Fiti — Interim / Quarterly Report 2016

Aug 24, 2016

Foxsemicon Operations Overview 2016 H1 2016/8/24

 We have made forward-looking statements in the presentation. Our forward-looking statements contain information regarding, among other things, our financial conditions, future expansion plans and business strategies. We have based these forward-looking statements on our current expectations and projection are reasonable, such forward-looking statements are inherently subject to risk, uncertainties, and assumptions about us.

 We undertake no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events or otherwise. In light of these risk, uncertainties and assumptions, the forward-looking events in the conference might not occur and our actual results could differ materially from those anticipated in these forwardlooking statements.

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01 Company Profile 02 Operation Strategies 03 Operation Performance

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01 Company Profile
02
Operation Strategies
03 Operation Performance
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Company Name：Foxsemicon Integrated Technology Inc. Established：2001/04/26

： Capital NT$ 750 million Chairman：Yin-Kuang, Liu

President：Yin-Kuang, Liu

Business：Research and Development, manufacturing and sale of critical parts, module assembly and automation equipment in semiconductors, energy and LCD industries.

TAIWAN(2001)

USA(2002)

CHINA(2005)

Foxsemicon Integrated Technology Inc Hsinchu Science Park, Chunan Township, Miaoli County

Foxsemicon Integrated Technology Inc. San Jose, Austin

Foxsemicon Integrated Technology (Shanghai) Inc. SongJiang Industrial Park, Shanghai

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01 Company Profile 02 Operation Strategies 03 Operation Performance 2016/8/24 foxsemicon integrated technology inc. 6

 Focus on semiconductor front-end process equipment

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Upstream Midstream Downstream
IC Manufacturing IC Packaging & IC
(Foudry/Memory) Testing Module
IP
Design IC
/IC Design
Design Production Production
OEM Processes Processes
Chemic Subst Lead
& Mask als & rate Frame IC
Inspection Inspection Channel
equipment equipment
 Focus on automation Fab
output
Layer 5
:Business
Layer 4:
Factory
Layer 3:System
Layer 2:Machining
Layer 1:Component
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Operation Strategies
Installed, RMA and Factory
Spare Parts
professional service Planning
System
Integration AOI
Machine
Sub-system Advanced
Module
Integration laser process
Optical Vision
Frame
Integration
Sheetmetal
algorithm
Surface Electromechanical Industry waste
Automation Software water treatment
Treatment
Integration and AC Cloud
Integrate ES
Product development Development of
Precision engineering analysis Equip. and AC hign-eng
machining parts Cloud medical
equipment
Peripheral
Development
Medical critical
assembly parts
Installed, RMA and
Spare Parts
professional service
breadth
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depth
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01 Company Profile 02 Operation Strategies 03 Operation Performance

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Unit:NT$Million

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2,500
QoQ -40%
2,343
YoY +20%
1%
+28%
2,000
1,831
-40%
+30%
63%
1,500 1,411 1,401
42%
1,304 +21% 4% 1%
1,214 +7%
-26% +16% 1,120 1,165 24%
-11% +16%
30%
965 1,002 11%
1,000 41% 9%
41% 9%
23%
32%
28%
41%
9% 13%
500 58% 75%
66%
36%
66%
50% 44% 56% 63%
54%
0
2014Q1 2014Q2 2014Q3 2014Q4 2015Q1 2015Q2 2015Q3 2015Q4 2016Q1 2016Q2
Semiconductor critical assembly parts module and equipment Automation equipment and system integration
Solar processing equipment and critical parts other
Consolidated revenue
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2015H1

2016H1

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Semiconductor critical assembly parts module and equipment Semiconductor critical assembly parts module and equipment
Automation equipment and system integration Automation equipment and system integration
Solar processing equipment and critical parts Solar processing equipment and critical parts
Other Other
1%
11%
25% 48% 51%
64%
NT$Mil NT$Mil NT$Mil
2,000 +36% 1,893 2,000 1,805 250 230
+234%
200
1,500 1,396 1,500
-83%
150
1,000 1,000
541 100
500 500
50 40
0 0 0
15H1 16H1 15H1 16H1 15H1 16H1
Semiconductor critical assembly
Automation equipment and Solar processing equipment and
parts module and equipment
system integration critical parts
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Unit：NT$ K	2016H1	2015H1	YoY
Operating revenue	3,744,246	2,166,936	73%
Gross Profit margin	13%	18%	-5 ppts
Operating expense	(213,791)	(194,767)	10%
Net operating profit	252,216	197,124	28%
Net operating profit %	7%	9%	-2 ppts
Non-operating revenue & expense	27,020	6,129	341%
Net profit before tax	279,236	203,253	37%
Net profit before tax %	8%	9%	-1 ppts
Less: Income tax expense	(63,685)	(22,119)	188%
Net profit for the period	215,551	181,134	19%
Net profit for the period %	6%	8%	-2 ppts
EPS (NTD)(1)	3.17	3.02	5%

(1)The calculation was made according to the weighted average number of the outstanding shares of the year in question

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Unit：NT$ K	2016Q2	2016Q1	QoQ	2015Q2	YoY
Operating revenue	1,401,250	2,342,996	(40%)	1,164,596	20%
Gross Profit margin	19%	8%	+11 ppts	18%	+1 ppts
Operating expense	(111,122)	(102,669)	8%	(94,440)	18%
Net operating profit	158,342	93,874	69%	114,985	38%
Net operating profit %	11%	4%	+7 ppts	10%	+1 ppts
Non-operating revenue & expense	32,470	(5,450)	696%	13,881	134%
Net profit before tax	190,812	88,424	116%	128,866	48%
Net profit before tax %	14%	4%	+10 ppts	11%	+3 ppts
Less: Income tax expense	(51,513)	(12,172)	323%	(26,198)	97%
Net profit for the period	139,299	76,252	83%	102,668	36%
Net profit for the period %	10%	3%	+7 ppts	9%	+1 ppts
EPS (NTD)(1)	2.05	1.12	83%	1.71	20%

(1)The calculation was made according to the weighted average number of the outstanding shares of the year in question

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Unit：NT$ K	2016Q2	2016Q2	2016Q2	2016Q1	2016Q1	2016Q1	2015Q2	2015Q2	2015Q2
	Amount		%	Amount		%	Amount		%
Cash & cash equivalents	937,902		20%	890,624		22%	471,293		15%
Accounts receivable, net	1,193,291		26%	1,108,999		27%	681,902		21%
Inventories, net	946,526		21%	833,984		20%	744,215		23%
Property, plant, and equipment, net	744,181		16%	644,859		16%	600,554		19%
Total Assets	4,602,648		100%	4,093,724		100%	3,215,092		100%
Short-term borrowings	397,666		9%	179,000		4%	345,617		11%
Account Payable	1,417,971		31%	1,224,895		30%	969,614		30 %
Total Liabilities	2,561,433		56%	1,885,810		46%	1,845,243		57%
Total Equity	2,041,215		44%	2,207,914		54%	1,369,849		43%
Key financial indicators(1)
Debt ratio		56%			46%			57%
Current ratio		141%			163%			122%
ROE		28%			29%			23%
Book Value Per Share (NTD)		29.95			32.47			22.83

(1) annualized

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Thanks for your attention.

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