GHW International — Earnings Release 2021

Aug 9, 2021

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited (the “ Stock Exchange ”) 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.

GHW International

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 9933)

POSITIVE PROFIT ALERT

This announcement is made by GHW International (the “ Company ”, and together with its subsidiaries, the “ Group ”) pursuant to Rule 13.09(2)(a) of the Rules Governing the Listing of Securities on the Stock Exchange (the “ Listing Rules ”) and the Inside Information Provisions (as defined under the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

The board (the “ Board ”) of directors (the “ Directors ”) of the Company wishes to inform the shareholders of the Company (the “ Shareholders ”) and potential investors that, based on a preliminary review of the unaudited consolidated management accounts of the Group for the six months ended 30 June 2021 and other information currently available to the Board, the Group expects to record a profit attributable to owners of the Company of approximately RMB27 million for the six months ended 30 June 2021, compared to a loss attributable to owners of the Company of approximately RMB700,000 for the six months ended 30 June 2020.

The expected profit attributable to owners of the Company for the six months ended 30 June 2021 was mainly attributable to an increase in gross profit as a result of the good performance in our operations in the People’s Republic of China after recovery from the outbreak of the COVID-19 pandemic in 2020, partially offset by the increase in (i) selling and distribution expenses, administrative expenses and research and development expenses due to the increasing operating scale; (ii) write-off of property, plant and equipment resulted from the termination of production in our Xuzhou production plant and centralised production functions in Tai’an; and (iii) net exchange loss mainly as a result of depreciation of US dollar against Renminbi.

−1 −

The information contained in this announcement is based on a preliminary assessment by the management of the Company with reference to the information currently available and the unaudited consolidated management accounts of the Group for the six months ended 30 June 2021 which have not been audited or reviewed by the Company’s independent auditor or the audit committee of the Company, and are subject to possible adjustments upon further review. The Company is still in the process of finalising its interim results for the six months ended 30 June 2021. Shareholders and potential investors are advised to read carefully the announcement of the Company’s interim results for the six months ended 30 June 2021, which is expected to be published in late August 2021 pursuant to the requirements of the Listing Rules.

Shareholders and potential investors of the Company are advised to exercise caution when dealing in the securities of the Company.

By Order of the Board of GHW International Yin Yanbin

Chairman and Chief Executive Officer

Hong Kong, 9 August 2021

As at the date of this announcement, the Board comprises Mr. Yin Yanbin, Mr. Zhuang Zhaohui, Mr. Chen Zhaohui, Mr. Zhou Chunnian, Mr. Chen Hua and Mr. Diao Cheng as executive Directors, and Mr. Sun Hongbin, Mr. Wang Guangji and Ms. Zheng Qing as independent non-executive Directors.

−2 −