大华股份：2023Q3Repo

Stock Code: 002236 Stock Abbreviation: Dahua Notification No.: 2023-101

Zhejiang Dahua Technology Co., Ltd.

2023 Q3 ReportThe Company and all members of the Board of Directors hereby guarantee that the information disclosed hereinis authentic, accurate and complete and free of any false records, misleading statements, or material omissions.Important Notice:

1. The Board of Directors, Board of Supervisors, directors, supervisors and senior management members of theCompany hereby guarantee that the information presented in this quarterly report is authentic, accurate, complete andfree of any false records, misleading statements or material omissions, and they will bear joint and several liability forsuch information.

2. The Company's legal representative, chief accountant, and person in charge of accounting institution (AccountingOfficer) hereby declare and warrant that the financial statements in the quarterly report are authentic, accurate, andcomplete.

3. Whether the Q3 Report has been audited.

□ Yes ? No

I. Key Financial Data

(I) Key Accounting Data and Financial IndicatorsWhether the Company needs retroactive adjustment or restatement of accounting data in prior years or not

□ Yes ? No

(II) Non-recurring Gains or Losses and Their Amounts

? Applicable □ Not applicable

Unit: RMB

Other gains or losses that fit the definition of non-recurring gains or losses:

□ Applicable ? Not applicable

The Company has no other gains or losses that fit the definition of non-recurring gains or losses.Note for the definition of non-recurring gains and losses listed in the No. 1 Explanatory Announcement on Information

Disclosure for Companies Issuance Their Securities to the Public - Non-recurring gains and losses, as recurring gainsand losses.

□ Applicable ? Not applicable

The Company did not define any non-recurring gains and losses listed in the No. 1 Explanatory Announcement onInformation Disclosure for Companies Issuance Their Securities to the Public - Non-recurring gains and losses asrecurring gains and losses.(III) Changes in Key Accounting Data and Financial Indicators and the Reasons

? Applicable □ Not applicable(I) The changes of assets and liabilities and the reasons

1. The cash and bank balances are increased by 43.54% compared with the beginning of the year, mainly due to thereceipt of the raised funds for private placement in the current period;

2. The trading financial assets are increased by 2,097.31% compared with the beginning of the year, mainly due to theincrease of the foreign exchange contracts;

3. The prepayments are increased by 66.52% compared with the beginning of the year, mainly due to the increase ofprepayments for raw materials;

4. The contract assets are increased by 42.58% compared with the beginning of the year, mainly due to the increaseof the completed but unsettled assets of the construction contracts in the current period;

5. Other non-current financial assets are increased by 59.57% compared with the beginning of the year, mainly due tothe increase of the investment in the new asset management plans in the current period;

6. The constructions in progress are increased by 70.14% compared with the beginning of the year, mainly due to theincrease of investments in the infrastructural projects in Chengdu, Zhengzhou and Fuyang in the current period;

7. The short-term loans are increased by 291.94% compared with the beginning of the year, mainly due to theincrease of notes discounted and bank loans;

8. The trading financial liabilities are decreased by 94.29% compared with beginning of the year, mainly due tochanges in fair value of the foreign exchange contracts;

9. The salaries payable to employees are decreased by 32.38% compared with the beginning of the year, mainly dueto the issuance of previous year-end bonus in the current period;

10. Other payables are decreased by 31.54% compared with the beginning of the year, mainly due to the reduction ofthe obligations to repurchase restricted stocks;

11. The non-current liabilities due within one year are decreased by 55.01% compared with the beginning of the year,mainly due to the repayment of bank loans due within one year;

12. The deferred income is increased by 64.49% compared with the beginning of the year, mainly due to the increaseof government subsidies;

13. The deferred income tax liabilities are increased by 91.44% compared with the beginning of the year, mainly due toincrease of the taxable temporary differences;

14. The capital reserves are increased by 126.38% compared with the beginning of the year, mainly due to the receiptof the raised funds for private placement;

15. The minority shareholders' equities are increased by 95.10% compared with the beginning of the year, mainly dueto the increase of the investments absorbed from and the profits and losses of the minority shareholders in the currentperiod.(II) The changes of items in the income statement and the reasons

1. The taxes and surcharges are increased by 44.80% compared with the same period of the previous year, mainlydue to the increase of house property taxes payable in the current period compared with the same period of theprevious year;

2. The financial expenses are increased by 41.97% compared with the same period of the previous year, mainly due tothe decrease of exchange gains in the current period compared with the same period of the previous year;

3. The investment income is increased by 67.02% compared with the same period of the previous year, mainly due tothe increase of equity transfer income in the current period compared with the same period of the previous year;

4. The income from changes in fair value is increased by 187.60% compared with same period of the previous year,mainly due to the increase of changes in the fair value of other non-current financial assets and foreign exchangecontracts compared with the same period of the previous year;

5. The income tax expenses are increased by 198.81% compared with the same period of the previous year, mainlydue to the increase of taxable income in the current period compared with the same period of the previous year.(III) The changes of items in the cash flow statement and the reasons

1. The net cash flow from operating activities is increased by 250.02% compared with the same period of the previousyear, mainly due to the decrease of purchase expenses in the current period compared with the same period of theprevious year.

2. The net cash flow from investment activities is decreased by 260.61% compared with the same period of theprevious year, mainly due to the decrease of the net inflow of investment and wealth management and the net cashfrom disposal of subsidiaries in the current period;

3. The net cash flow from financing activities is increased by 427.50% compared with the same period of the previousyear, mainly due to the increase of the cash received from absorbing investments and the decrease of the net inflow ofbank loan funds in the current period.II. Information on Shareholders(I) The total number of common shareholders, the number of preferred shareholders withrestored voting rights and shareholding status of the top 10 shareholders

Unit: share

(II) The total number of preferred shareholders and the shareholdings of the top 10 preferredshareholders

□ Applicable ? Not applicable

III. Other Significant Events

? Applicable □ Not applicable

1. Share repurchase of the Company

On August 25, 2023, the Company held 46th meeting of the 7th Board of Directors, at which theCompany reviewed and approved the "Proposal on Repurchase of Shares", and on August 31, 2023,the Company published the "Report on Repurchase of Shares" on the Securities Times and JuchaoInformation Network. The Company plans to repurchase the shares of the Company in an amountthat is no less than RMB 400 million (inclusive) and no more than RMB 600 million (inclusive). Therepurchase price is no more than RMB 31.71 per share (inclusive). The period for the implementationof repurchase shall be 12 months from the day the Board of Directors of the Company reviews andapproves this repurchase scheme. As of the end of the current reporting period, the Company hasrepurchased 18,358,401 shares with its special securities account for repurchase through centralizedcompetitive bidding, accounting for 0.56% of the Company's present total share capital. The highesttransaction price was RMB 21.70 per share and the lowest transaction price was RMB 19.70 pershare. The total amount of funds used was RMB 390,623,667.27 (excluding transactionexpenses).The present share repurchase scheme is under implementation.

2. Matters Concerning election of new members for the Board of Directors and Board ofSupervisors

On August 25, 2023, the Company held the 46th meeting of the 7th Board of Directors and the33rd meeting of the 7th Board of Supervisors, at which the Company reviewed and approved the"Proposal on Amendment of the Articles of Association", the "Proposal on Nomination of the Non-independent Director Candidates for the 8th Board of Directors", the "Proposal on Nomination of theIndependent Director Candidates for the 8th Board of Directors" and the "Proposal on Nomination ofthe Non-employee Supervisor Candidates for the 8th Board of Supervisors". On September 11, 2023,the Company held the 2nd extraordinary general meeting of shareholders in 2023, the 1st meeting ofthe 8th Board of Directors, the 1st meeting of the 8th Board of Supervisors, and the 1st employeerepresentative meeting in 2023, at which the Company elected new members for the Board ofDirectors and Board of Supervisors and engaged the senior management members, head of theInternal Audit Department and representative of the securities affairs. The announcements above

have been disclosed on Securities Times and Juchao Information Network (http://www.cninfo.com.cn),as designated by the Company.

IV. Quarterly Financial Statements

(I) Financial Statements

1. Consolidated Balance Sheet

Prepared by: Zhejiang Dahua Technology Co., Ltd.

September 30, 2023

Unit: RMB

Legal representative: Fu Liquan Person in charge of accounting: Xu Qiaofen Person in charge of the accounting institution: Zhu Zhuling

2. Consolidated Income Statement for the Period from the Beginning of the Year to the End ofthe Reporting Period

Unit: RMB

Legal representative: Fu Liquan Person in charge of accounting: Xu Qiaofen Person in charge of the accounting institution: Zhu Zhuling

3. Consolidated Cash Flow Statement for the Period from the Beginning of the Year to the Endof the Reporting Period

Unit: RMB

(II) The first implementation of new accounting criteria from 2023 to adjust therelevant items of the financial statements implemented at the beginning of theyear for the first time

□ Applicable ? Not applicable

(III) Audit ReportWhether the Q3 report has been audited.

□ Yes ? No

The Q3 report of the Company has not been audited yet.

Board of Directors of Zhejiang Dahua Technology Co., Ltd.

October 21, 2023