Dear Shareholders and InvestorsOn March 19, 2025, Seojeon Electric Machinery Co., Ltd. was designated as a Stock Investment Warning due to "Inadequate Internal Accounting Control System."The reason, as cited by the external auditor (Shinhan Accounting Corporation, a Financial Supervisory Service-designated accounting firm), is:1. Failure to operate sufficient and appropriate control procedures related to the preparation of financial statements and the detection of significant errors.2. Inadequate execution of company-wide control activities.Among these,For the first issue (Failure to operate sufficient and appropriate control procedures), we have followed the auditor’s corrective recommendations, and the financial impact of these recommendations has been appropriately reflected in the 2024 financial statements.Regarding the second issue (Inadequate execution of company-wide control activities), we will continue to improve during the 2025 fiscal year to ensure an appropriate audit opinion in the 2025 financial audit, which is scheduled for 2026.We are committed to continuously improving our processes to prevent recurrence of similar issues.We sincerely apologize to our customers, shareholders, and all stakeholders and promise to prevent future occurrences.Thank you.

Agenda A. Reporting Items: Audit ReportBusiness ReportReport on the Operation of the Internal Accounting Control System B. Items for Resolution: Agenda Item 1: Approval of the 33rd (2024) Financial Statements (including the Proposed Statement of Appropriation of Retained Earnings)Dividend Plan: No Dividend -> Approved as originally proposed  Agenda Item 2: Amendment of the Executive Retirement Payment Regulations -> Approved as originally proposed  Agenda Item 3: Approval of the Limit on Directors’ Remuneration -> Approved as originally proposed  Agenda Item 4: Approval of the Limit on Auditors’ Remuneration -> Approved as originally proposed

 33rd Fiscal Year Financial Statement AnnouncementStatement of Financial PositionAs of December 31, 2024(Unit: KRW)Account TitleAmountAccount TitleAmountAssets　Liabilities　Ⅰ. Current Assets31,337,222,516Ⅰ. Current Liabilities21,754,352,2171. Cash and Cash Equivalents2,804,171,1151. Accounts Payable9,900,778,4252. Trade Receivables20,854,159,2532. Other Liabilities11,058,661,2693. Other Receivables1,482,254,5323. Warranty Reserve for Repairs794,912,5234. Advance Payments298,126,494　5. Prepaid Expenses1,652,258,019Ⅱ. Non-Current Liabilities10,206,970,1136. Refundable Corporate Tax Receivables18,058,9701. Borrowings9,500,000,0007. Inventories4,228,194,1332. Other Liabilities293,574,322　　3. Other Long-Term Employee Benefits60,838,533Ⅱ. Non-Current Assets32,099,599,8354. Defined Benefit Liabilities352,557,2581. Other Receivables686,306,000　　2. Long-Term Prepaid Expenses35,395,537Total Liabilities31,961,322,3303. Financial Assets at Fair Value Through Other Comprehensive Income1,135,809,600Equity　4. Right-of-Use Assets192,453,652Ⅰ. Capital Stock4,849,390,0005. Property, Plant and Equipment26,927,655,597Ⅱ. Capital Surplus4,753,764,3406. Investment Property1,330,122,164Ⅲ. Retained Earnings21,872,345,6817. Intangible Assets185,669,399　　8. Deferred Tax Assets1,606,187,886Total Equity31,475,500,021Total Assets63,436,822,351Total Liabilities and Equity63,436,822,351Hereby publicly announced.March 27, 2025CEO: Lee Sang-kwon　　　　Audit opinion: The 33rd fiscal year financial statements, including the above statement of financial position, have been fairly presented in all material respects in accordance with Korean International Financial Reporting Standards.Shinhan Accounting Corporation CEO: Lee Sang-moon