Fiti — Investor Presentation 2017

Mar 23, 2017

Foxsemicon Operations Overview

2017/03/23

 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 forward-looking statements.

Foxsemicon integrated technology inc.

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01 Company Profile

02

Operation Strategies

03

Competitive Advantage Operation Performance

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Foxsemicon integrated technology inc.

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01 Company Profile

02

Operation Strategies

03

Competitive Advantage

04

Operation Performance

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Company Name ： Foxsemicon Integrated Technology Inc. Established ： 2001/04/26

Capital ： NT$ 750 million President ： Yin-Kuang, Liu Business ：

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• Semiconductor equipment module assembly and critical parts

• manufacturing

• Automation equipment research and development, manufacturing and sales,

• providing integrated solutions

Headquarters TAIWAN H.C.(2001)

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Manufactory CHINA S.H.(2005)

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USA
China
Taiwan
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Sales office USA LA&Austin(2002)

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2016~
2006-2015
2001-2005
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2016 Awarded by world‘s leading semiconductor equipment supplier 「 as a Supplier Aftermarket Collaboration 」

2007 Ranking No. 578 among top 1,000 manufacturing enterprises and No. 57 in semiconductor industry in year 2006 by CommonWealth Magazine in Taiwan

• 2001 Foxsemicon was founded in Chunan, MiaoLi Taiwan

• 2002 Approved by world's leading semiconductor equipment supplier as a qualified supplier

2013 Awarded by world‘s leading

2016 CommonWealth

semiconductor equipment supplier as a 「 Best Quality and On-Time delivery supplier 」

MagazineTaiwan‘s- Rank 17 in 2000 Survey

「 Top 50th operating performance companies 」

• 2003 Moved in Hsinchu Science Park Chunan Site

2014 ISO 13485 certificated to get into medical

equipment industry

• 2005 Foxsemicon Song-Jiang factory opened

2015 Listed on TWSE

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Title	Name	Experience	Years
President	Ying-Kuang,Liu	Senior Vice President , Hon Hai Precision IND. CO., LTD	>30
Executive Assistant to Chairman	Frank Chen	CFO,Promise Technology, Inc. Vice President ,Foxsemicon Integrated Technology Inc. Controller, Applied Materials Taiwan	>30
Senior Vice President of Sales Dept.	Jackson Huang	Chairman, Prosys Technology Integration, Inc. Vice President ,Sales department of ASYST/PST	>25
Senior associate vice president of Sales Dept.	Kevin Chiu	Manager of Prosys Technology Integration, Inc. Manager of Sales department of ASYST/PST	>20
Vice President of R&D Dept.	Cheng-Tsu Fu	Director ,SIMPLO TCHNOLOGY CO.,LTD. Associate Professor, National United University	>25
Senior Manager of Financial Control Division	Stanley Lu	Senior Deputy Manager, FIH Mobile Limited Deputy Manager, Foxconn Technology Co.,LTD.	>20
Manager of Account Dept.	Deborah Chung	Foxsemicon Integrated Technology Inc.	>15

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01

02

03

04

Company Profile

Operation Strategies

Competitive Advantage Operation Performance

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 semiconductor front-end process equipment module and spare parts provider

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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
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 Integrated automation solution provider

Foxsemicon focus on vertical integration manufacturing of semiconductor front-end process equipment

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Integrated automation
equipment
system for factory Layer 5
:Business
Layer 4:
Factory
Layer 3:System
Layer 2:Machining
Layer 1:Component
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Toward a company of professional technology service

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• Film equipment(CVD, PVD)

• Laser cutting equipment

• Wafer cutting equipment

• Etching equipment(Etch)

• Laser repair equipment

• Plasma deposition equipment

• Chemical mechanical polishing equipment(CMP)

• Automatic optical inspection equipment

  • Cell chip automatic transmission equipment

• Check probe lighting equipment

• Testing Equipment(Metrology)

• Panel automation equipment transport

• Solar cell module production line

• Spare Parts and Repair service

• Panel transport vehicles

• LED bulb automatic production

• Fab automation equipment

• Purge subsystem

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• E-Care nursing car

• Environmental equipment automation control

• Semiconductor Factory Automation

• cloud computing Health Station(KIOSK)

• Industrial Automation Robot

• Wastewater automated control systems

Application

• Key components of medical equipment

• Mobile phone production automation equipment

• Supervisory control data acquisition system

• Factory Planning

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Installed, RMA and Spare Factory
Parts professional service Automation
System Integration
AOI
Machine
Sub-system Module Advanced
Integration laser process
Frame Optical Vision Cloud monitoring
Sheetmetal Integration algorithm system
Surface Electromechanical Industry waste water
Automation Software treatment and AC
Treatment
Integration Cloud
Precision Product development Integrate ES Equip. Development of
engineering analysis
machining parts and AC Cloud high-end medical
equipment
Peripheral
Development
Medical critical
assembly parts
Installed, RMA and Spare
Parts professional service
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Depth
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01

02

03

04

Company Profile

Operation Strategies

Competitive Advantage Operation Performance

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Vertical Integration Capability
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System Testing
and calibration
System
Integration
Machine
Sub-system
Module
Integration
Frame
Sheetmetal
Surface
Treatment
Precision
machining parts
Product
development
engineering
analysis
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Flexibility Speed Services Cost

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One-stop shop for integrated service solution

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Customize
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Module
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Intelligent
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01

02

03

04

Company Profile

Operation Strategies

Competitive Advantage

Operation Performance

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FY2015

FY2016

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Semiconductor critical assembly parts module and equipment Automation equipment and system integration Energy processing equipment and critical parts

Other

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5%
32%
63%
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Semiconductor critical assembly parts module and equipment Automation equipment and system integration

Energy processing equipment and critical parts Other

NT$Mil NT$Mil NT$Mil 5,000 +37% 4,630 4,000 300 284 3,160 4,000 +83% 3,383 3,000 200 -85% 3,000 1,730 2,000 2,000 100 1,000 1,000 42 0 0 0 FY2015 FY2016 FY2015 FY2016 FY2015 FY2016 Semiconductor critical assembly Automation equipment and Energy processing parts module and equipment system integration equipment and critical parts

NT$Mil

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2015Q4

Semiconductor critical assembly parts module and equipment Automation equipment and system integration Energy processing equipment and critical parts

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58%
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NT$Mil

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1,600 1,456
+37%
1,200 1,061
800
400
0
2015Q4 2016Q4
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Semiconductor critical assembly parts module and equipment

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2016Q4

Semiconductor critical assembly parts module and equipment Automation equipment and system integration

Energy processing equipment and critical parts

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32%
68%
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NT$Mil

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800
761
-12%
750
700
673
650
600
2015Q4 2016Q4
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Automation equipment and system integration

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Unit:NT$Million FY2016 $7,838M
FY2015 $5,409M
2,500
2,343 (YoY 45%)
+28% 1% 2,131
+9%
1,963
2,000
-40%
1,831
+40% 32%
+30%
35%
63% 1,401
1,500 1,411
42%
1,304 +21% 3%
1,214 +7% 1%
-26% 1,165
1,120 -11% +16% 24%
+16% 30%
1,002 11%
965
9%
1,000 41%
41% 9%
4%
23%
32%
41% 28%
68%
9% 13% 65%
500 58% 75%
66%
36%
50% 66%
56% 63%
44%
54%
0
2014Q1 2014Q2 2014Q3 2014Q4 2015Q1 2015Q2 2015Q3 2015Q4 2016Q1 2016Q2 2016Q3 2016Q4
Semiconductor critical assembly parts module and equipment Automation equipment and system integration
Solar processing equipment and critical parts other
Consolidated revenue
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Unit：NT$ K		FY2016		FY2015	YoY
Operating revenue		7,837,905		5,409,181	45%
Gross Profit margin		15%		17%	-2 ppts
Operating expense		(470,344)		(430,360)	9%
Net operating profit		743,423		514,059	45%
Net operating profit %		9%		9%	-
Non-operating revenue & expense		83,420		44,855	86%
Net profit before tax		826,843		558,914	48%
Net profit before tax %		10%		10%	-
Less: Income tax expense		(184,533)		(43,884)	321%
Net profit for the period		642,310		515,030	25%
Net profit for the period %		8%		9%	-1 ppts
EPS (NTD)		9.05		8.11	12%
Weighted-average outstanding shares(k)		70,964		63,507

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Unit：NT$ K	2016Q4	2016Q3	QoQ	2015Q4	YoY
Operating revenue	2,130,206	1,963,453	8%	1,831,313	16%
Gross Profit margin	19%	18%	+1 ppts	16%	+3 ppts
Operating expense	(151,224)	(105,329)	44%	(112,282)	35%
Net operating profit	247,884	243,323	2%	184,718	34%
Net operating profit %	12%	12%	-	10%	+2 ppts
Non-operating revenue & expense	57,757	(1,357)	4,356%	(4,363)	1,424%
Net profit before tax	305,641	241,966	26%	180,355	69%
Net profit before tax %	14%	12%	+2 ppts	10%	+4ppts
Less: Income tax expense	(69,888)	(50,960)	37%	(11,623)	501%
Net profit for the period	235,753	191,006	23%	168,732	40%
Net profit for the period %	11%	10%	+1 ppts	9%	+2 ppts
EPS (NTD)	3.14	2.62	20%	2.48	27%
Weighted-average outstanding shares(k)	75,000	72,793		68,000

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Thanks for your attention.

京鼎精密科技股份有限公司 Foxsemicon Integrated Technology, Inc. Your Best Partner For SEMI/FPD Equipment Contract Manufacturing Service

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