Sotck Code: 5243

Eson Precision Ind. Co., Ltd.

2026 ANNUAL REPORT

Taiwan Stock Exchange Market Observation Post System: http://mops.twse.com.tw
ESON annual report is available at https://www.eson.tw
Printed on April 13, 2026

I. Headquarters And Branch

Headquarters: Eson Precision Ind. Co., Ltd.

Address: P.O. Box 31119 Grand Pavilion, Hibiscus Way, 802 West Bay Road, Grand Cayman, KY1-1205 Cayman Islands
Tel: (886)2-2267-3272

Branch: Eson Precision Ind. Co., Ltd. Taiwan Branch

Address: 12F.-3, No.2, Sec. 4, Zhongyang Rd., Tucheng Dist., New Taipei City 236, Taiwan
Tel: (886)2-2267-3272

Branches in China & Hong Kong

(1) Kunshan Eson Precision Engineering Co., Ltd.
Address: No. 88, Yuanfeng Road, Yushan Town, Kunshan City, Jiangsu Province, China
Tel: (86)512-5757-2938

(2) Yantai Zheng Yi Precision Electronics Co., Ltd.
Address: No. 88, Tianjin South Road, Economy and Technology Development Area A-7, Yantai, Shandong Province, China
Tel: (86)535-2168-888

(3) Wuxi Xinguan Metal Science & Technology Co., Ltd.
Address: North of Furong 4th Road, Xishan Economic Development Zone, Wuxi City, Jiangsu Province, China
Tel: (86)510-8380-9000

(4) Dongguan Yihong Precision Mould Co., Ltd.
Address: No.6, Xin Yuan Sounth Road, Ke Yuan Cheng, Tangxia Town, Dongguan City, Guangdong Province, China
Tel: (86)769-8791-9391

(5) Kunshan Kang Rui Package Material Co., Ltd.
Address: No. 88, Yuanfeng Road, Yushan Town, Kunshan City, Jiangsu Province, China
Tel: (86)512-5757-2938

(6) Heng Xie Enterprises Limited

Address: Suites1222, 12/F., Leighton Centre, 77 Leighton Road, Causeway Bay, Hong Kong.

Tel: (886)2-2267-3272

(7) Kong Eagle International Limited.

Address: Suites1222, 12/F., Leighton Centre, 77 Leighton Road, Causeway Bay, Hong Kong.

Tel: (886)2-2267-3272

4. Branches in Singapore

(1) Multiwin Precision Ind Pte. Ltd

Address: 54 Genting Lane #03-05 Ruby Land Complex Singapore

Tel: (886)2-2267-3272

(2) Eson Precision Industry (Singapore) Pte. Ltd.

Address: 54 Genting Lane #03-05 Ruby Land Complex Singapore

Tel: (886)2-2267-3272

5. Branches in Mexico

(1) Multiwin de Mexico S.A. DE C.V.

Address: Blvd La Jolla 4432, Parque Industrial La Jolla, Cp 22525 Tijuana, Bc Mexico

Tel: (52)664-250-6721

(2) Esonmex Monterrey S.A. DE C.V.

Address: #78 Av. Las Americas, Parque Industrial Advance, Garcia, NL, Mexico C.P.66017

Tel: (52) 1-81-2210-7238

6. Branches in Slovakia

(1) Eson Europe S.R.O.

Address: Rontgenova 26 851 02 Bratislava Slovakia

Tel: (886)2-2267-3272

(2) Eson Slovakia A.S.

Address: Rontgenova 26 851 01 Bratislava Slovakia

Tel: (886)2-2267-3272

Branches in Mauritius

(1) Global Sun Trading Co., Ltd.
Address: 3rd Floor, 355 NeX, Rue du Savoir, Cybercity, Ebene 72201, Mauritius.
Tel: (886)2-2267-3272

(2) Grand Liberty Co., Ltd.
Address: Level 3, Alexander House, 35 Cybercity, Ebene, Mauritius
Tel: (886)2-2267-3272

(3) Ample Wealth Enterprise Ltd.
Address: Level 3, Alexander House, 35 Cybercity, Ebene, Mauritius
Tel: (886)2-2267-3272

(4) Zeal International Co., Ltd.
Address: Level 3, Alexander House, 35 Cybercity, Ebene, Mauritius
Tel: (886)2-2267-3272

(5) Unique Champion Co., Ltd.
Address: Level 3, Alexander House, 35 Cybercity, Ebene, Mauritius
Tel: (886)2-2267-3272

(6) Zenith Profits Co., Ltd.
Address: Level 3, Alexander House, 35 Cybercity, Ebene, Mauritius
Tel: (886)2-2267-3272

Branches in Samoa

(a) All Spacer Enterprises Co., Ltd.
Address: Vistra Corporate Services Centre, Ground Floor NPF Building, Beach Road, Apia, Samoa
Tel: (886)2-2267-3272

Branches in Malaysia

(1) Eson Precision Engineering (Malaysia) Sdn. Bhd.
Address: Lot 3, Jalan P/10, Kawasan Perusahaan Seksyen 10, 43650 Bandar Baru Bangi Selangor, Malaysia.
Tel: (60)3-8920-0270

(2) Eson Batupahat Precision Engineering Sdn. Bhd.

Address: Plo-2, Kawasan Perindustrian Sri Gading, 83009 Batupahat Johor, Malaysia.

Tel: (60)7-455-8266

Branches in Vietnam

(1) Eson (VN) Precision Industry Co., Ltd.

Address: Lot Cn-05 Dong Mai Industrial Park, Dong Mai Ward, Quang Yen Town, Quang Ninh Province, Vietnam

Tel: (886)2-2267-3272

Branches in America

(1) Blackyotta Inc

Address: 2555 Camino del Rio S, Suite 101, San Diego, CA 92108

Tel: (52)664-250-6721

II. Spokesperson & Deputy Spokesperson

Spokesperson: Lin, You-Ching
Title: Chief Financial Officer
Tel.: (886) 2-2267-3272
E-mail: [email protected]

Deputy Spokesperson: Liu, Li-Ling
Title: Manager
Tel.: (886) 2-2267-3272
E-mail: [email protected]

III. Agent And Litem

Name : Tsai, Chia-Hsiang
Title: Chairman
Tel.: (886) 2-2267-3272
E-mail: [email protected]

IV. Stock Transfer Agent

Name : Grand Fortune Securities Co., Ltd.
Address : 5.6.7F., No.6, Sec. 1, Zhongxiao W. Rd., Taipei, Taiwan
Tel : (886)2-2371-1658
Website : http://www.gfortune.com.tw

V. Auditors

Name of CPA : Wu, Ke-Chang and Chiu, Ming-Yu
CPA Firm : Deloitte & Touche
Address : 20F, No. 100, Songren Rd., Xinyi Dist., Taipei, Taiwan
Tel : (886)2-2725-9988
Website : http://www.deloitte.com.tw

VI. Overseas Securities Exchange: No

VII. Company Website: https://www.eson.tw

VIII. Members of the Board of Directors

Title	Name	Nationality/ Place of Incorporation	Experience (Education)
Chairman	Ace Progress Holdings Limited	SAMOA	-Taipei Municipal Shilin High School of Commerce
-Chairman of Chen Shuen Industry Co., Ltd
-Chairman of Kuan Hung Precision Co., Ltd
	Representative : Tsai, Chia-Hsiang	R.O.C
Director	Ace Progress Holdings Limited	SAMOA	-Ph.D. of College of Management, National Taiwan University
-Operations Manager, Jabil Inc.
-Assistant Manager, Wuxi Xinguan Metal Science & Technology Co., Ltd.
	Tsai, Jia-Hua	R.O.C
Director	Golden Harvest Management Limited	PANAMA	-Master of Business Administration, Soochow University
-Senior Director of Hon Hai Precision Ind. Co., Ltd.
-President of Foxconn Technology Co., Ltd.
	Representative : Lee, Kuang-Yao	R.O.C
Director	Golden Harvest Management Limited	PANAMA	-Master of Business Administration, George Washington University
-Director of Hon Hai Precision Ind. Co., Ltd.
-Financial Vice President of Brite Semiconductor (Shanghai) Corporation
-Senior Manager of Lite-on Technology Corporation
	Representative : Lee, Wei-Kang	R.O.C
Independent Director	Kao, Chih-Chien	R.O.C	-Master of Accounting, Chung Yuan Christian University
- Certified Public Accountant
Independent Director	Jang, Woan-Shiuan	R.O.C	-Master in Law, Fu Jen Catholic University
-Attorney
Independent Director	Lee, Chien-Ming	R.O.C	-Doctor of Economics, National Taipei University
-Retirement
-Professor of National Taipei University

1 LETTER TO SHAREHOLDERS ... 1
2 COMPANY PROFILE ... 5
2.1 INTRODUCTION OF THE COMPANY ... 5
2.2 COMPANY MILESTONES ... 5
3 CORPORATE GOVERNANCE ... 7
3.1 DIRECTORS, SUPERVISORS AND MANAGEMENT TEAM ... 7
3.2 IMPLEMENTATION OF CORPORATE GOVERNANCE ... 20
3.3 INFORMATION REGARDING CPA FEES ... 60
3.4 INFORMATION ON CHANGE OF CPA ... 60
3.5 WHETHER THE COMPANY'S CHAIRMAN, PRESIDENTS, AND MANAGERS IN CHARGE OF ITS FINANCIAL AND ACCOUNTING OPERATIONS HAVE HELD ANY POSITIONS IN COMPANY'S INDEPENDENT AUDITING FIRM OR ITS AFFILIATES BUSINESS IN THE MOST RECENT YEAR: ... 60
3.6 PARTICULARS ABOUT CHANGE IN SHAREHOLDING AND SHARES PLEDGE OF DIRECTORS, MANAGERS AND MAJOR SHAREHOLDERS WHO OWN 10% OR MORE OF ESON'S SHARES DURING THE MOST RECENT YEAR AND AS OF THE DATE OF THIS ANNUAL REPORT ... 60
3.7 THE RELATIONS OF THE TOP TEN SHAREHOLDERS ... 61
3.8 LONG-TERM INVESTMENT OWNERSHIP ... 62
4 FUNDING STATUS ... 63
4.1 CAPITAL AND SHARES ... 63
4.2 ISSUANCE OF CORPORATE BOND ... 67
4.3 PREFERENCE SHARES ... 67
4.4 ISSUANCE OF GLOBAL DEPOSITORY RECEIPTS ... 68
4.5 EMPLOYEE STOCK OPTION AND EMPLOYEE RESTRICTED STOCKS ... 68
4.6 STATUS OF NEW SHARE ISSUANCE IN CONNECTION WITH MERGERS AND ACQUISITIONS ... 68
4.7 FINANCING PLANS AND IMPLEMENTATION ... 68
5 OVERVIEW OF BUSINESS OPERATION ... 68
5.1 CONTENT OF BUSINESS ... 68
5.2 MARKET AND SALES OVERVIEW ... 82
5.3 EXPENDITURE ON ENVIRONMENTAL PROTECTION ... 86
5.4 EMPLOYER AND EMPLOYEE RELATIONSHIPS ... 87
5.5 CYBER SECURITY MANAGEMENT: ... 89
5.6 IMPORTANT CONTRACTS ... 90
6 REVIEW OF FINANCIAL POSITION, MANAGEMENT PERFORMANCE AND RISK MANAGEMENT ... 91
6.1 ANALYSIS OF FINANCIAL STATUS ... 91

6.2 ANALYSIS OF OPERATION RESULTS ... 92
1. COMPARATIVE ANALYSIS OF FINANCIAL PERFORMANCE ... 92
6.3 ANALYSIS OF CASH FLOW ... 92
6.4 MAJOR CAPITAL EXPENDITURE ... 92
6.5 INVESTMENT POLICY IN LAST YEAR, MAIN CAUSES FOR PROFITS OR LOSSES, IMPROVEMENT PLANS, AND THE INVESTMENT PLANS FOR THE COMING YEAR ... 92
6.6 ANALYSIS OF RISK MANAGEMENT ... 94
6.7 OTHER MAJOR ITEMS ... 101

7 OTHER SPECIAL NOTES ... 102
7.1 SUMMARY OF AFFILIATED COMPANIES ... 102
7.2 SUBSCRIPTION OF MARKETABLE SECURITIES PRIVATELY IN THE MOST RECENT YEARS AND UP TO THE DATE OF THE REPORT PRINTED ... 106
7.3 THE STOCK SHARES OF THE COMPANY HELD OR DISPOSED BY THE SUBSIDIARIES IN THE MOST RECENT YEARS AND UP TO THE DATE OF THE REPORT PRINTED ... 106
7.4 SUPPLEMENTARY DISCLOSURES ... 106
7.5 OCCURRENCE OF EVENTS DEFINED IN SECURITIES TRANSACTION LAW ARTICLE 36.3.2 THAT HAS GREAT IMPACT ON SHAREHOLDER'S EQUITY OR SECURITY PRICE IN THE MOST RECENT YEARS AND UP TO THE DATE OF THE REPORT PRINTED ... 106
7.6 DIFFERENCES BETWEEN THE COMPANY'S ARTICLES OF ASSOCIATION AND ROC'S SHAREHOLDERS' RIGHTS PROTECTION GUIDELINES ... 107

1 Letter to Shareholders

I. 2025 Business Report

1.Business Plan Implementation Results

The Company's consolidated revenue in 2026 was NT$12.08 billion Growth of the global economy has slowed over the past year. Coupled with the rise of trade protectionism, the geopolitical situation still unfolding, and the restructuring of global supply chains, the economic situation in 2026 will be even more volatile and challenging. However, the AI and semiconductor industries have been booming, and the manufacturing industry is expected to see significant growth in the foreseeable future as it continues to enjoy advantages in innovative production technologies and management and production efficiency. In 2026, the net profit after tax attributable to the Company's owners was NT$741 million and EPS was NT$4.40, marking the best profit for all shareholders in recent years. Going forward, the Company will continue to pursue more opportunities in existing customers and product portfolios, while more effectively leveraging advantages of our global strategy to seize more purchase orders from different sectors and industries. Higher level of process automation and our efforts to improve efficiency and reduce costs are expected to benefit the Company's profits.

On behalf of the Company's management team, we would like to express our deepest respect and sincere gratitude to all shareholders for their continuous support and encouragement to the Company. This has driven the management team to work harder to create value for all shareholders and create a better vision for the future.

3.Financial Status and Profitability :

In Thousands of New Taiwan Dollars

Item	2025	2024	Increase/Decrease (%)
Operating Revenue	12,080,401	13,094,331	(7.74)
Operating Costs	9,505,817	10,570,254	(10.07)
Gross Profit	2,574,584	2,524,077	0.20
Operating Expenses	1,625,178	1,757,317	(7.52)
Operating Income	949,406	766,760	2.38
Non-operating Revenue and Expenses	26,382	12,008	119.70
Net Income Before Tax	975,788	778,768	25.30
Net Income After Tax	741,268	566,427	30.87
Net income belongs to :
Owners of ESON	741,268	566,427	30.87
Non-controlling Interests	-	-	-

Item	2025	2024
ROA (%)	5.99	5.19
ROE (%)	9.34	7.54
Operating income to paid-in capital ratio (%)	56.33	45.50
Income before tax to paid-in capital ratio (%)	57.90	46.21
Net profit ratio (%)	6.14	4.33
EPS (NT$)	4.40	3.36

I. Business Development

(I) Continued growth of core business: The Company's complete global layout makes manufacturing more flexible, and is aligned with the supply chain adjustment policies of major international clients. Performance of existing automotive and network communication products continues to show an upward trend.
(II) Significant growth in sales of network communication products: The network communication industry has shown explosive growth since 2025, and the Company has focused on and invested considerable resources into products for data centers, AI servers, and low-Earth orbit satellites. Network communication products are expected to become the main driver of the Company's future growth.
(III) Expansion of the energy storage/energy saving business: In recent years, major leading countries and regions around the world have exerted great effort in green energy and carbon reduction plans. In addition, the operation of new-generation servers and database centers all require large amounts of electricity. Therefore, the demand for energy storage and energy-saving products has increased significantly, and we will gradually obtain orders from related industries as the second growth driver for the Company's revenue.

II. Innovation and technology:

(I) Introduction of new processes: To meet the needs of our current customers, acquire new orders, and align with the trend of supply chain localization, we will gradually introduce new processes in various factories, including laser cutting, bending, NCT, welding, and CNC, in order to acquire more orders for different processes and thereby increase customer loyalty.
(II) Product development: We enhance the technical capabilities of our global product development center through recruitment, on-the-job training, and joint development of new products with customers. Engaging in joint product development with customers increases our success rate of acquiring orders by getting involved in product development early on. This also enables us to identify bottlenecks of mass production earlier and eliminate potential risks, which will improve productivity and reduce risks.
(III) Implementation of automation/robots: As robotics technology matures, traditional labor-intensive manufacturing processes will gradually be replaced by robots/automated equipment. In addition, the quality requirements for high-precision products have become growingly strict in recent years, and it is difficult to train skilled employees. Therefore, the production capacity of stable and efficient robots and automation equipment is a key point when customers are evaluating suppliers.
(IV) Information security and informatization: We have always prioritized strengthening the integration of information systems and improving information security. In addition to the existing ERP system, we have actively introduced PLM and MES in recent years, connecting information systems to further improve

production and management performance. In terms of information security, we will strengthen our firewall, prevent hacker attacks, implement remote backup, and provide network management training to reduce information security risks.

(V) Technology integration and application: Our plants share technical data through the internal sharing platform. Our development team and manufacturing teams regularly communicate during the product development process and integrate the technical resources of each plant, taking on the challenge of integrating processes with higher added value, in order to pursue more opportunities.

III. Future Development Strategy

The Company's development strategies for 2026 are outlined as follows:

(I) Strengthen and Expand Existing Core Businesses: Our core business is the foundation of our growth and competitiveness. we will continue to strengthen product development and manufacturing capabilities, improve product and service quality, optimize the supply chain system and operational efficiency, consolidate existing customers, and pursue opportunities for more purchase orders.

(II) A comprehensive global strategy: Global strategies are an important long-term development strategy of the Company and also our commitment to customers. We enhance the Group's overall competitiveness through global strategies and regional division of labor to achieve the goal of remaining profitable. The operating model includes: Management according to a unified standard worldwide, regional expansion in Southeast Asia and North America, establishment of localized production and supply chains, strengthening strategic partnerships, digital development and technological empowerment, and global talent and cultural integration operations.

(III) Continue to promote sustainable development (ESG): The Company is committed to sustainable development. In 2025, we published the Group's first sustainability report in accordance with GRI standards and obtained third-party assurance. We plan to incorporate TCFD, TNFD, and IFRS S1 and S2 standards into future reports.

IV. Impacts due to the competitive environment, regulatory environment, and overall business environment

(I) In response to customers requiring the relocation of production operations, our competitors have been setting up factories overseas, mainly in Vietnam, Malaysia, and Thailand. This will naturally result in more intense local competition in these countries in the future. However, having operated locally in the countries for many years, we are more familiar with the local talent pool, supply chain, and political and economic policies, giving us a competitive advantage. The Company continues to improve operational efficiency in each location to build and maintain a competitive advantage.

(II) There are no signs of trade protectionism, geopolitical disputes, and regional wars abating in the foreseeable future. Major industrial countries have made frequent and unpredictable changes to their economic and tariff policies. As a group with a global presence, the Company will face growingly severe challenges, and the only way to maintain growth is to continue improving production and operational capabilities, strengthen the coordination of production capacity across factories, and continue to utilize the advantages of vertical integration to develop new high-quality customers and products.

(III) ESG is the current international trend. The Company will continue to advance environmental protection initiatives, social responsibility, and governance operations to ensure compliance, including energy

conservation, emission reduction, promotion of renewable energy, implementation of waste recycling, reduction of water consumption, improvement of corporate governance transparency, and ethical management, to fulfill our corporate social responsibility.

Finally, I would like to express my sincere gratitude to all shareholders, investors, and all employees for your continued support. I hope that you will continue to uphold your original intentions and provide us with guidance in the future, so that we can continue to grow and share the results of our operations with everyone. Best wishes

Chairman : Tsai, Chia-Hsiang
President : Huang, Hsin-Feng
Accounting Manager : Lin, You Ching

2 Company Profile

2.1 Introduction of the Company

2.1.1 Establishment Date and Introduction of the Company

Eson Precision Ind. Co., Ltd. (the "Company"), formerly known as Multiwin Precision Ind. Co., Ltd., was incorporated in the Cayman Islands on June 17, 2008 and changed its name after resolution of the shareholders in the shareholders' meeting in February 2012.

After the establishment, the Company exchanged all the shares of the two shareholders with new shares from an increase in capital to improve the investment structure and integrate resources, and subsequently reinvest according to business development needs. Up until now, there are 25 subsidiaries and 1 branch company, mainly engaged in the design, research and development, production and sales of molds, plastics, hardware products, new electronic components and flat panel displays.

2.1.2 Affiliated Companies Chart

Refer to page 95.

2.1.3 Risk Factors

Refer to page 87-94.

2.2 Company Milestones

Year	Company Milestones
1999	●All Spacer Enterprises Co., Ltd. was incorporated in June
2001	●Global Sun Trading Co., Ltd. was incorporated in May (Global Sun) ●Kunshan Eson Precision Engineering Co., Ltd. was incorporated in August
2002	●Passed ISO9001 certification.
2004	●Dongguan Yihong Precision Mould Co., Ltd. was incorporated in September
2005	Passed SONY Green Partner certification in April.
2006	●Wuxi Xinguan Metal Science & Technology Co., Ltd. was incorporated in December ●Obtained the PS3 order of SONY and manufactured from injection molding
2007	●Obtained the home appliance mold of Wirlpool & GE
2008	●Adaption RHCM injection molding technology to manufacture Tv parts of SONY ●Obtained the Tv parts order of VIZIO ●Multiwin Precision Ind. Co., Ltd. was incorporated in Cayman in June and started its organization restructure. Multiwin issued new share to exchange with All Spacer and Global Sun ●Passed ISO14001 certification in December.
2009	●Multiwin Precision Ind Pte. Ltd. was incorporated in September. ●Eson Precision Engineering S.A. DE C.V. was incorporated in September. ●Yantai Zheng Yi Precision Electronics Co., Ltd. was incorporated in September. ●Development Nokia Netcom products
2010	●Passed OHSAS18001 certification. ●Obtained the server order of Netcom customer ●Obtained the car mold order of FORD
2011	●Obtained the Tv parts order of Sharp Kunshan Eson got a certificate of high technology enterprise.
2012	●Development Ericsson/Cisco Netcom products ●Multiwin Precision Ind. Co., Ltd. renamed as Eson Precision Ind. Co., Ltd. by shareholders meeting in February ●Pre-listing tutoring in June and planning primary listing in TWSE ●Multiwin de Mexico S.A.DE C.V. was incorporated in September by Eson and Multiwin

Year	Company Milestones
	Precision Ind Pte. Ltd.
●Re-elected the 7 directors including 3 independent directors. Set up the Audit and Remuneration Committees. Conversion of stock par value to NT$10 and capital surplus transferred to capital. Paid-in capital of the company reached NT$1,528,273 thousands.
2013	●Eson Precision Engineering (Malaysia) Sdn. Bhd. was incorporated in May
●Eson got listed in TWSE in November. Paid-in capital of the company reached NT$1,719,323 thousands.
2014	●Eson conducted capitalization from earnings for NT$85,966 thousands. (stock dividend NT$0.5 per share) in September. Paid-in capital of the company reached NT$1,805,289 thousands.
2015	●Obtained the electric car mold and parts order of North America
2016	●Eson Batupahat Precision Engineering Sdn. Bhd. was incorporated in May
2018	●Blackyotta Inc. was incorporated in December
2020	●Eson (VN) Precision Industry Co., Ltd was incorporated in May
2021	●Esonmex Monterrey S.A. DE C.V. was incorporated in November by Global Sun Trading Co., Ltd. and Eson Precision Industry (Singapore) Pte. Ltd.

3 Corporate Governance

3.1 Directors, Supervisors and Management Team

3.1.1 Directors

Introduction of Board of Directors

April 22, 2026 : Shares: In thousands

Title	Nationality/ Place of Incorporation	Name	Gender/ Age	Date Elected	Term	Date First Elected	Shareholding when Elected		Current Shareholding		Spouse & Minor Shareholding		Shareholding by Nominee Arrangement		Experience ( Education )	Other Position	Executives, Directors or Supervisors Who are Spouses or within Two Degrees of Kinship			Remark
							Shares	%	Shares	%	Shares	%	Shares	%			Title	Name	Relation
Chairman	SAMOA	Ace Progress Holdings Limited	Male 61~70 Years old	2025/06/19	3	2008/10/07	15,351	9.11%	15,351	9.11%	-	-	-	-	-Taipei Municipal Shilin High School of Commerce
-Chairman of Chen Shuen Industry Co., Ltd
-Chairman of Kuan Hung Precision Co., Ltd	Note1	-	-	-	-
	R.O.C	Representative : Tsai, Chia-Hsiang					-	-	-	-	-	-	-	-
Director	SAMOA	Ace Progress Holdings Limited	Female 51~60 Years old	2025/06/19	3	2026/02/12	15,351	9.11%	15,351	9.11%	-	-	-	-	-Ph.D. of College of Management, National Taiwan University
-Operations Manager, Jabil Inc.
-Assistant Manager, Wuxi Xinguan Metal Science & Technology Co., Ltd.	Note1	-	-	-	-
	R.O.C	Representative : Tsai, Jia-Hua					-	-	-	-	-	-	-	-
Director	PANAMA	Golden Harvest Management Limited	Male 61~70 Years old	2025/06/19	3	2021/07/07	44,613	26.47%	44,613	26.47%	-	-	-	-	-Master of Business Administration, Soochow University-President of Foxconn Technology Co., Ltd.	Note1	-	-	-	-
	R.O.C	Representative : Lee, Kuang-Yao					-	-	-	-	-	-	-	-
Director	PANAMA	Golden Harvest Management Limited	Male 51~60 Years old	2025/06/19	3	2021/07/07	44,613	26.47%	44,613	26.47%	-	-	-	-	-Master of Business Administration, George Washington University
-Financial Vice President of Brite Semiconductor (Shanghai) Corporation
-Senior Manager of Lite-on Technology Corporation	Note1	-	-	-	-
	R.O.C	Representative : Lee, Wei-Kang					-	-	-	-	-	-	-	-
Independent Director	R.O.C	Kao, Chih-Chien	Male 51~60 Years old	2025/06/19	3	2012/10/31	-	-	-	-	-	-	-	-	-Master of Accounting, Chung Yuan Christian University
- Certified Public Accountant	Note1	-	-	-	-

Note1 : Other Position

Title	Nationality/ Place of Incorporation	Name	Gender/ Age	Date Elected	Term	Date First Elected	Shareholding when Elected		Current Shareholding		Spouse & Minor Shareholding		Shareholding by Nominee Arrangement		Experience (Education)	Other Position	Executives, Directors or Supervisors Who are Spouses or within Two Degrees of Kinship			Remark
							Shares	%	Shares	%	Shares	%	Shares	%			Title	Name	Relation
Independent Director	R.O.C	Jang, Woan-Shiuan	Female 41~50 Years old	2025/06/19	3	2025/06/19	-	-	-	-	-	-	-	-	-Master in Law, Fu Jen Catholic University -Attorney	Note1	-	-	-	-
Independent Director	R.O.C	Lee, Chien-Ming	Male 61~70 Years old	2025/06/19	3	2021/07/07	-	-	-	-	-	-	-	-	-Retirement -Doctor of Economics, National Taipei University -Retirement -Professor of National Taipei University	Note1	-	-	-	-
Title	Name	Other Position
---	---	---
Chairman	Ace Progress Holdings Limited Representative : Tsai, Chia-Hsiang	Director of Ace Progress Holdings Limited Chairman of Kunshan Eson Precision Engineering Co., Ltd. Chairman of Yantai Zheng Yi Precision Electronics Co., Ltd. Chairman of Wuxi Singuan Metal Science & Technology Co., Ltd. Chairman of Dongguan Yihong Precision Mould Co., Ltd. Chairman and President of Eson (VN) Precision Industry Co., Ltd.
Director	Ace Progress Holdings Limited Representative : Tsai, Jia-Hua	Vice President of Eson Precision Engineering Co., Ltd.
Director	Golden Harvest Management Limited Representative : Lee, Kuang-Yao	Chairman, Pan-International Co., Ltd. Director, FARobot Mobility Inc. Director, DUDOO Cayman Holdings Co., Ltd. Director, Nanjing Futeng New Energy Vehicle Technology Co., Ltd. Director, Beijing Hengyu Car Rental Co., Ltd. General Manager, Beijing Hengyu Car Rental Co., Ltd. Legal Representative & Chairman, Jinji Hu Precision Machinery (Wuhan) Co., Ltd. Director, Foxconn Precision Engineering (Shenzhen) Co., Ltd. Director, Foxconn Precision Engineering Pte Ltd (India) General Manager, Foxconn New Business Development Group Co., Ltd. General Manager, Foxconn New Energy Vehicle Industry Development (Henan) Co., Ltd..
Director	Golden Harvest Management Limited Representative : Lee, Wei-Kang	Senior Director of Hon Hai Precision Ind. Co., Ltd.
Independent Director	Kao, Chih-Chien	CPA of DS Certified Public Accountants Independent Director of Bright Sheland International Co., Ltd.

Note2 : When the general manager or equivalent (top manager) is the same person as the chairman, or is their spouse or a close relative, the reasons, rationale, necessity, and corresponding measures should be disclosed (e.g., increasing the number of independent directors, and ensuring that more than half of the directors do not concurrently serve as employees or managers).

The Chairman and General Manager of this company are the same person. The company has a succession planning program, utilizing a talent pool of key personnel for development, from which candidates will be selected to succeed the Board of Directors and other key positions. The company has three independent directors. At the shareholders' meeting on June 11, 2026, one more independent director will be elected, and more than half of the directors do not concurrently serve as employees or managers.

Supervisors : The company set up an audit committee, no supervisor.
Major Shareholders of Institutional Shareholders

(1) Major Shareholders

Name of Institutional Shareholders	Major Shareholders
Golden Harvest Management Limited	Foxconn (Far East) Limited-Cayman(100%)
Ace Progress Holdings Limited	Tsai, Chia-Hsiang (100%)

(2) Major shareholders of the Company's major institutional shareholders

Name of Institutional Shareholders	Major Shareholders
Foxconn (Far East) Limited-Cayman	Hon Hai Precision Industry Co., Ltd.(100%)

Professional qualifications and independence of directors

| Condition
Name | Professional qualifications and Experiences | Independence status | Number of
Other Public
Companies in
Which the
Individual is
Concurrently
Serving as an
Independent
Director |
| --- | --- | --- | --- |
| Ace Progress Holdings Limited
Representative :
Tsai, Chia-Hsiang | Possesses five or more years of work experience
required for the Company’s business.
None of the Directors has been in or is under
any circumstances stated in Article 30 of the
Company Law. | Not Applicable | 0 |
| Ace Progress Holdings Limited
Representative :
Tsai, Jia-Hua | Possesses five or more years of work experience
required for the Company’s business.
None of the Directors has been in or is under
any circumstances stated in Article 30 of the
Company Law. | | 0 |
| Golden Harvest Management
Limited
Representative :
Lee, Kuang-Yao | Possesses five or more years of work experience
required for the Company’s business.
None of the Directors has been in or is under
any circumstances stated in Article 30 of the
Company Law. | | 0 |
| Golden Harvest Management
Limited
Representative :
Lee, Wei-Kang | Possesses five or more years of work experience
required for the Company’s business.
None of the Directors has been in or is under
any circumstances stated in Article 30 of the
Company Law. | | 0 |
| Independent Director
Kao, Chih-Chien | Certified Public Accountant qualification.
None of the Directors has been in or is under
any circumstances stated in Article 30 of the
Company Law. | All of the following situations apply to
each and every of the Independent
Directors:
1. Satisfy the requirements of Article
14-2 of “Securities and Exchange Act”
and
“Regulations Governing Appointment
of Independent Directors and
Compliance
Matters for Public Companies” (Note
2) issued by Taiwan’s Securities and
Futures Bureau
2. Independent Director (or nominee
arrangement) as well as his/her spouse
and minor children do not hold any
TSMC shares
3. Received no compensation or
benefits for providing commercial,
legal, financial, accounting services or
consultation to the Company or to any
its affiliates within the preceding two
years, and the service provided is either
an “audit service” or a “non-audit
service” | 2 |
| Independent Director
Jang, Woan-Shiuan | Attorney qualification.
None of the Directors has been in or is under
any circumstances stated in Article 30 of the
Company Law. | | 1 |
| Independent Director
Lee, Chien-Ming | Lecturer in Business or Corporate Affairs at a
Public University/College.
None of the Directors has been in or is under
any circumstances stated in Article 30 of the
Company Law. | | 0 |

Note 1 : The company set up an audit committee, no supervisor
Note 2: A person shall not act in a management capacity for a company, and if so appointed, must be immediately discharged if they have been:
1. Convicted for a violation of the Statutes for the Prevention of Organizational Crimes and: has not started serving the sentence; has not completed serving the sentence; or five years have not elapsed since completion of serving the sentence, expiration of probation, or pardon;
2. Convicted for fraud, breach of trust or misappropriation, with imprisonment for a term of more than one year, and: has not started serving the

sentence; has not completed serving the sentence; or two years have not elapsed since completion of serving the sentence, expiration of probation, or pardon;

Convicted for violation of the Anti-Corruption Act, and: has not started serving the sentence; has not completed serving the sentence; or two years have not elapsed since completion of serving the sentence, expiration of probation, or pardon;
Adjudicated bankrupt or adjudicated to commence a liquidation process by a court, and having not been reinstated to his or her rights and privileges;
Sanctioned for unlawful use of credit instruments, and the term of such sanction has not expired yet;
if she/he does not have any or limited legal capacity; or
if she/he has been adjudicated to require legal guardianship and such requirement has not been revoked yet

Note 3: During the two years before being elected and during the term of office, meet any of the following situations:

Not an employee of the Company or any of its affiliates.
Not a director or supervisor of the Company or any of its affiliates. (The same does not apply, in cases where the person is an independent director of the Company, its parent company, or any subsidiary in which the Company holds in accordance with domestic or local regulations.)
Not a natural-person shareholder who holds shares, together with those held by the person's spouse, minor children, or held by the person under others' names, in an aggregate amount of 1% or more of the total number of outstanding shares of the Company or ranking in the top 10 in holdings.
Not the managers as item 1 or a spouse, relative within the second degree of kinship, lineal relative within the third degree of kinship of the person as item 2 & 3.
Director, supervisor, or legal shareholders who are not directly holding more than 5% of the company's total issued shares, or appointing representatives as company directors or supervisors in accordance with Article 27, paragraph 1 or 2 of the Company Law Employee (but if the independent directors established by the company and its parent company, subsidiary company or subsidiary of the same parent company in accordance with this law or local national laws and regulations are concurrently held by each other, it is not limited to this)
More than half of the shares that are not on the board of directors of the company or have voting rights are the directors, supervisors or employees of other companies controlled by the same person (but if it is the company or its parent company, subsidiary, or subsidiary of the same parent company (The independent directors established by the laws or local laws and regulations of the country serve concurrently with each other, this is not the case)
Directors (directors), supervisors (supervisors) or servants of other companies or organizations who are not the same person or spouse with each other and are the same person or spouse (Or independent directors set up by subsidiaries of the same parent company in accordance with this law or local national laws and regulations serve concurrently, not subject to this limit)
Directors (directors), supervisors (supervisors), managers or shareholders holding more than 5% of a specific company or organization that does not have financial or business dealings with the company (but if a specific company or organization holds 20% of the company's total issued shares Above, not more than 50%, and the independent directors established by the company and its parent company, subsidiary company or subsidiary of the same parent company in accordance with this law or local national laws and regulations concurrently serve each other, not limited to this)
Professionals, sole proprietorships, partnerships, business owners of companies or institutions that do not provide audits for companies or related companies or business, legal, financial, accounting and other related services that have not received more than NT$ 500,000 in cumulative compensation in the past two years Partners, directors (directors), supervisors (supervisors), managers and their spouses. However, members of the Compensation Committee, Public Takeovers Review Committee, or M&A Special Committee performing their functions and powers in accordance with the relevant laws and regulations of the Securities Exchange Act or the Corporate M&A Act are not limited to this.
Not having a marital relationship, or a relative within the second degree of kinship to any other director of the Company.
Not a governmental, juridical person or its representative as defined in Article 27 of the Company Law.

Diversity and independence of the Board of Directors:

(1) Diversity of the Board of Directors:

Based on the policy of diversification and strengthening of corporate governance in order to promote the sound development of the Company's board composition and structure. In addition, the Company has, based on its own operations, operational patterns and developmental needs, formulated appropriate diversification policies including but not limited to the following:

① Basic conditions and value: gender, age, nationality and culture.

② Professional knowledge and skills: operational judgment capability, accounting and financial analysis capability, business management capability, risk management capability, industry knowledge, international market outlook, leadership capability, and decision-making capability.

The current Board of Directors of the Company consists of seven directors. The specific management objectives of the board diversity policy and their achievement status are as follows:

Diversity management objectives	Achievement status
The number of independent directors exceeds one third of the board seats	Done
Adequate and diverse professional knowledge and skills	Done
Enhance the proportion of female representation on the Board of Directors	Achieved. The Company has increased the number of female directors by two, resulting in female representation of 29% on the Board. A further female independent director will be elected at the shareholders’ meeting on June 11, 2026, which will raise female representation on the Board to 38%.

The implementation status of the board diversity policy is as follows:

Core of diversity Name	Basic composition									Professional background		Professional knowledge and capabilities
		Nationality	Gender	Employee	Age			Tenure and seniority of independent directors (less than 3 years)			Accounting	Industry	Law	Operational judgment capability	Business management capability	Leadership and decision making capability	Risk management capability	Industry knowledge	International Market outlook
Director	Tsai, Chia-Hsiang	R.O.C.	Male	v			V					v		v	v	v	v	v	v
	Tsai, Jia-Hua		Female	v		V						v		v	v	v	v	v	v
	Lee, Kuang-Yao		Male				V					v		v	v	v	v	v	v
	Lee, Wei-Kang		Male			V						v		v	v	v	v	v	v
Independent director	Kao, Chih-Chien		Male			V				v	v	v		v	v	v	v	v	v
	Jang, Woan-Shiuan		Female		V			v				v	v	v	v	v	v	v	v
	Lee, Chien-Ming		Male				v		v			v		v	v	v	v	v	v

(2) Independence of the Board of Directors: The Board of Directors of the Company consists of seven directors, of which three are independent directors and four directors (42.86% and 57.14% of all directors) As of 2025.12.31, In addition, all of independent directors comply with the regulations of the Securities and Futures Bureau and none of the circumstances prescribed in paragraph 3 and paragraph 4, Article 26-3 of the Securities Exchange Act exist among the directors and independent directors. The Board of Directors of the Company is independent (Please refer to page 10 of this Annual Report - Disclosure of information on professional qualifications of directors and independence of independent directors). The Experience(Education), Gender and Work Experience(Please refer to page 7-9 of this Annual Report - Information of directors). The number of female directors on the company's board has not reached one-third, mainly due to the characteristics of the industry. In the future, we will incorporate gender diversity goals into the director nomination policy.

3.1.2 Management Team

Apr 22, 2026; Shares: In thousands

	Name	Gender	Nationality	On-board Date	Shareholding		Spouse & Minor Shareholding		Shareholding by Nominee Arrangement		Experience (Education)	Other Position	Managers who are Spouses or Within Two Degrees of Kinship
					Shares	%	Shares	%	Shares	%			Title	Name	Relation
President	Tsai, Chia-Hsiang (Note 2)	Male	R.O.C	2026/03/13	-	-	-	-	-	-	Taipei Municipal Shilin High School of Commerce Chairman of Chen Shuen Industry Co., Ltd Chairman of Kuan Hung Precision Co., Ltd	-	-	-	-
President	Huang, Hsin-Feng (Note 2)	Male	R.O.C	2025/5/12							MBA from Coventry University Factory Chief of Chenbro Micom Co., Ltd. General Manager of Dongguan Jiawei Electronics Co., Ltd.
Vice President	Chou, Cheng-Chang (Note 3)	Male	R.O.C	2024/08/27	-	-	-	-	-	-	Master's Degree in Mechanical Engineering, National Chiao Tung University General Manager, Golden Bridge Technology Co., Ltd. Deputy General Manager, Xiangxin Technology Co., Ltd.		-	-	-
Vice President	Hsiao, Hao-Chou	Male	R.O.C	2024/03/13	15	0.01%	-	-	-	-	Master of Industrial Engineering, University of Michigan, Ann Arbor Manager, Formosa Prosonic	-	-	-	-
Vice President	Tsai, Jia-Hua	Female	R.O.C	2024/05/10	-	-	-	-	-	-	Ph.D. of College of Management, National Taiwan University Operations Manager, Jabil Inc. Assistant Manager, Wuxi Xinguan Metal Science & Technology Co., Ltd.	-	-	-	-
Chief Financial Officer/ Accounting Supervisor	Lin, You-Ching (Note 3)	Male	R.O.C	2021/03/23	-	-	-	-	-	-	Master of College of Management, National Taiwan University Director of Finance and Accounting Department of L & K Engineering Co., Ltd. Manager of Pricewaterhouse Coopers Taiwan	-	-	-	-
Manager	Liu, Li-Ling	Female	R.O.C	2020/03/19	-	-	-	-	-	-	Department of Accounting, Shih Chien University Assistant Manager of KPMG Assistant Manager of Phonic Corporation	-	-	-	-
Auditor Assistant Manager	Ku, Hui-Chien	Female	R.O.C	2016/05/10	-	-	-	-	-	-	Shih Chien University Audit Section Manager of Premier Technology Co., Ltd. Audit Junior Manager of Hon Hai Precision Ind. Co., Ltd.	-	-	-	-

Note 1 : The company has a succession training plan. Use the talent pool of personnel in key positions as the training, select the successor to take over board of directors and for key positions. The company has three independent directors, more than half of the directors are not concurrently employees or managers.
Note 2 : On March 13, 2026, Mr. Huang Hsun-Feng was reassigned, and Mr. Tsai Chia-Hsiang, Chairman of the Board, concurrently serves as General Manager.
Note 3 : Mr. Chou Cheng-Chang left the Company on June 15, 2025.

3.1.3 Remuneration of Directors, Supervisors, President, and Vice Presidents

Directors, presidents and executive vice presidents remuneration in the latest year

(1) Remuneration of Directors (including independent Directors)

Unit: NT$ thousands

Title	Name	Remuneration	Ratio of Total Remuneration (A+B+C+D) to Net Income (%)	Relevant Remuneration Received by Directors Who are Also Employees	Ratio of Total Compensation (A+B+C+D+E+F+G) to Net Income (%)	Compensation Paid to Directors from non-consolidated affiliates
Base Compensation (A)	Severance Pay (B)	Directors Compensation (C)	Allowances (D)	Salary, Bonuses, and Allowances (E)	Severance Pay (F)	Employee Compensation (G)
From ESON	From all Consolidated Entities	Cash	Stock	Cash	Stock
From ESON	From all Consolidated Entities	From ESON	From all Consolidated Entities	From ESON	From all Consolidated Entities	From ESON
Chairman	Ace Progress Holdings Limited	-	-	-	-	727
0.1	757
0.1	1,800	1,800	-	-	-	-
0.54	4,025
0.54
Representative : Tsai, Chia-Hsiang
Director	Ace Progress Holdings Limited	-	-	-	-	727
0.1	752
0.1	3,182	3,182	-	-	-	-
0.53	3,934
0.53
Representative : Huang, Hsin-Feng (Note3)
Director	Golden Harvest Management Limited	-	-	-	-	728
0.1	748
0.1	-	-	-	-	-	-
0.1	748
0.1
Representative : Lee, Kuang-Yao
Director	Golden Harvest Management Limited	-	-	-	-	728
0.1	743
0.1	-	-	-	-	-	-
0.1	743
0.1
Representative : Lee, Wei-Kang
Independent Director	Kao, Chih-Chien	-	-	-	-	728
0.1	753
0.1	-	-	-	-	-	-
0.1	753
0.1
Independent Director	Jang, Woan-Shiuan	-	-	-	-	728
0.1	753
0.1	-	-	-	-	-	-
0.1	753
0.1
Independent Director	Lee, Chien-Ming	546	546	-	-	728
0.2	1,304
0.2	-	-	-	-	-	-
0.2	1,304
0.2

Title	Name	Remuneration	Ratio of Total Remuneration (A+B+C+D) to Net Income (%)	Relevant Remuneration Received by Directors Who are Also Employees	Ratio of Total Compensation (A+B+C+D+E+F+G) to Net Income (%)	Compensation Paid to Directors from non-consolidated affiliates
Base Compensation (A)	Severance Pay (B)	Directors Compensation (C)	Allowances (D)	Salary, Bonuses, and Allowances (E)	Severance Pay (F)	Employee Compensation (G)
From ESON	From all Consolidated Entities
From ESON	From all Consolidated Entities	From ESON	From all Consolidated Entities	From ESON	From all Consolidated Entities	From ESON
1. Illustrate the remuneration policies, system, standards and structure for independent directors, and describe the relevance of the amount of remuneration with its responsibilities, risks, engaged time and other factors: The remuneration policy for independent directors of the company is determined annually by the Compensation Committee after reviewing their responsibilities, contribution value to operations, and referencing industry standards. The committee submits recommendations to the board of directors for approval. 2. In addition to the above remuneration, director remuneration shall be disclosed as follows when received from companies included in the consolidated financial statements and reinvestment companies in the most recent year to compensate directors for their services, such as being independent contractors.: None

Note1: Renumeration distributed from the 2025 annual surplus is the proposed number, which shall take effect following resolution of the shareholders' meeting on June 11, 2026.
Note2 : The proposed number for employee compensation is calculated based on the actual allotment ratio from last year.
Note3 : On February 12, 2026, Ace Progress Holdings Limited changed its representative from Mr. Huang Hsun-Feng to Ms. Tsai Chia-Hua.

(2) Remuneration of Supervisor : The company set up an audit committee, no supervisor

2. Remuneration of the President and Vice Presidents

Unit: NT$ thousands

Title	Name	Salary(A)	Severance Pay (B)	Bonuses and Allowances (C)	Employee Compensation (D)				Ratio of total compensation (A+B+C+D) to net income (%)	Remuneration received from all investee companies (other than subsidiaries) or the parent company
						From ESON		From all Consolidated Entities
		From ESON	From all Consolidated Entities	From ESON	From all Consolidated Entities	From ESON	From all Consolidated Entities	Cash	Stock		Cash	Stock	From ESON	From all Consolidated Entities
President	Tsai, Chia-Hsiang (Note2)	-	19,185	-	-	-	11,490	7,526	-	7,526	-	7,526	30,657	-
President	Huang, Hsin-Feng (Note2)
President	Lin, Yu-Chuan (Note3)
Vice President	Chou, Cheng-Chang (Note4)
Vice President	Hsiao, Hao-Chou

Vice President	Tsai, Jia-Hua
Vice President & CFO	Lin, You-Ching
Vice President	Yao, Yi-Shun

Note 1: The proposed number for employee compensation is calculated based on the actual allotment ratio from last year.
Note 2: On March 13, 2026, Mr. Huang Hsun-Feng underwent a change in position, and Mr. Tsai Chia-Hsiang, Chairman of the Board, concurrently assumed the role of General Manager.
Note 3: On May 12, 2025, Mr. Lin Yu-Chuan underwent a change in position. Pursuant to a resolution of the Board of Directors, Mr. Huang Hsun-Feng was appointed as the new General Manager.
Note 4: Mr. Chou Cheng-Chang resigned on June 15, 2025.

Remuneration Bracket

Range of Remuneration	Name of President and Vice Presidents
	From ESON	From all Consolidated Entities
Below NT$1,000,000
NT$1,000,000 (Incl.) ~NT$2,000,000 (Exel.)
NT$2,000,000 (Incl.) ~NT$3,500,000 (Excl.)	Lin, Yu-Chuan - Yao, Yi-Shun	Lin, Yu-Chuan - Yao, Yi-Shun
NT$3,500,000 (Incl.) ~NT$5,000,000 (Exel.)	Chou, Cheng-Chang - Huang, Hsin-Feng	Chou, Cheng-Chang - Huang, Hsin-Feng
NT$5,000,000 (Incl.) ~NT$10,000,000 (Exel.)	Tsai, Jia-Hua - Hsiao, Hao-Chou - Lin, You-Ching	Tsai, Jia-Hua - Hsiao, Hao-Chou - Lin, You-Ching
NT$10,000,000 (Incl.) ~NT$15,000,000 (Exel.)
NT$15,000,000 (Incl.) ~NT$30,000,000 (Exel.)
NT$30,000,000 (Incl.) ~NT$50,000,000 (Exel.)
NT$50,000,000 (Incl.) ~NT$100,000,000 (Exel.)
Over NT$100,000,000
Total	7 People	7 People

Remuneration to the Five Highest Remunerated Management Personnel

Title	Name	Salary(A)	Severance Pay (B)	Bonuses and Allowances (C)	Employee Compensation (D)				Ratio of total compensation (A+B+C+D) to net income (%)	Remuneration received from all investee companies (other than subsidiaries) or the parent company
						From ESON		From all Consolidated Entities
		From ESON	From all Consolidated Entities	From ESON	From all Consolidated Entities	From ESON	From all Consolidated Entities	Cash	Stock		Cash	Stock	From ESON	From all Consolidated Entities
President	Huang, Hsin-Feng	-	2,882	-	-	-	300	1,200	-	1,200	-	1,200
0.16	4,382
0.59	-
Vice President	Hsiao, Hao-Chou	-	3,893	-	-	-	1,890	690	-	690	-	690
0.09	6,473
0.87	-
Vice President	Tsai, Jia-Hua	-	2,444	-	-	-	5,000	1,600	-	1,600	-	1,600
0.22	9,044
1.22	-
Vice President	Chou, Cheng-Chang.	-	2,894	-	-	-	1,800	-	-	-	-	-	4,694
0.63	-
Vice President & CFO	Vice President	-	2,273	-	-	-	1,500	1,340	-	1,340	-	1,340
0.18	5,113
0.69	-

Note 1: The proposed amount of employees' compensation is determined based on the actual distribution ratio of the preceding year.
Note2 : Mr. Chou Cheng-Chang resigned on June 15, 2025

Employees' Compensation of the Management Team

	Title	Name	Employee Compensation - in Stock (Fair Market Value)	Employee Compensation - in Cash	Total	Ratio of Total Amount to Net Income (%)
Executive Officers	Vice President	Yao, Yi-Shun	-	7,526	7,526	1.02
	Vice President	Hsiao, Hao-Chou
	Vice President	Tsai, Jia-Hua
	Vice President & CFO	Lin, You-Ching

Note : As of the date of printing of the annual report, the list of distribution of employees' compensation has not yet been decided. According to the regulations, the proposed number of allotments this year will be calculated according to the actual distribution ratio from last year.

3.1.4 Compare and state the ration of total remuneration paid to the Company's Directors, President and Vice Presidents by the company and the companies in the consolidated financial statements to net income in the past two years. Please also describe the policy, criteria, packages, and rules relation to the remuneration, as well as its relation to business performance and future risks.

The ratio of total remuneration paid by the Company and by all companies included in the consolidated financial statements for the two most recent fiscal years to directors, president, and vice presidents of the Company, to the net income.

Unit: NT$ thousand

Item	The ratio of total remuneration paid by the Company and by all companies included in the consolidated financial statements
	2025 Year				2024 Year
	From ESON		From all Consolidated Entities		From ESON		From all Consolidated Entities
	Amount	Ratio of Total Amount to Net Income (%)	Amount	Ratio of Total Amount to Net Income (%)	Amount	Ratio of Total Amount to Net Income (%)	Amount	Ratio of Total Amount to Net Income (%)
Director	11,714	1.58%	11,714	1.58%	7,918	1.40%	7,918	1.40%
Presidents and Vice Presidents	7,526	1.02%	30,675	4.14%	6,655	1.17%	30,053	5.31%

The total remuneration of directors and officers at the vice president level and above for 2025 increased compared to 2024, primarily due to a director concurrently serving as General Manager and the appointment of an additional Vice President during the year.

The policies, standards, and portfolios for the payment of remuneration, the procedures for determining remuneration, and the correlation with risks and business performance.

(I) The policies and standards of paying remunerations, and packages of remuneration:

The Company has established a Remuneration Committee with all independent directors serving as members. The remuneration policy for directors and managers is based on their responsibilities, the value of their contribution from participation in operations, and references the Company's business performance and industry standards. Their remuneration is periodically determined each year and reviewed by the Remuneration Committee, and recommendations are submitted to the Board of Directors for resolution. The remuneration evaluation process takes into account business performance and risks.
In addition, if the Company makes a profit in the current year, according to the Company's Articles of Incorporation, 2%-8% of the profit shall be allocated as employee bonuses and no more than 0.5% as directors' remuneration. The results of performance evaluations conducted by the Company in accordance with the "Performance Management Regulations" are referenced when distributing bonuses to managers. Manager performance evaluation items are divided into 1. Financial indicators: The contribution of each business group to the Company's profits based on the Company's profit and loss statement, and the manager's target achievement rate is also referenced. 2. Non-financial indicators: The remuneration for business performance is calculated based on two parts, ability to practice the Company's core values and manage operations, and participation in sustainability management. The remuneration system is reviewed at any time based on the actual business conditions and relevant laws and regulations.

(II) Procedure for determining remuneration:

The reasonableness of performance evaluations and remuneration of the Company's directors and managers are periodically reviewed by the Remuneration Committee and the Board of Directors each year. Besides considering the achieving rate of individual performance targets and contribution to the Company, the Company's overall business performance, as well as future risks and development trends of the industry are also taken into consideration. The remuneration system is reviewed based on the business situation and relevant laws and regulations whenever appropriate. Reasonable remuneration is determined after considering current corporate governance trends, in order to achieve a balance between the Company's sustainable development and risk management. The actual amount of remuneration paid to directors and managers in 2025 was reviewed by the Remuneration Committee and then submitted to the Board of Directors for a decision.

(III) Connection with business performance and future risk:

The remuneration evaluation process takes into account business performance and risks.

3.2 Implementation of Corporate Governance

3.2.1 Board of Directors

A total of 4(A) meetings of the Board of Directors were held in 2025. The attendance of director were as follows

Title	Name	Attendance in Person (B)	By Proxy	Attendance Rate (%) [B/A]	Remarks
Chairman	Ace Progress Holdings Limited Representative : Tsai, Chia-Hsiang	3	1	75.00	-
Director	Ace Progress Holdings Limited Representative : Huang, Hsin-Feng	3	1	75.00	-
Director	Golden Harvest Management Limited Representative : Lee, Kuang-Yao	4	-	100.00	-
Director	Golden Harvest Management Limited Representative : Lee, Wei-Kang	3	1	75.00	-
Independent director	Kao, Chih-Chien	4	-	100.00	-
Independent director	Jang, Woan-Shiuan	3	1	75.00	-
Independent director	Lee, Chien-Ming	4	-	100.00	-

2. Other mentionable item

A. If any of the following circumstances occur, the dates of the meetings, sessions, contents of motion, all independent directors' opinions and the company's response should be specified

(1) Matters referred to in Article 14-3 of the Securities and Exchange Act.

Meeting Date	The resolutions	Matters listed in Article 14-3 of "Securities and Exchange Act"	Independent Director had a dissenting opinion or qualified opinion
2025.03.12	1.Approving of Amendments to the Company's “Articles of Incorporation”.	✓	None
	Opinions of Independent directors : None
	Company's treatment of the opinions. : None
2025.05.12	1.Proposal for appointing the Company's certified public accountants and determine fees	✓	None
	2.Approval of the Company's Pre-Approved Non-Assurance Services Proposal.	✓	None
	Opinions of Independent directors : None
	Company's treatment of the opinions. : None
2025.11.11	1.Approval of the proposed additional investment plan of the Company's Vietnam subsidiary, Eson (VN) Precision Industry Co., Ltd., for the construction of a new plant, with the total investment amount capped at USD 17.2 million.	✓	None
	Opinions of Independent directors : None
	Company's treatment of the opinions. : None
2026.03.13	Approval of the Establishment of the Company's Internal Control System – Information Cycle Proposal	✓	None
	Opinions of Independent directors : None
	Company's treatment of the opinions. : None

(2) Other matters involving objections or expressed reservations by independent directors that were recorded or stated in writing that require a resolution by the board of directors: None

B. If there are directors' avoidance of motions in conflict of interest, the directors' names, contents of motion, causes for avoidance and voting should be specified:

Meeting Date	Contents of motion	Directors' name	Causes for avoidance	Voting should be specified
2025.03.12	Remuneration Proposal for the Members of the Company's Sustainable Development Committee.	Lee, Chien-Ming	This matter involves a director's conflict of interest.	Not participating in discussions and voting
2025.08.25	Proposal for the Company's Directors' Compensation.	All directors in attendance	As the matter involves directors' compensation, the attending directors each recused themselves from participation in relation to their respective interests in the remuneration.	Not participating in discussions and voting
2025.11.11	Proposal for the Company's Year-End Bonuses for Managerial Officers.	Huang, Hsin-Feng	This matter involves a director's conflict of interest.	Not participating in discussions and voting
2026.03.13	Proposal for the Remuneration of the Chairman Concurrently	Tsai, Chia-Hsiang	This matter involves a director's conflict of interest.	Not participating in discussions and voting

C. TWSE/TPEx listed companies shall disclose information such as evaluation cycle and period, evaluation scope, method and content of evaluation of the self-evaluation (or peer evaluation) of the Board of Directors:

(1) Evaluation implementation status of the Board of Directors:

Evaluation cycle	Evaluation period	Evaluation scope	Evaluation method	Evaluation content
Once per year	2025.1.1-2025.12.31	Performance Evaluation of the Board of Directors as a Whole, Individual Directors, and Functional Committees (including the Audit Committee, Remuneration Committee, and Sustainability Development Committee).	Internal evaluation of the board. Self-evaluation by individual board members.	(Note 1)

Note 1: Evaluation content as follow:
(1) The Company shall take into consideration its condition and needs when establishing the criteria for evaluating the performance of the board of directors, which should cover, at a minimum, the following five aspects:

Participation in the operation of the company;
Improvement of the quality of the board of directors' decision making;
Composition and structure of the board of directors;
Election and continuing education of the directors; and
Internal control.

(2) The criteria for evaluating the performance of the board members (on themselves or peers), should cover, at a minimum, the following six aspects:

Alignment of the goals and missions of the company;
Awareness of the duties of a director;
Participation in the operation of the company;
Management of internal relationship and communication;
The director's professionalism and continuing education; and
Internal control.

(3) The criteria for evaluating the performance of functional committees should cover, at a minimum, the following five aspects:

Participation in the operation of the company;
Awareness of the duties of the functional committee;
Improvement of quality of decisions made by the functional committee;
Makeup of the functional committee and election of its members and
Internal control.

D. Measures taken to strengthen the functionality of the board: The Board of Directors has established an Audit Committee and a Remuneration Committee to assist the board in carrying out its various duties.

(1) Strengthening the functionality of the board of Directors
(a) The Board complies with the “Rules Governing the Conduct of Board Meetings” which has been established according to statutory regulations.
(b) The company elected three independent directors on December 31,2012. The Board also has established an Audit committee to assist the board in carrying out its various duties.
(2) Improve information transparency of the board of Directors: The company has spokesman and deputy spokesman to deal with suggestions from shareholders and appointed personnel in charge of disclosing the Market Observation Post system (MOPS)

3.2.2 Audit Committee

The Audit Committee assists the Board in fulfilling its oversight of the quality and integrity of the accounting, auditing, reporting, and financial control practices of the Company.

The Audit committee is responsible to review the following major matters:

(1) The adoption of or amendments to the internal control system pursuant to Article 14-1 of the Securities and Exchange Act.
(2) Assessment of the effectiveness of the internal control system.
(3) The adoption or amendment, pursuant to Article 36-1 of the Securities and Exchange Act, of the procedures for handling financial or business activities of a material nature, such as acquisition or disposal of assets, derivatives trading, loaning of Funds to Other Parties, and endorsements or guarantees for others.
(4) Matters in which a director is an interested party.
(5) Asset transactions or derivatives trading of a material nature.
(6) Loans of funds, endorsements, or provision of guarantees of a material nature.
(7) The offering, issuance, or private placement of equity-type securities.
(8) The hiring or dismissal of a certified public accountant, or their compensation.
(9) The appointment or discharge of a financial, accounting, or internal audit officer.
(10) Annual and semi-annual financial reports.
(11) Other material matters as may be required by this Corporation or by the competent authority.

A total of 4 (A) Audit Committee meetings were held in 2025. The attendance of the independent directors was as follows:

| Title | Name | Attendance in Person (B) | By Proxy | Attendance Rate (%)
【B/A】 | Remarks |
| --- | --- | --- | --- | --- | --- |
| Independent director | Kao, Chih-Chien | 4 | - | 100.00 | - |
| Independent director | Jang, Woan-Shiuan | 4 | - | 100.00 | - |
| Independent director | Lee, Chien-Ming | 4 | - | 100.00 | - |

Other mentionable items:
If any of the following circumstances occur, the dates of meetings, sessions, contents of motion, resolutions of the Audit Committee and the Company's response to the Audit Committee's opinion should be specified:

(1) Matters referred to in Article 14-5 of the Securities and Exchange Act.

Date	The resolutions	Matters listed in Article 14-5 of Securities and Exchange Act	Any resolution which was not approved by the Audit Committee but was approved by two-thirds or more of all Directors	Independent directors' objections, reservations or major suggestions
2025.03.12	1. The Company's 2024 business report and consolidated financial statements.	✓	None	None
	2. Approving 2024 Assessment of the effectiveness of the internal control system and Statement of Internal Control System.
	Resolution of Audit Committee: The Audit Committee unanimously approved the proposal.
	The Company's response to the opinions from Audit Committee: The Board unanimously approved the proposal.
2025.08.25	1. Proposal to Approve the Company's Consolidated Financial Statements for the Second Quarter of 2025.	✓	None	None
	2. Proposal to Amend the Company's Internal Control System for the Sales and Collection Cycle.
	3. Proposal to Amend the Company's Internal Control System for the Procurement and Payment Cycle.
	Resolution of Audit Committee: The Audit Committee unanimously approved the proposal.
	The Company's response to the opinions from Audit Committee: The Board unanimously approved the proposal.
2025.05.12	1. Proposal for the Appointment and Determination of Remuneration of the Company's Independent	✓	None	None

Date	The resolutions	Matters listed in Article 14-5 of Securities and Exchange Act	Any resolution which was not approved by the Audit Committee but was approved by two-thirds or more of all Directors	Independent directors’ objections, reservations or major suggestions
	Auditors for Financial Statements
	Resolution of Audit Committee: The Audit Committee unanimously approved the proposal.
	The Company’s response to the opinions from Audit Committee: The Board unanimously approved the proposal.
2025.11.11	1. Proposal to Amend the Company’s Sustainability Information Management.	✓	None	None
	2. Proposal to Approve the Additional Investment Plan of the Company’s Vietnam Subsidiary, Eson (VN) Precision Industry Co., Ltd., for the Construction of a New Plant, with the Total Investment Amount Capped at USD 17.2 Million..
	Resolution of Audit Committee: The Audit Committee unanimously approved the proposal.
	The Company’s response to the opinions from Audit Committee: The Board unanimously approved the proposal.
2026.03.12	1. The Company’s 2025 business report and consolidated financial statements.	✓	None	None
	2. Approving 2025 Assessment of the effectiveness of the internal control system and Statement of Internal Control System.
	Resolution of Audit Committee: The Audit Committee unanimously approved the proposal.
	The Company’s response to the opinions from Audit Committee: The Board unanimously approved the proposal.

(2) Other matters which were not approved by the Audit Committee but were approved by two-thirds or more of all directors: None

If there are independent directors’ avoidance of motions in conflict of interest, the directors’ names, contents of motion, causes for avoidance and voting should be specified: None
Communications between the independent directors, the Company's chief internal auditor and CPAs (e.g. the material items, methods and results of audits of corporate finance or operations, etc.) : The company set up an audit committee on October 31,2012. The Internal Auditors have sent the audit reports to the members of the Audit Committee periodically to improve information transparency. The Independent Directors examine the financial statements periodically. The communication channel between the Audit Committee and the Independent Auditors functioned well.

The communications between the independent directors, the internal auditors and the independent auditors are listed in the table below :

Date	Communications between the Independent Directors and the Internal Auditors	Communications between the Independent Directors and the Independent Auditors
2025.03.12	Report on the Status of Implementation of the Internal Audit Plan.
2024 Statement on Internal Control System.	Reviewing key audit matters
Reviewing regulatory developments
2025.05.12	Report on the Status of Implementation of the Internal Audit Plan.	Reviewing key audit matters
Reviewing regulatory developments
2025.08.25	Report on the Status of Implementation of the Internal Audit Plan.	Reviewing key audit matters
Reviewing regulatory developments
2025.11.11	Report on the Status of Implementation of the Internal Audit Plan.
2026 Internal Audit Plan Working Paper.
2025.11.11 (Pre-meeting)	Organization of the Group Internal Audit Function.
Internal Audit Operations for 2025	Matters Communicated with Independent Directors in 2025
2026.03.13	Report on the Status of Implementation of the Internal Audit Plan.
2025 Statement on Internal Control System.	Reviewing key audit matters
Reviewing regulatory developments

3.2.3 Corporate Governance Implementation Status and Deviations from “the Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies”

Evaluation Item	Implementation Status^{1}			Deviations from “the Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Illustration
1. Does the company establish and disclose the Corporate Governance Best-Practice Principles based on “Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies”?	☑		The company formulated and duly disclosed corporate governance best practice principles pursuant to the “Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies“. Corresponding norms and regulations are observed and implemented in accordance with the spirit of corporate governance. In the future, the company will continue to strengthen information transparency and board functionality through the amendment of relevant management regulations with the goal of promotion corporate governance.	No deviation
2. Shareholding structure & shareholders’ rights
(1) Does the company establish an internal operating procedure to deal with shareholders’ suggestions, doubts, disputes and litigations, and implement based on the procedure?
(2) Does the company possess the list of its major shareholders as well as the ultimate owners of those shares?
(3) Does the company establish and execute the risk management and firewall system within its conglomerate structure?
(4) Does the company establish internal rules against insiders trading with undisclosed	☑
☑
☑
☑		(1) The Company has designed the specialist to handle shareholders’ suggestions, disputes, etc. and coordinate the relevant departments for implementation.
(2) Stock service agency organization can be used to provide actual information and keep track of the shares held by directors, managers and shareholders who own more than 5% of shares.
(3) All affiliates are independently responsible for the management of their assets and finances in accordance with the internal control system of the company to ensure the implementation of the risk control and firewall mechanism.
(4) The company has formulated “Procedures for Ethical Management and Guidelines for Conduct “against insiders trading with undisclosed.	No deviation
No deviation
No deviation
No deviation
3. Composition and Responsibilities of the Board of Directors
(1) Does the Board established a diversity policy, specific management goals and implemented it accordingly?	☑		(1) The Board of Directors has formulated a diversity policy for its members. The nomination and selection of the Company’s board members shall follow the Company’s Articles of Incorporation. The process shall adopt the nomination method. Apart from evaluating the academic qualifications of the candidates and taking the opinions of stakeholders into consideration, the “Rules Governing the Election of Directors” and “Corporate Governance Best Practice Principles” shall be followed to ensure board member diversity and independence.
(2) The list of the 7 members of the 6th-term Board of Directors includes 2 female members. Members with leadership, the ability to make sound business	No deviation

Evaluation Item	Implementation Status ^{1}			Deviations from “the Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Illustration
			judgments, management ability, crisis management ability, possess knowledge of the industry, and have an international market perspective include Chia-Hsiang Tsai, Chia-Hua Tsai, Kuang-Yao Lee, and Wei-Kang Lee. There are three independent directors: Chih-Chien Kao, Woan-Shiuan Jang, and Chien-Ming Lee; Woan-Shiuan Jang has a legal background; Chih-Chien Kao has an accounting background; Chien-Ming Lee is a professor of resource management. All three have a permanent address registered in the Republic of China.

(3) Of the Board of Directors, 14% of directors are employees of the Company, 43% are independent directors, 29% of directors are female, 1 independent director has served a term of less than 3 years, 2 independent directors have served for 3-9 years, 2 directors are aged between 61 and 70 years old, 4 directors are aged between 51 and 60 years old, and 1 director is aged between 41 and 50 years old. The Company will add one female independent director at the shareholders' meeting on June 11, 2026, at which time 38% of directors will be female.

(4) The Board Diversity Policy is disclosed in "Corporate Governance Best Practice Principles" on the Company's website and the Market Observation Post System. | |
| (2) Does the company voluntarily establish other functional committees in addition to the Remuneration Committee and the Audit Committee?

(3) Does the company establish a standard to measure the performance of the Board, and implement it annually, report the results of the performance appraisal to the board of directors and apply the results for reference regarding individual directors’ remuneration and re-appointments | ☑ | ☑ | (1) In addition to the Remuneration Committee, Audit Committee, and Sustainability Development Committee, the Company will assess the need to establish other functional committees in the future as appropriate.

(2) The company has formulated rules procedures for governing the board performance evaluation on March. 22,2019. The board committee's charters shall be subject to review at least once a year as part of the Company's regulations governing performance evaluation for internal committees. Internal board performance evaluations shall be completed before the end of the first quarter of the following year.

The company shall take into consideration its condition and needs when establishing the criteria for evaluating the performance of the board of directors, which should cover, at a minimum, the following five aspects:
1. Participation in the operation of the company;
2. Improvement of the quality of the board of directors' decision making;
3. Composition and structure of the board of directors;
4. Election and continuing education of the directors; and | No deviation
No deviation |

Evaluation Item	Implementation Status ^{1}			Deviations from “the Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Illustration
			5. Internal control.

The criteria for evaluating the performance of the board members (on themselves or peers), should cover, at a minimum, the following six aspects:
1. Alignment of the goals and missions of the company;
2. Awareness of the duties of a director;
3. Participation in the operation of the company;
4. Management of internal relationship and communication;
5. The director's professionalism and continuing education; and
6. Internal control.

The criteria for evaluating the performance of functional committees should cover, at a minimum, the following five aspects:
1. Participation in the operation of the company;
2. Awareness of the duties of the functional committee;
3. Improvement of quality of decisions made by the functional committee;
4. Makeup of the functional committee and election of its members and
5. Internal control.

The performance evaluation is conducted by the responsible unit or the Secretariat of the Board using internal questionnaires. The evaluation covers three aspects: the operation of the Board of Directors, directors’ participation, and the operation of functional committees. Directors evaluate the operation of the Board, and the results of the Board performance evaluation serve as a reference for the nomination or election of directors. In addition, the performance evaluation results of individual directors serve as a reference for determining their individual remuneration.

After all questionnaires are collected each year, the responsible unit or the Secretariat of the Board analyzes the results in accordance with the relevant procedures, submits the results to the Board of Directors, and proposes improvement measures for areas requiring enhancement. | |

Evaluation Item	Implementation Status ^{1}			Deviations from “the Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Illustration
			The Board performance evaluation for 2025 was conducted by the Secretariat of the Board in early 2026. Relevant information regarding Board activities was collected, and self-evaluation questionnaires were distributed to Board members for completion. The evaluation period was from January 1, 2025 to December 31, 2025. The scope of evaluation covered the Board of Directors as a whole, individual directors, and functional committees, including the Audit Committee and the Remuneration Committee. The performance evaluation results of individual directors serve as a reference for the nomination of directors.

The results of this Board performance evaluation were reported to the Board of Directors on March 13, 2026.

Based on the 2025 performance evaluation results:
(1) Self-assessments of the performance of the Board of Directors, the Sustainability Development Committee, and the Remuneration Committee.
(2) Self-assessments of the performance of individual directors, as well as members of the Audit Committee, the Remuneration Committee, and the Sustainability Development Committee.
(3) All evaluation results achieved scores of 4 or above and were rated as “Good” (1 = Very Poor, 2 = Poor, 3 = Fair, 4 = Good, 5 = Excellent). | |
| (4) Does the company regularly evaluate the independence of CPAs? | ☑ | | (3) The Committee requires that the signing accountants provide a "Statement of Independence" and "Audit Quality Indicators (AQIs)" and evaluate the accountants based on the standards of the questionnaire and AQI indicators. It is confirmed that the accountants have no other financial interests or business relationships with the Company other than fees for signing and tax cases, and that their family members do not violate independence requirements. Based on AQI information, the Committee confirms that the accountants and their firm have better audit experience and training hours than the industry standard. Furthermore, the Company will continue to introduce digital auditing tools to enhance audit quality. Evaluation results are be reported to the Audit Committee and Board of Directors on March 13, 2026 for their review and | No deviation |

Evaluation Item	Implementation Status ^{1}
	Yes	No	Abstract Illustration
			approved accordingly.
4.Does the TWSE/TPEx listed company been equipped with competent and appropriate numbers of corporate governance personnel, and designated a CGO responsible for corporate governance-related affairs (including but not limited to providing directors and supervisors with the information required for business execution, assisting directors and supervisors with legal compliance, handling matters related to board meetings and shareholders meetings in accordance with the law, and producing meeting minutes for board of directors meetings and shareholders meetings)?	☑		The company appointed Liu, Li-Ling of Manager for a chief corporate governance officer by the board of directors on March 19, 2020.
The governance officer Liu, Li-Ling shall be a qualified for at least three years in a public company in handling legal affairs, financial affairs, stock affairs, or corporate governance affairs.
It is required that the corporate governance affairs mentioned include handling matters relating to board meetings and shareholders meetings according to laws, producing minutes of board meetings and shareholders meetings, assisting in onboarding and continuous development of directors and supervisors, furnishing information required for business execution by directors and supervisors, assisting directors and supervisors with legal compliance, reporting the nomination, election, and appointment of independent directors and whether their qualifications comply with all relevant laws and regulations to the board, handle matters related to the change of directors, and other matters set out in the articles of incorporation or contracts.

The main duties of this year are as follows.
1. Develop appropriate corporate mechanisms and organizational structures to promote the independence of the board of directors, and fulfillment of operation transparency, regulatory compliance, and internal audit of internal control.
2. Consult director’s opinions before planning and formulating the board meeting agenda, and notify all directors to attend the meeting with sufficient meeting information provided at least even days before the meeting held in order to help directors understand the content of relevant issues. If the content is related the interested parties and should Be avoided at least seven days before the meeting held in order to help directors understand the content of relevant issues. If the content is related to the interested parties and should be avoided, they will be | No deviation |

Evaluation Item	Implementation Status ^{1}
	Yes	No	Abstract Illustration
			reminded beforehand.
3. Register the date of annual shareholder’s meeting before due date in accordance with law, and report meeting notice, meeting manual and meeting minute before deadline, as well as report the change of registration upon the amendment of articles and re-election of directors.
4. Revies the annual corporate governance appraisal index published by corporate governance center, and screen item-by-item to ensure the achievement.

The corporate governance affairs training records: Note 2 | |
| 5. Does the company establish a communication channel and build a designated section on its website for stakeholders (including but not limited to shareholders, employees, customers, and suppliers), as well as handle all the issues they care for in terms of corporate social responsibilities? | ☑ | | The company has established a stakeholder section on the company has established a stakeholder identity, issues which have been concerned by major stakeholders and provide the channel for communication.
For further details, please refer to the Company’s official website: https://www.eson.tw/index.php?c=category&id=84 | No deviation |
| 6. Does the company appoint a professional shareholder service agency to deal with shareholder affairs? | ☑ | | The Company engaged Registrar & transfer Agency department of Grand Fortune Securities Co., Ltd. to host annual general shareholders’ meeting. | No deviation |
| 7. Information Disclosure
(1) Does the company have a corporate website to disclose both financial standings and the status of corporate governance?
(2) Does the company have other information disclosure channels (e.g. building an English website, appointing designated people to handle information collection and disclosure, creating a spokesman system, webcasting investor conferences)?
(3) Does the Company announce and report the annual financial report as early as possible within two months after the end of the fiscal year, and announce and report the first, second and third quarter financial reports and the operating status of each month as early as possible before the required deadlines? | ☑
☑ | (1) The company has set up a website to disclose information regarding the company’s financials and business.
(2) The company has set up a Chinese/English website to disclose financials, business and corporate governance status. The company has established a spokesman system. Investor conference information is disclosed on the corporate website according to the regulation of TWSE.
(3) The company announces and reports annual financial statements, Q1, Q2, and Q3 financial statements, as well as monthly operation results, before the prescribed time limit. | No deviation
No deviation
To announce and report financial reports before the required deadlines. | |

Evaluation Item	Implementation Status^{1}			Deviations from “the Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
		Yes	No		Abstract Illustration
8. Is there any other important information to facilitate a better understanding of the company’s corporate governance practices (e.g., including but not limited to employee rights, employee wellness, investor relations, supplier relations, rights of stakeholders, directors’ and supervisors’ training records, the implementation of risk management policies and risk evaluation measures, the implementation of customer relations policies, and purchasing insurance for directors and supervisors)?		✓		(1) The Company emphasizes employee rights and open communication channels, and provides ample education training and reasonable compensation and welfare measures.
(2) The Company maintains open communication channels and information exchange for investors and other stakeholders, and respects and protects their entitled rights and interests.
(3) The Company maintains a good relationship with both suppliers and customers and seeks mutually beneficial growth through cooperation.
(4) The Company has established various internal control systems and internal management rules in accordance with laws and regulations. The audit room submits an audit plan based on risk assessment to the Board of Directors for approval. The actual audit situation and report are submitted to the audit committee for review. In addition, after completing the internal control self-assessment for the year, the relevant departments of the Company will report a statement on internal control on a yearly basis according to the Taiwan Stock Exchange and disclose the statement in the annual report of the shareholders' meeting.
(5) The company annually purchases insurance for directors.
(6) Directors’ training records : Note 3.
9. Please explain the improvements which have been made in accordance with the results of the Corporate Governance Evaluation System released by the Corporate Governance Center, Taiwan Stock Exchange, and provide the priority enhancement measures.
(1) Situation after Improvement:
Item	Evaluation Item			Specific Improvements
1.19	Does the company provide a live online broadcast of the shareholders' meeting or upload a complete, unedited audio and video recording after the meeting?			In 2025, the notice of the shareholders’ meeting included the live streaming link and instructions for accessing the online broadcast.
2.24	Has the company established a comprehensive information and communications security (Infocom) risk management framework, formulated corresponding security policies and concrete management measures, allocated adequate resources for Infocom security, and disclosed such practices through its official website or annual report?			The Company has disclosed in its 2024 Annual Report its information security personnel deployment, information security expenditures, and the number of relevant meetings held.
(2) Measures Adopted for Improvement:
Item	Evaluation Item			Specific Improvements

Evaluation Item	Implementation Status ^{1}			Deviations from “the Corporate Governance Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Illustration
1.3	Whether the Chairman, a majority of the directors, and the convener of the Audit Committee attend the annual shareholders’ meeting in person, and whether the attendance list is disclosed in the meeting minutes?			More than half of the Company’s directors will be in attendance at the 2026 shareholders’ meeting.
2.6	Whether the Company’s Board of Directors includes at least one director of a different gender?			The Company will elect an additional female independent director at the shareholders’ meeting on June 11, 2026, which will increase female representation on the Board to 38%.
4.2	Whether the Company has established a dedicated (or designated) unit responsible for promoting ethical corporate management, including the formulation and oversight of integrity management policies and preventive measures, discloses the operation and implementation status of such unit on its website and in its annual report, and reports to the Board of Directors at least annually?			The Company will report to the Board of Directors at least once annually going forward.

Note 1 : Assessment criteria of accountant's independence

Assessment	Assessment Result(Y/N)	Independence(Y/N)
Does the designated accountant not have direct or indirect financial interest relationship with the Company?	N	Y
Does the designated accountant have a financing or guarantee relationship with the Company or any director of the Company?	N	Y
Does the designated accountant have close business relationship or potential employment relationship with the Company?	N	Y
Does / Did the designated accountant currently/ in the recent two years serve as a director, manager of the Company or play a role having significant influence on the audit case?	N	Y
Does the non-audit service that the firm of the designated accountant offered to the Company not have direct influence on any important items of the audit case?	N	Y
Does the designated accountant promote or act as an intermediate for the shares or other securities issued by the Company?	N	Y
Does the designated accountant serve as the advocate of the Company nor as the representative of the Company to mediate the dispute between the Company and any third party?	N	Y
Does the designated accountant have kinship with any director, supervisor, or manager of the Company or the person having significant influence on the audit service?	N	Y
The CPA receives any kind of commission	N	Y
The CPA provides other non-attestation services that affect his or her independence	N	Y

Note 2 : The corporate governance affairs training records:

Title	Name	Study period	Training hours	Sponsoring Organization	Course
Chief Corporate Governance Officer	Liu, Li-Ling	2025.07.25	3	Greater China Financial and Economic Development Association	2025 Seminar on Legal Compliance for Insider Equity Transactions
		2025.08.13	6	Accounting Research and Development Foundation	Full-Scope Practical Guide to Internal Controls for Sustainability Information Management
		2025.10.31	3	Greater China Financial and Economic Development Association	2025 Workshop on Legal Compliance of Insider Share Transactions
		2025.11.26	6	Accounting Research and Development Foundation	Training Program on the Preparation and Reporting of Sustainability Information

Note 3: Directors' training records:

Title	Name	Study period	Training hours	Sponsoring Organization	Course
Director of Representative and Chairman	Tsai, Chia-Hsiang	2025.11.12	3	Greater China Financial and Economic Development Association	How the Board Ensures Corporate Sustainability — Starting with Talent Identification and Development
		2025.11.17	3	Greater China Financial and Economic Development Association	Digital Transformation with AI
Director of Representative	Huang, Hsin-Feng	2025.11.17	3	Greater China Financial and Economic Development Association	Digital Transformation with AI
		2025.12.16	3	Greater China Financial and Economic Development Association	The Legalization of Stablecoins: Implications for Global Currency Competition
Director of Representative	Lee, Kuang-Yao	2025.08.06	6	Accounting Research and Development Foundation	Professional Training on Internal Audit and Internal Control for Corporate Employee Compensation Programs
Director of Representative	Lee, Wei-Kang	2025.02.24	3	Greater China Financial and Economic Development Association	Course on Trump's New Tariff Policies and the Changing Global Economic Landscape
		2025.11.06	3	Securities & Futures Institute	Series for Directors, Supervisors, and Corporate Governance Officers – Crime Methods Involving Virtual Assets and AML Practices
		2025.12.18	3	Securities & Futures Institute	Series for Directors, Supervisors, and Corporate Governance Officers –Directors' Oversight of Corporate Risk Management
Independent director	Jang, Woan-Shiuan	2025.11.13	3	Securities & Futures Institute	Series for Directors, Supervisors, and Corporate Governance Officers – Practical Insights on Trade Secrets and Directors' Management Risks
		2025.11.13	3	Securities & Futures Institute	Series for Directors, Supervisors, and Corporate Governance Officers – Shareholder Meetings, Corporate Control, and Equity Management Strategies
Independent director	Kao, Chih-Chien	2025.07.16	3	The National Federation of CPA Associations of the R.O.C.	July 16 (Taipei) – Legal Responsibilities for Greenwashing in Sustainability Reporting
		2025.07.25	3	The National Federation of CPA Associations of the R.O.C.	Legal Responsibilities of Practicing Accountants
Independent director	Lee, Chien-Ming	2025.11.22	3	Accounting Research and Development Foundation	Financial Statement Analysis Practices for Boards of Directors and Senior Executives
		2025.11.30	3	Accounting Research and Development Foundation	Common Deficiencies in Financial Statement Preparation and Internal Control Practices Related to Sustainability Information Disclosure

3.2.4 Composition, Responsibilities and Operations of the Remuneration Committee

The Remuneration Committee consists of three Independent Directors with approval by the board of directors on April 30, 2013. The members evaluate and determine the remuneration of directors and managers.

Professional Qualifications and Independence Analysis of Remuneration Committee Members

| Condition
Name | Professional qualifications and Experiences | Independence status | Number of Other Public Companies in Which the Individual is Concurrently Serving as an Independent Director | Note |
| --- | --- | --- | --- | --- |
| Independent Director
Kao, Chih-Chien (Convener) | Please refer to 4. Disclosure of information on professional qualifications of directors and independence of independent directors on page 10 for the relevant content. | All of the following situations apply to each and every of the Independent Directors:
1. Satisfy the requirements of Article 14-2 of “Securities and Exchange Act” and “Regulations Governing Appointment of Independent Directors and Compliance Matters for Public Companies” issued by Taiwan’s Securities and Futures Bureau
2. Independent Director (or nominee arrangement) as well as his/her spouse and minor children do not hold any Eson shares
3. Received no compensation or benefits for providing commercial, legal, financial, accounting services or consultation to the Company or to any its affiliates within the preceding two years, and the service provided is either an “audit service” or a “non-audit service” | 2 | - |
| Independent Director
Jang, Woan-Shiuan | | | 1 | - |
| Independent Director
Lee, Chien-Ming | | | - | - |

The Remuneration Committee charter has the approval by the board of directors on April 30, 2013.

The Remuneration Committee shall perform the following functions honestly with due diligence and submit their motions to the Board of Directors for discussion.

(1) Determine and periodically review the performance appraisal on directors and managers, and remuneration policy, system, standard and structure.
(2) Periodically evaluate and determine the remuneration for directors and managers.

A total of 4 (A) Remuneration Committee meetings were held in the previous period. The attendance record of the Remuneration Committee members was as follows.

(1) The Remuneration Committee consists of three Independent Directors.
(2) The tenure of office is from July 7, 2021 to July 6, 2025.

| Title | Name | Attendance in Person(B) | By Proxy | Attendance Rate (%)
[B/A] | Remarks |
| --- | --- | --- | --- | --- | --- |
| Convener | Kao, Chih-Chien | 4 | - | 100.00 | - |
| Committee Member | Lee, Chien-Ming | 4 | - | 100.00 | - |
| Committee Member | Jang, Woan-Shiuan | 4 | - | 100.00 | - |

(3) Other mentionable items:

A. If the board of directors declines to adopt or modifies a recommendation of the remuneration committee, it should specify the date of the meeting, session, content of the motion, resolution by the board of directors, and the Company's response to the remuneration committee's opinion (e.g., the remuneration passed by the Board of Directors exceeds the recommendation of the remuneration committee, the circumstances and cause for the difference shall be specified): None.
B. Resolutions of the remuneration committee objected to by members or expressed reservations and recorded or declared in writing, the date of the meeting, session, content of the motion, all members' opinions and the response to members' opinion should be specified: None.
C. The resolutions of the Remuneration Committee and the Company's response to the Audit Committee's opinion should be specified in recent year

Date	The resolutions	Remuneration Committee resolutions	The Company's handling of the opinions of the Remuneration Committee
2025.03.12	1. 2025 Remuneration of employees and directors.	Unanimously approved by all the members in attendance.	Submitted to the Board of Directors for approval by all the directors in attendance.
	2. Remuneration Proposal for the Members of the Company's Sustainable Development Committee.
2025.05.12	1. Proposal for the Appointment of the Company's General Manager and Determination of His/Her Remuneration.	Unanimously approved by all the members in attendance.	Submitted to the Board of Directors for approval by all the directors in attendance.
2025.08.25	1. Proposal for the Company's Directors' Compensation.	Unanimously approved by all the members in attendance.	Submitted to the Board of Directors for approval by all the directors in attendance.
2025.11.11	1. Proposal for the Company's 2024 Employees' Compensation for Managerial Officers.	Unanimously approved by all the members in attendance.	Submitted to the Board of Directors for approval by all the directors in attendance.
	2. Proposal for the Company's Year-End Bonuses for Managerial Officers.

Date	The resolutions	Remuneration Committee resolutions	The Company's handling of the opinions of the Remuneration Committee
2026.03.13	1. Proposal for the Distribution of the Company’s 2025 Employees’ and Directors’ Compensation.	Unanimously approved by all the members in attendance.	Submitted to the Board of Directors for approval by all the directors in attendance.
	2. Proposal for the Appointment of the Chairman Concurrently Serving as General Manager and Determination of His Remuneration.

3.2.5 Fulfillment of CSR and Deviations from the "Corporate Social Responsibility Best Practice Principles for TWSE/GTSM Listed Companies

Evaluation Item	Implementation Status
	Yes	No	Abstract Explanation
1. Does the Company establish a governance structure to promote sustainable development, established a dedicated (part-time) unit to promote sustainable development; and did the Board of Directors authorize senior management to handle it and report the supervisory status to the Board of Directors? (implementation, not compliance or interpretation)		✓	1. To fulfill the Company’s sustainable development goals and strengthen sustainable governance, the Sustainable Development Committee was established to manage and make decisions on sustainability issues. The Committee consists of three members, appointed through the Board’s resolutions. The committee members demonstrate professional knowledge and competence in corporate sustainability. Among the members, one independent director assumes a supervisory role, while the remaining members—two directors, both from the management team—are responsible for administrative duties. This structure ensures the Company is guided by robust and stable leadership, enabling the Company to plan and promote sustainability strategies more effectively. The Sustainable Development Committee convened two meetings in 2025 to discuss and review the 2024 Sustainability Report and the timeline for implementing the guidelines in the ESON Sustainability Report. The average attendance rate of committee members was 100%.
2. To improve sustainability management and support sustainable development business, a dedicated unit, the Sustainable Development Department, has been established. A senior executive, the Chief Financial Officer, is appointed to serve as the Chief Sustainability Officer, responsible for managing the economic, environmental, and people impacts. The creation of this unit and the officer’s appointment enable the Company to drive sustainability-related initiatives and develop its Sustainable Development Best Practice Principles to facilitate compliance. The manager of the Sustainable Development Department reports quarterly to the Chief Financial Officer (i.e., Chief Sustainability Officer) on the implementation status of the Company’s sustainability strategies. The Chief Financial Officer (Chief Sustainability Officer) reports to the Sustainable Development Committee	The company will implement such policy in accordance with applicable laws in the future.

Evaluation Item	Implementation Status			Deviations from “the Corporate Social Responsibility Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Explanation
			on work progress and reports to the Board in the first and second half of the year on their decisions and execution results.
2.Does the company assess ESG risks associated with its operations based on the principle of materiality, and establish related risk management policies or strategies? (implementation, not compliance or interpretation)	✓		1. The materiality analysis was conducted in accordance with the reporting principles outlined in the GRI Standards (2021), and identifies sustainability issues of the Company that have significant impacts on the economy, environment, and society (including impacts on people and human rights). The analysis serves as the foundation for the disclosure of sustainability information, and the impact of material topics is identified and reviewed through a 3-year cycle. In the first year of the cycle, questionnaires are distributed to internal and external stakeholders to assess the probability and scale of the positive and negative impacts of various sustainability issues on the economy, environment and society (including human rights). 2025 was the second year of the aforementioned cycle. The review of material topics in the 2025 Sustainability Report reviewed the material topics established in the previous year. Changes in the internal and external environment and stakeholder perspectives are taken into consideration to assess the changes in impact of material topics, and adjustments to material topics for the current year are discussed on this basis. A total of 6 material topics (business strategies and economic performance, information security, corporate governance and ethical corporate management, climate change and adaptation, talent development, and occupational safety and health) in 2024 continued to be used in 2025 after being approved by the chairman.The Company has formulated response strategies, management actions, metrics, and targets for material topics, and disclosed them in the Sustainability Report.	The company will implement such policy in accordance with applicable laws in the future.
3.Environmental issues (1) Does the company establish proper environmental management systems based on the characteristics of their industries?	✓		In order to perform effective environmental management systems, the Company's affiliated enterprises such as Kunshan ESON, Multiwin Mexico, and Eson Batupahat have each obtained ISO14001:2015 certification in environmental management systems to ensure that plants are operated in compliance with regulations.	No deviation

Evaluation Item	Implementation Status
	Yes	No	Abstract Explanation
(2) Does the company endeavor to utilize all resources more efficiently and use renewable materials which have low impact on the environment?	☑		1. The Company has obtained the environmental management system certification and implemented various energy conservation plans. We compiled statistics of resource use and management, thoroughly implementing energy conservation and recycling and reuse to reduce resource waste:
a. Eson Batupahat Precision Engineering Sdn. Bhd. replaced one diesel-powered forklift with an electric forklift, resulting in a reduction of 412.76 liters of diesel consumption.
b. he Kunshan plant has leased its rooftop space to a power utility for the installation of solar photovoltaic systems and has entered into a power purchase agreement. The plant also procures renewable electricity generated from these systems for its own operations. In 2025, total solar power consumption reached 4,727,522 kWh, generating electricity cost savings of approximately RMB 523,000. This initiative contributed to reductions in resource consumption and emissions, including approximately 1,551 tons of standard coal, 6,146 tons of water, 4,713 tons of carbon dioxide (CO₂), 142 tons of sulfur dioxide (SO₂), and 71 tons of nitrogen oxides (NOₓ).
2. The Company has implemented an environmental safety department responsible for the supervision of matters related to environmental management and industrial safety. The management rules have established "Management Standards for Environmental Substances" to ensure that all raw materials comply with regulations such as RoHS and REACH by directly managing raw materials with lower environmental impact at the source of production. By obtaining a IECQ compliant certification, the Company establishes rigorous systems to control hazardous substances and further reinforce the control and management of hazardous substances used in products.	No deviation
(3) Does the Company assess the potential risks and opportunities climate change brings to the Company, now and in the future, and take measures to respond to climate-related issues?	☑		According to the "Rules Governing the Preparation and Filing of Sustainability Reports by TWSE Listed Companies Appendix 2 - Climate Risk Identification Table," two transition risks and one physical risk were identified as key risks, and thrre opportunities were identified as key opportunities. We completed the assessment of their impact on the Company's strategies, operations, and financial position, and formulated response strategies and plans accordingly.
After assessing the potential risks and opportunities of climate change in the present and future, the Company has determined that constraints on sustainable development arising from energy and environmental factors are becoming increasingly significant. Among various renewable energy applications, distributed solar photovoltaic power	No deviation

Evaluation Item	Implementation Status	Deviations from “the Corporate Social Responsibility Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
Yes	No	Abstract Explanation

(4) Does the company take inventory of its greenhouse gas emissions, water consumption, and total weight of waste in the last two years, and implement policies on energy efficiency and carbon dioxide reduction, greenhouse gas reduction, water reduction, or waste management?		✓
Item	2024	2023
Scope 1 (metric tons CO2e)	5,155	3,603
Scope 2 (metric tons CO2e)	27,105	26,293
Emission Intensity (tons CO2e / NT$ million)	2.46	2.58
(2) Water Resource Usage (Scope: Kunshan Eson Precision Engineering Co., Ltd.)
Item	2024	2023
Total Water Withdrawal (million liters)	179	197
(3) Waste Generation (Scope: Kunshan Eson Precision Engineering Co., Ltd.)
Item	2024	2023
Hazardous Industrial Waste (metric tons)	29	45
Non-hazardous Industrial Waste (metric tons)	1,431	1,800
General Waste (metric tons)	365	317

Evaluation Item	Implementation Status			Deviations from “the Corporate Social Responsibility Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Explanation
4. Social issues

(1) Does the company formulate appropriate management policies and procedures according to relevant regulations and the International Bill of Human Rights?

(2) Does the Company formulate and implement reasonable employee benefits measures (including compensation, leaves and other benefits), and appropriately reflect operational performance or achievement in employee compensation? | ☑ | ☐ | The Company complies with labor regulations and is committed to the guiding principles of international human rights conventions such as The Universal Declaration of Human Rights, United Nations Guiding Principles on Business and Human Rights, and International Labour Organization. We support and respect internationally recognized human rights including prohibiting the use of child labor, eliminating all forms of forced labor, eliminating employment discrimination, and preventing unlawful infringement in the workplace. The Company's policies and measures are revised according to local labor regulations to meet current conditions.

The Company established the "Regulations for the Prevention, Complaint, and Punishment of Sexual Harassment" in accordance with the Act of Gender Equality in Employment to protect employees' rights and interests. To prevent unlawful infringement and workplace bullying, the Company conducts awareness campaigns and has set up a dedicated complaint mailbox to ensure employees are protected from workplace sexual harassment or improper conduct, thereby providing a safe and friendly working environment. Workplace sexual harassment and anti-bullying awareness is also part of the onboarding process for all new hires.
In 2025, female employees accounted for 42% of the Company’s workforce, while female managers represented 1%. The Company continues to actively promote diversity and equal opportunities in the workplace.

By law, the Company participates in labor insurance (payments for work injury or disease, disability, childbirth, and death) and national health insurance; additionally, employees enjoy additional guarantees with group insurance (accident, medical, and overseas emergency rescue insurance) available from their first day of employment. In accordance with the "Labor Standards Act" and related laws and regulations, employees are provided with parental leave without pay, family leave, menstrual/maternity leave, paternity leave, and more based on their physiological condition and family requirements. Employees may schedule leave based on their actual needs.

Also, the Company participates in surveys of remuneration and welfare policies as reference to establish reasonable employee remuneration and welfare policies that are competitive within markets. Subsidies such as gifts for birthdays, weddings, and funerals as well as annual employee health examinations are provided. Performance evaluations | No deviation |

Evaluation Item	Implementation Status			Deviations from “the Corporate Social Responsibility Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Explanation
			are conducted annually to offer opportunities for promotions, salary adjustments, and year-end bonuses based on individual performance to share operating results with employees. Also, a "Procedures for Reward and Discipline" has been established to offer a clear reward and punishment system that is reflected in employee remuneration.
(3) Does the company provide a healthy and safe working environment and organize training on health and safety for its employees on a regular basis?	☑		The Company has obtained certification ISO45001 for the management systems of occupational health and safety and its active implementation with regular verification and review by a third party. Regularly organize activities related to employee safety and health education to reinforce awareness of occupational safety and health. The Company provides health examinations for current employees and has dedicated personnel in partner health institutions that allow employees to engage in health consultations. In 2025, there were no cases of major occupational accidents. The number of fire incidents, casualties, and the ratio of casualties to total employees were all zero. In order to implement proactive management, the legally mandated education and training courses are being disseminated to enhance safety awareness among employees. The number of occupational injuries is 75, accounting for 2% of the total number of employees, mainly due to insufficient safety awareness and careless operation. To implement source management, in addition to the legally required training courses, the company regularly conducts safety training to enhance employees' safety awareness. Furthermore, equipment inspections and maintenance are carried out once a month to ensure the proper functioning of the facilities.	No deviation
(4) Does the company setup a communication channel with employees on a regular basis, as well as reasonably inform employees of any significant changes in operations that may have an impact on them?	☑		The Company conducts new employee training for new hires and establishes an effective career development training program for employees.	No deviation
(5) Does the company's products and services comply with relevant laws and international standards in relation to customer health and safety, customer privacy, and marketing and labeling of products and services, and are relevant consumer protection and grievance procedure policies implemented?	☑		The Company comply with relevant laws, regulations, and international standards with respect to customer health and safety, customer privacy, marketing and labeling of products and services, and develop relevant consumer interest’s protection policies and complaint procedures

Complaint Channels and Procedures
The Company has established dedicated hotline and email channels for internal employees and external stakeholders to report any violations of the Code of Ethical Conduct. Employees may submit opinions or report misconduct through the internal website, while external parties | No deviation |

Evaluation Item	Implementation Status			Deviations from “the Corporate Social Responsibility Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Explanation
			may report relevant matters via the reporting email address provided on the Company’s official website. Upon receiving a report, the responsible unit will conduct a preliminary review immediately and initiate an investigation where necessary.
Complaint Hotline: +886-2-2267-3272
Internal Reporting Email: [email protected]
External Reporting Email: [email protected]
(6) Does the Company formulate a supplier management policy that requires suppliers to follow relevant regulations on issues such as environmental protection, occupational safety and health, or labor rights, and its implementation situation?	☑		The company has established the "Supplier Control Procedure," which specifies that before establishing business relationships with others, the Procurement, Quality Assurance, and Engineering departments must review suppliers based on the "Supplier Evaluation Form." This review must include relevant requirements for QMS (Quality Management System), EHS (Environment, Health, and Safety), RBA (Responsible Business Alliance - health, environment, safety, labor ethics), and HSF (Hazardous Substance Free, including HSF compliance declaration and test verification results). Suppliers are subject to evaluation and audits.
Supplier evaluation results are categorized as follows:
Grade A: Suppliers scoring above 80 points are considered qualified.
Grade B: Suppliers scoring 70-79 points are conditionally qualified, with procurement volume restrictions. If they achieve Grade A in daily assessments for three consecutive months, they can be directly upgraded to qualified suppliers.
Grade C: Suppliers scoring below 70 points are considered unqualified. The Procurement department will provide the supplier with three opportunities for improvement, with a two-month deadline. If improvements are not made within the specified time, the supplier's qualification will be revoked.	No deviation
5. Does the company reference internationally accepted reporting standards or guidelines, and prepare reports that disclose non-financial information of the company, such as Corporate Sustainability Report? Do the reports above obtain assurance from a third party verification unit?		☑	The Company prepares its Sustainability Report with reference to the Universal Standards, Sector Standards, and Topic Standards issued by the Global Reporting Initiative (GRI). It has also adopted the Sustainability Accounting Standards Board (SASB) Standards to disclose industry-specific metrics and provide cross-references to relevant content. During the material topic identification process, the Company also refers to SASB industry disclosure requirements to further assess industry-specific impacts and risks, and to describe the specific actions and measures taken to manage such risks, thereby	The company will implement such policy in accordance with applicable laws in the future.

Evaluation Item	Implementation Status			Deviations from “the Corporate Social Responsibility Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Explanation
			aligning with the IFRS Sustainability Disclosure Standards. The sustainability indicators disclosed in the Company’s Sustainability Report have also obtained third-party assurance.
6. Describe the difference, if any, between actual practice and the corporate social responsibility principles, if the company has implemented such principles based on the Corporate Social Responsibility Best Practice Principles for TWSE/TPEx Listed Companies: The Board of Directors of the Company has passed the corporate social responsibility code of practice. The Company will fulfill corporate social responsibilities and implement according to the directions.
7. Other useful information for explaining the status of corporate social responsibility practices: (1) The Company upholds the philosophy to "care for society, protect the environment, and jointly achieve sustainability," and continued to carry out a variety of public welfare and environmental protection actions in 2025, combining employee participation and connection with local communities to fulfill our corporate social responsibility. In terms of care for society, a "secondhand charity auction" was held at the Taipei Office in April 2025, and all proceeds were donated to the Eden Social Welfare Foundation's Program for Underprivileged Children to support the improvement of early intervention services. At the same time, we collected receipts for donation to charity, helping meet the developmental needs of children with developmental delays, and showing that the Company and its employees care about and encourage disadvantaged groups. In addition, in May 2025, the Tijuana Plant in Mexico held a heartwarming birthday party at Casa Hogar Lirio de Los Valles, a local children's home, with the theme of "companionship and sharing." The event brought warmth and hope to the children through birthday blessings and actual care. In September of the same year, the Tijuana Plant in Mexico held the event "Write a Card to Send Love and Cheer for Life," inviting employees to write down their support and blessings for breast cancer patients, taking action to support breast cancer prevention and show care, showing the importance attached by the Company to health issues and gender equality. In terms of environmental sustainability, the event "Love the Ocean Action - Beach Cleanup Day" was held in Playas de Tijuana, Mexico in September 2025, and called on local employees and their families to participate and take action to protect the marine ecosystem, thereby fulfilling our responsibility to environmental protection. We organized a "Mountain Cleanup Activity" in Taipei in October, and jointly cleaned up litter along the hiking trail. The event raised the awareness of employees and their family members to take action for nature conservation and sustainable development. The Company continues to deepen its connection with local communities through cross-regional charity and environmental actions under a variety of topics, and encourages employee participation in hopes of injecting positive energy into society through concrete actions, contributing concrete results to the goal of sustainable development. (2) Passed certification:
Plant	Item	Certification Date	Valid Period
Yantai Zheng Yi Precision Electronics Co., Ltd.	ISO9001:2015 Quality Management System	2025/7/3	2025/7/3	2028/7/2
	ISO14001:2015 Environmental Management System	2025/7/3	2025/7/3	2028/7/2
	ISO45001:2018 Occupational Health and Safety Management System	2026/7/3	2025/7/3	2028/7/2

Implementation Status					Deviations from “the Corporate Social Responsibility Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
		Yes	No	Abstract Explanation
Kunshan Eson Precision Engineering Co., Ltd.	ISO9001:2015 Quality Management System			2010/7/31	2023/7/31	2026/7/31
	ISO14001:2015 Environmental Management System			2013/12/26	2025/10/24	2028/10/22
	ISO45001:2018 Occupational Health and Safety Management System (OHSAS18001:20007)			2013/12/26	2025/10/24	2028/12/26
	IATF16949:2016O Automotive Quality Management System			2024/9/8	2024/9/8	2027/9/7
	IECQ Hazardous Substance Process Management (HSPM)			2020/9/23	2023/9/23	2026/9/22
Eson Batupahat Precision Engineering Sdn. Bhd.	ISO14001:2015 Environmental Management System			2004/10/1	2025/12/12	2028/9/30
	ISO45001:2018 Occupational Health and Safety Management System			2022/6/12	2025/5/5	2028/6/11
	ISO9001:2015 Quality Management System			1997/4/1	2023/3/21	2026/3/31
ESON (VN)PRECISION INDUSTRY CO., LTD	ISO9001:2015 Quality Management System			2024/11/21	2024/11/21	2027/11/20
	ISO14001:2015 Environmental Management System			2024/11/21	2024/11/21	2027/11/20
Multiwin De Mexico S.A. DE C.V.	ISO14001:2015 Environmental Management System			2024/10/30	2024/10/30	2027/10/29
	ISO9001:2015 Quality Management System			2024/10/30	2024/10/30	2027/10/29
	IATF16949:2016 Automotive Quality Management System			2024/8/29	2024/8/29	2027/8/28
Esonmex Monterrey S.A. DE C.V.	ISO14001:2015 Environmental Management System			2025/2/28	2025/2/28	2028/2/27
	ISO9001:2015 Quality Management System			2025/2/28	2025/2/28	2028/2/27
Eson Precision Ind. Co., Ltd. Taiwan Branch	ISO14064-1 : 2018 Greenhouse Gas Inventory			2025/12/12	2025/12/12	2026/12/12

Implementation of climate-related disclosure

Item	Execution status
1. Describe the board of directors' and management's oversight and governance of climate related risks and opportunities.	1. In response to the high uncertainty in climate conditions, rapid changes in policies and markets, and to timely keep abreast of and estimate the potential impacts of climate change, the Group holds regular meetings with senior executives from various departments to jointly identify material climate risks and opportunities. Additionally, the Group conducts further assessments of the risks potentially caused by floods, droughts, typhoons, and extreme high temperatures at each operational site, in hopes of staying informed of climate changes in the external environment and market dynamics, thereby enabling more comprehensive planning for operational strategies.
2. The Company's Board of Directors is the highest governing body for addressing climate change, and is responsible for overseeing and guiding climate-related policies.
3. The Board has established the Sustainable Development Committee, consisting of 3 members from the Board who possess professional knowledge and competence in corporate sustainability and are authorized by the Board. The committee is responsible for calling meetings, setting targets, and implementing and strengthening action plans and capital expenditures related to crucial sustainability policies (including climate issues) for each company under the Group. It also reviews, follows up on, and revises the implementation status and outcomes of sustainability initiatives, reporting them to the Board of Directors every six months. The Sustainable Development Committee convened 2 meetings in 2025, and submitted a report to the Board of Directors in the first and second halves of the year, respectively.
The committee is led by the Chief Sustainability Officer and a dedicated unit, the Sustainable Development Department, has also been established, including various working groups, such as the Sustainable Environment Group, which is responsible for the environmental management system, compliance with environmental regulations and international standards, assessment of sustainable transformation, improvement of resource utilization, climate change response mechanisms, and identifying climate-related risks and opportunities. Irregular cross-departmental meetings are held for exchanges, discussions, and coordination, working together toward the achievement of environmental sustainability. The Sustainable Development Department (Chief Sustainability Officer) submits reports to the Sustainable Development Committee in the first and second halves of the year, respectively.

Item	Execution status
2. Describe how the identified climate risks and opportunities affect the business, strategy, and finances of the business (short, medium, and long term).	The climate risks and opportunities identified by the Company are as follows:
Risks - 3 significant risk was identified and is a long-term climate risk
1. Increasingly severe extreme weather events such as typhoon and flood: The increasing severity of extreme weather events (such as typhoon, torrential rain, and flood) not only threatens the safety of employees, but also disrupts production, disrupts the supply chain, and reduces capacity, which further affects revenue. In addition, the increased risk of damages caused by disasters may lead to higher insurance premiums, and additional manpower and overtime costs will be needed to resume production after a disaster, which will put greater burden on operations.
2. Rising raw material costs: The Company mainly purchases high-energy-consuming raw materials, such as plastics and metals. The cost of related materials accounts for about 30%-70% of the total cost of manufacturing. Upstream processes involve high-temperature refining and the use of large amounts of energy, making them susceptible to impact from carbon tax, energy price fluctuations, and requirements to reduce carbon emissions, causing suppliers to pass on the additional carbon costs in raw material prices. Meanwhile, if the Company needs to adjust its product prices due to higher raw material costs, it may affect customers' willingness to place orders and further eat into profit margins. The decline in profits from server products in recent years reflects the impact of rising material costs on the Company's profitability.
3. Changes in purchase behavior due to customers' or consumers' rising awareness of sustainability and carbon reduction issues: As customers and consumers become more concerned about sustainability and carbon reduction issues, the Company's products must meet increasingly stringent sustainability requirements, including the disclosure and verification of carbon footprint in the product lifecycle. If the Company's products cannot meet customers' sustainability requirements in a timely manner, we will face the risk of fewer orders and declining sales.
Opportunities - 3 significant opportunities were identified as follows:
1. Using low-carbon energy: The Kunshan Plant has leased its rooftop space to a power company to install solar panels and has signed an electricity sales contract with the power company. The plant also purchases green electricity from the power company for its self-use.
2. Reduced water consumption: The Vietnam Plant has implemented several water-saving measures to improve water resource utilization efficiency and

Item	Execution status
	reduce process water usage, including: • Installing water-saving devices and throttle valves to reduce unnecessary water consumption • Regularly inspecting and maintaining pipelines and equipment to prevent leaks • Optimizing production processes to reduce process water requirements • Recycling and reusing wastewater where feasible in processes • Raising employees' awareness of water conservation to ensure that water is only used when necessary and to a reasonable extent 3. Adopting more efficient transportation methods: Currently, the global product development center is located in Kunshan, which simultaneously has mass production capabilities and plays a key role in global production support. The remaining plants in China, Asia, and North America carry out mass production and delivery tasks based on the principle of serving customers nearby. The construction of a new plant in Monterrey, Mexico commenced in 2023. We integrated the resources of our locations worldwide, which support each other, to optimize production and supply and reduce transportation costs and mileage, further improving transportation efficiency.
3. Describe the financial impact of extreme weather events and transition actions.	Increase in operating costs; Disaster losses caused by extreme weather, such as blocking transportation of raw materials and finished products and property losses.
4. Describe how climate risk identification, assessment, and management processes are integrated into the overall risk management system.	In addition to identifying the operational risks brought by climate change, the Company also refers to the Task Force on Climate-Related Financial Disclosures (TCFD) issued by the Financial Stability Board (FSB), and incorporated the four core disclosures of "Governance," "Strategy," "Risk Management," and "Metrics and Targets" into our operations management.
5. If scenario analysis is used to assess resilience to climate change risks, the scenarios, parameters, assumptions, analysis factors and major financial impacts used should be described.	Physical risks are mainly analyzed using the Aqueduct Floods map provided by the World Resources Institute (WRI). This scenario analysis uses three scenarios provided by the WRI for simulation, namely "Business as Usual," "Optimistic," and "Pessimistic." The "business as usual" scenario adopts the SSP 2-8.5 scenario of the Intergovernmental Panel on Climate Change (IPCC). In the scenario, the world faces rising carbon emissions but economic development remains relatively stable. The "optimistic" scenario corresponds to the SSP 2-4.5 scenario of the IPCC. In the scenario, carbon emissions peak in 2040 and then begin to decline, while global economic development remains stable. The "pessimistic" scenario corresponds to the SSP 3-8.5 scenario of the IPCC, in which there is a divergence in climate policies among countries, global carbon emissions continue to steadily rise, and economic development is relatively
	in 2040. The "pessimistic" scenario corresponds to the SSP 3-8.5 scenario of the IPCC, in which there is a divergence in climate policies among countries, global carbon emissions continue to steadily rise, and economic development is relatively

Item	Execution status
	imbalanced. We analyze response strategies for our locations worldwide when there are changes in flood risks, and test the potential financial impact on the Company through simulations of the three scenarios above. Based on the results of the financial impact analysis described above, we observed that the risk of river flooding is likely to have a greater impact on the Company than the risk of coastal flooding. In particular, the long-term risks faced by the Vietnam Plant might increase the most. Even in the worst-case scenario, the impact of any risk on the Company is less than 1% of our operating revenue. Hence, we determined that the Company has sufficient resilience against such extreme weather events.
6. If there is a transition plan for managing climate-related risks, describe the content of the plan, and the indicators and targets used to identify and manage physical risks and transition risks.	1. Supply Chain Strategy and Procurement Management • Diversify suppliers and production locations to reduces dependence on a single supplier or region, and also shorten transportation distances to reduce logistical risks and carbon emissions. • Establish safety stock levels, alternative logistics routes, and introduce flexible production methods to improve our ability to respond to fluctuations in raw material prices or supply disruptions. • Sign medium- to long-term procurement contracts or set pricing formulas with major steel, aluminum, and resin suppliers to mitigate cost risks from carbon taxes and energy price fluctuations in any individual market. • Integrate procurement needs, increase order size, and negotiate with suppliers in advance. 2. Improve process and equipment efficiency • Optimize the manufacturing process, improve productivity, and reduce material waste to effectively reduce raw material consumption and costs. Upgrade existing high-energy-consuming or high-emission processes, introduce efficient equipment, reduce energy consumption and material loss, and improve overall operational efficiency.
7. If internal carbon pricing is used as a planning tool, the basis for setting the price should be stated.	None.
8. If climate related targets have been set, the activities covered, the scope of greenhouse gas emissions, the planning horizon, and the progress achieved each year should be specified. If carbon credits or renewable energy certificates (RECs) are used to achieve relevant targets, the source and quantity of carbon credits or RECs to be offset should be specified	The Group uses 2023 as the baseline year for its GHG inventory (Scope 1 emissions was 3,603.1681 tCO2e and Scope 2 emissions was 2,291.8146 tCO2e), and plans to use low-carbon energy as its GHG reduction strategy. The Group's vision for its long-term transition is to achieve net zero Scope 1 and Scope emissions by 2040, and net zero emissions (including Scope 3) by 2050. The Group's current policy is to oversee all reduction plans, including improving energy efficiency, purchasing energy-efficient equipment, establishing solar power generation systems, and assessing the use of low-carbon energy. Going forward, the Group plans to use renewable energy certificates (RECs) or carbon
9. If the GHG is not set for a new or new energy level, the cost of energy production should be stated.	None.

Item	Execution status
	offsets as needed based on its actual progress in the year and technological developments, in order to reduce the impact of carbon emissions and steadily fulfill its commitment to sustainability.
9. Greenhouse gas inventory and assurance status (filled out separately below in 1-1 and 1-2).	1. The Group has completed its 2024 carbon inventory in accordance with ISO 14064-1:2018 GHG Inventory, and has obtained a GHG verification report from a third-party verification institution.
2. In 2024, the Board of Directors passed the carbon reduction strategy to use low-carbon energy as the primary means of carbon reduction.
3. To make the Company's sustainability information more useful for decision-making, more comparable, and aligned with international standards, the Company plans to gradually transition from the current ISO GHG inventory framework to fully align with the internationally accepted GHG Protocol in 2027, and will use it as the basis for subsequent carbon emission management and disclosure.
The GHG Protocol provides more detailed specifications for organizational boundaries, operational boundaries, and emission source classification, which are consistent with the requirements of the IFRS Sustainability Disclosure Standards for GHG emission measurement and analysis of climate-related risks and opportunities. The inventory compiled according to these standards are different from the standards that are currently used in terms of emission structure and calculation methods. Therefore, it is necessary to review and adjust the baseline year set for the GHG to ensure that data is consistent and traceable.
After completing the transition between inventory standards and compiling data for emissions in the baseline year according to requirements of the GHG Protocol and IFRS Sustainability Disclosure Standards, we will use this data as the basis for measuring subsequent carbon reduction performance. We will set medium and long-term carbon reduction targets and annual carbon reduction action plans that are science-based, feasible, and financially relevant in accordance with the IFRS S2 disclosure framework for climate strategy, risk management, and metrics and targets. This will ensure that the climate management strategy is linked to the Company’s overall operations and financial plans.

3.2.6 Ethical Corporate Management – Implementation Status and Deviations from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies and the Reasons

Evaluation Item	Implementation Status
	Yes	No	Abstract Illustration
1. Establishment of ethical corporate management policies and programs
(1) Does the Company formulated an ethical management policy approved by the board of directors, and clearly stated the policies and practices of ethical management, and the commitment to actively implement management policies by the board of directors and senior management in the regulations, rules, and external documents?
(2) Does the Company established an evaluation mechanism for the risk of dishonest behaviors, regularly analyzed and evaluated business activities with a higher risk of dishonest behaviors in the business scope, and thus formulated a plan to prevent dishonest behaviors, which at least covered the preventive measures provided in Subparagraphs of Article 7, Paragraph 2 of the Ethical Corporate Management Best Practice Principles for TWSE/TPEX-Listed Companies?
(3) Does the Company clearly set out the operating procedures, behavior guidelines, punishment, and complaint system for violations in the plan to prevent dishonest behaviors, and implemented and regularly reviewed and amended the aforesaid plan?	☑		The Company has established an ethical code of conduct that sets out the relevant rules to align the conduct of the Company's directors and managers with ethical standards and to enable stakeholders to better understand the Company's ethical code of conduct.
In the prevention plan, the Company specifically stipulates that the Company's personnel should prohibit bribery, illegal political contributions, improper charitable donations or sponsorships, and unreasonable gifts, hospitality or other improper benefits when conducting business.
Education and training related to business integrity (including compliance with ethical business integrity regulations, taxation, auditing systems and internal controls) conducted by the Company with 3,630 person, a total of 7,269 hours.
In the aforementioned specifications, the Company defined behavioral guidelines for conflicts of interest, confidentiality of customer information, and business dealings, and regularly or timely promotes education and training so that employees can truly understand and comply.	No deviation
No deviation
No deviation
2. Fulfill operations integrity policy
(1) Does the company evaluate business partners' ethical records and include ethics-related clauses in business contracts?
(2) Does the Company set up a dedicated unit under the board of directors to promote ethical corporate management, and regularly (at least once a year) reported to the board of directors	☑		The Company has specified the "Customer Credit Management Operations" and "Supplier Control Procedures" to prevent exchange with those who do not meet the standards or reduce the transaction amount; In addition, the terms of good faith have been specified in the commercial contract.
The Legal Affairs Office is responsible for promoting the Company's integrity management policy and formulating and supervising the implementation of programs to prevent dishonest conduct. Reports are made to the Board of	No deviation
No deviation

Evaluation Item	Implementation Status			Deviations from “the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies” and Reasons
	Yes	No	Abstract Illustration
regarding its ethical management policy, its plan to prevent dishonest behaviors, and supervised the implementation status?			Directors at least once a year. In addition, if employees identify any misconduct or violations of corporate integrity, they are required to report such matters to the Legal Affairs Office or relevant units in accordance with regulations to ensure timely handling.The Company has established procedures for dealing with conflicts of interest in the aforementioned specifications.	No deviation
(3) Does the company establish policies to prevent conflicts of interest and provide appropriate communication channels, and implement it?	✓
(4) Has the Company established an effective accounting system and internal control system for the implementation of ethical management, and had the internal audit unit draw up relevant audit plans based on the evaluation results of the dishonest behavior risks to check the compliance status of the plan to prevent dishonest behaviors or commission a CAP conducting an audit?	✓		The Company has established an accounting system and an internal control system, and internal auditors will conduct audit operations on a regular or irregular basis.	No deviation
(5) Does the company regularly hold internal and external educational trainings on operational integrity?	✓		The Company promotes corporate culture and integrity management obligations through various conferences.	No deviation
3. Operation of the integrity channel
(1) Does the company establish both a reward/punishment system and an integrity hotline? Can the accused be reached by an appropriate person for follow-up?	✓		(1) The Company has established a whistleblowing system under its “Code of Ethical Conduct,” designating dedicated personnel to handle reports, and provides information on reporting channels, procedures, and response mechanisms on the Company’s official website.(2) For details of the reporting channels, please refer to the Company’s official website:https://www.eson.tw/index.php?c=category&id=84	No deviation
(2) Does the Company established the standard operating procedures for investigations after accepting reports, the follow-up measures to be taken after the investigation is completed, and related confidentiality mechanisms?	✓		1. The Company has established the principles for accepting reports, investigation procedures, subsequent measures for handling investigation reports, and protection of whistleblowers in the "Whistleblowing Management Regulations."2. Operating procedures for whistleblowing cases:(1) Requirements for whistleblowing cases(2) The whistleblower's name, contact number, mailing address, and e-mail address.	No deviation

Evaluation Item	Implementation Status
	Yes	No	Abstract Illustration
(3) Does the company provide proper whistleblower protection?	☑		(3) The names, contact numbers, and departments of employees of the Company or its subsidiaries involved in the whistleblowing case.
(4) Specific facts and evidence, which should include the people, events, time, place, and objects, where possible.
3. Whistleblowing cases are rejected when:
(1) Contact information of the whistleblower was not provided.
(2) The report was found to be inconsistent with the facts or was purely fabricated.
4. Handling process:
(1) Upon receiving a report (including but not limited to written, e-mail, and telephone), the dedicated unit shall immediately report to the highest level supervisor at the human resources office, conduct an investigation as soon as possible, and report the preliminary investigation results, along with the handling situation, subsequent improvements, and response measures, to the highest level supervisor at the human resources office within 30 days.
(2) If a whistleblowing case involves a director or senior manager, or if a major violation is discovered, or the Company is at risk of material damage, independent directors must be notified in writing.
1. The Company has established the principles for accepting reports, investigation procedures, subsequent measures for handling investigation reports, and protection of whistleblowers in the "Whistleblowing Management Regulations."
2. Protection and confidentiality:
(1) After a whistleblower submits a report, the Company will maintain confidentiality and carefully handle the report, and will not disclose the identity of the whistleblower. However, this does not apply if the Company is required to disclose the identity of the whistleblower in a lawsuit arising from the whistleblower's report.
(2) The Company shall ensure that the whistleblower is not subject to any harassment, punishment, improper handling or other damages. If any other personnel within the Company are found to have engaged in the aforementioned conduct against the whistleblower, it will be considered serious misconduct and the personnel will be	No deviation

Evaluation Item	Implementation Status
	Yes	No	Abstract Illustration
			punished in accordance with the Company's Reward and Punishment Management Regulations once verified.
3. No reports were received in 2025.
4. Strengthening information disclosure
(1) Does the company disclose its ethical corporate management policies and the results of its implementation on the company’s website and MOPS?	☑		The Company has established an official website. For further information, please refer to the Company’s official website:
https://www.eson.tw/index.php?c=category&id=19	No deviation
5. If the company has established the ethical corporate management policies based on the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies, please describe any discrepancy between the policies and their implementation. The company has established an integrity management code and implemented the contents thereof.
6. Other important information to facilitate a better understanding of the company’s ethical corporate management policies (e.g., review and amend its policies).
The company signs a “vendor commitment letter” with the supplier, stating that the supplier should ensure that business activities are carried out in a transparent and fair manner. Transactions with clients shall be carried out with honesty. Notes shall be added to the trading contract as appropriate to show the company's determination to operate with integrity.

3.2.7 Other Important Information Regarding Corporate Governance

None

3.2.8 Internal Control Systems

Declaration of Internal Control:

Please refer to the MOPS website at https://mops.twse.com.tw/mops/#/web/t06sg20

For the CPAs specifically commissioned to review the internal control system, the Independent Auditor's Report should be disclosed: None.

3.2.9 Major Resolutions of Shareholders' Meeting and Board Meetings

1. Shareholders' meeting

Date

Major resolutions

2025.06.20

1.Adoption of the 2024 Business Report and Financial Statements. Execution : Resolution passed. 2.Adoption of the Proposal for Distribution of 2024 Profits. Execution : To resolve September 8, 2025 as dividend record date and September 26, 2025 as cash dividend distribution date. (a cash dividend of NT$1.5 per share). 3.. Approval of Amendments to the Company's Articles of Incorporation Execution : Resolution passed.

2. Board meeting

Date	Major resolutions
2025.03.12	1.Approving of the 2025 Remuneration of employees and directors. 2.Approving of the 2025 Business Report and Consolidated Financial Statement. 3.Approving of the 2025 Assessment of the effectiveness of the internal control system and statement of internal control system. 4.Approving of the 2025 distribution of 2024 profit. 5.Approval of periodically evaluate CPA's independent and competent. 6.Approval of amendments to the Company's procedures for Company's “Articles of Incorporation”. 7.Approval of the Remuneration Proposal for Members of the Company's Sustainability Development Committee 8.Approval of the Amendment to the Company's “Sustainability Information Management” Policy. 9.Approval of the convening of the 2025 General Shareholders' Meeting.
2025.05.12	1.Approval of periodically evaluate CPA's independent and competent. 2.Approval of the Company's Pre-Approved Non-Assurance Services 3.Approving of Financial Statements for the First Quarter of 2025 4.Approval of the authorization to execute the Letter of Support and related documents with E.Sun Bank (Singapore Branch), Taishin International Bank Co., Ltd. (Singapore Branch), and Taipei Fubon Commercial Bank.. 5.Approval of the appointment of the Company's General Manager and determination of his/her remuneration..
2025.06.20	1.Approval of Amendments to the Company's Articles of Incorporation
2025.08.25	1.Approval of the Company's 2024 Sustainability Report 2.Approving of Financial Statements for the Second Quarter of 2025 3.Approval of the Amendment to the Company's “Internal Control System for the Sales and Collection Cycle” 4.Approval of the Amendment to the Company's “Internal Control System for the Procurement and Payment Cycle”. 5.Approval of the Company's Directors' Compensation.
2025.11.11	1.Approving of Financial Statements for the Third Quarter of 2025. 2.Approving of 2026 Internal Audit Plan. 3.Approval of the Establishment of the Company's “Sustainability Information Management”

Date	Major resolutions
	4.Approval of the Company’s 2025 Business Plan.
5.Approval of the additional investment plan of the Company’s Vietnam subsidiary, Eson (VN) Precision Industry Co., Ltd., for the construction of a new plant, with the total investment amount not exceeding USD 17.2 million.
6.Approval of the promotion of Mr. Lin Yu-Ching and Mr. Yao Yi-Shun to Vice President positions and determination of their remuneration.
7.Approval of the Company’s 2024 employees’ compensation for managerial officers
8.Approval of the Company’s year-end bonuses for managerial officers
2026.03.13	1.Approving of the 2025 Remuneration of employees and directors.
2.Approving of the 2025 Business Report and Consolidated Financial Statement.
3.Approving of the 2025 Assessment of the effectiveness of the internal control system and statement of internal control system.
4.Approval of the Establishment of the Company’s “Internal Control System – Information Cycle”.
5.4.Approving of the 2026 distribution of 2025 profit.
6.Approval of periodically evaluate CPA’s independent and competent.
7.Approval of the Pre-Approved Services List under the Company’s “General Principles for Pre-Approval of Non-Assurance Services”.
8.Approval of the appointment of the Chairman concurrently serving as General Manager and determination of his remuneration.
9.Approval of the appointment of members of the Sustainability Development Committee.
10.Approval of the by-election of one Independent Director.
11.Approval of the nomination list of Independent Director candidates.
12.Approval of the removal of non-compete restrictions on newly appointed directors.
13.Approval of the convening of the 2026 General Shareholders’ Meeting.

3.2.10 Major Issues of Record or Written Statements Made by Any Director or Supervisor
Dissenting to Important Resolutions Passed by the Board of Directors

None

3.3 Information Regarding CPA Fees

Accounting Firm	Name of CPA		Period Covered by CPA's Audit	Audit Fee	Non-audit Fee	Total	Remarks
Deloitte & Touche	Peng, Shi-Xuan	Wu, Ke-Chang	2025.01.01-2025.12.31	7,550	3,477	11,027	-

3.3.1 Non-inspection fees for CPAs, accounting firms, and its affiliates account for over one quarter of inspection fee:
None

3.3.2 Replacement of accounting firm and auditing fee for the replacement year is lower than amount in the year prior to the replacement:
None

3.3.3 Auditing fee decreases by over 15% from the previous year:
None

3.3.4 Non-audit fees include System Design, Translation of English Financial Statements and tax compliance audit.

3.4 Information on Change of CPA

None.

(I) Former CPAs: Not Applicable.
(II) New CPAs: Not Applicable.
(III) Former independent auditor’s replies relating to Item 1 and 2-3, Subparagraph 6, Article 10 of the “Regulations”: Not Applicable.

3.5 Whether the Company’s chairman, presidents, and managers in charge of its financial and accounting operations have held any positions in Company’s independent auditing firm or its affiliates business in the most recent year:
None

3.6 Particulars about Change in shareholding and shares pledge of directors, managers and major shareholders who own 10% or more of ESON’s Shares during the most recent year and as of the date of this Annual Report.

3.6.1 Changes in Shareholding of Directors, Supervisors, Managers and Major Shareholders
The information is available to investors on the (MOPS) website:
https://mops.twse.com.tw/mops/#/web/stapap1

3.6.2 The counterparty of equity transfer is a related party:
None

3.6.3 The counterparty of equity pledge is a related party:
None

As of Apr 13,2026 : Unit: shares

3.7 The Relations of the Top Ten Shareholders

Name	Current Shareholding		Spouse's/minor's Shareholding		Shareholding by Nominee Arrangement		Name and Relationship Between the Company's Top Ten Shareholders, or Spouses or Relatives Within Two Degrees		Remarks
	Shares	%	Shares	%	Shares	%	Name	Relationship
Golden Harvest Management Limited	44,613,345	26.47%	-	-	-	-	-	-	-
Representative: Lee, Kuang-Yao	-	-	-	-	-	-	-	-	-
Ace Progress Holdings Limited	15,351,375	9.11%	-	-	-	-	-	-	-
Representative: Tsai, Chia-Hsiang	-	-	-	-	-	-	-	-	-
Standard Chartered bank in custody-Liechtenstein bank	6,421,000	3.81%
TS Bank in custody-Megaworld Development Ltd.	6,142,000	3.64%	-	-	-	-	-	-	-
Legend Company Ltd.	2,841,078	1.69%	-	-	-	-	-	-	-
Representative: WU DEAN	-	-	-	-	-	-	-	-	-
Citibank Custody – Barclays Capital SBL/PB Investment Account	2,736,227	1.62%
Standard Chartered Bank (Taiwan) Limited, Business Department, acting as custodian for JPMorgan Chase & Co.	2,451,414	1.46%
Liu, Ya-Yu	2,021,000	1.20%	-	-	-	-	-	-	-
HSBC Bank (Taiwan) Limited, acting as custodian for JPMorgan Chase & Co.	1,935,735	1.15%	-	-	-	-	-	-	-
HSBC Bank (Taiwan) Limited, acting as custodian for Goldman Sachs International	1,532,452	0.91%	-	-	-	-	-	-	-

3.8 Long-Term Investment Ownership

As of April 13,2026 ; Unit: shares

Affiliated Enterprises	Ownership by the Company		Direct or Indirect Ownership by Directors/Supervisors/Managers		Total Ownership
	Shares	%	Shares	%	Shares	%
Multiwin Precision Ind Pte. Ltd.	19,800,001	100.00	-	-	19,800,001	100.00
Global Sun Trading Co., Ltd.	2,810,000	100.00	-	-	2,810,000	100.00
All Spacer Enterprises Co., Ltd.	1,800,000	100.00	-	-	1,800,000	100.00
Multiwin de Mexico S.A.DE C.V.	1,063,371	100.00	-	-	1,063,371	100.00
Heng Xie Enterprises Limited	316,324,468	100.00	-	-	316,324,468	100.00
Eson Europe S.R.O.	Note 1	100.00	-	-	Note 1	100.00
Grand Liberty Co., Ltd.	15,200,000	100.00	-	-	15,200,000	100.00
Ample Wealth Enterprise Ltd.	1	100.00	-	-	1	100.00
Zeal International Co., Ltd.	1	100.00	-	-	1	100.00
Eson Precision Industry (Singapore) Pte. Ltd.	19,000,000	100.00	-	-	19,000,000	100.00
Eson (VN) Precision Industry Co., Ltd.	Note 1	100.00	-	-	Note 1	100.00
Eson Precision Engineering (Malaysia) Sdn. Bhd.	31,000,000	100.00	-	-	31,000,000	100.00
Eson Batupahat Precision Engineering Sdn. Bhd.	19,000,000	100.00	-	-	19,000,000	100.00
Unique Champion Co., Ltd.	1	100.00	-	-	1	100.00
Eson Slovakia A.S.	230	100.00	-	-	230	100.00
Kong Eagle International Limited.	13,505,712	100.00	-	-	13,505,712	100.00
Zenith Profits Co., Ltd.	1	100.00	-	-	1	100.00
Blackyotta Co., Ltd.	200,000	100.00	-	-	200,000	100.00
ESONMEX Monterrey S.A. DE C.V.	6,653,671	100.00	-	-	6,653,671	100.00
Kunshan Eson Precision Engineering Co., Ltd.	Note 1	100.00	-	-	Note 1	100.00
Yantai Zheng Yi Precision Electronics Co., Ltd.	Note 1	100.00	-	-	Note 1	100.00
Wuxi Xinguan Metal Science & Technology Co., Ltd.	Note 1	100.00	-	-	Note 1	100.00
Dongguan Yihong Precision Mould Co., Ltd.	Note 1	100.00	-	-	Note 1	100.00
Kunshan Kang Rui Package Material Co., Ltd.	Note 1	100.00	-	-	Note 1	100.00

Note 1: Limited Companies with no shares

4 Funding Status

4.1 Capital and shares

4.1.1 History of capitalization

1.Type of shares

As of April 13, 2026 / Unit: thousands Shares

Type of Shares	Authorized Shares			Remarks
	Outstanding Shares	Unissued shares	Total
common stock	168,529	131,471	300,000	Listing

2.Issued Shares

As of April 13, 2026

Month / Year	Par value (NT$)	Authorized shares		Paid-in Capital		Remarks
		Shares (thousands)	Amount (NT thousands)	Shares (thousands)	Amount (NT thousands)	Source of capital	Capital Increased by Assets Other than Cash	Other
2008/06	USD 0.1	1(shares)	USD0.1(dollars)	1(shares)	USD0.1(dollars)	Initial Capital	No	No
2008/07	USD0.78067	200,000	USD20,000	97,749	USD 9,774	Capital Increased by Cash	No	Note 1
2009/01	USD0.89144	200,000	USD20,000	132,827	USD 13,283	Capital Increased by Cash	No	Note 2
2012/08	USD 1	200,000	USD20,000	152,827	USD 15,283	Capital Increased by Cash	No	Note 3
2012/10	-	152,827	NTD 1,528,273	45,848	NTD 458,482	Transferring currency	No	Note 4
2012/10	-	152,827	NTD 1,528,273	152,827	NTD 1,528,273	Capital Surplus Transferred to Capital	No	Note 5
2013/11	NTD36	200,000	NTD2,000,000	171,932	NTD1,719,323	Capital Increased by Cash	No	Note 6
2014/09	-	200,000	NTD2,000,000	180,529	NTD1,805,289	Stock dividends of Common Stock	No	Note 7
2015/11	-	200,000	NTD2,000,000	173,529	NTD1,735,289	Treasury Stock Retired	No	Note 8
2019/03	-	200,000	NTD2,000,000	168,529	NTD1,685,289	Treasury Stock Retired	No	Note 9

Note 1: Capital Increased 97,749,099 shares by Cash.
Note 2 : Capital Increased 35,078,200 shares by Cash.
Note 3 : Capital Increased 20,000,000 shares by Cash.
Note 4 : The company changed the par value from USD 1 dollar to NTD 10 dollars.
Note 5 : Capital Surplus Transferred to Capital on NTD 1,069,791,100 dollar.
Note 6 : Approved Jing- Kuan- Zheng- Fa-Zi No. 1020040802
Note 7 : Approved Tai-Jeng-Shang-Er-Zi No.10300189191
Note 8 : Approved Tai-Jeng-Shang-Er-Zi No. 10400239291
Note 9 : Approved by TWSE on March 29, 2019

3.Information regarding shelf registration: None.

4.1.2 List of Major Shareholders

As of Apr 13, 2026/ Unit: Shares

Shareholder's Name	Shares	Percentage
Golden Harvest Management Limited	44,613,345	26.47%
Ace Progress Holdings Limited	15,351,375	9.11%
Standard Chartered bank in custody-Liechtenstein bank	6,421,000	3.81%
TS Bank in custody-Megaworld Development Ltd.	6,142,000	3.64%
Legend Company Ltd.	2,841,078	1.69%
Citibank Custody – Barclays Capital SBL/PB Investment Account	2,736,227	1.62%
Standard Chartered Bank (Taiwan) Limited, Business Department, acting as custodian for JPMorgan Chase & Co.	2,451,414	1.46%
Liu, Ya-Yu	2,021,000	1.20%
HSBC Bank (Taiwan) Limited, acting as custodian for JPMorgan Chase & Co.	1,935,735	1.15%
HSBC Bank (Taiwan) Limited, acting as custodian for Goldman Sachs International	1,532,452	0.91%
Total	86,045,626	51.06%

4.1.3 The company's dividend policies and execution

Dividend Policy stipulated in the Company's Articles of Incorporation

The Board may, subject to approval by the Members by way of Ordinary Resolution or, in the case of Article 11.4(a), Supermajority Resolution and subject to these Articles and any direction of the Company in general meeting, declare a Dividend to be paid to the Members in proportion to the number of shares held by them, and such Dividend may be paid in cash, shares or, subject to Article 13.2, wholly or partly in specie. No unpaid Dividend shall bear interest as against the Company.

Subject to the Law, Article 11.4(a) and this Article and except as otherwise provided by the rights attached to any shares, the Company may distribute profits in accordance with a proposal for profits distribution approved by the Board and sanctioned by the Members by an Ordinary Resolution, in general meetings. No Dividends or other distribution shall be paid except out of profits of the Company, realization or un realization, out of share premium account or any reserve, fund or account as otherwise permitted by the Law. Except as otherwise provided by the rights attached to any shares, all Dividends and other distributions shall be paid according to the number of the shares that a Member holds. If any share is issued on terms providing that it shall rank for Dividend as from a particular date, that share shall rank for Dividends accordingly.

Upon the final settlement of the Company's accounts, if there is "surplus profit" (as defined below), the Company shall set aside two per cent $(2\%)$ to eight per cent $(8\%)$ as compensation to employees ("Employees' Compensation") and Employees' Compensation may be distributed to employees of the Company and its Subsidiaries, who meet certain qualifications. The Company shall, from the surplus profit, set aside no more than zero point five per cent $(0.5\%)$ thereof as remuneration for the

Directors ("Directors' Remuneration"). The distribution proposals in respect of Employees' Compensation and Directors' Remuneration shall be approved by a majority of the Directors at a meeting attended by two-thirds or more of the total number of the Directors and submitted to the shareholders' meeting for report. However, if the Company has accumulated losses, the Company shall reserve an amount thereof for making up the losses before proceeding with the abovementioned distributions and allocation. The "surplus profit" referred to above means the net profit before tax and for the avoidance of doubt, such amount is before any payment of compensation to employees and remuneration for the Directors and is exclusive of the earnings accumulated from previous years.

In determining the Company's dividend policy, the Board recognizes that the Company operates in a mature industry, and has stable profit streams and a sound financial structure. In determining the amount, if any, of the Dividend or other distribution it recommends to Members for approval in any financial year, the Board:

(a) may take into consideration the earnings of the Company, overall development, financial planning, capital needs, industry outlook and future prospects of the Company in the relevant financial year, so as to ensure the protection of Members' rights and interests; and
(b) shall set aside out of the profits of the Company for each financial year: (i) a reserve for payment of tax for the relevant financial year; (ii) an amount to offset losses incurred in previous years; (iii) ten per cent (10%) as a general reserve ("Statutory Reserve") (unless the Statutory Reserve has reached the total paid-up capital of the Company), and (iv) a special surplus reserve as required by the applicable securities authority under the Applicable Public Company Rules or a reserve as determined by the Board pursuant to Article 14.1.

Subject to compliance with the Law and after setting aside the amounts for Employees' Compensation and Directors' Remuneration in accordance with Article 13.4 and such amounts as the Board deems fit in accordance with the distribution policy set out in Article 13.5, the Board shall recommend to Members for approval to distribute no less than ten per cent (10%) of the earnings generated from the immediately preceding financial year (exclusive of those accumulated from previous years) out of the distributable amount as Dividend to the Members and the allocation will be made upon the passing of the resolution by the Members.

Dividends to the Members and the Employees' Compensation may be distributed, in the discretion of the Board, by way of cash or by way of applying such sum in paying up in full unissued shares or a combination of both for allocation and distribution to employees or the Members, provided that, in the case of a distribution to Members, no less than fifty per cent (50%) of the total amount of such Dividend shall be paid in cash. No unpaid Dividend and compensation shall bear interest as against the Company.

Proposed Dividend Distribution :

The Board approved the proposal NTD$2.2 of per share for 2025 dividend distribution at its meeting on March 13, 2026. The proposal will become effective according to the relevant regulations, upon the approval of shareholders at the Annual General Shareholders' Meeting.

Beginning retained earnings		Unit: NTD $ 2,299,794,302
Add: net profit after tax	741,268,207
Less: 10% legal reserve	(74,126,821)
Distributable net profit	667,141,386	667,141,386
Distributable items:		(370,763,613)
Dividend to shareholders (NTD$2.2 of per share)
Unappropriated retained earnings		2,596,172,075

1. The cash dividend distribution will be calculated to the nearest NT dollar, the cash dividend distribution with NT dollar.
2. According to convert the functional currency into NT dollar.

Anticipation of significant changes in the dividend policy :

None

4.1.4 The impact of the stock dividend resolved in the current shareholders' meeting on the Company's business performance and earnings per share

Not applicable.

4.1.5 Remuneration to employees and directors

Remuneration to employees and directors stipulated in the Company's Articles of Incorporation.

Upon the final settlement of the Company's accounts, if there is "surplus profit" (as defined below), the Company shall set aside two per cent (2%) to eight per cent (8%) as compensation to employees ("Employees' Compensation") and Employees' Compensation may be distributed to employees of the Company and its Subsidiaries, who meet certain qualifications. The Company shall, from the surplus profit, set aside no more than zero point five per cent (0.5%) thereof as remuneration for the Directors ("Directors' Remuneration"). The distribution proposals in respect of Employees' Compensation and Directors' Remuneration shall be approved by a majority of the Directors at a meeting attended by two-thirds or more of the total number of the Directors and submitted to the shareholders' meeting for report. However, if the Company has accumulated losses, the Company shall reserve an amount thereof for making up the losses before proceeding with the abovementioned distributions and allocation. The "surplus profit" referred to above means the net profit before tax and for the avoidance of doubt, such amount is before any payment of compensation to employees and remuneration for the Directors and is exclusive of the earnings accumulated from previous years.

Accounting treatment applied to the difference between actual and estimated remuneration to employees and directors.

Shall there be any difference between the actual amount of remuneration approved by Annual Shareholders' Meeting and that of the estimation, it will be deemed as the changes in accounting

estimated and will be recognized in the profit and loss account of the distributing year.

Distribution of remuneration to employees resolved by the Board of Directors:

(1) The Company's 2025 earnings distribution has been approved, and directors' remuneration of NT$5,094,112 and employees' cash compensation of NT$40,752,829 have been distributed in cash..

(2) Regarding allocation of staff cash compensation, stock remuneration and directors' compensation, in case of any discrepancy between the amounts and the amortized estimates for the year, the differences, reasons, and responses should be disclosed: Earnings undistributed due to reasons such as considerations of allotting 10% of the general reserve by the end of the current period shall fall within a specific percentage range according to the Company's Articles of Incorporation. When the actual allotment and the estimate differ after resolution of the Shareholders' meeting, the accountant's estimated change shall be adopted and implemented in the books following resolution on the annual adjustment at the Shareholders' meeting.

(3) The ratio of the proposed distribution of stock shares as remuneration to employees to the total net income and remuneration to employees on the individual financial statements: not applicable.

(4) The imputed earnings per share after distributing the remuneration to employees, directors, and supervisors is to be proposed for distribution.

Not applicable due to employee renumeration, directors and supervisors' compensation being recognized as expenses.

The actual distribution of remuneration to employees, directors and supervisors in previous year

The Company's Board of Director resolved 2024 director and employee remuneration and reported shareholders' meeting on June 20, 2025. The directors' compensation amount is as follows:

Item	Amount (NT$)
Remuneration to employees	33,302,151
Remuneration to directors	4,162,777

The aforementioned director and employee remuneration amount had been recognized as expenses in 2024. The amount listed in the books is consistent with the allotted amounts resolved in the Shareholders' meeting.

4.1.6 Buyback of Treasury Stock

None

4.2 Issuance of Corporate Bond

None

4.3 Preference Shares

None

4.4 Issuance of Global Depository Receipts
None

4.5 Employee Stock Option and Employee Restricted Stocks
None

4.6 Status of New Share Issuance in Connection with Mergers and Acquisitions
None

4.7 Financing Plans and Implementation
None

5 Overview of Business Operation

5.1 Content of business

5.1.1 Business scope

The main contents of the business service
The company is mainly engaged in the design, development, manufacturing and sales of various consumer electronic components and molds.
Business ratio of main products
Unit: NT$ thousands

Main products	2025		2024
	Amount	%	Amount	%
Automobile mechanical parts	7,005,710	57.99%	7,560,337	57.74%
Network communication mechanical parts	2,719,046	22.51%	3,396,745	25.94%
Consumer Electronics Mechanical Parts	1,733,261	14.35%	1,875,900	14.32%
Others	622,384	5.15%	261,349	2.00%
Total	12,080,401	100.00%	13,094,331	100.00%

The Company's current products (service)

A. Mold design and production sales
Starting with precision molds, we have accumulated many years of professional technology to satisfy various customers' mold requirements, and to produce them for self-use and external sales.

B. Design and manufacturing of various consumer electronic components
According to customer needs, we specialize in the production of various sizes of TV, NB, PC, Server, telecommunication, game console, home appliance and other components.

C. Product appearance processing
Surface treatment of mechanical part materials such as metal/plastic surface spray coating, electrocoating, anodizing, laser engraving, evaporation and heat/water transfer printing and other processes.

D. Sheet metal processing product applications

Sheet metal processing technology plays a vital role in modern manufacturing and is widely used in many fields, such as automobiles, electronics, and healthcare. Advanced processing technology allows sheet metal to be made into a variety of metal parts with precise dimensions, meeting the shape and size requirements of different products. Whether it is a complex structural part or a precise small part, sheet metal processing technology can provide efficient and high-quality solutions.

New products (services) that will be developed

A. Server product input: The popularization of artificial intelligence (AI) worldwide has brought unprecedented development opportunities for the server industry. The rapid development of AI technology has not only driven a sharp increase in computing demand, but also allowed the hardware industry to flourish. The capital-intensive investment of global tech giants and the increasing demand for digital transformation of consumers and enterprises have further accelerated the growth of the server market. Especially in AI technology applications, there has been explosive growth in demand for servers, making it one of the hottest markets today. ESON utilized its years of manufacturing experience in the field of servers to seize the opportunity of this wave of rapid growth. As a pioneer in the field of manufacturing, The Company continues to manufacture AI servers driven by technological innovations and market demand, and has quickly gained a foothold in the market with its outstanding technical and manufacturing capabilities.

B. Application of electric vehicle products: Electric vehicles still play a significant role in driving upstream and downstream development of the industry chain. The upstream of the industry will be affected by advancements in AI, and automotive chips and sensors will maintain a relatively high growth rate. The downstream industry is affected by the increase in the overall number of new energy vehicles and the total number of retired vehicles. Charging services, power battery recycling, and after-market services are expected to have huge market potential in the future. In addition, as technology continues to advance and costs are lowered, electric vehicles are expected to reach price parity with fuel vehicles, which will be a turning point for the popularization of electric vehicles. For nearly a decade, ESON has focused on processes for new energy vehicles and accumulated a wealth of experience in car part development, allowing the Company to begin transitioning into an assembly supplier. In the future, ESON will focus on the planning and product development of parts related to charging piles; additionally, the Company will actively strategize to become an assembly supplier for new energy vehicles.

C. Netcom product applications: With technological advancements and policy support in the communications industry, the low-orbit satellite communications industry will grow rapidly over the next few years. Technological advancements have reduced the cost of manufacturing and launching satellites, and improved satellite performance, making low-orbit satellite networks a key solution to meet global coverage and high-speed communication needs. Policy support has accelerated the development of the industry chain and driven technological innovation and market expansion. The low-orbit satellite communication market is expected to continue growing over the next five years, and companies upstream and downstream of the industry chain will see

even more opportunities for cooperation and development. As low-orbit satellite technology continues to mature, the bandwidth, latency, and reliability of satellite communication services have all improved. These performance improvements will increase user confidence and satisfaction with satellite communication services, and thereby drive user growth. ESON's development experience in cars and consumer electronics offers exceptional mold technology and advanced equipment that can satisfy production capacity and generate outstanding revenue for netcom equipment, especially in the aspect of low orbit satellite communications.

D. New energy-related products: With the world transitioning to new energy sources, the continued innovation and upgrade of new energy technologies have become the core force driving industrial development. Many countries and regions have introduced policies and development goals to accelerate the development of new energy industries. These policies involve tax subsidies, preferential taxes, financial support, and construction projects, and aim to create a more favorable market environment for enterprises to drive the application and popularization of new energy technologies. These policies provide strong external support that allow the industry to thrive. As an active participant in the field of new energy, ESON is well aware that technological innovation and strategic cooperation are crucial to seizing industry opportunities. The Company fully leverages the equipment scale and geographical advantages of its overseas factories, and is committed to engaging in deeper cooperation with local industries to better meet the diverse needs of customers around the world. By partnering with different countries in development, ESON is able to rapidly respond to market changes, provide more efficient and green new energy solutions, and push the world towards new energy sources.

(1) Industry Overview

Industry Development and Current Situation

The global manufacturing market is undergoing rapid change. With the rise of emerging markets and the rapid development of technologies, the manufacturing industry is currently shifting to emerging markets. At the same time, developed countries are also working hard to maintain their competitive advantages through technological innovation and industry upgrade. The competitive landscape of the global manufacturing market is changing, and companies need to continue to innovate and adapt to the changing market environment.

Development trends of the manufacturing industry include digital transformation, intelligent manufacturing, and green manufacturing. Digital transformation can improve production efficiency, reduce costs, and optimize supply chain management. Intelligent manufacturing can improve product quality and the automation level of production lines. Green manufacturing can reduce energy consumption and emissions and improve resource utilization efficiency. These trends bring tremendous opportunities and challenges to the Company.

The Company is actively developing products for various fields in response to changes in industry dynamics, and its structural parts and assembled parts are mainly used in LCD TV-related industries, automotive industries, servers, and low-orbit satellite network. Industry changes in end products will also directly affect the Company's business development:

A. Server

As the world accelerates its digital transformation, servers as the core infrastructure of the digital economy are seeing unprecedented repetitive compute and industry changes. As the core

equipment for data storage, processing, and transmission, the server market continues to grow and new competitors continue to enter the market following the world's digital transformation and the development of new technologies, creating a more diverse competitive landscape. According to analysis by market research institutions, the global server market was US$127.6 billion in 2025 and is expected to reach US$353.4 billion by 2035, with a compound annual growth rate of 9.7% from 2025 to 2035. Key market drivers: Continued expansion of data centers worldwide with hyperscale facilities growing by 28% and cloud growing by 35%. Key market constraints: Data centers are energy-intensive, accounting for 3% of global electricity consumption and growing at a rate of 9% annually. The global server market will continue to grow in the future. In particular, emerging technologies such as cloud computing, big data, and AI have created growing demand on data processing, storage, and transmission from companies and organizations, and will drive the continued growth of the server market.

The latest market research of TrendForce pointed out that AI server shipments are expected to maintain double-digit growth in 2025 driven by demand from large cloud service providers (CSPs) and OEM customers in North America. However, due to the impact of geopolitics and US export bans on China's market, the forecast for global AI server shipments this year has been slightly revised down to 24.3% YoY growth. TrendForce also pointed out that North American CSPs remain the main driver of demand expansion in the AI server market. Coupled with demand from second-tier data centers and sovereign cloud projects in the Middle East and Europe, overall demand for AI servers remains robust.

Trend in AI server shipments: According to QYResearch, the global server market was approximately US$169.34 billion in 2024 and is projected to reach US$281.26 billion by 2031, with a compound annual growth rate (CAGR) of 7.4% from 2025 to 2031. The server industry is moving towards AI, green, and customization. On the one hand, advancements in artificial intelligence (AI) technology have create new opportunities for the development of servers. AI servers not only support complex algorithm training and inference tasks, but also improve overall operational efficiency through AI operation and maintenance management systems capable of automatically allocating hardware resources and issuing fault warnings.

Source: Summarized by QYRESEARCH

1. 2. Outlook on the AI server market:

The widespread adoption of AI applications has driven significant growth in demand for servers. Global AI server shipments are projected to reach 1.844 million units in 2025 (up $31.3\%$ YoY) and 2.534 million units in 2026 (up $37.4\%$ YoY), indicating that the market has entered a phase of rapid growth. The growth is mainly driven by the continued expansion of capital expenditure by large CSPs to build AI computing infrastructure. At the same time, the number and scale of large data centers have both increased worldwide, and the continued increase of computing density is further driving demand for servers.

3. Technology development trends:

(I) High-efficiency cooling and energy-saving design Liquid cooling and immersion cooling are gradually becoming mainstream solutions due to their high cooling efficiency and lower PUE.
(II) Heterogeneous computing architecture Heterogeneous computing integrates CPU, GPU, and ASIC to effectively improve

computing efficiency and optimize costs.

(III) Memory and advanced packaging The growing demand for HBM is driving the development of advanced packaging technologies such as CoWoS.
(IV) Virtualization and resource optimization Virtualization and containerization technologies can improve resource allocation efficiency and system flexibility.

Global CSPs will continue to expand their investment in AI infrastructure, moving towards high-density GPU servers and self-developed ASICs to improve performance and optimize costs. Major North American CSPs were the first to adopt relevant technologies, driving market growth. Due to this trend, server manufacturers need to continue to improve performance, energy efficiency, and customization capabilities, and also improve their solutions to respond to market competition. Overall, the AI server industry is expected to maintain steady growth and continue to support the development of the digital economy.

Source: DIGITIME

B. Electric vehicle-related industries

Looking ahead to 2026, the global electric vehicle industry will continue to maintain steady growth. International research institutions predict that the number of electric vehicles on the road worldwide will continue to grow rapidly at approximately $30\%$ to 116 million, showing the continued transition to electric vehicles that will also drive the integrated development of infrastructure and energy.

Meanwhile, the global penetration rate of electric vehicle is expected to rise to about $27.5\%$ , and the market will grow from approximately US$546.1 billion in 2025 to approximately US$614.9 billion in 2026, with an annual growth rate of over $12\%$ . Although growth rates may vary across regions due to differences in policies and market environment, the industry will continue to focus on making investments to reduce costs, improve energy efficiency, build the charging network, and develop advanced battery technologies. This indicates that 2026 will not only be a year of continued growth in terms of volume, but also an important stage for the industry to mature and for the diffusion of technology.

EV share of the global new light-vehicle market
Based on EV Volumes' December 2025 forecast update. Actuals from 2015 to 2024. Forecasts from 2025 to 2040. Light vehicles include passenger cars and light commercial vehicles. Electric vehicles (EVs) include battery-electric vehicles (BEVs) and plug-in hybrids (PHEVs).
Chart: Automobile's Source 80 Volumes - Created with Datamagger

C. Consumer electronics industry

The global consumer electronics industry will encounter both opportunities and challenges as it continues to develop in 2026. As demand grows steadily, supply chain adjustments and cost pressures continue to affect industry competition, and the market is shifting from traditional products to being innovation-driven based on AI.

The global consumer electronics market is projected to reach US$943 billion in 2026, and is expected to maintain a CAGR of approximately 6-8% from 2026 to 2035. AI, IoT, and, smart home are the main drivers of growth. Although the growth of products such as smartphones has slowed in the short term due to the economy, the overall demand for smart terminals will still find support in the medium- to long-term.

AI technology has become the key to industrial upgrading, driving the rapid development of AI mobile phones, smart TVs, wearable devices, and smart home appliances. The Matter standard also enhances cross-brand integration capabilities and accelerates the creation of a smart home ecosystem. Breakthroughs in compute continue to be made upstream with NVIDIA, AMD, Intel, and Qualcomm driving the upgrade of AI chips and extending computing power from the cloud to terminal devices, facilitating new applications such as AI PCs, smart glasses, and robots. Terminal brands such as Apple and Huawei are actively incorporating AI features for product differentiation and to stimulate demand for upgrades. AI has become the core element affecting product competitiveness.

Overall, the consumer electronics industry will show steady growth in terms of scale, technology-driven upgrades, and diverse product developments in the future. Growth momentum will be concentrated in AI terminals and key components, and enterprises will need to strengthen their innovation and integration capabilities to seize the new round of opportunities in the industry.

D. Low Earth Orbit Satellite Communications

With the rapid growth of global communication needs, low Earth orbit (LEO) satellite communications has gradually become an important development direction of the future communications industry. Low-orbit satellites are changing the traditional communication model with their advantages of low latency, high bandwidth, and global coverage, and are providing services to remote areas around the world that cannot access ground networks. Technological advancements and innovative business models have brought opportunities for rapid growth of the LEO satellite communications market. One of the greatest drivers of the LEO satellite communications market is the large-scale investment by major technology companies and satellite operators in the deployment of LEO satellite networks. The coverage of these networks will be further expanded in the coming years to achieve global coverage. As the cost of launching satellites decreases, more companies and countries will enter this market, accelerating the construction of global communications infrastructure.

The LEO satellite communications market is currently in a stage of rapid growth, and it will see even more opportunities and face even more challenges over the next few years with technological innovations, business model development, and policy support. LEO satellites will leverage their unique advantages, whether it may be global communications coverage, low-latency applications, or the promotion of high-density application scenarios, to change the landscape in the field of communications. As competition intensifies and industry players engage in more in-depth cooperation, the LEO satellite communications market will become an important pillar of the global communications industry in the future.

Source: Industry Research Department (Jack) - UAnalyze. 2025.07.26

2. Correlation of upstream, midstream, and downstream industry

The Company is engaged in precision mold manufacturing, metal stamping, plastic injection molding and other components products. Upstream raw materials are supplied by well-known domestic and foreign manufacturers and downstream customers are internationally renowned manufacturers. The company's long-term stable operation management has established excellent partnerships with upstream and downstream manufacturers and can obtain first-hand information to facilitate decision-making. The following figure shows the upstream, midstream and

downstream relations of the industry at the current stage:

Upstream	Midstream	Downstream
Raw materials	Design, manufacturing	Application customers
Metallic materials	Mold making	Consumer electronic customers
Plastic materials	Metal stamping	Communication industry customers
Coating material	Plastic injection molding	Information industry customers
	Secondary processing / CNC machining, grinding, tapping, welding	Home appliance industry customers
	Casing surface treatment / coating, electroplating, anodization, electrodeposition, printing, laser carving	Automotive industry customers

3. Product development trend and competition

The internal and external components produced by the Company have a wide range of applications, and are currently mainly used in new energy vehicles, consumer electronics, servers, and low-orbit satellite network products. Therefore, changes in the economic situation and technological developments have a considerable impact on our production and sales.

The integration of multiple processes is now an important factor in the competitiveness of new energy vehicles. In the future, the manufacturing process of mechanism components will mainly rely on high value-added technologies, such as IML, IMD, and overmolding, to improve the functionality, appearance, and performance stability of products, and meet the precision and reliability requirements of electric vehicles and other high-growth end markets. In terms of material selection, engineering plastics will continue to play an important role in the field of mechanism components due to being lightweight, having high weather resistance, and their cost advantage. Meanwhile, demand for metal materials in high-end consumer electronics and vehicle structures continues to increase due to their advantages of high strength, high thermal conductivity, and texture. The application of multi-material composite structures will enhance the competitiveness of our products in different markets. Personalization and customization will become an important development direction for the consumer market. In 2026, more and more car brands will offer customization options for exterior, interior and functional accessories to meet consumers' needs for brand image and user experience, further boosting market demand and development opportunities for mechanism components with high added value.

In addition to competition in terms of functionality, consumer electronics products further emphasize the diversity of appearance. Therefore, in terms of material selection for machine components, the proportion of metallic materials used is gradually increasing, shifting from the plastic materials used during early periods. Due to the high heat dissipation and high strength properties of metallic materials, coupled with the integrated molding process, products are becoming thinner and lighter and can be placed into more powerful electronic components

without affecting its performance, The appearance of products can also be improved through surface treatment, which has made metal components increasingly popular.

With product design moving towards lightweight and higher structural requirements, engineering plastics still have a price advantage over metal materials. At the same time, the texture of engineering plastics can be improved through surface treatment. Therefore, brand retailers will differentiate products based on consumer requirements on price, appearance, and functions when selecting raw materials for structural parts of products. In addition, the demand for various consumer electronic products will continue to grow as the market economy continues to develop, and this will drive the further development of the structural parts industry.

4. Market Competition

The Company's primary products include components for new energy vehicles, low-orbit satellite structures, and the design and manufacturing of molds. Key competitors include listed companies such as Yanfeng and Dongshan Precision Manufacturing. Despite facing fierce competition, the Company maintains strong customer relationships and enjoys long-term stable cooperation with international giants. This has led to consistent order acquisition due to high product yields, recognized by customers. With expertise in metal stamping, plastic injection molding, and various composite processes, the Company meets diverse customer demands. Continual expansion of production capacity, facility automation upgrades, and proactive new product development initiatives further enhance its competitiveness in the industry, ensuring sustainable growth.

Looking ahead to 2026, competition in the global automotive parts and mechanism components market will continue to intensify, and suppliers will face higher requirements on technology, quality, and delivery efficiency in an environment where electric vehicles, gasoline vehicles, and hybrid vehicles coexist. The electric vehicle component market is projected to grow from approximately US$239.2 billion in 2025 to approximately US$274.9 billion in 2026, indicating that EV-related demand remains the main driver of growth. The focus of competition will also shift from price competition to product differentiation, process integration, automated manufacturing, and supply chain localization capabilities. Our continued efforts to deepen our partnerships with OEM customers and strengthen our multi-process and manufacturing capabilities will help us maintain a strong competitive position in the industry's transition process.

5.1.2 Technological research and development

1. Technical level and R&D of the business

A. Technical level:

Along with the flourishing trend of diversified new energy vehicles, the demand for components is becoming more sophisticated, and the requirements for product appearance are also elevating. Therefore, the technical capacities of mechanical parts manufacturers will be healthy challenges. In response to the various needs of customers, the Company continues to strive for breakthroughs and innovations, and has introduced the following technologies and manufacturing processes:

As new energy vehicles flourish under the influence of various trends, higher requirements are being set for the precision of components, as well as the appearance of products. This poses a healthy challenge to the technical capabilities of mechanical parts manufacturers. We introduced the following technologies and processes in response to the different needs of customers and their continued demand on breakthroughs and innovation:

a. Ultra glossy metal polishing technology offers new options for metal exterior aesthetics.
b. CAE (Computer Aided Engineering) software reduces the risk of abnormal product structure and mold design.
c. Development of molding technology for thin materials.
d. Precision sheet metal deep drawing mold technology is widely used in consumer electronics and automotive products.
e. Aluminum composite panel stamping processing technology and precision side fine groove processing technology.
f. Installation of a visual inspection system to replace manual inspection in traditional workstations to improve yield and reduce labor costs.
g. Introduction of automotive exterior process technologies, including coating, foaming, decorative stitching, and other processes.
h. In summary, the introduction of automated production lines replaces the manual production and inspection roles in traditional workstations to improve yield and decrease labor costs.
i. Introduction of technology processes such as ultrasonic welding of plastic parts, in-mold tapping, and riveting.
j. Process research and introduction of insert molding of medium and large stamping parts for plastic parts.

B. Technology development:

The Company has set up an R&D department at the time of its establishment. After successive integration and restructuring, it now has an R&D center, which is mainly responsible for product development, testing, mold design and development, product mass production and customer technical support. The product development department is responsible for product development and testing. The mold design department is responsible for the research and development of new mold technology, the design and development of new product molds and the configuration of forming processes. The product management department is responsible for reporting new product schedules to the customer, providing the necessary technical support to relevant departments and leading technical reviews with customers during the early stages of new projects. The product engineering department is responsible for the improvement of production process development and improvement and provides necessary technical support to relevant departments and customers. The organization chart of the R&D center is as follows:

(2) R&D expense invested in the last five years

Unit: NT$ thousands

Year Item	2021	2022	2023	2024	2025
R&D expense	199,936	152,333	140,038	143,284	161,218
Operating revenues	12,042,445	14,031,536	11,562,007	13,094,331	12,080,401
Ratio of R&D expenses to operating income (%)	1.66	1.09	1.21	1.09	1.33

Successful developed technologies or products in the last five years

Year	Research and development achievements	Explanation of research and development achievements	Scope of applications
2021	A composite process for vehicle interior trims	A composite technology suitable for vehicle interior trims was developed. The special jig fixes the plastic parts of the substrate and a foaming machine is used for foaming at the armrests. Then, the sewn PVC leather is placed on the jig and the spray glue process glues the two together, and finally the compression molding flexer-flanger completes the fastening.	Suitable for vehicle interior trims
	A car seat frame welding process	A car seat frame welding process was developed. A special clamping jig fixes the product and a robotic arm performs the CO2 welding. The components are tested for weld-bead quality with a penetration tester.	Suitable for car seat frames and other body brackets
	An automated vehicle battery assembly process	An automated vehicle battery assembly process was developed. A handling robotic arm, butt-welding robotic arm, riveter, and air tightness tester uses a master controller to control the actions of each device to complete multiple processes on one assembly line.	Suitable for the assembly of battery parts
2022	A type of padding for car seats	A plastic ultrasound welding technique was developed where the contact surfaces of two assemblies were pressed together in jigs then heated through ultrasonic vibrations. The contact surfaces are melted by the heat and welded into one assembly through the continued application of pressure. The weld location can withstand tensile forces of up to 50 kg.	Suitable for vehicle interior trims
	A type of automotive ventilation conduit	A plastic friction welding process was developed. The jig presses the contact surfaces of the two assemblies to be welded together, causing them to heat by friction. The surfaces melt under the heat and fuse together under the pressure. The product assembly can withstand tensile forces of up to 20 kg.	Suitable for vehicle interior trims

Year	Research and development achievements	Explanation of research and development achievements	Scope of applications
	Single type of wire harness and pipe clamp for cars	The utility model patent is applicable to car products, especially in products with complex structures and a wide range of integrated circuits which have higher requirements for the arrangement and structural deployment of wires. The utility model patent is for a new type of wire harness and pipe clamp that acts as an assistive tool for cable management in cars. It features the advantages of a simple structure, broad applications, low price, and strong applicability.	Applicable to cars
	A type of storage box	With the production transformation of China, single-use turnover boxes are now requiring features such as eco-friendly and maximized cost-savings; the project is a new type of recyclable plastic box: it offers outstanding features such as aesthetics, structurally strong, low cost, and ease of production. Not only does the product feature high applicability, it can be customized to the shape and size of various products to drastically reduce shipping costs for short-range logistics and product turnover.	Packaging and transportation
	A type of device for the securing and removal of servers	The server securing and removal device developed by the Company utilizes a die-cast material molded once then assembled to form a set of modular parts. It offers the advantage of low costs for opening molds, ease of cleaning or replacing damaged parts, and can be disassembled without tools. It's excellent for reducing manufacturing processes, reducing costs, and facilitates the production, assembly, and after-sale servicing of products. It will offer greater survival and technical advantages in the future of the server market.	Applicable to servers
2023	A new type of server switch device and housing	This invention patent discloses a new type of server switch device and housing, which aims to solve the problems of complicated switch device structure and difficulty of assembly in the prior art. The lighting improves assembly efficiency and makes operation more convenient and faster.	Applicable to servers
	A multifunctional auxiliary production fixture structure	The utility model discloses a multifunctional auxiliary production fixture structure, which includes a fixture base structure, a stub bar cutting device and an attached foam structure. The auxiliary production fixture is an auxiliary tool for the production of parts, and mainly reduces labor costs and increases production efficiency. The function of this auxiliary production fixture is to save manpower and work station content for removing the stub bar and attaching the foam. The auxiliary production fixture has a simple structure, is easy to disassemble, saves assembly time, and has high production efficiency.	Applicable to production lines
	An electric vehicle console base structure and overall console structure	The utility model has a reasonable structural design, is small in size, is easy to install, and the air outlet of the air conditioner has an odor removal element that can reduce the odor generated inside the air conditioner, creating a good driving environment for the driver. In addition, a cleaning component is installed at the lower end of the in-vehicle panel installation platform to keep the in-vehicle panel clean and tidy, so that dust will not affect viewing. The device has a complete set of buttons to meet the purpose of installing multi-purpose components.	Applicable to new energy vehicles
	A new type of car and motor vehicle	The utility model has a good design, is simple to install, and the car and motor vehicle are easy to install, and the motor vehicle is easy to install, and the car and motor vehicle are easy to install.	Applicable to car
	An electric vehicle console and a car	The utility model has a good design, is simple to install, and the car and motor vehicle are easy to install, and the car and motor vehicle are easy to install.	Applicable to car

Year	Research and development achievements	Explanation of research and development achievements	Scope of applications
	A convenient and easy-to-assemble waterway and mold inside an angle lifter	Disclosed is an angle lifter structure and a mold. The angle lifter structure includes a core and a slot on its outer surface, and the slot extends along the axial direction of the core. The angle lifter includes the body and a block. One end of the angle lifter body passes through the core, the other end of the angle lifter body extends along the axial direction of the core, and the block is located on the other end of the angle lifter body. The block can be connected to the slot, which is used to limit the movement of the angle lifter in the radial direction of the core. Its benefits are: It can prevent the angle lifter from deforming or shaking, so that the angle lifter can move smoothly.	Applicable to production lines
2024	Automotive Interior Trim and Manufacturing Method	This utility model provides an improved processing method for automotive interior trim components. Pre-coated leather or fabric sheets are cut to size based on the product design, preheated, and compression-molded in the injection machine, followed by injection of the rear structure. The method simplifies post-molding wrapping processes, reduces labor time, and avoids the safety and quality issues of direct injection molding	Applicable to Automotive Interior Trim Wrapping Components
	A Drone Housing and the Drone	This utility model discloses a drone housing comprising a left and right cover. The left cover has a connection groove and ribs, while the right cover features a protruding rib and rib slots. The covers are heat-fused together through these features, forming a sealed and reinforced main cover with a permanent connection.	Applicable to Drone and Remote-Controlled Aircraft Products
	A Loading and Unloading Mechanism and a Bending Die	The invention discloses a loading and unloading mechanism comprising a conveyor track, with product supports and check valves arranged along the product transport direction. The check valves, which are placed on the same drive plate connected to a drive mechanism, include a base and a retractable check plate. The check plate advances products in the forward direction during movement towards the unloading area and retracts under pressure from adjacent products. This invention improves automation, simplifies bending processes, solves issues with inconsistent product bending, and reduces production costs.	Applicable to Sheet Metal Bending and Forming Structures
	An Oblique Pin Built-in Quick-Release Water Channel and Mold	The utility model discloses a convenient detachable waterway and mold with an inclined pin, comprising inclined guide rods and a pipe fitting assembly. The guide rods connect to the inclined pin head at one end and the pipe fitting assembly at the other, with an internal hollow water channel connecting to the cooling water passage in the pin head. Two guide rods are used, one for water intake and the other for water outlet. The pipe fitting assembly connects the guide rods to external pipes. This design allows for easy assembly and disassembly of the waterway, improving efficiency by conveniently managing the inlet and outlet of the inclined pin's water path.	Applicable to Mold Structures for Plastic Products
2025	A quick release and installation method for the middle section of the rear seats in a five-seat	This utility model discloses a quick release and installation method for the middle part of the rear seat of a five-seat passenger vehicle, including a seat body. The bottom corners of the seat body are separately connected to a snap-fit device. The snap-fit device snaps into a	Applicable to the automotive industry

Research and development achievements	Explanation of research and development achievements	Scope of applications
passenger vehicle	slider, and the slider is connected to an electric slide rail. The snap-fit device includes symmetrically arranged snap blocks. The bottom of the snap blocks have a groove in middle. This quick release and installation utility model effectively solves current issues with the inefficient removal of the middle part of the rear seat of passenger vehicles due to limited interior space, with some seats even requiring adjustment to the position of the sliding rails to meet the installation space requirements.
A novel server switch handle structure	This invention patent discloses a new type of server switch handle structure, which aims to solve the problems of complicated switch device structure, difficulty of assembly, and inconvenient maintenance in the prior art. The invention requires low cost, is convenient to operate, and has a wide range of applications.	Applicable to server housing
A mold structure for precise feeding to improve product appearance quality	This utility model discloses a mold structure for precise feeding to improve the appearance of products, including an ejection mechanism and a sliding motion mechanism. The sliding motion mechanism includes a guide plate, a slider that can move on the guide plate, a power unit connected to the slider, and a core-pulling insert connected to the slider. The guide plate moves on the rear mold and is connected to the ejection mechanism. During demolding, the front mold detaches from the rear mold, the ejection mechanism drives the entire sliding motion mechanism forward, the product on the core-pulling insert detaches from the rear mold core, the power unit drives the slider to retract, and the core-pulling insert retracts along with it. The stopper prevents ejector pin marks on the pen holder-shaped product after demolding.	Suitable for plastic product mold structures
A quick assembly structure for server connector modules	This utility model relates to the field of connector technology, specifically a quick assembly structure for a server connector module. The connection structure of the connector includes: Quick connection and assembly between modules and sub-modules with fewer assembly steps and saves assembly costs. The benefits include: This utility model is a quick assembly structure for a server connector module. It uses knobs and clips for quick connection, installation, fixing, and disassembly of the connector's components and sub-components.	Applicable to server housing

5.1.3 Short-term and long-term business development plans

1. Short-term development

A. Compete for repeat orders and develop new customers.
B. Cultivate the relationships between customers and upstream manufacturers and cooperate to create mutually beneficial situations.
C. Improve process efficiency, expedite production and improve consistency, and enhance product value.
D. Strengthen the design capacity of the R&D team, and deepen research on TV bases, IoT products, and traditional industrial products and processes.

2. Long-term development:

A. Continue research and development, expand diverse market product lines, and maintain competitive edge.
B. Carry out overseas strategic planning, provide local customer service and create business opportunities.
C. Provide one-stop service, optimize the design R&D to production process, shorten design cycle, enhance product quality, lower production cost, and thus improving customer satisfaction.

5.2 Market and sales overview

5.2.1 Market analysis

1. Main products (services) sales (providing) area

Unit : NT$ thousands

Sales Area	2024		2025
	Amount	Ration (%)	Amount	Ration (%)
China	526,617	4.02	1,940,852	16.06
America	9,232,127	70.51	8,779,446	72.68
Asia	231,757	1.77	117,258	0.97
Other	3,103,830	23.70	1,242,845	10.29
Total	13,094,331	100.00	12,080,401	100.00

2. Market share

The Company is a professional mechanical assembly plant with vertical integration capacity from product and mold design, metal stamping, plastic molding, various surface treatment processes, to parts assembly. The products are widely used in the automotive industry, information industry, communication equipment, and even lighting products. The Company has accumulated years of experience in mold development, design and manufacturing over a wide range of product specifications. It has professional mold development and design capabilities, and its operating income is growing year by year. The Company has established a foothold in the industry in terms of company scale, production technology and order-taking capacity.

3. Future market supply and demand and the growth

The machine components currently produced by the Company are mainly used in LED TVs, new energy vehicles and server. At present, large-size TV has established itself a market trend as a mainstream commodity. Moreover, to increase product quality and support strength, large-size TVs require an integrally formed metal frame as a backbone support. Therefore, manufacturers with integrated molding process capacity and surface treatment technology will benefit from this growth trend.

ESON also has experience in large plastic part and stamped aluminum part manufacturing, which can be transformed for use in alternative fuel vehicle part development, achieving continuous revenue growth as the alternative fuel vehicle market expands day by day.

The Company is currently one of the few companies in the industry who are capable of designing and manufacturing large-size LED TV components and new energy vehicle components. The

mechanical parts industry is expected to maintain a certain growth momentum in the face of continued growth in market demand and a relatively tight supply of large-size products.

4. Competitive niche

A. R&D design and independent mold making capacity

The Company has excellent ODM research and development capacities, and has authorized and applied over 31 patents, has the capacity to produce its own molds, and improve processing technology and production line efficiency through improvement of mold designs.

B. Complete production line

The Company started its business in the field of metal molds and metal stamping, and subsequently participated in plastic injection molding process, plastic mold manufacturing and surface treatment. These processes cover most of the machine components. In response to various requirements for product materials of the end consumer market, the wide range of processes can also divert market risks.

C. Overseas planning, close collaboration with customers

The Company's customers are mostly international OEMs and renowned brand manufacturers. To meet the local customer shipment requirements, reduce shipping time and shipping costs, and substantially shorten the length of the supply chain, the Company has launched strategic overseas plans since its establishment. Currently, the Company has factories in China, Mexico and Vietnam.

In addition, the Company sees future growth opportunities in the ASEAN and has added the Malaysian plant to meet the production needs of the Southeast Asian market.

D. A wide range of products, expand new business opportunities

In addition to its current core new energy vehicle products, the Company is actively developing cloud server enclosures, networking and home appliance molds, and collaborating with various startup ventures in product and business development. These initiatives are expected to form the Company's key competitive advantages for its continued future growth.

5. Advantages and disadvantages of future development and the countermeasures

A. Advantages of future development

a. Excess market penetration of large-size TVs

Due to a large increase in global shipments of 4K LED TV panels, especially driven by the demand for new stock products and public events, the increase in panel size has resulted in the growing penetration of large-size LED TVs.

b. High technical and capital thresholds, establish competitive edge

In order to meet customization requirements, metal machine components require high mold development technology and surface treatment capacities. For example, complex unibody molding machine components must be processed using large CNC milling machines, which require extremely high production costs.

The Company has vertical integration capabilities from product and mold design, metal stamping, plastic molding, to various surface treatment processes and parts assembly. In recent years, it has actively purchased CNC machines to manufacture large-sized machine components and continues to expand overseas in response to order demands. Therefore, the Company has established a foothold in the industry, with a clear competitive edge.

c. Establish long-term stable cooperative relations with international manufacturers

The Company's main customers are international assembly and brand manufacturers. To serve customers, the Company has gradually set up factories overseas to locally take orders and locally ship products, thus expediting and improving the quality of customer communications. Moreover, based on excellent technical capacities, the Company has obtained customer trust and professional certifications, thereby establishing stable long-term cooperative relations.

B. Disadvantages of future development and the countermeasures

a. New entrants increase competition and drive down profitability

To participate in industry transformation and increase profitability, traditional plastic injection molding manufacturers started to partake metal components production and compete for market share with low product prices.

Response measures:

Based on excellent technology and design capacities, the Company continues to improve processes and production line efficiency. At the same time, it has a well-established strategic overseas layout. The Company has established a competitive advantage and strong foothold in terms of customer relations, capacity expansion and product applications.

b. Impact of alternative raw materials

In response to lightweight and compact requirements, 3C products need to use high-strength, high-heat-dissipating materials. Based on the common materials used in current mechanical components, metallic materials are superior to plastic materials in terms of strength and heat dissipation. However, the development of plastic (polymer) composite materials, such as glass fiber and carbon fiber materials, are now on par with metallic materials in terms of strength and heat dissipation, which will impact the development of metal mechanical parts.

Response measures:

The choice of material of the machine component will affect the appearance and durability of the product. Considering material cost and strength, the metallic components remain the mainstream option. The Company will follow closely the development trend and continue to assess the feasibility of new material applications and refine the existing technology to enhance competitiveness.

5.2.2 Application of Major Products

Major products and their main uses

Major Products	Main Use
Mechanical parts	Various consumer electronics, optoelectronic products
Tooling	Automotive mold and machine component mold development

Major products and their products process

A. Plastic parts manufacturing process	B. Stamping Parts manufacturing process	C. Mold making process
Plastic raw materials	Stamping	Customer needs
Incoming material inspection	Incoming material inspection	CAE Analysis
Injection molding	Stamping	Structural design
Surface spraying	Baked Powder	Material ordering
Hot stamping	Laser engraving	Machining
Auxiliary material assembly	Auxiliary material assembly	Assembly
Packaging Inspection	Packaging Inspection	Mold test
Shipment	Shipment	Shipment

5.2.3 Supply of major raw materials

Major raw materials	Supply Situation
Plastic pellets	Good
Steel	Good
Tooling steel	Good

5.2.4 Major Customers with over 10% net sales and Suppliers with over 10% total purchases of the last two fiscal years

Unit: NT$ thousands

Major Suppliers of the last two fiscal years

2024				2025
Suppliers Name	Amount	%	Relationship with the issuer	Suppliers Name	Amount	%	Relationship with the issuer
N	1,607,987	21.50	-	N	1,713,878	27.91	-
Other	5,817,542	78.50	-	Other	4,426,576	72.09	-
Net Purchases	7,479,529	100.00	-	Net Purchases	6,140,454	100.00	-

Due to tariff issues, the Company adjusted its procurement strategy to increase local sourcing, resulting in an increase in purchase amounts from Company N.

Major Customers of the last two fiscal years

2024				2025
Company Name	Amount	%	Relationship with the issuer	Company Name	Amount	%	Relationship with the issuer
C	6,849,506	52.31	-	C	6,185,970	51.20	-
E	2,460,878	18.79	-	E	1,787,083	14.79	-
Other	3,783,947	28.90	-	Other	4,107,348	34.01	-
Net Sales	13,094,331	100.00	-	Net Sales	12,080,401	100.00	-

Due to a decrease in sales of networking structural components and automotive structural components, the Company's sales also declined.

Status of Employees
Unit: People; Year; Year Old

Year		2024	2025	March 31, 2026
Number of employees	Direct labor	2,343	2.075	2,290
	Indirect labor	1,790	1,687	1,781
	Total	4,133	3,762	4,071
Average age		33.5	30.0	30,6
Average years of service		3.33	3.0	3.30
Academic qualification	Doctor Degree	-	-	-
	Master's Degree	0.36%	0.43%	0.42%
	Bachelor's Degree	15.49%	11.62%	13.34%
	High School	26.16%	13.93%	16.38%
	Below High School	58.00%	74.02%	69.86%

5.3 Expenditure on Environmental Protection

5.3.1 According to laws and regulations, the following details the applications, payment, or establishment of pollution facility establishment permit, pollution discharge permit, pollution prevention cost or environmental protection personnel.

The Company is required to apply for pollution discharge permits in accordance with local laws and regulations due to the production process, as follows:

(1) Pollution facility establishment, pollutant discharge permit

Plants	License	Expiry date	Certificate number
Kunshan Eson Precision Engineering Co., Ltd.	Pollution discharge permit	2023.01.16-2028.01.15	91320205795372851M001X
Multiwin de Mexico S.A. DE C.V.	Wastewater discharge license	2026.01.30-2027.01.30	TIJ-I-00169/16
Multiwin de Mexico S.A. DE C.V.	Exhaust emission license	2025.11.12-2026.11.12(Pending application)	TJ-024/22E2

(2) Establish environmental protection special units responsible for environmental protection projects such as environmental protection engineering construction and technology development, environmental operation performance management, energy conservation and emission reduction promotion, and waste resource recovery technology development.

5.3.2 Explain the Company's improvement of environmental pollution for the recent year and until the

issuance of the annual report, and any pollution disputes and its disposal.

None

5.3.3 Explain the total amount of damages (including compensation) and the company's future response measures (including improvement measures) and possible expenses (including the estimated amount of loss, disposition and compensation incurred due to failure to take countermeasures; if it cannot be reasonably estimated, explanation shall be provided that it cannot be reasonably estimated) in the past two years until the issuance of the annual report.

None

5.3.4 Explain the current impact of pollution prevention and improvement on the Company's earnings, competitive advantage and capital expenditures and the estimated major environmental capital expenditures in the next two years.

(1) The current impact of pollution prevention and its improvement on the Company's earnings, competitive position, and capital expenditure.

In the past two years until the issuance of the annual report, the Company has not had any impact on the surplus, competitive advantage, and capital expenditure due to pollution.

(2) Major environmental capital expenditures expected in the coming years:

Equipment name	Quantity	Expected date of acquisition	Estimated investment cost	Use and anticipated benefit
Maintenance of Online Wastewater Monitoring Equipment	1	per year	RMB 20,000	Monitoring Compliance of Wastewater Discharge with Standards
Pollutant Discharge Permit and Rectification of Rainwater–Wastewater Separation	1	per year	RMB 440,000	Separate Discharge of Rainwater and Wastewater

5.4 Employer and Employee Relationships

5.4.1 Employee benefit policies, continuing education and training, work environment for the employees and personal safety protection, the retirement system and the implementation of the system, labor-management consultation and agreement, and the protection of labor rights.

(1) Employee welfare measures

In addition to providing National Health Insurance and Labor Insurance in accordance with the Labor Standards Act of the Republic of China (Taiwan), the Company's Taiwan branch provides business travel accident insurance and contributes to employees' individual pension accounts to enhance employee welfare protection. The Taiwan branch also places strong emphasis on employees' physical and mental well-being by offering annual health examinations, on-site occupational health services, annual fitness subsidies, and a monthly healthy lunch program, thereby creating a healthy and employee-friendly workplace environment.

In addition to social insurance and housing deposit reserve, Chinese employees have regular promotion opportunities each year to reward outstanding employees and year-end bonuses based on the Company's operating performance. During major holidays, the Company organizes dinner parties and provides annual meal subsidies for various central departments; year-end lottery; to

encourage employees in all positions to increase efficiency and reduce costs, bonuses are paid to working proposals.

The employee welfare measures of other overseas operating locations are basically in line with local social security requirements.

(2) Education and training

The Company pays attention to personnel and on-the-job training to improve overall employee quality and work skills:

A. Pre-employment training

The new recruits are trained by the management department according to function of the work post and new recruit conditions prior to work, so that the new recruits can understand the Company's development history, corporate culture, management rules, industrial safety, environmental management, production process, quality control, GP/GA knowledge and relevant legal contents, and concepts.

B. Professional training prior to assuming post

Before special and professional staff and personnel of nationally specified risky/special positions officially assume post, the management department shall guide the units of employment to carry out professional pre-employment training or commissioned external training. The management department shall maintain and manage relevant training and qualification records of job transfers.

C. On-the-job training (including senior management)

In alignment with organizational development needs and diverse professional competencies, the Company has established a structured on-the-job training framework. External professional instructors are engaged periodically to deliver internal training programs, and employees are encouraged to participate in external professional training. These initiatives aim to continuously enhance the professional expertise and managerial capabilities of employees at all levels.

D. Professional skills training

On-the-job product designers or engineers should maintain proficiency over applicable basic skills and receive training to ensure they meet the skills requirements, with emphasis on improving current skills.

(3) Retirement system and implementation status

The Taiwan branch has established an employee retirement-related system in accordance with the Labor Standards Act. The pension is paid by the Company at 6% monthly salary to the individual's labor pension account.

The Company's main operating base is located in China. The Company has been paying five social security funds on a monthly basis, including employee pension security to the local social security bureau. Upon reaching the statutory retirement age, the employee can apply for a pension from the social security bureau.

The employee pension system of other overseas operating locations are basically in line with local social security requirements.

(4) Employer-employee relations and employee rights maintenance measures

The Company's relevant provisions of the collective bargaining agreement are handled in accordance with the law. In addition, the Company greatly values employee's rights and interests. To strengthen labor relations and enhance employee's cohesion, the Company actively communicates with employees, and strives for people-oriented management. In addition to setting up a complaints window and a service team, employees can provide feedback at any time via e-mail or mail box. At present, the labor-management communications channel is open and in good operating condition.

(5) Preventive measures taken to protect safe working environment and employees' personal safety
The company has passed ISO14001 environmental management system standards, OHSAS18001 occupational safety and health management and ISO/TS6949 automotive and quality management systems.

The Company has established the "Safe Production Reward and Punishment Measures" to achieve zero injuries and zero accidents through pre-employment training, professional job training, on-the-job training, and professional skills training.

5.4.2 Any current or potential loss resulting from labor disputes and prevention actions for the past two years and as of the date of this annual report

None.

5.5 Cyber security management:

I. State clearly the cybersecurity risk management structure, cybersecurity policy, specific management plan, and resources invested in the management of cybersecurity:

The Company has adopted the rule of cyber security. The Information Technology department is responsible for coordinating with department heads of information, each business unit, internal audit, legal compliance, and human resource, holding regular meetings to announce and inform about cyber security events, making decisions about cyber security matters and further managing and promoting such matters. All of above are to implement the rule of cyber security, to protect cyber security and rights of stockholders, and to achieve the goals of cyber security.

The Company is currently exposed to cybersecurity threats, primarily including unexpected service disruptions, data loss, leakage of confidential information, and various forms of cyberattacks. The Company has adopted the following cybersecurity protection measures:

Unexpected interruption of service and data loss: The Company has adopted a hyper-converged host infrastructure, a virtual host for remote backup, and two copies of data backup on two storage media with one of the copies located offsite. Data backup and recovery and remote backup drills are held on a regular basis to ensure uninterrupted operation and no data loss.
Confidential information leakage: The Company has strengthened its authorization management mechanism and established an authorization management platform to control the real-time authorization status for each system. Confidential documents and key information are controlled by the restriction copies, downloads and outward mail ensuring the security of confidential information.
Cyberattack: The Company has implemented comprehensive cybersecurity measures, including next-generation firewalls (NGFW), web application firewalls (WAF), and endpoint detection and response (EDR) solutions. It has strengthened the monitoring of network activities originating from

high-risk regions, conducts daily and periodic checks on antivirus software and operating system updates, and has established mechanisms such as blacklist filtering and reputation-based assessment to intercept and filter malicious emails. The Company also regularly promotes cybersecurity awareness to mitigate potential cyber threats. In addition, the Company has joined the TWCERT/CC notification platform to proactively obtain cybersecurity intelligence and further enhance its defense capabilities.

Number of information security personnel: One dedicated information security supervisor and multiple dedicated information security personnel

Information security expenses in 2025: NT$320 million

In 2025, the Company completed one company-wide cybersecurity training session and conducted two social engineering simulation exercises.

A group-wide cybersecurity joint defense meeting is held on a monthly basis.

State clearly any losses, possible impacts, and countermeasures caused by significant cybersecurity incidents in the year prior to the annual report publication date; if they cannot be reasonably estimated, an explanation must be made as to the fact that they cannot be reasonably estimated: None.

5.6 Important Contracts

Item	Agreement	Counterparty	Period	Major Contents	Restrictions
1	Financing Contract	CTBC Bank Co.,Ltd.	2025/1/1~2025/12/31	Short term loan	None
2	Financing Contract	CTBC Bank Co.,Ltd. (Singapore)	2025/1/1~2025/12/31	Short term loan	None
3	Financing Contract	Taipei Fubon Bank	2025/5/18~2026/5/18	Short term loan	None
4	Financing Contract	Taipei Fubon Bank (Singapore)	2025/5/18~2026/5/18 2024/5/18~2026/5/18	Short term loan	None
5	Financing Contract	Taishin International Bank	2025/9/30~2026/9/29	Short term loan	None
6	Financing Contract	Taishin International Bank (Singapore)	2025/12/1~2028/11/30 2025/9/30~2026/9/29	Short term loan	None
7	Financing Contract	E.Sun Bank	2025/12/16~2026/12/16	Short term loan	None
8	Financing Contract	E.Sun Bank (Singapore)	2025/10/11~2026/10/10	Short term loan	None
9	Financing Contract	Citi Bank	2025/1/2~2026/1/2	Short term loan	None
10	Financing Contract	Citi Bank (Malaysia)	2025/12/10~2026/12/10	Short term loan	None
11	Financing Contract	Citi Bank (Singapore)	2025/4/5~2026/4/5	Short term loan	None
12	Financing Contract	HSBC Bank Co.,Ltd.	2025/2/1~2026/1/31	Short term loan	None
13	Financing Contract	HSBC Bank Co.,Ltd. (Singapore)	2025/8/1~2026/7/31	Short term loan	None
14	Financing Contract	China CITIC Bank Gaoxin Sub-branch	2025/4/15~2026/4/16 (Pending Approval)	Short term loan	None
15	Financing Contract	ICBC Kunshan Branch Kunshan Eson	2025/10/31~2026/10/30	Short term loan	None
16	Financing Contract	Bank of China Kunshan Branch Kunshan Eson	2025/11/19~2026/10/28	Short term loan	None

Review of Financial Position, Management Performance and Risk Management

6.1 Analysis of Financial Status

Unit: NT$ thousands

Year Item	2024	2025	Difference
			Amount	Ratio
Current Assets	7,483,660	8,426,761	943,101	12.60
Funds & Investments	5,043	4,944	(99)	(1.96)
Fixed Assets	4,613,705	4,467,192	(146,513)	(3.18)
Intangible Assets	20,360	27,768	7,408	36.39
Other Assets	825,344	768,888	(56,456)	(6.84)
Total Assets	12,948,112	13,695,553	747,441	5.77
Current Liabilities	4,519,098	5,022,686	503,588	11.14
Long-term Liabilities	347,521	-	(347,521)	(100.00)
Other Liabilities	438,186	447,669	9,483	2.16
Total Liabilities	5,304,805	5,470,355	165,550	3.12
Capital stock	1,685,289	1,685,289	-	-
Capital surplus	2,349,249	2,349,249	-	-
Retained Earnings	3,957,322	4,445,797	488,475	12.34
Exchange differences on translation of financial statements of foreign operations	(342,936)	(249,520)	93,416	(27.24)
Total other equity interest	(5,617)	(5,617)	-	-
Treasury shares	-	-	-	-
Non-controlling interests	-	-	-	-
Total Stockholders' Equity	7,643,307	8,225,198	581,891	7.61
Description of major changes: (The amount changed by more than 10%, and reached 1% of the total assets of the year, which is NT$136,956 thousands) Increase in Current Assets: This increase was primarily attributable to higher bank deposits. Increase in Total Assets: This increase was primarily attributable to higher bank deposits. Increase in Current Liabilities: Mainly due to increase in short-term loan and accounts payable. Decrease in long-term liabilities: Primarily attributable to a reduction in long-term borrowings. Increase in retained earnings: Primarily attributable to profitability during the period. Exchange differences on translation: The impact of exchange rate changes.

Data : The financial information has been audited by CPA

6.2 Analysis of Operation Results

1. Comparative Analysis of Financial Performance

Unit: NT$ thousands

Year Item	2024	2025	Difference
			Amount	%
Net Sales	13,094,331	12,080,401	(1,013,930)	(7.74)
Cost of Sales		10,570,254	9,505,817	(1,064,437)
Gross Profit	2,524,077	2,574,584	50,507	2.00
Operating Expenses	1,757,317	1,625,178	(132,139)	(7.52)
Operating Income		766,760	949,406	182,646
Non-operating Income and expenses	12,008	26,382	14,374	119.70
Income Before Tax	778,768	975,788	197,020	25.30
Net Income	566,427	741,268	174,841	30.87
Description of major changes: (The amount changed by more than 10%, and reached 1% of the total assets of the year, which is NT$136,956 thousands): Decrease in cost of sales: Primarily attributable to a decline in operating revenue, accompanied by a corresponding reduction in cost of sales. Increase in operating income: Primarily attributable to lower operating expenses. Increase in income before tax: Primarily attributable to lower operating expenses. Increase in net income: Primarily attributable to lower operating expenses.

Data : The financial information has been audited by CPA

2. Expected Sales Volume and Basis:

The company has not prepared or disclosed any financial forecasts; therefore, this is not applicable.

6.3 Analysis of Cash Flow

6.3.1 Cash flow Analysis for the Current Year

Year Item	2024	2025	Increase (Decrease) Amount	(%)
Operating Activities	828,951	2,198,302	1,369,351	165.19
Investing Activities	(425,805)	(384,625)	41,180	(9.67)
Financing Activities	(453,520)	(437,875)	15,645	(3.45)
Analysis of financial change : Increase in cash inflows from operating activities: Primarily attributable to higher gross profit and a reduction in accounts receivable. Cash outflow from investing activities decreased: Mainly due to the decrease of payment for property, plant and equipment. Cash outflow from financing activities decreased: This was primarily attributable to lower cash dividend distributions.

Data : The financial information has been audited by CPA

6.3.2 Remedy for Cash Deficit and Liquidity Analysis and Cash flow Analysis for the Coming Year

Not applicable.

6.4 Major Capital Expenditure

None

6.5 Investment Policy in Last year, Main Causes for Profits or Losses, Improvement Plans, and the investment Plans for the Coming Year

6.5.1 Investment Policy in Last Year

The Company's current investment policy mainly focuses on basic business-related investment targets and is not engaged in investments in other industries. Relevant executive departments adhere to the "Subsidiary Operation Management Measures", "Investment Cycle" of the internal control system and "Acquisition or Disposal of Assets". The aforementioned methods or procedures are discussed and approved by the board of directors or at the shareholders meeting.

6.5.2 Main Causes for Profits or Losses, Improvement plan

As of Dec 31,2024 ; Unit ; NT$ thousands

Name of Company	Investment gain of loss in last year	Main Causes
Multiwin Precision Ind Pte. Ltd.	77,795	Good operating condition
Global Sun Trading Co., Ltd.	710,873	Good operating condition
All Spacer Enterprises Co., Ltd.	3,465	Good operating condition
Multiwin de Mexico S.A. DE C.V.	167,293	Good operating condition
Heng Xie Enterprises Limited	(249,285)	Mainly due to reduced production orders, resulting in losses
Eson Europe S.R.O.	(2,907)	Due to poor European consumer market conditions under the influence of the European debt crisis, the Company will reposition Eson Europe SRO as a customer service base in Europe. In addition to serving existing customers, it will conduct local market research and business marketing, and provide other companies within the group opportunities to take production orders. Local production equipment has been transferred to other plant locations for use or direct disposal.
Grand Liberty Co., Ltd.	24,227	Good operating condition
Ample Wealth Enterprise Ltd.	13,804	Good operating condition
Zeal International Co., Ltd.	37,274	Good operating condition
Eson Precision Industry (Singapore) Pte. Ltd.	896,079	Good operating condition
Eson (VN) Precision Industry Co., Ltd	21,617	Good operating condition
Esonmex Monterrey, S.A. DE C.V.	26,769	Good operating condition
Eson Precision Engineering (Malaysia) Sdn Bhd	(8,239)	Mainly due to reduced production orders, resulting in losses
Eson Batupahat Precision Engineering Sdn. Bhd.	(35,845)	Mainly due to reduced production orders, resulting in losses
Unique Champion Co., Ltd.	(56)	Mainly due to reduced production orders, resulting in losses
Eson Slovakia A.S.	(1,673)	Due to poor European consumer market conditions under the influence of the European debt crisis, the Company will reposition Eson Europe SRO as a customer service base in Europe. In addition to serving existing customers, it will conduct local market research and business marketing, and provide other companies within the group opportunities to take production orders. Local production equipment has been transferred to other plant locations for use or direct disposal.
Kong Eagle International Limited.	3,135	Good operating condition
Zenith Profits Co., Ltd.	(135)	Mainly due to reduced production orders, resulting in losses
Blackyotta Inc.	518	Good operating condition
Kunshan Eson Precision Engineering Co., Ltd.	(310,820)	Mainly due to reduced production orders, resulting in losses
Yantai Zheng Yi Precision Electronics Co., Ltd.	70,125	Good operating condition
Wuxi Xinguan Metal Science & Technology Co., Ltd.	24,423	Good operating condition
Dongguan Yihong Precision Mould Co., Ltd.	3,237	Good operating condition
Kunshan Kang Rui Package Material Co., Ltd.	(1,179)	Mainly due to reduced production orders, resulting in losses

6.5.3 The investment Plans for the Coming Year

In the future, the company's main investment strategy is to focus on customers' strategic needs and basic business-related investments. The scale of operations will be expanded on a case-by-case basis, and relevant executive departments will adhere to the internal control system and "Procedure for Acquisition or Disposal of Assets."

6.6 Analysis of Risk Management

6.6.1 Effects of Changes in Interest Rates, Foreign Exchange Rates and Inflation of Corporate Finance, and Future Response Measures

Interest Rate

The interest rate risk of the Company is mainly derived from the long-term and short-term bank loans required to support business and investment activities. In addition to strengthening close contact with banks and understanding interest rate movements to obtain the most favorable loan interest rates, the Company will also effectively use various financial instruments through sound financial planning to reduce the risk of fluctuating interest rates.

Foreign Exchange Rate

The daily operations of the Company use US dollars as a functional currency; The Company is mainly affected by fluctuations in the exchange rates of the renminbi to the US dollar. However, relevant risks on the Company's profits and losses are manageable. In response to the potential exchange risk and the impact of exchange rate fluctuations on profit and loss, the Company collects market information, conducts trend judgment and risk assessment, and maintains close contact with banks to fully grasp the trends in exchange rates and make appropriate adjustments, thereby reducing the risk of exchange rate fluctuations.

Inflation

The company's profit and loss has not been significantly affected by inflation. The Company will keep abreast of fluctuations in market prices and maintain good interaction with customers and suppliers, and suitably adjust its procurement and sales strategies. Therefore, the Company should be able to respond to the impact of future economic changes due to inflation or austerity, thereby reducing the impact on profit and loss.

6.6.2 Policies, Main Causes of Gain or Loss and Future Response Measures with Respect to High-Risk, High-Leverage Investment, Loaning or Endorsement Guarantees and Derivatives Transactions

The Company's financial policy is based on stable and conservative principles, and does not engage in high-risk, highly leveraged investment; In addition, the Company has established the "Operating Procedures for Lending Funds to Other Parties", "Operating Procedures for Endorsement Guarantees" and "Procedures for Engaging in Derivatives Trading". All relevant operations are carefully implemented after considering risk conditions and related regulations. Other than Company-subsidiaries and subsidiaries-subsidiaries relations, the Company does not have endorsement guarantees and capital loans with other companies. Additionally, those already applied for endorsement guarantees and capital loan are handled in accordance with relevant operating procedures. The Company has not engaged in any derivative trading.

6.6.3 Future Research & Development Projects and Corresponding Budget

The Company's R&D expenditure in 2025 and 2024 were NT$161,218,000 and NT$143,284,000, accounting for 1.33% and 1.09% of the year's operating income. By integrating the Company’s business and customer resources allowed for the use of engineering analysis in R&D design and resource integration to manufacture new products (cooling systems). In the future, this will be expanded to high-value applications with high heat flux density.

> Future R&D plans:
> 1. Design and development of high power CPU cooling systems
> 2. Introduce assembly and welding technology for cooling systems

> Expected future R&D investment: Approximately 1.7% to 2.5% of the annual net revenue.

6.6.4 Effects of and response to changes in policies and regulations relating to corporate finance and sales

The country of registration of the Company is the Cayman Islands, and its main operating countries include China, Singapore, Malaysia and Mexico. Each of the Company's business is executed in accordance with the legal requirements and relevant policies of the country of registration and the country of major operation. Moreover, the Company is well informed of policy changes and development trends and responds to changes in the market environment and takes appropriate measures in a timely manner. The Company has not had a significant impact on its financial business due to changes in important policies and laws at home and abroad.

6.6.5 Effects of and response to changes in technology and the industry relating to corporate finance and sales

The Company stays abreast of the changes in the technology and product demand of the industry, grasps the market trend, and evaluates its impact on the Company's operation. In the past year at the time of issuance of the annual report, the Company has not had a significant impact due to a major technological or industrial change.

6.6.6 The impact of changes in corporate image on corporate risk management, and the Company's response measures

Since establishment, the Company has focused on its business operations. Business results and company reputation have been excellent. In the past year at the time of issuance of the annual report, and there has not been any change in corporate image causing corporate crisis.

6.6.7 Expected benefits from, risks relating to and response to merger and acquisition plans

The Company has not had plans of mergers in the past year and up to the date of report. However, if there is a merger and acquisition plan, it will be handled according to the "Procedures for Acquisition or Disposal of Assets" of the Company. Moreover, to reduce possible risks, if the company discovers the potential merger target company in the future, it will carefully evaluate and consider the merger and the effects thereof, and consult relevant professionals. The merger decision shall be prepared and handled timely and with reasonable conditions to ensure the Company's interests and overall shareholders' rights.

6.6.8 Expected benefits from, risks relating to and response to factory expansion plans

The Company founded Esonmex Monterrey S.A. DE C.V. in December 2021 in response to orders from customers in North America. Production commenced in November 2024.

6.6.9 Risks relating to and response to excessive concentration of purchasing sources and excessive customer concentration

1. Purchasing

The Company avoids single supplier sources for each major purchase item except for suppliers with unique quality factors and customer certification. The purchase ratio of the largest supplier in 2024 and 2025 is 21.50% and 27.91% respectively. The top ten suppliers' purchase ratios were 56.86% and 56.17%, respectively. The overall purchase did not focus on a single supplier. The main raw materials required for the production of components of consumer electronic products at the Company, including metal materials, composite parts and plastic parts, are available from a wide range of suppliers. There is no concentration of purchases from a single supplier risking out-of-stock worries.

2. Sales

The Company's main sales target are international OEMs and brand manufacturers of consumer electronics products such as TV, computer, and ICT. The sales ratios of the customers of the largest sales in 2024 and 2025 are 49.46% and 49.68%, respectively. The sales ratios of the top ten customers were 91.27% and 87.95% respectively. Although there are concentrated sales of goods, due to industrial characteristics, downstream brand manufacturers are mostly concentrated on orders from international OEMs. In addition, due to the excellent technical capacities, the Company has won recognitions of international OEMs and brand manufacturers, and thus established a dominant position in the industry, and has long-term stable cooperative relations with major sales targets. The Company is also actively involved in R&D of new products, thereby reducing the risk of concentration of sales.

6.6.10 Effects of risks relating to and response to large share transfers or changes in shareholdings by directors, supervisors, or shareholders with shareholdings of over 10%

The Company has not had any of the described share transfers in the past year and up to the date of report.

6.6.11 Effects of risks relating to and response to the changes in management rights

In order to strengthen corporate governance, the Company held a full re-election of directors at the shareholders' meeting on October 31, 2012, and introduced independent directors, set up an audit committee to enhance the protection of the overall shareholders' equity. The operating performance of the Company's management team is sound and should continue to receive support from major shareholders.

6.6.12 For Litigious and Non-Litigious Matters, the Company shall Specify if there has been any Substantial Impact upon Shareholders' Equity or Prices for the Company's Securities as a Result of any Major Litigation, Non-Litigious Proceeding, or Administrative Dispute Involving a Company's Director, President, Substantial Person in Charge, or Shareholders Holding more than 10% of the Company's Shares, and the Matter was Finalized or Remained Pending, and the Company shall Disclose the Facts in Dispute, Amount in Dispute, Commencement Date, Main

Parties Involved, and Current Status of the Case as of the Publication Date of the Annual Report

There has been any finalized or pending litigation, non-litigious proceeding, or administrative dispute and the matter was finalized or remained pending in the most recent fiscal year and up to the publication date of the Annual Report, and the results may have a significant impact of the Company's shareholders' equity or securities prices:

Suntool Co., Ltd. had a product dispute with its client, leading to the possibility of US$300 thousand in uncollectible accounts receivable. Furthermore, the client of Suntool's client demanded an additional compensation for damage that amounted to CAD4,000 thousand, and the litigation is still going. Suntool Co., Ltd. has recognized a full impairment loss for the total amount of receivables. In addition, Suntool Co., Ltd. assessed that compensation is very unlikely to occur and thus did not assess the related losses. Suntool Co., Ltd. obtained the documentation for the approval of dissolution on October 23, 2018 which approved the dissolution on September 18, 2018 after related debt declaration and dissolution procedures were completed.

The Company's Directors, president, Substantial Person in Charge, and shareholders holding more than 10% of the Company's shares, the results of the litigation, non-litigation or administrative disputes that have been identified or are still in the course of the annual report have been determined, and the results may have a significant impact of the Company's shareholders' equity or securities prices: None.

6.6.13 Other major risks and responses

International raw material prices fluctuate greatly, and wages are high, which reduces the risk of profit margins.

In recent years, the cost of international raw materials has increased. Among them, steel plates are the main raw materials for the production of metal stamping components required for Automobile parts and Server parts. Due to the increase in the prices of raw materials, the cost of parts production has increased significantly. This is expected to be the case in the future; In addition, the product process of machine components is labor intensive, but provinces in the mainland have increased their wages, and it is estimated that there will still be room for improvement in the next few years. Therefore, the high cost has become a problem for all component manufacturers.

Response measures

A. Strengthen production processes, reduce unnecessary manpower in the production process, and train employees to enhance work efficiency and reduce the impact of rising labor costs on operations.

B. Establish solid long-term interaction with a number of upstream raw material suppliers to mitigate the impact of raw material price fluctuations and ensure the stability of supply.

C. Strengthen inventory and liquidity management to mitigate the impact of fluctuations in raw material prices.

Risk of retaining customer orders

Machine component manufacturers have expanded their production capacity and actively upgraded their technology to secure new orders. Under the continuous growth in overall production capacity and competition in the industry, and the rapid changes in consumer market products, the ability to continue to obtain customer orders to maintain high utilization rate at the production line has a huge impact on the Company's operations.

Response measures

The Company is a professional manufacturer of products such as mold development, plastic molding, metal stamping and related surface treatment technology. It can flexibly adjust the appearance of consumer products and can provide customers with one-stop purchase service. The Company operates through diverse products to divert operational risks.

In addition, the Company will increase and meet the customer's order demand with a strategy of serving customers nearby. It has the advantages of economies of scale, which raises the barrier for new market entrants. In the future, it will continue to deepen the cooperation relationship with customers to consolidate the source of orders.

Risk of change in technology and major raw materials

Requirements on the strength, cooling, precision, stability, and eco-friendliness of mechanism components in 3C products, network communication products, and automotive products (especially new energy vehicles) are becoming more stringent, in order to make the products more lightweight, compact, efficient, safe, and reliable. In terms of the current manufacturing industry, the use of traditional steel and general-purpose plastic raw materials, along with mature and stable existing processes, has provided the advantages of controllable costs and flexible delivery time when meeting market demand in the past. However, following the rapid iteration of industrial technology in 2026, new materials such as high-strength steel, hot-formed steel, thermally conductivity plastics, glass fiber and carbon fiber reinforced materials, bio-based plastics, and recycled composite materials are gradually becoming more widespread. Existing technologies and raw materials are quickly losing their advantage due to the demand for new processes and equipment upgrades, as well as the higher standards adopted by 3C, network communication, and automotive customers. Changes in technology and main raw materials will directly impact the applicability of existing equipment, process stability, product yield, and overall production costs, posing clear operational risks to the daily operations, market competitiveness, and long-term development potential of ordinary stamping and injection molding plants.

Response measures

To effectively mitigate the aforementioned operational risks, we will plan ahead and take measures to establish a multi-dimensional prevention system encompassing technology, raw materials, management, and upstream and downstream collaboration. In terms of technology, we will gradually upgrade existing production equipment to improve precision and stability to meet the processing needs of high-strength and high-precision products. At the same time, we will introduce new process simulation and verification technologies to run in new equipment and processes in advance and reduce

risks during mass production. We have sorted out the technical requirements corresponding to verification standards for 3C, network communication, and automotive products to ensure that technology upgrades meet customers' specifications. In terms of raw materials, we established diverse supply channels to avoid being dependent on a single raw material or supplier, and established a new material verification process at the same time, conducting batch tests on high-strength steel and composite plastics to ensure that their performance matches the existing process. We plan reasonable raw material inventory to avoid the risks of price fluctuations and supply disruptions, while also paying attention to eco-friendly materials. In addition, we communicate changes in requirements and technical standards in advance with 3C, network communication, and automotive customers, as well as upstream raw material suppliers, jointly introducing new materials and processes to achieve risk sharing and create a win-win situation. This will consolidate our business foundation and ensure the Company's long-term stable development.

Risks related to statements made in this annual report

A. Facts and statistics

Certain information and statistics of this annual report are compiled from different statistical publications. However, external publications may be inaccurate, incomplete or not up to date. The Company makes no declaration as to the authenticity or accuracy of such statements in external publications, and investors should not place undue reliance on such information for investment judgment.

B. Forward-looking statements and risks and uncertainties contained in this annual report

Certain forward-looking statements and information about the Company and its related companies contained in this annual report. These statements and information are based on the beliefs, assumptions and current information of the management of the Company. In the current report, "predict", "believe", "can", "expect", "future", "intention", "or will", "must", "plan", "estimate", "seek", "shall", "will", "may", "likely" and similar statements, when used by the management of the Company, are forward-looking statements. Such statements reflect current views of the Company's management on future events, operations, liquidity, and sources of funding, some of which may not realize or may change. These statements are subject to certain risks, uncertainties and assumptions, including other risk factors as described in this annual report. Investors should carefully consider the known and unknown risks and uncertainties involved in relying on any forward-looking statements. The risks and uncertainties faced by the Company may affect the accuracy of the forward-looking statements, including but not limited to the following:

Chapter 5 of this annual report, description of operations overview
Statements in this annual report regarding prices, volume, operations, profit trends, overall market trends, risk management and exchange rates.

The Company will not update the forward-looking statements of this annual report or make changes in response to future events or information. In the light of these risks and other risks, uncertainties and assumptions, the forward-looking statements and circumstances of this annual report may or may not occur in the manner expected by the Company or may not occur at all.

Therefore, investors should not rely on any of the forward-looking statements.

For other important risks and countermeasures related to the operation of the Company, please refer to the favorable, unfavorable factors and countermeasures of the Company's development prospects on page 76-77 of this annual report. However, despite these countermeasures, the implementation may still be subject to force majeure and other factors that cannot be fully implemented, and the related risks may still affect the Company's business, operating results, and financial status.

Challenges the management team faces in becoming a listed company for the first time

The Company's management team has rich experience in the operation of the industry. However, after stock listing, the Company needs to face a large number of investors or professional investment institutions. The Company is also a foreign company and needs to adapt to the laws and regulations of Taiwan.

Response measures

Before applying for listing, the Company has successively recruited qualified talents required by the various operating locations around the world and has organized excellent team members as a strong backing for management. Moreover, some management personnel have also worked in Taiwan's well-known listed and OTC companies in Taiwan and are thus familiar with relevant local laws and regulations. Therefore, the company is prepared to meet the challenges of becoming a listed company.

The Company is a holding company that relies on the performance of its subsidiaries and their ability to distribute dividends and is subject to restrictions on the distribution of dividends and the transfer of funds.

The Company is a holding company established in the Cayman Islands with no commercial operations and revenue sources. The Company has no other assets and liabilities other than stock rights to the subsidiaries. Therefore, the profit source mainly relies on its operating subsidiaries. The Company's subsidiaries in China and in Singapore are the source of profit for the Group's important operations. Therefore, the issuance of cash dividends of the Company will be affected by the cash dividends of the subsidiaries or the surplus reserves.

However, the cash dividends issued by the subsidiaries will be subject to the restrictions on the local state dividends, regulations on repatriation of revenues, cash transfers and foreign exchange controls, and will be affected by exchange rate changes. The Company has no full control over these factors.

In addition, the subsidiaries of the Company are separate and independent legal entities. When a subsidiary goes bankrupt, loses its liquidity, reorganizes, liquidates, or realizes its assets, the Company's acquired assets or distribution order will be inferior to the creditors of the subsidiary, including the trading subject of the subsidiaries and the holders of the bonds issued by the subsidiaries.

The distribution of dividends or other benefits of the Company will be handled in accordance with relevant regulations. It is recommended that investors should understand and consult with experts on the impact of taxation of their own investment holding companies.

Risk of protection of shareholders' rights

The Cayman Islands' company law has many different rules from the Taiwan Company Act. Although the Company has amended the Articles of Association in accordance with the "Checklist for the Protection of Shareholders' Rights and Interests of Foreign Issuer in Registration Countries" as stipulated by the Taiwan Stock Exchange Co., Ltd., there remain many differences between local laws and regulations on the operation of the Company. Investors cannot apply the legal rights used to invest in Taiwan companies to protect their investments in Cayman Islands companies. Investors shall fully understand and consult with experts on whether their shareholder's rights and interests are effectively protected in their investment in a Cayman Islands company.

Information security risks:

High-availability data backup systems are established in the information system framework in accordance with the risk level. We strengthen simulation tests and emergency response drills in server rooms and evaluate the operational risks and impact in terms of finance, regulations, and customers. We plan, design, and improve appropriate software/hardware equipment and resources and implement response measures to improve work procedures, reduce risks of system interruption caused by unforeseen natural disasters or human errors, and ensure that we meet the target of system recovery time.

6.7 Other Major items

None

Other Special Notes

7.1 Summary of Affiliated Companies

7.1.1 The Status of Affiliated Companies

Affiliated Companies Chart

Basic Data of Affiliated Enterprises
As of Dec 31, 2025 / Unit: In Dollars of Foreign Currencies

NAME OF CORPORATION	DATE OF ESTABLISHMENT	ADDRESS	CAPITAL		MAJOR BUSINESS SCOPE
Multiwin Precision Ind Pte. Ltd.	2009.09.09	Singapore	USD	19,800,001	Investment holding
Global Sun Trading Co., Ltd.	2001.05.25	Mauritius	USD	28,100,000	Investment holding
All Spacer Enterprises Co., Ltd.	1999.06.15	Samoa	USD	1,800,000	Investment holding
Multiwin de Mexico S.A. DE C.V.	2012.06.21	Mexico	MXN	531,686,000	Manufacture of molds, plastic products, and hardware products
Heng Xie Enterprises Limited	2007.11.14	Hong Kong	HKD	316,324,468	Investment holding
Eson Europe S.R.O.	2007.09.21	Slovakia	EUR	5,397,909	Investment holding
Grand Liberty Co., Ltd.	2006.09.26	Mauritius	USD	15,200,000	Investment holding
Ample Wealth Enterprise Ltd.	2001.11.16	Mauritius	USD	1	Sales of molds, plastic products, and hardware products
Zeal International Co., Ltd.	2005.01.11	Mauritius	USD	1	Sales of molds, plastic products, and hardware products
Eson Precision Industry (Singapore) Pte. Ltd.	2017.03.23	Singapore	USD	19,000,000	Sales of molds, plastic products, and hardware products
Eson (VN) Precision Industry Co., Ltd.	2020.05.13	Vietnam	USD	27,500,000	Sales of molds, plastic products, and hardware products
Eson Precision Engineering (Malaysia) Sdn. Bhd.	2013.05.03	Malaysia	MYR	31,000,000	Sales of molds, plastic products, and hardware products
Eson Batupahat Precision Engineering Sdn. Bhd.	2016.05.10	Malaysia	MYR	19,000,000	Sales of molds, plastic products, and hardware products
Unique Champion Co., Ltd.	2007.05.16	Mauritius	USD	1	Sales of molds, plastic products, and hardware products
Eson Slovakia A.S.	2008.02.22	Slovakia	EUR	4,300,000	Sales of molds, plastic products, and hardware products
Kong Eagle International Limited.	2007.11.04	Hong Kong	HKD	13,505,712	Investment holding
Zenith Profits Co., Ltd.	2006.01.09	Mauritius	USD	1	Sales of molds and hardware products
Blckyotta Inc.	2018.12.10	U.S.A.	USD	200,000	Sales of molds, plastic products, and hardware products
Esonmex Monterrey S.A. DE C.V.	2021.12.20	Mexico	MXN	739,940,100	Sales of molds, plastic products, and hardware products
Kunshan Eson Precision Engineering Co., Ltd.	2001.08.08	China	USD	42,010,000	Design, development, manufacture, and sales of molds, plastic products, and hardware products
Yantai Zheng Yi Precision Electronics Co., Ltd.	2009.09.29	China	USD	1,000,000	Design, manufacture, and sales of molds, plastic, hardware products
Wuxi Xinguan Metal Science & Technology Co., Ltd.	2006.12.15	China	USD	14,000,000	Design, manufacture, and sales of molds, plastic, hardware products
Dongguan Yihong Precision Mould Co., Ltd.	2004.09.14	China	USD	1,510,000	Manufacture and sale of molds, plastic, hardware products
Kunshan Kang Rui Package Material Co., Ltd.	2019.12.23	China	USD	600,000	Packaging material trading and power supply

Information for Common Shareholders of Treated-as Controlled Companies and Affiliates : None
Business of Eson's Affiliates :

The Company's relevant corporate business operations include general investment and trading, as well as design, development, production and sales of molds, plastic and hardware. All related companies operate according to the overall business plan of the Group.

The Directors, Supervisors, and President of the affiliated companies
As of Apr 13, 2026 / Unit: thousand Shares

Name of enterprise	Title	Name/ Representative	Shares Holding
			Shares	%
Multiwin Precision Ind Pte. Ltd.	Director	Tsai, Chia-Hsiang Lin, You-Ching Lee Huey Fong	-	-
Global Sun Trading Co., Ltd.	Director	Tsai, Chia-Hsiang	-	-
All Spacer Enterprises Co., Ltd.	Director	Tsai, Chia-Hsiang	-	-
Multiwin de Mexico S.A. DE C.V.	Legal Representant	FERNANDO ESQUIVEL CALZADA Lin, You-Ching	-	-
Heng Xie Enterprises Limited	Director	Tsai, Chia-Hsiang	-	-
Eson Europe S.R.O.	Director	Huang, Ching-I	-	-
Grand Liberty Co., Ltd.	Director	Tsai, Chia-Hsiang	-	-
Ample Wealth Enterprise Ltd.	Director	Tsai, Chia-Hsiang	-	-
Zeal International Co., Ltd.	Director	Tsai, Chia-Hsiang	-	-
Eson Precision Industry (Singapore) Pte. Ltd.	Director	Tsai, Chia-Hsiang Lin, You-Ching Lee Huey Fong	-	-
Eson (VN) Precision Industry Co., Ltd.	President	Tsai, Chia-Hsiang	-	-
Esonmex Monterrey S.A. DE C.V.	Legal Representant	Hsiao,Hau-Jou	-	-
Eson Precision Engineering (Malaysia) Sdn. Bhd.	Director	Tsai, Chia-Hsiang Lin, You-Ching Chen Wen-Hsu	-	-
Eson Batupahat Precision Engineering Sdn. Bhd.	Director	Tsai, Chia-Hsiang Lin, You-Ching Chen Wen-Hsu	-	-
Unique Champion Co., Ltd.	Director	Tsai, Chia-Hsiang	-	-
Eson Slovakia A.S.	Director	Huang, Ching-I	-	-
Kong Eagle International Limited.	Director	Tsai, Chia-Hsiang	-	-
Zenith Profits Co., Ltd.	Director	Tsai, Chia-Hsiang	-	-
Blackyotta Inc.	Director	Hsiao,Hau-Jou	-	-
Kunshan Eson Precision Engineering Co., Ltd.	Executive Director	Tsai, Chia-Hsiang	-	-
	President	Wu, Chien-Chung	-	-
Yantai Zheng Yi Precision Electronics Co., Ltd.	Executive Director	Tsai, Chia-Hsiang	-	-
	President	Wu, Chien-Chung	-	-
Wuxi Xinguan Metal Science & Technology Co., Ltd.	Executive Director	Tsai, Chia-Hsiang	-	-
	President	Wu, Chien-Chung
Dongguan Yihong Precision Mould Co., Ltd.	Executive Director	Tsai, Chia-Hsiang	-	-
	President	Wu, Chien-Chung	-	-
Kunshan Kang Rui Package Material Co., Ltd.	Executive Director	Tsai, Chia-Hsiang	-	-
	President	Tsai, Chia-Hsiang	-	-

The Status of Affiliated Companies

As of Dec. 31, 2025 : Unit : NT$ thousands

Name of Subsidiary	Paid-in capital	Total Assets (Note1)	Total Liability (Note1)	Net Worth (Note1)	Revenues (Note2)	Operating Income (Note2)	Net Profit (Note2)	EPS (NT$)
Multiwin Precision Ind Pte. Ltd.	574,992	1,535,801	149	1,535,652	-	(186)	77,795	3.93
Global Sun Trading Co., Ltd.	842,278	7,389,721	849,947	6,539,774	-	(2,132)	710,441	25.28
All Spacer Enterprises Co., Ltd.	53,022	129,970	-	129,970	-	(57)	3,465	1.93
Multiwin de Mexico S.A. DE C.V.	996,097	1,881,505	252,329	1,629,176	2,196,596	227,023	167,293	157.32
Heng Xie Enterprises Limited	1,254,773	1,837,619	-	1,837,619	-	(396)	(249,285)	(0.79)
Eson Europe S.R.O.	189,672	66,019	82,535	(16,516)	-	(1,226)	(2,907)	22.3
Grand Liberty Co., Ltd.	446,472	147,502	-	147,502	-	(141)	24,227	1.59
Ample Wealth Enterprise Ltd.	-	218,443	150,185	68,258	131,528	11,804	13,804	13,804,000.00
Zeal International Co., Ltd.	-	1,138,930	1,090,901	48,029	2,071,415	56,818	37,274	37,274,000.00
Eson Precision Industry (Singapore) Pte .Ltd.	571,805	7,555,375	3,251,626	4,303,749	9,808,260	972,607	896,079	47.16
Eson (VN) Precision Industry Co., Ltd	798,350	927,838	338,709	589,129	512,903	7,573	21,617	22.3
Eson Precision Engineering (Malaysia) Sdn. Bhd.	259,737	186,769	3,260	183,509	-	(48)	(8,239)	(0.27)
Eson Batupahat Precision Engineering Sdn Bhd	154,703	292,739	136,544	156,195	118,303	(35,754)	(35,845)	(1.89)
Unique Champion Co., Ltd.	-	174,526	104,648	69,878	-	(157)	(56)	(56,000.00)
Eson Slovakia A.S.	167,485	82,682	28,011	54,671	-	(1,652)	(1,673)	(7,273.91)
Kong Eagle International Limited.	60,637	111,112	-	111,112	-	(104)	3,134	0.23
Zenith Profits Co., Ltd.	-	2,808	-	2,808	-	(141)	(135)	(135,000.00)
Blackyotta Inc.	5,965	9,079	447	8,632	12,347	504	518	2.59
Esonmex Monterrey S.A. DE C.V.	1,231,979	1,591,184	372,115	1,219,069	398,463	20,886	26,769	3.62
Kunshan Eson Precision Engineering Co., Ltd.	1,244,989	3,009,265	1,340,082	1,669,184	2,030,308	(300,870)	(310,820)	22.3
Yantai Zheng Yi Precision Electronics Co., Ltd.	40,218	245,601	100,981	144,620	376,977	94,587	70,125	22.3
Wuxi Xinguan Metal Science & Technology Co., Ltd.	409,305	110,042	37,322	72,720	12,904	(22,551)	24,423	22.3
Dongguan Yihong Precision Mould Co., Ltd.	51,727	110,937	9,347	101,590	-	(18,718)	3,237	22.3
Kunshan Kang Rui Package Material Co., Ltd.	7,499	9,250	6,436	2,814	26,221	(1,178)	(1,179)	22.3

Note1 : The exchange rate is based on December 31, 2025 (NTD/USD31.43, NTD/EUR=36.9)
Note2 : The exchange rate is based on 2025 average rate (NTD/USD=31.18, NTD/EUR=35.18)
Note3 : Not applicable.

7.1.2 Consolidated financial statement of affiliated enterprises: Similar to the consolidated financial reports.

Please refer to the Company's 2025 consolidated financial statements as disclosed on the Market Observation Post System (MOPS).

7.1.3 Affiliation Report: Not applicable.

7.2 Subscription of marketable securities privately in the most recent years and up to the date of the report printed

None.

7.3 The stock shares of the Company held or disposed by the subsidiaries in the most recent years and up to the date of the report printed

None.

7.4 Supplementary disclosures

None.

7.5 Occurrence of events defined in Securities Transaction Law Article 36.3.2 that has great impact on shareholder's equity or security price in the most recent years and up to the date of the report printed

None.

7.6 Differences between the Company’s Articles of Association and ROC’s Shareholders’ Rights Protection Guidelines

The Company has amended the Articles of Association in accordance with the important matters of shareholders' rights protection listed in the “Checklist for Protection of Shareholders' Rights and Interests of Foreign Issuer in Registration Countries” as amended by the Stock Exchange on January 9, 2024. However, some important matters on the protection of shareholders' rights and interests are not applicable under the laws of Cayman Islands, and thus has not been amended in the Company's articles of association. Please refer to the following table for details:

Important matters of shareholder protection	Articles of Association and reason for discrepancy
Procedures and resolutions of the shareholders' meeting
1. The annual general meeting shall be convened at least once a year. It should be held within six months after the end of each fiscal year. Shareholders' meetings are convened by the board of directors.
2. The shareholders' meeting shall be held in the territory of the Republic of China. If the shareholders' meeting is convened outside the Republic of China, the stock exchange shall approve within two days after the resolution of the board of directors or the shareholders obtain the permission from the competent authority.
3. Shareholders who own more than 1% of the company's outstanding shares are entitled to propose, in writing, agenda items for discussion in annual general meetings. If the proposing shareholder do not hold 1% of the shares, the proposal is not a shareholder's resolution, or there is more than one proposal, they shall not be included in the agenda.
4. If the Shareholder continue to hold more than one year and hold more than 3% of the total outstanding shares, they may write down the proposed matters and reasons and request the Board of Directors to convene an extraordinary shareholders meeting. Within 15 days after the request is filed, and the Board of Directors has not notified to convene the meeting, the Shareholder may report to the competent authority for permission to convene	Regarding the extraordinary shareholders' meeting convened by the shareholders, as a result of the Cayman Company Law, such acts are not subject to the permission of the local authorities of the Cayman Islands. Therefore, Article 18.5 of the Articles of Association does not specify that the competent authority should be notified in advance for permission before they convene the extraordinary shareholders' meeting. In addition, since the convening of the extraordinary shareholders' meeting is not subject to the permission of the local authorities of the Cayman Islands, if shareholders hold their own meeting outside the Republic of China, Article 18.5 of the Articles of Association of the Company only stipulates that the Stock Exchange should be notified in advance for approval, instead of “reporting to the Stock Exchange for approval within two days after the shareholders have obtained the permission from the competent authority” as required by the “Important Matters in the Protection of Shareholders' Rights and Interests”.

Important matters of shareholder protection	Articles of Association and reason for discrepancy
themselves.
5. The following matters shall be listed and explained in the shareholders' meeting agenda, and shall not be proposed via extempore motion:
(1) Appointment or dismissal of director, supervisor;
(2) Change of charter;
(3) Company dissolution, merger, share conversion, division;
(4) Concluding, altering or terminating a contract for the lease of all business, entrusted operations or usual co-operation with other;
(5) Cede all or major part of the business or property;
(6) Transferring all business or property to others has a significant impact on the Company's operations;
(7) Private placement of securities of an equity nature.
(8) The director is engaged in the licensing of non-competition activities;
(9) All or part of the dividends and bonuses are distributed by way of new shares;
(10) The legal reserve and the capital surplus due to the contributed capital in excess of par or income from gift are distributed to the original shareholders by way of new shares.
1. Voting rights may be exercised electronically or in writing during the Company's shareholders' meeting. However, if the Company complies with the “applicable scope for the Company to adopt electronic voting,” promulgated by the competent securities authority of the Republic of China, the electronic method shall available for exercising voting rights.
2. Shareholders' voting rights may be exercised	In respect of the exercise of voting rights by shareholders in writing or electronically, according to the Cayman Islands lawyers, the Cayman Company Law does not mention whether shareholders who exercise their voting rights in writing or electronically can be deemed to have attended the shareholders' meeting in person, and the Cayman Islands lawyers have not noticed any relevant cases. Thus, the voting in the Company's charter arrangement in writing or electronically is deemed to authorize the voting of the chairman of the shareholders' meeting. Moreover, the voting

Important matters of shareholder protection	Articles of Association and reason for discrepancy
electronically or in writing when the Company's shareholders' meeting is held outside of the Republic of China.	rights of the chairman of the shareholders' meeting are not subject to the 3% shareholding restriction. In this regard, Article 24.4 of the Articles of Association of the Company stipulates that “the shareholder shall be deemed to be the agent of the chairman of the meeting by way of written voting or electronically exercising his voting rights according to written or electronic instructions in the shareholders' meeting in accordance with the provisions of the preceding rules,” rather than “the shareholders who exercise the voting rights in writing or electronically, are deemed to be attending the shareholders' meeting in person,” as stipulated in the “Important Matters in the Protection of Shareholders' Rights and Interests”. Moreover, in Article 25.3 of the Articles of Association of the Company, the voting rights of the agent of the chairman of the shareholders' meeting are not subject to the 3% holding restriction of the total issued shares.
3. The shareholders' meeting notice must explain the methods through which shareholders may exercise voting rights in writing or in electronic form. Shareholders who have voted in writing or using the electronic method are considered to have attended shareholders' meeting in person. However, they are considered to have waived their rights to participate in any special motions or amendments to the original agendas that may arise during the shareholders' meeting.
4. Instructions to exercise written and electronic votes must be delivered to the Company at least two days before the shareholders' meeting. In the event where there are duplicate submissions, the earliest submission shall be taken into record. However, exception shall be granted if the shareholder issues a proper declaration to withdraw the previous vote.
5. If the shareholder decides to attend the shareholders' meeting in person after submitting a written or electronic vote, a proper declaration of withdrawal must be issued in the same method as did the original vote no later than two days before the shareholders' meeting. If the withdrawal is not received in time, then the written or electronic vote shall be taken into record.
6. If the shareholder has exercised written or electronic votes, and at the same time delegated a proxy to attend the shareholders meeting, then the voting decision exercised by the proxy shall prevail.
The following agenda involving major rights and interests of shareholders require the attendance of shareholders representing more	1. Regarding the resolution method of the shareholders' meeting, in addition to the ordinary and supermajority resolutions under the ROC laws, the “special resolution”

Important matters of shareholder protection	Articles of Association and reason for discrepancy
than two-thirds of the total issued shares, and more than half of the voting rights of the attending shareholders shall agree to proceed. If the total number of shares of the attending shareholders is less than the aforementioned quota, shareholders representing over half of the current outstanding shares may attend in which two thirds of the attending shareholders must agree to proceed:	defined by the Cayman Islands’ Company Law is also included in Article 1.1 of the Articles of Association of the Company. The special resolution refers to resolutions passed by at least two-thirds of the shareholders of voting rights (vote in person or by appointed proxy) at the shareholders’ meeting. The meeting notice must also legally state that the resolution will be carried out by special resolution; However, the Company's Articles of Association may specify a higher percentage and may state that various matters subject to special resolution may be passed by different percentages (but not less than two-thirds). The difference between this and the “Shareholders' Rights Protection Checklist” is that certain matters that should be resolved by supermajority in the “Shareholders' Rights Protection Checklist” are regulated by the Cayman Islands’ Company Law in the Company's Articles of Association (refer to point 2 for details). As these differences are due to Cayman Islands’ laws and regulations, and the Company's Articles of Association have already listed the supermajority resolutions set out in the “Shareholders' Rights Protection Checklist” in the supermajority and special resolutions in the Company's articles of association, the impact of this part on shareholders' equity should be limited.
1. Concluding, altering or terminating a contract for the lease of all business, entrusted operations or usual co-operation with others, the transfer of all or a major part of the business or property, the transfer of all business or property of others that has a significant impact on the Company's operations.
2. Change of charter
3. If the change of the Articles of Association has damaged the rights of preferred stock shareholders, resolution of the preferred stock shareholders’ meeting is required.
4. All or part of the dividends and bonuses are distributed by way of new shares;
5. Resolutions on the dissolution, merger or split of the Company.
6. Private placement of securities	2. According to the regulations of the Cayman Islands’ Company Law, the following matters shall be determined by special resolutions: (1)Change of charter According to the laws of the Cayman Islands, the change of charter should be carried out by special resolution specified by the Cayman Islands’ company law. Therefore, Article 11.3 of the Articles of Association does not follow the “Shareholders' Rights Protection Checklist” regarding resolution requirement for altering organization documents and the Articles of Association by changing special resolution to supermajority resolution as required by law of the Republic of China. In addition, in accordance with Article 12 of the Articles of Association, if the amendments or changes to the Articles of Association will damage the priority of any type of shares, the relevant amendments or changes shall be

Important matters of shareholder protection	Articles of Association and reason for discrepancy
	subject to the special resolution of the Company's shareholders meeting under the Cayman Islands’ company law. A special resolution required by the Cayman Islands’ company law is required for such damaged shareholder.

(2) Dissolution:
According to the laws of the Cayman Islands, if a company decides to voluntarily dissolve due to the inability to pay off its debt when it expires, its dissolution shall be decided by the shareholders' meeting. However, if the company is voluntarily liquidated and dissolved for reasons other than the above, its dissolution shall be subject to the special resolution prescribed by the Cayman Islands’ company law. Therefore, the resolution thresholds for the liquidation and dissolution of the Company in Articles 11.5 and 63.1 of the Articles of Association of the Company have not been changed to the supermajority resolutions under the laws of the Republic of China in accordance with the requirements of “Important Matters in the Protection of Shareholders' Rights and Interests”.

(3) Merger:
As the Cayman Islands’ company law has mandatory provisions for the voting method for the “consolidation as defined by the laws of the Cayman Islands”, paragraph (b) of Article 11.4 of the Articles of Association stipulates that a “merger” (unless the mergers and/or acquisitions, defined by the Cayman Islands’ company law, requires a special resolutions) requires a supermajority resolution. The above differences are due to regulations of the Cayman Islands. Although when “the company is voluntarily liquidated and dissolved due to the inability to settle its debts at expiration,” the company may only apply ordinary resolutions, the result should be more favorable to shareholders. Moreover, this is only applicable for specific situations and the impact on shareholders' equity should be limited. |
| Director's authority and responsibility | |
| 1. The Where the company has set up supervisors, the supervisor shall be elected via | The laws of the Cayman Islands does not have an equivalent concept as the supervisor. Moreover, the Company has an |

Important matters of shareholder protection	Articles of Association and reason for discrepancy
the shareholders' meeting. At least one of the supervisors must have a residence in the country.
2. The term of the supervisor shall not exceed three years. However, the supervisor may be re-elected.
3. When all supervisors are dismissed, the Board of Directors shall convene an extraordinary meeting of shareholders within 60 days to elect for supervisor.
4. The supervisor shall supervise business operations of the Company and, whenever deemed necessary, inspect the business and financial status of the Company, examine relevant accounting reports and documents and request the Board of Directors or managers to provide relevant reports.
5. The supervisor shall examine reports and statements compiled and submitted by the Board of Directors and provide opinions in the shareholders' meeting.
6. The supervisor must appoint an accountant or a lawyer to review the matter on behalf of the company.
7. Supervisors may attend and express their opinions in the Board of Directors' meeting. Where the Board of Directors or directors conducts business in violation of laws, Articles of Association, or resolutions of the shareholders' meeting, the supervisor shall immediately notify the Board of Directors or the Directors to stop their actions.
8. Each supervisor may exercise supervision independently.
9. The supervisor may not serve as a company director, manager or other employee.	audit committee. Therefore, there is no regulations related to the supervisor in the Articles of Association.
1. Shareholders who hold more than three percent of the current outstanding shares of the company for more than one year may request the supervisor to institute an action	Since the laws of the Cayman Islands do not have an equivalent concept as the supervisor, and the Company has an audit committee, Article 47.3 of the Articles of Association of the Company provides that “within the scope permitted by

Important matters of shareholder protection

Articles of Association and reason for discrepancy

against the Director on behalf of the Company, and have the Taipei District Court of Taiwan as the court of first instance.

the laws of the Cayman Islands, shareholders who hold at least three percent of the current outstanding shares for at least one year may: (a) In writing, request the independent director of the Audit Committee authorized by the Board of Directors to institute an action against the Directors on behalf of the Company, and may have the Taipei District Court of the Republic of China as the court of first instance; Or (b) In writing, request the independent director of the Audit Committee to institute an action against the Directors on behalf of the Company, and may have the Taipei District Court of the Republic of China as the court of first instance; Within 30 days after the request is made in accordance with the aforementioned Paragraph (a) or (b), if (i) the requested Board of Directors fails to authorize the independent director of the Audit Committee or the independent director of the Audit Committee authorized by the Board of Directors has not filed a lawsuit in accordance with paragraph (a); Or (b) if the independent director of requested the Audit Committee fails to institute an action, within the limits permitted by the laws of the Cayman Islands, the shareholders may institute an action on behalf of the Company against the Directors and have the Taipei District Court of the Republic of China as the court of first instance.” This differs from the “Important Matters in the Protection of Shareholders' Rights and Interests,” which specifies that “Shareholders who hold more than three percent of the current outstanding shares of the company for more than one year may request, in writing, the supervisor to institute an action against the Director on behalf of the Company, and have the Taipei District Court of Taiwan as the court of first instance. Within 30 days after the shareholder makes the request, when the supervisor does not file a lawsuit, the shareholder may institute an action on behalf of the Company and the Taiwan District Court of Taiwan may be the court of first instance.”

2. Within 30 days after the shareholder makes the request, when the supervisor does not file a lawsuit, the shareholder may institute an action on behalf of the Company and the Taiwan District Court of Taiwan may be the court of first instance.

Important matters of shareholder protection

Articles of Association and reason for discrepancy

In addition, the Company's Articles of Association is not a contract between the shareholders and the Directors but the agreement between the shareholders and the Company is that even if the minority shareholders are allowed to file a derivative action against the directors in the Articles of Association, lawyers of the Cayman Islands believe that the Directors will not be bound by the contents. However, under common law, all shareholders (including minority shareholders) have the right to file derivative actions (including litigation against the Directors) regardless of their shareholding proportion or period. Once the shareholder sues, the court of the Cayman Islands will have full discretion to decide whether the shareholder can continue the litigation. Furthermore, even if the Company’s Articles of Association permits minority shareholders (or shareholders with the required shareholding ratio or period) to institute an action against the Directors on behalf of the Company, whether the lawsuit can continue ultimately depends on the court of the Cayman Islands. According to a relevant verdict of the Grand Court of the Cayman Islands, when the court of the Cayman Islands considers whether to approve the continuation of a derivative action, the applicable criterion is whether the court believes and accepts that the plaintiff’s request on behalf of the Company is substantive on the surface and the claimed wrongful act is made by the controllable company, and the controller can prevent the Company from instituting a reverse action. The court of the Cayman Islands will determine on a case-by-case basis (although the court may refer to the provisions of the Company's Articles of Association, this is not a decisive factor). According to the laws of the Cayman Islands, the Board of Directors should decide on its behalf (instead of individual directors) on behalf of the Company. Therefore, the Directors shall, in accordance with the provisions of the Articles of Association, authorize any director according to resolution of the Board to file a lawsuit against other directors on behalf of the Company. The Cayman Islands’ company act does not provide a clear specification to enable shareholders request the Directors to convene a board meeting to resolve specific matters.

Important matters of shareholder protection	Articles of Association and reason for discrepancy
	However, the Cayman Islands’ company act does not prohibit the Company from establishing rules relating to the board meeting procedures in the Articles of Association (including the provisions for convening the board meeting).
1. The Directors of the Company shall faithfully carry out the business and perform the duty of observation as a good manager. If there is any violation resulting in damage of the Company, the Director shall be liable for damages. If the act is committed on his/her or other's behalf, the shareholder meeting may resolve deeming the proceeds of the act as the Company's income.	Article 47.4 of the Articles of Association of the Company stipulates that “without affecting the obligations of the Directors of the Company in accordance with the common law and company law of the Cayman Islands, the Directors shall faithfully carry out their business when performing business operations of the Company and should fulfill (but not limited to) due diligence in observation and necessary skills, if there is a violation resulting in the Company's damage, the director shall be liable for damages. If such act, in violation of the aforementioned provisions, is committed on his/her or other's behalf, the shareholders’ meeting may make an ordinary resolution deeming the proceeds of the of the Director as the Company's income the Director to pay the proceeds to the Company. If the Director and manager of the Company violates applicable laws and/or orders and causes damage to others when executing the Company's business operations, the Director, manager and the Company shall be jointly liable for compensation. In addition, local lawyers reminded the following provisions of the Cayman Islands: The Director's liability to the Company under the laws of the Cayman Islands can be broadly divided into common law responsibilities (professional competence, observation and diligence) and loyalty obligations. However, the Directors are legally obligated under the provisions of various laws and, in certain circumstances, also have obligations to third parties (such as creditors). If the Company is or in the risk of unable to pay off, the Directors should consider the interests of the creditors when fulfilling their obligations. Since the Company's Articles of Association contains agreements between shareholders and the Company, the Directors are not parties to the Company's Articles of Association. Therefore, all rights to damages against the Directors claiming the violation of their obligations should be standardized in the service contract.
2. If the Director of the Company violates the law and causes damage to others when executing the Company's business, the Director and the Company shall be jointly liable for compensation.
3. The manager and supervisor of the company shall bear the same liability for damages within the scope of their duties as the Directors of the Company.

Important matters of shareholder protection	Articles of Association and reason for discrepancy
	Under the laws of the Cayman Islands, in general, a manager or supervisor does not have the same responsibility as a company director for a company or its shareholders.
However, if the manager or supervisor is authorized to act on behalf of the senior executive, it will be subject to the same obligations as the company's directors. For the avoidance of doubt, companies of the Cayman Islands generally regulates its managers’ or supervisors’ responsibilities and obligations to the company and its shareholders in their service contracts.
Similarly, since the Company's Articles of Association contains agreements between shareholders and the Company, the managers and supervisors are not parties to the Company's Articles of Association. Therefore, all rights to damages against the managers and supervisors claiming the violation of their obligations should be standardized in the service contract.
In addition, regarding the provisions of the directors' interests as the company's income, the lawyers of the Cayman Islands believe that such regulations are uncertain and too general, so they have doubts about their enforceability. For example, whether a director's breach of obligation is left to the court to finalize and how the benefit is defined (and the period in which it benefits). The lawyers of the Cayman Islands also believe that this clause does not limit the director's responsibilities. Directors are still subject to various statutory, common law and fiduciary duties under the laws of the Cayman Islands.

Eson Precision Ind. Co., Ltd.

Chairman : Tsai, Chia-Hsiang

AI assistant

ESON — Annual Report 2025

52465_rns_2026-05-22_92f97283-370d-4c35-9fe4-1b8abe605c1b.pdf

Eson Precision Ind. Co., Ltd.

4. Branches in Singapore

5. Branches in Mexico

6. Branches in Slovakia

TABLE OF CONTENTS

1 Letter to Shareholders

I. 2025 Business Report

1.Business Plan Implementation Results

3.Financial Status and Profitability :

I. Business Development

II. Innovation and technology:

III. Future Development Strategy

IV. Impacts due to the competitive environment, regulatory environment, and overall business environment

2 Company Profile

2.1 Introduction of the Company

2.1.1 Establishment Date and Introduction of the Company

2.1.2 Affiliated Companies Chart

2.1.3 Risk Factors

2.2 Company Milestones

3 Corporate Governance

3.1 Directors, Supervisors and Management Team

3.1.1 Directors

3.1.2 Management Team

3.1.3 Remuneration of Directors, Supervisors, President, and Vice Presidents

2. Remuneration of the President and Vice Presidents

Remuneration Bracket

3.2 Implementation of Corporate Governance

3.2.1 Board of Directors

2. Other mentionable item

3.2.2 Audit Committee

3.2.7 Other Important Information Regarding Corporate Governance

3.2.8 Internal Control Systems

3.2.9 Major Resolutions of Shareholders' Meeting and Board Meetings

1. Shareholders' meeting

2. Board meeting

3.3 Information Regarding CPA Fees

3.4 Information on Change of CPA

3.8 Long-Term Investment Ownership

4 Funding Status

4.1 Capital and shares

4.1.1 History of capitalization

4.1.2 List of Major Shareholders

4.1.3 The company's dividend policies and execution

4.1.6 Buyback of Treasury Stock

4.2 Issuance of Corporate Bond

4.3 Preference Shares

1. 2. Outlook on the AI server market:

3. Technology development trends:

B. Electric vehicle-related industries

C. Consumer electronics industry

D. Low Earth Orbit Satellite Communications

2. Correlation of upstream, midstream, and downstream industry

3. Product development trend and competition

4. Market Competition

5.1.2 Technological research and development

1. Technical level and R&D of the business

A. Technical level:

B. Technology development:

5.1.3 Short-term and long-term business development plans

1. Short-term development

2. Long-term development:

5.2 Market and sales overview

5.2.1 Market analysis

1. Main products (services) sales (providing) area

2. Market share

3. Future market supply and demand and the growth

4. Competitive niche

5. Advantages and disadvantages of future development and the countermeasures

5.2.2 Application of Major Products

5.2.3 Supply of major raw materials

5.2.4 Major Customers with over 10% net sales and Suppliers with over 10% total purchases of the last two fiscal years

5.3 Expenditure on Environmental Protection

5.3.1 According to laws and regulations, the following details the applications, payment, or establishment of pollution facility establishment permit, pollution discharge permit, pollution prevention cost or environmental protection personnel.

5.3.2 Explain the Company's improvement of environmental pollution for the recent year and until the

5.4 Employer and Employee Relationships

5.4.2 Any current or potential loss resulting from labor disputes and prevention actions for the past two years and as of the date of this annual report

5.5 Cyber security management:

ESON Annual Report 2025