FARCENT — Investor Presentation 2017

Dec 8, 2017

Farcent Introduction

– COMPANY OVERVIEW QUICK FACTS

• Farcent Enterprise was founded in 1983, with over 33 years of experience in fast moving consumer goods industry

• A public listed company in Taiwan Stock Exchange Corp

• Major household Brand in Taiwan; #1 Brand in various categories.

• Diverse business operations including agency business and strategic alliance in various industrial partners

• With its headquarter located in Taipei, it also manufactures and distributes its products in numerous Asian markets(China, Thailand, Malaysia)

• Goal is to maintain current market leadership in Taiwan, and expand overseas business to become Asia household leading brand

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– COMPANY OVERVIEW KEY MILESTONES

 2001 Establishment of Farcent Thailand

• 2002 Establishment of Beijing and Shanghai branches

• 2007 Obtain sole distribution rights for World Kitchen

• 2010 Establishment of Farcent Malaysia

• 2015 Acquisition of Dikai SupaMop

• 2016 Increase capital to NT$569MM

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– COMPANY OVERVIEW FARCENT BRANDS

Brands covering in various categories, such as air care, dehumidifier, cleaning tools, detergent and cleaner for bathroom, toilet and floor

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– COMPANY OVERVIEW MARKET SHARE

6 leading brands in household categories

Category	Position	Market Share
Dehumidifiers	#1	80%
Air Fresheners	#1	53%
Wipes & Mops	#1	62%
Spin Mops	#1	51%
In-Tank Blocks	#1	31%
Toilet Cleaners	#1	27%

*data source: AcNielsen Retail Audit and estimate from Farcent internal data

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– COMPANY OVERVIEW AIR CARE CATEGORY

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Air Refreshner

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Air Refreshner/Deodorizer

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– COMPANY OVERVIEW DEHUMIDIFIER & TOOLS

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Dehumidifier

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Cleaning Tools

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– COMPANY OVERVIEW CLEANING TOOLS

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Cleaning Tools

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– COMPANY OVERVIEW CLEANER & DETERGENT

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Cleaner

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Detergent

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– COMPANY OVERVIEW DISTRIBUTION CHANNELS

Island-wide distribution in all channels, ranging from hypermarkets, supermarkets, to online-channels

Island-wide distribution in all channels, ranging from hypermarkets, supermarkets, to online-channels	Island-wide distribution in all channels, ranging from hypermarkets, supermarkets, to online-channels	Island-wide distribution in all channels, ranging from hypermarkets, supermarkets, to online-channels
Channel	Customers	Store #
Hypermarket	RT-Mart, Carrefour, Far-East Mart, Costco, TLW	171
Supermarket/Personal Store	Quan-Lian, Welcome, Watson’s, Cosmed, Poya, Xiaobei	2,443
Convenient store	7-11, Family Mart, OK	8,949
Government	General Welfare Service Ministry	41
Wholesaler	Chain supermarket	300
On-line	PC Home, Yahoo Kimo, MOMO, UDN, BOOKS	15

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– COMPANY OVERVIEW OVERSEAS BUSINESS

 Operating in several overseas markets:

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Taiwan:

• Operation& Management Center

• Factory

• China

• East Sales Branch(Shanghai)

• North Sales Branch(Beijing)

• Factory(Suzhou)

• Thailand

• Sales Office

• Factory

• Malaysia

• Sales Office

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– COMPANY OVERVIEW CORPORTATE PHILOSOPHY

To create quality of life and to provide a comfortable life

Satisfaction Development

Improvement

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CORPORATE SOCIAL RESPONSIBILITY

Education assistance in

rural area

Employee care _ Education fund (for passed employees’ family)

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Support - Multi talent Disadvantaged Create the inspiration Education Happy Enterprise

Recreational club support

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- After school assistance

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- Team building/Reading club

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OPERATION RESULT IN 3 YEARS

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+7%
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+20%
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FARCENT VISION

Leading Taiwan market, expanding to more markets

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TAIWAN MARKET STRATEGY

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Explore More Visibility

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

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• More PX display

• Reinforce on-line business operation

• New channel development

Upgrade Product Lines

• Relaunch scoring pad/trash bag

• Deodorizer for mold control/anti-mosquito solution

• Upgrade Air care product line

Collaboration for Younger Target

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 Licensed product

• Cross category alliance

More Exposure

• TVC support

• Digital

communication

• Diversified marketing campaign

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CHINA MARKET STRATEGY

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Trade Expansion

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• More resource behind online business

• Carrefour import line

• New channel: high-end supermarket/wholesaler

Deep dive air care category

• Reinforce gel type & reed diffuser in retail channel

• Focus premium reed diffuser in virtual channel

Record high sales in 1111

+80% Regional expansion

• Central region

Strategic Alliance

• Collaborate with well-known brand in China mop category

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DI KAI STRATGEY

Brand new mop launch

Build up Production Site

• New patented flat spin mop

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• Intelligent appliance development

Advertising investment

• Cost-down for synergy & profit

• Bidding for potential opportunities

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Market expansion

• China market

• New product commercial launch

• Experiential marketing campaign

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• Asean market

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OVERSEAS MARKET STRATEGY

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Thailand & Malaysia

• Localized product

• Agency biz for Vileda

Brand Image Renewal

 New CIS with international image

• On-line channel

Team expansion

• Source from internal talents

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Production site set up

• Evaluation of Thailand production line set-up

Aim for VIP Markets

• Vietnam branch set up in 2017

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OEM BISUNESS STRATEGY

Resource Sharing

Cost synergy for more orders

• Potential client info sharing for more business opportunities

• Dehumidifier automated production

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• Mop production line set-up

• in China

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Take Initiatives

• International trade show

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Thank You!