Chuangxin Industrial (HKEX: 02788) has announced that its subsidiary, Inner Mongolia Chuangyuan Metal Co., Ltd., has completed a significant tax payment.

The subsidiary had been undergoing tax guidance related to its eligibility for preferential tax policies for high-tech enterprises. Following a notification from the tax authorities and in accordance with relevant policies, Inner Mongolia Chuangyuan was required to make an additional tax payment of approximately RMB 476 million.

The company confirmed that this payment has now been settled in full. The matter does not involve any administrative tax penalties.

The board of directors stated that aside from this matter, the operations of the group's other business segments, subsidiaries, and overseas projects remain normal. This tax settlement is not expected to affect the group's ongoing normal operations or the advancement of its strategic plans.

The group further indicated that it holds sufficient cash and bank deposits, and the payment of this tax is not anticipated to have a materially adverse impact on its overall financial condition.