Keeson Technology Corporation Limited(603610)
Performance report of the audit committee of the board of directors in 2021
In 2021, in accordance with the standards for the governance of listed companies, the Listing Rules of the Shanghai Stock Exchange, the operation guidelines of the audit committee of the board of directors of listed companies on the Shanghai Stock Exchange, the articles of association and the working rules of the audit committee of the board of directors of the company, Keeson Technology Corporation Limited(603610) (hereinafter referred to as “the company”) the audit committee of the board of directors (hereinafter referred to as “the audit committee”) conscientiously performs its duties in the principle of diligence and diligence. The report on the work of this year is as follows: I. Basic information of the audit committee
The audit committee of the second board of directors of the company is composed of three members: independent director Zhang Xin (convener), independent director Zhou Yonggan and director Tang Ying. Among them, convener Zhang Xin is a doctoral student and now an associate professor of the Department of accounting of Fudan University. The composition of the Committee complies with the provisions of the detailed rules of work of the audit committee of the board of directors. The audit committee has an audit department, which is responsible for the company’s internal audit, internal control and other related work. 2、 Annual meeting of the audit committee
During the reporting period, the audit committee held four meetings:
(I) the fifth meeting of the audit committee of the second board of directors was held on April 15, 2021. The following proposals were considered and adopted at the meeting:
1. Proposal on 2020 annual report and summary;
2. Proposal on payment of audit fees in 2020;
3. Proposal on reappointment of the company’s financial audit institution and internal control audit institution in 2021; 4. Proposal on the performance report of the audit committee in 2020;
5. Proposal on the company’s daily connected transactions in 2020 and the expected daily connected transactions in 2021;
6. Proposal on confirming the company’s audit report and internal control audit report;
7. Proposal on passing the 2020 internal control evaluation report.
(II) the sixth meeting of the audit committee of the second board of directors was held on April 27, 2021. The following proposals were considered and adopted at the meeting:
1. Proposal on the first quarter report of 2021.
(III) the seventh meeting of the audit committee of the second board of directors was held on August 17, 2021. The following proposals were considered and adopted at the meeting:
1. Proposal on the company’s 2021 semi annual report and its summary.
(III) the eighth meeting of the audit committee of the second board of directors was held on October 18, 2021. The following proposals were considered and adopted at the meeting:
1. Proposal on the third quarter report of 2021. 3、 Main work contents of the audit committee in 2021
(I) supervise and evaluate the work of external audit institutions
1. Evaluate the independence and professionalism of external audit institutions
During the reporting period, the financial report audit institution and internal control audit institution employed by the company are Tianjian Certified Public Accountants (special general partnership) (hereinafter referred to as “Tianjian”), who are qualified to engage in securities related business and can comply with the practice standards. The audit committee has supervised and evaluated the financial statement audit and internal control audit performed by him, and believes that he can better complete all the work entrusted by the company, has strong professional ability, service experience and diligent and responsible independent audit spirit, always follows the independent, objective and fair practice standards during the appointment period, and the audit report issued fairly reflects the financial situation of the company, Safeguarding the interests of the company and shareholders.
2. Put forward suggestions to the board of directors on hiring or replacing external audit institutions
In order to ensure the smooth progress of the company’s annual financial audit and the continuity of the audit work, after deliberation and voting by the audit committee, it is decided to propose to the board of directors of the company to reappoint Tianjian certified public accountants as the company’s financial audit institution in 2021 and the internal control audit institution in 2021.
3. Discuss and communicate relevant audit matters with external audit institutions
Members of the audit committee communicate with the audit institution on the audit of the 2021 annual report through communication, on-site communication and other means, fully understand the audit plan, work content and audit focus of the audit institution on the 2021 annual report, timely understand the progress of the audit work, and urge the audit institution to implement the audit plan in strict accordance with the audit plan, Timely and fully discuss the problems in the audit and put forward opinions and suggestions.
(II) review the company’s financial report and express opinions
The audit committee gave full play to its professional level and carefully reviewed the company’s 2020 annual report. Tianjian Certified Public Accountants issued the annual audit report as scheduled according to the audit schedule. According to the audit information obtained from the audit committee from the accounting firm and the production and operation information reported by the company’s management, the audit committee reviewed the audit report and the audited financial and accounting statements and relevant materials of the company again, and agreed to submit the 2020 annual report to the board of directors for deliberation.
(III) guide internal audit
During the reporting period, the audit committee followed up the company’s internal audit work plan, process and achievements through communication meetings and on-site meetings, carefully reviewed the company’s internal self-evaluation report and external audit report, gave relevant professional opinions to the internal audit team, and urged the orderly development of internal audit work. In 2021, the audit committee found no major problems in the company’s internal audit.
(IV) evaluate the effectiveness of internal control
During the reporting period, the audit committee reviewed the 2020 internal control evaluation report prepared by the company, carefully reviewed the implementation of the company’s internal control, assessed the appropriateness of the design of the company’s internal control system, promoted the internal control system to adapt to the company’s scale, business scope, competition and risk level, and adjusted in time with the changes of the situation to continuously improve the internal control system, To promote the healthy and sustainable development of the company.
The Audit Committee believes that the company has established a perfect internal control system, defined the responsibilities, authorities and business processes of each post, achieved effective risk control for each work link, and effectively implemented various internal control management systems. The operation of the general meeting of shareholders, the board of directors, the board of supervisors and the management of the company is standardized, which effectively protects the legitimate rights and interests of the company and shareholders.
(V) review related party transactions of the company
According to the management system of related party transactions of the company, the audit committee reviewed the proposal of related party transactions of the company and issued written review opinions. 4、 Overall evaluation
During the reporting period, the audit committee carefully complied with relevant work regulations, gave full play to the role of supervision and review, guided the company’s internal audit, promoted the company’s internal control management to be scientific, reasonable and effective, and the financial report information to be true, accurate and complete. All members of the board of directors shall fulfill their duties and actively perform their duties, so as to provide guarantee for the scientific decision-making of the board of directors.
In 2022, the audit committee of the board of directors of the company will further implement various work, give full play to the supervision function of the audit committee, and earnestly safeguard the common interests of the company and all shareholders.
Keeson Technology Corporation Limited(603610) Audit Committee on April 14, 2022 (this page is blank and is the signature page of the performance report of the audit committee of the board of directors in Keeson Technology Corporation Limited(603610) 2021):
April 14, 2022
