On March 30, Guangzhou Metro Design & Research Institute Company Limited (hereinafter referred to as the "Company") released its Annual Report 2023 and Environmental, Social and Governance (ESG) Report 2023 (hereinafter referred to as the "ESG Report"). Reviewing the year 2023, the Company based on its main business, focused on strategic objectives, accelerated the pace of development, and achieved stable and improving operating results: in the year 2023, the Company realized operating revenue of RMB2.573 billion, an increase of 3.92% over the same period of the previous year; total profit of RMB501 million, exceeding RMB500 million for the first time, an increase of 9.15% over the same period of the previous year; net profit of RMB439 million, an increase of 8.21% over the same period of the previous year; and distributed cash dividend of RMB1,000,000 per 10 shares to all shareholders. Cash dividends to all shareholders per 10 shares of 4.90 yuan (including tax), a total of 196 million yuan of cash dividends, an increase of 8.89% over the same period last year. While maintaining the growth in performance, the Company continued to strengthen its ESG management and summarized and compiled the FY2023 ESG Report in light of the Company's business characteristics, disclosing in detail the Company's typical compliance practices and key achievements in the environmental, social and governance dimensions in FY2023, and responding positively to the key issues of concern to both internal and external stakeholders.

        The year 2023 will mark the 30th anniversary of the company's founding. With the theme of high-quality development, the company focuses on the development strategy of "design + digital technology", continuously improves the level of research and development, and actively carries out market layout. All employees continue the fine tradition, gather passion for struggle, fulfill social responsibility, and accelerate high-quality and healthy development in the form of "second venture".

Activation of forces for the realization of high-quality development

        The company continues to promote sound and compliant operation, explore diversified business, seize the opportunity of "Science and Technology Reform Demonstration Action", and continue to create industrial value in the rail transportation design industry. In terms of business performance, the total assets of the company reached 5.767 billion yuan, the main business income reached 2.571 billion yuan, and the distribution value to shareholders reached 196 million yuan; in terms of scientific research and innovation, the company's total investment in scientific research, development and technological innovation amounted to 115.4219 million yuan, and the number of new patents authorized amounted to 141; in terms of business operation, the company comprehensively built up the line of defense of safety, attached great importance to the design quality control, actively cultivated diversified businesses, and increased investment in scientific research, development and technological innovation. In terms of business operation, the company has comprehensively strengthened the production safety line, attached great importance to design quality control, actively cultivated diversified businesses, increased investment in scientific research, development and technological innovation, and made every effort to realize the opening and operation of Guangzhou Baiyun Station Comprehensive Transportation Hub Integration Project, which has injected a strong kinetic energy for the company's high-quality development while perfecting the urban transportation infrastructure.

Working Together Again to Contribute to a Harmonious and Better Society

        The company shoulders the important responsibility of cultural inheritance, integrating the elements of intangible cultural heritage into the decoration scheme in the planning and design to continue the vitality of the excellent traditional Chinese culture, and actively responding to the national "One Belt, One Road" initiative to open up the arteries of regional transportation. At the same time, the company participates in industry exchanges and cooperation through resource sharing and complementary advantages, and signed 17 strategic cooperation agreements with peers/foreign organizations throughout the year to build the future of the industry. In terms of social welfare, the company actively carries out rich and diversified public welfare and charitable activities, and empowers rural revitalization with public welfare design, so as to benefit the society with the fruits of development.

Adding greenery to protect our green and low-carbon homes

        The company actively responds to the national "dual-carbon" strategy, and is committed to comprehensively promoting the green and low-carbon development of China's urban rail transit. 2023, the company deeply practiced the concept of green development, invested 28,781,400 yuan in environmental protection, and was approved to publish five standards related to "dual-carbon". In 2023, the company deeply practiced the concept of green development, invested 28,781,400 RMB in environmental protection, was approved to publish 5 standards related to "dual-carbon", actively promoted the energy saving and carbon reduction of metro ring control system, carried out the research on the key technology of intelligent high-efficiency air-conditioning system, set up Guangzhou Techwise Energy Co. The company will actively guard the green home and create an energy-saving and low-carbon clean environment for the rail transportation industry.

Growing together, escorting the realization of talent value creation

        The Company gives full play to the value of talents, makes every effort to maintain a fair and compliant employment environment, and forms a good relationship between the company and its employees to grow together. 2023, the Company established and improved human resources selection and compensation management methods, carried out special training on AEDs for its employees, and fully guaranteed the basic rights and interests of its employees as well as their occupational health. At the same time, the company continuously improves employees' vocational skills and helps them promote and develop by organizing diversified training lectures such as Innovation and Management Enhancement Training Camp, Innovation-Development Lecture Hall, and Dialogue with Famous Artists Lecture Hall. On the occasion of the 30th anniversary of the founding of the hospital, the company carried out a series of hospital celebration activities under the theme of "Thirteen Years of Endeavor, Craftsmanship for the Future", which enriched the life of the staff and strengthened the cohesion and sense of belonging of the staff.

        In 2023, the Company focused on its strategic objectives and achieved significant results in the area of environmental, social and governance (ESG), demonstrating its determination and confidence in adhering to the path of sustainable development.