# EDGAR Filing Document

**Accession Number:** 0001026785
**File Stem:** 0001213900-25-076758
**Filing Date:** 2025-8
**Character Count:** 65564
**Document Hash:** 4800fd6f4eaebc7dc161d7b9e90a0ea0
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001213900-25-076758.hdr.sgml**: 20250814

**ACCESSION NUMBER**: 0001213900-25-076758

**CONFORMED SUBMISSION TYPE**: 6-K

**PUBLIC DOCUMENT COUNT**: 5

**CONFORMED PERIOD OF REPORT**: 20250814

**FILED AS OF DATE**: 20250814

**DATE AS OF CHANGE**: 20250814

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** HIGHWAY HOLDINGS LTD
- **CENTRAL INDEX KEY:** 0001026785
- **STANDARD INDUSTRIAL CLASSIFICATION:** MISCELLANEOUS FABRICATED METAL PRODUCTS [3490]
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 000000000
- **FISCAL YEAR END:** 0331

**FILING VALUES:**
- **FORM TYPE:** 6-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-38490
- **FILM NUMBER:** 251220506

**BUSINESS ADDRESS:**
- **STREET 1:** LEVEL 18 LANDMARK N 39 LUNG SUM AVE
- **STREET 2:** STE 1801
- **CITY:** SHEUNG SHUI
- **STATE:** K3
- **ZIP:** 00000
- **BUSINESS PHONE:** 011-86-755-2813-6056

**MAIL ADDRESS:**
- **STREET 1:** LEVEL 18 LANDMARK N 39 LUNG SUM AVE
- **STREET 2:** STE 1801
- **CITY:** SHEUNG SHUI
- **STATE:** K3
- **ZIP:** 999999999

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

**FORM 6-K**

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 OF

THE SECURITIES EXCHANGE ACT OF 1934

For the month of July 2025

Commission File Number 001-38490

HIGHWAY HOLDINGS LIMITED

(Translation of Registrant's Name Into English)

Suite 1801, Level 18

Landmark North

39 Lung Sum Avenue

Sheung Shui

New Territories, Hong Kong

(Address of Principal Executive Offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F ☒ Form 40-F ☐

Attached to this Report on Form 6-K is the press release issued by the registrant on July 1, 2025.

Commencing on July 29, 2025, the Company mailed to its shareholders certain materials related to the Annual Meeting of Shareholders to be held at the offices of TroyGould PC, 1801 Century Park East, 16<sup>th</sup> Floor, Los Angeles, California U.S.A., on Friday, September 12, 2025. The Annual Meeting materials included the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. An Annual Report, which consisted of the Form 20-F report filed on June 30, 2025 with the U.S. Securities and Exchange Commission (the "SEC") and a letter to the shareholders from the Company's President and Chief Executive Officer. The Form 20-F is available on the SEC's website at http://www.sec.gov and the full Annual Report is available at the Company's website at www.highwayholdings.com, Investor Information. Attached hereto is a copy of the letter to the shareholders that was included in the Annual Report.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. The Company's Notice of Annual Meeting of Shareholders and the Proxy Statement.

**<u>Exhibit Index</u>**.

---

| | |
|:---|:---|
| **Exhibit No.** | **Description** |
| 99.1 | [Press Release](ea025337601ex99-1_highway.htm) |
| 99.2 | [Notice of Annual Meeting of Shareholders and the Proxy Statement.](ea025337601ex99-2_highway.htm) |
| 99.3 | [Letter to Shareholders.](ea025337601ex99-3_highway.htm) |

---

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

---

| | | |
|:---|:---|:---|
|  | HIGHWAY HOLDINGS LIMITED | HIGHWAY HOLDINGS LIMITED |
| Date: August 14, 2025 | By | /s/ ROLAND W. KOHL |
|  |  | Roland W. Kohl |
|  |  | Chief Executive Officer |

---

## Exhibit 99.1

**Exhibit 99.1**

NEWS RELEASE

**HIGHWAY HOLDINGS REPORTS FISCAL FOURTH QUARTER AND**

**FULL YEAR 2025 RESULTS**

**Financial Highlights - Fiscal Full Year 2025 Compared to Fiscal Full Year 2024:**

● **Revenue Increases 17.3% YoY** 

● **Gross Profit Increases 44.6% YoY** 

● **Returns to Full Year Profitability** 

**HONG KONG – July 1, 2025 –** Highway Holdings Limited (**Nasdaq: HIHO**) today reported results for the fiscal fourth quarter and fiscal year ended March 31, 2025. The Company notes that while its financial results continue to reflect the lasting impact of COVID-19 and its aftermath, it was able to achieve improvements in revenue and profitability for the fiscal full year 2025 compared to the fiscal full year 2024.

For the fiscal 2025 fourth quarter, net sales were $1.5 million compared to $1.4 million in the year ago period, reflecting the ongoing negative impact of the COVID-19 pandemic and subsequent boom and bust period, which led to a sudden reduction in sales and inventory imbalance at the Company's customers and a material decline in new orders. Gross profit was $305,000 compared to $26,000 in the year ago period. Net loss for the fiscal 2025 fourth quarter was $315,000, or $0.07 per diluted share, compared to a net loss of $1.2 million, or $0.26 per diluted share in the year ago period.

Net sales for the fiscal year 2025 were $7.4 million compared to $6.3 million for the fiscal year 2024, reflecting the above noted negative impact of the COVID-19 pandemic. Gross profit for the fiscal year 2025 was $2.5 million with a gross margin of 33%, compared to $1.7 million and 27% percent for the fiscal year 2024. Net income for the fiscal year 2025 was $106,000, or $0.02 per diluted share, compared with a net loss of $959,000, or $0.22 per diluted share, in the fiscal year 2024.

Roland Kohl, chairman, president and chief executive officer of Highway Holdings, said, "The lasting impacts of COVID-19 and its aftermath, along with ongoing geopolitical challenges, including the ongoing Ukraine-Russia war and the U.S.-China trade war with business damaging tariffs, have kept our traditional OEM business under pressure as most of our customers' businesses remain significantly weaker than pre-pandemic levels. Recovery has been affected by the multiple headwinds with business softer as many customers are still searching for a path to sustainable recovery. We have remained focused during this challenging period and were able to achieve some progress with growth in revenue and profitability for the fiscal full year 2025 compared to the fiscal full year 2024."

"Recognizing this business reality, we have been actively pursuing new growth avenues both organically and through strategic acquisitions. For example, we slowed down the M&A process with Synova since it was also impacted by the negative headwinds but we pivoted to due diligence on other opportunities. We believe that in this difficult time it is actually the best opportunity to find new OEM business. This all takes time, however, being conservative in all our approaches resulted in our still strong financial position with total equity of $6.3 million as of March 31, 2025, representing approximately $1.42 per diluted share, giving us the financial strength to best position the company for growth. With a strengthened Board and getting younger managers involved in the company's decision making, we believe 2025 will mark the beginning of a new lease on life for the company."

The company reported a $124,000 currency exchange gain for the fiscal year 2025 compared with a $198,000 currency exchange gain in the fiscal year 2024. The currency exchange gain in the current year was mainly due to the weakened Kyat. The Company does not engage in currency exchange rate hedging, and the fluctuations in the exchange rate of the RMB and Kyat are expected to affect the Company's future results.

The Company's cash balance at March 31, 2025 was approximately $6 million, or approximately $1.36 per diluted share. Total current assets at March 31, 2025, were $8.6 million, with working capital of $5.5 million and a current ratio of 2.8:1

**About Highway Holdings** 

Highway Holdings is an international manufacturer of a wide variety of high-quality parts and products for blue chip equipment manufacturers based primarily in Germany. Highway Holdings' administrative office is located in Hong Kong and its manufacturing facilities are located in Yangon, Myanmar and Shenzhen, China.

 

*Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements which involve risks and uncertainties, including but not limited to economic, competitive, governmental, political and technological factors affecting the company's revenues, operations, markets, products and prices, the impact of the worldwide COVID-19 pandemic, the political situation in Myanmar, relations between the U.S. and China, and other factors discussed in the company's various filings with the Securities and Exchange Commission, including without limitation, the company's annual reports on Form 20-F.*

*(Financial Tables Follow)*

**# # # #**

**For further information, please contract :**

**Global IR Partners** 

David Pasquale

HIHO@globalirpartners.com

New York office : +1-914-337-8801

**HIGHWAY HOLDINGS LIMITED AND SUBSIDIARIES**

**Consolidated Statement of Income**

(Dollars in thousands, except per share data)

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** | **Year Ended** | **Year Ended** |
|  | **March 31,**<br> **(Unaudited)**  | **March 31,**<br> **(Unaudited)**  | **March 31,** <br> **(Audited)** | **March 31,** <br> **(Audited)** |
|  | 2025 | 2024 | 2025 | 2024 |
| Net sales | $1487 | $1420 | $7412 | $6321 |
| Cost of sales | 1182 | 1394 | 4942 | 4613 |
| Gross profit | 305 | 26 | 2470 | 1708 |
| Selling, general and administrative expenses | 957 | 749 | 3005 | 2477 |
| Impairment of property, plant and equipment |  | 335 |  | 335 |
| Impairment of operating lease right of use assets | - | 527 | - | 527 |
| Operating income/(loss) | (652) | (1585) | (535) | (1631) |
| Non-operating items |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Exchange gain/(loss), net | (20) | 140 | 124 | 198 |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest income | 56 | 92 | 203 | 248 |
| &nbsp;&nbsp;&nbsp;&nbsp;Gain on disposal of assets | 333 | 14 | 333 | 16 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other income | 6 | 2 | 22 | 30 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total non-operating income / (expenses) | 375 | 248 | 682 | 492 |
| Share of profits / (loss) of equity investee |  |  |  |  |
| Net income/(loss) before income tax and non-controlling Interest | (277) | (1337) | 147 | (1139) |
| Income taxes | (38) | 154 | (38) | 161 |
| Net income/(loss) before non-controlling interests | (315) | (1183) | 109 | (978) |
| Less: Net gain / (loss) attributable to non-controlling Interests | 0 | (1) | 3 | (19) |
| Net income/(loss) attributable to Highway Holdings Limited shareholders | $(315) | $(1182) | $106 | $(959) |
| Net income/(loss) per share: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic | $(0.07) | ($0.26) | $0.02 | $(0.22) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted | $(0.07) | $(0.26) | $0.02 | $(0.22) |
| Weighted average number of shares outstanding: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic | 4402 | 4474 | 4402 | 4373 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted | 4402 | 4474 | 4402 | 4373 |

---

**HIGHWAY HOLDINGS LIMITED AND SUBSIDIARIES**

**Consolidated Balance Sheet**

(In thousands, except per share data)

---

| | | |
|:---|:---|:---|
|  | **March 31,**<br>**2025** | **March 31,**<br>**2024** |
| <u>Current assets:</u> |  |  |
| Cash and cash equivalents | $5972 | $6601 |
| Accounts receivable, net of doubtful accounts | 1022 | 1253 |
| Inventories | 1146 | 1566 |
| Prepaid expenses and other current assets | 430 | 226 |
| Income tax recoverable | - | - |
| Total current assets | 8570 | 9646 |
| Property, plant, and equipment, (net) | 94 |  |
| Operating lease right-of-use assets | 784 | 1375 |
| Long-term deposits | 11 | 202 |
| Long-term loan receivable | 95 | 95 |
| Investments in equity method investees | - | - |
| Total assets | $9554 | $11318 |
| <u>Current liabilities:</u> |  |  |
| Accounts payable | $613 | $935 |
| Operating lease liabilities, current | 623 | 588 |
| Accrual expenses and other liabilities | 1274 | 1789 |
| Income tax payable | 486 | 480 |
| Dividend payable | 81 | 45 |
| Total current liabilities | 3077 | 3837 |
| <u>Long term liabilities:</u> |  |  |
| Operating lease liabilities, non-current | 187 | 803 |
| Deferred income taxes |  |  |
| Long term accrued expenses | 23 | 40 |
| Total liabilities | 3287 | 4680 |
| <u>Shareholders' equity:</u> |  |  |
| &nbsp;&nbsp;Preferred shares, $0.01 par value |  |  |
| Common shares, $0.01 par value | 44 | 44 |
| Additional paid-in capital | 12178 | 12117 |
| Accumulated deficit | (5437) | (5015) |
| Accumulated other comprehensive income /(loss) | (516) | (501) |
| Non-controlling interest | (2) | (7) |
| &nbsp;&nbsp;&nbsp;&nbsp; Total equity | 6267 | 6638 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total liabilities and shareholders' equity | $9554 | $11318 |

---

## Exhibit 99.2

**Exhibit 99.2**

**HIGHWAY HOLDINGS LIMITED**

**Suite 1801, Level 18**

**Landmark North** 

**39 Lung Sum Avenue**

**Sheung Shui**

**New Territories, Hong Kong**

**<br> NOTICE OF ANNUAL MEETING OF SHAREHOLDERS**

**September 12, 2025**

Notice is hereby given that the Annual Meeting of Shareholders of Highway Holdings Limited (the "Company"), will be held at the offices of TroyGould PC, 1801 Century Park East, Suite 1600, Los Angeles, California U.S.A., on Friday, September 12, 2025, at 8:00 a.m., for the following purposes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) To elect three members of the Company's Board of Directors to serve until the 2028 Annual Meeting of Shareholders;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) To ratify the selection by the Board of Directors of Marcum Asia CPAs LLP as the independent accountants of the Company for the fiscal year ending March 31, 2026; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) To transact such other business as may properly come before the meeting or any adjournment thereof.

Your attention is directed to the accompanying proxy statement. Only shareholders of record at the close of business on July 21, 2025 will be entitled to notice of and to vote at the meeting and any adjournment thereof.

**Important Notice Regarding the Availability of Proxy Materials for the Shareholders' Meeting to Be Held on Friday, September 12, 2025 at 8:00 a.m. Pacific time at the offices of TroyGould PC, 1801 Century Park East, Suite 1600, Los Angeles, California U.S.A.**

**The Proxy Statement and 2025 annual report to shareholders, or Annual Report, are available at http://edocumentview.com/HIHO.**

---

| | |
|:---|:---|
|  | By Order of the Board of Directors<br>/s/ Alan Chan |
|  | **Alan Chan**, Secretary |
| Hong Kong<br> July 29, 2025 |  |

---

**HIGHWAY HOLDINGS LIMITED**

**Suite 1801, Level 18**

**Landmark North** 

**39 Lung Sum Avenue**

**Sheung Shui**

**New Territories, Hong Kong**

**PROXY STATEMENT**

**Annual Meeting of Shareholders**

**September 12, 2025**

**INTRODUCTION**

**Persons Making the Solicitation**

This Proxy Statement is furnished in connection with the solicitation by the Board of Directors of Highway Holdings Limited, a British Virgin Islands corporation (the "Company"), of proxies for use at the Annual Meeting of Shareholders to be held at 8:00 a.m. at the offices of TroyGould PC, 1801 Century Park East, Suite 1600, Los Angeles, California U.S.A., on Friday, September 12, 2025, and at any adjournment thereof (the "Annual Meeting"). This proxy statement is first being mailed to shareholders on or about July 29, 2025. You are requested to submit your proxy by Internet by following the Internet voting instructions on the enclosed proxy card, or to sign, date and return the enclosed proxy card in order to ensure that your shares are represented at the Annual Meeting.

A form of proxy is enclosed for your use. The shares represented by each properly executed unrevoked proxy will be voted as directed by the shareholder executing the proxy. If no direction is made, the shares represented by each properly executed unrevoked proxy will be voted (i) "FOR" the election of management's nominee for the Board of Directors to be elected as the Class III director to serve until the 2028 Annual Meeting of Shareholders, and (ii) "FOR" the ratification of the selection by the Board of Directors of Marcum Asia CPAs LLP as the independent accountants of the Company for the fiscal year ending March 31, 2026. With respect to any other item of business that may come before the Annual Meeting, the proxy holders will vote the proxy in accordance with the recommendation of management of the Company.

The cost of solicitation of proxies, including the cost of preparation and mailing of the Notice of Annual Meeting, this Proxy Statement, and the enclosed proxy, will be borne by the Company. It is anticipated that brokerage houses, fiduciaries, nominees, and others will be reimbursed for their out-of-pocket expenses in forwarding proxy material to beneficial owners of stock held in their names. Directors, officers, or employees of the Company may solicit proxies by telephone or in person without additional compensation.

 ****

**How to Vote**

 

*Shareholder of Record: Shares Registered in Your Name*

If, on the Record Date, your shares were registered directly in your name with our transfer agent, Computershare, then you are a shareholder of record. If you are a shareholder of record, there are three ways to vote:

 

*By Internet* – To vote through the Internet, go to **www.investorvote.com/HIHO** to complete an electronic proxy card. You will be asked to provide the control number from the enclosed proxy card. Your Internet vote must be received by 11:59 p.m. Eastern Time on September 11, 2025 to be counted.

 

*By Mail* – You may do this by marking, dating and signing your proxy card or, for shares held in street name, the voting instruction card provided to you by your broker or nominee, and mailing it in the enclosed, pre-addressed envelope.

 

*In Person* – You may vote in person at the Annual Meeting and we will give you a ballot when you arrive.

 

*Beneficial Owner: Shares Registered in the Name of Broker, Bank or Other Nominee*

If you are a beneficial owner of shares registered in the name of your broker, bank, or other nominee, you should have received a voting instruction form with these proxy materials from that organization rather than from us. Simply complete and mail the voting instruction form to ensure that your vote is counted. Alternatively, you may vote over the Internet as instructed by your broker, bank or other nominee. To vote in person at the Annual Meeting, you must obtain a valid proxy from your broker, bank or other nominee. Follow the instructions from your broker, bank or other nominee included with these proxy materials, or contact your broker, bank or other nominee to request a proxy form.

**Revocability of Proxy**

Any proxy given by a shareholder of the Company may be revoked at any time before it is voted at the Annual Meeting by a written notice to the Secretary of the Company, or upon request if the shareholder is present at the meeting. Each valid proxy submitted by Internet, or returned via mail, that is not revoked, unless indicated otherwise on the proxy card, will be voted in the election of directors for the nominee as described herein.

**Voting Securities**

Holders of record of the Company's Common Shares, $0.01 par value (the "Common Shares"), at the close of business on July 21, 2025 (the "Record Date") are entitled to notice of and to vote at the meeting or any adjournment thereof. As of the Record Date, there were 4,601,825 Common Shares issued and outstanding. Holders of Common Shares are entitled to cast one vote per share on each matter presented for consideration and action by the shareholders. The presence, in person or by proxy, of shareholders entitled to cast at least a majority of the outstanding Common Shares will constitute a quorum for the transaction of business at the Annual Meeting.

Abstentions may be specified as to all proposals to be brought before the Annual Meeting other than the election of directors. Votes cast by proxy or in person at the Annual Meeting will be tabulated by the inspectors of election appointed for the meeting and will determine whether or not a quorum is present. The inspectors of election will treat abstentions as shares that are present and entitled to vote for purposes of determining the presence of a quorum, but as unvoted for purposes of determining the approval of any matter submitted to the shareholders for a vote. Ratification of the selection of the independent accountants will require the affirmative vote of at least a majority in voting interest of the shareholders present in person or by proxy at the Annual Meeting and entitled to vote thereon.

The Class III directors to be elected at the Annual Meeting will be elected by a plurality of the votes cast. The nominees who receive the highest number of affirmative votes cast will be elected as the Class III directors. Only votes cast for a nominee will be counted, except that each properly executed unrevoked proxy will be voted for management's nominees for the Board of Directors in the absence of instructions to the contrary. Abstentions, broker non-votes and instructions on a proxy to withhold authority to vote for management's nominees will result in the nominees receiving fewer votes.

**Annual Report**

This Proxy Statement is accompanied by the Annual Report of the Company for the fiscal year ended March 31, 2025. Shareholders are encouraged to read the Annual Report in connection with the information contained herein. This proxy statement, the proxy card and the Annual Report are available at ***http://www.investorvote.com/HIHO***.

**What is the quorum requirement?**

A quorum of shareholders is necessary to hold a valid meeting. A quorum will be present if stockholders holding at least a majority of our then outstanding shares of the common stock entitled to vote are present at the Annual Meeting in person or represented by proxy. On the Record Date, there were 4,601,825 shares issued and outstanding and entitled to vote.

Your shares will be counted towards the quorum only if you submit a valid proxy (or one is submitted on your behalf by your broker, bank or other nominee) or if you vote in person at the Annual Meeting. If there is no quorum, the holders of a majority of shares present at the Annual Meeting in person or represented by proxy may adjourn the Annual Meeting to another date.

**What if I return a proxy card or otherwise vote but do not make specific choices?**

If you return a signed and dated proxy card or otherwise vote without marking voting selections, your shares will be voted, as applicable:

● "**For**" the election of three (3) Class III directors to serve on our Board for a three-year term.

● "**For**" the ratification of the selection of Marcum Asia CPAs LLP as our independent registered public accounting firm for the fiscal year ending March 31, 2026.

If any other matter is properly presented at the Annual Meeting, your proxyholder (named on your proxy card) will vote your shares using their best judgment.

**PROPOSAL I - ELECTION OF DIRECTORS**

The directors and executive officers of the Company as of July 29, 2025 are listed below.

---

| | | |
|:---|:---|:---|
| Name | Age | Positions |
| Roland W. Kohl | 76 | Chief Executive Officer, Director, Chairman of the Board |
| Ringo Tsang | 59 | Chief Operating Officer |
| Alan Chan | 61 | Chief Financial Officer, Secretary |
| Tiko Aharonov <sup>(1) (2)</sup> | 78 | Director |
| Irene Wong Ping Yim <sup>(1) (2)</sup> | 59 | Director |
| Heiko Sonnekalb <sup>(1) (2)</sup> | 54 | Director |
| Dirk Hermann, Ph.D. | 61 | Director |
| Patrick Michaels | 49 | Director |
| Marcus Bagnall | 39 | Director |
| Annie Leung Hoi Ling | 36 | Director |
| Brian Chu Chong Tat | 52 | Director |

---

(1) Current member of Audit Committee.

(2) Current member of Compensation Committee

The Directors hold office until their term has expired and they are re-elected at an annual meeting of shareholders. The Company's Amended and Restated Memorandum and Articles of Association provide that the Board of Directors is divided into three classes of directors with staggered terms of office. At each annual meeting of shareholders, the members of one class of directors will be elected for a term of office to expire at the third succeeding annual meeting of shareholders after their election, and until their successors have been duly elected and qualified. At the Annual Meeting, the terms of one class of directors will expire, and the nominees for that class will be nominated to hold office for a three-year term expiring at the 2028 annual meeting. All directors hold office until their respective terms expire and until his or her successor is elected, or until his or her death, resignation, or removal.

The candidates receiving the highest number of affirmative votes cast at the Annual Meeting shall be elected as directors of the Company. The nominees listed below have agreed to serve if elected. If for any reason the nominees named below are not a candidate when the election occurs, the Company intends to vote proxies for a substitute nominee or, in lieu thereof, our Board of Directors may reduce the number of directors in accordance with our Amended and Restated Memorandum and Articles of Association. Unless otherwise instructed, the proxy holders will vote the proxies received by them in a manner that will result in the election of the nominee named below.

We have three incumbent directors in Class III whose term expires at the Annual Meeting. The Board of Directors have nominated the incumbent Class III directors, Roland W. Kohl, Tiko Aharonov, and Irene Wong Ping Yim, for reelection as Class III directors to serve until the 2028 annual meeting of the shareholders and until his or her successor is duly elected and qualified. We believe that Roland W. Kohl, Tiko Aharonov, and Irene Wong Ping Yim will be available and able to serve as director. In the event that he or she is unable or unwilling to serve, the proxy holders will vote the proxies for such other nominees as they may determine.

**Roland W. Kohl**. Mr. Kohl was the founder of the Company and has been its Chief Executive Officer since its inception in 1990. He has been a Director of the Company since March 1, 1995. He has overall responsibility for the day-to-day operations of the Company and its subsidiaries. Prior to forming the Company, Mr. Kohl was the Managing Director of Dialbright Company Limited, a camera manufacturer located in China. Mr. Kohl received a degree in mechanical engineering and has over thirty years' experience in managing factories and manufacturing operations in China. Mr. Kohl is a German national and resides in Hong Kong.

**Tiko Aharonov**. Mr. Aharonov has been a Director of the Company since its inception in 1990 and was a General Manager of the Company's former camera operations from 1998 to 2004. Until the closing of the Company's Bulgarian facility in 2004, Mr. Aharonov acted as the General Manager of the Bulgarian operations. He was a bank manager for a leading Israeli commercial and retail bank from 1969 to 1989 and has operated his own real estate and investment company for high net worth individuals desiring to invest in real estate in Israel. Mr. Aharonov also represents investors in real estate in Bulgaria.

**Irene Wong Ping Yim. Ms. Wong was elected to the Board of Directors in July 2005. For over ten years, Ms. Wong was the Chief Accountant of CNIM Hong Kong Ltd. From 1994 to 2001, she was the Accounting Manager of Highway Holdings. Ms. Wong graduated from Deakin University with a Master's Degree in Business Administration. She is currently a fellow member of the Association of Chartered Certified Accountant and a member of Hong Kong Institute of Certified Public Accountants.**

**Continuing Directors**

The following is a description of the incumbent Class I and Class II directors whose terms of office will continue after the Annual Meeting:

**Class I** – **Directors Continuing in Office Until the 2026 Annual Meeting**

**Dirk Hermann, Ph.D**. Dr. Hermann was appointed to the Board of Directors on April 1, 2020. Dr. Hermann previously served as a member of the Company's Board of Directors from January 2003 until August 2010. Dr. Hermann currently serves as chief executive officer of Saarland Feuerversicherung AG, a German insurance company. He joined Versicherungskammer Bayern in 2012, parent company of Saarland Insurance Group. Prior thereto, he held a variety of positions with Allianz Versicherungen AG, including a tenure as a member of the management board. Dr. Hermann currently also serves on the board of two German banks, Landesbank Saar and Sparkassenverband, and on the board the Consal Insurance Group. Dr. Hermann graduated from the University of Konstanz in Germany with a bachelor's degree in business administration. He also holds a master's degree in business administration from the University of St. Gallen in Switzerland. He earned a Ph.D. degree in business administration from the University of Leipzig, in Germany.

**Patrick Michaels**, 49 years old, has over 30 years of experience in investment banking, wealth management and strategic advisory. He has served as the Executive Chairman of Zuri-Invest AG since 2002, while also serving as Chairman of Asty Capital AG since 1998. Mr. Michaels previously held positions with UBS AG (Zurich). He studied economics at the University of Zurich, and subsequently studied business, civil and criminal law at the same university, followed by studies at The Colorado School of Mines. Mr. Michaels additionally serves as a director on the boards of GoldQuest Mining Corp. and the charitable organization of Cyprus Seeds.

**Marcus Bagnall**, 39 years old, has over 15 years of experience advising multinational organizations on complex legal, regulatory and commercial matters, with a deep understanding of digital transformation, corporate and M&A, supply chain complexities and managing operational legal risks. He currently serves as a Partner at Wiggin LLP (London), having previously held positions at Linklaters LLP (London), Webb Henderson (Sydney), Australian Business Lawyers & Advisors (Sydney), and DLA Piper (Sydney). Mr. Bagnall holds a B.Ec/LLB from the University of New South Wales, a Graduate Diploma in Legal Practice from the College of Law, and an LLM (Corporate, Commercial and Taxation) from the University of New South Wales. He currently serves on the Advisory Board of Eyes of AI.

**Class II** – **Directors Continuing in Office Until the 2027 Annual Meeting**

**Heiko Sonnekalb**. Mr. Sonnekalb was appointed to the Board of Directors on April 1, 2020. Mr. Sonnekalb currently serves as the chief executive officer of Dr. Arnold Schaefer GmbH, a German holding company, Lakal GmbH, a German manufacturer of shutter blinds, and Bartz Werke GmbH, a German casting foundry and heat and pipe technology company. In addition, he serves as a member of the supervisory board of Germany-based Herwick AG and Stadtwerke Voelklingen Vertrieb GmbH. Mr. Sonnekalb also is a committee member of both the IHK Saarland Industrial Research and Foreign Trade Committee and the DIHK Berlin Industrial Research and Foreign Trade Committee. He also serves as a judge on the labor court in Saarbruecken, Germany. Mr. Sonnekalb received a degree in Business Administration from the University of Fulda, Germany, in 1997.

**Annie Leung Hoi Ling**, 36 years old, has over 12 years of experience in engineering design, manufacturing, and operations. She currently runs an OEM factory she built in 2019 in Vietnam with over 600 employees. Ms. Leung previously held positions at Artop Group, Good Mark Industrial Limited and Good Mark Industrial Vietnam. She received BEng with honors in product analysis and engineering design from The Hong Kong Polytechnic University.

**Brian Chu Chong Tat**, 52 years old, has over 28 years of experience in collaborative education and entrepreneurship. His dedication to excellence and commitment to helping students realize their unique strengths has served as the foundation for a highly successful career. He currently works at Ng Clan's Association Tai Pak Memorial School, having previously served at ECF Saint Canaan College. Mr. Chu also founded a highly successful tennis club on his own initiative, with approximately 100 active members. Mr. Chu holds a Bachelor of Education with Honors from Hong Kong Education University.

**Executive Officers**

In addition to the directors listed above, the following are the other principal members of the Company's management team.

**Alan Chan.** Mr. Chan was appointed as the Company's Chief Financial Officer and Secretary in September 2010. From June 2009 until he joined the Company, Mr. Chan served as chief financial officer for a joint venture in China with Laureate Education Group. He previously served as vice president and chief financial officer for DeCoro, an Italian sofa manufacturer with two facilities in Shenzhen, and as financial controller for San Miguel Shunde Brewery Co. Ltd., a foreign joint venture engaged in the manufacturing and sale of beer products for China and overseas markets. He also served as financial controller for Hua Yang Printing Holdings Co. Ltd., a manufacturer of children's paper products. Mr. Chan began his professional career as an accountant with Nelson Wheeler, an Australian CPA firm, and subsequently with PricewaterhouseCoopers – formerly Coopers and Lybrand. Mr. Chan earned a Master of Arts degree in accounting from Curtin University in Australia and a Bachelor of Arts degree from the University of Lancaster in the United Kingdom.

**Ringo Tsang**. Mr. Tsang was appointed as the Chief Operating Officer in November 2017. Mr. Tsang joined the Company in March 2009 as a Production Engineer and was promoted to Chief Technology Officer in 2010. Since becoming Chief Technology Officer, Mr. Tsang has been in charge of the Company's engineering department, its tool shop, its Computer Numerical Control (CNC) tooling system, and its automation and information technologies. Mr. Tsang has a Bachelor of Science degree in mechanical engineering, and a Master's Degree in each of Business Administration, Information Systems, and Professional Accounting.

Officers are elected by and serve at the discretion of the Board of Directors.

Dr. Hermann is the brother-in-law of Roland Kohl, the Chairman, President and Chief Executive Officer of the Company. Other than Mr. Hermann's relationship with Mr. Kohl, there are no other family relationships between any of the above-named officers, directors or employees. To the Company's knowledge, no arrangement or understanding exists between any such director and executive officer and any major shareholder, customer, supplier or other party pursuant to which any director or executive officer was elected as a director or executive officer of the Company.

**Board and Committee Meetings**

The Board of Directors held five meetings during the fiscal year ended March 31, 2025. Each director attended all of the meetings of the Board of Directors and all of the meetings of all Board committees on which he or she served that were held during the portion of the 2026 fiscal year in which he or she served as a director or served on such committees, as applicable.

The Board of Directors has two standing committees: (i) an Audit Committee, and (ii) a Compensation Committee.

**Audit Committee**

During fiscal 2025, the members of the Audit Committee of the Board of Directors were Irene Wong Ping Yim, Heiko Sonnekalb, and Tiko Aharonov. The Audit Committee reviews, acts on and reports to the Board of Directors on various auditing and accounting matters, including the selection of the Company's auditors, the scope of the annual audits, fees to be paid to the auditors, the performance of the independent auditors, any additional services to be provided by the auditors, and the Company's accounting practices. Each of these individuals is a non-employee director and is independent as defined under the Nasdaq Stock Market's listing standards, and each has significant knowledge of financial matters (one of the members has an advanced degree in business administration). Ms. Wong has been designated by the Board as the "audit committee financial expert" as defined under Item 401(h)(2) of Regulation S-K of the Securities Exchange Act of 1934, as amended. The Audit Committee met two times during fiscal 2025. The Audit Committee operates under a formal charter that governs its duties and conduct. This formal charter is available from the Company upon request.

**Audit Committee Report**

The following is the report of our Audit Committee with respect to our audited financial statements for the fiscal year ended March 31, 2025. This report shall not be deemed soliciting material or to be filed with the Securities and Exchange Commission ("SEC") or subject to Regulation 14A or 14C under the Securities Exchange Act or to the liabilities of Section 18 of the Securities Exchange Act, nor shall any information in this report be incorporated by reference into any past or future filing under the Securities Act or the Securities Exchange Act, except to the extent we specifically request that it be treated as soliciting material or specifically incorporate it by reference into a filing under the Securities Act or the Securities Exchange Act.

In performing its oversight responsibilities as defined in its charter, the Audit Committee has reviewed and discussed the audited financial statements and reporting process, including the system of internal controls, with management and with Marcum Asia CPAs LLP, the Company's independent registered public accounting firm for the year ended March 31, 2025. The Audit Committee has also discussed with Marcum Asia CPAs LLP the matters required to be discussed by the statement on Auditing Standards No. 16, as adopted by the Public Company Accounting Oversight Board.

In addition, the Audit Committee has received from Marcum Asia CPAs LLP the written disclosures and the letter required by applicable requirements of the Public Company Accounting Oversight Board regarding Marcum Asia CPAs LLP's communications with the Audit Committee concerning independence and has discussed with Marcum Asia CPAs LLP their independence.

Based on these reviews and discussions, the Audit Committee recommended to the Board of Directors that the audited financial statements be included in the Annual Report on Form 20-F for the year ended March 31, 2025 for filing with the SEC.

<u>Audit Committee</u> Irene Wong Ping Yim Heiko Sonnekalb Tiko Aharonov

**Compensation Committee**

During the past fiscal year, the Compensation Committee of the Board of Directors consisted of Tiko Aharonov, Irene Wong Ping Yim and Heiko Sonnekalb. The Compensation Committee administers the 2020 Option Plan and establishes the salaries and incentive compensation of the executive officers of the Company.

**Nominations**

The Board of Directors does not have a separate Nominating Committee. Nominees for the election to the Board are selected and nominated by the independent directors (there currently are nine directors, seven of whom are independent). Accordingly, the Board of Directors has not yet found it necessary to have a separate Nominating Committee. Assuming that the Class III nominees are elected at the Annual Meeting, seven of the nine members of the Board will be independent directors.

The Board of Directors has not established any specific minimum qualifications for director candidates or any specific qualities or skills that a candidate must possess in order to be considered qualified to be nominated as a director. Qualifications for consideration as a director nominee may vary according to the particular areas of expertise being sought as a complement to the existing board composition. In making its nominations, the Board of Directors generally will consider, among other things, an individual's business experience, industry experience, financial background, breadth of knowledge about issues affecting our Company, time available for meetings and consultation regarding Company matters and other particular skills and experience possessed by the individual. The Board of Directors has not adopted a formal policy with regard to the consideration of diversity when evaluating candidates for election to the Board of Directors. However, the Board of Directors believes that membership should reflect diversity in its broadest sense, but should not be chosen nor excluded based on race, color, gender, national origin or sexual orientation. In this context, the Board of Directors does consider a candidate's experience, education, industry knowledge, history with the Company, and differences of viewpoint when evaluating his or her qualifications for election the Board. In evaluating such candidates, the Board of Directors seeks to achieve a balance of knowledge, experience and capability in its composition.

To date, all nominees for election to the Board were recommended for nomination by our existing independent directors, and our current nominee was recommended by our existing independent directors. The Company does not have any policy with regard to the consideration of any director candidates recommended by securityholders. All potential director candidates, regardless of source, are reviewed under the same process. The Board of Directors believes this approach is appropriate in light of the infrequent occurrence of recommendations made by our shareholders. Notwithstanding the foregoing, under the Company's Amended and Restated Memorandum and of Articles of Association, no person shall be eligible for election as a director of the Company if the election of such person as a director would cause the Company to be ineligible to remain a "foreign private issuer."

A shareholder may nominate one or more persons for election to the Board of Directors. In order for such nomination to be considered, the shareholder must (i) provide timely notice thereof in writing and in proper form to the secretary of the Company and (ii) provide the information required by Regulation 7.6 of the Company's Amended and Restated Articles of Association. To be timely, a shareholder's notice must be delivered to, or mailed and received at, the principal executive offices of the Company not less than ninety (90) days nor more than one hundred twenty (120) days prior to the first anniversary of the preceding year's meeting at which members of the Board of Directors were elected.

We do not have a formal policy regarding attendance by Board members at the Annual Meeting of Shareholders. Our Chairman and Chief Executive Officer will attend our 2025 Annual Meeting. However, because most of the directors are located outside of the U.S., none of the other directors is expected to attend the Annual Meeting.

**Board Leadership Structure and Role in Risk Oversight**

The Board of Directors believes it is important to select the Company's Chairman and Chief Executive Officer in the manner it considers in the best interests of the Company at any given time. Accordingly, the Chairman and Chief Executive Officer positions may be filled by one individual or by two different individuals, as determined by the Board of Directors based on circumstances then in existence.

Currently, Roland Kohl serves as both Chairman and Chief Executive Officer. The Board of Directors considers this leadership structure to be suitable for the Company because it allows one person to lead and represent the Company and the Board of Directors, while also providing for effective oversight by an independent Board. The Board of Directors believes that having Mr. Kohl serve in the roles of Chairman and Chief Executive Officer is appropriate for the Company and its shareholders at this time, in view of Mr. Kohl's continuous long-standing roles in such positions, and Mr. Kohl's in-depth knowledge of the Company's business and industry. The Board of Directors also believes that the number of its independent directors mitigates the risk of any potential conflicts that might result from combining the roles of Chief Executive Officer and Chairman.

Tiko Aharonov has been designated as the "lead independent director" of the Board of Directors. Mr. Aharonov is responsible for coordinating the activities of the independent directors, working with the Chief Executive Officer to set the agenda for Board meetings, chairing executive sessions of the independent directors, and leading the Board's review of the Chief Executive Officer. The Board of Directors is currently comprised of a majority of individuals who are independent from the management of the Company and, assuming that the nominees are elected at the Annual Meeting, seven of the future nine members of the Board will continue to be independent directors. The Board of Directors and its committees meet regularly throughout the year to assure that the independent directors are well briefed and informed with regard to the Company's affairs. Each of the independent directors has unfettered access to any employee within the Company and each director is encouraged to call upon whatever employee he or she deems fit to secure the information each director feels is important to his or her understanding of our Company. In this fashion, the Board seeks to maintain well informed, independent directors who are prepared to make informed decisions regarding the Company's business affairs.

Management is responsible for the day-to-day management of risks the Company faces, while the Board of Directors as a whole plays an important role in overseeing the identification, assessment and mitigation of such risks. The Board of Directors reviews information regarding the Company's finances and operations, as well as the risks associated with each. For example, the oversight of financial risk management lies primarily with the Board's Audit Committee, which is empowered to appoint and oversee our independent auditors, monitor the integrity of our financial reporting processes and systems of internal controls and provide an avenue of communication among our independent auditors, management and the Board of Directors. The Company's Compensation Committee is responsible for overseeing the management of risks relating to the Company's compensation plans and arrangements, as well as risks associated with the independence of the Board of Directors and potential conflicts of interest. In fulfilling its risk oversight responsibility, the Board of Directors, as a whole and acting through any established committees, regularly consults with management to evaluate and, when appropriate, modify our risk management strategies.

**PROPOSAL II - RATIFICATION OF INDEPENDENT PUBLIC ACCOUNTANTS**

The Audit Committee of the Board has selected Marcum Asia CPAs LLP ("Marcum Asia"), an accounting firm based in New York, to continue as the Company's independent registered public accounting firm for the fiscal year ended March 31, 2026.

As noted in its Form 6-K filed with the SEC on March 7, 2025, the Company appointed Marcum Asia as the Company's independent registered public accounting firm on March 7, 2025 to replace ARK Pro CPA & Co ("ARK"), the Company's former independent auditor. The appointment of ARK was made after careful consideration and evaluation by the Company, and was approved by the Board of Directors and the Audit Committee of the Company.

ARK's audit reports on the Company's consolidated financial statements for each of the fiscal years ended March 31, 2023 and March 31, 2024 did not contain an adverse opinion or disclaimer of opinion, and was not qualified or modified as to uncertainty, audit scope or accounting principles. During the Company's fiscal years ended March 31, 2023 and March 31, 2024 and through the subsequent interim period on or prior to December 23, 2024, there were no disagreements between the Company and ARK on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreements, if not resolved to the satisfaction of ARK, would have caused ARK to make reference to the subject matter of the disagreements in connection with its report on the Company's consolidated financial statements for such periods.

For the fiscal years ended March 31, 2023 and 2024, or subsequently up to December 23, 2024, there were no "reportable events" as such term is described in Item 16F(a)(1)(v) of Form 20-F, other than the material weaknesses reported by the Company in Item 15. Controls and Procedures on Form 20-F filed with the SEC on July 16, 2024.

During the Company's fiscal years ended March 31, 2023 and March 31, 2024, and through the subsequent interim period on or prior to March 7, 2025, neither the Company nor anyone on its behalf has consulted with Marcum Asia on either (a) the application of accounting principles to a specified transaction, either completed or proposed, or the type of audit opinion that might be rendered on the Company's financial statements, or (b) any matter that was the subject of a disagreement, as that term is defined in Item 16F(a)(1)(iv) of Form 20-F (and the related instructions thereto).

Shareholder ratification of the selection of Marcum Asia as the Company's independent public accountants is not required by the Company's Amended and Restated Memorandum and Articles of Association or otherwise. However, the Board of Directors is submitting the anticipated selection of Marcum Asia to the shareholders for ratification as a matter of good corporate practice. The Board of Directors will consider the shareholders' vote in its determination of whether to retain that firm. However, even if the selection is ratified, the Board of Directors in its discretion may direct the selection of a different independent accounting firm or change such selection at any time during the year if it determines that such a change would be in the best interests of the Company and its shareholders.

The Board of Directors does not anticipate a representative of Marcum Asia will attend the Annual Meeting.

The following table presents the aggregate fees for professional services and other services rendered by Marcum Asia and ARK to the Company for the periods indicated.

---

| | | |
|:---|:---|:---|
|  | **2024** | **2025** |
| Audit Fees (1) - ARK Pro CPA & Co | $220000 | $36000 |
| Audit Fees (1) - Marcum Asia CPAs LLP |  | $176500 |
| Tax Fees (2) | - | - |
| Total | $220000 | $212500 |

---

(1) Audit fees represent fees for professional services provided in connection with the audit of the Company's consolidated financial
statements, and audit services provided in connection with other statutory or regulatory filings.

(2) Tax fees include fees for the preparation of tax returns.

As part of its policies and procedures, all audit related services, tax services and other services, if any, rendered by our independent registered public accounting firms were pre-approved by the Audit Committee.

**Equity Compensation Plan Information**

The following table provides information, as of March 31, 2025, with respect to all of our compensation plans under which equity securities are authorized for issuance:

---

| | | | |
|:---|:---|:---|:---|
|  | Number of Shares to be Issued <br> Upon Exercise of Outstanding<br> Options, Warrants and Rights<br>(a) | Weighted-Average Exercise<br> Price of Outstanding Options,<br> Warrants and Rights<br>(b) | Number of Shares Remaining<br> Available for Future Issuance<br> Under Equity Compensation<br> Plans (Excluding Shares Reflected in Column (a))<br>(c) |
| &nbsp;&nbsp;Equity compensation plans approved by our shareholders: |  |  | 700000 |
| &nbsp;&nbsp;Equity compensation plans not approved by our shareholders | -0- |  | **--** |

---

To date, no options have been granted under the 2020 Option Plan. Roland Kohl was granted 300,000 shares of restricted stock on May 13, 2023. Each of Roland Kohl, Tiko Aharanov, Dirk Hermann, Irene Wong Ping Yim, Heiko Sonnekalb, Alan Chan, and Ringo Tsang were also granted 20,000 shares of restricted stock on May 1, 2025, and each of Patrick Michaels, Marcus Bagnall, Annie Leung Hoi Ling, Brian Chu Chong Tat were also granted 2,500 shares of restricted stock on May 1, 2025.

**Security Ownership of Certain Beneficial Owners and Management**

The following table sets forth, as of July 21, 2025, the record date, certain information with respect to the beneficial ownership of the Company's Common Shares by (i) each person known by the Company to own beneficially more than 5% of the outstanding Common Shares outstanding as of such date, (ii) each of the director nominees, (iii) executive officers, and (iv) the officers and directors of the Company as a group.

---

| | | |
|:---|:---|:---|
| Name of Beneficial Owner or Identity of Group<sup>(1)</sup> | Number of Common Shares Beneficially Owned | Percent Beneficial Owned<sup>(\*\*)</sup> |
| Roland W. Kohl | 984067 | 21.4% |
| Tiko Aharonov | 255000 | 5.5% |
| Heiko Sonnekalb | 50000 | 1.1% |
| Dirk Hermann | 73286 | 1.6% |
| Irene Wong Ping Yim | 23000 | \* |
| Patrick Michaels | 2500 | \* |
| Marcus Bagnall | 2500 | \* |
| Annie Leung Hoi Ling | 2500 | \* |
| Brian Chu Chong Tat | 2500 | \* |
| Alan Chan | 26000 | \* |
| Ringo Tsang | 70000 | \* |
| All Directors and Officers as a Group (11 Persons) | 1491353 | 32.4% |
| <u>Greater than 5% shareholders</u> |  |  |
| Peter J. Abrahamson | 316000<sup>(2)</sup> | 6.9% |

---

\* Less than 1%.

\*\* Under the rules of the Securities and Exchange Commission, shares of Common Shares that an individual or group has a right to acquire within 60 days pursuant to the exercise of options or warrants are deemed to be outstanding for the purpose of computing the percentage ownership of such individual or group, but are not deemed to be outstanding for the purpose of computing the percentage ownership of any other person shown in the table.

(1) The address of each of the named holders is c/o Highway Holdings Limited, Suite 1801, Level 18, Landmark North, 39 Lung Sum Avenue,
Sheung Shui, New Territories, Hong Kong.

(2) Based on a Schedule 13G/A filed with the SEC by Peter J. Abrahamson on January 22, 2025.

There are no arrangements known to the Company the operation of which may at a subsequent date result in a change in control of the Company. All holders of the Common Shares have the same voting rights.

**Compensation of Directors and Officers**

The aggregate amount of compensation (including non-cash benefits, but excluding equity compensation) paid by the Company and its subsidiaries during the year ended on March 31, 2025 to directors on the Company's Board of Directors and officers as a group (nine people), for services rendered to the Company and its subsidiaries in all capacities was approximately $886,000, excluding amounts paid by the Company as dividends to directors and executive officers in their capacity as shareholders of the Company.

Mr. Kohl is employed pursuant to an employment agreement that can only be terminated by the Company, other than for cause or in the case of Mr. Kohl's incapacity, by paying Mr. Kohl a severance payment equal to three times his annual base salary.

Mr. Kohl, and the three other senior managers of the Company, are entitled to receive cash payments equal to three times their annual salary in the event of a change of control of the Company without the approval of the Board of Directors.

On May 13, 2023, Mr. Kohl was granted 300,000 shares of restricted stock under the Company's 2020 Stock Option and Restricted Stock Plan. The restricted stock award granted to Mr. Kohl is subject to vesting in tranches upon the Company's achievement of certain strategic transactions within five years from the date the shares were granted, and any shares not vested by the five-year anniversary of the date of grant or upon termination of Mr. Kohl's employment with the Company shall be forfeited and reconveyed to the Company. The restricted shares vest in three (3) tranches, with 100,000 of the shares vesting in two tranches, and all of the unvested shares vesting in one tranche. Each tranche vests upon completion of a certain milestone by the Company relating to the consummation by the Company or its subsidiaries of certain strategic transactions within five (5) years from the date of grant. The independent members of the Board shall have the final determination as to whether the Company has achieved any of the share release milestones.

On May 1, 2025, each of Roland Kohl, Tiko Aharanov, Dirk Hermann, Irene Wong Ping Yim, Heiko Sonnekalb, Alan Chan, and Ringo Tsang were granted 20,000 shares of restricted stock, and each of Patrick Michaels, Marcus Bagnall, Annie Leung Hoi Ling, Brian Chu Chong Tat were also granted 2,500 shares of restricted stock. The restricted shares awarded to the directors of the Company will vest in three years on May 1, 2028, and the restricted shares awarded to the officers will vest in five years on May 1, 2030. In the event that any recipient's services with the Company or its subsidiaries is terminated before the applicable vesting date, the Company will have the right to repurchase the restricted shares at a price of $0.01 per share.

During the past fiscal year, the Company paid each of the non-executive directors an annual director's fee of $12,000 and reimbursed them for their reasonable expenses incurred in connection with their services as directors. In addition, the Chairman of any committee is paid an additional fee of $2,000 per year, and the members of a committee are paid an additional fee of $2,000 per year for each committee on which they serve.

**SHAREHOLDER PROPOSALS AT THE<br> NEXT ANNUAL MEETING OF SHAREHOLDERS**

Shareholder proposals submitted for inclusion in the Company's Proxy Statement and form of proxy relating to the Company's 2026 annual meeting of shareholders must be received by June 14, 2026. If the Company is not notified of a shareholder proposal by June 14, 2026, then the proxies held by management of the Company may provide the discretion to vote against such shareholder proposal, even though such proposal is not discussed in the Proxy Statement. Shareholder proposals should be submitted to the Company at Suite 1801, Level 18, Landmark North, 39 Lung Sum Avenue, Sheung Shui, New Territories, Hong Kong.

**OTHER MATTERS**

The Board of Directors does not know of any other business that may be presented for consideration at the meeting. However, if any matters not referred to in this Proxy Statement should properly come before the meeting, the persons named in the proxies will vote the shares represented thereby in accordance with their judgment.

**COMMUNICATIONS WITH THE BOARD OF DIRECTORS**

Shareholders may communicate directly with the Board of Directors by writing to them at Board of Directors, c/o Secretary, Highway Holdings Limited, Suite 1801, Level 18, Landmark North, 39 Lung Sum Avenue, Sheung Shui, New Territories, Hong Kong. Such communications will be forwarded to the director or directors to whom it is addressed, except for communications that are (1) advertisements or promotional communications, (2) solely related to complaints with respect to ordinary course of business customer service and satisfaction issues, or (3) clearly unrelated to the Company's business, industry, management or Board or committee matters.

**AVAILABILITY OF ANNUAL REPORT ON FORM 20-F**

The Company will furnish without charge a copy of the Company's Annual Report on Form 20-F for the fiscal year ended March 31, 2025 as filed with the Securities and Exchange Commission to any shareholder desiring a copy. Shareholders may request such Annual Reports from the following: David Pasquale, Global IR Partners by email at dpasquale@globalirpartners.com or by phone at (914) 337-8801.

---

| | |
|:---|:---|
| July 29, 2025 | By Order of the Board of Directors |
|  | /s/ Alan Chan |
|  | **Alan Chan**, Secretary |

---

## Exhibit 99.3

**Exhibit 99.3**

**Dear Shareholders,**

The lasting impact of COVID-19 and its aftermath has continued to affect industries far longer than initially anticipated ranging from displaced supply chains and business closures to leaner inventory management practices. These challenges were further exacerbated by the ongoing trade tension, far-reaching new U.S. tariffs, and the protracted conflict between Ukraine and Russia. As a result, our customers' businesses remain significantly weaker than pre-pandemic levels, with many still searching for a path to sustainable recovery. Their difficulties and challenges inevitably affect us, and how we operate. We were able to achieve a slight improvement over last year, but our traditional business remains in a challenged positioned as we push for a return to profitable growth.

Given the above business reality, we have prioritized development of new business opportunities both organically and through mergers and acquisitions (M&A). We have made progress but in the original equipment manufacturer (OEM) sector, securing new customers is not straightforward. Large OEM companies typically have established suppliers, and changing them requires new applications, approvals, expensive tooling, and significant risk. In stable times, attracting new OEM customers is not historically fast or easy. However, in today's challenging climate, where some suppliers are failing, OEM customers may find themselves in need of replacements, which creates an opportunity for an established OEM, like Highway Holdings.

Additionally, financial difficulties are forcing many OEM suppliers to consider selling part or all of their businesses to avoid bankruptcy. This opens other opportunistic situations to secure new OEM customers by acquiring a struggling supplier. As part of our ongoing business, we actively search, analyze, and negotiate potential acquisition targets. This has become an even higher priority for us, including our efforts with Synova, which ultimately proved to be unsuccessful. Acquiring a business that aligns with our needs is a complex, time-consuming process. We are diligently working to mitigate risks, while striving to find the right partner but cannot guarantee the timing of any potential M&A.

Beyond our OEM efforts, we recognize the necessity and opportunities of diversification to ensure long-term stability and growth.

**Paving the Path for Rejuvenation, Diversification and Growth**

In the aftermath of the COIVD-19 crisis, the need became clear for a second, robust business line to safeguard against future disruptions. Our Board and management team are committed to building an independent, scalable enterprise that provides additional revenue streams, reducing our reliance on OEM customers' well-being, in order to reduce volatility and to drive long-term shareholder value.

Since Highway Holdings first started operating in China more than 34 years ago, the demographics of the population of China have changed significantly. Among other changes, the average age of the population has increased, and the number of elderly persons is expected to continue to grow rapidly over the next decade. We believe that there are significant untapped business opportunities for providing products and services to this aging population. Accordingly, in addition to exploring other growth opportunities in the manufacturing industry, we are also beginning to pursue other, non-manufacturing ventures to supplement our OEM manufacturing operations in China.

We are confident 2025 will mark the beginning of a new business era, which will not only stabilize the company but also offer significant growth potential beyond our current OEM manufacturing operations. In line with our strategy and execution, we recently announced the appointment of four new directors to our Board of Directors, filling prior vacancies. The new directors bring a wealth of experience in multinational business environments, with expertise in finance, manufacturing, entrepreneurship, strategy and M&A. The appointments represent a comprehensive restructuring and rejuvenation of Highway Holdings' Board of Directors to align with supporting its long-term growth strategy.

As we look to the future, we remain focused on driving sustainable growth and creating long-term value for our shareholders. We are confident that with your continued support, we will achieve these goals

Thank you for your trust and confidence in our company.

---

| | |
|:---|:---|
| Sincerely yours, | ![](ex99-3_001.jpg) |
|  | ![](ex99-3_001.jpg) |
| Roland Kohl | ![](ex99-3_001.jpg) |
| Chairman and Chief Executive Officer | ![](ex99-3_001.jpg) |
| Highway Holdings Limited | ![](ex99-3_001.jpg) |
| ![](ex99-3_001.jpg) |  |
| ![](ex99-3_001.jpg) |  |

---