ASROCK — Interim / Quarterly Report 2021

Sep 24, 2021

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華擎科技 ASRock Inc.

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Stock Code 3515

Safe Harbor Statement

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Except for historical information contained herein, the matters set forth in this presentation are forward looking statements that are subject to risks and uncertainties that could cause actual results to differ materially, including the impact of competitive products and pricing, timely design acceptance by our customers, timely introduction of new technologies, ability to ramp new products into volume, industry wide shifts in supply and demand for electronic products, industry overcapacity, availability of manufacturing capacity, financial stability in end markets, and other risks.

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Company Profile

ASRock Product Line Consolidated Financial Result Business Highlight Q&A

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Established：2002.May.

Capital：NT$1,206million

- - Chairman：Tung, Hsu Tien；GM：Hsu, Lung Lun

Milestones

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2002 2007 2013 2018 2019 2020
Founded IPO ASRock Rack X299E-ITX/ac World's first X570 AQUA
MB natively
Founded
integrated with
Razer Chroma
RGB light
2005 2010 2014 2016
ASRock
World's First MB
M8 Series
Industrial
Supporting
Founded
Front USB 3.0
X570
Launch the World's First MB comply World's First AMD
TAICHI RAZER
with ROHS Fatal1ty Z170 Gaming K4 Water-Cooled MB
EDITION
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Product Line

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Profit & Loss

NT$ million	2020 H1	2021 H1	YoY
Revenue	8,314	10,054	21%
COGS	(6,674)	(7,237)	8%
Gross Profit	1,640	2,817	72%
Operating Expense	(945)	(1,138)	20%
Operating Income	695	1,679	142%
Non-Operating Income (Loss)	13	(12)	-186%
PBT	709	1,668	135%
Net Income	606	1,328	119%
Net Income Attributable to Stockholders	519	1,295	150%
EPS (NT$)	4.30	10.74	150%
Gross Margin (%)	20%	28%
Operating Profit Margin (%)	8%	17%
Net Profit Margin (%)	7%	13%
ROE (%)	8%	18%

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Balance Sheet

NT$ million	2020 H1	2020 H1	2021 H1	2021 H1
Current Assets
Cash and Equivalents	2,509	21%	2,865	21%
AR	2,450	20%	1,845	13%
Inventory	5,207	44%	6,606	47%
Total Current Assets	11,362	95%	12,853	92%
Other Assets	607	5%	1,069	8%
Total Assets	11,968	100%	13,922	100%
Current Liabilities
AP	3,518	29%	3,310	24%
Dividends Payable	483	4%	965	7%
Total Current Liabilities	5,327	45%	6,256	45%
Total Liabilities	5,414	45%	6,327	45%
Capital	1,206	10%	1,206	9%
Retained Earnings	2,195	18%	3,363	24%
Net Equity	6,554	55%	7,595	55%
Total Liabilities and Net Equity	11,968		13,922
Book Value Per Share (NT$)	51.48		59.25

NT$ million	2020 H1	2021 H1
Cash Flows from Operating Activities
PBT	709	1,668
(Increase) Decrease in Accounts Receivable	(842)	(196)
(Increase) Decrease in Inventory	(215)	(774)
Increase (Decrease) in Accounts Payable	981	580
Net Cash Provided (Used) by Operating Activities	628	1,371
Cash Flows from Investing Activities
Acquisition of Financial Assets at Amortized Cost	(90)	(1,152)
Net Cash Provided (Used) by Investing Activities	(94)	(1,175)
Cash Flows from Financing Activities
Payments of Lease Liabilities	(18)	(20)
Net Cash Provided (Used) by Financing Activities	(19)	(14)
Effect of Exchange Rate Changes	(41)	(79)
Net Increase (Decrease) in Cash	473	102
Cash, Beginning of the Period	2,036	2,763
Cash, End of the Period	2,509	2,865

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Consolidated Revenue Trend

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NT $M

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6,000 70%
64.9%
60%
59%
5,000
50%
4,000
40.5% 40%
34.6%
34.4%
3,000 30% 30% Revenue
27.4%
YoY
20.5% 20%
2,000
13.9% 14%
11.9%
10%
7.1%
1,000 0.5%
-0.1% 0%
0 -10%
2018Q1 2018Q2 2018Q3 2018Q4 2019Q1 2019Q2 2019Q3 2019Q4 2020Q1 2020Q2 2020Q3 2020Q4 2021Q1 2021Q2
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100% 90% 80% 70% Revenue 60% Breakdowns by 50% Products 40% 30% 20% 10% 0%

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Others Server IPC MB

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Margin Trend
35%
30%
30%
26%
25%
25% 23% 22% 23% 23%
21%
20% 18% 19% 18% 19% 18% 19% Gross Margin
17%
Operating Profit Margin
14%
15% 13% 15% Net Profit Margin
11%
10%
9%
11%
10% 10%
7% 7% 7%
6% 6% 9% 8%
4% 4% 4% 6%
5% 7% 5%
0%
2018Q1 2018Q2 2018Q3 2018Q4 2019Q1 2019Q2 2019Q3 2019Q4 2020Q1 2020Q2 2020Q3 2020Q4 2021Q1 2021Q2
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Q & A