Great Wall Motor Company Issues Supplemental Disclosure on Entrusted Wealth Management

Key Points in the Supplemental Announcement

• Supplemental Disclosure: Great Wall Motor Company Limited (“Great Wall Motor” or “the Company”) has released a supplemental announcement to its 2025 Annual Report, specifically enhancing disclosure around its entrusted wealth management activities.
• Detailed Breakdown of Entrusted Wealth Management: The Company has provided a more granular breakdown of its entrusted wealth management products, specifying the types, risk characteristics, and amounts involved.
• No Impact on Other Annual Report Information: The supplemental information does not affect any other disclosures in the 2025 Annual Report. All other details remain unchanged.
• Publication: The full supplemental announcement is available on the websites of the Hong Kong Stock Exchange, Shanghai Stock Exchange, and the Company’s official website.

Detailed Information for Investors

Entrusted Wealth Management Portfolio—Key Details

The supplemental disclosure offers a more transparent view of the Company’s entrusted wealth management, which is part of its cash asset management strategy. The breakdown is as follows:

Total entrusted assets under management (undue): Approximately RMB 34.97 billion placed in low-risk money market funds and bank wealth management products, with an additional RMB 90 million in principal-guaranteed, variable-return products.

Implications and Shareholder Considerations

• Transparency and Risk Management: The move to provide detailed disclosure enhances transparency regarding how the Company manages its substantial cash reserves. Investors can now better assess the risk profile and liquidity of the Company’s cash management strategies.
• Low-Risk Focus: Nearly all entrusted assets are classified as R1 (low risk), indicating a conservative approach in safeguarding shareholder funds amid market volatility. This could be seen as a positive for risk-averse investors.
• Significant Cash Holdings: The sheer size of low-risk liquid assets (over RMB 34.9 billion in money market funds) signals robust liquidity, potentially supporting future investments, R&D, or returns to shareholders.
• Price Sensitivity: While the supplemental disclosure does not indicate any material changes to the Company’s financial position or operations, the magnitude and conservative management of entrusted assets may reassure the market about the Company’s financial stability.
• No Other Changes: The Company explicitly states that no other information in the 2025 Annual Report is affected, and this supplemental disclosure is for increased transparency rather than a change in operations or financial position.

Corporate Governance and Board Composition

The Board of Directors comprises a mix of executive, non-executive, employee, and independent non-executive directors, ensuring diverse oversight and governance:

• Executive Directors: Mr. Wei Jian Jun, Mr. Zhao Guo Qing, Ms. Li Hong Shuan
• Employee Director: Ms. Lu Cai Juan
• Non-executive Director: Mr. He Ping
• Independent Non-executive Directors: Ms. Yue Ying, Mr. Fan Hui, Mr. Tom Siulun Chau

Conclusion

In summary, the supplemental announcement by Great Wall Motor Company Limited increases the transparency of its cash asset management, confirming that the majority of entrusted assets are held in low-risk, highly liquid instruments. While there is no operational or financial change indicated, the disclosure may reassure investors about the prudent management of Company funds and the robustness of its liquidity position.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should refer to official disclosures and consult professional advisers before making investment decisions.

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