Dream Sky Home Furnishings Group Co., Ltd. Announcement on the Maturity Redemption of Certain Products Using Idle Raised Funds for Cash Management and the Continued Cash Management Thereafter

Stock Code: 603216 Stock Short Name: Dreamtian Home Furnishings Announcement No.: 2026-004

Dreamtian Home Furnishings Group Co., Ltd.

Announcement on the Partial Redemption Upon Maturity of Certain Products Using Idle Proceeds for Cash Management and Continued Cash Management

The board of directors of the Company and all of its directors hereby guarantee that the contents of this announcement contain no false records, misleading statements or material omissions, and assume legal responsibility for the truthfulness, accuracy and completeness of the contents.

Key Information Highlights:

● Type of Investment: Structured deposits

● Investment Amount: RMB 367.00 million

● Review Procedures Completed and Intended to Be Completed

Dreamtian Home Furnishings Group Co., Ltd. (hereinafter referred to as the “Company”) convened the 7th meeting of the third session of the board of directors on January 19, 2026, which deliberated and approved the proposal on “Continuing to Use Part of the Idle Proceeds for Cash Management,” agreeing that the Company and its subsidiaries may use idle proceeds of no more than RMB 380.00 million (including this amount) for cash management. The above-mentioned funding limit may be used on a rolling basis within 12 months from the date the board deliberates and approves. United Minsheng Securities Co., Ltd. (hereinafter referred to as the “Sponsor”) has issued a clear review and verification opinion on this matter. For the details, please refer to the Company’s announcement disclosed on January 20, 2026 on the website of the Shanghai Stock Exchange (www.sse.com.cn), titled “Dreamtian Home Furnishings on Continuing to Use Part of the Idle Proceeds for Cash Management” (Announcement No.: 2026-002).

● Special Risk Warning

The structured deposits purchased by the Company this time are capital-protected with floating returns, but the financial market is greatly affected by macroeconomic conditions. The Company will timely and appropriately participate in accordance with economic conditions and changes in the financial market, but it does not rule out that this investment may be affected by market fluctuations.

I. Overview of the Investment

(I) Purpose of the Investment

The cash management using part of the temporarily idle proceeds this time is carried out on the premise that it does not affect the construction of projects funded by the proceeds and the Company’s normal production and business operations, so as to better achieve preservation of value and appreciation of the Company’s proceeds, increase the Company’s收益, and safeguard the interests of all shareholders.

(II) Investment Amount

This cash management will mainly be used to purchase capital-protected floating-return products with an amount of RMB 367.00 million.

(III) Source of Funds

1. Source of Funds: Part of the temporarily idle proceeds

2. Basic Information on the Proceeds:

Pursuant to the China Securities Regulatory Commission’s “Approval for the First Public Offering of Shares by Dreamtian Home Furnishings Group Co., Ltd.” (CSRC Approval [2021] No. 3688), the Company has actually issued 55.36 million ordinary shares of RMB, with an issue price of RMB 16.86 per share. The total proceeds from the issuance were RMB 933.36 million. After deducting various issuance expenses of RMB 91.74 million, the actual net proceeds were RMB 841.63 million. Tianjian Certified Public Accountants (Special General Partnership) verified the receipt of the above proceeds and issued a verification report on December 8, 2021, titled “Verification Report” (Tianjian Yan [2021] No. 701). The Company has opened special accounts for the proceeds and manages the above proceeds through separate account storage.

On April 27, 2023, the Company convened the 13th meeting of the second session of the board of directors and the 12th meeting of the second session of the board of supervisors, which deliberated and approved the proposal on “Changing Part of the Proceeds Investment Projects and Adjusting the Implementation Schedule”; on May 19, 2023, the 2022 annual general meeting of shareholders was held, which deliberated and approved the proposal on “Changing Part of the Proceeds Investment Projects and Adjusting the Implementation Schedule.” For the details, please refer to the Company’s announcement disclosed on April 28, 2023 on the website of the Shanghai Stock Exchange (www.sse.com.cn), titled “Dreamtian Home Furnishings on Changing Part of the Proceeds Investment Projects and Adjusting the Implementation Schedule” (Announcement No.: 2023-014).

The changed proceeds investment projects are as follows:

Unit: RMB 10,000

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Note 1: The calculation of “cumulative investment progress” uses data as of January 20, 2026 (unaudited);

Note 2: The investment progress of the “supplementing working capital” project exceeding 100.00% is mainly due to using interest income from the account to supplement working capital.

(IV) Investment Method

The investment products purchased for cash management using proceeds this time are capital-protected floating-return products. The product term is 89 days, meeting the requirements for use with high safety and good liquidity. The Company does not exist any situation of changing the intended use of proceeds in an indirect manner. The use of proceeds for cash management this time does not affect the normal implementation of the projects funded by the proceeds, and there is no situation that harms the interests of shareholders. The basic information of the cash management products this time is as follows:

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(V) Cash management of proceeds over the past 12 months as of now

The额度 and term of cash management products using proceeds this time are both within the authorized investment limit and term range. The product term for each product does not exceed 12 months. As of now, the cash management status of proceeds over the past 12 months is as follows:

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Note 3: The figures for actual returns are rounded to two decimal places. If there is any mismatch between the total and the sum of each sub-item due to decimal places, it is caused by rounding.

II. Review Procedures

On January 19, 2026, the Company convened the 7th meeting of the third session of the board of directors, which deliberated and approved the proposal on “Continuing to Use Part of the Idle Proceeds for Cash Management.” The Company agreed that it and its subsidiaries may use idle proceeds of no more than RMB 380.00 million (including this amount) for cash management. The above-mentioned funding limit may be used on a rolling basis within 12 months from the date the board deliberates and approves. The Sponsor has issued a clear review and verification opinion on this matter. For the details, please refer to the Company’s announcement disclosed on January 20, 2026 on the website of the Shanghai Stock Exchange (www.sse.com.cn), titled “Dreamtian Home Furnishings on Continuing to Use Part of the Idle Proceeds for Cash Management” (Announcement No.: 2026-002).

III. Analysis of Investment Risks and Risk-Control Measures

(I) Investment Risks

Although wealth management products, structured deposits, and time deposits are investment instruments with high safety and good liquidity, the financial market is greatly affected by macroeconomic conditions. The Company will timely and appropriately participate in accordance with economic conditions and changes in the financial market, but it does not rule out that this investment may be affected by market fluctuations.

(II) Risk-Control Measures

The Company will conduct cash management according to economic conditions and changes in the financial market; strictly screen counterparties, and select financial institutions such as banks with good reputation, large scale, capacity to ensure safety of funds, good operating benefits, and strong capability in managing funds, and choose products with good liquidity and high safety; the Company’s finance department will establish ledgers to manage the purchased products, improve accounting records, and do a good job in accounting and valuation for the use of funds; independent directors and the audit committee of the board of directors shall have the right to supervise and inspect the use of funds.

IV. Impact of the Investment on the Company

The Company’s cash management using part of the temporarily idle proceeds this time is implemented on the premise of ensuring that it does not affect the construction of projects funded by the proceeds and the Company’s normal production and business operations. It will not affect the Company’s normal day-to-day working capital turnover needs and the normal operation of projects funded by the proceeds, nor will it affect the normal development of the Company’s principal business. At the same time, timely cash management of part of the temporarily idle proceeds can generate certain investment returns and enable the Company and its shareholders to obtain more investment benefits.

In accordance with the provisions of the “Accounting Standards for Business Enterprises No. 22—Recognition and Measurement of Financial Instruments,” the Company will present wealth management products as “other current assets” and “financial assets held for trading,” and the wealth management returns generated will be presented as “investment income” and “fair value changes.” The specific treatment shall be subject to the annual audit results.

V. Sponsor’s Verification Opinion

Upon verification, the Sponsor believes that: the matter of the Company’s continued use of part of the temporarily idle proceeds for cash management has already been deliberated and approved by the Company’s 7th meeting of the third session of the board of directors and has fulfilled the necessary approval procedures. The matter of the Company’s continued use of part of the temporarily idle proceeds for cash management complies with the “Administrative Measures for Securities Issuance and Listing Sponsor Business,” the “Guidelines for Monitoring Proceeds of Listed Companies,” the “Shanghai Stock Exchange Listing Rules” and relevant regulations such as the “Self-Regulatory Guidance No. 1 for Listed Companies of the Shanghai Stock Exchange—Standard Operation,” and does not conflict with the implementation plan for the proceeds investment projects. It does not affect the normal implementation of the proceeds investment projects, and there are no circumstances of changing or indirectly changing the intended use of proceeds or harming the interests of shareholders.

In summary, the Sponsor has no objection to the Company continuing to use part of the temporarily idle proceeds for cash management.

VI. Redemption Upon Maturity of the Prior Cash Management of Proceeds

On January 20, 2026, the Company purchased a capital-protected floating-return product totaling RMB 372.00 million through China Construction Bank. For the details, please refer to the Company’s progress announcement disclosed on January 21, 2026 on the website of the Shanghai Stock Exchange (www.sse.com.cn), titled “Dreamtian Home Furnishings on the Progress of Using Part of the Temporarily Idle Proceeds for Cash Management” (Announcement No.: 2026-003). Recently, the Company redeemed the principal of RMB 372.00 million and obtained returns of RMB 1.24M. The above-mentioned wealth management products and returns have been returned to the proceeds account. The specific situation is as follows:

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Note 4: Any discrepancy in the figures due to rounding above is caused by rounding.

This announcement is hereby given.

Board of Directors of Dreamtian Home Furnishings Group Co., Ltd.

April 2, 2026

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