Xinsai Group: Wholly-owned subsidiary Xinsai Trading terminated bankruptcy proceedings by court ruling.

New Sai Co., Ltd. announced that its wholly-owned subsidiary, New Sai Trade, has been experiencing long-term losses and is insolvent. The company initiated its bankruptcy liquidation process in 2022. In 2023, the court accepted the bankruptcy liquidation application; in 2025, a bankruptcy administrator was appointed, and later the bankruptcy was declared. Recently, the company received a court's "civil ruling", stating that the bankruptcy liquidation process of New Sai Trade has ended as the distribution plan of bankruptcy assets has been completed, meeting the termination conditions. This bankruptcy liquidation does not affect the company's current business operations and has no significant impact on the current consolidated financial statements.