Annual Report 2023 1 / 282 Company Code: 600873 Short name: Meihua Bio Meihua Holdings Group Co., Ltd. Annual Report 2023 This is an English translation from the Annual Report 2023, in case of any inconsistency, the Chinese Version shall prevail. Annual Report 2023 2 / 282 Important Information I. The Company’s board of directors, board of supervisors, directors, supervisors, and officers guarantee that the contents of this annual report are true, accurate, and complete without any false records, misleading statements, or material omissions and bear joint and several legal liability. II. All of the Company’s directors have attended the board meeting. III. Da Hua CPAs LLP (special general partnership) has issued an unqualified audit report for the Company. IV. Wang Aijun, the principal of the Company, Wang Lihong, the accounting principal, and Wang Ailing, the principal of the accounting body (the accounting officer), hereby declare that they guarantee the truthfulness, accuracy, and completeness of the financial report in the annual report. V. Profit distribution plan or capital reserve conversion plan for the Reporting Period as approved by the Board Upon deliberation and approval of the 9th meeting of the 10th session of the board of directors, the profit distribution plan (proposal) for 2023 is as follows: with the total share capital registered on the registration date of equity distribution as the basis (before deducting the number of shares in the share repurchase account, the Company has a total of 2,943,426,102 shares in share capital; there are 69,634,252 shares in the share repurchase account, and after deducting those shares, the number of shares is 2,873,791,850), a dividend of 4.17 yuan (inclusive of tax) for every 10 shares is to be distributed to all shareholders, and a total of approximately 1.2 billion yuan (inclusive of tax) in cash dividend is estimated to be distributed. The plan is yet to be submitted to the general meeting for deliberation. The amount that is actually distributed will be subject to the notification on equity distribution published by the Company. If there is any change in the Company’s total share capital before the registration date of equity distribution, the total amount to be distributed will remain unchanged, and the distribution proportion per share will be adjusted accordingly. VI. Risk Disclosure on Forward-Looking Statements √ Applicable Not applicable This annual report involves forward-looking descriptions such as future plans, and such statements do not constitute material commitments for investors. Investors are reminded to pay attention to the risk of investment. VII. Any occupation of funds by the controlling shareholder or other affiliates for non-operating purposes No VIII. Any external guarantee that violates the decision-making procedures No IX. Is it the case that more than half of the directors cannot guarantee the truthfulness, accuracy, and completeness of the annual report disclosed by the Company? No X. Warning of Key Risks For the details of the risks facing the Company, refer to the “Potential Risks” part in “Section 3 Discussion and Analysis by the Management” and the “Risks Related to Financial Instruments” part in “Section 10 Financial Report”. XI. Miscellaneous  Applicable √Not applicable Annual Report 2023 3 / 282 Contents Section 1 Definitions................................................................................................................................... 4 Section 2 Company Overview and Key Financial Indicators .................................................................... 7 Section 3 Discussion and Analysis by the Management .......................................................................... 12 Section 4 Corporate Governance ............................................................................................................. 47 Section 5 Environmental and Social Responsibility ................................................................................ 66 Section 6 Significant Matters ................................................................................................................... 80 Section 7 Share Changes and Shareholders ............................................................................................. 96 Section 8 Information on Preferred Shares ............................................................................................ 103 Section 9 Information on Securities ....................................................................................................... 103 Section 10 Financial Report .................................................................................................................... 104 List of documents for reference Financial statements signed and sealed by the Company’s principal, the accounting princ