Shandong Huifa Food Co., Ltd. Repurchase Report on the Share Repurchase Plan via Centralized Bidding

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Security Code: 603536 Stock Short Name: Huifa Foods Announcement No.: 2026-010

Shandong Huifa Foods Co., Ltd.

Share Repurchase Report on the Company’s Plan to Repurchase Company Shares by Means of Centralized Competitive Trading

The Board of Directors of the Company and all directors guarantee that this announcement contains no false records, misleading statements, or material omissions, and shall assume legal responsibility for the authenticity, accuracy, and completeness of the contents of this announcement.

Key Points:

● Amount for Repurchased Shares: The total repurchase funds shall not be less than RMB 80 million (inclusive) and shall not exceed RMB 120 million. The specific total repurchase funds shall be based on the actual amount of funds used.

● Sources of Repurchase Funds: Shandong Huifa Foods Co., Ltd. (hereinafter referred to as the “Company”) uses its own funds and funds raised for this purpose.

● Purpose of the Repurchase: The repurchased shares will be used to implement an equity incentive plan. If the Company fails to transfer all repurchased shares within 3 years after the date of the announcement on the implementation results of the share repurchase and changes in shares, the repurchased shares not yet transferred shall go through the relevant procedures to be cancelled.

● Repurchase Price: No more than RMB 16.11 per share (inclusive) (no higher than 150% of the Company’s average stock trading price over the 30 trading days prior to the date when the board resolution on the repurchase plan was passed).

● Repurchase Method: Centralized competitive trading.

● Repurchase Period: Within 12 months from the date on which the Company’s board of directors examines and approves this repurchase plan.

● Whether Relevant Shareholders Have a Reduction Plan: As of the date of disclosure of this announcement, the Company’s directors, senior management, controlling shareholder, actual controller, and persons acting in concert, as well as shareholders holding more than 5% of the shares, currently have no plan to reduce the Company’s shares in the next 3 months and the next 6 months. If any of the aforementioned persons/ the Company has a plan to reduce shares during the above periods, they will promptly cooperate with the Company to fulfill its information disclosure obligations in accordance with the requirements of laws, regulations, regulatory documents, and undertakings.

● Risk Warning:

1. If during the repurchase period the Company’s stock price continues to exceed the upper price limit disclosed in the repurchase plan, there is a risk that the repurchase plan cannot be implemented as scheduled or can only be implemented in part;

2. If during the implementation of the repurchase, due to factors such as changes in the external environment and temporary operating needs, the funds required for this repurchase may not be raised in a timely manner, leading to the risk that the repurchase plan cannot be implemented;

3. If, due to the occurrence of major events that significantly impact the trading price of the Company’s stock, or due to changes in the Company’s production and operations, financial conditions, or external objective reasons, the Company’s board of directors may change or terminate this repurchase plan in accordance with rules, etc., then there is a risk that the repurchase plan cannot be implemented as scheduled;

4. The repurchased shares are intended to be used to implement an equity incentive plan. The equity incentive plan still needs to go through the Company’s board of directors’ and shareholders’ decision-making procedures and regulatory approval or filing/registration procedures. If the Company cannot successfully implement the above purpose, there is a risk that repurchased shares cannot be granted. If any of the above circumstances occurs, there is a risk that repurchased shares not yet granted will be cancelled;

5. If the regulatory authorities issue new laws, regulations, and normative documents related to share repurchases, there is a risk that corresponding clauses of the repurchase plan will need to be adjusted in the course of implementing this repurchase in accordance with the new regulatory rules. The Company will, within the repurchase period, implement the repurchase at an opportune time based on market conditions, and will promptly fulfill its information disclosure obligations according to the progress of matters related to the repurchased shares. Investors are kindly requested to be mindful of investment risks.

I. Consideration and Implementation Procedures of the Repurchase Plan

On March 20, 2026, the Company held the 10th meeting of the 5th session of the Board of Directors and approved the resolution titled “Proposal on the Company’s Share Repurchase Plan by Means of Centralized Competitive Trading.” All directors attended the meeting, and the resolution was passed with a voting result of 6 votes in favor, 0 votes against, and 0 votes abstaining.

In accordance with the relevant provisions including the “Stock Repurchase Rules of Listed Companies,” the “Self-Regulatory Guidelines No. 7 for Listed Companies of the Shanghai Stock Exchange—Repurchase Shares,” and the “Articles of Association,” this share repurchase plan can be implemented upon the approval of the board resolution by a board meeting attended by more than two-thirds of the directors, without the need to submit it to the Company’s shareholders for consideration.

The above procedures, including the time and process of board consideration, are in compliance with the relevant provisions of the “Stock Repurchase Rules of Listed Companies,” the “Self-Regulatory Guidelines No. 7 for Listed Companies of the Shanghai Stock Exchange—Repurchase Shares,” and other relevant regulations.

II. Main Contents of the Repurchase Proposal

The main contents of this repurchase proposal are as follows:

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(I) Purpose of the Repurchased Shares

Based on our confidence in the Company’s ongoing development and our high recognition of the Company’s value, and in order to more effectively closely connect shareholders’ interests, the Company’s interests, and employees’ personal interests, thereby promoting the Company’s long-term, stable, and sustainable development, the Company intends to use its own funds and funds raised for this purpose to repurchase its shares through centralized competitive trading. At an appropriate time in the future, the above repurchased shares will be used to implement an equity incentive plan, and will be used up within 3 years after the Company discloses the results of the share repurchase implementation and the announcement on changes in shares. If relevant laws, regulations, or policies change during the period, this repurchase plan will be modified accordingly in accordance with the amended laws, regulations, or policies.

(II) Types of Shares Proposed to Be Repurchased

RMB ordinary shares (A shares) issued by the Company.

(III) Method of Repurchase

The repurchase of shares in this proposal will be conducted through the trading system of the Shanghai Stock Exchange by means of centralized competitive trading.

(IV) Implementation Period of Repurchase

Within 12 months from the date on which the Company’s board of directors approves this share repurchase plan. During the period of implementation, if the Company’s stock is suspended consecutively for more than 10 trading days due to the planning of major matters, the repurchase plan will be implemented after the resumption of trading and will be extended accordingly, with timely disclosure.

If any of the following conditions is met, the repurchase period will end early:

1. If, within the repurchase period, the amount of repurchase funds used reaches the upper limit, the implementation of the repurchase plan will be completed, and the repurchase period will end early as of that date.

2. If, within the repurchase period, the amount of repurchase funds used reaches the lower limit, this repurchase plan may end early as of the date on which the Company’s management decides to terminate this repurchase plan.

3. If the Company’s board of directors resolves to terminate this repurchase plan, the repurchase period will end early as of the date on which the board resolution on terminating this repurchase plan is adopted.

4. The Company may not repurchase shares during the following periods:

(1) from the date on which a major event is triggered that may have a significant impact on the trading price of the Company’s securities and their derivative varieties, or during the decision-making process until the date on which it is legally disclosed;

(2) other circumstances as stipulated by the China Securities Regulatory Commission and the Shanghai Stock Exchange.

(V) Use, Number, Proportion of Company Total Share Capital, and Total Funds of the Repurchased Shares

The repurchased shares in this proposal will be used to implement an equity incentive plan.

Total repurchase funds: no less than RMB 80 million (inclusive) and no more than RMB 120 million.

Number of repurchased shares: Based on the calculation using the lower limit of the repurchase amount of RMB 80 million and the upper limit repurchase price of RMB 16.11 per share, the number of repurchased shares is approximately 4.9659 million shares, and the repurchased shares proportion is approximately 2.05% of the Company’s total share capital. Based on the calculation using the upper limit of the repurchase amount of RMB 120 million and the upper limit repurchase price of RMB 16.11 per share, the number of repurchased shares is approximately 7.4488 million shares, and the repurchased shares proportion is approximately 3.07% of the Company’s total share capital. The specific number of repurchased shares shall be based on the actual number of shares repurchased upon the completion of the repurchase period.

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The specific number of shares to be repurchased and the proportion to the Company’s total share capital shall be subject to the Company’s actual repurchase situation when the repurchase is completed or when the repurchase implementation period expires. If, during the repurchase period, the Company implements ex-rights and ex-dividend matters such as capital reserve fund capitalization and share distribution, stock dividend distribution, share consolidation, or additional share issuance, the Company will adjust the number of repurchased shares accordingly in accordance with the relevant provisions of the China Securities Regulatory Commission and the Shanghai Stock Exchange.

(VI) Repurchase Price or Price Range, and Pricing Principles

At a price not exceeding RMB 16.11 per share (inclusive). This price is not higher than 150% of the Company’s average stock trading price over the 30 trading days prior to the board’s approval of the repurchase plan resolution. The specific repurchase price will be determined by the Company’s management authorized by the board during the repurchase implementation period by taking into comprehensive account the Company’s secondary market stock price, the Company’s financial position, and its operating conditions.

From the date the board approves this repurchase plan until the completion of the repurchase implementation, if the Company experiences ex-rights and ex-dividend matters such as cash dividends, share bonuses, or capital reserve fund capitalization, then from the ex-rights and ex-dividend date, the upper limit repurchase price will be adjusted accordingly in accordance with the relevant provisions of the China Securities Regulatory Commission and the Shanghai Stock Exchange.

(VII) Sources of Funds for the Repurchase

The Company’s own funds and funds raised for this purpose.

(VIII) Expected Changes in the Company’s Equity Structure after the Repurchase

Based on the calculation using the lower limit of the repurchase amount of RMB 80 million (inclusive) and the upper limit of RMB 120 million, and the upper limit repurchase price of RMB 16.11 per share, assuming that all repurchased shares are used for employees’ equity incentive plan and are locked up, the expected changes in the Company’s equity structure are as follows:

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Note: The above calculation data is for reference only. The specific number of repurchased shares and the actual changes in the Company’s equity structure shall be subject to the subsequent implementation. If there are any rounding differences in the data, they are due to rounding to the nearest whole number.

(IX) Analysis of the Potential Impact of This Repurchase on the Company’s Day-to-Day Operations, Financial Position, R&D, Profitability, Debt Fulfillment Capacity, Future Development, and Maintaining Its Listing Status

1. As of September 30, 2025 (unaudited), the Company’s total assets were RMB 1,278,944,488.74, including current assets of RMB 559,490,833.67. The shareholders’ equity attributable to shareholders of the listed company was RMB 444,402,613.72. Based on the upper limit of the total repurchase funds of RMB 120,000,000, these figures respectively account for 9.38%, 21.45%, and 27.00% of the above financial data.

2. Repurchase funds will be paid at appropriate times within the repurchase period with some flexibility. Combined with the Company’s future business operations and R&D plans, the Company believes that this repurchase will not have a major impact on the Company’s operations, finances, R&D, and future development. The Company has the capacity to pay the repurchase price. At the same time, the repurchased shares will be used to implement an equity incentive plan, which is beneficial for enhancing team cohesion, improving R&D capabilities, and enhancing the Company’s core competitiveness. It is beneficial for improving the Company’s future operating performance and promoting the Company’s long-term, healthy, and sustainable development. After completion of this share repurchase, it will not lead to any change in the Company’s controlling rights. The distribution of equity after the repurchase meets the conditions for a listed company and will not affect the Company’s listing status.

(X) Whether the Company’s directors, senior management, controlling shareholder, actual controller, and persons acting in concert have bought or sold the Company’s shares within the 6 months before the board makes the resolution on the repurchase of shares, whether there are explanations regarding whether they have carried out insider trading and market manipulation independently or jointly with others, and their increase/decrease holding plans during the repurchase period

In the six months prior to the proposal, Mr. Hui Zengyu, the actual controller, and his persons acting in concert, Shandong Huifa Investment Co., Ltd., had not bought or sold the Company’s shares; Mr. Hui Xiping, a person acting in concert, from January 22, 2026 to March 16, 2026, reduced holdings totaling 2,851,500 shares through centralized competitive trading and block trading, representing 1.17% of the Company’s total share capital. For details, please refer to the Company’s “Huifa Foods Shareholders’ Share Reduction Results Announcement” disclosed on March 18, 2025 (Announcement No.: 2026-009). The above actions are independent personal transactions and do not create any conflict of interest with this repurchase plan, nor do they involve insider trading or market manipulation.

Upon self-inspection, aside from the above-mentioned changes in shares, in the six months before the board made the resolution on the repurchase of shares, other directors, senior management, controlling shareholder, and actual controller of the listed company had not engaged in any buying or selling of the Company’s shares, and there is no conflict of interest with this repurchase plan, nor any insider trading or market manipulation. As of the date of the board resolution for this repurchase plan, the Company’s directors, senior management, controlling shareholder, actual controller and persons acting in concert temporarily have no increase/decrease holding plan during the repurchase period (except for increases in holdings under the implementation of the Company’s equity incentive plan). If the above persons subsequently have a plan to increase/decrease holdings, the Company will strictly comply with the relevant laws and regulations and promptly fulfill its information disclosure obligations.

(XI) Specific inquiry to the Company’s directors, senior management, controlling shareholder, actual controller, persons acting in concert, and shareholders holding more than 5% of the shares regarding whether there are any share reduction plans in the next 3 months and the next 6 months

As of the date of disclosure of this announcement, the Company’s directors, senior management, actual controller and persons acting in concert, and shareholders holding more than 5% of the shares currently have no plans to reduce the Company’s shares in the next 3 months and the next 6 months. If the aforementioned persons/ the Company has relevant share reduction plans during the above periods, they will promptly cooperate with the Company to fulfill its information disclosure obligations in accordance with requirements of laws, regulations, normative documents, and undertakings.

(XII) Relevant arrangements for legal cancellation or transfer after the repurchase of shares

The repurchased shares in this proposal are intended to be used to implement an equity incentive plan. If the Company fails to use up the repurchased shares within 3 years after the date of the announcement on the implementation results of the share repurchase and changes in shares, the repurchased shares that have not yet been used will be cancelled. If the state adjusts relevant policies, this repurchase plan will be implemented under the adjusted policies.

(XIII) Relevant arrangements for the Company to prevent infringement of the interests of creditors

This share repurchase will not affect the Company’s normal and ongoing business operations, and will not result in a situation where the Company’s liabilities exceed its assets. If the Company plans to cancel the repurchased shares in the future, it will, in accordance with relevant provisions of laws and regulations such as the “Company Law,” fully protect the legitimate rights and interests of creditors.

(XIV) Specific authorization for handling matters related to this share repurchase

In order to efficiently and orderly complete this share repurchase, the board authorizes the Company’s management to handle all matters related to this share repurchase. The scope of authorization includes but is not limited to:

1. Establishing a dedicated securities account for repurchase and other related matters;

2. Repurchasing shares at appropriate times within the repurchase period, including specific time, price, and number of shares, etc. When the amount of share repurchase funds reaches the lower limit, deciding whether to terminate this repurchase;

3. Adjusting the specific implementation plan in accordance with relevant regulations and the requirements of regulatory authorities, and handling other matters related to the repurchase of shares;

4. Based on the actual repurchase situation, amending provisions in the “Articles of Association” and other materials and documents that may involve changes, and handling matters such as amending the “Articles of Association” and conducting industrial and commercial change registration (if applicable);

5. Handling relevant pre-approvals and approvals, including but not limited to preparing, authorizing, signing, executing, amending, completing all necessary documents, contracts, agreements, etc. related to this share repurchase;

6. If there are changes in regulatory policies regarding share repurchases or changes in market conditions, other than matters that require the board to re-vote in accordance with applicable laws, regulations, and the “Articles of Association,” authorizing the Company’s chairman (or the designated person) to make corresponding adjustments to specific matters such as the specific plan for this share repurchase;

7. In accordance with applicable laws and regulations and the relevant provisions of regulatory authorities, handling other necessary matters for this share repurchase even if they are not listed above.

The validity period of the above authorization shall be from the date on which the board considers and approves this repurchase plan until the date on which all authorization matters are completed.

III. Uncertainty Risks of the Repurchase Proposal

1. If during the repurchase period the Company’s stock price continues to exceed the upper limit of the price disclosed in the repurchase plan, there is a risk that the repurchase plan cannot be implemented as scheduled or can only be implemented in part;

2. If during the implementation of the repurchase, due to factors such as changes in the external environment and temporary operating needs, the funds required for this repurchase may not be raised in a timely manner, leading to the risk that the repurchase plan cannot be implemented;

3. If, due to the occurrence of major events that may significantly impact the trading price of the Company’s stock, or due to changes in the Company’s production and operations, financial conditions, or external objective reasons, the Company’s board of directors may change or terminate this repurchase plan in accordance with rules, etc., then there is a risk that the repurchase plan cannot be implemented as scheduled;

4. The repurchased shares are intended to be used to implement an equity incentive plan. The equity incentive plan still needs to go through the Company’s board of directors’ and shareholders’ decision-making procedures and regulatory approval or filing/registration procedures. If the Company cannot successfully implement the above purpose, there is a risk that repurchased shares cannot be granted. If any of the above circumstances occurs, there is a risk that repurchased shares not yet granted will be cancelled;

5. If the regulatory authorities issue new laws, regulations, and normative documents related to repurchases, there is a risk that, during the implementation of this repurchase, the corresponding clauses of the repurchase plan will need to be adjusted in accordance with new regulatory rules. The Company will, within the repurchase period, implement the repurchase at an opportune time based on market conditions, and will promptly fulfill its information disclosure obligations according to the progress of matters related to the repurchased shares. Investors are kindly requested to be mindful of investment risks.

The Company will arrange funding in advance and make efforts to promote the smooth implementation of this repurchase plan. If any related risks cause the Company’s repurchase in this instance to be unable to be carried out, the Company will, in accordance with the provisions of laws, regulations, and normative documents, fulfill the corresponding procedures and information disclosure obligations, and may change or terminate the repurchase plan at an appropriate time. The Company will, within the repurchase period, implement the repurchase at an opportune time based on market conditions, and will promptly fulfill its information disclosure obligations according to the progress of matters related to the repurchased shares. Investors are kindly requested to be mindful of investment risks.

IV. Other Matters

(I) Opening of the dedicated securities account for share repurchase

According to relevant regulations, the Company has already opened a dedicated securities account for share repurchase with China Securities Depository and Clearing Co., Ltd., Shanghai Branch. This account is used solely for repurchasing the Company’s shares. The specific details are as follows:

Holder name: Shandong Huifa Foods Co., Ltd. Dedicated Securities Account for Repurchase

Securities account number: B884344196

(II) Arrangements for Subsequent Information Disclosure

Within the repurchase period, the Company will make and implement repurchase decisions at an appropriate time based on market conditions, and will promptly fulfill its information disclosure obligations according to the progress of matters related to repurchased shares. Investors are kindly requested to be mindful of investment risks.

This announcement is hereby made.

Board of Directors of Shandong Huifa Foods Co., Ltd.

March 21, 2026

Security Code: 603536 Stock Short Name: Huifa Foods Announcement No.: Lin 2026-011

Shandong Huifa Foods Co., Ltd.

Resolution Announcement of the 10th Meeting of the 5th Session of the Board of Directors

The Board of Directors of the Company and all directors guarantee that this announcement contains no false records, misleading statements, or material omissions, and shall assume individual and joint liability for the authenticity, accuracy, and completeness of the contents of this announcement.

Key Points:

● All directors of the Company attended this meeting.

● All proposals of this board meeting were approved unanimously, with no votes against and no abstentions.

I. Proceedings of the Board Meeting

The notice of the 10th meeting of the 5th session of the Board of Directors of Shandong Huifa Foods Co., Ltd. (hereinafter referred to as the “Company” or “Huifa Foods”) was sent to all directors on March 17, 2026 by delivery. This board meeting was held on March 20, 2026 at the Company’s conference room through a combination of in-person voting and correspondence voting. The meeting should have had 6 directors in attendance, and 6 directors were actually in attendance. The meeting was presided over by the chairman of the Company, Mr. Hui Zengyu. Senior management of the Company attended the meeting. The convening and holding of this meeting comply with relevant provisions of the “Company Law” and other laws, administrative regulations, departmental rules, regulatory normative documents, and the “Articles of Association.” The resolutions formed at this meeting are lawful and effective.

II. Results of the Board Meeting on the Resolutions Considered

The following resolution was approved: “Proposal on the Company’s Share Repurchase Plan by Means of Centralized Competitive Trading”

For specific details, please refer to the “Huifa Foods Share Repurchase Report on the Company’s Plan to Repurchase Company Shares by Means of Centralized Competitive Trading” disclosed on the same day on the website of the Shanghai Stock Exchange (www.sse.com.cn) (Announcement No.: Lin 2026-011).

Voting result: 6 votes in favor, 0 votes against, 0 votes abstaining.

III. Documents for Reference

The resolution of the 10th meeting of the 5th session of the Board of Directors of Huifa Foods.

This announcement is hereby made.

Board of Directors of Shandong Huifa Foods Co., Ltd.

March 21, 2026

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