104 — Investor Presentation 2020

Dec 17, 2020

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104 Corporation (TSE:3130)

A Total Solution Provider in the Chinese HR Services Market

November 2020

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Safe Harbor Statement

This presentation contains some forward-looking statements that are subject to substantial risks and uncertainties. Typically, these statements contain words such as “anticipate," “believe,” “could,” “estimate,” “expect,” “intend,” “plan,” ‘’forecast,” “project,” “predict,” “potential,” “continue,” “may,” “should,” “will” and “would” or similar words. You should consider these forward-looking statements carefully because such statements are only our expectations or projections about future events; and actual results may differ materially from those expressed or implied by such statements.

You should be cautioned that the forward-looking statements are not the guarantees of our future performance. The forward-looking statements contained in this presentation are made only as of the date of this presentation and we undertake no obligation to update the forward-looking statements to reflect subsequent events or circumstances, except as required by law.

This presentation and the information contained herein is the property of 104 Corporation.

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Agenda

• Company Profile

• Services and Products

• Financial Review and Dividend Policy

• 104’s Mission and Value Map

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In 1996, 104 was established

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“For jobseekers, we don’t just help find jobs—we forge careers; and for employers, we don’t just help find workers—we manage talent.”

by Rocky Yang, founder and chairman of 104

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Company Profile

• Market Position Core Competence Financial Strengths

• 104 Job Bank was  Strong database:  Zero debt. established: 1996. 8.88 million resumes, 75% college  Solid NT2,058million graduated/ above,

• First job bank to IPO in cash position. Taiwan: 2006. 378K corp. customers. (Sep 2020) (Sep 2020)

• First job bank in Taiwan to  Proven capability to  Comprehensive range of generate cash even in

• get ISO 27001, BS 10012 HR related services. difficult economic

• and ISO 29100 accreditation. periods.  Competitive candidate matching and job  High satisfaction &

• recommendation recognition of 104 brand

• ISO/IEC 27001 system. & services.

• (Information Security Management System) BS 10012

• (Personal Information Management System) ISO/IEC 29100

(Privacy Framework)

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Source: Company data

Core Services and Products

Business Segments

Mobile Apps

For Job Seekers

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•
Vast, easy, & accessible platform
•
Career map & value-added services
104 Learn
Training Program
Posting Services
Job-Search App
104 Case 104 Tutor
Case Outsourcing Tuition Posting
Posting Services Services
104 Job Bank
Job Posting HR Academy
Services
HR Mgmt. Solutions
& Consultancy
104 Ads
HR Advertisement 104 Hunter
Services
Executive Search Talent-Search App
Services
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For Corporate Users

• Large and diversified resume pool

• Variety of integrated HR services

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Source: Company data

Revenue Performance

Consolidated Revenue

(Unit: NT$’000)

Time Amount		Monthly Revenue	Monthly Revenue	YoY		Accumulated Revenue	Accumulated Revenue	YoY
		Nov 2020	Nov 2019			2020	2019
Total		134,021	127,598	5.03%		1,500,993	1,505,210	-0.28%

Quarterly Revenue

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2016 2017 2018 2019
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(Unit: NT$/M)

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Q1
377
361 367
344
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Q2 Q3
431 425
415 414
395 401
376 383
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Q4
403
384 381
351
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Source: Company data

Q1-Q3 2020 Income Statement

(Unit: NT$’000, except for EPS)

	Q1-Q32020	%	Q1-Q3 2019	%	YoY
Operating Revenue	1,220,834	100	1,233,356	100	-1.02%
OperatingCosts	137,435	11	123,281	10	11.48%
Gross Profit	1,083,399	89	1,110,075	90	-2.40%
Operating Expenses	863,465	71	851,934	69	1.35%
SellingExpenses	490,463	40	478,138	39	2.57%
Administrative Expenses	116,977	10	122,575	10	-4.56%
Research & Development Expenses	256,025	21	251,221	20	1.91%
Operating Income	219,934	18	258,141	21	-14.80%
Non-OperatingIncome and Expenses	12,805	1	10,313	1	24.16%
Income Before Income Tax	232,739	19	268,454	22	-13.30%
Income Tax Expenses	44,566	4	46,230	4	-3.60%
Net Income	188,173	15	222,224	18	-15.32%
Basic EPS	5.73		6.66

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Source: Company data

Q3 2020 Income Statement

(Unit: NT$’000, except for EPS)

	Q3 2020	%	Q3 2019	%	YoY
Operating Revenue	433,895	100	425,393	100	2.00%
OperatingCosts	43,048	10	41,283	10	4.28%
Gross Profit	390,847	90	384,110	90	1.75%
Operating Expenses	294,181	68	286,491	67	2.68%
SellingExpenses	166,045	38	159,932	37	3.82%
Administrative Expenses	40,477	10	42,328	10	-4.37%
Research & Development Expenses	87,659	20	84,231	20	4.06%
Operating Income	96,666	22	97,619	23	-0.98%
Non-OperatingIncome and Expenses	3,763	1	4,290	1	-12.28%
Income Before Income Tax	100,429	23	101,909	24	-1.45%
Income Tax Expenses	19,661	4	19,370	5	1.50%
Net Income	80,768	19	82,539	19	-2.15%
Basic EPS	2.45		2.45

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Source: Company data

Q3 2020 Balance Sheets

(Unit: NT$’000)

	30 Sep 2020	30 Sep 2020	30 Sep 2019	30 Sep 2019
Cash and Cash Equivalents	2,057,701	83%	1,991,342	82%
Notes Receivable and Accounts Receivable, Net	72,194	3%	59,957	2%
Total Current Assets	2,169,126	87%	2,074,644	86%
Property, Plant and Equipment	218,000	9%	226,392	9%
Right-of-Use Assets	62,170	3%	89,881	4%
Total Assets	2,484,706	100%	2,422,471	100%
Current Contract Liabilities	585,840	24%	501,981	21%
Notes Payable, Accounts Payable, and Other Payables	325,045	13%	292,314	12%
Current Lease Liabilities	27,264	1%	31,964	1%
Total Current Liabilities	1,040,652	42%	921,066	38%
Non-Current Lease Liabilities	35,690	2%	58,405	3%
Total Liabilities	1,084,341	44%	983,969	41%
Total Equity	1,400,365	56%	1,438,502	59%

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Source: Company data

Q1-Q3 2020 Cash Flow Statements 11 Q1-Q3 2020 Q1-Q3 2019 Net Cash Flows from Operating Activities 215,099 269,487 Income Before Tax 232,739 268,454 Depreciation and Amortization Expenses 56,000 60,710 Cash Flow Used in Other Operating Activities -73,640 -59,677 Net Cash Flows Used in Investing Activities -14,471 -40,127 Acquisition/Disposal of Property, Plant and Equipment -14,327 -50,764 Acquisition of Intangible Assets -633 -370 Decrease in Other Receivables 0 11,372 Cash Flow from (Used in) Other Investing Activities 489 -365 Net Cash Flows Used in Financing Activities -311,040 -308,880 Payments of Lease Liabilities -24,936 -26,419 Cash Dividends Paid -286,104 -282,461 Cash and Cash Equivalents at End of Period 2,057,701 1,991,342 (Unit: NT$’000)

Dividend Policy

(Unit: NT$)

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Source: TWSE & Company data

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104’s Mission

Higher ageing rate Elderly care platform to support current workers and families

65 years old

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Career, talent, & knowledge management
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15 years old

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years old
Lowest birth rate
Enable young talents to find their gifts and compete
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O S
Open Social
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C M Cloud Mobile

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104 Career Platform Management

Help Jobseekers find Career Path Help HR Recruit and Manage Talents

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https://ehrweb.104.com.tw/web/index.html https://assessment.104.com.tw/

https://time4jobs.104.com.tw/

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https://assessment.104.com.tw/
Job Bank
https://www.104.com.tw/
http://ehr.104.com.tw/
https://reviews.104.com.tw/
Web App
https://pro.104.com.tw/
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https://resume-clinic.104.com.tw/

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https://giver.104.com.tw/ https://learn.104.com.tw/nabi/mobile https://wow.104.com.tw

https://hunter.104.com.tw/

https://www.104.com.tw/imc/

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https://top.104.com.tw/

HR Capital Management Solutions

On-Premise & Customized for Large Companies

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eHRMS

人力資源管理系統

Employer Branding HR Dashboard &

HR Marketplace

Deploy Define Talent Talent http://ehr.104.com.tw/ Develop Discover Talent Talent

• Assessment Tool

• Learning and Training

• HR related consultancy & management solutions

• Employee health management

HR Portal

Cloud-Based & Standardized for SME

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For Seniors

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Sharing of Wisdom

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Dignity and Autonomy

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Senior Jobs
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Care U
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https://senior.104.com.tw/

https://104careu.104.com.tw/

• Part-time & full-time jobs for retirees & seniors to open their new chapters.

• To share and pass down their valuable experience & knowledge to next generation.

• In-home caregiver coaches Platform.

• Customized self-supporting care plan supported by collaborative medical & healthcare professionals.

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Touring Art &
Handicraft
Consulting Cooking
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Insufficient Improved
caregiving knowledge health outcomes
Teaching & consulting
Reference Image 16
by 104 Caregiver Coach
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Thank you For more information, please contact: Brenda Shih VP & CIO, 104 Corporation Brenda.shih@104.com.tw 886-2-2912-6104 ext. 9688

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