Data Image Corporation and Subsidiaries

Consolidated Financial Statements for the Years Ended December 31, 2025 and 2024 and Independent Auditors’ Report

DECLARATION OF CONSOLIDATION OF FINANCIAL STATEMENTS OF AFFILIATES

The companies required to be included in the consolidated financial statements of affiliates in accordance with the "Criteria Governing Preparation of Affiliation Reports, Consolidated Business Reports and Consolidated Financial Statements of Affiliated Enterprises" for the year ended December 31, 2025 are all the same as the companies required to be included in the consolidated financial statements of parent and subsidiary companies as provided in International Financial Reporting Standard 10 "Consolidated Financial Statements". Relevant information that should be disclosed in the consolidated financial statements of affiliates has all been disclosed in the consolidated financial statements of parent and subsidiary companies. Hence, Data Image Corporation and Subsidiaries do not prepare a separate set of consolidated financial statements of affiliates.

Very truly yours,

Data Image Corporation
Han-Chou Huang
Chairman

March 2, 2026

Independent Auditors' Report

The Board of Directors and Shareholders
Data Image Corporation

Opinion

We have audited the accompanying consolidated financial statements of Data Image Corporation and its subsidiaries, which comprise the consolidated balance sheets as of December 31, 2025 and 2024, and the consolidated statements of comprehensive income, changes in equity and cash flows for the years then ended, and the notes to the consolidated financial statements, including material accounting policy information.

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of Data Image Corporation and its subsidiaries as of December 31, 2025 and 2024, and its consolidated financial performance and its consolidated cash flows for the years then ended in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, and International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China.

Basis for Opinion

We conducted our audits in accordance with the Regulations Governing Financial Statement Audit and Attestation Engagements of Certified Public Accountants and the Standards on Auditing of the Republic of China. Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of Data Image Corporation and its subsidiaries in accordance with The Norm of Professional Ethics for Certified Public Accountant of the Republic of China, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements for the year ended December 31, 2025. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

The key audit matter identified in Data Image Corporation and its subsidiaries consolidated financial statements for the year ended December 31, 2025 is stated as follows:

Occurrence of operating revenue

Data Image Corporation and its subsidiaries are engaged in the design, manufacturing, and sales of LCD touch modules and LCD modules. The manufacturing of LCD touch modules and LCD modules are customized products and make development according to different purposes and needs of customers. Whether the sales transactions underlying the customer's operating revenue have genuinely occurred has a material impact on the presentation of the consolidated financial statements; therefore, we include the occurrence of the abovementioned operating revenue from customers as a key audit matter.

Corresponding audit procedures

Our audit procedures for the key audit matters above include understanding the major internal control design and the effectiveness of implementation, and sampling and implementing relevant audits to ensure that the revenue transactions occurred.

Other matters

We have also audited the financial statements of Data Image Corporation as of and for the years ended December 31, 2025 and 2024 on which we have issued an unmodified opinion.

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, and International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing Data Image Corporation and its subsidiaries' ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate Data Image Corporation and its subsidiaries or to cease operations, or has no realistic alternative but to do so.

Those charged with governance, including the audit committee, are responsible for overseeing Data Image Corporation and its subsidiaries' financial reporting process.

Auditors' Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Standards on Auditing of the Republic of China will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of an audit in accordance with the Standards on Auditing of the Republic of China, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of Data Image Corporation and its subsidiaries' internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on Data Image Corporation and its subsidiaries' ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors' report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors' report. However, future events or conditions may cause Data Image Corporation and its subsidiaries to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Obtain sufficient and appropriate audit evidence regarding the financial information of entities or business activities within Data Image Corporation and its subsidiaries to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision, and performance of the group audit. We remain solely responsible for our audit opinion.
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We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements for the year ended December 31, 2025, and are therefore the key audit matters. We describe these matters in our auditors' report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

The engagement partners on the audits resulting in this independent auditors' report are Chih-Ming Shao and Kuo-Ning Huang.

Deloitte & Touche
Taipei, Taiwan
Republic of China

March 2, 2026

Notice to Readers

The accompanying consolidated financial statements are intended only to present the consolidated financial position, financial performance and cash flows in accordance with accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to audit such consolidated financial statements are those generally applied in the Republic of China.

For the convenience of readers, the independent auditors' report and the accompanying consolidated financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. If there is any conflict between the English version and the original Chinese version or any difference in the interpretation of the two versions, the Chinese-language independent auditors' report and consolidated financial statements shall prevail.

Data Image Corporation and Its Subsidiaries
Consolidated Balance Sheets
December 31, 2025 and 2024
(In Thousands of New Taiwan Dollars)

Assets	December 31, 2025		December 31, 2024
	Amount	%	Amount	%
Current assets
Cash and cash equivalents (Note 6)	$ 1,024,524	28	$ 1,305,799	35
Financial assets at fair value through profit or loss - Current (Note 7)	140	-	-	-
Accounts receivable (Notes 10 and 24)	713,808	19	683,893	18
Accounts receivable from related parties (Notes 24 and 32)	27,088	1	26,329	1
Other receivables (Note 10)	21,998	1	23,210	1
Other receivables from related parties (Note 32)	10,544	-	5,464	-
Current tax assets (Note 26)	2,632	-	1,000	-
Inventories (Note 11)	679,423	18	542,111	14
Other current assets (Notes 18, 32 and 33)	62,409	2	21,043	-
Total current assets	2,542,566	69	2,608,849	69
Non-current assets
Financial assets at fair value through other comprehensive income - Non-current (Note 8)	5,550	-	5,032	-
Financial assets at amortized cost - non-current (Notes 9 and 33)	1,054	-	-	-
Investments accounted for using the equity method (Note 13)	9,630	-	9,343	-
Property, plant and equipment (Notes 14 and 32)	769,579	21	776,169	21
Right-of-use assets (Notes 15 and 32)	51,784	1	51,515	1
Goodwill (Note 16)	164,826	5	164,826	4
Intangible assets (Note 17)	38,697	1	56,070	2
Deferred tax assets (Note 26)	55,060	2	54,512	2
Net defined benefit assets - Non-current (Note 22)	6,012	-	4,319	-
Other non-current assets (Note 18)	34,852	1	23,450	1
Total current assets	1,137,044	31	1,145,236	31
Total assets	$ 3,679,610	100	$ 3,754,085	100
Liabilities and equity
Current liabilities
Short-term borrowings (Note 19)	$ 35,962	1	$ 44,915	1
Financial liabilities at fair value through profit or loss - Current (Note 7)	2,077	-	3,842	-
Contract liabilities - Current (Notes 24 and 32)	45,740	1	100,551	3
Accounts payable (Note 20)	519,355	14	404,802	11
Accounts payable from related parties (Note 32)	8,835	-	8,011	-
Other payables (Note 21)	225,801	6	208,391	6
Other payables from related parties (Note 32)	96,662	3	40,270	1
Current tax liabilities (Note 26)	56,690	2	52,813	2
Provisions - Current	18,698	-	15,269	-
Lease liabilities - Current (Notes 15 and 32)	13,845	-	11,469	-
Other current liabilities	19,320	1	13,856	-
Total current liabilities	1,042,985	28	904,189	24
Non-current liabilities
Deferred tax liabilities (Note 26)	38,535	1	42,041	1
Lease liabilities - Non-current (Notes 15 and 32)	29,689	1	31,444	1
Guarantee deposits received	90	-	480	-
Other non-current liabilities (Note 13)	-	-	102	-
Total non-current liabilities	68,314	2	74,067	2
Total liabilities	1,111,299	30	978,256	26
Equity attributable to owners of the Company
Share capital	750,996	20	780,996	21
Capital surplus	462,069	13	480,527	13
Retained earnings
Legal reserve	186,918	5	164,945	4
Special reserves	8,278	-	26,854	1
Unappropriated earnings	369,973	10	506,707	13
Total retained earnings	565,169	15	698,506	18
Other equity	(5,534)	-	(8,278)	-
Total equity attributable to owners of the Company	1,772,700	48	1,951,751	52
Non-controlling interests	795,611	22	824,078	22
Total equity	2,568,311	70	2,775,829	74
Total liabilities and equity	$ 3,679,610	100	$ 3,754,085	100

The accompanying notes are an integral part of the consolidated financial statements.

Data Image Corporation and Its Subsidiaries
Consolidated Statements of Comprehensive Income
For the Years Ended December 31, 2025 and 2024
(In Thousands of New Taiwan Dollars; Except Earnings Per Share)

	2025		2024
	Amount	%	Amount	%
Operating revenue (Notes 24 and 32)	$ 3,434,267	100	$ 3,418,445	100
Operating costs (Notes 11, 17, 25, and 32)	2,577,819	75	2,563,645	75
Gross profit	856,448	25	854,800	25
Realized gain on transactions	791	-	761	-
Realized gross profit	857,239	25	855,561	25
Operating expenses (Notes 17, 25, and 32)
Selling expenses	104,962	3	105,767	3
General and administrative expenses	222,661	7	222,488	6
Research and development expenses	216,044	6	209,496	6
Expected credit loss(gain)	7,666	-	(8,400)	-
Total operating expenses	551,333	16	529,351	15
Operating income	305,906	9	326,210	10
Non-operating income and expenses (Notes 25 and 32)
Interest income	11,842	-	12,879	-
Other income	6,915	-	7,259	-
Other gains and losses	(14,328)	-	(12,357)	-
Finance cost	(2,619)	-	(2,753)	-
Share of profit or loss of associates	103	-	577	-
Total non-operating income and expenses	1,913	-	5,605	-
Income before income tax	307,819	9	331,815	10
Income tax expenses (Note 26)	61,696	2	60,327	2
Net income	246,123	7	271,488	8
Other comprehensive income (Notes 22, 23 and 26)
Items that will not be reclassified subsequently to profit or loss
Remeasurement of defined benefit plans	1,148	-	1,831	-

(Continued)

	2025		2024
	Amount	%	Amount	%
Unrealized gains(losses) on investments in equity instruments at fair value through other comprehensive income	$ 518	-	$ 421	-
Income tax related to items that will not be reclassified subsequently to profit or loss	(229)	-	(1,370)	-
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translation of financial statements of foreign operations	2,437	-	18,648	1
Share of the other comprehensive income (loss) of associates accounted for using the equity method	(506)	-	726	-
Other comprehensive income (loss), net of income tax	3,368	-	20,256	1
Total comprehensive income	$ 249,491	7	$ 291,744	9
Net income attributable to:
Owners of the Company	$ 200,091	6	$ 223,194	7
Non-controlling interests	46,032	1	48,294	1
	$ 246,123	7	$ 271,488	8
Total comprehensive income attributable to:
Owners of the Company	$ 203,168	6	$ 241,924	7
Non-controlling interests	46,323	1	49,820	2
	$ 249,491	7	$ 291,744	9
Earnings per share (Note 27)
Basic earnings per share	$ 2.61		$ 2.93
Diluted earnings per share	$ 2.59		$ 2.91

The accompanying notes are an integral part of the consolidated financial statements.

Data Image Corporation and Its Subsidiaries
Consolidated Statement of Changes in Equity
For the Years Ended December 31, 2025 and 2024
(In Thousands of New Taiwan Dollars)

	Equity Attributable to Owners of the Company
	Share Capital (Note 23)	Capital Surplus (Note 23)	Retained Earnings (Note 23)			Other equity (Note 23)		Treasury shares	Total	Non-Controlling Interests (Note 23)	Total Equity
			Legal Reserve	Special Reserves	Unappropriated Earnings	Exchange Differences on Translation of the Financial Statements of Foreign Operations	Unrealized Valuation Gain (Loss) on Financial Assets at Fair Value through Other Comprehensive Income
Balance on January 1, 2024	$ 693,996	$ 60,000	$ 137,054	$ 20,397	$ 598,919	$(26,998)	$ 144	$ -	$ 1,483,512	$ 830,447	$ 2,313,959
Appropriation of 2023 earnings:
Legal reserve	-	-	27,891	-	(27,891)	-	-	-	-	-	-
Special reserve	-	-	-	6,457	(6,457)	-	-	-	-	-	-
Cash dividends distributed by the Company	-	-	-	-	(277,598)	-	-	-	(277,598)	-	(277,598)
	-	-	27,891	6,457	(311,946)	-	-	-	(277,598)	-	(277,598)
Cash dividends distributed by subsidiaries	-	-	-	-	-	-	-	-	-	(46,743)	(46,743)
Net income for the year ended December 31, 2024	-	-	-	-	223,194	-	-	-	223,194	48,294	271,488
Other comprehensive income for the year ended December 31, 2024, net of income tax	-	-	-	-	167	18,414	149	-	18,730	1,526	20,256
Total comprehensive income for the year ended December 31, 2024	-	-	-	-	223,361	18,414	149	-	241,924	49,820	291,744
Gain from exercise of disgorgement	-	6	-	-	-	-	-	-	6	-	6
Difference between consideration and carrying amount of subsidiaries acquired	-	-	-	-	(3,627)	33	(20)	-	(3,614)	(9,446)	(13,060)
Issuance of ordinary shares for cash	87,000	419,160	-	-	-	-	-	-	506,160	-	506,160
Share-based payments	-	1,361	-	-	-	-	-	-	1,361	-	1,361
Balance on December 31, 2024	780,996	480,527	164,945	26,854	506,707	(8,551)	273	-	1,951,751	824,078	2,775,829
Appropriation of 2024 earnings:
Legal reserve	-	-	21,973	-	(21,973)	-	-	-	-	-	-
Special reserve	-	-	-	(18,576)	18,576	-	-	-	-	-	-
Cash dividends distributed by the Company	-	-	-	-	(234,299)	-	-	-	(234,299)	-	(234,299)
	-	-	21,973	(18,576)	(237,696)	-	-	-	(234,299)	-	(234,299)
Cash dividends distributed by subsidiaries	-	-	-	-	-	-	-	-	-	(74,790)	(74,790)
Net income for the year ended December 31, 2025	-	-	-	-	200,091	-	-	-	200,091	46,032	246,123
Other comprehensive income for the year ended December 31, 2025, net of income tax	-	-	-	-	333	2,556	188	-	3,077	291	3,368
Total comprehensive income for the year ended December 31, 2025	-	-	-	-	200,424	2,556	188	-	203,168	46,323	249,491
Buy-back of ordinary shares	-	-	-	-	-	-	-	(147,920)	(147,920)	-	(147,920)
Cancellation of treasury shares	(30,000)	(18,458)	-	-	(99,462)	-	-	147,920	-	-	-
Balance on December 31, 2025	$ 750,996	$ 462,069	$ 186,918	$ 8,278	$ 369,973	$(5,995)	$ 461	$ -	$ 1,772,700	$ 795,611	$ 2,568,311

The accompanying notes are an integral part of the consolidated financial statements.

Data Image Corporation and Its Subsidiaries
Consolidated Statements of Cash Flows
For the Years Ended December 31, 2025 and 2024
(In Thousands of New Taiwan Dollars)

	2025	2024
Cash flows from operating activities
Income before income tax	$ 307,819	$ 331,815
Adjustments for:
Depreciation expenses	66,876	65,799
Amortization expenses	20,093	20,795
Expected credit loss recognized (reversed)	7,666	(8,400)
Net loss on fair value changes of financial assets and liabilities at fair value through profit or loss	(6,924)	42,193
Finance cost	2,619	2,753
Interest income	(11,842)	(12,879)
Share-based payments	-	1,361
Share of profit or loss of associates	(103)	(577)
Loss on disposal of property, plant and equipment	346	266
Gain on lease modification	(14)	-
Write-down and scrapping losses of inventories	23,078	25,192
Realized gain on transactions with associates	(791)	(761)
Changes in operating assets and liabilities
Financial assets mandatorily measured at fair value through profit or loss	47,376	2,422
Accounts receivable	(37,582)	(142,822)
Accounts receivable from related parties	(759)	(11,573)
Other receivables	3,210	(11,889)
Other receivables from related parties	(5,080)	(2,500)
Inventories	(160,390)	34,456
Prepayments	(35,276)	(3,694)
Other current assets	(6,090)	143
Net defined benefit asset	(545)	(292)
Financial liabilities held for trading	(42,357)	(32,159)
Contract liabilities - Current	(54,811)	10,285
Notes payable	-	(307)
Accounts payable	114,553	38,181
Accounts payable from related parties	824	(13,780)
Other payables	12,083	4,469
Other payables from related parties	56,392	18,996
Provisions	3,429	2,583
Other current liabilities	5,464	707
Net defined benefit liabilities	-	(185)
Cash generated from operations	309,264	360,598
Interest received	11,906	12,836
Interest paid	(2,694)	(2,801)
Income tax paid	(63,758)	(92,872)
Net cash generated from operating activities	254,718	277,761
Cash flows from investing activities
Purchase of financial assets at amortized cost	(18)	-

(Continued)

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Data Image Corporation and Its Subsidiaries

Consolidated Statements of Cash Flows

For the Years Ended December 31, 2025 and 2024

(In Thousands of New Taiwan Dollars)

	2025	2024
Payments for property, plant and equipment and prepayment for equipment	$ (58,752)	$ (34,315)
Increase in refundable deposits	-	(1,267)
Decrease in refundable deposits	3,127	-
Payments for intangible assets	(2,631)	(3,443)
Increase in other non-current assets	(89)	(265)
Net cash used in investing activities	(58,363)	(39,290)
Cash flows from financing activities
Proceeds from long-term borrowings	50,613	-
Repayment of long-term borrowings	(59,384)	(44,558)
Refund of guarantee deposits received	(362)	-
Repayment of the principal portion of lease liabilities	(13,997)	(13,731)
Dividends paid	(234,299)	(277,598)
Proceeds from issuance of ordinary shares	-	505,526
Buy-back of ordinary shares	(147,920)	-
Gain from exercise of disgorgement	-	6
Changes in non-controlling interests	(74,790)	(59,803)
Net cash (used in) generated from financing activities	(480,139)	109,842
Effects of exchange rate changes on the balance of cash held in foreign currencies	2,509	9,531
Net (decrease) increase in cash and cash equivalents	(281,275)	357,844
Cash and cash equivalents at the beginning of the year	1,305,799	947,955
Cash and cash equivalents at the end of the year	$1,024,524	$1,305,799

The accompanying notes are an integral part of the consolidated financial statements.

Data Image Corporation and Its Subsidiaries
Notes to the Consolidated Financial Statements
For the Years Ended December 31, 2025 and 2024
(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

General information

Data Image Corporation (the "Company") was approved by the Ministry of Economic Affairs on November 22, 1997 for establishment. Its scope of business is the design, manufacturing, and sales of LCD touch modules and LCD modules.

The Company's shares have been listed on the Taiwan Stock Exchange (TSE) since March 26, 2024.

The consolidated financial statements are presented in the New Taiwan Dollar, which is the Company's functional currency.

Date and procedure for approving the financial statements

These consolidated financial statements were approved by the Board on March 2, 2026.

Application of new and amended standards and interpretations

a. Initial application of the amendments to the International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) (collectively, the "IFRS Accounting Standards") endorsed and issued into effect by the Financial Supervisory Commission (FSC)

The initial application of the IFRS Accounting Standards endorsed and issued into effect by the FSC did not result in material changes in the Group's accounting policies and did not have a material impact on the consolidated financial position and consolidated financial performance of the Group.

b. The IFRS Accounting Standards endorsed by the FSC for application starting from 2026

New, Amended and Revised Standards and Interpretations	Effective Date Announced by IASB
Amendments to IFRS 9 and IFRS 7 “Amendments to the Classification and Measurement of Financial Instruments”	January 1, 2026
Amendments to IFRS 9 and IFRS 7 “Contracts Referencing Nature-dependent Electricity”	January 1, 2026
Annual Improvements to IFRS Accounting Standards - Volume 11	January 1, 2026
IFRS 17 “Insurance Contracts” (including the 2020 and 2021 amendments to IFRS 17)	January 1, 2023

As of the date the consolidated financial statements were authorized for issue, the Group has assessed that the amendments to the above standards and interpretations have not had a material impact on the consolidated financial position and consolidated financial performance.

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c. The IFRS Accounting Standards in issue but not yet endorsed and issued into effect by the FSC

New/Amended/Revised Standards and Interpretations	Effective Date Announced by IASB (Note 1)
Amendments to IFRS 10 and IAS 28 “Sale or Contribution of Assets between an Investor and its Associate or Joint Venture”	To be determined by IASB
IFRS 18 “Presentation and Disclosure in Financial Statements”	January 1, 2027 (Note 2)
IFRS 19 “Subsidiaries without Public Accountability: Disclosures” (including the 2025 amendments to IFRS 19)	January 1, 2027
Amendments to IAS 21 “Translation to a Hyperinflationary Presentation Currency”	January 1, 2027

Note 1: Unless stated otherwise, the above IFRS Accounting Standards are effective for annual reporting periods beginning on or after their respective effective dates.

Note 2: On September 25, 2025, the FSC announced that IFRS 18 will take effect starting from January 1, 2028. Domestic entities could elect to apply IFRS 18 for an earlier period after the endorsement of IFRS 18 by the FSC.

IFRS 18 “Presentation and Disclosure in Financial Statements” and consequential amendments

IFRS 18 will supersede IAS 1” Presentation of Financial Statements”. The main changes comprise:

1) To classify items of income and expenses presented in the statement of profit or loss into the operating, investing, financing, income taxes and discontinued operations categories, the Group shall assess whether it has specified main business activities of investing in particular types of assets and providing financing to customers.

2) The statement of profit or loss shall present totals and subtotals for operating profit or loss, profit or loss before financing and income taxes and profit or loss.

3) Provides guidance to enhance the requirements of aggregation and disaggregation: The Group shall identify the assets, liabilities, equity, income, expenses and cash flows that arise from individual transactions or other events and shall classify and aggregate them into groups based on shared characteristics, so as to result in the presentation in the primary financial statements of line items that have at least one similar characteristic. The Group shall disaggregate items with dissimilar characteristics in the primary financial statements and in the notes. The Group labels items as “other” only if it cannot find a more informative label.

4) Disclosures on Management-defined Performance Measures (MPMs): When in public communications outside financial statements and communicating to users of financial statements management’s view of an aspect of the financial performance of the Group as a whole, the Group shall disclose related information about its MPMs in a single note to the financial statements, including the description of such measures, calculations, reconciliations to the subtotal or total specified by IFRS Accounting Standards and the income tax and non-controlling interests effects of related reconciliation items.

In addition, the following consequential amendments have been made to IAS 7 “Statement of Cash Flows”:

1) The Group shall use operating profit or loss as the starting point when presenting cash flows from operating activities under the indirect method.

2) Interest and dividends received by the Group shall be classified as investing activities, while interest and dividends paid shall be classified as financing activities. However, if, after assessment, the

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Group has a specific main operating activity, it shall determine how to classify dividends received, interest received and interest paid in the statement of cash flows by referring to how it classifies dividend income, interest income and interest expense in the statement of profit or loss. The total of each of these cash flows shall be classified in a single category in the statement of cash flows.

Except for the above impact, as of the date the consolidated financial statements were authorized for issue, the Group is continuously assessing the other impacts of the above amended standards and interpretations on the consolidated financial position and consolidated financial performance and will disclose the relevant impact when the assessment is completed.

4. Summary of material accounting policy information

a. Statement of compliance

The consolidated financial statements have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and IFRS Accounting Standards as endorsed and issued into effect by the FSC.

b. Basis of preparation

The consolidated financial statements have been prepared on the historical cost basis except for financial instruments which are measured at fair value and net defined benefit liabilities which are measured at the present value of the defined benefit obligation less the fair value of plan assets.

The fair value measurements, which are grouped into Levels 1 to 3 based on the degree to which the fair value measurement inputs are observable and based on the significance of the inputs to the fair value measurement in its entirety, are described as follows:

1) Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities;
2) Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for an asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices); and
3) Level 3 inputs are unobservable inputs for an asset or liability.

c. Classification of current and non-current assets and liabilities

Current assets include:

1) Assets held mainly for the purpose of trading;
2) Assets expected to be realized within 12 months after the reporting period; and
3) Cash and cash equivalents unless the asset is restricted from being exchanged or used to settle a liability for at least 12 months after the reporting period.

Current liabilities include:

1) Liabilities held primarily for the purpose of trading;
2) Liabilities due to be settled within 12 months after the reporting period; and
3) Liabilities for which the Group does not have the substantial right at the end of the reporting period to defer settlement for at least 12 months after the reporting period.

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Assets and liabilities that are not classified as current are classified as non-current.

d. Basis of consolidation

The consolidated financial statements incorporate the financial statements of the Group and the entities controlled by the Group (i.e., its subsidiaries).

Income and expenses of subsidiaries acquired or disposed of during the period are included in the consolidated statement of comprehensive income from the effective dates of acquisitions up to the effective dates of disposals, as appropriate.
When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those of the Group.
All intra-group transactions, balances, income and expenses are eliminated in full upon consolidation. Total comprehensive income of subsidiaries is attributed to the owners of the Company and to the non-controlling interests even if this results in the non-controlling interests having a deficit balance.
See Note 12, Table 5 and 6 for detailed information on subsidiaries (including percentages of ownership and main businesses).

e. Foreign currency

In preparing the financial statements of each individual entity, transactions in currencies other than the entity's functional currency (i.e., foreign currencies) are recognized at the rates of exchange prevailing at the dates of the transactions.
At the end of each reporting period, monetary items denominated in foreign currencies are retranslated at the rates prevailing at that date. Exchange differences on monetary items arising from settlement or translation are recognized in profit or loss in the period in which they arise.
Non-monetary item that are measured at historical cost in a foreign currency are not retranslated.
For the purpose of presenting consolidated financial statements, the financial statements of the Group's foreign operations (including subsidiaries and associates) that are prepared using functional currencies which are different from the currency of the Group are translated into the presentation currency, the New Taiwan dollar, as follows: Assets and liabilities are translated at the exchange rates prevailing at the end of the reporting period; and income and expense items are translated at the average exchange rates for the period. The resulting currency translation differences are recognized in other comprehensive income and attributed to the owners of the Company and non-controlling interests as appropriate.

f. Inventories

Inventories consist of raw materials, supplies, finished goods and work in progress and are stated at the lower of cost or net realizable value. Inventory write-downs are made by item, except where it may be appropriate to group similar or related items. The net realizable value is the estimated selling price of inventories less all estimated costs of completion and costs necessary to make the sale. Inventories are recorded at the weighted-average cost on the balance sheet date.

g. Investment in associates

An associate is an entity over which the Group has significant influence and which is neither a subsidiary nor an interest in a joint venture.
The Group uses the equity method to account for its investments in associates.
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Under the equity method, investments in an associate are initially recognized at cost and adjusted thereafter to recognize the Group’s share of the profit or loss and other comprehensive income of the associate. The Group also recognizes the changes in the Group’s share of the equity of associates attributable to the Group.

Any excess of the cost of acquisition over the Group’s share of the net fair value of the identifiable assets and liabilities of an associate at the date of acquisition is recognized as goodwill, which is included within the carrying amount of the investment and is not amortized. Any excess of the Group’s share of the net fair value of the identifiable assets and liabilities over the cost of acquisition, after reassessment, is recognized immediately in profit or loss.

The entire carrying amount of an investment (including goodwill) is tested for impairment as a single asset by comparing its recoverable amount with its carrying amount. Any impairment loss recognized is not allocated to any asset, including goodwill, that forms part of the carrying amount of the investment. Any reversal of that impairment loss is recognized to the extent that the recoverable amount of the investment subsequently increases.

When the Group transacts with its associate, profits and losses resulting from the transactions with the associate are recognized in the Group’s consolidated financial statements only to the extent of interests in the associate that are not related to the Group.

h. Property, plant and equipment

Property, plant and equipment are initially measured at cost and subsequently measured at cost less accumulated depreciation and accumulated impairment loss.

The depreciation of property, plant and equipment is recognized using the straight-line method. Each significant part is depreciated separately. The estimated useful lives, residual values and depreciation methods are reviewed at the end of each reporting period, with the effects of any changes in the estimates accounted for on a prospective basis.

On derecognition of an item of property, plant and equipment, the difference between the sales proceeds and the carrying amount of the asset is recognized in profit or loss.

i. Goodwill

Goodwill arising from the acquisition of a business is measured at cost as established at the date of acquisition of the business less accumulated impairment loss.

For the purposes of impairment testing, goodwill is allocated to each of the Group’s cash-generating units or groups of cash-generating units (referred to as “cash-generating units”) that are expected to benefit from the synergies of the combination.

A cash-generating unit to which goodwill has been allocated is tested for impairment annually or more frequently whenever there is an indication that the unit may be impaired, by comparing its carrying amount, including the attributed goodwill, with its recoverable amount. However, if the goodwill allocated to a cash-generating unit was acquired in a business combination during the current annual period, that unit shall be tested for impairment before the end of the current annual period. If the recoverable amount of the cash-generating unit is less than its carrying amount, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then pro rata to the other assets of the unit based on the carrying amount of each asset in the unit. Any impairment loss is recognized directly in profit or loss. Any impairment loss recognized for goodwill is not reversed in subsequent periods.

16 -

If goodwill has been allocated to a cash-generating unit and the Group disposes of an operation within that unit, the goodwill associated with the operation which is disposed of is included in the carrying amount of the operation when determining the gain or loss on disposal and is measured on the basis of the relative values of the operation disposed of and the portion of the cash-generating unit retained.

j. Intangible assets

1) Acquired separately

Intangible assets with finite useful lives that are acquired separately are initially measured at cost and subsequently measured at cost less accumulated amortization and accumulated impairment loss. Amortization is recognized on a straight-line basis. The estimated useful lives, residual values, and amortization methods are reviewed at the end of each reporting period, with the effect of any changes in the estimates accounted for on a prospective basis.

2) Acquired in a business combination

Intangible assets acquired in a business combination and recognized separately from goodwill are initially recognized at their fair value at the acquisition date (which is regarded as their cost). Subsequent to initial recognition, they are measured on the same basis as intangible assets that are acquired separately.

3) Derecognition

On derecognition of an intangible asset, the difference between the net disposal proceeds and the carrying amount of the asset is recognized in profit or loss.

k. Impairment of property, plant and equipment, right-of-use assets, investment property and intangible assets other than goodwill

At the end of each reporting period, the Group reviews the carrying amounts of its property, plant and equipment, right-of-use asset, investment properties and intangible assets, excluding goodwill, to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss. When it is not possible to estimate the recoverable amount of an individual asset, the Group estimates the recoverable amount of the cash-generating unit to which the asset belongs. Corporate assets are allocated to the smallest group of cash-generating units on a reasonable and consistent basis of allocation.

The recoverable amount is the higher of fair value less costs to sell and value in use. If the recoverable amount of an asset or cash-generating unit is estimated to be less than its carrying amount, the carrying amount of the asset or cash-generating unit is reduced to its recoverable amount, with the resulting impairment loss recognized in profit or loss.

When an impairment loss is subsequently reversed, the carrying amount of the corresponding asset or cash-generating unit is increased to the revised estimate of its recoverable amount, but only to the extent of the carrying amount that would have been determined had no impairment loss been recognized on the asset or cash-generating unit in prior years. A reversal of an impairment loss is recognized in profit or loss.

l. Financial instruments

Financial assets and financial liabilities are recognized when the Group becomes a party to the contractual provisions of the instruments.

17 -

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issuance of financial assets and financial liabilities (other than financial assets and financial liabilities at FVTPL) are added to or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at FVTPL are recognized immediately in profit or loss.

1) Financial assets

All regular way purchases or sales of financial assets are recognized and derecognized on a trade date basis.

a) Measurement categories

Financial assets are classified into the following categories: Financial assets at FVTPL, financial assets at amortized cost and investments in equity instruments at FVTOCI.

i. Financial assets at FVTPL

Financial assets are classified as at FVTPL when such financial assets are mandatorily classified as at FVTPL. Financial assets mandatorily classified as at FVTPL include investments in equity instruments which are not designated as at FVTOCI.

Financial assets at FVTPL are subsequently measured at fair value, and any dividends or interest earned on such financial assets are recognized in other income and interest income, respectively; any remeasurement gains or losses on such financial assets are recognized in other gains or losses. Fair value is determined in the manner described in Note 31: Financial Instruments.

ii. Financial assets at amortized cost

Financial assets that meet the following conditions are subsequently measured at amortized cost:

i) The financial assets are held within a business model whose objective is to hold financial assets in order to collect contractual cash flows; and

ii) The contractual terms of the financial assets give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Subsequent to initial recognition, financial assets at amortized cost, including cash and cash equivalents, accounts receivable at amortized cost, other receivables, restricted bank deposits and refundable deposits, are measured at amortized cost, which equals the gross carrying amount determined using the effective interest method less any impairment loss. Exchange differences are recognized in profit or loss.

Interest income is calculated by applying the effective interest rate to the gross carrying amount of such a financial asset.

Cash equivalents include time deposits with original maturities within 3 months from the date of acquisition, which are highly liquid, readily convertible to a known amount of cash and are subject to an insignificant risk of changes in value. These cash equivalents are held for the purpose of meeting short-term cash commitments.

18 -

iii. Investments in equity instruments at FVTOCI

On initial recognition, the Group may make an irrevocable election to designate investments in equity instruments as at FVTOCI. Designation as at FVTOCI is not permitted if the equity investment is held for trading or if it is contingent consideration recognized by an acquirer in a business combination.

Investments in equity instruments at FVTOCI are subsequently measured at fair value with gains and losses arising from changes in fair value recognized in other comprehensive income and accumulated in other equity. The cumulative gain or loss will not be reclassified to profit or loss on disposal of the equity investments; instead, it will be transferred to retained earnings.

Dividends on these investments in equity instruments are recognized in profit or loss when the Group’s right to receive the dividends is established, unless the dividends clearly represent a recovery of part of the cost of the investment.

b) Impairment of financial assets

The Group recognizes a loss allowance for expected credit losses on financial assets at amortized cost (including accounts receivable).

The Group always recognizes lifetime expected credit losses (ECLs) for accounts receivable. For all other financial instruments, the Group recognizes lifetime ECLs when there has been a significant increase in credit risk since initial recognition. If, on the other hand, the credit risk on a financial instrument has not increased significantly since initial recognition, the Group measures the loss allowance for that financial instrument at an amount equal to 12-month ECLs.

Expected credit losses reflect the weighted average of credit losses with the respective risks of default occurring as the weights. Lifetime ECLs represent the expected credit losses that will result from all possible default events over the expected life of a financial instrument. In contrast, 12-month ECLs represent the portion of lifetime ECLs that is expected to result from default events on a financial instrument that are possible within 12 months after the reporting date.

The impairment loss of all financial assets is recognized in profit or loss by a reduction in their carrying amounts through a loss allowance account.

c) Derecognition of financial assets

The Group derecognizes a financial asset only when the contractual rights to the cash flows from the asset expire or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another party.

On derecognition of a financial asset at amortized cost in its entirety, the difference between the asset’s carrying amount and the sum of the consideration received and receivable is recognized in profit or loss. On derecognition of an investment in an equity instrument at FVTOCI, the cumulative gain or loss which had been recognized in other comprehensive income is transferred directly to retained earnings, without recycling through profit or loss.

2) Equity instruments

Equity instruments issued by the Group are recognized at the proceeds received, net of direct issue costs.

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3) Financial liabilities

a) Subsequent measurement

Except for the following situations, all financial liabilities are measured at amortized cost using the effective interest method:

Financial liabilities at FVTPL

Financial liabilities are classified as at FVTPL when such financial liabilities are either held for trading.

Financial liabilities held for trading are stated at fair value, and any gains or losses on such financial liabilities are recognized in other gains or losses.

b) Derecognition of financial liabilities

The difference between the carrying amount of a financial liability derecognized and the consideration paid, including any non-cash assets transferred or liabilities assumed, is recognized in profit or loss.

4) Derivative financial instruments

The Group enters into a variety of derivative financial instruments to manage its exposure to foreign exchange rate risks, including foreign exchange swap contracts.

Derivatives are initially recognized at fair value at the date on which the derivative contracts are entered into and are subsequently remeasured to their fair value at the end of each reporting period. The resulting gain or loss is recognized in profit or loss immediately. When the fair value of a derivative financial instrument is positive, the derivative is recognized as a financial asset; when the fair value of a derivative financial instrument is negative, the derivative is recognized as a financial liability.

m. Provisions

Provisions are measured at the best estimate of the discounted cash flows of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation.

Provisions for the expected cost of warranty obligations to assure that products comply with agreed-upon specifications are recognized on the date of sale of the relevant products at the best estimate by the management of the Company of the expenditures required to settle the Company's obligations.

n. Revenue recognition

The Group identifies contracts with customers, allocates the transaction price to the performance obligations and recognizes revenue when performance obligations are satisfied.

1) Sale of goods

The Group recognizes revenue when control of the goods is transferred to the customer. When the goods are delivered to the customer's specific location, it is the time when the customer has full discretion over the manner of distribution and price to sell the goods, has the primary responsibility for sales to future customers and bears the risks of obsolescence. Accounts receivable are recognized concurrently.

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The Group does not recognize revenue on materials delivered to subcontractors because this delivery does not involve a transfer of control.

2) Provision of services

Service revenue is the provision of product processing services; that is, it is recognized when the processed products are delivered to the customer’s specific location

o. Leases

At the inception of a contract, the Group assesses whether the contract is, or contains, a lease.

1) The Group as lessor

All leases are classified as operating leases.

Lease payments (less any lease incentives payable) from operating leases are recognized as income on a straight-line basis over the terms of the relevant leases.

2) The Group as lessee

The Group recognizes right-of-use assets and lease liabilities for all leases at the commencement date of a lease, except for short-term leases and low-value asset leases accounted for by applying a recognition exemption where lease payments are recognized as expenses on a straight-line basis over the lease terms.

Right-of-use assets are initially measured at cost, which comprises the initial measurement of lease liabilities. Right-of-use assets are subsequently measured at cost less accumulated depreciation and impairment losses and adjusted for any remeasurement of the lease liabilities. Right-of-use assets are presented on a separate line in the consolidated balance sheets.

Right-of-use assets are depreciated using the straight-line method from the commencement dates to the earlier of the end of the useful lives of the right-of-use assets or the end of the lease terms.

Lease liabilities are initially measured at the present value of the lease payments, which comprise fixed payments. The lease payments are discounted using the interest rate implicit in a lease, if that rate can be readily determined. If that rate cannot be readily determined, the lessee’s incremental borrowing rate will be used.

Subsequently, lease liabilities are measured at amortized cost using the effective interest method, with interest expense recognized over the lease terms. When there is a change in future lease payments resulting from a lease term, the Group remeasures the lease liabilities with a corresponding adjustment to the right-of-use-assets. However, if the carrying amount of the right-of-use assets is reduced to zero, any remaining amount of the remeasurement is recognized in profit or loss. Lease liabilities are presented on a separate line in the consolidated balance sheets.

p. Borrowing costs

All borrowing costs are recognized in profit or loss in the period in which they are incurred.

q. Employee benefits

1) Short-term employee benefits

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Liabilities recognized in respect of short-term employee benefits are measured at the undiscounted amount of the benefits expected to be paid in exchange for the related services.

2) Retirement benefits

Payments to defined contribution retirement benefit plans are recognized as expenses when employees have rendered services entitling them to the contributions.

Defined benefit costs (including service cost, net interest and remeasurement) under defined benefit retirement benefit plans are determined using the projected unit credit method. Service cost and net interest on the net defined benefit liabilities (assets) are recognized as employee benefits expense in the period in which they occur. Remeasurement, comprising actuarial gains and losses and the return on plan assets (excluding interest), is recognized in other comprehensive income in the period in which it occurs. Remeasurement recognized in other comprehensive income is reflected immediately in retained earnings and will not be reclassified to profit or loss.

Net defined benefit liabilities (assets) represent the actual deficit (surplus) in the Group's defined benefit plans. Any surplus resulting from this calculation is limited to the present value of any refunds from the plans or reductions in future contributions to the plans.

r. Share-based payment arrangements

The fair value at the grant date is expensed on a straight-line basis over the vesting period, based on the Group's best estimates of the number of shares or options that are expected to ultimately vest, with a corresponding increase in capital surplus - employee share options. The grant date of issued ordinary shares for cash which are reserved for employees is the date on which the employees are informed.

s. Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

1) Current tax

Income tax payable (recoverable) is based on taxable profit (loss) for the year determined according to the applicable tax laws of each tax jurisdiction.

According to the Income Tax Act in the ROC, an additional tax on unappropriated earnings is provided for in the year the shareholders approve to retain earnings.

Adjustments of prior years' tax liabilities are added to or deducted from the current year's tax provision.

2) Deferred tax

Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities and the corresponding tax bases used in the computation of taxable profit.

Deferred tax liabilities are generally recognized for all taxable temporary differences. Deferred tax assets are generally recognized for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilized.

Deferred tax liabilities are recognized for taxable temporary differences associated with investments in subsidiaries and associates, except where the Group is able to control the reversal of the temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future.

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Deferred tax assets arising from deductible temporary differences associated with such investments and interests are recognized only to the extent that it is probable that there will be sufficient taxable profits against which to utilize the benefits of the temporary differences and such temporary differences are expected to reverse in the foreseeable future.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the assets to be recovered. A previously unrecognized deferred tax asset is also reviewed at the end of each reporting period and recognized to the extent that it has become probable that future taxable profit will allow the deferred tax asset to be recovered.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liabilities are settled or the assets are realized, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Group expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

3) Current and deferred tax

Current and deferred taxes are recognized in profit or loss, except when they relate to items that are recognized in other comprehensive income or directly in equity; in which case, the current and deferred taxes are also recognized in other comprehensive income or directly in equity, respectively.

Where current tax or deferred tax arises from the initial accounting for the acquisition of a subsidiary, the tax effect is included in the accounting for the investments in a subsidiary.

Material accounting judgments and key sources of estimation uncertainty

In the application of the Group's accounting policies, management is required to make judgments, estimations, and assumptions on the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered relevant. Actual results may differ from these estimates.

Based on the assessment of the Group's management, the accounting policies, estimates, and assumptions adopted by the Group have not been subject to material accounting judgements, estimates and assumptions uncertainty.

Cash and cash equivalents

	December 31, 2025	December 31, 2024
Cash on hand and petty cash	$ 162	$ 110
Checking accounts and demand deposits	570,762	714,179
Cash equivalents
Time deposits	453,600	591,510
	$ 1,024,524	$ 1,305,799

The interest rate ranges of time deposits on the balance sheet date were as follows:

	December 31, 2025	December 31, 2024
Time deposits	0.655%~1.650%	0.655%~1.760%

Financial instruments at fair value through profit or loss

	December 31, 2025	December 31, 2024
Financial assets - Current
Financial assets mandatorily measured as at FVTPL
Derivative instruments (not under hedge accounting)
Foreign exchange swap contract (a)	$ 140	$ -
Financial liabilities - Current
Held for trading
Derivatives instruments (not under hedge accounting)
Foreign exchange swap contract (a)	$ 2,056	$ 3,842
Foreign exchange forward contracts (b)	21	-
	$ 2,077	$ 3,842

a. At the end of the year, outstanding foreign exchange swap contracts not under hedge accounting were as follows:

December 31, 2025

	Currency	Maturity Date	Contract Amount (In Thousands)
Sell	USD/NTD	2026.01.02~2026.01.26	USD 12,800/NTD 400,205

December 31, 2024

	Currency	Maturity Date	Contract Amount (In Thousands)
Sell	USD/NTD	2025.01.02~2025.02.05	USD 13,000/NTD 421,788

The Group entered into foreign exchange swap contracts to manage exposures to exchange rate fluctuations of foreign currency denominated assets and liabilities.

b. At the end of the reporting period, outstanding foreign exchange forward contracts not under hedge accounting were as follows:

December 31, 2025

	Currency	Maturity Date	Contract Amount (In Thousands)
Sell	USD/RMB	2026.01.30	USD 1,200/RMB 8,367

The Group entered into foreign exchange forward contracts to manage exposures to exchange rate fluctuations of foreign currency denominated assets and liabilities.

Financial assets at fair value through other comprehensive income

	December 31, 2025	December 31, 2024
Non-current
Investments in equity instruments
Domestic unlisted shares	$ 5,550	$ 5,032

The ordinary shares of Insight Genomics Inc. and Renown Information Technology Corp. are held for medium- to long-term strategic purposes. Accordingly, the management elected to designate these investments at FVTOCI as they believe that recognizing short-term fluctuations in these investments' fair value in profit or loss would not be consistent with the Group's strategy of holding these investments for long-term purposes.

9. Financial assets at amortized cost

	December 31, 2025	December 31, 2024
Non-current
Pledged time deposits	$ 1,054	$ -
Gross carrying amount	$ 1,054	$ -
Less: Allowance for impairment loss	-	-
Amortized cost	$ 1,054	$ -

a. As of December 31, 2025, the interest rate range of pledged time deposits was 1.7% per annum.
b. Refer to Note 33 for information related to the pledged financial assets at amortized cost.

10. Accounts receivable and other receivables

	December 31, 2025	December 31, 2024
Accounts receivable
At amortized cost
Gross carrying amount	$ 724,491	$ 686,909
Less: Loss allowance	(10,683)	(3,016)
	$ 713,808	$ 683,893
Other receivables
Business tax refunds receivable	$ 12,867	$ 8,752
Others	9,131	14,458
	$ 21,998	$ 23,210

a. Accounts receivable

The average credit period of sales of goods is 30 to 230 days from upon shipment or the end of the month. No interest is charged on accounts receivable. In determining the recoverability of accounts receivable, the Group considers any changes in the credit quality of accounts receivable from the original credit granting date to the balance sheet date. For new trading customers, the Group uses publicly available financial information or its own trading records to rate its major customers. The Group's exposure and the credit ratings of its counterparties are continuously monitored and credit exposure is controlled by counterparty limits that are reviewed and approved.

The Group measures the loss allowance for accounts receivable at an amount equal to lifetime ECLs. The expected credit losses on accounts receivable are estimated using a provision matrix prepared by reference to the past default experience of the customer and the customer's current financial position. As the Group's historical credit loss experience does not show significantly different loss patterns for different customer segments, the provision for loss allowance based on past due status is not further distinguished according to the Group's different customer base.

The Group writes off a account receivable when there is evidence indicating that the debtor is in severe financial difficulty and there is no realistic prospect of recovery. For accounts receivable that have been written off, the Group continues to engage in enforcement activity to attempt to recover the receivables due. Where recoveries are made, these are recognized in profit or loss.

The following table details the loss allowance of accounts receivable based on the Group's provision matrix.

December 31, 2025

	Counterparty without			Counterparty with Sign of Default	Total
	Sign of Default
	Not Past Due	1 to 90 Days Past Due	Over 90 Days Past Due
Expected credit loss rate	0.0%~2.0%	0.0%~54.0%	100.0%	100.0%
Gross carrying amount	$ 639,838	$ 79,553	$ 4,257	$ 843	$ 724,491
Loss allowance (Lifetime ECLs)	(5,184)	(399)	(4,257)	(843)	(10,683)
Amortized cost	$ 634,654	$ 79,154	$ -	$ -	$ 713,808

December 31, 2024

	Counterparty without			Counterparty with Sign of Default	Total
	Sign of Default
	Not Past Due	1 to 90 Days Past Due	Over 90 Days Past Due
Expected credit loss rate	0.0%~0.5%	0.0%~0.5%	0.0%	100.0%
Gross carrying amount	$ 581,486	$ 104,581	$ -	$ 842	$ 686,909
Loss allowance (Lifetime ECLs)	(1,734)	(440)	-	(842)	(3,016)
Amortized cost	$ 579,752	$ 104,141	$ -	$ -	$ 683,893

The movements of the loss allowance of accounts receivable were as follows:

	2025	2024
Balance on January 1	$ 3,016	$ 2,534
Add: Impairment loss recognized	7,666	473
Less: Impairment loss reversed	-	(20)
Foreign exchange gains and losses	1	29
Balance on December 31	$ 10,683	$ 3,016

b. Other receivables – Others

In determining the recoverability of other receivables, the Group measures the allowance loss of other receivables according to the probability of collection of accounts, and after assessing the debtor's operating conditions and the possibility of recovery of accounts, the accounts that cannot be collected are included in the loss allowance.

Inventories

	December 31, 2025	December 31, 2024
Raw materials	$ 355,226	$ 297,099
Work in process	174,063	140,273
Finished goods	137,677	83,773
Merchandise	12,457	20,966
	$ 679,423	$ 542,111

The cost of inventories recognized as cost of goods sold for the years ended December 31, 2025 and 2024, was $2,577,819 thousand and $2,563,645 thousand, respectively. The cost of goods sold included inventory write-downs and scrapping losses for the year ended December 31, 2025 and 2024, were $23,078 thousand and $25,192 thousand, respectively.

12. Subsidiaries

a. Subsidiaries included in the consolidated financial statements

The entities included in the consolidated financial statements are as follows, and there is no subsidiary excluding from the consolidated financial statements:

Investor	Investee	Nature of Activities	Proportion of Ownership		Remark
			December 31, 2025	December 31, 2024
The Company	Data Image (MAURITIUS) Corporation	Investment	100.00%	100.00%
The Company	DIVA Laboratories, Ltd.	Medical equipment manufacturing and sales	36.26%	36.26%	1 and 2
DIVA Laboratories, Ltd.	DIVA Laboratories U.S., LLC.	Sales of monitor	100.00%	100.00%
	DIVA Laboratories GmbH	Sales of monitor	100.00%	100.00%
	Diva Capital Inc.	Reinvestment	100.00%	100.00%
Diva Capital Inc.	Diva Holding Inc.	Reinvestment	100.00%	100.00%
Diva Holding Inc.	Suzhou Diva Lab. Inc.	Wholesale and import and export of medical equipment	100.00%	100.00%
Data Image (MAURITIUS) Corporation	Data Image (Suzhou) Corporation	Manufacturing, processing, and sale of LCD touch modules and LCD modules	100.00%	100.00%

1) The Company originally held 35.55% of the equity in DIVA Laboratories, Ltd. and it acquired an additional 0.71% of the equity on June 14, 2024, increasing shareholding ratio from 35.55% to 36.26% (Note 29). As of December 31, 2025 and 2024, the equity interest both held in DIVA Laboratories, Ltd. is 36.26%, and controls more than half of the directors of DIVA Laboratories, Ltd.. It is considered that the Company has the substantial ability to lead its relevant activities; therefore, it is included as a subsidiary.

2) A subsidiary with significant non-controlling interests.

b. Details of subsidiaries that have material non-controlling interests

Name of Subsidiary	Principal Place of Business	Proportion of Ownership and Voting Rights Held by Non-controlling Interests
			December 31, 2025	December 31, 2024
DIVA Laboratories, Ltd.	New Taipei City		63.74%	63.74%
	Profit (Loss) Allocated to Non-controlling Interests		Non-controlling Interests
Name of Subsidiary	2025	2024	December 31, 2025	December 31, 2024
DIVA Laboratories, Ltd.	$ 46,032	$ 48,294	$ 795,611	$ 824,078

The summarized financial information of the Group's subsidiary below represents amounts before intragroup eliminations.

	December 31, 2025	December 31, 2024
Current assets	$ 1,084,365	$ 1,031,050
Non-current assets	683,963	711,946
Current liabilities	(323,446)	(246,916)
Non-current liabilities	(31,843)	(38,380)
Equity	$ 1,413,039	$ 1,457,700
Equity attributable to:
Owners of the Company	$ 617,428	$ 633,622
Non-controlling interests	795,611	824,078
	$ 1,413,039	$ 1,457,700
	2025	2024
Revenue	$ 868,840	$ 862,323
Net income	$ 72,219	$ 75,340
Other comprehensive income	458	2,374
Total comprehensive income	$ 72,677	$ 77,714
Net income attributable to:
Owners of the Company	$ 26,187	$ 27,046
Non-controlling interests	46,032	48,294
	$ 72,219	$ 75,340
Total comprehensive income attributable to:
Owners of the Company	$ 26,354	$ 27,894
Non-controlling interests	46,323	49,820
	$ 72,677	$ 77,714
Cash flow
Operating activities	$ 20,769	$ 123,138
Investing activities	5,171	3,858
Financing activities	(120,125)	(76,073)
Effect of exchange rate changes on cash and cash equivalents	(925)	1,295
Net cash inflow	$ (95,110)	$ 52,218
Dividends paid to non-controlling interests	$ 74,790	$ 46,743

13. Investment accounted for using the equity method

Investment in associates

	December 31, 2025	December 31, 2024
Associates that are not individually material
DMC Components International, LLC	$ 7,602	$ 9,343
The Linden Group Corp.	2,028	(102)
Add: Credit balance of investment accounted for using the equity method transferred to other non-current liabilities	-	102
	2,028	-
	$ 9,630	$ 9,343

29 -

Associates that are not individually material

Name of Associate	Nature of Activities	Principal Place of Business	Proportion of Ownership and Voting Rights
			December 31, 2025	December 31, 2024
DMC Components International, LLC	Sales agency	Orlando, USA	30%	30%
The Linden Group Corp.	Sales of monitor	USA	19%	19%

Although DIVA Laboratories, Ltd. holds less than 20% of the shares in The Linden Group Corp., it is assessed that the Group has significant influence over the company.

The Linden Group Corp., accounted for using the equity method by DIVA Laboratories, Ltd. As of December 31, 2025, the cumulative impairment loss was $25,787 thousand.

Aggregate information of associates that are not individually material

	2025	2024
The Group’s share of:
Net (loss) income	$ 103	$ 577
Other comprehensive income	(506)	726
Total comprehensive income	$ (403)	$ 1,303

Property, plant and equipment

	Land	Buildings	Machinery	Other Equipment	Total
Cost
Balance on January 1, 2025	$ 280,641	$ 654,880	$ 375,661	$ 121,030	$1,432,212
Additions	-	-	16,327	21,299	37,626
Disposals/derecognitions	-	-	(4,033)	(36,163)	(40,196)
Reclassification	-	-	8,734	-	8,734
Effects of foreign currency exchange differences	-	372	(362)	207	217
Balance on December 31, 2025	$ 280,641	$ 655,252	$ 396,327	$ 106,373	$1,438,593
Accumulated depreciation
Balance on January 1, 2025	$ -	$ 272,473	$ 298,731	$ 84,839	$ 656,043
Depreciation expenses	-	20,940	15,678	15,899	52,517
Disposals/derecognitions	-	-	(3,843)	(36,007)	(39,850)
Effects of foreign currency exchange differences	-	729	(643)	218	304
Balance on December 31, 2025	$ -	$ 294,142	$ 309,923	$ 64,949	$ 669,014
Carrying amount on December 31, 2025	$ 280,641	$ 361,110	$ 86,404	$ 41,424	$ 769,579
Cost
Balance on January 1, 2024	$ 280,641	$ 639,303	$ 350,075	$ 121,212	$1,391,231
Additions	-	-	16,315	13,950	30,265
Disposals/derecognitions	-	-	(932)	(15,948)	(16,880)
Effects of foreign currency exchange differences	-	15,577	10,203	1,816	27,596
Balance on December 31, 2024	$ 280,641	$ 654,880	$ 375,661	$ 121,030	$1,432,212

(Continued)

30 -

	Land	Buildings	Machinery	Other Equipment	Total
Accumulated depreciation
Balance on January 1, 2024	$ -	$ 243,846	$ 276,241	$ 84,093	$ 604,180
Depreciation expenses	-	21,372	15,303	15,312	51,987
Disposals/derecognitions	-	-	(873)	(15,741)	(16,614)
Effects of foreign currency exchange differences	-	7,255	8,060	1,175	16,490
Balance on December 31, 2024	$ -	$ 272,473	$ 298,731	$ 84,839	$ 656,043
Carrying amount on December 31, 2024	$ 280,641	$ 382,407	$ 76,930	$ 36,191	$ 776,169

The above items of property, plant and equipment leased under operating leases are depreciated on a straight-line basis over their estimated useful lives as follows:

Buildings 30-35 years
Machinery 2-10 years
Other equipment 2-10 years

15. Lease arrangements

a. Right-of-use assets

	December 31, 2025	December 31, 2024
Carrying amounts
Land	$ 9,081	$ 9,406
Buildings	38,672	38,566
Transportation equipment	2,060	3,521
Office equipment	1,971	22
	$ 51,784	$ 51,515
	2025	2024
Additions to right-of-use assets	$ 15,182	$ 34,857
Depreciation charge for right-of-use assets
Land	$ 320	$ 331
Buildings	11,988	10,853
Transportation equipment	1,570	2,500
Office equipment	481	128
	$ 14,359	$ 13,812

Except for the aforementioned addition and recognized depreciation, there was no material sublease agreement or impairment on the Group's right-of-use assets for the years ended December 31, 2025 and 2024.

b. Lease liabilities

	December 31, 2025	December 31, 2024
Carrying amounts
Current	$ 13,845	$ 11,469
Non-current	$ 29,689	$ 31,444

The range of discount rates for lease liabilities was as follows:

	2025	2024
Buildings	2.023%~2.600%	1.350%~2.500%
Transportation equipment	2.150%~2.600%	1.300%~2.150%
Office equipment	2.148%~2.600%	1.090%

c. Other lease information

	2025	2024
Expenses relating to short-term leases	$ 2,251	$ 1,807
Expenses relating to low-value asset leases	$ 1,171	$ 1,095
Expenses relating to variable lease payments not included in the measurement of lease liabilities	$ 180	$ 220
Total cash outflow for leases	$ (18,730)	$ (17,269)

The Group's leases of certain qualify as short-term leases and leases of certain qualify as low-value asset leases. The Group has elected to apply the recognition exemption and thus, did not recognize right-of-use assets and lease liabilities for these leases.

16. Goodwill

	2025	2024
Balance on January 1 and December 31	$ 164,826	$ 164,826

The Group recorded a goodwill of $164,826 thousand generated from the acquisition of DIVA Laboratories, Ltd. on October 27, 2021.

17. Intangible assets

	Patents	Computer Software	Total
Cost
Balance on January 1, 2025	$ 104,636	$ 44,804	$ 149,440
Additions	-	2,631	2,631
Disposals/derecognitions	-	(1,022)	(1,022)
Effects of foreign currency exchange differences	-	139	139
Balance on December 31, 2025	$ 104,636	$ 46,552	$ 151,188
Accumulated amortization and impairment
Balance on January 1, 2025	$ 55,224	$ 38,146	$ 93,370
Amortization expenses	17,439	2,654	20,093
Disposals/derecognitions	-	(1,022)	(1,022)
Effects of foreign currency exchange differences	-	50	50
Balance on December 31, 2025	$ 72,663	$ 39,828	$ 112,491
Carrying amount on December 31, 2025	$ 31,973	$ 6,724	$ 38,697

(Continued)

	Patents	Computer Software	Total
Cost
Balance on January 1, 2024	$ 114,508	$ 44,084	$ 158,592
Additions	-	3,443	3,443
Disposals/derecognitions	(9,872)	(3,240)	(13,112)
Effects of foreign currency exchange differences	-	517	517
Balance on December 31, 2024	$ 104,636	$ 44,804	$ 149,440
Accumulated amortization and impairment
Balance on January 1, 2024	$ 47,657	$ 37,914	$ 85,571
Amortization expenses	17,439	3,356	20,795
Disposals/derecognitions	(9,872)	(3,240)	(13,112)
Effects of foreign currency exchange differences	-	116	116
Balance on December 31, 2024	$ 55,224	$ 38,146	$ 93,370
Carrying amount on December 31, 2024	$ 49,412	$ 6,658	$ 56,070

Intangible assets are amortized on a straight-line basis over their estimated useful lives as follows:

Patents 5-10 years

Computer software 3-5 years

An analysis of amortization expenses by functions:

	2025	2024
Manufacturing expenses	$ 13,932	$ 13,844
Selling and marketing expenses	698	697
General and administrative expenses	2,200	2,730
Research and development expenses	3,263	3,524
	$ 20,093	$ 20,795

18. Other assets

	December 31, 2025	December 31, 2024
Current
Prepayments	$ 55,403	$ 20,127
Others	7,006	916
	$ 62,409	$ 21,043
Non-current
Prepayment for equipment	$ 27,903	$ 10,109
Refundable deposits	3,432	7,851
Others	3,517	5,490
	$ 34,852	$ 23,450

Other current and other non-current assets pledged as collateral for bank borrowings are set out in Note 33.

33 -

19. Borrowings

Short-term borrowings

	December 31, 2025	December 31, 2024
Credit borrowings	$ 35,962	$ 44,915
The range of interest rate was as follows:
	December 31, 2025	December 31, 2024
Credit borrowings	2.5%~3.0%	3.10%~3.20%

20. Notes payable and accounts payable

	December 31, 2025	December 31, 2024
Accounts payable
Operating	$ 519,355	$ 404,802

21. Other payables

	December 31, 2025	December 31, 2024
Payables for salaries or bonuses	$ 94,437	$ 87,514
Remunerations of employee	28,730	31,462
Payables for processing fees	14,729	16,368
Payables for annual leave	14,408	13,455
Payables for professional service fees	8,759	10,182
Remunerations of directors	2,803	3,065
Others	61,935	46,345
	$ 225,801	$ 208,391

22. Retirement benefit plans

a. Defined contribution plan

The Company, DIVA Laboratories, Ltd., and Panoramic Imaging Solutions Inc adopted a pension plan under the Labor Pension Act (LPA), which is a state-managed defined contribution plan. Under the LPA, the Company makes monthly contributions to employees' individual pension accounts at 6% of monthly salaries and wages.

The employees of the Group's subsidiary in China are members of a state-managed retirement benefit plan operated by the government of China. The subsidiaries abroad administer pension benefit in accordance with their respective jurisdictions. The subsidiary is required to contribute a specified percentage of payroll costs to the retirement benefit scheme to fund the benefits. The only obligation of the Group with respect to the retirement benefit plan is to make the specified contributions.

b. Defined benefit plan

The defined benefit plans adopted by the Company and DIVA Laboratories, Ltd. in accordance with the Labor Standards Act are operated by the government of the ROC. Pension benefits are calculated on the basis of the length of service and average monthly salaries of the 6 months before retirement. The Company and DIVA Laboratories, Ltd. contribute amounts equal to 2% to 5% of total monthly salaries

and wages to a pension fund administered by the pension fund monitoring committee. Pension contributions are deposited in the Bank of Taiwan in the committee's name. Before the end of each year, the Group assesses the balance in the pension fund. If the amount of the balance in the pension fund is inadequate to pay retirement benefits for employees who conform to retirement requirements in the next year, the Group is required to fund the difference in one appropriation that should be made before the end of March of the next year. The pension fund is managed by the Bureau of Labor Funds, Ministry of Labor (the "Bureau"); the Group has no right to influence the investment policy and strategy.

The amounts included in the consolidated balance sheets in respect of the Group's defined benefit plans are as follows:

	December 31, 2025	December 31, 2024
Present value of defined benefit obligation	$ 14,628	$ 15,429
Fair value of plan assets	(20,640)	(19,748)
Deficit (surplus)	(6,012)	(4,319)
Accounted for as net defined benefit assets	6,012	4,319
Net defined benefit liabilities	$ -	$ -

Movements in net defined benefit liabilities (assets) were as follows:

	Present Value of the Defined Benefit Obligation	Fair Value of the Plan Assets	Deficit (Surplus)
Balance on January 1, 2025	$ 15,429	$ (19,748)	$ (4,319)
Net interest expense (income)	210	(246)	(36)
Recognized in profit or loss	210	(246)	(36)
Remeasurement
Return on plan assets (excluding amounts included in net interest)	-	(1,234)	(1,234)
Actuarial losses - changes in financial assumptions	111	-	111
Actuarial gains - experience adjustments	(25)	-	(25)
Recognized in other comprehensive income	86	(1,234)	(1,148)
Contributions from the employer	-	(509)	(509)
Benefit paid	(1,097)	1,097	-
Balance on December 31, 2025	$ 14,628	$ (20,640)	$ (6,012)
Balance on January 1, 2024	$ 15,691	$ (17,702)	$ (2,011)
Net interest expense (income)	175	(176)	(1)
Recognized in profit or loss	175	(176)	(1)
Remeasurement
Return on plan assets (excluding amounts included in net interest)	-	(1,394)	(1,394)
Actuarial losses - changes in financial assumptions	(215)	-	(215)
Actuarial gains - experience adjustments	(222)	-	(222)
Recognized in other comprehensive income	(437)	(1,394)	(1,831)
Contributions from the employer	-	(476)	(476)
Balance on December 31, 2024	$ 15,429	$ (19,748)	$ (4,319)

Through the defined benefit plans under the Labor Standards Act, the Group is exposed to the following risks:

1) Investment risk: The plan assets are invested in domestic and foreign equity and debt securities, bank deposits, etc. The investment is conducted at the discretion of the Bureau or under the mandated management. However, in accordance with relevant regulations, the return generated by plan assets shall not be below the interest rate for a 2-year time deposit with local banks.

2) Interest risk: A decrease in the government bond interest rate will increase the present value of the defined benefit obligation; however, this will be partially offset by an increase in the return on the plans' debt investments.

3) Salary risk: The present value of the defined benefit obligation is calculated using the future salaries of plan participants. As such, an increase in the salaries of the plan participants will increase the present value of the defined benefit obligation.

The actuarial valuations of the present value of the defined benefit obligation were carried out by qualified actuaries. The significant assumptions used for the purposes of the actuarial valuations are as follows:

	December 31, 2025	December 31, 2024
Discount rate	1.3%	1.5%
Expected rate of salary increase	2.5%	2.5%

If possible reasonable changes in each of the significant actuarial assumptions occur and all other assumptions remain constant, the present value of the defined benefit obligation would increase (decrease) as follows:

	December 31, 2025	December 31, 2024
Discount rate
0.25% Increase	$ (138)	$ (174)
0.25% Decrease	$ 141	$ 179
Expected salary increase rate
1.00% Increase	$ 567	$ 720
1.00% Decrease	$ (537)	$ (679)

The above sensitivity analysis may not be representative of the actual changes in the present value of the defined benefit obligation as it is unlikely that changes in assumptions will occur in isolation of one another as some of the assumptions may be correlated.

	December 31, 2025	December 31, 2024
Expected contributions to the plans for the next year	$ 463	$ 493
Average duration of defined benefit obligation	5.8 years	6.4 years

36 -

23. Equity

a. Share capital

Ordinary shares

	December 31, 2025	December 31, 2024
Authorized shares (in thousands)	200,000	200,000
Authorized capital	$ 2,000,000	$ 2,000,000
Issued and paid shares (in thousands)	75,100	78,100
Issued capital	$ 750,996	$ 780,996

The share issued had a par value of $10 and the right of voting and receiving dividends.

To facilitate the initial public offering (IPO) of the company's shares, the board of directors resolved on December 27, 2023, to issue 8,700 thousand new shares through a cash capital increase, with a par value of $10 per share. This cash capital increase plan was approved by the Taiwan Stock Exchange Corporation on January 9, 2024, and became effective on that date. The capital increase base date is set for March 22, 2024, and the change of registration was completed on April 8, 2024.

The issuance of the 8,700 thousand new shares through this cash capital increase includes 1,566 thousand shares for public offering, 870 thousand shares for employee subscription, and 6,264 thousand shares for competitive auction. Both the public offering and the employee subscription are issued at a premium of $50 per share. The competitive auction shares are issued at a weighted average premium price of $61.76 per share. The total amount received, after deducting underwriting-related fees, was $505,526 thousand on March 22, 2024.

Within the authorized capital, 5,400 thousand shares are reserved for the issuance of employee stock warrants.

b. Capital surplus

	December 31, 2025	December 31, 2024
May be used to offset a deficit, distributed as cash dividends, or transferred to share capital (Note)
Issuance of ordinary shares	$ 462,063	$ 480,521
May only be used to offset a deficit
Exercise of disgorgement	$ 6	$ 6

Note: Such capital surplus may be used to offset a deficit; in addition, when the Company has no deficit, such capital surplus may be distributed as cash dividends or transferred to share capital (limited to a certain percentage of the Company's capital surplus and to once a year).

c. Retained earnings and dividend policy

According to the Company's Articles of Incorporation, the board of directors is authorized to adopt a special resolution to distribute dividends and bonuses in cash and a report of such distribution should be submitted in the shareholders' meeting

Under the dividends policy as set forth in the Articles of Incorporation, where the Company made a profit in a fiscal year, the profit shall be first utilized for paying taxes, offsetting losses of previous years, setting aside as legal reserve 10% of the remaining profit, until the accumulated legal capital reserve

equals the Company's paid-in share capital, setting aside or reversing a special reserve in accordance with the laws and regulations, and then any remaining profit together with any undistributed retained earnings shall be used by the Company's board of directors as the basis for proposing a distribution plan, which should be resolved in the shareholders' meeting for the distribution of dividends and bonuses to shareholders. For the policies on the distribution of compensation of employees and remuneration of directors and supervisors after the amendment, refer to compensation of employees and remuneration of directors and supervisors in Note 25(7).

The Company's dividend policy complies with the current and future development plans, taking investment environments, capital requirements, and domestic or foreign competition status into account, and considers shareholders' interest and other factors. The Company made a profit in a fiscal year, and until the distributable earnings equal the Company's paid-in share capital 2%, dividends may be distributed in the form of both cash dividends and share dividends. However, cash dividends are limited to 10% of the total dividends distributed.

An appropriation of earnings to a legal reserve shall be made until the legal reserve equals the Company's paid-in capital. The legal reserve may be used to offset deficits. If the Company has no deficit and the legal reserve has exceeded 25% of the Company's paid-in capital, the excess may be transferred to capital or distributed in cash.

The appropriations of earnings for 2024 and 2023 are as follows:

	2024	2023
Legal reserve	$ 21,973	$ 27,891
Special reserve (Reversal of)	$ (18,576)	$ 6,457
Cash dividends	$ 234,299	$ 277,598
Cash dividends per share (NT$)	$ 3.00	$ 3.55

The above appropriations for cash dividends were resolved by the Company's board of directors on March 4, 2025 and March 1, 2024, respectively; the other proposed appropriations were resolved by the shareholders in their meeting on May 23, 2025 and May 28, 2024, respectively.

The company conducted an initial public offering of cash capital increase on March 22, 2024, resulting in an increase in the number of outstanding shares from 69,400 thousand shares to 78,100 thousand shares. Consequently, the cash dividend per share for the 2023 earnings distribution was adjusted to NT$3.55.

The appropriation of earnings for 2025, which were proposed by the Company's board of directors on March 2, 2026, were as follows:

	2025
Legal reserve	$ 10,096
Special reserve	$ (2,744)
Cash dividends	$ 225,299
Cash dividends per share (NT$)	$ 3.00

The above appropriation for cash dividends has been resolved by the Company's board of directors; the other proposed appropriations will be resolved by the shareholders in their meeting to be held on May 20, 2026.

37 -

d. Special reserve

	2025	2024
Balance on January 1	$ 26,854	$ 20,397
Appropriations in respect of
Debits to other equity items	-	6,457
Reversal:
Reversal of the debits to other equity items	(18,576)	-
Balance on December 31	$ 8,278	$ 26,854

When distributing earnings, additional special reserve should be appropriated for the amount equal to the difference between net debit balance reserves and the special reserve appropriated at the end of the reporting period. Any special reserve appropriated may be reversed to the extent that the net debit balance reverses and is thereafter distributed.

e. Other equity items

1) Exchange differences on the translation of the financial statements of foreign operations

	2025	2024
Balance on January 1	$ (8,551)	$ (26,998)
Recognized for the year
Exchange differences on the translation of the financial statements of foreign operations	3,013	17,722
Share from associates accounted for using the equity method	(457)	692
Other comprehensive income recognized for the year	2,556	18,414
Acquisition of further interests in subsidiaries	-	33
Balance on December 31	$ (5,995)	$ (8,551)

2) Unrealized valuation gain(loss) on financial assets at FVTOCI

	2025	2024
Balance on January 1	$ 273	$ 144
Other comprehensive income recognized for the year
Unrealized gain (loss)
Equity instruments	188	149
Acquisition of further interests in subsidiaries	-	(20)
Balance on December 31	$ 461	$ 273

f. Non-controlling interests

	2025	2024
Balance on January 1	$ 824,078	$ 830,447
Net income	46,032	48,294
Other comprehensive income
Exchange differences on translation of the financial statements of foreign operations	(576)	926
Unrealized gain (loss) on financial assets at FVTOCI	330	272
Share in other comprehensive income of associates accounted for using the equity method	(49)	34
Remeasurement of defined benefit plans	586	294
Cash dividends distributed by subsidiaries	(74,790)	(46,743)
Non-controlling interests decrease from subsidiaries (Note 29)	-	(9,446)
Balance on December 31	$ 795,611	$ 824,078

g. Treasury shares

	Shares Cancelled (In Thousands of Shares)
Number of shares on January 1, 2025	-
Increase during the period	3,000
Decrease during the period	(3,000)
Number of shares on December 31, 2025	-

The Company's board of directors resolved to repurchase shares from the centralized market on April 10, 2025 to maintain the Company's credibility and protect shareholders' interests. The buyback period was from April 11, 2025 to June 10, 2025. The Company repurchased a total of 1,000 thousand treasury shares at a cost of $49,406 thousand.

The Company's board of directors resolved to cancel 1,000 thousand shares of treasury stock on July 29, 2025, and the base date of capital reduction was August 5, 2025, and the registration of change was completed on September 11, 2025.

The Company's board of directors resolved to repurchase shares from the centralized market on July 29, 2025 to maintain the Company's credibility and protect shareholders' interests. The buyback period was from July 30, 2025 to September 29, 2025. The Company repurchased a total of 2,000 thousand treasury shares at a cost of $98,514 thousand.

The Company's board of directors resolved to cancel 2,000 thousand shares of treasury stock on October 28, 2025, and the base date of capital reduction was November 7, 2025, and the registration of change was completed on December 9, 2025.

Under the Securities and Exchange Act, the Company shall neither pledge treasury shares nor exercise shareholders' rights on these shares, such as the rights to dividends and to vote.

Revenue

a. Breakdown of revenue from contracts with customers

	2025	2024
LCD touch module	$ 2,204,389	$ 2,101,894
LCD module	278,826	436,986
Medical and industrial displays	611,491	576,956
Others	339,561	302,609
	$ 3,434,267	$ 3,418,445

b. Contract balance

	December 31, 2025	December 31, 2024	January 1, 2024
Accounts receivable (Note 10)	$ 713,808	$ 683,893	$ 541,553
Accounts receivable from related parties	$ 27,088	$ 26,329	$ 5,903
Contract liabilities - Current	$ 45,740	$ 100,551	$ 90,266

The changes in the balance of contract assets and contract liabilities primarily result from the timing difference between the Group's satisfaction of performance obligations and the respective customer's payment.

Revenue in the current year that was recognized from the performance obligations satisfied with the contract liability balance at the beginning of the year was summarized as follows:

	2025	2024
From contract liabilities at the start of the year	$ 72,334	$ 14,962
25. Net income
a. Interest income
	2025	2024
Bank deposits	$ 11,842	$ 12,879
b. Other income
	2025	2024
Others	$ 6,915	$ 7,259
c. Other gains and losses
	2025	2024
Valuation gain (loss) on financial assets and liabilities
Financial assets mandatorily measured at FVTPL	$ 47,516	$ (6,192)
Financial liabilities held for trading	(40,592)	(36,001)
Net foreign exchange (losses) gains	(26,824)	27,526
Loss on disposal of property, plant and equipment	(346)	(266)
Other gains	5,932	2,600
Other losses	(14)	(24)
	$ (14,328)	$ (12,357)
d. Finance cost
	2025	2024
Interest on bank loans	$ 1,491	$ 2,337
Interest on lease liabilities	1,128	416
	$ 2,619	$ 2,753
e. Depreciation and amortization
	2025	2024
Property, plant and equipment	$ 52,517	$ 51,987
Right-of-use assets	14,359	13,812
Intangible assets	20,093	20,795
	$ 86,969	$ 86,594
An analysis of depreciation by function
Operating costs	$ 37,378	$ 37,430
Operating expenses	29,498	28,369
	$ 66,876	$ 65,799
An analysis of amortization by function
Operating costs	$ 13,932	$ 13,844
Operating expenses	6,161	6,951
	$ 20,093	$ 20,795

f. Employee benefits expense

	2025	2024
Short-term benefits	$ 583,929	$ 581,082
Post-employment benefits
Defined contribution plan	33,786	32,472
Defined benefit plan (Note 22)	(36)	(1)
	33,750	32,471
Share-based payment
Equity-settled (Note 28)	-	1,361
Other employee benefits	50,799	47,508
	$ 668,478	$ 662,422
An analysis of employee benefits expense by function
Operating cost	$ 314,609	$ 316,623
Operating expenses	353,869	345,799
	$ 668,478	$ 662,422

g. Compensation of employees and remuneration of directors

According to the Articles of Incorporation, where the Company made a profit in a fiscal year, the Company accrues compensation of employees at rates of no less than 5% and no higher than 20% and accrues remuneration of directors at rates of no higher than 1%. In accordance with the amendments to the Securities and Exchange Act in August 2024, the shareholders of the Company resolved the amendments to the Company's Articles at their 2025 regular meeting. The amendments explicitly stipulate the allocation of non-executive employees at rates of no less than 10% of the total compensation of employees mentioned above. The compensation of employees (including non-executive employees) and the remuneration of directors for the years ended December 31, 2025 and 2024, which were approved by the Company's board of directors on March 2, 2026 and March 4, 2025, respectively, are as follows:

Accrual rate

	2025	2024
Compensation of employees	8.00%	8.00%
Remuneration of directors	0.75%	0.75%
Amount
	2025	2024
Compensation of employees	$ 20,553	$ 22,810
Remuneration of directors	1,927	2,138

If there is a change in the amounts after the annual consolidated financial statements are authorized for issue, the differences are recorded as a change in the accounting estimate.

There is no difference between the actual amounts of compensation of employees and remuneration of directors paid and the amounts recognized in the consolidated financial statements for the years ended December 31, 2024 and 2023.

Information on the compensation of employees and remuneration of directors resolved by the Company's board of directors is available at the Market Observation Post System website of the Taiwan Stock Exchange.

42 -

26. Income tax

a. Major components of income tax expenses recognized in profit or loss

	2025	2024
Current tax
In respect of the current year	$ 69,983	$ 71,352
Adjustments for prior year	(5,503)	(13,517)
Other	1,523	3,158
	66,003	60,993
Deferred tax
In respect of the current year	(4,307)	(1,934)
Adjustments for prior year	-	1,268
	(4,307)	(666)
Income tax expenses recognized in profit or loss	$ 61,696	$ 60,327

A reconciliation of accounting profit and income tax expense is as follows:

	2025	2024
Income before tax	$ 307,819	$ 331,815
Income tax expense calculated at the statutory rate	$ 77,677	$ 77,445
Nondeductible expenses in determining taxable income	161	(583)
Unrecognized deductible temporary differences	(7,581)	(2,864)
Adjustments for prior years’ tax	(5,503)	(13,517)
Adjustments for prior years’ deferred tax	-	1,268
Foreign income tax	1,523	3,158
Consolidated deferred tax of the enterprise	(4,581)	(4,580)
Income tax expenses recognized in profit or loss	$ 61,696	$ 60,327

b. Income tax recognized directly in equity

	2025	2024
Current tax
Transaction costs attributed to the issuance of shares	$ -	$ 634

c. Income tax recognized in other comprehensive income

	2025	2024
Deferred tax
In respect of the current year
Remeasurement of defined benefit plans	$ 229	$ 1,370

d. Current tax assets and liabilities

	December 31, 2025	December 31, 2024
Current tax assets
Tax refunds receivable	$ 2,632	$ 1,000
Current tax liabilities
Income taxes payable	$ 56,690	$ 52,813

e. Deferred tax assets and liabilities

The movements of deferred tax assets and deferred tax liabilities were as follows:

2025

Deferred Tax Assets	Opening Balance	Recognized in Profit or Loss	Recognized in Other Comprehensive Income	Exchange Differences	Closing Balance
Temporary differences
Investment losses accounted for under the equity method	$ 17,819	$ (610)	$ -	$ -	$ 17,209
Inventory write-downs	26,358	243	-	(29)	26,572
Unrealized foreign exchange losses	2,333	(350)	-	-	1,983
Payables for annual leave	2,690	191	-	-	2,881
Others	5,312	1,103	-	-	6,415
	$ 54,512	$ 577	$ -	$ (29)	$ 55,060
Deferred Tax Liabilities
Temporary differences
Property, plant and equipment	$ 25,472	$ (1,094)	$ -	$ -	$ 24,378
Intangible assets	9,882	(3,487)	-	-	6,395
Taxation difference in depreciation expenses	2,950	(201)	-	(5)	2,744
Investment gains accounted for using the equity method	1,924	27	-	-	1,951
Defined benefit obligations	425	109	229	-	763
Unrealized foreign exchange gains	1,280	902	-	-	2,182
Others	108	14	-	-	122
	$ 42,041	$ (3,730)	$ 229	$ (5)	$ 38,535

2024

Deferred Tax Assets	Opening Balance	Recognized in Profit or Loss	Recognized in Other Comprehensive Income	Exchange Differences	Closing Balance
Temporary difference
Investment losses accounted for under the equity method	$ 19,072	$ (1,253)	$ -	$ -	$ 17,819
Inventory write-downs	24,601	1,600	-	157	26,358
Unrealized foreign exchange losses	5,315	(2,982)	-	-	2,333
Payables for annual leave	2,339	351	-	-	2,690
Defined benefit obligations	2,310	(2,164)	(146)	-	-
Others	5,540	(242)	-	14	5,312
	$ 59,177	$ (4,690)	$ (146)	$ 171	$ 54,512
Deferred Tax Liabilities
Temporary difference
Property, plant and equipment	$ 26,564	$ (1,092)	$ -	$ -	$ 25,472
Intangible assets	13,370	(3,488)	-	-	9,882
Taxation difference in depreciation expenses	3,052	(209)	-	107	2,950
Investment gains accounted for using the equity method	2,151	(227)	-	-	1,924
Defined benefit obligations	-	(799)	1,224	-	425
Unrealized foreign exchange gains	-	1,280	-	-	1,280
Others	929	(821)	-	-	108
	$ 46,066	$ (5,356)	$ 1,224	$ 107	$ 42,041

f. Deductible temporary difference for which no deferred tax assets have been recognized in the consolidated balance sheets

	December 31, 2025	December 31, 2024
Deductible temporary differences	$ 25,810	$ 63,725

g. Income tax assessments

The income tax for the Company returns through 2023, have been assessed by the tax authorities. The income tax for DIVA Laboratories, Ltd returns through 2022, have been assessed by the tax authorities.

27. Earnings per share

Unit: NT$ per share

	2025	2024
Basic earnings per share	$ 2.61	$ 2.93
Diluted earnings per share	$ 2.59	$ 2.91

The earnings and weighted average number of ordinary shares outstanding used in the computation of earnings per share were as follows:

Net Income

	2025	2024
Earnings used in the computation of basic and diluted earnings per share	$ 200,091	$ 223,194

Weighted average number of ordinary shares outstanding

	2025	2024
Weighted average number of ordinary shares used in the computation of basic earnings per share	76,786	76,174
Effect of potentially dilutive ordinary shares: Compensation of employees	576	566
Weighted average number of ordinary shares used in the computation of diluted earnings per share	77,362	76,740

The Group may settle the compensation of employees in cash or shares; therefore, the Group assumes that the entire amount of the compensation will be settled in shares, and the resulting potential shares are included in the weighted average number of shares outstanding used in the computation of diluted earnings per share, as the effect is dilutive. Such dilutive effect of the potential shares is included in the computation of diluted earnings per share until the number of shares to be distributed to employees is resolved in the following year.

28. Share-based payment arrangements

Employee Stock Option Plan for Issuance of Ordinary Shares for Cash

On December 27, 2023, the Company's board of directors resolved to issue 8,700 thousand ordinary shares which increased the share capital issued, reserving 870 thousand shares for employee subscription in accordance with the Company Act. If employees do not fully subscribe or waive their subscription rights, the chairman is authorized to allocate the unsubscribed shares to designated investors. The recognized compensation cost for the Year Ended December 31, 2024, is $1,361 thousand.

Options of ordinary shares issued for Cash granted in March 2024 were priced using the Black-Scholes pricing model, and the inputs to the model are as follows:

	March, 2024
Share price on the grant date	$ 52.22
Exercise price	$ 50
Expected volatility	12.7%
Expected life	0.008 years
Expected dividends rate	0.0%
Risk-free interest rate	1.1%

29. Equity transactions with non-controlling interests

The Company originally held 35.55% of DIVA Laboratories, Ltd. and it acquired an additional 0.71% of the equity on June 14, 2024, increasing shareholding ratio from 35.55% to 36.26%.

The above transactions were accounted for as equity transactions, since the Group did not cease to have control over this subsidiary.

	DIVA Laboratories, Ltd.
Consideration paid	$ (13,060)
The proportionate share of the carrying amount of the net assets of the subsidiary transferred to non-controlling interests	9,446
Reattribution of other equity from non-controlling interests
Exchange differences on translating the financial statements of foreign operations	(33)
Unrealized gain on financial assets at FVTOCI	20
Differences recognized from equity transactions	$ (3,627)
	DIVA Laboratories, Ltd.
Line items adjusted for equity transactions
Retained earnings	$ (3,627)

30. Capital management

The Group manages its capital to ensure the Group will be able to continue as going concerns with a capital structure that is most suitable for the Group's current operation and development and make good use of various equity and debt instruments to provide the Group with capital required for operating plans, while maximizing the return to stakeholders.

The capital structure of the Group consists of net debt and equity attributable to owners of the Company.

The Group is not subject to any externally imposed capital requirements.

46 -

31. Financial instruments

a. Fair value of financial instruments not measured at fair value

For financial instruments not measured at fair value, that maturities are near or that future receipt or payment amounts approximate their carrying amounts, their fair values are estimated based on their carrying amounts as of the consolidated balance sheet date.

b. Fair value of financial instruments measured at fair value on a recurring basis

1) Fair value hierarchy

December 31, 2025

	Level 1	Level 2	Level 3	Total
Financial assets at FVTPL
Domestic unlisted shares	$ -	$ -	$ -	$ -
Derivatives	-	140	-	140
	$ -	$ 140	$ -	$ 140
Financial assets at FVTOCI
Investment in equity instruments
Domestic unlisted shares	$ -	$ -	$ 5,550	$ 5,550
Financial liabilities at FVTPL
Derivatives	$ -	$ 2,077	$ -	$ 2,077

December 31, 2024

	Level 1	Level 2	Level 3	Total
Financial assets at FVTPL
Domestic unlisted shares	$ -	$ -	$ -	$ -
Financial assets at FVTOCI
Investment in equity instruments
Domestic unlisted shares	$ -	$ -	$ 5,032	$ 5,032
Financial liabilities at FVTPL
Derivatives	$ -	$ 3,842	$ -	$ 3,842

There were no transfers between Levels 1 and 2 in the current and prior years

2) Reconciliation of Level 3 fair value measurements of financial instruments

2025

Financial assets	Financial Assets at FVTPL	Financial Assets at FVTOCI	Total
	Equity instruments	Equity instruments
Balance on January 1	$ -	$ 5,032	$ 5,032
Recognized in other comprehensive income (included in unrealized valuation gain (loss) on financial assets at FVTOCI)	-	518	518
Balance on December 31	$ -	$ 5,550	$ 5,550

2024

| Financial assets | Financial Assets at FVTPL
Equity instruments | Financial Assets at FVTOCI
Equity instruments | Total |
| --- | --- | --- | --- |
| Balance on January 1 | $ - | $ 4,611 | $ 4,611 |
| Recognized in other comprehensive income (included in unrealized valuation gain (loss) on financial assets at FVTOCI) | - | 421 | 421 |
| Balance on December 31 | $ - | $ 5,032 | $ 5,032 |

3) Valuation techniques and inputs applied for Level 2 fair value measurement

Financial Instrument	Valuation Technique and Inputs
Derivatives - foreign exchange swap contracts	Discounted cash flow: Future cash flows are estimated based on observable forward exchange rates at the end of the year and contract forward rates, discounted at a rate that reflects the credit risk of various counterparties.

4) Valuation techniques and inputs applied for Level 3 fair value measurement

The domestic unlisted shares held by the Group and there was no market value for reference; therefore, the valuation method was adopted.

c. Categories of financial instruments

	December 31, 2025	December 31, 2024
Financial assets
FVTPL
Mandatorily measured as at FVTPL	$ 140	$ -
Financial assets at amortized cost
Cash and cash equivalents	1,024,524	1,305,799
Accounts receivable	713,808	683,893
Accounts receivable from related parties	27,088	26,329
Other receivables	9,131	14,458
Other receivables from related parties	10,544	5,464
Restricted assets (accounted for as other current assets)	2,000	-
Financial assets at amortized cost - non-current	1,054	-
Refundable deposits	3,432	7,851
Financial assets FVTOCI
Equity instruments	5,550	5,032
Financial liabilities
FVTPL
Held for trading	2,077	3,842
Amortized cost
Short-term borrowings	35,962	44,915
Accounts payable	519,355	404,802
Accounts payable from related parties	8,835	8,011
Other payables	85,424	72,895
Other payables from related parties	96,662	40,270
Guarantee deposits received	90	480

d. Financial risk management objectives and policies

The financial risks related to the operating activities of the Group are market risk, credit risk and liquidity risk. Except for market risk, which is affected by external factors and is unpredictable, the remaining two risks can be generally controlled or eliminated through internal control or operating procedures. Therefore, in response to changes in market risks, the Group uses appropriate financial instrument operations to reduce the adverse effects that market risks may have on the Group's financial position and financial performance.

1) Market risk

The Group's activities exposed it primarily to the market risks include foreign currency exchange rates and interest rates.

a) Foreign currency risk

The Group have foreign currency denominated sales and purchases, which expose to foreign currency risk. Exchange rate exposures are managed within approved policy parameters utilizing foreign exchange forward contracts.

The carrying amounts of the Group's foreign currency denominated monetary assets and monetary liabilities (including those eliminated on consolidation) at the end of the year are set out in Note 34.

Sensitivity analysis

The Group is mainly exposed to the U.S. dollars.

The following table details the Group's sensitivity to a 1% increase and decrease in each functional currency against the relevant foreign currencies. The sensitivity analysis included only outstanding foreign currency denominated monetary items and foreign exchange forward contracts designated as cash flow hedges, and adjusts their translation at the end of the year for a 1% change in foreign currency rates. A positive number below indicates an increase/a decrease in pre-tax profit associated with each functional currency strengthening 1% against the relevant currency. For a 1% weakening of each functional currency against the relevant currency, there would be an equal and opposite impact on pre-tax profit, and the balances below would be negative.

Impact of U.S. dollars
2025	2024
$ (4,275)	$ (4,343)

Profit and loss

b) Interest rate risk

The Group's risk of changes in interest rates mainly comes from short-term borrowings and long-term borrowings with fixed and floating interest rates. Changes in market interest rates will change the effective interest rate of borrowings, resulting in the risk of changes in the future fair value and cash flow.

48 -

The carrying amounts of the Group’s financial assets and financial liabilities with exposure to interest rates at the end of the year were as follows:

	December 31, 2025	December 31, 2024
Fair value interest rate risk
Financial assets	$ 454,654	$ 592,546
Financial liabilities	61,515	65,371
Cash flow interest rate risk
Financial assets	572,460	713,244
Financial liabilities	17,981	22,457

Sensitivity analysis

The sensitivity analysis below was determined based on the Group’s exposure to interest rates for non-derivative instruments at the end of the year. For floating rate liabilities, the analysis was prepared assuming the amount of each liability outstanding at the end of the year was outstanding for the whole year.

If interest rates had been 1% basis points higher/lower and all other variables were held constant, the Group’s pre-tax profit for the years ended December 31, 2025 and 2024 would have decreased/increased by $5,545 thousand and $6,908 thousand, respectively.

2) Credit risk

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in a financial loss to the group. At the end of the year, the Group’s maximum exposure to credit risk, due to the failure of the counterparty to discharge its obligation, could be equal to the carrying amount of the respective recognized financial assets as stated in the consolidated balance sheets.

To mitigate credit risk, the Group's management has assigned a dedicated team to be responsible for credit limit determination, credit approval and other monitoring procedures to ensure that appropriate actions have been taken in the recovery of overdue receivables. In addition, the Group reviews the recoverable amounts of amounts receivable on a case-by-case basis on the balance sheet date to ensure that appropriate impairment losses have been provided for uncollectible amounts receivable. Accordingly, the Group's management considers that the Group's credit risk has been significantly reduced.

3) Liquidity risk

The Group maintains sufficient cash and cash equivalents to meet the cash requirements for operating activities through accounts and financing management and reduces the impact of cash flow fluctuations. The Group's Finance Department monitors the use of bank financing limits at all times and ensures compliance with the terms of borrowing contracts.

Liquidity and interest rate risk tables for non-derivative financial liabilities

The following table details the Group’s remaining contractual maturities for its non-derivative financial liabilities with agreed upon repayment periods. The table has been drawn up based on the undiscounted cash flows of financial liabilities from the earliest date on which the Group can be required to pay. The table includes both interest and principal cash flows. Specifically, bank loans with a repayment on demand clause were included in the earliest time band regardless of the probability of the banks choosing to exercise their rights. The maturity dates for other non-derivative financial liabilities were based on the agreed upon repayment dates

49 -

To the extent that interest flows are at floating rates, the undiscounted amount was derived from the interest rate curve at the end of the year.

The current portion of non-interest-bearing financial liabilities is due within one year. These liabilities are not subject to any contractual obligations requiring immediate settlement. The non-current financial liabilities primarily comprise guarantee deposits received from customers, which serve as credit collateral. These deposits do not have specified maturity dates.

December 31, 2025

	Within 1 Year	1-5 Years
Non-derivative financial liabilities
Lease liabilities	$ 14,771	$ 30,707
Variable interest rate instruments	18,241	-
Fixed interest rate instruments	18,177	-
	$ 51,189	$ 30,707

December 31, 2024

	Within 1 Year	1-5 Years
Non-derivative financial liabilities
Lease liabilities	$ 12,366	$ 32,868
Variable interest rate instruments	22,781	-
Fixed interest rate instruments	22,786	-
	$ 57,933	$ 32,868

The amounts included above for variable interest rate instruments for non-derivative financial liabilities are subject to change if changes in variable interest rates differ from those estimates of interest rates determined at the end of the year.

32. Related party transactions

The Company's parent is Qisda Corporation, which both held 31.11% of the ordinary shares of the Company at December 31, 2025 and 2024.

Balances and transactions between the Company and its subsidiaries, which are related parties of the Company, have been eliminated on consolidation and are not disclosed in this note. Besides information disclosed elsewhere in the other notes, details of transactions between the Group and other related parties are disclosed as follows.

a. Related parties and their relationship with the Group

Related Party	Relationship with the Group
Qisda Corporation	Parent company
Darfon Electronics Corp.	A corporate Director who values the parent company by using the equity method
Darwin Precisions Corporation	A subsidiary of AUO Corporation
AUO Display Plus Corporation	A subsidiary of AUO Corporation
DFI Inc.	Sister company
Qisda Optronics (Suzhou) Co., Ltd.	Sister company
Qisda Electronics (Suzhou) Co. Ltd.	Sister company
Qisda Precision Industry (SuZhou) Co., Ltd	Sister company

(Continued)

51 -

Related Party	Relationship with the Group
Qisda Vietnam Co., Ltd.	Sister company
BenQ Asia Pacific Corp.	Sister company
BenQ Materials Corp.	Sister company
BenQ Healthcare Corporation	Sister company
BenQ Technology (Shanghai) Co., Ltd.	Sister company
BenQ Materials (Suzhou) Corp.	Sister company
Global Intelligence Network Co., Ltd.	Sister company
Metaage Corporation	Sister company
Simula Technology Inc.	Sister company
Metaguru Corporation	Sister company
Golden Spirit Co., Ltd.	Sister company
Concord Medical Co., Ltd	Sister company
Action Star Technology Co., Ltd.	Sister company
Ace Pillar Co., Ltd.	Sister company
DMC Components International, LLC	Associate
The Linden Group Corp.	Associate
BenQ Foundation	Substantial related party
BenQ (Suzhou) Foundation	Substantial related party
Aplex Technology Inc.	Substantial related party
Gene Chen	Substantial related party

b. Operating revenue

Related Party Category	2025	2024
Parent company	$ 1,777	$ 340
Sister company	15,810	12,768
Associate	74,016	83,510
Substantial related party	1,825	5
	$ 93,428	$ 96,623

As most of the Group's transactions with the abovementioned related parties are customized products with no comparable products, the prices are negotiated by both parties; sales to related parties and non-related parties are collected 30 to 85 days from upon shipment or end of the month and collected 30 to 230 days from upon shipment or end of the month., respectively.

c. Purchases

Related Party Category	2025	2024
Parent company	$ 375	$ 19
A corporate Director who values the parent company by using the equity method	44	-
A subsidiary of AUO Corporation	42,724	125,340
Sister company	6,570	7,132
	$ 49,713	$ 132,491

As most of the transactions with the abovementioned related parties are raw materials required by customized products with no comparable products, the prices are negotiated by both parties; purchases from related parties and non-related parties are paid 30 to 90 days from after delivery or end of the month and paid 30 to 120 days end of the month, respectively.

d. Receivables from related parties

Item	Related Party Category/Name	December 31, 2025	December 31, 2024
Accounts receivables	Parent company	$ 245	$ 43
	Sister company	9,034	2,250
	Associate	17,519	24,036
	Substantial related party	290	-
		$ 27,088	$ 26,329
Other receivables	Sister company
	Qisda Electronics (Suzhou) Co. Ltd.	$ 10,348	$ -
	Qisda Optronics (Suzhou) Co., Ltd..	-	5,350
	Other	93	-
	Associate	103	114
		$ 10,544	$ 5,464

The outstanding accounts receivable from related parties are unsecured.

For the year ended December 31, 2024, the Group reversed expected credit losses was $8,853 thousand.

e. Payables to related parties

Item	Related Party Category	December 31, 2025	December 31, 2024
Accounts payable	Parent company	$ 89	$ -
	A corporate Director who values the parent company by using the equity method	1	-
	A subsidiary of AUO Corporation	8,516	7,499
	Sister company	229	512
		$ 8,835	$ 8,011
Other payables	Parent company	$ 81,463	$ 28,693
	Sister company	9,048	6,066
	Associate	6,151	5,511
		$ 96,662	$ 40,270

The outstanding accounts payable to related parties are unsecured.

f. Contract liabilities

Related Party Category	December 31, 2025	December 31, 2024
Associate	$ 79	$ -

g. Prepayments (accounted for as other current assets)

Related Party Category	December 31, 2025	December 31, 2024
Sister company	$ 1,568	$ 281

h. Acquisition of property, plant and equipment

Related Party Category	Purchase price
	2025	2024
Parent company	$ 306	$ 1,739
Sister company	153	-
	$ 459	$ 1,739

i. Lease agreement

Related Party Category/Name		2025	2024
Acquisitions of right-of-use assets
Parent company		$ 12,094	$ -
Item	Related Party Category	December 31, 2025	December 31, 2024
Lease liabilities	Parent company	$ 10,195	$ 597
Item	Related Party Category	2025	2024
Interest expenses (accounted for as finance cost)	Parent company	$ 197	$ 21

The Group rented the Taoyuan Office from the parent company in November 2021 and the Taoyuan Plant from the parent company in May 2020. The lease terms are 3.5 years and 5 years, respectively, and both leases expired in May 2025. The Group renewed the lease agreements for the Taoyuan office and plant in May 2025. The lease term is 4 years. The rental is based on the rental level of similar assets, and it pays a fixed lease payment monthly according to the lease contract.

j. Other related party transactions

Related Party Category/Name	2025	2024
Operating cost
Parent company	$ 19,429	$ 13,568
A subsidiary of AUO Corporation	47	15
Sister company	912	1,216
Associate	56	2,499
	$ 20,444	$ 17,298
Operating cost - Processing fee
Parent company	$ 53,833	$ 3,991
Sister company	3,048	-
	$ 56,881	$ 3,991
Operating expenses
Parent company	$ 2,184	$ 2,047
A corporate Director who values the parent company by using the equity method	24	-
A subsidiary of AUO Corporation	207	458
Sister company	1,995	3,178
Associate	192	1,980
Substantial related party	1,022	-
	$ 5,624	$ 7,663

(Continued)

54 -

Related Party Category/Name	2025	2024
Operating expenses - Commission expense
Associate	$ 17,435	$ 22,762
Other income
Sister company	$ 196	$ -
Associate	6	90
Substantial related party
Gene Chen	2,120	-
	$ 2,322	$ 90

As the parent company provided partial management services to the Group, the management expenses recognized for the years ended December 31, 2025 and 2024 were $21,613 thousand and $15,615 thousand, respectively.

Commission expenses are calculated based on the rates agreed upon in contracts and are paid only after the Group has received the relevant accounts receivable for sales of goods as an agent.

k. Remuneration of key management personnel

	2025	2024
Short-term employee benefits	$ 44,399	$ 44,055
Post-employment benefits	216	243
Share-based payments	-	151
	$ 44,615	$ 44,449

The remuneration of directors and key executives, as determined by the remuneration committee, is based on the performance of individuals and market trends.

33. Pledged assets

The following assets of the Group have been pledged as the collateral for the collection of business taxes after the release of the imported goods by customs:

	December 31, 2025	December 31, 2024
Financial assets at amortized cost - non-current	$ 1,054	$ -
Restricted assets (accounted for as other current assets)	2,000	-
Refundable deposits (accounted for as other non-current assets)	500	1,536
	$ 3,554	$ 1,536

34. Significant assets and liabilities denominated in foreign currencies

The Group's significant financial assets and liabilities denominated in foreign currencies aggregated by the foreign currencies other than functional currencies of the entities in the Group and the related exchange rates between the foreign currencies and the respective functional currencies were as follows:

December 31, 2025

	Foreign Currency	Exchange Rate		Carrying Amount
Financial assets
Monetary items
USD	$ 27,953	31.4300	(USD: NTD)	$ 878,552
USD	11,378	6.9919	(USD: CNY)	357,601
Non-monetary items
Investment accounted for using the equity method
USD	306	31.4300	(USD: NTD)	9,630
Financial liabilities
Monetary items
USD	23,177	31.4300	(USD: NTD)	728,453
USD	2,550	6.9919	(USD: CNY)	80,160

December 31, 2024

	Foreign Currency	Exchange Rate		Carrying Amount
Financial assets
Monetary items
USD	$ 25,110	32.785	(USD: NTD)	$ 823,174
USD	9,642	7.2993	(USD: CNY)	316,108
Non-monetary items
Investment accounted for using the equity method
USD	282	32.785	(USD: NTD)	9,241
Financial liabilities
Monetary items
USD	19,068	32.785	(USD: NTD)	625,141
USD	2,435	7.2993	(USD: CNY)	79,835

For the years ended December 31, 2025 and 2024, realized and unrealized net foreign exchange gains (losses) were $(26,824) thousand and $27,526 thousand, respectively. It is impractical to disclose net foreign exchange gains (losses) by each significant foreign currency due to the variety of the foreign currency transactions.

35. Separately disclosed items

a. Information on significant transactions:

1) Financing provided to others: None.
2) Endorsements/guarantees provided: Table 1.
3) Significant marketable securities held (excluding investments in subsidiaries, associates and joint ventures): None.
4) Total purchases from or sales to related parties amounting to at least NT$100 million or 20% of the paid-in capital: Table 2.

5) Receivables from related parties amounting to at least NT$100 million or 20% of the paid-in capital: Table 3.

6) Others: Intercompany relationships and significant intercompany transactions: Table 4.

b. Information on investees: Table 5.

c. Information on investments in mainland China:

1) Information on any investee company in mainland China, showing the name, principal business activities, paid-in capital, method of investment, inward and outward remittance of funds, ownership percentage, net income of investees, investment income or loss, carrying amount of the investment at the end of the year, repatriations of investment income, and limit on the amount of investment in the mainland China area: Table 6.

2) Any of the following significant transactions with investee companies in mainland China, either directly or indirectly through a third party, and their prices, payment terms, and unrealized gains or losses: Table 7.

a) The amount and percentage of purchases and the balance and percentage of the related payables at the end of the year

b) The amount and percentage of sales and the balance and percentage of the related receivables at the end of the year

c) The amount of property transactions and the amount of the resultant gains or losses

d) The balance of negotiable instrument endorsements or guarantees or pledges of collateral at the end of the year and the purposes

e) The highest balance, the ending balance, the interest rate range, and total current period interest with respect to the financing of funds

f) Other transactions that have a material effect on the profit or loss for the year or on the financial position, such as the rendering or receipt of services

Segment information

The Group’s chief operating decision maker allocates resources and assesses performance based on financial information categorized by product lines. The LCD module segment and the display module segment are identified as separate operating segments by the chief operating decision maker.

56 -

a. Segment revenue and results

The following was an analysis of the Group’s revenue and results by reportable segments:

2025

	LCD Module Segment	Display Module Segment	Total
Revenue from external customers	$ 2,565,430	$ 868,837	$ 3,434,267
Inter-segment revenue	10,165	3	10,168
Segment revenue	2,575,595	868,840	3,444,435
Eliminations	(10,165)	(3)	(10,168)
Consolidated revenue	$ 2,565,430	$ 868,837	$ 3,434,267
Segment income	$ 216,391	$ 89,515	$ 305,906
Interest income			11,842
Other income			6,915
Other gains and losses			(14,328)
Finance cost			(2,619)
Share of profit or loss of associates			103
Profit before tax			$ 307,819

2024

	LCD Module Segment	Display Module Segment	Total
Revenue from external customers	$ 2,557,904	$ 860,541	$ 3,418,445
Inter-segment income	9,448	1,782	11,230
Segment revenue	2,567,352	862,323	3,429,675
Eliminations	(9,448)	(1,782)	(11,230)
Consolidated revenue	$ 2,557,904	$ 860,541	$ 3,418,445
Segment income	$ 230,280	$ 95,930	$ 326,210
Interest income			12,879
Other income			2,363
Other gains and losses			(7,461)
Finance cost			(2,753)
Share of profit or loss of associates			577
Profit before tax			$ 331,815

Inter-segment revenue was accounted for according to market prices.

Segment profit represents the profit before tax earned by each segment without share of profit of associates, interest income, other income, exchange gains or losses, valuation gains or losses on financial instruments, finance costs and income tax expense. This was the measure reported to the chief operating decision maker for the purpose of resource allocation and assessment of segment performance.

b. Total segment total assets and liabilities

	December 31, 2025	December 31, 2024
Segment assets
LCD Module Segment	$ 1,885,073	$ 1,988,165
Display Module Segment	1,727,215	1,701,065
Unallocated assets	67,322	64,855
Consolidated total assets	$ 3,679,610	$ 3,754,085
Segment liabilities
LCD Module Segment	$ 720,182	$ 659,740
Display Module Segment	295,892	223,560
Unallocated liabilities	95,225	94,956
Consolidated total liabilities	$ 1,111,299	$ 978,256

For the purpose of monitoring segment performance and allocating resources between segments:

(1) All assets were allocated to reportable segments other than interests in associates accounted for using the equity method, and current and deferred tax assets. Goodwill was allocated to the reportable segments. Assets used jointly by reportable segments were allocated on the basis of the revenue earned by individual reportable segments; and
(2) All liabilities were allocated to reportable segments other than credit balance of investment accounted for using the equity method, current and deferred tax liabilities. Liabilities for which reportable segments are jointly liable were allocated in proportion to segment assets.

c. Geographical information

The Group operates in two principal geographical areas -Taiwan and China.

The Group's revenue from external customers by location of operations and information on its non-current assets by location of assets are detailed below.

	Revenue from External Customers		Non-current Assets
	2025	2024	December 31, 2025	December 31, 2024
Taiwan	$ 3,378,094	$ 3,365,667	$ 727,437	$ 737,250
China	56,173	52,778	317,211	330,782
	$ 3,434,267	$ 3,418,445	$ 1,044,648	$ 1,068,032

Non-current assets exclude financial instruments, deferred tax assets, post-employment benefit assets, and assets arising from insurance contracts.

d. Information on major customers

For the years ended December 31, 2025 and 2024, single customers contributing $10\%$ or more to the Group's revenue were as follows:

	2025	2024
Company A	$ 446,776	$ 576,447
Company B	358,633	328,028
	$ 805,409	$ 904,475

Data Image Corporation and Its Subsidiaries
Endorsements/Guarantees Provided
For the Year Ended December 31, 2025
(In Thousands of New Taiwan Dollars)

Table 1

No.	Endorser/Guarantor	Endorsee/Guarantee		Limit on Endorsement/Guarantee Given on Behalf of Each Party (Note)	Maximum Amount Endorsed/Guaranteed During the Year	Outstanding Endorsement/Guarantee at the End of the Year	Actual Amount Borrowed	Amount Endorsed/Guaranteed by Collateral	Accumulated Endorsement/Guarantee to Net Equity in Latest Financial Statements	Aggregate Endorsement/Guarantee Limit (Note)	Endorsement/Guarantee Given by Parent on Behalf of Subsidiaries	Endorsement/Guarantee Given by Subsidiaries on Behalf of Parent	Endorsement/Guarantee Given on Behalf of Companies in Mainland China
		Name	Relationship
0	The Company	Data Image (Suzhou) Corporation	A wholly owned subsidiary through Data Image (MAURITIUS) Corporation	$ 354,540	$ 33,205	$ -	$ -	$ -	-	$ 886,350	Yes	No	Yes

Note: The total amount of the Company's endorsements /guarantees is limited to 50% of the Company's net worth as stated in its latest financial statements. The endorsements/guarantees provided to a single enterprise are limited to 20% of its net worth, as stated in its latest financial statements.

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60 -

Data Image Corporation and Its Subsidiaries

Total purchases from or sales to related parties amounting to at least NT$100 million or 20% of the paid-in capital

For the Year Ended December 31, 2025

(In Thousands of New Taiwan Dollars)

Table 2

Company Name	Related Party	Relationship	Transaction Details				Abnormal Transaction		Notes/Accounts Receivable (Payable)
			Purchases/sales	Amount	% of Total (Note 1)	Payment Terms	Unit price	Payment Terms	Ending Balance	% of Total
The Company	Data Image (Suzhou) Corporation	Subsidiary	Processing fees	$ (1,046,706)	(96)	To be determined subject to the capital status	Based on the agreed prices	To be determined subject to the capital status	$ (355,084)	(61)
Data Image (Suzhou) Corporation	The Company	Parent company	Processing income	1,046,706	95	To be determined subject to the capital status	Based on the agreed prices	To be determined subject to the capital status	355,084	99

Note 1: The processing fees are calculated as a percentage of the total manufacturing expenses.
Note 2: Transactions between Group have been fully written off when preparing the consolidated financial statements.

Data Image Corporation and Its Subsidiaries
Receivables from Related Parties Amounting to at least NT$100 million or 20% of the Paid-in Capital
December 31, 2025
(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Table 3
| Company Name | Related Party | Relationship | Ending Balance | Turnover Rate | Overdue | | Amount Received in Subsequent Year | Allowance for Impairment Loss |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| | | | | | Amount | Actions Taken | | |
| Data Image (Suzhou) Corporation | The Company | Parent company | $ 355,084 | 3.21 | $ - | — | $ 163,210 | $ - |

Note: Transactions between Group have been fully written off when preparing the consolidated financial statements.

61 -

Data Image Corporation and Its Subsidiaries
Intercompany relationships and significant Intercompany transactions
For the Year Ended December 31, 2025
(In Thousands of New Taiwan Dollars)

Table 4

No.	Investee Company	Counterparty	Relationship (Note 1)	Transaction Details
				Financial Statement Accounts	Amount	Payment Terms	% of Total Sales or Assets
0	The Company	Data Image (Suzhou) Corporation	1	Accounts payable from related parties	$ (355,084)	Notes 2 and 3	10%
				Processing fees	1,046,706	Note 2	30%
1	Data Image (Suzhou) Corporation	The Company	2	Processing income	(1,046,706)	Note 2	30%
				Accounts receivable from related parties	355,084	Notes 2 and 3	10%

Note 1: There are two types of relationships with the trader: 1. The Company to a subsidiary; 2. a subsidiary to the Company; 3. a subsidiary to another subsidiary.
Note 2: The Company sells raw materials and semi-finished goods to Data Image (Suzhou) Corporation, and then it processes, the Company purchases partial finished goods and semi-finished goods from it to sell to customers. Due to the processing trade, the related sales income is expressed at a net amount. In addition, after offsetting the relevant amounts receivable and payable, collection and payment will be made based on the capital status of Data Image (Suzhou) Corporation.
Note 3: Refer to the balance after offsetting of receivables and payables.
Note 4: Transactions between Group have been fully written off when preparing the consolidated financial statements.
Note 5: Business relationships and significant transactions that reach at least 1% of the consolidated operating revenue or total assets of the Group shall be disclosed.

62 -

Data Image Corporation and Its Subsidiaries

Information on Investees

For the Year Ended December 31, 2025

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Table 5

Investor Company	Investee Company	Location	Main Businesses and Products	Original Investment Amount		As of December 31, 2025			Net Income (Loss) of the Investee	Share of Profit (Loss)	Note
				December 31, 2025	December 31, 2024	Number of shares	Ratio (%)	Carrying amount
The Company	Data Image (MAURITIUS) Corporation	Mauritius	Investment	$ 518,381	$ 518,381	20,215,000	100.00	$ 550,907	$ 39,623	$ 39,623	—
	DIVA Laboratories, Ltd.	Taiwan	Medical equipment manufacturing and sales	638,740	625,680	21,273,122	36.26	617,428	90,540	26,187	Note 1
	DMC Components International, LLC	Orlando, USA	Sales agency	24,304	24,304	300,000	30.00	7,602	(5,210)	(1,563)	Note 2
DIVA Laboratories, Ltd.	DIVA Laboratories GmbH	Germany	Sales of monitor	25,092	25,092	-	100.00	851	(233)	(233)	—
	DIVA Laboratories U.S., LLC	USA	Sales of monitor	35,858	35,858	-	100.00	21,313	1,129	1,129	—
	Diva Capital Inc.	Samoa	Reinvestment	52,908	52,908	-	100.00	9,541	490	490	Note 3
	The Linden Group Corp.	USA	Sales of monitor	30,015	30,015	-	19.00	2,028	8,768	1,666	Notes 4 and 5
Diva Capital Inc.	Diva Holding Inc.	Samoa	Reinvestment	52,598	52,598	-	100.00	9,615	490	Note 6	—

Note 1: The difference between the profit and loss of the investee recognized based on the shareholding ratio in the current year and the investment gain or loss recognized in the current year is the effect of the fair value of the investee's assets being higher than the book value of the amortization.
Note 2: The carrying amount deducted the unrealized gain on downstream transactions of $371 thousand.
Note 3: The carrying amount deducted the unrealized gain on downstream transactions of $76 thousand.
Note 4: The carrying amount deducted the unrealized gain on downstream transactions of $1,466 thousand.
Note 5: DIVA Laboratories, Ltd. recognized the cumulative impairment loss of $25,787 thousand on its investment accounted for using the equity method in The Linden Group Corp
Note 6: The profit or loss of the investee has been included in its investees. To avoid confusion, it is not expressed otherwise presented in these financial statements.
Note 7: The investment gain or loss between investees, the long-term equity investment of the investees, and the net worth of the equity of the investees were fully written off when the consolidated financial statements were prepared.

Data Image Corporation and Its Subsidiaries
Information on Investments in Mainland China
For the Year Ended December 31, 2025
(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Table 6

Investee Company	Main Businesses and Products	Paid-in capital	Method of Investment	Accumulated Outward Remittance for Investment from Taiwan at the Beginning of Year	Remittance of Funds		Accumulated Outward Remittance for Investment from Taiwan at the End of Year	Net Income (Loss) of the Investee	Ownership of Direct or Indirect Investment (%)	Investment Gain (Loss) (Note 1)	Carrying Amount at the End of Year (Note 1)	Accumulated Repatriation of Investment Income at the End of Year
					Outward	Inward
Data Image (Suzhou) Corporation	Manufacturing, processing, and sale of LCD touch modules and LCD modules	$ 534,081 (USD 16,300 thousand)	An investee in Mainland China through investment in the establishment of Data Image (MAURITIUS) Corporation in a third region	$ 511,884 (USD 15,654 thousand)	$ -	$ -	$ 511,884 (USD 15,654 thousand)	$ 39,881 (RMB 9,522 thousand)	100%	$ 39,881 (RMB 9,522 thousand)	$ 549,772 (RMB 122,302 thousand)	$ -
Suzhou Diva Lab. Inc.	Medical equipment wholesale, import and export business	$ 52,643 (USD 1,725 thousand)	Diva Capital Inc., a 100% owned third region subsidiary, reinvested in a third region company Diva Holding Inc., and reinvested in a mainland China company	$ 52,643 (USD 1,725 thousand)	-	-	$ 52,643 (USD 1,725 thousand)	$ 490 (RMB 111 thousand)	100%	$ 490 (RMB 111 thousand)	$ 9,586 (RMB 2,132 thousand)	-
Investor	Accumulated Outward Remittance for Investments in Mainland China at the end of the year	Investment Amount Authorized by the Investment Commission, MOEA	Upper Limit on the Amount of Investments Stipulated by the Investment Commission, MOEA
---	---	---	---
The Company	USD 15,654 thousand	USD 16,952 thousand	$ 1,540,986 (Note 2)
DIVA Laboratories, Ltd.	USD 1,725 thousand	USD 2,000 thousand (Note 3)	$ 617,497 (Note 4)

Note 1: It was recognized based on the financial statements reviewed by the parent company's CPAs in Taiwan for the same period.
Note 2: The calculation is based on the limit of 60% of the net worth, according to related regulations from the Investment Commission, MOEA.
Note 3: As of December 31, 2025, DIVA Laboratories, Ltd. had remitted an accumulated investment amount of US$1,725 thousand from Taiwan and an unexecuted investment amount of US$275 thousand.
Note 4: The calculation is based on a limit of 60% of the consolidated net value of DIVA Laboratories, Ltd., according to related regulations from the Investment Commission, MOEA.
Note 5: The investment gain or loss between investees, the long-term equity investment of the investees, and the net worth of the equity of the investees were fully written off when the consolidated financial statements were prepared.

Data Image Corporation and Its Subsidiaries

Significant Transactions with Investee Companies in Mainland China, Either Directly or Indirectly through a Third Party, and Their Prices, Payment Terms, and Unrealized Gains or Losses

For the Year Ended December 31, 2025

(In Thousands of New Taiwan Dollars)

Table 7

Investee Company	Transaction type	Purchases/sale		Price	Transaction Details		Notes/Accounts Receivable (Payable)		Unrealized (Gain) Loss	Note
		Amount	%		Payment Terms	Comparison with Normal Transaction	Ending Balance	%
Data Image (Suzhou) Corporation	Sales	$ 9,805	-	Proceed in accordance with the agreed-upon price	To be determined subject to the capital status	To be determined subject to the capital status	$ -	-	$ -	-
Data Image (Suzhou) Corporation	Processing fee	1,046,706	96%	Made at the general purchase price	To be determined subject to the capital status	To be determined subject to the capital status	(355,084)	61%	-	(Note 1)

Note 1: The Company sells raw materials and semi-finished goods to Data Image (Suzhou) Corporation, and then it processes, the Company purchases partial finished goods and semi-finished goods from it to sell to customers. Due to the processing trade, the related sales income and cost are expressed at a net amount. In addition, after offsetting the relevant accounts receivable and payable, collection and payment will be made based on its capital status and the balance after offsetting accounts receivable and payable on December 31, 2025.

Note 2: Transactions between Group have been fully written off when preparing the consolidated financial statements.

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DATA IMAGE — Annual Report 2026

52303_rns_2026-04-30_a5792c3a-942e-44e0-a804-bc4c40fc5edc.pdf

Data Image Corporation and Subsidiaries

DECLARATION OF CONSOLIDATION OF FINANCIAL STATEMENTS OF AFFILIATES

Occurrence of operating revenue

Corresponding audit procedures

Other matters

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Auditors' Responsibilities for the Audit of the Consolidated Financial Statements

Notice to Readers

Data Image Corporation and Its Subsidiaries

Consolidated Statements of Cash Flows

4. Summary of material accounting policy information

2) Retirement benefits

r. Share-based payment arrangements

s. Taxation

1) Current tax

2) Deferred tax

9. Financial assets at amortized cost

10. Accounts receivable and other receivables

12. Subsidiaries

13. Investment accounted for using the equity method

15. Lease arrangements

16. Goodwill

17. Intangible assets

18. Other assets

19. Borrowings

20. Notes payable and accounts payable

21. Other payables

22. Retirement benefit plans

23. Equity

26. Income tax

e. Deferred tax assets and liabilities

27. Earnings per share

28. Share-based payment arrangements

29. Equity transactions with non-controlling interests

30. Capital management

31. Financial instruments

Sensitivity analysis

2) Credit risk

3) Liquidity risk

Liquidity and interest rate risk tables for non-derivative financial liabilities

32. Related party transactions

33. Pledged assets

34. Significant assets and liabilities denominated in foreign currencies

35. Separately disclosed items

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DATA IMAGE Annual Report 2026