaleaderinHunan’sculturalcompanies,butalsorepresentstheonlypathtoleverageourcontentandtechnologyadvantages,toseizethestrategicopportunitiesbroughtbythenewwavesoftechnologythatenablethedevelopmentoftheculturalindustry,andcultivatethenewmomentumforhigh-qualitydevelopment.Ontheonehand,leveragingourrichapplicationscenariosandcontentecosystem,weactivelyexploredtheapplicationofcutting-edgetechnologieslikeAIandinnovationintypesofoperation,acceleratedthecultivationofnewproductiveforces,andfullyenabledcontentcreation,production,operationandmonetizationacrosstheentirechain.Duringthereportingperiod,weactivelypromotedtheinnovativeapplicationofcutting-edgetechnologies,andestablishedthe“ShanhaiResearchInstitute”.Our“MangoLargeModel”hassuccessfullypassedthereviewbyandbeenfiledwiththeCyberspaceAdministrationofChina,whichhasbuiltanAIagentapplicationplatform,andachievedapplicationacrosstheentirechainfromcontentcreation,operationandmonetization.WehaveappliedAI-poweredwholecoursedigitalandintelligentproductionprocessesinthecreationofvarietyshows,microdramas,advertisementsandothertypesofcontent,andappliedvirtualrealitytechnologyintheproductionofAdmonitionstoOfficialsinChinaS2,CyberCenturyandotherprograms,toreducecostsandincreaseefficiency.Ontheotherhand,webuilttheinnovativedigitalandintelligentinteractiveecosystemforusers,usedthenewtechnologiestocomprehensivelyupgradethedigitalandintelligentplatforms,launchedmanyinnovativeinteractionprograms,suchas“AIcharacterchat”,“cloudbroadcastconsole●multi-screenviewing”,“crowdpredictioninteraction”and“lyricbarragechoir”,whichwereappliedin“Singer2024”,“TimeConcert”andotherprograms.Inordertobetterseizethestrategicopportunitiesandsolidlypromotethein-depthintegrationofcultureandtechnology,wehavekeptgreatreservesofkeyprojects,suchastop-tierdigitalandintelligentcommunicationplatforms,MangoOverseas,“MangoPi”gameinteractiveplatform,Mangostrategicmicrodramaprojects,andcreationanddisseminationofcartoonIPcontentbasedonexcellenttraditionalChineseculture.

(6)Improvetheeffectivenessofinternationalcommunicationinanall-roundway,andsuccessfullyimplementtheoverseasbusinessdoublegrowthplan

Weattachgreatimportancetothebuildingofinternationalcommunicationcapabilities,andfullyleverageouradvantagestocontinuouslyexplorethewaystotellChina’sstoriesandmakeChina’svoicesheardintheworld,andseekgreaterbusinessgrowththroughtheexpansionofoverseasmarkets.First,promotetheupgradingoftheplatformandeffectivelyimplementthe“doublegrowthplan”.Asearlyas2018,welaunchedtheMangoTVInternationalApp,whichwasthefirst“self-owned,self-operatedandself-controlled”overseasnewmediaplatforminthedomesticindustry.Duringthereportingperiod,inordertofurtherincreaseitsoverseasmarketshareanduserbase,theMangoTVInternationalAppvigorouslyimplementeda“doublegrowthplan”,andsuccessfullyincreaseditsrevenuefromRMB62milliontoRMB141million,andaggregatedownloadsfrom130millionattheendof2023to261millionattheendof2024.Atpresent,theAppsupportsfreeswitchingamong8interfacelanguagesand17subtitlelanguages,andcovers195countriesandregionsworldwide.Intermsofuserstructure,theplatformisparticularlypopularamongyoungerusersthroughouttheworld,withnearly60%ofusersaged18-24.Second,promotethereleaseofprogramsontheoverseasmarket,andattractoverseasfanswithpremiumcontent.Wereleasedover60programsoverseas,including“Singer2024”,“RidetheWind2024”and“TheChineseRestaurantS8”,whichbuiltabridgetocommunicatewithglobalusers,andachievedemotionalresonanceandculturalexchangewithfashionable,trendy,youthfulandinternationalaudiovisualexpressions.“Singer2024”hasreceivedrecognitionfromtheUNESCOtwiceasa“beautifuldemonstrationofculturalexchange”.“RidingtheWind2024”promotedthenaturalblendingofdiverseinternationalculturesfromFrance,Vietnam,theUnitedStates,ThailandandRussiathroughthebeautyofart.The“RidingtheWind”series,the“CallMebyFire”seriesandothertop-tierprogramshavesuccessfullyrealizedtheexportofIPmodels.Third,opennewchannelsontheoverseasmarketthroughwin-wincooperation.Weimplementedthe“SuperOverseasPartnerProgram”,andcooperatedwithlocalmediaoutletsandinstitutionsinVietnam,Singapore,Malaysiaandothercountries,tointegratewithlocalculturalandbusinessecosystems,andexplorethenewpathsfortheintegrationofculturalexportandindustrialdevelopment.

2.Revenuesandcosts

(1)ComponentsofoperatingrevenueOverallsituationofoperatingrevenue

InRMB

2024

(2)Segments,products,regionsorsalesmodelsrepresentingmorethan10%ofoperatingrevenueorprofit?Applicable?N/A

InRMB

Newmediainteractiveentertainmentcontentproduction

Incaseofanyadjustmenttothestatisticscaleforprimarybusinessdata,theprimarybusinessdataofthemostrecentreportingperiodasadjustedaccordingtothestatisticscaleappliedattheendofthecurrentreportingperiod:

?Applicable?N/A

(3)WhethertheCompany’srevenuefromthesaleoftangiblegoodsishigherthantherevenuefromlaborservices??Yes?No

(4)PerformanceofmaterialsalescontractsandmaterialpurchasecontractsoftheCompanyasoftheendofthereportingperiod?Applicable?N/A

(5)ComponentsofoperatingcostClassificationofsegmentsandproducts:

InRMB

InRMB

change

Analysis:

None.

(6)Changesinthescopeofconsolidationduringthereportingperiod?Yes?No

(7)Materialchangesoradjustmentsinrespectofbusiness,productsorservicesoftheCompanyduringthereportingperiod?Applicable?N/A

(8)MajorcustomersandsuppliersMajorcustomersoftheCompany:

Particularsoftop5customers:

Otherinformationofmajorcustomers:

?Applicable?N/AMajorsuppliersoftheCompany:

Proportionofaggregatepurchaseamountfromrelatedpartiesamongtop5supplierstoannualpurchasecost

Particularsoftop5suppliers:

Otherinformationofmajorsuppliers:

?Applicable?N/A.

3.Expenses

InRMB

4.R&Dexpenses

?Applicable?N/A

DescriptionofmajorR&D

project

ParticularsofR&Dpersonnel:

2024

AmountofR&DexpensesandproportionofR&Dexpensestooperatingrevenueinthepastthreeyears:

AnalysisofthecauseandeffectofsignificantchangeinthecompositionofR&Dpersonnel:

?Applicable?N/AAnalysisofthecauseofsignificantchangeintheproportionofR&Dexpensestooperatingrevenuecomparedwiththeprecedingyear:

?Applicable?N/AAnalysisofthecauseandreasonablenessofsignificantchangeintheproportionofR&Dexpensescapitalized:

?Applicable?N/A

5.Cashflows

InRMB

Subtotalofcashprovidedbyfinancingactivities

Analysisofthemaincausesofsignificantchangesintherelevantdata:

?Applicable?N/AThenetcashflowfromoperatingactivitiesdecreasedby102.32%yearonyear,primarilyduetoanincreaseinthereserveoftop-tiercontentinthecurrentyear.Thenetcashflowfrominvestmentactivitiesdecreasedby1,115.91%yearonyear,primarilyduetochangesinthetermdeposits,large-denominationcertificateofdepositsandstructuraldepositspurchasedandredeemedinthecurrentyear.Thenetcashflowfromfinancingactivitiesincreasedby9.66%yearonyear,primarilyduetoreceiptofadditionalcapitalcontributionstoasubsidiary,andchangesindiscountonnotesnotqualifyingforderecognition.Thenetincreaseincashandcashequivalentsdecreasedby625.46%yearonyear,primarilyduetoadecreaseincashandbankbalancesinthecurrentyear,resultinginadecreaseincashandcashequivalents;whilethedecreaseintheclosingbalanceofcashandbankbalanceswasprimarilyduetothepresentationofthetermdepositsandlarge-denominationcertificateofdepositsheldbyusandmeasuredatamortizedcostunderdebtinvestmentsorothercurrentassetspursuanttotheCASBENo.22-RecognitionandMeasurementofFinancialInstruments.Analysisofthesignificantdifferencebetweennetcashflowsfromoperatingactivitiesduringthereportingperiodandnetprofitinthecurrentyear:

?Applicable?N/AThegreatdifferencebetweennetcashflowsfromoperatingactivitiesandnetprofitwasprimarilyduetoanincreaseintheprepaymentsfortop-tiercontentandamortizationofintangibleassetsinthecurrentyear.V.Analysisofnon-primarybusiness?Applicable?N/A

InRMB

VI.Analysisofassetsandliabilities

1.Materialchangesinthecomponentsofassets

InRMB

primarilyduetothepresentationofthetermdepositsandlarge-denominationcertificateofdepositsheldbyusandmeasuredatamortizedcostunderdebtinvestmentsorothercurrentassetspursuanttotheCASBENo.22-RecognitionandMeasurementofFinancialInstruments.

Analysisofthehighproportionofoverseasassets:

?Applicable?N/A

2.Assetsandliabilitiesatfairvalue

?Applicable?N/A

InRMB0’000

derivativefinancialassets)

Otherchanges:

Otherchangesinfinancialassetsheldfortradingwereprimarilyduetoanincreaseininterestincome.Otherchangesinreceivablesfinancingwereprimarilyduetoadecreaseinbanker’sacceptancebills.Whetherthere’sanymaterialchangeinthemeasurementpropertiesofthemainassetsoftheCompanyduringthereportingperiod??Yes?No

3.Encumbrancesonassetsasoftheendofthereportingperiod

Asoftheendofthereportingperiod,thetotalamountofrestrictedassetswasRMB30.8840million,wherethebankdepositsincludedRMB16.1152millionsubjecttojudicialfreeze,andRMB1.2443millionofsecuritydepositsandothers,andothermonetaryfundsincludedRMB13.5245millionofdeposits.VII.Analysisofinvestments

1.Overallsituation?Applicable?N/A

2.Majorequityinvestmentsacquiredduringthereportingperiod

?Applicable?N/A

3.Majornon-equityinvestmentsthathavenotyetbeencompletedinthereportingperiod

?Applicable?N/A

4.Investmentinfinancialassets

(1)Securitiesinvestment?Applicable?N/ANosuchcaseduringthereportingperiod.

(2)Derivativeinvestment?Applicable?N/A

Nosuchcaseduringthereportingperiod.

5.Useofofferingproceeds

?Applicable?N/A

(1)Descriptionoftheuseofofferingproceeds?Applicable?N/A

InRMB0’000

Yearofoffering

(2)Committedfund-raisinginvestmentprojects

?Applicable□N/A

InRMB0’000

Nameofinvestment

project

Explainthesituationandreasonforfailuretoachievetheplannedprogressanddesiredresultbyitem(includingthereasonforchoosing“N/A”for“Whethertheprojecthasproducedthedesiredresult”)

meetingofshareholdersoftheCompanyheldonMay31,2024.Contentresourcepoolexpansionproject:OnApril18,2024,the20

th

meetingofthe4

thBoardofDirectorsandthe18

thmeetingofthe4

th

BoardofSupervisorsconsideredandadoptedtheProposalonAdjustingtheImplementationMethodoftheContentResourcePoolExpansionProject.Duetocommercialnegotiations,schedulingplanningandotherreasons,thefilmsandTVdramasthattheCompanyintendedtopurchaseweresubjecttorescheduling,repertoireschanges,etc.Accordingtotheactualimplementationoftheproject,theCompanyadjustedtheimplementationmethodofthecontentresourcepoolexpansionproject,andcontinuedtousethebalanceoftheraisedfundsofSub-project1“Grade-SFilmandTVDramaCopyrightProcurementProject”forSub-project2,andadjustedtheimplementationmethodofSub-project2“Grade-AFilmandTVDramaCopyrightSelf-production(includingCustomization)andProcurementProject”into“Grade-S/Grade-AFilmandTVDramaCopyrightSelf-production(includingCustomization)andProcurementProject”.AspecialmeetingoftheCompany’sindependentdirectorsconsideredandadoptedtheproposal,andthesponsorissuedaverificationopinion.Theproposalwasapprovedatthe2023generalmeetingofshareholdersoftheCompanyheldonMay31,2024.OnOctober24,2024,the24

thmeetingofthe4

thBoardofDirectorsandthe21

st

meetingofthe4

thBoardofSupervisorsconsideredandapprovedtheProposalforAdjustingtheInternalInvestmentStructureoftheContentResourcePoolExpansionProject.TheoutstandingamountofRMB20millionpayableforthe“Grade-SFilmandTVDramaCopyrightProcurementProject”willbepaidwithself-ownedfunds,whiletheraisedfundofRMB20millionoriginallyallocatedforthispurposewillcontinuetobeusedinthe“Grade-S/Grade-AFilmandTVDramaCopyrightSelf-production(includingCustomization)andProcurementProject”.Thefunduseplanofthe“Grade-S/Grade-AFilmandTVDramaCopyrightSelf-production(includingCustomization)andProcurementProject”wasadjustedaccordinglybasedontheadjustmentoftheinternalinvestmentstructureandprogressoftheproject.Thesponsorissuedaverificationopinion.

Problemsorothermattersexistingintheuseanddisclosureofofferingproceeds

Note:

1.Theprojecthasbeencompleted.

2.TheMangoTVcloudstorageandmulti-screenbroadcastplatformprojectaimsatfullyimprovingusers’experienceofwatchingacrosstheplatform,noeconomicbenefitswillbeyieldeddirectly,soitisimpossibletocalculatethebenefitsofsuchprojectseparately.

3.TheMangoTVsmartaudio&videomediaserviceplatformprojectwasauthorizedinthefirstquarterof2022,andfundshavebeeninvestedintheprojectthereaftercontinuously.Theprojectaimsatimprovingoverallplatform-levelsolutionsinultraHDvideo,interactivevideoandre-consumablevideointhefuture,acceleratingtheintegrationofMangoTVinaspectsofresources,technology,services,businessandflow,andnoeconomicbenefitswillbeyieldeddirectly,soitisimpossibletocalculatethebenefitsofsuchprojectseparately.

(3)Changesinthefund-raisinginvestmentprojects□Applicable?N/ATherehasbeennochangeinthefund-raisinginvestmentprojectsduringthereportingperiod.

VIII.Saleofmaterialassetsandequities

1.Saleofmaterialassets

?Applicable?N/ANomaterialassethasbeensoldduringthereportingperiod.

2.Saleofmaterialequities

?Applicable?N/A

IX.Analysisofmajorsubsidiariesandassociates

?Applicable?N/AMajorsubsidiariesandassociatesrepresentingmorethan10%ofthenetprofitoftheCompany:

InRMB0’000

Company

name

Subsidiariesacquiredordisposedofduringthereportingperiod:

?Applicable?N/AParticularsofmajorsubsidiariesandassociates:

X.StructuredentitiescontrolledbytheCompany?Applicable?N/A

XI.ProspectsforfuturedevelopmentoftheCompany

I.Prospectsforfuturedevelopment

1.HoldhighthebannerandwriteanewchapterinmainstreampropagandaAmediaoutletcontrolledbythePartyshalladheretotheleadershipofthePartywithstrictloyalty,nurturerootsandforgespirits,guidedbyprinciple.AsaParty-controlledmainstreammediaoutlet,wewillalwayskeepinmindourresponsibilitiesandmissions,andgoallouttoshapeanewpatternofmainstreampublicopinions,raisetheideologicalbannerhigher,strengthenpositiveenergyandamplifythemainmelody.WewillvigorouslypublicizeandinterpretXiJinpingThoughtonSocialismwithChineseCharacteristicsforaNewEra,furtherimprovethe“headlineproject”;carryforwardculturalself-confidence,andexploretheoriginofculturalheritage,integratetheexcellenttraditionalChinesecultureintoinnovativecontentforthenewera.Underthetheme“ChineseModernization:ABrightPath2025”,wewillcreatemorepowerfulandwidelydisseminatedmainstreampropagandacontent,andproducemoreMangobrandedexcellentmainmelodyworks.

2.Upholdfundamentalprinciplesandbreaknewground,andstrivetowardsnewheightsincontentcreationandproduction.Wewillcontinuetoexploretheoptimalcontentproductionorganizationregimes,vigorouslypromotetheinnovationindramasandvarietyshowstoreachnewheights;activelyimplementthe“TrackManager”regime,innovateinandupgradethe“GenerationN”varietyshows,ensurethattheproportionofinnovativecontentisabove40%,createwhollynewhits,andcontinuouslyconsolidateourdominantpositioninthevarietyshowindustry;furtherenhancethedevelopmentanddeploymentoftop-tierprojects,steadilyimplementthebigdramastrategy,promotethedevelopmentofhigh-qualitylow-costworks,andfosterauserperceptionof“watchingvarietyshowsonMango,alsowatchinggooddramasonMango”.Wewillfurtherdeepenourdeploymentinthetrackofmicroandshortcontent,promotethegrowthofmicrodramasinbothquantityandquality,andstrivetogainin-depthadvantagesinthe“long,mediumandshort”videocontentecosystemrapidly.MangoTVwillimplementthe“theater-style+premiumproduct”strategy,buildfourthemetheatersfocusingonself-producedpremiumdramas;adoptawhollynewprofit-sharingcooperationmodelforpremiummicroshortdramas,andbuildadiversifiedecosystemofmicrodramasincollaborationwiththepeersfromthreedimensions,namelyincreasingtheearningsoftheauthors,enhanceresourcesupport,andinnovatingintheofcooperationmodel.

3.TakesteadyandincrementalstepstocreateanewgrowthengineFromtheperspectiveofthedevelopmenttrendofthelongvideoindustry,themembershipbusinesshassubstantialgrowthpotential,anddemonstratesstrongresilienceagainstthefluctuationsofeconomiccycleandtheadvertisingmarket.Currently,weareinastageoftransitionfromtheoldgrowthenginetothenewgrowthenginedrivenbyperformance,asthemembershipbusinessisgraduallyreplacingtraditionalbusinesseslikeadvertisingandbecominganewgrowthengine.WewillpromotethestablegrowthofmembersandsteadyriseoftheARPPUthroughastablesupplyofhigh-qualitycontentandcontinuousimprovementofthebenefitssystem,andensurethemembershiprevenuemaintainsahigh-qualitygrowthtrendwiththeriseofbothvolumeandprice.Inaddition,bybuildingamarketingecosystemof“long,medium,shortvideocontent”coveringbothonlineandofflinechannels,wewillsteadilyincreasetheonlinebroadcastrateanddurationofwatchtimeofpremiumlarge-screencontent,topromotethereboundofouradvertisingandoperatorbusinesses.

4.Adheretothetop-leveldesignandcultivatenewdrivingforcesforecologicalintegrationWewillcenterontheMangoTV,asourcoreplatform,enhancethesynergyeffectofourecosystem,improvetheclosedvalueloopfromcontentincubationtomonetization,andcompletethedevelopmentofanentireindustrychainforourIPs.GoldenEagleCartoonwillcreatecross-screenhitvarietyshowsandanimationIPs,andbuildanimmersiveviewmatrixthatintegratesstudytourresearchbases,themeparksandkidcompetitions.XiaomangE-commerceisactivelyintroducinginvestorstoaccelerateitsSeriesA2financingandplanforaSeriesBround.Itwilldeepenthebuildingofcirclebrands,promotespendingonvarietyshows,films,TVdramas,animations,gamesandotherderivativeproducts,buildaco-creationplatformforIPderivatives,andleadthenewspendingtrendsfortheyounggeneration.EE-Mediawillstrengthenitscoreadvantagesinmusiccopyrightoperationandfurtherbuildthewhole-cycleartisttrainingsystem.Happigowillfurtheritsstrategictransformationtowardsthesilver-hairedeconomy,andbuilda“content+service+product”elderlyconsumerecosystem.

5.ContinuetousetechnologiestobuildanewdigitalandintelligentcommunicationecosystemAmidthevigorousintegrateddevelopmentofcultureandtechnologyinHunan,thebuildingofatop-tierintelligentdigitalandcommunicationplatformisnotonlyamajortaskofthestrategyfortheintegrationofcultureandtechnology,butalsobringsaboutopportunitiesfordevelopment.Wewillleverageouradvantagesindiversebusinessscenariosandresourceendowments,createanew“digitalandintelligentproduction”modelintegrating“AIGC+mixedreality+virtualhuman+digitalassetlibrary”,increasetheapplicationofnewtechnologiesincontentinnovation,andexplorethewaystogiverisetonewtypesofculturaloperationbynewtechnologies.Inordertobetterseizethestrategicopportunitiesandsolidlypromotethein-depthintegrationofcultureandtechnology,wehavekeptgreatreservesofkeyprojects,suchas“MangoPi”gameinteractiveplatform,Mangostrategicmicrodramaprojects,andcreationanddisseminationofcartoonIPcontentbasedonexcellenttraditionalChineseculture.

6.Forgeahead,delvedeep,andimprovetheeffectivenessofinternationalcommunicationTogoglobalisnotonlyamovemadebyustoimplementthenationalstrategy,butalsoanimportantwayforustoseekmarketandgrowth.Wewill,inrelianceontheMangoTVInternationalApp,strivetoachievegrowthofuserbaseonthebasisofIP-based,diversifiedandinternationalcontent,andestablishadedicatedcompanyresponsibleforrunningtheMangoTVInternationalApp,tovigorouslyimplementthe“MangoThree-YearActionPlantoGoGlobal(2025-2027)”,developamoreintelligent,diversifiedinteractiveplatformcoveringtheentirechainonthebasisofAIlargemodels,intelligentproduction,blockchainandothernewtechnologies,andstrivetodoublethedailyactiveusersoftheMangoTVInternationalAppforthreeconsecutiveyears.

II.Potentialrisksandcountermeasures

1.Risksofimpactofeconomiccycles.TheadvertisingbudgetofbusinesscustomersandconsumptionpreferenceofendusersofourInternetvideobusinessarecloselyrelatedtothemacroeconomiccycles.Inrecentyears,China’seconomyhasmaintainedmedium-to-highspeedofdevelopment,andtheInternetmediaindustryhasrealizedrapidgrowth.However,giventheeconomiccycles,ourbusinessdevelopmentmaystillbeaffectedtoacertainextent.Tothisend,wewillfullymakeforesightandplanningandcontinuouslyconsolidateourcorecompetitivenessintermsofcontent,products,talentsandtechnologiestoeffectivelycopewiththeimpactofeconomiccycles.

2.Riskofchangesinindustrialpolicies.Weoperateintheculturalandartindustry.Themarketplayersarerequiredtoconductrelevantbusinessinstrictaccordancewiththeindustrialregulatorypoliciesandobtainbroadcastlicensesbeforereleasingfilms,TVdramas,varietyshows.Anychangeinindustrialregulatorypolicieswillbringuncertaintiestoourcontentproduction,broadcastscheduleandmonetizationmodels.AsaParty-controlledmediaoutletandstate-ownedenterprise,wehaveheadstartadvantagesinpolicyresearch,andwilladheretothecorrectpoliticaldirection,directionofguidanceofpublicopinionanddirectionofvalues,andproduceandbroadcastprogramsinstrictcompliancewithrequirementsofindustrialpolicies.

3.Risksofmarketcompetition.TheInternetlongvideoindustrywitnessesfundamentalchangesinoperationalthinkingandunderlyinglogicsandentersanewstageofrationaldevelopmentintermsofindustrycompetition.Variousmajorvideoplatformsarefurtherstrengtheningcapabilitiesofproprietarycontentproduction,improvingoperationefficiencyandenhancingprofitability.Changesintheindustrialcompetitivesituationmayhaveanadverseimpactonourmarketsharesandprofitability.Asastate-ownedlongvideoplatform,wewillcontinuetopursuethevaluesguidingtheroleofmediaandinnovationinproprietarycontentandconsolidatedevelopmentadvantageswithcontentadvantages.

4.Riskofbusinessqualifications.Ourcertainbusinessesrequireandmaintainspecialbusinessqualifications.Ifweareunabletopromptlyreneworobtainnewbusinessqualificationsuponexpirationoftherelevantexistingbusinessqualifications,ourbusinessdevelopmentmaybeadverselyaffected.Wewillenhancebusinessqualificationmanagement,workoutascientificplanforapplyingforbusinessqualifications,andincreasecommunicationswiththecompetentbusinessqualificationsauthoritiestopromptlyrenewbusinessqualificationsuponexpirationthereof.

5.Risksofreturnoninvestment.Thebroadcasteffectofaudiovisualcontentincludingfilms,TVdramasandvarietyshowsishighlyuncertainbecauseitisaffectedbyseveralfactorssuchasprogramquality,userpreferenceandpublicopinionenvironment.Theproductionofaudiovisualcontentandtheprocurementofcopyrighthavetheinherentcharacteristicsofthehugeamountofasingleinvestment,alongperiodofreturnoninvestmentandnon-predictabilityofmarketreaction,amongothers,sothereturnoninvestmentisgreatlyuncertain.Asaresult,wehavefirmlycontrolledcontentproductionelementsinthewholeprocess,establishedacomprehensiveappraisalsystemtofocusonthecontentinput-outputratioandminimizedinvestmentrisks.

6.Riskoftechnologyupgrading.Alongwiththematurityandapplicationofmetaverse,AIGCandothertechnologies,newbusinesspatternsandbusinessmodelswillbringwhollynewculturalandentertainmentexperiencestousers.Ifwefailtokeepupwiththetrendoftechnologyupgrading,thecommercialremodelingbroughtbytechnologyupgradingmayhaveanadverseeffectonouroperation.Wehaveestablishedtheinnovationresearchinstitutetoenhanceresearchonnewtechnologies,newmodelsandfuturetrendsoftheindustry,makejudgmentsandarrangementsinadvance,andgraspdevelopmentopportunitiesbroughtbytechnologyupgrading.

7.Riskofoutflowoftalents.Thenewmediabusiness,filmandTVdramaproduction,andartistagencybusinessconductedbyushavehighrequirementsfortheprofessionallevelsofpractitioners,sotheoutflowofcorepersonnelcouldaffecttheconductofourbusinesstoacertaindegree.Wehaveestablishedanopenandinnovativeincentivemechanism,auniqueself-motivationmechanismandacontentecosystemsuitableforcreativetalentstoreleasetheirpotential,soastoarousetheenthusiasmandcreativityofcorepersonnelwhileretainingthem.

8.Riskofinfringementonintellectualpropertyrights.Ourprimarybusinessinvolvestheuseofcopyrightofaudiovisualprograms,sothepurchasedcopyrightmayhavedefectsandinfringeontheinterestsoflegalrightsholders.Meanwhile,thereexistinfringementsoncopyrightoftheprogramstowhichwehavelegalrightsandinterests.Therefore,wehaveestablishedacopyrightprocurementmanagementsystem,regulatedtheprocurementprocess,conductedstrictexaminationofcopyrightsupportingdocuments,andspecifiedrelevantrightsandobligationsaswellasliabilityforbreachofcontract;andintensifiedeffortstosafeguardourintellectualpropertyrightsagainstcopyrightinfringements.XII.Investigation,research,communication,interviewandotheractivitiesduringthereportingperiod

?Applicable?N/A

Date

April22,2024

XIII.DevelopmentandimplementationofmarketvaluemanagementregulationsandcorporatevalueenhancementplanWhethertheCompanyhasdevelopedmarketvaluemanagementregulations??Yes?NoWhethertheCompanyhasdiscloseditscorporatevalueenhancementplan??Yes?No

Inordertostrengthenmarketvaluemanagementandenhanceourinvestmentvalue,wehavedevelopedtheMarketValueManagementRegulationspursuanttotheGuideonSelf-regulatorySupervisionforCompaniesListedontheShenzhenStockExchangeNo.10–MarketValueManagementandotherapplicableregulations,takingintoaccountouractualsituations,whichwasapprovedatthe27

th

meetingofthe4

thBoardofDirectors.XIV.ImplementationoftheactionplantoimprovethequalityandreturnsWhethertheCompanyhasdiscloseditsactionplanannouncementtoimprovethequalityandreturns??Yes?No

WedisclosedtheAnnouncementRegardingtheActionPlanto“ImproveBothQualityandReturns”onwww.cninfo.com.cnonMarch6,2024(AnnouncementNo.2024-004).Theprogressoftheimplementationoftheactionplanto“ImproveBothQualityandReturns”byusduringthereportingperiodisdetailedintheAnnouncementRegardingtheProgressoftheImplementationoftheActionPlandisclosedbyusonwww.cninfo.com.cnonthesameday.

SectionIVCorporateGovernance

I.Overviewofourcorporategovernance

Duringthereportingperiod,wehavecontinuouslyimprovedourcorporategovernancestructure,internalmanagementandcontrolpolicies,promotedcompliantoperationsandraisedthegovernancelevelinstrictaccordancewiththerequirementsoftheCompanyLaw,theSecuritiesLaw,theCodeofCorporateGovernanceforListedCompanies,theRulesGoverningtheListingofStocksontheChiNextBoardoftheShenzhenStockExchange,theGuideonSelf-regulatorySupervisionforCompaniesListedontheShenzhenStockExchangeNo.2–CompliantOperationsofListedCompaniesontheChiNextBoard,andotherapplicablelaws,regulationsandnormativedocuments.Asoftheendofthereportingperiod,ourcorporategovernancecomplieswiththeapplicablelaws,administrativeregulationsandtheprovisionsoftheCSRCregardingcorporategovernanceofthelistedcompanies.

1.Shareholdersandthegeneralmeetingofshareholders

WeconvenedandheldgeneralmeetingsofshareholdersinstrictaccordancewithourArticlesofAssociationandtheRulesofProcedureoftheGeneralMeetingofShareholdersandtreatedallshareholdersfairly.Wepermittedinvestorstoelecttovoteinpersonoronlineatourshareholders’meetings,soastoenableminorityinvestorstofullyexercisetheirvotingrights.Inconsideringmaterialmattersthataffecttheinterestsofminorityinvestors,thevotescastbythemwerecountedseparatelyanddisclosedontherelevantannouncementsontheresolutionsofourshareholders’meeting.

2.Relationshipwiththecontrollingshareholder

OurcontrollingshareholderexerciseditsrightsasacontributortotheCompanyinaccordancewithlawanddidnotdirectlyorindirectlyinterferewiththedecision-makingandbusinessactivitiesoftheCompanywithouttheauthorizationofthegeneralmeetingofshareholders.Weconductbusinessandoperateindependently,andareindependentofourcontrollingshareholderinbusiness,personnel,assets,organizationandfinance.

3.DirectorsandtheBoardofDirectors

OurBoardofDirectorshas9directors,including3independentdirectors.ThenumberofmembersandcompositionofourBoardofDirectorscomplywiththerequirementsoftheapplicablelawsandregulationsandourArticlesofAssociation.TheproceduresforconveningandholdingthemeetingsoftheBoardofDirectors,votingproceduresandresolutionscomplywiththerelevantprovisionsofthelaws,regulations,ArticlesofAssociationandtheRulesofProcedureoftheBoardofDirectors.AlldirectorsexercisetheirfunctionsandperformtheirdutiesandobligationswithgoodfaithanddiligentlyandinaccordancewiththeprovisionsoftheGuideonSelf-regulatorySupervisionforCompaniesListedontheShenzhenStockExchangeNo.2–CompliantOperationsofListedCompaniesontheChiNextBoard.

4.SupervisorsandtheBoardofSupervisors

TheBoardofSupervisorsoftheCompanyconsistsof3supervisors,including1employeesupervisor.ThenumberofmembersandcompositionoftheBoardofSupervisorsareincompliancewiththerequirementsofrelevantlawsandregulations.Duringthereportingperiod,oursupervisorsseriouslyperformedtheirduties,andactivelysupervisedourmaterialmatters,related-partytransactions,insiders,internalcontrolsandfinancialconditionandperformanceofdutiesbyourdirectorsandexecutivesincompliancewiththeapplicablelawsandregulations,pursuanttotheRulesofProcedureoftheBoardofSupervisors.

5.Establishmentandimplementationofinternalauditpolicy

OurBoardofDirectorshassetuptheAuditCommittee,responsibleforcommunications,supervision,meetingorganizationandexaminationsinrespectofinternalandexternalaudits.TheAuditDepartmentundertheAuditCommitteeisresponsibleforhandlingday-to-dayaffairs,andexaminationandsupervisionoftheestablishmentandimplementationofinternalcontrols,truthfulnessandcompletenessoffinancialinformationoftheCompany.

6.Performanceappraisalandincentiveandrestraintmechanisms

OurBoardofDirectorshassetuptheCompensationandAppraisalCommittee,responsiblefortheestablishmentofcompensationpolicies,determinationofcompensationplans,andperformanceappraisalofexecutives.Wehaveestablishedscientificperformanceappraisalstandardsandproceduresforexecutives.

7.Stakeholders

Wefullyrespectthelegitimaterightsandinterestsofstakeholders,andstrivetocoordinateandbalancetheinterestsofshareholders,employees,partners,thesocietyandotherstakeholders,andjointlypromoteourhigh-qualitydevelopment,thedetailsofwhichareshowninthe2024ESG&CSRReportdisclosedonwww.cninfo.com.cnonthesameday.

8.Informationdisclosureandtransparency

Wehaveestablishedtherelevantsystemsoninformationdisclosuremanagement,madethesecretaryoftheBoardofDirectorsberesponsiblefortheinformationdisclosureoftheCompany,anddesignatedwww.cninfo.com.cn,theChinaSecuritiesJournal,theShanghaiSecuritiesNews,theSecuritiesTimesandtheSecuritiesDailyasthewebsitesandnewspapersforustodiscloseinformation.Duringthereportingperiod,weperformedtheobligationsofinformationdisclosureinstrictaccordancewiththerequirementsoftheCSRCandtheShenzhenStockExchangeandensuredthatallshareholdershadequalopportunitiestoaccesstheinformationaboutus.

WehaveestablishedtheofficeoftheBoardofDirectorsinchargeofinvestorrelationsmanagementinstrictcompliancewiththeWorkGuidelinesfortheInvestorRelationsManagementofListedCompaniesandtherelevantsystemsoninvestorrelationsmanagementandisdedicatedtoenablinginvestorstoequallyaccessthebusinessmanagement,futuredevelopmentandotherinformationonusinabettermanner.Weactivelyrepliedtoimportantproblemsthatemployeescareaboutthroughtheinvestor“EasyIR”platform,investorconsultationtelephone,publicemailandothercommunicationchannels,aswellasthroughperformancebriefingsconvenedonaperiodicbasisandreceivinginvestigationsbyinvestorsfromtimetotime.

Duringthereportingperiod,wewereawardedA,thehighestlevel,inanannualassessmentofinformationdisclosureoflistedcompaniesforthe6

th

consecutiveyear,andawardedthe“2024BestPracticeCasesofDirectors’OfficeofListedCompanies”bytheChinaAssociationforPublicCompanies.IsthereanysignificantdifferencebetweentheactualcircumstanceofcorporategovernanceoftheCompanyandtheapplicablelaws,administrativeregulationsandtheprovisionsoftheCSRCregardingcorporategovernanceofthelistedcompanies??Yes?NoThereisnosignificantdifferencebetweentheactualcircumstanceofourcorporategovernanceandtheapplicablelaws,administrativeregulationsandtheprovisionsoftheCSRCregardingcorporategovernanceofthelistedcompanies.

II.TheCompany’sindependenceofitscontrollingshareholderandactualcontrollerinassets,personnel,finance,organizationandbusinessWeareindependentofourcontrollingshareholderandactualcontrollerinassets,personnel,finance,organizationandbusiness.TheCompany’sassetsarecompleteandfreefromanyencumbrance,andwehaveindependentpurchasing,productionandsalessystemsandsupportingfacilities;wehaveanindependenthumanresourcesdepartment;wehaveanindependentfinancedepartment,andhaveestablishedindependentfinancialandaccountingsystemandformulatedfinancialmanagementpolicies;wehavesetupinternalbodiesthataresuitableforourdevelopmentrequirementsandoperateindependently;weareanindependentcorporateentity,andconductbusinessandoperateindependently.Noneofourcontrollingshareholder,actualcontrollerortheiraffiliateshaveillegallyoccupiedourfundsorrequestedustoprovideanyguaranteeinviolationoftheapplicablelawsandregulations.III.Horizontalcompetition?Applicable?N/A

Typeofproblems

Coexistence

weremergedintoGBStobeitswholly-ownedsubsidiaries,andallinstitutionalassetsownedbyHunanBroadcastingSystemweredivestedandtransferredtoGBS,sothatthemanagementsystemof“onePartycommittee,twoentitiesandintegratedoperation”canberealized,andGBScanfurtherdevelop.AftertheintegrationofGBS,XiaoxiangFilmGroup(filmandtelevisioncontentproductionbusiness)andHTBI(gamebusiness)underHBNHGhavesimilarbusinesseswiththeListedCompany.

IV.Annualandextraordinarygeneralmeetingsofshareholdersheldduringthereportingperiod

1.Generalmeetingsofshareholdersheldduringthereportingperiod

weremergedintoGBStobeitswholly-ownedsubsidiaries,andallinstitutionalassetsownedbyHunanBroadcastingSystemweredivestedandtransferredtoGBS,sothatthemanagementsystemof“onePartycommittee,twoentitiesandintegratedoperation”canberealized,andGBScanfurtherdevelop.AftertheintegrationofGBS,XiaoxiangFilmGroup(filmandtelevisioncontentproductionbusiness)andHTBI(gamebusiness)underHBNHGhavesimilarbusinesseswiththeListedCompany.Session

2.Extraordinarygeneralmeetingsofshareholdersconvenedattherequestofpreferredshareholderswithresumedvotingrights?Applicable?N/AV.Arrangementfordifferentialvotingrights

?Applicable?N/A

VI.Corporategovernanceofred-chipstructuredcompanies

?Applicable?N/AVII.Directors,supervisorsandexecutives

1.Particulars

Name

ZHONGHongming

Whetheranydirectororsupervisorretiredoranyexecutivewasremovedduringthereportingperiod??Yes?NoOnMay15,2024,Mr.LIUXinresignedasthedirector,andmemberoftherelevantcommitteesoftheBoardofDirectorsduetoworkadjustment.OnMay31,2024,Mr.ZHONGHongmingresignedastheindependentdirectorandmemberoftherelevantcommitteesoftheBoardofDirectorsduetotheexpirationofhistermofoffice.OnDecember26,2024,Mr.FANGFeiresignedastheChairmanoftheBoardofSupervisorsandnon-employeesupervisorduetoworkadjustment.OnDecember26,2024,Mr.ZHANGShangbinresignedasthenon-employeesupervisorduetoworkadjustment.Changesindirectors,supervisorsandexecutives?Applicable?N/A

Name

2.Positionsheld

Professionalbackgroundandmainworkexperienceofourcurrentdirectors,supervisorsandexecutivesandmainpositionsheldbythemintheCompany:

DirectorsoftheCompany:

CAIHuaijun,male,borninDecember1977,memberoftheCommunistPartyofChina,doctor’sdegreeinmanagement;formerdirector,GeneralManagerandChiefEditorofMangoExcellentMediaCo.,Ltd.,SecretaryofthePartyCommittee,executivedirectorandGeneralManagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,andChairmanofXiaomangE-commerceCo.,Ltd.;isnowmemberofthePartyCommittee,GeneralManagerandVicePresidentofGoldenEagleBroadcastingSystemCo.,Ltd.(HunanBroadcastingSystem),SecretaryofthePartyCommitteeoftheSatelliteTVChannel,andDeputySecretaryandChairmanoftheBoardofDirectorsinMangoExcellentMediaCo.,Ltd.

DINGWenhua,male,borninApril1956,memberoftheCommunistPartyofChina,memberoftheChineseAcademyofEngineering,professor-levelseniorengineer,radio,filmandTVtechnologyexpert,formerchiefengineerinCCTV,isnowDeanoftheShenzhenUniversityCollegeofElectronicandInformationEngineeringandindependentdirectorofHisenseVisualTechnologyCo.,Ltd.,andhasbeenourindependentdirectorsinceJune2024.

XIAOXing,female,borninMarch1971,memberoftheCommunistPartyofChina,graduatedfromTsinghuaUniversity,aPhDinaccounting;joinedtheSchoolofEconomicsandManagementofTsinghuaUniversityin1997,successivelyactedasteachingassistant,lecturer,associateprofessor,tenuredassociateprofessorandtenuredprofessorthere;isnowprofessorandchiefoftheDepartmentofAccountingoftheSchoolofEconomicsandManagement,TsinghuaUniversity,andDirectoroftheInstituteforGlobalPrivateEquity,TsinghuaUniversity,memberoftheNationalAccountingProfessionalMasterEducationSteeringCommittee,memberoftheAccountingTeachingSteeringCommitteeoftheMinistryofEducation,executivedirectoroftheAccountingSocietyofChina,andindependentdirectorofLiAutoandKuaishouTechnology;andhasbeenourindependentdirectorsinceJanuary2019.

LIUYuhui,male,borninOctober1970,graduatedfromtheChineseAcademyofSocialSciencesmajoringinquantitativeeconomics,PhD;HeadoftheKeyFinancingLaboratory,theInstituteofFinance,theChineseAcademyofSocialSciencesfromAugust2003toApril2017;researchfellowoftheInstituteofEconomics,theChineseAcademyofSocialSciencesbetweenApril2017andApril2023;isnowmemberoftheExecutiveCounciloftheChinaChiefEconomistForum;andhasbeenourindependentdirectorsinceJanuary2019.

YANGYun,male,borninJuly1973,amemberoftheCommunistPartyofChina,holdsanMBAdegree,accountant;formerDeputyDirectoroftheEntertainmentChannelofHunanBroadcastingSystem,memberofthePartyCommitteeandDeputyGeneralManagerofMangoMediaCo.,Ltd.,DirectoroftheFinanceDepartmentofHunanBroadcastingSystem,HeadoftheAssetsandFinanceDepartmentofGoldenEagleBroadcastingSystemCo.,Ltd.,andtheChairmanoftheBoardofSupervisorsinMangoExcellentMediaCo.,Ltd.;isnowamemberofthePartyCommittee,DeputyGeneralManager,VicePresidentandSecretaryoftheGeneralPartyBranch,directorandGeneralManagerofMangoMediaCo.,Ltd.,directorofMangoExcellentMediaCo.,Ltd.andHunanTV&BroadcastIntermediaryCo.,Ltd.

SONGZichao,male,borninAugust1969,memberoftheCommunistPartyofChina,grade-1director,master’sdegreeinarts;formerDirectorofR&DCenter,ProductionSchedulingCenterandAdvertisingDepartment,DeputyDirectoroftheSatelliteTVchannelinHunanBroadcastingSystem,andSecretaryofthePartyCommitteeoftheSatelliteTVChannelatGoldenEagleBroadcastingSystemCo.,Ltd.(HunanBroadcastingSystem);isnowDeputySecretaryofthePartyCommitteeandDirectoroftheSatelliteTVChannelatGoldenEagleBroadcastingSystemCo.,Ltd.(HunanBroadcastingSystem),DeputySecretaryofthePartyCommitteeanddirectorofMangoExcellentMediaCo.,Ltd.

LIANGDeping,male,borninFebruary1979,memberoftheCommunistPartyofChina,MBA,formerDeputyGeneralManagerandFinanceDirector,ExecutiveDeputyGeneralManagerofMangoExcellentMediaCo.,Ltd.,memberofthePartyCommittee,DeputyGeneralManagerandFinanceDirectorofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,andSecretaryofthePartyCommitteeandexecutivedirectorofHappigoCo.,Ltd.;isnowmemberofthePartyCommittee,directorandGeneralManagerofMangoExcellentMediaCo.,Ltd.,SecretaryofthePartyCommittee,executivedirectorandGeneralManagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,PartysecretaryanddirectorofGoldenEagleBroadcastingSystem,directorofXiaomangE-commerceCo.,Ltd.,andmemberofthePartyCommitteeoftheSatelliteTVChannelatGoldenEagleBroadcastingSystemCo.,Ltd.(HunanBroadcastingSystem).

SHENWenhai,male,borninMarch1971,memberoftheCommunistPartyofChina,master’sdegree,formerDirectorandDeputyGeneralManagerofChinaMobileCommunicationsGroupFujianCo.,Ltd.,memberoftheStandingCommitteeoftheShaotongMunicipalPartyCommittee,ViceMayoroftheShaotongMunicipality,DeputyDirectorofChinaMobileXiong’anNewAreaOffice,andGeneralManageroftheDevelopmentStrategyDepartmentofChinaMobileCommunicationsGroupCo.,Ltd.;isnowPartysecretaryandChairmanofChinaMobileMiguCo.,Ltd.,andhasbeenourdirectorsinceJune2024.

PENGJian,male,borninNovember1972,memberoftheCommunistPartyofChina,undergraduate;formerDeputyDirectorofDivisionIVofHunanCommissionerOfficeoftheMinistryofFinance,full-timeDeputySecretaryofthePartyCommitteeofHunanCommissionerOfficeoftheMinistryofFinance,full-timeDeputySecretaryofthePartyCommitteeofHunanRegulatoryBureauoftheMinistryofFinance;isnowAssistanttotheGeneralManagerofHunanChasingFinancialHoldingGroupCo.,Ltd.;andourdirectorsinceMay2022.

SupervisorsoftheCompanies:

TANLi,female,borninNovember1980,memberoftheCommunistPartyofChina,master’sdegree,senioraccountant;formerDirectoroftheAssetandFinanceDepartmentofMangoMediaCo.,Ltd.,andDeputyDirectoroftheAuditDepartmentofGoldenEagleBroadcastingSystemCo.,Ltd.(HunanBroadcastingSystem);isnowDirectoroftheAuditDepartmentofGoldenEagleBroadcastingSystemCo.,Ltd.(HunanBroadcastingSystem),andsupervisorofMangoMediaCo.,Ltd.;andhasbeenourChairmanoftheBoardofSupervisorssinceDecember2024.

ZOUQinghua,male,borninJune1970,memberoftheCommunistPartyofChina,undergraduate;formerDirectorofthePublicComplaintsOffice,DirectoroftheAdministrativeEfficiencySupervisionOfficeandDirectoroftheSixthDisciplineInspectionOfficeoftheHengyangMunicipalCommissionforDisciplineInspectionofCPC,memberoftheLeadingPartyMembers’GroupoftheHengyangMunicipalDevelopmentandReformCommission,DirectoroftheHengyangMunicipalOfficeofEconomicDevelopmentEnvironmentOptimization,memberofthePartyCommittee,SecretaryoftheCommissionforDisciplineInspectionandChairmanoftheBoardofSupervisorsofHunanCableTVNetwork(Group)Co.,Ltd.,andDeputySecretaryandDirectoroftheDisciplineInspectionOfficeoftheCommissionforDisciplineInspectionofHunanTV&BroadcastIntermediaryCo.,Ltd.;isnowmemberofthePartyCommitteeandSecretaryoftheCommissionforDisciplineInspectionofMangoExcellentMediaCo.,Ltd.;andhasbeenoursupervisorsinceDecember2024.

XIEShaoqiang,male,borninMarch1985,memberoftheCommunistPartyofChina,undergraduate;formerGeneralManageroftheLargeMembershipCenter,GeneralManageroftheOperatorNetworkCenterandGeneralManageroftheSmartLarge-ScreenCenterofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,GeneralManagerofXiaomangE-commerceCo.,Ltd.,DeputyChiefEditorandGeneralManageroftheBrandPromotionCenterofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.;isnowDeputyGeneralManagerofHunanHappyAvantGardeMediaCo.,Ltd.

Executives(otherthanthosewhoserveontheBoardofDirectorsconcurrently)oftheCompany:

ZHENGHuaping,male,borninOctober1976,memberoftheCommunistPartyofChina,holdsamaster’sdegreeinphilosophy;formerDeputyChiefofMangoMediaRestructuringandListingOffice,DeputyDirectoroftheChiefEditorOfficeoftheHunanSatelliteTVChannel,DeputyDirectorofHBSProgramTransactionManagementCenter,andChairmanandGeneralManagerofShanghaiMangofunTechnologyCo.,Ltd.;isnowamemberofthePartyCommittee,ChiefEditorandDeputyGeneralManagerofMangoExcellentMediaCo.,Ltd.,memberofthePartyCommittee,ChiefEditorandDeputyGeneralManagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,ViceChairmanoftheBoardofDirectorsofXiaomangE-commerceCo.,Ltd.,andmemberandChiefEditorofthePartyCommitteeoftheSatelliteTVChannelatGoldenEagleBroadcastingSystemCo.,Ltd.(HunanBroadcastingSystem).

ZHOUHai,male,borninNovember1976,memberoftheCommunistPartyofChina,holdsamaster’sdegreeinlaw,literaryeditorofsecondrank;formerDirectoroftheChiefEditorOffice,AssistanttotheDirectorandDirectoroftheChiefEditorOfficeoftheSatelliteTVChannelinHunanBroadcastingSystem,memberofthePartyCommittee,DeputyDirectorandDirectoroftheChiefEditorOfficeoftheSatelliteTVChannelatGoldenEagleBroadcastingSystemCo.,Ltd.(HunanBroadcastingSystem),memberofthePartyCommitteeandSecretaryoftheDisciplineInspectionCommitteeofMangoExcellentMediaCo.,Ltd.;isnowamemberofthePartyCommitteeandDeputyGeneralManagerofMangoExcellentMediaCo.,Ltd.,executivedirectorofMangoStudiosCultureCo.,Ltd.,andmemberofthePartyCommitteeoftheSatelliteTVChannelatGoldenEagleBroadcastingSystemCo.,Ltd.(HunanBroadcastingSystem).

ZHANGZhihong,male,borninSeptember1977,memberoftheCommunistPartyofChina,holdsamaster’sdegreeinmanagement;formerSeniorDirectoroftheAssetsandFinanceDepartment,GeneralManageroftheFinanceCenter,andFinanceDirectorofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,andDeputyGeneralManagerandFinanceDirectorofHappySunshineXingmangInteractiveEntertainmentMediaCo.,Ltd.;isnowDeputyGeneralManager,FinanceDirectorandBoardSecretaryofMangoExcellentMediaCo.,Ltd,memberofthePartyCommittee,DeputyGeneralManagerandFinanceDirectorofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.,andthedirectorofXiaomangE-commerceCo.,Ltd.

SHENYadong,male,borninJune1980,memberoftheCommunistPartyofChina,holdsamaster’sdegreeinlaw;formerDeputyGeneralManageroftheProgramDepartmentoftheChiefEditorOfficeoftheSatelliteTVChannelatHunanBroadcastingSystem,HeadofCopyrightManagementDepartmentofHBSProgramTransactionManagementCenter,DeputyGeneralManagerofShanghaiEE-MediaCo.,Ltd.,No.1DeputyDirectorofLegalAffairDepartmentofGoldenEagleBroadcastingSystemCo.,Ltd.,AssistanttoGeneralManagerofMangoExcellentMediaCo.,Ltd.,andGeneralManagerofShanghaiEE-MediaCo.,Ltd.;isnowDeputyGeneralManagerofMangoExcellentMediaCo.,Ltd.,andexecutivedirectorofShanghaiEE-MediaCo.,Ltd.

LUOZejun,male,borninFebruary1971,memberoftheCommunistPartyofChina,undergraduate;formerDirectoroftheSecurityDepartmentofHunanEconomicTVChannel,DeputyDirectorofHBSUrbanChannel,ExecutiveDeputyGeneralManager,SecretaryoftheGeneralPartyBranch,andGeneralManagerofHunanRadio,Film&TelevisionPropertyManagementCenter,andDirectorofHBSLogisticsSupportCenter,andmemberofthePartyCommitteeandDeputyGeneralManagerofHunanHappySunshineInteractiveEntertainmentMediaCo.,Ltd.;isnowDeputyGeneralManagerofMangoExcellentMediaCo.,Ltd.Positionsheldinshareholders:

?Applicable?N/A

Name

Positionsheldinotherentities:

?Applicable?N/A

LIUYuhui

Punishmentsimposedbythesecuritiesregulatoryauthoritiesinthepastthreeyearsonthedirectors,supervisorsandexecutivesoftheCompanycurrentlyinofficeorleavingofficeduringthereportingperiod:

?Applicable?N/A

3.Remunerationsofdirectors,supervisorsandexecutives

Decision-makingprocess,criteriafordeterminationandactualamountinrespectofremunerationsofdirectors,supervisorsandexecutivesDecision-makingprocess:Theremunerationsofourdirectorsandsupervisorsaredecidedbytheshareholders’meetingaccordingtoourArticlesofAssociationandotherrelevantprovisions;theremunerationsofexecutivesaredecidedbytheBoardofDirectors.TheremunerationsandsubsidiesofourdirectorsandsupervisorsareconsideredandapprovedbytheBoardofDirectors,andthensubmittedtothegeneralmeetingofshareholdersforapproval.Criteriafordeterminationoftheremunerations:Theremunerationsaredeterminedaccordingtoourbusinesssituations,scope,duties,importanceandresultofperformanceappraisal.Thesubsidiesofindependentdirectorsaredeterminedbyreferencetotheoveralllevelofthelistedcompaniesinthesameregionandindustry.Amountofremunerationsactuallypaid:Theremunerationsofdirectors,supervisorsandexecutivesholdingpostsintheCompanyarepaidbytheCompanyduringthereportingperiod.Wedonotpayanyadditionalsubsidytoourdirectorsandsupervisors.Theamountoftotalremunerationspaidin2024wasRMB24.4352million.Remunerationsofdirectors,supervisorsandexecutivespaidinthereportingperiod:

InRMB0’000

CAIHuaijun

Otherinformation:

?Applicable?N/A

VIII.Performanceofdutiesbythedirectorsduringthereportingperiod

1.MeetingsoftheBoardofDirectorsheldduringthereportingperiod

ofDirectors

2.AttendanceofthedirectorsatmeetingsoftheBoardofDirectorsandshareholders

ExplanationaboutabsencefromtwoconsecutivemeetingsoftheBoardofDirectors

3.ObjectionsraisedbythedirectorsregardingmattersoftheCompanyWhetheranydirectorhasraisedanyobjectionregardingmattersoftheCompany??Yes?NoNodirectorhasraisedanyobjectionregardingmattersoftheCompanyduringthereportingperiod.

4.OtherinformationregardingtheperformanceofdutiesbythedirectorsWhetherthesuggestionsputforwardbythedirectorshavebeenadoptedbytheCompany??Yes?NoExplanationabouttheadoptionornon-adoptionbytheCompanyofthesuggestionsputforwardbythedirectorsDuringthereportingperiod,ourdirectorshaveperformedtheirdutiesandobligationsdiligentlyinstrictaccordancewiththeCompanyLaw,theSecuritiesLawandotherapplicablelawsandregulationsandourArticlesofAssociation,activelyparticipatedintherelevantmeetings,andseriouslyconsideredallproposals.Ourindependentdirectorshavemaintainedcommunicationswithotherdirectors,executivesandrelatedpersonnelinmultipleways,askedforinformationaboutourproduction,operationandfinancialconditions,putforwardsuggestionsregardingourdevelopmentstrategiesandcorporategovernance,andexpressedindependentopinionsaboutrelated-partytransactions,profitdistributionpolicies,remunerationmanagementandothermatters,toeffectivelyensurethefairnessandobjectivenessofthedecisionsmadebytheBoardofDirectors.Ourdirectorsperformtheirdutieshonestlyandingoodfaith,safeguardthelegitimaterightsandinterestsoftheCompanyandallshareholders,andplayanactiveroleinpromotingouroperationalcomplianceandhealthydevelopment.

IX.ActivitiesofthecommitteesoftheBoardofDirectorsduringthereportingperiod

Committee

XIAOXing(Chairman),DINGWenhua,LIUYuhui,YANGYunandSONGZichao

X.ActivitiesoftheBoardofSupervisorsWhethertheBoardofSupervisorshasidentifiedanyriskinvolvingtheCompanyinitssupervisoryactivitiesduringthereportingperiod??Yes?NoTheBoardofSupervisorshasnotraisedanyobjectiontothesupervisorymattersduringthereportingperiod.

XI.Employees

1.Employeesandtheircompositionbyspecializationandeducationbackground

Employeesoftheparentcompany(person)attheendofthereportingperiod

2.Remunerationpolicy

Inordertoestablishandimprovethemarket-basedsalarydeterminationmechanismandinternalincentiveandrestraintmechanism,andeffectivelypromotethescientificdevelopmentoftheCompany,theCompanyhasformulatedandpromulgatedtheMeasureofGrossRemunerationDeterminationMechanismandManagementofMangoExcellentMediaCo.,Ltd.,whichprovidesdetailedprovisionsonthemethodofdeterminingthegrosspayrolloftheCompany’semployees,reasonableintervals,formula,managementproceduresandsupervisionandinspectionmechanisms.Thismeasurestrictlycomplieswiththerelevantprovisionsofthepolicydocumentsandadherestothebasicprinciplesof“strategicorientation,dual-effectunification,benefitssynergyanddynamicsupervision”.Accordingtothismeasure,theannualgrosspayrollsofemployeesoftheCompanyaredeterminedreasonablybytakingthetotalannualsalaryofthepreviousyearasthebasisandconsideringtheCompany’ssalary-incomeratioandmarketandindustrybenchmark,thecompletionoftheassessmentgoals,therateofvaluepreservationandappreciationofstate-ownedassets,laborcostproductionratioandotherfactorsinaccordancewiththeCompany’sdevelopmentstrategyandremunerationstrategy,annualproductionandoperationgoals,socialbenefits,economicbenefitsandotherfactors.

3.Trainingplan

TheCompanycontinuouslyestablishesandimprovesasystematicemployeetrainingsystemandcultivationsystem,andcarriesouttrainingworkbycategoriesandlevels.Basedonanin-depthunderstandingofthetrainingneedsofemployees,theCompanyhasdevelopedinterestingandpracticalcoursesforemployeesofdifferentfunctions,andestablishedacomprehensivetrainingsystem

coveringvocationaltraining,theoreticaleducation,professionaltraining,marketing,newtechnology,newmediaoperation,etc.,tosupportthecomprehensivedevelopmentoftheCompany’stalentsandenhanceemployees’senseofbelonging.

4.Outsourcing?Applicable?N/AXII.TheCompany’sprofitdistributionandcapitalizationofcapitalreserve

Policiesofprofitdistributionduringthereportingperiod,especiallythedevelopment,implementation,oradjustmentofcashdividenddistributionpolicies?Applicable?N/ADuringthereportingperiod,weimplementedthe2023profitdistributionplanasfollows:acashdividendofRMB1.8(inclusiveoftax)per10shares,orRMB336,729,746.70intotal,wasdistributedtoallshareholdersbasedonthetotalsharecapitalof1,870,720,815shares,withoutdistributinganybonussharesortransferringanycapitalreservetothesharecapital.

Specialexplanationforcashdividendpolicies

WhethertheCompany’sproposedprofitdistributionplanandproposedcapitalizationofcapitalreserveduringthereportingperiodareconsistentwithrelevantprovisionsofitsArticlesofAssociationanddividendmanagementmethods??Yes?No?N/AOurproposedprofitdistributionplanandproposedcapitalizationofcapitalreserveduringthereportingperiodareconsistentwithrelevantprovisionsofourArticlesofAssociationandotherregulations.Descriptionoftheprofitdistributionandcapitalizationofcapitalreserveduringthisyear

WhethertheCompanyhasmadeaprofitinthecurrentperiodandtheparenthasprofitsavailablefordistributiontotheshareholders,butdoesnotproposetodistributecashdividends??Applicable?N/AXIII.ImplementationoftheCompany’sequityincentiveplan,employeeshareholdingplanorotheremployeeincentivemeasures?Applicable?N/ATheCompanyhasnoequityincentiveplan,employeeshareholdingplanorotheremployeeincentivemeasuresaswellastheimplementationthereofduringthereportingperiod.XIV.Constructionandimplementationofinternalcontrolsystemduringthereportingperiod

1.ConstructionandimplementationofinternalcontrolsystemDuringthereportingperiod,theCompanyconscientiouslycomplieswithalllawsandregulationsaswellastheprovisionsoftheCompany’sinternalcontrolsystemtostandardizeoperations,optimizegovernanceandcontrolrisks.ThroughcomprehensiveimplementationoftheCompany’sinternalcontrolapplicationmanual,theCompanymakescontinuousreviewsandevaluationsontheimplementationeffectsoftheinternalcontrolsystem,continuestoimproveandoptimizevariousimportantbusinessprocessesinconjunctionwithbusinesschanges,andrevisesandupdatestheinternalcontrolapplicationmanual,inordertoensureitsinternalcontrolmanagementdevelopssynchronouslywithbusinesses,anditsinternalcontrolsystemiscomplete,compliantwithlawsandregulations,effectiveandfeasible.TheAuditDepartmentundertheAuditCommitteeoftheBoardofDirectorsoftheCompanycarriesoutindependentandobjectivesupervisionandevaluationwithintheCompanypursuanttoregulationsandsystemssuchastheBasicStandardsforEnterpriseInternalControl,InternalAuditStandards,theCompany’sAuditManagementSystemandManagementMeasuresforSelf-EvaluationoftheCompany’sInternalControl.InaccordancewiththedeterminationofmaterialdeficienciesintheCompany’sinternalcontroloverfinancialreport,theCompanyhasnomaterialdeficienciesininternalcontroloverfinancialreportonthebenchmarkdateoftheinternalcontrolevaluationreport,andtheCompanyhasmaintainedeffectiveinternalcontroloverfinancialreportinallmaterialaspectsundertherequirementsofStandardsforEnterpriseInternalControlandrelatedregulations.InaccordancewiththedeterminationofmaterialdeficienciesintheCompany’sinternalcontrolovernon-financialreport,theCompanyhasnomaterialdeficienciesininternalcontrolovernon-financialreportsonthebenchmarkdateoftheinternalcontrolevaluationreport.Therearenofactorsaffectingtheevaluationconclusionoftheeffectivenessofinternalcontrolfromthebenchmarkdateoftheinternalcontrolevaluationreporttotheissuedatethereof.

2.Detailsofmaterialinternalcontroldeficienciesidentifiedduringthereportingperiod

?Yes?No

XV.ManagementandcontrolofsubsidiariesbytheCompanyduringthereportingperiod

Companyname

XVI.Internalcontrolassessmentreportorinternalcontrolauditreport

1.Internalcontrolassessmentreport

Company’sconsolidatedfinancialstatements

2.Auditor’sreportoninternalcontrols?Applicable□N/A

Auditor’sopinionexpressedintheauditor’sreportoninternalcontrols

Didtheaccountingfirmissueamodifiedauditor’sreportoninternalcontrols??Yes?NoWhethertheauditor’sreportoninternalcontrolsissuedbytheaccountingfirmisconsistentwiththeopinionexpressedintheself-assessmentreportoftheBoardofDirectors??Yes?No

XVII.Rectificationofself-examinationproblemsregardingthespecialcampaigntoimprovethegovernanceoflistedcompaniesUnderrelevantrequirementsoftheAnnouncementonLaunchingaSpecialCampaigntoImprovetheGovernanceofListedCompanies(ZhengJianHui[2020]No.69)byChinaSecuritiesRegulatoryCommission(“CSRC”)andtheCircularonLaunchingaSpecialCampaigntoImprovetheGovernanceofListedCompanies(XiangZhengJianGongSiZi[2020]No.31)byHunanRegulatoryBureauofCSRC,theCompanyconscientiouslyorganizes,carefullyarrangesandactivelycarriesoutthespecialcampaigntoimprovethegovernanceoflistedcompanies.Throughself-examination,self-correctionandself-regulation,theCompanyhasstrengthenedtheendogenouspowerofcorporategovernanceandimprovedrulesofcorporategovernancesystem,thusagoodecologyofcorporategovernancehasbeenestablished,andalistedcompanygovernancestructurewitheachdepartmenttakingaccountabilityfortheirowndutiesandresponsibilities,coordinatedoperationandeffectivebalanceshasbeenfurtherimproved,soastosolidifythefoundationoftheCompany’shigh-qualitydevelopment.

Problems:TherewasnohorizontalcompetitionbetweenMangoMediaCo.,Ltd.asourcontrollingshareholderandtheListedCompany.MangoMediaCo.,Ltd.hasmadeawrittencommitmentonmattersrelatedtohorizontalcompetitionwiththeListedCompanytoavoidhorizontalcompetitionwiththeListedCompany.XiaoxiangFilmGroupunderGBSasourindirectcontrollingshareholderandHTBIhavesimilarbusinesseswiththeListedCompany.

Reasons:InaccordancewithrelevantnoticesandrepliedapprovalsissuedbytheGeneralOfficeoftheCPCHunanProvincialCommittee,theGeneralOfficeofthePeople’sGovernmentofHunanProvinceandtheSpecialPanelforReformofHunanProvincialCulturalSystemfrom2018,theCPCHunanProvincialCommitteeandthePeople’sGovernmentofHunanProvinceproposedtoreorganizetheCPCCommitteeofGoldenEagleBroadcastingSystemCo.,Ltd.touniversallyleadGoldenEagleBroadcastingSystem,XiaoxiangFilmGroupandHBNHG.ItwasagreedthatXiaoxiangFilmGroupandHBNHGweremergedintoGBStobeitswholly-ownedsubsidiaries,andallinstitutionalassetsownedbyHunanBroadcastingSystemweredivestedandtransferredtoGBS,sothatthemanagementsystemof“onePartycommittee,twoentitiesandintegratedoperation”canberealized,andGBScanfurtherdevelop.AftertheintegrationofGBS,XiaoxiangFilmGroup(filmandtelevisioncontentproductionbusiness)andHTBI(gamebusiness)underHBNHGhavesimilarbusinesseswiththeListedCompany.

Rectificationplan:GBShasissuedawrittencommitmentonmattersrelatedtohorizontalcompetitionwiththeListedCompanyduringthefreetransferbytheCompany’scontrollingshareholderofthestate-ownedshares,whichclearlydescribestheplanandscheduleforsolvingthehorizontalcompetitionwithkeydetailsreferringtoSectionVI“I.Fulfillmentofcommitments”.

SectionVEnvironmentalandSocialResponsibility

I.Significantenvironmentprotectionproblems

WhethertheListedCompanyanditssubsidiariesareinhighpollutionindustriesregulatedbytheStateDepartmentofEnvironmentalProtection??Yes?NoDescriptionofadministrativepenaltiesforenvironmentalproblemsduringthereportingperiod

Companyorsubsidiaries

OtherenvironmentinformationdisclosedwithreferencetootherentitiesengagedinhighpollutionindustriesNoneMeasurestakentoreduceitscarbonemissionsandtheireffectivenessduringthereportingperiod?Applicable?N/AReasonsfornotdisclosingotherenvironmentinformationNoneoftheCompanyoritssubsidiariesisamajorpolluteridentifiedbytheenvironmentalprotectionauthority.Duringthereportingperiod,theCompanyanditssubsidiariesreceivednopenaltiesduetoviolationoflawsandregulationsrelatedtoenvironmentprotection.II.Descriptionofsocialresponsibilities

Seethe2024ESG&CSRReportdisclosedonwww.cninfo.com.cnonthesameday.III.DescriptionofconsolidatingandexpandingachievementsofpovertyeradicationandruralrevitalizationSeethe2024ESG&CSRReportdisclosedonwww.cninfo.com.cnonthesameday.

SectionVIImportantEvents

I.FulfillmentofCommitments

1.Covenantsmadebytheactualcontrollers,shareholders,affiliatesandacquireroftheCompany,theCompanyitselfandotherrelatedpartiesthathavebeenfulfilledduringthereportingperiodorhavenotyetbeencompletelyfulfilledasattheendofthereportingperiod

?Applicable□N/A

Backgroundof

covenant

AcquisitionReportorEquityChangeReport

FundUse

meetsuchprovisions,IundertakethatIwillthenmakesupplementarycommitmentsinaccordancewiththelatestprovisions;(8)IundertakethatIwilleffectivelyimplementmeasurestocompensatefordilutedreturnsformulatedbytheCompanyandfulfillmycorrespondingcommitmentsonmeasurestocompensatefordilutedreturns.Besides,Iwill,incaseofviolatingorrefusingtofulfilltheabovecommitments,undertakethecorrespondingobligationsofexplanation,apologyandsooninaccordancewiththerelevantprovisions,andwillbeliableforcompensationasappropriateinaccordancewithiflossesarethuscausedtotheCompanyoritsshareholders.

enterprisescontrolledbyuscompeteswithbusinessoftheListedCompanyand/oritscontrolledenterprises,thenweandthechannelsandenterprisescontrolledbyuswillceaseengaginginanybusinesssimilarwithoridenticalwiththeprincipalbusinessoftheListedCompanyand/oritscontrolledenterprisestoavoidthehorizontalcompetitionbystoppingconductoftherelevantcompetitivebusiness,includingtherelevantcompetitivebusinessinthatofthelistedcompanyortransferringtherelevantcompetitivebusinesstoanyunrelatedthirdparty.

5.Weagreetobearandbeliableforalllosses,damageandcostscausedtotheListedCompanyand/oritscontrolledenterprisesduetoourbreachoftheaforesaidcommitments.”

HongshanCapitalInvestmentFundCenter(L.P.)

damagesorwoulddamagetheinterestsoftheIssuerand/oritssubordinateenterprisesbyutilizingthestatusoftheshareholder,therightstowhichtheshareholderisentitledandtheinformationobtainedinaccordancewiththerelevantlaws,regulationsandtheArticlesofAssociation,includingbutnotlimitedtothetradesecretsoftheIssuerand/oritssubordinateenterprises.MangoMediaagreestobearandbeliableforalllosses,damageandcostscausedtotheIssuerand/oritssubordinateenterprisesduetobreachoftheaforementionedcommitments.

2.Commitmentsonavoidinghorizontalcompetitionandconstraintmeasuresoftheactualcontroller

(1)LetterofOverallCommitmentsissuedbyHunanBroadcastingSystemOnMarch29,2012,HunanBroadcastingSystem,astheactualcontrolleroftheCompany,issuedtheLetterofCommitmentsonAvoidingHorizontalCompetition,undertakingthat:①HunanBroadcastingSystemanditsothersubordinateenterprisesotherthantheIssuerarenotengagedinanybusinessoractivityinanyformthatcompetesorwouldcompetewiththebusinessoftheIssuerand/oritssubordinateenterprisesdirectlyorindirectly.②HunanBroadcastingSystemwill,andprocurethatanyenterprisescontrolledbyHunanBroadcastingSystemwill,adopteffectivemeasurestoavoid:(A)engaginginanybusinessoractivitiesdirectlyorindirectlyinanyformthatcompetesorwouldcompetewiththebusinessoftheIssuerand/oritssubordinateenterprises,orholdinganyinterestsorbenefitsinsuchbusiness;(B)supportinganypersonsotherthantheIssuerand/oritssubordinateenterprisesinconductinganybusinessoractivitieswhichcompeteorwouldcompetewiththebusinesscurrentlyconductedorpresentlyproposedtobeconductedbytheIssuerand/oritssubordinateenterprises.③IfHunanBroadcastingSystemanditssubordinateenterpriseshaveanybusinessopportunityofcarryingout,participatinginorholdingsharesinanybusinessoractivitywhichwouldcompetewiththebusinessconductedbytheIssuerand/oritssubordinateenterprises,thentheIssuerand/oritssubordinateenterprisesshallhavepreferredrightswithrespecttosuchbusinessopportunity.HunanBroadcastingSystemagreestobearandbeliableforalllosses,damageandcostscausedtotheIssueranditssubordinateenterprisesduetobreachoftheaforementionedcommitments.(II)LetterofCommitmentonAvoidingFundUseThecontrollingshareholderandtheactualcontrolleroftheCompanyundertakethat:theywillstrictlycomplywiththeprovisionsofthelaws,regulations,normativedocumentsandtheCompany’srelevantrulesandsystems,notappropriateorusetheCompany’sassetsorresourcesinanyform,nordoanythingdirectlyorindirectlywhichharmsorwouldharmtheinterestsoftheCompanyandothershareholders.IftherightsandinterestsoftheCompanyorothershareholdersareharmedduetoabreachoftheaforementionedcommitmentsandundertakings,thecontrollingshareholderandtheactualcontrollerwillbeliableforcompensationinaccordancewiththelaw.

2.IftheCompanyhasmadeanyprofitforecastonitsassetsorprojectandthereportingperiodfallswithintheperiodofsuchprofitforecast,explanationaboutwhethertheforecastprofithasbeenachievedandtherelatedreasons?Applicable□N/A

Underlying

assetorproject

CommitmentsmadebytheshareholdersandcounterpartiesoftheCompanywithrespecttotheannualoperatingresultsoftheCompanyorrelatedassets:

?Applicable□N/ASeetheAnnouncementofAcquisitionof100%SharesofHunanGoldenEagleCartoonMediaCo.,Ltd.byCashandRelated-partyTransaction(AnnouncementNo.2023-046)disclosedonwww.cninfo.com.cnonJuly26,2023.Fulfillmentofthecommitmentonoperatingresultsandeffectontheassessmentofimpairmentlossongoodwill:

GoldenEagleCartoonhasfulfilledthecommitmentonoperatingresultsfor2024.

II.OccupationbytheControllingShareholdersandtheirAffiliatesoftheFundsoftheCompanyforNon-OperatingPurpose

□Applicable?N/AOurcontrollingshareholdersandtheiraffiliateshavenotoccupiedourfundsfornon-operatingpurposeduringthereportingperiod.

III.ExternalGuaranteesinViolationofRegulations□Applicable?N/ATheCompanyhasnoexternalguaranteesinviolationofregulationsduringthereportingperiod.

IV.ExplanationsfromtheBoardofDirectorsforthe“ModifiedAuditor’sReport”IssuedMostRecently

□Applicable?N/A

V.ExplanationsfromtheBoardofDirectors,theBoardofSupervisors,theIndependentDirectors(ifany)forthe“ModifiedAuditor’sReport”IssuedbytheEngagedAccountingFirmduringthereportingperiod

□Applicable?N/A

VI.ExplanationfromtheBoardofDirectorsforAccountingPoliciesandAccountingEstimateChangeandSignificantAccountingMistakeCorrection

□Applicable?N/A

VII.ExplanationaboutChangesintheScopeofConsolidationComparedwiththeFinancialReportforthePreviousYear

□Applicable?N/ADuringthereportingperiod,thescopeofconsolidationremainedunchanged.

VIII.EngagementandDismissaloftheAccountingFirmCurrentcertifiedpublicaccountants

Domesticcertifiedpublicaccountants

Whetherthecertifiedpublicaccountantischanged

□Yes?NoDescriptionofengagingcertifiedpublicaccountants,financialadvisor,orsponsorforinternalcontrol?Applicable□N/AWeengagedPan-ChinaCertifiedPublicAccountantsLLPasauditorofinternalcontrols,andpaidanauditfeeforinternalcontrolsofRMB400,000intotalthisyear.IX.DelistingSubsequenttotheDisclosureoftheAnnualReport

□Applicable?N/AX.BankruptcyandReorganization

□Applicable?N/ATheCompanyhasnomatterswithrespecttobankruptcyandreorganizationduringthereportingperiod.

XI.MaterialLitigationorArbitration□Applicable?N/ATheCompanyinvolvesinnomateriallitigationorarbitrationduringtheyear.

XII.PenaltyandRectification

□Applicable?N/ATheCompanyhasnopenaltyandrectificationduringthereportingperiod.

XIII.IntegrityoftheCompanyanditsControllingShareholderandActualController

□Applicable?N/AXIV.SignificantRelated-partyTransactions

1.Related-partytransactionsrelatedtodailyoperations?Applicable□N/A

Related-party

2.Related-partytransactionsinvolvingacquisitionorsaleofassetsorequities

□Applicable?N/ATherehasbeennorelated-partytransactioninvolvingacquisitionorsaleofassetsorequitiesduringthereportingperiod.

3.Related-partytransactionsinvolvingjointexternalinvestment

□Applicable?N/ATherehasnorelated-partytransactionsinvolvingjointexternalinvestmentduringthereportingperiod.

4.Debtsowedbyandtorelatedparties?Applicable□N/A

Whethertherearenon-operatingcreditsanddebitswithrelatedparties□Yes?NoTherewerenonon-operatingcreditsanddebitswithrelatedpartiesduringthereportingperiod.

5.Dealingswithaffiliatedfinancialcompanies

□Applicable?N/ATherehasbeennodeposit,loan,facilityorotherfinancialbusinessbetweenusandanyofouraffiliatedfinancialcompanies.

6.DealingswithfinancialcompaniescontrolledbytheCompanyanditsaffiliates

□Applicable?N/ATherehasbeennodeposit,loan,facilityorotherfinancialbusinessbetweenanyofourcontrolledfinancialcompaniesandaffiliates.

7.Othermaterialrelated-partytransactions□Applicable?N/ATherehasbeennoothermaterialrelated-partytransactionduringthereportingperiod.

XV.SignificantContractsandPerformancesThereof

1.Trusteeship,contractingandleasing

(1)Trusteeship

□Applicable?N/ANosuchcaseduringthereportingperiod.

(2)Contracting□Applicable?N/ANosuchcaseduringthereportingperiod.

(3)Leases

□Applicable?N/ANosuchcaseduringthereportingperiod.

2.Significantguarantee

□Applicable?N/ANosuchcaseduringthereportingperiod.

3.Entrustedmanagementofcashassets

(1)Entrustedwealthmanagement

□Applicable?N/ANosuchcaseduringthereportingperiod.

(2)Entrustedloans□Applicable?N/ANosuchcaseduringthereportingperiod.

4.Othersignificantcontracts

□Applicable?N/ANosuchcaseduringthereportingperiod.

XVI.DescriptionofOtherSignificantMatters

□Applicable?N/AThere’snoothersignificantmatterneedingtobeexplainedforthereportingperiod.

XVII.DescriptionofSignificantMattersoftheCompany’sSubsidiaries

?Applicable?N/ADuringthereportingperiod,ourwhollyownedsubsidiaryHappySunshinemadeanadditionalcapitalcontributionofRMB414,236,000toourcontrolledsubsidiaryXiaomangE-commercebymeansofdebttoequityswap,andtransferredthesharesheldbyitinXiaomangE-commercetous,whichtransactionsweredisclosedbyusintheAnnouncementofAdditionalCapitalContributiontoOurControlledSubsidiarybyMeansofDebttoEquitySwapandRelatedTransactions(AnnouncementNo.2024-038)onwww.cninfo.com.cn.Asoftheendofthereportingperiod,theadditionalcapitalcontributionandsharetransferwerecompleted,andwenowhold67.62%sharesofXiaomangE-commerce.

SectionVIIShareChangesandInformationofShareholders

I.Sharechanges

1.Sharechanges

Unit:Shares

Beforethischange

Reasonsforsharechanges

□Applicable?N/AApprovalofsharechanges

□Applicable?N/ADescriptionofregistrationofsharechanges

□Applicable?N/AEffectofsharechangesonfinancialindicatorsinthemostrecentyearandthemostrecentperiod,suchasbasicearningspershare,dilutedearningspershare,netassetspershareattributabletotheCompany’sshareholdersofordinaryshares

□Applicable?N/AOtherinformationthattheCompanydeemedasnecessary,orsecurityregulatorsrequiretobedisclosed□Applicable?N/A

2.Restrictedsharechanges

□Applicable?N/A

II.Sharesissuingandlisting

1.Securitiesissuingduringthereportingperiod(excludingpreferredshares)

□Applicable?N/A

2.ExplanationforchangesintheCompany’stotalshares,shareholderstructure,andstructureofassetsandliabilities

□Applicable?N/A

3.Currentsharessubjecttoemployeeshareownershipplan

□Applicable?N/A

III.Shareholdersandactualcontrollers

1.DescriptionoftheNumberoftheCompany’sshareholdersandsharesheldbythem

Unit:Shares

Totalordinaryshareholdersasoftheendoftheperiod

(LP)

RUIInsurance–Self-ownedfunds

Sharelendingviarefinancingbyholdersof5%ormoreoftheshares,top10shareholdersandtop10unrestrictedshareholders?Applicable□N/A

Unit:Shares

Changesintop10shareholdersandtop10unrestrictedshareholderscomparedtothepriorperiodduetolendingorreturnofsharesviarefinancing□Applicable?N/AWhethertheCompanyhasmadearrangementforvotingrightdifferences?□Applicable?N/AWhethertheCompany’stop10ordinaryshareholdersandtop10unrestrictedordinaryshareholdershaveengagedinanagreedrepurchasetransactionduringthereportingperiod?

□Yes?NoTheCompany’stop10ordinaryshareholdersandtop10unrestrictedordinaryshareholdershavenoagreedrepurchasetransactionduringthereportingperiod.

2.ControllingshareholderoftheCompany

Natureofthecontrollingshareholder:Localstate-ownedholdingcompanyTypeofthecontrollingshareholderLegalperson

MangoMediaCo.,Ltd.

Changeofthecontrollingshareholderduringthereportingperiod

□Applicable?N/ATherewasnochangeinourcontrollingshareholderduringthereportingperiod.

3.Actualcontrolleranditsacting-in-concertpartiesoftheCompany

Natureoftheactualcontroller:LocalstatecapitalmanagementinstitutionTypeofthecontrollingshareholder:Legalperson

Changeoftheactualcontrollerduringthereportingperiod

□Applicable?N/A

TherewasnochangeintheactualcontrolleroftheCompanyduringthereportingperiod.BlockdiagramfortheownershipandcontrollingrelationshipbetweentheCompanyandtheactualcontroller

TheCompanyiscontrolledbytheactualcontrollerthroughtrustfundsorotherassetmanagementmethods

□Applicable?N/A

4.TheCompany’scontrollingshareholderortop1shareholderanditsacting-in-concertpartiespledgedmorethan80%intotaloftheCompany’ssharesheldbythem

□Applicable?N/A

5.Otherinstitutionalshareholdersowningover10%ofshares

□Applicable?N/A

6.Restrictionsonshareholdingreductionofthecontrollingshareholder,actualcontroller,restructuringparties,andothercommitmentsubjects

□Applicable?N/A

IV.Specificimplementationofsharerepurchasesduringthereportingperiod

Implementationprogressofsharerepurchase

□Applicable?N/AProgressofreducingrepurchasedsharesbymeansofcentralizedauctiontrading

□Applicable?N/A

HunanState-ownedCulturalAssetsSupervisionand

AdministrationCommission

HunanState-ownedCulturalAssetsSupervisionand

AdministrationCommissionGoldenEagleBroadcastingSystemCo.,Ltd.

GoldenEagleBroadcastingSystemCo.,Ltd.

MangoMediaCo.,Ltd.

MangoMediaCo.,Ltd.100%shares

100%shares100%shares

100%shares

56.09%shares

56.09%sharesMangoExcellentMediaCo.,Ltd.

SectionVIIIPreferenceShares

□Applicable?N/ATheCompanyhasnopreferredsharesduringthereportingperiod.

SectionIXBonds

□Applicable?N/A

SectionXFinancialReportI.Auditor’sReport

Auditopinion

Auditor’sReportToallshareholdersofMangoExcellentMediaCo.,Ltd.:

I.AuditopinionWehaveauditedthefinancialstatementsofMangoExcellentMediaCo.,Ltd.(“MangoExcellentMedia”),whichcomprisetheconsolidatedandtheparentcompany’sbalancesheetsasatDecember31,2024,andtheconsolidatedandtheparentcompany’sincomestatements,theconsolidatedandtheparentcompany’sstatementsofcashflowandtheconsolidatedandtheparentcompany’sstatementsofchangesinowners’equityfortheyearthenended,andthenotestothefinancialstatements.

Inouropinion,theaccompanyingfinancialstatementsarepreparedinallmaterialrespectsinaccordancewithAccountingStandardsforBusinessEnterprisesandfairlypresenttheconsolidatedandtheparentcompany’sfinancialpositionasofDecember31,2024,andtheconsolidatedandtheparentcompany’soperatingresultsandcashflowsfortheyearthenended.II.BasisforOpinionWeconductedourauditinaccordancewithChinaStandardsonAuditing.Ourresponsibilitiesunderthosestandardsarefurtherdescribedinthe“Auditor’sResponsibilitiesfortheAuditoftheFinancialStatements”sectionofourreport.WeareindependentofMangoExcellentMediainaccordancewiththeCodeofEthicsforChineseInstituteofCertifiedPublicAccountants(“theCode”),andwehavefulfilledourotherethicalresponsibilitiesinaccordancewiththeCode.Webelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforouropinion.

III.KeyAuditMatters

Keyauditmattersarethosemattersthat,inourprofessionaljudgment,areofmostsignificanceinourauditofthefinancialstatementsforthecurrentperiod.Thesematterswereaddressedinthecontextofourauditofthefinancialstatementsasawhole,andinformingouropinionthereon,andwedonotexpressaseparateopiniononthesematters.

(I)Revenuerecognition

1.Descriptions

DetailsofrelevantinformationaredisclosedinNoteIII(XXIII),V(II)1andXIVtothefinancialstatements.

TheoperatingrevenueofMangoExcellentMediaismainlyfromnewmediaplatformoperation,newmediainteractiveentertainmentcontentproductionandmediaretail,etc.In2024,theoperatingrevenueofMangoExcellentMediaamountedtoRMB14,079,689,600,ofwhichtheoperatingrevenuefromthesegmentsincludingnewmediaplatformoperationandnewmediainteractiveentertainmentcontentproductionamountedtoRMB11,441,130,900,accountingfor81.26%thereof.

AstheoperatingrevenueisoneofMangoExcellentMedia’sKPIs,theremaybeaninherentriskthatthemanagementofMangoExcellentMedia(“management”)mayrecognizetherevenueinappropriatelytoachievespecificobjectivesorexpectations.Meanwhile,revenuerecognitionalsoneedscomplexinformationsystemsandsignificantmanagementjudgment.Therefore,weidentifiedrevenuerecognitionasakeyauditmatter.

2.Auditresponse

Ourauditproceduresrelatedtorevenuerecognitionincludedthefollowing,amongothers:

(1)Understandthekeyinternalcontrolsrelatedtorevenuerecognition,evaluatethedesignofthosecontrols,determinewhethertheyareimplemented,andtesttheoperationaleffectivenessoftherelevantinternalcontrols;

(2)Testgeneralinformationsystemcontrolsandapplicationcontrolsrelatedtotherevenuerecognitionprocessbyvirtueoftheworkresultsofthein-houseinformationtechnologyexperts;

(3)Examinemajorsalescontracts,understandthemajortermsorconditionsthereof,andevaluatewhetherrevenuerecognitionmethodsareproper;

(4)Implementsubstantiveanalysisproceduresforoperatingrevenueandgrossmarginbymonth,product,customer,etc.,toidentifywhethertherearesignificantorunusualfluctuationsandtofindoutthecauses;

(5)Examinethesupportingdocuments,suchascontracts,licenses,settlements,receiptsandsign-offs,relatedtodifferentkindsofrevenuesonasamplebasis,andpayattentiontothebusinesscontentoftherelatedsalesandtheircommercialreasonableness;

(6)Inconjunctionwiththeaccountsreceivableconfirmationprocedures,sendconfirmationrequeststoverifythesalesrevenuesonasamplebasis;

(7)Conductthecut-offtesttoevaluatewhethertheoperatingrevenuesarerecognizedappropriately;

(8)Obtainarecordofsalesreturnsafterthebalancesheetdatetocheckifthereisanyinstancethatconditionsforrevenuerecognitionwerenotmetatthebalancesheetdate;and

(9)Checkwhetherinformationrelatingtooperatingrevenueisproperlypresentedanddisclosedinthefinancialstatements.

(II)Recognitionofdeferredtaxassets

1.DescriptionsDetailsofrelevantinformationaredisclosedinNoteIII(XXVII)andNoteV(I)18tothefinancialstatements.AsofDecember31,2024,MangoExcellentMediarecognizedRMB1,206,664,900ofdeferredtaxassetsintotal,mainlyarisingfromtemporarydifferencesbetweentheaccountingamortizationapproachforfilmandTVdramacopyrightandtheamortizationapproachsetforthintaxlaw.SincetherecognitionofdeferredtaxassetsinvolvescomplicatedcalculationofdifferencesbetweentheaccountingamortizationapproachforfilmandTVdramacopyrightandtheamortizationapproachsetforthintaxlaw,thejudgmentoftheavailabilityoftaxableincomeinfutureperiodsagainstwhichthedeductibletemporarydifferencescanbeutilizedinvolvesmaterialjudgmentofthemanagement,andtherecognitionofdeferredtaxassetshasasignificantonaccountingprofit,weidentifiedtherecognitionofdeferredtaxassetsasacriticalauditmatter.

2.AuditresponseOurauditproceduresrelatedtorecognitionofdeferredtaxassetsincludedthefollowing,amongothers:

(1)Understandandevaluatethemanagement’scalculationmethodsforthedifferencesbetweentheaccountingamortizationapproachforfilmandTVdramacopyrightandtheamortizationapproachsetforthintaxlaw,andreasonablenessofforecastandassumptionsinrespectoftaxableincomeavailableinfutureperiods;

(2)Reviewtheprocessofcalculationofdeferredtaxassets,andensuretheyareaccurateandcomplywiththerelevantprovisionsofthetaxlawandaccountingstandards;

(3)AnalyzeandassessthetemporarydifferencesrelatedtofilmandTVdramacopyright,andreviewthehistoricdata,assessthesustainabilityofforecastsandchangesintherelevanttaxlawsandregulations;and

(4)Checkwhetherinformationrelatingtodeferredtaxassetsisproperlypresentedanddisclosedinthefinancialstatements.

IV.OtherInformation

Themanagementisresponsibleforotherinformation.TheotherinformationcomprisestheinformationincludedintheAnnualReport,butdoesnotincludethefinancialstatementsandourauditor’sreportthereon.

Ouropiniononthefinancialstatementsdoesnotcovertheotherinformationandwedonotexpressanyformofassuranceconclusionthereon.

Inconnectionwithourauditofthefinancialstatements,ourresponsibilityistoreadtheotherinformationand,indoingso,considerwhethertheotherinformationismateriallyinconsistentwiththefinancialstatementsorourknowledgeobtainedintheauditorotherwiseappearstobemateriallymisstated.

If,basedontheworkwehaveperformed,weconcludethatthereisanymaterialmisstatementofotherinformation,wearerequiredtoreportthatfact.Wehavenothingtoreportinthisregard.

V.ResponsibilitiesoftheManagementandThoseChargedwithGovernancefortheFinancialStatements

ThemanagementofMangoExcellentMediaisresponsibleforthepreparationandfairpresentationofthefinancialstatementsinaccordancewithAccountingStandardsforBusinessEnterprises,anddesigning,implementing,andmaintaininginternalcontrolthatisnecessarytoenablethefinancialstatementsthatarefreefrommaterialmisstatement,whetherduetofraudorerror.

Inpreparingthefinancialstatements,themanagementisresponsibleforassessingMangoExcellentMedia’sabilitytocontinueasagoingconcern,disclosing,asapplicable,mattersrelatedtogoingconcernandusingthegoingconcernbasisofaccountingunlessthemanagementeitherintendstoliquidateMangoExcellentMediaortoceaseoperations,orhavenorealisticalternativebuttodoso.

ThosechargedwithgovernanceofMangoExcellentMedia(“thosechargedwithgovernance”)areresponsibleforoverseeingMangoExcellentMedia’sfinancialreportingprocess.

VI.Auditor’sResponsibilitiesfortheAuditoftheFinancialStatements

Ourobjectivesaretoobtainreasonableassuranceaboutwhetherthefinancialstatementsasawholearefreefrommaterialmisstatement,whetherduetofraudorerror,andtoissueanauditor’sreportthatincludesouropinionsolelytoyou.Reasonableassuranceisahighlevelofassurance,butisnotaguaranteethatanauditconductedinaccordancewithChinaStandardsonAuditingwillalwaysdetectamaterialmisstatementwhenitexists.Misstatementsmayarisefromfraudorerrorandareconsideredmaterialif,individuallyorintheaggregate,theycouldreasonablybeexpectedtoinfluencetheeconomicdecisionsofuserstakenonthebasisofthesefinancialstatements.

AspartofanauditinaccordancewithChinaStandardsonAuditing,weexerciseprofessionaljudgmentandmaintainprofessionalskepticismthroughouttheaudit.Wealso:

(I)Identifyandassesstherisksofmaterialmisstatementofthefinancialstatements,whetherduetofraudorerror,designandperformauditproceduresresponsivetothoserisks,andobtainauditevidencethatissufficientandappropriatetoprovideabasisforouropinion.Theriskofnotdetectingamaterialmisstatementresultingfromfraudishigherthanforoneresultingfromerror,asfraudmayinvolvecollusion,forgery,intentionalomissions,misrepresentations,ortheoverrideofinternalcontrol.

(II)Obtainanunderstandingofinternalcontrolrelevanttotheauditinordertodesignauditproceduresthatareappropriateinthecircumstances.

(III)Evaluatetheappropriatenessofaccountingpoliciesusedandthereasonablenessofaccountingestimatesandrelateddisclosuresmadebythemanagement.

(IV)Concludeontheappropriatenessofthemanagement’suseofthegoingconcernbasisofaccountingand,basedontheauditevidenceobtained,whetheramaterialuncertaintyexistsrelatedtoeventsorconditionsthatmaycastsignificantdoubtonMangoExcellentMedia’sabilitytocontinueasagoingconcern.Ifweconcludethatamaterialuncertaintyexists,wearerequiredtodrawattentioninourauditor’sreporttotherelateddisclosuresinthefinancialstatementsor,ifsuchdisclosuresareinadequate,tomodifyouropinion.Ourconclusionsarebasedontheauditevidenceobtaineduptothedateofourauditor’sreport.However,futureeventsorconditionsmaycausetheMangoExcellentMediatoceasetocontinueasagoingconcern.

(V)Evaluatetheoverallpresentation,structure,andcontentofthefinancialstatementsandwhetherthefinancialstatementsrepresenttheunderlyingtransactionsandeventsinamannerthatachievesfairpresentation;

(VI)ObtainsufficientandappropriateauditevidenceregardingthefinancialinformationoftheentitiesorbusinessactivitieswithintheMangoExcellentMediatoexpressanopiniononthefinancialstatements.Weareresponsibleforthedirection,supervision,andperformanceofthegroupaudit.Weremainsolelyresponsibleforourauditopinion.

Wecommunicatewiththosechargedwithgovernanceregarding,amongothermatters,theplannedscopeandtimingoftheauditandsignificantauditfindings,includinganysignificantdeficienciesininternalcontrolthatweidentifyduringouraudit.Wealsoprovidethosechargedwithgovernancewithastatementthatwehavecompliedwithrelevantethicalrequirementsregardingindependence,andcommunicatewiththemallrelationshipsandothermattersthatmayreasonablybethoughttobearonourindependence,andwhereapplicable,relatedsafeguards.

Fromthematterscommunicatedwiththosechargedwithgovernance,wedeterminethosemattersthatwereofmostsignificanceintheauditofthefinancialstatementsforthecurrentperiodandarethereforekeyauditmatters.Wedescribethesemattersinourauditreportunlesslawsorregulationsprecludepublicdisclosureofthematterorwhen,inextremelyrarecircumstances,wedeterminethatamattershouldnotbecommunicatedinourreportbecausetheadverseconsequencesofdoingsowouldreasonablybeexpectedtooutweighthepublicinterestbenefitsofsuchcommunication.

Pan-ChinaCertifiedPublicAccountantsLLPCertifiedPublicAccountant:ZHENGShengjun

(EngagementPartner)Hangzhou,ChinaCertifiedPublicAccountant:ZHOURong

April24,2025

II.FinancialStatementsStatementsinnotestothefinancialstatementsaredominatedinRMB.

1.Consolidatedbalancesheet

Preparedby:MangoExcellentMediaCo.,Ltd.

December31,2024

InRMB

Item

Contractassets

Customerdepositsanddepositsfrombanksandotherfinancialinstitutions

Generalriskreserve

Legalrepresentative:CAIHuaijunCFO:ZHANGZhihongChiefaccountant:TAOJinyu

2.Balancesheetoftheparentcompany

InRMB

Right-of-useassets

Owner’sequity:

3.Consolidatedincomestatement

InRMB

Add:Otherincome

1.Changesfromre-measurementofdefinedbenefitplans

Withrespecttothebusinessmergersinvolvingentitiesundercommoncontrolconsummatedinthecurrentperiod,thenetprofitoftheacquireeswasnilpriortothemerger,andnilinthepriorperiod.Legalrepresentative:CAIHuaijunCFO:ZHANGZhihongChiefaccountant:TAOJinyu

4.Incomestatementoftheparentcompany

InRMB

Sellingexpenses

ofotherdebtinvestments

5.Consolidatedstatementsofcashflows

InRMB

Paymentofvarioustypesoftaxes

6.Statementofcashflowsoftheparentcompany

InRMB

Item

IV.Effectofforeignexchangeratechangesoncashandcashequivalents

7.Consolidatedstatementofchangesinowners’equity

Amountinthecurrentperiod

InRMB

4.Others

Amountinthepriorperiod

InRMB

8.05

8.Statementofchangesinowners’equityoftheparentcompany

Amountinthecurrentperiod

InRMB

4.Others

Amountinthepriorperiod

InRMB

4.Others

III.BasicInformationoftheCompany

MangoExcellentMediaCo.,Ltd.(the“Company”),formerlyknownasHappigoInc.,wasestablishedonthebasisoftheoverallchangeofHappigoCo.,Ltd.ItcompletedtheregistrationwiththeAdministrationforIndustryandCommerceofChangshaCity,HunanProvinceonDecember28,2005,withtheheadquarterlocatedinChangshaCity,HunanProvince.InJuly2018,theCompanychangeditsnamefrom“HappigoInc.”to“MangoExcellentMediaCo.,Ltd”.Currently,theCompanyholdsabusinesslicensewithunifiedsocialcreditcodenumbered91430100782875193K,withregisteredcapitalamountingtoRMB1,870,720,815.00andatotalof1,870,720,815shares(withtheparvalueofRMB1pershare)comprisingrestrictedoutstandingA-shareof849,020,900sharesandunrestrictedA-shareof1,021,700,000shares.TheCompany’sshareswerelistedfortradingontheShenzhenStockExchangeonJanuary21,2015.TheCompanyisanentityengagedintheInternetnewmediaindustry.Itsprincipaloperatingactivitiescanbedividedintothreeparts,namelynewmediaplatformoperation,newmediainteractiveentertainmentcontentproductionandmediaretailbusiness.Thesefinancialstatementswereapprovedbythe27

th

meetingofthe4

th

BoardofDirectorsoftheCompanyonApril24,2025forissuance.

IV.BasisofPreparationofFinancialStatements

1.BasisofpreparationTheCompany’sfinancialstatementsarepreparedonagoing-concernbasis.

2.Going-concerningTheCompanyhasdetectednoeventsorcircumstancesthatmaycastsignificantdoubtuponitsabilitytocontinueasagoingconcernwithin12monthsfromthereportingperiod.

V.SignificantAccountingPoliciesandAccountingEstimates

Remindersonspecificaccountingpoliciesandaccountingestimates:

Notice:TheCompanyhasformulatedthespecificaccountingpoliciesandmadethespecificaccountingestimateswithrespecttotheimpairmentoffinancialinstruments,inventories,depreciationoffixedassets,intangibleassets,recognitionofrevenuesandothertransactionsandeventsaccordingtotheactualproductionandoperationcharacteristicsoftheCompany.

1.StatementofCompliancewiththeAccountingStandardsforBusinessEnterprises

ThefinancialstatementspreparedbytheCompanyconformtotherequirementsoftheAccountingStandardsforBusinessEnterprisesandtrulyandcompletelyreflecttheCompany’sfinancialposition,operatingresults,cashflowsandotherrelatedinformation.

2.Accountingperiod

TheCompany’saccountingyearisfromJanuary1toDecember31ofeachcalendaryear.

3.Operatingcycle

TheCompanyhasarelativelyshortoperatingcycle,anddeterminestheliquidityofassetsandliabilitiesonthebasisof12months.

4.Functionalcurrency

TheCompanyanditsdomesticsubsidiariesadoptRMBasitsfunctionalcurrency,whileMgtv.com(HongKong)MediaCompanyLimitedandDameirenGlobalTradingCo.,LimitedengageinoverseasoperationsandaccordinglyselecttheUSdollar,thecurrencyusedinthemaineconomicenvironmentinwhichtheyoperate,astheirfunctionalcurrency.

5.Determinationandbasisforselectionofmaterialitycriteria?Applicable□N/A

Item

asmaterialcontingencies.

6.Accountingtreatmentofbusinessmergersinvolvingentitiesundercommoncontrolandbusinessmergersnotinvolvingentitiesundercommoncontrol

1.AccountingtreatmentofbusinessmergerinvolvingentitiesundercommoncontrolAssetsandliabilitiesthatareobtainedbytheCompanyinabusinessmergershallbemeasuredattheircarryingvaluesintheconsolidatedfinancialstatementsoftheultimatecontrolleratthemergerdateasrecordedbytheacquiree.Thedifferencebetweenthecarryingvalueoftheowners’equityoftheacquireeasstatedintheconsolidatedfinancialstatementsoftheultimatecontrollerandthecarryingvalueofthetotalconsiderationpaidortotalparvalueofthesharesissuedinconnectionwiththemergeristreatedasanadjustmenttothecapitalreserve.Incasethecapitalreserveisnotsufficienttoabsorbthedifference,theremainingbalanceisadjustedagainsttheretainedearnings.

2.AccountingtreatmentofbusinessmergersnotinvolvingentitiesundercommoncontrolWherethecostofthemergerexceedstheCompany’sshareofthefairvalueoftheacquiree’sidentifiablenetassets,thedifferenceisrecognizedasgoodwillatthedateofacquisition.WherethecostofmergerislowerthantheCompany’sshareofthefairvalueoftheacquiree’sidentifiablenetassets,theCompanyreviewsthemeasurementofthefairvalueofeachoftheidentifiableassets,liabilitiesandprovisionsacquiredfromtheacquireeandthecostofmerger,andifthecostofmergerasreviewedisstilllowerthantheCompany’sshareofthefairvalueoftheacquiree’sidentifiablenetassets,thedifferenceisrecognizedinprofitorlossforthecurrentperiod.

7.Determinationofcontrolandmethodofpreparationofconsolidatedfinancialstatements

1.DeterminationofcontrolControlreferstotheinvestorhasthepowerovertheinvestee,enjoysvariablereturnsbyparticipatingintherelevantactivitiesoftheinvestee,andhastheabilitytousethepoweroftheinvesteetoinfluencetheamountofreturns.

2.MethodofpreparationofconsolidatedfinancialstatementsTheCompanyincludesallofitscontrolledsubsidiariesinitsconsolidatedfinancialstatements.TheconsolidatedfinancialstatementsarepreparedbytheparentcompanyinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.33-ConsolidatedFinancialStatements,onthebasisoftherespectivefinancialstatementsoftheparentcompanyanditssubsidiaries,byreferencetootherrelevantdata.

8.Classificationofjointarrangementsandaccountingtreatmentofjointoperations

1.Jointarrangementsareclassifiedintojointoperationsandjointventures.

2.WhentheCompanyisapartytoajointoperation,theCompanyrecognizesthefollowingitemsrelatingtoitsinterestinthejointoperation:

(1)theassetsindividuallyheldbytheCompany,andtheCompany’sshareoftheassetsheldjointly;

(2)theliabilitiesincurredindividuallybytheCompany,andtheCompany’sshareoftheliabilitiesincurredjointly;

(3)theCompany’srevenuefromthesaleofitsshareofoutputofthejointoperation;

(4)theCompany’sshareofrevenuefromthesaleofassetsbythejointoperation;and

(5)theexpensesincurredindividuallybytheCompany,andtheCompany’sshareoftheexpensesincurredjointly.

9.Recognitionofcashandcashequivalents

Forthepurposeofthestatementofcashflows,cashcomprisescashonhandanddemanddeposits,andcashequivalentscompriseshort-term,highlyliquidinvestmentsthatarereadilyconvertibleintoknownamountsofcashandwhicharesubjecttoaninsignificantriskofchangesinvalue.

10.Foreigncurrencytransactionsandtranslationofforeigncurrencyfinancialstatements

1.Translationofforeigncurrencytransactions

Uponinitialrecognition,foreigncurrencytransactionsaretranslatedintoRMBusingtheexchangeratesprevailingatthetransactiondates.Atthebalancesheetdate,monetaryitemsdenominatedinforeigncurrenciesaretranslatedintoRMBusingthespotexchangeratesatthebalancesheetdate.Exchangedifferencesarisingfromsuchtranslationsarerecognizedinprofitorlossforthecurrentperiod,exceptforthoseattributabletoforeigncurrencyborrowingsthathavebeentakenoutspecificallyfortheacquisitionor

constructionofqualifyingassetsandaccruedinterest.Non-monetaryitemsdenominatedinforeigncurrenciesthataremeasuredathistoricalcostaretranslatedusingtheforeignexchangeratesrulingatthetransactiondates,withoutadjustingtheamountsinRMB.Non-monetaryitemsdenominatedinforeigncurrenciesthataremeasuredatfairvaluearetranslatedusingtheforeignexchangeratesprevailingatthedatesthefairvaluewasdetermined,andexchangedifferencesarisingfromsuchtranslationsarerecognizedinprofitorlossforthecurrentperiodorothercomprehensiveincome.

2.TranslationofforeigncurrencyfinancialstatementsTheassetandliabilityitemsinthebalancesheetaretranslatedatthespotexchangeratesatthebalancesheetdate.Theowners’equityitemsotherthan“Undistributedprofits”aretranslatedatthespotexchangeratesatthetransactiondates.Theincomeandexpenseitemsintheincomestatementsaretranslatedatthespotexchangeratesatthetransactiondates.Exchangedifferencesarisingfromsuchtranslationsarerecognizedinothercomprehensiveincome.

11.Financialinstruments

1.ClassificationoffinancialassetsandfinancialliabilitiesUponinitialrecognition,financialassetsareclassifiedinto:(1)financialassetsatamortizedcost;(2)financialassetsatfairvaluethroughothercomprehensiveincome;and(3)financialassetsatfairvaluethroughprofitorloss.

Uponinitialrecognition,financialliabilitiesareclassifiedinto:(1)financialliabilitiesatfairvaluethroughprofitorloss;(2)financialliabilitiesarisingasaresultofthetransferoffinancialassetsnotmeetingthecriteriaforderecognitionorcontinuinginvolvementinthefinancialassetstransferred;(3)financialguaranteecontractsnotfallingunderitems(1)and(2),andloancommitmentsnotfallingunderitem(1)andbelowmarketinterestrate;and(4)financialliabilitiesatamortizedcost.

2.Recognition,measurementandderecognitionoffinancialassetsandfinancialliabilities

(1)Recognitionandinitialmeasurementoffinancialassetsandfinancialliabilities

WhentheCompanybecomesapartytoafinancialinstrumentcontract,afinancialassetorliabilityisrecognized.Financialassetsandliabilitiesareinitiallymeasuredatfairvalue.Transactioncostsrelatingtofinancialassetsorliabilitiesatfairvaluethroughprofitorlossaredirectlyrecognizedinprofitorlossforthecurrentperiod.Transactioncostsrelatingtootherkindsoffinancialassetsorliabilitiesareincludedintheirinitiallyrecognizedamount.However,wheretheaccountsthatdonotcontainanysignificantfinancingcomponentorarerecognizedbytheCompanywithouttakingintoconsiderationthesignificantfinancingcomponentsunderthecontractswithatermoflessthanoneyearuponinitialrecognitionareinitiallymeasuredattransactionpricedefinedintheAccountingStandardsforBusinessEnterprisesNo.14-Revenue.

(2)Subsequentmeasurementoffinancialassets

1)Financialassetsatamortizedcost

Financialassetsatamortizedcostaresubsequentlymeasuredatamortizedcostusingtheeffectiveinterestmethod.Gainsorlossesonfinancialassetsatamortizedcostthatdonotbelongtoanyhedgingrelationshiparerecognizedinprofitorlossforthecurrentperioduponderecognition,reclassification,amortizationusingtheeffectiveinterestmethodorrecognitionofimpairment.

2)Investmentsindebtinstrumentsatfairvaluethroughothercomprehensiveincome

Investmentsinequityinstrumentsatfairvaluethroughothercomprehensiveincomearesubsequentlymeasuredatfairvalue.Interest,impairmentlossesorgainsandexchangegainsorlossescalculatedusingtheeffectiveinterestmethodarerecognizedinprofitorlossforthecurrentperiod,andothergainsorlossesarerecognizedinothercomprehensiveincome.Onderecognition,thecumulativegainorlosspreviouslyincludedinothercomprehensiveincomeisremovedoutfromothercomprehensiveincomeandincludedinprofitorlossforthecurrentperiod.

3)Investmentsinequityinstrumentsatfairvaluethroughothercomprehensiveincome

Investmentsinequityinstrumentsatfairvaluethroughothercomprehensiveincomearesubsequentlymeasuredatfairvalue.Dividendsreceived(otherthanthosereceivedasrecoveryofinvestmentcost)arerecognizedinprofitorlossforthecurrentperiod,andothergainsorlossesarerecognizedinothercomprehensiveincome.Onderecognition,thecumulativegainorlosspreviouslyincludedinothercomprehensiveincomeisremovedoutfromothercomprehensiveincomeandincludedinretainedearnings.

4)Financialassetsatfairvaluethroughprofitorloss

Financialassetsatfairvaluethroughprofitorlossaresubsequentlymeasuredatfairvalue.Gainsorlossesthereon,includinginterestanddividendincome,arerecognizedinprofitorlossforthecurrentperiod,exceptthefinancialassetsbelongingtoanyhedgingrelationship.

(3)Subsequentmeasurementoffinancialliabilities

1)Financialliabilitiesatfairvaluethroughprofitorloss

Financialliabilitiesatfairvaluethroughprofitorlossincludefinancialliabilitiesheldfortrading(includingderivativesclassifiedasfinancialliabilities),andfinancialliabilitiesdirectlydesignatedasatfairvaluethroughprofitorloss.Suchfinancialliabilitiesaresubsequentlymeasuredatfairvalue.ChangesinthefairvalueoffinancialliabilitiesdesignatedasatfairvaluethroughprofitorlossarisingoutofchangesintheCompany’screditriskarerecognizedinothercomprehensiveincome,unlesssuchtreatmentwillresultinorincreaseanyaccountingmismatchinprofitorloss.Othergainsorlossesonsuchfinancialliabilities,includinginterestexpensesandchangesinfairvaluenotarisingoutofchangesintheCompany’screditrisk,arerecognizedinprofitorlossforthecurrentperiod,exceptthefinancialliabilitiesbelongingtoanyhedgingrelationship.Onderecognition,thecumulativegainorlosspreviouslyincludedinothercomprehensiveincomeisremovedoutfromothercomprehensiveincomeandincludedinretainedearnings.

2)Financialliabilitiesarisingasaresultofthetransferoffinancialassetsnotmeetingthecriteriaforderecognitionorcontinuinginvolvementinthefinancialassetstransferred

SuchfinancialliabilitiesaremeasuredinaccordancewiththeAccountingStandardsforBusinessEnterprisesNo.23-TransferofFinancialAssets.

3)Financialguaranteecontractsnotfallingunderitems1)and2)above,andloancommitmentsnotfallingunderitem1)aboveandbelowmarketinterestrate

Suchfinancialliabilitiesaresubsequentlymeasuredatthehigherof①provisionforimpairmentlossesdeterminedaccordingtothepolicyforimpairmentoffinancialinstruments;and②balanceoftheinitiallyrecognizedamountafterdeductionoftheaccumulatedamortizationdeterminedinaccordancewithAccountingStandardsforBusinessEnterprisesNo.14-Revenue.

4)Financialliabilitiesatamortizedcost

Suchfinancialliabilitiesaremeasuredatamortizedcostusingtheeffectiveinterestmethod.Gainsorlossesonfinancialliabilitiesatamortizedcostthatdonotbelongtoanyhedgingrelationshiparerecognizedinprofitorlossforthecurrentperioduponderecognitionoramortizationusingtheeffectiveinterestmethod.

(4)Derecognitionoffinancialassetsandfinancialliabilities

1)Financialassetsarederecognizedwhen:

①thecontractualrighttoreceivecashflowsfromthefinancialassetshasexpired;or

②thefinancialassetshavebeentransferredandsuchtransfermeetsthecriteriaforderecognitionoffinancialassetsassetforthintheAccountingStandardsforBusinessEnterprisesNo.23-TransferofFinancialAssets.

2)Afinancialliability(orpartthereof)isderecognizedwhenallorpartoftheoutstandingobligationsthereonhavebeendischarged.

3.Determinationandmeasurementoffinancialassetstransferred

WhenafinancialassetoftheCompanyistransferred,ifsubstantiallyalltherisksandrewardsincidentaltotheownershipofthefinancialassethavebeentransferred,thefinancialassetisderecognized,andtherightsandobligationsincurredorretainedinsuchtransferareseparatelyrecognizedasassetsorliabilities(asthecasemaybe).IftheCompanyretainssubstantiallyalltherisksandrewardsofownershipofafinancialasset,theCompanyshallnotderecognizethefinancialasset.IftheCompanyretainssubstantiallyalltherisksandrewardsofownershipofafinancialasset,theCompanyshallnotderecognizethefinancialasset.IftheCompanyneithertransferrednorretainedasubstantialportionofallrisksandrewardsincidentaltotheownershipofthefinancialasset,then:(1)iftheCompanydoesnotretaincontroloverthefinancialasset,thefinancialassetisderecognized,andtherightsandobligationsincurredorretainedinsuchtransferareseparatelyrecognizedasassetsorliabilities(asthecasemaybe);and(2)iftheCompanyretainscontroloverthefinancialasset,thefinancialassetcontinuestoberecognizedtotheextentoftheCompany’scontinuinginvolvementinthefinancialassettransferred,andacorrespondingliabilityisrecognized.

Ifanentiretransferofafinancialassetmeetsthecriteriaforderecognition,thedifferencebetween(1)thecarryingvalueofthefinancialassettransferredatthedateofderecognition;and(2)thesumoftheconsiderationreceivedfromthetransferandtheportionofthecumulativeamountofchangesinfairvaluedirectlyrecordedasothercomprehensiveincomeoriginallythatcorrespondstothepartderecognized(wherethefinancialassettransferredisaninvestmentindebtinstrumentsatfairvaluethroughothercomprehensiveincome)isrecognizedinprofitorlossforthecurrentperiod.Ifpartofafinancialassetistransferredandtheparttransferredentirelymeetsthecriteriaforderecognition,thetotalcarryingvalueofthefinancialassetimmediatelypriortothetransferisallocatedbetweenthepartderecognizedandthepartnotderecognizedinproportiontotheirrelativefairvalueatthedateoftransfer,andthedifferencebetween(1)thecarryingvalueofthepartderecognizedand(2)thesumoftheconsiderationreceivedfromthetransferofthepartderecognizedandtheportionofthecumulativeamountofchangesinfairvaluedirectlyrecordedasothercomprehensiveincomeoriginallythatcorrespondstothepartderecognized(wherethefinancialassettransferredisaninvestmentindebtinstrumentsatfairvaluethroughothercomprehensiveincome)isrecognizedinprofitorlossforthecurrentperiod.

4.Determinationoffairvalueoffinancialassetsandfinancialliabilities

TheCompanyadoptsthevaluationtechniquesapplicabletothecurrentsituationsandwithsufficientdataavailableandsupportofotherinformationtodeterminethefairvalueoffinancialassetsandfinancialliabilities.TheCompanyclassifiestheinputsusedbythevaluationtechniquesinthefollowinglevelsandusestheminturn:

(1)Level1inputs:quotedmarketprice(unadjusted)inanactivemarketforanidenticalassetorliabilityavailableatthedateofmeasurement;

(2)Level2inputs:inputsotherthaninputsincludedwithinLevel1thatareobservabledirectlyorindirectly.Thiscategoryincludesquotedpricesforsimilarassetsorliabilitiesinactivemarkets,quotedpricesforidenticalorsimilarassetsorliabilitiesininactivemarkets,observableinputsotherthanquotedprices(suchasinterestrateandyieldcurvesobservableduringregularintervalsofquotation),andinputsvalidatedbythemarket;

(3)Level3inputs:inputsthatareunobservable.Thiscategoryincludesinterestrateorstockvolatilitythatcannotbedirectlyobservedorvalidatedbyobservablemarketdata,futurecashflowsfromretirementobligationincurredinbusinessmergers,andfinancialforecastsmadeusingowndata.

5.Impairmentoffinancialinstruments

(1)Measurementandaccountingtreatmentofimpairmentoffinancialinstruments

TheCompanycarriesoutimpairmenttreatmentanddeterminesimpairmentlossesoffinancialassetsatamortizedcost,investmentsindebtinstrumentsatfairvaluewithchangesaccruedtoothercomprehensiveincome,contractassets,leasereceivables,loancommitmentsotherthanfinancialliabilitiesatfairvaluewithchangesaccruedtocurrentprofitorloss,andfinancialguaranteecontractsotherthanfinancialliabilitiesatfairvaluewithchangesaccruedtocurrentprofitorlossandotherthanfinancialliabilitiesarisingasaresultofthetransferoffinancialassetsthatdoesnotmeetthecriteriaforderecognitionorthatcontinuesbeinginvolvedinthefinancialassetstransferred,onthebasisofexpectedcreditlosses.

Expectedcreditlossistheweightedaverageofcreditlossesonfinancialinstrumentstakingintoaccountthepossibilityofdefault.Creditlossisthepresentvalueofthedifferencebetweenallcontractualcashflowsreceivableunderthecontractandestimatedfuturecashflowsdiscountedattheoriginaleffectiveinterestrate,i.e.,thepresentvalueofallcashshortage,whereintheCompany’spurchasedororiginatedfinancialassetsthathavebecomecreditimpairedarediscountedattheircredit-adjustedeffectiveinterestrate.

Withrespecttopurchasedororiginatedfinancialassetsthathavebecomecreditimpaired,atthebalancesheetdate,theCompanyrecognizesalossallowanceequaltothecumulativeamountofchangesinlifetimeexpectedcreditlossessinceinitialrecognition.

WithrespecttoaccountsreceivableandcontractassetsthatarisefromthetransactionsregulatedundertheAccountingStandard