Annual Report 2025

INVESTMENT MANAGER’S DISCUSSION AND ANALYSIS (CONTINUED) 30 China Merchants China Direct Investments Limited Annual Report 2025 REVIEW OF INVESTMENTS (CONTINUED) According to the AI Champion Product Board (aicpb.com ), Moonshot AI’s traffic data ranks among the top domestic products. In December 2025, Kimi Intelligent Assistant (Web) recorded 38.83 million monthly visits, and its app version had 235,900 monthly active users (MAU), ranking among domestic leaders. In January 2026, Moonshot AI released and open-sourced the multimodal K2.5 model, which achieved open- source SOTA performance across agent, code, image, video, and general intelligence tasks. K2.5 is built on a native multimodal architecture, supporting visual-to-text input, thinking-to-non-thinking modes, and dialogue-to-agent tasks. According to usage data published by OpenRouter on 2 February 2026, the K2.5 model ranked among the top ten globally in monthly API calls. Hue Inc. (“JBD”), formerly known as Jade Bird Display (Shanghai) Limited, was established in Shanghai in October 2015. It is a company engaging in the research, development and manufacture of micro light-emitting diodes (MicroLED), specialising in the development of MicroLED display technology. Its products are known currently for their industry-leading performance across key attributes such as high brightness, low power consumption, and compact size. In December 2025, JBD successfully completed its conversion into a joint-stock company and was renamed from Jade Bird Display (Shanghai) Limited to Hue Inc. The Fund invested RMB30 million (equivalent to US$4.18 million) in May 2025 for a 0.449% equity interest in JBD. In August and September 2025, JBD completed two additional rounds of financing. As a result, this fund’s equity interest in JBD was diluted from 0.449% to 0.388%. As of the end of 2025, the carrying value of the Fund’s interest in JBD was US$4.19 million. In 2025, JBD’s augmented reality (AR) display business continued to thrive. The performance metrics of its AR optical engines continued to maintain an industry-leading position, and collaborations with leading domestic and overseas customers continued to advance. Several customers launched consumer-grade AR glasses powered by JBD’s optical engines in 2025. In September 2025, JBD released the “Hummingbird II” polychrome projector, featuring JBD’s new 0.1-inch MicroLED microdisplay. Based on the X-cube solution, it achieved an ultra-compact volume of 0.2 cubic centimeters and an ultra-light weight of 0.5 grams, both reduced by 50% compared to the previous generation, making it the smallest mass-produced polychrome projector to date. In December 2025, JBD released the “Roadrunner I” polychrome projector, equipped with a newly developed MicroLED microdisplay panel whose pixel pitch has been reduced from 4 microns in the “Hummingbird” series to 2.5 microns through breakthrough iterative computation, resulting in a comprehensive enhancement of display quality. The pixel density of the “Roadrunner” series microdisplay panels reached 10,160 PPI. In other business areas, JBD unveiled its MicroLED printhead module in February 2025, featuring compact size, high speed, high precision, low power consumption, ultra-quiet operation, and greater reliability, offering printer manufacturers more commercially viable solutions.