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POSITIVE PROFIT ALERT

2024-07-10 00:00:00

Hong Kong Exchange and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.Q TECHNOLOGY (GROUP) COMPANY LIMITED 丘钛科技(集团)有限公司 (Incorporated in the Cayman Islands with limited liability) (Stock Code: 1478) POSITIVE PROFIT ALERT This announcement is made by Q Technology (Group) Company Limited (the “Company” together with its subsidiaries the “Group”) pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “Listing Rules”) and Part XIVA of the Securities and Futures Ordinance (Chapter 571 Laws of Hong Kong).The board of directors of the Company (the “Board”) wishes to inform the shareholders of the Company (the “Shareholders”) and potential investors that based on the information currently available to the Company and the preliminary review by the Board on the unaudited management accounts of the Group for the six months ended 30 June 2024 which have not been reviewed or audited by the independent auditors and/or the audit committee of the Company it is expected that the consolidated profit attributable to the Shareholders of the Group for the six months ended 30 June 2024 (the “Period”) may increase by approximately 400% to 500% as compared to the consolidated profit attributable to the Shareholders of approximately RMB21692000 for the six months ended 30 June 2023 (the “Corresponding Period”).The Board believes that the expected significant year-on-year increase in profit attributable to the Shareholders is mainly due to the following factors: (i) during the Period the global smartphone sales improved and the Group’s share of cooperation with major global smartphone brands increased. At the same time the Group made significant progress in its camera module business for automotive and Internet of Things (IoT) fields resulting in a year-on-year increase of approximately 30.8% in the Group’s camera module sales volume and a significant improvement in capacity utilisation rate compared to that of the Corresponding Period; (ii) during the Period the Group continued to adhere to the business strategy of focusing on mid-to-high end camera modules and the combined sales volume of camera modules with resolutions of 32 megapixels and above applied to mobile phones and camera modules applied to in other fields accounted for approximately 49.2% of the total sales volume of camera modules and the increase in the proportion of high-end products helped to improve the added value of the Group’s products and further conducive to the improvement of gross profit margin; and (iii) during the Period the operating results of an associate invested by the Group improved compared to that of the Corresponding Period with a significant year-on-year decrease in the share of loss of an associate attributable to the Group. 1The information contained in this announcement is only based on the information currently available to the Company and the preliminary review by the Board on the unaudited management accounts of the Group for the Period which have not been reviewed or audited by the independent auditors and/or the audit committee of the Company. Therefore the actual financial results of the Group for the Period may differ from what is disclosed in this announcement. Shareholders and potential investors are advised to read carefully about the announcement of the Company for the interim results for the Period which is expected to be published in mid-August 2024 in accordance with the requirements of the Listing Rules.Shareholders and potential investors are advised to exercise caution when dealing in the shares of the Company.By Order of the Board Q Technology (Group) Company Limited He Ningning Chairman and Executive Director Hong Kong 10 July 2024 As at the date of this announcement the executive directors of the Company are Mr. He Ningning (Chairman) Mr. Hu Sanmu (chief executive officer) and Mr. Fan Fuqiang; and the independent non-executive directors are Mr. Ko Ping Keung Mr. Chu Chia-Hsiang and Ms. Hui Hiu Ching. 2