104 — Interim / Quarterly Report 2021

Dec 17, 2021

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Stock Code:3130

(English Translation of Consolidated Financial Statements and Report Originally Issued in Chinese) 104 CORPORATION AND SUBSIDIARIES

CONSOLIDATED FINANCIAL STATEMENTS

With Independent Auditors’ Review Report For the Three Months Ended March 31, 2021 and 2020

Address: 10F., No. 119-1, Baozhong Rd., Xindian Dist., New Taipei City 231, Taiwan, R.O.C. Tel: 886-2-2912-6104

The independent auditors’ review report and the accompanying consolidated financial statements are the English translation of the Chinese version prepared and used in the Republic of China. If there is any conflict between, or any difference in the interpretation of the English and Chinese language independent auditors’ review report and consolidated financial statements, the Chinese version shall prevail.

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Table of contents

Contents 1 Cover page 2 Table of contents 3 Independent Auditors’ Review Report 4 Consolidated Balance Sheets 5 Consolidated Statements of Comprehensive Income 6 Consolidated Statements of Changes in Equity 7 Consolidated Statements of Cash Flows 8 Notes to the Consolidated Financial Statements (1) Company history (2) Approval date and procedures of the consolidated financial statements (3) New standards, amendments and interpretations adopted (4) Summary of significant accounting policies (5) Significant accounting assumptions and judgments, and major sources of estimation uncertainty (6) Explanation of significant accounts (7) Related-party transactions (8) Pledged assets (9) Significant commitments and contingencies (10) Losses due to major disasters (11) Significant subsequent events (12) Other (13) Other disclosures items 1) Information on significant transactions 2) Information on investees 3) Information on investment in Mainland China 4) Major shareholders (14) Segment information

Page

1 2 3~4 5 6 7 8 9 9 9~10 10~11 12 12~24 24~25 25 25 25 25 26 26~27 28 28~29 29 29

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Independent Auditors’ Review Report

To the Board of Directors of 104 Corporation:

Introduction

We have reviewed the accompanying consolidated balance sheets of 104 Corporation and subsidiaries as of March 31, 2021 and 2020, and the related consolidated statements of comprehensive income, changes in equity and cash flows for the three months ended March 31, 2021 and 2020, and notes to the consolidated financial statements, including a summary of significant accounting policies. Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standards (“IASs”) 34, “Interim Financial Reporting” endorsed by the Financial Supervisory Commission of the Republic of China. Our responsibility is to express a conclusion on the consolidated financial statements based on our review.

Scope of Review

Except as explained in the Basis for Qualified Conclusion paragraph, we conducted our reviews in accordance with Statement of Auditing Standards 65, “Review of Financial Information Performed by the Independent Auditor of the Entity”. A review of the consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with the generally accepted auditing standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Basis for Qualified Conclusion

As stated in Note 4(2), the consolidated financial statements included the financial statements of certain nonsignificant subsidiaries, which were not reviewed by independent auditors. These financial statements reflect the total assets amounting to NT$112,318 thousand and NT$119,073 thousand, constituting 4.18% and 4.60% of the consolidated total assets; and the total liabilities amounting to NT$11,429 thousand and NT$15,197 thousand, constituting 1.02% and 1.48% of the consolidated total liabilities as of March 31, 2021 and 2020, respectively; as well as the total comprehensive gain (loss) amounting to NT$9,955 thousand and NT$ (2,472) thousand, constituting 9.66% and (4.06)% of the consolidated total comprehensive income for the three months ended March 31, 2021 and 2020, respectively.

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Qualified Conclusion

Based on our reviews, except for the effects of such adjustments, if any, as might have been determined to be necessary had the financial statements of certain non-significant subsidiaries as described in the Basis for Qualified Conclusion paragraph above been reviewed by independent auditors, nothing has come to our attention that causes us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of 104 Corporation and subsidiaries as of March 31, 2021 and 2020, and of its consolidated financial performance for the three months ended March 31, 2021 and 2020, as well as its consolidated cash flows for the three months ended March 31, 2021 and 2020 in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and IASs 34, “Interim Financial Reporting” endorsed by the Financial Supervisory Commission of the Republic of China.

The engagement partners of KPMG on the review resulting in this independent auditor’s report are Min-Ju Chao and Chun-Hsiu Kuang.

Taipei, Taiwan (Republic of China) May 6, 2021

Note to Readers

The accompanying consolidated financial statements are intended only to present the consolidated statements of financial position, financial performance and its cash flows in accordance with the accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to review such consolidated financial statements are those generally accepted and applied in the Republic of China.

The independent auditors’ review report and the accompanying consolidated financial statements are the English translation of the Chinese version prepared and used in the Republic of China. If there is any conflict between, or any difference in the interpretation of the English and Chinese language auditors’ report and consolidated financial statements, the Chinese version shall prevail.

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(English Translation of Consolidated Financial Statements and Report Originally Issued in Chinese)

Reviewed only, not audited in accordance with generally accepted auditing standards as of March 31, 2021 and 2020

104 CORPORATION AND SUBSIDIARIES

Consolidated Balance Sheets

March 31, 2021, December 31 and March 31, 2020

(Expressed in Thousands of New Taiwan Dollars)

Assets Current assets: Cash and cash equivalents (note 6(1)) Notes receivable, net (notes 6(3) and (12)) Accounts receivable, net (notes 6(3) and (12)) Other receivables Other current assets, others Total current assets Non-current assets: Non-current financial assets at fair value through profit or loss (note 6(2)) Property, plant and equipment (note 6(4)) Right-of-use assets (notes 6(5) and (7)) Intangible assets (note 6(6)) Deferred tax assets Prepayments for business facilities Guarantee deposits paid Other non-current financial assets (note 8) Other non-current assets, others (note 6(3)) Total non-current assets		March 31, 2021	December 31, 2020 Amount % 2,236,512 84 161 - 50,906 2 9,334 - 37,044 2 2,333,957 88 4,557 - 208,883 8 76,824 3 1,553 - 8,638 - 588 - 8,300 - 10,000 1 4,224 - 323,567 12	March 31, 2020
		Amount % $ 2,261,095 84 175 - 79,516 3 8,911 - 25,828 1 2,375,525 88 4,566 - 203,337 8 69,245 3 1,292 - 8,638 - 588 - 8,741 - 10,000 1 4,872 - 311,279 12		Amount % 2,171,266 84 609 - 58,776 2 11,005 1 15,061 1 2,256,717 88 4,836 - 224,790 9 70,633 3 2,390 - 7,051 - 468 - 8,123 - 10,000 - 2,849 - 331,140 12

Total assets

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Liabilities and Equity Current liabilities: Current contract liabilities (note 6(12)) Notes payable Accounts payable Other payables (note 6(13)) Current tax liabilities Current lease liabilities (note 6(7)) Other current liabilities, others Total current liabilities Non-current liabilities: Non-current lease liabilities (note 6(7)) Net defined benefit liability, non-current Total non-current liabilities Total liabilities Equity attributable to owners of parent (note 6(10)): Common stock Capital surplus Retained earnings: Legal reserve Special reserve Unappropriated earnings Total retained earnings Other equity: Exchange differences on translation of foreign financial statements Total equity attributable to owners of parent Non-controlling interests Total equity Total liabilities and equity		March 31, 2021				December 31, 2020 Amount % 600,876 23 54 - 1,859 - 395,053 15 44,948 2 32,891 1 58,759 2 1,134,440 43 44,734 2 12,611 - 57,345 2 1,191,785 45 331,907 12 397,574 15 378,199 15 6,121 - 351,628 13 735,948 28 ( 5,339) - 1,460,090 55 5,649 - 1,465,739 55 2,657,524 100		March 31, 2020
		Amount $ 632,992 54 1,378 290,298 46,928 33,052 63,989 1,068,691 37,030 12,240 49,270 1,117,961 331,907 397,574 378,199 6,121 455,626 839,946 ( 5,707) 1,563,720 5,123 1,568,843 $ 2,686,804	%			Amount		Amount %
			24 - - 11 2 1 2 40 1 1 2 42 12 15 14 - 17 31 - 58 - 58 100			600,876 54 1,859 395,053 44,948 32,891 58,759 1,134,440 44,734 12,611 57,345 1,191,785 331,907 397,574 378,199 6,121 351,628 735,948 ( 5,339) 1,460,090 5,649 1,465,739 2,657,524		558,600 22 4 - 2,336 - 272,553 11 62,335 2 28,280 1 52,150 2 976,258 38 43,046 2 8,844 - 51,890 2 1,028,148 40 331,907 13 397,574 15 378,199 15 4,051 - 446,967 17 829,217 32 ( 6,744) - 1,551,954 60 7,755 - 1,559,709 60 2,587,857 100

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements and Report Originally Issued in Chinese) Reviewed only, not audited in accordance with generally accepted auditing standards

104 CORPORATION AND SUBSIDIARIES

Consolidated Statements of Comprehensive Income

For the three months ended March 31, 2021 and 2020

(Expressed in Thousands of New Taiwan Dollars, Except for Earnings Per Common Share)

Operating revenue (note 6(12)) Operating costs (notes 6(4), (5), (6), (7), (8), (13),7 and 12) Gross profit Operating expenses (notes 6(3), (4), (5), (6), (7), (8), (13), 7 and 12): Selling expenses Administrative expenses Research and development expenses Total operating expenses Operating income Non-operating income and expenses (notes 6(4), (5), (6), (7), (8), (14), (15), (16), 7and 12): Interest income Other income Other gains and losses Finance costs Total non-operating income and expenses Income before income tax Less: income tax expenses (note 6(9)) Net income Other comprehensive income (loss): Items that may be reclassified subsequently to profit or loss Exchange differences on translation of foreign financial statements Less: income tax related to items that are or may be reclassified subsequently to profit or loss Other comprehensive loss Total comprehensive income Net income attributable to: Shareholders of the Company Non-controlling interests Total comprehensive income (loss) attributable to: Shareholders of the Company Non-controlling interests Basic earnings per share (note 6(11)) Basic earnings per share Diluted earnings per share	For the three	For the three	months ended March 31,	months ended March 31,	months ended March 31,
		2021	% 100 10 90 37 9 21 - 67 23 1 - - - 1 24 - 24 - - - 24 24 - 24 24 - 24 3.13 3.12	2020	% 100 11 89 41 9 21 - 71 18 1 1 (1 ) - 1 19 4 15 - - - 15 15 - 15 15 - 15 1.86 1.85
		Amount $ 437,900 44,667 393,233 162,876 38,996 89,433 184 291,489 101,744 2,623 1,769 14 ( 279 ) 4,127 105,871 2,360 103,511 ( 407 ) - ( 407) $ 103,104 $ 103,998 ( 487) $ 103,511 $ 103,630 ( 526) $ 103,104 $		Amount 396,918 44,408 352,510 161,623 36,579 82,390 330 280,922 71,588 3,492 4,802 ( 2,793 ) ( 293) 5,208 76,796 15,214 61,582 ( 713 ) - ( 713) 60,869 61,879 ( 297) 61,582 61,256 ( 387) 60,869
		$

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements and Report Originally Issued in Chinese) Reviewed only, not audited in accordance with generally accepted auditing standards

104 CORPORATION AND SUBSIDIARIES

Consolidated Statements of Changes in Equity

For the three months ended March 31, 2021 and 2020

(Expressed in Thousands of New Taiwan Dollars)

Equity attributable to owners of parent

Balance at January 1, 2020 Net income (loss) for the period Other comprehensive income (loss) for the period Total comprehensive income (loss) for the period Balance at March 31, 2020 Balance at January 1, 2021 Net income (loss) for the period Other comprehensive income (loss) for the period Total comprehensive income (loss) for the period Balance at March 31, 2021		Common stock $ 331,907 - - - $ 331,907 $ 331,907 - - - $ 331,907		Capital surplus 397,574 - - - 397,574 397,574 - - - 397,574				**Retained earnings **	**Retained earnings **	**Retained earnings **		Total 767,338 61,879 - 61,879 829,217 735,948 103,998 - 103,998 839,946		Foreign currency translation differences for foreign operations			Total equity attributable to Owners of parent 1,490,698 61,879 ( 623) 61,256 1,551,954 1,460,090 103,998 ( 368) 103,630 **1,563,720 **		Non- controlling interests 8,142 ( 297 ) ( 90) ( 387) 7,755 5,649 ( 487 ) ( 39) ( 526) 5,123		Total equity
						Legal reserve 378,199 - - - 378,199 378,199 - - - 378,199		Special reserve	Unappropriated earnings
								4,051 - - - 4,051 6,121 - - - 6,121		385,088 61,879 - 61,879 446,967 351,628 103,998 - 103,998 455,626				( 6,121 ) - ( 623) ( 623) ( 6,744 ) ( 5,339 ) - ( 368) ( 368) ( 5,707 )							1,498,840 61,582 ( 713) 60,869 1,559,709 1,465,739 103,511 ( 407) 103,104 1,568,843

See accompanying notes to consolidated financial statements.

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(English Translation of Consolidated Financial Statements and Report Originally Issued in Chinese)

Reviewed only, not audited in accordance with generally accepted auditing standards

104 CORPORATION AND SUBSIDIARIES

Consolidated Statements of Cash Flows

For the three months ended March 30, 2021 and 2020

(Expressed in Thousands of New Taiwan Dollars)

(Expressed in Thousands of New Taiwan Dollars)
Cash flows from (used in) operating activities: Income before tax Adjustments: Adjustments to reconcile profit: Depreciation expense Amortization expense Expected credit loss Interest expense Interest income Gain on disposal of property, plant and equipment Unrealized foreign exchange gain Total adjustments to reconcile profit Changes in operating assets and liabilities: Net changes in operating assets: Notes receivable Accounts receivable Other receivables Other financial assets Other current assets Total net changes in operating assets Net changes in operating liabilities: Contract liabilities Notes payable Accounts payable Other payables Other current liabilities Net defined benefit liabilities Total net changes in operating liabilities Total net changes in operating assets and liabilities Total adjustments Cash inflow generated from operations Interest received Interest paid Income taxes paid Net cash flows from operating activities Cash flows from (used in) investing activities: Acquisition of property, plant and equipment Proceeds from disposal of property, plant and equipment Decrease (increase) in refundable deposits Acquisition of intangible assets Decrease (increase) in other non-current assets Net cash flows used in investing activities Cash flows used in financing activities: Payments of lease liabilities Net cash flows used in financing activities Effect of exchange rate changes on cash and cash equivalents Net decrease in cash and cash equivalents Cash and cash equivalents at beginning of period Cash and cash equivalents at end of period	For the three months ended March 31,
		2021 $ 105,871 17,278 261 184 279 ( 2,623 ) - ( 9) 15,370 ( 14 ) ( 28,794 ) 563 - 11,216 ( 17,029) 32,116 - ( 481 ) ( 107,384 ) 5,230 ( 371) ( 70,890) ( 87,919) ( 72,549) 33,322 2,483 ( 279 ) ( 380) 35,146 ( 709 ) - ( 441 ) - ( 648) ( 1,798) ( 8,359) ( 8,359) ( 406) 24,583 2,236,512 $ 2,261,095		2020 76,796 19,518 453 330 293 ( 3,492 ) ( 187 ) ( 39) 16,876 ( 170 ) ( 11,204 ) ( 1,615 ) 150 378 ( 12,461) 40,117 ( 117 ) ( 116 ) ( 102,810 ) 519 ( 336) ( 62,743) ( 75,204) ( 58,328) 18,468 3,609 ( 293 ) ( 137) 21,647 ( 10,480 ) 198 131 ( 133 ) 651 ( 9,633) ( 8,692) ( 8,692) ( 712) 2,610 2,168,656 2,171,266

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

(English Translation of Consolidated Financial Statements and Report Originally Issued in Chinese) Reviewed only, not audited in accordance with generally accepted auditing standards

104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

March 31, 2021 and 2020

(Expressed in Thousands of New Taiwan Dollars, unless otherwise stated)

(1) Company history

104 Corporation (the “Company”) was incorporated as a company limited by shares under the Company Act of the Republic of China in October 1993. The Company, formerly named Fu-Hwa International Market Development Consultant Ltd., was renamed 104 Corporation in August 2000. The Company and subsidiaries (the “Consolidated Company”) are engaged in information technology, general advertising services, employment services, and human resource consultancy.

(2) Approval date and procedures of the consolidated financial statements

The consolidated financial statements were authorized for issuance by the board of directors on May 6, 2021.

(3) New standards, amendments and interpretations adopted

• 1) The impact of the International Financial Reporting Standards (“IFRSs”) endorsed by the Financial Supervisory Commission, R.O.C. (“FSC”) which have already been adopted.

The Consolidated Company has initially adopted the following new amendments, which do not have a significant impact on its consolidated financial statements, from January 1, 2021:

• Amendments to IFRS 4 “Extension of the Temporary Exemption from Applying IFRS 9”

• Amendments to IFRS 9, IAS39, IFRS7, IFRS 4 and IFRS 16 “Interest Rate Benchmark Reform— Phase 2”

• Amendments to IFRS 16 “Covid-19-Related Rent Concessions beyond June 30, 2021”

• 2)

• The impact of IFRS issued by IASB but not yet endorsed by the FSC

The following new and amended standards, which may be relevant to the Consolidated Company, have been issued by the International Accounting Standards Board (IASB), but have yet to be endorsed by the FSC:

Standards or Interpretations Amendments to IAS 1 “Disclosure of Accounting Policies”	Content of amendment The key amendments to IAS 1 include:  requiring companies to disclose their material accounting policies rather than their significant accounting policies;  clarifying that accounting policies related to immaterial transactions, other events or conditions are themselves immaterial and as such need not be disclosed; and	Effective date per IASB
		January 1, 2023

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

Standards or Interpretations Amendments to IAS 8 “Definition of Accounting Estimates”	Content of amendment  clarifying that not all accounting policies that relate to material transactions, other events or conditions are themselves material to a company’s financial statements. The amendments introduce a new definition for accounting estimates: clarifying that they are monetary amounts in the financial statements that are subject to measurement uncertainty. The amendments also clarify the relationship between accounting policies and accounting estimates by specifying that a company develops an accounting estimate to achieve the objective set out by an accounting policy.	Effective date per IASB
		January 1, 2023

The Consolidated Company is evaluating the impact of its initial adoption of the abovementioned standards or interpretations on its consolidated financial position and consolidated financial performance. The results thereof will be disclosed when the Consolidated Company completes its evaluation.

The Consolidated Company does not expect the following other new and amended standards, which have yet to be endorsed by the FSC, to have a significant impact on its consolidated financial statements:

• Amendments to IFRS 10 and IAS 28 “Sale or Contribution of Assets Between an Investor and Its Associate or Joint Venture”

• IFRS 17 “Insurance Contracts” and amendments to IFRS 17 “Insurance Contracts”

• Amendments to IAS 1 “Classification of Liabilities as Current or Non-current”

• －

• ● Amendments to IAS 16 “Property, Plant and Equipment Proceeds before Intended Use”

• －

• ● Amendments to IAS 37 “Onerous Contracts Cost of Fulfilling a Contract”

• Annual Improvements to IFRS Standards 2018-2020

• Amendments to IFRS 3 “Reference to the Conceptual Framework”

(4) Summary of significant accounting policies

Except the following accounting policies mentioned below, the significant accounting policies adopted in the consolidated financial statements are the same as those in the consolidated financial statement for the year ended December 31, 2020. For the related information, please refer to note 4 of the consolidated financial statement for the year ended December 31, 2020.

• 1) Statement of compliance

These consolidated financial statements have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers (hereinafter referred to the Regulations) and guidelines of IAS 34 “Interim Financial Reporting” which are endorsed by FSC and do not include all of the disclosures required by International Financial Reporting Standards, International Accounting Standards, IFRIC Interpretations and SIC Interpretations endorsed by the FSC (hereinafter referred to IFRS endorsed by the FSC) for full annual consolidated financial statements.

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

• 2) Basis of consolidation

Principles of preparation of the consolidated financial statements are the same as the consolidated financial statements for the year ended December 31, 2020. For the related information, please refer to note 4(3) of the consolidated financial statements for the year ended December 31, 2020.

List of subsidiaries in the consolidated financial statements:

Name of investor	Name of subsidiary	Business activities General advertising services, IT software services, electronic information services, talent dispatching, management consultancy and data processing services Collecting, coordinating, publishing, and consulting on human resource information; recruitment; designing and developing computer software, multimedia, and network systems; designing and producing advertising Developing network technologies and computer software, selling products, providing technical advice and services, and management consultancy	Percentage of ownership March 31, 2021 December 31, 2020 March 31, 2020 100.00% 100.00% 100.00% 70.00% 70.00% 70.00% 100.00% 100.00% 100.00%	Percentage of ownership March 31, 2021 December 31, 2020 March 31, 2020 100.00% 100.00% 100.00% 70.00% 70.00% 70.00% 100.00% 100.00% 100.00%	Notes
			March 31, 2021 100.00% 70.00% 100.00%	December 31, 2020 100.00% 70.00% 100.00%
The Company The Company The Company	104 Consulting Corporation (104 Consulting) 104 Human Resources Consultancy (Shanghai) Co., Ltd. (104 Human Resources Consultancy) 104 Redpoint Information Technology (Shanghai) Co., Ltd. (Redpoint Information)				Note Note Note

Note：It is a non-significant subsidiary, and its financial statements have not been reviewed.

All subsidiaries of the Consolidated Company are included in the consolidated financial statements.

• 3) Employee benefits

The pension cost for an interim period was calculated on a year-to-date basis by using the actuarially determined pension cost rate at the end of the prior fiscal year, adjusted for significant market fluctuations since that time and for significant curtailments, settlements, or other significant one-off events.

• 4) Income taxes

The income tax expenses have been prepared and disclosed in accordance with IAS 34 “Interim Financial Reporting”.

Income tax expenses for the period are best estimated by multiplying pre-tax income for the interim reporting period using the effective annual tax rate as forecasted by the management. This should be recognized fully as tax expense for the current period.

Temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and their respective tax bases shall be measured based on the tax rates that have been enacted or substantively enacted at the time of the asset or liability is recovered or settled, and be recognized directly in equity or other comprehensive income as tax expense.

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

(5) Significant accounting assumptions and judgments, and major sources of estimation uncertainty

The preparation of the consolidated financial statements in conformity with the Regulations and IAS 34 “Interim Financial Reporting” which are endorsed by FSC requires management to make judgments, estimates and assumptions that affect the application of the accounting policies and the reported amount of assets, liabilities, income and expenses. Actual results may differ from these estimates.

The preparation of the consolidated financial statements, estimates and underlying assumptions are reviewed on an ongoing basis which are in conformity with the consolidated financial statements for the year ended December 31, 2020. For the related information, please refer to note 5 of the consolidated financial statements for the year ended December 31, 2020.

(6) Explanation of significant accounts

Except for the following disclosures, there is no significant difference as compared with those disclosed in the consolidated financial statements for the year ended December 31, 2020. For the related information, please refer to Note 6 of the consolidated financial statements for the year ended December 31, 2020.

• 1) Cash and cash equivalents

Financial assets at fair value through profit or loss Cash Checking deposits Demand deposits Time deposits Cash equivalents－RS bond Cash and cash equivalents in the consolidated statement of cash flows Mandatorily measured at fair value through profit or loss－non-current Private fund	March 31, 2021 $ 35 50 232,101 2,007,909 21,000 $ 2,261,095 March 31, 2021 $ 4,566	December 31, 2020 34 2,709 214,669 1,969,100 50,000 2,236,512 December 31, 2020 4,557	March 31, 2020 - 2,749 203,779 1,901,738 63,000 2,171,266 March 31, 2020 4,836

• 2) Financial assets at fair value through profit or loss

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

• 3) Notes and accounts receivable and overdue receivable

Notes receivable Accounts receivable Overdue receivable (recorded under other non-current assets) Less: Allowance for doubtful accounts－accounts receivable Allowance for doubtful accounts－overdue receivable (recorded under other non-current assets)	March 31, 2021 $ 175 79,744 - (228) - $ 79,691	December 31, 2020 161 50,906 - - - 51,067	March 31, 2020 609 58,860 492 (84) (492) 59,385

The Consolidated Company applies the simplified approach to provide for its expected credit losses, i.e. the use of lifetime expected loss provision for all receivables. To measure the expected credit losses, notes, accounts and overdue receivable have been grouped based on shared credit risk characteristics and the days past due, as well as incorporated forward looking information, including macroeconomic and relevant industry information.

The loss allowance was determined as follows:

Aging 1~365 days Aging 1~365 days Aging 1~365 days Aging over 365 days	Gross carrying amount $ 79,919 Gross carrying amount $ 51,067 Gross carrying amount $ 59,469 492 $ 59,961		March 31, 2021	Lifetime expected credit loss allowance 228 Lifetime expected credit loss allowance - Lifetime expected credit loss allowance 84 492 576
			Weighted- average expected loss rate (%)
			0.29 December 31, 2020
			Weighted- average expected loss rate (%)
			- March 31, 2020
			Weighted- average expected loss rate (%)
			0.14 100.00

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

The movement in the allowance for notes, accounts and overdue receivable were as follows:

Balance on January 1 Impairment losses recognized Accounts recovered Balance on March 31	For the three months ended March 31, 2021 2020 $ - 229 184 330 44 17 $ 228 576
	2021 $ - 184 44 $ 228

The Consolidated Company does not hold any collateral for collectible amounts.

4) Property, plant and equipment

Movement of the cost, depreciation, and impairment loss of the property, plant and equipment of the Consolidated Company for the three months ended March 31, 2021 and 2020 were as follows:

Cost or deemed cost: Balance at January 1, 2021 Additions Disposals Effect of movements in exchange rates Balance at March 31, 2021 Balance at January 1, 2020 Additions Disposals Effect of movements in exchange rates Balance at March 31, 2020 Depreciation and impairment loss: Balance at January 1, 2021 Depreciation Disposals Effect of movements in exchange rates Balance at March 31, 2021 Balance at January 1, 2020 Depreciation Disposals Effect of movements in exchange rates Balance at March 31, 2020 Carrying amount: Balance at January 1, 2021 Balance at March 31, 2021 Balance at January 1, 2020 Balance at March 31, 2020		Land		Buildings		Computer equipment		Office equipment		Leasehold improvement		Transportation equipment		Other equipment		Unfinished construction		Total
		$ 103,562 - - - $ 103,562 $ 103,562 - - - $ 103,562 $ - - - - $ - $ - - - - $ - $ 103,562 $ 103,562 $ 103,562 $ 103,562		76,781 190 - - 76,971 75,782 999 - - 76,781 39,918 816 - - 40,734 36,688 793 - - 37,481 36,863 36,237 39,094 39,300		366,205 1,782 ( 695 ) ( 20) 367,272 366,028 2,802 ( 1,942 ) ( 31) 366,857 312,547 6,672 ( 695 ) ( 19) 318,505 297,126 8,194 ( 1,931 ) ( 30) 303,359 53,658 48,767 68,902 63,498		4,873 195 - - 5,068 4,873 - - ( 1) 4,872 3,870 153 - - 4,023 3,284 146 - ( 1) 3,429 1,003 1,045 1,589 1,443		54,133 - - - 54,133 53,391 1,279 - - 54,670 44,226 759 - - 44,985 40,873 1,154 - - 42,027 9,907 9,148 12,518 12,643		- - - - - 523 - ( 523 ) - - - - - - - 523 - ( 523 ) - - - - - -		26,964 197 - - 27,161 29,996 - ( 1,458 ) - 28,538 23,074 483 - - 23,557 25,183 469 ( 1,458 ) - 24,194 3,890 3,604 4,813 4,344		- 974 - - 974 - - - - - - - - - - - - - - - - 974 - -		632,518 3,338 ( 695 ) ( 20) 635,141 634,155 5,080 ( 3,923 ) ( 32) 635,280 423,635 8,883 ( 695 ) ( 19) 431,804 403,677 10,756 ( 3,912 ) ( 31_)_ 410,490 208,883 203,337 230,478 224,790

As of March 31, 2021, December 31 and March 31, 2020, the property, plant and equipment were not pledged.

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

5) Right-of-use assets

The Consolidated Company leases many assets including buildings and transportation equipment. Information about leases for which the Consolidated Company as a lessee is as below:

Cost: Balance at January 1, 2021 Addition Balance at March 31, 2021 Balance at January 1, 2020 Addition Disposal (modification of contract) Balance at March 31, 2020 Depreciation: Balance at January 1, 2021 Depreciation Balance at March 31, 2021 Balance at January 1, 2020 Depreciation Balance at March 31, 2020 Carrying amount: Balance at January 1, 2021 Balance at March 31, 2021 Balance at January 1, 2020 Balance at March 31, 2020		Building $ 137,569 - $ 137,569 $ 104,351 2,669 (64) $ 106,956 $ 63,265 7,891 $ 71,156 $ 32,061 8,296 $ 40,357 $ 74,304 $ 66,413 $ 72,290 $ 66,599	Transportation equipment 6,256 816 7,072 5,102 1,154 - 6,256 3,736 504 4,240 1,756 466 2,222 2,520 2,832 3,346 4,034	Total 143,825 816 144,641 109,453 3,823 (64) 113,212 67,001 8,395 75,396 33,817 8,762 42,579 76,824 69,245 75,636 70,633

6) Intangible assets

There were no significant additions, disposal, or recognition and reversal of impairment losses of intangible assets for the three months ended March 31, 2021 and 2020. Information on amortization for the period, please refer to Note 12. For other related information, please refer to Note 6(6) of the consolidated financial statements for the year ended December 31, 2020.

7) Lease liabilities

The Consolidated Company’s lease liabilities were as follows:

The Consolidated Company’s lease liabilities	were as follows:
Current Non-current	March 31, 2021 $ 33,052 37,030 $ 70,082	December 31, 2020 32,891 44,734 77,625	March 31, 2020
			28,280 43,046 71,326

Please refer to Note 6(17) financial instrument for the maturity information.

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

The amounts under profit and loss were as follows:

Interest expense of lease liabilities Short term lease	For the three months ended March 31,	For the three months ended March 31,
	2021 $ 279 $ 731	2020
		293 512

The amounts recognized in the statement of cash flows for the Consolidated Company was as follows:

Total cash flows used in operating activities Total cash flows used in financing activities Total cash flows	For the three months ended March 31, 2021 2020 $ 1,010 805 8,359 8,692 $ 9,369 9,497
	2021 $ 1,010 8,359 $ 9,369

1. Leases of buildings

The Consolidated Company leased buildings as office. The rental periods were 2 to 5 years. The options to extend the rental period as the original leasing period were included in the leasing periods for some of the lease.

1. Other leases

The rental periods of transportation were 1 to 5 years.

Meanwhile, for office, parking lots, mobility cabinet and event venue with the rental periods of within one year, the Consolidated Company recognized those under exemption for short term leases, without recognizing the right of use and lease liabilities.

8) Employee benefits

1. Defined benefit plans

Management believes that there was no material volatility of the market, no material reimbursement and settlement or other material onetime events since prior fiscal year. As a result, the pension cost in the accompanying consolidated financial statements was measured and disclosed according to the actuarial report as of December 31, 2020 and 2019.

The expenses recognized in profit or loss for the Consolidated Company were as follows:

Operating costs Selling expenses Administrative expenses Research and development expenses	For the three months ended March 31, 2021 2020 $ 3 5 20 32 8 14 7 13 $ 38 64
	2021 $ 3 20 8 7 $ 38

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

2. Defined contribution plans

The Consolidated Company’s pension costs under the defined contribution plans to the Bureau of Labor Insurance or the independent fund administered by the government were as follows:

Operating costs Selling expenses Administrative expenses Research and development expenses Other gains and losses	For the three months ended March 31, 2021 2020 $ 1,067 1,027 4,901 4,787 995 999 2,782 2,735 135 125 $ 9,880 9,673
	2021 $ 1,067 4,901 995 2,782 135 $ 9,880

9) Income taxes

1. The components of income tax expense (benefit) were as follows:

Current tax expense (benefit) Current period Adjustment for prior periods Incometax expense	For the three months ended March 31, 2021 2020 $ 21,005 15,214 (18,645) - $ 2,360 15,214
	2021 $ 21,005 (18,645) $ 2,360

2. Assessment of tax

The R.O.C. income tax authorities have examined and approved the Company’s income tax returns through 2019.

10) Share capital and other equity

There was no significant change in share capital and other equity for the periods from January 1 to March 31, 2021 and 2020. For the related information, please refer to note 6(10) of the consolidated financial statements for the year ended December 31, 2020.

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

11) Earnings per share

The calculation of basic and diluted earnings per share for the three months ended March 31, 2021 and 2020 were as follows:

Basic EPS: Net income Weighted-average number of common shares outstanding (thousand shares) Basic EPS (New Taiwan dollars) Diluted EPS: Net income Weighted-average number of common shares outstanding (thousand shares) Effects of potentially dilutive common stock Employees’ compensation Weighted-average number of common shares outstanding－ diluted (thousand shares) Diluted EPS (New Taiwan dollars)	For the three months ended March 31,	For the three months ended March 31,
	2021	2020
	$ 103,998 33,190 $ 3.13 $ 103,998 33,190 165 33,355 $ 3.12	61,879 33,190 1.86 61,879 33,190 176 33,366 1.85

• 12) Revenue from contracts with customers

• The details of revenue were as follows:

Primary geographical markets: Taiwan Other countries Primary services: Online and consultation services	For the three months ended March 31, 2021 2020 $ 433,386 394,079 4,514 2,839 $ 437,900 396,918 $ 437,900 396,918	For the three months ended March 31, 2021 2020 $ 433,386 394,079 4,514 2,839 $ 437,900 396,918 $ 437,900 396,918
		2020
		394,079 2,839 396,918 396,918

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

1. Contract balances

Contract balances
Notes Receivable Accounts Receivable Less: Allowance for impairment－accounts receivable Total Contract liabilities	March 31, 2021 $ 175 79,744 (228) $ 79,691 $ 632,992	December 31, 2020 161 50,906 - 51,067 600,876	March 31, 2020
			609 58,860 (84) 59,385 558,600

Please refer to Note 6(3) for details on accounts receivable and allowance for impairment.

• 13) Employees’ compensation and remunerations of directors and supervisors

In accordance with the Articles of incorporation, if the Company operates at a profit (the profit so called is pre-tax profit before deducting employees’ compensation and remunerations of directors and supervisors) it shall contribute 8%~15% of profit as employees’ compensation and remunerations of directors and supervisors no more than 3%. However, any losses accumulated by the corporation to date shall be paid off first.

The employees’ compensation in the preceding paragraph shall be distributed in the form of shares or in cash and object of payment includes the employees of subsidiaries of the corporation meeting certain specific requirements.

For the three months ended March 31, 2021 and 2020, the Company estimated its employees’ compensation to be $9,734 thousand and $7,001 thousand, respectively, and the remuneration of directors and supervisors to be $2,360 thousand and $1,697 thousand, respectively. The estimated amounts mentioned above are calculated based on the net profit before tax, excluding the remuneration to employees, directors and supervisors of each period, multiplied by the percentage of remuneration to employees, directors and supervisors as specified in the Company’s Articles. These remunerations were expensed under operating costs or operating expenses for each period. If there are any subsequent adjustments to the actual remuneration amounts, the adjustment will be regarded as changes in accounting estimates and will be reflected in profit or loss in the following year. If the employees’ compensation is paid by the Company’s stock, the numbers of shares to be distributed were calculated based on the closing price of the Company’s ordinary shares, one day before the date of the meeting of board of directors.

For the year ended December 31, 2020 and 2019, the employees’ compensation amounted to $27,867 thousand and $30,372 thousand, respectively, and the remunerations of directors and supervisors amounted to $6,756 thousand and $7,363 thousand, respectively. There was no difference between the aforementioned amounts and the amounts approved in board of directors’ meeting. The related information is available on the Market Observation Post System website.

• 14) Non-operating income

• Interest Income

Deposit interest	For the three months ended March 31,	For the three months ended March 31,
	2021	2020
	$ 2,623	3,492

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

2. Other Income

Miscellaneous Income

For the three months ended March 31,	For the three months ended March 31,
2021 $ 1,769	2020
	4,802

15) Other gains and losses

The details of other gains and losses were as follows:

Gains (losses) on disposal of property, plant and equipment Net foreign exchange (losses) gains Other Other gains or losses

For the three months ended March 31,	For the three months ended March 31,
2021 $ - 54 - (40) $ 14	2020
	187 521 (4,349) 848 (2,793)

16) Finance costs

The details of finance costs were as follows:

Lease liabilities interest expenses

For the three months ended March 31,	For the three months ended March 31,
2021	2020
$ 279	293

17) Financial instruments

1. Categories of financial instruments

2. (A) Financial asset

Financial assets at amortized cost： Cash and cash equivalents Notes and accounts receivable Other receivables Refundable deposits Other non-current financial assets Total	March 31, 2021 $ 2,261,095 79,691 8,911 8,741 10,000 $ 2,368,438	December 31, 2020	March 31, 2020 2,171,266 59,385 11,005 8,123 10,000 2,259,779
		2,236,512 51,067 9,334 8,300 10,000
		2,315,213

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

• (B) Financial liabilities

Financial liabilities at amortized cost： Notes and accounts payable Other payables Lease liabilities Total	March 31, 2021 $ 1,432 290,298 70,082 $ 361,812	December 31, 2020 1,913 395,053 77,625 474,591	March 31, 2020 2,340 263,356 71,326 337,022

1. Liquidity risk

The following table shows the contractual maturity of the financial liabilities, excluding estimated interest:

March 31, 2021 Non-derivative financial liabilities Notes and accounts payable Other payables Lease liabilities December 31, 2020 Non-derivative financial liabilities Notes and accounts payable Other payables Lease liabilities March 31, 2020 Non-derivative financial liabilities Notes and accounts payable Other payables Lease liabilities	Carrying amount $ 1,432 290,298 70,082 $ 361,812 $ 1,913 395,053 77,625 $ 474,591 $ 2,340 263,356 71,326 $ 337,022		Contractual cash flows 1,432 290,298 70,082 361,812 1,913 395,053 77,625 474,591 2,340 263,356 71,326 337,022		Within 1 year		1-5 years - - 37,030 37,030 - - 44,734 44,734 - - 43,046 43,046		Over 5 years
					1,432 290,298 33,052 324,782 1,913 395,053 32,891 429,857 2,340 263,356 28,280 293,976				- - -
									-
									- - -
									-
									- - -
									-

The Consolidated Company does not expect the cash flows included in the maturity analysis to occur significantly earlier or at significantly different amounts.

1. Interest rate analysis

Please refer to the financial risk management for the disclosure on the interest rate risk.

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

1. Currency risk

2. (A) Exposure to foreign currency risk

The Consolidated Company’s significant exposure to foreign currency risk was as follows:

Financial assets Monetary items USD		M	arch 31, 2	021 e TWD 35,872	Dec	ember 31, 20	20		Ma	rch 31, 2020
			Exchang rate		Foreign currency 1,256	Exchange rate 28.48	TWD		Foreign currency 1,254	Exchange rate 30.23	TWD
			28.54				35,783				37,911

• (B) Sensitivity analysis

The Consolidated Company’s exposure to foreign currency risk arises from the translation of the foreign currency exchange gains and losses on cash and cash equivalents that are denominated in a foreign currency. A weakening of 1% of the TWD against the USD as at March 31, 2021 and 2020, would have increased the net profit after tax by $287 thousand and $303 thousand for the three months ended March 31, 2021 and 2020, respectively. The analysis assumes that all other variables remain constant.

• (C) Foreign exchange gains and losses on monetary items

The foreign exchange gains and losses (including realized and unrealized) on monetary items was as follows:

was as follows:
TWD CNY	For the three months ended March 31,
	2021 Exchange gains and losses Average exchange rate $ 19 - RMB 9 4.01	2020 Exchange gains and losses Average exchange rate 54 - 109 4.27
	Exchange gains and losses		Average exchange rate - 4.27
	$ 19 RMB 9	54 109

1. Fair value of financial instruments

2. (A) Fair value hierarchy

The fair value of financial assets and liabilities at fair value through profit or loss, financial instruments used for financial assets at fair value through other comprehensive income is measured on a recurring basis. The carrying amount and fair value of the Consolidated Company’s financial assets and liabilities , including the information on fair value hierarchy were as follows; however, except as described in the following paragraphs, for financial instruments not measured at fair value whose carrying amount is reasonably close to the fair value, and disclosure of fair value information is not required:

Financial assets at fair value through profit or loss－ non-current Private fund			March 31, 2021	March 31, 2021
			Fair value
		Level 1 $ -	Level 2 -	Level 3 4,566	Total
					4,566

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

December 31, 2020 Fair value Level 1 Level 2 Level 3 Total

Financial assets at fair value － through profit or loss non-current Private fund $ - - 4,557 4,557 March 31, 2020 Fair value Level 1 Level 2 Level 3 Total Financial assets at fair value － through profit or loss non-current Private fund $ - - 4,836 4,836

• (B) Reconciliation of Level 3 fair values

Name		For the three months ended March 31,	For the three months ended March 31,	For the three months ended March 31,
			2021
		Opening balance In profit or loss Ending balance $ 4,557 9 4,566 For the three months ended March 31,		Ending balance
Financial assets at fair value through profit or loss－private fund Name
			2020
		Opening balance $ 4,797	In profit or loss 39	Ending balance
Financial assets at fair value through profit or loss－private fund				4,836

• (C) Quantified information on significant unobservable inputs (Level 3) used in fair value measurement

The Consolidated Company’s financial instruments that use Level 3 inputs to measure fair – value is financial assets at fair value through profit or loss Private fund.

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

Quantified information of significant unobservable inputs was as follows:

Item Financial assets at fair value through profit or loss– Private fund	Valuation technique Net Asset Value Method	Significant unobservable inputs ‧Net Asset Value	Inter-relationship between significant unobservable inputs and fair value measurement
			The higher the net asset value, the higher the fair value

• 18) Financial risk management

There were no significant changes in the Consolidated Company’s financial risk management and policies as disclosed in Note 6(19) of the consolidated financial statements for the year ended December 31, 2020.

• 19) Capital management

The objectives, policies and processes of capital management of the Consolidated Company has been applied consistently with those disclosed in the consolidated financial statements for the year ended December 31, 2020. Please refer to Note 6(20) of the consolidated financial statements for the year ended December 31, 2020 for the related information.

• 20) Investing and financing activities not affecting current cash flow

• The right-of-use assets are acquired by lease, please refer to Note 6(5) for the related information.

• The Consolidated Company’s financing activities which did not affect the current cash flow in the three months ended March 31, 2021 and 2020, were as follows:

==> picture [426 x 115] intentionally omitted <==

----- Start of picture text -----

Non-cash changes
Foreign
January 1, exchange Fair value March 31,
2021 Cash flows Acquisitions Additions Decrease movement changes 2021
Lease liabilities $ 77,625 (8,359) - 816 - - - 70,082
Non-cash changes
Foreign
January 1, exchange Fair value March 31,
2020 Cash flows Acquisitions Additions Decrease movement changes 2020
Lease liabilities $ 76,259 (8,692) - 3,823 (64) - - 71,326
----- End of picture text -----

(7) Related-party transactions

• 1) Names and relationship with related parties

The followings are entities that have had transactions with the Consolidated Company during the periods covered in the consolidated financial statements.

Name of related party Relationship with the Consolidated Company

104 Hope Foundation Same chairman

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

• －

• 2) Transactions with related parties Rental income

The amount of rental income by related parties was as follow:

104 Hope Foundation

	For the three months ended March 31,	For the three months ended March 31,
	2021	2020
$		3	3

The price charged for rental was agreed by both parties, and was collected by telegraphic transfer.

• 3) Key management personnel compensation

Key management personnel compensation comprised:

Short-term employee benefits Share-based payments	For the three months ended March 31, 2021 2020 $ 18,685 18,837 1,382 1,366 $ 20,067 20,203
	2021
	$ 18,685 1,382
	$ 20,067

(8) Pledged assets

The carrying values of pledged assets were as follows:

Pledged assets	Object Guarantee for employment services	March 31, 2021	December 31, 2020	March 31, 2020
Time deposits (recorded under other financial assets－ non-current)		$ 10,000	10,000 10,000	10,000 10,000
		$ 10,000

(9) Significant Commitments and Contingencies

• 1) Unrecognized contractual commitments

The Consolidated Company applied to the Council of Labor Affairs for permission to provide employment services in accordance with the Employment Services Act. For the three months ended March 31, 2021 and 2020, the guaranteed amount provided by banks on behalf of the Consolidated Company was $1,000 thousand.

• 2) Contingent liabilities: None.

(10) Losses due to major disasters: None.

(11) Significant subsequent events: None.

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

(12) Other

• 1) A summary of employee benefits, depreciation, and amortization, be classified by function as follows:

Function Account	For the three months ended March 31,	For the three months ended March 31,	For the three months ended March 31,	For the three months ended March 31,	For the three months ended March 31,	For the three months ended March 31,	For the three months ended March 31,	For the three months ended March 31,
	2021				2020
	Operating costs	Operating expenses	Non- operating expenses (Note)	Total	Operating costs	Operating expenses	Non- operating expenses	Total
Employee benefits Salary Health and labor insurance Pension Remuneration of directors Other personnel expense Depreciation Amortization	24,767 2,076 1,070 - 648 4,681 92	214,988 16,165 8,713 1,770 5,615 12,298 169	2,327 288 135 - 159 299 -	242,082 18,529 9,918 1,770 6,422 17,278 261	24,809 1,809 1,032 - 717 6,059 199	202,438 14,465 8,580 1,273 5,624 12,928 253	2,154 253 125 - 151 531 1	229,401 16,527 9,737 1,273 6,492 19,518 453

Note: The Consolidated Company accounts for other gains and losses by presenting non-operating expenses with the related non-operating income, net.

• 2) Seasonality of operations

The Consolidated Company’s operations were not affected by seasonality or cyclicality factors.

(13) Other disclosures items

• 1) Information on significant transactions

The following were the information on significant transactions required by the "Regulations Governing the Preparation of Financial Reports by Securities Issuers" for the Consolidated Company for the three months ended March 31, 2021:

1. Loans to other parties: None.

2. Guarantees and endorsements for other parties: None.

3. Securities held as of March 31, 2021 (excluding investment in subsidiaries, associates, and joint ventures):

ventures):
**Name of holder **	Category and name of security	Relationship with company	Account title	Ending balance				Remarks
				Shares/ units (thousands)	Carrying value	Percentage of ownership (%)	Fairvalue
The Company	Private fund-SparkLabs Taipei Fund I	-	Financial assets at fair value through profit or loss－ non-current	-	4,566	-%	4,566

1. Individual securities acquired or disposed of with accumulated amount exceeding the lower of $300 million or 20% of the capital stock: None.

2. Acquisition of individual real estate with amount exceeding $300 million or 20% of the capital

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

stock: None.

1. Disposal of individual real estate with amount exceeding the lower of $300 million or 20% of the capital stock: None.

2. Related-party transactions for purchases and sales with amounts exceeding the lower of $100 million or 20% of the capital stock: None.

3. Receivables from related parties with amount exceeding the lower of $100 million or 20% of the capital stock: None.

4. Trading in derivative instruments: None.

5. Business relationships and significant intercompany transactions:

Number (note 1)	Name of company	Name of counterparty	Nature of relationship (note 2)		Intercompany transactions	Intercompany transactions	Intercompany transactions
				Account name	Amount (note 3)	Trading terms	Percentage of the consolidated total operating revenue or total assets
0 0 0 0 0 0 1 1	The Company The Company The Company The Company The Company The Company 104 Consulting 104 Consulting	104 Consulting 104 Consulting 104 Consulting 104 Consulting 104 Human Resources Consultancy 104 Human Resources Consultancy The Company The Company	1 1 1 1 1 1 2 2	Sales Miscellaneous income Accounts receivable Other receivables Other receivables Miscellaneous income Sales Accounts receivable	8,361 1,200 8,702 1,240 2,938 2,938 3,820 3,925	No significant differences with third-party transactions Income for service support and asset authorization; there are no other customers for comparison No significant differences with third-party transactions There are no other customers for comparison There are no other customers for comparison Income for service support and asset authorization; there are no other customers for comparison There are no other customers for comparison There are no other customers for comparison	1.90% 0.27% 0.32% 0.05% 0.11% 0.67% 0.87% 0.15%

Note 1: 1. 0 represents the Company

1. 1 represents 104 Consulting

2. 2 represents 104 Human Resource Consultancy

3. 3 represents Redpoint Information

Note 2: 1. Parent company to subsidiary company.

1. Subsidiary company to parent company.

2. Subsidiary company to subsidiary company

Note 3: Mutual business dealings between the parent company and subsidiaries amounting to $1,000 thousand are disclosed. Note 4: Related-party transactions have been eliminated in the preparation of the consolidated financial statements.

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

• 2) Information on investees:

The following is the information on investees for the three months ended March 31, 2021 (excluding information on investees in Mainland China):

										Unit: tho	usand dollars
Name of investor	Name of investee	Location	Main business and products	Original inves	tment amount	Balance of March 31, 2021			Net income (loss) of investee	Share of profit/ losses of investee (notes 1 and 2)	Remarks
				March 31, 2021	December 31, 2020	Shares (in thousands)	Percentage of ownership	Book value (notes 1 and 2)
The Company	104 Consulting	Taiwan	General advertising services, IT software services, electronic information services, talent dispatching, management consultancy and data processing services	12,678	12,678	1,219	100.00%	37,718	1,855	1,855	Subsidiary

Note 1: The long-term investments and investment gain or loss accounts have been eliminated in the preparation of the consolidated financial statements.

Note 2: The investment gain (loss) and book value recognized by the Company are based on the unaudited financial statements of the investee companies under the equity method.

• 3) Information on investment in Mainland China:

• The names of investees in Mainland China, the main businesses and products, and other information:

information:	information:	information:	information:	information:
					Unit: thousand dollars
Name of investee	Main businesses and products	Total amount of paid-in capital (note 4)	Method of investment (note 1)	Aggregate investment amount remitted from Taiwan at beginning of year (note 4)	Amount remitted or returned in **current year **		Aggregate investment amount remitted from Taiwan at end of period (note 4)	Net income (loss) of investee	Percentage of direct or indirect ownership by the Company (%)	Investment gain (loss) (notes 2 and 3)	Book value as of March 31, 2021 (notes 2 and 3)	Amount of investment income remitted back to Taiwan at end of period
					Invested amount	Returned amount
104 Human Resources Consultancy Redpoint Information	Collecting, coordinating, publishing, and consulting on human resource information; recruitment; designing and developing computer software, multimedia, and network systems; designing and producing advertising Developing network technologies and computer software, selling products, providing technical advice and services, and management consultancy	34,091 60,365	(1) (1)	23,909 (USD770) 60,365 (USD2,000)	- -	- -	23,909 (USD770) 60,365 (USD2,000)	(1,624) 1,046	70.00% 100.00%	(1,137) 1,046	11,954 37,139	- -

Note 1: Ways of investments are as follows: (1) direct investment in Mainland China.

  - (2)  others.

• Note 2: The long-term investments and investment gain or loss accounts have been eliminated in the preparation of the consolidated financial statements.

• Note 3: The investment gain (loss) and book value disclosed above included direct and indirect investments. The investment gain (loss) and book value recognized by the Company are based on the unaudited financial statements of the investee companies under the equity method.

• Note 4: Based on historical exchange rates.

• Limitation on investment in Mainland China:

Note 4: Based on historical exchange rates. Limitation on investment in Mainland China:	Note 4: Based on historical exchange rates. Limitation on investment in Mainland China:	Note 4: Based on historical exchange rates. Limitation on investment in Mainland China:
Unit: thousand dollars
Aggregate investment amount remitted from Taiwan to Mainland China at the end of the period (Note 2)	Investment amount approved by Investment Commission of Ministry of Economic Affairs (Note 2)	Limitation on investment in Mainland China by Investment Commission of Ministry of Economic Affairs (Note 1)
84,274 (USD 2,770)	79,056 (USD 2,770)	938,232

• Note 1: Limitation on investment in Mainland China: 60% of the Company’s stockholders’ equity of $1,563,720 thousand.

• Note 2: Issued capital and investment capital remitted from Taiwan to Mainland China were translated at historical rates, and the rest of the investment information was translated at the period-end rate of March 31, 2021 (USD : NTD=1:28.54).

See accompanying notes to consolidated financial statements.

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104 CORPORATION AND SUBSIDIARIES

Notes to the Consolidated Financial Statements

1. Significant transactions:

Significant transactions with the investees in Mainland China for the three months ended March 31, 2021, for which inter-company transactions were eliminated upon consolidation, are disclosed in “Information on significant transactions”.

• 4) Major shareholders:

Major shareholders:
Shareholding Shareholder’s Name	Shares	Percentage
JcbNext Berhad Rocky Yang Vicky Ku Askforce Corporation	7,630,000 4,495,402 4,495,401 2,427,344	22.99 % 13.54 % 13.54 % 7.31 %

• Note: (1) The information on major shareholders, which is provided by the Taiwan Depository & Clearing Corporation, summarized the shareholders who held over 5% of the total non-physical common stocks and preferred stocks (including treasury stocks) on the last business date of each quarter. The registered non-physical stocks may be different from the capital stocks disclosed in the financial statement due to different calculations basis.

• (2) If the aforementioned data contains shares which were kept in trust by the shareholders, the data disclosed will be deemed as the settlor’s separate account for the fund set by the trustee. As for the shareholder who reports its share equity as an insider and whose shareholding ratio is greater than 10% in accordance with Securities and Exchange Act and include its self-owned shares and trusted shares, as well as the shares of the individuals who have power to decide how to allocate the trust assets. For the information on reported share equity of the insider, please refer to the Market Observation Post System.

(14) Segment information

The Consolidated Company identifies reportable segment in accordance with the reported information which used by operating decision maker when making decision. To develop diversified career services and improve operating synergy, the Consolidated Company only has a single reportable segment and considerate the overall operating profit and loss. Please refer to consolidated financial statements of comprehensive income for the related segment information for the three months ended March 31, 2021 and 2020.

See accompanying notes to consolidated financial statements.