DELTA — Interim / Quarterly Report 2021

Dec 23, 2021

DELTA ELECTRONICS, INC. AND SUBSIDIARIES

CONSOLIDATED FINANCIAL STATEMENTS AND INDEPENDENT AUDITORS’ REVIEW REPORT JUNE 30, 2021 AND 2020

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For the convenience of readers and for information purpose only, the auditors’ report and the accompanying financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. In the event of any discrepancy between the English version and the original Chinese version or any differences in the interpretation of the two versions, the Chinese-language auditors’ report and financial statements shall prevail.

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REPORT ON REVIEW OF INTERIM FINANCIAL INFORMATION

To the Board of Directors and Shareholders of Delta Electronics, Inc.

Introduction

We have reviewed the accompanying consolidated balance sheets of Delta Electronics, Inc. and its subsidiaries (the “Group”) as at June 30, 2021 and 2020, and the related consolidated statements of comprehensive income for the three months and six months then ended, as well as the related consolidated statements of changes in equity and of cash flows for the six months then ended, and notes to the consolidated financial statements, including a summary of significant accounting policies. 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 Accounting Standard (IAS) No. 34, “Interim Financial Reporting” as endorsed by the Financial Supervisory Commission (FSC). Our responsibility is to express a conclusion on these interim financial statements based on our reviews and the review reports of other independent auditors.

Scope of review

Except as explained in the Basis for Qualified Conclusion, we conducted our reviews in accordance with the Statement of Auditing Standards No. 65, “Review of Financial Statements”. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

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Basis for Qualified Conclusion

As explained in Notes 4(3)B and 6(8), the financial statements of certain insignificant consolidated subsidiaries and investments accounted for under the equity method were not reviewed by independent auditors. Those statements reflect total assets of NT$18,127,683 thousand and NT$16,611,572 thousand, constituting 5.17% and 5.19% of the consolidated total assets, and total liabilities of NT$5,889,623 thousand and NT$6,779,152 thousand, constituting 3.35% and 4.39% of the consolidated total liabilities as at June 30, 2021 and 2020, respectively, and total comprehensive loss of (NT$65,542) thousand and (NT$71,990) thousand, constituting (1.68%) and (1.09%) of the consolidated total comprehensive income (loss) for the three months then ended, respectively, and total comprehensive loss of (NT$317,496) thousand and (NT$205,250) thousand, constituting (2.53%) and (4.11%) of the consolidated total comprehensive income (loss) for the six months then ended, respectively.

Qualified Conclusion

Based on our reviews and the review reports of other independent auditors as described in the Other Matter–Review Reports By Other Independent Auditors section of our report, except for the possible effects of the matter described in the Basis for Qualified Conclusion section of our report, nothing has come to our attention that causes us to believe that the accompanying interim financial statements do not present fairly, in all material respects, the consolidated financial position of the Group as at June 30, 2021 and 2020, and of its consolidated financial performance for the three months and six months then ended and its consolidated cash flows for the six months then ended in accordance with the “Rules Governing the Preparation of Financial Reports by Securities Issuers” and IAS No. 34, “Interim Financial Reporting” as endorsed by the FSC.

– Other Matter Review Reports By Other Independent Auditors

We did not review the financial statements of certain subsidiaries which were reviewed by other auditors. Total assets of the subsidiaries amounted to NT$52,950,810 thousand and NT$50,519,478 thousand, constituting 15.09% and 15.78% of the consolidated total assets as at June 30, 2021 and 2020, respectively, and total operating revenues amounted to NT$16,319,417 thousand and NT$12,590,958 thousand, constituting 20.72% and 17.81% of consolidated total operating revenues for the three months then ended, respectively, and total operating revenues amounted to NT$31,794,537 thousand and NT$24,537,427 thousand, constituting 21.02% and 19.42% of consolidated total operating revenues for the six months then ended, respectively.

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The consolidated financial statements of Delta Electronics, Inc. and subsidiaries as at and for the six months ended June 30, 2021 expressed in US dollars are presented solely for the convenience of the reader and were translated from the financial statements expressed in New Taiwan dollars using the exchange rate of $27.86 to US$1.00 at June 30, 2021. This basis of translation is not in accordance with International Financial Reporting Standards, International Accounting Standards, and relevant interpretations and interpretative bulletins that are ratified by the FSC.

Lin, Yu-Kuan Chou, Chien-Hung

for and on behalf of PricewaterhouseCoopers, Taiwan

July 29, 2021

----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------The accompanying consolidated financial statements are not intended to present the financial position and results of operations and cash flows in accordance with accounting principles generally accepted in countries and jurisdictions other than the Republic of China. The standards, procedures and practices in the Republic of China governing the review of such financial statements may differ from those generally accepted in countries and jurisdictions other than the Republic of China. Accordingly, the accompanying consolidated financial statements and review report of independent accountants are not intended for use by those who are not informed about the accounting principles or auditing standards generally accepted in the Republic of China, and their applications in practice. As the financial statements are the responsibility of the management, PricewaterhouseCoopers cannot accept any liability for the use of, or reliance on, the English translation or for any errors or misunderstandings that may derive from the translation.

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DELTA ELECTRONICS, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS

JUNE 30, 2021, DECEMBER 31, 2020 AND JUNE 30, 2020 (EXPRESSED IN THOUSANDS OF DOLLARS)

(THE BALANCE SHEETS AS OF JUNE 30, 2021 AND 2020 ARE UNAUDITED)

Assets	Notes 6(1) 6(2) 6(3) 6(20) 6(5) 6(5) 7 7 6(7) 6(8) 8 6(2) 6(3) 6(20) 6(8) 6(9) and 8 6(10) 6(11) 6(5)(12) and 8	US Dollars June 30,2021 $ 2,063,285 37,405 - 105,258 124,355 2,153,174 1,056 61,732 9,700 15,926 2,015,455 96,660 25,851 18,621 6,728,478 111,623 64,364 14,135 2,340 2,621,149 105,503 505 2,643,268 224,862 79,578 5,867,327 $ 12,595,805		New Taiwan Dollars	June 30, 2020 $ 49,289,984 1,015,400 111,475 1,399,771 2,969,244 54,049,793 31,700 1,531,246 116 357,018 43,909,300 2,443,527 - 1,016,858 158,125,432 2,048,271 1,464,309 251,744 832,608 65,427,828 3,061,471 14,070 80,365,000 6,564,510 2,091,564 162,121,375 $ 320,246,807
			June 30,2021 $ 57,483,109 1,042,097 - 2,932,483 3,464,533 59,987,429 29,415 1,719,891 270,242 443,700 56,150,566 2,692,937 720,196 518,812 187,455,410 3,109,829 1,793,192 393,792 65,206 73,025,221 2,939,311 14,070 73,641,438 6,264,649 2,217,016 163,463,724 $ 350,919,134	December 31, 2020 $ 58,711,985 1,061,343 - 2,170,634 3,733,595 59,177,433 42,284 1,803,299 199 364,666 44,889,429 2,171,217 - 760,771 174,886,855 2,942,196 1,927,683 526,766 785,002 68,441,975 3,020,746 14,070 75,459,630 6,471,705 1,939,587 161,529,360 $ 336,416,215
Current assets Cash and cash equivalents Financial assets at fair value through profit or loss - current Financial assets at fair value through other comprehensive income - current Contract assets - current Notes receivable, net Accounts receivable, net Accounts receivable - related parties Other receivables Other receivables - related parties Current income tax assets Inventories Prepayments Non-current assets held for sale Other current assets Total current assets Non-current assets Financial assets at fair value through profit or loss - non-current Financial assets at fair value through other comprehensive income - non-current Contract assets - non-current Investments accounted for under the equity method Property, plant and equipment Right-of-use assets Investment property, net Intangible assets Deferred income tax assets Other non-current assets Total non-current assets Total assets

(Continued)

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DELTA ELECTRONICS, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS

JUNE 30, 2021, DECEMBER 31, 2020 AND JUNE 30, 2020 (EXPRESSED IN THOUSANDS OF DOLLARS)

(THE BALANCE SHEETS AS OF JUNE 30, 2021 AND 2020 ARE UNAUDITED)

Liabilities and Equity

US Dollars New Taiwan Dollars Notes June 30,2021 June 30,2021 December 31,2020 June 30,2020 6(13) $ 56,097 $ 1,562,853 $ 2,001,532 $ 3,986,871 6(2) 4,766 132,770 60,060 16,431 6(20) 204,654 5,701,674 5,012,589 3,289,913 103 2,860 2,770 12,602 1,882,911 52,457,907 46,687,510 44,878,563 7 484 13,471 29,641 8,038 6(14) 1,678,331 46,758,294 32,884,221 41,000,559 102,898 2,866,736 3,085,472 2,569,870 6(15) 157,744 4,394,786 4,259,706 4,233,316 4,087,988 113,891,351 94,023,501 99,996,163 6(15) 1,322,813 36,853,575 39,313,990 31,321,204 581,918 16,212,223 15,450,119 14,549,979 48,898 1,362,311 1,411,312 1,399,424 264,438 7,367,247 7,627,652 7,160,945 2,218,067 61,795,356 63,803,073 54,431,552 6,306,055 175,686,707 157,826,574 154,427,715 6(17) 932,356 25,975,433 25,975,433 25,975,433 6(18) 1,762,244 49,096,130 49,202,505 49,432,580 6(19) 1,065,964 29,697,752 27,342,534 27,342,534 450,223 12,543,208 7,622,034 7,622,034 1,470,608 40,971,132 48,300,040 32,921,747 ( 514,210) ( 14,325,868) ( 12,543,208) ( 10,245,766) 5,167,185 143,957,787 145,899,338 133,048,562 4(3) 1,122,565 31,274,640 32,690,303 32,770,530 6,289,750 175,232,427 178,589,641 165,819,092 9 $ 12,595,805 $ 350,919,134 $ 336,416,215 $ 320,246,807

Current liabilities Short-term borrowings Financial liabilities at fair value through profit or loss - current Contract liabilities - current Notes payable Accounts payable Accounts payable - related parties Other payables Current income tax liabilities Other current liabilities Total current liabilities Non-current liabilities Long-term borrowings Deferred income tax liabilities Lease liabilities - non-current Other non-current liabilities Total non-current liabilities Total liabilities Equity Share capital Common stock Capital surplus Capital surplus Retained earnings Legal reserve Special reserve Unappropriated retained earnings Other equity interest Other equity interest Equity attributable to owners of the parent Non-controlling interest Total equity Significant contingent liabilities and unrecorded contract commitments Total liabilities and equity

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

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DELTA ELECTRONICS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME SIX MONTHS ENDED JUNE 30, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF DOLLARS, EXCEPT EARNINGS PER SHARE DATA) (UNAUDITED)

Items Operating revenue Operating costs Gross profit Operating expenses Selling expenses General and administrative expenses Research and development expenses Expected credit impairment gain (loss) Total operating expenses Operating profit Non-operating income and expenses Interest income Other income Other gains and losses Finance costs Share of profit (loss) of associates and joint ventures accounted for under the equity method Total non-operating income and expenses Profit before income tax Income tax expense Profit for the period

US Dollars New Taiwan Dollars Six months ended June 30,2021 Three months ended June 30, Six months ended June 30, Notes 2021 2020 2021 2020 6(20) and 7 $ 5,429,116 $ 78,769,884 $ 70,694,451 $ 151,255,167 $ 126,372,792 6(7)(25)(26) and 7 ( 3,803,592) ( 55,090,019) ( 47,460,143) ( 105,968,081) ( 88,394,757) 1,625,524 23,679,865 23,234,308 45,287,086 37,978,035 6(25)(26) ( 346,502 ) ( 4,945,198) ( 4,568,602 ) ( 9,653,538) ( 8,986,770 ) ( 217,617 ) ( 3,072,047) ( 2,913,104 ) ( 6,062,815) ( 5,656,565 ) ( 482,276 ) ( 6,970,466) ( 6,486,658 ) ( 13,436,216) ( 12,013,516 ) 12(2) 5,281 88,281 ( 540) 147,142 ( 76,290) ( 1,041,114) ( 14,899,430) ( 13,968,904) ( 29,005,427) ( 26,733,141) 584,410 8,780,435 9,265,404 16,281,659 11,244,894 6(21) 8,325 114,538 145,452 231,943 308,497 6(22) 53,853 776,635 792,029 1,500,355 1,811,878 6(23) 36,830 466,580 116,661 1,026,078 ( 70,365 ) 6(24) ( 5,121 ) ( 73,477) ( 98,001 ) ( 142,683) ( 210,826 ) 6(8) ( 77) 16,261 ( 27,325) ( 2,133) ( 53,342) 93,810 1,300,537 928,816 2,613,560 1,785,842 678,220 10,080,972 10,194,220 18,895,219 13,030,736 6(27) ( 135,981) ( 2,017,495) ( 2,072,959) ( 3,788,447) ( 2,681,406) $ 542,239 $ 8,063,477 $ 8,121,261 $ 15,106,772 $ 10,349,330

(Continued)

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DELTA ELECTRONICS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME SIX MONTHS ENDED JUNE 30, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF DOLLARS, EXCEPT EARNINGS PER SHARE DATA)

(UNAUDITED)

Items	Notes 6(3) 6(27) 6(28) 6(28)	US Dollars New Taiwan Dollars Six months ended June 30, 2021 Three months ended June 30, Six months ended June 30, 2021 2020 2021 2020 $ 2,300 17,567 $ 6,526 $ 64,089 $ 20,370 ( 4,686 ) ( 163,932) 260,359 ( 130,567) ( 202,159 ) ( 2,386 ) ( 146,365) 266,885 ( 66,478) ( 181,789 ) ( 92,406 ) ( 4,214,539 ) ( 2,001,806 ) ( 2,574,438 ) ( 5,474,608 ) ( 28 ) ( 745 ) 12,279 ( 782 ) ( 22,074 ) 5 187 25 144 ( 178 ) 3,546 196,945 204,474 98,796 327,885 ( 88,883 ) ( 4,018,152) ( 1,785,028 ) ( 2,476,280) ( 5,168,975 ) ($ 91,269 ) ($ 4,164,517) ($ 1,518,143 ) ($ 2,542,758) ($ 5,350,764 ) $ 450,970 $ 3,898,960 $ 6,603,118 $ 12,564,014 $ 4,998,566 $ 508,610 $ 7,589,583 $ 7,597,454 $ 14,169,883 $ 9,664,753 $ 33,629 $ 473,894 $ 523,807 $ 936,889 $ 684,577 $ 446,924 $ 4,390,832 $ 6,320,332 $ 12,451,312 $ 5,550,153 $ 4,046 ($ 491,872) $ 282,786 $ 112,702 ($ 551,587 ) $ 0.20 $ 2.92 $ 2.92 $ 5.46 $ 3.72 $ 0.20 $ 2.92 $ 2.92 $ 5.44 $ 3.71
Other comprehensive income (loss) Components of other comprehensive income (loss) that will not be reclassified to profit or loss Gain on remeasurements of defined benefit plans Unrealised (loss) gain on valuation of equity investment at fair value through other comprehensive income Other comprehensive (loss) income that will not be reclassified to profit or loss Components of other comprehensive income (loss) that will be reclassified to profit or loss Financial statements translation differences of foreign operations (Loss) gain on hedging instrument Share of other comprehensive income (loss) of associates and joint ventures accounted for under the equity method that will be reclassified to profit or loss Income tax relating to the components of other comprehensive income that will be reclassified to profit or loss Other comprehensive loss that will be reclassified to profit or loss Other comprehensive loss for the period Total comprehensive income for the period Profit attributable to: Owners of the parent Non-controlling interest Comprehensive income (loss) attributable to: Owners of the parent Non-controlling interest Basic earnings per share (in dollars) Basic earnings per share Diluted earnings per share (in dollars) Diluted earnings per share

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

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DELTA ELECTRONICS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY SIX MONTHS ENDED JUNE 30, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF DOLLARS)

(UNAUDITED)

Items	Notes				Equityattributable to	Equityattributable to	owners of theparent	owners of theparent
		Share capital - common stock Capital surplus $ 25,975,433 $ 49,103,331 - - - - - - - - - - - - - 329,249 - - - - $ 25,975,433 $ 49,432,580 25,975,433 $ 49,202,505 - - - - - - - - - - - - - ( 109,051) - 2,676 - - $ 25,975,433 $ 49,096,130	Capital surplus			Retained Earnings			Othe	r EquityInterest
					Legal reserve $ 25,030,754 - - - 2,311,780 - - - - - $ 27,342,534 $ 27,342,534 - - - 2,355,218 - - - - - $ 29,697,752
2020 New Taiwan Dollars Balance at January 1, 2020 Profit for the period Other comprehensive income (loss) for the period Total comprehensive income (loss) for the period Distribution of 2019 earnings Legal reserve appropriated Special reserve appropriated Cash dividends of ordinary share Changes in ownership interests in subsidiaries Changes in non-controlling interests Disposal of equity investments at fair value through other comprehensive income Balance at June 30, 2020 2021 New Taiwan Dollars Balance at January 1, 2021 Profit for the period Other comprehensive income (loss) for the period Total comprehensive income (loss) for the period Distribution of 2020 earnings Legal reserve appropriated Special reserve appropriated Cash dividends of ordinary share Changes in ownership interests in subsidiaries Difference between consideration and carrying amount of subsidiaries acquired or disposed Changes in non-controlling interests Balance at June 30, 2021	6(19) 6(3) 6(19)		$ 49,103,331
			- -
			-
			- - - 329,249 - -
			$ 49,432,580
			$ 49,202,505
			- -
			-

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

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DELTA ELECTRONICS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY SIX MONTHS ENDED JUNE 30, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF DOLLARS)

(UNAUDITED)

Items	Notes					Equityattributable to	Equityattributable to	Equityattributable to	o	wners of theparent	wners of theparent
		Share capital - common stock $ 932,356 - - - - - - - - - $ 932,356	Capital surplus $ 1,766,063 - - - - - - ( 3,914) 95 - $ 1,762,244				R	etained Earnings				Othe	r EquityInterest
					Legal reserve $ 981,426 - - - 84,538 - - - - - $ 1,065,964
2021 US Dollars Balance at January 1, 2021 Profit for the period Other comprehensive income (loss) for the period Total comprehensive income (loss) for the period Distribution of 2020 earnings Legal reserve appropriated Special reserve appropriated Cash dividends of ordinary share Changes in ownership interests in subsidiaries Difference between consideration and carrying amount of subsidiaries acquired or disposed Changes in non-controlling interests Balance at June 30, 2021	6(19)

The accompanying notes are an integral part of these consolidated financial statements. ~10~

DELTA ELECTRONICS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS SIX MONTHS ENDED JUNE 30, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF DOLLARS)

(UNAUDITED)

				USDollars		NewTaiwan Dollars	NewTaiwan Dollars
			Six months ended			Six months ended	June	30,
	Notes			June30,2021		2021	2020
CASH FLOWS FROM OPERATING ACTIVITIES
Consolidated profit before tax for the period			$	678,220	$	18,895,219 $	13,030,736
Adjustments
Income and expenses having no effect on cash flows
Depreciation	6(9)(10)
	(25)			234,810		6,541,803	5,855,357
Amortization	6(11)(25)			65,828		1,833,978	1,942,458
Expected credit impairment (gain) loss	12(2)	(		5,281)	(	147,142 )		76,290
Net (gain) loss on financial assets or liabilities at fair	6(2)(23)
value through profit or loss		(		7,343)	(	204,573 )		40,796
Interest expense	6(24)			5,121		142,683		210,826
Interest income	6(21)	(		8,325)	(	231,943 ) (		308,497)
Dividend income	6(22)	(		4,069)	(	113,365 ) (		32,884)
Share-based payments	6(29)			-		-		9,949
Share of loss of associates accounted for under the	6(8)
equity method				77		2,133		53,342
Loss on disposal of property, plant and equipment	6(23)			439		12,236		32,342
(Gain) loss on disposal of investments	6(23)	(		3,234)	(	90,109 )		77,445
Changes in assets/liabilities relating to operating
activities
Net changes in assets relating to operating activities
Financial assets mandatorily measured at fair value
through profit or loss				8,680		241,816		112,123
Contract assets		(		22,573)	(	628,875 ) (		259,688)
Notes receivable				9,658		269,062		847,384
Accounts receivable		(		23,036)	(	641,793 ) (		937,808)
Accounts receivable - related parties				462		12,869		231,944
Other receivables				3,072		85,614 (		80,857)
Other receivables - related parties				7		199		416
Inventories		(		408,154)	(	11,371,166 ) (	4,413,041)
Prepayments		(		19,158)	(	533,734 ) (		42,793)
Other current assets				747		20,800		65,375
Other non-current assets				699		19,464 (		41,922)
Net changes in liabilities relating to operating
activities
Contract liabilities				24,734		689,085 (		62,295)
Notes payable				13		374 (		9,067)
Accounts payable				208,466		5,807,868 (	4,904,086)
Accounts payable - related parties		(		598)	(	16,667 ) (		24,159)
Other payables		(		15,361)	(	427,923 ) (		931,358)
Other current liabilities				6,096		169,825 (		25,190)
Other non-current liabilities		(		11,647)	(	324,494 ) (		641,871)
Cash inflow generated from operations				718,350		20,013,244	19,679,439
Interest received				8,401		234,021		340,337
Dividends received				3,915		109,081		30,280
Interest paid		(		5,082)	(	141,577 ) (		204,077)
Income taxes paid		(		110,140)	(	3,068,498 ) (	1,415,864)
Net cash flows from operating activities				615,444		17,146,271	18,430,115

(Continued)

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DELTA ELECTRONICS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS SIX MONTHS ENDED JUNE 30, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF DOLLARS)

(UNAUDITED)

CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of financial assets mandatorily measured at fair value through profit or loss Proceeds from disposal of financial assets at fair value through other comprehensive income Proceeds from capital withdrawal from financial asset at fair value through profit or loss Proceeds from disposal of investments accounted for under the equity method Net cash flow from acquisition of subsidiaries (net of cash acquired) Proceeds from disposal of subsidiaries (net of cash disposed) Increase in prepayment of long-term investment Acquisition of property, plant and equipment Proceeds from disposal of property, plant and equipment Acquisition of intangible assets Decrease (increase) in other financial assets (Increase) decrease in other non-current assets Net cash flows used in investing activities CASH FLOWS FROM FINANCING ACTIVITIES Decrease in short-term borrowings Proceeds from long-term debt Repayment of long-term debt Lease principal repayment Cash dividends paid to minority share interests Acquisition of ownership interests in subsidiaries Net cash flows from financing activities Effects due to changes in exchange rate (Decrease) increase in cash and cash equivalents Cash and cash equivalents at beginning of period Cash and cash equivalents at end of period

US Dollars New Taiwan Dollars Six months ended Six months ended June 30, Notes June 30, 2021 2021 2020 ( $ 7,076) ($ 197,148 ) $ - 6(3) - - 335,743 1,135 31,626 12 - - 7,240 6(30) ( 324) ( 9,015 ) ( 220,624) 6(31) ( 51) ( 1,434 ) - ( 1,003) ( 27,953 ) - 6(9) ( 424,135) ( 11,816,394 ) ( 8,774,047) 7,355 204,921 52,143 6(11) ( 22,173) ( 617,732 ) ( 278,088) 8,436 235,027 ( 615,336) ( 11,272)( 314,033) 152,437 ( 449,108)( 12,512,135)( 9,340,520) 6(32) ( 15,746) ( 438,679 ) ( 3,589,061) 6(32) 628,091 17,498,608 4,802,270 6(32) ( 716,476) ( 19,961,005 ) ( 1,237,728) ( 8,575) ( 238,902 ) ( 266,583) ( 48,961) ( 1,364,066 ) ( 767,376) ( 2,196)( 61,183) - ( 163,863)( 4,565,227)( 1,058,478) ( 46,582)( 1,297,785)( 2,701,134) ( 44,109) ( 1,228,876 ) 5,329,983 2,107,394 58,711,985 43,960,001 $ 2,063,285 $ 57,483,109 $ 49,289,984

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

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DELTA ELECTRONICS, INC. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS SIX MONTHS ENDED JUNE 30, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS, EXCEPT AS OTHERWISE INDICATED) (UNAUDITED)

1. HISTORY AND ORGANIZATION

Delta Electronics, Inc. (the Company) was incorporated as a company limited by shares under the provisions of the Company Law of the Republic of China (R.O.C.). The Company and its subsidiaries (collectively referred herein as the Group) are global leaders in power and thermal management solutions and are primarily engaged in the research and development, design, manufacturing and sale of electronic control systems, DC brushless fans, thermal system, and miniaturization key component, industrial automation products, digital display products, communication products, consumer electronics products, energy-saving lighting application, renewable energy applications, EV charging, energy technology services and consulting services of building management and control solutions, etc. The Group’s mission statement, to provide innovative, clean and energy-efficient solutions for a better tomorrow, focuses on addressing key environmental issues such as global climate change. With the concern for the environment, the Group continues to develop innovative energy-efficient products and solutions. In recent years, the Group has transformed from a product provider towards a solution provider and the Group’s business is segregated into power electronics business, automation business, and infrastructure business.

2. THE DATE OF AUTHORIZATION FOR ISSUANCE OF THE CONSOLIDATED FINANCIAL STATEMENTS AND PROCEDURES FOR AUTHORIZATION

These consolidated financial statements were reported to the Board of Directors on July 29, 2021.

3. APPLICATION OF NEW STANDARDS, AMENDMENTS AND INTERPRETATIONS

• (1) Effect of the adoption of new issuances of or amendments to International Financial Reporting Standards (“IFRS”) as endorsed by the Financial Supervisory Commission (“FSC”)

New standards, interpretations and amendments endorsed by the FSC effective from 2021 are as follows:

follows:
New Standards,InterpretationsandAmendments	Effective date by International Accounting StandardsBoard
Amendments to IFRS 4, ‘Extension of the temporary exemption from applying IFRS 9’ Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16, ‘Interest Rate Benchmark Reform— Phase 2’ Amendments to IFRS 16, ‘Covid-19-related Rent concessions beyond	January 1, 2021 January 1, 2021 April 1, 2021 (Note)

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Note: Earlier application from January 1, 2021 is allowed by the FSC.

The above standards and interpretations have no significant impact to the Group’s financial condition and financial performance based on the Group’s assessment.

(2) Effect of new issuances of or amendments to IFRSs as endorsed by the FSC but not yet adopted by the Group

None.

(3) Effect of IFRSs issued by IASB but not yet endorsed by the FSC

New standards, interpretations and amendments issued by IASB but not yet included in the IFRSs as endorsed by the FSC are as follows:

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Effective date by
International Accounting
New Standards, Interpretations and Amendments Standards Board
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New Standards, Interpretations and Amendments	Effective date by International Accounting StandardsBoard
Amendments to IFRS 3, ‘Reference to the conceptual framework’	January 1, 2022
Amendments to IFRS 10 and IAS 28, ‘Sale or contribution of assets	To be determined by
between an investor and its associate or joint venture’	International Accounting
	Standards Board
IFRS 17, ‘Insurance contracts’	January 1, 2023
Amendments to IFRS 17, ‘Insurance contracts’	January 1, 2023
Amendments to IAS 1, ‘Classification of liabilities as current or	January 1, 2023
non-current’
Amendments to IAS 1, ‘Disclosure of accounting policies’	January 1, 2023
Amendments to IAS 8, ‘Definition of accounting estimates’	January 1, 2023
Amendments to IAS 12, ‘Deferred tax related to assets and liabilities	January 1, 2023
arising from a single transaction’
Amendments to IAS 16, ‘Property, plant and equipment: proceeds	January 1, 2022
before intended use’
Amendments to IAS 37, ‘Onerous contracts-cost of fulfilling a	January 1, 2022
contract’
Annual improvements to IFRS Standards 2018-2020	January 1, 2022

The above standards and interpretations have no significant impact to the Group’s financial condition and financial performance based on the Group’s assessment.

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The principal accounting policies adopted are consistent with Note 4 in the consolidated financial statements for the year ended December 31, 2020, except for the compliance statement, basis of preparation, basis of consolidation and additional policies as set out below. These policies have been consistently applied to all the periods presented, unless otherwise stated.

(1) Compliance statement

• A. The consolidated financial statements of the Group have been prepared in accordance with the

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Regulations Governing the Preparation of Financial Reports by Securities Issuers and the International Accounting Standards 34, “Interim financial reporting” as endorsed by the FSC.

• B. These consolidated financial statements should be read along with the consolidated financial statements for the year ended December 31, 2020.

(2) Basis of preparation

• A. Except for the following items, the consolidated financial statements have been prepared under the historical cost convention:

• (a) Financial assets and financial liabilities (including derivative instruments) at fair value through profit or loss.

• (b) Financial assets at fair value through other comprehensive income.

• (c) Defined benefit liabilities recognised based on the net amount of pension fund assets less present value of defined benefit obligation.

• B. The preparation of financial statements in conformity with International Financial Reporting Standards, International Accounting Standards, IFRIC Interpretations, and SIC Interpretations as endorsed by the FSC (collectively referred herein as the “IFRSs”) requires the use of certain critical accounting estimates. It also requires management to exercise its judgment in the process of applying the Group’s accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements are disclosed in Note 5.

(3) Basis of consolidation

• A. Basis for preparation of consolidated financial statements:

• (a) All subsidiaries are included in the Group’s consolidated financial statements. Subsidiaries are all entities (including structured entities) controlled by the Group. The Group controls an entity when the Group is exposed, or has rights, to variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. Consolidation of subsidiaries begins from the date the Group obtains control of the subsidiaries and ceases when the Group loses control of the subsidiaries.

• (b) Inter-company transactions, balances and unrealised gains or losses on transactions between companies within the Group are eliminated. Accounting policies of subsidiaries are consistent with the policies adopted by the Group.

• (c) Profit or loss and each component of other comprehensive income are attributed to the owners of the parent and to the non-controlling interests. Total comprehensive income is attributed to the owners of the parent and to the non-controlling interests even if this results in the noncontrolling interests having a deficit balance.

• (d) Changes in a parent’s ownership interest in a subsidiary that do not result in the parent losing control of the subsidiary (transactions with non-controlling interests) are accounted for as equity transactions, i.e. transactions with owners in their capacity as owners. Any difference between the amount by which the non-controlling interests are adjusted and the fair value of

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the consideration paid or received is recognised directly in equity.

• (e) When the Group loses control of a subsidiary, the Group remeasures any investment retained in the former subsidiary at its fair value. That fair value is regarded as the fair value on initial recognition of a financial asset or the cost on initial recognition of the associate or joint venture. Any difference between fair value and carrying amount is recognised in profit or loss. All amounts previously recognised in other comprehensive income in relation to the subsidiary are reclassified to profit or loss, on the same basis as if the related assets or liabilities were disposed of. That is, when the Group loses control of a subsidiary, all gains or losses previously recognised in other comprehensive income in relation to the subsidiary should be reclassified from equity to profit or loss, if such gains or losses would be reclassified to profit or loss when the related assets or liabilities are disposed of.

B. Subsidiaries included in the consolidated financial statements:

No.	Name of Investor	Name of Subsidiary	Main Business Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
				June 30,2021	December 31,2020	June 30,2020
1 2 3 4 5 6 7	Delta Electronics, Inc. 〃 〃 Delta Electronics, Inc. and DIH Delta Electronics, Inc. 〃 〃	Delta International Holding Limited B.V. (DIH) Delta Networks Holding Limited (DNH) Delta Electronics (Netherlands) B.V. (DEN) PreOptix (Hong Kong) Co., Ltd. (PHK) Cyntec Co., Ltd. (Cyntec) DelBio Inc. (DelBio) Delta Electronics Capital Company (DECC)	Equity investments 〃 Sales of power products, display solution products, electronic components, industrial automation products and materials Equity investments Research, development, manufacturing and sales of film optic- electronics devices Manufacturing, wholesale and retail of medical equipment Equity investments	100 100 100 - 100 100 100	100 100 100 100 100 100 100	100 100 100 100 100 100 100	Note 31 Note 2 Note 3 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
8 9 10 11 12 13 14 15 16 17 18	Delta Electronics, Inc. 〃 Delta Electronics, Inc. and DEN DEN DIH 〃 DEN DGSG, Drake-HK and Boom DIH DEN DIH	Delta Electronics Int'l (Singapore) Pte. Ltd. (DEIL-SG) Sales of electronic products Allied Material Technology Corp. (AMT) Lease services, etc. Delta America Ltd. (DAL) Equity investments Delta Electronics (H.K.) Ltd. (DHK) Equity investments, operations management and engineering services DEI Logistics (USA) Corp. (ALI) Warehousing and logistics services Delta Electronics (Japan), Inc. (DEJ) Sales of power products, display solution products, electronic components, industrial automation products and materials Drake Investment (HK) Limited (Drake-HK) Equity investments Delta Greentech (China) Co., Ltd. (DGC) Sales of uninterruptible power systems and others Vivitek Corporation (Vivitek) Sales of projector products and their materials Delta Greentech SGP Pte. Ltd. (DGSG) Equity investments Delta Electronics Europe Ltd. (DEU) Repair centre and providing support services	100 99.97 100 100 100 100 100 95.91 - 100 100	100 99.97 100 100 100 100 100 95.91 100 100 100	100 99.97 100 100 100 100 100 95.91 100 100 100	Note 1 Note 2 Note 2 Note 4 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
19 20 21 22 23 24 25 26 27 28	DEN DIH 〃 〃 DHK 〃 〃 〃 〃 〃	Boom Treasure Limited (Boom) Equity investments Apex Investment (HK) Limited (Apex-HK) 〃 Galaxy Star Investment (HK) Limited (Galaxy Star- HK) 〃 Jade Investment (HK) Limited (Jade-HK) 〃 Delta Electronics (Dongguan) Co., Ltd. (DDG) Manufacturing and sales of transformer and thermal products Delta Electronics Power (Dongguan) Co., Ltd. (DEP) Manufacturing and sales of power supplies Delta Electronics (Shanghai) Co., Ltd. (DPEC) Product design, management consulting service and distribution of electronic products Delta Electronics (Jiangsu) Ltd. (DWJ) Manufacturing and sales of power supplies and transformers Delta Electronics Components (Wujiang) Ltd. (DWC) Manufacturing and sales of new-type electronic components, variable-frequency drive and others Delta Video Display System (Wujiang) Ltd. (DWV) Manufacturing and sales of various projectors	100 - 100 - 100 - 100 100 - -	100 100 100 100 100 100 100 100 100 100	100 100 100 100 100 100 100 100 100 100	Note 4 Note 32 Note 5 Note 28 Note 28 Note 6 Note 6 Note 6

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
29 30 31 32 33 34 35	DHK 〃 〃 DHK and DIH DHK 〃 DEJ	Delta Electronics (Wuhu) Co., Ltd. (DWH) Manufacturing and sales of LED light source, power supplies and others Delta Electronics (Chenzhou) Co., Ltd. (DCZ) Manufacturing and sales of transformers Cyntec Electronics (Wuhu) Co., Ltd. (CEWH) Research, development, manufacturing, processing and sales of new-type electronic components (chip components, sensing elements, hybrid integrated circuits) and molding as well as processing of semi-finished alloy steel powder; import and export of goods or technique Delta Electronics International Mexico S.A. DE C.V. (DEIL-MX) Sales of power management system of industrial automation product and telecommunications equipment Delta Green (Tianjin) Industries Co., Ltd. (DGT) Manufacturing and sales of transformers Delta Electronics (Pingtan) Co., Ltd. (Delta Pingtan) Wholesale and retail of electronic products and energy-saving equipment Addtron Technology (Japan), Inc. (AT Japan) Trading of networking system and peripherals	100 100 100 100 100 100 100	100 100 100 100 100 100 100	100 100 - 100 100 100 100	Note 1 Note 26 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
36 37 38 39 40 41 42 43 44	DEJ DCZ DPEC and DGC DNH DNI Cayman DNHK Cyntec Fairview Grandview	Delta Electronics (Korea), Inc. (Delta Korea) Sales of power products, display solution products electronic components, industrial automation products and their materials Chenzhou Delta Technology Co., Ltd. (CDT) Manufacturing and sales of transformers Delta Energy Technology (Shanghai) Co., Ltd. (DET-SH) Energy performance contracting, development of energy-saving technology, energy- saving equipment and energy management system as well as consulting service, installation, sales, etc. Delta Networks, Inc. (DNI Cayman) Equity investments Delta Networks (HK) Limited (DNHK) 〃 Delta Networks (Dongguan) Ltd. (DII) Manufacturing and sales of other radio- broadcast receivers and the equipment in relation to broadband access networking system Fairview Assets Ltd. (Fairview) Equity investments Grandview Holding Ltd. (Grandview) 〃 Cyntec Holding (HK) Limited. (CHK) 〃	100 100 100 100 100 100 100 100 100	100 100 100 100 100 100 100 100 100	100 100 100 100 100 100 100 100 100	Note 1 Note 2 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
45 46 47 48 49 50 51 52 53 54	Grandview CHK DelBio DIH 〃 〃 ELTEK AS 〃 Delta Energy Systems (Singapore) PTE. LTD. / ELTEK AS ELTEK AS	Cyntec International Ltd. (CIL-Labuan) Trading Cyntec Electronics (Suzhou) Co., Ltd. (CES) Research, development, manufacturing and sales of new-type electronic components (chip components, sensing elements, hybrid integrated circuits) and wholesale of similar products DelBio (Wujiang) Co., Ltd. Manufacturing, wholesale and retail of medical equipment ELTEK AS Research, development and sales of power supplies and others Delta Controls Inc. (DCI) Provide solutions to building management and control DELTA ELECTRONICS HOLDING (USA) INC. Equity investments ELTEK PAKISTAN (PRIVATE) LIMITED Sales of power supplies and others Eltek Deutschland GmbH Sales of power supplies and others and system installation Delta Electronics (Australia) Pty Ltd 〃 Eltek Egypt for Power Supply S.A.E. Sales of power supplies and others	100 100 100 100 100 100 100 100 100 95	100 100 100 100 100 100 100 100 100 95	100 100 100 100 100 100 100 100 100 95	Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 2 Note 7 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
55 56 57 58 59 60 61 62 63 64 65 66 67	ELTEK AS ELTEK AS and Eltek SGS Pvt Ltd. Delta Electronics (Poland) Sp. z o. o. / ELTEK AS ELTEK AS 〃 〃 ELTEK MEA DMCC and ELTEK AS 〃 ELTEK AS 〃 〃 Delta Solutions (Finland) Oy / ELTEK AS ELTEK AS	Eltek SGS Pvt Ltd. Sales of power supplies and others and system installation Eltek SGS Mechanics Pvt Ltd. Sales of power supplies and others Eltek Polska Sp. z o. o. (Eltek Polska) 〃 ELTEK POWER FRANCE SAS 〃 ELTEK LIMITED Equity investments and trading ELTEK MEA DMCC Sales of power supplies and others ELTEK KENYA LIMITED Sales of power supplies ELTEK WEST AFRICA LIMITED 〃 Eltek Italia S.r.l. Sales of power supplies and others Delta Electronics (Sweden) AB 〃 Eltek Power (UK) Ltd. 〃 Eltek Power Oy 〃 OOO Eltek Sales of power supplies and others and system installation	100 51 100 100 100 100 100 100 100 100 100 - 100	100 51 100 100 100 100 100 100 100 100 100 100 100	100 51 51.04 100 100 100 100 100 100 100 100 100 100	Note 1 Note 2 Note 1 Note 2 Note 2 Note 8 Note 9 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 10 Note 1 Note 2 Note 2 Note 11 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
68 69 70 71 72 73 74 75 76	ELTEK AS Eltek Deutschland GmbH DEIL-SG 〃 〃 〃 ELTEK LIMITED DHK DELTA ELECTRONICS HOLDING (USA) INC.	ELTEK ENERJI SISTEMLERI LIMITED SIRKETI Sales of power supplies and others Eltek Montage GmbH Installation and maintenance of power supplies ELTEK POWER INCORPORATED Sales of power supplies and others ELTEK POWER CO., LTD. 〃 ELTEK POWER (CAMBODIA) LTD. 〃 ELTEK POWER (MALAYSIA) SDN. BHD. 〃 ELTEK CVI LIMITED Equity investments Eltek Energy Technology (Dongguan) Ltd. Development, manufacturing and sales of intelligent power equipment and system for supporting access networking system, and manufacturing and sales of intelligent power equipment for supporting renewable energy DELTA ELECTRONICS (USA) INC. Manufacturing and sales of power supplies	- 100 100 100 100 100 - 100 100	- 100 100 100 100 100 - 100 100	100 100 100 100 100 100 100 100 100	Note 2 Note 12 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 13 Note 1 Note 2 Note 1 Note 2 Note 14 Note 2 Note 15 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
77 78 79 80 81 82 83 84 85 86 87	DELTA ELECTRONICS (USA) INC. DEN and DELTA ELECTRONICS (USA) INC. DELTA ELECTRONICS (USA) INC. 〃 DELTA ELECTRONICS (USA) INC. and DELTA ELECTRONICS HOLDING (USA) INC. 〃 DAL 〃 Delta Electronics (Americas) Ltd. Delta Solar Solutions LLC 〃	DELTA ELECTRONICS (ARGENTINA) S.R.L. Sales of power supplies and others Eltek Sistemas de Energia Industria e Commercio S.A. Manufacturing and sales of power supplies DELTA ELECTRONICS (PERU) INC. S.R.L. Sales of power supplies and others DELTA ELECTRONICS (COLOMBIA) S.A.S. 〃 Eltekenergy Services, S.A. de C.V. 〃 Eltekenergy International de México, S. de R.L. de C.V. 〃 Delta Electronics (Americas) Ltd. Sales of electronic components Delta Solar Solutions LLC Equity investments 2009 PPA LLC Sales of power supplies DSS-CI LLC Rental of solar power systems DSS-USF LLC 〃	100 100 100 100 100 100 100 100 - - 100	100 100 100 100 100 100 100 100 - 100 100	100 100 100 100 100 100 100 100 100 100 100	Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 2 Note 16 Note 2 Note 29 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
88 89 90 91 92 93 94 95	Cyntec DET-SH DEIL-SG Loy Tec DHK 〃 Delta Electronics, Inc. UNICOM	Power Forest Technology Corporation (Power Forest) IC design of power management Delta Energy Technology Puhuan (Shanghai) Co., Ltd. Energy technology, development and consulting of environmental technical skills, and design and sales of energy saving equipment Loy Tec electronics GmbH (Loy Tec) Consulting service of building management and control solutions LOYTEC Americas, Inc. 〃 Delta Electronics (Beijing) Co., Ltd. Installation of mechanic, electronic, telecommunication and circuit equipment Delta Electronics (Xi'an) Co., Ltd. Sales of computers, peripherals and software UNICOM SYSTEM ENG. CORP. (UNICOM) Design and sales of computers, peripherals and information system (software and hardware) Unicom (Nanjing) System Eng. Corp 〃	100 100 100 - 100 100 - -	100 100 100 - 100 100 - -	56.4 100 100 100 100 100 100 100	Note 1 Note 2 Note 17 Note 1 Note 2 Note 1 Note 2 Note 2 Note 15 Note 1 Note 2 Note 1 Note 2 Note 2 Note 18 Note 2 Note 19

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
96 97 98 99 100 101 102 103 104 105 106	DIH/Delta Greentech (Netherlands) B.V. and DIH DEN/DEN and Delta Greentech (Netherlands) B.V. DEN and Delta Electronics (USA) INC. DECH ″ ″ ″ ″ ELTEK POWER FRANCE SAS / DECH Delta Electronics (Sweden) AB/DECH Delta Electronics, Inc.	Delta Electronics (Switzerland) AG (DECH) Equity investments, research, development and sales of electronic products Delta Greentech Electronics Industry LLC Marketing and sales of electronic products Delta Greentech (Brasil) S.A. (DGB) Manufacturing and sales of electronic products Delta Electronics (Czech Republic), spol. s.r.o. Sales of electronic products Delta Electronics (Italy) S.r.l. ″ Delta Electronics (Poland) Sp. z o.o. ″ Delta Solutions (Finland) Oy ″ Delta Electronics Solutions (Spain) SL ″ Delta Electronics (France) SA ″ Delta Energy Systems (Sweden) AB ″ Vivotek Inc. (Vivotek) Manufacturing and sales of video compression software and encoding, network video server, webcam and its related components	100 100 100 100 100 100 100 100 - - 53.57	100 100 100 100 100 100 100 100 100 100 52.65	100 100 100 100 100 100 100 100 100 100 49.87	Note 20 Note 1 Note 2 Note 21 Note 1 Note 2 Note 4 Note 22 Note 23 Note 24

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
107 108 109 110 111 112 113 114 115 116 117 118	Vivotek and Realwin Vivotek ″ ″ ″ Vivotek Holdings, Inc. Realwin Vivotek Realwin 〃 〃 DEN	Vatics Inc. Designing and sales of multimedia integrated circuits Vivotek Holdings, Inc. Holding company Realwin Investment Inc. (Realwin) Investment in the network communications industry Vivotek Netherlands B.V. Sales service Vivotek (Japan) Inc. 〃 Vivotek USA, Inc. Sales of webcams and related components Wellstates Investment, LLC Investment and commercial lease of real estate Otus Imaging, Inc. Sales of webcams and related components Aetek Inc. 〃 Vivotek Middle East FZCO 〃 Lidlight Inc. Sales of lighting equipment DELTA ELECTRONICS BRASIL LTDA. Manufacturing and sales of electronic products	- 100 100 100 100 100 100 100 56.21 89.99 51 100	54.41 100 100 100 100 100 100 100 56.21 89.99 51 100	54.41 100 100 100 100 100 100 100 56.21 89.99 51 100	Note 27 Note 33 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
119 120 121 122 123 124 125 126 127	Delta Electronics, Inc., DEIL-SG and DIH DET 〃 〃 〃 DET and Delta Energy Systems (Singapore) PTE. LTD. DET International Holding Limited 〃 〃	Delta Electronics (Thailand) Public Company Limited (DET) Manufacturing and exporting power supplies, other electronic parts and components DET International Holding Limited Equity investments Delta Energy Systems (Singapore) PTE. LTD. Equity investments, trading, management and consultancy Delta Green Industrial (Thailand) Co., Ltd. Integration, sales, trading, installation and providing services of uninterruptible power supply, photovoltaic inverter, electric cars changer and data center Delta Electronics (Vietnam) Company Limited Sales of electronic products DELTA ELECTRONICS INDIA MANUFACTURING PRIVATE LIMITED Manufacturing and sales of electronic products DET Logistics (USA) Corporation Providing logistics services in USA Delta Energy Systems (Germany) GmbH Development, marketing and sales of electronic products Delta Energy Systems (India) Private Ltd. Marketing and sales of electronic products	63.78 100 100 100 100 100 100 100 100	63.78 100 100 100 100 - 100 100 100	63.78 100 100 100 - - 100 100 100	Note 26 Note 25

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
128 129 130 131 132 133 134 135 136	DET International Holding Limited and Delta Energy Systems (Singapore) PTE. LTD. DET International Holding Limited Delta Energy Systems (Germany) GmbH Delta Energy Systems (Singapore) PTE. LTD. 〃 〃 〃 〃 〃	Delta Electronics (Slovakia) s.r.o. Manufacturing and sales of power supplies, power system and OEM power system Delta Energy Systems (Romania) S.R.L. Research and development Delta Energy Systems Property (Germany) GmbH Property rights business Delta Electronics (Holdings) Australia Pty Ltd Marketing and sales of renewable energy products Delta Electronics India Pvt. Ltd. Manufacturing and marketing of non- telecom power system and uninterruptible power supply, and sales of uninterruptible power supply Delta Electronics (Myanmar) Co., Ltd. Manufacturing of electronic products used in CMP manufacturing process and machinery Delta Energy Systems (UK) Ltd. Research and development of electronic products Delta PBA Engineering Solutions Co., Ltd. Providing solutions for industrial automation Delta Greentech (Netherlands) Cooperatie U.A. Equity investments	100 100 100 100 100 100 100 51 100	100 100 100 100 100 100 100 51 100	100 100 100 100 100 100 100 51 100	Note 30 Note 34

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
137 138 139 140 141 142 143 144 145 146 147	Delta Greentech (Netherlands) Cooperatie U.A. Delta Greentech (Netherlands) B.V. 〃 〃 DEN Amerlux Amerlux Lighting Asia, LLC Amerlux Lighting Hong Kong Limited DIH DPI Digital Projection Holdings Ltd.	Delta Greentech (Netherlands) B.V. Equity investments Delta Energy Systems LLC Marketing and sales of power systems Eltek s.r.o. Manufacturing of telecom power system Delta Electronics (Automotive) Americas Inc. Research and development of automotive power and traction inverter Amerlux, LLC (Amerlux) Design and production of dedicated lighting system and facilities Amerlux Lighting Asia, LLC Equity investments Amerlux Lighting Hong Kong Limited 〃 Guangzhou Amerlux Lighting Co., Ltd. Wholesale of lighting fixture and decorative objects Digital Projection International Ltd. (DPI) Equity investments Digital Projection Holdings Ltd. 〃 Digital Projection Ltd. Research, development and sales of projector products	100 100 100 100 100 100 100 100 100 100 100	100 100 100 100 100 100 100 100 100 100 100	100 100 100 100 100 100 100 100 100 100 100	Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2 Note 1 Note 2

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No.	Name of Investor	Name of Main Business Subsidiary Activities	Ownership (%)	Ownership (%)	Ownership (%)	Description
			June 30,2021	December 31,2020	June 30,2020
148 149 150 151	Digital Projection Ltd. DEN Trihedral Trihedral Inc.	Digital Projection Inc. Sales of projector products Trihedral Engineering Limited (Trihedral) Software and associated engineering services Trihedral Inc. 〃 Trihedral UK Limited 〃	100 100 100 100	100 100 100 100	100 - - -	Note 1 Note 2 Note 1 Note 26 Note 1 Note 26 Note 1 Note 26

• Note 1: As the subsidiaries do not meet the definition of significant subsidiaries, their financial statements as at June 30, 2021 were not reviewed by independent auditors.

• Note 2: As the subsidiaries do not meet the definition of significant subsidiaries, their financial statements as at June 30, 2020 were not reviewed by independent auditors.

• Note 3: In 2020, PHK returned capital amounting to USD 5,250,000 and USD 8,000,000 to Delta Electronics, Inc. and DIH, respectively, due to the liquidation of the subsidiary, which was completed in March 2021.

• Note 4: This company had been liquidated in April 2021.

• Note 5: This company had been liquidated in March 2021.

• Note 6: Delta Electronics (Jiangsu) Ltd. merged with Delta Electronics Components (Wujiang) Ltd. and Delta Video Display System (Wujiang) Ltd. on January 1, 2021. After the merger, Delta Electronics (Jiangsu) Ltd. was the surviving company while Delta Electronics Components (Wujiang) Ltd. and Delta Video Display System (Wujiang) Ltd. were the dissolved companies.

• Note 7: In October 2020, ELTEK AS sold ELTEK AUSTRALIA PTY LIMITED to Delta Energy Systems (Singapore) Pte. Ltd. and was renamed as Delta Electronics (Australia) Pty Ltd. in April 2021.

• Note 8: In July 2020, ELTEK AS acquired 48.96% equity interest in Eltek Polska, and the total shareholding ratio is 100%.

• Note 9: In December 2020, ELTEK AS sold Eltek Polska Sp.z o.o. (Eltek Polska) to Delta Electronics (Poland) Sp.z o.o.

• Note 10: Formerly named Eltek Power Sweden AB and was renamed as Delta Electronics (Sweden) AB in November 2020.

• Note 11: In October 2020, ELTEK AS sold Eltek Power Oy to Delta Solutions (Finland) Oy, and

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Eltek Power Oy merged into Delta Solutions (Finland) Oy in February 2021. After the merger, Delta Solutions (Finland) Oy was the surviving company while Eltek Power Oy was the dissolved company.

• Note 12: This company had been liquidated in December 2020.

• Note 13: 55% of shares are held through others due to local regulations.

• Note 14: 71% of shares are held through others due to local regulations.

• Note 15: This company had been liquidated in September 2020.

• Note 16: This company had been liquidated in November 2020.

• Note 17: In July 2020, Cyntec acquired 43.6% equity interest in Power Forest, and the total shareholding ratio is 100%.

• Note 18: Merged with the Company in December 2020.

• Note 19: This company had been liquidated in October 2020.

• Note 20: In October 2020, DIH acquired 49% equity interest in DECH from Delta Greentech (Netherlands) B.V., and the total shareholding ratio is 100%.

• Note 21: In October 2020, DEN acquired 49% equity interest in Delta Greentech Electronics Industry LLC from Delta Greentech (Netherlands) B.V., and the total shareholding ratio is 100%.

• Note 22: In November 2020, DECH sold Delta Electronics (France) SA to ELTEK POWER FRANCE SAS. Subsequently, Delta Electronics (France) SA merged with ELTEK POWER FRANCE SAS on April 1, 2021. After the merger, ELTEK POWER FRANCE SAS was the surviving company.

• Note 23: In October 2020, DECH sold Delta Energy Systems (Sweden) AB to Eltek Power Sweden AB (renamed in November 2020, please refer to Note 10 for details.). Subsequently, Delta Energy Systems (Sweden) AB merged with Delta Electronics (Sweden) AB in January 2021, with Delta Electronics (Sweden) AB as the surviving company and Delta Energy Systems (Sweden) AB as the dissolved company.

• Note 24: Because most of the shares were held by the Company, and other shareholdings are disaggregated on June 30, 2020, it was included in the consolidated financial statements.

• Note 25: The company was established during 2021.

• Note 26: The company was established or acquired through merger during 2020.

• Note 27: The Cayman company, Kneron Holding Corporation (“Kneron”), plans to acquire all of the issued shares of Vatics Inc. in cash from Vatics Inc.’s original shareholders and the shareholders have approved the share conversion at their meeting on March 25, 2021. The share conversion was approved by the Competent Authority and the effective date was set on June 30, 2021. After the share conversion, Vatics became a wholly-owned

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subsidiary of Kneron, and the Group lost control over the subsidiary (please refer to Notes 6, (23) and (31)).

• Note 28: Delta Electronics (Dongguan) Co., Ltd. merged with Delta Electronics Power (Dongguan) Co., Ltd. in June, 2021. After the merger, Delta Electronics (Dongguan) Co., Ltd. was the surviving company while Delta Electronics Power (Dongguan) Co., Ltd. was the dissolved company.

• Note 29: This company had been liquidated in June 2021.

• Note 30: Formerly named Delta Electronics (Australia) Pty. Ltd. and was renamed as Delta Electronics (Holdings) Australia Pty Ltd in April 2021.

• Note 31: Formerly named Delta International Holding Limited and was renamed as Delta International Holding Limited B.V. in June 2021.

• Note 32: In December 2019, the company implemented liquidation and dissolution, but has not yet been completed as at June 30, 2021.

• Note 33: In 2020, the company implemented liquidation and dissolution, but has not yet been completed as at June 30, 2021.

• Note 34: In May 2021, the company implemented liquidation and dissolution, but has not yet been completed as at June 30, 2021.

• C. Subsidiaries not included in the consolidated financial statements: None.

• D. Adjustments for subsidiaries with different balance sheet dates: None.

• E. Significant restrictions: None.

• F. Subsidiaries that have non-controlling interests that are material to the Group:

As at June 30, 2021, December 31, 2020 and June 30, 2020, the non-controlling interest amounted to $31,274,640, $32,690,303 and $32,770,530, respectively. The information on non-controlling interest and respective subsidiary is as follows:

Non-controlling interest

Name ofsubsidiary	Principal place ofbusiness Taiwan Thailand	Ownership Amount (%) $ 3,503,813 46.43% 27,481,933 36.22% June 30,2021	December	31,2020
		Amount $ 3,503,813 27,481,933	Amount $ 3,618,610 28,697,265	Ownership (%)
Vivotek Inc. (Vivotek) Delta Electronics (Thailand) Public Company limited (DET)				47.35% 36.22%

~33~

Name ofsubsidiary	Principal place ofbusiness Taiwan Thailand	Non-controllinginterest	Non-controllinginterest
		June 30,2020
		Amount $ 3,836,355 28,945,081	Ownership (%)
Vivotek Inc. (Vivotek) Delta Electronics (Thailand) Public Company limited (DET)			50.31% 36.22%

Summarised financial information of the subsidiary:

Balance sheet

Balance sheet
						DET
			June 30,2021		December31,2020			June 30,2020
Current assets		$	40,082,179		$	39,887,645	$	33,496,201
Non-current assets			58,279,015			58,101,498		61,809,079
Current liabilities	(		19,564,003)	(		16,133,275)	(	13,208,589)
Non-current liabilities	(		2,644,270)	(		2,293,690)	(	2,182,055)
Total net assets		$	76,152,921		$	79,562,178	$	79,914,636
						Vivotek
			June 30,2021		December31,2020			June 30,2020
Current assets		$	3,719,908		$	3,377,240	$	3,158,872
Non-current assets			6,071,957			6,112,662		6,286,511
Current liabilities	(		1,880,219)	(		1,474,665)	(	1,411,850)
Non-current liabilities	(		365,204)	(		372,977)	(	380,721)
Total net assets		$	7,546,442		$	7,642,260	$	7,652,812

Statement of comprehensive income

Revenue Profit before income tax Income tax (expense) benefit Profit for the period from continuing operations Other comprehensive income (loss), net of tax Total comprehensive income for the period Comprehensive income attributable to non-controlling interest Dividends paid to non-controlling interest

	DET	DET
	Threemonths	ended	June 30,
	2021		2020
$	18,354,961	$	13,491,954
	1,149,740		1,487,209
(	38,632)		39,120
	1,111,108		1,526,329
	339,745	(	677,787)
$	1,450,853	$	848,542
$	525,501	$	305,596
$	1,364,066	$	767,376

~34~

DET

Six months ended June 30,

Revenue Profit before income tax Income tax (expense) benefit Profit for the period from continuing operations Other comprehensive income (loss), net of tax Total comprehensive income for the period Comprehensive income attributable to non-controlling interest Dividends paid to non-controlling interest

Revenue

Profit before income tax Income tax expense Profit (loss) for the period from continuing operations Other comprehensive loss, net of tax Total comprehensive income (loss) for the period Comprehensive income (loss) attributable to non-controlling interest Dividends paid to non-controlling interest (unpaid)

Revenue

Profit before income tax Income tax expense

Profit for the period from continuing operations Other comprehensive loss, net of tax Total comprehensive income for the period Comprehensive income attributable to noncontrolling interest Dividends paid to non-controlling interest (unpaid)

	2021	2021		2020
$	35,928,020		$	25,677,570
	2,468,014			1,876,525
(		94,059)		77,160
	2,373,955			1,953,685
		746,028	(	51,778)
$	3,119,983		$	1,901,907
$	1,130,341		$	684,835
$	1,364,066		$	767,376
		Vivotek
	Threemonths		ended	June 30,
	2021			2020
$	1,525,000		$	1,402,143
		73,924		1,890
(		20,178)	(	13,141)
		53,746	(	11,251)
(		9,220)	(	7,174)
$		44,526	($	18,425)
$		26,990	($	14,208)
$		80,387	$	-
		Vivotek Inc.
	Six	months ended June 30,
	2021			2020
$	2,806,272		$	2,981,383
		94,266		59,105
(		38,552)	(	38,834)
		55,714		20,271
(		10,577)	(	4,931)
$		45,137	$	15,340
$		24,355	$	2,807
$		80,387	$	-

~35~

Statements of cash flows

DET

Statements of cash flows			DET	DET	DET
			Six months ended			June 30,
			2021			2020
Net cash provided by operating activities		$	971,927		$	2,473,691
Net cash used in investing activities	(		2,860,753)	(		2,713,385)
Net cash used in financing activities	(		3,437,677)	(		2,163,452)
Effect of exchange rates on cash and cash
equivalents	(		220,613)	(		677,063)
Decrease in cash and cash equivalents	(		5,547,116)	(		3,080,209)
Cash and cash equivalents, beginning of period			13,043,385			12,515,101
Cash and cash equivalents, end of period		$	7,496,269		$	9,434,892
			Vivotek
			Six months ended			June 30,
			2021			2020
Net cash used in operating activities	($		94,687)	($		25,659)
Net cash used in investing activities	(		233,979)	(		3,063)
Net cash provided by (used in) financing activities			120,430	(		37,011)
Effect of exchange rates on cash and cash
equivalents	(		9,359)	(		4,399)
Decrease in cash and cash equivalents	(		217,595)	(		70,132)
Cash and cash equivalents, beginning of period			1,425,014			1,023,213
Cash and cash equivalents, end of period		$	1,207,419		$	953,081

(4) Non-current assets held for sale

Non-current assets are classified as assets held for sale when their carrying amount is to be recovered principally through a sale transaction rather than through continuing use, and a sale is considered highly probable. They are stated at the lower of carrying amount and fair value less costs to sell.

(5) Employee benefits

• A. Short-term employee benefits

Short-term employee benefits are measured at the undiscounted amount of the benefits expected to be paid and are recognised as expenses in the period in which the employees render service.

B. Pension

Defined benefit plan

Pension cost for the interim period is calculated on a year-to-date basis by using the pension cost rate derived from the actuarial valuation at the end of the prior financial year, adjusted for significant market fluctuations since that time and for significant curtailments, settlements, or other significant one-off events. And, the related information is disclosed accordingly.

~36~

(6) Income tax

The interim period income tax expense is recognised based on the estimated average annual effective income tax rate expected for the full financial year applied to the pretax income of the interim period, and the related information is disclosed accordingly.

5. CRITICAL ACCOUNTING JUDGEMENTS, ESTIMATES AND KEY SOURCES OF ASSUMPTION UNCERTAINTY

There was no significant change in the reporting period. Please refer to Note 5 in the consolidated financial statements for the year ended December 31, 2020.

6. DETAILS OF SIGNIFICANT ACCOUNTS

(1) Cash and cash equivalents

Cash on hand Checking accounts and demand deposits Time deposits Cash equivalents	June 30,2021 6,439 $ 39,873,790 17,569,193 33,687 57,483,109 $	December31,2020 June 30, 2020 5,437 $ 8,174 $ 44,121,426 34,537,469 14,446,742 14,657,491 138,380 86,850 58,711,985 $ 49,289,984 $

• A. The Group associates with a variety of financial institutions all with high credit quality to disperse credit risk, so it expects that the probability of counterparty default is remote.

• B. Details of the Group’s cash and cash equivalents pledged to others as collateral are provided in Note 8.

(2) Financial assets at fair value through profit or loss

Asset Items Current items: Financial assets mandatorily measured at fair value through profit or loss Listed stocks Derivatives Hybrid instrument- Convertible bonds Valuation adjustment	June 30,2021 520,752 $ 94,921 17,880 633,553 408,544 1,042,097 $	December31,2020 446,452 $ 290,505 47,827 784,784 276,559 1,061,343 $	June 30,2020
			451,848 $ 226,667 67,595
			746,110 269,290
			1,015,400 $

~37~

Asset Items Non-current items: Financial assets mandatorily measured at fair value through profit or loss Listed stocks Emerging stocks Unlisted stocks Convertible preferred stocks Hybrid instrument- Convertible bonds Valuation adjustment ( LiabilityItems Current items: Financial liabilities held for trading Derivatives	June 30,2021 199,543 $ 324,000 1,513,273 197,148 900,000 3,133,964 24,135) ( 3,109,829 $ 132,770 $	December31,2020 368,048 $ 289,600 1,572,384 - 974,983 3,205,015 262,819) ( 2,942,196 $ 60,060 $	June 30,2020 332,294 $ 81,000 2,254,650 - 74,983 2,742,927 694,656) 2,048,271 $ 16,431 $

• A. The Group has recognised financial assets and liabilities at fair value through profit or loss of $126,608, $730,492, $204,573 and ($40,796) for the three months and six months ended June 30, 2021 and 2020, respectively.

• B. Details of the transactions and contract information in respect of derivative financial assets and liabilities that the Group does not adopt hedge accounting are as follows:

~38~

- Sell AUD / Buy USD - Sell BRL / Buy USD - Sell EUR / Buy CAD - Sell EUR / Buy NOK - Sell EUR / Buy USD - Sell GBP / Buy NOK - Sell HKD / Buy USD - Sell INR / Buy USD - Sell JPY / Buy USD - Sell THB / Buy JPY - Sell TWD / Buy USD - Sell USD / Buy CZK - Sell USD / Buy JPY - Sell USD / Buy RMB - Sell USD / Buy RUB - Sell USD / Buy SGD - Sell USD / Buy THB - Sell EUR / Buy NOK - Sell PLN / Buy NOK - Sell SEK / Buy NOK Financial instruments Forward exchange contracts: Cross currency swap:	June 30,	2021
	AUD 9,400 BRL 12,873 EUR 3,252 EUR 19,700 EUR 39,500 GBP 2,000 HKD 29,000 INR 853,318 JPY 815,155 THB 28,617 TWD 3,280,101 USD 300 USD 8,100 USD 199,168 USD 1,000 USD 18,362 USD 179,500 EUR 9,500 PLN 14,600 SEK 30,000 Contract amount (nominal principal) (in thousands)	Contractperiod
		2021.02.09~2021.11.05 2021.06.03~2021.08.09 2021.01.19~2021.07.05 2021.03.16~2021.12.17 2021.02.05~2021.10.05 2021.05.05~2021.07.05 2021.02.25~2021.11.05 2021.05.17~2021.08.30 2021.02.26~2021.09.27 2021.05.05~2021.07.27 2021.01.21~2021.12.24 2021.06.17~2021.07.20 2021.05.31~2021.08.25 2021.03.25~2021.10.08 2021.06.17~2021.08.09 2021.02.05~2021.12.02 2021.03.23~2021.10.19 2021.04.26~2021.12.17 2021.06.29~2021.12.30 2021.06.29~2021.12.30

~39~

- Sell AUD / Buy USD - Sell BRL / Buy USD - Sell EUR / Buy NOK - Sell EUR / Buy USD - Sell GBP / Buy NOK - Sell INR / Buy USD - Sell JPY / Buy USD - Sell THB / Buy JPY - Sell USD / Buy JPY - Sell USD / Buy NOK - Sell USD / Buy RMB - Sell USD / Buy SGD - Sell USD / Buy THB - Sell USD / Buy AUD - Sell USD / Buy CZK - Sell HKD / Buy USD - Sell EUR / Buy NOK - Sell RUB / Buy USD - Sell SEK / Buy NOK - Sell USD / Buy NOK Cross currency swap: Financial instruments Forward exchange contracts:	December31,2020	December31,2020
	AUD 7,250 BRL 18,121 EUR 9,000 EUR 39,500 GBP 1,500 INR 442,905 JPY 1,783,610 THB 26,113 USD 3,700 USD 7,000 USD 309,009 USD 26,305 USD 170,000 USD 706 USD 400 HKD 90,000 EUR 13,955 RUB 74,720 SEK 30,000 USD 2,000 Contract amount (nominal principal) (in thousands)	Contractperiod
		2020.08.24~2021.05.04 2020.12.04~2021.02.04 2020.10.28~2021.05.06 2020.07.15~2021.06.02 2020.12.21~2021.02.04 2020.12.16~2021.01.28 2020.07.24~2021.05.19 2020.11.17~2021.03.26 2020.11.30~2021.02.25 2020.12.03~2021.04.08 2020.10.12~2021.04.09 2020.07.03~2021.05.03 2020.09.22~2021.04.02 2020.10.29~2021.03.03 2020.12.21~2021.01.21 2020.11.02~2021.05.04 2020.09.03~2021.03.04 2020.12.04~2021.02.04 2020.12.23~2021.06.30 2020.12.07~2021.01.06

~40~

June 30, 2020

	June 30,	2020
- Sell AUD / Buy USD - Sell BRL / Buy USD - Sell EUR / Buy NOK - Sell EUR / Buy USD - Sell HKD / Buy USD - Sell INR / Buy USD - Sell JPY / Buy USD - Sell THB / Buy JPY - Sell USD / Buy JPY - Sell USD / Buy NOK - Sell USD / Buy RMB - Sell USD / Buy SGD - Sell USD / Buy THB - Sell USD / Buy BRL - Sell EUR / Buy GBP - Sell EUR / Buy NOK - Sell EUR / Buy RUB - Sell USD / Buy NOK Cross currency swap: Financial instruments Forward exchange contracts:	AUD 1,800 BRL 79,661 EUR 3,000 EUR 41,900 HKD 100,000 INR 251,071 JPY 748,158 THB 11,680 USD 5,900 USD 5,000 USD 226,683 USD 19,262 USD 149,900 USD 5,000 EUR 900 EUR 7,955 EUR 1,040 USD 10,000 Contract amount (nominal principal) (in thousands)	Contractperiod
		2020.02.14~2020.10.06 2020.04.30~2020.09.04 2019.12.16~2020.10.06 2020.02.25~2020.12.02 2020.02.27~2020.08.03 2020.04.30~2020.08.27 2020.05.18~2020.11.27 2020.06.02~2020.07.28 2020.05.20~2020.08.25 2020.04.14~2020.10.06 2020.04.15~2020.09.23 2020.04.06~2020.12.03 2020.04.01~2020.10.26 2020.06.30~2020.07.03 2020.06.09~2020.08.05 2020.04.02~2020.09.04 2020.06.09~2020.08.05 2020.02.06~2020.09.04

The Group entered into forward exchange contracts and cross currency swap to manage exposures to foreign exchange rate fluctuations of import or export sales, loans between related parties and dividend distribution within the Group. However, the forward exchange transactions did not meet the criteria for hedge accounting. Therefore, the Group did not apply hedge accounting.

C. The Group has no financial assets at fair value through profit or loss pledged to others.

D. Information relating to credit risk is provided in Note 12(2).

(3) Financial assets at fair value through other comprehensive income

Items Current items: Equity instruments Listed stocks Valuation adjustment	June 30,2021 - $ - - $	December31,2020 - $ - ( - $	June 30,2020 412,053 $ 300,578) 111,475 $

~41~

Items Non-current items: Equity instruments Listed stocks Unlisted stocks Valuation adjustment (	June 30,2021 1,608,699 $ 668,904 2,277,603 484,411) ( 1,793,192 $	December31,2020 1,608,699 $ 672,828 2,281,527 353,844) ( 1,927,683 $	June 30,2020 1,608,699 $ 683,231 2,291,930 827,621) 1,464,309 $

• A. The Group has elected to classify investments that are considered to be strategic investments as financial assets at fair value through other comprehensive income. The fair value of such investments amounted to $1,793,192, $1,927,683 and $1,575,784 as at June 30, 2021, December 31, 2020 and June 30, 2020, respectively.

• B. For the six months ended June 30, 2021, the Group did not sell stocks. For the six months ended June 30, 2020, the Group sold listed stocks whose fair value was $335,743, to adjust the stock position, resulting to an accumulated loss on disposal of $1,508,258.

• C. Amounts recognised in profit or loss and other comprehensive income in relation to the financial assets at fair value through other comprehensive income are listed below:

Equity instruments at fair value through other comprehensive income Fair value change recognised in other comprehensive income ( Cumulative loss reclassified to retained earnings due to derecognition Equity instruments at fair value through other comprehensive income Fair value change recognised in other comprehensive income ( Cumulative loss reclassified to retained earnings due to derecognition	2021 2020 163,932) $ 260,359 $ - $ 992,981) ($ 2021 2020 130,567) $ 202,159) ($ - $ 1,508,258) ($ Threemonths ended June 30, Six months ended June 30,

• D. As at June 30, 2021, December 31, 2020 and June 30, 2020, without taking into account any collateral held or other credit enhancements, the maximum exposure to credit risk in respect of the amount that best represents the financial assets at fair value through other comprehensive income held by the Group was $1,793,192, $1,927,683 and $1,575,784, respectively.

• E. The Group has no financial assets at fair value through other comprehensive income pledged to others as collateral.

~42~

(4) Hedging financial assets and liabilities

• A. As at June 30, 2021, December 31, 2020 and June 30, 2020, there were no financial assets and liabilities used for hedging.

• B. Information on cash flow hedges and hedges of net investments in foreign operations recognised in profit or loss and other comprehensive income:

Other equity At January 1, 2021 Add: Loss on hedge effectiveness- amount recognised in other comprehensive income At June 30, 2021 Other equity At January 1, 2020 Add: Loss on hedge effectiveness- amount recognised in other comprehensive income At June 30, 2020	Cash flowhedges - $ - ( - $ Cash flowhedges - $ - ( - $	Hedges of net investments in foreign operations 130,616 $ 704) 129,912 $ Hedges of net investments in foreignoperations 147,256 $ 19,867) 127,389 $

• (a) The purpose of hedge accounting is that the hedged highly probable forecast transactions denominated in foreign currency are expected to occur during the next 12 months. Amounts accumulated in other comprehensive income as at June 30, 2021, December 31, 2020 and June 30, 2020 are recycled into profit or loss in the period or periods when the hedged item affects profit or loss.

• (b) Since the hedging instrument for cash flow hedge expired and the hedging relationship ceased to meet the qualifying criteria, the accumulated amount in the cash flow hedge reserve had been reclassified to profit or loss.

• (c) Hedges of net investments in foreign operations

In the first quarter of 2018, due to the reorganisation of the Group, the risk of USD exchange rate fluctuating by fair value initially designated as hedged items of hedges of net investments in foreign operations was no longer material. Consequently, the hedge relationship did not meet the conditions of hedge accounting. The effective portion of hedges of net investments in foreign operations was accumulated in other equity previously. Since the foreign operations was not disposed, it was not reclassified from equity to profit or loss.

~43~

(5) Notes and accounts receivable

Notes and accounts receivable
			June 30,2021		December31,2020				June 30,2020
Notes receivable		$	3,464,533		$	3,733,595		$	2,969,244
Accounts receivable		$	60,380,573		$	59,684,699		$	55,122,471
Less: Allowance for
uncollectible accounts	(		393,144)	(		507,266)	(		1,072,678)
		$	59,987,429		$	59,177,433		$	54,049,793
Overdue receivables
(shown as other non-current
assets)		$	304,008		$	354,282		$	185,615
Less: Allowance for
uncollectible accounts	(		304,008)	(		354,282)	(		185,615)
		$	-		$	-		$	-
A. The aging analysis of accounts			receivable is as follows:
			June 30,2021		December31,2020				June 30,2020
Not past due	$		55,823,714	$		53,883,754	$		50,328,392
1 to 90 days			3,870,190			4,956,368			3,279,600
91 to 180 days			287,111			367,326			342,124
181 to 365 days			151,802			139,939			440,515
Over 366 days			247,756			337,312			731,840
	$		60,380,573	$		59,684,699	$		55,122,471

• A. The aging analysis of accounts receivable is as follows:

The above aging analysis was based on past due date.

• B. As at June 30, 2021, December 31, 2020 and June 30, 2020, there was no notes receivable past due.

• C. As at June 30, 2021, December 31, 2020 and June 30, 2020, accounts receivable and notes receivable were all from contracts with customers. As at January 1, 2020, the balance of receivables from contracts with customers amounted to $56,771,734.

• D. The Group has no notes receivable and accounts receivable pledged to others as collateral.

• E. As at June 30, 2021, December 31, 2020 and June 30, 2020, without taking into account any collateral held or other credit enhancements, the maximum hedge to credit risk in respect of the amount that best represents the Group’s notes receivable were $3,464,533, $3,733,595 and $2,969,244, and accounts receivable were $59,987,429, $59,177,433 and $54,049,793, respectively.

• F. Information relating to credit risk is provided in Note 12(2).

• (6) Transfer of financial assets

The Group entered into a factoring agreement with financial institutions to sell its accounts receivable. Under the agreement, the Group is not required to bear the default risk of the accounts receivable and

~44~

the percentage of advance payments is zero, but is liable for the losses incurred on any business dispute. As at June 30, 2021, December 31, 2020 and June 30, 2020, the relevant information on unsettled accounts receivable that were sold is set forth below:

		June30,2021	June30,2021
Purchaser of accounts receivable Taishin International Bank	Accounts receivable transferred 20,594 $	Amount derecognised Facilities - $ 278,600 $ December31,2020		Amount advanced - $	Amount available for advance - $	Interest rate of amount advanced
						-
Purchaser of accounts receivable Taishin International Bank	Accounts receivable transferred 14,300 $	Amount derecognised Facilities - $ 280,950 $ June 30,2020		Amount advanced - $	Amount available for advance - $	Interest rate of amount advanced
						-
Purchaser of accounts receivable Taishin International Bank	Accounts receivable transferred 13,958 $	Amount derecognised - $	Facilities 296,300 $	Amount advanced - $	Amount available for advance - $	Interest rate of amount advanced
						- $

(7) Inventories

Inventories
Raw materials Work in process Finished goods Inventory in transit Raw materials Work in process Finished goods Inventory in transit		June30,2021
	Allowance for Cost valuation loss 25,074,441 $ 2,831,290) ($ 5,704,868 9,618) ( 30,447,203 3,602,789) ( 1,367,751 - 62,594,263 $ 6,443,697) ($ December31,2020		Bookvalue
			22,243,151 $ 5,695,250 26,844,414 1,367,751
			56,150,566 $
	Allowance for Cost valuation loss 17,738,335 $ 2,591,648) ($ 5,407,195 8,298) ( 27,192,237 3,897,457) ( 1,049,065 - 51,386,832 $ 6,497,403) ($		Bookvalue
			15,146,687 $ 5,398,897 23,294,780 1,049,065
			44,889,429 $

~45~

Raw materials Work in process Finished goods Inventory in transit		June 30, 2020
	Allowance for Cost valuation loss 15,754,692 $ 2,759,710) ($ 4,761,696 7,686) ( 28,044,353 3,945,937) ( 2,061,892 - 50,622,633 $ 6,713,333) ($		Bookvalue
			12,994,982 $ 4,754,010 24,098,416 2,061,892
			43,909,300 $

The cost of inventories recognised as expense or loss for the period:

		Threemonths	ended June 30,	ended June 30,	ended June 30,
		2021			2020
Cost of goods sold	$	53,948,754		$	46,354,424
Loss on market value decline and obsolete and
slow-moving inventories		297,154			17,540
Others	(	254,692)	(		172,773)
	$	53,991,216		$	46,199,191
		Six months ended June 30,
		2021			2020
Cost of goods sold	$	103,702,458		$	85,863,044
Loss on market value decline and obsolete and
slow-moving inventories		424,313			463,559
Others	(	443,541)	(		248,697)
	$	103,683,230		$	86,077,906

(8) Investments accounted for under the equity method

A. Details of investments accounted for under the equity method are set forth below:

==> picture [463 x 30] intentionally omitted <==

----- Start of picture text -----

June 30, 2021 December 31, 2020 June 30, 2020
Ownership % Book value Ownership % Book value Ownership % Book value
----- End of picture text -----

Ownership %	Book value Ownership %	Bookvalue Ownership %	Bookvalue
Associates: Optovue, Inc. 29.50 Others Long-term equity investment classified as held for sale -Optovue, Inc. ( (Note)	720,196 $ 29.50 65,206 785,402 720,196) 65,206 $	728,129 $ 29.50 56,873 785,002 - 785,002 $	782,708 $ 49,900
			832,608 -
			832,608 $

(Note) The Board of Directors of the Group resolved to dispose all its held shares in Optovue, Inc. in June 2021, and reclassified investment accounted for using equity method in the amount of $720,196 (USD 25,851 thousand) to non-current assets classified as held for sale at the lower of its carrying amount or fair value less costs to sell.

~46~

• B. The carrying amount of the Group’s interests in all individually immaterial associates and the Group’s share of the operating results are summarised below:

As at June 30, 2021, December 31, 2020 and June 30, 2020, the carrying amount of the Group’s individually immaterial associates amounted to $65,206, $785,002 and $832,608, respectively.

			Threemonths	ended June 30,
			2021	2020
Income (loss) for the period from continuing
operations		$	16,261	($	27,325)
Other comprehensive income, net of tax			187		36
Total comprehensive income (loss)		$	16,448	($	27,289)
	0		Six months ended June 30,
			2021	2020
Loss for the period from continuing operations		($	2,133)	($	53,342)
Other comprehensive income, net of tax			144		54,046
Total comprehensive (loss) income		($	1,989)	$	704

• C. The Group is the single largest shareholder of Optovue, Inc. with a 29.5% equity interest. Given that other top ten shareholders (non-related parties) hold more shares than the Group and there is no agreement among shareholders to consult with each other or to make decisions collectively, which indicates that the Group has no ability to direct the relevant decision of Optovue, Inc., the Group has no control, but only has significant influence, over the investee.

~47~

(9) Property, plant and equipment

Property, plant and equipment
																	Unfinished
																	construction
					Buildings and			Machinery and				Testing				and equipment
At January 1, 2021			Land			structures			equipment			equipment			Others	under acceptance				Total
Cost		$	14,267,858		$	44,204,419		$	46,515,093		$	18,755,289		$	19,836,201	$	10,592,148		$	154,171,008
Accumulated depreciation and
impairment	(		11,704)	(		21,744,675)	(		33,043,800)	(		14,919,634)	(		16,009,220)		-	(		85,729,033)
		$	14,256,154		$	22,459,744		$	13,471,293		$	3,835,655		$	3,826,981	$	10,592,148		$	68,441,975
2021
Opening net book amount		$	14,256,154		$	22,459,744		$	13,471,293		$	3,835,655		$	3,826,981	$	10,592,148		$	68,441,975
Additions			527,071			395,655			3,936,919			924,507			888,036		5,144,206			11,816,394
Effect on decrease in business entities			-			-			-	(		378)	(		2,830)		-	(		3,208)
Disposal	(		205)	(		4,746)	(		157,075)	(		26,616)	(		28,515)		-	(		217,157)
Transfer			-			185,926			1,094,158			258,618			133,403	(	1,672,105)			-
Depreciation charge			-	(		917,323)	(		3,080,600)	(		1,074,447)	(		1,159,926)		-	(		6,232,296)
Net exchange differences	(		81,017)	(		185,101)	(		208,292)	(		34,096)	(		83,350)	(	188,631)	(		780,487)
Closing net book amount		$	14,702,003		$	21,934,155		$	15,056,403		$	3,883,243		$	3,573,799	$	13,875,618		$	73,025,221
At June 30, 2021
Cost		$	14,712,890		$	44,398,794		$	49,113,012		$	19,234,217		$	20,108,561	$	13,875,618		$	161,443,092
Accumulated depreciation and
impairment	(		10,887)	(		22,464,639)	(		34,056,609)	(		15,350,974)	(		16,534,762)		-	(		88,417,871)
		$	14,702,003		$	21,934,155		$	15,056,403		$	3,883,243		$	3,573,799	$	13,875,618		$	73,025,221

~48~

																	Unfinished
																	construction
					Buildings and			Machinery and				Testing				and equipment
At January 1, 2020			Land			structures			equipment			equipment			Others	under acceptance				Total
Cost		$	14,365,775		$	43,455,591		$	43,103,641		$	17,246,547		$	19,083,533	$	5,740,443		$	142,995,530
Accumulated depreciation and
impairment	(		11,919)	(		20,256,373)	(		30,637,055)	(		13,726,976)	(		14,772,226)		-	(		79,404,549)
		$	14,353,856		$	23,199,218		$	12,466,586		$	3,519,571		$	4,311,307	$	5,740,443		$	63,590,981
2020
Opening net book amount		$	14,353,856		$	23,199,218		$	12,466,586		$	3,519,571		$	4,311,307	$	5,740,443		$	63,590,981
Additions			102,384			97,769			2,521,170			1,157,432			1,028,131		3,867,161			8,774,047
Acquired through business combinations			-			-			-			-			47,035		-			47,035
Disposals	(		9,079)	(		6,007)	(		45,478)	(		7,172)	(		16,749)		-	(		84,485)
Transfer			-			158,341			893,906			230,259			92,352	(	1,374,858)			-
Depreciation charge			-	(		937,249)	(		2,330,167)	(		1,068,995)	(		1,195,917)		-	(		5,532,328)
Net exchange differences	(		116,959)	(		402,236)	(		364,189)	(		44,529)	(		160,760)	(	278,749)	(		1,367,422)
Closing net book amount		$	14,330,202		$	22,109,836		$	13,141,828		$	3,786,566		$	4,105,399	$	7,953,997		$	65,427,828
At June 30, 2020
Cost		$	14,342,082		$	42,924,003		$	44,656,789		$	18,093,124		$	19,392,902	$	7,953,997		$	147,362,897
Accumulated depreciation and
impairment	(		11,880)	(		20,814,167)	(		31,514,961)	(		14,306,558)	(		15,287,503)		-	(		81,935,069)
		$	14,330,202		$	22,109,836		$	13,141,828		$	3,786,566		$	4,105,399	$	7,953,997		$	65,427,828

A. The Group’s property, plant and equipment are mainly owner-occupied.

B. No interest expense was capitalised on property, plant and equipment.

C. Information about the property, plant and equipment that were pledged to others as collateral is provided in Note 8.

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(10) Leasing arrangements - lessee

• A. The Group leases various assets including land, buildings and transportation equipment. Rental contracts are typically made for periods of 1 to 21 years. Lease terms are negotiated on an individual basis and contain a wide range of different terms and conditions. The lease agreements do not impose covenants, but leased assets may not be used as security for borrowing purposes.

• B. The carrying amount of right-of-use assets and the depreciation charge are as follows:

Land Buildings and structures Transportation equipment Other equipment Land Buildings and structures Transportation equipment Other equipment Land Buildings and structures Transportation equipment Other equipment	June 30,2021		December31,2020 June 30,2020 Bookvalue Book value 1,602,097 $ 1,639,402 $ 1,323,106 1,324,504 71,012 70,362 24,531 27,203 3,020,746 $ 3,061,471 $ Threemonths ended June30,	December31,2020 June 30,2020 Bookvalue Book value 1,602,097 $ 1,639,402 $ 1,323,106 1,324,504 71,012 70,362 24,531 27,203 3,020,746 $ 3,061,471 $ Threemonths ended June30,	June 30,2020
	Book value				Book value
	1,569,736 $ 1,255,539 87,987 26,049				1,639,402 $ 1,324,504 70,362 27,203
	2,939,311 $				3,061,471 $
				2020
				Depreciationcharge
				12,954 $ 133,214 20,534 2,501
				169,203 $
		2021 Depreciationcharge 23,525 $ 247,664 33,950 4,368 309,507 $		2020
				Depreciationcharge
				23,774 $ 253,436 40,536 5,283
				323,029 $

• C. For the six months ended June 30, 2021 and 2020, the additions to right-of-use assets (excluding those acquired through business combinations) were $173,048 and $217,054, respectively.

• D. Information on profit or loss in relation to lease contracts is as follows:

Items affecting profit or loss Interest expense on lease liabilities Expense on short-term lease contracts	Threemonths ended June 30,	Threemonths ended June 30,
	2021 4,409 $ 136,528 $	2020
		6,264 $
		120,725 $

~50~

Items affecting profit or loss Interest expense on lease liabilities Expense on short-term lease contracts	Six months ended June 30,	Six months ended June 30,
	2021 9,969 $ 250,289 $	2020
		12,252 $
		229,178 $

• E. For the six months ended June 30, 2021 and 2020, the Group’s total cash outflow for leases were $499,160 and $508,013, respectively.

• F. Extension options

• (a) Extension options are included in the Group’s lease contracts pertaining to certain land. These terms and conditions are the lessor’s general practice and for the Group to effectively utilise the assets.

• (b) In determining the lease term, the Group takes into consideration all facts and circumstances that create an economic incentive to exercise an extension option. The assessment of lease period is reviewed if a significant event occurs which affects the assessment.

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(11) Intangible assets

At January 1, 2021 Trademarks Patents Cost 3,943,732 $ 1,979,798 $ Accumulated amortisation and impairment 1,180,179) ( 1,507,416) ( ( 2,763,553 $ 472,382 $ 2021 Opening net book amount 2,763,553 $ 472,382 $ Additions - acquired separately - 5,087 Additions - acquired through business combinations (Note) - - Effect on decrease in business entities - - Reclassifications (Note) - - Amortisation 119,087) ( 80,654) ( Net exchange differences 13,424) ( 5,230) ( ( Closing net book amount 2,631,042 $ 391,585 $ At June 30, 2021 Cost 3,919,987 $ 1,978,029 $ Accumulated amortisation and impairment 1,288,945) ( 1,586,444) ( 2,631,042 $ 391,585 $

Customer Technical Goodwill Relationship Skill Others Total 54,297,182 $ 17,495,795 $ 11,376,981 $ 4,227,079 $ 93,320,567 $ 797,390) 8,254,610) ( 3,063,190) ( 3,058,152) ( 17,860,937) ( 53,499,792 $ 9,241,185 $ 8,313,791 $ 1,168,927 $ 75,459,630 $ 53,499,792 $ 9,241,185 $ 8,313,791 $ 1,168,927 $ 75,459,630 $ - - 8,742 603,903 617,732 9,015 - - - 9,015 - - 21,015 63,160) ( 42,145) ( 137,896 25,631) ( 112,265) ( - - - 684,193) ( 544,451) ( 405,593) ( 1,833,978) ( 407,387) 67,935) ( 63,911) ( 10,929) ( 568,816) ( 53,239,316 $ 8,463,426 $ 7,622,921 $ 1,293,148 $ 73,641,438 $ 54,030,103 $ 17,347,488 $ 11,230,849 $ 4,544,342 $ 93,050,798 $ 790,787) ( 8,884,062) ( 3,607,928) ( 3,251,194) ( 19,409,360) ( 53,239,316 $ 8,463,426 $ 7,622,921 $ 1,293,148 $ 73,641,438 $

(Note) The additions - acquired through business combinations and reclassifications resulted from the adjustment of the contingent proceeds and the reallocation of the purchase price relative to the acquisition of Trihedral. The allocation of acquisition price was completed in the first quarter of 2021 and the acquisition price increased by $9,015 based on the adjustment terms in the contract.

~52~

												Customer			Technical
At January 1, 2020		Trademarks				Patents			Goodwill		Relationship				Skill			Others			Total
Cost		$	4,048,477		$	1,834,746		$	56,540,954		$	18,231,633		$	11,560,170		$	4,199,806		$	96,415,786
Accumulated amortisation and
impairment	(		1,068,347)	(		1,286,923)	(		7,291)	(		7,006,646)	(		1,732,370)	(		2,881,556)	(		13,983,133)
		$	2,980,130		$	547,823		$	56,533,663		$	11,224,987		$	9,827,800		$	1,318,250		$	82,432,653
2020
Opening net book amount		$	2,980,130		$	547,823		$	56,533,663		$	11,224,987		$	9,827,800		$	1,318,250		$	82,432,653
Additions - acquired separately			-			3,830			-			-			-			274,258			278,088
Additions - acquired through
business combinations			-			-			219,391			145,429			-			46,091			410,911
Reclassifications (Note)			-			-	(		27,626)			-			-			-	(		27,626)
Amortisation	(		123,659)	(		78,981)			-	(		845,950)	(		578,674)	(		315,194)	(		1,942,458)
Net exchange differences	(		20,644)			24,908	(		512,523)	(		82,249)	(		105,917)	(		90,143)	(		786,568)
Closing net book amount		$	2,835,827		$	497,580		$	56,212,905		$	10,442,217		$	9,143,209		$	1,233,262		$	80,365,000
At June 30, 2020
Cost		$	3,946,286		$	1,936,407		$	56,220,826		$	18,217,310		$	11,792,362		$	3,972,948		$	96,086,139
Accumulated amortisation and
impairment	(		1,110,459)	(		1,438,827)	(		7,921)	(		7,775,093)	(		2,649,153)	(		2,739,686)	(		15,721,139)
		$	2,835,827		$	497,580		$	56,212,905		$	10,442,217		$	9,143,209		$	1,233,262		$	80,365,000

(Note) The reclassifications resulted from the reallocation of the purchase price relative to the acquisition of Amerlux.

~53~

A. Details of amortisation on intangible assets are as follows:

Three months ended June 30,

	Threemonths ended June 30,	nded June 30,
Operating costs Selling expenses Administrative expenses Research and development expenses Operating costs Selling expenses Administrative expenses Research and development expenses	2021 2020 13,192 $ 13,229 $ 404,167 469,059 38,946 35,247 469,034 436,052 925,339 $ 953,587 $ Six months ended June 30,	2020
		13,229 $ 469,059 35,247 436,052
		953,587 $
	2021 2020 26,129 $ 26,052 $ 805,563 973,339 75,806 71,676 926,480 871,391 1,833,978 $ 1,942,458 $

==> picture [59 x 28] intentionally omitted <==

• B. The Group acquired registered or under-application trademark rights such as

==> picture [61 x 18] intentionally omitted <==

==> picture [41 x 17] intentionally omitted <==

• , , VIVITEK , 麗訊 , , , ,

and . Trademarks are assessed to have finite useful lives. The remaining trademarks which have indefinite useful lives shall not be amortised but are tested for impairment annually.

• C. Goodwill and trademarks with indefinite useful lives are allocated as follows to the Group’s cash-generating units identified according to operating segment:

Goodwill: DET Cyntec Eltek Vivotek DCI DGC Amerlux Loy Tec Others Trademarks: Automation business Infrastructure business	June 30,2021 33,125,802 $ 5,146,053 4,800,191 3,232,954 2,311,398 1,601,476 1,080,722 505,760 1,434,960 53,239,316 $ 691,811 $ 386,823 1,078,634 $	December31,2020 33,405,219 $ 5,146,053 4,840,681 3,232,954 2,330,895 1,614,985 1,089,838 510,026 1,329,141 53,499,792 $ 691,811 $ 386,823 1,078,634 $		June 30,2020
				35,230,349 $ 5,146,053 5,105,156 3,232,954 2,458,246 1,703,221 1,149,383 1,370,494 817,049 56,212,905 $ 691,811 $ 386,823 1,078,634 $

~54~

Acquisition prices in business combination are calculated based on the price of acquisition and direct costs related to the acquisition. The amount of goodwill recognised is the difference between the acquisition price and the net fair value of identifiable assets acquired. The amortisation duration of acquisition price shall not exceed one year after the acquisition.

• D. The Group’s goodwill arose from business combinations in order to improve benefit comprising of potential customer relations and operating revenue in the location of acquired companies. Based on IAS 36, goodwill acquired in a business combination should be tested at least annually for impairment. For the impairment testing of goodwill, goodwill acquired in a business combination is allocated to each of the cash-generating units that are expected to benefit from the synergies of the business combination. Each company may be a cash-generating unit which can generate independent cash flows.

In assessing the impairment of goodwill and trademarks with indefinite useful lives, for the goodwill of DET and Vivotek, as there is an open market quotation, the recoverable amount is the higher of the companies’ fair value less costs of disposal and value in use; for the goodwill and trademarks with indefinite useful lives of other companies, the impairment is calculated based on value in use and carrying amount of net assets of each company. The key assumptions used for value in use calculations are operating profit margin, growth rate and discount rate.

Management determined budgeted operating profit margin based on past performance and its expectations of market development. The weighted average growth rates used are consistent with the forecasts included in industry reports. The discount rates used are pre-tax and reflect specific risks relating to the relevant operating segments.

(12) Other non-current assets

Other non-current assets
Short-term borrowings Prepayments for business facilities Guarantee deposits paid Other financial assets Prepayments for long-term investments Cash surrender value of life insurance Others Unsecured bank loans Credit lines Interest rate range	June 30,2021 1,155,403 $ 242,804 174,728 100,212 39,106 504,763 2,217,016 $ June 30,2021 1,562,853 $ 60,939,298 $ 0.48%~7.02%	December31,2020 846,839 $ 256,693 187,257 81,059 43,512 524,227 1,939,587 $ December31,2020 2,001,532 $ 69,185,543 $ 0.39%~4.85%	June 30,2020
			838,027 $ 303,272 45,682 240,486 50,084 614,013
			2,091,564 $
			June 30,2020
			3,986,871 $
			83,758,084 $
			0.40%~7.51%

(13) Short-term borrowings

~55~

(14) Other payables

Long-term borrowings Salary and bonus payable Dividends payable Others Type ofborrowings Credit loans Collateral loans Less: Current portion (shown as other current liabilities) ( Credit lines Interest rate range	June 30,2021 17,270,803 $ 14,366,875 15,120,616 46,758,294 $ June 30,2021 36,556,013 $ 343,697 36,899,710 46,135) ( 36,853,575 $ 83,881,721 $ 0.31%~6.23%	December31,2020 17,957,602 $ - 14,926,619 32,884,221 $ December31,2020 39,008,242 $ 353,865 39,362,107 48,117) ( 39,313,990 $ 83,362,621 $ 0.31%~6.23%	June 30,2020 15,309,595 $ 13,095,789 12,595,175 41,000,559 $ June 30,2020 31,013,952 $ 364,965 31,378,917 57,713) 31,321,204 $ 76,676,271 $ 0.31%~6.23%

- (15) Long term borrowings

• A. As at June 30, 2021, the revolving loans of $36,207,030 can be drawn down during the period from June 29, 2020 to December 20, 2022 and are payable before the due date under the agreement.

• B. Information in relation to the assets pledged to others as collateral for bank borrowings is provided in Note 8.

(16) Pensions

• A. Defined benefit plan

• (a) The Group has a defined benefit pension plan as follows:

  • i. The Company and its domestic subsidiaries have a defined benefit pension plan in accordance with the Labor Standards Act, covering all regular employees’ service years prior to the enforcement of the Labor Pension Act on July 1, 2005 and service years thereafter of employees who chose to continue to be subject to the pension mechanism under the Labor Standards Act. Under the defined benefit pension plan, two units are accrued for each year of service for the first 15 years and one unit for each additional year thereafter, subject to a maximum of 45 units. Pension benefits are based on the number of units accrued and the average monthly salaries and wages of the last 6 months prior to retirement. The Company and its domestic subsidiaries contribute monthly an amount equal to 2% of the employees’ monthly salaries and wages to the retirement fund deposited with Bank of Taiwan, the trustee, under the name of the independent retirement fund committee. Also, the Company and its domestic subsidiaries would assess the balance in the aforementioned labor pension reserve account by December 31, every year. If the account balance is not enough to pay the pension calculated by the aforementioned method to the employees expected to qualify for retirement in the following year, the

~56~

Company and its domestic subsidiaries will make contribution for the deficit by next March.

• ii. Certain subsidiaries located in Mainland China maintain defined benefit retirement (resignation) plans with relative contribution scheme. The employees and the subsidiaries contribute an amount relatively based on a certain percentage of the monthly basic salary depending on the employee’s position. When an employee retires or resigns, the total contribution from the employee is reimbursed based on the accumulated contribution (without interest) less withdrawals made by the employee in advance during the service period. The employee is also entitled to receive benefits calculated based on the accumulated contribution (without interest) from the related subsidiary multiplied by the approved benefit percentage for the employee’s service years less withdrawals made by the employee in advance during the service period. The scheme mentioned above ceased on August 1, 2004. The amount contributed before was archived, and the payment scheme was not changed.

• iii. The subsidiaries in Thailand, Switzerland and Norway, etc. have an obligation to pay certain retirement benefits when employees retire based on labor regulations.

• (b) For the aforementioned pension plan, the Group recognised pension costs of $31,684, $36,140, $67,311 and $72,922 for the three months and six months ended June 30, 2021 and 2020, respectively.

• (c) Expected contributions to the defined benefit pension plans of the Group within one year from June 30, 2021 are $149,232.

B. Defined contribution plan

• (a) Effective July 1, 2005, the Company and its domestic subsidiaries have established a defined contribution pension plan (the “New Plan”) under the Labor Pension Act, covering all regular employees with R.O.C. nationality. Under the New Plan, the Company and its domestic subsidiaries contribute monthly an amount based on 6% of the employees’ monthly salaries and wages to the employees’ individual pension accounts at the Bureau of Labor Insurance. The benefits accrued are paid monthly or in lump sum upon termination of employment.

• (b) Other overseas companies have defined contribution plans in accordance with the local regulations. Other than the periodic contribution, the overseas companies have no further obligations.

(17) Share capital

• A. In accordance with the Company’s Articles of Incorporation, the total authorised common stock is 4 billion shares (including 100 million shares for stock warrants conversion). As at June 30, 2021, the total issued and outstanding common stock was 2,597,543 thousand shares with par value of $10 (in dollars) per share.

~57~

• B. On December 20, 2004, the Board of Directors of the Company adopted a resolution that allowed certain stockholders to issue 16 million units of global depository receipts (GDRs), represented by 80 million shares of common stock (Deposited Shares), with one unit of GDR representing 5 shares of common stock. After obtaining approval from SFB, these GDRs were listed on the Securities Exchange of Luxembourg on March 29, 2005, with total proceeds of US$134,666 thousand. The issuance of GDRs was represented by outstanding shares, therefore, there is no dilutive effect on the common shares’ equity. The main terms and conditions of the GDRs are as follows:

• (a) Voting rights

GDR holders may, pursuant to the Depositary Agreement and the relevant laws and regulations of the R.O.C., exercise the voting rights pertaining to the underlying common shares represented by the GDRs.

• (b) Redemption of GDRs

For sales and redemption of the underlying common shares represented by the GDRs when the holders of the GDRs request the Depositary to redeem the GDRs in accordance with the relevant R.O.C. regulations and the provisions in the Depositary Agreement, the Depositary may (i) deliver the underlying common shares represented by the GDRs to the GDR holders, or (ii) sell the underlying common shares represented by the GDRs in the R.O.C. stock market on behalf of the GDR holder. The payment of proceeds from such sale shall be made subject to the relevant R.O.C. laws and regulations and the provisions in the Depositary Agreement.

• (c) Distribution of dividends, preemptive rights and other rights

Distribution of dividends, preemptive rights and other rights and interests of GDR units bear the same rights as common shares.

• (d) After considering the stock dividend distribution year by year, as at June 30, 2021, there were 777 thousand units outstanding, representing 3,884 thousand common shares of the Company’s common stock.

(18) Capital surplus

Pursuant to the R.O.C. Company Law, capital surplus arising from paid-in capital in excess of par value on issuance of common stocks and donations can be used to cover accumulated deficit or to issue new stocks or cash to shareholders in proportion to their share ownership, provided that the Company has no accumulated deficit. Further, the R.O.C. Securities and Exchange Law requires that the amount of capital surplus to be capitalised mentioned above should not exceed 10% of the paid-in capital each year. Capital surplus should not be used to cover accumulated deficit unless the legal reserve is insufficient.

(19) Retained earnings

• A. Under the Company’s Articles of Incorporation, the current year’s earnings, if any, shall be distributed in the following order:

~58~

• (a) Payment of all taxes and dues.

• (b) Offset against prior years’ operating losses, if any.

• (c) Set aside 10% of the remaining amount as legal reserve, unless the accumulated amount of the legal reserve has reached the total authorised capital of the Company.

• (d) Setting aside or reversing a special reserve according to relevant regulations when necessary.

• (e) The remainder along with beginning unappropriated earnings shall be stockholders’ bonus. The appropriation of earnings shall be proposed by the Board of Directors and resolved by the shareholders. As the Company is in the growth stage, and taking into consideration the shareholders’ benefits, financial health and business development, the amount of bonus distributed to shareholders shall not be less than 60% of the distributable earnings for the current period. Cash dividends shall be at least 15% of the bonus distributed to shareholders.

• B. Except for covering accumulated deficit or issuing new stocks or cash to shareholders in proportion to their share ownership, the legal reserve shall not be used for any other purpose. The use of legal reserve for the issuance of stocks or cash to shareholders in proportion to their share ownership is permitted, provided that the distribution of the reserve is limited to the portion in excess of 25% of the Company’s paid-in capital.

• C. (a) In accordance with the regulations, the Company shall set aside special reserve from the debit balance on other equity items at the balance sheet date before distributing earnings. When debit balance on other equity items is reversed subsequently, the reversed amount could be included in the distributable earnings.

• (b) The amounts previously set aside by the Company as special reserve on initial application of IFRSs in accordance with Order No. Financial-Supervisory-Securities-Corporate1010012865, dated April 6, 2012, shall be reversed proportionately when the relevant assets are used, disposed of or reclassified subsequently. Such amounts are reversed upon disposal or reclassified if the assets are investment property of land, and reversed over the use period if the assets are investment property other than land.

• D. The appropriations of 2020 earnings had been resolved after meeting the statutory voting threshold on June 10, 2021 via the electronic voting platform for the shareholders’ meeting and the appropriations of 2019 earnings had been approved by the shareholders during their meeting on June 10, 2020. Details are summarised below:

~59~

Years ended December 31,

Legal reserve appropriated Special reserve appropriated Cash dividends	Dividends per share Amount (in dollars) 2,355,218 $ 4,921,174 14,286,488 5.5 $ 2020	2019	2019
		Amount 2,311,780 $ 61,002 12,987,717	Dividends per share (indollars)
			5.0 $

Information about the appropriations of earnings as resolved at the meeting of shareholders will be posted in the “Market Observation Post System” at the website of the Taiwan Stock Exchange.

(20) Operating revenue

Revenue from contracts with customers 0 Revenue from contracts with customers	2021 2020 78,769,884 $ 70,694,451 $ 2021 2020 151,255,167 $ 126,372,792 $ Threemonths ended June 30, Six months ended June 30,

A. Disaggregation of revenue from contracts with customers

The Group derives revenue from the transfer of goods and services over time and at a point in time in the following major business:

Revenue from external customer contracts Timing of revenue recognition At a point in time Over time Revenue from external customer contracts Timing of revenue recognition At a point in time Over time		Threemonths ended June30,2021	Threemonths ended June30,2021	Threemonths ended June30,2021
	Powerelectronics 46,833,452 $ 46,833,452 - 46,833,452 $	Automation Infrastructure Others 12,314,955 $ 19,551,412 $ 70,065 $ 12,008,510 18,755,685 68,878 306,445 795,727 1,187 12,314,955 $ 19,551,412 $ 70,065 $ Threemonths ended June30,2020			Total
					78,769,884 $
					77,666,525 1,103,359
					78,769,884 $
	Power electronics 40,094,926 $ 40,094,064 862 40,094,926 $	Automation 10,519,180 $ 9,556,185 962,995 10,519,180 $	Infrastructure 20,038,857 $ 18,709,374 1,329,483 20,038,857 $	Others 41,488 $ 37,144 4,344 41,488 $	Total
					70,694,451 $
					68,396,767 2,297,684
					70,694,451 $

~60~

Revenue from external customer contracts Timing of revenue recognition At a point in time Over time Revenue from external customer contracts Timing of revenue recognition At a point in time Over time		Six months ended June 30, 2021	Six months ended June 30, 2021	Six months ended June 30, 2021
	Powerelectronics 90,360,480 $ 90,360,480 - 90,360,480 $	Automation Infrastructure Others 22,932,992 $ 37,815,521 $ 146,174 $ 22,207,539 36,162,828 119,489 725,453 1,652,693 26,685 22,932,992 $ 37,815,521 $ 146,174 $ Six months ended June 30, 2020			Total
					151,255,167 $
					148,850,336 2,404,831
					151,255,167 $
	Powerelectronics 70,687,949 $ 70,684,044 3,905 70,687,949 $	Automation 19,015,403 $ 17,320,617 1,694,786 19,015,403 $	Infrastructure 36,548,546 $ 34,362,612 2,185,934 36,548,546 $	Others 120,894 $ 55,127 65,767 120,894 $	Total
					126,372,792 $
					122,422,400 3,950,392
					126,372,792 $

• B. Contract assets and liabilities

The Group has recognised the revenue-related contract assets primarily from automation equipment contracts and resolution of communication equipment power resource system; contract liabilities primarily pertain to advance sales receipts, advance receipts for automation equipment contract and resolution of communication equipment power resource system, etc.

Revenue recognised that was included in the contract liability balance at the beginning of the period is as follows:

• Revenue recognised that was included in the contract liability balance at the beginning of the period Advance sales receipts, advance receipts for automation equipment contract and resolution of communication equipment power resource system, etc.

==> picture [217 x 172] intentionally omitted <==

• Revenue recognised that was included in the contract liability balance at the beginning of the period

• Advance sales receipts, advance receipts for automation equipment contract and resolution of communication equipment power resource system, etc.

$ 5,012,589 $ 3,352,208

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(21) Interest income

Other income Other gains and losses Interest income from bank deposits Other interest income Interest income from bank deposits Other interest income Sample sales income Dividend income Testing fee income Mold fee income Rental income Others Sample sales income Dividend income Testing fee income Mold fee income Rental income Others Gain (loss) on disposal of property, plant and equipment Gain on disposal of investments (Note) Net currency exchange gain (loss) Gain on financial assets/liabilities at fair value through profit or loss Miscellaneous disbursements

2021 2020 114,341 $ 143,848 $ 197 1,604 114,538 $ 145,452 $ 2021 2020 231,530 $ 306,893 $ 413 1,604 231,943 $ 308,497 $ Three months ended June 30, Six months ended June 30, 2021 2020 99,540 $ 60,526 $ 55,479 24,758 28,590 50,994 29,431 33,234 28,331 41,354 535,264 581,163 776,635 $ 792,029 $ 2021 2020 177,738 $ 137,999 $ 113,365 32,884 76,220 66,182 71,876 55,436 58,124 72,789 1,003,032 1,446,588 1,500,355 $ 1,811,878 $ Threemonths ended June 30, Six months ended June 30, 2021 2020 5,354 $ 18,587) ($ 90,109 7,240 304,068 403,598) ( 126,608 730,492 59,559) ( 198,886) ( 466,580 $ 116,661 $ Threemonths ended June 30,

(22) Other income

(23) Other gains and losses

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			Six months ended	Six months ended	June 30,
			2021		2020
Loss on disposal of property, plant and equipment	($		12,236)	($	32,342)
Gain (loss) on disposal of investments (Note)			90,109	(	77,445)
Net currency exchange gain			839,170		331,933
Gain (loss) on financial assets/liabilities at fair
value through profit or loss			204,573	(	40,796)
Miscellaneous disbursements	(		95,538)	(	251,715)
		$	1,026,078	($	70,365)

(Note) Information on the Group’s gain on disposal of investments in the first half of 2021 is provided in Note 6(31). In the first half of 2020, the Group recognised a gain (loss) as a result of measuring at fair value its 41% equity interest in DPI, held before the business combination. Please refer to Note 6(30) for more information.

(24) Finance costs

(24)	Finance costs
(25)	Expenses by nature Interest expense Interest expense Employee benefit expense Depreciation charges on property, plant and equipment Depreciation charges on right-of-use assets Amortisation charges on intangible assets Employee benefit expense Depreciation charges on property, plant and equipment Depreciation charges on right-of-use assets Amortisation charges on intangible assets	Threemonths ended June 30,
		2021 2020 73,477 $ 98,001 $ Six months ended June 30,	2020
			98,001 $
		2021 2020 142,683 $ 210,826 $ Threemonths ended June 30,	2020
			210,826 $
		2021 2020 17,030,347 $ 15,817,433 $ 3,129,784 2,782,071 153,952 169,203 925,339 953,587 21,239,422 $ 19,722,294 $ Six months ended June 30,	2020
			15,817,433 $ 2,782,071 169,203 953,587
			19,722,294 $
		2021 33,174,886 $ 6,232,296 309,507 1,833,978 41,550,667 $	2020
			28,798,561 $ 5,532,328 323,029 1,942,458
			36,596,376 $

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(26) Employee benefit expense

Three months ended June 30,

Employee benefit expense	Threemonths ended June30,	nded June30,
Post-employment benefits Defined contribution plan Defined benefit plan Other employee benefits Post-employment benefits Defined contribution plans Defined benefit plans Other employee benefits	2021 2020 239,875 $ 250,829 $ 31,684 36,140 271,559 286,969 16,758,788 15,530,464 17,030,347 $ 15,817,433 $ Six months ended June 30,	2020
		250,829 $ 36,140
		286,969 15,530,464
		15,817,433 $
	2021 476,525 $ 67,311 543,836 32,631,050 33,174,886 $	2020
		496,423 $ 72,922
		569,345 28,229,216
		28,798,561 $

• A. According to the Articles of Incorporation of the Company, a ratio of profit of the current year distributable, after covering accumulated losses, shall be distributed as employees’ compensation and directors’ remuneration. The ratio shall not be lower than 3% for employees’ compensation and shall not be higher than 1% for directors’ remuneration.

• B. For the three months and six months ended June 30, 2021 and 2020, employees’ compensation was accrued at $897,923, $900,653, $1,683,049 and $1,211,368, respectively; while directors’ remuneration was accrued at $24,982, $10,437, $35,582 and $19,886, respectively. The aforementioned amounts were recognised in salary expenses.

For the six months ended June 30, 2021, the employees’ compensation and directors’ remuneration were estimated and accrued based on profit of current year as of the end of reporting period distributable as prescribed by the Company’s Articles of Incorporation. The employees’ compensation of $2,421,097 and directors’ remuneration of $29,400 for 2020 were resolved by the Board of Directors on February 24, 2021. Employees’ compensation and directors’ remuneration as resolved by the Board of Directors were in agreement with the amount recognised in the 2020 financial statements.

Information about employees’ compensation and directors’ remuneration of the Company as resolved by the Board of Directors will be posted in the “Market Observation Post System” at the website of the Taiwan Stock Exchange.

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(27) Income tax

A. Income tax expense

(a) Components of income tax expense:

Components of income tax expense:
			Three months	ended June 30,
			2021			2020
Current tax:
Current tax on profits for the period		$	1,528,185		$	1,025,624
Prior year income tax overestimation	(		44,230)	(		57,600)
Tax on undistributed surplus earnings			-			141,565
Total current tax			1,483,955			1,109,589
Deferred tax:
Origination and reversal of temporary
differences			533,540			963,370
		$	2,017,495		$	2,072,959
			Six months ended June 30,
			2021			2020
Current tax:
Current tax on profits for the period		$	2,738,943		$	1,616,088
Prior year income tax overestimation	(		44,230)	(		57,600)
Tax on undistributed surplus earnings			-			156,820
Total current tax			2,694,713			1,715,308
Deferred tax:
Origination and reversal of temporary
differences			1,093,734			966,098
		$	3,788,447		$	2,681,406

• (b) The income tax (charge)/credit relating to components of other comprehensive income is as follows:

follows:
		Threemonths	ended June 30,
		2021		2020
Currency translation differences	($	196,871)	($	205,702)
Gain or loss on hedging instruments	(	74)		1,228
	($	196,945)	($	204,474)
		Six months ended June 30,
		2021		2020
Currency translation differences	($	98,718)	($	325,678)
Gain or loss on hedging instruments	(	78)	(	2,207)
	($	98,796)	($	327,885)

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• B. The status of the Company and its domestic subsidiaries’ assessed and approved income tax returns are as follows:

returns are as follows:
	Latest year
	assessed by
	Tax Authority
The Company	2017
Cyntec, Power Forest Technology Corporation and Vivotek	2018
DECC, DelBio, UNICOM, AMT, Lidlight Inc., Realwin.,	2019
Otus Imaging, Aetek Inc. and Vatics Inc. (Note)
Note: The Group sold all its equity interest in Vatics Inc. on June 30, 2021.

(28) Earnings per share

Earnings per share
Basic earnings per share Profit attributable to ordinary shareholders of the parent Diluted earnings per share Profit attributable to ordinary shareholders of the parent Assumed conversion of all dilutive potential ordinary shares: Employees’ compensation Profit attributable to ordinary shareholders of the parent plus assumed conversion of all dilutive potential ordinary shares	Threemonths ended June 30,2021
	Amount after tax 7,589,583 $ 7,589,583 $ - 7,589,583 $	Weighted average number of ordinary shares outstanding (sharesin thousands) 2,597,543 2,597,543 4,443 2,601,986	Earnings per share (indollars)
			2.92 $
			2.92 $

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Three months ended June 30, 2020

	Threemonths ended June 30,2020	Threemonths ended June 30,2020	020
Basic earnings per share Profit attributable to ordinary shareholders of the parent Diluted earnings per share Profit attributable to ordinary shareholders of the parent Assumed conversion of all dilutive potential ordinary shares: Employees’ compensation Profit attributable to ordinary shareholders of the parent plus assumed conversion of all dilutive potential ordinary shares Basic earnings per share Profit attributable to ordinary shareholders of the parent Diluted earnings per share Profit attributable to ordinary shareholders of the parent Assumed conversion of all dilutive potential ordinary shares: Employees’ compensation Profit attributable to ordinary shareholders of the parent plus assumed conversion of all dilutive potential ordinary shares	Weighted average number of ordinary shares Earnings Amount outstanding per share after tax (sharesin thousands) (indollars) 7,597,454 $ 2,597,543 2.92 $ 7,597,454 $ 2,597,543 - 5,482 7,597,454 $ 2,603,025 2.92 $ Six months ended June 30,2021		Earnings per share (indollars)
			2.92 $
			2.92 $
	Amount after tax 14,169,883 $ 14,169,883 $ - 14,169,883 $	Weighted average number of ordinary shares outstanding (sharesin thousands) 2,597,543 2,597,543 6,871 2,604,414	Earnings per share (indollars)
			5.46 $
			5.44 $

~67~

Basic earnings per share Profit attributable to ordinary shareholders of the parent Diluted earnings per share Profit attributable to ordinary shareholders of the parent Assumed conversion of all dilutive potential ordinary shares: Employees’ compensation Profit attributable to ordinary shareholders of the parent plus assumed conversion of all dilutive potential ordinary shares	Six months ended June 30, 2020	Six months ended June 30, 2020	Six months ended June 30, 2020
	Amount after tax 9,664,753 $ 9,664,753 $ - 9,664,753 $	Weighted average number of ordinary shares outstanding (sharesin thousands) 2,597,543 2,597,543 10,580 2,608,123	Earnings per share (indollars)
			3.72 $
			3.71 $

(29) Share-based payment

• A. For the six months ended June 30, 2021 and 2020, the Group’s share-based payment arrangements were as follows:

arrangements were as follows:
Type of arrangement Grantdate Vatics Inc. - Employee stock options 2016.11.8 Vivotek - Plan of restricted stocks to employees 2019.8.19 Power Forest - Employee stock options 2017.3.3 〃 2018.3.30	Quantity granted 1,000,000 500,000 2,116,000 800,000	Contract period 4 years 2 years 6 years (Note) 6 years (Note)	Vesting conditions
			1 year’s service: 40% vested 2 years’ service: 70% vested 3 years’ service: 100% vested 1 year’s service: 40% vested 2 years’ service: 70% vested 3 years’ service: 100% vested 1~3 years’ service 1~2 years’ performance

Note: As Power Forest and Cyntec converted shares on July 1, 2020, in accordance with the issuance of employee stock option certificates and exercise methods, the options may be subject to accelerated vesting.

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• B. Details of the share-based payment arrangements are as follows:

• (a) Employee share options

Employee share options
			2021					2020
			Weighted-average					Weighted-average
	No. of			exercise price		No. of			exercise price
	options			(indollars)		options			(indollars)
Options outstanding
opening balance at
January 1		-	$	-		1,672,000		$	15.79
Options forfeited		-		-	(	100,000)			15.00
Options exercised		-		-	(	690,000)			15.00
Options expired		-		-	(	36,000)			16.50
Options outstanding
at June 30		-	$	-		846,000		$	16.50
Options exercisable at
June 30		-	$	-		846,000		$	16.50
Restricted stocks to employees
				2021					2020
				No. of	shares			No. ofshares
January 1						374,000			798,000
Expired during the period				(		37,500)	(		17,000)
June 30						336,500			781,000

(b) Restricted stocks to employees

• C. The expiry date and exercise price of stock options outstanding at the balance sheet date are as follows:

June 30, 2021 and December 31, 2020: None.

Issue date approved November 8, 2016	Expiry date November 7, 2020	June 30,2020	June 30,2020
		No. ofshares 846,000	Exercise price (indollars)
			16.50 $

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• D. The fair value of stock options granted is measured using the Black-Scholes option-pricing model. Relevant information is as follows:

Type of arrangement Power Forest- Employee stock options 〃 Vatics Inc.- Employee stock options Vivotek - Plan of restricted stocks to employees	Grant date 2017.3.3 2018.3.30 2016.11.8 2019.8.19	Stock price (indollars) $ 18.38 16.42 14.60 102.50	Exercise price (indollars) $ 15.00 15.00 16.50 -	Expected price volatility 32.08%~ 33.22% (Note) 32.43%~ 33.08% (Note) 36.37%~ 37.25% (Note) Not applicable	Expected option life (years) 3.5~4.5 3.5~4.5 2.5~3.5 1~2	Expected dividends 5% 5% Not applicable Not applicable	Risk-free interest rate 0.79%~ 0.88% 0.63%~ 0.68% 0.57%~ 0.67% Not applicable	Fair value per unit (indollars)
								4.0053~ 4.0960 3.0262~ 3.0767 2.7995~ 3.3727 102.50

• Note: Expected price volatility rate was estimated by using the stock prices of the most recent period with length of this period approximate to the length of the stock options’ expected life, and the standard deviation of return on the stock during this period.

• E. Expenses incurred on share-based payment transactions are shown below:

Equity-settled Equity-settled	Threemonths ended June 30,	Threemonths ended June 30,
	2021 2020 - $ $24 Six months ended June 30,	2020
		$24
	2021 2020 - $ $ 9,949

(30) Business combinations

• A. The Group has no business combinations during the first half of 2021. Business combinations of the Group for the first half of 2020 are as follows:

• (a) On January 6, 2020, the Group acquired 59% of the share capital of the Group’s associate, DPI, for $250,380 and obtained control over DPI. As a result of the acquisition, the Group is expected to strengthen the product lines in projector market.

• (b) On November 3, 2020, the Group acquired 100% of the share capital of Trihedral, for $885,725 originally and obtained control over Trihedral. As a result of the acquisition, the Group is expected to strengthen industrial automation and systems integration layout. The

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allocation of the acquisition price of Trihedral was completed in the first quarter of 2021, and the acquisition price increased by $9,015 based on the adjustment terms in the contract.

• B. The following table summarises the consideration paid for the abovementioned acquired subsidiairies and the fair values of the assets acquired, liabilities assumed and the non-controlling interest at the acquisition date:

interest at the acquisition date:
			Trihedral(Note)			DPI
Purchase consideration
Cash		$	885,725		$	250,380
Contingent consideration			134,759			-
			1,020,484			250,380
Fair value of DPI’s equity interest held before
the business combination			-			173,132
			1,020,484			423,512
Fair value of the identifiable assets acquired
and liabilities assumed
Cash and cash equivalents			18,234			29,756
Other current assets			72,912			413,005
Property, plant and equipment			6,852			47,035
Intangible assets			236,302			154,346
Other non-current assets			-			23,543
Other current liabilities	(		9,666)	(		496,015)
Deferred tax liabilities	(		1,814)			-
Other non-current liabilities			-	(		4,723)
Total identifiable net assets			322,820			166,947
Goodwill		$	697,664		$	256,565

Note: Represents the amount after the allocation of acquisition price.

• C. The allocation of the acquisition price of Trihedral was completed in the first quarter of 2021 and the fair values of the acquired identifiable intangible assets and goodwill were $236,302 and $697,664, respectively.

• D. The allocation of the acquisition price of DPI was completed in the second quarter of 2020 and the fair values of the acquired identifiable intangible assets and goodwill were $154,346 and $256,565, respectively.

• E. The Group originally held 41% of share ownership in DPI before the business combination. Loss on remeasurement of fair value for the first quarter of 2020 amounted to $47,636.

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(31) Supplemental cash flow information

A. Financing activities with no cash flow effects

pplemental cash flow information Financing activities with no cash flow effects
Cash dividends declared but yet to be paid Cash dividends declared but yet to be paid to non-controlling interest	Six months ended June 30,
	2021 14,286,488 $ 80,387 $	2020
		12,987,717 $
		108,072 $

• B. The Group's subsidiary, Vivotek Inc., sold 54.41% of shares in the subsidiary – Vatics Inc. on June 30, 2021 and therefore lost control over the subsidiary (please refer to Note 4(3)B). The details of the consideration received from the transaction and assets and liabilities relating to the subsidiary are as follows:

subsidiary are as follows:
			VaticsInc.
Purchase consideration
Cash		$	25,373
Carrying amount of the assets and liabilities of Vatics Inc.
Cash and cash equivalents			23,939
Other current assets			160,695
Property, plant and equipment			3,208
Intangible assets			42,145
Deferred tax assets			56,894
Other non-current assets			7,018
Other current liabilities	(		390,079)
Deferred tax liabilities	(		24)
Other non-current liabilities	(		2,027)
Total net assets	($		98,231)

(32) Changes in liabilities from financing activities

At January 1, 2021 Changes in cash flow from financing activities ( At June 30, 2021	Short-term borrowings 2,001,532 $ 438,679) ( 1,562,853 $	Long-term borrowings (including current portion) 39,362,107 $ 2,462,397) ( 36,899,710 $	Liabilities from financing activities-gross 41,363,639 $ 2,901,076) 38,462,563 $

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Short-term borrowings At January 1, 2020 7,575,932 $ Changes in cash flow from financing activities 3,589,061) ( At June 30, 2020 3,986,871 $	Long-term borrowings (including current portion) 27,814,375 $ 3,564,542 ( 31,378,917 $	Liabilities from financing activities-gross 35,390,307 $ 24,519) 35,365,788 $

7. RELATED PARTY TRANSACTIONS

(1) Names and relationship of related parties

LATED PARTY TRANSACTIONS Names and relationship of related parties
Namesandrelationship of related parties	Relationship with the Group
Optovue, Inc. Compower AS Fujian Kaixin Construciton Engineering Co., Ltd. Delta Networks (Xiamen) Ltd. Digital Projection Asia Pte Ltd. Vatics Inc.	Initially was an associate of the Group, which was reclassified as non-current assets classified as held for sale in June 2021. Associate " " " Substantive related party (Note)

Note: It was a subsidiary of the Group before June 30, 2021. However, the Group sold all its equity interest in the company; nevertheless, the board structure hadn’t changed. Therefore, the company remained a substantive related party on June 30, 2021.

(2) Significant transactions and balances with related parties

A. Operating revenue

Operating revenue
Sales of goods: Associates Sales of services: Associates Sales of goods: Associates Sales of services: Associates	Threemonths ended June 30,
	2021 2020 33,988 $ 28,726 $ 240 2 34,228 $ 28,728 $ Six months ended June 30,	2020
		28,726 $ 2
		28,728 $
	2021 77,912 $ 973 78,885 $	2020
		49,628 $ 2
		49,630 $

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The Group sells commodities to related parties based on mutually agreed selling prices and terms as there is no similar transaction to be compared with. Sales of services to related parties arise mainly from licensing patent technologies and intellectual property and recognised as revenue on a usage basis.

B. Purchases of goods

Purchases of goods
Purchases of goods: Associates Purchases of goods: Associates	Three months ended June 30,
	2021 2020 15,804 $ 8,291 $ Six months ended June 30,	2020
		8,291 $
	2021 29,085 $	2020
		22,934 $

The purchase terms, including prices and payments, are based on mutual agreement and have no similar transaction to be compared with.

C. Period-end balances arising from sales of goods and services

Receivables from related parties: Associates Substantial related party	June 30,2021 29,290 $ 125 $29,415	December31,2020 42,284 $ - 42,284 $	June 30,2020
			31,700 $ -
			31,700 $

The receivables from related parties arise mainly from sales transactions. The receivables are due 75 days after the date of sale. The receivables are unsecured in nature and bear no interest.

D. Period-end balances arising from purchases of goods

Payables to related parties: Associates Substantial related party	June 30,2021 12,974 $ 497 13,471 $	December31,2020 29,641 $ - 29,641 $	June 30,2020
			8,038 $ -
			8,038 $

The payables to related parties arise mainly from purchase transactions and are due 70 days after the date of purchase. The payables bear no interest.

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E. Period-end balances arising from other transactions

Other receivables-related parties Associates Substantial related party	June 30,2021 $ - 270,242 $270,242	December31,2020 199 $ - 199 $	June 30,2020
			116 $ -
			116 $

The above pertain mainly to payments on behalf of others, loans to related parties and uncollected interests. The terms of loans to substantive related party are repayable within 1 year and carry interest at 1.09% per annum for the six months ended June 30, 2021.

(3) Key management compensation

Key management compensation
Short-term employee benefits Post-employment benefits Short-term employee benefits Post-employment benefits	Threemonths ended June 30,
	2021 2020 85,079 $ 84,152 $ 162 200 85,241 $ 84,352 $ Six months ended June 30,	2020
		84,152 $ 200
		84,352 $
	2021 161,012 $ 319 161,331 $	2020
		121,464 $ 392
		121,856 $

8. PLEDGED ASSETS

The Group’s assets pledged as collateral are as follows:

Pledged assets Demand deposits and time deposits (shown as other current assets) Demand deposits and time deposits (shown as other non-current assets) Property, plant and equipment		BookValue	June 30, 2020 502,456 $ 45,682 573,945 1,122,083 $	Pledge purpose
	June 30, 2021 445,887 $ 174,728 561,787 1,182,402 $	December 31, 2020 483,361 $ 187,257 567,141 1,237,759 $
				Performance bonds, custom guarantee, court attachments and other guarantee deposits Performance bonds and custom guarantee Credit line of long-term borrowings

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9. SIGNIFICANT CONTINGENT LIABILITIES AND UNRECOGNISED CONTRACT COMMITMENTS

(1) Contingencies

None.

(2) Commitments

Capital expenditures contracted for at the balance sheet date but not yet incurred are as follows:

Property, plant and equipment Costs of computer software	June 30,2021 4,526,256 $ 16,380 $	December31,2020 6,213,358 $ 72,804 $	June 30,2020
			7,919,101 $
			198,974 $

10. SIGNIFICANT DISASTER LOSS

None.

11. SIGNIFICANT EVENTS AFTER THE BALANCE SHEET DATE

None.

12. OTHERS

(1) Capital risk management

The Group’s objectives when managing capital are to maintain an integrity credit rating and good capital structure to support operations and maximize stockholders’ equity.

(2) Financial instruments

A. Financial instruments by category

Financial assets Financial assets at fair value through profit or loss Financial assets mandatorily measured at fair value through profit or loss Financial assets at fair value through other comprehensive income Selected designated investments in equity instruments Cash and cash equivalents Notes receivable Accounts receivable Other receivables Guarantee deposits paid Other financial assets Financial assets at amortised cost	June30,2021 4,151,926 $ 1,793,192 $ 57,483,109 $ 3,464,533 60,016,844 1,990,133 242,804 628,615 123,826,038 $	December 31,2020 4,003,539 $ 1,927,683 $ 58,711,985 $ 3,733,595 59,219,717 1,803,498 256,693 863,642 124,589,130 $	June30,2020
			3,063,671 $
			1,575,784 $
			49,289,984 $ 2,969,244 54,081,493 1,531,362 303,272 941,847
			109,117,202 $

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June 30, 2021 December 31, 2020 June 30, 2020

Financial liabilities Financial liabilities at fair value through profit or loss Financial liabilities designated as at fair value through profit or loss Financial liabilities at amortised cost Short-term borrowings Notes payable Accounts payable Other payables Long-term borrowings (including current portion) Guarantee deposits received Lease liabilities (including current portion)	132,770 $ 1,562,853 $ 2,860 52,471,378 46,758,294 36,899,710 354,178 138,049,273 $ 1,883,844 $	60,060 $ 2,001,532 $ 2,770 46,717,151 32,884,221 39,362,107 418,754 121,386,535 $ 1,949,698 $	16,431 $
			3,986,871 $ 12,602 44,886,601 41,000,559 31,378,917 413,608
			121,679,158 $
			1,957,815 $

• B. Financial risk management policies

The Group’s activities expose it to a variety of financial risks: market risk (including foreign exchange risk, interest rate risk and price risk), credit risk and liquidity risk. The Group’s overall risk management programme focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the Group’s financial position and financial performance. The Group uses derivative financial instruments to hedge certain risk exposures (see Note 6(2)).

• C. Significant financial risks and degrees of financial risks

• (a) Market risk

Foreign exchange risk

• i. The Group operates internationally and is exposed to foreign exchange risk arising from various currency exposures, primarily with respect to the USD, RMB, EUR and THB. Foreign exchange risk arises from future commercial transactions, recognised assets and liabilities and net investments in foreign operations.

• ii. Management has set up a policy to require group companies to manage their foreign exchange risk against their functional currency. To manage their foreign exchange risk arising from future commercial transactions and recognised assets and liabilities, entities in the Group use forward foreign exchange contracts, foreign exchange swap contracts and options, transacted with Group treasury.

• iii. The Group adopts the derivative financial instruments like forward exchange contracts / forward exchange transactions, etc. to hedge the fair value risk and cash flow risk due to

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foreign exchange rate fluctuations. The Group monitors at any time and pre-sets a “stop loss” amount to limit its foreign exchange risk.

• iv. The Group’s businesses involve some non-functional currency operations (the Company’s and certain subsidiaries’ functional currency: NTD; other certain subsidiaries’ functional currency: USD, RMB and THB). The information on assets and liabilities denominated in foreign currencies whose values would be materially affected by the exchange rate fluctuations is as follows:

fluctuations is as follows:
(Foreign currency: functional currency) Financial assets Monetary items USD:RMB (Note) USD:NTD USD:THB (Note) RMB:USD (Note) EUR:USD (Note) Non-monetary items USD:NTD THB:USD (Note) RMB:USD (Note) USD:THB (Note) NOK:USD (Note) THB:NTD EUR:USD (Note) CAD:USD (Note) Financial liabilities Monetary items USD:NTD USD:RMB (Note) USD:THB (Note) RMB:USD (Note) EUR:USD (Note) SGD:USD (Note)			June 30,2021
		Foreign currency amount (in thousands) 611,878 $ 492,568 306,982 1,165,608 108,171 5,888,662 $ 52,490,049 9,849,157 533,303 3,674,336 5,058,693 46,649 46,219 600,667 $ 499,436 389,244 1,963,863 55,747 49,522	Exchange rate 6.4615 27.8600 31.8618 0.1548 1.1899 27.8600 0.0314 0.1548 31.8618 0.1166 0.8744 1.1899 0.8069 27.8600 6.4615 31.8618 0.1548 1.1899 0.7441	Book value (NTD) 17,046,926 $ 13,722,944 8,552,524 5,025,706 3,585,858 164,058,111 $ 45,897,299 42,466,215 14,857,808 11,940,085 4,423,321 1,546,430 1,039,012 16,734,583 $ 13,914,284 10,844,342 8,467,511 1,848,002 1,026,600

Note: Certain consolidated entities’ functional currency is not NTD. Therefore, the Group shall consider these items when disclosing the above information.

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December 31, 2020

		December31,2020
(Foreign currency: functional currency) Financial assets Monetary items USD:NTD USD:RMB (Note) USD:THB (Note) RMB:USD (Note) EUR:USD (Note) Non-monetary items USD:NTD THB:USD (Note) RMB:USD (Note) USD:THB (Note) NOK:USD (Note) THB:NTD EUR:USD (Note) Financial liabilities Monetary items USD:NTD RMB:USD (Note) USD:THB (Note) USD:RMB (Note) EUR:USD (Note) SGD:USD (Note)	Foreign currency amount (in thousands) 563,902 $ 409,156 233,393 1,033,179 101,021 5,497,174 $ 51,035,064 8,976,208 576,424 3,688,108 4,864,229 44,778 517,975 $ 2,039,318 264,943 241,984 47,675 53,296	Exchange rate 28.0950 6.5300 29.9010 0.1531 1.2251 28.0950 0.0334 0.1531 29.9010 0.1164 0.9396 1.2251 28.0950 0.1531 29.9010 6.5300 1.2251 0.7528	Book value (NTD)
			15,842,840 $ 11,495,240 6,557,173 4,445,203 3,477,153 154,443,093 $ 47,952,546 38,619,685 16,194,634 12,056,903 4,570,430 1,541,250 14,552,505 $ 8,774,065 7,443,584 6,798,533 1,640,967 1,127,213

Note: Certain consolidated entities’ functional currency is not NTD. Therefore, the Group shall consider these items when disclosing the above information.

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(Foreign currency: functional currency) Financial assets Monetary items USD:NTD USD:RMB (Note) USD:THB (Note) RMB:USD (Note) EUR:USD (Note) Non-monetary items USD:NTD THB:USD (Note) RMB:USD (Note) USD:THB (Note) NOK:USD (Note) THB:NTD EUR:USD (Note) Financial liabilities Monetary items USD:NTD RMB:USD (Note) USD:RMB (Note) USD:THB (Note) SGD:USD (Note)		June 30, 2020
	Foreign currency amount (in thousands) 394,436 $ 383,474 201,473 997,613 82,735 5,012,409 $ 49,997,802 9,322,733 548,280 4,033,307 4,582,970 72,968 337,196 $ 2,002,303 233,613 199,554 49,350	Exchange rate 29.6300 7.0757 30.7206 0.1413 1.1228 29.6300 0.3260 0.1413 30.7206 0.1027 0.9645 1.1228 29.6300 0.1413 7.0757 30.7206 0.7168	Book value (NTD)
			11,687,137 $ 11,362,334 5,969,645 4,177,603 2,752,609 148,517,682 $ 48,222,880 39,039,878 16,245,544 12,273,354 4,420,275 2,427,640 9,991,130 $ 8,384,845 6,921,950 5,912,799 1,048,191

Note: Certain consolidated entities’ functional currency is not NTD. Therefore, the Group shall consider these items when disclosing the above information.

v. Total exchange gain (loss), including realised and unrealised, arising from significant foreign exchange variation on the monetary items held by the Group for the three months and six months ended June 30, 2021 and 2020 amounted to $304,068, ($430,598), $839,170 and $331,933, respectively.

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• vi. Analysis of foreign currency market risk arising from significant foreign exchange variation:

variation:
(Foreign currency: functional currency) Financial assets Monetary items USD:RMB (Note) USD:NTD USD:THB (Note) RMB:USD (Note) EUR:USD (Note) Financial liabilities Monetary items USD:NTD USD:RMB (Note) USD:THB (Note) RMB:USD (Note) EUR:USD (Note) SGD:USD (Note)	Six months ended June 30,		2021
	Sensitivityanalysis
	Degree of variation 1% 1% 1% 1% 1% 1% 1% 1% 1% 1% 1%	Effect on profitor loss 170,469 $ 137,229 85,525 50,257 35,859 167,346 $ 139,143 108,443 84,675 18,480 10,266	Effect on other comprehensive income
			- $ - - - - - $ - - - - -

Note: Certain consolidated entities’ functional currency is not NTD. Therefore, the Group shall consider these items when disclosing the above information.

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(Foreign currency: functional currency) Financial assets Monetary items USD:NTD USD:RMB (Note) USD:THB (Note) RMB:USD (Note) EUR:USD (Note) Financial liabilities Monetary items USD:NTD RMB:USD (Note) USD:RMB (Note) USD:THB (Note) SGD:USD (Note)	Six months ended June 30,	2020
	Sensitivityanalysis
	Degree of Effect on variation profit or loss 1% 116,871 $ 1% 113,623 1% 59,696 1% 41,776 1% 27,526 1% 99,911 $ 1% 83,848 1% 69,220 1% 59,128 1% 10,482	Effect on other comprehensive income
		- $ - - - - - $ - - - -

Note: Certain consolidated entities’ functional currency is not NTD. Therefore, the Group shall consider these items when disclosing the above information.

Price risk

• i. The Group’s equity securities, which are exposed to price risk, are the held financial assets at fair value through profit or loss and financial assets at fair value through other comprehensive income. To manage its price risk arising from investments in equity securities, the Group diversifies its portfolio.

• ii The Group’s investments in equity securities comprise shares issued by the domestic and foreign companies. The prices of equity securities would change due to the change of the future value of investee companies. If the prices of these equity securities had increased/decreased by 1% with all other variables held constant, post-tax profit for the six months ended June 30, 2021 and 2020 would have increased/decreased by $17,232 and $10,869, respectively, as a result of gain/loss on equity securities classified as at fair value through profit or loss. Other components of equity would have increased/decreased by $13,897 and $11,580, respectively, as a result of other comprehensive income classified equity investment at fair value through other comprehensive income.

Cash flow and fair value interest rate risk

• i. The Group’s main interest rate risk arises from long-term borrowings. Borrowings issued at variable rates expose the Group to cash flow interest rate risk which is partially offset by cash and cash equivalents held at variable rates. Borrowings issued at fixed rates expose

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the Group to fair value interest rate risk. The Group’s borrowings mainly bear fixed and variable interest rate. During the six months ended June 30, 2021 and 2020, the Group’s borrowings at variable rate were denominated in NTD, USD and JPY.

• ii. As at June 30, 2021 and 2020, if the interest rate increases by 0.25%, with all other variables held constant, profit, net of tax for the six months ended June 30, 2021 and 2020 would have decreased by $36,888 and $31,379, respectively. The main factor is that changes in interest expense result from floating rate borrowings.

• (b) Credit risk

• i. Credit risk refers to the risk of financial loss to the Group arising from default by the clients or counterparties of financial instruments on the contract obligations. The main factor is that counterparties could not repay in full the accounts receivable based on the agreed terms, and the contract cash flows of financial instruments which were settled in accordance with trading conditions.

• ii. According to the Group’s credit policy, each local entity in the Group is responsible for managing and analysing the credit risk for each of their new clients before standard payment and delivery terms and conditions are offered. Internal risk control assesses the credit quality of the customers, taking into account their financial position, past experience and other factors.

• iii. Individual risk limits are set based on internal or external ratings in accordance with limits set by the credit controller. The utilisation of credit limits is regularly monitored.

• iv. For banks and financial institutions, only well rated parties are accepted.

• v. The Group adopts the assumption under IFRS 9, that is, if the contract payments are past due over 180 days based on the terms, there has been a significant increase in credit risk on that instrument since initial recognition.

• vi. The Group adopts the assumption under IFRS 9, that is, the default occurs when the contract payments are not expected to be recovered and are transferred to overdue receivables.

• vii. The Group classifies customer’s accounts receivable and contract assets in accordance with customer types. The Group applies the simplified approach using the provision matrix based on the loss rate methodology to estimate expected credit loss.

• viii. The Group uses the forecastability to adjust historical and timely information to assess the default possibility of accounts receivable. On June 30, 2021, December 31, 2020 and June 30, 2020, the provision matrix is as follows:

At June 30, 2021 Expected loss rate Total book value Loss allowance	Notpastdue 0.00% 55,823,714 $ 1,274 $	1-90 days pastdue 1.11% 3,870,190 $ 42,771 $	91-180 days pastdue
			18.77% 287,111 $
			53,892 $

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Expected loss rate Total book value Loss allowance At December 31, 2020 Expected loss rate Total book value Loss allowance Expected loss rate Total book value Loss allowance At June 30, 2020 Expected loss rate Total book value Loss allowance Expected loss rate Total book value Loss allowance	181-365 days pastdue 42.58% 151,802 $ 64,639 $ Notpastdue 0.00% 53,883,754 $ 1,356 $ 181-365 days pastdue 37.46% 139,939 $ 52,415 $ Notpastdue 0.01% 50,328,392 $ 6,238 $ 181-365 days pastdue 39.72% 440,515 $ 174,994 $	Over 366 days pastdue 93.06% 247,756 $ 230,568 $ 1-90 days pastdue 0.92% 4,956,368 $ 45,703 $ Over 366 days pastdue 95.21% 337,312 $ 321,141 $ 1-90 days pastdue 2.61% 3,279,600 $ 85,688 $ Over 366 days pastdue 99.30% 731,840 $ 726,737 $	Total
			60,380,573 $
			393,144 $
			91-180 days pastdue
			23.59% 367,326 $
			86,651 $
			Total
			59,684,699 $
			507,266 $
			91-180 days pastdue
			23.10% 342,124 $
			79,021 $
			Total
			55,122,471 $
			1,072,678 $

• ix. Movements in relation to the Group applying the simplified approach to provide loss allowance for notes receivable, accounts receivable, contract assets and overdue receivables are as follows:

At January 1 Reversal of impairment loss Effects on decrease of business entities Write-offs during the period Effect of foreign exchange At June 30			2021
	Notes Accounts receivable receivable - $ 507,266 $ - 106,738) ( - 320) ( - 13) ( - 7,051) ( - $ 393,144 $		Contract Overdue assets receivables Total - $ 354,282 $ 861,548 $ - 40,404) ( 147,142) ( - - 320) ( - 9,415) ( 9,428) ( - 455) ( 7,506) ( - $ 304,008 $ 697,152 $		Total
					697,152 $

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At January 1 Provision for (reversal of) impairment loss Acquired from business combinations Write-offs during the period Effect of foreign exchange At June 30			2020
	Notes Accounts receivable receivable - $ 1,009,193 $ - 79,753 - 26,588 - 15) ( - 42,841) ( - $ 1,072,678 $		Contract Overdue assets receivables Total - $ 213,405 $ 1,222,598 $ - 3,463) ( 76,290 - - 26,588 - 6,663) ( 6,678) ( - 17,664) ( 60,505) ( - $ 185,615 $ 1,258,293 $		Total
					1,258,293 $

For provisioned loss for the six months ended June 30, 2021 and 2020, the reversal of (provision for) impairment loss arising from customers’ contracts amounted to $147,142 and ($76,290), respectively.

(c) Liquidity risk

• i. Cash flow forecasting is performed in the operating entities of the Group and aggregated by Group treasury. Group treasury monitors rolling forecasts of the Group’s liquidity requirements to ensure it has sufficient cash to meet operational needs.

• ii. The table below analyses the Group’s non-derivative financial liabilities and net-settled or gross-settled derivative financial liabilities into relevant maturity groupings based on the remaining period at the balance sheet date to the contractual maturity date for non-derivative financial liabilities and to the expected maturity date for derivative financial liabilities:

Non-derivative financial liabilities:

June 30,2021 Short-term borrowings Notes and accounts payable (including related parties) Other payables Lease liabilities (including current portion) Long-term borrowings (including current portion)	Less than 1year 1,562,853 $ 52,474,238 46,758,294 521,533 46,135	Between 1 and2years - $ - - 372,573 36,354,172	Between 2 and 5 years - $ - - 466,336 113,119	Over 5 years
				- $ - - 523,402 386,284

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Non-derivative financial liabilities:

Non-derivative financial liabilities:
Less than December31,2020 1year Short-term borrowings 2,001,532 $ Notes and accounts payable (including related parties) 46,719,921 Other payables 32,884,221 Lease liabilities (including current portion) 538,386 Long-term borrowings (including current portion) 48,117 Less than June 30,2020 1year Short-term borrowings 3,986,871 $ Notes and accounts payable (including related parties) 44,899,203 Other payables 41,000,559 Lease liabilities (including current portion) 558,391 Long-term borrowings (including current portion) 57,713 Non-derivative financial liabilities:	Between 1 and2years - $ - - 361,912 34,521,128 Between 1 and2years - $ - - 388,812 27,235,881	Between 2 and 5 years - $ - - 497,277 4,371,048 Between 2 and 5 years - $ - - 467,097 3,638,042	Over 5 years
			- $ - - 552,123 421,814 Over 5 years
June 30,2020 Short-term borrowings Notes and accounts payable (including related parties) Other payables Lease liabilities (including current portion) Long-term borrowings (including current portion)
			- $ - - 543,515 447,281

Derivative financial liabilities:

As at June 30, 2021, December 31, 2020 and June 30, 2020, the Group’s derivative financial liabilities are due within 1 year.

• iii. The Group does not expect the timing of occurrence of the cash flows estimated through the maturity date analysis to be significantly earlier, nor expect the actual cash flow amount to be significantly different.

(3) Fair value information

• A. The different levels that the inputs to valuation techniques are used to measure fair value of financial and non-financial instruments have been defined as follows:

• Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date. A market is regarded as active where a market in which transactions for the asset or liability take place with sufficient frequency and volume to provide pricing information on an ongoing basis.

• Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly.

• Level 3: Unobservable inputs for the asset or liability.

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• B. The carrying amounts of financial instruments not measured at fair value including cash and cash equivalents, notes receivable, accounts receivable, other receivables, short-term borrowings, notes payable, accounts payable, other payables and long-term borrowings (including current portion) are approximate to their fair values.

• C. The related information on financial and non-financial instruments measured at fair value by level on the basis of the nature, characteristics and risks of the assets and liabilities is as follows:

June 30, 2021 Assets Recurring fair value measurements Financial assets at fair value through profit or loss Equity instruments Convertible preferred stocks Hybrid instruments Derivative instruments Financial assets at fair value through other comprehensive income Equity instruments Liabilities Recurring fair value measurements Financial liabilities at fair value through profit or loss Derivative instruments December 31, 2020 Assets Recurring fair value measurements Financial assets at fair value through profit or loss Equity instruments Hybrid instruments Derivative instruments Financial assets at fair value through other comprehensive income Equity instruments Liabilities Recurring fair value measurements Financial liabilities at fair value through profit or loss Derivative instruments	Level 1 1,723,209 $ - 11,917 - 1,124,287 2,859,413 $ - $ Level 1 1,414,718 $ 52,577 - 1,254,855 2,722,150 $ - $	Level 2 - $ - 900,000 94,921 - 994,921 $ 132,770 $ Level 2 - $ 900,000 290,505 - 1,190,505 $ 60,060 $	Level3 1,224,731 $ 197,148 - - 668,905 2,090,784 $ - $ Level3 1,270,756 $ 74,983 - 672,828 2,018,567 $ - $	Total
				2,947,940 $ 197,148 911,917 94,921 1,793,192
				5,945,118 $
				132,770 $
				Total
				2,685,474 $ 1,027,560 290,505 1,927,683
				5,931,222 $
				60,060 $

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June 30, 2020 Assets Recurring fair value measurements Financial assets at fair value through profit or loss Equity instruments Hybrid instruments Derivative instruments Financial assets at fair value through other comprehensive income Equity instruments Liabilities Recurring fair value measurements Financial liabilities at fair value through profit or loss Derivative instruments	Level 1 1,086,922 $ 74,819 - 892,553 2,054,294 $ - $	Level 2 - $ - 226,667 - 226,667 $ 16,431 $	Level3 1,600,280 $ 74,983 - 683,231 2,358,494 $ - $	Total
				2,687,202 $ 149,802 226,667 1,575,784
				4,639,455 $
				16,431 $

• D. The methods and assumptions that the Group used to measure fair value are as follows:

• (a) The instruments that the Group used market quoted prices as their fair values (that is, Level 1) are listed below by characteristics:

Listed shares Convertible (exchangeable) Market quoted price Closing price Closing price

• (b) Except for financial instruments with active markets, the fair value of other financial instruments is measured by using valuation techniques that are approved for financial management.

• (c) When assessing non-standard and low-complexity financial instruments, the Group adopts valuation technique that is widely used by market participants. The inputs used in the valuation method to measure these financial instruments are normally observable in the market.

• (d) The valuation of derivative financial instruments is based on valuation model widely accepted by market participants, such as present value techniques and option pricing models. Forward exchange contracts are usually valued based on the current forward exchange rate.

• (e) The output of valuation model is an estimated value and the valuation technique may not be able to capture all relevant factors of the Group’s financial and non-financial instruments. Therefore, the estimated value derived using the valuation model is adjusted accordingly with additional inputs. In accordance with the Group’s management policies and relevant control procedures relating to the valuation models used for fair value measurement, management believes adjustment to valuation is necessary in order to reasonably represent the fair value of financial and non-financial instruments at the consolidated balance sheet. The inputs and

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pricing information used during valuation are carefully assessed and adjusted based on current market conditions.

• (f) The Group takes into account adjustments for credit risks to measure the fair value of financial and non-financial instruments to reflect credit risk of the counterparty.

• E. For the six months ended June 30, 2021 and 2020, there was no transfer between Level 1 and Level 2.

• F. The following chart is the movement of Level 3 for the six months ended June 30, 2021 and 2020:

2020:
At January 1 Losses recognised in profit and loss Acquired during the period Disposals during the period Transfers out from Level 3 Net exchange differences At June 30 At January 1 Losses recognised in profit or loss Acquired during the period Net exchange differences At June 30	Hybrid instruments		2021
			Debt instruments
			$
			$

• G. In the first half of 2021, the Group obtained sufficient observable market information for certain financial assets at fair value through profit or loss. These equity securities were transferred from Level 3 into Level 1 at the end of the month in which they were listed.

• H. Investment department is in charge of valuation procedures for fair value measurements being categorised within Level 3, which is to verify independent fair value of financial instruments. Such assessment is to ensure the valuation results are reasonable by applying independent information to make results close to current market conditions and periodical review.

The capital department establishes valuation policies, valuation processes and ensures compliance with the related requirements in IFRS. The related valuation results are reported to the management monthly. The management is responsible for managing and reviewing valuation processes.

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• I. The following is the qualitative information of significant unobservable inputs and sensitivity analysis of changes in significant unobservable inputs to valuation model used in Level 3 fair value measurement:

Non-derivative equity instruments: Unlisted shares 〃 Non-derivative debt instruments: Convertible preferred stocks	Fair value at June 30,2021	Valuation technique	Significant unobservable input	Range (median)	Relationship of inputs to fair value
	$ 1,628,236 265,400 197,148	Most recent non-active market price Market comparable companies Option pricing model of VC Method	Not applicable Price to book ratio multiple Price to asset ratio multiple Price to earning ratio multiple Discount for lack of marketability Value multiple	- 0.91~2.78 (1.21) 1.43~14.77 (2.13) 11.30~92.60 (12.30) 20% (20%) 39.0~49.8 (44.40)	Not applicable The higher the multiple, the higher the fair value The higher the multiple, the higher the fair value; the higher the discount for lack of marketability, the lower the fair value

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Non-derivative equity instruments: Unlisted shares 〃 Hybrid instruments: Convertible bonds Non-derivative equity instruments: Unlisted shares 〃 Hybrid instruments: Convertible bonds	Fair value at December 31, 2020	Valuation technique	Significant unobservable input	Range (median)	Relationship of inputs to fair value
	$ 1,678,184 265,400 74,983 Fair value at June 30,2020	Most recent non-active market price Market comparable companies Most recent non-active market price Valuation technique	Not applicable Price to book ratio multiple Price to asset ratio multiple Price to earning ratio multiple Discount for lack of marketability Not applicable Significant unobservable input	- 0.99~1.77 (1.08) 1.43~13.65 (1.81) 12.20~109.2 (20.4) 20% (20%) - Range (Average)	Not applicable Not applicable The higher the multiple, the higher the fair value; the higher the discount for lack of marketability, the lower the fair value Relationship of inputs to fair value
	$ 2,018,111 265,400 74,983	Most recent non-active market price Market comparable companies Most recent non-active market price	Not applicable Price to book ratio multiple Discount for lack of marketability Not applicable	- 1.96~19.97 (3.43) 20% (20%) -	Not applicable The higher the multiple, the higher the fair value The discount for lack of marketability, the lower the fair value Not applicable

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• J. The Group’s valuation techniques are based on the most recent non-active market price after carefully assessing the valuation models and assumptions used to measure fair value. However, use of different valuation models or assumptions may result in different measurement. The following is the effect on profit or loss or on other comprehensive income from financial assets and liabilities categorised within Level 3 if the inputs used to valuation models have changed:

Financial assets Equity instruments Financial assets Debt instrument Financial assets Equity instruments Financial assets Equity instruments	Discount for lack of marketability ± 1% Value multiple ± 1% Discount for lack of marketability ± 1% Discount for lack of marketability ± 1% Input Change Input Change Input Change	Favorable Unfavorable Favorable Unfavorable change change change change - $ - $ 3,306 $ 3,306) ($ 1,097 $ 1,097) ($ - $ - $ Favorable Unfavorable Favorable Unfavorable change change change change - $ - $ 3,476 $ 3,476) ($ Favorable Unfavorable Favorable Unfavorable change change change change - $ - $ 3,275 $ 3,275) ($ June30,2020 profitor loss comprehensiveincome (loss) Recognised in Recognised in other December31,2020 Recognised in Recognised in other profitor loss comprehensiveincome (loss) June 30,2021 Recognised in Recognised in other profitor loss comprehensiveincome (loss)
		Favorable change - $
		Favorable Unfavorable change change - $ - $ profitor loss Recognised in
		Favorable change - $

13. SUPPLEMENTARY DISCLOSURES

(1) Significant transactions information

• A. Loans to others: Please refer to table 1.

• B. Provision of endorsements and guarantees to others: Please refer to table 2.

• C. Holding of marketable securities at the end of the period (not including subsidiaries, associates

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and joint ventures): Please refer to table 3.

• D. Acquisition or sale of the same security with the accumulated cost exceeding $300 million or 20% of the Company’s paid-in capital: None.

• E. Acquisition of real estate reaching $300 million or 20% of paid-in capital or more: Please refer to table 4.

• F. Disposal of real estate reaching $300 million or 20% of paid-in capital or more: None.

• G. Purchases or sales of goods from or to related parties reaching $100 million or 20% of paid-in capital or more: Please refer to table 5.

• H. Receivables from related parties reaching $100 million or 20% of paid-in capital or more: Please refer to table 6.

• I. Trading in derivative instruments undertaken during the reporting periods: Please refer to Notes 6(2), 6(4) and 12(2).

• J. Significant inter-company transactions during the reporting periods: Please refer to table 7.

(2) Information on investees

Names, locations and other information of investee companies (not including investees in Mainland China): Please refer to table 8.

(3) Information on investments in Mainland China

• A. Basic information: Please refer to table 9.

• B. Significant transactions, either directly or indirectly through a third area, with investee companies in the Mainland China: Please refer to table 5, 6 and 7 for significant transactions of purchases, sales, receivables and payables of investee companies in the Mainland China, and transactions between the Company indirectly through investees in a third area, Delta Electronics Int'l (Singapore) Pte. Ltd. (DEIL-SG), with investee companies in the Mainland China, for the six months ended June 30, 2021.

(4) Major shareholders information

Please refer to table 10.

14. OPERATING SEGMENT INFORMATION

(1) General information

The Group’s management has determined the reportable segments based on the reports reviewed by the Board of Directors that are used to make strategic decisions. The Group considers the business from a product perspective. The Group’s business is segregated into power electronics business, automation business and infrastructure business. Breakdown of the revenue from all sources is as follows:

• A. Power electronics: Component, Embedded Power, Fans and Thermal Management, Automotive Electronics and Merchant & Mobile Power.

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• B. Automation: Industrial Automation and Building Automation.

• C. Infrastructure: ICT Infrastructure and Energy Infrastructure.

Because of the change in product classification, the Group’s internal business segments were restructured. Accordingly, the prior period information was restated for comparative purposes.

(2) Measurement of segment information

The Group’s segment profit (loss) is measured with the operating profit (loss) before tax, which is used as a basis for the Group in assessing the performance of the operating segments. The accounting policies of the operating segments are in agreement with the significant accounting policies summarized in Note 4.

(3) Segment information

The segment information provided to the chief operating decision-maker for the reportable segments is as follows:

is as follows:
Revenue from external customers Segment income (Note) Revenue from external customers Segment income (Note)	Six months ended June 30,2021
	Power electronics Automation Infrastructure business business business 90,360,480 $ 22,932,992 $ 37,815,521 $ 10,518,359 $ 3,021,483 $ 2,741,817 $ Six months ended June 30,2020			Total
				151,108,993 $
				16,281,659 $
	Power electronics business 70,687,949 $ 7,746,903 $	Automation business 19,015,403 $ 1,637,270 $	Infrastructure business 36,548,546 $ 1,860,721 $	Total
				126,251,898 $
				11,244,894 $

(Note) Segment income represents income after eliminating inter-segment transactions.

(4) Reconciliation information for segment income (loss)

• A. The revenue from external customers reported to the chief operating decision-maker is measured in a manner consistent with that of the statement of comprehensive income.

• B. A reconciliation of reportable segments income or loss to income (loss) before tax from continuing operations for the six months ended June 30, 2021 and 2020 is provided as follows:

~94~

Reportable segments income Non-operating income and expenses Income before tax from continuing operations	Six months ended June 30,	Six months ended June 30,
	2021 16,281,659 $ 2,613,560 18,895,219 $	2020
		11,244,894 $ 1,785,842
		13,030,736 $

~95~

Delta Electronics, Inc. and Subsidiaries Loans to others

Six months ended June 30, 2021

Table 1

Expressed in thousands of New Taiwan dollars, except as otherwise indicated

No. (Note 1)	Creditor	Borrower	General ledger account	Is a related party	Maximum outstanding balance during the six months ended June 30, 2021 (Note 2)	Balance at June 30,2021	Actual amount drawn down	Interest rate	Nature of loan (Note 7)	Amount of transactions with the borrower	Reason for short-term financing	Allowance for doubtful accounts	Collateral	Collateral	Limit on loans granted to a singleparty	Ceiling on total loansgranted	Footnote
													Item	Value
1	Fairview Assets Ltd.	Delta Controls Inc.	Other receivables - related parties	Yes	2,590,980 $	2,590,980 $	1,671,600 $	0.50%	2	- $	Additional operating capital	- $	None	- $	28,610,973 $	28,610,973 $	Note 5
1	Fairview Assets Ltd.	Delta Electronics Int'l (Singapore) Pte. Ltd.	Other receivables - related parties	Yes	17,036,390	17,036,390	17,036,390	0.5%- 0.7%	2	-	Additional operating capital	-	None	-	28,610,973	28,610,973	Note 5
2	Delta Networks Holding Limited	Delta Electronics Int'l (Singapore) Pte. Ltd.	Other receivables - related parties	Yes	807,940	807,940	807,940	0.50%	2	-	Additional operating capital	-	None	-	3,082,177	3,082,177	Note 5
3	Delta International Holding Limited B.V.	Drake Investment (HK) Limited	Other receivables - related parties	Yes	696,500	696,500	696,500	0.70%	2	-	Additional operating capital	-	None	-	68,102,576	68,102,576	Note 5
3	Delta International Holding Limited B.V.	Delta Electronics Int'l (Singapore) Pte. Ltd.	Other receivables - related parties	Yes	2,228,800	-	-	0.70%	2	-	Additional operating capital	-	None	-	68,102,576	68,102,576	Note 5
3	Delta International Holding Limited B.V.	Delta Electronics (H.K.) Ltd.	Other receivables - related parties	Yes	12,258,400	12,258,400	12,258,400	0.70%	2	-	Additional operating capital	-	None	-	68,102,576	68,102,576	Note 5
3	Delta International Holding Limited B.V.	Delta Electronics (Netherlands) B.V.	Other receivables - related parties	Yes	18,944,800	17,886,120	17,886,120	0.5%- 0.7%	2	-	Additional operating capital	-	None	-	68,102,576	68,102,576	Note 5
3	Delta International Holding Limited B.V.	Delta Controls Inc.	Other receivables - related parties	Yes	390,040	390,040	390,040	0.70%	2	-	Additional operating capital	-	None	-	68,102,576	68,102,576	Note 5
4	Eltek AS	Eltek Italia S.r.l.	Other receivables - related parties	Yes	33,150	33,150	33,052	1.90%	2	-	Additional operating capital	-	None	-	3,169,740	3,169,740	Note 5
4	Eltek AS	Delta Solutions (Finland) Oy	Other receivables - related parties	Yes	33,150	33,150	33,150	0.60%	2	-	Additional operating capital	-	None	-	3,169,740	3,169,740	Note 5
4	Eltek AS	Eltek Power France SAS	Other receivables - related parties	Yes	82,875	82,875	82,875	0.60%	2	-	Additional operating capital	-	None	-	3,169,740	3,169,740	Note 5
4	Eltek AS	Delta Electronics (Sweden) AB	Other receivables - related parties	Yes	98,400	98,400	98,400	0.60%	2	-	Additional operating capital	-	None	-	3,169,740	3,169,740	Note 5
4	Eltek AS	Delta Electronics (Poland) Sp. z. o.o.	Other receivables - related parties	Yes	107,267	107,267	107,267	0.60%	2	-	Additional operating capital	-	None	-	3,169,740	3,169,740	Note 5
4	Eltek AS	Eltek s.r.o.	Other receivables - related parties	Yes	321,555	321,555	321,555	0.60%	2	-	Additional operating capital	-	None	-	3,169,740	3,169,740	Note 5

Table 1-1

No. (Note 1)	Creditor	Borrower	General ledger account	Is a related party	Maximum outstanding balance during the six months ended June 30, 2021 (Note 2)	Balance at June 30,2021	Actual amount drawn down	Interest rate	Nature of loan (Note 7)	Amount of transactions with the borrower	Reason for short-term financing	Allowance for doubtful accounts	Collateral	Collateral	Limit on loans granted to a singleparty	Ceiling on total loansgranted	Footnote
													Item	Value
5	Delta Electronics (Wuhu) Co., Ltd.	Delta Electronics (Jiangsu) Ltd.	Other receivables - related parties	Yes	1,509,081 $	1,509,081 $	1,509,081 $	4.65%	2	- $	Additional operating capital	- $	None	- $	4,359,159 $	4,359,159 $	Note 5
6	Vivotek Inc.	Vatics Inc.	Other receivables - related parties	Yes	270,000	270,000	270,000	1.09%	2	-	Additional operating capital	-	None	-	285,493	570,985	Note 6
7	Delta Energy Systems (Germany) GmbH	Delta Energy Systems Property (Germany) GmbH	Other receivables - related parties	Yes	397,800	394,485	394,485	0.40%	2	-	Additional operating capital	-	None	-	660,090	660,090	Note 5
8	DET International Holding Limited	Delta Electronics India Pvt. Ltd.	Other receivables - related parties	Yes	1,393,000	1,393,000	1,393,000	4.00%	2	-	Additional operating capital	-	None	-	6,386,802	6,386,802	Note 5
9	Delta Greentech (Netherlands) B.V.	Eltek s.r.o.	Other receivables - related parties	Yes	232,050	232,050	198,900	0.40%	2	-	Additional operating capital	-	None	-	1,161,155	1,161,155	Note 5
10	Delta Greentech (China) Co., Ltd.	Cyntec Electronics (WuHu) Co., Ltd.	Other receivables - related parties	Yes	1,655,677	1,655,677	1,224,511	3.85%	2	-	Additional operating capital	-	None	-	2,527,647	2,527,647	Note 4

Note 1: The numbers filled in for the loans provided by the Company or subsidiaries are as follows:

• (1) The Company is ‘0’.

• (2) The subsidiaries are numbered in order starting from ‘1’.

Note 2: Maximum outstanding balance during the current period was translated into New Taiwan dollars using the exchange rate at June 30, 2021, which the Company reported to the Securities and Futures Bureau.

Note 3: Limit on loans granted by the Company to a single party is 20% of the Company’s net assets based on the latest audited or reviewed financial statements, and limit on total loans is 40% of the Company’s net assets based on the latest audited or reviewed financial statements.

Note 4: Limit on loans granted by subsidiaries to a single party is 40% of the subsidiaries’ net assets based on the latest audited or reviewed financial statements, and limit on total loans is 40% of the subsidiaries’ net assets based on the latest audited or reviewed financial statements.

Note 5: Limit on loans for financing granted by and to subsidiaries of which the ultimate parent directly or indirectly holds 100% of its voting shares is the lender’s net assets based on the latest audited or reviewed financial statements, and limit on total loans is the lender’s net assets based on the latest audited or reviewed financial statements.

Note 6: The calculation and amount on ceiling of loans of Vivotek Inc. are as follows:

• (1) The ceiling on total amount of loans to others shall not exceed 20% of the subsidiary’s net assets value in the latest financial statements which were audited or reviewed by independent auditors.

• (2) For the short-term financing, the limit on loans granted to a single party shall not exceed the subsidiary’s paid-in capital and 10% of the subsidiary’s net assets value in the latest financial statements which were audited or reviewed by independent auditors.

Note 7: Nature of loans:

• (1) Business transaction: 1.

• (2) Short-term financing: 2.

Table 1-2

Table 2

Delta Electronics, Inc. and Subsidiaries

Provision of endorsements and guarantees to others Six months ended June 30, 2021

Expressed in thousands of New Taiwan dollars, except as otherwise indicated

Number (Note 1)	Endorser /guarantor	Partybeingendorsed/guaranteed	Partybeingendorsed/guaranteed	Limit on endorsements / guarantees provided for a singleparty	Maximum outstanding endorsement / guarantee amount as at June 30, 2021	Outstanding endorsement / guarantee amount at June 30,2021	Actual amount drawn down	Amount of endorsements / guarantees secured with collateral	Ratio of accumulated endorsement / guarantee amount to net asset value of the endorser / guarantor company	Ceiling on total amount of endorsements / guarantees provided	Provision of endorsements / guarantees by parent company to subsidiary	Provision of endorsements / guarantees by subsidiary to parent company	Provision of endorsements / guarantees to the party in Mainland China	Footnote
		Companyname	Relationship with the endorser / guarantor (Note4)
1	ELTEK AS	Delta Electronics (Australia) Pty Ltd	4	2,879,156 $	128,408 $	125,370 $	125,370 $	- $	0.09%	7,197,889 $	N	N	N	Note 2

Note 1: The numbers filled in for the endorsements/guarantees provided by the Company or subsidiaries are as follows:

• (1) The Company is ‘0’.

• (2) The subsidiaries are numbered in order starting from ‘1’.

Note 2: In accordance with Eltek’s “Procedures for Provision of Endorsements and Guarantees,” limit on total endorsements is 5% of the Company’s net assets based on the latest audited or reviewed financial

statements, and limit on endorsements to a single party is 2% of the Company’s net assets based on the latest audited or reviewed financial statements.

Note 3: The Company’s net assets based on the latest audited or reviewed financial statements were $143,957,787 thousand (2021/6/30).

Note 4: Relationship between the endorser/guarantor and the party being endorsed/guaranteed is classified into the following seven categories:

• (1) Having business relationship.

• (2) The endorser/guarantor parent company owns directly and indirectly more than 50% voting shares of the endorsed/guaranteed subsidiary.

• (3) The endorsed/guaranteed company owns directly and indirectly more than 50% voting shares of the endorser/guarantor parent company.

• (4) The endorser/guarantor parent company owns directly and indirectly more than 90% voting shares of the endorsed/guaranteed company.

• (5) Mutual guarantee of the trade made by the endorsed/guaranteed company or joint contractor as required under the construction contract.

(6) Due to joint venture, all shareholders provide endorsements/guarantees to the endorsed/guaranteed company in proportion to its ownership.

(7) Joint guarantee of the performance guarantee for pre-sold home sales contract as required under the Consumer Protection Act.

Table 2-1

Delta Electronics, Inc. and Subsidiaries

Holding of marketable securities at the end of the period (not including subsidiaries, associates and joint ventures) June 30, 2021

Table 3

Expressed in thousands of New Taiwan dollars, except as otherwise indicated

Securities held by	Marketable securities	Relationship with the securities issuer	General ledger account	As at June 30,2021	As at June 30,2021	As at June 30,2021	As at June 30,2021	Footnote
				Number of shares	Book value	Ownership (%)	Fair value
Delta Electronics, Inc.	United Renewable Energy Co., Ltd. common stock	None	Financial assets at fair value through other comprehensive income - non-current	55,308,750	724,545 $	2.08%	724,545 $
Delta Electronics, Inc.	Lanner Electronics Inc. common stock	None	Financial assets at fair value through other comprehensive income - non-current	6,763,845	399,743	5.73%	399,743
Delta Electronics, Inc.	Lanner Electronics Inc. convertible bonds	None	Financial assets at fair value through profit or loss - non-current	-	900,000	0.00%	900,000
Delta Electronics, Inc.	WK Technology Fund. common stock, etc.	None	Financial assets at fair value through other comprehensive income and Financial assets at fair value through profit or loss	-	191,038	0.00%	191,038
Delta Electronics Capital Company	Tong Hsing Electronic Industries, Ltd. common stock	None	Financial assets at fair value through profit or loss - current	1,129,750	240,072	0.63%	240,072
Delta Electronics Capital Company	Fusheng Precision Co., Ltd. common stock	None	Financial assets at fair value through profit or loss - current	1,061,000	222,280	0.81%	222,280
Delta Electronics Capital Company	Nien Made Enterprise Co., Ltd. common stock	None	Financial assets at fair value through profit or loss - current	423,043	174,928	0.14%	174,928
Delta Electronics Capital Company	TaskEasy, Inc. common stock	None	Financial assets at fair value through profit or loss - non-current	2,633,872	141,008	7.51%	141,008
Delta Electronics Capital Company	Allied Supreme Corp. common stock	None	Financial assets at fair value through profit or loss - non-current	1,000,000	229,180	1.45%	229,180
Delta Electronics Capital Company	Ampak Technology Inc. common stock	None	Financial assets at fair value through profit or loss - non-current	1,800,000	165,420	2.99%	165,420
Delta Electronics Capital Company	Acer E-Enabling Service Business Inc. common stock	None	Financial assets at fair value through profit or loss - non-current	800,000	170,000	2.19%	170,000
Delta Electronics Capital Company	Hz0, Inc. common stock, etc.	None	Financial assets at fair value through profit or loss	-	1,463,823	0.00%	1,463,823

Table 3-1

Securities held by	Marketable securities	Relationship with the securities issuer	General ledger account	As at June 30,2021	As at June 30,2021	As at June 30,2021	As at June 30,2021	Footnote
				Number of shares	Book value	Ownership (%)	Fair value
Delta Electronics (Netherlands) B.V.	ZENTERA SYSTEMS, INC. preferred stock	None	Financial assets at fair value through other comprehensive income - non-current	1,838,235	139,300 $	10.46%	139,300 $
Delta Electronics (Netherlands) B.V.	Grace Connection Microeletronics Limited common stock	None	Financial assets at fair value through profit or loss - non-current	141,065	111,440	19.90%	111,440
Delta Electronics (Netherlands) B.V.	Noda RF Technologies Co., Ltd. common sotck, etc.	None	Financial assets at fair value through other comprehensive income - non-current	-	51,038	0.00%	51,038
Cyntec Co., Ltd.	SUSUMU Co., Ltd. common stock	None	Financial assets at fair value through other comprehensive income - non-current	200,000	104,081	11.53%	104,081
Cyntec Co., Ltd.	GaN Systems Inc. preferred stock, etc.	None	Financial assets at fair value through other comprehensive income - non-current	-	161,319	0.00%	161,319
Delta Electronics (Japan), Inc.	Macy Inc. common stock	None	Financial assets at fair value through other comprehensive income - non-current	74,000,000	31,306	19.79%	31,306
Delta America, Ltd.	VPT Inc. common stock	None	Financial assets at fair value through other comprehensive income - non-current	860,000	4,876	17.52%	4,876
Delta Electronics (Pingtan) Co., Ltd.	Pingtan Hi Tech Investment Development Shares Co., Ltd.	None	Financial assets at fair value through other comprehensive income - non-current	-	32,337	15.00%	32,337
Vivotek Inc.	Kneron Holding Corporation preferred stock	None	Financial assets at fair value through profit or loss - non-current	1,310,003	197,148	2.45%	197,148

Table 3-2

Delta Electronics, Inc. and Subsidiaries

Acquisition of real estate reaching NT$300 million or 20% of paid-in capital or more

Six months ended June 30, 2021

Table 4

Expressed in thousands of New Taiwan dollars, except as otherwise indicated

Real estate acquired by	Real estate acquired	Date of the event	Transaction amount	Status of payment	Counterparty	Relationship with the counterparty	If the counterparty is a related party, information as to the last transaction of the real estate is disclosed below:	If the counterparty is a related party, information as to the last transaction of the real estate is disclosed below:	If the counterparty is a related party, information as to the last transaction of the real estate is disclosed below:	If the counterparty is a related party, information as to the last transaction of the real estate is disclosed below:	Basis or reference used in setting theprice	Reason for acquisition of real estate and status of the real estate	Other commitments
							Original owner who sold the real estate to the counterparty	Relationship between the original owner and the acquirer	Date of the original transactio n	Amount
Delta Controls Inc.	Land and buildings in British Columbia, Canada	April 20, 2021	640,680 $	In accordance with the contract terms	Energrated Holdings Ltd.	None	-	-	-	- $	By reference to the price quoted by the professional appraisal agency and market value	For future business development	None

Table 4-1

Delta Electronics, Inc. and Subsidiaries

Purchases or sales of goods from or to related parties reaching $100 million or 20% of the Company's paid-in capital or more Six months ended June 30, 2021

Table 5

Expressed in thousands of New Taiwan dollars, except as otherwise indicated

Purchaser/seller	Counterparty	Relationship with the counterparty	Transaction	Transaction	Transaction	Transaction	Differences in transaction terms compared to third partytransactions	Differences in transaction terms compared to third partytransactions	Notes/accounts receivable (payable)	Notes/accounts receivable (payable)	Footnote
			Purchases(sales)	Amount	Percentage of total purchases (sales)	Credit term	Unitprice	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
Delta Electronics (Dongguan) Co., Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	Operating revenue	2,152,767 $	13.61	70 days			1,340,924 $	24.56
Delta Electronics (Dongguan) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	13,534,515	85.54	70 days			3,985,965	73.00
Delta Electronics (Jiangsu) Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	Operating revenue	9,735,492	25.12	70 days			5,868,576	50.18
Delta Electronics (Jiangsu) Ltd.	Delta Electronics (Wuhu) Co., Ltd.	Affiliated enterprise	Operating revenue	318,923	0.81	70 days			178,470	1.53
Delta Electronics (Jiangsu) Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	28,466,746	73.44	70 days			5,572,203	47.65
Delta Electronics (Shanghai) Co., Ltd.	Delta Electronics (Jiangsu) Ltd.	Affiliated enterprise	Operating revenue	152,247	0.89	70 days			72,813	0.69
Delta Electronics (Shanghai) Co., Ltd.	Delta Greentech (China) Co., Ltd.	Affiliated enterprise	Operating revenue	9,744,642	57.80	70 days			6,218,887	58.82
Delta Electronics (Shanghai) Co., Ltd.	Delta Electronics (Pingtan) Co., Ltd.	Affiliated enterprise	Operating revenue	1,410,126	8.37	70 days			954,377	9.03
Delta Electronics (Shanghai) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	484,980	2.88	70 days			248,855	2.35
Delta Networks (Dongguan) Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	2,841,175	99.27	70 days			1,288,215	99.21
Delta Electronics (Wuhu) Co., Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	Operating revenue	142,669	3.86	70 days			75,073	6.16
Delta Electronics (Wuhu) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	3,548,920	96.14	70 days			1,129,374	92.68
Delta Electronics (Chenzhou) Co., Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	Operating revenue	403,064	16.84	70 days			193,657	16.95

Table 5-1

Purchaser/seller	Counterparty	Relationship with the counterparty	Transaction	Transaction	Transaction	Transaction	Differences in transaction terms compared to third partytransactions	Differences in transaction terms compared to third partytransactions	Notes/accounts receivable (payable)	Notes/accounts receivable (payable)	Footnote
			Purchases(sales)	Amount	Percentage of total purchases (sales)	Credit term	Unitprice	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
Delta Electronics (Chenzhou) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	1,989,636 $	83.17	70 days			948,562 $	83.05
Chenzhou Delta Technology Co., Ltd.	Delta Electronics (Dongguan) Co., Ltd.	Affiliated enterprise	Operating revenue	893,500	62.00	70 days			241,273	49.58
Chenzhou Delta Technology Co., Ltd.	Delta Electronics (Chenzhou) Co., Ltd.	Affiliated enterprise	Operating revenue	185,282	12.83	70 days			103,821	21.34
Chenzhou Delta Technology Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	347,811	24.14	70 days			132,667	27.26
Cyntec Co., Ltd.	Delta Electronics, Inc.	Ultimate parent company	Operating revenue	975,147	27.61	Note 1	Note 1	Note 1	535,058	39.67
Cyntec Electronics (Suzhou) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	7,489,824	99.44	Note 2	Note 2	Note 2	1,478,050	98.17
Cyntec Electronics (WuHu) Co., Ltd.	Cyntec Electronics (Suzhou) Co., Ltd.	Affiliated enterprise	Operating revenue	486,320	97.95	70 days			138,330	93.10
Delta Energy Systems (Germany) GmbH	Delta Electronics (Thailand) Public Company Limited	Affiliated enterprise	Operating revenue	1,199,633	86.40	70 days			19,548	33.90
Delta Electronics (Japan), Inc.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	591,576	20.43	70 days			206,467	25.91
Delta Electronics (Netherlands) B.V.	Delta Electronics (Italy) S.r.l.	Affiliated enterprise	Operating revenue	165,328	6.18	70 days			87,001	6.70
Delta Electronics (Netherlands) B.V.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	209,723	7.84	70 days			49,219	3.79
Delta Electronics (Netherlands) B.V.	Delta Greentech Electronics Industry LLC	Affiliated enterprise	Operating revenue	428,354	15.94	180 days			472,672	36.43
ELTEK AS	Eltek Deutschland GmbH	Affiliated enterprise	Operating revenue	318,762	13.42	70 days			110,102	8.97
ELTEK AS	Eltek Egypt for Power Supply S.A.E.	Affiliated enterprise	Operating revenue	110,780	4.66	70 days			74,885	6.09

Table 5-2

Purchaser/seller	Counterparty	Relationship with the counterparty	Transaction	Transaction	Transaction	Transaction	Differences in transaction terms compared to third partytransactions	Differences in transaction terms compared to third partytransactions	Notes/accounts receivable (payable)	Notes/accounts receivable (payable)	Footnote
			Purchases(sales)	Amount	Percentage of total purchases (sales)	Credit term	Unitprice	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
ELTEK AS	ELTEK POWER FRANCE SAS	Affiliated enterprise	Operating revenue	354,786 $	14.90	70 days			189,824 $	15.45
ELTEK AS	Eltek Power (UK) Ltd	Affiliated enterprise	Operating revenue	187,238	7.87	70 days			94,695	7.71
ELTEK AS	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	101,326	4.24	70 days			34,112	1.39
ELTEK AS	Eltek s.r.o.	Affiliated enterprise	Operating revenue	223,040	9.37	70 days			187,819	15.29
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Australia) Pty Ltd.	Affiliated enterprise	Operating revenue	243,814	0.22	70 days			124,141	0.25
Delta Electronics Int’l (Singapore) Pte. Ltd.	DELTA ELECTRONICS BRASIL LTDA	Affiliated enterprise	Operating revenue	111,393	0.10	90 days after delivery			87,885	0.17
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics ( Switzerland ) AG	Affiliated enterprise	Operating revenue	994,917	0.90	70 days			594,421	1.17
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Dongguan) Co., Ltd.	Affiliated enterprise	Operating revenue	9,148,624	8.49	70 days			4,262,711	8.42
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Jiangsu) Ltd.	Affiliated enterprise	Operating revenue	15,711,834	14.60	70 days			2,665,233	5.26
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Networks (Dongguan) Ltd.	Affiliated enterprise	Operating revenue	2,672,690	2.48	70 days			754,219	1.49
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Wuhu) Co., Ltd.	Affiliated enterprise	Operating revenue	2,863,081	2.67	70 days			839,242	1.66
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Chenzhou) Co., Ltd.	Affiliated enterprise	Operating revenue	1,570,984	1.43	70 days			896,734	1.78
Delta Electronics Int’l (Singapore) Pte. Ltd.	Chenzhou Delta Technology Co., Ltd.	Affiliated enterprise	Operating revenue	141,359	0.14	70 days			55,907	0.11
Delta Electronics Int’l (Singapore) Pte. Ltd.	Cyntec Co., Ltd.	Affiliated enterprise	Operating revenue	799,918	0.73	70 days			409,506	0.81

Table 5-3

Purchaser/seller	Counterparty	Relationship with the counterparty		Transaction	Transaction	Transaction	Differences in transaction terms compared to third partytransactions	Differences in transaction terms compared to third partytransactions	Notes/accounts receivable (payable)	Notes/accounts receivable (payable)	Footnote
			Purchases(sales)	Amount	Percentage of total purchases (sales)	Credit term	Unitprice	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
Delta Electronics Int’l (Singapore) Pte. Ltd.	Cyntec Electronics (Suzhou) Co., Ltd.	Affiliated enterprise	Operating revenue	106,696 $	0.12	70 days			13,184 $	0.03
Delta Electronics Int’l (Singapore) Pte. Ltd.	DELTA ELECTRONICS SOLUTIONS (SPAIN) SL	Affiliated enterprise	Operating revenue	107,664	0.09	70 days			90,773	0.18
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics India Pvt. Ltd.	Affiliated enterprise	Operating revenue	851,721	0.77	90 days after delivery			628,083	1.24
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Japan), Inc.	Affiliated enterprise	Operating revenue	1,497,776	1.38	70 days			647,730	1.28
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Korea), Inc.	Affiliated enterprise	Operating revenue	115,307	0.10	70 days			69,480	0.14
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Netherlands) B.V.	Affiliated enterprise	Operating revenue	1,214,663	1.12	70 days			676,627	1.34
Delta Electronics Int’l (Singapore) Pte. Ltd.	ELTEK AS	Affiliated enterprise	Operating revenue	566,425	0.52	70 days			306,872	0.61
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Slovakia) s.r.o.	Affiliated enterprise	Operating revenue	210,512	0.20	70 days			92,481	0.18
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Thailand) Public Company Limited	Affiliated enterprise	Operating revenue	735,948	0.69	70 days			365,346	0.72
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics, Inc.	Ultimate parent company	Operating revenue	10,173,423	9.44	70 days			8,548,834	16.90
Delta Electronics Int’l (Singapore) Pte. Ltd.	DEI Logistics (USA) Corp.	Affiliated enterprise	Operating revenue	6,223,195	5.77	90 days after delivery			3,875,188	7.66
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Americas) Ltd.	Affiliated enterprise	Operating revenue	1,231,698	1.14	70 days			781,610	1.55
Delta Electronics Int’l (Singapore) Pte. Ltd.	DELTA ELECTRONICS (USA) INC.	Affiliated enterprise	Operating revenue	3,021,494	2.79	70 days			1,285,890	2.55
Delta Electronics (Slovakia) s.r.o.	Delta Electronics (Netherlands) B.V.	Affiliated enterprise	Operating revenue	241,936	13.60	70 days			128,160	14.50

Table 5-4

Purchaser/seller	Counterparty	Relationship with the counterparty	Transaction	Transaction	Transaction	Transaction	Differences in transaction terms compared to third partytransactions	Differences in transaction terms compared to third partytransactions	Notes/accounts receivable (payable)	Notes/accounts receivable (payable)	Footnote
			Purchases(sales)	Amount	Percentage of total purchases (sales)	Credit term	Unitprice	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
Delta Electronics (Slovakia) s.r.o.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	725,937 $	40.95	70 days			371,550 $	42.06
Delta Electronics (Slovakia) s.r.o.	Eltek s.r.o.	Affiliated enterprise	Operating revenue	127,662	7.21	70 days			57,386	6.50
Delta Electronics (Slovakia) s.r.o.	Delta Electronics (Thailand) Public Company Limited	Affiliated enterprise	Operating revenue	646,753	36.50	70 days			320,727	36.30
Eltek s.r.o.	ELTEK AS	Affiliated enterprise	Operating revenue	868,147	69.68	70 days			205,825	41.29
Eltek s.r.o.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	335,631	26.98	70 days			244,423	49.04
Delta Electronics (Thailand) Public Company Limited	Delta Electronics India Pvt. Ltd.	Affiliated enterprise	Operating revenue	196,204	0.64	90 days after delivery			95,539	0.60
Delta Electronics (Thailand) Public Company Limited	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	546,752	1.77	70 days			245,739	1.54
Delta Electronics (Thailand) Public Company Limited	DET Logistics (USA) Corporation	Affiliated enterprise	Operating revenue	10,959,981	35.56	90 days after delivery			7,356,424	46.16
Delta Electronics (Thailand) Public Company Limited	Delta Electronics (Americas) Ltd.	Affiliated enterprise	Operating revenue	851,333	2.79	70 days			540,372	3.39
Delta Electronics (Thailand) Public Company Limited	DELTA ELECTRONICS (USA) INC.	Affiliated enterprise	Operating revenue	132,666	0.44	70 days			59,877	0.38
Delta Electronics, Inc.	Delta Electronics (Jiangsu) Ltd.	Subsidiary	Operating revenue	384,045	1.21	70 days			378,769	3.26
Delta Electronics, Inc.	Delta Greentech (China) Co., Ltd.	Subsidiary	Operating revenue	175,468	0.55	70 days			96,878	0.83
Delta Electronics, Inc.	Cyntec Electronics (Suzhou) Co., Ltd.	Subsidiary	Operating revenue	316,978	1.00	70 days			259	-
Delta Electronics, Inc.	Delta Electronics India Pvt. Ltd.	Subsidiary	Operating revenue	102,058	0.30	90 days after delivery			81,790	0.71

Table 5-5

Purchaser/seller	Counterparty	Relationship with the counterparty	Transaction	Transaction	Transaction	Transaction	Differences in transaction terms compared to third partytransactions	Differences in transaction terms compared to third partytransactions	Notes/accounts receivable (payable)	Notes/accounts receivable (payable)	Footnote
			Purchases(sales)	Amount	Percentage of total purchases (sales)	Credit term	Unitprice	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
Delta Electronics, Inc.	Delta Electronics (Japan), Inc.	Subsidiary	Operating revenue	117,570 $	0.36	70 days			77,760 $	0.67
Delta Electronics, Inc.	Delta Electronics (Netherlands) B.V.	Subsidiary	Operating revenue	115,533	0.36	70 days			80,018	0.68
Delta Electronics, Inc.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Subsidiary	Operating revenue	282,029	0.89	70 days			1,377,194	11.86
Delta Electronics, Inc.	Delta Electronics (Thailand) Public Company Limited	Subsidiary	Operating revenue	1,401,704	4.40	70 days			465,703	4.00
Delta Electronics, Inc.	DEI Logistics (USA) Corp.	Subsidiary	Operating revenue	3,183,839	10.01	90 days after delivery			1,727,706	14.87
Delta Electronics, Inc.	Delta Electronics (Americas) Ltd.	Subsidiary	Operating revenue	665,800	2.12	70 days			338,988	2.92
Delta Electronics, Inc.	DELTA ELECTRONICS (USA) INC.	Subsidiary	Operating revenue	295,909	0.94	70 days			143,715	1.24
Delta Electronics (Americas) Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	227,943	5.01	70 days			6,401	0.49
Delta Electronics (Americas) Ltd.	Delta Electronics (Thailand) Public Company Limited	Affiliated enterprise	Operating revenue	170,888	3.81	70 days			60,504	4.70
Vivotek Inc.	Vivotek USA, Inc.	Affiliated enterprise	Operating revenue	290,775	12.00	90 days	Note 3	Note 3	185,850	25.00

Note 1: Sales revenue is cost plus handling charges and necessary processing costs. The collection term for related parties is 75 days from next month, and to third parties is 30~120 days after monthly billings. Note 2: Sales revenue is cost plus necessary profit, and the collection term for related parties is 75 days from next month.

Note 3: Vivotek Inc. determined the prices and terms of goods sold to Vivotek USA, Inc. based on the economic conditions and market competitiveness of the sales area, and there is no comparable prices and terms available for the goods sold to third parties.

Table 5-6

Delta Electronics, Inc. and Subsidiaries

Receivables from related parties reaching $100 million or 20% of the Company's paid-in capital or more June 30, 2021

Table 6

Expressed in thousands of New Taiwan dollars, except as otherwise indicated

Creditor	Counterparty	Relationship with the counterparty	Balance as at June 30, 2021 (Note 1)	Turnover rate	Overdue receivables	Overdue receivables	Amount collected subsequent to the balance date (Note 2)	Allowance for doubtful accounts
					Amount	Action taken
Delta Electronics (Dongguan) Co., Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	1,340,924 $	4.49	- $		391,136 $
Delta Electronics (Dongguan) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	3,985,965	5.52	-		-
Delta Electronics (Jiangsu) Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	5,868,576	3.08	-		1,647,273
Delta Electronics (Jiangsu) Ltd.	Delta Electronics (Wuhu) Co., Ltd.	Affiliated enterprise	178,470	4.20	-		51
Delta Electronics (Jiangsu) Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	5,572,203	10.32	2,141		-
Delta Electronics (Shanghai) Co., Ltd.	Delta Greentech (China) Co., Ltd.	Affiliated enterprise	6,218,887	3.44	-		1,972,426
Delta Electronics (Shanghai) Co., Ltd.	Delta Electronics (Pingtan) Co., Ltd.	Affiliated enterprise	954,377	3.38	-		287,816
Delta Electronics (Shanghai) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	248,855	3.55	-		-
Delta Networks (Dongguan) Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	1,288,215	4.23	-		-
Delta Electronics (Wuhu) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	1,129,374	6.88	362		562,772
Delta Electronics (Chenzhou) Co., Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	193,657	4.13	-		60,186
Delta Electronics (Chenzhou) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	948,562	4.84	-		-
Chenzhou Delta Technology Co., Ltd.	Delta Electronics (Dongguan) Co., Ltd.	Affiliated enterprise	241,273	6.27	-		-
Chenzhou Delta Technology Co., Ltd.	Delta Electronics (Chenzhou) Co., Ltd.	Affiliated enterprise	103,821	4.16	-		278
Chenzhou Delta Technology Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	132,667	5.06	-		-

Table 6-1

Creditor	Counterparty	Relationship with the counterparty	Balance as at June 30, 2021 (Note 1)	Turnover rate	Overdue receivables	Overdue receivables	Amount collected subsequent to the balance date (Note 2)	Allowance for doubtful accounts
					Amount	Action taken
Cyntec Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	145,720 $	-	- $		145,720 $
Cyntec Co., Ltd.	Delta Electronics Inc.	Ultimate parent company	535,058	3.57	-		196,853
Cyntec Electronics (Suzhou) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	1,478,050	7.61	-		838,238
Cyntec Electronics (WuHu) Co., Ltd.	Cyntec Electronics (Suzhou) Co., Ltd.	Affiliated enterprise	138,330	14.06	-		-
Delta Electronics (Japan), Inc.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	206,467	6.33	1,583		111,396
Delta Electronics (Netherlands) B.V.	Delta Greentech Electronics Industry LLC	Affiliated enterprise	472,672	2.18	49,580		-
ELTEK AS	Eltek Deutschland GmbH	Affiliated enterprise	110,102	4.40	-		48,022
ELTEK AS	ELTEK POWER FRANCE SAS	Affiliated enterprise	189,824	4.28	-		-
ELTEK AS	Eltek s.r.o.	Affiliated enterprise	509,438	2.73	90,600		111,326
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Australia) Pty Ltd	Affiliated enterprise	124,141	4.09	-		62,444
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics ( Switzerland ) AG	Affiliated enterprise	594,421	3.29	-		303,627
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Dongguan) Co., Ltd.	Affiliated enterprise	4,262,711	4.64	192,902		2,077,148
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Jiangsu) Ltd.	Affiliated enterprise	2,665,233	14.28	-		-
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Networks (Dongguan) Ltd.	Affiliated enterprise	754,219	7.82	-		450,676
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Wuhu) Co., Ltd.	Affiliated enterprise	839,242	7.94	-		-
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Chenzhou) Co., Ltd.	Affiliated enterprise	896,734	3.93	428,306		278,600
Delta Electronics Int’l (Singapore) Pte. Ltd.	Cyntec Co., Ltd.	Affiliated enterprise	409,506	4.42	5,851		-

Table 6-2

Creditor	Counterparty	Relationship with the counterparty	Balance as at June 30, 2021 (Note 1)	Turnover rate	Overdue receivables	Overdue receivables	Amount collected subsequent to the balance date (Note 2)	Allowance for doubtful accounts
					Amount	Action taken
Delta Electronics Int’l (Singapore) Pte. Ltd.	Digital Projection Ltd	Affiliated enterprise	129,891 $	1.65	75,293 $		- $
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics India Pvt. Ltd.	Affiliated enterprise	628,083	3.09	4,180		4,283
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Japan), Inc.	Affiliated enterprise	647,730	4.39	5,562		148,957
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Netherlands) B.V.	Affiliated enterprise	676,627	4.88	-		132,326
Delta Electronics Int’l (Singapore) Pte. Ltd.	ELTEK AS	Affiliated enterprise	306,872	2.80	-		77,877
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Thailand) Public Company Limited	Affiliated enterprise	365,346	3.84	2,724		130,992
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics, Inc.	Ultimate parent company	8,654,529	2.44	86,885		100,081
Delta Electronics Int’l (Singapore) Pte. Ltd.	DEI Logistics (USA) Corp.	Affiliated enterprise	3,875,188	2.64	91,619		511,457
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Americas) Ltd.	Affiliated enterprise	781,610	3.82	4,774		191,524
Delta Electronics Int’l (Singapore) Pte. Ltd.	DELTA ELECTRONICS (USA) INC.	Affiliated enterprise	1,285,890	5.58	18,417		171,142
Delta Electronics (Slovakia) s.r.o.	Delta Electronics (Netherlands) B.V.	Affiliated enterprise	128,160	3.89	-		14,170
Delta Electronics (Slovakia) s.r.o.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	371,550	3.57	-		145,243
Delta Electronics (Slovakia) s.r.o.	Delta Electronics (Thailand) Public Company Limited	Affiliated enterprise	320,727	3.60	3		99,879
Eltek s.r.o.	ELTEK AS	Affiliated enterprise	205,825	10.03	497		205,530
Eltek s.r.o.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	244,423	4.46	-		87,877
Delta Electronics (Thailand) Public Company Limited	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	245,739	4.34	8,630		37,031
Delta Electronics (Thailand) Public Company Limited	DET Logistics (USA) Corporation	Affiliated enterprise	7,356,424	3.31	25,422		283,226

Table 6-3

Creditor	Counterparty	Relationship with the counterparty	Balance as at June 30, 2021 (Note 1)	Turnover rate	Overdue receivables	Overdue receivables	Amount collected subsequent to the balance date (Note 2)	Allowance for doubtful accounts
					Amount	Action taken
Delta Electronics (Thailand) Public Company Limited	Delta Electronics (Americas) Ltd.	Affiliated enterprise	540,372 $	3.96	4,365 $		175,162 $
Delta Electronics, Inc.	Delta Electronics (Jiangsu) Ltd.	Subsidiary	378,769	0.97	-		-
Delta Electronics, Inc.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Subsidiary	1,809,631	0.28	93,422		1,722,271
Delta Electronics, Inc.	Delta Electronics (Thailand) Public Company Limited	Subsidiary	465,703	6.98	3,911		2,739
Delta Electronics, Inc.	DEI Logistics (USA) Corp.	Subsidiary	1,727,706	3.16	-		10,128
Delta Electronics, Inc.	Delta Electronics (Americas) Ltd.	Subsidiary	338,988	4.03	-		104,699
Delta Electronics, Inc.	DELTA ELECTRONICS (USA) INC.	Subsidiary	143,715	4.76	10,012		49,493
Cyntec Electronics (Suzhou) Co., Ltd.	Cyntec Electronics (WuHu) Co., Ltd.	Affiliated enterprise	239,987	-	1,915		-
Delta Energy Systems (Germany) GmbH	Delta Electronics (Thailand) Public Company Limited	Affiliated enterprise	204,198	-	272		204,198
Delta International Holding Limited B.V.	Delta Controls Inc.	Affiliated enterprise	390,472	-	-		-
Delta International Holding Limited B.V.	Delta Electronics (H.K.) Ltd.	Affiliated enterprise	12,280,091	-	-		-
Delta International Holding Limited B.V.	Drake Investment (HK) Limited	Affiliated enterprise	697,732	-	-		-
Delta International Holding Limited B.V.	Delta Electronics (Netherlands) B.V.	Affiliated enterprise	17,917,492	-	-		-
Delta Networks Holding Limited	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	808,961	-	-		-
DET International Holding Limited	Delta Electronics India Pvt. Ltd.	Affiliated enterprise	1,393,000	-	-		-
Delta Greentech (China) Co., Ltd.	Cyntec Electronics (WuHu) Co., Ltd.	Affiliated enterprise	1,231,154	-	-		-

Table 6-4

Creditor	Counterparty	Relationship with the counterparty	Balance as at June 30, 2021 (Note 1)	Turnover rate	Overdue receivables	Overdue receivables	Amount collected subsequent to the balance date (Note 2)	Allowance for doubtful accounts
					Amount	Action taken
Delta Electronics (Wuhu) Co., Ltd.	Delta Electronics (Jiangsu) Ltd.	Affiliated enterprise	1,513,369 $	-	- $		- $
Fairview Assets Ltd.	Delta Controls Inc.	Affiliated enterprise	1,672,297	-	-		-
Fairview Assets Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	17,062,711	-	-		-
ELTEK AS	Delta Electronics (Poland) Sp. z o.o.	Affiliated enterprise	107,267	-	-		-
Delta Greentech (Netherlands) B.V.	Eltek s.r.o.	Affiliated enterprise	198,900	-	-		-
Delta Energy Systems (Germany) GmbH	Delta Energy Systems Property (Germany) GmbH	Affiliated enterprise	394,485	-	-		-
Vivotek Inc.	Vivotek USA, Inc.	Affiliated enterprise	185,850	5.87	-		79,577
Vivotek Inc.	Vatics Inc.	Affiliated enterprise	270,367	-	-		-

Note 1: Including other receivables in excess of $100,000.

Note 2: The amount represents collections subsequent to June 30, 2021 up to July 29, 2021.

Table 6-5

Delta Electronics, Inc. and Subsidiaries

Significant inter-company transactions during the reporting period Six months ended June 30, 2021

Table 7

Expressed in thousands of New Taiwan dollars, except as otherwise indicated

Number (Note 1)	Companyname	Counterparty	Relationship (Note 2)	Transaction	Transaction	Transaction	Transaction
				General ledger account	Amount(Note 8)	Transaction terms	Percentage of consolidated total operating revenues or total assets (Note 3)
0	Delta Electronics, Inc.	DEI Logistics (USA) Corp.	Subsidiary	Operating revenue	3,183,839 $	(Note 5)	2.10
1	Delta Electronics (Dongguan) Co., Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	Operating revenue	2,152,767	(Note 4)	1.42
1	Delta Electronics (Dongguan) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	13,534,515	(Note 4)	8.95
2	Delta Electronics (Jiangsu) Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	Operating revenue	9,735,492	(Note 4)	6.44
2	Delta Electronics (Jiangsu) Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	28,466,746	(Note 4)	18.82
3	Delta Electronics (Shanghai) Co., Ltd.	Delta Greentech (China) Co., Ltd.	Affiliated enterprise	Operating revenue	9,744,642	(Note 4)	6.44
4	Delta Networks (Dongguan) Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	2,841,175	(Note 4)	1.88
5	Delta Electronics (Wuhu) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	3,548,920	(Note 4)	2.35
6	Delta Electronics (Chenzhou) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	1,989,636	(Note 4)	1.32
7	Cyntec Electronics (Suzhou) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Operating revenue	7,489,824	(Note 7)	4.95
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Dongguan) Co., Ltd.	Affiliated enterprise	Operating revenue	9,148,624	(Note 4)	6.05
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Jiangsu) Ltd.	Affiliated enterprise	Operating revenue	15,711,834	(Note 4)	10.39
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Networks (Dongguan) Ltd.	Affiliated enterprise	Operating revenue	2,672,690	(Note 4)	1.77
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Wuhu) Co., Ltd.	Affiliated enterprise	Operating revenue	2,863,081	(Note 4)	1.89
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Chenzhou) Co., Ltd.	Affiliated enterprise	Operating revenue	1,570,984	(Note 4)	1.04

Table 7-1

Number (Note 1)	Companyname	Counterparty	Relationship (Note 2)		Transaction	Transaction	Transaction
				General ledger account	Amount(Note 8)	Transaction terms	Percentage of consolidated total operating revenues or total assets (Note 3)
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics, Inc.	Ultimate parent company	Operating revenue	10,173,423 $	(Note 4)	6.73
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	DEI Logistics (USA) Corp.	Affiliated enterprise	Operating revenue	6,223,195	(Note 5)	4.11
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	DELTA ELECTRONICS (USA) INC.	Affiliated enterprise	Operating revenue	3,021,494	(Note 4)	2.00
9	Delta Electronics (Thailand) Public Company Limited	DET Logistics (USA) Corporation	Affiliated enterprise	Operating revenue	10,959,981	(Note 5)	7.25
1	Delta Electronics (Dongguan) Co., Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Accounts receivable	3,985,965	(Note 4)	1.14
2	Delta Electronics (Jiangsu) Ltd.	Delta Electronics (Shanghai) Co., Ltd.	Affiliated enterprise	Accounts receivable	5,868,576	(Note 4)	1.67
2	Delta Electronics (Jiangsu) Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Accounts receivable	5,572,203	(Note 4)	1.59
3	Delta Electronics (Shanghai) Co., Ltd.	Delta Greentech (China) Co., Ltd.	Affiliated enterprise	Accounts receivable	6,218,887	(Note 4)	1.77
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Dongguan) Co., Ltd.	Affiliated enterprise	Accounts receivable	4,262,711	(Note 4)	1.21
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics, Inc.	Ultimate parent company	Accounts receivable	8,654,529	(Note 4)	2.47
8	Delta Electronics Int’l (Singapore) Pte. Ltd.	DEI Logistics (USA) Corp.	Affiliated enterprise	Accounts receivable	3,875,188	(Note 5)	1.10
9	Delta Electronics (Thailand) Public Company Limited	DET Logistics (USA) Corporation	Affiliated enterprise	Accounts receivable	7,356,424	(Note 5)	2.10
10	Delta International Holding Limited B.V.	Delta Electronics (H.K.) Ltd.	Affiliated enterprise	Other receivables - related parties	12,280,091	(Note 6)	3.50
10	Delta International Holding Limited B.V.	Delta Electronics (Netherlands) B.V.	Affiliated enterprise	Other receivables - related parties	17,917,492	(Note 6)	5.11

Table 7-2

Number (Note 1)	Companyname	Counterparty	Relationship (Note 2)	Transaction	Transaction	Transaction	Transaction
				General ledger account	Amount(Note 8)	Transaction terms	Percentage of consolidated total operating revenues or total assets (Note 3)
11	Fairview Assets Ltd.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Affiliated enterprise	Other receivables - related parties	17,062,711 $	(Note 6)	4.86

Note 1: The numbers filled in for the transaction company in respect of inter-company transactions are as follows:

• (1) Parent company is ‘0’.

• (2) The subsidiaries are numbered in order starting from ‘1’.

Note 2: Relationship between transaction company and counterparty is classified into the following three categories:

• (1) Parent company to subsidiary.

• (2) Subsidiary to parent company.

• (3) Subsidiary to subsidiary.

Note 3: Regarding percentage of transaction amount to consolidated total operating revenues or total assets, it is computed based on period-end balance of transaction to consolidated total assets for balance sheet accounts and based on accumulated transaction amount for the period to consolidated total operating revenues for income statement accounts. Note 4: There is no similar transaction to compare with. It will follow the agreed price and transaction terms and all the credit terms are 70 days.

Note 5: It will follow the agreed price and transaction terms, and all the credit terms are 90 days after delivery. Note 6: Lending of capital.

Note 7: Sales revenue is cost plus necessary profit, the collection term for related parties is 75 days from next month.

Note 8: The disclosure requirement for the above disclosed amounts is 1% of the consolidated total assets for balance sheet accounts and 1% of the consolidated total revenue for income statement accounts.

Table 7-3

Delta Electronics, Inc. and Subsidiaries Information on investees

Six months ended June 30, 2021

Table 8

Expressed in thousands of New Taiwan dollars, except as otherwise indicated

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as at June 30,2021	Shares held as at June 30,2021	Shares held as at June 30,2021	Net profit (loss) of the investee for the six months ended June 30,2021	Investment income (loss) recognised by the Company for the six months ended June 30, 2021	Footnote
				Balance as at June 30,2021	Balance as at December 31, 2020	Number of shares	Ownership (%)	Book value
Delta Electronics, Inc.	Delta International Holding Limited B.V.	Netherlands	Equity investments	8,922,118 $	8,922,118 $	67,680,000	100.00	68,308,649 $	806,855 $	825,749 $	(Note 6)
Delta Electronics, Inc.	Delta Networks Holding Limited	Cayman Islands	Equity investments	29,582	29,582	83,800,000	100.00	3,094,436	45,341	8,072	(Note 6)
Delta Electronics, Inc.	Delta Electronics (Netherlands) B.V.	Netherlands	Sales of power products, display solution products, electronic components, industrial automation products and materials	4,529,355	4,529,355	128,492,272	100.00	20,789,965	3,285,645	3,331,510	(Note 6)
Delta Electronics, Inc.	Delta Electronics (Thailand) Public Company Limited	Thailand	Manufacturing and exporting power supplies, other electronic parts and components	4,780,487	4,780,487	69,128,140	5.54	4,423,321	3,087,845	161,541	(Notes 6 and 13)
Delta Electronics, Inc.	Cyntec Co., Ltd.	Taiwan	Research, development, manufacturing and sales of film optic-electronic devices	12,067,931	12,067,931	2,341,204,333	100.00	33,090,812	626,870	570,760	(Note 6)
Delta Electronics, Inc.	DelBio Inc.	Taiwan	Manufacturing, wholesale and retail of medical equipment	900,000	900,000	21,761,836	100.00	220,364	18,714	16,229	(Note 6)
Delta Electronics, Inc.	Delta Electronics Capital Company	Taiwan	Equity investments	3,253,241	3,253,241	350,000,000	100.00	3,837,472	365,452	365,452	(Note 6)
Delta Electronics, Inc.	Delta Electronics Int’l (Singapore) Pte. Ltd.	Singapore	Sales of electronic products	34,498	34,498	45,234,240	100.00	41,944,131	6,691,321	6,683,802	(Note 6)
Delta Electronics, Inc.	Allied Material Technology Corp.	Taiwan	Lease services, etc.	2,113,978	2,113,978	211,400,909	99.97	1,628,563	46,948) (	46,934) (	(Note 6)
Delta Electronics, Inc.	Delta America Ltd.	U.S.A.	Equity investments	103,065	103,065	2,100,000	10.26	295,316	204,697	7,960) (	(Notes 6 and 9)
Delta Electronics, Inc.	Vivotek Inc.	Taiwan	Manufacturing and sales of video compression software and encoding, network video server, webcam and its related components	4,278,198	4,217,016	46,586,058	53.57	4,110,971	138,580	26,361	(Note 6)
Delta Electronics, Inc.	Chunghwa SEA Holdings	Taiwan	Equity investments	8,800	-	880,000	44.00	8,702	223) (	98) (	(Note 18)
Delta International Holding Limited B.V.	Delta Electronics (Thailand) Public Company Limited	Thailand	Manufacturing and exporting power supplies, other electronic parts and components	12,001,453	12,001,453	191,984,450	15.39	11,763,979	3,087,845	365,196	(Note 13)
Delta International Holding Limited B.V.	DEI Logistics (USA) Corp.	U.S.A.	Warehousing and logistics services	27,860	27,860	1,000,000	100.00	220,853	5,663	5,663	(Note 1)
Delta International Holding Limited B.V.	Delta Electronics (Japan), Inc.	Japan	Sales of power products, display solution products, electronic components, industrial automation products and materials	79,651	79,651	5,600	100.00	749,448	119,616	119,616	(Note 1)
Delta International Holding Limited B.V.	Digital Projection International Ltd.	Britain	Equity investments	393,563	393,563	46,949,667	100.00	261,668	35,822) (	40,973) (	(Note 1)
Delta International Holding Limited B.V.	Vivitek Corporation	U.S.A.	Sales of projector products and their materials	-	41,790	-	-	-	8,495) (	8,495) (	(Notes 1 and 21)

Table 8-1

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as at June 30,2021	Shares held as at June 30,2021	Shares held as at June 30,2021	Net profit (loss) of the investee for the six months ended June 30,2021	Investment income (loss) recognised by the Company for the six months ended June 30, 2021	Footnote
				Balance as at June 30,2021	Balance as at December 31, 2020	Number of shares	Ownership (%)	Book value
Delta International Holding Limited B.V.	Delta Electronics (Switzerland) AG	Switzerland	Equity investments, research, development and sales of electronic products	566,795 $	566,795 $	10,000	100.00	866,937 $	154,235 $	151,347 $	(Note 1)
Delta International Holding Limited B.V.	DELTA ELECTRONICS HOLDING (USA) INC.	U.S.A.	Equity investments	1,902,557	1,902,557	1,060,624	100.00	2,218,810	230,828	229,762	(Note 1)
Delta International Holding Limited B.V.	Eltek AS	Norway	Research, development and sales of power supplies and others	13,851,086	13,851,086	93,531,101	100.00	11,940,085	207,987	135,124) (	(Note 1)
Delta International Holding Limited B.V.	Delta Controls Inc.	Canada	Provide solutions to building management and control	2,089,500	2,089,500	75,000,000	100.00	2,552,361	37,713	37,713	(Note 1)
Delta International Holding Limited B.V.	Delta Electronics Europe Ltd.	Britain	Repair centre and providing support services	101,968	101,968	500,000	100.00	59,417	341	341	(Note 1)
Delta Electronics (H.K.) Ltd.	Delta Electronics International Mexico S. A. DE C. V.	Mexico	Sales of power management system of industrial automation product and telecommunications equipment	168,553	168,553	2,314,592	100.00	155,832	15,035	15,035	(Note 2)
Delta Electronics (Netherlands) B.V.	Delta Electronics (H.K.) Ltd.	Hong Kong	Equity investments, operations management and engineering services	9,149,143	9,149,143	2,549,297,600	100.00	23,102,640	2,536,333	2,536,333	(Note 8)
Delta Electronics (Netherlands) B.V.	Boom Treasure Limited	Hong Kong	Equity investments	2,427,188	2,427,188	1	100.00	1,983,479	131,815	74,180	(Note 8)
Delta Electronics (Netherlands) B.V.	Drake Investment (HK) Limited	Hong Kong	Equity investments	4,795,161	4,795,161	304,504,306	100.00	5,099,327	329,102	326,976	(Note 8)
Delta Electronics (Netherlands) B.V.	Delta America Ltd.	U.S.A.	Equity investments	1,438,452	1,438,452	18,374,182	89.74	2,490,023	204,697	183,284	(Notes 8 and 9)
Delta Electronics (Netherlands) B.V.	Optovue, Inc.	U.S.A.	Research, development, design, manufacturing and sales of medical equipment	1,030,820	1,030,820	5,190,330	29.50	720,196	948) (	1,766) (	(Notes 8 and 22)
Delta Electronics (Netherlands) B.V.	Delta Greentech Electronics Industry LLC	Turkey	Marketing and sales of electronic products	156,573	156,573	940,687	100.00	54,339	13,831	15,505	(Note 8)
Delta Electronics (Netherlands) B.V.	Delta Greentech (Brasil) S.A.	Brazil	Manufacturing and sales of electronic products	198,085	198,085	4,315,657	100.00	200,882	16,664	16,664	(Note 8)
Delta Electronics (Netherlands) B.V.	DELTA ELECTRONICS BRASIL LTDA.	Brazil	Manufacturing and sales of electronic products	565,098	565,098	87,000,000	100.00	468,851	69) (	69) (	(Note 8)
Delta Electronics (Netherlands) B.V.	Amerlux, LLC	U.S.A.	Design and producing of dedicated lighting system and facilities	2,722,451	2,722,451	-	100.00	2,703,139	32,537	6,851) (	(Note 8)
Delta Electronics (Netherlands) B.V.	Delta Greentech SGP Pte. Ltd.	Singapore	Equity investments	778,148	778,148	12,175,470	100.00	654,251	41,577	24,138	(Note 8)
Delta Electronics (Netherlands) B.V.	Trihedral Engineering Limited	Canada	Software and associated engineering service	993,893	984,954	51,495	100.00	1,039,012	62,107	49,601	(Note 8)
Delta America Ltd.	Delta Electronics (Americas) Ltd.	U.S.A.	Sales of electronic components	210,462	210,462	250,000	100.00	1,382,560	113,857	113,857	(Note 15)

Table 8-2

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as at June 30,2021	Shares held as at June 30,2021	Shares held as at June 30,2021	Net profit (loss) of the investee for the six months ended June 30,2021	Investment income (loss) recognised by the Company for the six months ended June 30, 2021	Footnote
				Balance as at June 30,2021	Balance as at December 31, 2020	Number of shares	Ownership (%)	Book value
Delta America Ltd.	Delta Solar Solutions LLC	U.S.A.	Equity investments	63,242 $	63,242 $	-	100.00	43,510 $	20) ($	20) ($	(Note 15)
Delta Electronics Int’l (Singapore) Pte. Ltd.	Delta Electronics (Thailand) Public Company Limited	Thailand	Manufacturing and exporting power supplies, other electronic parts and components	33,333,148	33,333,148	534,479,306	42.85	33,935,628	3,087,845	1,016,807	(Note 13)
Delta Electronics Int’l (Singapore) Pte. Ltd.	ELTEK POWER INCORPORATED	Philippines	Sales of power supplies and others	20,987	20,987	11,400,000	100.00	19,843	5,731	5,731	(Note 7)
Delta Electronics Int’l (Singapore) Pte. Ltd.	ELTEK POWER CO., LTD.	Thailand	Sales of power supplies and others	-	-	40,000	100.00	197,692	9,165) (	9,165) (	(Note 7)
Delta Electronics Int’l (Singapore) Pte. Ltd.	ELTEK POWER (CAMBODIA) LTD.	Cambodia	Sales of power supplies and others	-	-	1,000	100.00	17,452) (	-	-	(Note 7)
Delta Electronics Int’l (Singapore) Pte. Ltd.	ELTEK POWER (MALAYSIA) SDN. BHD.	Malaysia	Sales of power supplies and others	57,541	57,541	300,000	100.00	49,557) (	6,468	6,468	(Note 7)
Delta Electronics Int’l (Singapore) Pte. Ltd.	Loy Tec Electronics GmbH	Austria	Provide solutions to building management and control	2,261,102	2,261,102	-	100.00	1,546,430	59,251	32,985	(Note 7)
Delta Networks Holding Limited	Delta Networks, Inc.	Cayman Islands	Equity investments	4,955,151	4,955,151	1,196,886,000	100.00	1,973,734	43,962	43,716	(Note 3)
Delta Networks, Inc.	Delta Networks (HK) Limited	Hong Kong	Equity investments	975,100	975,100	35,000,000	100.00	1,951,917	44,698	44,698	(Note 4)
Digital Projection International Ltd.	Digital Projection Holdings Ltd.	Britain	Equity investments	165,795	165,795	40,526,221	100.00	182,765) (	35,822) (	35,822) (	(Note 17)
Cyntec Co., Ltd.	Fairview Assets Ltd.	Cayman Islands	Equity investments	1,116,521	1,116,521	32,740,062	100.00	29,121,459	438,554	438,554	(Note 5)
Cyntec Co., Ltd.	Power Forest Technology Corporation	Taiwan	IC design of power management	347,387	347,387	24,134,934	100.00	279,684	24,357	20,858	(Note 5)
Delta Electronics (Thailand) Public Company Limited	DET International Holding Limited	Cayman Islands	Equity investments	8,262,818	8,262,818	264,357,330	100.00	6,251,422	83,643	279,022) (	(Note 16)
Delta Electronics (Thailand) Public Company Limited	Delta Green Industrial (Thailand) Co., Ltd.	Thailand	Integration, sales, trading, installation and providing services of uninterruptible power supply, photovoltaic inverter, electric cars changer and data center	180,126	180,126	20,600,000	100.00	87,021	3,861) (	3,861) (	(Note 16)
Delta Electronics (Thailand) Public Company Limited	Delta Energy Systems (Singapore) PTE. LTD.	Singapore	Equity investments, trading, management and consultancy	4,873,800	4,873,800	146,586,590	100.00	8,606,386	58,535	58,390	(Note 16)
Delta Electronics (Thailand) Public Company Limited	DELTA ELECTRONICS (VIETNAM) COMPANY LIMITED	Vietnam	Sales of electronic products	2,650	2,650	-	100.00	221	2,516) (	2,516) (	(Note 16)
Delta Electronics (Thailand) Public Company Limited	DELTA ELECTRONICS INDIA MANUFACTURING PRIVATE LIMITED	India	Manufacturing and marketing of electronic products	402	-	110,999	100.00	402	-	-	(Notes 16 and 18)
Vivotek Inc.	Vatics Inc.	Taiwan	Designing and sales of multimedia integrated circuits	-	305,651	-	-	-	30,724) (	3,319	(Note 19)

Table 8-3

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as at June 30,2021	Shares held as at June 30,2021	Shares held as at June 30,2021	Net profit (loss) of the investee for the six months ended June 30,2021	Investment income (loss) recognised by the Company for the six months ended June 30, 2021	Footnote
				Balance as at June 30,2021	Balance as at December 31, 2020	Number of shares	Ownership (%)	Book value
Vivotek Inc.	Vivotek Holdings, Inc.	U.S.A.	Holding company	31,555 $	31,555 $	1,050	100.00	258,201 $	15,282 $	29,859 $	(Note 11)
Vivotek Inc.	Realwin Investment Inc.	Taiwan	A venture capital company	173,696	173,696	17,369,635	100.00	126,372	18,051	17,917	(Note 11)
Vivotek Inc.	Vivotek Netherlands B.V.	Netherlands	Sales service	11,418	11,418	3,000	100.00	11,366	457	457	(Note 11)
Vivotek Inc.	Otus Imaging, Inc.	Taiwan	Sales of webcams and related components	44,294	44,294	6,000,000	100.00	48,375	2,449	2,449	(Note 11)
Vivotek Inc.	Vivotek (Japan) Inc.	Japan	Sales service	17,939	17,939	6,600	100.00	23,572	299	299	(Note 11)
Vivotek Holdings, Inc.	Vivotek USA, Inc.	U.S.A.	Sales of webcams and related components	28,480	28,480	10,000,000	100.00	312,832	15,289	15,289	(Note 10)
Realwin Investment Inc.	Skywatck INC.	Taiwan	Wholesale of electronic equipment	755	755	50,070	0.88	-	4,211) (	-	(Note 14)
Realwin Investment Inc.	Wellstates Investment, LLC	U.S.A.	Investment and commercial lease of real estate	34,859	34,859	-	100.00	48,806	1,875	1,875	(Note 12)
Realwin Investment Inc.	Aetek Inc.	Taiwan	Sales of webcams and related components	34,045	34,045	3,372,500	56.21	53,381	12,897	7,248	(Note 12)
Realwin Investment Inc.	Vivotek Middle East FZCO	United Arab Emirates	Sales of webcams and related components	11,242	11,242	1,322	89.99	-	10,451	9,408	(Notes 12 and 20)
Realwin Investment Inc.	Lidlight Inc.	Taiwan	Sales of lighting equipment	10,200	10,200	1,020,000	51.00	759	3,868) (	1,973) (	(Note 12)
Realwin Investment Inc.	Vatics Inc.	Taiwan	Designing and sales of multimedia integrated circuits	-	31,123	-	-	-	30,724) (	1,193) (	(Note 19)

Note 1: The Company’s second-tier subsidiary or subsidiary’s investee accounted for under equity method, which was recognised as investment gains/losses through Delta International Holding Limited B.V. Note 2: The Company’s third-tier subsidiary, which was recognised as investment gains/losses through Delta Electronics (H.K.) Ltd.

Note 3: The Company’s second-tier subsidiary, which was recognised as investment gains/losses through Delta Networks Holding Limited. Note 4: The Company’s third-tier subsidiary, which was recognised as investment gains/losses through Delta Networks, Inc.

Note 5: The Company’s second-tier subsidiary, which was recognised as investment gains/losses through Cyntec Co., Ltd.

Note 6: The investment income /loss is net of the elimination of intercompany transactions.

Note 7: The Company’s second-tier subsidiary, which was recognised as investment gains/losses through Delta Electronics Int’l (Singapore) Pte. Ltd.

Note 8: The Company’s second-tier subsidiary, which was recognised as investment gains/losses through Delta Electronics (Netherlands) B.V.

Note 9: The Company indirectly acquired 89.74% equity shares of Delta America Ltd. through Delta Electronics (Netherlands) B.V. Considering the 10.26% equity shares held by the Company, the total ownership was 100%. Note 10: The Company’s third-tier subsidiary, which was recognised as investment gains/losses through Vivotek Holdings, Inc.

Note 11: The Company’s second-tier subsidiary, which was recognised as investment gains/losses through Vivotek Inc.

Note 12: The Company’s third-tier subsidiary, which was recognised as investment gains/losses through Realwin Investment Inc.

Note 13: The Company indirectly acquired 15.39% and 42.85% equity shares of Delta Electronics (Thailand) Public Company Limited through Delta International Holding Limited B.V. and Delta Electronics Int'l (Singapore) Pte. Ltd., respectively, considering 5.54% equity shares held by the Company, the total ownership was 63.78%.

Note 14: The Company’s associate was recognised as investment gains/losses due to significant influence by the Company’s second-tier subsidiary Realwin Investment Inc., which owns one board member in the Company. Note 15: The Company’s second-tier subsidiary, which was recognised as investment gains/losses through Delta America Ltd.

Note 16: The Company’s third-tier subsidiary, which was recognised as investment gains/losses through Delta Electronics (Thailand) Public Company Limited.

Note 17: The Company’s third-tier subsidiary, which was recognised as investment gains/losses through Digital Projection International Ltd. Note 18: Established or invested during 2021.

Note 19: The Group disposed 54.41% equity shares of Vatics Inc. to Kneron Holding Corporation on June 30, 2021. As of that date, the Group lost control over the aforementioned entity; thus it was not included as a consolidated entity of the Group since the date. Note 20: Conducted the dissolution and liquidation during 2020. As of June 30, 2021, the process has not yet been completed.

Note 21: Dissolved and liquidated in April 2021.

Note 22: The Group disposed all of its shares in Optovue in June 2021 as resolved by the Board of Directors, and transferred investments accounted for under the equity method amounting to $720,196 (USD25,851 thousand) to non-current assets held for sale.

Table 8-4

Table 9

Delta Electronics, Inc. and Subsidiaries Information on investments in Mainland China Six months ended June 30, 2021

Expressed in thousands of New Taiwan dollars, except as otherwise indicated

Investee in Mainland China	Main business activities	Paid-in capital	Investment method	Accumulated amount of remittance from Taiwan to Mainland China as at January1,2021	Amount remitted from Taiwan to Mainland China/Amount remitted back to Taiwan for the six months ended June 30,2021	Amount remitted from Taiwan to Mainland China/Amount remitted back to Taiwan for the six months ended June 30,2021	Accumulated amount of remittance from Taiwan to Mainland China as at June 30, 2021	Net income (loss) of investee for the six months ended June 30, 2021	Ownership held by the Company (direct or indirect)	Investment income (loss) recognised by the Company for the six months ended June 30, 2021(Note 20)	Book value of investments in Mainland China as at June 30,2021	Accumulated amount of investment income remitted back to Taiwan as at June 30,2021	Footnote
					Remitted to Mainland China	Remitted back to Taiwan
Delta Electronics (Dongguan) Co., Ltd.	Manufacturing and sales of transformer and thermal products	3,897,893 $	Invested by DHK	4,646,361 $	- $	- $	4,646,361 $	244,810 $	100.00	243,880 $	6,461,322 $	269,128 $	(Notes 3, 15 and 20)
Delta Electronics Power (Dongguan) Co., Ltd.	Manufacturing and sales of power supplies	-	Invested by DHK	-	-	-	-	44,108	-	44,106	-	-	(Notes 15 and 20)
Delta Electronics (Shanghai) Co., Ltd.	Product design, management consulting service and distribution of electronic products	3,419,879	Invested by DHK	435,827	-	-	435,827	2,190,527	100.00	2,193,918	9,222,171	-	(Notes 6 and 15)
Delta Electronics (Wuhu) Co., Ltd.	Manufacturing and sales of LED light source, power supplies and others	3,733,240	Invested by DHK	476,719	-	-	476,719	47,768	100.00	47,465	4,364,592	-	(Notes 7 and 15)
Delta Electronics (Chenzhou) Co., Ltd.	Manufacturing and sales of transformers	1,755,180	Invested by DHK	119,098	-	-	119,098	54,066	100.00	55,925	1,946,957	-	(Notes 8 and 15)
Delta Electronics (Jiangsu) Ltd.	Manufacturing and sales of power supplies and transformers	5,204,527	Invested by DHK	11,362,140	-	-	11,362,140	587,232	100.00	584,026	11,603,611	-	(Notes 12 and 15)
Delta Green (Tianjin) Industries Co., Ltd.	Manufacturing and sales of transformers	126,206	Invested by DHK	921,752	-	-	921,752	13,150) (	100.00	13,150) (	53,941) (	-	(Notes 9 and 15)
Eltek Energy Technology (Dongguan) Ltd.	Development, manufacturing and sales of intelligent power equipment and system for supporting access networking system, and manufacturing and sale of intelligent power equipment for supporting renewable energy	206,164	Invested by DHK	1,056,168	-	-	1,056,168	8,380	100.00	8,380	161,738	-	(Note 15)
Delta Electronics (Pingtan) Co., Ltd.	Wholesale and retail of electronic products and energy-saving equipment	129,350	Invested by DHK	144,724	-	-	144,724	43,733	100.00	43,733	234,826	-	(Note 15)
Delta Electronics (Beijing) Co., Ltd.	Installation of mechanic, electronic, telecommunication and circuit equipment	215,583	Invested by DHK	12,742	-	-	12,742	2,714	100.00	2,714	161,803	-	(Notes 10 and 15)
Delta Electronics (Xi'an) Co., Ltd.	Sales of computer, peripheral equipment and software	237,141	Invested by DHK	235,653	-	-	235,653	6,608) (	100.00	6,608) (	196,644	-	(Note 15)
Cyntec Electronics (Suzhou) Co., Ltd.	Research, development, manufacturing and sales of new-type electronic components (chip components, sensing elements, hybrid integrated circuits) and wholesale of similar products	5,627,720	Invested by CHK	5,529,162	-	-	5,529,162	432,558	100.00	432,558	8,304,429	-	(Note 17)
Delta Networks (Dongguan) Ltd.	Manufacturing and sales of other radio-broadcast receivers and the equipment in relation to broadband access networking system	975,100	Invested by DNHK	1,245,519	-	-	1,245,519	48,912	100.00	48,912	1,809,610	612,920	(Notes 5 and 16)

Table 9-1

Investee in Mainland China	Main business activities	Paid-in capital	Investment method	Accumulated amount of remittance from Taiwan to Mainland China as at January1,2021	Amount remitted from Taiwan to Mainland China/Amount remitted back to Taiwan for the six months ended June 30,2021	Amount remitted from Taiwan to Mainland China/Amount remitted back to Taiwan for the six months ended June 30,2021	Accumulated amount of remittance from Taiwan to Mainland China as at June 30, 2021	Net income (loss) of investee for the six months ended June 30, 2021	Ownership held by the Company (direct or indirect)	Investment income (loss) recognised by the Company for the six months ended June 30, 2021(Note 20)	Book value of investments in Mainland China as at June 30,2021	Accumulated amount of investment income remitted back to Taiwan as at June 30,2021	Footnote
					Remitted to Mainland China	Remitted back to Taiwan
Delta Networks (Xiamen) Ltd.	Operation of radio transmission apparatus, and automatic data processing, reception, conversion and transmission or regeneration of voice, images or other data of the machine, including switches and routers, with a special program to control a computer or word processor with memory business	63,590 $	Invested by DNHK	19,502 $	- $	- $	19,502 $	2,171) ($	30.00	651) ($	16,486 $	- $	(Note 16)
DelBio (Wujiang) Co., Ltd.	Manufacturing, wholesale and retail of medical equipment	111,440	Invested by DelBio	111,440	-	-	111,440	11,753	100.00	11,753	185,695	-	(Note 18)
Chenzhou Delta Technology Co., Ltd.	Manufacturing and sales of transformers	109,947	Invested by DCZ	-	-	-	-	21,528	100.00	21,349	212,467	-	(Note 13)
Delta Energy Technology (Shanghai) Co., Ltd.	Energy performance contracting, development of energy-saving technology, energy-saving equipment and energy management system as well as consulting service, installation, sales, etc.	43,117	Invested by DPEC and DGC	-	-	-	-	694	96.32	694	33,953	-	(Note 13)
Delta Energy Technology Puhuan (Shanghai) Co., Ltd.	Energy technology, development and consulting of environmental technical skills, and design and sales of energy saving equipment	431	Invested by DET-SH	-	-	-	-	508	96.32	508	1,372	-	(Note 13)
Guangzhou Amerlux Lighting Co., Ltd.	Wholesale of lighting fixture and decorative objects	13,234	Invested by Amerlux Lighting Hong Kong Limited	167,787	-	-	167,787	19,044	100.00	19,044	38,444	-	(Notes 11 and 19)
Delta Greentech (China) Co., Ltd.	Sales of uninterruptible power systems	2,449,023	Invested by Drake- HK, Boom and DGSG	8,519,940	-	-	8,519,940	586,678	95.91	562,689	5,983,221	-	(Notes 4 and 14)
Cyntec Electronics (WuHu) Co., Ltd.	Research, development, manufacturing, processing and sales of new-type electronic components (chip components, sensing elements, hybrid integrated circuits) and molding as well as processing of semi-finished alloy steel powder; import and export of goods or technique.	835,800	Invested by DHK	27,860	807,940	-	835,800	475,443) (	100.00	475,443) (	323,678	-	(Note 15)
Fujian Kaixin Construction Engineering Co., Ltd.	Constructions of buildings and structures, steel structures, building decoration, earth work, municipal public works and landscape as well as design and construction of hydraulic and hydroelectric engineering and structural reinforcement and reconditioning	107,792	Invested by DPT	-	-	-	-	-	40.00	679	12,749	-	(Note 13)

Table 9-2

• Note 1: The capital was translated based on the capital certified report of the investee companies into New Taiwan Dollars at the average exchange rate of RMB 6.46155 to US$1 and NTD 4.31166 to RMB$1.

• Note 2: The accumulated remittance as at January 1, 2021, remitted or collected this period, accumulated remittance as at June 30, 2021 and investment income remitted back as at June 30, 2021 was translated into New Taiwan Dollars at the average exchange rate of NTD 27.86 to US$1 at the balance sheet date.

• Note 3: Except for the facility of US$166,775 thousand (the amount include former Delta Electronics Power (Dongguan) Co., Ltd.) permitted by Investment Commission, the capitalisation of earnings of US$27,081 thousand permitted by Investment Commission is excluded from the Company’s amount of investment in Mainland China.

• Note 4: Except for the facility of US$305,813 thousand permitted by Investment Commission, the capitalisation of earnings of US$980 thousand permitted by Investment Commission is excluded from the Company’s amount of investment in Mainland China.

• Note 5: Except for the facility of US$44,706 thousand permitted by Investment Commission, the capitalisation of earnings of US$11,312 thousand permitted by Investment Commission is excluded from the Company’s amount of investment in Mainland China.

• Note 6: Except for the facility of US$15,643 thousand permitted by Investment Commission, the capitalisation of earnings of US$110,401 thousand permitted by Investment Commission is excluded from the Company’s amount of investment in Mainland China.

• Note 7: Except for the facility of US$17,111 thousand permitted by Investment Commission, the capitalisation of earnings of US$120,320 thousand permitted by Investment Commission is excluded from the Company’s amount of investment in Mainland China.

• Note 8: Except for the facility of US$4,275 thousand permitted by Investment Commission, the capitalisation of earnings of US$59,220 thousand permitted by Investment Commission is excluded from the Company’s amount of investment in Mainland China.

• Note 9: Except for the facility of US$33,085 thousand permitted by Investment Commission, the capitalisation of earnings of US$265 thousand permitted by Investment Commission is excluded from the Company’s amount of investment in Mainland China.

• Note 10: Except for the facility of US$457 thousand permitted by Investment Commission, the capitalisation of earnings of US$7,268 thousand permitted by Investment Commission is excluded from the Company’s amount of investment in Mainland China.

• Note 11: On July 15, 2020, the Investment Commission permitted that the unused facility of US$3,578 thousand from the facility of US$9,600 thousand initially permitted by Investment Commission was retired as the payment of transfer price was made.

• Note 12: Delta Electronics (Jiangsu) Ltd. merged with Delta Electronics Components (Wujiang) Ltd. and Delta Video Display System (Wujiang) Ltd. on January 1, 2021. Under the merger, Delta Electronics (Jiangsu) Ltd. was the surviving company while Delta Electronics Components (Wujiang) Ltd. and Delta Video Display System (Wujiang) Ltd. were the dissolved companies.

• Note 13: According to the regulations of the Investment Commission, the reinvestment of the investee companies in Mainland China is not required to obtain the approval of the Investment Commission; thus the investment amounts are excluded from the calculation of investment the Company’s ceiling of amount in Mainland China.

• Note 14: Jointly invested through Drake Investment (HK) Limited, DELTA GREENTECH SGP Pte. Ltd. and Boom Treasure Limited.

• Note 15: Invest through Delta Electronics (H.K.) Ltd.

• Note 16: Invest through Delta Networks (HK) Limited.

• Note 17: Invest through Cyntec Holding (HK) Limited.

• Note 18: Invest through DelBio Inc.

• Note 19: Invest through Amerlux Lighting Hong Kong Limited.

• Note 20: Delta Electronics (Dongguan) Co., Ltd. merged with Delta Electronics Power (Dongguan) Co., Ltd. in June, 2021. After the merger, Delta Electronics (Dongguan) Co., Ltd.was the surviving company while Delta Electronics Power (Dongguan) Co., Ltd. was the dissolved company.

• Note 21: Except for Delta Green (Tianjin) Industries Co., Ltd., Delta Electronics (Pingtan) Co., Ltd., Delta Energy Technology (Shanghai) Co., Ltd., DelBio (Wujiang) Co., Ltd., Eltek Energy Technology (Dongguan) Ltd., Delta Energy Technology Puhuan

• (shanghai) Co., Ltd., Delta Electronics (Beijing) Co., Ltd., Delta Electronics (Xi'an) Co., Ltd., Amerlux Lighting Co., Ltd., Cyntec Electronics (WuHu) Co., Ltd., Delta Networks (Xiamen) Ltd. and Fujian Kaixin Construction Engineering Co., Ltd.

whose investment income (loss) was recognised based on recognised gain or loss on investment based on financial statement prepared by each company, others were recognised.

Table 9-3

Company name	Accumulated amount remitted from Taiwan to Mainland China as at June 30, 2021	Investment amount approved by the Investment Commission of Ministry of Economic Affairs (MOEA)	Ceiling of investments in Mainland China imposed by the Investment Commission of MOEA
Delta Electronics, Inc. (Notes 2 and 3)	$ 27,851,799	$ 28,355,926	$ -
Cyntec Co., Ltd.	5,529,162	5,529,162	16,273,126
DelBio Inc. (Note 4)	111,440	111,440	134,398

Note 1: The accumulated amount remitted out of Taiwan to Mainland China and investment amount approved by the investment commission was translated into New Taiwan Dollars at the average exchange rate of NTD27.86 to US$1 at the balance sheet date. Note 2: The investment income of US$22,000 thousand, US$18,000 thousand, US$10,509 thousand and US$14,351 thousand were remitted back on March 11, 2011, June 27, 2012, August 14, 2012, June 24, 2009 and December 29, 2005, respectively, from the investee companies in Mainland China and was permitted by Investment Commission on August 3, 2012, August 28, 2012, July 17, 2009 and January 6, 2006, respectively, which are deductible from the Company’s accumulated amount remitted

out of Taiwan to Mainland China.

Note 3: According to “Regulation Governing the Approval of Investment or Technical Cooperation in Mainland China”, the Company obtained the approval of operation headquarters from Industrial Development Bureau of Ministry of Economic Affairs. There is no ceiling of investment amount. Note 4: The ceiling is caculated based on DelBio Inc.’s 60% of net assets as at June 30, 2021.

Table 9-4

Delta Electronics, Inc. and Subsidiaries

Major shareholders information

June 30, 2021

Table 10

June 30, 2021 Table 10
Name of major shareholders Shares	No. of shares held	Ownership (%)
DEICO INTERNATIONAL LTD.	267,556,280	10.30%
DELTRON HOLDING LTD.	218,211,168	8.40%

Table 10-1