ASCENT — Investor Presentation 2021

Dec 23, 2021

Chuwa Wool Industry Co., (Taiwan) LTD. (1439TW)

2021 Investor Conference 2021.12.23

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Disclaimer

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• The information contained in this presentation includes materials of the

• company overview, financial figures, future plan and etc.

• No representation or warranty express or implied, is or will be made in or in

• relation to, and no responsibility or liability is or will be accepted by the Company as to, the accuracy or completeness of the information and any liability therefore is hereby expressly disclaimed.

• Future prospects in this presentation reflects the company perspective based on the condition until now. If any change or adjustment of views later in the future, the company undertakes no obligation to update.

1

Chuwa Wool Industry Co., (Taiwan) Ltd.

Table of Contents

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• Company Profile and History

• Operation Overview and Price Trend of Wool in the Last Five Years

• Subsidiaries Chart

• Financial Figures

• Future Plans

Chuwa Wool Industry Co., (Taiwan) Ltd.

2

Com an Profile p y

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• Date of Establishment 1964/10

• Registered Capital

• Chairman

• Main Business

• Date of Listing

TWD 920M

Ho, Chia-Chi

Sales of wool tops, superwash wool tops, superwash loose wool and real estate for lease.

Listed on TWSE in 1989/05 (1439TW).

Chuwa Wool Industry Co., (Taiwan) Ltd.

3

Com an Histor p y y

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• 1964/10 Founding of Chuwa Wool Industry Co., (Taiwan) Ltd.

• ● 1965/04 Manufacturing started.

• 1989/05

• Stock listed in TWSE.

• 2006/04 Shut down all production lines in Lioudu factory.

• 2010/01

Company ' s operation transformed to triangular trade and real estate leasing. Sold Chuwa Wool Building.

● 2018/02 Main shareholder Roo Hsing Co., Ltd. indirectly acquired 53.41% outstanding common shares of Chuwa Wool by acquiring 100% shares of Keen Power Investments Limited (Samoa) and Sparkling Asia Limited (Belize).

• 2018/12

Sold land and factory in Lioudu.

• 2019/12

Main shareholder Hanshin Asset Management Co., Ltd. indirectly acquired 53.41% outstanding common shares of Chuwa Wool by acquiring 100% shares of Roo Hsing Global Co., Ltd.

• 2020/02 Head Office relocated to 19th Floor, No. 557-1, Sec. 4 Zhongxiao East RD., Xinyi Dist., Taipei City.

Chuwa Wool Industry Co., (Taiwan) Ltd.

4

O eration Overview p

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Quantity(Kg)
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300,000
200,000
176,483
101,526
100,000 85,597
72,016
-
Wool Top Superwash Top
1/1-9/30, 2021 1/1-12/31, 2020
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Amount(NT$,000)
150,000
130,000
110,000
90,000
71,898
70,000
50,000 39,470
30,620
27,096
30,000
10,000
-10,000 Wool Top Superwash Top
1/1-9/30, 2021 1/1-12/31, 2020
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Chuwa Wool Industry Co., (Taiwan) Ltd.

5

Price Trend of Wool in the Last Five Years

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Australia drought
China-US trade war
COVID19
2016 2017 2018 2019 2020 2021
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Chuwa Wool Industry Co., (Taiwan) Ltd.

6

Subsidiaries Chart

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Chuwa Wool Industry Co., (Taiwan) Ltd.

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Hanshin Shopping
HCW Investment Co., Ltd. Jollify4ever Ltd.
Plaza Co., Ltd.
100.00% 46.83%
16.00%
Hanshin Shopping
Plaza Co., Ltd.
1.80%
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Chuwa Wool Industry Co., (Taiwan) Ltd.

7

Financial Fi ures-Profit and Loss g

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	1/1-9/30, 2021 1/1-12/31, 2020 Amount % Amount % 60,303 100 113,119 100 60,465 100 114,888 102 (162) - (1,769) (2) 23,238 39 28,452 25 (23,400) (39) (30,221) (27) 103,339 171 (207,481) (183) 79,939 132 (237,702) (210) 73,053 121 (243,523) (215) 0.79 (2.65) Unit：NTD$,000	1/1-9/30, 2021 1/1-12/31, 2020 Amount % Amount % 60,303 100 113,119 100 60,465 100 114,888 102 (162) - (1,769) (2) 23,238 39 28,452 25 (23,400) (39) (30,221) (27) 103,339 171 (207,481) (183) 79,939 132 (237,702) (210) 73,053 121 (243,523) (215) 0.79 (2.65) Unit：NTD$,000	1/1-9/30, 2021 1/1-12/31, 2020 Amount % Amount % 60,303 100 113,119 100 60,465 100 114,888 102 (162) - (1,769) (2) 23,238 39 28,452 25 (23,400) (39) (30,221) (27) 103,339 171 (207,481) (183) 79,939 132 (237,702) (210) 73,053 121 (243,523) (215) 0.79 (2.65) Unit：NTD$,000	1/1-9/30, 2021 1/1-12/31, 2020 Amount % Amount % 60,303 100 113,119 100 60,465 100 114,888 102 (162) - (1,769) (2) 23,238 39 28,452 25 (23,400) (39) (30,221) (27) 103,339 171 (207,481) (183) 79,939 132 (237,702) (210) 73,053 121 (243,523) (215) 0.79 (2.65) Unit：NTD$,000
	1/1-9/30, 2021		1/1-12/31, 2020
	Amount	%	Amount	%
Operating revenues	60,303	100	113,119	100
Operating costs	60,465	100	114,888	102
Grossprofit	(162)	-	(1,769)	(2)
Operating expenses	23,238	39	28,452	25
Operating loss	(23,400)	(39)	(30,221)	(27)
Non-operating Income and expenses	103,339	171	(207,481)	(183)
Income before tax	79,939	132	(237,702)	(210)
Net income(loss)	73,053	121	(243,523)	(215)
EPS(NTD)	0.79		(2.65)

Chuwa Wool Industry Co., (Taiwan) Ltd.

8

Financial Fi ures-Balance Sheets g

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	2021.9.30 2020.12.31 Amount % Amount % 2,689,573 100 2,405,928 100 1,422,413 53 1,179,060 49 1,267,160 47 1,226,868 51 517,258 19 175,138 7 516,593 19 174,700 7 665 - 438 - 2,172,315 81 2,230,790 93 23.61 24.25 Unit：NTD$,000	2021.9.30 2020.12.31 Amount % Amount % 2,689,573 100 2,405,928 100 1,422,413 53 1,179,060 49 1,267,160 47 1,226,868 51 517,258 19 175,138 7 516,593 19 174,700 7 665 - 438 - 2,172,315 81 2,230,790 93 23.61 24.25 Unit：NTD$,000	2021.9.30 2020.12.31 Amount % Amount % 2,689,573 100 2,405,928 100 1,422,413 53 1,179,060 49 1,267,160 47 1,226,868 51 517,258 19 175,138 7 516,593 19 174,700 7 665 - 438 - 2,172,315 81 2,230,790 93 23.61 24.25 Unit：NTD$,000	2021.9.30 2020.12.31 Amount % Amount % 2,689,573 100 2,405,928 100 1,422,413 53 1,179,060 49 1,267,160 47 1,226,868 51 517,258 19 175,138 7 516,593 19 174,700 7 665 - 438 - 2,172,315 81 2,230,790 93 23.61 24.25 Unit：NTD$,000
	2021.9.30		2020.12.31
	Amount	%	Amount	%
Assets	2,689,573	100	2,405,928	100
Current assets	1,422,413	53	1,179,060	49
Non-current assets	1,267,160	47	1,226,868	51
Liabilities	517,258	19	175,138	7
Current liabilities	516,593	19	174,700	7
Non-current liabilities	665	-	438	-
Equity	2,172,315	81	2,230,790	93
BVPS(NTD)	23.61		24.25

Chuwa Wool Industry Co., (Taiwan) Ltd.

9

Future Plans

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● The COVID-19 has had a tremendous impact on Global economy in 2020. In the fourth quarter of 2021, Omicron, a mutant strain of COVID-19, continues to rages. International Monetary Fund (IMF) economist Gita Gopinath said that the economic losses caused by the Omicron may be much higher than expected. Although wool prices have rebounded from August 2020, the growth of the wool industry market under COVID-19 is still full of uncertainty.

• In addition to maintaining the existing operating foundation, in the future, we will continue to evaluate various investment opportunities and develop towards diversified operations.

Chuwa Wool Industry Co., (Taiwan) Ltd.

10

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Thank You For Your Attention Q&A

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