CHC — Investor Presentation 2017

Dec 22, 2017

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2017 2[nd] Institutional Investor Conference 4164 TT

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Disclaimer

• The information contained in this confidential document ("Presentation") has been prepared by CHC Healthcare Group (the "Company"). It has not been fully verified and is subject to material updating, revision and further amendment.

• While the information contained herein has been prepared in good faith, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers give, have given or have authority to give, any representations or warranties (express or implied) as to, or in relation to, the accuracy, reliability or completeness of the information in this Presentation, or any revision thereof, or of any other written or oral information made or to be made available to any interested party or its advisers (all such information being referred to as "Information") and liability therefore is expressly disclaimed. Accordingly, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers take any responsibility for, or will accept any liability whether direct or indirect, express or implied, contractual, tortious, statutory or otherwise, in respect of, the accuracy or completeness of the Information or for any of the opinions contained herein or for any errors, omissions or misstatements or for any loss, howsoever arising, from the use of this Presentation.

• Neither the issue of this Presentation nor any part of its contents is to be taken as any form of commitment on the part of the Company to proceed with any transaction and the right is reserved to terminate any discussions or negotiations with any prospective investors. In no circumstances will the Company be responsible for any costs, losses or expenses incurred in connection with any appraisal or investigation of the Company. In furnishing this Presentation, the Company does not undertake or agree to any obligation to provide the recipient with access to any additional information or to update this Presentation or to correct any inaccuracies in, or omissions from, this Presentation which may become apparent.

• This Presentation should not be considered as the giving of investment advice by the Company or any of its shareholders, directors, officers, agents, employees or advisers. Each party to whom this Presentation is made available must make its own independent assessment of the Company after making such investigations and taking such advice as may be deemed necessary. In particular, any estimates or projections or opinions contained herein necessarily involve significant elements of subjective judgment, analysis and assumptions and each recipient should satisfy itself in relation to such matters.

• This Presentation includes certain statements that may be deemed “forward-looking statements”. All statements in this discussion, other than statements of historical facts, that address future activities and events or developments that the Company expects, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in forward-looking statements.

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Company Operational Future
Q & A
Overview Results Guidance
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Company Operational Future
Q & A
Overview Results Guidance
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Company Introduction

• Name ： CHC Healthcare Group (4164 TT)

• Date of Establish ： 2009/11/27

• (First subsidiary, Chiu Ho Instruments & Reagent, was founded in 1977)

• President ： Mr. Pei-Lin, Lee

• Headquarters ： Taipei

• Branches ： Taichung, Kaohsiung, Beijing, Guangzhou & Jakarta

• Major Business ： Providing Medical Equipment Full Service Solutions

• Paid-in Capital ： NT$ 1.39913621 billion

• Listing Date ： 2012/10/24

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Company Milestones

Company Milestones
1977 1985 1997 2009 1999 2006 2011 Founded Chiu Ho Instruments & Reagent Co., Ltd Introduced radiotherapy equipment Became Taiwan distributor for Elekta Install the first Elekta IMRT linac in Taiwan Established Ophthalmology Dept & become Taiwan distributor for Bausch & Lomb Founded CHC Healthcare Group Listed in Taipei Exchange (originally known as GreTai Securities Market) as Emerging Stock Become South China distributor for Elekta	2013 2015 2014 2012 2017 2016 Listed in Taiwan Stock Exchange on Oct 24, 2012 Became Taiwan distributor for IBA Proton Therapy System Became Taiwan distributor for GE of diagnostic imaging equipment and molecular medical imaging systems Became Greater China distributor for Novadaq Acquired SHIH-LU Official entering into Indonesia market IBA first official direct selling contract signed in Taiwan Announce entering Taiwan’s long-term care market Holding “2017 International Elderly Care Industry Leaders Forum” IBA first official revenue sharing contract signed in Taiwan

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Management Team

China

Goung-Yu, Chen General Manager Great China (Sales Director, GE Healthcare)

Yee-Min, Jen Chief Executive Officer Oncology Business Group

(Director, Dept. of Radiation Oncology, Tri-Service General Hospital)

Taiwan Ming-Lun, Lee Vice President Sales Business Group II/ Strategic Development Business Group Yi-Chun, Chen Vice President Finance Accounting Dept./ Administration Dept. (Assistant Vice President, PricewaterhouseCoopers (PwC) Taiwan)

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Solid Partnership with Top Global Brands

Radiation Oncology Medical Imaging Ophthalmology & Neuroscience

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Full Service Solution Provider “TurnKey Solutions”

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Manufacturer Technical & Service
Product Strength Strength
Top Global Brands Service Team Certified
CHC Healthcare Group
• by Manufacturers
Radiation Oncology
• Neuroscience Revenue ．Site Planning
Technical
• Ophthalmology Sharing Direct Selling Services ．Site Construction
Partnership
• ．
Medical Imaging Operational Consulting
• ．
Surgery Hospital & Clinic Installation
．
Education & Training
．
Maintenance
．
Patient Upgrades
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Product Mix

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Service revenue 9% Sales Revenue revenue 49% Sharing 42% 2016 Annual

Value-Added Business Model

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Operational Future
Q & A
Results Guidance
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Big Success in IBA Proton Therapy

Business Model for Both Direct Selling & Revenue Sharing

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Precision Medicine

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IBA Proton Therapy Unrivaled Experience

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30+ 40+ 50,000+ 60%+ YEARS OF EXPERIENCE PARTNER INSTITUTIONS PATIENTS TREATED MARKET SHARE

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Proton Design Flexibility

Proteus PLUS

Proteus ONE

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1,800m [2 ] 300 m [2 ]
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Revenue Sharing Partnership

Taiwan China Indonesia

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Monthly Sales

	2,000,000	2,000,000
	1,800,000
	1,600,000
	1,400,000
	1,200,000
	1,000,000																									2016
	800,000																									2017
	600,000
	400,000
	200,000
	0
			Jan		Feb			Mar	Apr	May		Jun		Jul		Aug		Sep	Oct		Nov		Dec		YTD
							2016		2017			YoY						2016			2017			YoY
			Jan					120,683	110,226			-8.66%			Jul			118,302			145,050				22.61%
			Feb					93,992	163,062			73.48%			Aug			137,056			155,094				13.16%
			Mar					144,171	299,674			107.86%			Sep			141,754			161,801				14.14%
			Apr					286,021	148,041			-48.24%			Oct			139,030			133,572				-3.93%
			May					183,510	164,415			-10.41%			Nov			263,672			160,534				-39.12%
			Jun					171,483	151,636			-11.57%			Dec
		(NT$ thousand)													YTD			1,799,674			1,793,105				-0.37%
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Q1-Q3 Results

0 400,000 800,000 1,200,000 1,600,000		Operating Revenue Gross Profit Net Operating Income Net Profit Profit (parent) 2016 Q1-Q3 2017 Q1-Q3		2016 Q1-Q3	2017 **Q1-Q3 **
			Operating Revenue	1,396,967	1,498,994
			Gross Profit	361,532	491,060
			Gross Margin(%)	26%	33%
			Net Operating Income	136,252	232,816
			OP Margin (%)	10%	16%
			Net Profit	36,229	114,779
			Net Margin (%)	3%	8%
			Profit (parent)	34,382	115,403
			Net Margin (parent)(%)	3%	8%
			EPS	0.25	0.83

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EY Entrepreneur of the Year 2017 in Taiwan

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Advancing Pioneer Entrepreneur of the Year Pei-Lin, Lee President of CHC Healthcare Group

“Full Service Solution Provider”

medical management service

• ･ Improve medical environment

• ･ Help disadvantaged through core business

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Company
Overview
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Future
Q & A
Guidance
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Entering Long-Term Care Market

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High-End Brand

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Introduce New Product - Elekta MR-Linac

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Elekta - Unity

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Elekta - Unity

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Soft Tissue Imaging with Diagnostic Quality + HD Dynamic Radiosurgery

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Elekta - Unity

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Products and Geography Expansion

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Long-Term Care Business
New Cancer Center Consulting & Management
Products (Taiwan、China、Southeast Asia)
Neuroscience, Medical Imaging, Ophthalmology Equipment
IBA Proton Therapy
Existing
Novadaq Fluorescence Imaging Technology (Greater China)
Products
Elekta - Linear Accelerator for Taiwan & South China
Taiwan Region Expansion
Product Diversification
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Company
Overview
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Q & A
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Thank you

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