Interim report 2025/26

科軒動力（控股）有限公司

(Incorporated in Bermuda with limited liability) (Stock Code: 476)

Contents

CORPORATE INFORMATION 2

MANAGEMENT DISCUSSION AND ANALYSIS 3-24

CONDENSED INTERIM FINANCIAL STATEMENTS

Condensed Consolidated Statement of Profit or Loss and Other

Comprehensive Income 25-26

Condensed Consolidated Statement of Financial Position 27-28

Condensed Consolidated Statement of Changes in Equity 29

Condensed Consolidated Statement of Cash Flows 30-32

NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS 33-60

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 1

Corporate Information

Executive Directors

Ms. Chan Hoi Ying (Chairman)

Mr. Yan Zhang Yan Mr. Zeng Yan

Independent Non-Executive Directors

Mr. Chan Francis Ping Kuen Mr. Lee Kwok Leung

Dato' Tan Yee Boon

Ms. Chiang Siu Ling, Samantha

Mr. Chan Francis Ping Kuen Mr. Lee Kwok Leung

Dato' Tan Yee Boon

BDO Limited

Certified Public Accountants

Registered Public Interest Entity Auditor 25th Floor, Wing On Centre

111 Connaught Road Central Hong Kong

CFN Lawyers LLP

27th Floor, Neich Tower 128 Gloucester Road Wanchai, Hong Kong

0476

46th Floor, United Asia Finance Centre 333 Lockhart Road

Wanchai, Hong Kong

Clarendon House 2 Church Street

Hamilton HM 11 Bermuda

Tricor Investor Services Limited 17th Floor, Far East Finance Centre 16 Harcourt Road

Hong Kong

Ocorian Management (Bermuda) Limited Victoria Place, 5th Floor

31 Victoria Street

Hamilton HM 10 Bermuda

Ms. Chan Hoi Ying

Mr. Leung Wai Chun, CPA

Mr. Leung Wai Chun, CPA

Bank of Communications Co., Ltd. Hang Seng Bank Limited

https://www.evdynamics.com

2 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

The board of directors (the "Board") of Ev Dynamics (Holdings) Limited (the "Company") is pleased to present the unaudited consolidated interim results of the Company and its subsidiaries (the "Group") for the six months ended 30 September 2025.

During the six months ended 30 September 2025, the Group recorded revenue of approximately HK$5.3 million (six months ended 30 September 2024: HK$2.2 million) derived from the sale of electric vehicles. Gross profit amounted to approximately HK$1.4 million (six months ended 30 September 2024: HK$0.6 million), with the gross profit ratio of 26.0% (six months ended 30 September 2024: 29.7%).

The Group recorded a loss of approximately HK$16.7 million for the six months ended 30 September 2025 (six months ended 30 September 2024: HK$41.7 million). The decrease in loss was mainly due to HK$nil loss on change in fair value and realised loss on disposal of financial assets at fair value through profit or loss ("FVTPL") recognised for the six months ended 30 September 2025 (six months ended 30 September 2024: HK$21.9 million).

The loss attributable to owners of the Company for the six months ended 30 September 2025 was approximately HK$16.2 million (six months ended 30 September 2024: HK$41.2 million). Basic and diluted loss per share (after adjustment of 2024 Share Consolidation) for the six months ended 30 September 2025 was HK$0.071 per share (six months ended 30 September 2024: HK$0.222 per share).

The directors of the Company do not recommend the payment of any interim dividend for the six months ended 30 September 2025 (six months ended 30 September 2024: HK$nil).

Electric Vehicles ("EV") and e-Mobility Solutions

The Group, through its subsidiary Chongqing Suitong New Energy Automotive Manufacturing Co., Ltd. ("Suitong"), operates a manufacturing base in Chongqing dedicated to the development and production of EV, including electric buses ("eBus") and purpose-build electric vehicles.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 3

Management Discussion and Analysis

Beyond vehicle manufacturing, the Group has expanded into integrated e-Mobility Solutions, offering an integrated ecosystem in the PRC that combine vehicle supply, operations and other value-added services such as charging infrastructure deployment. This approach enables the Group to address specific customer needs in high-utilisation, closed-loop logistics environments, while accelerating the adoption of clean transportation in China's industrial sectors.

Electric Vehicles Business

Hong Kong Market

The Group maintains its steadfast commitment to Hong Kong's electric transport transformation. In Hong Kong, we have successfully commercialized these purpose-built electric vehicles:

1. eBuses

   During the reporting period, a 12-meter eBus (a model featured by extra low platform which specifically designed for seniors and those with disabilities) of approximately HK$5.3 million has been delivered to the customer (a reputable non-profit organisation in Hong Kong). This is a new order with the Hong Kong Productivity Council ("HKPC"), following the successful fulfillment of prior eBus orders for the Airport Authority Hong Kong and the Hong Kong Anti-Cancer Society.

   In September 2025, the Group was awarded a contract by another Hong Kong nonprofit organisation for the supply of one 56-seater eBus, valued at approximately HK$2 million. This vehicle is customised to meet local operational and safety requirements, and is expected to be completed and delivered by mid-2026.

2. Electric Mobile Command Unit

In September 2023, the Group was successfully awarded a contract at approximately HK$9 million to supply the first electric mobile command unit (the "EMCU") to the Hong Kong Fire Services Department (the "FSD"). This EMCU features a powerful 350kW electric motor and a substantial 422kWh battery capacity. Additionally, it incorporates a high-capacity uninterruptable power supply system to maintain the wireless communication and electronic dispatch system, and it is supported by a generator and a public power connection device, ensuring uninterrupted system operation under all circumstances. Following recent discussions with the FSD, the delivery of the EMCU is now anticipated to take place in third quarter of 2026.

4 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

In addition to the orders mentioned above, the Group has been actively pursuing strategic collaborations with key industry players. In early December 2024, the Group and a leading bus manufacturer in the PRC jointly submitted a tender application to a renowned public transportation operator in Hong Kong for the potential supply of up to 300 units of electric buses. Subsequent to the submission, the Group has been notified that the operator is required to restructure and re-issue the tender due to their internal arrangement. This procedural adjustment has then delayed the overall timeline. Despite the delay, during the current interim period, the Group has maintained close and constructive engagement with the operator, and intends to resubmit a refined proposal in the upcoming re-tender process, which is expected to launch in coming months. Given the Group's technical readiness and established partnership with the PRC manufacturer, management remains confident in the competitiveness of its offering.

Separately, the Group is also in active discussions with another leading transportation operator in Hong Kong, which has recently been allocated a government subsidy for few hundred units of electric buses. It is expected that to initiate its tender process in the near term, and the Group is preparing to participate and seize this strategic opportunity.

The Group remains committed to exploring and capitalizing on business opportunities within the Hong Kong market. We are confident in our ability to effectively market and sell our vehicles, maintaining a competitive edge in this evolving sector.

Southeast Asian Market

Over the past few years, the Group has continued in developing and deploying eco-friendly transportation solutions tailored to emerging markets such as the Philippines and Thailand. In the Philippines, the Group introduced COMET, a fully customized electric city bus designed as a modern replacement for traditional Jeepneys. To date, over 60 units have been delivered and are in operation. However, further orders has been deferred due to the delayed progress payments from the customer, which reflects global economic headwinds and cautious capital expenditure sentiment in the region.

Separately, the Group also conducted preliminary trials in Thailand involving e-conversion kits for London taxis, three-wheeled "tuk-tuks", and medium-duty trucks, aligning with the local EV policy trend. These initiatives remained at the trial stage, with validation and performance testing still ongoing.

Despite these efforts, the economic environment remains uncertain, leading customers to adopt a more cautious approach and therefore no sizeable follow-on order has been materialized as at the reporting date. On the other hand, the departure of an executive who was previously responsible for overseeing Southeast Asian operations, have led to a strategic review of resource allocation in the region. Management will continue to monitor market conditions closely and periodically reassess the long-term viability and strategic fit of the Southeast Asian segment.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 5

Management Discussion and Analysis

American and European Market

1. 6-meter Van Chassis

During the year between 2022 and 2023, the Group entered into a sales agreement with a bakery company in Mexico for the supply of up to 1,000 units of van chassis. An initial batch of 200 units was successfully delivered and accepted in early 2023. Subsequently, the Group received further deposits from the customer for an additional 800 units and accordingly placed a corresponding order with an OEM in the PRC, resulting in the production of 250 units.

However, the customer ultimately did not proceed with further progress payment these units. After extensive discussions, the Group and the customer mutually agreed to terminate the contract in October 2025. The related OEM supply arrangement was also formally concluded.

In parallel, the Group had engaged a local Mexican distributor to explore alternative sales channels for the 6-meter van chassis, pending local homologation. However, considering the elevated costs (including but not limited to the cost of vehicle procurements, import duty, VAT, delivery and storage) associated with vehicles homologation in the Mexican market, as well as heightened geopolitical and trade policy uncertainties in the Americas (including potential changes to cross-border regulations under the new U.S. administration), the distributor has deferred their procurement plans. As a result, no further progress has been made on this front.

While the Group has now closed out its direct exposure related to this initiative, management continues to monitor commercial vehicle electrification trends in Latin America and will remain open to evaluating new partnership opportunities should market conditions stabilise and demand emerge.

e-Mobility Solutions

During the financial period, the Company commenced the strategic move, "e-Mobility Solutions", an expansion of its legacy "Purpose-built electric transport solutions" offering. Moving beyond traditional vehicle supply (notably electric buses for institutional clients), the Group builds and offers an integrated green mobility ecosystem encompassing vehicle procurement, operations management, charging/swapping services, and carbon emission route management. Strategic partnerships have been established with leading domestic vehicle manufacturers and charging station service providers to create a closed-loop ecosystem for new energy heavy trucks.

6 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

The core of this enhanced business lies in precisely targeting the national strategic-level logistics corridor of "Xinjiang Coal Outbound Transport". Xinjiang is rich in coal resources, yet the long-distance outbound transport, high emissions from traditional diesel heavy trucks, and substantial cost pressures have formed long-term challenges in the industry. The Group's electric heavy truck solutions represents revolutionary innovations tailored for this situation. Our enhanced business model has now moving forward from one-off vehicle sales to a recurring revenue structure centered on "vehicle operations and energy services." In the future, through Taas ("Transport as a Service") model (a model that green transport services charged by mileage or ton-kilometer), allowing customers to enjoy zero-emission transportation without bearing the high initial vehicle purchase costs or technological risks. This aligns deeply with China's dual carbon goals and the Western Development Strategy. Furthermore, the enhanced business model mitigates risks associated with the pricing pressures arising from the industrial involution in the traditional vehicle sales environment, positioning the Group as a pioneer in sustainable logistics solutions.

This enhanced business model has taken the lead in achieving commercial implementation in the core coal logistics corridor of "Xinjiang Coal Entering Gansu,", supported by partnerships with two key state-owned enterprises in Gansu. Up to the reporting date, the Group has already entered into three legal binding long-term operational agreements with certain PRC customers (subsidiaries of a state-owned enterprise) for provision and operation of electric vehicles in coal transportation. It demonstrates strong partnership's confidence in the project's viability, as well as the market's dual recognition of electric heavy trucks for both economic efficiency and environmental sustainability, underscoring the Group's commitment to building a sustainable zero-emission ecosystem in Northwest China.

To support these initiatives, approximately HK18 million of the HK$27 million raised from the September 2025 subscription under specific mandate has already been allocated toward to e-Mobility Solutions for vehicle procurement, charging infrastructure setup, and regional operational establishment across Gansu and Xinjiang. As a result, as at the reporting date, the Group currently operates a fleet of nearly 50 electric trucks, actively serving the existing projects. The Group anticipates generating annual revenue of approximately RMB50-60 million under this scale.

In addition, the Group is in active negotiations with several other sizable potential customers on similar contracts, and expects to secure further binding long-term operational agreements in the near term. Recognising the capital intensity of fast expansion and to align funding with execution pace, the Group announced in November 2025, a proposed placing under a general mandate for gross proceeds of up to HK$20.3 million. Of this, approximately 75% is intended to be allocated to the development of the new energy business, particularly to facilitate the expansion of the e-Mobility Solutions and support working capital needs during this ramp-up phase. This additional funding is expected to enable the Group to capture upcoming opportunities and further solidify its operational footprint.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 7

Management Discussion and Analysis

Infrastructure is the key to ensuring operational efficiency. The Group, through its wholly-owned subsidiaries located in Lanzhou, Hami, Guazhou, and Xinjiang, is closely cooperating with local governments and power grid enterprises to prioritize obtaining land use rights and green power quotas at key logistics nodes. It is committed to building an integrated "Solar-Storage-Charging-Swapping" energy supply network, ensuring the green electricity supply and operational efficiency of the transportation corridor.

Looking ahead, the Group remains steadfast in deepening its e-Mobility Solutions. The successful validation of the "Xinjiang Coal Entering Gansu" new energy coal corridor not only provides a green model for "Xinjiang Coal Outbound Transport" but will also become a blueprint replicable to other national bulk commodity transportation corridors, such as "Xinjiang Coal Entering Cao" and "Mongolia Coal Outbound Transport". The Group will actively seek additional financing opportunities to accelerate ecosystem scaling, optimize asset utilization, and commercialize closed-loop green logistics corridors. Our goal is to become the defining leader in green transportation for commercial heavy trucks nationwide, lightening the burden on the Earth and empowering the future of logistics.

Suitong Disposal

On 2 June 2023, the Group has entered into a sale and purchase agreement (the "Disposal Agreement") for selling its entire equity interests in a group of subsidiaries (the "Target Group") to an independent third party (the "Purchaser") at a consideration of RMB34 million (the "Suitong Disposal"). The intended assets to be disposed of are certain intangible assets including the modified bus enterprise status which is embedded with the entity of Chongqing Suitong New Energy Automotive Manufacturing Co., Ltd. ("Suitong"), one of the subsidiaries of the Target Group, where all other major assets and liabilities of the Target Group will be retained in the Group prior to the completion through restructuring. As previously disclosed, the Company's core business operations have not been materially affected by this transaction.

However, the Disposal Agreement was not completed due to the Purchaser's failure to make required progress payments and to cooperate in the transfer of key assets, including land use rights. Despite repeated efforts by the Group and mediation support from local government authorities in Chongqing, the parties were unable to resolve their differences.

On 21 August 2024, the Purchaser initiated arbitration proceedings at the Chongqing Arbitration Commission (the "CQ Arbitration"), seeking, among other things, the return of the RMB34 million consideration, contractual penalties, and additional compensation. Subsequently, on 3 September 2024, the Group has received an enforcement notice from the Third Intermediate People's Court of Chongqing that the equity interests in Chongqing Suitong New Energy Automotive Manufacturing Co. Ltd (重慶穗通新能源汽車製造有限公 司), Shenzhen New Energy Technology Company Limited (深圳市中動智慧新能源技術有限公司) and Dongguan Sinocop Electric Vehicles Company Limited (東莞中銅電動汽車有限公司) held by the Group were frozen for three years.

8 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

Subsequent to the hearings held in CQ Arbitration tribunal in January 2025, on 27 May 2025, the Group received a judgement of the CQ Arbitration dated 16 May 2025 from Chongqing Arbitration Commission (the "Judgement"), pursuant to which it was ruled by the Chongqing Arbitration Commission that (i) the Disposal Agreement shall be terminated effectively on 12 September 2024; (ii) the Group shall return the consideration of RMB34 million of the Suitong Disposal to the Purchaser and pay an amount of approximately RMB5.5 million to the Purchaser as liquidated damages for the breach of the terms under the Disposal Agreement and cost incurred by the Purchaser for the asset preservation application; and (iii) the Purchaser shall pay an amount of RMB760,000 to the Group as liquidated damages for the breach of the terms under the Disposal Agreement.

On 6 August 2025, the Company received further notices dated 25 July 2025 (the "Enforcement Notices") from Dongguan Intermediate People's Court of Guangdong Province (the "DG Court"), pursuant to which it was reiterated that the Judgement is enforceable.

The Group subsequently applied to the Primary People's Court of Chongqing for revocation of the Judgement and the hearing was held on 22 September 2025. On 21 October 2025, the Group was notified that the court has upheld the decision from the Judgement.

Following this outcome, the Group has immediately engaged legal counsel to proactively manage the enforcement process. The Group is actively communicating with the PRC legal counsel in handling and coordinating with the relevant authorities regarding the enforcement, with the objective of resolving the matter within the PRC jurisdiction.

Given that the Company acted as a general guarantor under the transaction, the Group is prioritising the complete settlement of the Judgement through the available domestic assets. In particular, it is expected that the assets held by the Company's subsidiary in Chongqing will be sufficient to cover the full amount of the Judgement. The Company does not anticipate that the enforcement proceedings will have a material adverse impact on its ongoing business operations. The Board will continue to closely monitor developments and take all necessary measures to safeguard the Company's interests.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 9

Management Discussion and Analysis

Mining and production of mineral products

The Group's wholly-owned subsidiary, Guangxi Weiri Mining Company Limited (the "Guangxi Weiri"), owns the Glauberite Mine located in the Guangxi Zhuang Autonomous Region of the PRC. The product extracted from the Glauberite Mine is thenardite, an important raw material used in chemical and light industrial manufacturing. No exploration, development or production activity related to the Glauberite Mine was conducted during the six months ended 30 September 2025. Details regarding the mineral resources information of the Glauberite Mine are available in the "Mineral Resources Information" section below.

Update of development of the Glauberite Mine

As stated in the previous annual report and the supplemental announcement dated 14 August 2024, the Company considered the possibility of implementing the Revised Mining Plan, which utilises the latest modern technology to allow the extraction of the minerals in the Glauberite Mine in a more efficient manner as compared to the original mining plan.

In January 2024, China Tianchen Engineering Corporation ("TCC") has issued the feasibility studies report on the Revised Mining Plan (the "Feasibility Report"), which is intended for an annual production of 100,000 tons of baking soda and 80,000 tons of ammonium sulfate. Based on the opinion of TCC, the Revised Mining Plan which utilises (i) the Guangxi Land, the infrastructure and resources of Guangxi Weiri; and (ii) latest mining technology and extraction solutions provided by the Institute of Process Engineering of Chinese Academy of Sciences ("CAS"), is more economically efficient than the original mining plan. It is expected that, upon the implementation of the Revised Mining Plan, the Glauberite Mine generate positive revenue and net profit annually. Based on the preliminary estimation conducted by TCC, an initial investment and working capital of around RMB350 million is required for the construction of the above infrastructure and the operation of the Revised Mining Plan. It is expected to take around 18 to 24 months to complete the construction work upon commencement of the project.

The implementation of the Revised Mining Plan is subject to, among other things (i) the fundings required for the implementation of the Revised Mining Plan; and (ii) the board approval of the Company after considering factors such as the cashflow of the Company and valuation report of the Glauberite Mine to be further conducted based on the Revised Mining Plan.

10 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

Refining the shareholding structure of Guangxi Weiri

As disclose in the supplemental announcement dated 14 August 2024, the Group commenced litigation against Mr. Zhou Bo in the PRC in February 2024 for failing to transfer 1% registered shares in Guangxi Weiri as instructed pursuant to the deed of assignment dated 20 July 2011 (the "Deed"). The initial hearing was held on 20 May 2024, with a second hearing held in July 2025.

On 30 July 2025, the Court issued a judgment in favour of the Group, ordering Mr. Zhou Bo to, within 30 days from the effective date of the judgment, complete the transfer the 1% equity interest in Guangxi Weiri to the Group. In August 2025, the Group was informed that Mr. Zhou Bo has filed an appeal against the judgment. The Board will continue to closely monitor developments and take all necessary measures to safeguard the Company's interests.

Litigation against Guangxi Weiri

On 9 December 2022, one contractor (the "Contractor") has commenced an arbitration against Guangxi Weiri (the "Arbitration"). The Contractor applied to the People's Court of Qingxiu District Nanning Municipality (the "Qingxiu Court") requesting Guangxi Weiri for the payment of the contract sum and respective interest in the aggregate amount of approximately RMB2.5 million in relation to a construction and exploration contract entered into by Guangxi Weiri and the Contractor in December 2014. On 13 April 2023, the first hearing was held by the Qingxiu Court in relation to the Arbitration. On 25 May 2023, the Contractor applied to the Qingxiu Court for the judicial preservation of assets of Guangxi Weiri in the amount of approximately RMB2.5 million.

Pursuant to a notice from the Qingxiu Court (the "Notice") dated 12 June 2023, which was received by the management of the Company on 5 July 2023, the mining right of the Glauberite Mine held by Guangxi Weiri (the "Mining Right") was frozen for judicial preservation (the "Preservation") in relation to the Arbitration for a period of three years from 26 May 2023 to 26 May 2026. On 30 June 2023, the Group received the decision from the Qingxiu Court that ordered Guangxi Weiri to pay the Contractor RMB0.9 million plus interest (the "Claimed Amount"). The Company has consulted its legal adviser and understands that (i) the Preservation only prohibits the change of legal title of the Mining Right by Guangxi Weiri, but does not affect the rights entitled by Guangxi Weiri under the Mining Rights, including the business operations and exploration or exploitation activities of the Glauberite Mine; and (ii) the Preservation of the Mining Right will be lifted immediately in the event the Company settles the Claimed Amount in accordance with the decision of the Qingxiu Court for the Arbitration. As such, the Company considers there are no legal obstacle in relation to the development of the Glauberite Mine with the Mining Rights. As at 30 September 2025, an estimated amounted of approximately RMB1,559,000 has been provided and included in "other payables and accruals".

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 11

Management Discussion and Analysis

Subsequently, on 4 November 2025, the Qingxiu Court issued an enforcement ruling and a notice to Guangxi Weiri requiring payment of approximately RMB1.59 million plus accrued interest in respect of the outstanding judgment. The Company, together with its legal advisers, is closely monitoring the enforcement and actively discussing potential arrangements to resolve the enforcement proceedings in a timely and prudent manner.

Litigation against Wise Goal

On 3 August 2021, the Group was notified by the Intermediate People's Court of Nanning Municipality (the "Nanning Court") of a lawsuit filed by Mr. Zhou Bo (the "Plaintiff") on 27 July 2021. The Plaintiff sought (i) payment of RMB21.7 million in unpaid share capital by Wise Goal Enterprises Limited ("Wise Goal") to Guangxi Weiri; (ii) judicial preservation of Guangxi Weiri's equity interest (the "Property Preservation"). The Board is of the view that the action is frivolous, as it contradicted the shareholders' agreed capital contribution arrangement for Guangxi Weiri. Consequently, no impairment of the Group's investment in Wise Goal was recognised. The Group engaged PRC legal counsel to defend its interests, with court hearings held in October and November 2021.

On 13 January 2023, the Group received the decision from the Nanning Court, ordering Wise Goal to complete the non-paid up share capital of RMB21.7 million and to reimburse Mr. Zhou Bo RMB1.5 million (the "Decision"). Wise Goal appealed the decision on 3 February 2023, however the Higher People's Court of Guangxi upheld the ruling on 27 June 2023.

In October 2023, an application of re-examination has been submitted to The Supreme People's Court of the PRC. This case was consolidated with ongoing litigation against Mr. Zhou Bo (see section "Refining the Shareholding Structure of Guangxi Weiri" above). The first hearing occurred on 20 May 2024 and a second hearing took place in July 2025. On 30 July 2025, the Court issued a judgment in favour of the Group, ordering Mr. Zhou Bo to, within 30 days of the judgment taking effect, complete the shareholder registration to transfer the 1% equity interest in Guangxi Weiri to the Group. However, in August 2025, the Group was notified that Mr. Zhou Bo has filed an appeal against the judgment. No hearing date for the appellate proceeding has been scheduled as at the date of this report.

In parallel, enforcement actions (the auction the 25.1259% equity interest of Guangxi Weiri) related to the reimbursement order (RMB1.5 million) remain stayed pending the outcome of the appeal. The Group remains confident that a favorable judgment in the upcoming hearing could overturn the reimbursement order.

The Group continues to actively engage its PRC legal counsel to defend its position and will closely monitor all developments.

12 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

Mineral resources information

The below table sets out the mineral resource information of the Guangxi Glauberite Mine as of 30 September 2025:

1. Any differences between totals and sum of components are due to rounding.

2. There was no changes of the mineral resources information from 31 March 2025 (the effective date of the mineral resource is 31 March 2025).

3. The mineral resource estimate is in accordance with the JORC Code 2012 with an effective date of 31 March 2025.

Metals and minerals trading

The metals and minerals trading industry has remained weak and the profit margins of such business are low, the Group did not conclude any trading contract on metal ores during the six months ended 30 September 2025 to avoid any possible risk. The Group continues to identify and pursue other types of resources for the trading business and believes that it will be able to seize such opportunities as they arise.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 13

Management Discussion and Analysis

The directors of the Company have considered various ways of raising funds. During the six months ended 30 September 2025, the Group completed (i) a placing of new shares under general mandate for net proceed of approximately HK$7.86 million in May 2025; and (ii) a subscription of new shares under specific mandate for net proceed of approximately HK$26.8 million. These fund raising activities serve as significant financial support for enhancing liquidity and future development.

As at 30 September 2025, the net asset value of the Group amounted to approximately HK$887.8 million (31 March 2025: HK$847.9 million). The gearing ratio of the Group was 1.65% (31 March 2025: 2.14%) and the equity attributable to owners of the Company was approximately HK$913.2 million (31 March 2025: HK$872.6 million).

The operating cash flows of the Group are mainly denominated in Hong Kong dollars, Renminbi, US dollars and Euro. Certain bank deposits, receivables and payables of the Group are denominated in Renminbi, US dollars and Euro. As at 30 September 2025, the Group had unpledged cash and bank balances of approximately HK$20.2 million (31 March 2025: HK$8.4 million), of which 27.8% (31 March 2025: 12.2%) was denominated in HK dollars and 71.7%

(31 March 2025: 86.5%) was denominated in Renminbi.

During the reporting period, the exchange rate of the Renminbi increased by approximately 1.88% against the HK dollar. This had a positive impact on the results of the Group on the translation of the Group's assets that are denominated in Renminbi. The Group has not entered into any foreign currency exchange forward contracts for hedging purposes for Renminbi during the six months ended 30 September 2025. Foreign exchange exposure in respect of US dollars is considered to be minimal as the exchange rate between HK dollars and US dollars is pegged. Foreign exchange exposure in respect of the Euro is also considered to be minimal in the current period. The Group will closely monitor its currency exposure and, when it considers appropriate, will take the necessary actions to ensure that such exposure is properly hedged.

USE OF PROCEEDS

Placing under general mandate

On 9 May 2025, the Company completed a placing of 27,000,000 new shares to not less than six placees at the placing price of HK$0.30 per placing share under the general mandate granted to the directors of the Company on 15 August 2024. The net proceeds from the placing after deducting all relevant expenses were approximately HK$7.86 million, which were fully utilised for the general working capital of the Group as intended as at the date of this report.

14 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

Subscription under specific mandate

On 10 September 2025, the Company completed a subscription of 60,000,000 new shares at the subscription price of HK$0.45 per subscription share under the specific mandate granted to the directors of the Company at a special general meeting held on 29 August 2025. The net proceeds from the subscription were approximately HK$26.8 million. The details of use of the net proceeds are as follows:

In 2025, the global economy has continued to recover. Despite signs of improvement, significant headwinds persist, most notably elevated trade tensions between the U.S. and China, ongoing geopolitical uncertainty and trade protectionism. These factors are expected to put pressure on both global and local economic growth in the near term. Nevertheless, China's economy is showing signs of rebound, supported by targeted government stimulus measures and a gradual recovery in domestic consumption, which will benefit consumer and business confidence.

The Group will continue its effort to strengthen its existing EV business and allocate the resources on a more effective and profitable way. The Group will also actively develop its e-Mobility Solution business, especially the new projects in Northwest China which the Board considers that the market is growing rapidly in recent years. Despite the current challenging environment, the Group continue closely monitor the performance, development and potential business risks and identify the most suitable diversification of the Group's portfolio of businesses. The Group will maintain its cautiously outlook and explore other business opportunities which are able to bring satisfactory and sustainable returns to the Group and maximize the shareholders' value.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 15

Management Discussion and Analysis

As at 30 September 2025, the equity interests in Shenzhen New Energy Technology Company Limited (深圳市中動智慧新能源技術有限公司) and Dongguan Sinocop Electric Vehicles Company Limited (東莞中銅電動汽車有限公司) held by the Group were remained frozen in relation to the CQ Arbitration for three years from 5 September 2024 to 4 September 2027. Details of the CQ Arbitration are set out in the "Business Review" above.

As at 30 September 2025, the Mining Rights were remained frozen for Preservation in relation to the Arbitration for a period of three years from 26 May 2023 to 26 May 2026. Details of the Arbitration are set out in the "Business Review" above.

Save as disclosed herein, there was no other charge on the Group's assets and the Group did not have any significant contingent liabilities not accounted for as at 30 September 2025.

As at 30 September 2025, the Group employed 49 (31 March 2025: 41) full time managerial and skilled staff principally in Hong Kong and the PRC. The Group continues working on a cost optimization plan in order to ensure maximum efficiency.

The Group remunerates and provides benefits for its employees based on current industry practices. Discretionary bonuses and other individual performance bonuses are awarded to staff based on the financial performance of the Group and performance of individual staff. In the PRC, the Group provides staff welfare for its employees in accordance with prevailing labor legislation. In Hong Kong, the Group provides staff benefits including the mandatory provident fund scheme and medical scheme. In addition, share options and share awards are granted to eligible employees in accordance with the terms of the Company's Share Schemes adopted.

Details regarding the events after the reporting period are set out in note 29 to the condensed consolidated financial statements.

16 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

Placing under general mandate

On 10 November 2025, the Board proposed to conduct a placing of maximum 26,000,000 new shares to raise up to approximately HK$20.3 million (before expenses). The maximum of 26,000,000 placing shares will be issued under the general mandate granted to the directors of the Company on 29 September 2025. The maximum number of 26,000,000 placing shares represents approximately 8.05% of the share capital of the Company as enlarged by the placing. Details of the placing are set out in the announcements dated 10 November 2025 and 12 November 2025.

2024 Convertible Notes

On 13 September 2024, the Company issued 5,000,000 4% convertible notes for a principal amount of HK$5 million at the adjusted conversion price of HK$0.5 per conversion share (adjusted after the 2024 Share Consolidation took effect on 13 November 2024) under the general mandate granted to the directors of the Company on 15 August 2024. During the period ended 30 September 2025, the holder of the 2024 Convertible Notes has exercise all the conversion rights over the 2024 Convertible Notes in the principal amount of HK$5 million, which were converted into 10,000,000 conversion shares (representing approximately 3.37% of the issued capital of the Company). Details of the 2024 Convertible Note are set out in the announcement dated 2 September 2024.

Share Schemes

2013 Share Option Scheme

The Company adopted a share option scheme (the "2013 Share Option Scheme") by an ordinary resolution of the shareholders at annual general meeting of the Company on 30 August 2013, which is expired on 30 August 2023. As at the date of this report, 12,897,581 shares are available for issue under the 2013 Share Option Scheme, representing 4.34% of the issued shares of the Company. All outstanding options granted under the 2013 Share Option Scheme prior to its expiration will continue to be valid and exercisable in accordance with the rules of the 2013 Share Option Scheme.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 17

Management Discussion and Analysis

The detailed movement of the share options under 2013 Share Option Scheme for the six months ended 30 September 2025 are set out as follows:

Number of underlying shares comprised in share options

09 March 2026 11 March 2020

Total 13,134,834 - - - 13,134,834

2023 Share Option Scheme

In view of expiration of the 2013 Share Option Scheme and no further options can thereafter be offered or granted, the Company then adopted a new share option scheme (the "2023 Share Option Scheme") by way of an ordinary resolution at the annual general meeting of the Company held on 29 August 2023 (the "Adoption Date"). The 2023 Share Option Scheme, unless otherwise cancelled or amended, will remain in force for 10 years from the Adoption Date. As at the date of this report, the remaining life of the 2023 Share Option Scheme is approximately 7 years.

No share option has been granted under 2023 Share Option scheme since its adoption.

18 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

2019 Share Award Plan

The Company adopted a share award plan on 8 May 2019 (the "2019 Share Award Plan"). Details of the 2019 Share Award Plan are set out in the announcement of the Company dated 8 May 2019.

On 29 August 2023, certain proposed amendments to the 2019 Share Award Plan and adoption of the amended 2019 Share Award Plan were approved by way of an ordinary resolution at the annual general meeting of the Company. Details of the amended 2019 Share Award Plan are set out in the circular of the Company dated 28 July 2023.

During the six months ended 30 September 2025, no awarded shares were granted to any participant (six months ended 30 September 2024: nil).

Overall Scheme Limit

The overall scheme limit represents a limit on the total number of shares of the Company which may be allotted and issued in respect of all options and awards to be granted under 2023 Share Option scheme and 2019 Share Award Plan (the "Existing Schemes"), which must not exceed 10% of the issued shares as at the Adoption Date. As at 30 September 2025, the total number of options and awards available for grant under the scheme mandate of Existing Schemes was 18,559,357 (1 April 2025: 18,559,357). No service provider sublimit is applicable under the Existing Schemes.

Movements of the outstanding share options granted to the directors during the six month ended 30 September 2025 are set out in the "Share Schemes" above.

Save as disclosed above, at no time during the six months ended 30 September 2025 was the Company or any of its subsidiaries a party to any arrangement to enable the Company's directors, their respective spouse, or children under 18 years of age to acquire benefits by means of the acquisition of shares in or debentures of the Company or any other body corporate.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 19

Management Discussion and Analysis

As at 30 September 2025, the interests and short positions of the directors in the shares and underlying shares of the Company or its associated corporations (within the meaning of Part XV of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) (the "SFO")) which had been notified to the Company and the Stock Exchange pursuant to Divisions 7 & 8 of Part XV of the SFO (including interests or short positions which they were taken or deemed to have under such provisions of the SFO) or which were required, pursuant to Section 352 of the SFO, to be entered in the register referred to therein, or which were required pursuant to the Model Code for Securities Transactions by Directors of Listed Issuers (the "Model Code") to be notified to the Company and the Stock Exchange were as follows:

Name of Director

Capacity or nature of interest

Number of shares or underlying shares

Long position Short position

Approximate percentage of shareholding

in the Company or associated corporations

1) Being options to acquire ordinary shares of the Company, and further details of which are set out in the section headed "Directors' Rights to Acquire Shares" above.

20 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

Save as disclosed above, as at 30 September 2025, none of the directors of the Company have interest or short positions in the shares and underlying shares or other securities of the Company or its associated corporations (within the meaning of Part XV of the SFO) which were required to be notified to the Company and the Stock Exchange pursuant to Divisions 7 & 8 of Part XV of the SFO (including interests or short positions which they were taken or deemed to have under such provisions of the SFO) or which were required, pursuant to Section 352 of the SFO, to be entered in the register referred to therein, or which were required pursuant to the Model Code to be notified to the Company and the Stock Exchange.

There were loans from two shareholders, Faith Profit Holding Limited and Entrust Limited. Faith Profit Holding Limited was wholly owned by Mr. Cheung Ngan and Ms. Chan Hoi Ying controlled 25% of Entrust Limited. Save as disclosed above, no director, whether directly or indirectly, has a material beneficial interest in any transaction, arrangement or contract of significance to the business of the Group to which the Company or any of its subsidiaries was a party during the period.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 21

Management Discussion and Analysis

As at 30 September 2025, the following shareholders had registered an interest or short position in the shares or underlying shares of 5% or more of the issued share capital of the Company in the register of interests required to be kept by the Company pursuant to Section 336 of the SFO:

Name of substantial

Capacity or

Number of shares or underlying shares

Approximate percentage of shareholding in

22 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Management Discussion and Analysis

Notes:

1. The 80,580,000 shares include:

   1. the number of shares of 7,580,000 held by Mr. Xu David Hua; and

   2. the number of shares of 60,000,000 and 13,000,000 were held by Total Honest Investment Limited and Prosperity Investment Management Limited respectively, both were wholly owned by Mr. Xu David Hua as at 30 September 2025. Accordingly, Mr. Xu David Hua is deemed to be interested in the shares in which Total Honest Investment Limited and Prosperity Investment Management Limited were interested by virtue of the SFO.

2. The 15,409,752 shares include:

   1. the number of shares of 10,720,771 held by Mr. Cheung Ngan;

   2. the underlying shares of 237,253 from the share options granted to Mr. Cheung Ngan; and

   3. the number of shares of 4,451,728 held by Faith Profit Holding Limited, which was wholly owned by Mr. Cheung Ngan as at 30 September 2025. Accordingly, Mr. Cheung Ngan is deemed to be interested in the shares in which Faith Profit Holding Limited is interested by virtue of the SFO.

3. Entrust Limited is controlled as to 34% by Mr. Chan Tok Yu, 25% by Ms. Chan Hoi Ying (chairman and executive director of the Company), 25% by Mr. Chan Hin Yeung and 16% by Ms. Siu Kwan. Mr. Chan Tok Yu's interest is held by Ms. Siu Kwan as a trustee. Accordingly, Mr. Chan Tok Yu and Ms. Siu Kwan are deemed to be interested in the shares in which Entrust Limited is interested by virtue of the SFO.

Neither the Company, nor any of its subsidiaries purchased, redeemed or sold any of the Company's listed securities during the six months ended 30 September 2025.

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 23

Management Discussion and Analysis

The Company has adopted the code provisions set out in the Corporate Governance Code (the "Code") as set out in the Appendix C1 of the Listing Rules. The Company has applied the principles in the Code and complied with the code provisions during the six months ended 30 September 2025.

Since the publication of the latest annual report and up to the date of this report, changes in directors' information are set out below:

• Mr. Chan Francis Ping Kuen was resigned as an Independent non-executive director of Indigo Star Holdings Limited (Stock code: 8373) on 22 August 2025, the share of which are listed on the GEM of the Stock Exchange.

Save as disclosed above, there is no other change required to be disclosed pursuant to Rule

13.51B(1) of the Listing Rules.

The Company has adopted the Model Code as set out in Appendix C3 of the Listing Rules as the code of conduct regarding directors' securities transactions.

All directors of the Company have confirmed, following specific enquiry by the Company, they have complied with the required standards set out in the Model Code during the six months ended 30 September 2025.

The Audit Committee, which comprises three independent non-executive directors, namely Mr. Chan Francis Ping Kuen, Dato' Tan Yee Boon and Mr. Lee Kwok Leung, is responsible for providing an independent review of the effectiveness of the financial reporting process, internal control and risk management system of the Group, overseeing the audit process and the corporate governance functions. The Audit Committee has reviewed the unaudited interim financial statements for the six months ended 30 September 2025.

24 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income

For the six months ended 30 September 2025

For the six months ended 30 September

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 25

Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income

For the six months ended 30 September 2025

For the six months ended 30 September

2025 2024

(unaudited) (unaudited)

Notes HK$'000 HK$'000

26 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Condensed Consolidated Statement of Financial Position

As at 30 September 2025

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED 27

Condensed Consolidated Statement of Financial Position

As at 30 September 2025

28 EV DYNAMICS (HOLDINGS) LIMITED Interim Report 2025/26

Condensed Consolidated Statement of Changes in Equity

For the six months ended 30 September 2025

Attributable to owners of the Company

Share

Share

Contributed

Convertible

notes equity

Share options

Foreign currency translation

Capital Accumulated

Non-controlling

Total

capital

premium

surplus

reserve

reserve

reserve

reserve

losses Total

interests

equity

Interim Report 2025/26 EV DYNAMICS (HOLDINGS) LIMITED

HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000 HK$'000

At 1 April 2024 (audited) 92,796 3,970,029 20,566 - 80,421 (354,085) (12,479) (2,551,035) 1,246,213 (29,914) 1,216,299 Loss for the period - - - - - - - (41,226) (41,226) (466) (41,692)

Other comprehensive income

- Exchange differences arising from

- - - - - - -

translation of foreign operations - Reclassification relating to disposal

29

- - - - -

29,155

29,155 (1,079) 28,076

- - -

of a subsidiary

1,556

1,556

1,556