客户与供应商重叠

Among our top five suppliers in each year during the Track Record Period, Supplier B was also our customer, leasing properties from us in each year during the Track Record Period.

Among our top five customers in each year during the Track Record Period, Customer D was also our supplier, leasing properties to us in 2023, 2024 and 2025.

Negotiations of the terms of our sales to and purchases from these overlapping supplier-customers were conducted on an individual basis, and the sales and purchases were neither inter-connected nor inter-conditional with each other.

Supplier F was also one of our five largest corporate customers in 2025.

In 2023, 2024 and 2025, purchase amount from Supplier F was nil, RMB16.5 million and RMB58.1 million, respectively, representing nil, 2.2% and 6.7% of our purchase amount for the same years, respectively, and revenue from Supplier F was consistently less than 0.1% of our total revenue for the same years, respectively.

On one hand, we procured beef tripe from Supplier F for use in our restaurant operations. One the other hand, if certain beef tripe or beef trip-related by-products in our restaurant operations do not meet our internal specifications for fresh presentation and immediate consumption, but may still remain suitable for alternative downstream applications following further processing, we may sell such products to Supplier F for use in further processing into prepared food or pre-packaged food products, or other industrial or commercial applications permitted under applicable laws and regulations.

Therefore, some of our top customers were also our suppliers during the Track Record Period.

Negotiations of the terms of our sales to and purchases from these companies were conducted on an individual basis and the sales and purchases were neither inter-connected nor inter-conditional with each other.

The revenues from these companies as a percentage of our total revenues were 9.1%, nil and 16.2% in 2023, 2024 and 2025, respectively.

The products we procure from our customers primarily comprise (i) components that we do not manufacture in-house, and (ii) certain electrical equipment from qualified third-party suppliers, such as relay protection devices, to serve as backup or secondary protection within the overall system architecture, where customers impose redundant safety requirements in their tender specifications.

The transactions are conducted in the ordinary course of business and on commercial terms negotiated at arm’s length.

Save as disclosed above, to the best knowledge of the Company, there was no other overlapping of suppliers and customers among our five largest customers and suppliers of each year of the Track Record Period.

In 2023, 2024, and 2025, our purchases from Customer K/Supplier I were 58.5%, 37.7%, and 36.1% of our total purchases for the respective years, and our sales to Customer K/Supplier I were 1.2%, 10.4%, and 2.3% of our total revenue for the respective years.

Due to the long-standing cooperative relationship, Customer K/Supplier I has engaged us for the production of some of its energy storage system integration orders.

According to the Frost & Sullivan Report, Customer K/Supplier I also collaborates with other companies in the industry chain to procure energy storage system products, a relatively common practice in the industry.

During the Track Record Period, we had 24 customers who were also our suppliers.

Our Directors confirmed that the sales and purchases with the overlapping customers and suppliers during the Track Record Period were not connected nor conditional upon each other.

The total purchases from these 24 overlapping customers and suppliers amounted to RMB33.8 million, RMB40.5 million, and RMB45.6 million in 2023, 2024 and 2025, accounting for approximately 9.8%, 11.6%, and 10.8% of our total purchases for the relevant years, respectively.

For the years ended December 31, 2023, 2024 and 2025, among our five largest customers for each year during the Track Record Period, two, two and three customers in each year during the Track Record Period were also our suppliers in the corresponding year, from which we generated revenue of RMB899.6 million, RMB745.2 million and RMB1,349.1 million, accounting for 16.8%, 14.9% and 24.9% of our total revenue for the relevant years, respectively.

Due to the decrease in market prices for rare earth, the price of scrap materials fell below the historic cost we incurred to procure their raw materials, resulting in (i) a gross loss from Supplier A of RMB170,862 for the year ended December 31, 2023 and (ii) a gross loss from Customer/Supplier B of RMB17.0 million for the year ended December 31, 2024.

In 2024, we also sold Tb, which is one of our metal raw materials, to Supplier G in a one-off transaction.

In 2023, 2024 and 2025, our sales to customers who also served as our suppliers (“Overlapped Business Partners”) amounted to RMB48.3 million, RMB82.1 million and RMB75.3 million, accounting for 19.4%, 24.2% and 17.0% of our total revenue.

During the same years, our purchases from Overlapped Business Partners amounted to RMB60.7 million, RMB113.0 million and RMB111.9 million, accounting for 47.9%, 61.5% and 48.2% of our total cost of sales, respectively.

Although Customer C, Customer Group E, Customer Group H and Customer K also have in-house robotic manufacturing capabilities, their purchases from us primarily related to robotic products beyond their production scope.

Group X, one of our five largest customers in each year during the Track Record Period, was also one of our five largest suppliers in each year during the Track Record Period.

Group X contributed to 4.8%, 4.5% and 4.5% of our revenue in 2023, 2024 and 2025, respectively, and 8.3%, 6.6% and 5.6% of our purchase amount in the same years, respectively.

During the Track Record Period, negotiations relating to our sales to and purchases from the overlapping customer-suppliers were conducted independently and were neither linked nor conditional upon one another.

During the Track Record Period, certain of our five largest customers in each year during the Track Record Period also acted as our suppliers, or vice versa, partly due to the complementary industry resources and expertise of the parties.

Negotiations of the terms of our sales to and purchases from these customer-suppliers were conducted on an individual basis, and the sales and purchases were not inter-conditional with each other.

Our aggregate sales to these major overlapping customer-suppliers amounted to RMB4.9 million, RMB29.2 million and RMB10.5 million in 2023, 2024 and 2025, accounting for 7.5%, 21.7% and 2.2% of our total sales in the same years, respectively.

All of our five largest customers in 2023, 2024 and 2025 were also our suppliers in the corresponding periods.

According to CIC, such overlap is a common industry practice for large-scale logistics and manufacturing enterprises.

The relevant transactions with the entities mentioned above are conducted on an arm’s length basis.

All sales to, and purchases from, these overlapping customers/suppliers were conducted through independent negotiation processes, in the ordinary course of business, and on normal commercial terms that were determined on an arm’s-length basis.

For the years ended December 31, 2023, 2024 and 2025, revenue generated from customer B (also supplier B) contributed to 21.3%, nil and nil of our total revenue, respectively.

For the year ended December 31, 2023, 2024 and 2025, cost of sales attributable to customer A accounted for an insignificant portion of our total cost of sales, and revenue generated from customer A contributed to 23.7%, 1.6% and less than 0.05% of our total revenue, respectively.

Sales to Customer A contributed to 29.6%, 40.0% and 35.0% of our revenue in 2023, 2024, and 2025 respectively, and purchase amount from Customer A accounted for nil, 25.1% and 23.0% of our total purchase amount in the same years, respectively.

The arrangements with Customer A, Customer B and Customer G were not a bundled or back-to-back trading arrangement, but allowed us to achieve cost efficiency, stable supply and consistent product quality.

Sales to Customer D comprised scrap copper generated during our production process, which contributed to 9.3% of our revenue in 2023 and we sold such scrap copper to Customer D as part of our normal scrap management and disposal to monetize production by-products and support efficient materials handling.

During the Track Record Period, certain entities acted as both customers and suppliers to our Group.

Customer B was one of our five largest customers in FY2023. During the Track Record Period, revenue generated from Customer B in each year amounted to approximately RMB9.5 million, RMB6.5 million and RMB5.6 million, respectively, representing 8.1%, 1.2% and 0.8% of our total revenue for the same years, respectively; procurement amount from Customer B in each year amounted to nil, approximately RMB28,000 and RMB2,000, respectively.

Our Directors confirm that the terms of sales to and purchases from the above overlapping customer-suppliers were negotiated independently and on normal commercial terms, and that the respective transactions were conducted separately and were consistent with those entered into with other independent third parties.

During the Track Record Period, Customer A was one of our five largest customers, and the products we sell to it primarily comprise sensors and actuators.

These transactions represent independent commercial decisions, based on factors including cost, delivery lead time, and product quality.

All of the transactions that we entered into with the above overlapping suppliers and customers were on an arm's-length, mutually independent basis under normal commercial terms.

We primarily procured computing power resources and provided edge cloud computing services to the Overlapping Customers-Suppliers.

Consequently, we both procure computing power resources from them and supply such resources to them as needed.

Our Directors confirm that our sales to and our purchases from the Overlapping Customers- Suppliers were (i) entered into after due consideration taking into account the prevailing purchase and selling prices at the relevant times and (ii) conducted on an arm’s length basis.

For the years ended December 31, 2023, 2024 and 2025, we made arm’s-length purchases of electrical components amounting to approximately RMB21,239, RMB53,097 and RMB8,850, respectively, from a subsidiary of Customer A. Such amounts were immaterial and did not render it a top five supplier during the Track Record Period.

For the years ended December 31, 2023, 2024 and 2025, our sales to Supplier B amounted to approximately RMB0.1 million, RMB4.6 million and RMB7.0 million, respectively.

Furthermore, during the Track Record Period, there was no overlap between our top five customers and our top five suppliers.

Customer C/Supplier B, one of our five largest customers in each year of the Track Record Period, was also one of our five largest suppliers in each year during the Track Record Period.

Supplier G, one of our five largest suppliers in 2024, was also our customer in 2024 and 2025.

According to Frost & Sullivan, it is common in the smart retail cabinet operation industry for customers and suppliers to overlap.

During the Track Record Period, certain of our five largest customers were also our suppliers, and certain of our five largest suppliers were also our customers.

In 2023, 2024 and 2025, our purchases from Supplier B amounted to approximately RMB10.0 million, RMB13.7 million and RMB29.9 million, accounting for 8.3%, 9.5% and 13.2% of our total cost of sales during the same years, respectively.

Negotiations of the terms of our sales to and purchases from these counterparties were conducted on an individual transaction basis, and no sale or purchase was inter-conditional with any other transaction.

During the Track Record Period, certain of our major customers also supplied to us.

In 2024 and 2025, our purchases from Customer D accounted for 0.02% and 0.06% of our total purchase amount, respectively.

We made occasional purchases from such overlapping customers and suppliers primarily because their business scope also covers products or services that we use, or because we supply products that they require, resulting in reciprocal transactions in the ordinary course of business.