Xingsen Technology Approved to Conduct Foreign Exchange Derivatives Trading with a Limit Not Exceeding 30 Million US Dollars

MaticHoleFiller · 2026-03-20T14:47:36+00:00

Xingsen Technology announced that it will engage in foreign exchange derivatives trading business with a maximum quota of 30 million USD, aiming to enhance its ability to respond to foreign exchange volatility risks and reduce financial expenses. The trading will use self-owned funds to ensure risk control and will select qualified financial institutions as trading counterparties. This measure has been approved by the board of directors and is effective for one year.

MaticHoleFiller

2026-03-20 14:47:36

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【Shenzhen News】Shenzhen XingSen Quick Circuit Technology Co., Ltd. (Stock Code: 002436, Stock Abbreviation: XingSen Technology) announced on March 13th that the company and its subsidiaries plan to engage in foreign exchange derivative trading for hedging purposes, with a total limit of no more than $30 million (or equivalent foreign currency). The estimated maximum margin and premium used for trading is $9 million (or equivalent foreign currency).

The announcement shows that this trading limit is valid for one year from the date of board approval and can be reused cyclically during this period. If a single transaction exceeds the authorized duration, the authorization period will automatically extend until the transaction is completed. The funds will come from the company’s own resources and do not involve raised funds.

XingSen Technology’s approved foreign exchange derivatives include forward contracts, swaps, options, cross-currency swaps, and cross-interest rate swaps, all of which are simple foreign exchange derivatives closely related to the company’s core business. Counterparties will be financial institutions approved by regulatory authorities and qualified to conduct foreign exchange derivative trading.

The company stated that the purpose of this activity is to improve its ability to manage foreign exchange volatility risks, better hedge against and prevent risks related to exchange rate and interest rate fluctuations, reasonably reduce financial costs, strengthen financial stability, and protect the interests of the company and all shareholders.

Regarding risk control, the company has established multiple measures: clearly aiming to lock in costs and avoid risks, prohibiting any speculative activities; improving the “Securities Investment and Derivatives Trading Management System”; carefully selecting products and trading counterparties; establishing risk response plans and decision-making mechanisms; and conducting regular reviews by the internal audit department.

On March 13, 2026, XingSen Technology’s Seventh Board of Directors’ 11th meeting approved this proposal with a vote of 7 in favor, 0 against, and 0 abstentions. This transaction falls within the board’s approval authority and does not require shareholder approval or constitute a related-party transaction.

The company will account for this business according to relevant accounting standards issued by the Ministry of Finance, with monthly fair value measurement and recognition. Fair value will mainly be determined based on prices provided by counterparties or available in the open market.

Main Parameters of XingSen Technology’s Foreign Exchange Derivative Trading Business

Item	Details
Purpose of Trading	Hedging, to avoid risks from exchange rate and interest rate fluctuations
Trading Limit	No more than $30 million (or equivalent foreign currency), with cyclic use within the period
Margin and Premium Cap	$9 million (or equivalent foreign currency)
Types of Trading	Forward contracts, swaps, options, cross-currency swaps, cross-interest rate swaps, etc.
Validity of Limit	One year from board approval, with possible extension for individual transactions
Funding Source	Company’s own funds
Counterparties	Financial institutions approved by regulators and qualified for foreign exchange derivatives trading
Implementation	Authorized by the chairman or designated personnel, organized and executed by the finance department
Review and Approval	Approved at the 11th meeting of the seventh board, with 7 votes in favor, 0 against, 0 abstentions

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Editor: Xiao Lang Kuai Bao

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