FocalTech — Interim / Quarterly Report 2021

Apr 14, 2021

==> picture [149 x 35] intentionally omitted <==

敦泰電子(3545)法人說明會

FocalTech Investor Conference

2021/4/29

The world leader in human machine interface solutions

免責聲明DISCLAIMER

==> picture [102 x 25] intentionally omitted <==

• 本簡報之內容可能包括本公司基於從各項來源所取得的資訊， 對於營運、財務狀況與企業發展情形的前瞻性預估。

• This presentation may contain “forward-looking statements” which may include projections on future results of operations, financial condition, and business prospects based on our own information and other sources.

• 因為包括但 不 限於市場需求、 價格波動、 競爭態勢、 供應鏈 變動、全球經濟局勢、 匯率波動及其他本公司無控制力之風 險 等各種因素，實際的營運、財務狀況與企業發展情形，可能會 與本公司於預測中明示或默示敘述有差異。

• The actual results of operations, financial condition, and business prospects may differ from those explicitly or implicitly indicated in those forward-looking statements for a variety of reasons, including but not limited to market demand, price fluctuations, competition, supply chain issues, global economic conditions, exchange rate fluctuation and other risks and factors beyond FocalTech’s controls.

• 本簡報之內容若有對未來之前瞻性預估，僅反映本公司於發佈當時之看法。本公司並無義務於日後情況變更時，更新前瞻 預估。

• The forward-looking statements in this presentation, if any, only reflect the current view of FocalTech as of the date of its release. FocalTech undertakes no obligation to update those forward-looking statements for events or circumstances that occur subsequently.

CONFIDENTIAL

© 2021 FocalTech Systems Co., Ltd. All rights reserved

2

2021 Q1 Results Summary /110年第1季總結 (1)

==> picture [102 x 25] intentionally omitted <==

 以往第一個季度是智慧型手機的傳統淡季，但今年度市場需求比預期來得暢旺。同 時，由於產能吃緊，使得IDC產品報價繼續上揚，推高Q1營收為43.5億元，反較Q4 季增1%，年增49%，再創單季歷叱新高。

 Unlike historical trend, the Q1 revenue did not show the typical decline from previous quarter, but showed a slight increase. This is the result of stronger than expected demand plus the continuing rise of ASP due to the tight supply. The Q1 revenue reaches NT$4.35 billion, which represents 1% increase QoQ or 49% increase YoY. This set once more, a historical high in FocalTech’s quarterly revenue.

CONFIDENTIAL © 2021 FocalTech Systems Co., Ltd. All rights reserved

3

2021 Q1 Results Summary /110年第1季總結 (2)

==> picture [102 x 25] intentionally omitted <==

• 由於IDC售價提升，因此推升Q1毛利率達37.4%，較上季大幅提升5.8個百分點， 帶動單季稅後純益達8.37億元，季增51%，年增逾10倍，每股純益為4.24元，獲 利續創敦泰自2013年上市後單季最高紀錄。

 FocalTech’s gross margin of Q1 increased to 37.4%. This led to the quarter net profit after tax reaching NT$837 million, representing a 51% QoQ increase, and more than 10 fold YoY increase. The EPS of NT$4.24 was achieved for the quarter. Similar to the revenue, the quarterly profit has also set a record high since FocalTech IPO in 2013.

CONFIDENTIAL © 2021 FocalTech Systems Co., Ltd. All rights reserved

4

Q1 21’Income Statement /110年第1季損益表

==> picture [102 x 25] intentionally omitted <==

Unit in NT$ Million /單位: 新台幣佰萬元

	21' Q1	20' Q4	QoQ	20' Q1	YoY
Revenue/ 營業收入	4,350	4,307	1%	2,910	49%
Gross Profit/ 營業毛利	1,629	1,361	20%	640	155%
Gross Margin/ 營業毛利率	37.4%	31.6%	↑ 5.8%	21.99%	↑ 15.41%
OperatingExpense/ 營業費用	703	747	-6%	569	24%
OperatingIncome/ 營業淨利	925	614	51%	71	1,203%
Non Operating Income/ 營業外收入	53	27	96%	32	66%
Profit before Tax/ 稅前淨利	978	641	53%	103	850%
Profit after Tax/ 稅後淨利	837	555	51%	59	1,319%
EPS(Basic)/ 每股盈餘(基本)	4.24	2.83		0.24

CONFIDENTIAL

© 2021 FocalTech Systems Co., Ltd. All rights reserved

5

Q1 21’Balance Sheet / 110年第1季資產負債表

==> picture [102 x 25] intentionally omitted <==

Unit in NT$ Million /單位: 新台幣佰萬元

	21' Q1	20' Q4	QoQ	20' Q1	YoY
Cash & Market Securities/ 現金及流動金融資產	7,110	5,880	21%	5,070	40%
Accounts Receivable/ 應收帳款	1,823	1,634	12%	1,527	19%
Inventory/ 存貨	2,021	1,755	15%	2,347	-14%
Other Current Assets/ 其他流動資產	252	185	36%	262	-4%
Non Current Asset/ 非流動資產	2,861	2,891	-1%	2,890	-1%
Total Assets/ 資產總計	14,067	12,345	14%	12,096	16%
Current Liabilities/ 流動負債	4,681	3,956	18%	3,616	29%
Non Current Liabilities/非流動負債	691	577	20%	442	56%
Owner's Equity/ 股東權益	8,695	7,812	11%	8,038	8%
Total Liabilities and Owners' Equity/ 負債與權益	14,067	12,345	14%	12,096	16%
Net Worthper share/ 每股淨值	41.30	37.28		26.87
AR Days	36	33		46
CONFIDENTIAL InventoryDays	62	57		78

© 2021 FocalTech Systems Co., Ltd. All rights reserved

6

Future Outlook /未來展望 (1)

==> picture [102 x 25] intentionally omitted <==

 Q2產業需求將加溫，因此預期敦泰包括IDC、觸控IC、驅動IC、指紋辨識IC等產 品線的出貨量都將維持高檔。

• Generally the market demand in the Q2 will heat up. Thus, it is expected that the shipment volume across all product lines, including IDC, touch IC, driver IC, and fingerprint sensors will stay at the high level.

• 即使晶圓產能吃緊，敦泰持續加強與上游供應鏈的良好夥伴關係，預期可取得適當 產能，滿足客戶需求。

• Facing the tight production capacity, FocalTech keeps strong partner relationship with up-stream suppliers and manages to secure adequate capacity to meet the customers demand.

CONFIDENTIAL © 2021 FocalTech Systems Co., Ltd. All rights reserved

7

Future Outlook /未來展望 (2)

==> picture [102 x 25] intentionally omitted <==

 敦泰Q1在AMOLED觸控產品已進入放量階段，Q2也將持續提升，預期敦泰在手 機用AMOLED觸控市場的領導地位將逐步形成。

• FocalTech began entering a high-volume shipment phase for AMOLED touch IC in Q1, and it is expected that Q2 will continue to increase and will capture a leading position in AMOLED touch IC market by year end.

• 在指紋辨識方面，敦泰除了電容式指紋產品出貨量持續成長外，同時在薄型光學式 指紋的領域也已正式開始小量出貨。

• In addition to the continuous growth of capacitive fingerprint sensor shipments, FocalTech also made a breakthrough in the ultra-thin optical type and begun to ship in the small volume.

CONFIDENTIAL © 2021 FocalTech Systems Co., Ltd. All rights reserved

8

Future Outlook /未來展望 (3)

==> picture [102 x 25] intentionally omitted <==

• 由於晶圓代工及生產後段成本持續上漲，敦泰將同步調升相關產品的售價，預期將 敦泰Q2營收及毛利表現都將更趨正面。

 Due to the continuing price increase by some foundries and backend service providers, FocalTech plans to increase our selling price correspondingly. So it is expected that FocalTech’s Q2 revenue and margin performance will also be trending high.

CONFIDENTIAL

© 2021 FocalTech Systems Co., Ltd. All rights reserved

9

==> picture [113 x 27] intentionally omitted <==

==> picture [357 x 146] intentionally omitted <==

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

THANKS
----- End of picture text -----

Copyright © 2021 FocalTech Systems Co., Ltd. All Rights Reserved. The information in this document may contain predictive statements including, without limitation, statements regarding the future financial and operating results, future product portfolio, new technology, etc. There are a number of factors that could cause actual results and developments to differ materially from those contained in the predictive statements. Therefore, such information is provided for reference purpose only and constitutes neither an offer nor an acceptance. FocalTech makes no warranties, express, implied or otherwise, regarding the accuracy or completeness of those information. FocalTech may change the information at any time without keeping recipients updated of any information contained in this document.

==> picture [58 x 58] intentionally omitted <==

www.focaltech-electronics.com