CHC — Interim / Quarterly Report 2020

Nov 13, 2020

Investor Conference

November 13, 2020

Disclaimer Statement

• This presentation and release contain “forward-looking statements” which may include projections of future results of operations, financial condition or business prospects based on our own information and other sources.

• Our actual results of operations, financial condition or business prospects may differ from those expressed or implied in these forward-looking statements for a variety of reasons, including but not limited to market demand, price fluctuations, competition, international economic conditions, supply chain issues, exchange rate fluctuations and other risks and factors beyond our control.

• The forward-looking statements in this release reflect the current belief of Continental Holdings Corporation as of the date of this release. Continental Holdings Corporation undertakes no obligation to update these forward-looking statements for events or circumstances that occur subsequent to such date.

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Company Overview

Overview

Financials

• Listed on the Taiwan Stock Exchange (Ticker: 3703 TW)

• Market capitalization: NT$20.7 billion as of 11/6/2020

• Capital: NT$8.2 billion

• Revenue for 2019: NT$22.7 billion

• Revenue for Jan-Oct 2020: NT$16.5 billion

• Shareholder Structure: Board 33%, foreign investors 21%, other domestic investors 46%

Business Segments & Recent Highlights

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Civil/Building Construction

• $69.3 billion backlog as of 3Q20

• Being awarded the Taipei City Labor Safety Award and the New Taipei City Workers' Safety Award

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Real Estate Development

• 14.3 billion unsettlement contract value as of 3Q20

• 鐫月 and 鐫豊 in Taipei City, and 和陸寓邸 in Kaohsiung City are under presale

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Environmental Projects

• Danshui Sewerage BOT received the Excellent evaluation from CPAMI

• Fengshan BTO project was awarded Golden Thumb Award

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All 3 Member Companies with a Leading Market Position

CEC

Civil/Building Construction

• Construction of public transportation and infrastructure

• Construction of residential and commercial buildings

CDC

Real Estate Development

• Development of residential buildings

• Development of commercial complexes

HDEC

Environmental Project Development

• Construction, operation, and maintenance of wastewater reclamation and sewerage systems

• Founded in 1945, a leading engineering and construction contractor

• Pioneer in adopting new engineering techniques

• Successfully completed a wide range of public and private-sector construction projects

• Highly recognized in high-end residential market

• A Pioneer in large-sized community development

• Continue developing commercial real estate with market leaders

• Participate in tenders for sewerage system BOT and wastewater reclamation and reuse BTO projects

• Exhibit project management capabilities in planning, designing, building and operation & maintenance

• Continue exploring new environmental projects

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CEC – Focus on Civil and Building Construction Projects

On-going Projects (excerption)

Civil Construction

• GC01 Taoyuan MRT Green Line (Taiwan)

• GC03 Taoyuan MRT Green Line (Taiwan)

• C211 Tainan Railway Underground (Taiwan)

• C214 Tainan Railway Underground (Taiwan)

• CJ910 Taichung MRT Depot (Taiwan)

Building Construction

• Keishen Shengkai Tate (Taiwan)

• Guanci Po-Ai Park Public Housing Development (Taiwan)

• Nangang Depot Public Housing Design and Built Project (Taiwan)

• CJ930 Taichung MRT Green Line (Taiwan)

• CM01 Airport MRT (Taiwan)

• CQ840 Taipei MRT Wanda Line (Taiwan)

• CQ850A Taipei MRT Wanda Line (Taiwan)

• CQ842 Taipei MRT Wanda Line (Taiwan)

• LT-6 (HK)

• Kai Tak Development – Stage 2 Infrastructure Works for Development at the Southern Part of the Former Runway (HK)

• G506 Construction of Station Square at Kai Tak Phase 1 (HK)

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CDC – Diversified Product Types and Geographic Markets

Project Name Location Product Type Date of Completion Remark	Project Name Location Product Type Date of Completion Remark	Project Name Location Product Type Date of Completion Remark	Project Name Location Product Type Date of Completion Remark	Project Name Location Product Type Date of Completion Remark
Completion
Treasure Garden	Xitun District, Taichung	Residence	2017/9
55Timeless	Xinyi District, Taipei	Residence/ Commercial	2019/1
La Bella Vita	Xitun District, Taichung	Residence/ Commercial	2020/3
Under Presale
Bountiful Journey	Zhongshan District, Taipei	Residence/ Commercial	2H21
Drawing the Dream Life	Xindian District, New Taipei	Residence/ Commercial	2H22
Timeless and Modern Expression	Shilin District, Taipei	Residence/ Commercial	2H22
Kaohsiung Asia New Bay Area Project (和陸寓邸)	Qianzhen District, Kaohsiung	Residence/ Hotel	2H23	CDC with 35% shareholding
Tianjin Street Project (鐫豊)	Zhongshan District, Taipei	Residence/ Commercial	2H23
Overseas Projects
The LINE SF	San Francisco, USA	Residence/ Hotel	1H21	CDC with 54% shareholding
Malaysia Mega Project	Kuala Lumpur, Malaysia	Hotel	1H21	CDC with 55% shareholding
Malaysia Bangsar Project	Bangsar area of Kuala Lumpur, Malaysia	Serviced Apartment	1H24	CDC with 60% shareholding
Under Development
Fullerton Hotel Project	Songshan District, Taipei	Residence/ Hotel	1H24	Expected presale in 1H21
Taichung Dakeng Project	Dakeng, Taichung	Villa	2024	Expected presale in 1H21
Republic Building Project	Daan District, Taipei	Residence	1H24	Expected presale in 2H21
Huiguo 101	Taichung 7th Redevelopment Zone	Residence/ Office	2H24	Expected presale in 2H21

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HDEC – Current Projects

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Project Under Operation
New Taipei City Danshui Area Sewerage System BOT Project (2005-2040)
Taoyuan
New Taipei
Construct in 2021
Chungli Area Sewerage System BOT Project (2016-2056)
Miaoli
Puding Area Sewerage System BOT Project (2016-2055)
Project Under Construction
Tongluo Science Park Wastewater Treatment Plant Phase II project
(2020-2023)
Tainan Anping Reclaimed Water Plant New Construction
Turnkey Project (2020-2037)
Tainan
Project Under Operation
Kaohsiung
Fengshan River Wastewater Reclamation & Reuse BTO Project
(2016-2033)
Project Under Construction
Linhai Wastewater Treatment Plant and Reclaimed Water BTO
Project (2018-2036)
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1Q-3Q20 Results

Consolidated Income Statement

Revenue Gross Profit Gross Margin OPEX Operating Income Operating Margin Non Operating Inc/ (Exp) Net Income Before Income Tax Less: Income Tax (Profit) Expense EPS (NT$) Net Income Attributable to Shareholders of the Parent Company (Unit: NT$ million except for EPS)	2020 1Q-3Q	17,072 -14.2% 2,057 10.2% 12.1% +3.4 pt (1,013) -0.7% 1,044 20.9% 6.1% +2.5 pt (451) -94.2% 593 108.3% 299 -92.1% 249 355.4% 0.30 355.4% 2019 1Q-3Q YoY
	14,647 2,268 15.5% (1,006) 1,262 8.6% (26) 1,236 24 1,133 1.38

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1Q-3Q20 Revenue and Profit of Member Companies

Unit: NT$ m

10,159

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3,301
2,195
549
244 264
CEC CDC HDEC
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Revenue Net Income

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Q & A

3703.TW 欣陸投控 Continental Holdings Corporation IR Contact Kris Lin Spokesman ir@continental-holdings.com +886-2-2700-4509

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Thank you