The company's aluminum-plastic film sales unit price and Mingguan new materials in the same application field, the same thickness of the product sales unit price is not significantly different, is reasonable. The sales unit price difference between the company and Xinlon New Materials and Pultailai is mainly caused by different product application fields, product processes and pricing strategies.

During the reporting period, the company's sales of aluminum-plastic film for 3C digital soft-pack lithium batteries increased steadily, and the sales of aluminum-plastic film for power storage soft-pack lithium batteries increased significantly, in line with the changing trend of the aluminum-plastic film industry, in line with the increase in the total demand for lithium batteries and the market pattern of the increase in the penetration rate of soft-pack batteries, and in line with the changing trend of the company's market share, which is reasonable.

The introduction of shareholders BYD and Ningde New Energy is a market-oriented financing behavior. Although BYD Supply chain and ATL were issuer customers during the reporting period, the investment price was fair in the company's financing process at the above points. The company has had many years of business cooperation with ATL and BYD before and after the investment, the main terms of the sales contract reached by the buyers and sellers have not changed substantially, and the transaction price is the result of business negotiations between the buyers and sellers. The investment behavior of BYD and Ningde New Energy has not affected the fairness of the product sales price, and there is no benefit transfer situation. There is no case for transferring shares to clients in order to obtain further business benefits. To sum up, according to the identification of related parties in the GEM Listing Rules and relevant rules, the Company's investment customers are not related parties of the Company, and the transactions between the Company and relevant customers need not be disclosed by referring to related transactions.

There are some differences in settlement methods and credit periods between BYD supply chain and its suppliers, but the overall difference is small. However, since the Dichain notes are only endorsed and transferred in BYD's supply chain system, the company does not have upstream suppliers that can be endorsed for the time being, and the company's discount cost rate based on Dichain notes is too high (refer to the latest financing cost of Bank of China Dichain notes: 2.75%/ half a year, that is, the annualized discount rate of 5.50%), so the company chooses to make payment when due. To sum up, the settlement method and credit period between BYD and the Company belong to the general method of BYD, which is in line with industry practices.

In view of the diversified business of comparable companies in the same industry, aluminum-plastic film revenue accounted for a small proportion of its overall revenue, while the company's aluminum-plastic film revenue accounted for 99.34% of the company's overall revenue, so the company obtained customers with bank acceptance bill settlement amount accounted for a higher proportion of the overall return amount. Most of the acceptance bills received by the company are endorsed to upstream suppliers, so there is no cash received from the sale of goods and the provision of services. As a result, the proportion of cash received by the company from the sale of goods and the provision of services in the operating income (cash collection rate) is low during the reporting period.