Dear Shareholders,

On behalf of the board of directors (the “Board”), I am pleased to present to you the operating results of the Company for the year ended 31 December 2025 (the “Reporting Period”).

As of 31 December 2025, according to the Hong Kong Financial Reporting Standards (“HKFRS”), during the Reporting Period, the Company recorded an operating revenue of RMB6,060,486,000, representing a year on-year decrease of 15.27%. Loss before tax and loss attributable to ordinary shareholders amounted to RMB2,788,671,000 and RMB3,045,337,000, respectively. In particular, the after-tax core operating losses of the principal activities of the Company (excluding losses arising from the changes in fair value) were RMB2,768,310,000; the loss (after taxation) on changes in fair value of investment properties during the Reporting Period was RMB277,027,000. Loss per share was RMB0.9045.

Looking back on 2025, the macroeconomic environment remained complex and volatile, and the real estate industry continued to undergo profound adjustment. In the face of development challenges, the Company remained committed to its strategic direction of “synergistic development and reform-driven innovation,” maintained a clear focus on its core responsibilities and principal businesses, deepened the integration and synergies of resources across its various business segments, and continued to enhance management efficiency. In terms of the convention and exhibition business, the Company continued to advance the development of its full industry-chain presence and provided high-quality service guarantee for a number of major state and governmental events, including the Global Leaders’ Meeting on Women. For the first time, the CIFTIS was conducted at a single venue, further promoting the market-oriented and digital development of its primary organizing and hosting operations. The Phase II project of the China National Convention Center and the Capital International Exhibition and Convention Center, two major municipal-level key projects under the Company’s entrusted management, were put into operation to a high standard. The Company’s portfolio of entrusted venue operations continued to expand, further strengthening its brand influence and industry leadership. In terms of convention and exhibition ancillary facilities services, the Company adopted an industry-driven approach to asset operations. The development of the three major industrial parks delivered notable results, while asset operating efficiency and professional service capabilities continued to improve steadily. The Asia Olympic Business District New Consumption Innovation Alliance entered a new stage of normalized operations, and together with the Changsha Beichen Riverside Business District New Lifestyle Innovation Alliance, formed a new pattern of “north-south linkage.” In terms of real estate development business, the Company coordinated efforts to reduce inventory, ensure project delivery, mitigate risks and pursue transformation. Through a multi-pronged approach to implementing tailored strategies for each project, the Company steadily advanced its business transformation amid the deep adjustment of the industry.

2026 marks the first year of the 15th Five-Year Plan. The Company will remain committed to strengthening its “grand convention and exhibition” business as its core, while leveraging digital and intelligent transformation to promote the deeper and more coordinated development of all business segments. In particular, the convention and exhibition business will serve as a leading force and key driver in building a new business framework centred on government-sponsored events, international events, proprietary branded events, and the provision of one-stop convention and exhibition services for leading enterprises. The convention and exhibition and ancillary facilities services business prioritizes asset value enhancement as its core objective, leveraging the industrial park’s resource aggregation advantages around the “convention and exhibition +” model to establish new benchmarks in asset operations. The real estate development business will remain firmly committed to maintaining its bottom line while accelerating transformation, shifting from a traditional property developer to a professional urban renewal service provider built on the “convention and exhibition +” model.

I firmly believe that, guided by the corporate spirit of “loyalty, commitment, co-creation and shared excellence,” all staff members of North Star will, with a strong sense of mission and a high degree of responsibility, confront challenges head-on and strive for excellence. We will live up to the trust placed in us by our investors and work relentlessly to build the Company into a leading enterprise in China and a globally recognised leader across the convention and exhibition industry chain, as well as a comprehensive operator empowered by the “convention and exhibition +” model.

Finally, on behalf of the Board, I would like to express our most sincere gratitude to all shareholders who have been supporting the development of the Company, and also to all the members of the Board and the management of the Company for their due diligence, and I would like to extend our heartfelt thanks to all the staff members of the Company for all the hard work they have done!

By Order of the Board