Gotion High-Tech Launches its Profit Distribution Plan in 2024

PRESS RELEASE

Ad hoc announcement pursuant to article 53 LR

Gotion High-Tech Launches the Profit Distribution Plan in 2024

Important Notice：

·Distribution per share: Cash dividend of RMB 1.00 per ten shares (tax included).

·The Company intends to distribute a cash dividend of RMB 1 (inclusive tax) for every 10 shares to all shareholders on the basis of the total share capital registered on the date of registration of the share register for the implementation of the equity distribution deducting the repurchased shares in the repurchased shares in the Company’s repurchased special securities account, and the Company will not increase share capital with reserved fund .

I.Basic situation of the 2024 Profit Distribution Plan

(I) Overview of 2024 Retained Earning

Audited by Sua Jin Cheng CPAs (Special General Partnership), the Company realized net profit attributable to shareholders of the listed company of RMB 1,206,790,129.59 for the year 2024. As of December 31, 2024, the cumulative available-for-distribution profits on the Company’s consolidated and parent company statements were as follows:

Monetary Unit: RMB 0,000 Yuan

Note: According to the relevant provisions of the Listing Rules of the Shenzhen Stock Exchange, when formulating a profit distribution plan, a listed company shall base on the retained earning in the parent company’s statement, reasonably take into account the profit situation of the current period and determine the specific profit distribution ratio in accordance with the principle of the lower of the retained earning in the consolidated statement and the parent company’s statement, so as to avoid any over-distribution.

(II) Basic situation of the 2024 Profit Distribution Plan

Based on factors such as the profitability of the Company for the year 2024, the capital demand for future development, the industry situation and the return on shareholders’ investment, and on the basis of emphasizing a reasonable return on investment for investors and taking into account the sustainable development of the Company, in accordance with relevant regulations such as the “Notice on the Matters Relating to Further Implementation of Cash Dividend Distribution for Listed Companies” and the “Listed Company Supervisory Guidelines No. 3 - Cash Dividend for Listed Companies” of the CSRC and the Articles of Association of the Company. in conjunction with the Company’s actual operation in 2024, on the premise of conforming to the principle of profit distribution and ensuring the normal operation and long-term development of the Company, the Board of Directors of the Company proposes the profit distribution plan for the year 2024,and the details are as follows: the Company intends to distribute a cash dividend of RMB 1 (inclusive tax) for every 10 shares to all shareholders on the basis of the total share capital registered on the date of registration of the share register for the implementation of the equity distribution deducting the repurchased shares in the repurchased shares in the Company’s repurchased special securities account, and the Company will not increase share capital with reserved fund .

As of April 23, 2025, the total share capital of the Company is 1,803,014,187 shares, after deducting 14,177,539 repurchased shares in the Company’s special securities account for repurchase, and thus calculating the total proposed cash dividend of RMB 178,883,664.80 (inclusive of tax), which accounts 14.82% of the net profit for the fiscal year 2024 attributable to the shareholders of the listed company.

If this proposal is considered and approved by the shareholders’ meeting, the total cash dividend of the Company in 2024 is estimated to be RMB 178,883,664.80; the Company will repurchase 15,436,229 shares of the Company in 2024 with cash as consideration and by means of centralized bidding, and the cumulative amount of repurchase will be paid in the amount of RMB 300,039,302.01 (including transaction fees). The total amount of cash dividend and share repurchase of the Company in 2024 was RMB 478,922,966.81, accounting for 39.69% of the net profit attributable to shareholders of the listed company for the year.

During the period from the date of disclosure of this announcement to the share registration date for the implementation of the equity distribution, if there is any change in the total share capital of the Company, or if there is any change in the shares held in the Company’s special account for repurchase due to share repurchase, cancellation of repurchased shares, completion of non-transaction transfers of repurchased shares under the Employee Stock Ownership Plan, the Company will adjust the total amount of the distribution accordingly on the basis of the principle of “no change in the distribution per share” and announce the details of such adjustment separately.

II. Details of the Profit Distribution Plan

(I) Indicators related to the plan

According to the relevant indicators in the above table, the cumulative amount of cash dividends of the Company for the last three fiscal years was RMB 355,823,711.30, which was higher than 30% of the average annual net profit for the last three fiscal years, and it did not touch the situation of other risk warnings that may be implemented as stipulated in item (ix) of Article 9.8.1 of the  Listing Rules on the Shenzhen Stock Exchange.

(II) Explanation of the reasonableness of the profit distribution plan

The proposed profit distribution plan of the Company for the year 2024 is in compliance with the relevant requirements of laws and regulations such as the “Regulatory Guidelines for the Listed Company No.3 - Cash Distribution of the Listed Companies” of the China Securities Regulatory Commission and the “Shenzhen Stock Exchange Self-Regulatory Guidelines for Listed Companies No. 1 - Standardized Operation of Main Board Listed Companies” of the Shenzhen Stock Exchange, in line with the profit distribution policy and profit distribution plan as well as the relevant undertakings made as set out in the Articles of Association of the Company and the “Shareholder Return Plan for the Next Three Years (2023-2025)”. The Board of Directors of the Company has comprehensively considered the profitability of the Company for the year 2024, the capital requirements for future development, the industry situation and the return on shareholders’ investment, and formulated the profit distribution plan on the basis of emphasizing reasonable return on investment to investors and taking into account the sustainable development of the Company. There is no damage to the interests of the Company and all shareholders, and it is legal, compliant and reasonable.

Contact information

Mr. Rui Gao

Phone: +86 0551 62100213

e-mail: gxgk@gotion.com.cn 

About Gotion

Gotion High-Tech Co., Ltd., as the earliest private enterprise in power battery industry to enter the capital market in China, was listed on the Shenzhen Stock Exchange in May 2015, specializing in power battery for new energy vehicles, energy storage application, power transmission and distribution equipment, etc.

Gotion High-Tech is a technology-based company focused on power battery technology research and development and innovation. It is one of the earliest enterprises engaged in the independent research and development, production and sales of new energy vehicle power lithium-ion batteries in China. Gotion High-Tech has global operations and has carried out strategic cooperation with Volkswagen, Tata Group, Vinfast and Jinko, among others.

Disclaimers

This announcement may contain forward looking statements, estimates, opinions and projections with respect to anticipated future performance of the Company ("forward-looking statements"). These forward-looking statements can be identified by the use of forward-looking terminology, including the terms "believes," "estimates," "anticipates," "expects," "intends," "may," "will" or "should" or, in each case, their negative, or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts. Forward-looking statements are based on the current views, expectations and assumptions of the management of the Company and involve significant known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Forward-looking statements should not be read as guarantees of future performance or results and will not necessarily be accurate indications of whether or not such results will be achieved. Any forward-looking statements included herein only speak as at the date of this release. Gotion undertakes no obligation, and does not expect to publicly update, or publicly revise, any of the information, forward-looking statements or the conclusions contained herein or to reflect new events or circumstances or to correct any inaccuracies which may become apparent subsequent to the date hereof, whether as a result of new information, future events or otherwise. Gotion accepts no liability whatsoever in respect of the achievement of such forward-looking statements and assumptions.