Distinct Healthcare Holdings Limited (the “Company”) published the Terms of Reference for its Audit Committee, explaining key practices and responsibilities in financial reporting, risk management, and internal control. The document specifies that the committee must consist solely of non-executive directors, with at least three members, the majority being independent non-executive directors, one of whom must possess professional qualifications in accounting or financial management.

The committee is tasked with overseeing the Company’s financial reporting integrity, appointing and monitoring external auditors, reviewing the effectiveness of the audit process, and ensuring auditors’ independence. It also supervises internal control systems, conducts regular reviews of financial practices, and meets with both external and internal auditors at least once annually.

Within these guidelines, an internal audit function should coordinate with external auditors if present, safeguarding that adequate resources are allocated for all compliance and operational assessments. The Terms of Reference further require the committee to communicate its proceedings to the board of directors and make the document available on both the Hong Kong Stock Exchange and the Company’s official website.