GUOQUAN (02517) suggests adopting a dividend policy.

GUOQUAN (02517) issued an announcement to regulate the profit distribution behavior of the company, establish a scientific, sustainable, and stable shareholder return mechanism, balance shareholders' current income with the long-term development of the company, effectively safeguard the legitimate rights and interests of all shareholders, and the board of directors of the company has approved the company's dividend policy as of the date of this announcement. This dividend policy shall take effect only after being approved by the shareholders of the company at the annual general meeting for the year 2025 to be held on April 29, 2026. Upon the formal adoption of this dividend policy by the company, the company shall announce and distribute dividends to shareholders based on it, in order to share the company's profits with shareholders. In general, subject to the conditions for dividend payment being met, the company will distribute dividends twice a year and announce/proposed dividends when the board of directors approves the full-year/half-year performance. In the event of special investment income or other necessary circumstances, the board of directors may also propose special dividends. According to this dividend policy, the company may distribute profits in cash, stocks, or a combination of cash and stocks, or other methods permitted by laws and regulations. When choosing a profit distribution method, the company will prioritize cash dividends to shareholders when conditions permit. The board of directors and the company will comprehensively consider the following factors when deciding whether to announce, propose, or pay any dividends: the actual operating conditions of the company, shareholder requests and wishes, the cost of social capital and external financing environment, the characteristics of the industry in which the company operates, the stage of business development, strategic planning and its own operating model, the current and expected profit levels, cash flow and financial condition, any significant capital expenditure arrangements, the amount of share repurchase plans executed in the current period, legal and regulatory environment, and any other factors that the board of directors may consider relevant. Subject to the conditions for cash dividends, in the years 2026 to 2028, the total amount of profits distributed in cash by the company each year shall not be less than 60% of the net profit attributable to the company's shareholders for that year. The company's past dividend announcements may not necessarily reflect future dividend announcements. Any announcements and payments of dividends, as well as the amount of dividends, shall be subject to the company's articles of association, applicable Chinese laws, and the approval of the company's shareholders. Future dividend payments will also depend on the ability of the company's Chinese subsidiaries to pay dividends. Under Chinese law, dividends can only be paid from profits calculated according to Chinese accounting standards, and there are several differences in the calculation of distributable profits between Chinese generally accepted accounting principles and International Financial Reporting Standards. Chinese law also requires the company's subsidiaries to set aside a portion of their profits as statutory reserves, which cannot be distributed as cash dividends. If a subsidiary of the company incurs debts or losses, or is subject to any restrictive commitments under bank credit financing agreements or other agreements that the company or its subsidiaries may enter into in the future, the distribution from the company's subsidiaries may also be restricted.